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City Council Resolution 1995-46RESOLUTION NO. 95-46 SUPPLEMENTAL RESOLUTION BY THE CITY COUNCIL OF THE CITY OF MONTICELLO (THE "ISSUER") REGARDING THE ISSUANCE, SALE AND DELIVERY OF THE ISSUER'S SENIOR HOUSING REVENUE BONDS (MISSISSIPPI SHORES PROJECT) SERIES 1995 WHEREAS, the City Council of the City of Monticello (the "Issuer") on June 12, 1995 approved Resolution No 95-40(the "Resolution") authorizing the issuance, sale and delivery of the Issuer's Senior Housing Revenue Bonds (Presbyterian Homes Housing and Assisted Living Project) Series 1995 (the "Bonds") in the maximum principal amount of $3,500,000; and WHEREAS, the Issuer has determined a need to supplement the Resolution before delivery of the Bonds; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF MONTICELLO, MINNESOTA, AS FOLLOWS: 1. The Bonds shall be referred to as the Senior Housing Revenue Bonds (Mississippi Shores Project) Series 1995. 2. The Issuer hereby designates the Bonds as "qualified tax-exempt obligations" within the meaning of Section 265 (b) (3) of the Internal Revenue Code of 1986, as amended (the "Code") . In that connection, the Issuer makes the following factual statements and representations: (a) the Bonds are not "private activity bonds" as defined in Section 141 of the Code; (b) the reasonably anticipated amount of tax-exempt obligations (other than private activity bonds other than qualified 501(c) (3) bonds) that will be issued by the Issuer (and all subordinate entities of the Issuer) during the calendar year 1995 will not exceed $10, 000, 000; and (c) not more than $10,000,000 of obligations issued by the Issuer during calendar year 1995 have been designated for purposes of Section 265 (b) (3) of the Code. 3. This resolution supplements but does not otherwise modify the Resolution, and shall be in full force and effect from and after its passage. Adopted by the City Council of the Cit` 1995. T: Ci y Administ for SJB90410 MN190-47 KENNEDY & GRAVEN CHARTERED s at Law 470 Pillsbury Center, Minneapolis, Minnesota 55402 .JBERT A. ALSOP (612) 337-9300 JAMES J. THOMSON, JR. RONALD H. BATTY LARRY M. WERTHEIM STEPHEN J. BUBUL Facsimile (612) 337-9310 BONNIE L. WILKINS JOHN B. DEAN JOE Y. YANG MARY G. DOBBINS CORRINE A. HEINE DAVID L. GRAVEN (1929-1991) DAVID J. KENNEDY CHARLES L. LEFF,VERE WRITER'S DIRECT DIAL OF COUNSEL JOHN M. LEFEVRE, JR. ROBERT C. CARLSON ROBERT J. LINDALL ROBERT L. DAVIDSON ROBERT C. LONG WELLINGTON H. LAW JAMES M. STROMMF.N June 14, 1995 T. JAY SALMEN Rick Wolfsteller, Administrator City of Monticello City Hall P. 0. Box 1147 Monticello, MN 55362 RE: Senior Housing Bonds Dear Rick: As I mentioned on the phone to you, one final action by the City Council is needed in connection with the senior housing project. Enclosed is a resolution to be approved at the meeting on June 26. The resolution simply acknowledges that the bonds will be designated as the "Mississippi Shores Project," as the facility is not expected to be owned in long run by Presbyterian Homes Housing and Assisted Living, Inc. The resolution also designates the bonds as "qualified tax exempt obligations," which means that banks who purchase the bonds receive favorable tax treatment in connection with the Bonds. This designation increases the market for the bonds, and was intended to be included in the resolution approved on June 12. We currently expect that the Bonds will close by June 30. If you have questions about this resolution or any other aspect of the Bonds, please contact Stefanie Galey at 337-9300, who will be handling the closing in my absence . Very tru1 o rs ED Stephen J. Bubul cc: Distribution List SJB90412 MN190-47