HomeMy WebLinkAbout24-083 - ADMIN Resolution - City Council - 2024/07/15
Resolution No. 24 - 083
Providing for the issuance and sale of General Obligation Utility Revenue Bonds,
Series 2024B, in the approximate aggregate principal amount of $6,165,000
Whereas, the engineer of the City of St. Louis Park (the “city”) has recommended the
construction of various improvements to the City’s water system including but not limited to
watermain replacements in connection with various city infrastructure improvements (the
“utility improvements”), pursuant to Minnesota Statutes, Chapters 444 and 475, as amended
(the “act”); and
Whereas, the city proposes to issue its General Obligation Utility Revenue Bonds,
Series 2024B (the “bonds”), in the approximate aggregate principal amount of $6,165,000,
pursuant to the act, to provide financing for the utility improvements; and
Now therefore be it resolved by the city council of the City of St. Louis Park as follows:
1. The city council finds it necessary and expedient to the sound financial
management of the affairs of the city that the city issue the bonds in the approximate
aggregate principal amount of $6,165,000, pursuant to the act, in order to provide financing for
the utility improvements.
2. The city is authorized by Section 475.60, subdivision 2(9) of the act to negotiate
the sale of the bonds, it being determined that the city has retained an independent municipal
advisor in connection with such sale.
3. Ehlers and Associates, Inc., the municipal advisor to the city (the “municipal
advisor”), is authorized and directed to negotiate the sale of the bonds. The city council will
meet at 6:30 p.m. on Monday, August 19, 2024, to consider proposals on the bonds and take
any other appropriate action with respect to the bonds.
4. The law firm of Kennedy & Graven, Chartered, as bond counsel for the city
(“bond counsel”), is authorized to act as bond counsel and to assist in the preparation and
review of necessary documents, certificates and instruments relating to the bonds. The officers,
employees and agents of the city are hereby authorized to assist bond counsel in the
preparation of such documents, certificates, and instruments.
5. In the resolution awarding the sale of the bonds, the city council will set forth
the covenants and undertakings required by the act.
6. In connection with the sale of the bonds, the officers or employees of the city
are authorized and directed to cooperate with the municipal advisor and participate in the
preparation of an official statement for the bonds and to deliver it on behalf of the city upon its
completion.
7. The Internal Revenue Service has issued Treas. Reg. § 1.150-2 (the
“reimbursement regulations”) providing that proceeds of tax-exempt bonds used to reimburse
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prior expenditures will not be deemed spent unless certain requirements are met; the city
expects to incur certain expenditures with respect to the utility improvements that may be
financed temporarily from sources other than bonds and reimbursed from the proceeds of tax-
exempt bonds. The city hereby declares its intent to reimburse certain costs of the utility
improvements from proceeds of the bonds (the “declaration”) in an amount not to exceed
$6,165,000. All reimbursed expenditures will be capital expenditures, costs of issuance of the
bonds, other expenditures eligible for reimbursement under Section 1.150-2(d)(3) of the
reimbursement regulations, or expenditures that otherwise meet the requirements of the
reimbursement regulations. This declaration is an expression of the reasonable expectations of
the city based on the facts and circumstances known to the city as of the date hereof. The
anticipated original expenditures for the utility improvements and the principal amount of the
bonds described herein are consistent with the city’s budgetary and financial circumstances.
No sources other than proceeds of the bonds to be issued by the city are, or are reasonably
expected to be, reserved, allocated on a long-term basis, or otherwise set aside pursuant to the
city’s budget or financial policies to pay such expenditures. This declaration is intended to
constitute a declaration of official intent for purposes of the reimbursement regulations.
Reviewed for administration: Adopted by the city council July 15, 2024:
Kim Keller, city manager Nadia Mohamed, mayor
Attest:
Melissa Kennedy, city clerk
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