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14) Adopt ResOlution #04-02-034 Receiving Report and <br />Improvement P[oject #04-09 (Sealcoat and Crackfill <br />15) Adopt ResOlution #04-02-035 Receiving Report and <br />hnprovem~mt Project #04-10 (Sealcoat and Crackfill <br />16) Adopt Res61ution #04-02-036 Receiving Report and <br />l rnprovem~nt Project #04-11 (Sealcoat and Crackfill <br />17) Adopt Rescilution #04-02-037 Receiving Report and <br />lmprovemd~t Project #04-12 (Sealcoat and Crackfill <br /> <br />Calling a Public Hearing on <br />Alicia's Addition, Tiger Street) <br />Calling a Public Hearing on <br />Sorteberg 6th) <br />Calling a Public Hearing on <br />Deerwood) <br />Calling a Public Hearing on <br />Traprock Commons) <br /> <br />18) Adopt ResOlution #04-02-038 Receiving Report and Calling a Public Hearing on <br /> lmprovemoint Project #04-13 (Bituminous Overlay Bowers Drive) <br />19) Adopt Resolution #04-02-039 Receiving Report and Calling a Public Hearing on <br /> lmprovem ,clot Project #04-14 (Bituminous Overlay Rum River Hills) <br />20) Adopt Re~olution #04-02-040 Proclaiming Northstar Commuter Rail Day Throughout <br /> Central Mi ,nnesota <br /> <br />Motion carried: Voting Yes: Mayor Gamec, Councilmembers Kurak, Zimmerman, Cook, Elvig, <br />Pearson, and Sffommen. Voting No: None, <br /> <br />COUNCIL BUSINESS <br /> <br />Case #1: Report from Finance Committee <br /> <br />Removed from lhe agenda. <br /> <br />Case #2: ConSider Authorizing the Issuance of Approximately $11.8 Million in Lease <br /> !~evenue Bonds for PACT Charter School and the Execution of Various <br /> DocUments in Connection with the School Project <br /> <br />Finance Officer Lund explained that at the December 16, 2003 meeting, Council adopted <br />Resolution #03;12-334 giving preliminary approval to the issuance of revenue bonds for the <br />PACT Charter ,School Project. State and Federal law allows cities to issue bonds and loan the <br />proceeds to non, profit corporations to finance capital expenditures. By issuing tax-exempt bonds <br />through the CitY, the Charter school reduces their borrowing costs due to the tax-exempt status. <br />She advised that the PACT Charter School is now asking for the authorization for the actual <br />issuance of the ~evenue bonds associated with their school project. The amount to be issued will <br />not exceed $11;8 million. Finance Office Lund reviewed the documents relating to the bond <br />issuance that al~o need to be executed. She advised that the PACT Charter School agrees to pay <br />all principal arid interest on the bonds so the City is merely a conduit and the money and <br />obligation are between PACT and the trustee for the bondholders. PACT Charter School will be <br />held responsible for all fees that are incurred for the issuance of this bond. Also, PACT will be <br />required to cov~r all fees associated with costs incurred by the City relating to their own bond <br />issuance if PACT's bond issue causes the City to become non-bank qualified. To remain bank <br />qualified, which offers lower interest rates, the City must not borrow more than $10 million in <br />any one calendlr year. Staff recommends the Council adopt the draft resolution authorizing the <br /> <br />City Council/February 10, 2004 <br /> Page 7 of 18 <br /> <br /> <br />