Resolution - #04-11-343 - 11/10/2004

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Boardmember STROMMEN introduced the following resolution and moved for its adoption: RESOLUTION #04 - 11 - 343 ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF RAMSEY CITY OF RAMSEY COUNTY OF ANOKA STATE OF MINNESOTA RESOLUTION AUTHORIZING TERMINATION OF LEASE AGREEMENT AND GROUND LEASE, EXECUTION OF AN ESCROW AGREEMENT AND CALLING PRIOR BONDS WHEREAS, the City of Ramsey proposes to issue its $1,480,000 General Obligation Capital hnprovement Refunding Bonds of 2004 (the "Bonds") in part to finance the acquisition of Fire Station No. 1 located at 150th Avenue and Armstrong Boulevard (the "Fire Station") from the Economic Development Authority of the City of Ramsey (the "Authority"); and WHEREAS, the proposed purchase price for the Fire Station is an amount equal to the outstanding principal of and accrued interest on the Authority's Public Facility Lease Revenue Bonds, Series 1999A (City of Ramsey Lease Obligation), dated December 1, 1999 (the "Prior Bonds") issued pursuant to a resolution adopted on November 23, 1999 (the "Prior Resolution"), and as provided in the Mortgage and Security Agreement and Indenture of Trust, dated December 1, 1999, by and between the Authority and U.S. Bank Trust National Association. NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COMMISSIONERS OF TIlE ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF RAMSEY, as follows: I. $1,170,000 aggregate principal amount of the Prior Bonds which matures on and after February 1, 2010 is callable on February 1, 2009 (the "Callable Prior Bonds") and the refunding of the Callable Prior Bonds is consistent with covenants made with the holders of the Prior Bonds, and is necessary and desirable for the reduction of debt service cost to the City. 2. $280,000 aggregate prior amount of the Prior Bonds which matures on February 1, 2005 through February 1, 2008, shall also be refunded and is also consistent with the covenants made with the holders of the Prior Bonds. 3. 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 attached as Exhibit A to the Escrow Agreement, dated as of November 10, 2004 (the "Escrow Agreement") by and between the City, the Authority and U.S. Bank National Association, in St. Paul, Minnesota, Escrow Agent, which terms and conditions are hereby approved and incorporated herein by reference. 4. The Authority hereby approves the execution by the President and Secretary on behalf of the Authority of the Escrow Agreement in substantially the form submitted to the Board of Commissioners. 1700675vl