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<br />Councilmember Musgrove introduced the following resolution and moved for its adoption: <br /> <br />RESOLUTION #24-071 <br /> <br />RESOLUTION APPROVING THE TERMS OF UP TO A $5,000,000 INTERFUND LOAN IN <br />CONNECTION WITH COR INFRASTRUCTURE IMPROVEMENTS – RAMSEY PARKWAY, <br />ZEOLITE STREET AND CENTER STREET IN CONNECTION WITH TAX INCREMENT <br />FINANCING DISTRICT NO. 14 <br /> <br /> WHEREAS, the City of Ramsey, Minnesota (the "City") has established TIF District No. 14 (The “TIF <br />District”), a redevelopment district within Development District No. 1 in the City, pursuant to Minnesota Statutes, <br />Sections 469.174 through 469.1794, as amended (the “TIF Act”); and <br /> <br />WHEREAS, the City may pay for certain costs related to and incurred within the TIF District (the <br />"Qualified Costs"), which costs may be financed on a temporary basis from City funds available for such purposes. <br />WHEREAS, under Minnesota Statutes, Section 469.178, Subd. 7, the City is authorized to advance or loan <br />money from the City's general fund or any other fund from which such advances may be legally made, in order to <br />finance the Qualified Costs. <br />WHEREAS, the City intends to reimburse itself for the payment of the Qualified Costs (consisting of <br />$5,000,000), plus interest thereon, from tax increments derived from the TIF District in accordance with the terms <br />of this resolution (which terms are referred to collectively as the "Interfund Loan"). <br />NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF <br />RAMSEY, ANOKA COUNTY, STATE OF MINNESOTA, as follows: <br /> <br />(1) Terms of Interfund Loan. <br />(a) The City hereby authorizes the advance of up to $2,000,000 from the City's Tax Increment <br />Financing District #1 Fund, $3,000,000 from the City’s Tax Increment Financing District <br />#2 Fund, or any other fund designated by the City, or so much thereof as may be paid as <br />Qualified Costs. The City shall reimburse itself for such advances together with interest at <br />the rate stated below. Interest accrues on the principal amount from the date of each <br />advance. The maximum rate of interest permitted to be charged is limited to the greater of <br />the rates specified under Minnesota Statutes, Section 270C.40 or Section 549.09 as of the <br />date the loan or advance is authorized, unless the written agreement states that the <br />maximum interest rate will fluctuate as the interest rates specified under Minnesota <br />Statutes, Section 270C.40 or Section 549.09 are from time to time adjusted. The interest <br />rate shall be 5.00% and will not fluctuate. <br />(b) Principal and interest on the Interfund Loan (the "Payments") shall be paid annually on <br />each December 31 commencing with the date the tax increments from the TIF District are <br />available and not otherwise pledged to and including the earlier of (i) the date the principal <br />and accrued interest of the Interfund Loan is paid in full, or (ii) the date of last receipt of <br />tax increment from the TIF District ("Payment Dates") which Payments will be made in <br />the amount and only to the extent of available tax increments. Payments shall be applied <br />first to accrued interest, and then to unpaid principal. <br />(c) Payments on the Interfund Loan are payable solely from the tax increment generated in the <br />preceding twelve (12) months with respect to the TIF District and remitted to the City by <br /> <br />