HomeMy WebLinkAboutA024 - Letter to Dorsey & Whiteney dated June 1, 2009 - executed Loan AgreementJune 1, 2009
Diane R. Voss
City C I erk/Cl ty I lall
515 Clark Avenue
Ames, Iowa 50010-0811
Re: Ames, Iowa
$6,995,000 General Obligation Refunding Bonds, Series 2009A
Our File: 419370-40
Dear Diane:
Enclosed for your files is an executed original of the Loan Agreement.
Please contact Lis if you have questions.
Very truly yours,
v
Rebecca M. Stahle
Paralegal
RMS/
Enclosure
4834-2857-9843\1 6/1/20099:11 AM
Lil"-:3/11 (,ANA,[:>A
LOAN AGREEMENT
This Loan Agreement is entered into as of April 27, 2009, by and between the City of Arnes, Iowa (the
"City"), and Piper Jaffray & Co., Leawood, Kansas, (the "Purchaser"). The parties agree as follows:
1. The Purchaser shall loan to the City the sum of $6,995,000, and the City's obligation to repay
hereunder shall be evidenced by the issuance of General Obligation Refunding Bonds, Series 2009A in the
aggregate principal amount of $6,995,000 (the "Bonds").
2. The City has adopted a resolution (the "Resolution") authorizing and approving this f.,oan
Agreement and providing for the issuance of the Bonds and the levy of taxes to pay the principal of and interest oil
the Bonds for the purpose or purposes set forth in the Resolution. The Resolution is incorporated herein by
reference, and the parties agree to abide by the terms and provisions of the Resolution. In and by the Resolution,
provision has been made for the levy of a sufficient Continuing annual tax on all the taxable property within the City
for the payment of the principal of and interest on the Bonds as the same will respectively become due, arid the City
has irrevocably pledged the faith, credit, revenues and resources and all the real and personal property of the City for
the full and prompt payment of the principal of and interest on the Bonds.
3. The Bonds, in substantially the form set forth in the Resolution, shall be executed and delivered to
or on behalf of the Purchaser to evidence the City's obligation to repay the amounts payable hereunder. The Bonds
shall be dated April 27, 2009, shall be in denominations of $5,000 or integral multiples thereof, shall bear interest,
shall be payable as to principal on the dates and in the amounts, shall be subject to prepayment prior to maturity arid
shall contain such other terms and provisions as provided in the Bonds and the Resolution.
4. This Loan Agreement is executed pursuant to the provisions of Section 384.24A of the Code of
Iowa and shall be read and construed as conforming to all provisions and requirements of the statute.
IN WITNESS WHEREOF, we have hereunto affixed our signatures all as of the date first above written.
Attest:
City Clerk
CITY OF AMES, IOWA
B
Mayor
Steve Cavalier — Mana2inR Director
(Print Name and Title)