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HomeMy WebLinkAbout92-164 CERTIFICATION OF MINUTES RELATING TO $3,280,000 GENERAL OBLIGATION IMPROVEMENT REFUNDING BONDS, SERIES 1992E $1,260,000 GENERAL OBLIGATION PARK REFUNDING BONDS, SERIES 1992C $160,000 GENERAL OBLIGATION TAX INCREMENT REFUNDING BONDS, SERIES 1992D $480,000 GENERAL OBLIGATION EQUIPMENT CERTIFICATES OF INDEBTEDNESS, SERIES 1992E Issuer: City of Lakeville, Minnesota Governing Body: City Council Kind, date, time and place of meeting: A regular meeting held on Monday, September 21, 1992, at 7:00 .o'clock P.M. at the City Hall. Members present:. Patrick G. Harvey, Lynette. Mulvihill, Wendal Ruhmann, Betty Sindt, and Mayor .Duane Zaun Members absent: None Documents Attached: RESOLUTION NO. 92-164 RESOLUTION AUTHORIZING ISSUANCE AND SALE OF: $3,280,000 GENERAL OBLIGATION IMPROVEMENT REFUNDING BONDS, SERIES 1992B $1,260,000 GENERAL OBLIGATION PARK REFUNDING BONDS, SERIES 1992C • $160,000 GENERAL OBLIGATION TAX INCREMENT REFUNDING BONDS, SERIES 1992D $480,000 GENERAL OBLIGATION EQUIPMENT CERTIFICATES OF INDEBTEDNESS, SERIES 1992E OFFICIAL TERMS OF PROPOSAL (4) I, the undersigned, being the duly qualified and acting recording officer of the public corporation issuing the bonds referred to in the title of this certificate, certify that the documents attached heret~a, as described above, have been carefully compared with the original records of said corporation in my legal custody, from which they have been transcribed; that said documents are a correct and complete transcript of the minutes of a meeting of the governing body of said corporation, and correct and complete copies of all resolutions and other actions taken and of all documents approved. by the governing body at said meeting, so far as they relate to said bonds; and that said meeting was duly held by the governing body at the time and place and was attended throughout by the members indicated .above, pursuant to call and notice of such meeting given as required by law. WITNESS my hand officially as such recording officer this day of September, 1992. - City Clerk . ~ \ Councilmember Harvey introduced the • following resolution and moved its adoption: RESOLUTION NO. 92-164 RESOLUTION AUTHORIZING ISSUANCE AND SALE OF: $3,280,000 GENERAL OBLIGATION IMPROVEMENT REFUNDING BONDS, SERIES i992B $1,260,000 GENERAL OBLIGATION PARK REFUNDING BONDS, SERIES 1992C $160,000 GENERAL OBLIGATION TAX INCREMENT. REFUNDING BONDS, SERIES 1992D $480,000 GENERAL OBLIGATION EQUIPMENT CERTIFICATES OF INDEBTEDNESS, SERIES 1992E BE IT RESOLVED by the City Council of the City of Lakeville, Minnesota (the City), as follows: Section L Purposes. It is hereby detemuned to be in the best interests of the City to issue its: (a) General Obligation Improvement Refunding Bonds, Series 1992B, in the principal amount of $3,280,000 (the Series B Bonds), subject to adjustment as provided in the Terms of Proposal referred to below, pursuant to Minnesota Statutes, Chapters 429 and 475, to refund (i) the 19942000 maturities of the City's General Obligation Improvement Refunding Bonds of 1983, dated June 1, 1983, (ii) the 1997-2007 maturities of the City's General Obligation • Improvement Bonds, Series 1986A, dated August 1, 1986, and (iii) the 1998-2010 maturities of the City's General Obligation Improvement Bonds, Series 1988A, dated December 1, 1988. (b) General Obligation Park Refunding Bonds, Series 199X, in the principal amount of $1,260,000 (the Series C Bonds), subject to adjustment as provided in the Terms of Proposal referred to below, pursuant to Minnesota Statutes, Chapter 475, to refund the 1997-2005 maturities of the City's outstanding General Obligation Park Bonds, Series 1986A, dated August 1, 1986. (c) General Obligation Tax Increment Refunding Bonds, Series 1992D, in the principal amount of $160,000 (the Series D Bonds), pursuant to Minnesota Statutes, Chapters 469 and 475, to refund the 19942004 maturities of the City's General Obligation Tax Increment Bonds, Series 1984A, dated December 1, 1984. (d) General Obligation Equipment Certificates of Indebtedness, Series 1992E, in the principal amount of $480,000 (the Series E Bonds), pursuant to Minnesota Statutes, Section 412.301, to finance the purchase of items of capital equipment. - The Series B Bonds, Series C Bonds, Series D Bonds and Series E Bonds are hereinafter referred to as the "Obligations." Section 2. Terms of Sale. Springsted Incorporated, financial consultant to the Ciry, has presented to this Council forms of Official Terms of Proposal for the Obligations which shall be placed on file by the Clerk. Each and all of the provisions of the Official Terms of Proposal are hereby adopted as the terms and conditions of the Obligations and of the sale thereof. • . ~ \ r Section 3. S e Meeting. This Council shall meet at the City Hall on Monday, October 26, 1992, at 7:00 o'clock P.M, for the purpose of considering sealed bids for the purchase of the Obligations and of talong such action thereon as may be in the best interests of the City. Mayor Attest: Clerk The motion for the adoption of the foregoing resolution was duly seconded by Councilmember Ruhmaru' and upon vote being taken thereon, the following voted in favor thereof: Patrick G. Harvey, Lynette Mulvihill, Wenzel Ruhmann, Betty Sindt and. Mayor Duane Zaun and the following voted against the same: None • whereupon the resolution was declared duly passed and adopted. -2- THE CITY HAS AUTHORIZED SPRINGSTED INCORPORATED TO NEGOTIATE THIS ISSUE ON I'i'S BEHALF. PROPOSALS WILL BE RECEIVED ON THE FOLLOWING BASIS: • TERMS OF PROPOSAL :3,280,000" CITY OF LAiKEVILLE, MINNESOTA GENERAL OBLIGATION IMPROVEMENT REFUNDING BONDS, SERIES 19928 Proposals for the Bonds will. be received by the City Finance Director on Monday, October 26, 1992, until 11:30 A.M., Central Time, at the offices of Springsted Incorporated, 85 East Seventh Place, Suite 100, Saint Paul, Minnesota, after which time they will be opened and tabulated. Consideration for award of the Bonds will be by the City Council at 7:00 P.M., Central Time, of the same day. DETAILS OF THE BONDS The Bonds will be dated November 1, 1992, as the date of original issue, and will bear interest payable on February 1 and August 1 of each year, commencing August 1, 1993. Interest will be computed. on the basis of a 360-day year of twelve 30-day months. The Bonds will be issued in the denomination of $5,000 each, or in integral multiples thereof, as requested by the purchaser, and fully registered as to principal and interest. Principal will be payable at the main • corporate office of the registrar and interest on each Bond will be payable by check or draft of the registrar mailed to the registered holder thereof at the holder's address as it appears on the books of the registrar as of the close of business on the 15th day of the immediately preceding month. The Bonds will mature February 1 in the years and amounts as follows: 1994 $ 55,000 1999 $280,000 2003 $230,000 2007 $240,000 1995 $ 55,000 2000 $280,000 2004 $235,000 2008 $135,000 1996 $50,000 2001 $235,000 2005 $235,000 2009 $135,000 i 997 $220,000 2002 $240,000 2006 $240,000 2010 $135,000 1998 $280,000 The City reserves the right, after proposals are opened and prior io award, to increase or reduce the principal amount of the Bonds offered for sale. Any such increase or reduction will be in a rotal amount not io exceed $50,000 and will be made in multiples of $5,000 in any of me maturities. In the event the principal amount of the Bonds is increased a .reduced, any premium offered or any discount taken will be increased or reduced by a percentage equal to the percentage by which the principal amount of the Bonds is increased or reduced. OPTIONAL REDEMPTION The City may elect on February 1, 2002, and on any day thereafter, to prepay Bonds due on or after February 1, 2003. Redemption may be in whole or in part and if in part, at the .option of the City and in such. order as the City shall determine and within a maturity by lot as selected by the registrar. All prepayments shall be of a price of par plus accrued interest. • -i- ~ ~ ~ SECURITY AND PURPOSE . The Bonds will be general obligations of the City for which the City will pledge its full faith and credit and power to levy direct general ad valorem taxes. In addition. the City .will pledge special assessments against benefited property. The proceeds will be used to refund. the 1994 through .2000 maturities of the City's $1,925,000 General Obligation Improvement Refunding Bonds of 1983, dated June 1, 1983; the 1997 through 2007 maturities of the City's $2,930,000 General Obligation Improvement Bonds, Series i 986A, dated August 1, 1986; and the. 1998 through 2010 maturities of the City's $2,400,000 General Obligation Improvement Bonds, Series 1988A, dated December 1, 1988. TYPE OF PROPOSALS Proposals shall be for not less than $3,237,360 and accrued interest on the total principal amount of the Bonds. Proposals shall be accompanied by a Good Faith Deposit ("Deposit") in the form of a certified or cashier's check or a Financial Surety .Bond in the amount of $32,800, payable to the order of the City. ff a check is used, it must accompany each proposal If a Financial Surety Bond is used, it must be from an insurance company licensed to issue such a bond in the State of Minnesota, and preapproved by the City. Such bond must be submitted to Springsted Incorporated prior to the opening of the proposals. .The Financial Surety Bond must identify each .underwriter whose Deposit is guaranteed by such Financial Surety Bond. ff the Bonds are awarded to an underwriter using a Financial Surety Bond, then that purchaser is required to submit its Deposit to Springsted Incorporated in the form of a certified or cashier's check or wire transfer as instructed by Springsted Incorporated not later than 3:30 P.M., .Central Time, on the next business day following the award. If such Deposit is not received by that time, the Financial Surety Bond may be drawn by the City to satisfy the Deposit requirement. The City will deposit the check of the purchaser, the amount of which will be • deducted at settlement and no interest will accrue to the purchaser. In the event the purchaser fails to comply .with the accepted proposal, said amount will be retained by the City. No proposal can be withdrawn or amended after the time set for receiving proposals unless the meeting of the City scheduled. for award of the Bonds is adjourned, recessed, or continued to another date without award of the Bonds having been made. Rates shall be in .integral multiples of 5/100 or 1 /8 of 1 Rates must be in ascending order.. Bonds of the same maturity shall bear a single rate from the date of the Bonds to the date of maturity. No conditional proposals will be accepted. AWARD The Bonds will be awarded on the basis of the lowest interest rate to be determined on a true interest cost .(TIC) basis. The City's computation of the interest rate of each proposal, in accordance with customary practice, will be controlling. BOND INSURANCE AT PURCHASER'S OPTION ff the Bonds quality for issuance of any policy of municipal bond insurance or commitment therefor at the option of the underwriter, the purchase of any such insurance policy or .the .issuance of any such commitment shall be at the sole option and expense of the purchaser of the Bonds.. Any increased costs of issuance of the Bonds resulting from such purchase of insurance shall be paid by the purchaser, except that, if the City has requested and received a rating on the Bonds from a rating agency, the City will pay that rating fee. Any other rating agency fees shall be the responsibility of the purchaser. Failure of the municipal bond insurer to issue the policy after Bonds have been awarded to the • purchaser shall not constitute cause for failure or refusal by the purchaser to accept delivery on the Bonds. ii - REGISTRAR i The City will name the registrar which shall be subject to applicable SEC regulations.: The City will pay for the services of the registrar. CUSIP NUMBERS ff the Bonds .qualify for assignment of CUSIP numbers such numbers will be printed on the Bonds, but neither the failure to print such numbers on any Bond nor any error with respect thereto will cor?stitute cause for failure or .refusal by the purchaser to accept delivery of the Bonds. The CUSIP Service Bureau charge for the assignment of CUSIP identfication numbers shall be paid by the purchaser. SETTLEMENT Within 40 days following the date of their award, the Bonds will be delivered without cost to the purchaser at a place mutually satisfactory to the City and the purchaser. Delivery will be subject to receipt by the purchaser of an approving legal opinion. of Dorsey & Whitney of Minneapolis, Minnesota, which opinion will be printed on the Bonds, and of customary closing papers, including a no-litigation certificate. On the date of settlement payment for the Bonds shall be made in federal, or equivalent, funds which shall be received at the offices of the City or its' designee not later than 12:00 Noon, Central Time.. Except as compliance with the terms of payment for the Bonds shall have been made impossible by action of the City, or its agents, the purchaser shall be liable to the .City for any loss suffered by the City by reason of the purchaser's non-compliance with said terms for payment. OFFICIAL STATEMENT The City has authorized the preparation of an Official Statement containing pertinent information relative to the Bonds, and said Official Statement will serve as a nearly-final Official Statement within the meaning of Rule 15c2-12 of the Securities and Exchange Commission. For copies of the Official Statement or for any additional information prior to sale, any prospective purchaser is referred to the Financial Advisor to the City, Springsted .Incorporated, 85 East Seventh Place, Suite 100, Saint Paul, Minnesota 55101, telephone (612) 223-3000.. The Official Statement, when further supplemented by an addendum or addenda specifying the. maturity dates, .principal amounts and interest rates of the Bonds, together with any other information required by law, shall constitute a "Final Official Statement" of the City with respect to the Bonds, as that term is defined in Rule 15c2-12. By awarding. the Bonds to any underwriter or underwriting syndicate submitting a proposal therefor, the. City agrees that, no more than seven business days after the date of such award, ft shall provide without cost to the senior managing underwriter of the syndicate to which the Bonds are awarded 130 copies of the Official Statement and the addendum or addenda described above. The City designates the senior managing underwriter of the syndicate to which the Bonds are awarded as its agent for purposes of distributing copies of the Final Official Statement to each Participating Underwriter. Any underwriter delivering a proposal with respect to the Bonds agrees thereby that 'rf its proposal is accepted by the City (i) it shall accept such designation and (ii) it shall enter into a contractual relationship with all Participating Undenroriters of the Bonds for .purposes of assuring the receipt by each such Participating Underwriter of the Final Official Statement. Dated September 21, 1992 BY ORDER OF THE CITY COUNCIL • /s/ Charlene Friedges City Clerk - iii - THE CITY HAS AUTHORIZED SPRINGSTED INCORPORATED TO NEGOTIATE THtS ISSUE ON ITS BEHALF. PROPOSALS WILL BE RECEIVED ON THE FOLLOWING BASIS: • TERMS OF PROPOSAL ;1,260,000" CITY OF LAKEVILLE, MINNESOTA GENERAL OBLIGATION PARK REFUNDING BONDS, SERIES 1992C Proposals for the Bonds will be received by the City Finance Director on Monday, October 26, 1992, until 11:30 A.M., Central Time, at the offices of Springsted Incorporated, 85 East Seventh Place, Suite 100, Saint Paul, Minnesota, after which time they will be opened. and tabulated. Consideration for award of the Bonds will be by the City Council at 7:00 P.M., Central Time, of the same day. DETAILS OF THE BONDS The Bonds will be dated November 1, 1992, as the date of original issue, and will bear interest payable on February 1 and. August 1 of each year, commencing August i_, 1993. Interest will be computed on the basis of a 360-day year of twelve 30-day months. The Bonds will be issued in the denomination of $5,000 each, or in integral multiples thereof, as requested by the purchaser, and fully registered as to principal and interest. Principal will be payable at the main corporate office of the registrar and interest on each Bond will be payable by check or draft of • the registrar mailed to the registered holder thereof at the holder's address as it appears on the books of the registrar as of the close of business on the 15th day of the immediately preceding month. The Bonds will mature February 1 in the years and amounts as follows: 1997 $100,000 2001 $120,000 2004 $140,000 1998 $105,000 2002 $125,000 2005 $150,000 1999 $110,000 2003 $135,000 2006 $160,000 2000 $115,000 The City reserves the right, after proposals are opened and prior to award, to increase or reduce the principal amount of the Bonds offered for sale. Any such increase or reduction will be in a total amount not to exceed $50,000 and will be made in multiples of $5,000 in any of the maturities. In the evens the principal amount of the Bonds is increased or reduced, .any premium offered or any discount taken will be increased or reduced by a percentage equal to the percentage by which the principal amount of the Bonds is increased of reduced. OPTIONAL REDEMPTION The City may elect on February 1,2002, and on any day thereafter, to prepay Bonds due on or after February 1, 2003. Redemption may be in whole or in part and. if in part, at the option of the City and in such order as the City shall determine and within a maturity by lot as selected by the registrar. All prepayments shall be at a price of par plus accrued interest. SECURITY AND PURPOSE The Bonds will be general obligations of the City for which the City will pledge its full faith and • credit and power to levy direct general ad valorem taxes. The proceeds will be used to refund -i- .the 1997 through 2006 maturities of the City's $1,700,000 General Obligation Park Bonds, Series 1986A, dated August 1, 1986. • TYPE OF PROPOSALS Proposals shall be for not less than $1,243,620 and accrued interest on the total principal amount of the Bonds. Proposals shall be accompanied by a Good Faith Deposit ("Deposit") in the form of a certified or cashier's check or a Financial Surety .Bond in the amount of $12,600, payable to the order of the City. ff a check is used, it must accompany each proposal. ff a Financial Surety Bond is used, it must be from an insurance company licensed to issue. such a bond in the State of Minnesota, and preapproved by the City. Such bond must be submitted to Springsted Incorporated prior to the opening of the proposals.. The Financial Surely Bond .must identify each underwriter whose Deposit is guaranteed by such Financial Surety Bond. H the Bonds are awarded to an underwriter using a Financial Surety Bond, then that purchaser is required to submit its Deposit to Springsted Incorporated in the form of a certified or cashier's check or wire transfer as instructed by Springsted Incorporated not later than 3:30 P.M., Central Time, on the next business day following the award. ff such Deposit is not received by that time, the Financial Surety Bond may be drawn by the City to satisfy the Deposit requirement. The City will deposit the check of the purchaser, the amount of which. will. be deducted at settlement and no interest will accrue to the purchaser. In the event the purchaser fails to comply with the accepted proposal, said amount will be retained by the City. No proposal. can be withdrawn or amended after the #ime set for receiving proposals unless the meeting of the City scheduled for award of the Bonds is adjourned, recessed, or continued to another date without award of the Bonds having been made. Rates shall be in in#egrai multiples of 5/100 or 1 /8 of 1 Rates must be in ascending order. Bonds of .the .same maturity shall bear a single rate from the date of the Bonds to the. date of maturity. No conditional proposals will be accepted. • AWARD The Bonds will be awarded on the basis of the lowest interest rate to be determined on a true interest cost (TIC) basis. The City's computation of the interest rate of each proposal, in accordance with customary practice, will be controlling. BOND INSURANCE AT PURCHASER'S OPTION ff the Bonds qualify for issuance of any policy of municipal bond insurance or commitment therefor at the .option of the underwriter, the purchase of any such insurance policy or the issuance of any such commitment shall be at the sole option and. expense of the purchaser of the Bonds. Any increased costs of issuance of the Bonds resulting from such purchase of insurance shall be paid by the purchaser, except that, if the City has requested and received a rating on the Bonds from a rating agency, the City will pay that rating fee. Any other rating agency fees shah be the. responsibility of the purchaser. Failure of the municipal bond insurer to issue the policy after Bonds have been awarded to the purchaser shall not constitute cause far failure or refusal by the purchaser to accept delivery on the Bonds. REGISTRAR The City will name the registrar which shall be subject to applicable SEC regulations. The City will pay for the services of the registrar. • - ii CUSIP NUMBERS • H the Bonds quality for assignment of CUSIP numbers such numbers will be printed on the Bonds, but neither the failure to print such numbers on any Bond nor any error with respect thereto will constitute cause for failure or refusal by the purchaser to accept delivery of the Bonds. The CUSIP Service Bureau charge for the assignment of CUSIP identification numbers. shall be paid by the purchaser. SETTLEMENT Within 40 days following the date of their award, the Bonds will be delivered without cost to the purchaser at a place mutually satisfactory to .the City and the purchaser. Delivery will be .subject to receipt by the purchaser of an approving legal opinion. of Dorsey ~ Whitney of .Minneapolis, Minnesota, which opinion will be printed on the Bonds, and of customary closing papers, including a no-litigation certificate. On the date of settlement payment .for the Bands shat! be made in federal, or equivalent, funds which shall be received at the offices of the City or its designee not later than 12:00 Noon, Central Time. Except as compliance with the terms of payment for the Bonds shall have been made impossible by action of the City, or its agents, the purchaser shall be liable to the City for any loss. suffered by the City by reason of the .purchaser's non-compliance with said terms for payment. OFFICIAL STATEMENT The City has authorized the preparation of an Official Statement containing pertinent information relative to the Bonds, and said Official Statement will serve as a nearly-final Official Statement within the meaning of Rule 15c2-12 of the Securities and Exchange :Commission. For copies of the Official Statement. or .for any additional information prior to sale, any • prospective purchaser is referred to the Financial Advisor to the City, Springsted Incorporated, 85 East Seventh Place, Suite 100, Saint Paul, Minnesota 55101, telephone (612) 223-3000. The Official Statement, when further supplemented by an addendum or addenda specifying the maturity dates, principal amounts and interest rates of the Bonds, together with any other information required by law, shall constitute a "Final Official Statement" of the City with respect to the Bonds, as that term is defined in flute 15c2-12. By awarding the Bonds to any underwriter or underwriting syndicate submitting a proposal therefor, the City agrees that, no more than seven business .days after the date of such award, it shall provide without cost to the senior managing underwriter of the syndicate to which the Bonds are awarded 50 copies of the Official Statement. and the addendum or addenda described above. The City designates the senior managing underwriter of the syndicate to which the Bonds are awarded as its agent for purposes of distributing copies of the Final Official Statement to each Participating UndenNriter. Any underwriter delivering a proposal with respect to the Bonds agrees .thereby .that if its proposal is accepted by the City (i) it shall accept such designation and (ii) it shall enter into a contractual relationship with all Participating Underwriters of the Bonds for. purposes of assuring the receipt by each such Participating Underwriter of the Final. Official Statement. Dated September 21, 1992 BY ORDER OF THE CITY COUNCIL /s/ Charlene Friedges City. Clerk • -iii- THE CITY HAS AUTHORIZED SPRINGSTED INCORPORATED TONEGOTIATE THIS ISSUE ON ITS BEHALF. PROPOSALS.WILL BE RECEIVED ON THE FOLLOWING BASIS:. • TERMS OF PROPOSAL ;160,000 CITY OF LAKEVILLE, MINNESOTA GENERAL OBLIGATION TAX INCREMENT REFUNDING BONDS, SERIES 1992D Proposals for the Bonds will be received by the City Finance Director on Monday, October 26, 1992, until 11:30 A.M., Central Time, at the offices of Springsted Incorporated, 85 East Seventh Place, Suite 100, Saint Paul, Minnesota, after which time they will be opened and tabulated. Consideration for award of the Bonds will be by the City Council at 7:00 P.M., Central Time, of the same day. DETAILS OF THE BONDS The Bonds will be da#ed November 1, i 992, as the date of original issue, and will bear interest payable. on February 1 and August 1 of each year, commencing August 1, 1993. Interest will be computed on the basis of a 360-day year of twelve 30-day months. The Bonds will be issued in the denomination of $5,000 each, or in integral multiples thereof, as requested by the purchaser, and fully registered as to principal and interest. Principal will be payable at the main • corporate. office of the registrar and interest on each Bond will be payable by check or draft of the registrar mailed to the registered holder thereof at the holder's address as it appears on the. books of the registrar as of the close of business on the 15th day of the immediately preceding month. The Bonds will mature February 1 in the years and amounts as follows: 1994 $10,000 1998 $15,000 2002 $15,000 1995 $10,000 1999 $15,000 2003 $15,000 1996 $15,000 2000 $15,000 2004 $20,000 1997 $15,000 2001 $15,000 OPTIONAL REDEMPTION The City may elect on February 1,2002, and on any day thereafter, to prepay Bonds due on or after February 1, 2003. Redemption may be in whole or in part and 'rf in part, at the option of the City and in such order as the Ciiy shall determine and within a maturity by lot as selected by the registrar. All prepayments shall be at a price of par plus .accrued interest SECURITY AND PURPOSE The Bonds will be general obligations of the C'~ty for which the City will pledge its full faith and credit and power to levy direct general ad valorem taxes. In addition the City will pledge tax increment income. The proceeds will be used to refund the 1994 through 2004 maturities of the City's $455,000 General Obligation Tax Increment Bonds, Series 1984A, dated December 1, ..1.984. • i- TYPE OF PROPOSALS • Proposals shall be for not less than $157,920 and accrued interest on the total principal amount of the Bonds. Proposals shall be accompanied by a Good Faith Deposit ("Deposit") in the form of a certfied or cashier's check or a Financial Surety Bond in the amount. of $1,600,. payable to the order of the City. If a check is used, it must accompany each proposal. H a Financial Surety Bond is used, it must be from an insurance company licensed to issue such a bond in the State of Minnesota, and preapproved by the City. Such bond must be submitted to Springsted Incorporated prior to the opening of the proposals. The Financial Surety Bond must identify each underwriter whose Deposit is guaranteed by such Financial Surety Bond.. ff the Bonds are awarded to an underwriter using a Financial Surety Bond, then that purchaser is required to submit its Deposit to Springsted Incorporated in the form of a certified. or cashier's check or wire transfer as instructed by Springsted Incorporated not later than 3:30 P.M., Central Time, on the next business day following the award. ff such Deposit is not received by that time, the Financial Surety Bond may be drawn by the City to satisfy the Deposit requirement. The City will deposit the check of the purchaser, the amount of which will be deducted at settlement and no interest will accrue to the purchaser. in the event the purchaser fails to comply with the accepted proposal, said amount will be retained by the City. No proposal can be withdrawn or amended after the time set for receiving proposals unless the meeting of the City scheduled for award of the Bonds is adjourned,. recessed, or continued to another date without award of the Bonds having been made. Rates shall be in integral multiples of 5/100 or 1/8 of 196. Rates must be in ascending order. Bonds of the same maturity .shall bear a single rate from the date of the Bonds to the date of maturity. No conditional. proposals will be accepted. AWARD The Bonds will be awarded on the basis of the lowest interest rate to be determined on a true i interest cost (TICj basis. The City's computation of the interest rate of each proposal, in accordance with customary practice, will be controlling. REGISTRAR The City will name the registrar which shall be subject. to applicable SEC regulations. The City will pay for the services of the registrar. CUSIP NUMBERS If the Bonds qualify for assignment of CUSIP numbers. such numbers will be printed on the .Bonds, but .neither the failure to print such numbers on any Bond nor any error with respect thereto will constitute cause for failure or refusal by the purchaser. to accept delivery of the. Bonds. The CUSIP Service Bureau charge for the assignment of CUSIP identficationnumbers shall be paid by the purchaser. SETTLEMENT Wi#hin 40 days following the date of their award, the Bonds will be delivered without cost to the purchaser at a place mutually .satisfactory to the City and the purchaser. Delivery will be subject to receipt by the purchaser of an approving legal opinion of Dorsey. 8~ Whitney of .Minneapolis, Minnesota, which opinion will be printed on the Bonds, and of customary closing: papers, including a no-litigation cert~cate. On the date of settlement payment for the Bonds shall be made in federal, or equivalent, funds which shall be received at the offices of the City. or its designee not later than 12:00 Noon, Central Time. Except as compliance with the terms • of payment for the Bonds shall have been made impossible by action of the City, or its agents, the purchaser shall be liable to the City for any loss suffered by the City by reason of the purchaser's non-compliance with said terms for payment. ii - OFFICIAL STATEMENT • The City has authorized the preparation of an Official Statement containing pertinent information relative to the .Bonds, and said Official .Statement wilt serve as anearly-final Official Statement within the meaning of Rule 15c2-12 of the Securities and Exchange Commission. For copies of the Official Statement or for any additional information prior to sale, any prospective purchaser is referred to the Financial Advisor to the City, Springsted Incorporated, 85 East Seventh Place, Suite 100, Saint Paul, Minnesota 55101, telephone (612) 223-3000. The Official Statement, when further supplemented by an .addendum or addenda specifying the maturity dates, principal amounts and interest rates of the Bonds, together with any other information required by law, shall constitute a "Final Official Statement" of the City with respect to the Bonds, as that term is defined in Rule 15c2-12. By awarding the Bonds to any underwriter or underwriting syndicate submitting a proposal therefor, the City agrees that, no more than seven business days after the date of such. award, it shall provide without cost to the senior managing underwriter of the syndicate to which the Bonds are awarded 20 copies of the Official Statement and the addendum or addenda described above. The City designates the senior managing underwriter of the syndicate to which the Bonds are awarded. as its agent for purposes of distributing copies of the Final Official Statement to each Participating Underwriter. Any underwriter delivering a .proposal with respect to the Bonds .agrees thereby thatrf its proposal is accepted by the City (i) it shall accept such designation and (ii) it shall enter into a contractual relationship with all Participating Underwriters of the Bonds for purposes of assuring the receipt by each such Participating Underwriter of the Final Official Statement. Dated September 21, 1992 BY ORDER OF THE CITY COUNCIL /s/ Charlene Friedges • City Clerk • iii - THE CRY HAS AUTHORIZED SPRINGSTED INCORPORATED TO NEGOTIATE THIS ISSUE ON RS BEHALF. PROPOSALS WILL BE RECEIVED ON THE FOLLOWING BASIS: • TERMS OF PROPOSAL 6480,000 CITY OF LAKEVILLE, MINNESOTA GENERAL OBLIGATION EQUIPMENT CERTIFICATES OF INDEBTEDNESS,. SERIES 1992E Proposals for the Bonds will be received by the City Finance Director on Monday, October 26, 1992, until 11:30 A.M., Central Time, at the offices of Springsted Incorporated, 85 East Seventh Place, Suite 100, Saint Paul, Minnesota, after which time they will be opened and tabulated. Consideration for award of the Bonds will be by the City Council at 7:00 P.M., Central Time, of the same day. DETAILS OF THE CERTIFICATES The Certificates will be dated December 1, 1992, as the date of .original .issue, and will bear interest payable on June 1 and December 1 of each year, commencing June 1, 1993. Interest will be computed on the basis of a 360-day year of twelve 30-day months. The Certificates will be issued in the denomination of $5,000 each, or in integral multiples thereof, as requested by the purchaser, and fully registered as to principal. and interest. Principal will be payable at the main corporate office of the registrar and interest on each Certificate will be payable by check • or draft of the registrar mailed to the registered holder thereof at the holder's address as it appears on the books of the registrar as of the close of business on the 15th day of the immediately preceding month. The Certificates will mature December 1 in the years and amounts as follows: 1993 $90,000 1995 $ 95,000 1997 $105,000 1994 $90,000 1996 $100,000 OPTIONAL REDEMPTION The Certificates. will. not be subject to payment in advance of their respective stated maturity dates. SECURITY AND PURPOSE The Certficates will be general obligations of the City for which the City will pledge its full faith. and credit and power to~ levy direct general ad valorem taxes. The proceeds. will be used to acquire various equipment for the City. TYPE OF PROPOSALS Proposals shall be for not less than $476,400 and accrued interest on the total principal amount of the Certificates.. Proposals shall be accompanied by a Good Faith Deposit ("Deposit") in the form of a certified or cashier's check or a Financial Surety Bond in the amount • of $4,800, payable to the order of the City. If a check is used, it must accompany each proposal ff a Financial Surety Bond is used, it must be from an insurance company licensed to issue such a bond in the State of Minnesota, and preapproved by the City. Such bond must be i- r ~ .submitted to Springsted Incorporated prior to the opening of the proposals. The Financial Surety Bond must identify each underwriter whose Deposit is guaranteed by such Financial Surety Bond. tf the Certificates are awarded to an underwriter using a Financial Surety Bond, then that purchaser is required to submit its Deposit to Springsted Incorporated in the form of a cert~ed or cashier's check or wire transfer as instructed by Springsted Incorporated not later than 3:30 P.M., Central Time, on the next business day following the award. ff such Deposit is not received by that time, the Financial Surety Bond may be drawn by the City to satisfy the Deposit requirement. The City will deposit the check of the purchaser, the amount of which will be deducted at settlement and no interest will accrue to the purchaser. In the event the purchaser fails to comply with the accepted proposal, said amount will be retained by the City. No proposal can be withdrawn. or amended after the time set for receiving proposals unless the meeting of the City scheduled for award of the Certificates is adjourned, recessed, or continued to another date without award of the Certificates having been made. Rates shall be in integral multiples of 5/100 or 1 /8 of 1 Rates must be in ascending. order. Certificates of the same maturity shall bear a .single rate from the date of the Certificates to the date of maturity. No conditional proposals will be accepted. AWARD The Certificates will be awarded on the basis of the lowest interest rate to be determined on a true interest cost (TIC) basis. The City's computation of the interest rate of each praposal, in accordance with customary practice, will be controlling. REGISTRAR The City will name the registrar. which shall be subject to applicable SEC regulations. The City will pay for the services of the registrar. • CUSIP NUMBERS ff the Certficates qualify for assignment of CUSIP numbers such numbers will be printed on the Certificates, but neither the failure to print such numbers on any Certificate nor any error with respect thereto will constitute cause for failure or refusal by the purchaser to accept delivery of the Certficates. The CUSIP Service Bureau charge for the assignment of CUSIP identification numbers shall be paid by the purchaser. .SETTLEMENT Within 40 days following the date of their award, the Certificates will be delivered without cost to the purchaser at a place .mutually satisfactory to the City and the purchaser. Delivery will be subject to receipt by the purchaser of an approving legal opinion of Dorsey & Whitney of Minneapolis, Minnesota, which opinion will be printed on the Certificates, and of customary closing papers, including a no-litigation certficate. On the date of settlement payment for the Certficates shall be made in federal, or equivalent, funds which shall be received. at the offices of the City or its designee not later than 12:00 Noon, Central Time. Except as compliance with the terms of payment for the Certificates. shall have been made impossible by action of the City, or its agents, the purchaser shall be liable to the City .for any toss suffered by the City by reason of the purchaser's non-compliance with said terms for payment. OFFICIAL STATEMENT The City has authorized the preparation of an Official Statement .containing pertinent information relative to the Cert~cates, and said Official Statement will serve as a .nearly-final • Official Statement within the meaning of Rule 15c2-12 of the Securities and Exchange Commission. For copies of the Official Statement or for any additional information prior to sale, any prospective purchaser is referred to the Financial Advisor to .the City, Springsted ii - Incorporated, 85 East Seventh Place, .Suite. 100, Saint Paul, Minnesota 55101, telephone (612) 223-3000. The Official Statement, when further supplemented by an addendum or addenda specifying the maturity dates, principal amounts and interest rates of the Certificates, together with any other information required by law, shall constitute a "Final Official .Statement" of the City with respect to the Certificates, as that term is defined in flute 15c2-12. By awarding the Certificates to any underwriter or underwriting syndicate submitting a proposal therefor, the City agrees that, no more than seven business days after the date of such award, it shall provide without cost to the senior managing underwriter of thesyndicate to which the Certificates are awarded 20 copies. of the Official Statement and the addendum or addenda described above. The City designates the senior managing underwriter of the syndicate to which the Certificates. are awarded as its agent for purposes of distributing copies of the Final Official Statement to each Participating Underwriter. Any underwriter delivering a proposal with respect to the Certificates agrees thereby that if its proposal is accepted by the City (i) it shall accept such designation and (ii) it shah enter. into a contractual relationship with all Participating Underwriters of the Certificates for purposes of assuring the receipt by each such Participating. Underwriter of the Final Official Statement. Dated September 21, 1992 BY ORDER OF THE CITY COUNCIL /s/ Charlene Friedges City Clerk iii -