CITY COUNCIL AGENDA ‘June 4, 2018 ~7:00 PM CITY HALL CALL THE MEETING TO ORDER PLEDGE OF ALLEGIANCE AGENDA CHANGES/APPROVE AGENDA APPROVAT.OF MINUTES -"P 3 APPROVE ACCOUNTS PAYABLE & INVESIMENE AND IKANSHEK ACTIVITY 74 5 Geneal $40,805.24 Ambulance $5.88 Liquor $ 500415 Street Project $15,610.50 $ 6,607.06 368,030.83 WASTE WATER PROJECT OPEN FORUM (6 minutes per speaker) ‘SCHEDULED/ONSCHEDULED GUESTS Sehedaled 1. Diane Gerdes request to credit sewer for grass watering because of street projets Unscheduled AGENDA ITEMS: 1 2018 Stveot Project Bonding Resolution 18.19 “Plo 2. Sewer Credit Request Consideration 3. Fire Dept Tanker ids Consideration 4 Variance Consideration Fence on property Hine at 209 S® ave W. ~ P43 DEPARTMENT REPORTS. 1. Clerk ‘a. Water/Waste Water Information onnmr business 1. SOJ0 Cote Sidewalk Modifiation Request 2. NonDicriminaton!n ube Accommodations Paley Consideration “Py 44 53, Raut at ul-Panpuoe Coter- Py 45 i Schoo! Bailing Tnformaton avaiable Other Beard and Comite Repore ‘Department Head Report ~P 2 Pole Departinent Roper -7h7 SummerfotSehtuleot eis apeere ANNOUNCEMENTS 1. Next counell meoting Monday, June 18,2018, a 7:00 pum. in City Hal, 2 ‘This isa preliminary agenda and subject ro change. The Connell will et a final agenda atthe meting Page 1 of 1Department Head Report June 4, 2038, ‘Street departments working hard to get the pool open. Opening day isJune 4 Street departments assting withthe 2018 Sueet Project as necessary, They hailed crushed concrete tothe SummerLane area, Surnmar lane utlty works complete. Cran gittarand street patching are stil tobe done. ‘Mowing and weed spraying as weather permits is being completed ‘Crushed concrete was hauled to the poo! parking lt for use on the improvement tothe bales batting cage and dugous. Troy Schutz reported grant was received fom the MIN Twins organization {ohelp fund the improvements ‘The brush pile was burned over the Memoria Day Weekencl as Kory Heat was net working and the wind was inthe proper direction, /Ameeting has boen scheduled with MPCA on June 7, Expecting to attend forthe Cty of Lakefield Karen Cavett of EH, Daniel Marxof Faherty & Hood and Rasche and Rossow. | believe tis meeting was triggered by the lepslaton added, but removed later, tothe bonding bil, This meeting has been requested by the MPCA, It will be held atthe MPCA offices In Mankato [Amecting was held with USDA Rural Development, Kevin Friesen to get and update onthe status of our tunding package at the agency. Keren Cavett and Resche and Ulferts attended tis meeting, Friesen stated we ae aout 30 days from the completion ofthe PER and expacts we will receive our funding package information in August/September. 2018 isan election year and letters have been sent to past elections judges asking if they wish to serve again. IFyou are awate of anyone thats interested in serving a5 2 judge please ask them to contact me ately hal, | don't believe we wile short judges, but want to give anyone that wishes to participate in the process the opportunity. Note: Fling for cy offices opens on July 31%LAKEFIELD CITY COUNCHL MINUTES May 21,2018 ~7:00 PM. PROPOSED (CALL THE COUNCIL MEETING TO ORDER at 7:00 pan, ‘Council Present: Brian Rossow, Andrea Monson, Brace Bakalyer, Nathan Hall, Bront Pavelko ‘Council Atwent: None OthersPresent: Others Present: Kelly Rasche Clerk, Lance Frerichs-Stteet Foreman, Chery! Ulferts Finance Manager, ‘Andrew Konechne-Police Chet, KestioFrerihs-Liquor Manager, Jim Gilman-Conway, Denth & Sshinesing, CPA. ‘Agenda Approval Motion to approve the updated agenda made by Pavelka/Hall, sl yes, motion eared ‘Minutes Approval Motion to approve the minutes of May 7, 2018, meeting made by Bakalyat/Monson ll yes, motion caiod. Accounts payable Motion to approve the payments as prescated, inthe amouat of $135,282.45 and the investment and ‘uansfr activity made by Monsow/Hall, al yes, motion carried “WAST WATER PROJECT OPEN FORUM (3 minutes per speaker) ~ ‘SCHEDULED/UNSCHEDULED GUESTS Scheduled Unscheduled AGENDA ITEMS: 1. Presentation and Acceptance of the 2017 Finanelal Audit~ im Gilman of Conway, Deuth & Schiniesing, CPA presented the 2017 financial audit. A significant change tothe pension number is seen 2017 vs, 2016. ‘This change is philosophy change in the accounting World. City was un approximate change in net poston of| nearly 5% postive. General fn has a good solid cash balance. The city is ina stong Finasial postin at this time, Motion to accept the audit made by HalliPavelk, al yes, holon cxtied, 2. Liquor Store Sunday Open Discussion - Motion to open the liquor store fom 11:00 em, t9 3:00pm, thr the summer months, made by HallRakzalyar, Yes: Pavelko, Monson, Bakalyar, Hall No: Rossow, motion carried 3. Declare Strect Signs as surplus forsale and set sale price ~ Motion to declare the street signs and brackets removed for replacement a excess property fr sale an direct them to be sold a $25 per sign and $25 por bracket made by Monson/Hal al es, motion carried. I isthe jatention of sta to bei the sales during the ‘SummerPest activites, 4. Ambulane Hire of Tracy Steffen as EMR.— Motion to approve the hire of Traey Stoffen forthe ambulance Sseevice made by Hall@akalyar, al os, tion eave. 5. Street Project Change Order Consideration if needed. Change onder not neade. ‘OLD BUSINESS DEPARTMENT REPORTS Clerk ‘Lake did no osive funding fer ou watervatewater project. The pole elation aed othe Bonding bill was also removed. The eps ety at capital yas ot ala os expected at we wl ein touch with the MPCA on options. The MPCA spoke with Sestors Weber and Dabs aaring hem Lakefild willbe asi bythe MPCA, The MPCA to the seats he amendment concering Lakefield was hed nd thoy wl work with sto fnd solution, iy willbe powered on May 22" on generat power. Some scheduled mintesnoe ta site binging power th community is being worked on, crag his ine no power wil becoming nt Lakefield. The eneratrs are expected to sevice the entre community. IC no sien vise with he generates, the comunity Soul note my power ouages daring ths ne Page t of 2Finance — REP for banking has been mailed to area banks. Councilmember Bakaly and Mayor Rossow will meet with one Utility Comission member and the Finance Manager to review the proposals and make a ‘eommendation, which is expected to be presented athe Fly 2, 2018 council meeting OTHER BUSINESS INFORMATIONAL ITEMS: 1. Other Board and Committe Reports 1. Southwest Broadband Report ~ Mayor Rossow is arep onthe SMBS board, He shied a report on {he activities ofthe lst board mooting. Discussion included updates on te Southwest Steam TV programy, Cutently the local uacess channels are not on SW Steam; equipment as boen received to fel thao chistinate naming and wil he dane as soon as possible ‘Jackson County Historieal Society ~ Counciimember Paveko shared information on the tas of potential building forthe society. He will ring information as itis availabe 2, Department Head Report 3. Police Department Report LL PeopleService Report ‘5. School Buildings Information — itavailable None svailale ANNOUNCEMENTS, 1. Next couneil meeting Monday, June 4,208, a 7:00 p.m. in City Hal. 2. City Departments wll be elased Monday, May 28, 2018, in honor of Memorial Day ‘Motion to adjourn at 8:50 p.m. mado by Pavelko/Bakalyar, al yes, motion carried. Attest ‘ally Rasehe, Clerk ‘Brian Rossow, Mayor Page? of2Accts Payable Vedor 1 Payrl stars ser 2 PERA SVOyA 4 Pytalocaton 5 Stunt 6 Seiethozount 7 Bank ofthe Wost {8 SWINE Serco Coop Accts Payable 9 Pay 10 PERA 41 VOvA 12 Py atocaton 13 SobetAcoount 14 aan of tho West 15 SWMRWC Sari Coop ‘Accts Payable 18 Banko the West 6/4/2018 Hai Hal a all ail Hall Hat ‘Adm Clore Stoet Poke ‘Adin Cre Yon Ht 6/4/2018 Liquor Liguoe wor ‘Onur Liqor Liquor Liquoe Luar Lguor ‘Ugur Luor ioe 6/4/2018 ame ‘Amount Check t $2527.42 21670-500 {79747 EFT ‘e298 EFT 4188758 EFT ‘32608 EFT 305599 EFT 72500. EFT (95720) ntoral ‘wos EFT 190 098, 0.95, 095, oar ert ‘405800 EFT Total 1.399.5 21500-564 ‘ois EFT 7814 EFT 20474 EFT ‘0882 EFT 243.04 EFT 9000 EFT 287.20 internal 157 EFT 099 EFT 4780 EFT 401.00 EFT Totat 506 FT ‘Total General Fund Tota 1704239 NatPR checks Federal nah Sto With Fick Medicare S$ Spss.09 PERA 5 725.00 Datored Comp $57.20) Caster Sereno une 3 "475 Monty oe Monit Monty be Monthly foe $6087 Banking feos 5 4058.00 Heath insurance $ 2549558, Liquor Fund 241591 NotPR Chocks Federal With Sse Wis Fica, Medicare 249.06 PERA 20.00 Datared Comp 57.20 Customer Service from Adan Clare TO77 HSA ‘095 Merihiy feo 47.60 Banking feos 40.00. Heat insurance ssriarCITY OF LAKEFIELD ssovtesern Payments seh ane geno 8 UserDotarkm $3960860 c Peers congusroatrdot —suasusan” 3B, SSH. le $000. Insaance ees __ tse anne acer Cash Payment E60949750253Mee Fuchnes UG 5005 Imo (081808 Chaka! EGOSAO7E0.259Mue Puoases U0 ss Tenenonote S008 Banketna vest 1900 Tosi foe jaan Frere SonsTauGTON (Cash Payment €TOTAO100 67 Capt Oty {STAVES -exTENED AG 1000 Tanecion Dae s90z018 Bankotie west 1000, foul 00 ‘Cae Payest £62 4040.20 Rep Aaonaos "SEWER wo “Caan PnmentE10-42200330 enon Banas FD 098 Cash Payment ETOLASIO0SG0 Veh Sapone STREET e190 Cen Poyment ETOrASI000VeNceEHowe STREET so cst Payment E101-«S100350 Vee Egense STREET tan Inn 14462 Cosham ETOTSI00S0 Ved ome STREET se Cash Porat 10-2002 Gane Suptes PARKS. rat CConPayment 10149100380 Vahie agerso STREET sos Cosh Payment 101-3009 Venice Expats «STREET so. Cah Pat 101-5200: Coe Suptes PARKS, su nok 10084 Com Payment E10r-48100390 ENS Beperso STREET 8700 Cah Payot A012 110990 Vic pane POLICE sie Inc 35740 CtuhPaymert 1012110900 Veiel Expense POLICE e708 Conk E1O1-2200990 eich Gps FD 10800CITY OF LAKEFIELD ou 238 Page Payments ‘ath Payment E 101410000 Vonoe Bene STREET stra Cah Payne ES01-5200210 enna Sipe PAR $1900 Invoke O15 Fobmymes F YO4-2En 218 donates STREET sz708 ‘eras Oale__sauznte Finkotine est 10100 tou GT ier tas noOrE CORPORATED ‘Ces Payment 1DL4T400200Ofes Suyass” ADMAGLERK san GaenPayment © 10145200210 Genera Sues PARKS. ste057 Gee Paymant 10145200210 Gerwal Suppor PARK sw ConPayment © 10141400200 Ones Sues —_—_ADMLGLERK 1008 Coo Paymunt €Y0145126210 Gerwal Speen FOOL soz? “Tanasctnn Dees unkotne we 10100 wari iar 2867 LaxzQe cOUPENT CORD ‘Gan Payment 124065-21 Repo & Marenance "SEWER 6100 ‘caenPaymen EVOTAzsn0OUNNIes | FIREINMS 08 \CoanPayment © 1014515050 Lee ca suo Caen Paya 1OT-48800<0 Us sane sea Coan Pema’ € 10741000960 Le pa 2030 Gauh Paya 50449840200 Uo urcre -stear in 02218 haha 60440850380 or usc: sn Cath Pay 6014040020 Ute waren sie Ime 02218 ‘TameadonOee 02016 Bank ofnWet 10100 cra ‘ee 0688 icon comPORATON 7 (ath Pay 10142280404 Egat earane” FD 85.00 melee BOISE TreneetonOato 07018 Bank ote est 10100 res eo iw nem Rossomomn (Cash Payot TOL-300201 Teepone vanvor 52500 Ine 1 TroneetonDto 07018 Banton et 10100 yesCITY OF LAKEFIELD cnomnazaeru Poa 3 Payments, rent Pei Sune 2918 ea ‘ash Payment 2146470470 Capa Gui "2018 6T PROD srarenso Temodiondate anno Bineothe West 10900 eal F708 ‘Cae Payment E@4047DS7OCaps|Outey ——”2b18ST PROS se8so00 Tanecton Ose yoan018 Bankotha west o100 roi s288000 ‘aeie"asi0 Cones Consmacnon (ash Pays TOT-4510024 Shoe seonee "STREET sen Inve 20223 —_ ‘raneaton ae ivz018 Borkotme ew 1000 rule ine 1517 GSS GEMERNTOR STEM SERIE (Cosh Payent E60240480-220 Rae &Manoance ” SEWER 2000 Inve 4085 _ TranscionDate__ ano Semette weet 1010 Toul m8 ier 1908 Tones WATER THEATER Cosh Payne 60240480216 Coie and Cum Pr SEWER Ino 9566 Berksttie West 1000 Toul soR468 * seer rostice 280 Ceah Payer 10141000380 Ue ry sess tak Payne 10-48200. 90 Ne uowany 2000 (ces Paymont 01-4810 es wr sone Inve 0252018 Cosh Payne tor-err0e0 UES Pouce san Ink osaz0i8 (Sane 9-076090 Ue uo 105.75 Ino 0282018 Cash Payment 101810028 See Lhd eet Man STLUGHTS LED e782 Chon Poymer 10-100228 Sat Ligh & let Man STLOHTS icone Cah Paymant 01400360 es sect pease (tah Payor Yor-124. 50 Ue Poot, siereo4CITY OF LAKEFIELD erie 20 Pama Payments eg (toh Payment 0149708380 Ute ‘sTsH0P 5 Ines oaiz018 Cath Payment 62448080 Unies SEWER 08RD AVEW seat Ine 0252018 nh mya 600.2280 Ue SEWER VALLEYBROOK 33138 Ime oaizo18 Chak Pay E602 40450.380 Ne sewer PLANT 2400s olen teaa018 adnate 6/20 okotne ie 10100 Tel 19783 Fete i514" av EARRGY RESOURCES COP Cash Pay HOTAO00 tos meer sua aah Paya 10143100380 es STREET GARAGE srs Cash Payment 60240480350 os sewer swesr ‘Taree Dae f2018 inkotheviox 10100 res Cash Payenh ETOLANOESSO Vokes” STREET S978 ‘olen #0385092 Cah Payment EAOLANO0-210 Caer Supeles STREET 31598 aah Pay 101-45200210 Gora Supls PARC 800 Ite 088512 Cah Payment EAO1-4000-210 Canal Supetes STREET 29 Caan PayranhFA01-4300-210 Gent Supptes STREET 00 Can Paya EAOL-00-210GonrtSuptso STREET 509 Ine 1055005 Cun Payment YO15124210 Gana Supt POOL woe Cah Pay YO1A5124210 Gon Suppie FOOL oa Ine 1236008, Chuh@ayment BEER 210 Gon Sipe SEWER 0 imac foes Chaka 66249451220 Rape A Maarnce SEWER soar Inve 10042 huh PayehEY01-49101210 Goer Supyee STREET so Cah Payer E6524045220 Ropar A Manenace SEWER sa tah Payment 10145126210 Gen Sipplse POOL s129 Cech Payment EAO1-4910210 Gana Suppee STREET neCITY OF LAKEFIELD cwmisasarn Payments EEE ‘cosh Payront TOT ASI24210GonaaiSupplae POOL 0 Cam Paymert ETO1A5124210 Gane Super FOOL eo Inve (0088552 Cash Paya E10-41002100ara Spies STREET sos sth Payment 10145200210 ConrtSippse PAKS a2 (ca Payne E1OTASS0-41 Blog Jal somos ‘ach Paynant € 1O%-4SH00S0 Vee Derse STREET 8 Ince 1260120 Cosh Payment 1O1-45124220 Rapa &Maenance POOL so Ina fa36288 Clan PapmeetE6024048020 Genera Spies SEINE er Inve 1050097 Cah Payer 10145124210 Gone Seplns FOOL srr Ini 1085070 CaenPayran E1014910020 Coma Sues STREET $1508 ash Paymort 10145124210 Genrtsupetig POOL sso Cah Pema 10145108210 Caneal Spies STREET cn Cosh Paman E10-45124210cenmalSupsien POOL su CuhPemeh ETOI-S124210 Gonna Sipe POOL sae Ia 2360010 CeahPeymartE10F5150419 ing Jnl MP sor Ime 10380523 — ‘ransion Dato a0 Banketia est 10100 Toul ‘ue 16 Wana SFOODCONTER ash Payee ETOT45:24210 Gone Suples "FOOL ‘907 Inn 257 Coun Payment E10-512420 Gar Supios POOL . sor Co Payront 10145124210 Gone Sule FOOL wor Can Paymart E1OFSI80.210 Coen Sues FOOL sr08 mn Perram €(01-408020 Gna Supieg HAL, sis emma7s0250 Mee Puchaee UO ses tort 210 cso Supsee HALL 5186 Cann Payment © 101-45160210 emul Spent sisovoinazssea CITY OF LAKEFIELD ae Payments ‘cea Pome ETOF4S0210GermaSepioeLORARY ioe fo Grarromen E10L410N.210oermsueles HAL tes ise oat Scottemon EsoLanansiarwemttueien POL va ie re CrekPayet E1OLATONA10GermSuton HA wi CraPoyret EIOL4TO@Z10GermSuon HAL oi ChekPay EFOL4S-10Cermal gen PA ssn Cappo E1014514210 Carmen — POOL es GhohPoyent ETOEONZ10Germ igen POOL wm enPayet ECO04UTEOZEOMcPactnes U0 sae Tmescen 2018 eet 10100 rely Fond Summary ‘ot oben, FOND Sesortaa set ores Peay RONY Sso10%0 torwnren roo. fea — exelade ml Cnaga Cre erseMER FIND seporoe , feecieerne 00 (imi — egebdt YM Oranges traded ea WwNren Laver ___staaee sane 3ES94M Pees cnee 3000 Choate Goetedbyhecoroier —_ $2864680 Teta $35 546.60CITY OF LAKEFIELD comme zr Payments curent Pei: eay 2018, 2 ESSE Saher RAGENERINE Parent Comper rt SR. far__ymerr_nacorwiparenca __—_cabesszas snaaose Cah Pay TO1A50210 Gon Silas MP 15810 Ine 4789 Cashmere €10/-4000210.Comra Sues HALL, soos ‘ranesion ea _szo18 Duco _saneotheWest 10100 Tosi a foe teams FETT ons ‘nssrae aus ‘ash Part 68020 Paty Ca {ua 2N0 ORAWER st000 Ino 9018 TeseosionDa 0018 ued _Hankothe ox 10100 toi 8.09 eter 152572 MVNESOTALRE Gun ossrer Savane . Caer Payrat E(O-sonMEnpioPaBiife FR sso ah Payot ENOL-AOEA EmpyerPais Le ADMCLK em Cash Payrant E10F-42410-8¢EmporerPad Li POLE s1090 Cosh Payment E1OF-49100494Enploe Pate STREET 20 Caen Payne ESODAOTEOEAERpINE Pee UD 80 Ire 651001 , iamecionbaie anno ed Banketne et _ 10100 to Fund Summary 1010 Sark the Wat 9 MUNICPAL LIQUOR FUND $1860 {01 GENERAL FUND soa ‘hues beGanantaay he Conger 3000 Tell 7348Investment and Transfer Activity Date Broker Bank Dollars Term Interest Rate comment enzo1e {Gevaral checking to Plant checking 3877 MN Energy Utty credit used on Cy blsDDA acon Ofes @ cen i 7 David Drown Associates, Inc. 52) a.sa | 8) 833 Public Finance Advisors ‘shannonegdaviddrown com ‘May 30,2018 ly of Lakes ‘At: Kely Rasch, Cy Cle P.O. Bex 000 Lakotet, 58160 RE: 2018 Improvement Project Financing Honorable Mayor, Counc Members, and Ms, Rasche: ‘We wil be recsving bid forthe sale of the 2018 General Obigstion Bonds tha wil fund ha 2018 Stoat and Uthly Recorsrucion Prefect an Monday, Juna 4, 2018. Enclosed for consideration fsa rat resolution prepared by bond suns, The exoluton ul be completed ance armani reclved fom the fo bidder on Mons. |b atthe meeting on Monday to present the bts and provide a recommendation regercing the award ‘Thank yee your Una sd considratonCERTIFICATION OF MINUTES RELATING TO $2,255,000 GENERAL OBLIGATION BONDS, SERIES 2018A Issuer: City of Lakefield, Minnesota Governing Body: City Couneit Kind, dat, time and place of meeting: A regular meeting held on June 4, 2018, at 7:00-pam., at tho City Hall Members present: ‘Members absent: Documents Attached: ‘Minutes of suid meeting (including): RESOLUTIONNO. 18-19 RESOLUTION AUTHORIZING ISSUANCE, AWARDING _ SALE, PRESCRIBING THE FORM AND DETAILS AND PROVIDING FOR THE PAYMENT OF $2,255,000 GENERAL OBLIGATION BONDS, SERIES 2018A 1, the undersigned, being the duly qualified and acting recording officer of the public corporation issuing the bonds refered to in the ttle ofthis certificate, cetty that the documents ached hereto, as described above, have been carefully compared with the original recozds of said corporation in my legal custody, from which they have been transcribed; that said documents are a correct and complete transcript of the minutes of a meeting of the governing, body of said corporation, and comect and complete copies of all resolutions end other actions faken and of all documents approved by the governing body at said meeting, so far as they relate ‘o said bonds; and that said meeting was duly held by the governing body atthe time and place and was attended throughout by the members indicated above, pursuant to all and notice of such meeting given as required by law. WITNESS my hand officially as sueh recording officer this 4 day of June, 2018, Gily CheskeIt was reported that (proposals forthe purchase of $2,255,000 General ‘Obligation Bonds, Series 2018A were received prior to 11:00 A.M., Central Time, Monday, June 4, 2018, parsuant to the Preliminary Official Statement distributed to potential parchasess ofthe ‘Bonds by David Drown Associates, Inc., municipal advisor to the City, ‘The proposals have been publicly opened, read and tabulated and were found to be as flows ‘See Attached eastonCouneitmesnber introduced the following resolution and moved its adoption, which motion was seconded by Councilmember, RESOLUTION AUTHORIZING ISSUANCE, AWARDING _SALP, PRESCRIBING THE FORM AND DETAILS AND PROVIDING FOR THE PAYMENT OF $2,255,000 GENERAL OBLIGATION BONDS, SERIES 2018, BEIT RESOLVED by the City Council, City of Lakefield, Minnesota (the “City"), as, follows: SECTION 1, AUTHORIZATION AND SALE. 101. Authorization. This City Council, by resolution duly adopted on Apel 7, 2018, authorized the issuance and sale of its $2,255,000 General Obligation Bonds, Series 20184 (the “Bonds”, pursuant to Minnesota Statutes, Sections 444.075 and Chapters 429 and 475. ‘The portion of the Bonds ($[1,385,000)) that is being issued pursuant to Minnesota Statutes, Chapters 429 and 475 (the “Improvement Bonds”) will be used to finance certain street improvement projets in the City (the “Improvement Projects") ‘The postion of the Bonds ($[870,000) that is being issued pursuant to Minnesota Statutes, Chapter 475 and Section 444,075 (the “Uility Bonds”) will be used to finance improvements (the “Utility Projects,” together with the Improvement Projects, the “Projects” to ‘the water and sewer utilities (he “System”). Maturity schedules for ech portion ofthe Bonds ate attached hereto as EXHIBIT A. 1.02. Sale. Pursuant to the Terms of Offering and the Official Statement prepared on behalf of the City by David Drown Associates, Inc., sealed proposals for the purchase of the Bonus were received ator before the time specified for receipt of proposals. The proposals have ‘been opened, publicly read and considered and the purchase price, interest rates and net interest cost under the terms of each proposal have been determined. ‘The most favorable proposal received is that of| lin | (he “Purchaser”, 10 purchase the Bonds ata price ofS ‘lus accrued inferest on all Bonds to the day of delivery andl payment, on the futher terms and conditions hereinafter set forth. 1.03. Award. The sale of the Bonds is hereby awarded to the Purchaser, and the Mayor and City Clerk are hereby authorized and directed on behalf of the City to exeeute a contract for the sale of the Bonds withthe Purchaser in accordance with the ‘Terms of Proposal. The good {th deposit of the Purchaser shall be retained and deposited by the City until the Bonds have been delivered, and shall be deducted from the purchase price paid at settement SECTION 2. BOND TERMS: REGISTRATION: EXECUTION AND DELIVERY, 2.01. Issuance of Bonds. All acts, conditions and things which are requiced by the Constitution and laws of the State of Minnesota to be done, to exist, to happen and to be performed precedent to and in the valid issuance of the Bonds having been done, now existing,having happened and having been performed, it is now necessary for the Council to establish the frm and tems ofthe Bonds, to provide security therefor and to issue the Bonds forthwith, 2.02. Maturities; Interest Rates: Denominations and Payment. The Bonds shall be originally dated as ofthe date of issuance thereof, shall be inthe denomination of $5,000 each, ot ‘any integral mmaltiple thereof, of single maturities, shall mature on February 1 in the years and amounts stated below, and shall bear interest from date of issue unl paid or duly called for redemption, atthe aanval rates set forth opposite such years and amounts, ws follows: Yone Amount Rate Year Amount Rate 22 % ome S$ % 2028 2029 2022 2030 2003 2031 2024 2032 2025 2033 2026 2034 2027 [REVISE MATURITY SCHEDULE FOR ANY TERM BONDS] ‘The Bonds shall be issuable only in filly registered form. ‘The interest thereon and, upon surrender of each Blond) the principal amount thereof shall be payable by check or draft issued by the Registrar desorbed herein, provided that so long asthe Bonds are registered in the name of & securities depository, or a nomince thereof, in accordance with Section 2.08 hereof, principal and interest shall be payable in accordance with the operational arrangements of the securities depository. 2.03, Dates and Interest Payment Dates. Upon initial delivery of the Bonds pursuant to ‘Section 2.07 and upon any subsequent transfer or exchange pursuant to Section 2.06, the date of authentication shall be noted on each Bond so delivered, exchanged o transfered. Interest on the Bonds shall be payable on February 1 and August {in each year, commencing February 1, 2019, each such date being referred to herein as an Tnterest Payment Date, to the persons it ‘whose names the Bonds are registered on the Bond Register, as hereinafter defined, at the Registrars eloge of business on the fileenth day of the calendar month immediately preceding the Interest Payment Date, whether or not such day isa business day. Interest shall be computed ‘on the basis of 2 360day year composted of twelve 30-day months. 2.04, Redemption Bonds maturing in 2027 and later yours shall be subject to redemption and prepayment at the option of the City, in whole or in part, in such onder of ‘maturity dates us the City may select and, within a maturity, by lot as selected by the Registrar (cr, if applicable, by the bond depository in accordance with its customary procedures) in integral multiples of 85,000, on Februney 1, 2026, and on any date thereafter, a a price equal to {he pineal amount thereof and acrued interest to the date of redemption. The Cty Clerk shal tense nlc of te cal for redemption thereof to be published if and as required by law, and atJeast thirty (30) end not more than sixty (60) days prior to the designated redemption date, shall ‘cause notice of call for redemption to be mailed, by first class mail, to the Registrar and registered holders of any Bonds to be redeemed at their addresses as they appear on the Bond Register described in Section 2.06 hereof, provided that notice shall be given to any securities ‘depository in accordance with its operational arrangements, No defect in or file to give such notice of redemption shall affect the validity of procoodings for the redemption of any Bond not affected by such defector failure. Official notice of retemption having been given as aforesaid, tke Bonds or portions of Bonds so to be redeemed shall, on the redemption date, become due anc payable at the redemption price therein specified and from and after such date (unless the Cty shall default in the payment of the redemption price) such Bends or postions of Borns sll cease fo bear interest. Upon partial redemption of any Bond, a new Bond or Bonds will be delivered to the owner without charge, representing the remaining prinipal amount outstanding [COMPLETE THE FOLLOWING PROVISIONS IF THERE ARE TERM BONDS- ADD ADDITIONAL PROVISIONS IF THERE ARE MORE THAN TWO TERM BONDS} {Bonds maturing on February 1,20 and 20___ (the “Term Bonds”) shall be subject to mandatory redemption prior to maturity pursuant ( the sinking find requirements of this ‘Seotion 2.04 at a redemption price equal to the stated principal amount thereof plus interest averued thereon to the redemption date, without premium. The Registrar shall seloct for ‘redemption, by lot or other manner deemed fair, on February 1 in each ofthe following yeas the following stated principal amounts of such Bonds: Year Principal Amount ‘The remaining § stated principal amount of such Bonds shall be paid at maturity on Febroary 7,20. Year Principal Amount ‘The remaining stad prinefpal amount of such Bonds shall be pal at ‘maturity on February 1, 20, ‘Notice of redemption shall be given as provided in the preceding paragraph.) 2.05. Appointment of Registrar. The City hereby appoints Northland ‘Trust Services, Inc, in Minneapolis, Minnesots, as the initial Bond registrar, transfer agent and paying agent (oe Registrar"). The Mayor and City Clerk are authorized to execute ad deliver, on behalf of ‘the City, a contract with the Registra, Upon merger or consolidation of the Register with 3another corporation, ifthe resulting corporation isa bank or trust company organized under the laws of the United States or one of th states of the United States and authorized by law to conduct such business, such corporation shall be authorized to act as successor Registras. The City agrees 10 pay the reasonable and customary charges of the Registrar for the services performed. ‘The City reserves the right to remove the Registur, effective upon not Less than thirty days" writen notice and upon the appointment und acceptance of a suecessor Registrar, in ‘hich event the predecessor Registrar shall deliver all cash and Bonds in its possession to the successor Registrar and shall deliver the Bond Register tothe suecessor Registrar. 2.06, Registration. The effect of regitration and the sighte and duties of the City and the Registrar with respect thereto shall be as follows: (@) Register. The Registrar shall Keep at its principal comporate trust office a register (the “Bond Register”) in which the Registrar shall provide for the registration of ‘ownership of Bonds and the registration of transfers and exchanges of Bonds entitled to be registered, ransfersed ot exchanged. The term Holder or Bondholder as used herein shall mean the person (whether a natural person, corporation, association, partnership, trust, governmental unit, or other legal entity) in whose name a Bond is registered in the Bond Register. (b) Trausferof Bonds. Upon surrender for transfer of any Bond duly endorsed by the Holder thereof or accompanied by a written instrument of transfer, in form satisfactory to the Registrar, duly executed by the Holder thereof of by an attorney duly authorized by the Holder ia writing, the Registur shall authenticate and deliver, in the hname of the designated transferee or transferees, one or more new Bonds of a Tike Aggregate principal amount and maturity, as requested by the tmnsferor. ‘The Registrar ‘may, however, close the books for registration of any transfer after the fifteenth day of the month preceding each interest payment date and until suc interest paytnent date. (©. Exchange of Bonds. At the option of the Holler of any Bond in a denomination greater than $5,000, such Bond may be exchanged for other Bonds of ‘authorized denominations, of the same maturity and a like aggregate principal amount, ‘upon surrender of the Bond to be exchanged atthe office ofthe Registrar. Whenever any Bond is s0 surrendered for exchange the City shall execute and the Registrar shall authenticate and deliver the Bonds which the Bondholder making the exchange is entitled toreecive (© Cancellation. All Bonds surrendered for payment, transfer or exchange shall be promptly canceled by the Registrar snd theseaftor disposed of as directed by the City (©, Improper or Unauthorized Transfer. When any Bond is presented to the Registra for transfer, the Registrar may refuse to transfer the same until itis satisfied that ‘the endorsement on such Bond or separate instrument of transfer is valid and genuine and that the requested transfer is legally authorized, ‘The Registrar shall incur no lability for the refusal, in good faith, to make transfers which it, in its judgment, deems improper or unauthorized( Rersons Deemed Owners. The City and the Registrar may treat the person in ‘whose name any Bond is at any time registered in the Bond Register as the absolute ‘owner of the Bond, whether the Bond shall be overdue or not, for the purpose of ‘eeciving payment of or on account of, the principal of and interest on the Bond and for all other purposes; and all payments made to or upon the order of such Holder shall be ‘valid and effectual to satisfy and discharge the liability upon such Bond to the extent of the sum or sums so paid (@) Taxes, Foes and Charges. For every transfer or exchange of Bonds (except foran exchange upon a patil zodomption of e Bond), the Registrar may impose a charge ‘upon the owner thereof sufficient to reimburse the Registrar for any tax, feo oF other ‘governmental charge required to he paid with respect to such taster or exchange. (i) Mutilated, Lost, Stolen or Destroyed Bonds. In case any Bond shall hecome ruilated or be destroyed, stolen ot fst, the Registrar shall deliver a new Bond of ike ‘emount, nunbee, maturity date and tenor in exchange and substitution for and upon ‘eaneelltion of any such mutilated Bond or in liew of and in substitution for any Bond 4estroyed, stolen ot lost, upon the payment ofthe reasonable expenses and charges of the Registtar in connection therewith; and, in the case of a Bond destroyed, stolen or lost ‘upon filing with the Registrar of evidence satisfactory to it thatthe Bond was destroyed, stolen of lost and of the ownership thereof, and upon fumishing to the Registrar of an appropriate bond ot indemmity in form, substance and amount satisfactory to it, in which ‘oth the City and the Registrar shall be named as obligees. All Bonds so surendered to the Registrar shall be canceled by it and evidence of such esneellaton shall be given to the City. Ifthe mutilated, destroyed, stolen or lost Bond has already matured or been called for redemption n accordance with its terms it shall not be necessary to issue a new ‘Bond prior to payment. (Authenticating Agent The Registrar is hereby designated authenticating ‘agent for the Bonds, within the meaiing of Minnesota Statutes, Section 475.55, Subdivision 1, as amended, () Valid Obligations. All Bonds issued upon any transfer or exchange of Bonds shall be the valid obligations of the City, evidencing the same debt, and entitled to the same benefits under this Resolution as the Bonds surrendered upon such transfer or ‘exchange. 2.07. Execution, Authentication and Delivery, The Bonds shall be prepared under the irection of the City Clerk and shall be executed on behalf of the City by the signatures ofthe Mayor and the City Clerk, provided thatthe signatures may be printed, engraved or lthographed facsimiles of the originals. In case any offcer whose signature or a facsimile of whose signature shall appear on any Bond shall cease to be such officer before the delivery of such Bond, such signature or facsimile shall nevertheless be valid and sufficient for all purposes, the same as if such officer had remained in office until the date of delivery of such Bond. Notwithstanding such execution, no Bond shall be valid or obligatory for any purpose or entitle to any security ot benefit under this Resolution unless and until 2 certificate of authentication on the Bond, ‘substantially in the form provided in Section 2.09, has been executed by the manual signature of 5tan authorized representative of the Registrar. Certificates of authentication on diferent Bonds ‘need not be signed by the same representative. The executed certificate of aulhentication on any Bond shall be conclusive evidence that it has been duly authenticated and delivered under this Resolution, When the Bonds have been prepaved, executed and authenticated, the City Cleric shall deliver them to the Purchaser upon payment of the purchase price in accordance with the contact of sale theretafore executed, and the Purchaser shall not be obligated to see to the application of the purchase price. 2.08. Scowities Depositary. (@) For purposes ofthis section the following terms shall Ihave the Following meanings: “Peneficial Ownee” shall mean, whenever used with respect to s Bond, the person in ‘whose name sch Bond is reeorded as the beneficial ovmer of such Bond by a Paticipant om the records of such Paeticipant, or such person’s subrogee “Cede & Co,” shall mean Cede & Co., the nominee of DTC, and any suesessor nominee ‘of DTC with respect tothe Bonds. “DIC shall mean Tae Depository Trust Company of New York, New York. “Participant” shall mean any broker-dealer, bank or other financial institution for which DIC holds bonds as securities depository. “Representation Letter” shall mean the Representation Letter pursuant to which the City ‘agrees to comply with DTC's Operational Arrangements. (b) The Bonds shall be initially issued as separately authenticate fully registered bonds, and one Bond shal be issued in the principal amount of each stated maturity of the Bonds. Upon initial issuance, the ownership of such Bonds shall be registered in the Bond Register in the name of Cede & Co,, as nominee of DTC. The Registrar and the City may treat DTC (or its ‘notinee) as the soe and exelusive owner of the Bonds registeed in its name forthe purposes of peyient of the principal of or interest onthe Bonds, selecting the Bonds or portions thereof to be redeemed, if any, giving any notice permitted or required to be given to registered owners of Bonds under this resolution, registering the transfer of Bonds, and for all other purposes whatsoever; and nether the Registrar nor the City shall be affected by any notice to the contrary. [Neither the Registrar nor the City shall have any responsibilty or obligation to any Participant, any person claiming a beneficial ownership interest in the Bonds under or through DYC or any Participant, or any other person which is not shown on the Bond Register as being a registered ‘owner of any Bonds, with respect to the acturacy of any records maintained by DTC or any Participant, with respect tothe payment by DTC or any Participant of any amount with respect to the principal of or interest on the Bonds, with respect to any notice which is permitted ot required to be given to owners of Bonds under this resolution, with respect to the selection by DIC or any Participant of any person to receive payment in the event of a partial redemption of ‘he Bonds, or with respect to any consent given or other action taken by DTC as registered owner of the Bonds. So long as aay Bond is registered in the name of Cede & Co, as nominee of DTC, the Registrar shall pay all prinefpal of and interest on such Bond, and shall give all notices with respect to such Bond, only to Cede & Co. in accordance with DTC's Operational Areangemens,‘and all such payments shall be valid and effective to fully saisty and discharge the City's Cblations with respect to the principal of and interest on the Bonds to the extent of the sum oF ‘sums so paid, No person other than DTC shal receive an authenticated Bond for each separate stated maturity evidencing the obligation of the Cty to make payments of principal and interest. ‘Upon delivery by DTC to the Registrar of written notice to the effet that DTC has determined 10 substitute a new nominee in place of Cede & Co, the Bonds will be transferable to such new ‘nominee in accordance with paragraph (e) hereof. (c) Inthe event the City determines that it is in the best interest of the Beneficial Owners: tat thoy be abl to obtain Bons in tho fom of physic cetates, the City may notify DTC and the Registrar, whereupon DTC shall notify the Participants ofthe esilbity through DTC Of Bond in the form of etfeates. In such event, the Bonds wil bo transferable i aocordance ‘with nrgranh (chore. DTC may determine o discontine providing its services with remest to the Bonds at any time hy giving notice to the City an the Registrar and discharging ts responsibilities with respect thereto under applicable law. in suck event the Bonds wil be trasferabi in accordance with paragraph (here (4) ‘The execution and delivery of the Representation Letter to DTC, if not previously filed with DTC, by the Mayor ar City Clerk is hereby authorized and directed. (©) In the event that any transfer or exchange of Bonds is permited under paragraph (b) or (¢) hereof, such transfer or exchange shall be accomplished upon receipt by the Registrar of the Bonds to be transfered or exchanged and appropriate instruments of transfer tothe permitted transferee in accordance with th provisions ofthis resolution. In the event Bonds in the form of certificates are issued to owners other than Cede & Co,, its successor as nominee for DTC as ‘owner of all dhe Bonds, or another securities depository as owner of all the Bonds, the provisions of this resolution shall also apply to all matters relating thereto, including, without lation, the printing of such Bonds in the form of physical certificates and the method of payment of principal of and interest on such Bonds in the form of physical certificates. 2.09. Form of Bonds. The Bonds shall be prepared in substantially the following form. found at EXHIBIT B hereto. SECTION 3. USE OF PROCEEDS: CONSTRUCTION FUND. There is hereby established on the official books and records of the City » General Obligation Bonds, Series 2018A Consiruction Fund (the “Construction Fund”). Within the Construction Fund are ‘established the following accounts: Improvement Projects Account The lmprovement Projets Account ball he retied ‘with @) all special assessments elected with respect tothe Improvement Projets unl al casts ofthe Improvement Projects have ben flly paid and with Gi 3 from the proceeds of the Improvement Bonds. ‘To to extent required by Minnesota States, Sections 429.091, subdivision 4, the City shell maintain « separate aocount within the Improvement Projets ‘Account to recor expenditures foreach improvement. Every item of expense made forthe Improvement Projects shell be deducted ftom Improvement Projects Account to the extent paid fiom proceds of the Improvement Bonds.(b) Utility Projects Account, The Utility Projects Account shall be credited with sl from the proceeds ofthe Utility Bonds. ‘The City Clerk shall maintain the Improvement Projects Account and the Utility Projects ‘Account until payment of all costs and expenses ineured in conection with the construction of ‘the Project have been paid, provided that under no circumstances shall smoun's remain in the respective accounts in the Construction Fund after June 1, 2023, unfess the City hs received from bond counsel an opinion that maintenance after such date is permitted by applicable lars tnd does not impair the exemption of interest on the Bonds from federal income taxes. {All funds on hand in the Construction Fund when temninated shall be creited to the ‘Bond Fund deseribed in Section 4 hereof, unless and except as such proveeds may be transferred to some other fund or account as to which the City has received from bond counsel an opinion thet such other transfer is permitted by applicable laws and does not impair the exemption of interest on the Bonds from federal income taxes. SECTION 4, GENERAL OBLIGATION BONDS, SERIES 2018A BOND FUND. So long as ‘any of the Bonds are outstanding and any principal or interest thereon unpaid, the City Clerk shall maintain on the official books and records of the City a separate fund designated as the General Obligation Bonds, Series 2018A Bond Fund (the “Bond Fund"). Within the Bond Fund are established the following accounts: (@) Improvement Projects Account, There shall be credited to the Improvement Projects Account the following: (@ Improvement Bond proceeds in the amount of Sf i (Gi the amounts specified in Section 3 above, after peyment of all costs of the Improvement Projects; i) special assessments levied and collected in accordance with Section S hereof, Gu) any taxes collected pursuant to Section 7 hereof; and (W) any other funds appropriated by the Council for the payment of the Improvement Bonds, () Utility Projects Account. There shall be credited to the lilly Projects Account ‘the following: @ Utility Bond proceeds inthe amount of $| i: i) the amounts specified in Section 3 above, after payment of all costs of the Uttgy Projects; Gi) net revenues of the System which is owned and operuted by the City, sucht revenues to be distributed ratably with respect to the portion of the Bondspayable thereffom and any other obligations of the City payable fiom the Gv) any taxes collected pursuant to Section 7 hereof and (0) aay other funds appropriated by the Council for the payment of the Utility Bonds If the balance on hand in the Bond Fund is st any time insufficient to pay principal and interest then due on the Bonds. such amounts shall be paid from other money on hand in other funds of the City, which other funds shall be reimbursed therefor when sufficient money becomes available in the Bond Fund, The City Couneil also covenants and agrees that it will cach year levy a sufficient amount of ad valorem taxes to pay any accumulated or anticipated deficiency, which levy isnot subject to any constitutional or statutory limitation, ‘There are hereby established two additional accounts in the Bond Fund, designated as the “Debt Service Account” and the “Surplus Account.” There shall initially be deposited into the Debt Service Account upon the issuance of the Bonds the amoust set forth in (b) above, ‘Thereafter, during each Bond Year (ie. each twelve month period commencing on Febroaty 2 and ending on the following February 1), as monies are received into the Bond Fund, the City Clerk shall frst deposit such monies into the Debt Service Account until an amount has been appropriated thereto sufficient to pay all principal and interest due on the Bonds througls the end of the Bond Year. All subsequent monies received in the Bond Fund during the Bond Year shall, be appropriated fo the Surplus Account. If at any time the amount on hand in the Debt Service ‘Account is insufficient forthe payment of principal and interest then due, the City Clerk shall transfer to the Debt Service Account amounts on hand in the Surplus Account to the extent necessary fo cure such deficiency. Investment earnings (and losses) on amounts from time to time held in the Debt Service Account and Surplus Account shall be credited or charged to said accents, SECTION 5. SPECIAL ASSESSMENTS. ‘The City hereby covenants nel agrees that, forthe ‘payment of the costs ofthe Improvement Projects, the City has done or will do and perform all, ‘cis and things necessary forthe final and valid levy of special assessments in a principal amount ‘not less than 20% of the cost of the Improvement Projects. ‘The City has levied or expects to levy special assessments in the principal amount of $291,790. The cost of the Improvement Projects, inclusive of financing costs, is estimated to be approximately $1,385,000. It is estimated that the principal and interest on such special assessments will be levied beginning in 2018 and collected in the years 2019-2033 in the amounts shown on Appendix I attached hereto, ‘The principal of the asveeaments akall be made paynble in annval installments, with interest as cstablshed by the City Council in aecordance with la on unpaid installments thereof from time to time remaining unpaid. In the event any special assessment shall at any time be held invalid ‘with respect to any lot or tract of land, due to any error, defector iregulacty in any action or proceeding taken ot tobe taken by the City or by this Cty Councilor by any of the officers or emplayees of the City, either in the making of such special assessment or in the performance of any condition precedent thereto, the City hereby covenants and agrees that it will forthwith do all such further things and take al such further proceodings as shall bo required by law to make such special assessment a valid and binding lien upon said property. 9SECTION 6, PLEDGE.OF NET REVENUES. [tis hereby found, determined and declared that fhe City owns and operates the System as a revenue producing uty and convenience and that the net operating revenues of the System, after deducting from the gross receipts derived fiom charges forthe service use, and availability of the System, the normal, current and reasonable ‘expenses of operation and risintenance thereof, will be sufficient, together with any other funds actually appropriated by the City, for the payment when due of the principal ofan interest on the Utility Bonds herein authorized, and on any other bonds fo which such revenues are pledged. Pursuant to Minnesota Statutes, Sestion 444.075, the City hereby covenants and agrees with the repistered owners fiom tine to dime of the Donds, that until the Utility Bonds and the interect thereon ae discharged as provided in Section 8 or paid in full, the City will impose and collect reasonable charges in accordance with said Section 444.075 for the service, use and availabilty ‘of the System according to schedules sufficient to produce net revenues sufficient t0 pay the Uiilty Bonds and any other bonds to which said net revenues have been pledged, and the net revenves, to the extent necessary, are hereby izevocably pledged and appropriated to the payment of the Utility Bonds herein authorized and interest thereon when due. Nothing hecein shall preclude the City ftom hereafter making further pledges and appropriations of the net revenves of the System for payment of additional obligations of the City hereafter authorized if the Council determines before the authorization of such additional obligations thatthe estimated rot revenues of the System will be sufficient, together with any other sources pledged to the payment of the outstanding and additional obligations, for payment of the outstanding Usility Bonds and such additional obligations. Such farther pledges and appropriations of net revenues ‘may be made superior or subordinate to or on a parity with, the pledge and appropriation herein made. SECTION 7, PLEDGE OF TAXING POWERS. For the prompt and full payment of the principal of and interest on the Bonds as such payments respectively become due, the full faith, ‘credit and unlimited taxing powers of the City shall be and are hereby irrevocably pledged. In ‘order to produce apgregate amounts which, together with the collections of special assessments ‘and net revenues of the System as set forth in Soctions 5 and 6, will produce amounts not less than 5% in excess of the amounts needed to meet when due the principal and interest payments ‘on the Bonds, ad valorem taxes ste hereby levied on al tsxable property in the City. The taxes ‘wll be levied and collected in years and amounts shown on the attached levy computation. Said taxes shall be ierepealable as long as any of the Bonds are oustanding and unpaid, provided that the City reserves the tight and power to reduce sui levies in accordance with the provisions of nnesota Statutes, Section 475.61 SECTION 8, DEFEASANCE, When all ofthe Bonds have been discharged as provided in this Section, all pledges, covenants und iter rights yrauted by dais Resolution to the Holders of the ‘Bonds shall cease. The City may discharge its obligations with respect to any Bonds which are ‘due on any date by depositing with the Registrar on or before that date a sum sufficient forthe payment thereo? in full; of, if any Bond should not be paid when due, it may nevertheless be discharged by depositing with the Registrar a sum suificient for the payment thereof in full with interest accrued ftom the due date to the date of such deposit. The City may also discharge its obligations with respect to any prepayable Bonds ealled for redemption on any date when they are prepayable according to their terms by depositing withthe Registrar on or before that date an ‘amount equal to the principal, redemption premium, if any, and interest then due, provided that 10‘ns been duly given as provided herein. The City may alo at any time discharge is obligations with respec to any Bonds, subject othe provisions of law now or Ireafer authorizing and regulating such action, by depositing imevocably in eserow, wi the Registrar or with a bank of tust company qualified by inv to act as an escrow agent for this purpose, cash or securities which are authorized by law to be s0 depasited for such purpose, ‘eering interest payable at such times and at such rtes and maturing or callable atthe older's option on such dats as shal be required to pay al principal and interest o become dus thereon ‘omatuity of, if notice of redemption as hein required has been ievocably provided for, t an cearier designated redemption date. If such deposit is made more than ninety days before the tuatrity date or specified roewption date of te Boul to be uischuarged, the City must have reccived a written opinion of Bond Counsel t the effect dat such deposit does not adversely affect the exemption of iterest on any Bonds from federal income taxation and a writen report ofan eccountantor investment banking frm verifying that the deposits sufficient to pay when dio all of the principal and interest on the Bands tobe discharged on and before their matty dates or earir designated redemption dat. SECTION 9. TAX COVENA? BI z ING DISCLOSURE, 9.01. General Tax Covenant. The City agrees with the registered owners from time to time of the Bonds that it will not take, or permit to be taken by any ofits officers, employees or gens, any action that would cause interest on the Bonds to bevome includable in gross income of the reipicnt under the Intemal Revenue Code of 1986, as amended (the "Code") and applicable Treasury Regulations (the “Regulatons”), and agrees to take any and all actions ‘within its powers to ensure that the interest on the Bonds will not Become includable in gross income of the recipient under the Code and the Regulations. All proceeds of the Bonds «deposited in the Construction Fund willbe expended solely fr the payment of the costs of the Projects. The Projects are and will be owned and maintained by the City and available for use by ‘members of the general public on a substetilly equal basis. The City shall not enter into any Jease, management contract, use agreement, capacity agreement or other agreement with any non-governmental person relating tothe use ofthe Projects, or any portion thereof, or security for the payment of the Bonds which might cause the Bonds to be considered “private activity bonds” o “private loan bonds” pursuant fo Seetion 141 ofthe Coe 9.02. Arbitrage Certification, The Mayor and City Clerk being the officers of the City charged with the responsibility for issuing the Bonds pursuant to this Resolution, are authorized and directed to execute and deliver to the Purchaser a certificate in accordance with Section 148, of the Code, and applicable Regulations, stating the facts, estimates: and circumstances in existence on the date of issue and delivery of dhe Bonds which make iteasonable to expect that the proceeds of the Bonds will not be used in a manner that would cause the Bonds to be “axbitrage bonds” within the meaning ofthe Code and Regulations 9.03, Artitmge Rebate (a I it hereby found thot he City has general taxing power, that no Bond isa “private activity bond" within the meaning of Section 141 of the Code, that 95% or mare of he net proceeds ofthe Bonds ar to be ue for local govemmental activities of ‘he City, and thatthe agarepte face amount of all fx-exemp obligations (other thu private sctvity bonds) issued bythe City and all subordinate ents thereof during the year 2018 is not nreasonably expected to excoed $5,000,000, Therefore, pursuant to Section 148(9(4)(D) of the Code, the City shall not be required to comply with the arbitrage rebate requirements of ‘paragraphs (2) and @) of Section 148(9 of the Code. (b) Notwithstanding the provisions of paragraph (a) of this Section 9.03, if the arbitrage rebate provisions of Section 148() of the Code apply to the Bonds, the City hereby covenants tnd agrees to make the determinations, retain reconds and rebate tothe United States the amounts tt the times and in the manner required by said Section 148() and applicable Regulations. 9.04. Quolifiod Tax x jons. ‘The City Council hereby designates tho Ronds 1s “qualified tax-exempt obligations” for purposes of Section 265(6)3) of the Code relating to the disallowance of interest expense for financial institutions, and hereby finds that the reasonably anticipated amount of tx-exempt obligations (within the meaning of Section 265(b)G) of the Code) which will be issued by the City and all subordinate entities during calendar year 2018 does not exceed $10,000,000. 9,05. Reimbursement. ‘The City certifies thatthe proceeds of the Bonds will not be used by the City to reimburse ilself for any expenditure with respect f0 the Projects which the City peid or will have paid more than 6O days prior tothe issuance of the Bonds untess, with respect to such prior expenditures, the City shall have made a declaretion of official intent which complies with the provisions of Section 1.150-2 of the Regulations, provided that this certification shall not apply (@) with respect to certain de minimis expenditures, if any, with respect to the Projects meeting the roquizements of Section 1.150-2(A(1 of the Regulations, or i) with zespect to “preliminary expenditures” for the Projects as defined in Section 1.150-2((2) of the Regulations, including engineering or architectural expenses and similar preparatory expenses, which in the aggregate do not excoed 20% of the “issue price” of the Bonds. 9.06. Continuing Disclosue, (8) Limited Exemption fiom Rule. The Securities and Exchange Commission (he “SEC") has promulgated amendments to Rule 152-12 under the Securities Exchange Act of 1934 (17 CER. § 240,15c2-12) (as in effect and interpreted from time to time, the "Rule”) which govem the obligations of certain underwriters to require that issuers of municipal obligetions enter into contracts for the benefit of the holders of the obligations to provide continuing disclosure with respect to the obligations. ‘This Council hereby finds, determines and declares that the Bonds are exempt from the application of paragraph (G}G) of the Rule by reason of the exemption granted in paragraph (&}Q) thereof. Specifically, this Couneil hereby finds thatthe only “obligated person” (within the meaning of the Rule) with respect to the Bonds is the City and chat, giving effect tothe issuance ofthe Bonds and any other securities required to be integrated with the Bonds, there will be no mote than $10 milion in ipal snout uf usuisipal securities outstanding on the dato of inouance of the Bond ae to ‘which the City is an obligated person (excluding municipal securities exempt from the Rule under paragreph (Q)(1) thereof because, among other things, they were issoed in minimum denominations of $100,000), In making such finding, the City hereby represents that it has not issued within the six months before the date of issuance of the Bonds and that it reasonably expects that it will not issue within six months after the date of issuance of the Bonds, other securities of the City of substantially the same security and providing financing for the same feeneral purpose or purposes as the Bonds. The exemption from the Rule for the Bonds is BRconditioned upon the City agreeing to provide eerisin continuing disclosure as hereinefter provided. (©) Purpose and Beneficiaries. To provide forthe pablieaveilablity of cetsn information relating to the Bonds and the security therefor and to permit participating underwriters in the primary offering of the Bons to comply with paragraph (b)(5) of the Rule, which will enkanee the marketability ofthe Bonds, the City hereby makes the covenants and agreements contained in this section forthe benefit of the Owners (as hereinafter defined) from time to time of the ‘outstanding Bonds. If the Cty fils to comply with any provision of this section, any person ‘ggriovel torch, including the Owners of any oustanding Bends, may take whatever action at law or in equity may appear necessary or appropriate to enforee performance and observance of any agreement or covenant contained inthis section, inefuding an action fo specific performance fo @ writ of mandars. Direct, indirect, consequential and punitive damages shall not be recoverable for any default hereander ote extent permitted by law. Notwithstanding anything to the contrary contsned herein, in no event shall default under ths section constitute a default Under the Bonds or under any other provision of this resolution. As used in this section, “Owner” or “Bondowner” means, in respect of @ Bond, the registered owner or overs thercof appearing in the bond register maintained by the Registrar or any “Beneficial Owner” (as hereinafter defined) thereof, if such Beneficial Ownes provides tothe Registrar evidence of such beneficial ownership in form and substance reasonably satisfactory to the Registrar, As used herein, “Beneficial Owner" means, in respect of a Bond, any person or entity which () has the power, directly or indirectly, to vote or consent with respect to, orto dispose of ovmership of, such Bond (including persons or entities holding Bonds through nominees, depositories or other {intermediaries}, or (i) is treated asthe ovmer of the Bond for federal income tax purposes. (©) Information To Be Disclosed. The City will provide, inthe manner set forth below, cither directly or indreetly through an agent designated by the City the following information at the following times: (1) on or before twelve (12) months alter the end of each fiscal year of the City, commencing with the fiscal year ending December 31, 2017 to the Municipal Securities Rulemaking Boerd (the *MSRB") through its Electronic Municipal Market ‘Access System (*EMMA"), in an electronic format as presoribed by the MSRB, the information inthe City’s audited financial statements, which shall be forthe most recent fiscal year ofthe City (he “Disclosure Information”), provided tha, if audited financial statements are not available within such twelve-month period, the City shall provide ‘unaudited financial statements within such twelve-month period nd skal provide rudited financial statements if and when available, ‘Any of all of the Disclosure Information may be incorporated by reference, if itis ‘updated as required hereby, from other documents, including offical statements, which have been submitted to the MSRB through EMMA or to the SEC. If the document incorporated by reference is a final official statement, it must be available from the MSRB. The City shall clearly identify in the Disclosure Information each document so incorporated by reference. Ifthe Disclosure Information is changed because it is no Tonger compiled or publicly available or this paragraph (c)(1) is amendod as permitted by subscetion (@), then the City shall include in the next Disclosure Information t0 be Bdelivered hereunder, to the extent necessary, an explanation of the reasons for the ‘amendment and the effect of any change inthe type of information provided. @_Inatimely manner, not in excess of 10 business days after the occurrence of the event, to the MSRB through EMMA, notice of the occurrence of any of the following events (eech a “Material Fact”) (A) principal and interest payment delinquencies; (B) non-payment related defaults, if material (©) untchedled draw on debt cerviee reserves reflecting financial difficulties; (D) unscheduled draws on credit enhancements reflecting financial difficulties, (©) substitution of eredit or liguidity providers, or thei failure to perform; (adverse tax opinions, the ismumce by the Intemal Revenue Service of proposed or final determinations of taxability, Notices of Proposed Issue ‘RS Form $701-TEB), or other material notices or determinations with respect tothe tax status of the security or other material events affecting the ax status of the Bonds; (@) modifications to sights of holders of the Bonds if material; (H) bond calls, if material, and tender offers; D —defeasances; lease, substitution or sale of property securing repayment ofthe Bonds, if material; (K) rating changes: (L) bankruptcy, insolvency, receivership, or similar event of the obligated person; (M) the consummation of a merger, consolidation, or aequsiton involving the City or the sale ofall or substantially al of the assets ofthe City, oer than inthe ordinary course of business the entry into a definitive ‘agreement to undertake such an action or the termination ofa definitive ‘agreement relating to any such sctions, other than pursuant to its terms, if materi; and () appointment ofa successor or aditional trustee or the change of name of a trustee, if material FFor the purposes of the event identified in (L) hereinabove, the event is considered to oceur when any of the following occur: the appointment of a receiver, fiscal agent or similar officer for an obligated person in a proceeding under the U.S, ankruptey Code or in any other proceeding ‘under state or federal law in which a eourt or govemmmental authority has assumed jurisdiction ‘over substantially ll of the assets or business ofthe obligated person, or if such jurisdiction has been assumed by leaving the existing governing body and officials or officers in possession but subject to the supervision and orders of a court of governmental authority, or the entry of an ‘order confirming a plan of reorganization, arrangement or liquidation by a court or governmental authority having supervision ot jurisdiction over substantially all of the assets or business of the fd person. 4‘As used herein, for those events that must be reported if material, an event is material i it is an event as to which a substantial likelihood exists that a reasonably prudent investor would attach importance thereto in deciding to buy, hold or sell a Bond ot, if not disclosed, would significantly alter the total information otherwise available to an investor from the Official ‘Statement, information disclosed hereunder or information generally available to the public. [Notwithstanding the foregoing sentence, an event is also material if itis an event that would be deemed material for purposes of the purchase, holding or sale of a Bond within the meaning of applicable federal securities laws, as interpreted at the time of discovery ofthe occurrence ofthe vent ©) lu a ely umes, Ww the MSRB duvug EMMA, uotive of dhe occurrence of any ofthe following events or conditions: (A) the amendment or supplementing of this section pursuant to ssc (2, eer wih «coy of sah amendent or supplement; (8) tetemtnon ofthe bigations of he hy ender is pursuant to subsection (@); (©) any change in the accounting principles pursuant to which the financial statements constituting a portion of the Disclosure Information are prepared and (D) any change in the fiscal year of the City. (@)___ Mentifying Information to Accompany Documents. All documents provided to the MSRB shell be accompanied by identifying information as preseribed by the MSR. (©) _ Term; Amendments; Interpretation, The covenants of the City in this section shall remain in effect so long as any Bonds are outstanding, Notwithstanding the preceding sentence, however, the obligations of the City under this section shall terminate and be without further cffect as of any date on which the City delivers tothe Registrar an opinion of Bond Counse! to ‘the effect that, because of legislative action or final judicial or administrative actions oF proceedings, the failure of the City to comply with the requirements of ths section will not cause participating underwriters in te primary offering of the Bonds to be in violation of the Rule or ‘other applicable requirements of the Securities Exchange Act of 1934, as amended, or any statutes or laws successor thereto or amendatory thereof. This seetion may be amended ot supplemented by the City ffom time to time, without notice to or the consent of the Owners of any Bonds, by a resolution of this Council fled in the office of the recording officer ofthe City accompanied by an opinion of Bond Counsel, who may rely on ceriications of the City and others and the opinion may be subject to customary qualifications, to the effect that: ) such amendment oF supplement (3) is mae in connection wi we in eirvumstanoes dat arses fiom a change in law or reglation or a change in the identity, nature or status of the City or the type of operations conducted by the City, of (b) is requited by, or better complics with, the provisions of paragraph (@)@2) of tho Rule; (i) this section as 90 amended or supplemented ‘would have complied with the requirements of pargraph (4) of the Rule atthe time of the primary offering of the Bonds, giving effect to any change in circumstances applicable under clause ((a) and assuming that the Rule asin effect and interpreted atthe time ofthe amendment or supplement was in effet atthe time of the primary offering; and (i) such amendment or supplement does not materially impair the interests of the Bondovmers under the Rule. ‘This 18section is entered into to comply with, and should be construed so as to satisy the requicements ‘of, paragraph (0)(2) ofthe Rule ‘SECTION 10, CERTIFICATION OF PROCEEDINGS, 10.01. Registration of Bonds. ‘The City Clerk is hereby authorized and directed to file a certified copy of this resolution with the County Auditor of Jackson County, together with such ‘additional information as is required, and to obiain a certificate that the Bonds and the taxes levied pursuant hereto have been duly ented upon the County Auditor's Bond repster. 10,02. Authentication of Transcript. The officers of the Cty and the County Aueltor are hereby authorized and directed to prepare and furnish to the Purchaser and to Dorsey & Whitney LLP, Bond Counsel, cctifed copies ofall proceedings and records relating to the Bonds and such other affidavits, certificates and information as may be required to show the facts relating to the legality and macketabilty of the Bonds, asthe same appear from the books and records in their custody and eontrol or as otherwise knovm to them, and all such certified copies, affidavits and certificates, including any heretofore furnished, shall be deemed representations of the City 18 to the correeiness of all statements contained therein, 10.03. Official Siatement. The Official Statement relating to the Bonds, dated ‘2018, prepared and distributed by David Drown Associates, Inc, (“David Drown”), ithe municipal advisor forthe City, is heceby approved. David Drown is hereby authorized on behalf of the City to prepaze und deliver to the Purchaser within seven business days from the ‘date hereof supplement to the Oficial Statement listing the offering price, the interest rates, selling compensation, delivery date, the underwriters and such other information relating to the Bonds required to be included in the Oficial Statement by Rule 15c2-12 adopted by the SEC ‘under the Securities Exchange Act of 1934. The officers of the City are hereby authorized and dizected to execute such certificates as may be appropriate concerning the accuracy, ‘completeness and sufficiency ofthe Official Statement. 10.04, Effective Date. This resolution shall be in full force and effect from and aftr its passage. Upon vote being taken theteon, the following voted in favor thereof: and the following voted against the same: ‘whereupon the Resolution was declared duly passed and adopted, 16EXHIBIT A Maturity SchedutesEXHIBIT B UNITED STATES OF AMERICA ‘STATE OF MINNESOTA COUNTY OF JACKSON CITY OF LAKEFIELD GENERAL OBLIGATION BONDS, SERIES 2018 RK 8 Interest Rate Maturity Date ate of Original Issue CUSIP No. % February 1,20_ July _, 2018 REGISTERED OWNER: CEDE& CO. PRINCIPAL AMOUNT: THOUSAND DOLLARS. CITY OF LAKEFIELD, Stte of Minnesota the “City”) acknowledges itself tobe indebted and ‘or value received hereby promises to pay tothe registered owner spcifed above, or registered assigns, ‘the principal amount specified above on the maturity date specified above and promises to pay interest ‘thereon ffom the date of orginal issue spcifed above or from the most recent Interest Payment Date (08 hereinafter defined) 0 which interest has beon paid or duly provided for, atthe annual infest rate specified above, payable on February 1 and Angus 1 in each year, commencing February 1, 2019 (cach Sich date, an “Tntrest Payment Date) all subject tothe provisions referred to herein with espe othe redemption ofthe principal ofthis Bond before maturity. The intrest so payable on any Interest Payment Date shal be paid to the porson in whose name this Bond is registred at the close of business the fifteenth day (whether or not business day) of th calendar month immediately preceding the Interest Payment Date, Interest hereon shall be computed oa the basis ofa 360 Lake, HN 56130-0500 ‘Phone (307 6625358 «Fax (S07) 662-6744 ss12018 To: City Couns Members rom: Andow Konesne, Chief of Police Ref; Department head repo: San ws3147 Rounding out the end of May, the police department had 75 incidents. ‘Twenty seven of those incidents were directed patrols at our city parks. (On 5-18-2017, Kari Jones of Lakefield reported « burglary where someone eatered her home and {0k $230 in cash. ‘The incident is believed to have occurred between 2:30 pm and 7:30 pm on the dday it was reported, No indications of fored entry. (On 5-21-2018, Lakefield Police responded toa residence in the 30 block of 1" Ave. S. fora domestic disturbance. Katelyn Hunt 30) of Lakefield was arested and jailed for domestic assault after she admitting to hitting the victim, (On 5-24-2018, Laketeld Police assisted the Minnesota State Patrol and the Jackson Coutny ‘Sheriff's Department witha diving complaint where a number of callers complained about ‘whiele being “all aver the road” on I-90. Lakefield Police stopped the vehicle on Huy 86 just south of 1-90 and eventually arrested Pamela Jo Schoentelder (61) of Worthinglon for DUL Schoenfelder was jailed overnight on a misdemeanor charge before being released on her promise to appear. (On 5-22-2018, Dewayne Hage reported that four 8°L x 3H of white compositeplastic picket fence ‘was taken from the Hage property at the intersection of Main Stand Mill R¢. The fence sections ‘were valued at $200 and the theft occurred sometime during the prior few days. Anyone with information related tothe burglary or theft is encouraged fo contact the Lakefield Police department, Respectfully, Gch. » Vite KA Andrew J, Konechne “Preserve and Promote Community through Partnerships, Education and Enforcement”Incident Call Types by Month Winoi8- 21/2018. Lakefield PD Total_Jan Feb Mar Apr May Jun Jul Aug Sep Oct_Nov Dec 2 5 5 i 2 pnw Es nama cOMPLANT Assauut 0 ASAI OMNER AGENCY DOFVERS LCENSE VOLATION owes past uRMANCE mRECTED PATROL, foouesTe AssAuLt ‘rm o1SeUTE 0 EQUPMENT VATION TRAEFI rouowue FUNERAL E9008 {UvENLE LATED MEDICAL COROINANCE VIOLATION Pera TO PURCHASE PROPERTY OMUAGE Pusu HUSANCE ‘S100. 045 STOP AA LATION SPEEDING SUsPCCUS CRCUASTANCET) {SUSMCIUS PERSONCAR ‘rare nec sere “RAERC MOVING VOLATION AL OTHER) Page 2 ro: soos 903404wetrare chen m1 2 6 3 1 4 9 © 6 «© 9 6 Prt: womor8 4 88