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Res 2018-19 Host Approval for St Paul Park BondsCITY OF FRIDLEY, MINNESOTA RESOLUTION NO. 2018 -19 RESOLUTION CONSENTING TO AND PROVIDING HOST APPROVAL TO THE ISSUANCE BY THE CITY OF ST. PAUL PARK OF ITS REVENUE BONDS WHEREAS, the City of Fridley, Minnesota (the "City") is a home rule charter city and political subdivision duly organized and existing under its charter and the laws of the State of Minnesota; and WHEREAS, pursuant to Minnesota Statutes, Sections 469.152 through 469.1655, as amended (the "Act"), the City is authorized to carry out the public purposes described in the Act by providing for the issuance of revenue bonds to provide funds to finance or refinance revenue-producing enterprises located within the City, whether or not operated for profit, engaged in providing health care services, including, without limitation, hospitals and related medical facilities or to refund, in whole or in part, bonds previously issued under the authority of the Act; and WHEREAS, Minnesota Statutes, Section 471.656, as amended, authorizes a municipality to issue obligations to finance the acquisition or improvement of property located outside of the corporate boundaries of such municipality if the governing body of the city in which the property is located consents by resolution to the issuance of such obligations; and WHEREAS, on December 30, 2013, the City issued its Health Care Facilities Revenue Note (BHS/Allina TCU Project), Series 2013 (the "Series 2013 Note"), in the original aggregate principal amount of $10,000,000, pursuant to the Act and Minnesota Statutes, Section 471.656, and loaned the proceeds thereof to PHS Interlude Fridley, LLC, a Minnesota nonprofit limited liability company formerly known as Benedictine Living Center of Fridley, LLC (the "Borrower"), whose members are Presbyterian Homes Care Centers, Inc. and Allina Health System, both Minnesota nonprofit corporations, for the purpose of financing a portion of a 50 -bed transitional care facility (the "Fridley Facility") located at 520 Osborne Road NE on the Unity Hospital/Allina campus in the City, which is owned by the Borrower; and WHEREAS, the Borrower has requested that the City of St. Paul Park, Minnesota (the "City of St. Paul Park") issue revenue obligations, in one or more series, as taxable or tax-exempt obligations (the "Bonds"), in an aggregate principal amount not to exceed $26,000,000, for the purposes of, among other things, refinancing the Fridley Facility through the redemption and prepayment of the outstanding Series 2013 Note; and WHEREAS, Section 147(f) of the Internal Revenue Code of 1986, as amended (the "Code"), and regulations promulgated thereunder require that prior to the issuance of the Bonds, the City Council of the City (the "City Council") consent to the issuance of the Bonds by the City of St. Paul Park after conducting a public hearing thereon preceded by publication of a notice of public hearing (in the form required by Section 147(f) of the Code and applicable regulations) in a newspaper of general circulation within the City at least fourteen (14) days prior to the public hearing date; and WHEREAS, a notice of public hearing (the "Public Notice") was published at least fourteen (14) days before the regularly scheduled meeting of the City Council on the date hereof in the Sun Focus, the official newspaper of and a newspaper of general circulation in the City, with respect to the required public hearing under Section 147(f) of the Code; and Resolution No. 2018 - 19 Page 2 WHEREAS, on the date hereof, the City Council conducted a public hearing at which a reasonable opportunity was provided for interested individuals to express their views, both orally and in writing, on the following: (i) consent to the issuance of the Bonds by the City of St. Paul Park pursuant to the requirements of Section 147(f) of the Code and the regulations promulgated thereunder; and (ii) approval of the issuance of the Bonds by the City of St. Paul Park to refund the Series 2013 Note pursuant to the requirements of Section 469.155, subdivision 12 the Act; and NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FRIDLEY, MINNESOTA, AS FOLLOWS: I. The City Council finds that it is in the best interest of the City to approve the issuance of the Bonds by the City of St. Paul Park to refinance the Fridley Facility and hereby consents to the issuance of the Bonds by the City of St. Paul Park for the purposes set forth above in an amount not to exceed $26,000,000. 2. The City Council hereby approves and consents to the refunding of the City's Series 2013 Note. 3. The Mayor and City Manager and other officers, employees, and agents of the City are hereby authorized and directed to prepare and furnish to bond counsel and the original purchaser of the Bonds certified copies of all proceedings and records of the City relating to the approval of the issuance of the Bonds, including a certification of this resolution. 4. The Mayor and the City Manager are hereby authorized and directed to execute and deliver any documents deemed necessary to fulfill the intentions of this resolution. 5. The Borrower will, upon demand, reimburse the City for costs paid or incurred by the City in connection with this resolution. This resolution shall be in full force and effect from and after its passage. Approved by the City Council of the City of Fridley, Minnesota this 23rd day of April, 2018. SCOTT J. LUND — MAYOR ATTEST: DEBRA A. SKOGEN — CITY CLERK