Agenda - Council - 10/26/2004 - 10/26/04

Home

(b) On or prior to the delivery of the Bonds the Mayor and City Administrator shall, and are hereby authorized and directed to, execute on behalf of the City the Escrow Agreement. The Escrow Agreement is hereby approved and adopted and made a part of this resolution and the City covenants that it will promptly enforce all provisions thereof in the event of default thereunder by the Escrow Agent. (c) Securities purchased from moneys in the Escrow Account shall be limited to securities set forth in Minnesota Statutes, Section 475.67, Subdivision 8, and any amendments or supplements thereto. Securities purchased from the Escrow Account shall be purchased simultaneously with the delivery of the Bonds. The City has investigated the facts and hereby finds and determines that the Escrow Agent is a suitable financial institution to act as escrow agent. (d) The Callable Prior Bonds shall be redeemed and prepaid in accordance with the terms and conditions set forth in the Notice of Call for Redemption substantially in the form attached to the Escrow Agreement, which terms and conditions are hereby approved and incorporated herein by reference. The Notice of Call for Redemption shall be given pursuant to the Escrow Agreement. Failure to give notice by mail to any registered owner, or any defect therein, will not affect the validity of any proceedings for the redemption of the Prior Bonds. (e) The Purchaser as agent for the City, is hereby authorized and directed to purchase on behalf of the City and in its name the appropriate United States Treasury Securities, State and l_,ocal Government Series, and/or open market securities as provided in Section 26(iii), from the proceeds of the Bonds and, to the extent necessary, other available funds, all in accordance with the provisions of this resolution and the Escrow Agreement and to execute all such documents (including the appropriate subscription form) required to effect such purchase in accordance with the applicable U.S. Treasury Regulations. 26. Termination of Lease and Ground Lease. The City hereby elects to exercise its option under Section 10.4 of the Lease Agreement between the City and the EDA, dated as of December 1, 1999 (the "Lease") to prepay its Rental Payments (as defined in the Lease) through February 1, 2005, and deposit funds sufficient to defease the outstanding Prior Bonds as provided in the Escrow Agreement. As provided in the Lease, the City hereby determines and declares that upon the issuance of the Bonds and the funding o'f the Escrow Account, the Lease and the Ground Lease between the City and the EDA, dated as of December 1, 1999 shall be terminated and the EDA shall have no further right, title and/or interest in and to the Fire Station. 27. Severability. If any section, paragraph or provision of this resolution shall be held to be invalid or unenforceable for any reason, the invalidity or unenforceability of such section, paragraph or provision shall not affect any of the remaining provisions of this resolution. 28. Headings. Headings in this resolution are included for convenience of reference only and are not a part hereof, and shall not limit or def'me the meaning of any provision hereof. 1700675v! 19