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Resolution - 22-13: Property Tax Abatements CITY OF SPRING PARK SPRING PARK, MINNESOTA RESOLUTION #22-13 RESOLUTION APPROVING PROPERTY TAX ABATEMENTS BE IT RESOLVED by the City Council(the"Council") of the City of Spring Park,Minnesota (the "City"), as follows: 1. Recitals. (a) The City proposes to approve tax abatements in connection with the financing of the installation of underground electric lines located in the City (the "Project"). The City proposes to use the abatement for the purposes provided for in the Abatement Law(as hereinafter defined),including the Project. The proposed term of the abatement will be for up to fifteen (15)years in an amount not to exceed $375,000. The tax abatement will apply to the City's share of the property taxes (the "Abatement") derived from the property identified by the tax parcel identification numbers listed below (the "Property"): 1911723120023 1911723120027 1911723120025 1811723330047 1911723120024 1811723330046 1911723120026 1811723330045 (b) The Council held a public hearing on the same date hereof on the question of the Abatement, and said hearing was preceded by at least 10 days but not more than 30 days prior published notice thereof. (c) The City proposes to issue General Obligation Tax Abatement Bonds, Series 2022A (the "Bonds") in the aggregate principal amount not to exceed $375,000 to finance a portion of the costs of the Project. The City will pledge the Abatement to pay the principal and interest amount of the Bonds. (d) The Abatement is authorized under Minnesota Statutes, Sections 469.1812 through 469.1815 (the "Abatement Law"). 2. Findings for the Abatement. The City Council hereby makes the following findings: (a) The Council expects the benefits to the City of the Abatement to at least equal or exceed the costs to the City thereof. (b) Granting the Abatement is in the public interest because it will finance public infrastructure. (c) The Property is not located in a tax increment financing district. 73612171v1 (d) In any year, the total amount of property taxes abated by the City by this and other existing abatement resolutions, shall not exceed ten percent (10%) of net tax capacity of the City for the taxes payable year to which the abatement applies or $200,000, whichever is greater (the "Abatement Limit"). The City may grant other abatements permitted under the Abatement Law after the date of this resolution, provided that to the extent the total abatements in any year exceed the Abatement Limit the allocation of the Abatement limit to such other abatements is subordinate to the Abatement granted by this resolution. 3. Terms of Abatement. The Abatement is hereby approved. The terms of the Abatement are as follows: (a) The Abatement shall be for up to a fifteen (15) year period, anticipated to commence for the taxes payable in the year 2023. The City reserves the right to modify the commencement date, but the abatement period shall not exceed fifteen (15) years. (b) The City will abate the City's share of property tax amount which the City receives from the Property,not to exceed $375,000. (c) In accordance with Section 469.1815 of the Abatement Law, the City will add to its levy in each year during the term of the Abatement the total estimated amount of current year Abatement granted under this resolution. (d) The Abatement shall be subject to all the terms and limitations of the Abatement Law. ADOPTED by the City Council of the City of Spring Park this 6th day of June 2022. CITY OF SPRING PARK Ap ayor terk 7 73612171vl CITY CLERK'S CERTIFICATE I, the undersigned, being the duly qualified and acting City Clerk of the City of Spring Park, Minnesota (the "City"), DO HEREBY CERTIFY that I have compared the attached and foregoing extract of minutes with the original thereof on file in my office, and that the same is a full, true and complete transcript of the minutes of a meeting of the City Council of the City, duly called and held on the date therein indicated,insofar as such minutes relate to the approval of property tax abatements. WITNESS my hand this day o0% 1 52022. 1 lerk Sp g Park,Minnesota 736121710