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the issuance of the bonds, but the final approval is controlled by the City Council, for if a lease <br />agreement is not authorized, no bonds will be issued for the project. With the adoption of the <br />proposed resolution the City Council will be authorizing the execution and delivery of a ground <br />lease agreement, lease agreement and continuing disclosure undertaking. <br /> <br />Paul Donna of Northland Securities indicated the resolution before the Council is to authorize the <br />execution and delivery of a ground lease agreement, lease agreement and continuing disclosure <br />undertaking. He explained the lease agreement spells out the payments for debt service, which <br />would be exactly equal to the debt service on the bonds. The trust indenture names U.S. Bank as <br />trustee for the project financing. He reviewed the Public Facility Lease Revenue Bonds, Series <br />2005A, Economic Development Authority for the City of Ramsey Report, which included the <br />fbllowing information: <br /> <br />· Project summary <br />· Debt service schedule <br />· Net debt service schedule <br />· Pricing summary <br />· Operation of project construction fund <br />· Detail costs of issuance <br /> <br />Mayor Pro Tern Elvig noted the cost of these G.O. bonds are very comparative to lease revenue <br />bonds throughout the life of the bond. <br /> <br />Mr. Donna replied that is correct. The cost difference when the comparison was originally <br />prepared was at a 10 to 15 points basis, and is now roughly half that amount. <br /> <br />Motion by Councilmember Cook, seconded by Councilmember Pearson, to authorize the <br />adoption of Resolution #05-05-145 authorizing the execution and delivery of a ground lease <br />agreement, lease agreement and continuing disclosure undertaking. <br /> <br />Motion carried. Voting Yes: Mayor Pro Tem Elvig, Councilmembers Cook, Pearson, Jeffrey, <br />Olson, and Strommen. Voting No: None. Absent: Mayor Gamec. <br /> <br />Case #7: <br /> <br />Accepting Offer to Purchase $4,335,000 GO Improvement Bonds, Series <br />2005B <br /> <br />Finance Officer Lund explained the Ramsey Town Center project calls for the improvement of <br />the AUAR roadways. The Joint Powers Agreement between Anoka County and the City of <br />Ramsey states that the City will be responsible for the issuance of the debt attributed to the <br />County's $4.3 million dollar responsibility beginning January 2006. The County will make the <br />respective debt service payment on the $4.3 million issuance to the City for a period of 20 years. <br /> <br />Mr. Donna stated the City's A-1 credit rating was affirmed. This process involved an on-site visit <br />by Moody's to the City. Moody's report highlights the growth occurring and projected to occur <br />and the resulting tax base. It also mentions a sound financing position, which is evident by <br /> <br />City Council/May 24, 2005 <br />Page 11 of 26 <br /> <br /> <br />