HomeMy WebLinkAbout85-058 e
a
CERTIFICATION OF MINUTES RELATING TO
$1,435,000 GENERAL OBLIGATION IMPROVEMENT BONDS,
SERIES 1985A
Issuer: City of Lakeville, Minnesota
Governing Body: City Council
Kind, date, time and place of meeting: A special meeting held
August 12, 1985 at 7:00 o'clock P.M., at City Hall
Members present: N. Enright, P. Harvey, R. Nelson, E. Sindt &
Mayor D. Zaun
Members absent: None
Documents Attached:
Minutes of said meeting (.including):
RESOLUTION NO. 85-58
RESOLUTION AUTHORIZING ISSUANCE, AWARDING SALE, PRESCRIBING
THE FORM AND DETAILS AND PROVIDING FOR THE PAYMENT OF
$1,435,000 GENERAL OBLIGATION IMPROVEMENT BONDS, SERIES
1985A
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 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
s aid 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 August, 1985.
T
Patrick M cGarvey
Its Clerk-Administra or
•
The Clerk presented to the Council affidavits showing
publication in the official newspaper and the Commercial West
of a notice of sale of $1,435,000 General Obligation
Improvement Bonds, Series 1985A, of the City, for which sealers
bids were to be received and considered at this meeting in
accordance with .the resolution adopted by the. City Council on
July 15, 1985.. 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 3 sealed .bids had
.been received pursuant to said notice of-call for bids, which
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 Attached
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SPRINGSTED
INCORPORATED
PUBLIC FINANCE
ADVISORS
$ I ,435,000
GENERAL OBLIGATION IMPROVEMENT BONDS, SERIES 1985A
:CITY OF LAKEVtLLE, MINNESOTA
AWARD: NORWEST INVESTMENT.SERVICES
THE FIRST NATIONAL BANK OF SAINT PAUL
MERRILL LYNCH CAPITAL MARKETS
_ And Associates
- SALE: August l 2, t 985 Moody's Rating: A
Interest Netlnterest
Bidder Rates Price Cost & Rate
NORWEST INVESTMENT SERVICES 6.25% 1988 $1,407,73S.00 $1,4.48,403.10
THE FIRST NATIONAL BANK OF 6.759'0 1989 (8.7899%)
SAINT'PAUL ' ~ ......7.25%0. 1990
MERRILL LYNCH CAPITAL MARKETS 7.40% 1991
E.F. Hutton & Company,lncorporated 7.60% 1992
Kidder, Peabody & Company, Inc. 7.80% 1993
Dougherty, Dawkins, S rand & Yost Inc. 8.00% 1994
can Witter Reynolds:lncorporated 8.109'0 1995
M Marquette National Bank 8.30% 1996
`Miller & Schroeder Municipals, lne. 8.50%0 1997
Summit lnvesfiment Corporation 8.60°0 199$
8.75% 1999
8.90% 2000
9.009'0 200(-2003
9. t0% 2004-2007
FIRST NATION~4t_ BANK OF 6.70% 1988 $1, 407, 735.00 $ l , 453, 938. l 2
MINNEAPOLIS 7.00%` 1989 (8.8235%)
ALLISON-WILLIAMS COMPANY `7.25% 1990
DAIN BOSWORTH INCORPORATED 7:509'0 1991
PIPER, JAFFRAY & HOPWOOD 7.70% 1992
tA.1l~At1[l/1Pf a Tt-t1_-:_._._ nnnt _.:__.aann - .
Councilmember Enright then introduced the
following resolution and moved its adoption.:
RESOLUTION N0. 85-58
..RESOLUTION AUTHORIZING ISSUANCE, AWARDING SALE, PRESCRI3ING
THE FORM AND DETAILS AND PROVIDING FOR THE PAYMENT OF
$1,435,000 GENERAL OBLIGATION IMPROVEMENT BONDS, SERIES.
1985A
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 July 15,
1985, authorized the. issuance and public. sale of $1,435,000
General Obligation Improvement Bonds, Series 1985A of the City,
for. the purpose of undertaken pursuant to Minnesota 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.. hereby
find and determine that the most favorable bid received is that
of Norwest Investment Services ~ of Minneapolis .
Minnesota, and associates, to purchase the Bonds at a price of
$1,407.735 plus accrued interest on all Bonds to the. day of
delivery and 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 City Clerk are hereby authorized 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 Bon s s all be designated General Obligation
Improvement Bonds, Series 1985A,, shall be originally dated as
of September 1, 1985, shall be in the denomination of $5,.000
each, or any integral multiple thereof, shall mature on
February 1 in the respective years and amounts stated below,
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and shall bear 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 $ 90,000 6.25 1998 $ 75,000 8.60
1989 75.,000 6.75°s 1999- 75,00 8.750
1990. 75,000 7.250 2000 65,000 8.900
1991 75,000 7.40 2001 65,000 9.00
1992 75,000 7.6p°s 20.02 $5,000 9.00
1993 75,.000 7.80 2003- 65,000 9.00
.1994 75,000 g,Op~ 2004 65,000 9.10
1.995 75,000 8.10 2005 65,000 9.10
1996 75,000 g,30~ 2006 65,000 9.10
1997 75,000 8.50$ 2007. 65,000 9.10
The Bonds shall be issuable only in fully registered
form. The interest thereoh and, upon. surrender of each Bond,
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 which case sucn
Bond shall. be dated as of the date of authentication, or (ii)
the date of authentication is prior to August 1, 1986, in
which case such Bond shall be dated as of September 1, 1985:
The interest on the Bonds shall be payable on February 1 and
August 1 in each year,- commencing August 1, 1986, 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 maintaih, 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 which
the Registrar shall provide for the registration of
ownership of Bonds and the registration of transfers. and
exchanges of Bonds entitled to be registered, 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 trahsfer, in form
satisfactory'to the Registrar, .duly executed by .the -
registered owner thereof or by an attorney duly authorized
by the registered owner in writing, the Registrarshall
authenticate and. deliver, in the name of the designated
transferee or transferees, one or more new Bonds of a like
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 themonth preceding each interest payment date and
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
Bonds of a like aggregate principal amount. ..and maturity, as
requested by the registered owner or the owner's attorney
in writing.
(d) Cancellation. 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 Bond.
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 reimburse 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 andupon 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 appropriatebond or indemnity inform,
_ substance and amount satisfactory to it, in which both 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 Bond has
already matured or been called for redemption in accordance
_ with its `terms it shall not be necessary to issue. anew
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. The
Mayor and the City Clerk 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. services 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. Bonds maturing in the years 1988
through 1995 .shall not be .subject to redemption prior to
maturity, but Bonds maturing in the years 1996 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, assigned in proportion to their principal..
amount, within any maturity, on .February 1, 1995, and any
interest. payment date thereafter at a price equal to the
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principal amount thereof and 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 30 days prior to the designated redemption
date, shall cause notice of the. call to be mailed to the
registered holders of any Bonds to be redeemed at .their
addresses as they appear on the bond register described in
Section 2.03 hereof.
2.06. Execution, Authentication and Delivery. .The
Bonds shall be prepared under the direction of the City Clerk
and shall be executed on behalf of the City. by the signatures
of ttre Mayor and the City Clerk, provided that all signatures
may be printed, engraved or lithographed facsimiles of the
originals. In case any officer 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 conclusiv e
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 obligated to see
to the application of the purchase price.
2..07. Form of Bonds. The Bonds shall. be printed in
substantially ..the following. form:
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[Face of the Bonds]
UNITED STATES OF AMERICA
STATE OF MINNESOTA
COUNTY OF DAKOTA
CITY OF LAKEVILLE
GENERAL OBLIGATION IMPROVEMENT BOND, SERIES 1985A
Date of
Rate Maturity Original Issue CUSIP
September 1, 1985
Registered Owner:
Principal Amount.: Dollars
KNOW ALL PERSONS BY THESE PRESENTS that the City of
Lakeville, a duly organized and existing municipal corporation
of Dakota County, Minnesota (the City), acknowledges itself.to
be indebted .and for value-received hereby promises to pay to
the registered owner specified above, or registered assigns,
the principal sum specified above on the maturity date.
specified above, with interest thereon from the .date hereof at
the annual rate specified above, payable on February l and
August 1 in each year, commencing August 1, 1986, to the person
in whose name this Bond is registered at the close of business
on the 15th'.day (whether or notabusiness day) of the
immediately preceding month, all subject to the provisions
referred to herein .with respect to theredemption of the.
principal of this Bond before maturity. The interest hereon
and, upon presentation and surrender hereof, the principal
hereof are payable in lawful money of the United States of
America by check or draft by
in , , as Bond Registrar
and Paying Agent, or its designated successor under the
Resolution described herein. Fo;r the prompt and full payment
of such principal and interest as the same respectively became
due, the full faith and credit and taxing powers of the City
have been and. are hereby irrevocably pledged.
_g_
Additional provisions of this Bond are contained on
the reverse hereof and such provisions shall for all purposes.
have the same effect as though fully set forth in this place.
This Bond shall not bevalid or become. obligatory for
any. purpose or be entitled to any security or benefit under the
Resolution. until the Certificate"of Authentication hereon shall
have been executed by the Bond Registrar by manual signature of
one of its authorized representatives.
IN WITNESS WHEREOF, the City of Lakeville, Dakota
County, Minnesota, by its City Council, has caused this Bond to
be executed of its behalf by the facsimile signatures of the .
Mayor and City Clerk-Administrator and ha caused this Bond to
be_dated as of the date set forth below..
Dated: CITY OF LAKEVILLE, MINNESOTA
(facsimile )
Mayor
Attest: (facsimile)
City Clerk-Administrator
CERTIFICATE OF AUTHENTICATION
-This is one of the Bonds delivered pursuant to the
Resolution mentioned within.
By
Authorized Representative
(Reverse of the Bonds]
This Bond is one of an issue in the aggregate
principal .amount of .$1,435, 000, all of like date and tenor,
except as to maturitydate, interest rate, denomination and
redemption privilege, issued, pursuant to a resolution adopted
by the City Council on August 12, 1985 (the.Resoluton), for
.the financing of local improvements for which special
assessments will be levied, and is .issued pursuant to and in
.g_
. full conformity. with the Constitution and laws of the State of
.Minnesota thereunto enabling, including Minnesota Statutes,
Chapters 429 and 475. The Bonds of this series are issuable
.only as fully registered bonds,. in denominations of $5,000 or -
any multiple thereof, of single maturities.
Bonds of this issue maturing in 1995 and earlier years
are. payable on their respective stated maturity dates without
option of prior payment, but .Bonds having stated maturity dates
in 1996 and later years are each subject. to redemption and
prepayment at -the option of the City, in whole or in part, and
if in part in inverse order of maturity dates and by lot,
assigned in proportion to their. principal. amount., within any
maturity, on February 1, 1995 and any interest payment date
thereafter, at a price equal to the principal amount thereof
plus interest accrued to the date of redemption, Prior to the
date specified for the redemption of any Bond prior to its
stated maturity date, the City will cause notice of the call
for redemption. to be published as required by law, and, at
least 30 days prior to the designated redemption date, will
cause. notice of the call to be mailed to the registered owner
of any Bond to be redeemed at the owner's address as it appears
on the bond register maintained by the Bond Registrar. Upon
.partial redemption. of any Bond, a new Bond or .Bonds will be
delivered to the owner without charge, representing the
remaining principal amount outstanding.
As .provided in the Resolution and subject to certain
limitations set forth therein, this Bond is transferable upon
the books of the City at the principal office of the Bond
Registrar, by the registered owner hereof in person or by the
owner's attorney duly authorized in writing upon surrender
hereof together with a wrtteninstrument of transfer
satisfactory to the Bond Registrar, duly executed by the
.registered owner or the owner's attorney; and may also be
surrendered in exchange for. Bonds. of other authorized
denominations. Upon such transfer or exchange the City will
cause a new Bond or Bonds to be issued in the name of .the
transferee or registered owher, of the same aggregate principal
amount, bearing interest at the same rate and maturing on the
same date, subject to reimbursement for .any tax, fee or
governmental charge required to be paid with respect to-such.
transfer or exchange.
The City .and the Bond Registrar may deem and treat the
person in whose. name this Bond is registered as the absolute
owner hereof, whether this Bond is overdue or not, for the
purpose of receiving payment and'for all other. purposes, and
neither the. City nor the Bond Registrar shall be affected by
any notice to the contrary.
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• IT IS HEREBY CERTIFIED, RECITED, COVENANTED AND AGREED
that all. acts, conditions and things required by .the
Constitution and-laws of the State of Minnesota to be done, to
exist, to happen and to be performed preliminary to and in the -
issuance of this Bond in order to make it a valid and binding
general obligation of the City in accordance with its terms,
have been done, do exist, have happened and have been performed
as-so required; that, prior to-the issuance hereof the City has
covenanted and agreed to levy special assessments upon property
specially benefited by the local improvements financed by the
Bonds, which special assessments, together with any required ad
valorem taxes, will be collectible for the years and in amounts
sufficient to produce sums not less than 5~ in excess of the
principal of and interest on the Bonds of this issue when. due,
and has appropriated such special assessments, and any required
taxes,. to the payment of such principal ,and interest; .that it
:necessary for payment of such principal and interest,
additional ad valorem taxes are required to be levied upon'all
taxable property in the City, without limitation as to rate or
.amount; and that the issuance of this Bond does not cause the
indebtedness. of the City to exceed any constitutional or
statutory limitation of indebtedness.
(Form of certificate to be printed on the reverse side of
each Bond, following a full copy of the legal opinion)
We certify that the above is a f ull, true and correct
copy of the. legal opinion rendered by bond counsel on the issue
of Bonds of the City of Lakeville, Minnesota, which includes
.the within Bond., dated as of the date of delivery of and
payment for the Bonds. `
(Facsimile. Signature ) (Facsimile. Signature)
City.Clerk-Administrator Mayor
The following abbreviations, when used in the
inscription. on the face of this Bond, shall be construed as
though they were written out in full according to applicable
laws or regulations:.
TEN COM as tenants UNIF GIFT MIN ACT Custodian
in common ~ CCust) {Minor)
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TEN ENT as tenants
by entireties under Uniform Gifts to
Minors
JT TEN as .joint tenants
with right of Act.
survivorship and (State)
not as tenants in
common
Additional abbreviations may also be used .though not
in the above list.
ASSIGNMENT
For value received, the undersigned hereby sells,
assigns and transfers unto
.the within Bond and all rights
thereunder, and does hereby irrevocably constitute and appoint
attorney to transfer the said Bond on
the books kept .for registration of the within Bond, with full
powex of substitution in the premises.
Dated:
Notice: The assignor's signature to .this assignment
must correspond with the name as it appears
upon the face of the within Bond in every
particular, without alteration or
enlargement or any change .whatever.
Signature Guaranteeds
Signature(s) must. be guaranteed by a national bank or trust
company or by a brokerage firm having a membership in one of
the major stock exchanges..
The Bond Registrar will not effect transfer of this
Bond .unless the .information .concerning the assignee requested
below is provided..
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• Name and Address:
(Include information for all joint
owners if this .Bond is held by
jointaccount)
Please insert social security
or otheridentifying number of
assignee
Section 3. Use of Proceeds. The proceeds of the
Bonds,. other than accrued and capitalized interest and any
unused bond discount, shall be expended for the.. improvements
referred to in Section 1.O1 above, except .that after completion
of said improvements and payment of all- costs thereof any Bond
proceeds remaining on hand may be applied to suchother
improvements instituted pursuant to Chapter 429 as the Council
may direct, or-may be transferred to the debt service account
• from which the Bonds herein authorized are payable.
.Section 4. 1985A Improvement Bond Account. So long
as any of the. Bonds are outstanding and any principal of or
..interest thereon unpaid, the Finance Director shall maintain a
separate debt service account on the official books and records
of the City to be known as the 1985A Improvement Bond Account
(hereinafter refexred to as the Account), and the principal of
.and interest on the Bonds shall be payable primarily from the
Account. The City irrevocably appropriates to the Account (a)
accrued interest and unused discount received from the
purchaser, (b) capitalized interest in the amount of $125,840 ,
(c) all taxes and special assessments levied in accordance witn
this resolution, and (d) all such other moneys. as shall be
received and appropriated to the Account from time to time. If
the balance in the Account is at any time insufficient to pay
all interest and principal then due on all Bonds payable
therefrom, the payment shall be made from any fund of the City
which is available for that purpose, subject to reimbursement
from the Account when the balance therein is sufficient, and
the Council covenants and agrees that it will each year levy a
suffisient amount to take care of any accumulated or
anticipated. deficiency, .which lei~y is not subject to any
constitutional or statutory tax limitation.
S
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Section 5. Special Assessments. The City .hereby
covenahts and agrees that, for the payment of the cost of
improvements financed by-the Bonds the City will do and. perform
all acts and .things necessary for the final and valid levy of -
special assessments in an .amount not less than 20$ of the cost
of each of the improvements financed by the Bohds, and the City.
estimates that it .will levy assessments in the aggregate amount
of $1,124,470. The principal of said assessments. shall be
payable in annual installments, with interest on unpaid
installments thereof from time to time'at the estimated rate of
10.25 per annum. It is presently estimated that the principal
and interest on such special assessments will be collected in
the years and amounts as follows:
Collection Collection
Year Amount Year Amount
1986 $ 78,718 1997 $ 96,980
1987 195,13.1 1998 92,008
1988 169,804 1999 87,036
1989. 163,251 2000 82,064
1990. 156,698. 20Q1 77,-092
1991 150,145 2002 72,12.0
1992 143,592 2003 67,148
1993 137.,039 2004 62,176
1994 130,486 2005 57,.209
1995 123,933 2006 40,024
1996 101,952
In the event that any such assessment shall at any. time be held
invalid with respect to any lot or tract of land, due to any
error, defect or irregularity in any action or proceeding taken
or to be taken by the City or by this Council or by any of the
officers or employees of the City, either in the making of such
assessment or in the performance of .any. condition precedent
thereto, the City hereby. covenants and agrees that it will
forthwith do all such further things and take all such. further
proceedings as shall be required by law to make such assessment
a valid and binding lien upon said property.
Section 6. Pledge of Taxing Powers. For the prompt
and full payment of the principal of and interest on said Bond s
as such payments respectively become. due, the full faith,
credit and unlimited taxing powers of the City shall be and are
hereby irrevocably pledged. In order to produce amounts not
less than 5~ in excess of the amounts needed to meet when due
the. principal and interest. payments on the Bonds,. in addition
to the special assessments referenced above, ad valorem taxes
.are. hereby ledied on all, taxable property in the City, said
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taxes to be levied and collected in the following years and
amounts:
Levy Collection Levy Collection.
Year Year Amount Year Year Amount
1985. 1986 $ -0- 1996 1997 $44,778
1986 .1987 -0- 1997 1998 42,.978
1987 1988 14,553 1998 1999 30,559
1988 1989 28,080 1999 2000 29,.457
1989 1990 28,924 2000 2001 28,286
1990 1991 29,650 2001 2002 27,116
1991 1992 30,218 2002 2003 25,945
1992 1993 30,628 2003 2004 24,707
1993 1994 30,881 2004 2005 23,463
1994 1995 31,055 2005 2006 34,43.7
1995 1996 46,500
Said taxes shall be irrepealable as long as any of the Bonds
are outstanding and unpaid, provided that the City reserves the:
right and power to reduce said levies in accordance with the
provisions of Minnesota Statutes, Section 475.61.
Section 7. Defeasance. When all of the Bondshav e
• been discharged as provided in this section, all pledges,.::
covenants and other rights granted by this resolution to the
holders of the. Bonds shall cease. The City may discharge its
obligations with respect to any Bonds which are due on any date
by depositing with the Registrar on or before that date a sum
sufficient for the payment thereof in full; or, if any Bond
should not be paid when due, it may nevertheless be discharged
by depositing with the Registrar a sum sufficient for the
payment thereof in full with interest accrued from the due date
to the date of such deposit. The City may also discharge its
obligations with respect to any prepayable Bonds called for
redemption. on any date when they are prepayable according to
their terms, by depositing with the Registrar on or before that
date an amount equal to the principal,. interest and redemption
premium, if any, which are then dues. provided that notice of
such redemption has .been. duly given as provided herein. The
City may also at any time discharge its obligations with
respect to any Bonds, subject to the provisions of law now or
hereafter authorizing and regulating such action, by depositing
irrevocably in escrow, with abank qualified by law as an
escrow agent .for this purpose,. cash or securities which are..
authorized bylaw to be so deposited, bearing interest payable
at such time and at such rates and maturing or callable at the
holder's option on such dates as shall be required to pay all
principal, .interest and redemption premiums to become due
thereon to maturity or said redemption date..
•
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i Section 8. Registration of Bonds. The Clerk is
hereby authorized and directed to file. a certified copy of this
resolution with the County Auditor of Dakota County, together
with such additional information as he shall require, and to
obtain from said County Auditor a certificate that the Bonds.
have been duly entered upon his. bond register, and, if
applicable, the tax required by law has been levied.
Section 9. Authentication of Transcript. The
officers of the City and .said County Auditor of Dakota County
are hereby authorized and directed to prepare and furnish to
the purchasers of the Bonds, and to the attorneys rendering an
opinion as to the .legality thereof, certified copies of all
proceedings and records relating to the Bonds and. such other
affidavits, certificates and information as may be required to
show the facts relating to the legality and marketability of
the Bonds,. as the same appear from the books and records in
their custody and control or as otherwise known to them, and
all such certified copies, affidavits and certificates,
including any heretofore furnished, shall be deemed
representations of` the City as to the correctness of .all
statements contained therein.
Section 10. Arbitrage. (a) The City covenants and
agrees with the holders from time to time. of the Bonds herein
authorized,. that it will not take, or permit to be taken by any
of its officers, employees or agents, any action which would
cause the interest payable on the Bonds to become subject to'
taxation under the United States Internal Revenue Code of 1954,
as amended (the Code) and regulations issued thereunder, and
that it .will take,- or it will cause its officers, employees or
agents to take, all affirmative actions within its powers which
may be necessary to insure that such interest will not become
subject to taxation under the Code.
(b) From and after February 1, 1995, the Finance
Director shall ascertain each time a deposit is made, the
amount on deposit in the debt service account referred to in
Section 4 hereof. If .the amount on deposit therein ever
exceeds by more than $.215,250 the aggregate amount of principal
and interest due and payable on the Bonds through the next
following February 1, plus a reasonable carryover as permitted
by the Code and applicable regulations, .such excess shall
.either (i) not be invested except at a yield less than or equal
to the yield on the Bonds, based upon their amounts, maturities
and interest rates on their date of issue, computed by the
actuarial method, or (ii) be used to prepay and redeem Bonds...
The City reserves the right to amend the provisions of this
Section 10(b) at any time, whether prior to or after the
.delivery of the Bonds, if and to the extent that this Council
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• determines that the. provisions of this Section 10(b) are not
necessary in order to assure that. the Bonds are not arbitrage
bonds under 'Section 103(c) of the Code and the applicable
regulations.
(c) The Mayor and the City Clerk being the officers
of the City charged with the responsibility for issuing the
Bonds pursuant to this resolution, are authorized and directed
to execute. and deliver to the purchaser a certification in
order to satisfy the provisions of Section 103(c) of the Code
and the regulations promulgated thereunder..
Passed: August 12, 1985
1
or
r
Attest;
City Clerk-Administr or
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The motion for the adoption of the foregoing
resolution was duly seconded by Councilmember Harvey
and upon vote being taken thereon, the following voted in favor
thereof: All members
and the following voted .against the same: None
whereupon. said resolution was declared duly passed and adopted.
•
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