06-9720r
RESOLUTION NO. 9720
RESOLUTION AUTHORIZING AN INTERFUND LOAN BETWEEN THE CITY AND
RICHFIELD HRA IN THE APPROXIMATE AMOUNT OF $718,000
BE IT RESOLVED, by the City Council of City of Richfield, Minnesota:
WHEREAS, the City issued on behalf of the Richfield Housing and Redevelopment
Authority Taxable G.O. Temporary Tax Increment Bonds, Series 2003A to provide funding
on an interim basis for the Redeveloper, and
WHEREAS, as part of the issuance of the bonds, the Redeveloper agreed to be
responsible for payment of all principal and interest on the bonds using sales proceeds
from residential units from the development; and
WHEREAS, the bonds mature on February 1, 2006 with total principal and interest
due of $3,037,500; and
WHEREAS, there will be a deficiency in residential sales proceeds received by the
City from the Redeveloper at the bond maturity date of February 1, 2006 up to a balance of
$718,000
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Richfield,
Minnesota, as follows:
1. To authorize the establishment of an interfund loan between the City and the Richfield
HRA up to $718,000.
2. The term of the interfund loan shall be six months and principal and interest
("payments") on the interfund loan shall be payable by the Redeveloper on or before
August 1, 2006.
3. Payments on the interfund loan are payable solely from payments from the
Redeveloper.
Adopted by the City Council of the City of Richfield, Minnesota this 24th day of
January, 2006.
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Martin J. ~2 Mayor
ATTEST: