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, <br /> � . <br /> �� � <br /> � <br /> • O '=��. O <br /> � . I�� CITY of ORONO . <br /> � �yf%... Y7 <br /> '�� � ' , G��' <br /> RESOLUTION OF THE CITY COUNCIL <br /> ��kESI3�g'� � NO. � � � Q' <br /> A RESOLUTION ESTABLISHING PROCEDURES <br /> RELATING TO COMPLIANCE WITH REIMBURSEMENT BOND <br /> REGULATIONS UNDER THE INTERNAL REVENUE CODE <br /> BE IT RESOLVED by the City Council in and for the City of Orono, Minnesota (the "City"), as <br /> follows: <br /> 1. Recitais. <br /> (a) The Internal Revenue Service has issued Treasury Regulations,Section 1.150- <br /> 2 (as the same may be amended or supplemented, the "Regulations"), dealing with <br /> "reimbursement liond"proceeds,being proceeds of the City's bonds used to reimburse the <br /> City for any project expenditure paid by the City prior to the time of the issuance of those <br /> . bonds. , � . <br /> (b) The Regulations generally require that the City make a declaration of intent � <br /> , to reimburse itself for such prior expenditures out of the proceeds of subsequently issued <br /> bonds,that such declaration be made not later than 60 days after the expenditure is actually <br /> paid,and that the bonding occur and the written reimbursement allocation be made from the <br /> proceeds of such bonds within 18 months after the later of(1) the date of payment of the <br /> expenditure or(2)the date the project is placed in service(but in no event more than 3 years <br /> � after actual payment). <br /> (c) The City heretofore implemented procedures for compliance with the <br /> predecessor versions of the Regulations and desires to amend and supplement those <br /> procedures to ensure compliance with the Regulations. � <br /> (d) The City's bond counsel has advised the City that the Regulations do not <br /> apply, and hence the provisions of this Resolution are intended to have no application to <br /> payments of City project costs first made by the City out of the proceeds of bonds issued <br /> prior to the date of such payments. <br /> 2. Official Intent lleclaration. The Regulations, in the situations in which they apply, <br /> require the City to have declared an official intent (the "Declaration") to reimburse itself for <br /> . Pa�e 1 of 3 <br />