July 14, 2024 Donate

Public Notices

City of Saline: Resolution No. 2024-127

RESOLUTION TO AUTHORIZE ISSUANCE OF WASTEWATER TREATMENT PLANT 

JUNIOR LIEN REVENUE BONDS (2024 CWSRF), SERIES 2024 

Minutes of a regular meeting of the City Council of the City of Saline Washtenaw County, Michigan, held in the City Hall, 100 N. Hanis Street Saline, Michigan, on June 17,2024, at 7.00 p.m., local time.

PRESENT: Girbach, Ceo, Rice, Lesch, Harmount, Mayor Pro Tem Dillon, Mayor Marl

ABSENT: __________

The following Resolution was offered by Councilmember Girbach and supported by Councilmember Dillon:

WHEREAS, Council for the City deems it to be in necessary, desirable and in the best interests of the City to issue bonds in one or more series, pursuant to the Act 94, Public Acts of Michigan, 1933, as amended (‘Act 94″) for the purpose of defraying all or a portion of the cost of acquiring, constructing and installing certain improvements to the City’s sanitary sewer system, and rehabilitation, repair and replacement of the City’s public owned treatment works (“lmprovements” and as more fully define herein); and

WHEREAS, the Improvements will enable the City to provide more efficient better water quality and public services to the users of the sanitary sewer system and wastewater treatment plant; and

WHEREAS, the Improvements shall be financed in part by the issuance of revenue bonds or other evidences of indebtedness in accordance with the Act in the sum of not to exceed Eight Million Dollars ($8,000,000) with annual principal installments not to exceed thirty (30) in number; and

WHEREAS, pursuant to Section 33 of Act 94, on March 4, 2U4 the City adopted resolution #24-30 approving a Notice of Intent to Issue Bonds for the improvements not to exceed Fifteen Million Dollars (S15,000,000), and published a Notice of treatment to Issue Bonds for the Improvements in The Sun Times News, circulated in Washtenaw County on March 13, 2024; and

WHEREAS, Act 94 permits the City to authorize, within limitations that shall be contained in the authorization resolution, an officer to sell, deliver and receive payment for obligations, and to approve interest rates or methods for fixing interest rates, prices, discounts, maturities, principal amounts, denominations, dates of issuance, interest payment dates, optional and redemption rights or tender rights, obligations to be exercised by the City or the holder of the bonds, place of delivery and payment and other matters and procedures necessary to complete an authorized transaction.

NOW, THEREFORE, BE IT RESOLVED AS FOLLOWS:

Section l. DEFINITIONS. Except as provided in this Resolution, the definitions contained in the Prior Resolutions (defined below) shall apply to the terms in this Resolution. In addition, except when otherwise indicated by context, the following definitions shall apply to the terms in this Resolution:

(a) ‘Authorized Officer” means the Mayor, the City Manager, and the Treasurer of the City, or any one or more of them.

(b) “Bonds” as defined in the Prior Resolutions shall include the City of Saline Wastewater Treatment Plant Junior Lien Revenue Bonds (2024 CWSRF), Series 2024 (“2U4 SW Bonds”) which are being issued as Additional Bonds under Section 22 of the Prior Resolution.

(c) “Authority” means the Michigan Finance Authority created by Executive Order 2OlO-2, which, among other things, transferred to the Michigan Finance Authority the powers, duties and functions of the Michigan Municipal Bond Authority, created and established pursuant to Act 227, Public Acts of Michigan, 1985, as amended.

(d) “Construction Fund” shall mean the City of Saline Wastewater Treatment Plant Junior Lien Revenue Bonds (2024 CWSRF), Series 2024 – Construction Fund pursuant to Section 13.

(e) ‘Contract Documents” means the Purchaser Contract between the City and the Authority, the Supplemental Agreement by and among the City, the Authority and the State of Michigan acting through the Department of Environment, Great Lakes and Energy, and the Issuer’s Certificate for the 2024 SRF Bonds or such other closing documents required by the Authority for the issuance of the 2024 SRF Bonds.

(f) “lmprovements” means the design, acquisition and construction of improvements to the System, including but not limited to improvements to the wastewater treatment plant and related facilities and appurtenances, including but not limited to construction and installation of screw press for biosolids handling; improvements and repairs to the Pollution Control Facility Administrative Building; construction of a maintenance building; demolition, including demolition of sludge storage tank in parking lot; incorporation of remote pump stations; lining and repair of sanitary sewer mains and manholes consistent with infiltration and inflow removal; as well as all work necessary or incidental to these improvements.

(g) ‘’Prior Bonds” means the City’s 2015 Sanitary Sewer System Junior Lien Revenue Bonds dated June 25,2015, issued in the original aggregate principal amount of $3,600,000; the 2018 Sanitary Sewer System Junior Lien Revenue Bonds dated June 22, 2018, issued in the original aggregate principal amount of $4, I 75,000; and 2023 Wastewater Treatment Plant Junior Lien Revenue Bonds (2023 CWSRF), Series 2023 dated September 8,2023 issued in the original aggregate principal amount of $65,000,000.

(h) “Prior Resolutions” means the City’s Resolution 2023-l53 adopted June 26,2023; City’s Resolution 2018-99 adopted on May 7, 2018: and City’s Resolution 2015-2 adopted on May 18, 2015 to authorize the issuance of the Prior Bonds.

(i) “Resolution” means this Resolution and all amendments hereto.

(j) “2024 SRF Bonds” means the City’s “Wastewater Treatment Plant Junior Lien Revenue Bonds (2024 CWSRF), Series 2024”.

Section 2. NECESSITY: PUBLIC PURPOSE. It is hereby determined to be necessary for the public health, safety and welfare of the City to acquire, design and construct the Improvements to thr System in accordance with the maps, plans and specifications therefore.

Section 3. ESTIMATED COST: PERIOD OF USEFULNESS. The cost of the lmprovements have been estimated by the engineers to not-to-exceed S8,000,000, including the payment of legal, engineering, financial and other expenses, which estimate of cost is approved and confirmed, and the period of usefulness of the Improvements is estimated to be greater than thirty(30) years.

Section 4. ISSUANCE OF BONDS. To pay a portion of the cost of designing, acquiring and constructing the Improvements and to pay the legal and financial expenses and all other expenses incidental to the issuanceof thee 2024 SRF Bonds, the City shall borrow the sum of not-to-exceed $8,000,000 and issue its revenue bonds pursuant to the provisions of the Act. The 2024 SRF Bonds shall be issued in the aggregate principal sum of not-to-exceed S8,000,000, as finally determined by the Authorized Officer at the time of sale, or such lesser amount thereof as shall have been advanced to the City pursuant to the Contract Documents.

During the time funds are being drawn down by the City under the 2024 SRF Bonds, the Authority will periodically provide the City a statement showing the amount of principal that has been advanced and the date of each advance, which statement shall constitute prima facie evidence of the reported information; provided that no failure on the part of the Authority to provide such a statement or to reflect a disbursement or the correct amount of a disbursement shall relieve the City of its obligation to repay the outstanding principal amount actually advanced, all accrued interest thereon, and any other amount payable with respect thereto in accordance with the terms of the 2024 SRF Bonds.

Section 5. 2024 SRF BOND TERMS. The 2024 SRF Bonds shall be issued as one fully registered manuscript bond, shall be sold and delivered to the Authority in any denomination. The 2024 SRF Bonds shall be dated the date of delivery to the Authority, or such other date approved by the Authorized Officer, and shall be payable in principal installments, not to exceed thirty (30) annual installments, as finally determined by the order of EGLE at the time of the sale of the2024 SRF Bonds and approved by the Authority and Authorized Officer. Principal installments of the 2024 SRF Bonds shall be payable on October I of the years 2027 to 2056, inclusive, or such other payment dates as hereinafter provided. Interest on the 2024 SRF Bonds shall be payable on April I and October I of each year, commencing April l, 2025 or on such other interest payment dates as hereinafter provided. The 2024 SRF  Bonds shall bear interest at the rate of not-to-exceed 2.75U/o per annum as determined by the Authorized Officer, payable semi-annually on the dates determined by the Authorized Officer at the time of sale.

Notwithstanding the above. the final amount of any maturity and terms of he 2024 SRF Bonds shall be as provided in the Contract Documents and will be finally determined by the Authorized Officer; however, the annual principal installments shall not exceed thirty (30) in number and the total principal amount shall not exceed $8,000,000.

Section6. PAYMENT OF BONDS: PLEDGE OF NET REVENUES. As provided in Section 6 of the Prior Resolutions, the principal of and interest on the 2024 SRF Bonds. as Additional Bonds, shall be payable from the Net Revenues derived from the operation of the System, including future improvements, enlargements and extensions thereof, after provision has been made for the payment of expenses of administration, operation and maintenance thereof, and the Net Revenues of the System. including future enlargements, improvements and extensions thereof, are hereby pledged to the payment of the principal of and interest on the 2024 SRF Bonds. To secure the payment of the principal of and interest on the 2024 SRF Bonds, there is created pursuant to the Prior Resolutions, a statutory lien to and in favor of the Bondholders of the Bonds upon the Net Revenues of the System, including future enlargements, improvements, and extensions thereof, which is a junior lien of equal standing and priority with respect to the Net Revenues of the System securing other outstanding Junior Lien Bonds, but subordinate to the first lien on the Net Revenues of the System securing any First Lien Bonds that may be issued. The Net Revenues so pledged shall be and remain subject to such lien until the payment in full of the principal of and interest on the 2024 SRF Bonds or until Bonds are defeased as provided in the Prior Resolutions.

The 2024 SRF Bonds, including both principal and interest thereon, shall not be a general obligation of the City and shall not constitute an indebtedness of the City for the purpose of any debt limitations imposed by any constitutional, statutory or charter provisions.

Section 7. PRIOR REDEMPTION. The2024 SRF Bonds issued and sold to the Authority shall be subject to redemption prior to maturity by the City only with prior written consent of the Authority and on such terms as may be required by the Authority.

Section 8. PAYING AGENT AND REGISTRATION. 

(a) Appointment of Paying Agent. The initial Paying Agent for the 2024 SRF Bonds shall be the City Treasurer.

(b) Authority’s Depository. Notwithstanding any other provision of this 2024 SRF Bonds, so long as the Authority is the owner of this 2024 SRF Bonds, (a) the 2024 SRF Bonds are payable as to principal, premium, if any, and interest at The Bank of New York Mellon Trust Company, N.A., or at such other place as shall be designated in writing to the Issuer by the Authority (the “Authority’s Depository”); (b) the Issuer agrees that it will deposit with the Authority’s Depository payments of the principal of, premium, if any, and interest on this Bond in immediately available funds by 12:00 noon at least five (5) business days prior to the date on which any such payment is due whether by maturity, redemption or otherwise; in the event that the Authority’s Depository has not received the Issuer’s deposit by l2:00 noon on the scheduled day, the Issuer shall immediately pay to the Authority as invoiced by the Authority an amount to recover the Authority’s administrative costs and lost investment earnings attributable to that late payment; and (c) written notice of any redemption of this Bond shall be given by the Issuer and received by the Authority’s Depository at least forty (40) days prior to the date on which such redemption is to be made.

Section 9. SALE OF BONDS. The 2024 SRF Bonds shall be sold to the Authority. The City determines that a negotiated sale to the Authority is in the best interest of the City because the terms offered by the Authority are more favorable than those available from other sources of funding.

Section 10. BOND FORM. The 2024 SRF Bonds shall be substantially in the form attached hereto as Exhibit A, and incorporated herein, with such completions, changes and additions as may be required by the Authority or as recommended by the City’s bond counsel and approved by the officers of the City signing the 2024 SRF Bonds.

Section I l. AUTHORIZED OFFICER. The Authorized Officer is hereby designated, for and on behalf of the City, to do all acts and to take all necessary steps required to effectuate the sale, issuance and delivery of the 2024 SRF Bonds to the Authority. The Authorized Officer is hereby authorized to execute and deliver the Contract Documents in substantially the form on file with the Clerk with such changes,additions and completions as are approved by the Authorized Officer. The City hereby approves the Contract Documents in the form on file with the Clerk with such changes, additions and completions as are approved by the Authorized Officer. Notwithstanding any other provision of this Resolution, the Authorized Officer is authorized within the limitations of this Resolution to determine the specific interest rate or rates to be borne by the 2024 SRF Bonds, not exceeding the maximum rate allowed by law, the principal amount, interest payment dates, dates of maturities, and amount of maturities, redemption rights, the title of the 2024 SRF Bonds, date of issuance, and other terms and conditions relating to the 2024 SRF Bonds and the sale thereof provided, however, the annual principal installments of the 2024 SRF Bonds shall not exceed thirty (30) in number from the date of issuance of the 2024 SRF Bonds. The Authorized Officer’s approval of the terms shall be evidenced by his or her signature on the document or agreement stating such terms. The Authorized Officer is hereby authorized for and on behalf of theCity, without further Council approval, to do all acts and take all necessary steps required to effectuate the sale, issuance, and delivery of the 2024 SRF Bonds. The Authorized Officer, together with the Clerk and Treasurer, or any one or more of them, are authorized to execute any orders, receipts, agreements, pledge agreements, documents or certificates necessary to complete the transaction, including, but not limited to, any issuer’s certificate, any certificates relating to federal or state securities laws, rules or regulations, and any applications to the Michigan Departnent of Treasury, and any revenue sharing agreement. The City hereby approves the Revenue Sharing Pledge Agreement in the form on file with the Clerk with such changes as are approved by the Authorized Officer and authorizes the Authorized Officer to execute and deliver the Revenue Sharing Pledge Agreement if it is required by the Authority.

Section 12. EXECUTION OF BONDS. The Mayor or Mayor Pro Tem, and the Clerk or Deputy Clerk of the City, are hereby authorized and directed to sign the 2024 SRF Bonds, either manually or by facsimile signature, on behalf of the City. Upon execution, the 2024 SRF Bonds shall be delivered by the City to the purchaser thereof.

Section 13. CONSTRUCTION FUND. The proceeds of the 2024 SRF Bonds shall be deposited in the Construction Fund. Such moneys shall be used solely for the purpose for which the 2024 SRF Bonds were issued. Any unsuspected balance in the Construction Fund remaining after completion of the Improvements may be used for such purposes as allowed by law. After completion of the Improvements and disposition of the remaining 2024 SRF Bonds proceeds, if any, pursuant to the provisions of this Section, the Construction Fund shall be closed.

Section 14. CONTRACT WITH BONDHOLDERS. The provisions of this Resolution shall constitute a contract between the City and the Bondholders from time to time, and after the issuance of any of the 2024 SRF Bonds, no change, variation or alteration of the provisions of this Resolution may be made which would lessen the security for such Bonds. The provisions of this Resolution shall be enforceable by appropriate proceedings taken by such Bondholder either at law or in equity.

Section 15. TAX COVENANT. The City covenants to comply with existing provisions of the Code necessary to assure that the interest on the bonds will be and will remain excludable from gross income for federal tax purposes. The Authorized Officer and other appropriate officials of the City are authorized to do all things necessary (including the making of such covenants of the City as shall be appropriate) to assure that the interest on the Bonds will be and will remain excludable from gross income for federal tax purposes.

Section 16. PUBLICATION AND RECORDATION. This Resolution shall be published once in full in a newspaper of general circulation in the City qualified under state law to publish legal notices, and same shall be recoded in the records of the City and such recording authenticated by the signature of the City Clerk.

Section 17. RESOLUTION SUBJECT TO MICHIGAN LAW. The provisions of this Resolution are subject to the laws of the State of Michigan.

Section 18. SECTION HEADINGS. The section headings in this Resolution are furnished for convenience of reference only and shall not be considered to be a part of this Resolution.

Section 19. SEVERABILITUY. If any section, paragraph, clause orprovision ofthis Resolution shall be held invalid, the invalidity of such section, paragraph, clause or provision shall not affect any of the other provisions of this Resolution.

Section 20. CONFLICT: Except as provided above, all Resolutions and Resolutions or parts thereof, insofar as the same may be in conflict herewith, are hereby repealed to the extent of the conflict; provided that the foregoing shall not operate to repeal any provision thereof, the repeal of which would impair the obligation on the 2024 SRF Bonds or Prior Bonds.

Section 2l.. Pursuant to Section 6 of the Act, this Resolution shall be approved on the date of first reading and this Resolution shall be effective immediately upon its adoption.

YEAS: Council Members Girbach, Ceo, Rice, Lesch, Harmount, Mayor Pro Tem Dillon, Mayor Marl

NAYS: Council Members __________________________________

RESOLUTTON DECLARED ADOPTED 

EXHIBIT A-BOND FORM

R-1

UNITED STATES OF AMERICA

STATE OF MICHIGAN

COUNTY OF WASHTENAW

CITY OF SALINE

 

WASTEWATER TREATMENT PLANT

JUNIOR LIEN REVENUE BOND (2024 CWSRF), SERIES 2024

Interest Rate Maturity Date Date of Original Issue

2.75% See Schedule 1 2024

____________________________________________________________________________________

Registered Owner: Michigan Finance Authority

 

Principal Amount: Dollars ($_,000,000)

____________________________________________________________________________________

The City of Saline, Washtenaw County, Michigan (the “lssuer”), for value received, hereby acknowledges itself to indebted to and promises to pay, to the Michigan Finance Authority (the “Authority”) the Principal Amount set forth above or so much as thereof as shall have been advanced to the Issuer pursuant to a Purchase Contract between the Issuer and the Authority and a Supplemental Agreement by and among the Issuer, Authority and the State of Michigan, acting through the Department of Environment, Great Lakes and Energy, in lawful money of the United States of America on the maturity dates and in the amounts set forth in Schedule I attached hereto, unless redeemed prior thereto as hereinafter provided.

The Principal Amount shall be payable on the dates and in the annual principal installment amounts set forth on Schedule I attached hereto and made a part hereof, as such Schedule may be adjusted if less than $_,000,000 is disbursed to the Issuer or if a portion of the Principal Amount is prepaid as provided below, with interest on said principal installments from the date each said installment is delivered to the holder hereof until paid at the rate of 2.750o/o per annum. Interest is first payable on April 1,2025 and semiannually thereafter and principal is payable on the first day of October commencing October 1,2027 (as identified in the Purchase Contract) and annually thereafter.

During the time funds are being drawn down by the Issuer under this Bond the Authority will periodically provide the Issuer a statement showing the amount of principal that has been advanced and the date of each advance, which statement shall constitute prima facie evidence of the reported information; provided that no failure on the part of the Authority to provide such a statement or to reflect a disbursement or the conect amount of a disbursernent shall relieve the Issuer of its obligation to repay the outstanding principal amount actually advance4 all accrued interest thereon, and any other amount payable with respect thereto in accordance with the terms of this Bond.

Notwithstanding any other provision of this Bond, so long as the Authority is the owner of this Bond (a) this Bond is payable as to principal, premium, if any, and interest at U.S. Bank Trust Company, National Association, or at such other place as shall be designated in writing to the Issuer by the Authority (the “Authority’s Depository’); (b) the Issuer agrees that it will deposit with the Authority’s Depository payments of the principal of premium, if any, and interest on this Bond in immediately available funds by 12:00 noon at least five business days prior to the date on which any such payment is due whether by maturity, redemption or otherwise; in the event that the Authority’s Depository has not received the Issuer’s deposit by 12:00 noon on the scheduled day, the Issuer shall immediately pay to the Authority as invoiced by the Authority an amount to recover the Authority’s administrative costs and lost investment eamings attributable to that late payment; and (c) written notice of any redemption of this Bond shall be given by the Issuer and received by the Authority’s Depository at least 40 days prior to the date on which such redemption is to be made.

Additional Interest. In the event of a default in the payment of principal or interest hereon when due, whether at maturity, by redemption or otherwise, the amount of such default shall bear interest (the “additional interest”) at a rate equal to the rate of interest which is two percent above the Authority’s cost of providing funds (as determined by the Authority) to make payment on the bonds of the Authority issued to provide funds to purchase this Bond but in no event in excess of the maximum rate of interest permitted by law. The additional interest shall continue to accrue until the Authority has been fully reimbursed for all costs incurred by the Authority (as determined by the Authority) as a consequence of the Issuer’s default. Such additional interest shall be payable on the interest payment date following demand of the Authority. In the event that (for reasons other than the default in the payment of any municipal obligation purchased by the Authority) the investment of amount in the reserve account established by the Authority for the bonds of the Authority issued to provide funds to purchase this Bond fails to provide sufficient available funds (together with any other funds which may be made available for such purpose) to pay the interest on outstanding bonds of the Authority issued to fund such account, the Issuer shall and hereby agrees to pay on demand only the Issuer’s pro rata share (as determined by the Authority) of such deficiency as additional interest on this Bond.

This Bond, being one fully registered manuscript bond payable serially as set forth on Schedule I, is issued in accordance with the provisions of Act 94, Public Acts of Michigan, 1933, as amended and resolutions adopted by the City Council of the Issuer on May 18, 2015, May 7,2018, June 23, 2023 and, June 17, 2024 (together, the “Resolutions’), for the purpose of paying the cost of acquiring and constructing improvements to the System. This Bond is a self-liquidating Bond and is not a general obligation of the Issuer within any constitutional, statutory or charter limitation, but is payable, both as to principal and interest solely from the Net Revenues of the System. The principal of and interest on this Bond are secured by a statutory lien on the Net Revenues.

The Issuer hereby covenants and agrees to funq and maintain at all times while any of the Bonds shall be outstanding such nates for service furnished by the System as shall be sufficient to provide for payment of the principal of and interest upon all such Bonds as and when the same become due and payable, to maintain a bond and interest redemption account, a bond reserve account and to provide for the payment of expenses of administration and operation and such expenses for maintenance of the System as are necessary to preserve the same in good repair and working order, and to provide for such other expenditures and funds for the System as are required by the Resolutions. The statutory liens securing the Issuer’s Firs Lien Bonds (as defined in the Resolution) are firs liens that shall be superior to the lien on the Net revenues securing this Bond. The Bonds of this series shall have equal standing with the Issuer’s Junior Lien Bonds (as defined in the Resolution) and any Additional Junior Lien bonds (as defined in the Resolution) that may be issued pursuant to the Resolutions. Additional bonds of superior standing to the bonds of this series may be issued pursuant to the Resolutions. For a complete statement of the revenues from which, and the conditions under which, this Bond is payable, a statement of the conditions under which additional bonds of equal or superior standing may hereafter be issued, and thegeneral covenants and provisions pursuant to which this Bond is issued reference is made to the Resolutions.

It is hereby certified and recited that all acts, conditions and things required by law, precedent to and in the issuance of this Bon4 exist and have been done and performed in regular and due time and form as required by law and trat the toal indebtedness of the Issuer including this Bond, does not exceed any charter, constitutional or statutory limitation.

IN WITNESS WHEREOF, the City of Saline, Washtenaw County, Michigan, by is City Council, has caused this Bond to be signed, by the manual or facsimile signatures of its Mayor and Clerk all as of the 19th day of June, 2024.

CERTIFICATE OF REGISTRATION AND AUTHENTICATION

This Bond represents the total authorized issue of the City of Saline Wastewater Treatment Plan Junior Lien Revenue Bonds (2023 CWSRF), Series 2023, in the principal amount of $8,000,000.00 and has been registered in the name of the Registered Owner designated on the face hereof in the bond register maintained for the City of Saline.

TRANSFER

For value received, the undersigned hereby sells, assigns and transfers unto ____________________ (tax identification or Social Security No._______) the within Bond and all rights thereunder, and hereby constitutes and appoints _______________ attorney, to transfer the within Bond on the books kept for registration thereof by the Paying Agent with full power of substitution in the premises.

Dated: ________

Notice: The signature to tris assignment must correspond with the name as it appears on the registration books every particular, without alteration or enlargement or any change whatever.

SCHEDULE 1

Name of Issuer: City of Saline

EGLE Project No.

Project Description: Wastewater Treatment Plant Improvements

EGLE Approved Amt: $______

PAYMENT SCHEDULE

Based on the schedule provided below unless revised as provided in this paragraph, repayment of principal of the Bond shall be made until the full amount advanced to the Issuer is repaid. In the event the Order of Approval issued by the Department of Environment, Great Lakes, and Energy, (the “Order”) approves a principal amount of assistance less than the amount of the Bond delivered to the Authority, the Authority shall only disburse principal up to the amount stated in the Order. In the event (l) that the payment schedule approved by the Issuer and described below provides for payment of a total principal amount greater than the amount of assistance approved by the Order, (2) that less than the principal amount of assistance approved by the Order is disbursed to the Issuer by the Authority or (3) that any portion of the principal amount of assistance approved by the Order and disbursed to the Issuer is forgiven pursuant to the Order, the Authority shall prepare a new payment schedule which shall be effective upon receipt by the Issuer.

Interest on the Bond shall accrue on that portion of principal disbursed by the Authority to the Issuer which has not been forgiven pursuant to the Order from the date such portion is disbursed, until paid, at the rate of _._% per annum, first payable April 1, 2025, and semi-annually thereafter.

The Issuer agrees that it will deposit with the Authority’s Depository or at such other place as shall be designated in writing to the Issuer by the Authority (“Authority’s Depository”) payments of the principal of, premium, if any, and interest on this Bond in immediately available funds by 12:00 noon at least five business days prior to the date on which any such payment is due whether by maturity, redemption or otherwise. In the event that the Authority’s Depository has not received the lssuer’s deposit by 12:00 noon on the scheduled day, the Issuer shall immediately pay to the Authority as invoiced by the Authority an amount to recover the Authority’s administrative costs and lost investment eamings attributable to that late payment.

CERTIFICATION

STATE OF MICHIGAN

COUNTY OF WASHTENAW

  1. Teni Royal, the duly qualified and acting Clerk of the City of Saline, Washtenaw County, Michigan do hereby certify that the foregoing is a true and complete copy of a resolution adopted by the City Council at a regular meeting held on June 17, 2024, and that notice of said meting was given pursuant to Act. No. 267, Public Acts of Michigan, 1976, as amended.

IN WITNESS WHEREOF, I further hereunto affixed my signature this 19th day of June, 2024