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Councilmember <br /> <br />introduced the following resolution and moved for its adoption: <br /> RESOLUTION #00-03-XXX <br /> <br /> RESOLUTION ESTABLISHING PROCEDURES <br />RELATING TO COMPLIANCE WITH REIMBURSEMENT BOND <br />REGULATIONS UNDER THE INTERNAL REVENUE CODE <br /> <br /> BE IT RESOLVED by the City Council (the "Council") of the City of Ramsey, <br />Minnesota (the "City"), as follows: <br /> <br />1. Recitals. <br /> <br /> (a) The Internal Revenue Service has issued Treasury Regulations, Section <br />1.150-2 (as the same may be amended or supplemented, the "Regulations"), dealing with <br />"reimbursement bond" proceeds, being proceeds of bonds used to reimburse the City for <br />any project expenditure paid by the City prior to the time of the issuance of those bonds. <br /> <br /> (b) The Regulations generally.require that the City (as the issuer of or the <br />primary obligor under the bonds) make a declaration of intent to reimburse itself for such <br />prior expenditures out of the proceeds of subsequently issued bonds, that such declaration <br />be made not later than 60 days after the expenditure is actually paid, and that the bonding <br />occur and the written reimbursement allocation be made from the proceeds of such bonds <br />within 18 months after the later of (1) the date of payment of the expenditure or (2) the <br />date the project is placed in service (but in no event more than 3 years after actual <br />Payment). .. <br /> <br /> (c) The City heretofore implemented procedures for compliance with the <br />predecessor versions of the Regulations and desires to amend and supplement those <br />procedures to ensure compliance with the Regulations. <br /> <br /> (d) The City's bond counsel has advised the City that the Regulations do not <br />apply, and hence the provisions of this Resolution are intended to have no application, to <br />payments of City project costs first made by the City out of the proceeds of bonds issued <br />prior to the date of such payments. <br /> <br /> 2. Official Intent Declaration. The Regulations, in the situations in which they <br />apply, require the City to have declared an official intent (the "Declaration") to reimburse itself <br />for previously paid project expenditures out of the proceeds of subsequently issued bonds. The <br />Council hereby authorizes the City Finance Officer to make the City's Declarations or to delegate <br /> <br />1144832.1 <br /> <br /> <br />