HomeMy WebLinkAbout86-075
• CERTIFICATION OF MI~JUTES RELA'PING TO - _
.$2,930,000 GENERAL OBLIGATION IMPROVEMENT BONDS,
SERIES 19$bA
Issuer: City of Lakeville, Minnesota
.Governing Body: City Council
Kind, date, time and place of meeting: A regular meeting held..
Monday, July 21, 1986 at 7:00 o'clock P.M., at the City Hall.
Members present: Zaun, Sindt, Enright, Harvey, Nelson
Members absent: None
Documents Attached:
Minutes of said meeting (including)z
RESOLUTION NO. 86-75
RESOLUTION AUTHORIZING ISSUANCE, AWARDING SALE, PRESCRIi3ING
THE FORid AND DETAILS AND PROVIDING FOR THE PAYMENT OF -
$2,930,000 GENERAL OBLIGATION IMPROVEMENTP BONDS, SERIES
1986A
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 hereto, as described apove, 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
s aid corporation, and correct and complete copies o= all ,
resolutions and other actions taken and of all documents
approved by the governing body at said meeting, so tar 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~ uch recording officer
this ?1~t day of July, 1986.
~
Patrick M Garvey,
Clerk-Administrator
1
• The Clerk presented to the Council affidavits showing..
publication in the official newspaper and the Commercial west
of a notice of sale of $2,930,000 General Obligation
Improvement Bonds, Series 1986A, of the City, for whim sealed
bids were to be received and considered at this meeting in
accordance with the resolution adopted by the City Council on
June 16, 1986. Said affidavits were examined and found
satisfactory and directed to be placed on file. in the office of
the City Clerk.
The Clerk then announced that sealed bids had
been received pursuant to said notice. of call .for. bids, whim
bids had been opened, read and tabulated, and the highest and
best bid of each bidder was found to be as follows:
Bid For Interest Total Interest Cost
Name of Bidder Principal Rates - Net Average Rate
See Attaches
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SPRINGSTED INCORPORATED
Public Finance Advisors
85 East Seventh Place Swte 1.00
Saint Paul., Minnesota 55101.2143 $2,930,000
612.2233000
CITY OF LAKEVILLE, MINNESOTA
:GENERAL OBLIGATION IMPROVEMENT BONDS, SERIES 1986A
AWARD; CRONIN & :COMPANY, INCORPORATED
MILLER SECURITIES, LNCORPORATED'
`SALE: July 21, i 986 Rating: A
interest Net Interest
Bidder Rates Price Cost & Rate
CRONIN & COMPANY, INC. 5.00% 1988 $2,87Z,992.'S0 $2,152,300.00
MILLER SECURITIES, INC. 5.40% ! 989 (7.4127%)
5.70% 1990
6.00% 1991
6.20%0 1992
6.50% 1993
6.70% 1994
6.90% 1995
7.00% 1996
7.10% 1997 •
7.25% 1-989
7.40% 1999
7.50% 2000
7.b0°,6 .2001-2004
7.70% 2005-2007
THE .FIRST NATIONAL BANK. OF 5.00% 1988 $2, 875:, 267'.60 $2,1.94, 226. l 5
SAINT PAUL 5.50% 1989 (7:5571%)
NOR WEST INVESTMENT`SECURITIES, 5.80% 1990
INCORPORATED 6.10% 199 t
MERRILL LYNCH CAPITAL MARKETS 6.30% 1992
American 'National Bank Saint Paul 6.50% 1993
Dean Witter Reynolds Incorporated 6.70% 1994
E. F Hutton & Company, Incorporated 6.90% 1.995
Dougherty, Dawkins, Strand & Yost, Inc. 7. f 0% 1996
Miller & Schroeder Financial, Inc. 7.25% 1997
Summit Investment Corporation 7.40% 1998
- In Association With - 7.50% 1999
FIRST BANK .MINNEAPOLIS 7.60% 2000
ALLISON-WILLIAMS COMPANY 7.709'0 2001
DAIN BOSWORTH INCORPORATED 7.75% 2002
PIPER, JAFFRAY & HOPWOOD, INC. 7.80% 2003-2004
PAINEWEBBER INCORPORATED 7.90% 2005-2007
Juran & Moody,Incorporated.
Robert W. Baird & Company, Incorporated"
Moore, Juran-and Company, Incorporated
_M.H. Novick & Company, Incorporated
-----These Bonds are being reoffered at Par.
BBI: 7.45
Average Maturityc 9.91 Years
Councilmember Sindt then introduced the _ _
following resolution and moved .its adoption:
RESOLUTION N0. 86-75
RESOLUTION AUTHORIZING ISSUANCE, AWARDING SALE, PRESCRIBIiQG
THE FORM AND DETAILS AND PROVIDING FOR THE PAYMENT OF
$2,930,000 GENERAL OBLIGATION IidPROVEiKENT BOiQDS, SERIES
1986A
BE IT RESOLVED by the City Council of the City of
Lakeville, Minnesota, as follows:
Section 1. Authorization and Sale.
(a) This Council, by resolution adopted June 16,
1986, authorized the issuance and public sale of ~2,930,00t1
General Obligation Improvement Bonds, Series 1986A of the City,
for the purpose of, undertaken pursuant to t+Iinnesota Statutes,
Chapter 429, financing the improvements described in Exhibit A
attached hereto. Said Resolution is incorporated herein by
reference.
(b) Notice of sale of the Bonds has been duly
published, and the Council, having examined and considered all
bids received pursuant to the published notice, does neregy
find and determine that the most favorable bid received is that
of Cronin & Co., Inc. , of Minneapolis ,
Minnesota, and associates, to purchase the Bonds at a price of
$2,877,922.50 plus accrued interest on all Bonds to the day of
delivery an~ payment, on the further terms and conditions
hereinafter set forth.
(c) The sale of the Bonds is hereby awarded to said
bidder, and the Mayor and Clerk-Administrator .are hereby auth-
orized and directed on behalf of the City to execute a contract
for the sale of the Bonds in accordance with the terms of said
bid. The good faith check of the successful bidder shall be
deposited by the Finance Director. The good faith checks of
other bidders shall be returned to them forthwith.
Section 2. Bond Terms; Registration; Execution and
Delivery.
2.01. Maturities; Interest Rates; Denominations;
Payment. The Bonds shall be designated General Obligation
Improvement Bonds, Series 1986A, shall be originally dates as
of August 1, 1986, shall be in the denomination of $5,000 each,
or any integral multiple thereof, shall mature on Fenruary 1 in
.the respective years and amounts stated below, and shall bear
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t
interest from date of issue until paid or duly called for _
redemption at the respective annual rates set forth opposite - _
such years and amounts, as follows:
Year Amount Rate Year Amount Rate
1988 $210,000 5.00% 1998 $110,000 7.25%
• 1989 275,000 5.40% 1999 110,000 7.40%
1990 160,000 5.70% 2000 115,000 7.50%
1991 160,000 6.00% 2001 115,000 7.60%
1992 155,000 6.20 2002 120,000 7.60%
1993 155,000 6.50 2603 120.,000 7.60%
1994 155,000 6.70% 2004 120,000 7.60%
1995 155,000 6.90% 2005 125,000 7.70%
1996 155,000 7.00% 2006 130,000 7.70%
1997 155,000 7.10% 2007 130,000 7.70%
The Bonds shall be issuable only in fully registered.
form. The interest thereon and, upon surrender of each Bona,
the principal amount thereof shall be payable by check or draft
issued by .the Registrar described herein..
2.02. Dates; Interest Payment Dates. Each Bond shall
be dated as of the last interest payment date preceding the
date of authentication to which interest on the Bond has been
paid or made available for payment, unless (i) the date of
authentication is an interest payment date to which interest
has been paid or made available for payment, in wnicn case such
Bond shall be dated as of the date of authentication, or (ii)
the date of authentication is prior to August 1, 1987, in wnicn
case such Bond shall be dated as of August 1, 1986. The
• interest on the Bonds shall be payable on February 1 and
August 1 in each year, commencing August 1, 1987, to the owner
of record thereof as of the close of business on the fifteenth
day of the immediately preceding month, whether or not such day
is a business day.
2.03. Registration. The City shall appoint, and
shall maintain, a bond registrar, transfer agent and paying
agent (the Registrar). The effect of registration and the
rights and duties of the City and the Registrar with respect
thereto shall be as follows:
(a) Register. The registrar shall keep at its
principal corporate trust office a bond register in wnicn
the Registrar shall provide for the registration of
ownership of Bonds and the registration of transfers and
.exchanges of Bonds entitled to be regsterea, transferred
or exchanged.
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(b) Transfer of Bonds. Upon surrender for transfer
of any Bond duly endorsed by the registered owner thereof
or accompanied by a written instrument of transfer, in form
satisfactory to the Registrar, duly executea ay the
registered owner thereof- or by an attorney duly authorized
by the registered owner in writing, the Registrar shall
authenticate and deliver, in the name of the designated
transferee or transferees, one or more new Bonds of a 1i1ce
aggregate principal amount and maturity, as requested by
the transferor. The Registrar may, however, close the
books for registration of any transfer after the fifteenth
day of the month preceding each interest payment date anti
until such interest payment date.
(c) Exchange of Bonds. Whenever any Bonds are
surrendered by the registered owner for exchange the.
Registrar shall authenticate and deliver one or more new
B onds of a like aggregate principal amount and maturity, as
requested by the registered owner or the owner's attorney
in writing.
(d) Cancellatioh. All Bonds surrendered upon any
transfer or exchange shall be promptly cancelled by the
Registrar and thereafter disposed of as directed by the
City.
(e) Improper or Unauthorized Transfer. When any Bona
is presented to the Registrar for transfer, the Registrar
may refuse to transfer the same until it is satisfied that
the endorsement on such Bond or separate instrument of
transfer is valid and .genuine and that the requested
transfer is legally-authorized. The Registrar shall incur
no liability for the refusal, in good faith, to make
transfers which it, in its judgment, deems improper or
unauthorized.
(f) Persons. Deemed Owners. The City and the
Registrar may treat the person in whose name any Bond is at
any time registered in the bond register as the absolute
owner of such Bond, whether such Bond shall be overdue or
not, for the purpose of receiving payment of, or on account
of, the principal of and interest on such Bond and for all
other purposes, and all such payments so made to any such
registered owner or upon the owner's order shall be valid
and effectual to satisfy and discharge the liability upon
such Bond to the extent of the sum or sums so paid.
(g) Taxes, Fees and Charges. For every transfer or
exchange of Bonds, the Registrar may impose a charge upon
the owner thereof sufficient to rei.~nAUrse the Registrar for
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any tax, fee or other governmental charge required to be _
. paid with respect to such transfer or exchange. - _
(h) Mutilated, Lost, Stolen or Destroyed Bonds. In
case any Bond shall become mutilated or be destroyed,
stolen or lost, the Registrar shall deliver a new Bond of
like amount, number, maturity date and tenor in exchange
and substitution for and upon cancellation of any such
mutilated Bond or in lieu of and in substitution for any
such Bond destroyed, stolen or lost, upon the payment of
the reasonable expenses and charges of the Registrar in
connection therewith; and, in the case of a Bond destroyed,
stolen or lost, upon filing with the Registrar of evidence
satisfactory to it that such Bond was destroyed, stolen or
lost, and of the ownership thereof, and upon furnishing to
the Registrar of an appropriate bond or .indemnity in form,
substance and amount satisfactory to it, in which notn the
City and .the Registrar shall be named as obligees. All
Bonds so surrendered to the Registrar shall be cancelled by
it and evidence of such cancellation shall be given to the
City. If the mutilated, destroyed, stolen or lost t3ond has
already matured or been called for redemption in accordance..
with its terms it shall not be necessary to issue a new
Bond prior to payment.
2.04. Appointment of Initial Registrar. The City
hereby appoints Norwest Bank Minneapolis, N.A.
Minneapolis, Minnesota , as the initial Registrar. Tne
Mayor and the Clerk-Administrator are authorized to execute and
deliver, on behalf of the City, a contract with said Registrar.
Upon merger or consolidation of the Registrar with. another
corporation, if the resulting corporation is a bank or trust
company authorized by law to conduct such business, such
corporation shall be authorized to act. as successor Registrar.
The City agrees to pay the reasonable and customary charges of
the Registrar for the sezvices performed. The City reserves
the right to remove the Registrar upon thirty (30) days notice
and upon the appointment of a successor Registrar, in which
event the predecessor Registrar shall deliver all cash and
Bonds in its possession to the successor Registrar and shall
deliver the bond register to the .successor Registrar.
2.05. Redemption.. (a) Optional. Bonds. maturing in
the years 1988 through 1996 shall not be subject to redemption
prior to maturity, but Bonds maturing in the years 1y97 through
.2007 shall be subject to redemption and prepayment at the
option of the City, in whole or in part, in inverse order of
maturity dates and by lot as to Bonds maturing on the. same
date, on February 1, 1996, and any interest payment date
thereafter at a price equal to the principal amount thereof and
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accrued interest to the date of redemption. Prior to the date
set for redemption of any Bond prior to its stated maturity - -
date, the. Clerk shall cause notice of the call for redemption
thereof to be published as required by law and, at least t0
days prior to the designated redemption date, shall cause
notice of the call to be mailed to the registered nolclers of
any Bonds to be redeemed at their addresses as they appear on
the bond register described in Section 2.03. hereof.
(b) ~ecial. In the event that pursuant to federal
laws and regulations the City, in the opinion of Aond counsel,
is required to use unexpended Bond proceeds for early
redemption of Bonds in order to assure the exemption of
interest payable on the Bonds from federal income taxation, the
City shall use such unexpended Bond proceeds to redeem Bonas on
any date upon notice of redemption given in the manner set
forth in (a) above. Those Bonds remaining unpaid wnicn have
the latest maturity date will be prepaid first. If only part
of the Bonds having a common maturity date are called for
prepayment, the specific Bonds to be prepaid will be chosen dy
lot. Bonds shall be redeemed at a price of 1~2~ of the
principal amount plus accrued interest. -
2.06. Execution, Authentication and Delivery. Tne
Bonds shall be prepared under the direction of the Clerk-
Administrator and shall be executed on behalf of the City by
the signatures of the. Mayor and the Clerk-Administrator, pro-
vided that all signatures.-may be printed, engraved or litho-
graphed facsimiles of the originals. In case any offier whose
signature or a facsimile of whose signature shall appear on the
Bonds shall cease to be such officer before the delivery of any
Bond, such signature or facsimile shall nevertheless be valid
and sufficient for all purposes, the same as if he had remained
in office until delivery. Notwithstanding such execution, no
Bond shall be valid or obligatory for any purpose or entitled
to any security or benefit under this Resolution unless and
until a certificate of authentication on such Bond has been duly
executed by the manual signature of an authorized representative
of the Registrar. Certificates of authentication on different
Bonds need not be signed by the same representative. The
executed certificate of authentication on each Bond shall be
conclusive evidence that it has been authenticated and delivered
under this Resolution. When the Bonds have been so prepared,
executed and authenticated, the Finance Director shall deliver
the same to the purchaser thereof upon payment of the purchase
price in accordance with the contract of sale. heretofore made
and executed, and said purchaser shall not be ogligated to see
to the application of the purchase price.
2.07. Form of Bonds. ~Phe Bonds shall be printed in
substantially the. following forme
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