I-1 - Preliminary Official Statement - UR Loan Agreement

The City previously entered into continuing disclosure undertakings with its outstanding bond issues and for the Fiscal Year ended June 30, 2018, the City inadvertently failed to file its audited financial statement in a timely manner. The Fiscal Year 2018 audit and a failure to file notice have since been posted. A failure by the City to comply with the Certificate will not constitute an event of default on the Bonds (although holders will have an enforceable right to specific performance). Nevertheless, such a failure must be reported in accordance with the Rule and must be considered by any broker, dealer or municipal securities dealer before recommending the purchase or sale of the Bonds in the secondary market. Consequently, such a failure may adversely affect the transferability and liquidity of the Bonds and their market price. Please see Appendix B – Continuing Disclosure Certificate herein for additional information. UNDERWRITING The Bonds are being purchased from the City by Northland Securities, Inc. (the “Underwriter”). The Underwriter will receive total compensation of $ in connection with the purchase of the Bonds assuming all Bonds are sold at the rates and yields set forth on the cover page of this Official Statement, which compensation is % of the par value. The obligation to make such purchase is subject to certain terms and conditions, the approval of certain legal matters by counsel and certain other conditions. FUTURE FINANCING The City does not anticipate the need to finance any additional general obligation debt within the next three months. BOND RATING The City did not request a rating. LITIGATION As of the date of this Official Statement, the City is not aware of any threatened or pending litigation that questions the organization or boundaries of the City or the right of any of its officers to their respective offices or in any manner questioning their rights and power to execute and deliver the Bonds or otherwise questioning the validity of the Bonds. CERTIFICATION The City will furnish a statement to the effect that this Official Statement to the best of their knowledge and belief, as of the date of sale and the date of delivery, is true and correct in all material respects, and does not contain any untrue statements of a material fact or omit to state a material fact necessary in order to make the statements made therein, in light of the circumstances under which they were made, not misleading. The City has always promptly met all payments of principal and interest on its indebtedness when due. LEGALITY Legal matters incident to the authorization, issuance and sale of the Bonds and with regard to the taxability of interest thereon (see “Tax Exemption and Related Tax Matters” herein) are subject to the approving legal opinion of Dorsey & Whitney LLP, Des Moines, Iowa ("Bond Counsel"). Signed copies of the opinion, dated and premised on law in effect as of the date of original delivery of the Bonds, will be delivered to the Underwriter at the time of such original delivery. The Bonds are offered subject to prior sale and to the approval of legality of the Bonds by Bond Counsel. See Appendix A – Form of Bond Counsel Opinion. The legal opinion to be delivered will express the professional judgment of Bond Counsel as of the date of closing and by rendering a legal opinion Bond Counsel does not become an insurer or guarantor of the result indicated by that expression of professional judgment or of the transaction or the future performance of the parties to the transaction. – 10 –