Packet text, July 16, 2025
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AGENDA
CITY COUNCIL SPECIAL SESSION
July 16, 2025
5:00 PM
I. Call to Order
II. Agenda
II.A Agenda for July 16, 2025
Summary Report
7-16-25 Agenda Special Meeting.doc
III. Business to be discussed and Possible Action
III.A George Eilertson, Northland Securities – Review Bond Sale Results
Summary Report
III.B Resolution 2025-22 Awarding the Sale of General Obligation Bonds Series 2025A
Summary Report
Resolution 2025-22 Awarding the Sale of General Obligation Bonds Series
2025A.docx
III.C Abdo Proposal for Accounting Services
Summary Report
Abdo Accounting Services Proposal.pdf
IV. Adjourn
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AGENDA ITEM NO. II.A
Agenda Item Summary
CITY COUNCIL AGENDA ITEM REPORT
DATE: July 16, 2025
SUBMITTED BY: Holli Gudknecht, Administration
ITEM TYPE: Agenda
AGENDA SECTION: Agenda
SUBJECT: Agenda for July 16, 2025
SUGGESTED ACTION:
ATTACHMENTS:
7-16-25 Agenda Special Meeting.doc
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AGENDA
Special Meeting*
Wednesday, July 16, 2025
5:00 pm
Kenyon City Hall
1. Call to Order
2. George Eilertson, Northland Securities – Review Bond Sale Results
3. Resolution 2025-22 Awarding the Sale of General Obligation Bonds Series 2025A
4. Abdo Proposal for Accounting Services
5. Adjourn
Scott Lehner, City Administrator
Posted: July 11, 2025
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AGENDA ITEM NO. III.A
Agenda Item Summary
CITY COUNCIL AGENDA ITEM REPORT
DATE: July 16, 2025
SUBMITTED BY: Holli Gudknecht, Administration
ITEM TYPE: New Business
AGENDA SECTION: Business to be discussed and Possible Action
SUBJECT: George Eilertson, Northland Securities – Review Bond Sale Results
SUGGESTED ACTION:
ATTACHMENTS:
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AGENDA ITEM NO. III.B
Agenda Item Summary
CITY COUNCIL AGENDA ITEM REPORT
DATE: July 16, 2025
SUBMITTED BY: Holli Gudknecht, Administration
ITEM TYPE: New Business
AGENDA SECTION: Business to be discussed and Possible Action
SUBJECT: Resolution 2025-22 Awarding the Sale of General Obligation Bonds
Series 2025A
SUGGESTED ACTION: MOTION NEEDED
ATTACHMENTS:
Resolution 2025-22 Awarding the Sale of General Obligation Bonds Series 2025A.docx
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EXTRACT OF MINUTES OF MEETING
OF THE CITY COUNCIL OF THE
CITY OF KENYON
GOODHUE COUNTY, MINNESOTA
Pursuant to due call and notice thereof, a regular meeting of the City Council of the City of Kenyon,
Minnesota, was duly held in the City Hall in said City on July 16, 2025, commencing at 5:00 o’clock p.m.
The following members were present:
and the following were absent:
Member _____________________ introduced the following resolution and moved its adoption:
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RESOLUTION NO. 2025-22
CITY OF KENYON
COUNTY OF GOODHUE
STATE OF MINNESOTA
RESOLUTION AWARDING THE SALE OF GENERAL
OBLIGATION BONDS, SERIES 2025A, IN THE ORIGINAL
AGGREGATE PRINCIPAL AMOUNT OF $[3,205,000]; FIXING
THEIR FORM AND SPECIFICATIONS; DIRECTING THEIR
EXECUTION AND DELIVERY; AND PROVIDING FOR THEIR
PAYMENT
BE IT RESOLVED by the City Council (the “Council”) of the City of Kenyon, Goodhue County,
Minnesota (the “City”) as follows:
Section 1. Findings, Determinations; Sale of Bonds.
1.01. Background. The Council is proposing to issue general obligation improvement bonds and
utility revenue bonds. In connection therewith, it is hereby determined that:
(a) Improvement Bonds.
(i) The City is authorized by Minnesota Statutes, Chapter 475, as amended
(the “Act”) and Minnesota Statutes, Chapter 429, as amended (“Chapter 429”), to issue
obligations in such amounts as it deems necessary to defray in whole or in part the expense
incurred and estimated to be incurred in making improvements authorized by Chapter 429.
(ii) Pursuant to Chapter 429, certain assessable public street improvements
have been made, duly ordered, or contracts let for the construction thereof within the City
(the “Improvements Project”).
(iii) The Council finds and determines that it is necessary and expedient to the
sound financial management of the affairs of the City to issue and its general obligation
bonds in the proposed principal amount of $1,355,000 (the “Improvements Portion”),
pursuant to the Act and Chapter 429, to provide financing for the Improvements Project
and related financing costs.
(b) Utility Revenue Bonds.
(i) The City is authorized by the Act and Minnesota Statutes, Chapter 444, as
amended (“Chapter 444”), to issue general obligation revenue bonds to finance the costs
of improvements to the City’s water utility systems.
(ii) The City engineer has recommended the construction of various
improvements to the City’s sewer, water, and storm sewer systems (the “Utility Project”).
(iii) The Council finds it is necessary and expedient to the sound financial
management of the affairs of the City to issue general obligation bonds in the proposed
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principal amount of $1,850,000 (the “Utility Portion”), pursuant to the Act and Chapter
444, to provide financing for the Utility Project and related financing costs.
(c) The Council hereby ratifies, confirms and approves all prior actions taken by the
Council and City staff in connection with the Improvements Project and the Utility Project.
(d) The Council hereby determines that the Improvement Portion and the Utility
Portion shall be issued together in a single series in the aggregate principal amount of $3,205,000
(the “Bonds”). The Council designates the Bonds as the “General Obligation Bonds,
Series 2025A.” (the “Bonds”). The Improvement Project and the Utility Project are hereinafter
collectively referred to as the “Project.”
(e) The City desires to proceed with the sale of the Bonds by direct negotiation with
Northland Securities, Inc., Minneapolis, Minnesota (the “Purchaser”). The Purchaser will purchase
the Bonds in an arm’s-length commercial transaction with the City. The City hereby retains Blue
Rose Capital Advisors (the “Municipal Advisor”) to serve as the City’s independent municipal
advisor for the purpose of reviewing the pricing fairness associated with the purchase and
subsequent reoffering of the Bonds.
(f) The City is authorized by Section 475.60, subdivision 2(9), of the Act to sell the
Bonds other than pursuant to a competitive sale because the City has retained the Municipal
Advisor to serve as the City’s independent municipal advisor in connection with the sale of the
Bonds. The actions of the City staff and the Municipal Advisor in negotiating the sale of the Bonds
are ratified and confirmed in all aspects.
1.02. Award to the Purchaser and Interest Rates. The proposal of Purchaser [, as syndicate manager
](the “Purchaser”), to purchase the Bonds of the City is hereby found and determined to be a reasonable offer
and is hereby accepted, the proposal being to purchase the Bonds at a price of $_________ (par amount of
$[3,205,000], plus original issue premium of $________, [less original issue discount of $________,] less an
underwriter’s discount of $_________), plus accrued interest, if any, as set forth in the Purchase Agreement
(defined below), to date of delivery for Bonds bearing interest as follows:
Year Interest Rate Year Interest Rate
2027 0.000% 2037 0.000%
2028 0.000% 2038 0.000%
2029 0.000% 2039 0.000%
2030 0.000% 2040 0.000%
2031 0.000% 2041 0.000%
2032 0.000% 2042 0.000%
2033 0.000% 2043 0.000%
2034 0.000% 2044 0.000%
2035 0.000% 2045 0.000%
2036 0.000% 2046 0.000%
[*Term Bonds]
True interest cost: ______%
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1.03. Purchase Agreement. The execution and delivery of a purchase contract, dated as of
July 16, 2025 (the “Purchase Agreement”), between the City and the Purchaser, is hereby ratified and
confirmed in the form set forth in EXHIBIT A to this resolution (the “Resolution”). The Bonds shall be issued
and delivered in accordance with the terms and conditions of the Purchase Agreement and this Resolution.
The Mayor and City Administrator are authorized and directed to execute a contract with the Purchaser on
behalf of the City.
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1.04. Terms and Principal Amounts of the Bonds. The City will forthwith issue and sell the Bonds
pursuant to the Act, Chapter 444 and Chapter 429 in the original aggregate principal amount of $[3,205,000],
originally dated August 13, 2025, in fully registered form and in denominations of $5,000 each or any integral
multiple thereof, numbered No. R-1 upward, bearing interest as above set forth, and maturing serially on
February 1 in the years and amounts as follows:
Year Amount Year Amount
2027 $0.00 2037 $0.00
2028 $0.00 2038 $0.00
2029 $0.00 2039 $0.00
2030 $0.00 2040 $0.00
2031 $0.00 2041 $0.00
2032 $0.00 2042 $0.00
2033 $0.00 2043 $0.00
2034 $0.00 2044 $0.00
2035 $0.00 2045 $0.00
2036 $0.00 2046 $0.00
[*Term Bonds]
(a) $__________ of the Bonds, constituting the Improvements Portion, maturing on
February 1 of the years and in the amounts set forth below, will be used to finance the Improvements
Project:
Year Amount Year Amount
2027 $0.00 2037 $0.00
2028 $0.00 2038 $0.00
2029 $0.00 2039 $0.00
2030 $0.00 2040 $0.00
2031 $0.00 2041 $0.00
2032 $0.00 2042 $0.00
2033 $0.00 2043 $0.00
2034 $0.00 2044 $0.00
2035 $0.00 2045 $0.00
2036 $0.00 2046 $0.00
[*Term Bonds]
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(b) $_________ of the Bonds, constituting the Utility Portion, maturing on February 1 of
the years and in the amounts set forth below, will be used to finance the Utility Project:
Year Amount Year Amount
2027 $0.00 2037 $0.00
2028 $0.00 2038 $0.00
2029 $0.00 2039 $0.00
2030 $0.00 2040 $0.00
2031 $0.00 2041 $0.00
2032 $0.00 2042 $0.00
2033 $0.00 2043 $0.00
2034 $0.00 2044 $0.00
2035 $0.00 2045 $0.00
2036 $0.00 2046 $0.00
[*Term Bonds]
1.05. Schedule of Maturities. The schedule of maturities satisfies the requirements of
Section 475.54, subdivision 1 of the Act.
1.06. Optional Redemption. The City may elect on February 1, 2033, and on any day thereafter to
prepay Bonds due on or after February 1, 2034. Redemption may be in whole or in part and if in part, at the
option of the City and in such manner as the City shall determine. If less than all Bonds of a maturity are called
for optional redemption, the City shall notify DTC (as defined in Section 7 hereof) of the particular amount of
such maturity to be prepaid. DTC shall determine by lot the amount of each participant’s interest in such
maturity to be redeemed and each participant will then select by lot the beneficial ownership interests in such
maturity to be redeemed. Prepayments shall be at a price of par plus accrued interest to the date of optional
redemption.
[1.07 Mandatory Sinking Fund Redemptions; Term Bonds. The Bonds maturing on
February 1, 20___, shall hereinafter be referred to collectively as the “Term Bonds.” The Term Bonds are
subject to mandatory sinking fund redemption and shall be redeemed in part at par plus accrued interest on
February 1 of the following years and in the principal amounts as follows:
Mandatory Sinking Fund Redemptions
February 1, 20__ Term Bond
Year Principal Amount
____________________
* Maturity
The principal amount of Term Bonds subject to mandatory sinking fund redemption on any date may be
reduced through earlier optional redemptions, with any partial redemptions of the Term Bond credited against
future mandatory sinking fund redemptions of such Term Bonds in such order as the City shall determine.]
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Section 2. Registration and Payment.
2.01. Registered Form. The Bonds shall be issued only in fully registered form. The interest thereon
and, upon surrender of each Bond, the principal amount thereof, is payable by check or draft issued by the
Registrar described herein.
2.02. Dates; Interest Payment Dates. Each Bond shall be dated as of the last interest payment date
preceding the date of authentication to which interest on the Bond has been paid or made available for payment,
unless (i) the date of authentication is an interest payment date to which interest has been paid or made available
for payment, in which case the Bond shall be dated as of the date of authentication, or (ii) the date of
authentication is prior to the first interest payment date, in which case the Bond shall be dated as of the date of
original issue. The interest on the Bonds is payable on February 1 and August 1 of each year, commencing
August 1, 2026, to the registered owners of record thereof as of the close of business on the fifteenth day
immediately preceding each interest payment date, whether or not such day is a business day.
2.03. Registration. The City shall appoint a bond registrar (the “Registrar”), authenticating agent
(the “Authenticating Agent”), and paying agent (the “Paying Agent”). Except as specifically provided
otherwise in Section 7 hereof, the effect of registration and the rights and duties of the City and the Registrar
with respect thereto are as follows:
(a) Register. The Registrar must keep at its principal corporate trust office a bond register
(the “Bond Register”) in which the Registrar provides for the registration of ownership of Bonds and
the registration of transfers and exchanges of Bonds entitled to be registered, transferred, or exchanged.
(b) Transfer of Bonds. Upon surrender for transfer of a Bond duly endorsed by the
registered owner thereof or accompanied by a written instrument of transfer, in form satisfactory to the
Registrar, duly executed by the registered owner thereof or by an attorney duly authorized by the
registered owner in writing, the Registrar shall authenticate and deliver, in the name of the designated
transferee or transferees, one or more new Bonds of a like aggregate principal amount and maturity, as
requested by the transferor. The Registrar may, however, close the books for registration of any transfer
after the fifteenth day of the month preceding each interest payment date and until that interest payment
date.
(c) Exchange of Bonds. When Bonds are surrendered by the registered owner for
exchange the Registrar shall authenticate and deliver one or more new Bonds of a like aggregate
principal amount and maturity as requested by the registered owner or the owner’s attorney in writing.
(d) Cancellation. Bonds surrendered upon transfer or exchange shall be promptly
cancelled by the Registrar and thereafter disposed of as directed by the City.
(e) Improper or Unauthorized Transfer. When a Bond is presented to the Registrar for
transfer, the Registrar may refuse to transfer the Bond until the Registrar is satisfied that the
endorsement on the Bond or separate instrument of transfer is valid and genuine and that the requested
transfer is legally authorized. The Registrar shall incur no liability for the refusal, in good faith, to
make transfers which it, in its judgment, deems improper or unauthorized.
(f) Persons Deemed Owners. The City and the Registrar may treat the person in whose
name a Bond is registered in the Bond Register as the absolute owner of the Bond, whether the Bond
is overdue or not, for the purpose of receiving payment of, or on account of, the principal of and interest
on the Bond and for all other purposes, and payments so made to a registered owner or upon the
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owner’s order shall be valid and effectual to satisfy and discharge the liability upon the Bond to the
extent of the sum or sums so paid.
(g) Taxes, Fees, and Charges. The Registrar may impose a charge upon the owner thereof
for a transfer or exchange of Bonds sufficient to reimburse the Registrar for any tax, fee, or other
governmental charge required to be paid with respect to the transfer or exchange.
(h) Mutilated, Lost, Stolen, or Destroyed Bonds. If a Bond becomes mutilated or is
destroyed, stolen, or lost the Registrar shall deliver a new Bond of like amount, number, maturity date,
and tenor in exchange and substitution for and upon cancellation of the mutilated Bond or in lieu of
and in substitution for any Bond destroyed, stolen, or lost upon the payment of the reasonable expenses
and charges of the Registrar in connection therewith; and, in the case of a Bond destroyed, stolen, or
lost, upon filing with the Registrar evidence satisfactory to it that the Bond was destroyed, stolen, or
lost, and of the ownership thereof, and upon furnishing to the Registrar an appropriate bond or
indemnity in form, substance, and amount satisfactory to it and as provided by law, in which both the
City and the Registrar must be named as obligees. Bonds so surrendered to the Registrar shall be
cancelled by the Registrar and evidence of such cancellation must be given to the City. If the mutilated,
destroyed, stolen, or lost Bond has already matured or been called for redemption in whole in
accordance with its terms it is not necessary to issue a new Bond prior to payment.
(i) Redemption. In the event any of the Bonds are called for redemption, notice thereof
identifying the Bonds to be redeemed shall be given by the Registrar by mailing a copy of the
redemption notice by first class mail (postage prepaid) to the registered owner of each Bond to be
redeemed at the address shown on the Bond Register and, if publication of the notice of redemption is
required by law, by publishing the notice of redemption as required by law. Failure to give notice by
publication or by mail to any registered owner, or any defect therein, shall not affect the validity of the
proceedings for the redemption of Bonds. Bonds so called for redemption shall cease to bear interest
after the specified redemption date, provided that the funds for the redemption are on deposit with the
place of payment at that time.
2.04. Appointment of Initial Registrar, Paying Agent, and Authenticating Agent. The City appoints
Northland Bond Services, a division of First National Bank of Omaha, Minneapolis, Minnesota, as the initial
Registrar, Paying Agent, and Authenticating Agent with respect to the Bonds. The Mayor and the City
Administrator are authorized to execute and deliver, on behalf of the City, a contract with Northland Bond
Services, as the initial Registrar, Paying Agent, and Authenticating Agent with respect to the Bonds. Upon
merger or consolidation of the Registrar, Paying Agent, and Authenticating Agent with another corporation, if
the resulting corporation is a bank or trust company authorized by law to conduct such business, the resulting
corporation is authorized to act as successor Registrar, Paying Agent, and Authenticating Agent. The City
agrees to pay the reasonable and customary charges of the Registrar, Paying Agent, and Authenticating Agent
for the services performed. The City reserves the right to remove the Registrar, Paying Agent, or Authenticating
Agent upon thirty (30) days’ notice and upon the appointment of a successor Registrar, Paying Agent, or
Authenticating Agent, in which event the predecessor Registrar, Paying Agent, or Authenticating Agent must
deliver all cash and Bonds in its possession to the successor Registrar, Paying Agent, or Authenticating Agent
and the Registrar must deliver the Bond Register to the successor Registrar. On or before three (3) business
days prior to each principal or interest due date, without further order of the Council, the Finance Director must
transmit to the Paying Agent money sufficient for the payment of all principal and interest then due.
2.05. Execution, Authentication, and Delivery. The Bonds shall be prepared under the direction of
the City Administrator and executed on behalf of the City by the signatures of the Mayor and the City
Administrator, provided that those signatures may be printed, engraved, or lithographed facsimiles of the
originals. If an officer whose signature or a facsimile of whose signature appears on the Bonds ceases to be
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such officer before the delivery of a Bond, that signature or facsimile shall nevertheless be valid and sufficient
for all purposes, the same as if the officer had remained in office until delivery. Notwithstanding such
execution, a Bond shall not be valid or obligatory for any purpose or entitled to any security or benefit under
this Resolution unless and until a certificate of authentication on the Bond has been duly executed by the manual
signature of an authorized representative of the Authenticating Agent. Certificates of authentication on different
Bonds need not be signed by the same representative of the Authenticating Agent. The executed certificate of
authentication on a Bond is conclusive evidence that it has been authenticated and delivered under this
Resolution. When the Bonds have been so prepared, executed, and authenticated the City Administrator shall
deliver the same to the Purchaser upon payment of the purchase price in accordance with the contract of sale
heretofore made and executed, and the Purchaser is not obligated to see to the application of the purchase price.
Section 3. Form of Bond.
3.01. Execution of the Bonds. The Bonds will be printed or typewritten in substantially the form
set forth in EXHIBIT B.
3.02. Approving Legal Opinion. The City Administrator is authorized and directed to obtain a
copy of the proposed approving legal opinion of Kennedy & Graven, Chartered, Minneapolis, Minnesota,
and cause the opinion to be printed on or accompany each Bond.
Section 4. Payment; Security; Funds; Pledges and Covenants.
4.01. Debt Service Fund. The Bonds shall be payable from the General Obligation Bonds,
Series 2025A Debt Service Fund (the “Debt Service Fund”) hereby created. The City will maintain the
following accounts in the Debt Service Fund: the “Improvements Account” and the “Utility Account”
(collectively, the “Accounts”). Amounts in the Improvements Account are irrevocably pledged to the
Improvements Portion of the Bonds and amounts in the Utilities Account are irrevocably pledged to the Utility
Portion of the Bonds.
(a) Improvements Account. Proceeds of ad valorem taxes hereinafter levied (the
“Improvement Taxes”) and special assessments levied or to be levied against the property specially
benefited by the Improvements Project (the “Assessments”) for the payment of debt service on the
Improvements Portion of the Bonds are hereby pledged to the Improvements Account of the Debt
Service Fund. The amounts to be applied to pay the principal of and interest on the Improvements
Portion of the Bonds shall be deposited in the Improvements Account of the Debt Service Fund at least
three (3) business days prior to each respective interest payment date and principal payment date.
(b) Utility Account. The City will continue to maintain and operate its Utility Fund to
which will be credited all gross revenues from the City’s sewer, water and storm sewer utility systems
(the “Utility Systems”) and out of which will be paid all normal and reasonable expenses of current
operations of such systems. Any balances remaining after payment of all normal and reasonable
expenses of current operations of the Utility Systems are deemed net revenues (the “Net Revenues”).
Net Revenues from the Utility Systems are hereby pledged to the Utility Account of the Debt Service
Fund. The amounts to be applied to pay the principal and interest on the Utility Portion of the Bonds
shall be deposited in the Utility Account of the Debt Service Fund at least three (3) business days prior
to each respective interest payment date and principal payment date. There will always be retained
in the Utility Account of the Debt Service Fund a sufficient amount of Net Revenues to pay
principal of and interest on the Utility Portion of the Bonds, and the Finance Director must report
any current or anticipated deficiency in the Utility Account of the Debt Service Fund to the Council.
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4.02. Construction Fund. The City hereby creates the General Obligation Bonds, Series 2025A
Construction Fund (the “Construction Fund”). The City will maintain the following accounts in the
Construction Fund: the “Improvements Account” and the “Utility Account.”
(a) Improvements Account. Proceeds of the Improvements Portion of the Bonds
(reduced by the appropriation made in accordance with Section 5.04 to pay costs of issuance) shall be
deposited in the Improvements Account of the Construction Fund and used solely to pay costs of the
Improvements Project. Any balance remaining in the Improvements Account of the Construction
Fund after completion of the Improvements Project may be used for any other public use authorized
by law and approved by resolution adopted or vote taken in the manner required to authorize the
application of the proceeds of the Improvements Portion of the Bonds for such new use and purpose,
or credited to the Improvements Account of the Debt Service Fund or other City debt service fund, all
in accordance with Section 475.65 of the Act.
(b) Utility Account. Proceeds of the Utility Portion of the Bonds (reduced by the
appropriation made in accordance with Section 5.04 to pay costs of issuance) shall be deposited in the
Utility Account of the Construction Fund to be used solely to pay costs of the Utility Project. Any
balance remaining in the Utility Account of the Construction Fund after completion of the Utility
Improvements may be used for any other public use authorized by law and approved by resolution
adopted or vote taken in the manner required to authorize the application of the proceeds of the Utility
Portion of the Bonds for such new use and purpose, or credited to the Utility Account of the Debt
Service Fund or other City debt service fund, all in accordance with Section 475.65 of the Act.
4.03. General Obligation Pledge. For the prompt and full payment of the principal of and interest
on the Bonds, as the same respectively become due, the full faith and credit and taxing powers of the City
are hereby irrevocably pledged. If a payment of principal of or interest on the Bonds becomes due when
there is not sufficient money in the Debt Service Fund to pay the same, the Finance Director must pay such
principal or interest from the general fund of the City, and the general fund shall be reimbursed for those
advances out of the proceeds of the taxes levied herein, when collected.
4.04. Pledge of Taxes.
(a) Improvements Portion. For the purpose of paying a portion of the principal of and
interest on the Improvements Portion of the Bonds, there are levied direct annual irrepealable
ad valorem taxes (the “Improvement Taxes”) upon all of the taxable property in the City, to be
spread upon the tax rolls and collected with and as part of other general taxes of the City. The
Improvement Taxes shall be credited to the Improvements Account of the Debt Service Fund above
provided and shall be levied in the years and amounts attached hereto as EXHIBIT C to this
Resolution, and, in the event the Improvement Taxes so levied are ever insufficient to pay the
principal of and interest on the Improvements Portion, additional taxes are hereby authorized to be
levied without limitation as to rate or amount. Said tax levies shall be irrevocable as long as any
of the Improvements Portion of the Bonds are outstanding and unpaid, provided that the City
reserves the right and power to reduce the levies in the manner and to the extent permitted by the
Act (specifically, Section 475.61 of the Act).
(b) Utility Portion. It is determined that the Net Revenues from the Utility Systems
shall produce at least five percent (5%) in excess of the amount needed to meet when due the
principal and interest on the Utility Portion of the Bonds and that no ad valorem tax levy is needed
at this time. In the event of any deficiency of Net Revenues pledged, additional taxes shall be
levied on all taxable property in the District, which taxes may be levied without limitation as to rate
or amount. Said tax levies shall be irrevocable as long as any of the Utility Portion of the Bonds
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are outstanding and unpaid, provided that the District reserves the right and power to reduce the
levies in the manner and to the extent permitted by the Act (specifically, Section 475.61 of the Act).
4.05. City Covenants with Respect to the Improvement Portion of the Bonds. It is hereby
determined that the Improvements Project will directly and indirectly benefit certain abutting and other
benefited property in the City, and the City hereby covenants with the holders from time to time of the
Improvement Portion of the Bonds as follows:
(a) The City has caused or will cause the Assessments for the Improvements Project to
be promptly levied so that the first installment will be collectible not later than 2025 and will take all
steps necessary to assure prompt collection, and the levy of the Assessments is hereby authorized. The
Council will cause to be taken with due diligence all further actions that are required for the
construction of each Improvement financed wholly or partly from the proceeds of the Improvement
Portion of the Bonds, and will take all further actions necessary for the final and valid levy of the
Assessments and the appropriation of any other funds needed to pay the Improvement Portion of the
Bonds and interest thereon when due.
(b) In the event of any current or anticipated deficiency in the Assessments or the
Improvement Taxes, the Council will levy additional ad valorem taxes in the amount of the current or
anticipated deficiency.
(c) The City will keep complete and accurate books and records showing: receipts and
disbursements in connection with the Improvements Project, Assessments and the ad valorem taxes
levied therefor and other funds appropriated for their payment, collections thereof and disbursements
therefrom, monies on hand and, the balance of unpaid Assessments.
(d) The City will cause its books and records to be audited at least annually and will
furnish copies of such audit reports to any interested person upon request.
(e) At least 20% of the cost to the City of the Improvements Project described herein has
been or will be specially assessed against benefited properties.
4.06. City Covenants with Respect to the Utility Portion of the Bonds. The Council covenants
and agrees with the holders of the Bonds that so long as any of the Bonds remain outstanding and unpaid,
it will keep and enforce the following covenants and agreements:
(a) The City will continue to maintain and efficiently operate the Utility Systems as
public utilities and conveniences free from competition of other like municipal utilities and will
cause all revenues therefrom to be deposited in bank accounts and credited to the Utility Fund, as
hereinabove provided, and will make no expenditures from those accounts except for a duly
authorized purpose and in accordance with this Resolution.
(b) The City will also maintain the Utility Account of the Debt Service Fund as a
separate account and will cause money to be credited thereto from time to time, out of Net Revenues
from the Utility Systems in sums sufficient to pay principal of and interest on the Utility Portion of
the Bonds when due.
(c) The City will keep and maintain proper and adequate books of records and
accounts separate from all other records of the City in which will be complete and correct entries
as to all transactions relating to the Utility Systems and which will be open to inspection and copying
by any Bondholder, or the Bondholder’s agent or attorney, at any reasonable time, and it will
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furnish certified transcripts therefrom upon request and upon payment of a reasonable fee therefor,
and said account will be audited at least annually by a qualified public accountant and statements
of such audit and report will be furnished to all Bondholders upon request.
(d) The Council will cause persons handling revenues of the Utility Systems to be
bonded in reasonable amounts for the protection of the City and the Bondholders and will cause
the funds collected on account of the operations of such systems to be deposited in a bank whose
deposits are guaranteed under the Federal Deposit Insurance Law.
(e) The Council will keep the Utility Systems insured at all times against loss by fire,
tornado and other risks customarily insured against with an insurer or insurers in good standing, in
such amounts as are customary for like plants, to protect the holders, from time to time, of the
Bonds and the City from any loss due to any such casualty and will apply the proceeds of such
insurance to make good any such loss.
(f) The City and each and all of its officers will punctually perform all duties with
reference to the Utility Systems as required by law.
(g) The City will impose and collect charges of the nature authorized by Chapter 444,
specifically Minnesota Statutes, Section 444.075, at the times and in the amounts required to
produce Net Revenues adequate to pay all principal and interest when due on the Utility Portion of
the Bonds and to create and maintain such reserves securing said payments as may be provided
herein.
(h) The Council will levy general ad valorem taxes on all taxable property in the City
when required to meet any deficiency in Net Revenues.
4.07. Debt Service Coverage. It is determined that the estimated collection of Improvement Taxes,
Assessments and Net Revenues herein pledged shall produce at least five percent (5%) in excess of the amount
needed to meet when due the principal and interest payments on the Bonds. The tax levies herein provided
shall be irrepealable until all of the Bonds are paid, provided that at the time the City makes its annual tax levies
the Finance Director may certify to the County Auditor-Treasurer of Goodhue County, Minnesota (the “County
Auditor”) that the City made an irrevocable appropriation of a specified amount to the Debt Service Fund of
money actually on hand or if there is on hand any excess amount in the Debt Service Fund and the County
Auditor shall thereupon reduce the levy collectible during such year by the amount so certified.
4.07. Registration of Resolution. The Finance Director is authorized and directed to file a certified
copy of this Resolution with the County Auditor and to obtain the certificate required by Section 475.63 of the
Act.
Section 5. Authentication of Transcript.
5.01. City Proceedings and Records. The officers of the City are authorized and directed to prepare
and furnish to the Purchaser and to the attorneys approving the Bonds certified copies of proceedings and
records of the City relating to the Bonds and to the financial condition and affairs of the City, and such other
certificates, affidavits, and transcripts as may be required to show the facts within their knowledge or as shown
by the books and records in their custody and under their control, relating to the validity and marketability of
the Bonds, and such instruments, including any heretofore furnished, shall be deemed representations of the
City as to the facts stated therein.
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5.02. Certification as to Official Statement. The Mayor, the City Administrator and the Finance
Director, or any of their authorized designees, are authorized and directed to certify that they have examined
the final Official Statement prepared and circulated in connection with the issuance and sale of the Bonds and
that to the best of their knowledge and belief the final Official Statement is a complete and accurate
representation of the facts and representations made therein as of the date of the final Official Statement and
further that said final Official Statement did not (as of the date of the final Official Statement) and does not
contain any untrue statement of a material fact or omit to state a material fact which should be included therein
for the purpose for which the final Official Statement is to be used, or which is necessary in order to make the
statements made therein, in light of the circumstances under which they are made, not misleading.
5.03. Other Certificates. The Mayor, the City Administrator and the Finance Director, or any of
their authorized designees, are hereby authorized and directed to furnish to the Purchaser at the closing such
certificates as are required as a condition of sale. Unless litigation shall have been commenced and be
pending questioning the Bonds or the organization of the City or incumbency of its officers, at the closing
the Mayor, the City Administrator and the Finance Director shall also execute and deliver to the Purchaser
a suitable certificate as to absence of material litigation, and the Finance Director shall also execute and
deliver a certificate as to payment for and delivery of the Bonds.
5.04. Payment of Costs of Issuance. The City shall pay the costs of issuance from Bond proceeds
allocated to such expenses.
5.05. Electronic Signatures. The electronic signatures of the Mayor, the City Administrator and the
Finance Director, or any of their authorized designees, to this Resolution and any document or certificate
authorized to be executed hereunder shall be as valid as an original signature of such party and shall be effective
to bind the City thereto. For purposes hereof, (i) “electronic signature” means: (a) a manually signed original
signature that is then transmitted by electronic means or (b) a signature obtained through DocuSign or
Adobe or a similarly digitally auditable signature gathering process; and (ii) “transmitted by electronic
means” means sent in the form of a facsimile or sent via the internet as a portable document format (“pdf”) or
other replicating image attached to an electronic mail or internet message.
Section 6. Tax Covenants.
6.01. Tax-Exempt Bonds. The City shall comply with all the necessary requirements and take all
necessary actions (or decline to take prohibited actions) to ensure that interest on the Bonds shall not be
includable in gross income for federal income tax purposes under Section 103 and Sections 141 through 150
of the Internal Revenue Code of 1986, as amended (the “Code”), and applicable Treasury Regulations
promulgated thereunder (the “Regulations”). The City covenants and agrees with the holders from time to time
of the Bonds that it shall not take or permit to be taken by any of its officers, employees, or agents any action
which would cause the interest on the Bonds to become subject to federal income taxation under the Code and
the Regulations, in effect at the time of such actions, and that it shall take or cause its officers, employees, or
agents to take all affirmative action within their powers that may be necessary to ensure that such interest shall
not become includable in gross income for federal income tax purposes under the Code and applicable
Regulations, as presently existing or as hereafter amended and made applicable to the Bonds.
6.02. Continuing Requirements. The City shall comply with all requirements necessary under
the Code and Regulations to establish and maintain the exclusion from gross income of the interest on the
Bonds under Sections 103 and 141-150 of the Code and applicable Regulations including, without
limitation, requirements relating to temporary periods for investments, limitations on amounts invested at
a yield greater than the yield on the Bonds, and the rebate of excess investment earnings to the United
States. The Mayor and the City Administrator, being officers of the City charged with the responsibility for
issuing the Bonds pursuant to this Resolution, are authorized and directed to execute and deliver to the
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Purchaser a certificate in accordance with the provisions of Section 148 of the Code and applicable
Regulations stating the facts, estimates, and circumstances in existence on the date of issue and delivery of
the Bonds which make it reasonable to expect that the “gross proceeds” of the Bonds will not be used in a
manner that would cause the Bonds to be “arbitrage bonds” within the meaning of the Code and the
Regulations. The City covenants and agrees to retain such records, make such determinations, file such
reports and documents, and pay such amounts at such times as are required under Section 148(f) and
applicable Regulations to preserve the exclusion of interest on the Bonds from gross income for federal
income tax purposes, unless the Bonds qualify for an exception from the rebate requirement in accordance
with one of the spending exceptions set forth in Section 1.148-7 or Section 1.148-8 of the Regulations.
The City shall use its best efforts to comply with any federal procedural requirements which may apply in
order to effectuate the designations and covenants made by this section.
6.03. No Rebate Required. For purposes of qualifying for the small issuer exception to the federal
arbitrage rebate requirements (under Section 148(f)(4)(D) of the Code and Section 1.148-8 of the Regulations),
the City finds, determines, and declares that the aggregate face amount of all tax-exempt bonds (other than
private activity bonds) issued by the City (and all subordinate entities of the City) during the calendar year in
which the Bonds are issued and outstanding at one time is not reasonably expected to exceed $5,000,000. For
purposes of this Section 6.03, the City reasonably expects that the aggregate face amount of the Bonds will be
equal to $3,205,000.
6.04. Not Private Activity Bonds. The City further covenants not to use the proceeds of the Bonds
or to cause or permit them or any of them to be used, in such a manner as to cause the Bonds to be determined
to constitute “private activity bonds,” within the meaning of Sections 103 and 141 through 150 of the Code and
the applicable Regulations promulgated thereunder.
6.05. Qualified Tax-Exempt Obligations. In order to qualify the Bonds as “qualified tax-exempt
obligations” within the meaning of Section 265(b)(3) of the Code, the City makes the following factual
statements and representations:
(a) the Bonds are not “private activity bonds” as defined in Section 141 of the Code;
(b) the City designates the Bonds as “qualified tax-exempt obligations” for purposes of
Section 265(b)(3) of the Code;
(c) the reasonably anticipated amount of tax-exempt obligations (other than private
activity bonds that are not qualified 501(c)(3) bonds) which will be issued by the City (and all
subordinate entities of the City) during calendar year 2025 will not exceed $10,000,000; and
(d) not more than $10,000,000 of obligations issued by the City during calendar year
2025 have been designated for purposes of Section 265(b)(3) of the Code.
Section 7. Book-Entry System; Limited Obligation of City.
7.01. DTC. The Bonds shall be initially issued in the form of a separate single typewritten or printed
fully registered Bond for each of the maturities set forth in Section 1.04 hereof. Upon initial issuance, the
ownership of each Bond shall be registered in the registration books kept by the Registrar in the name of Cede
& Co., as nominee for The Depository Trust Company, New York, New York, and its successors and assigns
(“DTC”). Except as provided in this section, all of the outstanding Bonds shall be registered in the Bond
Register in the name of Cede & Co., as nominee of DTC.
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7.02. Participants. With respect to Bonds registered in the Bond Register in the name of Cede &
Co., as nominee of DTC, the City, the Registrar, and the Paying Agent shall have no responsibility or obligation
to any broker-dealers, banks, and other financial institutions from time to time for which DTC holds Bonds as
securities depository (the “Participants”) or to any other person on behalf of which a Participant holds an
interest in the Bonds, including but not limited to any responsibility or obligation with respect to (i) the accuracy
of the records of DTC, Cede & Co. or any Participant with respect to any ownership interest in the Bonds;
(ii) the delivery to any Participant or any other person (other than a registered owner of Bonds, as shown by the
registration books kept by the Registrar), of any notice with respect to the Bonds, including any notice of
redemption; or (iii) the payment to any Participant or any other person, other than a registered owner of Bonds,
of any amount with respect to principal of, premium, if any, or interest on the Bonds. The City, the Registrar,
and the Paying Agent may treat and consider the person in whose name each Bond is registered in the Bond
Register as the holder and absolute owner of such Bond for the purpose of payment of principal, premium and
interest with respect to such Bond, for the purpose of registering transfers with respect to such Bonds, and for
all other purposes. The Paying Agent shall pay all principal of, premium, if any, and interest on the Bonds only
to or on the order of the respective registered owners, as shown in the registration books kept by the Registrar,
and all such payments shall be valid and effectual to fully satisfy and discharge the City’s obligations with
respect to payment of principal of, premium, if any, or interest on the Bonds to the extent of the sum or sums
so paid. No person other than a registered owner of Bonds, as shown in the Bond Register, shall receive a
certificated Bond evidencing the obligation of this Resolution. Upon delivery by DTC to the City Administrator
of a written notice to the effect that DTC has determined to substitute a new nominee in place of Cede & Co.,
the words “Cede & Co.” shall refer to such new nominee of DTC; and upon receipt of such a notice, the City
Administrator shall promptly deliver a copy of the same to the Registrar and Paying Agent.
7.03. Representation Letter. The City has heretofore executed and delivered to DTC a Blanket
Issuer Letter of Representations (the “Representation Letter”) which shall govern payment of principal of,
premium, if any, and interest on the Bonds and notices with respect to the Bonds. Any Paying Agent or
Registrar subsequently appointed by the City with respect to the Bonds shall agree to take all action necessary
for all representations of the City in the Representation Letter with respect to the Registrar and Paying Agent,
respectively, to be complied with at all times.
7.04. Transfers Outside Book-Entry System. In the event the City, by resolution of the Council,
determines that it is in the best interests of the persons having beneficial interests in the Bonds that they be able
to obtain Bond certificates, the City shall notify DTC, whereupon DTC shall notify the Participants, of the
availability through DTC of Bond certificates. In such event the City shall issue, transfer, and exchange Bond
certificates as requested by DTC and any other registered owners in accordance with the provisions of this
Resolution. DTC may determine to discontinue providing its services with respect to the Bonds at any time by
giving notice to the City and discharging its responsibilities with respect thereto under applicable law. In such
event, if no successor securities depository is appointed, the City shall issue and the Registrar shall authenticate
Bond certificates in accordance with this resolution and the provisions hereof shall apply to the transfer,
exchange, and method of payment thereof.
7.05. Payments to Cede & Co. Notwithstanding any other provision of this Resolution to the
contrary, so long as a Bond is registered in the name of Cede & Co., as nominee of DTC, payments with respect
to principal of, premium, if any, and interest on the Bond and all notices with respect to the Bond shall be made
and given, respectively in the manner provided in DTC’s Operational Arrangements, as set forth in the
Representation Letter.
Section 8. Continuing Disclosure.
8.01. Execution of Continuing Disclosure Certificate. For purposes of this Section, “Continuing
Disclosure Certificate” means that certain Continuing Disclosure Certificate executed by the Mayor and City
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Administrator and dated the date of issuance and delivery of the Bonds, as originally executed and as it may be
amended from time to time in accordance with the terms thereof.
8.02. City Compliance with Provisions of Continuing Disclosure Certificate. The City hereby
covenants and agrees to comply with and carry out all of the provisions of the Continuing Disclosure
Certificate. Notwithstanding any other provision of this Resolution, failure of the City to comply with the
Continuing Disclosure Certificate is not to be considered an event of default with respect to the Bonds; however,
any Bondholder may take such actions as may be necessary and appropriate, including seeking mandate or
specific performance by court order, to cause the City to comply with its obligations under this section.
Section 9. Defeasance. When all of the Bonds and all interest thereon have been discharged as
provided in this section, all pledges, covenants, and other rights granted by this resolution to the holders of the
Bonds shall cease, except that the pledge of the full faith and credit of the City for the prompt and full payment
of the principal of and interest on the Bonds shall remain in full force and effect. The City may discharge all
Bonds which are due on any date by depositing with the Registrar on or before that date a sum sufficient for
the payment thereof in full. If any Bond should not be paid when due, it may nevertheless be discharged by
depositing with the Registrar a sum sufficient for the payment thereof in full with interest accrued to the date
of such deposit.
(The remainder of this page is intentionally left blank).
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The motion for the adoption of the foregoing resolution was duly seconded by Member
___________________________, and upon vote being taken thereon, the following voted in favor thereof:
and the following voted against the same:
whereupon said resolution was declared duly passed and adopted.
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EXHIBIT A
PURCHASE AGREEMENT
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EXHIBIT B
FORM OF BOND
UNITED STATES OF AMERICA
STATE OF MINNESOTA
COUNTY OF GOODHUE
CITY OF KENYON
GENERAL OBLIGATION BONDS
SERIES 2025A
No. R-___ $_______
Interest Rate Maturity Date Date of Original Issue CUSIP
0.000% February 1, 20__ August ___, 2025
REGISTERED OWNER: CEDE & CO.
PRINCIPAL AMOUNT: _____________ THOUSAND DOLLARS
The City of Kenyon, a duly organized and existing municipal corporation in Goodhue County,
Minnesota (the “City”), acknowledges itself to be indebted and for value received hereby promises to pay
to the Registered Owner specified above or registered assigns, the Principal Amount specified above, on
the Maturity Date specified above, with interest thereon from the date hereof at the annual rate specified
above (calculated on the basis of a 360 day year of twelve 30 day months), payable February 1 and August 1
in each year, commencing August 1, 2026, to the person in whose name this Bond is registered at the close
of business on the fifteenth day (whether or not a business day) of the immediately preceding month. The
interest hereon and, upon presentation and surrender hereof, the principal hereof are payable in lawful
money of the United States of America by check or draft by Northland Bond Services, a division of First
National Bank of Omaha, Minneapolis, Minnesota, as Bond Registrar, Paying Agent, and Authenticating
Agent, or its designated successor under the Resolution described herein. For the prompt and full payment
of such principal and interest as the same respectively become due, the full faith and credit and taxing
powers of the City have been and are hereby irrevocably pledged.
The City may elect on February 1, 2033, and on any day thereafter to prepay Bonds due on or after
February 1, 2034. Redemption may be in whole or in part and if in part, at the option of the City and in
such manner as the City shall determine. If less than all Bonds of a maturity are called for redemption, the
City shall notify The Depository Trust Company (“DTC”) of the particular amount of such maturity to be
prepaid. DTC will determine by lot the amount of each participant’s interest in such maturity to be
redeemed and each participant shall then select by lot the beneficial ownership interests in such maturity to
be redeemed. Prepayments shall be at a price of par plus accrued interest to the date of optional redemption.
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[The Bonds maturing on February 1, 20___, shall hereinafter be referred to collectively as the
“Term Bonds.” The Term Bonds are subject to mandatory sinking fund redemption and shall be redeemed
in part at par plus accrued interest on February 1 of the following years and in the principal amounts as
follows:
Mandatory Sinking Fund Redemptions
February 1, 20__ Term Bond
Principal
Year Amount
____________________
* Maturity
The principal amount of Term Bonds subject to mandatory sinking fund redemption on any date
may be reduced through earlier optional redemptions, with any partial redemptions of the Term Bond
credited against future mandatory sinking fund redemptions of such Term Bonds in such order as the City
shall determine.]
This Bond is one of an issue in the aggregate principal amount of $[3,205,000] all of like original
issue date and tenor, except as to number, maturity date, redemption privilege, and interest rate, all issued
pursuant to a resolution adopted by the City Council on July 16, 2025 (the “Resolution”), for the purpose
of providing money to aid in financing assessable street improvements and improvements to the water and
sewer systems, pursuant to and in full conformity with the Constitution and laws of the State of Minnesota,
including Minnesota Statutes, Chapters 475, 444 and 429, as amended. The principal hereof and interest
hereon are payable in part from special assessments levied against property specially benefited by local
improvements, in part from net revenues of the sewer and water systems of the City, and in part from
ad valorem taxes, as set forth in the Resolution to which reference is made for a full statement of rights and
powers thereby conferred. The full faith and credit of the City are irrevocably pledged for payment of this
Bond and the City Council has obligated itself to levy additional ad valorem taxes on all taxable property
in the City in the event of any deficiency in special assessments, net revenues, and ad valorem taxes pledged,
which additional taxes may be levied without limitation as to rate or amount. The Bonds of this series are
issued only as fully registered Bonds in denominations of $5,000 or any integral multiple thereof of single
maturities.
The City has designated the issue of Bonds of which this Bond forms a part as “qualified tax-exempt
obligations” within the meaning of Section 265(b)(3) of the Internal Revenue Code of 1986, as amended
(the “Code”), relating to the disallowance of interest expense for financial institutions and within the
$10 million limit allowed by the Code for the calendar year of issue.
IT IS HEREBY CERTIFIED AND RECITED that in and by the Resolution, the City has
covenanted and agreed that it will continue to own and operate the sewer system, water system, and storm
sewer system free from competition by other like municipal utilities; that adequate insurance on said
systems and suitable fidelity bonds on employees will be carried; that proper and adequate books of account
will be kept showing all receipts and disbursements relating to the sewer fund, the water fund, and the storm
sewer fund, into which it will pay all of the gross revenues from the sewer system, water system, and storm
sewer system, respectively; that it will also create and maintain a Utility Account within the General
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Obligation Bonds, Series 2025A Debt Service Fund, into which it will pay, out of the net revenues from
the sewer system, water system, and storm sewer system, a sum sufficient to pay principal of the Utility
Portion of the Bonds (as defined in the Resolution) and interest on the Utility Portion Bonds when due; and
that it will provide, by ad valorem tax levies, for any deficiency in required net revenues of the sewer
system, water system, and storm sewer system.
As provided in the Resolution and subject to certain limitations set forth therein, this Bond is
transferable upon the books of the City at the principal office of the Bond Registrar, by the registered owner
hereof in person or by the owner’s attorney duly authorized in writing upon surrender hereof together with
a written instrument of transfer satisfactory to the Bond Registrar, duly executed by the registered owner
or the owner’s attorney; and may also be surrendered in exchange for Bonds of other authorized
denominations. Upon such transfer or exchange the City will cause a new Bond or Bonds to be issued in
the name of the transferee or registered owner, of the same aggregate principal amount, bearing interest at
the same rate and maturing on the same date, subject to reimbursement for any tax, fee or governmental
charge required to be paid with respect to such transfer or exchange.
The City and the Bond Registrar may deem and treat the person in whose name this Bond is
registered as the absolute owner hereof, whether this Bond is overdue or not, for the purpose of receiving
payment and for all other purposes, and neither the City nor the Bond Registrar will be affected by any
notice to the contrary.
IT IS HEREBY CERTIFIED, RECITED, COVENANTED AND AGREED that all acts, conditions
and things required by the home rule charter of the City and the Constitution and laws of the State of
Minnesota to be done, to exist, to happen and to be performed preliminary to and in the issuance of this
Bond in order to make it a valid and binding general obligation of the City in accordance with its terms,
have been done, do exist, have happened and have been performed as so required, and that the issuance of
this Bond does not cause the indebtedness of the City to exceed any constitutional, charter, or statutory
limitation of indebtedness.
This Bond is not valid or obligatory for any purpose or entitled to any security or benefit under the
Resolution until the Certificate of Authentication hereon has been executed by the Bond Registrar by
manual signature of one of its authorized representatives.
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IN WITNESS WHEREOF, the City of Kenyon, Goodhue County, Minnesota, by its City Council,
has caused this Bond to be executed on its behalf by the facsimile or manual signatures of the Mayor and
City Administrator and has caused this Bond to be dated as of the date set forth below.
Dated: August ___, 2025
CITY OF KENYON, MINNESOTA
(Facsimile) (Facsimile)
Mayor City Administrator
________________________
CERTIFICATE OF AUTHENTICATION
This is one of the Bonds delivered pursuant to the Resolution mentioned within.
NORTHLAND BOND SERVICES, a division of
FIRST NATIONAL BANK OF OMAHA,
MINNEAPOLIS
By
Authorized Representative
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ASSIGNMENT
For value received, the undersigned hereby sells, assigns and transfers unto
________________________________________ the within Bond and all rights thereunder, and does hereby
irrevocably constitute and appoint _________________________________ attorney to transfer the said Bond
on the books kept for registration of the within Bond, with full power of substitution in the premises.
Dated:
Notice: The assignor’s signature to this assignment must correspond with the name as it appears
upon the face of the within Bond in every particular, without alteration or any change
whatever.
Signature Guaranteed:
NOTICE: Signature(s) must be guaranteed by a financial institution that is a member of the Securities Transfer
Agent Medallion Program (“STAMP”), the Stock Exchange Medallion Program (“SEMP”), the New York
Stock Exchange, Inc. Medallion Signatures Program (“MSP”) or other such “signature guarantee program” as
may be determined by the Registrar in addition to, or in substitution for, STEMP, SEMP or MSP, all in
accordance with the Securities Exchange Act of 1934, as amended.
The Registrar will not transfer this Bond unless the information concerning the assignee requested
below is provided.
Name and Address:
(Include information for all joint owners if this Bond is held by
joint account.)
Please insert federal identification or other
identifying number of assignee
B-5
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PROVISIONS AS TO REGISTRATION
The ownership of the principal of and interest on the within Bond has been registered on the books of
the Registrar in the name of the person last noted below.
Date of Registration Registered Owner Signature of Officer of Registrar
Cede & Co.
August ___, 2025 Federal ID #13-2555119
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EXHIBIT C
TAX LEVY SCHEDULE
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STATE OF MINNESOTA )
)
COUNTY OF GOODHUE ) ss.
)
CITY OF KENYON )
I, the undersigned, being the duly qualified and acting City Administrator of the City of Kenyon,
Goodhue County, Minnesota (the “City”), do hereby certify that I have carefully compared the attached and
foregoing extract of minutes of a regular meeting of the City Council of the City held on July 16, 2025 with
the original minutes on file in my office and the extract is a full, true and correct copy of the minutes insofar
as they relate to the issuance and sale of the City’s General Obligation Bonds, Series 2025A, in the original
aggregate principal amount of $[3,205,000].
WITNESS My hand officially as such Clerk this ______ day of July, 2025.
City Administrator
City of Kenyon, Goodhue County, Minnesota
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AGENDA ITEM NO. III.C
Agenda Item Summary
CITY COUNCIL AGENDA ITEM REPORT
DATE: July 16, 2025
SUBMITTED BY: Holli Gudknecht, Administration
ITEM TYPE: New Business
AGENDA SECTION: Business to be discussed and Possible Action
SUBJECT: Abdo Proposal for Accounting Services
SUGGESTED ACTION: MOTION NEEDED
ATTACHMENTS:
Abdo Accounting Services Proposal.pdf
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SERVICE PROPOSAL FOR
City of Kenyon
709 Second Street, Kenyon, Minnesota 55946
Proposed by
Jean McGann, CPA
Partner | Abdo
July 11, 2025 jean.mcgann@abdofs.com
P 952.715.3059
abdosolutions.com | Mankato, MN - Edina, MN - Scottsdale, AZ
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Scott Lehner, City Administrator
City of Kenyon
709 Second Street
Kenyon, Minnesota 55946
July 11, 2025
Dear Scott,
Thank you for the opportunity to submit this proposal to the City of Kenyon, Minnesota (the City), for accounting services.
Based on our past experience with cities of comparable size and complexity, we believe our structured contract with defined
outcomes offered through Abdo Financial Solutions, LLC (Abdo FS), will provide the City with excellent financial services.
We are confident our solution will offer the City advanced insights, provide public finance guidance, and serve as an
experienced partner to assist the City in audit preparation. Our proposal is based on the needs of the City as laid out in the
request for proposal and the experiences we have had working with other cities. This proposal outlines the scope of services
we believe will address the needs of the City.
The term of this contract shall be from June 30, 2025 - December 31, 2025.
An Abdo FS representative will perform services remotely as noted on the Scope of Services page.
The investment required for our services is indicated on the value page, and this quote remains valid for thirty (30) days.
Please note that Abdo FS is independent of the City as defined by auditing standards generally accepted in the United States
of America.
Abdo FS acknowledges the City may have/has retained an independent registered municipal advisor (IRMA) to assist and
advise the City in evaluating information relating to the issuance of municipal securities and/or municipal financial products.
Abdo FS acknowledges the City will rely on advice from their IRMA. Abdo FS will have no recourse against the City or its
IRMA, regarding action or inaction relating to evaluating, commenting on, or responding to financial projects or information
received under this Agreement. Abdo FS acknowledges it is not the registered independent municipal advisor retained by the
Municipal Entity Client.
Abdo FS would like to thank the City for the opportunity to propose on these services. We look forward to exceeding your
expectations and continuing our long-term, mutually beneficial relationship.
Sincerely,
Abdo Financial Solutions
Jean McGann, CPA
Partner | Abdo
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The current state
WHAT WE HEARD
We understand the challenges you face as an organization with ever-changing regulations, financial standards,
staffing changes, and council vision. Through our conversations, we understand these challenges to include:
• Challenge 1 – The City currently has a vacancy in the Finance Director role and with the preparation of the
annual budget upcoming, is looking to outsource aspects of this role to ensure the City stays on track and up to
date with day to day operations as well as budget preparation.
• Challenge 2 – The consolidation of the Municipal Utilities and City accounts in underway and needs to be
completed. This will serve to simplify and streamline operations and it is critical that all compliance and
transactional aspects of this be completed.
• Challenge 3 – Internal controls are of upmost importance and the City is looking to strengthen these controls.
CONSIDERATIONS AS YOU MOVE FORWARD
Given these challenges you’re facing, we know that it can become overwhelming to grasp all the factors at play. Our
team wants to ensure you have a pulse on all of these factors as you begin your search for solutions. Have you
considered the following:
• Consideration 1: Abdo Financial Solutions will work collaboratively with you and your team to work through the
budget process, developing the wage and benefits allocations, working with departments on line item revenue
and expenditure/expenses, and preparing information for the City Council.
• Consideration 2: Ensuring day to day operations run smoothly is an area we work with a multitude of cities on.
The first step in this is to ensure your cash and investments are reconciled to the general ledger.
• Consideration 3: For internal control purposes, having a review of accounts payable after it is coded and
entered into the financial system is important as this is a check to ensure vendor names, dollars, and coding is
correct.
2 35
The path forward
WHAT'S YOUR VISION?
Let's build it together. With knowledge and care, Abdo lights your path forward—illuminating opportunity and fueling
your confidence to navigate the future. What do you envision for your future? We believe it could look something like
this:
• A budget process that is understandable, collaborative, and that Council, Staff, and Community agree to.
• The finance team has the month reconciled and closed by the 20th day of the following month.
• Operations with consolidation of the Municipal Utilities and City are running smoothly.
EXPERTISE FOR YOUR CHALLENGES
In the government space, your organization faces
unique challenges that require a specific understanding
of government regulations and operations. Our team not
only has experience working with governmental entities,
but many came directly from city administration and
finance offices, giving them a unique understanding of
the challenges you face.
Meet
Annette
Annette Storm
Manager
The Abdo Difference
With many years of experience, Annette has a wealth of
knowledge and experience in all aspects of At Abdo, we believe in the importance of relationships.
governmental finance, including, but not limited to: This core value is the foundation of our approach to
budgeting, financial reviews, monthly and annual delivering the best experience and outcomes for our
reporting, cash flow projects, economic development clients. It’s inherent in our people and the way we work.
and software implementation. We know that for our clients to be successful, it takes
more than having experience and credentials – we take
the time to listen to their unique motivations, goals, and
challenges. We truly care about their journey and where
their path leads.
LEARN MORE ON OUR WEBSITE
3 36
Your Team
At Abdo, we believe that trust is a vital component in the success of our partnership. That trust requires an
understanding of your needs and confidence in the expertise of your engagement team. That’s why we’ve curated a
team with relevant experience and first-hand knowledge of the challenges you face. Many of our advisors have worked
in government finance offices for decades, cultivating the same experiences you currently face. This depth of
understanding can lead to a comprehensive view of your challenges, potential cost reductions, and a quicker road to
results.
KEY CONTACTS
Key team members are briefly profiled below, with additional staff providing support as needed throughout
theengagement.
JEAN MCGANN, CPA
Partner
jean.mcgann@abdofs.com
P 952.715.3059
With over 12 years of experience at Abdo, Jean's wealth of experience has equipped her with invaluable
skills in coaching and mentoring, accounting and financial management, process evaluations, and long-
term planning. Jean's acumen extends beyond finance and auditing; she is adept at identifying and
implementing cost containment processes, policy development, and internal control evaluation.
TESSA BEUNING, CPA
Senior Manager
tessa.beuning@abdofs.com
P 952.715.3027
Tessa joined the Firm in 2023, as a member of the Financial Solutions department. With over 18 years of
experience, Tessa brings a wealth of knowledge to the Firm. She has experience working with cities,
counties, school districts, nonprofits and municipal utilities. Prior to joining Abdo Financial Solutions,
Tessa worked in government audit and was the Finance Director for the City of Melrose.
ANNETTE STORM
Manager
annette.storm@abdofs.com
P 952.449.6224
Annette joined the Firm in 2022 as a Manager in the Financial Solutions group. Prior to joining Abdo,
Annette spent three years as the Director of Administrative Services and two years as the Assistant
Finance Director for the City of Marshall and three years as an Accountant for Lyon County. She has a
wealth of knowledge and experience in all aspects of governmental finance, including, but not limited to:
budgeting, financial reviews, monthly and annual reporting, cash flow projects, economic development
and software implementation.
LAVELLE KROONTJE
Senior Associate
lavelle.kroontje@abdofs.com
P 952.295.7165
Lavelle has over 17 years of experience in the government sector and more than 8 years in the private
sector, specializing in budgeting, financial reviews, projections, cost analysis, and comprehensive
reporting. Her diverse roles have included accounts receivable, accounts payable, auditing, staff training,
and grant accounting. Lavelle has demonstrated strong leadership by leading a finance department and
participating in leadership meetings and conferences. She has also successfully managed a capital
improvements project, handling the budget, assets, and work in progress. Additionally, Lavelle has
developed policies and procedures to enhance efficiency and internal controls.
4 37
Government Experience
You can have confidence in our years of experience performing consulting services, the quality of the accounting
services we offer and our understanding of the unique challenges our clients face in the government space. Since 1963,
we’ve served cities just like yours. With an unwavering commitment to streamlining processes, training staff, and finding
technology-based solutions, we proudly offer excellence in governmental consulting and auditing. Out of our 250-strong,
talented staff, over 60 team members are 100% focused on government clients, which include over 100 cities and other
governmental entities. By serving cities across Minnesota, we have become experts in the nuances of how to best
support your city. Our expertise affords you a consulting experience that is painless. We do this by communicating up
front, coming fully prepared, and being available throughout the year to support you.
PROCESS
Our methods are centered around incorporating technology to deliver unparalleled solutions for government
organizations. In addition to our consulting experience, our firm expertly performs outsourcing for governments giving
us a wealth of experience in a consulting role. We don’t believe in a one-size-fits-all mentality. So together, we’ll focus on
the needs that are relevant to your city and provide the right services to meet them with a customized methodology
based on your needs. We’re focused on developing creative, customized solutions to help your city mitigate costs and
boost efficiency.
FOCUS
Through continuous training and growth opportunities, we’ve established an environment with a focus on serving
government entities. We spend more than 100 hours training and onboarding to ensure success for our clients. We truly
hope that you partner with us to light the path forward for your organization.
OUR QUALIFICATIONS
• GFOA and MnGFOA Association members
• Government operations training
• Consulting services for over 100 cities
• We’ve assisted many municipalities in preparing for the GFOA’s Certificate of Achievement for Excellence awards in
financial reporting
5 38
Government Experience Continued
OUR FINANCIAL MANAGEMENT AND CONSULTING SERVICES INCLUDE:
• Budget process development • Internal control evaluation
• Capital improvement planning • Long-term strategic planning
• Cash flow analysis • Payroll processing
• Cost containment processes • Policy development
• Debt management plans • Process flows and efficiencies
• ERP system consulting • Project management
• Federal and State relations/grant consulting • Quarterly and monthly reporting to management
• Finance Director services • Reconciliations
• Financial management plans • Software implementation
• Financial reporting and analysis • Training
• Fleet: Operations and replacement rate analysis • Utility/fee analysis
• Interim accounting and financial services • Year-end audit preparation and financial
statement preparation
6 39
Value
At Abdo FS, we are dedicated to assisting our clients in achieving their financial goals
through comprehensive and personalized financial services. Our team of experienced
professionals provide expert guidance in public finance.
Our fees range from $190 - $510 per hour based upon the experience and level of the
individuals to be assigned to perform your work. Fees are also based on the assumption
and limitations outlined in the Scope of Services. Below are the fees for our services.
SERVICES MONTHLY FEE ESTIMATED FEE
Accounts Payable Review $750/Estimated
Cash Flow Training N/A $620 - $1,000
Municipal & City Consolidation Word N/A $700 - $1,250
Assessment
Budget Preparation N/A $13,000 - $18,000
Cash & Investment Reconciliation N/A $700- $1,250
Assessment
Hourly rates are subject to change on September 1st each year
If the City would like on-site presence, travel time will be invoiced at 1/2 the hourly rate and
mileage at the standard IRS rate.
This quote is valid for thirty (30) days.
Monthly installment fees will be invoiced throughout the remainder of this contract.
In an effort to reduce environmental impact, you will receive printable, downloadable PDFs
of your report. To receive one (1) paper report, you will be charged $150 for a set-up fee.
Additional paper copies will be charged at the rate of $50 per report.
77 40
Scope of Services
ABDO FS CONTRACT TASK CLIENT RESPONSIBILITY FREQUENCY
General
Accounts Payable - review of batches for Code and enter accounts payable Bi-weekly
coding and dollar amounts invoices into financial system
Cash flow analysis training Provide uninterrupted, dedicated time for One-time
training
Cash and investment reconciliation Provide assess to financial software and Initial assessment to determine state of
assessment reconciliations. Previous Finance Director reconciliations to general ledger
to participate in discussion.
Municipal Utility and City consolidation Provide documentation and information Initial assessment to determine where City
assessment on status of consolidation. Previous is at in process of consolidation and what
Finance Director to participate in needs to be completed to finalize
discussion.
Budget preparation
Preliminary meeting with City management Review and provide input July
on budget objectives and strategy
Prepare budget/wage analysis and Review and provide input July
projection for budget
Prepare City management's recommended Review and provide input July - August
property tax levy along with a general
outline of the City budgeted funds
including any potential budget funding
gaps.
Assist in presenting preliminary budget to Review and provide input September - December
Council prior to September 30 and final
budget prior to December 20
Assist in the certification of the final tax Review and provide input December 31
levy to the County and other compliance
documents required for the budget
Attend up to four meetings virtually July - December
8 41
What Our
Clients Say
CLIENT REFERENCES
One of the things we enjoy most about our work is
developing long-term relationships with our clients
and watching their city thrive as we help them to
evolve and grow. Our clients listed below serve as a
sample of references of those we partner with for
their accounting services. Additional references are
available upon request.
CITY OF CRYSTAL CITY OF DUNDAS CITY OF WYOMING
Kim Therres Jenelle Teppen Robb Linwood
Assistant City Manager City Administrator City Administrator
P 763.531.1132 P 507.645.2852 P 651.462.0575
SERVICES PROVIDED SERVICES PROVIDED SERVICES PROVIDED
Long-term Plan Long-term Plan Outsourced Finance
Outsourced Finance Outsourced Finance Director
Director Director Budgeting
Process Evaluation Budgeting Audit Preparation
(ProEval) Long-term Plan
Utility Rate Study
Budgeting
Audit Preparation
Utility Billing
Payroll Processing
9 42
Value-Added Services
When you partner with Abdo, you get access to our entire catalog of services. Below is
a selection of the additional solutions that we believe could be of great value to your
city. If you have need of these services, please reach out to us so we can help! Our
additional service offerings can be found at www.abdosolutions.com.
HR & PAYROLL SERVICES
We help employers better support their most valuable resource...their people. Having
clear and consistent HR practices that best suit the individuality of your city is key,
even more so in today’s tight employment environment. And because the right policies
are just as important, we lend our HR expertise to help you strategically plan for your
future.
We help cities with:
• Employee management and development
• Regulatory compliance
• Benefits analysis and administration, including the Affordable Care Act (ACA)
and workers’ compensation
• HR/Payroll software implementation and management
• Advisory services such as specialized labor cost analysis, compensation
studies, and HR process development and implementation
LONG TERM PLANNING
How will you fund your city’s Capital Improvement Plan? Part of establishing a capital
improvement program is determining how to pay for it. Will you issue debt? Raise
property taxes? Reorganize your capital budget? A long-term plan can help you answer
these questions and more. Depending on your needs, our approach to long term
planning may include:
• Preparing projections to gauge future revenue streams
• Conducting a debt management study
• Reviewing reserve and fund balance policies
• Implementing plans to achieve pay-as-you-go financing
10 43
11 44
12 45
Why Partner
with Abdo
LIGHTING THE PATH FORWARD
In a world of ever-changing complexity, people need caring, empathetic and
highly skilled professionals they can depend on to provide the right advice and
solutions for them. Our clients seek growth and success, but also want security
and confidence. For over 60 years, Abdo has provided insights for our clients to
help them achieve their goals.
That same innovative spirit is also what has earned us the title of being one of
the top accounting firms in the Midwest. Abdo is a better firm today because of
the efforts we made to support a culture driven by our core values of growth,
relationships, and teamwork.
With this foundation in place, we have successfully helped our clients identify
and break through their own growth barriers. Every challenge they face is an
opportunity for us to listen, understand and empower them with solutions and a
plan to achieve their goals. It’s fulfilling to serve as the catalyst that helps them
overcome obstacles that block their progress.
When it comes to our working relationships, we are partners. We’re confidants.
We’re the catalyst that sparks true business growth, providing guidance through
every challenge and opportunity along the way.
ABOUT ABDO
Abdo is a full-service accounting and consulting firm that delivers customized
strategies and innovative solutions to help businesses, governments and
nonprofits succeed. With more than 200 professionals and over six decades of
experience, Abdo is ranked as one of the top accounting firms in the Midwest. It
is a licensed CPA firm with offices located in Minneapolis and Mankato,
Minnesota, and Scottsdale, AZ. Abdo’s commitment to its clients is to gain in-
depth knowledge of their unique challenges, opportunities, and needs. Through
this consultative approach, Abdo partners with organization leaders to light the
path forward to confidently reach their goals.
“Listening to our clients’ needs, understanding their challenges, and
adjusting how we work together is key to our partnership with the
people we serve.”
-- Steve McDonald, CPA | Managing Partner
13 46
Appendix A
AGREEMENT FOR FINANCIAL SERVICES
14 47
Agreement for
Financial Services
THIS AGREEMENT, is made and entered into on July 11, 2025 by and between the City of Kenyon, Minnesota
(hereinafter referred to as the (“Client”), and Abdo Financial Solutions (hereinafter referred to as the “Contractor”).
Articles of Agreement & Recitals
WHEREAS, the Client is authorized and empowered to secure from time to time certain professional services
through contracts with qualified consultants; and
WHEREAS, the Contractor understands and agrees that:
1. The Contractor will act as an Independent Contractor in the performance of all duties under this Agreement.
Accordingly, the Contractor shall be responsible for payment of all taxes, including federal, state and local
taxes and professional/business license fees arising out of the Contractor’s activities;
2. The Contractor shall have no authority to bind the Client for the performance of any services or to obligate
the Client. The Contractor is not an agent, servant, or employee of the Client and shall not make any such
representations or hold himself/herself out as such;
3. The Contractor shall be the exclusive outsourced accounting service provider for the Client during the term
of this Agreement;
4. The Contractor shall perform all professional services in a competent and professional manner, acting in the
best interests of the Client at all times.
5. The Contractor shall not accrue any continuing contract rights for the services performed under this
Agreement.
NOW THEREFORE, in consideration of the mutual covenants and promises contained herein, it is agreed as follows:
ARTICLE I
INCORPORATION OF RECITALS
The recitals and agreement set forth above are hereby incorporated into this Agreement.
ARTICLE II
LIABILITY INSURANCE
Section 1 Liability Insurance: The Contractor shall obtain professional liability insurance, at their expense with
liability insurance coverage minimums in the amount of $2,000,000, which Contractor must secure and maintain
during the term of this Agreement. Contractor will provide Client with proof of liability insurance coverage under this
Agreement in writing upon request by the Client.
15 48
Agreement for Financial Services Continued
ARTICLE III
DURATION OF THE AGREEMENT
Section 1 Duration: This Agreement shall commence upon date of execution by all parties and will remain in effect
until December 31, 2025 unless earlier terminated as provided in Sections 2 and 3.
Section 2 Client's Termination Rights: The Client may terminate this Agreement upon sixty (60) days written notice in
the event the Client determines in its sole discretion that it is not in the Client's best interest to continue using
Contractor’s services. The Client may terminate on ten (10) days written notice if the Contractor fails to perform its
obligations under this Agreement.
Section 3 Contractor’s Termination Rights: Contractor may terminate this Agreement upon thirty (30) days written
notice to Client in the event Client does not pay Contractor compensation as required under Article 5, Section 9 within
fifteen (15) days after invoice is received by Client. In the event of non-payment within thirty (30) days, Contractor shall
give the Client an opportunity to cure the default by giving a notice of such non-payment and an additional five (5)
days after the Client's receipt of the notice to remit such payment, prior to giving a notice of termination. Contractor
can also terminate the Agreement with one hundred twenty (120) days written notice if the Contractor believes it is in
its best interests to terminate the Agreement.
ARTICLE IV
GENERAL
Section 1 Authorized Client Agent: The Client's authorized agent for the purpose of administration of this Agreement
is the City Administrator. Said agent shall have final authority for approval and acceptance of the Contractor’s services
performed under this Agreement and shall further have responsibility for administration of the terms and conditions of
this Agreement. All notices under this Agreement shall be sent to the person and address indicated below on the
signature lines.
Section 2 Amendments: No amendments or variations of the terms and conditions of this Agreement shall be valid
unless in writing and signed by the parties.
Section 3 Assignability: The Contractor’s rights and obligations under this Agreement are not assignable or
transferable.
Section 4 Data: Any data or materials, including, but not limited to, reports, studies, photographs, negatives, or any and
all other documents prepared by the Contractor or its outside consultants in the performance of the Contractor's
obligations under this Agreement shall be the exclusive property of the Client, and any such data and materials shall
be remitted to the Client by the Contractor upon completion, expiration, or termination of this Agreement. Further, any
such data and materials shall be treated and maintained by the Contractor and its outside consultants in accordance
with applicable federal, state and local laws. Further, Contractor will have access to data collected or maintained by
the Client to the extent necessary to perform Contractor's obligations under this Agreement. Contractor agrees to
maintain all data obtained from the Client in the same manner as the Client is required under the Minnesota
Government Data Practices Act, Minnesota Statutes Chapter 13 or other applicable law (hereinafter referred to as the
"Act"). Contractor will not release or disclose the contents of data classified as not public to any person except at the
written direction of the Client. Upon receipt of a request to obtain and/or review data as defined in the Act, Contractor
will immediately notify the Client. The Client shall provide written direction to Contractor regarding the request within a
reasonable time, not to exceed fifteen (15) days. The Client agrees to indemnify, hold harmless and defend Contractor
for any liability, expense, cost, damages, claim, and action, including attorneys' fees, arising out of or related to
Contractor's complying with the Client's direction. Subject to the aforementioned, Contractor agrees to defend and
indemnify the Client from any claim, liability, damage or loss asserted against the Client as a result of Contractor's
failure to comply with the requirements of the Act. Upon termination and/or completion of this Agreement, Contractor
agrees to return all data to the Client, as requested by the Client.
16 49
Agreement for Financial Services Continued
ARTICLE IV - CONTINUED
GENERAL (CONTINUED)
Section 5 Entire Agreement: This Agreement is the entire agreement between the Client and the Contractor, and it
supersedes all prior written or oral agreements. There are no other covenants, promises, undertakings, or
understandings outside of this Agreement other than those specifically set forth. Any term, condition, prior course of
dealing, course of performance, usage of trade, understanding, or agreement purporting to modify, vary, supplement, or
explain any provision of this Agreement is null and void and of no effect unless in writing and signed by representatives
of both parties authorized to amend this Agreement.
Section 6 Severability: All terms and covenants contained in this Agreement are severable. In the event any provision
of this Agreement shall be held invalid by any court of competent jurisdiction, this Agreement shall be interpreted as if
such invalid terms or covenants were not contained herein, and such holding shall not invalidate or render
unenforceable any other provision hereof.
Section 7 Contractor Fiscal Decision Waiver: Contractor is responsible for providing the Client with timely and accurate
financial recommendations and information that allows the Council the ability to make final financial decisions.
Contractor will provide final financial recommendations but is not responsible for the final decisions made regarding
financial matters.
Section 8 Compensation: The parties agree that the Contractor shall be paid compensation for the services provided
hereunder, payable for work performed in accordance with this Agreement, based on the fees indicated on the Value
page of this proposal. Additional fees will not be incurred without prior approval of the Client.
Initial invoice for anticipated first month fees will be sent within 10 days of the execution of this agreement. Monthly
installment fees will be invoiced throughout the remainder of this Agreement. If the Agreement is for an hourly fee
basis, invoices will be sent monthly.
Section 9 Additional Services: Should the Client request additional services in addition to the Contracted Services, the
Contractor will provide the Client with proposed fees for the services to be provided. The Client shall provide a written
or electronic confirmation prior to the proposed services implementation.
Section 10 Outside Contractors: It shall be the responsibility of Contractor to compensate any other outside
consultants retained or hired by Contractor to fulfill their obligations under this Agreement and shall be responsible for
their work and Contractor, by using outside contractors, shall not be relieved of its obligations under this Agreement.
Section 11 Municipal Advisor: Abdo FS acknowledges the Client may/has retained an independent registered
municipal advisor (IRMA) to assist and advise the Client in evaluating information relating to the issuance of municipal
securities and/or municipal financial products. Abdo FS acknowledges the Client will rely on advice from their IRMA.
Abdo FS will have no recourse against the Client or its IRMA, regarding action or inaction relating to evaluating,
commenting on, or responding to financial projects or information received under this Agreement. Abdo FS
acknowledges it is not the registered independent municipal advisor retained by the Municipal Entity Client.
Section 12 Equal Employment Opportunity: Abdo, LLP and its subsidiary companies are committed to providing equal
employment opportunities to all employees and applicants for employment without regard to any legally-recognized
basis “protected class” including but not limited to: veteran status, uniform service member status, race, color, religion,
sex, national origin, age, physical or mental disability, sexual orientation or marital preference, genetic information or
any other protected class under federal, state, or local law.
17 50
Appendix B
AGREEMENT FOR THE PROVISION OF
PROFESSIONAL SERVICES
18 51
Agreement for the Provision
of Professional Services
WHEREFORE, this Agreement was entered into on the date set forth below and the undersigned, by execution hereof,
represent that they are authorized to enter into this Agreement on behalf of the respective parties and state that this
Agreement has been read by them and that the undersigned understand and fully agree to each, all and every provision
hereof, and hereby, acknowledge receipt of a copy hereof.
City of Kenyon
709 Second Street
Kenyon, Minnesota 55946
SIGNATURE
Scott Lehner
SIGNATURE
Don Kirchman
Abdo Financial Solutions, LLC
5201 Eden Avenue, Suite 250
Edina, Minnesota 55436
Jean McGann, CPA
Partner | Abdo
July 11, 2025
19 52