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-3- Section 6. Other Conditions: a) Size of Issue: Normally, because of costs and expenses involved, an industrial revenue issue of less than $1,000,000 will not be considered or processed. Utilities and Assessments: A condition to any Council final bond resolution for a developer seeking such financing is the payment in full of all public utility costs, assessments, oversizing, and additional costs to meet state aid standards, which shall be paid in full at the time of closing of the bond issue from bond proceeds. A letter of credit or escrow must be depos- ited at the time the City adopts the preliminary resolution, if required by the City, with the City Clerk for the payment of such costs. In addition, all unit costs, connection and permit charges, and previous levied or pend- ing and outstanding assessments must be paid at the time of closing of the bond issue. b) c) Private Placement: The Council will not issue such revenue bonds in the open market. Developers, tenants, and their underwriters will have to assume private placement with a number of sophisticated investors who must agree not to circulate or sell such obligations after receipt from the City generally in the municipal market. Plans and Specifications: In addition to normal zoning, building and code requirements, the Council reserves the right of final approval or dis- approval of plans and specifications. For example, the City will not utilize its bond powers to build buildings that aesthetically are not pleasing, even thouah such construction might satisfy other require~ents. Prior Review: Prior to any applicant approaching the Council, any proposal will have to be reviewed by the City staff, attorney, bond con- sultant or other City agencies. The Council will not adopt a resolution setting a public hearing date and will not adopt any other preliminary resolutions until the respective reports, even if preliminary in form, are received. d) e) f) City Consultants: The City shall designate the bond counsel and bond consu1tants and name the trustees and paying agents. The City reserves the right to employ legal, accounting, appraisal, financial, engineering, architectural, and other consultants to review the proposed project and its financing. The cost of such consultants, together with the City's administrative expense, shall be paid by the applicant, whether or not the City agrees to finance the project or whether or not the project is constructed. g) EgUit~: The City may require the applicant to establish and maintain a slgni icant equity in the structure and to maintain a reserve balance or deposit of securities with or for the benefit of the City, or lease insurance to protect against a lease payment default, or satisfactory evidence of mortgage insurance, or a written confirmation by a nationally known credit rating service that the bonds or other investment instru- ments carry a rating satisfactory to the City.