Agenda - Council - 07/12/2022 - Laserfiche WebLink

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information in this Official Statement, except for the information under this caption and the caption "ABSENCE OF LITIGATION—Issuer." THE COMPANY The Company is a Minnesota nonprofit corporation and an organization exempt from federal income taxation pursuant to Section 501(a) of the Code as a result of the application of Section 501(c)(3) of the Code. The Company is the owner of the Original School Facility leased to the Charter School, and will be the owner of the School Facilities to be leased to the Charter School upon completion of the Series 2022 Project.Additional information about the Company is located in"APPENDIX A—THE COMPANY, THE CHARTER SCHOOL,AND THE SERIES 2022 PROJECT"in this Official Statement. THE CHARTER SCHOOL The Charter School is a Minnesota nonprofit corporation and an organization exempt from federal income taxation pursuant to Section 501(a) of the Code as a result of the application of Section 501(c)(3) of the Code. The Company leases the Original School Facility to the Charter School and will lease the School Facilities to the Charter School upon completion of the Series 2022 Project. The Charter School educates students in kindergarten through grade twelve, as authorized by the Charter Agreement (defined below). The Charter School has operated continuously since the 1994-1995 school year. The Charter School is a public charter school operating under applicable laws of the State. Under the provisions of Minnesota Statutes, Chapter 124E, as amended (the "Charter School Act"), an organization may be approved by the State to authorize one or more charter schools. The authorization for a charter school must be in the form of a written contract between the authorizer and the charter school for a term not exceeding five years and which must contain a description of the charter school program, the specific outcomes that the charter school pupils are expected to achieve,admission policies and procedures, management and administration of the charter school, requirements and procedures for program and financial audits,insurance coverage,and certain additional information required by law.The Charter School has executed a contract (the "Charter Agreement"), with Bethel University (the "Authorizer"), in conformity with the Charter School Act. The Authorizer and the Charter School have entered into a Charter Agreement as of July 1, 2020, for a three-year term, expiring on June 30, 2023. [[TO BE CONFIRMED BY BORROWER AND UPON RECEIPT AND REVIEW OF VOA APPROVAL: The Charter School is currently in the process of transferring to a new authorizer as the Authorizer has submitted a withdrawal letter which will be effective June 30,2023. The new authorizer will be Volunteers of America which will begin oversight of the Charter School in July, 2022. Business will run as usual under the Authorizer until the transfer is completed by June 30, 2023]] The Charter School receives its funding from a combination of (a) State aid such as: General Education Aid (which coincides with enrollment), compensatory aid and Building Lease Aid (which coincides with enrollment); and(b)federal programs administrated by the State including Title I,Part A of the No Child Left Behind Elementary and Secondary Education Act (NCLB/ESEA), Improving Basic Program, Title II, Part A of the NCLB/ESEA, Teacher/Principal Training and Recruitment, and Title V, Part A — Regular Innovative Programs. Additional information about the Charter School is located in "APPENDIX A—THE COMPANY,THE CHARTER SCHOOL,AND THE SERIES 2022 PROJECT"in this Official Statement. See also "CHARTER SCHOOL FUNDING IN MINNESOTA—State Payments" and "APPENDIX B — MINNESOTA LAWS RELATING TO CHARTER SCHOOLS" in this Official Statement for further information regarding State funding of charter schools. 5