Agenda - Council - 05/23/1995 - Laserfiche WebLink

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Direct Dial (~]2) 347-Q~£4 WINTHROP ~r, WEINSTINE A PROFESSIONAL ASSOCIATION Attorneys and Counselors at Law 3200 Minnesota World 21'ade Center 30 East Seventh Street Saint Paul, Minnesota 55101 Telephone (612) 290-8400 Fax (612) 292-9347 3000 Dain Bosworth Plaza 60 South Sixth Street Minneapolis, Minnesota 55402 Telephone (612) 347-0700 Fax (612) 347-0600 Norwest Bank MinnesOta, National Association Bloomington Office 7900 Xerxes Avenue south - Suite 160 Bloomington, Minneso~ 55479-2202 Attn: Ms. Cindy E. Erickson RE: $550,000 Commercial Development Revenue Note (Grosslein Proj~t) City of Ramsey~ Minnesota Ladies and Gentlemen: ., 1995 THOMAS H. BOYD ."UU £ WIDLEY S CI-,D~LL JEFFREY L. SHLOSBERG JOSEPH C, NAUMAN DAN'rilL C, BECK ERIC J. RYSTROM KItlSTIN PETEKSON L~BRE GINA IVL GROTH~ FOLLEN CHARLES A. D~RANT TI/~OI'~ $. BETI'ENGA CRAIG A. BRANDT MICHAEL A. D UFFY JA3~$ W. DIERKI~G ~,ty ro CA.TH~ RIHE A. DOMINGUEZ 'II~RESE M. MAP, S0 MELISSA A. ARNDT S~ M. SPELLACY IREVOR V, GUNDE'RSON BLAIR A. ROSEI, frHAL MICHAEL p. NoRrH KAREN L YASHA.R MAITEEW T. BOOS NANCY L MO~RSCH BETH GERSTEIN TI2~M MAII~I~ D. PORSGREN JOSEPH S. FR~DBERG o fennel DAN~L W. HARDY Minneapolis City of Ramsey 15153 Nowthen Blvd. N.W. Ramsey, Minnesota 55303-5543 Attn: Mr. Ryan Schroeder, Administrator The City of Ramsey, Ivfinnesota (the "City"), previously issued its $550,000 Commercial Development Revenue Note (Grossleln Project) dated June 25, 1979, to First National Bank in Anoka, now known as Norwest Bank Minn,sota, National Association (the "Holder") (said Note is hereinafter referred to as the "Original Note"~. The Original Note has been or will be amended pursuant to that certain Amendment No. 1 to Tax-Exempt Note by and between the Holder, the City and August E. Grosslein and LaVerne G. Grossl~in, the form of which is attached hereto as Exhibit A (the "Amendment"). The Amendment extended the maturity date of the Note to January 1, 2000. For purposes of this opinion, the term "Note" shall mean and refer to the Original Note, as amended by the Amendment. It is our opinion that tho extension of the maturity date of the Note as set forth in the Amendment does not constitute a "reissu ,~ce" or a "refunding" for purposes of the Internal Revenue Code of 1986, as amended (the "Code"). i Accordingly, it is further our opinion that neither the execution and delivery 'of the Amendment nor~ the provisions thereof, including the extension of the maturity date from to January 1, 2000, will (~) cause the interest payable on the Note to be includable in gross income for purposes of federal income taxation under the Code, or Co) subject the Note or the interest payable thereon to the interest disallowance provisions of Section 265Co)(3) of the Code.