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CITY OF HOPKINS
Hennepin County, Minnesota
RESOLUTION NO. 99-017
RESOLUTION SUPPLEMENTING RESOLUTION NO. 99-013 IN CONNECTION WITH
THE ISSUANCE AND SALE OF REVENUE OBLIGATIONS ON BEHALF OF
AUGUSTANA CHAPEL VIEW HOMES, INC.
BE IT RESOLVED by the City Council of the City of Hopkins, Minnesota (the "City"), as
follows:
1. By its resolution no. 99-013, this City Council has given its approval to the
issuance of revenue obligations for the purpose of financing the construction
of an expansion to the nursing facility owned and operated by Augustana
Chapel View Homes, Inc., a Minnesota nonprofit corporation (the
"Corporation"), in an aggregate principal amount not to exceed $700,000
pursuant to Minnesota Statutes, Sections 499.152 to 469.1651 (the "Act").
2. It has now been determined that such obligations are to be in the form of bonds
and are to be issued pursuant to a Trust Indenture (the "Indenture"), under
which a trustee will maintain various funds and accounts as security for the
holders of such bonds, and provide for the payment of such bonds. Forms of
the following documents have been submitted to the City and are now on file
in the office of the City Clerk:
(a) the Indenture;
(b) the Loan Agreement (the "Loan Agreement") between the City and the
Corporation, whereby the City agrees to make a loan to the Corporation
of the gross proceeds of sale of the bonds and the Corporation agrees to
pay amounts in repayment of the loan sufficient to provide for the full
and prompt payment of the principal of, premium, if any, and interest
on the bonds when due;
(c) the Combination Mortgage, Security Agreement and Fixture Financing
Statement and Assignment of Leases and Rents (the "Mortgage"), from
the Corporation to the City, and to be assigned by the City to the trustee
pursuant to an Assignment of Mortgage, by which the Corporation
grants, as security for the payment of the bonds, a mortgage lien on and
security interest in the Project, as mortgaged thereunder, and as more
fully described therein;
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~~ (d) the Bond Purchase Agreement (the "Bond Purchase Agreement"),
between the City, the Corporation and Miller, Johnson & Kuehn
Incorporated (the "Underwriter"), pursuant to which the Underwriter
agrees to purchase the bonds; and
(e) the form of the bonds.
3. The forms of bonds, Loan Agreement, Mortgage, Indenture and Bond
Purchase Agreement, referred to in paragraph 2, are approved. The Loan
Agreement, the Mortgage, the Indenture and Bond Purchase Agreement shall
be executed in the name and on behalf of the City by the Mayor, the City
Manager and the City Clerk, or executed or attested by other officers of the
City, in substantially the form on file, but with all such changes therein, not
inconsistent with the Act or other law, as may be approved by the officers
executing the same, which approval shall be conclusively evidenced by the
execution thereof and then shall be delivered to the Trustee.
4. The City shall proceed forthwith to issue the bonds, in a principal amount not
to exceed $700,000. The Mayor, City Manager, City Clerk and other City
officers are authorized and directed to prepare and execute the bonds. The
bonds shall contain a recital that they are issued pursuant to the Act, and such
recital shall to the extent permitted by law be conclusive evidence of the
validity and regularity of the issuance thereof.
5. All provisions of resolution no. 99-013 shall continue in full force and effect
from the date hereof, as supplemented hereby.
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Adopted by the City Council of the City of Hopkins this 16th day of March, 1999.
BY:
Eug a J. ell, Mayor pro tem
ATTE
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rry Oberm r, City Clerk
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