HomeMy WebLinkAbout90-121 Councilmember Harvey introduced the following
• resolution and moved its ado tion:
P
RESOLUTION NO. ~0-121
RESOLUTION AUTHORIZING ISSUANCE AND SALE
OF $2,900,000 GENERAL OBLIGATION IMPROVEMENT
BONDS, SERIES 1990A
BE TT .RESOLVED by the City Council of the City of Lakeville,
Minnesota (the City), as follows:
Section 1. Purpose. It is hereby determined to be in the best interests of
the City to issue its General Obligation Improvement Bonds, Series 1990A, in the
principal amount of $2,900,000 (the Bonds), pursuant to Minnesota Statutes,
Chapters 429 and 475, to finance the following public improvement projects:
Project Estimated Cost
See attached Appendix I
•
Section 2. Terms of Bond Sale: Notice. Springsted Incorporated,
financial consultant to the City, has presented to this Council a form of Official
Terms of Offering for the Bonds and an abbreviated notice for publication, which
shall be placed on file by the Clerk. Each and all of the provisions of the Official
Terms of Offering are hereby adopted as the terms and conditions of the Bonds and
of the sale thereof. The Clerk is authorized and directed to cause the abbreviated
notice to be published once in the official newspaper and once in a bond trade
publication at least 10 days prior to the date on which bids for the purchase of the
Bonds will be received.
Section 3. Sale Meeting. This Council shall meet at the City Hall on
Monday, November 5, 1990, at 7:00 o'clock P.M, for the purpose of considering
sealed bids for the purchase of the Bonds, and of taki g such action thereon as may
be in the best interests of the City.
M yor
Attest: ' ,
Clerk
The motion for the adoption of the foregoing resolution was duly
• seconded by Councilmember Ruhmann and u n vote bein taken
P° g
thereon, the following voted in favor thereof:
Sindt, Mulvihill, Harvey, Ruhmann
and the following voted against the same: N/A
whereupon the resolution was declared duly passed and adopted.
• -2-
NOTICE OF SALE
City of Lakeville, Minnesota
• $2,900,000 General Obligation Improvement
Bonds, Series 1990A
These Bonds will be offered for sale on sealed bids on Monday, November 5, 1990.
Bids will be accepted until 11:00 o'clock a.m., Central Time, at the offices of
Springsted Incorporated, 85 East Seventh Place, Suite 100, St. Paul, Minnesota
55101-2143, at which time the bids will be opened and tabulated for presentation to
the City Council for action thereon at a meeting to be held at the City Hall at 7:00
P.M, on the same day. No bid. submitted can be withdrawn before the Council
meeting. The Bonds will be issuable as fully registered bonds in denominations of
$5,000 or any integral multiple thereof, will be dated, as originally issued, as of
November 1, 1990, will bear interest payable semiannually on each February 1 and
August 1 to maturity, commencing August 1, 1991, and will mature on February 1 in
the following years and amounts:
Year Amount Year Amount
1992 $120,000 2003 $100,000
1993 120,000 2004 100,000
1994 180,000 2005 75,000
1995 160,000 2006 75,000
1996 245,000 2007 75,000
• 1997 215,000 2008 75,000
1998 220,000 2009 75,000
- 1999 225,000 2010 75,000
2000 230,000 2011 75,000
2001 235,000 2012 75,000
2002 100,000 2013 50,000
Bidders must specify a price of not less than $2,862,300 plus accrued interest. A legal
opinion on the Bonds will be furnished by Dorsey & Whitney, of Minneapolis,
Minnesota. Proceeds will be used to finance various improvement projects in the
City.
Bidders should be aware that the Official Terms of Offering to be published in the
Official Statement for the Bonds may contain additional bidding terms and
information relative to the issue. In the event of a variance between statements in
this Notice of Sale and said Official Terms of Offering, the provisions of the latter
shall control
Dated: October 1,1990.
BY ORDER OF THE CITY COUNCIL
/s/ Charlene Friedges
City Clerk
OFFICIAL TERMS OF OFFERING
•
52,900,000
CITY OF LAKEVILLE, MINNESOTA
GENERAL OBLIGATION IMPROVEMENT BONDS, SERIES 1990A
Sealed bids for the Bonds will be received by the City's Finance Director or his designee on
Monday, November 5, 1990, until 11:00 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, 1990, as the date of original issue, and will bear interest
payable on February 1 and August 1 of each year, commencing August 1, 1991. Interest will be
computed on the basis of a 360-day year of twelve 30-day months and will be rounded
pursuant to rules of the MSRB. 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:
1992 $120,000 1998 $220,000 2004 $100,000 2009 $ 75,000
1993 $120,000 1999 $225,000 2005 $ 75,000 2010 $ 75,000
1994 $180,000 2000 $230,000 2006 $ 75,000 2011 $ 75,000
1995 $160,000 2001 $235,000 2007 $ 75,000 2012 $ 75,000
1996 $245,000 2002 $100,000 2008 $ 75,000 2013 $50,000
1997 $215,000 2003 $100,000
OPTIONAL REDEMPTION
The City may elect on February 1, 1999, and on any day thereafter, to prepay Bonds due on or
after February 1, 2000. 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 and accrued interest.
SECURITY AND PURPOSE
The Bonds will be general Bonds 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 finance a portion of the
costs of various improvements within the City.
TYPE OF BID
Bids shall be for not less than $2,862,300 and accrued interest on the total principal amount of
• the Bonds, and shall be accompanied by a certified or cashier's check in the amount of
$29,000, payable to the order of the City. No bid will be considered for which said check has
not been received. 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 bid, said amount will be retained by the City. No
bid can be withdrawn after the time set for receiving bids unless the meeting of the City
scheduled for award of the bids 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 /S 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 bid will be accepted.
AWARD
The Bonds will be awarded to the bidder offering the lowest dollar interest cost to be
determined by the deduction of the premium, ff any, from, or the addition of any amount less
than par, to the total dollar interest on the Bonds Nom their date to their final scheduled
maturity. The City's computation of the total net dollar interest cost of each bid, in accordance
with customary practice,. will be controlling. The City will reserve the right to: (i) waive non-
substantive informalities of any bid or of matters relating to the receipt of bids and award of the
Bonds, (ii) reject all bids without cause, and, (iii) reject any bid which the City determines to
have failed to comply with the terms herein.
BOND INSURANCE AT PURCHASER'S OPTION
If the Bonds qualify for issuance of any policy of municipal bond insurance or commitment
therefor at the option of the bidder, 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, ff 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.
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 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 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 certficate. 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 reasons 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 as required by Rule 15c2-12 of the Securities and Exchange Commission. For
copies of the Official Statement and the Official Bid Form or for any additional information prior
to sale, any prospective purchaser is referred to the Financial Advisor to the City, Springsted
Incorporated, 135 East Seventh Place, Suite 100, Saint Paui, 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 an Official Bid Form 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 120
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 executing and delivering an Official Bid Form .with
respect to the Bonds agrees thereby that if its bid is accepted by the City (i) it shall accept such
designation and (ii) it shall enter into a contractual relationship with ail Participating
Underwriters of the Bonds for purposes of assuring the receipt by each such Participating
Underwriter of the Final Official Statement.
Dated October 1, 1990 BY ORDER OF THE CITY COUNCIL
/s/ Charlene Friedges
City Clerk
APPENDIX I
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