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entities inquiring about the possibility of conduit debt. A policy needs to be implemented that <br />clcarly establishes that the City holds no legal and/or debt responsibility for the debt of the <br />outside entity. She noted the maximum deposit for the costs incurred by the City in examining <br />thc leg~tl and fiscal aspects of the project, as well as ongoing monitoring and reporting of <br />outstanding bonds once issued, has been set at $12,500. <br /> <br />(;ouncilmcmbcr Strommen requested in the future the Council be provided with an <br />tmdcrstanding of the definition of public purpose and the criteria, as there could be requests from <br />entities where this is not clear. <br /> <br />Councilmcmbcr Elvig asked if there would be findings of fact to be sure an entity holds a public <br />l~url)ose. <br /> <br />I.'inancc Officer Lund replied the entity would need to meet the requirements, and it would come <br />forward for Council approval. <br /> <br />(;ouncilmember Elvig suggested the maximum deposit amount be increased from $12,500, as <br />there could be some very expensive projects, such as the Crestview project. <br /> <br />l"inance Ofl~cer Lund advised Crestview is a project of about 12 million dollars, but the purpose <br /> collecting the deposit is in relation to the amount of time the City spends on the project. <br />Ilasically with the pass-through bond the entity should have everything in place. <br /> <br />(;ouncihnembcr Elvig noted the PACT charter school went through three different types of <br />lSnancJal scenarios that the City participated in. He stated there are a lot of expenses that could <br />add up. <br /> <br />l:inance OfFicer Lund indicated she will amend the maximum deposit to $25,000. She noted <br />there is a rcquircment that the entity must use the City's bond counsel, Briggs and Morgan. <br /> <br />Motion by Councilmember Elvig, seconded by Councilmember Olson, to recommend that the <br />City Ct)uncil adopt City policy outlining the terms and conditions for the issuance of conduit debt <br />with the maximum deposit amount amended to $25,000. <br /> <br />Motion carried. Voting Yes: Chairperson Strommen, Councilmembers Elvig and Olson. Voting <br />No: No~e. <br /> <br />COMMITTEE INPUT <br /> <br />(X)uncilmember Elvig reported Moody's visited Ramsey today for a tour of different areas of <br />growth in the City. The tour included a visit to the City Hall, a view of the Municipal Center <br />project, developments in the City, and areas in the City where redevelopment will occur. <br /> <br />Finance Committee/May 10, 2005 <br /> Page 3 of 4 <br /> <br /> <br />