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Res 1988 - 99 Designating Certain Bonds Issued in 1986 as "Qualified Tax-Exempt Obligations"554S Extract of Minutes of a Meeting of the City Council of the City of Mendota Heights, Minnesota Pursuant to due call and notice hereof, a regular meeting of the City Council of the City of Mendota Heights, Minnesota, was duly held at the City Hall, in said City on Tuesday , the 20 day of December , 1988, at 7 :30 P.M. The following members were present: Mayor Mertensotto, Councilmembers Witt, Blesener, Cummins, Hartmann and the following were absent: None Member Witt resolution and moved its adoption: introduced the following Resolution No. 88-99 RESOLUTION DESIGNATING CERTAIN BONDS ISSUED IN 1986 AS "QUALIFIED TAX-EXEMPT OBLIGATIONS" A. WHEREAS, the City of Mendota Heights, Minnesota (the "Issuer"), issued its $2,500,000 General Obligation Improve- ment Bonds, Series 1986 (the "Bonds") after August 7, 1986, the effective date of the federal Tax Reform Act of 1986; and B. WHEREAS, when the Bonds were issued, the Issuer made a designation that it intended to qualify the Bonds under Section 802(e)(3) of H.R. 3838 of the 99th Congress as passed by the House of Representatives; and C. WHEREAS, the Issuer covenanted to take such actions as are necessary to effectuate such attempted designation; and D. WHEREAS, for the Bonds to get the benefit of being designated as "qualified tax-exempt obligations" under Section 265(b)(3) of the federal Internal Revenue Code of 1986, as amended (the "Code"), it is necessary that the Issuer designate the Bonds pursuant to subparagraph (B) of Section 1009(b)(3) of the federal Technical and Miscellaneous Revenue Act of 1988 ("TAMRA") and Section 265(b)(3) of the Code; and E. WHEREAS, the Bonds qualify for such designation because they are not private activity bonds (or, if private activity bonds, are qualified 501(c)(3) bonds, or refund bonds which were not industrial development bonds or private loan bonds), the Issuer with respect to bonds issued in 1986 is a "qualified small issuer" of $10,000,000 or less of bonds, and not more than $10,000,000 of bonds issued in 1986 have been designated: NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Mendota Heights, Minnesota, as follows: 1. Designation of Qualified Tax -Exempt Obligations. In order to qualify the Bonds as "qualified tax-exempt obligations" within the meaning of Section 265(b)(3) of the Code, the Issuer hereby makes the following factual statements and representations: (a) the Bonds were issued after August 7, 1986; (b) the Bonds are not "private activity bonds" as defined in Section 141 of the Code, or, if private activity bonds, they are: (i) qualified 501(c)(3) bonds as defined in Section 145 of the Code, or (ii) obligations issued to refund (or which are part of a series of obligations issued to refund) obligations issued before August 8, 1986, which were not industrial development bonds (as defined in Section 103(b)(2) of the federal Internal Revenue Code of 1954, as amended, as in effect on the day before the date of the enactment of the federal Tax Reform Act of 1986) or a private loan bond (as defined in Section 103(o)(2)(A) as so in effect, but without regard to any exemption from such definition other than Section 103(o)(2)(A)); 2 (c) the Issuer hereby designates the Bonds as "qualified tax-exempt obligations" for purposes of Section 265(b)(3) of the Code; (d) at the time the Bonds were issued, the amount of tax-exempt obligations (other than private activity bonds, treating qualified 501(c)(3) bonds as not being private activity bonds) which had been and were to be issued in 1986 by the Issuer (and all entities treated as one issuer with the Issuer, and all subordinate entities thereof) during calendar year 1986 was not reasonably expected to and did not exceed $10,000,000; and (e) not more than $10,000,000 of obligations issued by the Issuer during calendar year 1986 have been designated for purposes of Section 265(b)(3) of the Code. The motion for the adoption of the foregoing resolution was duly seconded by member Hartmann , and after full discussion thereof and upon vote being taken thereon, the following voted in favor thereof: Mayor Mertensotto, Councilmembers Witt, Blesener, Cummins, Hartmann and the following voted against the same: None whereupon said resolution was declared duly passed and adopted. 3 STATE OF MINNESOTA COUNTY OF DAKOTA CITY OF MENDOTA HEIGHTS I, the undersigned, being the duly qualified and acting Clerk of the City of Mendota Heights, 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 City Council of said City duly called and held on the date therein indicated, insofar as such minutes relate to a resolution designating certain bonds as "qualified tax-exempt obligations". WITNESS my hand and the seal of the City this 12 day of January , 1989. (SEAL) 4 Clerk