HomeMy WebLinkAboutResolutions
;.. (; 0
~
'8
=
z
~ '\ '0
0 ~
'0
;..
0
~
~
-.:t -.:t -.:t -.:t -.:t
~ S2 0 0 S2 S2
-- --
... - '0 '0 '0 -
~ S2 - 0 0 t:!
Q -- -- --
r') r') -.:t r-- 0\
0 0 0 0 0
"E
Š
I)
...
u
.S
><:
~
-
4-<
0 -.:t
i:: I
-
j ó
'" Q
'"8 .~ -
- u
0 ~ -.:t '.8
U1 ~ ~ I
- - '"
~ ... '" ó :a
0 I)
0 'R -- Q .Ëf
-
-
"n g u
~ '.8 u
..J 1:1
::s - '" c<1
'õ3 u :a ¡§
'.8
r-I ~ '" gf i::
,~ 0 :a
U1 I) ã 'ü Š
S Q
Q) c<1 I)
I) c<1 ¡§ ...
~ I) ... u
~ co .S
0 i::
c<1 ... ><:
~ ... ~ P< Š c<1
Q .. "E ~
.~ 0
... š § I) -
rz:¡ u ...
,Q '" u Ó
= I) g.õ. .S 1:1
00
oqt § Q) Ëf ~ -
u
0 4-< :>. ~ '.8
0 I) u
0 '"ó Q - '"
Q Ó :a
N 0 I) ~
.;;¿j Q ...
'"$ 1:1 - <E
c<1 o _ u
u õ. '.8
I) - ¡:: S
><: - I) š '" ~
I) ¡:: :a
-- I) .;; I) ~
d) ~ o ... i:: 0
'"
c<1 - U ~
~ § .S I)
0 ª
'"ó Q) .... ><: i::
§ :> - ~ I)
c<1 _ 0
I) ~4-< Q) ª
0 '"ó
_51 I) .... 0 :>
... '"ó Q I) ..9
-- 4-< o 0 '"ó I)
I) 0 s 'p ... :>
'"
c<1 § c<1 g <E I)
~ '"ó
4-< .~ ¡::'"ó Q d)
0 o~ .S .;;
¡:: 0 co-.:t ~
'"ó 0
.9 ~ ¡:: I U -
- ... .¡:: - I.¡:: ¡::
~ <E c<1 . :a 0
¡:: I) 0 ....
,..¡::: ¡:: 0 -
·S '" u t) ~ ~
'" u
I) ;.:::: 'B I.¡::
I) u :a
- 0 .g .~ ¡::
.Ëf ~ P<'"ó 'g E
.~ ·N c<1 I2f I)
... Q ,..¡::: c<1
... o .... u Q.
0 tt=< g
~ .~ ....
\ 'Š ;:::: c<1 :g 0
ðJJ '"ó
-) ...... p.. <
~ -.:t -.:t -.:t -.:t -.:t
0 0 0 0 0
'" I I I I I
~ - N r') -.:t lI)
~ 0 0 0 0 0
0 0 0 0 0
M
0 0
\_J ANDOVER ECONOMIC DEVELOPMENT AUTHORITY
CITY OF ANDOVER
COUNTY OF ANOKA
STATE OF MINNESOTA
RESOWITOO Jœ5-04
RESOLUTION ADOPTING A MUJ)IFICATION TO THE DEVELOPMENT
PROGRAM FOR DEVELOPMENT DISTRICT NO. 1 AND ESTABLISHING
TAX INCREMENT FINANCING DISTRICT NO. 1-4 THEREIN AND
ADOPTING A TAX INCREMENT FINANCING PLAN THEREFOR.
WHEREAS, it has been proposed by the Board of Commissioners (the "Board") of the Andover
Economic Development Authority (the "EDA") and the City of Andover (the "City") that the EDA adopt
a Modification to the Development Program for Development District No.1 (the "Development Program
Modification") and establish Tax Increment Financing District No. 1-4 and adopt a Tax Increment
Financing Plan (the "TIF Plan") therefor (the Development Program Modification and the TIF Plan are
referred to collectively herein as the "Program Modification and TIF Plan"), all pursuant to and in
conformity with applicable law, including Minnesota Statutes, Sections 469.090 to 469.1082, and
Sections 469.174 to 469.1799, inclusive, as amended (the "Act"), all as reflected in the Program
Modification and TIF Plan and presented for the Board's consideration; and
WHEREAS, the EDA has investigated the facts relating to the Program Modification and TIF
0 Plan and has caused the Program Modification and TIF Plan to be prepared; and
WHEREAS, the EDA has performed all actions required by law to be performed prior to the
adoption of the Program Modification and TIF Plan. The EDA has also requested the City Planning
Commission to provide for review of and written comment on Program Modification and TIF Plan and
that the Council schedule a public hearing on the Program Modification and TIF Plan upon published
notice as required by law.
NOW, THEREFORE, BE IT RESOLVED by the Board as follows:
1. The EDA hereby finds that Tax Increment Financing District No. 1-4 is in the public
interest and is a "redevelopment district" under Minnesota Statutes, Section 469.174, Subd. 10 (a)(I), and
finds that the adoption of the proposed Program Modification and TIF Plan conform in all respects to the
requirements of the Act and will help fulfill a need to develop an area of the State of Minnesota which is
already built up and that the adoption of the proposed Program Modification and TIF Plan will help
provide employment opportunities in the State and in the preservation and enhancement of the tax base of
the City and the State because it will discourage commerce and industry from moving their operations to
another state or municipality and thereby serves a public purpose.
2. The EDA further finds that the Program Modification and TIF Plan will afford maximum
opportunity, consistent with the sound needs for the City as a whole, for the development or
redevelopment of the project area by private enterprise in that the intent is to provide only that public
assistance necessary to make the private developments financially feasible.
/--" 3. Conditioned upon the approval thereof by the City Council following its public hearing
0 thereon, the Program Modification and TIF Plan, as presented to the EDA on this date, are hereby
approved, established and adopted and shall be placed on file in the office of the City Administrator.
,) ()
~~
~) 4. Upon approval of the Program Modification and TIF Plan by the City Council, the staff,
the EDA's advisors and legal counsel are authorized and directed to proceed with the implementation of
the Program Modification and TIF Plan and for this purpose to negotiate, draft, prepare and present to this
Board for its consideration all further plans, resolutions, documents and contracts necessary for this
purpose. Approval of the Program Modification and TIF Plan does not constitute approval of any project
or a Development Agreement with any developer.
5. Upon approval of the Program Modification and TIF Plan by the City Council, the
Interim City Administrator is authorized and directed to forward a copy of the Program Modification and
TIF Plan to the Minnesota Department of Revenue pursuant to Minnesota Statutes 469.175, Subd. 4a.
6. The Interim City Administrator is authorized and directed to forward a copy of the
Program Modification and TIF Plan to the Anoka County Auditor and request that the Auditor certify the
original tax capacity of the District as described in the Program Modification and TIF Plan, all in
accordance with Minnesota Statutes 469.177.
Approved by the Andover Economic Development Authority this 21 st day of September, 2004.
7~
C 'r
.' \
)
,
\
\ )
0 0
ANDOVER ECONOMIC DEVELOPMENT AUTHORITY
, ) CITY OF ANDOVER
\
COUNTY OF ANOKA
STATE OF MINNESOTA
RESOLUTION NO. 004-04
RESOLUTION REQUESTING THE CITY COUNCIL OF THE CITY OF
ANDOVER CALL FOR A PUBLIC HEARING ON A MODIFICATION TO THE
DEVELOPMENT PROGRAM FOR DEVELOPMENT DISTRICT NO.1 AND THE
ESTABLISHMENT OF TAX INCREMENT FINANCING DISTRICT NO. 1-4 (A
REDEVELOPMENT DISTRICT) THEREIN AND THE ADOPTION OF A TAX
INCREMENT FINANCING PLAN THEREFOR.
BE IT RESOLVED, by the Board of Commissioners (the "Board") of the Andover Economic
Development Authority (the "EDA") as follows:
WHEREAS, the City Council (the "Council") of the City of Andover, Minnesota (the "City")
established Development District No. 1 pursuant to Minnesota Statutes, Sections 469.174 to
469.1799, inclusive, as amended, in an effort to encourage the development and redevelopment of
certain designated areas within the City; and
WHEREAS, the EDA is proposing a Modification to the Development Program for
í-",\ Development District No.1 and the establishment of Tax Increment Financing District No. 1-4
"-) therein and the adoption of a Tax Increment Financing Plan therefor, all pursuant to, and in
accordance with, Minnesota Statutes, Sections 469.174 to 469.1799 and Sections 469.090 to
469.1082, inclusive, as amended;
NOW, THEREFORE BE IT RESOLVED by the Board as follows:
1. The EDA hereby requests that the Council call for a public hearing on August 17, 2004, to
consider the proposed adoption of a Modification to the Development Program for
Development District No. 1 (the "Development Program Modification") and the proposed
adoption of a Tax Increment Financing Plan (the "TIF Plan") for Tax Increment Financing
District No. 1-4 ("TIF District No. 1-4"), a redevelopment tax increment financing district, (the
Development Program Modification and the TIF Plan are referred to collectively herein as the
"Program Modification and TIF Plan") and cause notice of said public hearing to be given as
required by law.
2. The EDA directs the Executive Director to transmit copies of the Program Modification and
TIF Plan to the Planning Commission of the City and requests the Planning Commission's
written opinion indicating whether the proposed Program Modification and TIF Plan are in
accordance with the Comprehensive Plan ofthe City, prior to the date ofthe public hearing.
3. The Executive Director of the EDA is hereby directed to submit a copy of the Program
C) Modification and TIF Plan to the Council for its approval.
4. The EDA directs the Executive Director to transmit the Program Modification and TIF Plan to
0 (J
the county and the school district(s) in which TIF District No. 1-4 is located not later than July
(' " 16,2004.
,)
5. Staff and consultants are authorized and directed to take all steps necessary to prepare the
Program Modification and TIF Plan and related documents and to undertake other actions
necessary to bring the Program Modification and TIF Plan before the Council.
Approved by the Board on July 6, 2004.
-'"
~,)
\
I
I
0 0
ANDOVER ECONOMIC DEVELOPMENT AUTHORITY
,~ CITY OF ANDOVER
COUNTY OF ANOKA
STATE OF MINNESOTA
RESOLUTION NO. 003-04
RESOLUTION REQUESTING THE CITY COUNCIL OF THE CITY OF ANDOVER
CALL FOR A PUBLIC HEARING ON A MODIFICATION TO THE DEVELOPMENT
PROGRAM FOR DEVELOPMENT DISTRICT NO.1 AND THE ESTABLISHMENT OF
TAX INCREMENT FINANCING DISTRICT NO. 1-4 (A REDEVELOPMENT DISTRICT)
THEREIN AND THE ADOPTION OF A TAX INCREMENT FINANCING PLAN
THEREFOR.
BE IT RESOLVED, by the Board of Commissioners (the "Board") of the Andover Economic
Development Authority (the "EDA") as follows:
WHEREAS, the City Council (the "Council") of the City of Andover, Minnesota (the "City")
established Development District No. 1 pursuant to Minnesota Statutes, Sections 469.174 to 469.1799,
inclusive, as amended, in an effort to encourage the development and redevelopment of certain designated
areas within the City; and
WHEREAS, the EDA is proposing a Modification to the Development Program for Development
District No.1 and the establishment of Tax Increment Financing District No. 1-4 therein and the adoption of
a Tax Increment Financing Plan therefor, all pursuant to, and in accordance with, Minnesota Statutes,
"J Sections 469.174 to 469.1799 and Sections 469.090 to 469.1082, inclusive, as amended;
NOW, THEREFORE BE IT RESOLVED by the Board as follows:
1. The EDA hereby requests that the Council call for a public hearing on June 1, 2004 to consider the
proposed adoption of a Modification to the Development Program for Development District No. I (the
"Development Program Modification") and the proposed adoption of a Tax Increment Financing Plan
(the "TIF Plan") for Tax Increment Financing District No. 1-4 ("TIF District No. 1-4"), a redevelopment
tax increment financing district, (the Development Program Modification and the TIF Plan are referred
to collectively herein as the "Program Modification and TIF Plan") and cause notice of said public ,
hearing to be given as required by law. i
j
2. The EDA directs the Executive Director to transmit copies of the Program Modification and TIF Plan to
the Planning Commission of the City and requests the Planning Commission's written opinion indicating
whether the proposed Program Modification and TIF Plan are in accordance with the Comprehensive
Plan of the City, prior to the date of the public hearing.
3. The Executive Director of the EDA is hereby directed to submit a copy of the Program Modification and
TIF Plan to the Council for its approval.
4. The EDA directs the Executive Director to transmit the Program Modification and TIF Plan to the ;
county and the school district(s) in which TIF District No. 1-4 is located not later than April 30, 2004.
5. Staff and consultants are authorized and directed to take all steps necessary to prepare the Program
0 Modification and TIF Plan and related documents and to undertake other actions necessary to bring the ,
,
Program Modification and TIF Plan before the Council.
0 0
Approved by the Board on April 6, 2004. ~~
0
/
Michael
f '\
,-j
¡
!
r~
'- j
!
(J 0
CITY OF ANDOVER
COUNTYOFANOKA
, , STATE OF MINNESOTA
',-/
ECONOMIC DEVELOPMENT AUTHORITY
RESOLUTION NO. 002-04
Commissioner Trude introduced the following resolution and moved its adoption:
A RESOLUTION INITIATING PROCESS FOR ADOPTION OF REDEVELOPMENT PLAN
BE IT RESOLVED by the Board of Commissioners of the Economic Development
Authority of the City of Andover, Minnesota (the "Authority"), as follows:
1. Recitals.
a. The Authority is authorized to exercise redevelopment powers under
Minnesota Statutes, Sections 469.090 through 469.1082, among other
statutory powers; and
b. It has been proposed that the Authority establish a Redevelopment Project
Area as described herein (the "Redevelopment Project Area"), in connection
with construction of a new community center and adopt the Redevelopment
C) Plan for the Redevelopment Project Area (the "Plan"); all pursuant to and in
conformity with applicable law.
2. City Council Public Hearin~: Planning Commission Written Comment. Under
applicable law, it is necessary for the City Council of the City of Andover,
Minnesota to hold a public hearing on the Plan, and the Authority hereby requests
the Council to hold the public hearing, following notice thereof having been
published not less than 10 and not more than 30 days prior thereto, and to consider
thereafter the Plan for approval at a meeting of the Council on April 20, 2004.
The Authority also requests the Andover Planning Commission to provide written
comment on the Plan.
The motion for the adoption of the foregoing resolution was duly seconded by
Member Orttel, and upon vote being taken thereon, the following voted in favor
thereof: Jacobson, Knight, Orttel, Nowak, Trude, Gamache and the following
voted against the same: none
Whereupon the resolution was declared passed and adopted.
~J
CJ 0
-~ '\ STATE OF MINNESOTA
I
,--.j COUNTY OF ANOKA
ECONOMIC DEVELOPMENT AUTHORITY
OF THE CITY OF ANDOVER, MINNESOTA
I, the undersigned, being the duly qualified and acting Secretary of the Economic
Development Authority of the City of Andover, Minnesota, DO HEREBY CERTIFY that I have
compared the attached and foregoing extract of minutes with the original thereof on file in my
office, and that the same is a full, true and complete transcript of the minutes of a meeting of the
Board of Commissioners, duly called and held on the date therein indicated, insofar as such
minutes relate to the Initiating Process for Adoption of Redevelopment Plan.
WITNESS my hand officially on March 16, 2004.
---..,
\ ) Secretâry
. /
EconoIDlc Deve opment Authority
of the City of Andover, Minnesota
(J
1626254v2 2
0 cJ
,,_J ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF ANDOVER
ANOKA COUNTY, MINNESOTA
RESOLUTION NO. ROOI-04
A RESOLUTION AUTHORIZING TERMINATION OF
LEASE AND GROUND LEASE, EXECUTION OF AN
ESCROW AGREEMENT AND CALLING PRIOR BONDS
WHEREAS, the City of Andover proposes to issue its $3,895,000 General Obligation
Capital Improvement Bonds, Series 2004A (the "Bonds") in part to finance the acquisition of an
approximately 30,000 square foot public works building (the "Public Works Building") from the
Economic Development Authority of the City of Andover (the "Authority") ; and
WHEREAS, the proposed purchase price for the Public Works Building is an amount
equal to the outstanding principal of and accrued interest on the Authority's Public Project
Revenue Bonds of 1997 (City of Andover Lease Purchase Project) (the "Prior Bonds"), dated
September 1, 1997.
NOW, THEREFORE, BE IT RESOLVED,
~-J 1. The Prior Bonds which mature on and after December 1,2005, shall be redeemed
and prepaid on December 1, 2004, in accordance with the terms and conditions set forth in the
Notice of Call for Redemption attached as Exhibit A to the Escrow Agreement dated as of March
16, 2004 (the "Escrow Agreement") by and between the City, the Authority and U.S. Bank
National Association, in St. Paul, Minnesota, Escrow Agent, which terms and conditions are
hereby approved and incorporated herein by reference;
2. The Authority hereby approves the execution by the President and Secretary on
behalf of the Authority of the Escrow Agreement in substantially the form submitted to the
Board of Commissioners; and
3. As provided in Section 10.4 of the Lease with Option to Purchase Agreement
between the City and the Authority, dated as of September 1, 1997 (the "Lease"), the Authority
hereby determines and declares that upon the issuance of the Bonds and the funding of the
Escrow Deposit as provided in the Escrow Agreement, the Lease and the Ground Lease between
the City and the Authority, dated as of September 1, 1997 shall be terminated and the Authority
shall have no further right, title and/or interest in and to the Public Works Building.
0
1617634vl
, -, (J
u
:_- )
ADOPTED this 1 st day of March, 2004. ~V~~~
P~sident
_.
.
Mot n by: Jacobson Seconded by: Trude
Voted in favor: Mike Gamache. Ken Orttel. Don Jacobson. Robert Nowak. Julie Trude
Voted against: None
:.- )
C_)
1617634vl
, '\ Ü
l..J
ESCROW AGREEMENT
0 PUBLIC PROJECT REVENlÆ BONDS OF 1997 (CITY OF ANDOVER LEASE PURCHASE
PROJECT) OF THE ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF
ANDOVER
THlS ESCROW AGREEMENT made as of March 16,2004, by and between U.S. Bank
National Association, in St. Paul, Minnesota (the "Escrow Agent"), the Economic Development
Authority of the City of Andover (the "EDA") and the City of Andover, Anoka County,
Minnesota (the "City"),
WI1NESSETH THAT:
A. WHEREAS, pursuant to a resolution adopted on August 5, 1997, the EDA has
heretofore authorized its Public Project Revenue Bonds of 1997 (City of Andover Lease
Purchase Project), of which the 2005 and later maturities are being refunded (the "Refunded
Bonds"). The Refunded Bonds maturing on December 1, 2004, may be paid at maturity on such
date, and the Refunded Bonds maturing on or after December 1,2005, in the aggregate amount
of $1,865,000 may be redeemed and prepaid on December 1,2004, in the years and amounts on
such date as follows:
Year Amount Year Amount
- " 2004 $80,000 2011 $165,000
0 2005 90,000 2012 180,000
2006 100,000 2013 195,000
2007 110,000 2014 220,000
2008 120,000 2015 240,000
2009 135,000 2016 260,000
2010 150,000
B. WHEREAS, to provide for the advance refunding of the Refunded Bonds in
accordance with Minnesota Statutes, Section 475.67, the City has, pursuant to a resolution
adopted on February 17, 2004 (the "Refunding Resolution"), authorized the issuance of its
$3,895,000 General Obligation Capital Improvement Bonds, Series 2004A, dated March 16,
2004, as the date of original issue (the "Refunding Bonds") and the EDA has called for ,
redemption and prepayment of the Refunded Bonds maturing on or after December 1, 2005 ,
i
pursuant to the advance refunding accomplished by the issuance of the Refunding Bonds; and I
C. WHEREAS, under the tenns of the Refunding Resolution $ of
Refunding Bonds proceeds and certain other sums appropriated to the Escrow Account identified
below (the "Escrow Account") shall be held and invested in accordance with the tenns and ;
conditions of this Escrow Agreement as follows:
<J
1617299vl
0 0
/' "- Refunding Bonds Proceeds $
',-J Other Available City Funds $
Total $ ,
$ of the foregoing sum shall simultaneously be invested in securities (the "Initial
Escrowed Obligations") as described in the report of , dated March
16, 2004, attached hereto as Exhibit D (the "Accountant's Report"), which Initial Escrowed
Obligations, together with the balance of cash in the amount of $ , shall be used to
advance refund the Refunded Bonds; the Initial Escrowed Obligations (or evidence of the
investment therein and constructive receipt thereof) and cash are herein called the "Escrow
Deposit", provided that the term "Escrow Deposit" may include due bills reflecting Escrowed
Obligations not received by the delivery of and payment for the Refunding Bonds (the "Bond
Closing") so long as such due bills are secured by the deposit of comparable securities identified
as "Substitute Securities" in the Accountant's Report, or by a cashier's check in an amount equal
to either the principal and interest due on the Escrowed Obligations so due or any deficiency in
principal or interest due on the Substitute Securities (the Initial Escrowed Obligations, said
Substitute Securities and any other investments made hereUnder, are referred to collectively as
the "Escrowed Obligations"); and
D. WHEREAS, the Escrow Agent is, and hereby represents that it is, a corporation
organized under the laws of the United States, and its deposits are insured by the Federal Deposit
'\ Insurance Corporation, and its capital and surplus is not less than $500,000:
- - /'
NOW, THEREFORE, in consideration of the premises and of the respective agreements
on the part of the Escrow Agent, the EDA and the City herein contained, the parties hereto
hereby agree as follows:
1. Deposits. The City agrees upon delivery of and payment for the Refunding Bonds
at the Bond Closing to forthwith irrevocably deposit with the Escrow Agent the Escrow Deposit,
as an appropriation of the Escrowed Obligations and all payments of principal and interest
thereon, in trust with the Escrow Agent for the security of the holders and owners of the
Refunded Bonds. The City further agrees upon the Bond Closing to deposit. with the Escrow
Agent the moneys designated above; and the City authorizes the Escrow Agent (and the Escrow
Agent agrees) to disburse said moneys to pay Issuance Expenses.
2. Acknowledgment of Deposit. Receipt of (i) the Escrow Deposit; (ii)
$ of Refunding Bonds proceeds; (iii) and $ of available City funds,
shall be acknowledged on behalf of the Escrow Agent at the Bond Closing by execution of an
Acknowledgment in the form attached hereto as Exhibit B by a duly authorized officer of the
Escrow Agent.
3. Compensation; Waiver of Lien. The Escrow Agent hereby acknowledges receipt
of the sum of $ as and for its full compensation for services to be performed by it as
, ') agent under this Agreement. There will be no future billings for services rendered by the Escrow
Agent. The Escrow Agent expressly waives any lien upon or claim against the moneys and
\..._~ investments in the Escrow Account.
1617299vl 2
0 ()
0 4. Collection and Remittance~ Payment of Interest. Principal and Premium. if any,
on Refunded Bonds~ Substitute Securities. The Escrow Agent will collect all remittances of
interest on the Escrowed Obligations in the Escrow Account as and when such interest becomes
due and payable. The Escrow Agent will cause such Escrowed Obligations to be presented for
payment and converted into cash on their respective maturity or due dates in accordance with the
schedule of cash payments included in the Accountant's Report, and will remit from the Escrow
Account to the paying agent for the Refunded Bonds, the funds required from time to time for
the payment when due, on each interest and principal payment date for the interest, principal and
premium, if any, on the Refunded Bonds. lithe delivery of any Escrowed Obligations is secured
at the Bond Closing by Substitute Securities and/or a cashier's check as hereinabove provided
and delivery of the Initial Escrowed Obligations is not made within thirty (30) days after the
Bond Closing, the Escrow Agent shall in accordance with the terms of such security arrangement
substitute the Substitute Securities an9l0r cashier's check for the Initial Escrowed Obligations to
assure that such schedule of cash payments can be complied with.
5. Sufficiency of Escrow Deposit~ Further Deposits. In reliance upon the
Accountant's Report, the City represents that the Escrow Deposit, if the principal of and interest
on the Initial Escrowed Obligations are paid in accordance with their terms, is sufficient to
produce cash in such amounts to enable the Escrow Agent to make full and timely payments as
provided in paragraph 4 above. If at any time it shall appear to the Escrow Agent that the money
in the Escrow Account allocable for such use hereunder will not be sufficient to make any
payment due to the holders of any of the Refunded Bonds, the Escrow Agent shall immediately
,'\ notify the City. The City thereupon shall immediately deposit in the Escrow Account from funds
\.j on hand and legally available such additional funds as may be required to meet fully the amount
to become due and payable and, if necessary, levy for such purpose an ad valorem property tax
on all real property in the City subject to taxation without limitation as to rate or amount.
Included in the Accountant's Report is a statement that such cash and Escrowed Obligations are
sufficient to comply with the requirements set forth in paragraph 4 above.
6. No Repeal of Refunding: Resolution. The EDA will not repeal, revoke or amend
the Refunding Resolution calling the Refunded Bonds for payment on December 1, 2004, or for
redemption on their redemption date of December 1, 2004, in accordance with the Notice of Call
for Redemption attached hereto as Exhibit A.
7. Notice of Redemption. The Escrow Agent shall cause the Notice of Call for
Redemption attached hereto as Exhibit A to be given to the paying agent for the Refunded Bonds
(if other than the Escrow Agent), by first class mail (postage prepaid) not more than sixty (60)
and not less than forty-five (45) days before said redemption date and therefor to the registered
owner of each Refunded Bond at the address shown on the registration books kept by the
registrar for the Refunded Bonds; failure to give notice by mail to any registered owner, or any
defect therein, will not affect the validity of any proceedings for the redemption of the Refunded
Bonds.
8. Title to Moneys~ Trust Remission of Remaining Moneys. It is recognized that
title to the Escrowed Obligations and money held in the Escrow Account from time to time shall
- " remain vested in the City but subject always to the prior charge and lien thereon of this Escrow
·~v) Agreement and the use thereof required to be made by the provisions of this Escrow Agreement.
1617299vl 3
0 C)
r~, The Escrow Agent shall hold all such money and obligations in a special trust fund and account
- . J (herein the "Escrow Account") separate and wholly segregated from all other funds and
securities of the Escrow Agent or deposited with the Escrow Agent, and shall never commingle
such money or securities with other money or securities, provided that nothing herein contained
shall be construed as requiring the Escrow Agent to keep the identical moneys, or any part
thereof, received for the Escrow Account, on hand, but moneys of an equal amount, except to the
extent such are investments permitted under this Escrow Agreement, shall always be maintained
on hand as funds held by the Escrow Agent as trustee, belonging to the City, and a special
account thereof evidencing such fact shall at all times be maintained on the books of the Escrow
Agent, together with such investments. In the event of the Escrow Agent's failure to account for
any money or obligations held by it in the Escrow Account, such money and obligations shall be
and remain the property of the City, and if for any reason such money or obligations cannot be
identified, all other assets of the Escrow Agent shall be impressed with a trust for the amount
thereof and the City shall be entitled to a preferred claim upon such assets. All moneys
remaining in the Escrow Account after payment therefrom of all sums required to be paid under
this Agreement shall be promptly remitted to the City.
9. Sale and/or Reinvestment. The Escrow Agent may sell and/or reinvest all or a
part of the Escrowed Obligations, or the proceeds thereof in direct, non-callable United States
obligations or obligations unconditionally guaranteed by the United States government, or any
governmental bond which bears the highest or next highest rating of Moody's Investor's Services,
Standard and Poor's Corporation, or a similarly nationally recognized rating agency, if and only
- '-, if (a) such sales and/or reinvestment is approved by the City and otherwise permitted by the laws
. ) of Minnesota; (b) an opinion of a certified public accounting fIrm is first obtained to the effect
'-. .-
that such sale and/or reinvestment will not prevent the Escrow Agent from making all of the
payments to the paying agent for the Refunded Bonds as required in paragraph 5 above; and (c)
an opinion of nationally recognized bond counselor tax counsel recognized as having an
expertise in the area of tax-exempt bonds is fIrst obtained to the effect that such sale and/or
reinvestment will not cause the interest on the Refunded Bonds to become includable in the gross
income of the owners thereof for federal income tax purposes.
Any excess funds created in the Escrow Account as a result of such sale and/or
reinvestment (i.e., funds not required to pay when due principal of and interest on, the Refunded
Bonds, as shown on the certified public accountants' opinion required in subsection 9(b) shall be
withdrawn from the Escrow Account and paid by the Escrow Agent to the City, free of any lien
of this Escrow Agreement, within 10 business days of receipt of the City's written request to
withdraw such excess funds.
10. Trust: Safekeeping. All Escrowed Obligations, moneys and investment income
deposited with or received by the Escrow Agent pursuant to this Escrow Agreement shall be
subject to the trust created by this Escrow Agreement, and the Escrow Agent shall be liable for
the preservation and safekeeping thereof; provided, however, that it shall not be responsible for
any depreciation in value of any of the Escrowed Obligations or for the reinvestment of the same
except as herein provided.
( " 11. Duties. Obligations and Liabilities. The duties and obligations of the Escrow
) Agent shall be as prescribed by the provisions of this Escrow Agreement, and the Escrow Agent
1617299vl 4
(J (J
"- shall not be liable hereunder except for failure to perform its duties and obligations as
- / ) specifically set forth herein or to act in good faith in the performance thereof, and no implied
duties or obligations shall be incurred by the Escrow Agent other than those specified herein.
The Escrow Agent may consult with counsel of its choice, and except as provided in paragraphs
9 hereof, the opinion of such counsel shall be full and complete authorization and protection with
respect to any action taken or not taken or suffered by it hereunder in good faith and in
accordance with the opinion of such counsel.
12. Resignation~ Successor. The Escrow Agent may at any time resign and he
discharged of its obligations hereunder by giving to the Clerk of the City written notice of such
resignation and by refunding to the City a pro rata portion of the escrow fee set forth in
paragraph 3 hereof, not less than sixty (60) days before the date when the same is to take effect,
and by publication of a copy of such notice in any available daily or weekly newspaper or
periodical, which circulates throughout the State of Minnesota and furnishes financial news as
part of its service, not less than thirty (30) days prior to such date. Such resignation shall take
effect upon the appointment and qualification of a successor agent. In the event of receipt of
notice of such resignation, a successor shall promptly be appointed by the City, and the Clerk of
the City shall immediately give written notice thereof to the predecessor agent and publish the
same in a Minnesota newspaper as described above. If in a proper case no appointment of a
successor agent is made within forty-five (45) days after the receipt by the City of notice of such
resignation, the Escrow Agent or the Holders of a majority in aggregate principal amount of the
Refunded Bonds, by an instrument or concurrent instruments in writing signed by such Holders,
,_. -\ or by their attorney in fact duly authorized, may appoint a successor Escrow Agent. Any
\oJ successor agent appointed hereunder shall execute, acknowledge and deliver to its predecessor
agent and to the Clerk of the City a written acceptance of such appointment, and shall thereupon
without any further act, deed or conveyance become fully vested· with all moneys, properties, ¡
!
duties and obligations of its predecessor, but the predecessor shall nevertheless pay over,
transfer, assign and deliver all moneys, securities or other property held by it to the successor ,
,
agent, shall execute, acknowledge and deliver such instruments of conveyance and do such other ;
;
things as may reasonably be required to vest and confirm more fully and certainly in the
successor agent all right, title and interest in and to the property held by it hereunder. Any bank ¡
into which the Escrow Agent may be merged or with which it may be consolidated or any bank
resulting from any merger or consolidation to which it shall be a party or any bank to which it
may sell or transfer all or substantially all of its corporate trust business shall, if the City
approves, be the successor agent without the execution of any document or the performance of
any further act.
13. Successors and Assigns~ Beneficiaries. This Escrow Agreement shall be
irrevocable and binding upon and shall inure to the benefit of the City, the EDA and the Escrow
Agent and their respective successors and assigns. In addition, this Escrow Agreement shall
constitute a third party beneficiary contract for the benefit of the holders at any time of the
Refunded Bonds. Said third party beneficiaries shall be entitled to enforce performance and
observance by the City, the ED A and the Escrow Agent of the respective agreements and
covenants herein contained as fully and completely as if said third party beneficiaries were
parties hereto.
,
\)
1617299vl 5
(J ()
" 14. Supplemental Agreements. For anyone or more of the following purposes, the
\_~ City, the EDA and Escrow Agent may enter into any supplemental agreements to this Escrow
Agreement as shall not adversely affect the rights of the holder or holders of the Refunded Bonds
and as shall not be inconsistent with the terms and provisions of this Escrow Agreement, without
the consent of or notice to the holder or holders of the Refunded Bonds:
(a) To cure any ambiguity or formal defect or omission in this Escrow
Agreement;
(b) To grant to, or confer upon, the Escrow Agent for the benefit of the holder
or holders of the Refunded Bonds any additional rights, remedies, powers or authority
that may lawfully be granted to, or conferred upon, such holder or holders; and
(c) To provide additional funds, securities or properties under this Escrow
Agreement.
15. Consent Otherwise to Amendments. Except as expressly provided in paragraph
14 abovè, this Escrow Agreement may not be repealed, revoked, altered or amended without the
unanimous written consent of the City, the EDA and the holder or holders of the Refunded
Bonds, and the written consent of the Escrow Agent.
16. Headings. Headings in this Escrow Agreement are for convenience of reference
only and are not a part hereof, and shall not limit or defme the meaning of any provision hereof.
"
. )
'-_./
"
\~_ J
1617299vl 6
(,) 0
" '\ IN WITNESS WHEREOF, the City, the EDA and Escrow Agent have caused this
\._-) Escrow Agreement to be executed in their respective names, and have caused this Escrow
Agreement to be dated as of the date above fIrst written.
CITY OF ANDOVER, MINNESOTA
By ~ßd~
Its Máyor r -
J .
And By ¿L~ (}t¿V
Its Clerk
f'\
\.-' J
"-
,~
1617299vl S-l
() 0
\. ECONOMIC DEVELOPMENT AUTHORITY OF
"- ) THE CITY OF ANDOVER
\
" )
" \
'---...--)
1617299vl S-2
(~) u
) u.s. BANK NATIONAL ASSOCIATION
By
Its
And By
Its
~- J
!
i
!
-:~
1617299v1 S-3
r- f~ '\
~J U
'\ EXlllBIT A
,
\. )
NOTICE OF CALL FOR REDEMPTION
PUBLIC PROJECT REVENUE BONDS OF 1997 (CITY OF ANDOVER LEASE PURCHASE
PROJECT) OF THE ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF
ANDOVER
ANOKA COUNTY, MINNESOTA
NOTICE IS HEREBY GIVEN that by order of the Board of Commissioners of the
Economic Development Authority of the City of Andover, Anoka County, Minnesota, there have
been called for redemption and prepayment on
December 1, 2004,
those outstanding bonds of the Authority designated as Public Project Revenue Bonds of 1997
(City of Andover Lease Purchase Project), dated September 1, 1997, maturing on December 1 of
the years 2005 through 2016, and totaling $1,865,000 in principal amount. The bonds are being
called at their accreted value to December 1, 2004, on which date all interest on the bonds will
cease to accrue. Holders of the bonds hereby called for redemption are requested to present their
bonds for payment, at U. S. Bank National Association in St. Paul, Minnesota, on or before
~J December 1,2004.
Dated: February _, 2004.
BY ORDER OF THE BOARD OF
COMMISSIONERS
Isl tL¿;, . -j h
~1".t";lI.....i ¿ 0;.. vV'<-1
Clerk
ADD ANY ADDITIONAL INFORMATiON
(,-,)
1617299vl A-I
0 (J
,r) EXHIBIT B
"J ACKNOWLEDGMENT
I, being duly authorized to execute this acknowledgment on behalf of u.s. Bank National
Association (the "Bank"), as Escrow Agent, do hereby acknowledge that the City of Andover,
Minnesota (the "City"), has this date irrevocably deposited with the Bank in trust for the security
of the holders and owners of the Public Project Revenue Bonds of 1997 (City of Andover Lease
Purchase Project) of the Economic Development Authority of the City of Andover (the "EDA"),
dated September 1, 1997 as the date of original issue, that certain Escrow Deposit required to be
deposited with the Bank at the Bond Closing in accordance with the Escrow Agreement, dated
March 16,2004, by and between the Bank, the EDA and the City.
Dated March 16,2004.
(J U.S. BANK NATIONAL ASSOCIATION
By
Its
;
F ,
/
-
1617299vl B-1
0 (j
~..:
-, EXIDBIT C
~ )
'- .-
-- Accountant's Report
[to be supplied by 1
-)
,"d
" - ~
\
\ )
~-'
1617299vl C-l
;