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<br />Generic GO Bond Proceeds 3 Ver – 10/26/2020
<br />Grant Agreement for Construction Grants
<br />
<br />General Obligation Bond Proceeds
<br />
<br />Grant Agreement - Construction Grant
<br />for the Big Island Park
<br />Project
<br />
<br /> THIS AGREEMENT shall be effective as of October 22, 2020, and is between the city of
<br />Orono, a statutory city (the “Public Entity”), and the Minnesota Department of Employment and
<br />Economic Development (DEED) (the “State Entity”).
<br />
<br />RECITALS
<br />
<br /> A. Under the provisions contained in Minnesota Statute§ 412.221 subd. 6, the Public Entity
<br />has been given the authority to predesign, design, construct, furnish, and equip improvements at Big
<br />Island Park, including a picnic area, trails and trail gates, restrooms, permanent seating, and
<br />interpretive panels; and
<br />
<br /> B. Under the provisions contained in the Laws of Minnesota, 2020, 5th Special Session,
<br />Chapter 3, Article 1, Section 21, Subdivision 30, (the “G.O. Bonding Legislation”) the State of
<br />Minnesota has allocated $300,000 (the “G.O. Grant”), which is to be given to the Public Entity as a
<br />grant to predesign, design, construct, furnish, and equip improvements at Big Island Park, including
<br />a picnic area, trails and trail gates, restrooms, permanent seating, and interpretive panels; and
<br />
<br /> C. Under the provisions contained in Minnesota Statute§ 471.15-471.16 the Public Entity has
<br />been given the authority to predesign, design, construct, furnish, and equip improvements at Big
<br />Island Park, including a picnic area, trails and trail gates, restrooms, permanent seating, and
<br />interpretive panels; (the “Governmental Program”) and
<br />
<br />D. The monies allocated to fund the grant to the Public Entity are proceeds of state general
<br />obligation bonds authorized to be issued under Article XI, § 5(a) of the Minnesota Constitution; and
<br />
<br /> E. The Public Entity’s receipt and use of the G.O. Grant to acquire an ownership interest in
<br />and/or improve real property (the “Real Property”) and, if applicable, structures situated thereon (the
<br />“Facility”) will cause the Public Entity’s ownership interest in all of such real property and structures
<br />to become “state bond financed property”, as such term is used in Minn. Stat. § 16A.695 (the “G.O.
<br />Compliance Legislation”) and in that certain “Fourth Order Amending Order of the Commissioner of
<br />Finance Relating to Use and Sale of State Bond Financed Property” executed by the Commissioner
<br />of Minnesota Management and Budget and dated July 30, 2012, as amended (the “Commissioner’s
<br />Order”), even though such funds may only be a portion of the funds being used to acquire such
<br />ownership interest and/or improve such real property and structures and that such funds may be used
<br />to only acquire such ownership interest and/or improve a part of such real property and structures.
<br />
<br /> F. The Public Entity and the State Entity desire to set forth herein the provisions relating to
<br />the granting of such monies and the disbursement thereof to the Public Entity, and the operation of
<br />the Real Property and, if applicable, Facility.
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