Resolution - #22-157 - 07/12/2022

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Avenue NW (the "Upper School Campus" and, with the Elementary School Campus, the "School Facilities") in the City, which will be leased to and operated by the Charter School as a public charter school for students in grades six through twelve; (v)provide for capitalized interest, if any, (vi) fund any required reserve funds; and (vii)pay certain costs of issuance related to the issuance of the Bonds (collectively,the"Project"). Forms of the following documents relating to the Bonds have been submitted to the City: (a) Loan Agreement (the "Loan Agreement") between the City and the Company, whereby the City agrees to make a loan to the Company of the gross proceeds of sale of the Bonds and the Company agrees to pay amounts in repayment of the loan sufficient to provide for the full and prompt payment of the principal of, premium, if any, and interest on the Bonds; and (b) Indenture of Trust(the "Indenture") between the City and U.S. Bank Trust Company, National Association, as trustee (the "Trustee"), authorizing the issuance of and pledging certain revenues, including those to be derived from the Loan Agreement, as security for the Bonds, and setting forth proposed recitals, covenants and agreements relating thereto; and (c) Mortgage, Security Agreement and Assignment of Rents (the "Mortgage"), from the Company in favor of the Trustee, by which the Company grants a mortgage lien on and security interest in certain mortgaged property, as described therein, as further security for the payment of the Bonds and assigns its interests in all rents with respect to the mortgaged property; and (d) Bond Purchase Agreement (the "Bond Purchase Agreement"), by and between Robert W. Baird & Co. Incorporated (the "Underwriter"), the Company, the School and the City,providing for the purchase of the Bonds from the City by the Underwriter and setting the terms and conditions of purchase; and (e) Preliminary Official Statement, which, including all Appendices thereto, is intended to constitute the form of the final Official Statement (the "Preliminary Official Statement"), describing the offering of the Bonds, and certain terms and provisions of the foregoing documents. 3. Findings. It is hereby found, determined and declared that: (a) The Project constitutes a"project" authorized by and described in the Act. (b) On the basis of information available to the City it appears, and the City hereby finds,that the Facility constitutes properties,real and personal,used or useful in connection with one or more revenue producing enterprises engaged in any business within the meaning of Subdivision 2(b) of Section 469.153 of the Act; that the Project furthers the purposes stated in Minnesota Statutes, Section 469.152; that the availability of the financing under the Act and willingness of the City to furnish such financing will be substantial inducement to the Company to undertake the Project, and that the effect of the Project, if undertaken, will be to encourage the development of economically sound industry and commerce, to assist in the prevention of the emergence of blighted and marginal land, to help prevent chronic unemployment, to help the City retain and improve the tax base and to provide the range of service and employment opportunities 2