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The public hearing was closed at 7:15 p.m. <br />Council Business <br />Mayor Ramsey called the regular City Council meeting back to order at 7:15 p.m. <br />The City Council indicated staff has been monitoring interest rates for several years to determine <br />the most advantageous time to refinance the City hall It was acknowledged that this debt would <br />be extended four years longer than the current term. <br />Motion by Councilmember Strommen, seconded by Councilmember Tossey, to Amend the <br />2012 -2016 Capital Improvement Program (CIP). <br />Motion carried. Voting Yes: Mayor Ramsey, Councilmembers Strommen, Tossey, Backous, <br />Elvig, McGlone, and Wise. Voting No: None. <br />Motion by Mayor Ramsey, seconded by Councilmember Backous, to Adopt Resolution #12 -03- <br />035 Approving the Issuance of General Obligation Capital Improvement Plan Bonds. <br />Motion carried. Voting Yes: Mayor Ramsey, Councilmembers Backous, Elvig, McGlone, <br />Strommen, Tossey, and Wise. Voting No: None. <br />7. COUNCIL BUSINESS <br />7.04: Authorize Sale of Bonds for The Residence at The COR — Flaherty and Collins <br />Apartment Project <br />Stacie Kvilvang, Ehlers & Associates, reviewed the staff report. <br />City Administrator Ulrich reported that Flaherty and Collins had deposited $250,000 as a down <br />payment on the property and the balance of $500,000 will be paid at closing. He explained that <br />if the proposed bond sale was not approved, the development agreement obligates the Council to <br />determine some other means of financing. <br />The Council acknowledged the bond sale would result in the City borrowing money at a low <br />interest rate and then providing mezzanine financing to the developer. The developer will also <br />be responsible for paying all financing related costs, fees, and accrued interest. <br />Motion by Mayor Ramsey, seconded by Councilmember Wise, to Adopt Resolution #12 -03 -038 <br />Authorizing Sale of Bonds for The Residence at The COR. <br />Further discussion: Councilmember Backous indicated that while he found it to be a beautiful <br />project, he had been an opponent of this project because of the level of participation by the City; <br />however, the majority of the Council decided to move the project forward so he would support <br />the bond sale. Councilmember Strommen stated she was not able to support the level of City <br />participation, intended to vote against the motion, but wished the project well. Councilmember <br />City Council / March 13, 2012 <br />Page 5 of 11 <br />