MINUTES TO SET DATE FOR HEARING ON ENTERING INTO A LOAN AGREEMENT
435926-33 (N/I)
Monticello, Iowa
December 5, 2022
The City Council of the City of Monticello, Iowa, met on December 5, 2022, at 6:00 o’clock p.m., at the Monticello Renaissance Center, 220 E. 1st Street, in the City.
The Mayor presided and the roll was called showing the following members of the Council present and absent:
Present: Wayne Peach, Brenda Hanken, Scott Brighton, Candy Langerman, Chris Lux, and Tom Yeoman.
Absent: None.
Council Member Langerman introduced the resolution hereinafter next set out and moved its adoption, seconded by Council Member Brighton; and after due consideration thereof by the Council, the Mayor put the question upon the adoption of the said resolution and the roll being called, the following named Council Members voted:
Ayes: Langerman, Brighton, Lux, Yeoman, Peach and Hanken.
Nays: None.
Whereupon, the Mayor declared the resolution duly
adopted as follows:
RESOLUTION NO.2022-151
Resolution to fix a date for a public hearing on proposal to enter into a Sewer Revenue Loan Agreement and to borrow money thereunder in a principal amount not to exceed $21,000,000
WHEREAS, the City of Monticello (the “City”), in Jones County, State of Iowa, did heretofore establish a Municipal Sanitary Sewer System (the “Utility”) in and for the City which has continuously supplied sanitary sewer service in and to the City and its inhabitants since its establishment; and
WHEREAS, the management and control of the Utility are vested in the City Council (the “Council”) and no board of trustees exists for this purpose; and
WHEREAS, the City now proposes to enter into a Sewer Revenue Loan Agreement (the “Loan Agreement”) and to borrow money thereunder in a principal amount not to exceed $21,000,000, pursuant to the provisions of Section 384.24A of the Code of Iowa, for the purpose of paying the cost, to that extent, of planning, designing and constructing improvements and extensions to the Utility (the “Project”), and it is necessary to fix a date of meeting of the City Council at which it is proposed to take action to enter into the Loan Agreement and to give notice thereof as required by such law;
NOW, THEREFORE, Be It Resolved by the City Council of the City of Monticello, Iowa, as follows:
Section 1. This City Council shall meet on December 19, 2022, at the Monticello Renaissance Center, 220 E. 1st Street, in the City, at 6:00 o’clock p.m., at which time and place a hearing will be held and proceedings will be instituted and action taken to enter into the Loan Agreement.
Section 2. The
City Clerk is hereby directed to give notice of the proposed action on the Loan
Agreement setting forth the amount and purpose thereof, the time when and place
where the said meeting will be held, by publication at least once, not less
than four (4) and not more than twenty (20) days before the meeting, in a legal
newspaper which has a general circulation in the City. The notice shall be in substantially the
following form:
NOTICE OF PROPOSED ACTION TO INSTITUTE PROCEEDINGS
TO ENTER INTO A LOAN AGREEMENT AND TO BORROW MONEY THEREUNDER IN A PRINCIPAL AMOUNT NOT TO EXCEED $21,000,000
(SEWER REVENUE)
The City Council of the City of Monticello, Iowa, will meet on December 19, 2022, at the Monticello Renaissance Center, 220 E. 1st Street, in the City, at 6:00 o’clock p.m., for the purpose of instituting proceedings and taking action to enter into a loan agreement (the “Loan Agreement”) and to borrow money thereunder in a principal amount not to exceed $21,000,000, for the purpose of paying the cost, to that extent, of planning, designing and constructing improvements and extensions to the Municipal Sanitary Sewer System (the “Utility”) of the City.
The Loan Agreement will not constitute a general obligation of the City, nor will it be payable in any manner by taxation but, together with any additional obligations of the City as may be hereafter issued and outstanding from time to time ranking on a parity therewith, will be payable solely and only from the net revenues of the Utility.
At the aforementioned time and place, oral or written objections may be filed or made to the proposal to enter into the Loan Agreement. After receiving objections, the City may determine to enter into the Loan Agreement, in which case, the decision will be final unless appealed to the District Court within fifteen (15) days thereafter.
By order of the City Council of the City of Monticello, Iowa.
Sally Hinrichsen
City Clerk
Section 3. Pursuant to Section 1.150-2 of the Income Tax Regulations (the “Regulations”) of the Internal Revenue Service, the City declares (a) that it intends to undertake the Project which is reasonably estimated to cost approximately $21,000,000, (b) that other than (i) expenditures to be paid or reimbursed from sources other than the issuance of bonds, notes or other obligations (the “Bonds”), or (ii) expenditures made not earlier than 60 days prior to the date of this Resolution or a previous intent resolution of the City, or (iii) expenditures amounting to the lesser of $100,000 or 5% of the proceeds of the Bonds, or (iv) expenditures constituting preliminary expenditures as defined in Section 1.150-2(f)(2) of the Regulations, no expenditures for the Project have heretofore been made by the City and no expenditures will be made by the City until after the date of this Resolution or a prior intent resolution of the City, and (c) that the City reasonably expects to reimburse the expenditures made for costs of the City out of the proceeds of the Bonds. This declaration is a declaration of official intent adopted pursuant to Section 1.150-2 of the Regulations.
Section 4. All resolutions or parts of resolutions in conflict herewith are hereby repealed to the extent of such conflict.
Section 5. This resolution shall be in full force and effect immediately upon its adoption and approval, as provided by law.
Passed and approved this December 5, 2022.
David Goedken, Mayor
Attest:
Sally Hinrichsen, City Clerk
• • • •
On motion and vote, the meeting adjourned.
David Goedken, Mayor
Attest:
Sally Hinrichsen, City Clerk
ATTESTATION CERTIFICATE:
STATE OF IOWA
COUNTY OF JONES SS:
CITY OF MONTICELLO
I, the undersigned, City Clerk of the aforementioned City, do hereby certify that attached hereto is a true and correct copy of the proceedings of the City Council relating to fixing a date for hearing on the City Council’s proposal to take action in connection with a Sewer Revenue Loan Agreement.
WITNESS MY HAND this 5th day of December, 2022.
Sally Hinrichsen, City Clerk
ORGANIZATION AND ESTABLISHMENT CERTIFICATE:
STATE
OF IOWA
COUNTY OF JONES SS:
CITY OF MONTICELLO
I, the undersigned City Clerk, do hereby certify that the aforementioned City is organized and operating under the provisions of Title IX of the Code of Iowa and not under any special charter and that such City is operating under the Mayor-Council form of government and that there is not pending or threatened any question or litigation whatsoever touching the incorporation of the City, the inclusion of any territory within its limits or the incumbency in office of any of the officials hereinafter named.
And I do further certify that the following named parties are officials of the City as indicated:
David Goedken_______________________, Mayor
Russell Farnum ______________________, City Administrator
Sally Hinrichsen ______________________, City Clerk
Sally Hinrichsen ______________________, City Treasurer
Chris Lux ___________________________, Council Member/Mayor Pro Tem
Wayne Peach ________________________, Council Member
Brenda Hanken _______________________, Council Member
Scott Brighton ________________________, Council Member
Candy Langerman _____________________, Council Member
Tom Yeoman_________________________, Council Member
I further certify that the City established the Municipal Sanitary Sewer System (the “Utility”) and that the Utility has been in continuous operation by the City since its establishment as aforesaid in supplying sanitary sewer service to the City and its inhabitants.
I further certify that the management and control of the Utility are vested in the City Council of the City, and that no board of trustees exists which has any part of the control and management of such Utility.
WITNESS MY HAND this 5th day of December, 2022.
Sally Hinrichsen, City Clerk
OUTSTANDING DEBT CERTIFICATE:
STATE
OF IOWA
COUNTY OF JONES SS:
CITY OF MONTICELLO
I, the undersigned, City Clerk of the City of Monticello, Iowa (the “City”), do hereby certify that the City has no bonds or other obligations of any kind now outstanding which are secured by and payable from the revenues derived from the operation of the Municipal Sanitary Sewer System (the “Utility”), except as follows:
| Date | Type | Principal Amount Outstanding | Maturity | |
| NONE | ||||
(Attach here a separate sheet listing any outstanding obligations of the City secured by and payable from the revenues of the Utility excluding the proposed issue, if any.)
WITNESS MY HAND this 6th day of December, 2022.
Sally Hinrichsen, City Clerk
PUBLICATION CERTIFICATE:
(PLEASE NOTE: Please do not date and return this certificate until you have received the publisher’s affidavit and have verified that the notice was published on the date indicated in the affidavit, but please return all other completed pages to us as soon as they are available.)
STATE OF IOWA
COUNTY OF JONES SS:
CITY OF MONTICELLO
I, the undersigned, City Clerk of the aforementioned City, do hereby certify that pursuant to the resolution of its City Council fixing a date of meeting at which it is proposed to take action to enter into a loan agreement, the notice, of which the printed slip attached to the publisher’s affidavit hereto attached is a true and complete copy, was published on the date and in the newspaper specified in such affidavit, which newspaper has a general circulation in the City.
WITNESS MY HAND this ____ day of December, 2022.
Sally Hinrichsen, City Clerk
(Attach here the publisher’s original affidavit with clipping of the notice, as published.)