HomeMy WebLinkAbout7149 - ADMIN Resolution - City Council - 1982/06/077149
[Bond Resolution]
A RESOLUTION PROVIDING FOR THE ISSUANCE AND SALE OF
REVENUE BONDS PURSUANT TO CHAPTER 474,
MINNESOTA STATUTES, TO PROVIDE FUNDS TO BE LOANED
TO THOMAS PERBIX AND ASSOCIATES FOR
INDUSTRIAL DEVELOPMENT PROJECT
BE IT RESOLVED by the City Council of the City of St.
Louis Park, Minnesota, as follows:
1. Authority. The City is, by the Constitution and
Laws of the State of Minnesota, including Chapter 474, Minnesota
Statutes, as amended (the "Act") authorized to issue and sell its
revenue bonds for the purpose of financing the cost of construc-
tion of authorized projects and to enter into contracts necessary
or convenient in the exercise of the powers granted by the Act
and to pledge revenues of the project and otherwise secure the
bonds.
2. Authorization of Bonds. The City Council hereby
determines that it is necessary and expedient to authorize, and
the City Council does hereby authorize, the issuance of revenue
bonds of the City in the aggregate principal amount of Three
Hundred Forty Thousand Dollars ($340,000) (the "Bond") pursuant
to the Act to provide money to be loaned to Thomas Perbix and
Associates, a Minnesota general partnership (the "Partnership")
to finance part of the costs of acquiring and improving a manu-
facturing and office facility in the City (the "Project Facilities"
or "The Project") to be owned by the Partnership.
3. Documents Presented. Forms of the following docu-
ments relating to the Bond and the Project have been submitted to
and examined by the City Council and are now on file in the
office of the City Clerk:
(a) Loan and Purchase Agreement (the "Loan Agree-
ment"), dated as of June 1, 1982, by and among the
City, the Partnership and Wayzata Bank & Trust Company
(the "Bank") whereby, among other things, the City
agrees to sell and the Bank agrees to purchase the
Bond, the City agrees to make a loan to the Partnership
of the proceeds of the sale of the Bond and the Partner-
ship covenants to complete the Project and to pay
amounts sufficient to provide for the prompt payment of
the principal of and interest on the Bond;
(b) Combination Mortgage, Security Agreement and
Fixture Financing Statement (the "Mortgage") dated as
of June 1, 1982, by and between the Partnership and the
Bank, whereby the Partnership mortgages the Project
Facilities as security for the Bond (this document not
to be executed by the City);
(c) Assignment and Pledge Agreement (the "Assign-
ment") dated as of June 1, 1982, whereby the City
assigns to the Bank all of its interest in the Loan
Agreement and Loan Repayments of the Partnership
thereunder (except its rights under Sections 5.02,
7.01, 7.08, 8.04 and 8.05), for the purpose of securing
the Bond;
(d) Assignment of Rents and Leases (the "Lease
Assignment") dated June 1, 1982, from the Partnership
to the Bank assigning to the Bank the Partnership's
interest in any lease of any portion of the Project as
additional security for the Bond (this document not to
be executed by the City); and
(e) The Guaranty Agreement dated June 1, 1982
from Thomas H. Perbix, Dale G. Jeske, Melvin J. Straub
and Glenn H. Baillie (the "Guarantors") to the Bank
whereby the Guarantors have guaranteed the principal
of, premium, if any, and interest on the Bond to the
extent provided therein and the Guaranty Agreement
dated as of June 1, 1982 from such persons to the City
(the "Guaranty Agreements") (these documents not to be
executed by the City).
4. Findings. It is hereby found, determined and
declared that:
(a) The Project, as described in the Loan Agree-
ment, constitutes a project authorized by and described
in Section 474.02, Subd. 1 of the Act.
(b) The purpose of the Project is and the effect
thereof will be to promote the public welfare by:
preventing the emergence of blighted and marginal lands
and areas of chronic unemployment; preventing economic
deterioration; the development of sound industry and
commerce to use the available resources of the community,
in order to retain the benefit of the community's
existing investment in educational and public service
facilities; halting the movement of talented, educated
personnel to other areas and thus preserving the
economic and human resources needed as a base for
providing governmental services and facilities; adding
to the tax base of the City and the county and school
district in which the Project Facilities will be
located.
(c) The Project has been approved by preliminary
resolution of the Council duly adopted on May 17, 1982.
(d) The issuance and sale of the Bond, the execu-
tion and delivery of the Loan Agreement and the Assign-
ment and the performance of all covenants and agreements
of the City contained in the Bond, the Loan Agreement
and the Assignment and of all other acts and things
required under the Constitution and laws of the State
of Minnesota to make the Bond, Loan Agreement and the
Assignment valid and binding obligations of the City in
accordance with their terms, are authorized by the Act.
(e) The Loan Agreement provides for payments by
the Partnership to the Holder of the Bond for the
account of the City of such amounts as will be sufficient
to pay the principal of and interest on the Bond when
due. No reserve funds are deemed necessary for this
purpose. The Loan Agreement obligates the Partnership
to provide for the operation and maintenance of the
Project Facilities, including adequate insurance, taxes
and special assessments.
(f) Under the provisions of Section 474.10 of the
Act, and as provided for in the Loan Agreement and as
shall be recited in the Bond, the Bond is not to be
payable from nor charged upon any funds other than
amounts payable by the Partnership pursuant to the Loan
Agreement which are pledged to the payment thereof, and
moneys derived from foreclosure or other enforcement of
the Mortgage, Lease Assignment or the Guaranty Agree-
ments; the City is not subject to any liability
thereon; no Holder of the Bond shall ever have the
right to compel the exercise of the taxing power of the
City to pay the Bond or the interest thereon, nor to
enforce payment thereof against any property of the
City; the Bond shall not constitute a charge, lien or
encumbrance, legal or equitable, upon any property of
the City; and such Bond does not constitute an
indebtedness of the City within the meaning of any
constitutional, charter or statutory limitation.
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(g) The Partnership has agreed to indemnify the
City pursuant to the Loan Agreement for any expenses
incurred arising out of the issuance of the Bond or the
Project or the enforcement of the documents described
in paragraph 2.
(h) Based upon information furnished by the Partner-
ship on the date hereof, a copy of said information being
attached to this Resolution as Exhibit A, nothing has come
to the attention of the City Council to indicate that any
member of the City Council (i) has a direct or indirect
interest in the Project, the Loan Agreement, the Assignment
or Bond, (ii) owns any capital stock of or other interest in
the Project or the Bank, (iii) will be involved in supervis-
ing the completion of the Project on behalf of the Partnership,
or (v) will receive any commission, bonus or other remuneration
for or in respect of the Project, the Loan Agreement or the
Bond.
5. Approval and Execution of Documents. The forms of
Mortgage, Loan Agreement, Lease Assignment, Guaranty Agreements
and Assignment referred to in paragraph 3 are approved. The Loan
Agreement and Assignment shall be executed in the name and on
behalf of the City by the Mayor and City Manager, in substantially
the form on file, but with all such changes therein, not inconsis-
tent with the Act or other law, as may be approved by the Mayor,
City Manager or City Attorney, which approval shall be conclusively
evidenced by the execution thereof. The Mortgage, Lease Assignment
and Guaranty Agreements may contain such revisions as may be
approved by the Bank, the City, the Guarantors or the Partnership,
as the case may be.
6. Approval of Terms and Sale of Bond. Upon receipt
of written approval of the Project by the Commissioner of Energy,
Planning and Development of the State of Minnesota, the City
shall proceed forthwith to issue its City of St. Louis Park
Industrial Development Revenue Bond (Perbix Machine Company
Project), in the authorized principal amount of $340,000 substan-
tially in the form, maturing, bearing interest, payable in the
installments and otherwise containing the provisions set forth in
the form of Bond attached hereto as Exhibit 1, which terms and
provisions are hereby approved and incorporated in this Bond
Resolution and made a part hereof.
A single Bond, substantially in the form of Exhibit 1
to this Bond Resolution, shall be issued and delivered to the
Bank in the authorized principal amount of $340,000 and as
authorized by the Act, principal of and interest on the Bond
shall be payable at the office of the Bank in Wayzata, Minnesota.
The proposal of the Bank to purchase such Bond at a price of
$340,000 (100% of par value) is hereby found and determined to be
reasonable and is hereby accepted. Pursuant to the Loan Agree-
ment the Bank has agreed to pay the purchase price of the Bond to
provide funds to be loaned by the City to the Partnership to pay
Project Costs, as defined in the Loan Agreement, then due or
reimburse the Partnership for Project Costs paid by the Partner-
ship.
7. Execution, Delivery and Endorsement of Bond. The
Bond may be in typewritten or printed form and shall be executed
by the manual signatures of the Mayor and City Manager and the
official seal of the City shall be affixed thereto and attested
by the City Clerk. When so prepared and executed, the Bond shall
be delivered to the Bank upon payment of the purchase price, and
upon receipt of the signed legal opinion of Faegre & Benson, of
Minneapolis, Minnesota, bond counsel, pursuant to the Loan
Agreement. The Bond shall contain a recital that it is issued
pursuant to the Act, and such recital shall be conclusive evidence
of the validity and regularity of the issuance thereof.
8. Registration Records. The City Clerk, as bond
registrar, shall keep a bond register in which the City shall
provide for the registration of the Bond and for transfers of the
Bond, provided that the Partnership shall reimburse the City for
its administrative costs and expenses anticipated to be incurred
in acting as bond registrar. The principal of and interest on
the Bond shall be paid to the Bank for the account of the Holder
entitled thereto in Federal or other immediately available funds.
The City Clerk is authorized and directed to deliver a certified
copy of this Bond Resolution to the County Auditor of Hennepin
County, together with such other information as the County
Auditor may require, and obtain the certificate of the County
Auditor as to entry of the Bond on his bond register as required
by the Act and Section 475.63, Minnesota Statutes.
9. Mutilated, Lost, Stolen or Destroyed Bond. If the
Bond is mutilated, lost, stolen or destroyed, the City may
execute and deliver to the Holder a new Bond of like amount,
date, number and tenor as that mutilated, lost, stolen or destroy-
ed; provided that, in the case of mutilation, the mutilated Bond
shall first be surrendered to the City, and in the case of a
lost, stolen or destroyed Bond, there shall be first furnished to
the City and the Partnership evidence of such loss, theft or
destruction satisfactory to the City and the Partnership, together
with indemnity satisfactory to them. The City and Partnership
may charge the Holder with their reasonable fees and expenses in
replacing any mutilated, lost, stolen or destroyed Bond.
10. Transfer of Bond; Person Treated as Holder. The
Bond shall be transferable by the Holder on the bond register of
the City, upon payment of all administrative costs and expenses
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and legal expenses anticipated by the City to be incurred for
acting in the capacity of bond registrar and upon presentation of
the Bond for notation of such transfer thereon at the office of
the City Clerk, as bond registrar, accompanied by a written
instrument of transfer in form satisfactory to the City Clerk and
the City Attorney, duly executed by the Holder or its attorney
duly authorized in writing. The Holder seeking to transfer
ownership of the Bond shall also give written notice thereof to
the Partnership. The Bond shall continue to be subject to
successive transfers at the option of the Holder of the Bond. In
addition to the reimbursement for administrative expenses to be
paid for any such transfer, the City Clerk may require payment of
a sum sufficient to cover any tax or other governmental charge
payable in connection therewith. The person in whose name the
Bond shall be issued or, if transferred, shall be registered from
time to time shall be deemed and regarded as the absolute Holder
thereof for all purposes, and payment of or on account of the
principal of and interest on the Bond shall be made only to or
upon the order of the Holder thereof, or its attorney duly
authorized in writing, and neither the City, the City Clerk, the
Partnership, nor the Bank shall be affected by any notice to the
contrary. All such payments shall be valid and effectual to
satisfy and discharge the liability upon the Bond to the extent
of the sum or sums so paid. The Bond shall be initially registered
in the name of the Bank.
11. Amendments, Changes and Modifications to Loan
Agreement, Assignment and Bond Resolution. Except pursuant to
Section 9.03 of the Loan Agreement, the City shall not enter into
or make any change, modification, alteration or termination of
the Loan Agreement, Assignment or this Bond Resolution.
12. Pledge to Holder. Pursuant to the Assignment, the
City shall pledge and assign to the Bank and its successor
Holders of the Bond all interest of the City in the revenues of
the Project and the Project Facilities, including all Loan Repay-
ments to be made by the Partnership under the Loan Agreement and
moneys derived from enforcement of the Mortgage, Lease Assignment
and the Guaranty Agreements from the Guarantors to the Bank (but
not the Guaranty Agreement from the Guarantors to the City). All
collections of moneys by the City in any proceeding for enforcement
of the obligations of the Partnership under the Loan Agreement
(but not under the Guaranty Agreement from the Guarantors to the
City or any moneys collected thereunder) shall be received, held
and applied by the City for the benefit of the Holder of the Bond.
13. Covenants with Holders; Enforceability. All pro-
visions of the Bond and of this Bond Resolution and all repre-
sentations and undertakings by the City in the Loan Agreement are
hereby declared to be covenants between the City and the Bank and
its successor Holders of the Bond and shall be enforceable by the
Bank or any Holder in a proceeding brought for that purpose,
provided that no such covenant, representation or undertaking
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shall ever give rise to any pecuniary liability of the City, its
employees, officers or agents or constitute a charge against its
general credit or taxing powers.
14. Definitions and Interpretation. Terms not other-
wise defined in this Bond Resolution but defined in the Loan
Agreement shall have the same meanings in this Bond Resolution
and shall be interpreted herein as provided therein. Notices may
be given as provided in Section 9.01 of the Loan Agreement. In
case any provision of this Bond Resolution is for any reason
illegal or invalid or inoperable, such illegality or invalidity
or inoperability shall not affect the remaining provisions of
this Bond Resolution, which shall be construed or enforced as if
such illegal or invalid or inoperable provision were not con-
tained herein.
15. Certifications.- The Mayor, City Clerk and other
officers of the City are authorized and directed to prepare and
furnish to Faegre & Benson, bond counsel, to the Partnership, to
the Bank and to counsel for the Partnership and the Bank, certified
copies of all proceedings and records of the City relating to the
Project and the Bond, and such other affidavits and certificates
as may be required to show the facts appearing from the books and
records in the officers' custody and control or as otherwise
known to them; and all such certified copies, certificates and
affidavits, including any heretofore furnished, shall constitute
representations of the City as to the truth of all statements
contained therein; provided, however, that in executing any such
certificate or affidavit the City has the absolute right to rely
upon documents and certifications furnished by the Partnership or
others and that any representations of the City may be based
solely and exclusively upon such documents and certifications.
-;(4.,//i/- -4
$340,000 City of St. Louis Park
Industrial Revenue Bond (Perbix
Machine Company Project)
LIST OF INTERESTED PARTIES
Purchaser: Thomas Perbix and Associates, a general Minnesota partnership
consisting of Thomas H. Perbix, Glenn H. Baillie, Melvin H.
Straub and Dale G. Jeske.
Purchaser's
Attorney: Nelson W. Berg
Seller: Carl G. Olson & Sons, Inc. a Minnesota corporation; Earnest G.
Olson, President.
Seller's
Attorney: George M. Roehrdanz
Real Estate Agent: Dave Bruce, Thorpe Bros. Inc.
Lender: Wayzata Bank & Trust
Current Tenants: Frizzell Advertising Agency, Inc., a Minnesota corporation,
F. C. Sigurdson, President.
V4* - Med Laboratories, Inc., a Minnesota corporation,
Bonita L. Baskin, President.
Jeffco Power Systems of Ohio, Inc., an Ohio corporation,
Peter D. Martin, Vice -President.
New Tenants: Perbix Machine Company, a Minnesota corporation; Thomas H.
Perbix, President.
Baillie Sales and Engineering Company, a Minnesota corpora-
tion; Glenn H. Baillie, President.
Straub Design Company, a Minnesota corporation; Melvin J.
Straub, President.
EXHIBIT 1
TO BOND RESOLUTION
UNITED STATES OF AMERICA
STATE OF MINNESOTA
COUNTY OF HENNEPIN
CITY OF ST. LOUIS PARK
Industrial Development Revenue Bond
(Perbix Machine Company Project)
No. R-1 $340,000
The City of St. Louis Park, a municipal corporation in
the County of Hennepin and State of Minnesota (the "City"), for
value received, hereby promises to pay, but solely from the
source and in the manner hereinafter provided, to Wayzata Bank &
Trust Company (the "Bank") or registered assigns the principal
sum of Three Hundred Forty Thousand Dollars ($340,000), in
installments as hereinafter provided and to pay to the owner
hereof interest on the outstanding and unpaid balance of such
principal sum from the date hereof until said principal sum is
paid, at the rate of thirteen percent (13.00%) per annum, calculat-
ed on the basis of the actual number of days elapsed in a 360 day
year. The principal of and interest on this Bond shall be paid
in 119 equal monthly installments of $3,760 each, commencing on
July 1, 1982 and monthly thereafter on the first day of each
month to and including May 1, 1992, such monthly installments to
be applied first to accrued but unpaid interest on the Bond and
second to unpaid principal of the Bond, and, in one final install-
ment on June 1, 1992, when the entire remaining unpaid principal
and all accrued and unpaid interest on the Bond shall be paid.
Principal and interest shall be paid to the registered holder
hereof in lawful money of the United States of America at the
office of the the Bank, in Wayzata, Minnesota.
This Bond is issued pursuant to the Minnesota Municipal
Industrial Development Act, Chapter 474, Minnesota Statutes, as
amended (the "Act"), and in conformity with the provisions,
restrictions and limitations thereof. This Bond does not consti-
tute a charge against the general credit, property or taxing
powers of the City and does not grant to the owner or holder of
this Bond any right to have the City levy any taxes or appropriate
any funds for the payment of the principal hereof or interest
hereon, nor is this Bond a general obligation of the City or an
obligation of the individual officers or agents thereof. This
Bond and interest hereon are payable solely and only from the
moneys received under the Loan Agreement hereinafter mentioned,
including loan repayments to be made by Thomas Perbix and Associates,
a Minnesota general partnership (the "Partnership") and from
enforcement of the Mortgage, Lease Assignment and Guaranty
Agreements hereinafter mentioned.
This Bond is a special limited obligation of the City
which has been authorized by law to be issued and has been issued
for the purpose of funding a loan from the City to the Partnership
to finance part of the costs of acquiring and improving a manufactur-
ing and office facility in the City to be owned by the Partnership
(the "Project"). This Bond is issued pursuant to a Loan and
Purchase Agreement (the "Loan Agreement") by and among the City,
the Partnership and the Bank, dated as of June 1, 1982, and a
Bond Resolution of the City duly adopted June 7, 1982. Pursuant
to a Assignment and Pledge Agreement dated as of June 1, 1982
(the "Assignment"), the City has assigned its interest in the
Loan Agreement (except its rights under Sections 5.02, 7.01,
7.08, 8.04 and 8.05 thereof) to the Bank. This Bond is secured
by the Loan Agreement, the Assignment, the Bond Resolution, a
Combination Mortgage, Security Agreement and Fixture Financing
Statement (the "Mortgage") by the Partnership to the Bank dated
as of June 1, 1982, an Assignment of Rents and Leases (the "Lease
Assignment") by the Partnership to the Bank dated as of June 1,
1982, Guaranty Agreements (the "Guaranty Agreements") from Thomas
H. Perbix, Dale G. Jeske, Melvin J. Staub and Glenn H. Baillie
(the "Guarantors") to the Bank dated as of June 1, 1982 and a
Guaranty Agreement dated as of June 1, 1982 from the Guarantors
to the City, to which Loan Agreement, Assignment, Bond Resolution,
Mortgage, Lease Assignment and Guaranty Agreements and amendments
thereof reference is hereby made for a description and limitation
of the revenues and funds pledged and appropriated to the payment
of the Bond, the nature and extent of the security thereby
created, the rights of the Holder of the Bond, the rights, duties
and immunities of the Bank and the rights, immunities and obligations
of the City thereunder. Certified copies of the Bond Resolution
and executed counterparts of the Loan Agreement, the Assignment,
the Mortgage, the Lease Assignment and the Guaranty Agreements
are on file at the office of the City Clerk.
This Bond is subject to prepayment on any date at the
option of the City, at the request of the Partnership, in whole
or in part upon payment to the Bank of the principal amount of
the Bond to be prepaid plus accrued interest hereon, but in the
case of prepayment of any amount or amounts aggregating more than
$68,000 in any calendar year there shall also be paid a premium
equal to 13.00% of the amount by which the prepayments in the
calendar year exceed $68,000. Partial prepayments shall be
applied to installments of principal last maturing and shall not
affect the due dates or amount of intervening installments.
Notwithstanding anything herein to the contrary, if a
Determination of Taxability (as defined in the Loan Agreement)
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shall be made, this Bond shall automatically bear interest on the
unpaid balance at the interest rate which shall at all times be
equal to 18% per annum and shall be deemed to have borne such
rate from the Date of Taxability (as defined in the Loan
Agreement); and the Partnership shall forthwith pay to the Bank
or the Holder hereof as additional interest the difference
between the amount of interest actually paid from the Date of
Taxability and the amount that would have been paid if such
higher rate had been in efrect from the Date of Taxability and
thereafter, the Partnership shall pay to the Bank or the Holder
such increased installments as may be necessary to amortize the
original principal amount of the Bond with interest at such
higher rate over a period of 30 years from June 1, 1982.
Notice of any optional prepayment shall be given to the
owner or registered assigns of the Bond by certified or registered
mail, addressed to him at his registered address, not less than
thirty (30) days prior to the date fixed for prepayment, and
shall be published, if required by law, in a financial journal
circulated in the English language in the cities of Minneapolis
or Wayzata, Minnesota, at least once, not less than thirty (30)
days before the date so fixed tor prepayment. At the date fixed
for prepayment, funds shall be paid to the owner hereof at the
office of the Bank or shall be deposited with the Bank, sufficient
to pay the Bond, or the principal amount thereof to be prepaid,
accrued interest thereon and premium, if any. Upon the happening
of the above conditions, the Bond thus called shall not bear
interest after the date specified for prepayment.
This Bond is transferable, as provided in the Bond
Resolution, only upon the bond register of the City Clerk as bond
registrar, by the owner hereof in person or by his duly authorized
attorney, as provided in the Bond Resolution.
In case an Event of Default as defined in the Loan
Agreement occurs, this Bond and the Loan Repayments thereafter to
become due under the Loan Agreement may become immediately due
and payable, in the manner and with the effect and subject to the
conditions provided in the Loan Agreement. The Holder of this
Bond shall have the right to enforce the provisions of the Bond
Resolution, Loan Agreement, Lease Assignment, Assignment, the
Guaranty Agreements and Mortgage.
The terms and provisions of the Bond Resolution, Loan
Agreement, Assignment, Lease Assignment, Guaranty Agreements and
Mortgage, or of any instrument supplemental thereto, may be
modified or altered pursuant to Section 9.03 of the Loan Agreement
and paragraph 11 of the Bond Resolution.
It is hereby certified and recited and the City Council
has found: That the Project is an eligible "project" defined in
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Section 474.02, Subd. 1 of the Act; that the issuance of the Bond
and the acquisition and construction of the Project will promote
the `public welfare and carry out the purposes of the Act; that
the Project has been approved by the Commissioner of Securities
of the State of Minnesota as tending to further the purposes and
policies of the Act; that all acts, conditions and things requir-
ed to be done precedent to and in the issuance of this Bond have
been properly done, have happened and have been performed in
regular and due time, form and manner as required by law; and
that this Bond does not constitute a debt of the City within the
meaning of any constitutional, charter or statutory limitation.
IN WITNESS WHEREOF, the City of St. Louis Park, by its City
Council, has caused this Bond to be signed in its behalf by the
manual signatures of the Mayor and the City Manager and sealed
with the corporate seal of the City attested by the City Clerk,
all as of the day of June, 1982.
CITY OF ST. LOUIS PARK
By
ATTEST: Mayor
and By
City Clerk City Manager
(SEAL)
(Form of Transfer)
For value received, the undersigned owner does hereby
assign and transfer the foregoing Bond to the named Assignee, and
the undersigned City Clerk of the City of St. Louis Park as
bond registrar hereby certifies that the foregoing Bond has been
transferred and registered on the bond register in the name of
such Assignee.
Date of
Name of Signature of Signature of Transfer on
Assignee Owner City Clerk Bond Register
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EXHIBIT 2
TO BOND RESOLUTION
ASSIGNf1ENT AND PLEDGE AGREEMENT
This Assignment is made as of the first day of June,
1982, between the CITY OF ST. LOUIS PARK, Minnesota, a municipal
corporation in the County of Hennepin and State of Minnesota
(herein called the "City") and the WAYZATA BANK & TRUST COMPANY
(herein called the "Lender").
Recitals
The City has executed and delivered to the Lender its
single fully registered Industrial Development Revenue Bond
(Perbix Machine Company Project) in the principal amount of
$340,000 dated the date of delivery, issued pursuant to a
resolution adopted June 7, 1982 (the "Bond Resolution").
The proceeds of the Bond have been or are to be loaned
to Thomas Perbix and Associates, a Minnesota general partnership
(the "Partnership"), pursuant to a Loan and Purchase Agreement
dated as of June 1, 1982, among the City, the Bank and the
Partnership.
The Bond is payable from and secured by the Loan Repay-
ments to be made by the Partnership under the Loan Agreement and
the Bondholder, as a condition to the purchase of the Bond, has
required the execution of this Assignment.
ACCORDINGLY, as authorized by the Bond Resolution and
in consideration of the premises and other good and valuable
consideration, the receipt of which is hereby acknowledged, the
City does hereby grant, transfer and assign to the Bank and its
registered assigns of the Bond, all of the right, title and
interest of the City in the Loan and Purchase Agreement and the
Loan Repayments of the Partnership payable thereunder (except for
the rights of the City under Sections 5.02, 7.01, 7.08, 8.04 and
8.05 thereof relating to expenses, indemnity and advances of the
City), all for the purpose of securing the Bond.
IN WITNESS WHEREOF, the City has executed this Assign-
ment as of the date first above written, but actually on the
day of June, 1982.
CITY OF ST. LOUIS PARK
By
Mayor
Attest and By
City Clerk City Manager
(Seal)
Adopted by the City Council June 7, 1982.
A test:
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Reviewed for administration:
Approved as • form and legality:
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