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LOAN AGREEMENT
<br /> THIS IS A LOAN AGREEMENT dated as of October 1, 2026 (herein referred to sometimes as
<br /> the "Loan Agreement"),between MILLIKIN UNIVERSITY, an Illinois not for profit corporation (the
<br /> "Borrower"), as borrower, and CITY OF DECATUR,MACON COUNTY,ILLINOIS,a municipality and
<br /> a home rule unit under the provisions of Article VII of the Constitution of the State of Illinois(the
<br /> "City"or "Lender"), as lender.
<br /> PRELIMINARY STATEMENT
<br /> The Borrower desires to (i) refund a portion of a taxable loan(the "RJ Loan")provided to
<br /> the Borrower in 2024 by Raymond James, Inc., a portion of the proceeds of which were used to
<br /> retire the outstanding County of Macon, Illinois Revenue Bonds,Millikin University, Series 2014
<br /> (the "Series 2014 Bonds"), (ii) refund all or a portion of a taxable loan (the "Busey Loan")
<br /> provided to the Borrower in 2024 by Busey Bank, the proceeds of which were used to retire the
<br /> outstanding County of Macon, Illinois Revenue Bonds, Millikin University, Series 2010 (the
<br /> "Series 2010 Bonds"), (iii) finance or reimburse all or a portion of the costs of constructing,
<br /> renovating, remodeling, expanding, rehabilitating, furnishing and equipping the educational
<br /> facilities owned by the Borrower, all located on the Borrower's Campus (as defined herein) (the
<br /> "Project"), (iv) fund a portion of the interest accruing on the Series 2026A Bonds, and (v) pay
<br /> certain costs relating to the issuance of the Series 2026A Bonds (collectively, the "Financing
<br /> Purposes"). In order to accomplish the foregoing,the Borrower is concurrently with the delivery
<br /> hereof borrowing funds from the City through the issuance to the City of(i) its Promissory Note,
<br /> Series 2026A (the "Series 2026A Note"), in the principal amount of$18,000,000 in substantially
<br /> the form attached hereto as Exhibit A.
<br /> The City is obtaining funds for such loan to the Borrower through the issuance and sale of
<br /> its City of Decatur, Macon County, Illinois Revenue Bonds (Millikin University), Series 2026A,
<br /> in the aggregate principal amount of $18,000,000 (the "Series 2026A Bonds"), which will be
<br /> issued under and secured by the Trust Indenture dated as of October 1,2026,between the City and
<br /> Amalgamated Bank of Chicago, an Illinois sate banking corporation, with a designated corporate
<br /> trust office in Chicago, Illinois, as trustee(the "Trustee"). Pursuant to the Indenture,the City will
<br /> pledge and assign the Series 2026A Note and assign its rights under this Loan Agreement (with
<br /> certain limited exceptions) to the Trustee as security for the Series 2026A Bonds. The
<br /> Series 2026A Bonds,together with the interest thereon, shall be payable solely from the payments
<br /> to be made on the Series 2026A Note, from amounts payable under this Loan Agreement and from
<br /> certain funds and accounts pledged to the Trustee under the Indenture.
<br /> The Borrower desires to secure the Series 2026A Note and its obligations hereunder by
<br /> executing and delivering this Loan Agreement and has taken all action necessary thereto.
<br /> In consideration of the premises, the respective representations and agreements contained
<br /> herein, the loan of the proceeds of the Series 2026A Bonds by the City to the Borrower through
<br /> the Series 2026A Note and for other good and valuable consideration,the receipt whereof is hereby
<br /> acknowledged, and in order to secure the payments to be made by the Borrower on the
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