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<br /> <br />. <br /> <br />. <br /> <br />. <br /> <br />RESOLUTION 92 - li.. <br />RESOLUTION FOR THE CITY OF ELK RIVER <br /> <br />A RESOLUTION DESIGNATING THE CITY ADMINISTRATOR <br />AS A PERSON AUTHORIZED TO DECLARE, FROM TIME TO TIME, <br />THE OFFICIAL INTENT OF THE CITY TO REIMBURSE <br />CERTAIN TYPES OF EXPENDITURES MADE BY THE CITY <br />WITH THE PROCEEDS OF DEBT TO BE INCURRED BY THE CITY <br /> <br />BE IT RESOLVED by the City Council of the City of Elk River <br />(the City), as follows: <br /> <br />Section 1. FiDdinqs. It is hereby found and <br />declared that: <br /> <br />1.1) In order for the City to use bond proceeds to <br />reimburse itself for expenditures made prior to the issuance of <br />such bonds, the City must comply with Treasury Regulation <br />Section 1.103-18 (the Regulation) which sets out rules for <br />determining when the allocation of proceeds of governmental <br />bonds or certain private activity bonds to reimburse <br />expenditures previously made by the issuer of such bonds will <br />be treated as an expenditure of bond proceeds for purposes of <br />Sections 103 and 141-150 of the Internal Revenue,Code of 1986, <br />as amended (the Code). The portion of bond proceeds allocated <br />to reimburse an expenditure paid prior to the date the bonds <br />were issued is referred to herein as a "Reimbursement Bond." <br />An allocation of Reimbursement Bond proceeds made in accordance <br />with paragraph (e)(2) of the Regulation is referred to herein <br />as a "Reimbursement Allocation." <br /> <br />1.2) One of the requirements under the Regulation for <br />qualifying a Reimbursement Allocation as an expenditure of bond <br />proceeds is a declaration by the issuer of the Reimbursement <br />Bonds, on or before the date the expenditure to be reimbursed <br />is paid by the issuer, of the issuer's reasonable intention to <br />reimburse the expenditure with the proceeds of debt to be <br />incurred by the issuer (the Declaration of Official Intent). <br /> <br />1.3) The Regulation allows an issuer of Reimbursement <br />Bonds to designate one or more persons or entities to make <br />Declarations of Official Intent on behalf of the issuer. <br /> <br />1.4) The City is currently contemplating several <br />projects for which it has advanced funds from its investment <br />pool in expectation of reimbursement from proceeds of debt to <br />be incurred by the City, including the fOllowing specific <br />projects: <br /> <br />a. WE-SLSIP~_Wh'l'KILANP SEWER_IJ:1ER9_\~~l1ENT& <br />Construction of the project will not begin for <br />several years. The City has incurred <br />