Resolution - #22-141 - 06/14/2022

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Borrower to undertake the Project, and that the effect of the Project, if undertaken, will be to assist in the prevention of the emergence of blighted and marginal land, to help prevent chronic unemployment, to help the surrounding area retain and eventually improve the tax base, to provide the range of service and employment opportunities required by the population, to help prevent the movement of talented and educated persons out of the State and to areas within the State where their services may not be as effectively used, and to promote more intensive development and use of land within the City and surrounding communities. 2. Preliminary Approval. The City hereby gives preliminary approval to the proposal of the Borrower that the City undertake the Project, and the financing therefor, pursuant to the Act and to issue the Bonds in the principal amount not to exceed $43,000,000. 3. DEED Application. The financing of the Project by the issuance of the Bonds by the City is subject to, among other things, (a) the approval of the Project by the City and the Minnesota Department of Employment and Economic Development, (b) final approval by the City, the Borrower and the purchaser of the Bonds as to the ultimate details of the financing, and (c) review and approval of the proposed Project by Bond Counsel. 4. Payment of Costs. The Borrower has agreed and it is hereby determined that any and all costs incurred by the City in connection with the financing of the Project whether or not the Project is carried to completion and whether or not approved by the City will be paid by the Borrower. 5. Bond Documents. Taft Stettinius & Hollister LLP, acting as bond counsel, is authorized to assist in the preparation and review of necessary documents relating to the Project, to consult with the Borrower and the purchaser of the Bonds as to the maturities, interest rates and other terms and provisions of the Bonds and as to the covenants and other provisions of the necessary documents and submit such documents to the City for final approval. 6. Limited Obli ag tion. Nothing in this Resolution or the documents prepared pursuant hereto shall authorize the expenditure of any municipal funds on the Project other than the revenues derived from the Project or otherwise granted to the City for this purpose. The Bonds shall not constitute a charge, lien, or encumbrance, legal or equitable, upon any property or funds of the City except the revenue and proceeds pledged for the payment thereof, nor shall the City be subject to any liability thereon. No holders of the Bonds shall ever have the right to compel any exercise of the taxing power of the City to pay the outstanding principal on the Bonds or the interest thereon, or to enforce payment thereon against any property of the City, except such property as may be expressly pledged for the security of the Bonds. The Bonds shall recite in substance that the Bonds, including the interest thereon, is payable solely from the revenue and proceeds pledged to the payment thereof. The Bonds shall not constitute a debt of the City within the meaning of any constitutional or statutory limitation. 7. Reimbursement. In anticipation of the approval of the Project by the State of Minnesota, Department of Employment and Economic Development and all other necessary entities and the issuance of the Bonds to finance all or a portion of the Project, and in order that completion of the Project will not be unduly delayed when approved, the City hereby authorizes 3 73789111d2