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Optional Redemption. The Bonds of this issue (the "Bonds") maturing on December 15, <br />2022, and thereafter, are subject to redemption and prepayment at the option of the Issuer on <br />December 15, 2021, and on any date thereafter at a price of par plus accrued interest. <br />Redemption may be in whole or in part of the Bonds subject to prepayment. If redemption is in <br />part, the Issuer shall determine the maturities and the principal amounts within each maturity to <br />be prepaid; and if only part of the Bonds having a common maturity date are called for <br />prepayment, the specific Bonds to be prepaid shall be chosen by lot by the Bond Registrar. <br />Bonds or portions thereof called for redemption shall be due and payable on the redemption date, <br />and interest thereon shall cease to accrue from and after the redemption date. Mailed notice of <br />redemption shall be given to the paying agent and to each affected Holder of the Bonds at least <br />thirty days prior to the date set for redemption. <br />Prior to the date on which any Bond or Bonds are directed by the Issuer to be redeemed <br />in advance of maturity, the Issuer will cause notice of the call thereof for redemption identifying <br />the Bonds to be redeemed to be mailed to the Bond Registrar and all Bondholders, at the <br />addresses shown on the Bond Register. All Bonds so called for redemption will cease to bear <br />interest on the specified redemption date, provided funds for their redemption have been duly <br />deposited. <br />Selection of Bonds for Redemption; Partial Redemption. To effect a partial redemption <br />of Bonds having a common maturity date, the Bond Registrar shall assign to each Bond having a <br />common maturity date, a distinctive number for each $5,000 of the principal amount of such <br />Bond. The Bond Registrar shall then select by lot, using such method of selection as it shall <br />deem proper in its discretion from the numbers assigned to the Bonds, as many numbers as, at <br />$5,000 for each number, shall equal the principal amount of such Bonds to be redeemed. The <br />Bonds to be redeemed shall be the Bonds to which were assigned numbers so selected; provided, <br />however, that only so much of the principal amount of such Bond of a denomination of more <br />than $5,000 shall be redeemed as shall equal $5,000 for each number assigned to it and so <br />selected. If a Bond is to be redeemed only in part, it shall be surrendered to the Bond Registrar <br />(with, if the Issuer or the Bond Registrar so requires, a written instrument of transfer in form <br />satisfactory to the Issuer and the Bond Registrar duly executed by the Holder thereof or the <br />Holder's attorney duly authorized in writing) and the Issuer shall execute and the Bond Registrar <br />shall authenticate and deliver to the Holder of the Bond, without service charge, a new Bond or <br />Bonds having the same stated maturity and interest rate and of any Authorized Denomination or <br />Denominations, as requested by the Holder, in aggregate principal amount equal to and in <br />exchange for the unredeemed portion of the principal of the Bond so surrendered. <br />Issuance; Purpose; General Obligation. This Bond is one of an issue in the total principal <br />amount of $16,875,000, all of like date of original issue and tenor, except as to number, maturity, <br />interest rate, denomination and redemption privilege, issued pursuant to and in full conformity <br />with the City Charter, the Constitution and laws of the State of Minnesota and pursuant to a <br />resolution adopted by the City Council on May 8, 2012 (the "Resolution"), for the purpose of <br />providing funds to finance the acquisition of capital improvements, as defined in Minnesota <br />Statutes, Section 475.521 and described in the Issuer's Capital Improvement Plan, including the <br />acquisition of the Facilities pursuant to an advance refunding of the outstanding Public Project <br />Lease Revenue Bonds, Series 2005A (City of Ramsey, Minnesota Lease Obligation) of the <br />Economic Development Authority of the City of Ramsey, Minnesota, dated June 1, 2005, <br />4546551v1 <br />