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3.5. SR 09-20-1999 rll ---'\) ( ); tli( MEMORANDUM ** ITEM3.5.** River TO: Mayor & City Council Lori Johnson, Finance Director 'f\~ September 20, 1999 FROM: DATE: SUBJECT: Resolution of Application to the Minnesota Public Facilities Authority The city received a Transportation Revolving Loan Fund loan for the Tyler Street connection from highway 10 to the existing Tyler Street. In order to process the final application, the attached resolution must be approved by the City Council. This is a new program which provides loan funds at an interest rate lower than the rate the city would receive on a city bond issue. Action Requested . The Council is asked to approve the attached resolution applying for funds from the Transportation Revolving Loan Fund. . 13065 Orono Parkway · P.O. Box 490 · Elk River, MN 55330. TDD & Phone: (612) 441-7420. Fax: (612) 441-7425 . . . RESOLUTION 99-_ A RESOLUTION OF APPLICATION TO THE MINNESOTA PUBLIC FACILITIES AUTHORITY TRANSPORTATION REVOLVING LOAN FUND BE IT RESOLVED that the City of Elk River is hereby applying to the Minnesota Public Facilities Authority for a loan from the Transportation Revolving Loan Fund for the reimbursement of capital costs for the described project: Construct 3.34 miles of four-lane divided highway for new transportation corridor from TH 10 to Tyler Street. BE IT FURTHER RESOLVED that the City of Elk River estimates that it will require a loan from the Minnesota Public Facilities Authority in the maximum principal amount of $1,219,000, or the as-bid cost of the project for the above stated purpose. BE IT FURTHER RESOLVED that the City of Elk River has the legal authority to apply for such financial assistance, and the financial, technical, and managerial capacity to ensure proper construction, operation and maintenance of the project for its design life and repayment of the financial assistance. BE IT FURTHER RESOLVED that the City of Elk River hereby expresses its official intent to use proceeds of this loan to reimburse construction expenditures incurred prior to the issuance of its general obligation or revenue bond to the Public Facilities Authority. I CERTIFY THAT the above resolution was adopted by the City of Elk River on September 20,1999. SIGNED: Stephanie A. Klinzing, Mayor WITNESSED: Sandra A. Peine, City Clerk s: \ document \resoluti \mnpubfac.doc