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Councilmember introduced the following resolution and moved for its adoption:
<br />RESOLUTION #25-198
<br />RESOLUTION APPROVING THE TERMS OF UP TO A $50,000,000 INTERFUND LOAN IN
<br />CONNECTION WITH TAX INCREMENT FINANCING DISTRICT NO. 14
<br />WHEREAS, the City of Ramsey, Minnesota (the "City") has established TIF District No. 14 (The
<br />"TIF District"), a redevelopment district within Development District No. 1 in the City and has adopted a
<br />tax increment financing plan for the TIF District (the "TIF Plan"), pursuant to Minnesota Statutes, Sections
<br />469.174 through 469.1794, as amended (the "TIF Act") and Minnesota Session Laws, 2025, 1st Special
<br />Session, Chapter 13, Article 5, Section 2, which amends Minnesota Session Laws, 2010, Chapter 389,
<br />Article 7, Section 22, as amended by Minnesota Session Laws, 2011, Chapter 112, Article 11, Section 16
<br />(the "Special Legislation").
<br />WHEREAS, the City may pay for certain costs identified in the TIF Plan consisting of land
<br />acquisition, public utilities, site improvements/preparation, other eligible improvements, and
<br />administrative costs (the "Qualified Costs") incurred in connection with the establishment of the TIF
<br />District and development of land within the TIF District, which costs may be financed on a temporary
<br />basis from City funds available for such purposes.
<br />WHEREAS, under Minnesota Statutes, Section 469.178, Subd. 7 and the Special Legislation, the
<br />City is authorized to advance or loan money from the City's general fund or any other fund from which
<br />such advances may be legally made, in order to finance the Qualified Costs.
<br />WHEREAS, the City intends to reimburse itself for the payment of the Qualified Costs, plus
<br />interest thereon, from tax increments derived from the TIF District in accordance with the terms of this
<br />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 />(1)
<br />Terms of Interfund Loan.
<br />(a) The City hereby authorizes the advance of up to $50,000,000 from the City's Tax
<br />Increment Financing District #1 Fund, Tax Increment Financing District #2,
<br />HRA/COR Fund, MSA, Public Improvement Revolving Fund (PIR), Storm Water
<br />Management Fund, Enterprise Funds, or any other fund designated by the City, or
<br />so much thereof as may be paid as Qualified Costs. The City shall reimburse itself
<br />for such advances together with interest at the rate stated below. Interest accrues
<br />on the principal amount from the date of each advance. The maximum rate of
<br />interest permitted to be charged is limited to the greater of the rates specified under
<br />Minnesota Statutes, Section 270C.40 or Section 549.09 as of the date the loan or
<br />advance is authorized, unless the written agreement states that the maximum
<br />interest rate will fluctuate as the interest rates specified under Minnesota Statutes,
<br />Section 270C.40 or Section 549.09 are from time to time adjusted. The interest rate
<br />shall be 4.00%.
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