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<br />1 <br /> <br />.. <br />"' <br /> <br />{) <br /> <br />~; <br /> <br />- ~,~ <br /> <br />RESOLUTION NO. 88-93 <br /> <br />RESOLUTION AUTHORIZING <br />THE ISSUANCE AND SALE OF <br />VARIABLE RATE DEMAND INDUSTRIAL <br />DEVELOPMENT REFUNDING REVENUE BONDS <br />TO FINANCE THE PROJECT <br />(TAYLOR CORPORATION PROJECT) <br /> <br />BE IT RESOLVED by the Council of the City of New <br />Brighton, Minnesota, as follows: <br /> <br />1. On November 26, 1984 the City issued its <br />$1,425,000 Industrial Development Revenue Bond (Print Craft <br />Investment Company Project) (the "Prior Bond") to provide <br />financing for construction of a manufacturing facility (the <br />"Project") by Print Craft Investment Company, which was leased <br />to Print Craft, Inc., a Minnesota corporation. Print Craft, <br />Inc. was acquired by Taylor Corporation, a Minnesota <br />corporation (the "Company") and the Project was also sold to <br />the Company. The Council has received a proposal from the <br />Company that the City undertake to refinance the Project, <br />pursuant to Minnesota Statutes, Sections 469.152 through <br />469.165 (the "Act"), through issuance by the City of its <br />$1,415,000 Variable Rate Demand Industrial Development Revenue <br />Refunding Bonds, Series 1988 (Taylor Corporation Project) (the <br />"Bonds") . <br /> <br />2. It is propos~d that, pursuant to a Loan <br />Agreement dated September 1, 1988, between the City and the <br />Company (the "Loan Agreement"), the City loan the proceeds of <br />the Bonds to the Company to redeem and refund the outstanding <br />principal balance of the Prior Bond which was issued to <br />partially finance the cost of the Project. The basic payments <br />to be made by the Company under the Loan Agreement are fixed <br />so as to produce revenue sufficient to pay the principal of, <br />premium, if any, and interest on the Bonds when due. It is <br />further proposed that the City assign its rights to the basic <br />payments and certain other rights under the Loan Agreement to <br />, in Minneapolis, Minnesota <br />(the "Trustee") as security for payment of the Bonds under an <br />Indenture of Trust dated September 1, 1988 (the "Indenture"). <br />To further secure the payment of the Bonds and the interest <br />thereon, the Company will deliver a Standby Irrevocable Letter <br />of Credit in the initial ?mount necessary to secure payment of <br />all principal and interest due on the Bonds in the event of <br />