Res 1991 - 76 Extract of Minutes of a Meeting of the City Council of MH (10/15/1991)��
RESQLUZ'ION NO. 91-76
EXTRACT OF MINUTES OF A MEETING OF THE
CITY COUNCIL OF THE CITY OF
MENDOTA HEIGHTS, MINNESOTA
HELD: October 15, 1991
Pursuant to due call and notice thereof, a regular
meeting of the City Council of the City of Mendota Heights,
Dakota County, Minnesota, was duly held at the City Hall in said
City on Tuesday, the 15th day of October, 1991, at 7:30 P.M., for
the purpose, in part, of opening and considering bids for, and
awarding the sale of, $1,030,000 General Obligation Improvement
Bonds of 1991 of the City.
The following members were present: Me1'tensotto, Cummins
Blesener, Smi6h, Koch
and the following were absent:
The Clerk presented affidavits showing publication of
notice of call for bids on $1,030,000 General Obligation
Improvement Bonds of 1991 of the City, for which bids were to be
received at this meeting, in accordance with the resolution
� adopted by the City Council on August 20, 1991. The affidavits
were examined, were found to comply with the provi,sions of
Minnesota Statutes, Chapter 475, and were approved and ordered
placed on file.
The Council then proceeded to receive and open bids for
the sale of the Bonds. The following bids were received:
Bidder Interest Rate Net Interest Cost
22884
s-
'�r�1Rc RFf�tU��y .
`S1.Q30.000 fi;t1. Tm�rnvemPnt R�ndc nf 19Q1
+rGntJNT
NnRwE�T 1NVESTMENT SERVICFs. 5.15x 1943�97
• MFQR11.! IYNCH CAPITAL MKT�. 5.3 1q9A
American Natinn»1. Rarik !� 7ruct �,.e�� 1999
MarrrUette.R�nk 5.fi0 2f1f10
��uran & �+odv Tnc• 5,75 2Q01
�ftiar �Chr.�seder Financial 5.9 2A02 �
Daknta Cnuntv StatP R�nk 6 2Q03
6.1 2(IQ4
E.2 2��5
. ' F.:i 2006
, ._ 6.4 2QQ7
. �. s �aa�
- • F.� 2009/10
F B t TNV�STMENT SERVtCES 5 1993J95
Robert Petercon Co. 5.10 1996
5.25 }997
5.d0 199R
5,50 1999
5.60 ZdQ4 :
5.i5 2001
5.90 2002
6 2003
6.iQ 2Q04
- 6.20 2005
6.30 2006
6.40 2Q07
6.50 200A
�.so 2��0
6.70 2010
�la.ono.n� `_
$5'29,531,25'
i
6.053� '
.AYL:t::
a,�91.b0
53p.331.63
5.Q62
aTPER JAFFRAY & N�PWQOD TNC. 5.25x i993196 9.97R.75
a1liSnn Williams Co. . 5.30 1997 530.423.st7'
Rohert w. Raird & Co. 5.40 ]:Q98 fi.063
�u�mnit Invest.rn�±nts 5.6� 1�19�
� nouQhertv O�wkins �trand b Yost 5.70 2000
5.R0 2001
5 9Q 2002 `
1,.-"
�
. • 6 « 2003 �
6,10 2004
6.20 2005
6,25 2a0F
6.3Q 2007
�.ao 2c�aA
6,50 2q09/lp
DAIN BOSW4RTN iNC. �.�0� 1993I9$
Cronin & Company 5.50 1999
Mil3er Johnsan Kuhtn 5,fi0 2000
Moore 3uran Inc. 5.80 2001
5.90 2002
5 2003
6.10 2004
6.20 2005
. 6.30 2005
. 6.40 2007
� 6.50 2008
. b.64 2004110
DEAN WITTER REYN�LDS C0. 5.30 1993/96
Prudential Bache Securities 5.40 .1947
Lehman Rrothers 5.A5 1998
Bear Stearns Securittes 5.60 1999
' 5.70 20�0
5.8Q 2001. :,
" 5.9U 2UO2
" 6 2003
6.10 2004
6.20 2005
�. sa 2ao�
6. ao �oo�
s,5o 2aos
6.60 2009/10
8.912.00
533,494.50 6.094
9,799.00
533,965.#i8
6.104
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The Council then proceeded to consider and discuss the
bids, after which member S�nith introduced the
following resolution and moved its adoption:
RESOLUTION ACCEPTING BID ON
SALE OF
$1,030,000 GENERAL OBLIGATION IMPROVEMENT
BONDS OF 1991, PROVIDING FOR THEIR ISSUANCE
AND LEVYING A TAX FOR THE PAYMENT THEREOF
A. WHEREAS, the City Council of the City of Mendota
Heights, Minnesota (the "City"), has heretofore determined and
declared that it is necessary and expedient to issue $1,030,000
General Obligation Improvement Bonds of 1991 of the City,
pursuant to Minnesota Statutes, Chapters 475 and 429, to provide
money to finance the construction of various improvements in the
City (the "Improvements"); and
B. WHEREAS, the Improvements and all their components
have been ordered prior to the date hereof, after a hearing
thereon for which notice was given describing the Improvements.or
all their components by general nature, estimated cost, and area
to be assessed; and
NOW, THEREFORE, BE IT RESOLVED by the Council-of the
City of Mendota Heights, Minnesota, as follows:
� 1. Acceptance of Bid. The bid of Nn pct Tnvactmant cprvices
(the "Purchaser"), to purchase
$1,030, 00 eneral Obligation Improvement Bonds of 1991 of the
City (the "Bonds", or individually a"Bond"), in accordance with
the notice of bond sale, at the rates of interest hereinafter set
forth, and to pay therefor the sum of $�� n�_, plus interest
accrued to settlement, is hereby found, determined and declared
to be the most favorable bid received and is hereby accepted, and
the Bonds are hereby awarded to said bidder. The Clerk is
directed to retain the deposit of said bidder and to forthwith
return to the unsuccessful bidders their good faith checks or
drafts .
2. Tit�e: Or�ginal Issue Date; Den,ominatiolns;
Maturities. The Bonds shall be titled "General Obligation
Improvement Bonds of 1991", shall be dated November 1, 1991, as
the date of original issue and shall be issued forthwith on or
after such date as fully registered bonds. The Bonds shall be
numbered from R-1 upward in the denomination of $5,000 each or in
any integral multiple thereof of a single maturity. The Bonds
shall mature on February 1 in the years and amounts as follows:
22884
2
�
Yea�
1993
1994-"ZA�O�
2 001��'=2 00;2�`
2 0�03 �-
Amoun
$50,000
75,000
70,000
50,000
Al1 dates are inclusive.
Year Amount
200'4=200�� $40, o00
200g� 35,000
20:� � 30, 000
�
3. Purpose. The Bonds shall provide funds to finance
the Improvements. The total cost of the Improvements, which
shall include all costs enumerated in Minnesota Statutes, Section
475.65, is estimated to be at least equal to the amount of the
Bonds. Work on the Improvements shall proceed with due diligence
to completion. The City covenants that it shall do all things
and perform all acts required of it to assure that work on the
Improvements proceeds with due diligence to completion and that
any and all permits and studies required under law for the
Improvements are obtained.
4. Interest. The Bonds shall bear interest payable
semiannually on February 1 and August 1 of each year (each, an
"Interest Payment Date"), commencing August 1, 1992, calculated
on the basis of a 360-day year of twelve 30-day months, at the
respective rates per annum set forth opposite the maturity years
as follows:
Maturity Interest Maturity Interest
Year Rate Year Rate
1993
1994
1995
1996
1997
1998
1999
2000
2001
5.15 �
5.15
5.15
5.15
5.15
5.3
5.45
5.6
5.75
2002
2003
2004
2005
2006
2007
2008
2009
2010
5. 9 �
6
6.1
6�2
6.3
6.4
6.5
6.6
6.6
5. Redemption. All Bonds maturing in the years
2001 to 20�, both inclusive, shall be subject to redemption and
prepayment at the option of the City on February 1, 2000, and on
any Interest Payment Date thereafter at a price of par plus
accrued interest. Redemption may be in whole or in part of the
Bonds subject to prepayment. If redemption is in part, those
Bonds remaining unpaid which have the latest maturity date shall
be prepaid first; and if only part of the Bonds having a common
maturity date are called for prepayment, the specific Bonds to be
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prepaid shall be chosen by lot by the Bond Reqistrar. Bonds or
portions thereof called for redemption shall be due and payable
on the redemption date, and interest thereon shall cease to
accrue from and after the redemption date. Mailed notice of
redemption shall be given to the paying agent and to each
affected registered holder of the Bonds.
To effect a partial redemption of Bonds having a common
maturity date, the Bond Registrar prior to giving notice of
redemption shall assign to each Bond having a common maturity
date a distinctive number for each $5,000 of the principal amount
of such Bond. The Bond Registrar shall then select by lot, using
such method of selection as it shall deem proper in its
discretion, from the numbers so assigned to such Bonds, as many
numbers as, at $5,000 for each number, shall equal the principal
amount of such Bonds to be redeemed. The Bonds to be redeemed
shall be the Bonds to which were assigned numbers so selected;
provided, however, that only so much of the principal amount of
each such Bond of a denomination of more than $5,000 shall be
redeemed as shall equal $5,000 for each number assigned to it and
so selected. If a Bond is to be redeemed only in part, it shall
be surrendered to the Bond Registrar (with, if the City or Bond
Registrar so requires, a written instrument of transfer in form
satisfactory to the City and Bond Registrar duly executed by the
holder thereof or his, her or its attorney duly authorized in
writing) and the City shall execute (if necessary) and the Bond
� Registrar shall authenticate and deliver to the Holder of such
Bond, without service charge, a new Bond or Bonds of the same
series having the same stated maturity and interest rate and of
any authorized denomination or denominations, as requested by
such Holder, in aggregate principal amount equal to and in
exchange for the unredeemed portion of the principal of the Bond
so surrendered.
6. Bond Registrar. Norwest Bank Minnesota
Mi nneaaol i s. , in Mi nnesota , Minnesota, is appointed to act
as bond registrar and transfer agent with respect to the Bonds
(the "Bond Registrar"), and shall do so unless and until a
successor Bond Registrar is duly appointed, all pursuant to any
contract the City and Bond Registrar shall execute which is
consistent herewith. The Bond Registrar shall also serve as
paying agent unless and until a successor paying agent is duly
appointed. Principal and interest on the Bonds shall be paid to
the registered holders (or record holders) of the Bonds in the
manner set forth in the form of Bond and paragraph 12 of this
resolution.
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7. Form of Bond. The Bonds, together with the Bond
Registrar's Certificate of Authentication, the form of Assignment
and the reqistration information thereon, shall be in
substantially the following form:
�
�
INTEREST
RATE
REGISTERED OWNER:
PRINCIPAL AMOUNT:
UNITED STATES OF AMERICA
STATE OF MINNESOTA
DAKOTA COUNTY
CITY OF MENDOTA HEIGHTS
GENERAL OBLIGATION IMPROVEMENT
BOND OF 1991
MATURITY DATE OF
DATE ORIGINAL ISSUE
NOVEMBER 1, 1991
$
CUSIp
DOLLARS
IaIOW ALL PERSONS BY THESE PRESENTS that the City of
Mendota Heights, Dakota County, Minnesota (the "Issuer"),
certifies that it is indebted and for value received promises to
pay to the registered owner specified above, or registered
assigns, in the manner hereinafter set forth, the principal
amount specified above, on the maturity date specified above,
unless called for earlier redemption, and to pay interest thereon
semiannually on February 1 and August 1 of each year (each, an
"Interest Payment Date"), commencing August 1, 1992, at the rate
.per annum specified above (calculated on the basis of a 360-day
year of twelve 30-day months) until the principal sum is paid or
has been provided for. This Bond will bear interest from the
most recent Interest Payment Date to which interest has been paid
or, if no interest has been paid, from the date of original issue
hereof. The principal of and premium, if any, on this Bond are
payable upon presentation and surrender hereof at the principal
office of , in
, Minnesota (the "Bond Registrar"), acting as
paying agent, or any successor paying agent duly appointed by the
Issuer. Interest on this Bond will be paid on each Interest
Payment Date by check or draft mailed to the person in whose name
this Bond is registered (the "Holder" or "Bondholder") on the
registration books of the Issuer maintained by the Bond Registrar
and at the address appearing thereon at the close of business on
the fifteenth day of the calendar month next preceding such
Interest Payment Date (the "Regular Record Date"). Any interest
not so timely paid shall cease to be payable to the person who is
the Holder hereof as of the Regular Record Date, and shall be
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payable to the person who is the Holder hereof at the close of
business on a date (the "Special Record Date") fixed by the Bond
Registrar whenever money becomes available for payment of the
defaulted interest. Notice of the Special Record Date shall be
given to Bondholders not less than ten days prior to the Special
Record Date. The principal of and premium, if any, and interest
on this Bond are payable in lawful money of the United States of
America.
REFERENCE IS HEREBY MADE TO THE FURTHER PROVISIONS OF
THIS BOND SET FORTH ON THE REVERSE HEREOF, WHICH PROVISIONS SHALL
FOR ALL PURPOSES HAVE THE SAME EFFECT AS IF SET FORTH HERE.
IT IS HEREBY CERTIFIED AND RECITED that all acts,
conditions and things required by the Constitution and laws of
the State of Minnesota to be done, to happen and to be performed,
precedent to and in the issuance of this Bond, have been done,
have happened and have been performed, in regular and due form,
time and manner as required by law, and that this Bond, together
with all other debts of the Issuer outstanding on the date of
original issue hereof and the date of its issuance and delivery
to the original purchaser, does not exceed any constitutional or
statutory limitation of indebtedness.
IN WITNESS WHEREOF, the City of Mendota Heights, Dakota
County, Minnesota, by its City Council has caused this Bond to be
� executed on its behalf by the facsimile signatures of its Mayor
and its Clerk, the corporate seal of the Issuer having been
intentionally omitted as permitted by law.
22884
. ,1
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Date of Registration:
BOND REGISTRAR'S
CERTIFICATE OF
AUTHENTICATION
This Bond is one of the
Bonds described in the
Resolution mentioned
within.
Bond Registrar
By
Authorized Signature
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Registrable by:
Payable at:
CITY OF MENDOTA HEIGHTS,
DAKOTA COUNTY, MINNESOTA
�s� Facsimile
Mayor
��J Facsa.mile
Clerk
8
ON REVERSE OF BOND
Redemption. All Bonds of this issue (the "Bonds")
maturing in the years 2001 to 2009, both inclusive, are subject
to redemption and prepayment at the option of the Issuer on
February 1, 2000, and on any Interest Payment Date thereafter at
a price of par plus accrued interest. Redemption may be in whole
or in part of the Bonds subject to prepayment. If redemption is
in part, those Bonds remaining unpaid which have the latest
maturity date shall be prepaid first; and if only part of the
Bonds having a common maturity date are called for prepayment,
the specific Bonds to be prepaid shall be chosen by lot by the
Bond Registrar. Bonds or portions thereof called for redemption
shall be due and payable on the redemption date, and interest
thereon shall cease to accrue from and after the redemption date.
Mailed notice of redemption shall be given to the paying agent
and to each affected Holder of the Bonds.
Selection of Bonds for Redemption; Partial Redemption.
To effect a partial redemption of Bonds having a common maturity
date, the Bond Registrar shall assign to each Bond having a
common maturity date a distinctive number for each $5,000 of the
principal amount of such Bond. The Bond Registrar shall then
select by lot, using such method of selection as it shall deem
proper in its discretion, from the numbers assigned to the Bonds,
� as many numbers as, at $5,000 for each number, shall equal the
principal amount of such Bonds to be redeemed. The Bonds to be
redeemed shall be the Bonds to which were assigned numbers so
selected; provided, however, that only so much of the principal
amount of such Bond of a denomination of more than $5,000 shall
be redeemed as shall equal $5,000 for each number assigned to it
and so selected. If a Bond is to be redeemed only in part, it
shall be surrendered to the Bond Registrar (with, if the Issuer
or Bond Registrar so requires, a written instrument of transfer
in form satisfactory to the Issuer and Bond Registrar duly
executed by the Holder thereof or his, her or its attorney duly
authorized in writing) and the Issuer shall execute (if
necessary) and the Bond Registrar shall authenticate and deliver
to the Holder of such Bond, without service charge, a new Bond or
Bonds of the same series having the same stated maturity and
interest rate and of any authorized denomination or
denomination�, as requested by such Holder, in aggregate
principal amount equal to and in exchange for the unredeemed
portion of the principal of the Bond so surrendered.
zssuance; Purpose; General Oblictation. This Bond is
one of�an issue in the total principal amount of $1,030,000, all
of like date of original issue and tenor, except as to number,
22884
9
maturity, interest rate, denomination and redemption privilege,
which Bond has been issued pursuant to and in full conformity
with the Constitution and laws of the State of Minnesota and
pursuant to a resolution adopted by the City Council of the
Issuer on October 15, 1991 (the "Resolution"), for the purpose
providing money to finance the construction of various
improvements within the jurisdiction of the Issuer. This Bond
payable out of the General Obligation Improvement Bonds of 1991
Fund of the Issuer. This Bond constitutes a general obligation
of the Issuer, and to provide moneys for the prompt and full
of
is
payment of its principal, premium, if any, and interest when the
same become due, the full faith and credit and taxing powers of
the Issuer have been and are hereby irrevocably pledged.
Denominations; Exchange; Resolution. The Bonds are
issuable solely as fully reqistered bonds in the denominations of
$5,000 and integral multiples thereof of a single maturity and
are exchangeable for fully registered Bonds of other authorized
denominations in equal aggregate principal amounts at the
principal office of the Bond Registrar, but only in the manner
and subject to the limitations provided in the Resolution. •
Reference is hereby made to the Resolution for a description of
the rights and duties of the Bond Registrar. Copies of the
Resolution are on file in the principal office of the Bond
Registrar.
Transfer. This Bond is transferable by the Holder in
person or by his, her or its attorney duly authorized in writing
at the principal office of the Bond Registrar upon presentation
and surrender hereof to the Bond Registrar, all subject to the
terms and conditions provided in the Resolution and to reasonable
regulations of the Issuer contained in any agreement with the
Bond Registrar. Thereupon the Issuer shall execute and the Bond
Registrar shall authenticate and deliver, in exchange for this
Bond, one or more new fully registered Bonds in the name of the
transferee (but not registered in blank or to "bearer" or similar
designation), of an authorized denomination or denominations, in
aggregate principal amount equal to the principal amount of this
Bond, of the same maturity and bearing interest at the same rate.
�ees upon Transfer or Loss. The Bond Registrar may
require payment of a sum sufficient to cover any tax or other
governmental charge payable in connection with the transfer or
exchange of this Bond and any legal or unusual costs regarding
transfers and lost Bonds.
Treatment of Registered Owners. The Issuer and Bond
Registrar may treat the�person in whose name this Bond is
registered as the owner hereof for the purpose of receiving.
22884
10
payment as herein provided (except as otherwise provided on the
reverse side hereof with respect to the Record Date) and for all
4 other purposes, whether or not this Bond shall be overdue, and
neither the Issuer nor the Bond Registrar shall be affected by
notice to the contrary.
Authenticatian. This Bond shall not be valid or become
obligatory for any purpose or be entitled to any security unless
the Certificate of Authentication hereon shall have been executed
by the Bond Registrar.
Oualified Tax-Exempt Obliqation. This Bond has been
designated by the Issuer as a"qualified tax-exempt obligation"
for purposes of Section 265(b)(3) of the Internal Revenue Code of
1986, as amended.
ABBREVIATIONS
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 in common
TEN ENT - as tenants by the entireties
JT TEN - as joint tenants with right of survivorship
and not as tenants in common
` UTMA - as custodian for
(Cust) (Minor)
under the Uniform
(State)
Transfers to Minors Act
Additional abbreviations may also be used
though not in the above list.
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ASSIGNMENT
For value received, the undersigned hereby sells,
assigns and transfers unto
the within Bond and does
hereby irrevocably constitute and appoint
attorney to transfer the Bond on the books kept for the
registration thereof, with full power of substitution in the
premises.
Dated:
Notice: The assignor's signature to tl}is
assignment must correspond with the name
as it appears upon the face of the
within Bond in every particular, without
alteration or any change whatever.
Signature Guaranteed:
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 in�ormation concerning the transferee requested below
is provided.
Name and Address:
2zes4
(Include information for all joint owners
if the Bond is held by joint account.)
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8. Execut�on; Tempora Bonds. The Bonds shall be
executed on behalf of the City by the signatures of its Mayor and
Clerk and be sealed with the seal of the City; provided, however,
that the seal of the City may be a printed facsimile; and
provided further that both of such signatures may be printed
facsimiles and the corporate seal may be omitted on the Bonds as
permitted by law. In the event of disability or resignation or
other absence of either such officer, the Bonds may be signed by
the manual or facsimile signature of that officer who may act on
behalf of such absent or disabled officer. In case either such
officer whose signature or facsimile of whose signature shall
appear on the Bonds shall cease to be such officer before the
delivery of the Bonds, such signature or facsimile shall
nevertheless be valid and sufficient for all purposes, the same
as if he or she had remained in office until delivery. The City
may elect to deliver, in lieu of printed definitive bonds, one or
more typewritten temporary bonds in substantially the form set
forth above, with such changes as may be necessary to reflect
more than one maturity in a single temporary bond. Such
temporary bonds may be executed with photocopied facsimile
signatures of the Mayor and Clerk. Such temporary bonds shall,
upon the printing of the definitive bonds and the execution
thereof, be exchanged therefor and canceled.
9. Authentication. No Bond shall be valid or
obligatory for any purpose or be entitled to any security or
benefit under this resolution unless a Certificate of
Authentication on such Bond, substantially in the form
hereinabove set forth, shall have been duly executed by an
authorized representative of the Bond Registrar. Certificates of
Authentication on different Bonds need not be signed by the same
person. The Bond Registrar shall authenticate the signatures of
officers of the City on each Bond by execution of the Certificate
of Authentication on the Bond and by inserting as the date of
registration in the space provided the date on which the Bond is
authenticated, except that for purposes of delivering the
original Bonds to the Purchaser, the Bond Registrar shall insert
as a date of registration the date of original issue, which date
is November 1, 1991. The Certificate of Authentication so
executed on each Bond shall be conclusive evidence that it has
been authenticated and delivered under this resolution.
10. Reqistration; Transfer: Exchange. The City will
cause to be kept at the principal office of the Bond Registrar a
bond register in which, subject to such reasonable regulations as
the Bond Registrar may prescribe, the Bond Registrar shall
provide for the registration of Bonds and the registration of
transfers of Bonds entitled to be registered or transferred as
herein provided.
22884
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6
Upon surrender for transfer of any Bond at the
principal office of the Bond Reqistrar, the City shall execute
(if necessary), and the Bond Registrar shall authenticate, insert
the date of registration (as provided in paragraph 9) of, and
deliver, in the name of the designated transferee or transferees,
one or more new Bonds of any authorized denomination or
denominations of a like aggregate principal amount, having the
same stated maturity and interest rate, as requested by the
transferor; provided, however, that no Bond may be registered in
blank or in the name of "bearer" or similar designation.
At the option of the Holder, Bonds may be exchanged for
Bonds of any authorized denomination or denominations of a like
aggregate principal amount and stated maturity, upon surrender of
the Bonds to be exchanged at the principal office of the Bond
Registrar. Whenever any Bonds are so surrendered for exchange,
the City shall execute (if necessary), and the Bond Registrar
shall authenticate, insert the date of registration of, and
deliver the Bonds which the Holder making the exchange is
entitled to receive. '
All Bonds surrendered upon any exchange or transfer
provided for in this resolution shall be promptly canceled by the
Bond Registrar and thereafter disposed of as directed by the
City.
All Bonds delivered in exchange for or upon transfer of
Bonds shall be valid general obligations of the City evidencing
the same debt, and entitled to the same benefits under this
resolution, as the Bonds surrendered for such exchange or
transfer.
Every Bond presented or surrendered for transfer or
exchange shall be duly endorsed or be accompanied by a written
instrument of transfer, in form satisfactory to the Bond
Registrar, duly executed by the Holder thereof or his, her or its
attorney duly authorized in writing.
The Bond Registrar may require payment of a sum
sufficient to cover any tax or other governmental charge payable
in connection with the transfer or exchange of any Bond and any
legal or unusual costs regarding transfers and lost Bonds.
Transfers shall also be subject to reasonable
regulations of the City contained in any agreement with the Bond
Registrar, including regulations which permit the Bond Registrar
to close its transfer books between record dates and payment
dates. The Clerk is hereby authorized to negotiate and execute
the terms of said agreement.
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11. Rights Upon Transfer a� Exchanc�e. Each Bond
delivered upon transfer of or in exchange for or in lieu of any
other Bond shall carry all the rights to interest accrued and
unpaid, and to accrue, which were carried by such other Bond.
12. I�terest Payment; Record Date. Interest on any
Bond shall be paid on each Interest Payment Date by check or
draft mailed to the person in whose name the Bond is registered
(the "Holder") on the registration books of the City maintained
by the Bond Registrar and at the address appearing thereon at the
close of business on the fifteenth (15th) day of the calendar
month next preceding such Interest Payment Date (the "Regular
Record Date"). Any such interest not so timely paid shall cease
to be payable to the person who is the Holder thereof as of the
Regular Record Date, and shall be payable to the person who is
the Holder thereof at the close of business on a date (the
"Special Record Date") fixed by the Bond Registrar whenever money
becomes available for payment of the defaulted interest. Notice
of the Special Record Date shall be given by the Bond Registrar
to the Holders not less than ten (10) days prior to the Special
Record Date. •
13. Treatment of Registered Owner. The City and Bond
Registrar may treat the person in whose name any Bond is
registered as the owner of such Bond for the purpose of receiving
payment of principal of and premium, if any, and interest
(subject to the payment provisions in paragraph 12 above) on,
such Bond and for all other purposes whatsoever whether or not
such Bond shall be overdue, and neither the City nor the Bond
Registrar shall be affected by notice to the contrary.
14. Delivery; Application of Proceeds. The Bonds when
so prepared and executed shall be delivered by the Treasurer to
the Purchaser upon receipt of the purchase price, and the
Purchaser shall not be obliged to see to the proper application
thereof.
15. Fund and Accounts. There is hereby created a
special fund to be designated the "General Obligation Improvement
Bonds of 1991 Fund" (the "Fund") to be administered and
maintained by the Treasurer as a bookkeeping account separate and
apart from all other funds maintained in the official financial
records of the City. The Fund shall be maintained in the manner
herein specified until all of the Bonds and the interest thereon
have been fully paid. There shall be maintained in the Fund two
(2) separate accounts, to be designated the "Construction
Account"�and "Debt Service Account", respectively.
2z884
15
(i) Canstxuction Account. To the Construction Account
there shall be credited the proceeds of the sale of the Bonds,
less accrued interest received thereon, and less any amount paid
for the Bonds in excess of $1,020,000, plus any special
assessments levied with respect to the Improvements and collected
prior to completion of the Improvements and payment of the costs
thereof. From the Construction Account there shall be paid all
costs and expenses of making the Improvements listed in paragraph
16, including the cost of any construction contracts heretofore
let and all other costs incurred and to be incurred of the kind
authorized in Minnesota Statutes, Section 475.65; and the moneys
in said account shall be used for no other purpose except as
otherwise provided by law; provided that the proceeds of the
Bonds may also be used to the extent necessary to pay interest on
the Bonds due prior to the anticipated date of commencement of
the collection of taxes or special assessments herein levied or
covenanted to be levied; and provided further that if upon
completion of the Improvements there shall remain any unexpended
balance in the Construction Account, the balance (other than any
special assessments) may be transferred by the Council to the
fund of any other improvement instituted pursuant to Minnesota
Statutes, Chapter 429, and provided further that any special
assessments credited to the Construction Account shall only be
applied towards payment of the costs of the Improvements upon
adoption of a resolution by the City Council determining that the
�application of the special assessments for such purpose will not
cause the City to no longer be in compliance with Minnesota
Statutes, Section 475.61, Subdivision 1.
(ii) Debt Service Account. There are hereby irrevocably
appropriated and pledged to, and there shall be credited to, the
Debt Service Account: (a) all collections of special assessments
herein covenanted to be levied with respect to the Improvements
and either initially credited to the Construction Account and not
already spent as pernaitted above and required to pay any
principal and interest due on the Bonds or collected subsequent
to the completion of the Improvements and payment of the costs
thereof; (b) all accrued interest received upon delivery of the
Bonds; (c) all funds paid for the Bonds in excess of $1,020,000;
(d) any collections of all taxes herein or hereafter levied for
the payment of the Bonds and interest thereon; (e) all funds
remaining in the Construction Account after completion of the
Improvements and payment of the costs thereof, not so transferred
to the account of another improvement; (f) all investment
earnings on funds held in the Debt Service Account; and (g) any
and all other moneys which are properly available and are
appropriated by the governing body of the City to the Debt
Service Account. The Debt Service Account shall be used solely
to pay the principal and interest and any premiums for redemption
zzsa4
16
of the Bonds and any other general obligation bonds of the City
hereafter issued by the City and made payable from said account
as provided by law.
No portion of the proceeds of the Bonds shall be used
directly or ind°irectly to acquire higher yielding investments or
to replace funds which were used directly or indirectly to
acquire higher yielding investments, except (1) for a reasonable
temporary period until such proceeds are needed for the purpose
for which the Bonds were issued and (2) in addition to the above
in an amount not greater than the lesser of five percent (5$) of
the proceeds of the Bonds or $100,000. To this effect, any
proceeds of the Bonds and any sums from time to time held in the
Construction Account or Debt Service Account (or any other City
account'which will be used to pay principal or interest to become
due on the bonds payable therefrom) in excess of amounts which
under then-applicable federal arbitrage regulations may be
invested without regard to yield shall not be invested at a yield
in excess of the applicable yield restrictions imposed by said
arbitrage regulations on such investments after taking into
account any applicable "temporary periods" or "minor portion"
made available under the federal arbitrage regulations. Money in
the Fund shall not be invested in obligations or deposits issued
by, guaranteed by or insured by the United States or any aqency
or instrumentality thereof if and to the extent that such
investment would cause the Bonds to be "federally guaranteed"
within the meaning of Section 149(b) of the Internal Revenue Code
of 1986, as,amended (the "Code").
16. Assessments. It is hereby determined that no less
than twenty percent (20$) of the cost to the City of each
Improvement financed hereunder within the meaning of Minnesota
Statutes, Section 475.58, Subdivision 1(3), shall be paid by
special assessments to be levied against every assessable lot,
piece and parcel of land benefitted by any of the Improvements.
The City hereby covenants and agrees that it will let all
construction contracts not heretofore let within one (1) year
after orderinq each Improvement financed hereunder unless the
resolution ordering the Improvement specifies a different time
limit for the letting of construction contracts. The City hereby
further covenants and agrees that it will do and perform as soon
as they may be done all acts and things necessary for the final
and valid levy of such special assessments, and in the event that
any such assessment be at any time held invalid with respect to
any lot, piece or parcel of land due to any error, defect, or
irregularity in any action or proceedings taken or to be taken by
the City or the City Council or any of the City officers or
employees, either in the making of the assessments or in the
performance of any condition precedent thereto, the City and the
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• 17
City Council will forthwith do all further acts and take all
further proceedings as may be required by law to make the
assessments a valid and binding lien upon such property. Except
for the assessments for Projects 86-4 and 90-1, the special
assessments have not heretofore been authorized, and accordingly,
for purposes of Minnesota Statutes, Section 475.55, Subdivision
3, the special assessments are hereby authorized. Subject to
such adjustments as are required by conditions in existence at
the time the assessments are levied, it is hereby determined that
the assessments shall be payable in equal, consecutive, annual
installments, with general taxes for the years shown below and
with interest on the declining balance of all such assessments at
a rate per annum not greater than the maximum permitted by law
and not less than the respective rates per annum set forth
opposite the collection years as follows:
Improvement
Desiqnation
86-4
89-7
90-1 �
90-3
Amount
$ 482,800
125,000
254,800
180,000
Levy Years
1991-2007
(for all)
TOTAL: $1,042,000
At the time the assessments are
Council shall, based on the then-current
the assessments, make any adjustments in
required to be levied in order to assure
to be in compliance with Minnesota Statut
Subdivision 1. '
Collection
Years
1992-2008
(for all)
Interest
Rate
8.00$
(for all)
in fact levied the City
estimated collections of
any ad valorem taxes
that the City continues
es, Section 475.61,
17. Tax Levy; Coverage Test. To provide moneys
payment of the principal and interest on the Bonds there is
hereby levied upon all of the taxable property in the City
f or
�
direct annual ad valorem tax which shall be spread upon the tax
rolls and collected with and as part of other general property
taxes in the City for the years and in the amounts as follows:
Years of Tax
Levy
1991
1992
1993
Year of Tax
Collection
1992
1993
1994
Zz8a4
18
ount
-0•.
-0-
-0-.
�
1994
1995
1996
1997
1998
1999
2000
aooi
2ooa
2003
2004
2005
2006
2007
1995
1996
1997
1998
1999
2000
Zooi
aoo2
2003
2004
2005
2006
2007
2008
—0—
-0-
-0-
—0—
-0-
—0—
-o-
-0-
—0—
—0—
-0—�
—U-
—0-
-0-
The tax levies are such that if collected in full they,
together with estimated collections of special assessments and
other revenues herein pledged for the payment of the Bonds, will
produce at least five percent (5�) in excess of the amount needed
to meet when due the principal and interest payments on the
Bonds. The tax levies shall be irrepealable so long as any of
the Bonds are outstanding and unpaid, provided that the City
reserves the right and power to reduce the levies in the manner
and to the extent permitted by Minnesota Statutes, Section
475.61, Subdivision 3.
18. Defeasance. When all Bonds have been discharged
as provided in this paragraph, all pledges, covenants and other
rights granted by this resolution to the registered holders of
the Bonds shall, to the extent pe�nitted by law, cease. The City
may discharge its obligations with respect to any Bonds which are
due on any date by irrevocably depositing w�.th the Bond 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 Bond Registrar
a sum sufficient for the payment thereof in full with interest
accrued 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 Bond Registrar on or before
that date a sum sufficient for the payment thereof in full,
provided that notice of redemption thereof has been duly given.
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 a suitable banking institution
qualified by law as an escrow agent for this purpose, cash or
securities described in Minnesota Statutes, Section 475.67,
Subdivision 8, bearing interest payable at such times and at such
zzas4
19
rates and maturing on such dates as shall be required, subject to
sale and/or reinvestment, to pay all amounts to become due
thereon to ffiaturity or, if notice of redemption as herein
required has been duly provided for, to such earlier redemption
date.
19. General Obliqation Pledge. For the prompt and
full payment of the principal and interest on the Bonds, as the
same respectively become due, the full faith, credit and taxing
powers of the City shall be and are hereby irrevocably pledged.
If the balance in the Debt Service Account is ever insufficient
to pay all principal and interest then due on the Bonds and any
other bonds payable therefrom, the deficiency shall be promptly
paid out of any other funds of the City which are available for
such purpose, and such other funds may be reimbursed with or
without interest from the Debt Service Account when a sufficient
balance is available therein.
20. Certificate of Registration. The Clerk is hereby
directed to file a certified copy of this resolution with the
County Auditor of Dakota County, Minnesota, together with such
other information as he or she shall require, and to obtain the
County Auditor�s certificate that the Bonds have been entered in
the County Auditor's Bond Register, and that the tax levy
required by law has been made.
21. Records and Certificates. The officers of the
City. are hereby authorized and directed to prepare and furnish to
the Purchaser, and to the attorneys approving the legality of the
issuance of the Bonds, certified copies of all proceedings and
records of the City relating to the Bonds and to the financial
condition and affairs of the City, and such other affidavits,
certificates and information as are required to show the facts
relating to the legality and marketability of the Bonds as the
same appear from the books and records under their custody and
control or as otherwise known to them, and all such certified
copies, certificates and affidavits, including any heretofore
furnished, shall be deemed representations of the City as to the
facts recited therein.
22. Negative Covenant as to Use of Proceeds and
Improvements. The City hereby covenants not to use the proceeds
of the Bond� or to use the Improvements, or to cause or permit
them to be used, or to enter into any deferred payment
arrangements for the cost of the Improvements, in such a manner
as to cause the Bonds to be "private activity bonds" within the
meaning of Sections 103 and 141 through 150 of the Code. ,
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20
•t
m
23. Tax-Exemgt Status of the Bonds; Rebate. The City
shall comply with requirements necessary under the Code to
establish and maintain the exclusion from gross income under
Section 103 of the Code of the interest on the Bonds, including
without limitation (1) requirements relating to temporary periods
for investments, (2) limitations on amounts invested at a yield
greater than the yield on the Bonds, and (3) the rebate of excess
investment earnings to the United States if the Bonds (together
with other obligations reasonably expected to be issued and
outstanding at one time in this calendar year) exceed the
small-issuer exception amount of $5,000,000.
For purposes of qualifying for the exception to the
federal arbitrage rebate requirements for governmental units
issuing $5,000,000 or less of bonds, the City hereby finds,
determines and declares that (1) the Bonds are issued by a
governmental unit with general taxing powers, (2) no Bond is a
private activity bond, (3) ninety-five percent (95�) or more of
the net proceeds of the Bonds are to be used for local
governmental activities of the City (or of a governmental unit
the jurisdiction of which is entirely within the jurisdiction of
the City), and (4) the aggregate face amount of all tax-exempt
bonds (other than private activity bonds) issued by the City (and
all subordinate entities thereof, and all entities treated as one
issuer with the City) during the calendar year in which the Bonds
are issued and outstanding at one time is not reasonably expected
to exceed $5,000,000, all within the meaning of Section
148 (f) (4) (D) of the Code.
24. Desiqnation of Qualified Tax-Exempt ObliQations.
In order to qualify the Bonds as "qualified tax-exempt
obligations" within the meaning of Section 265(b)(3) of the Code,
the City hereby makes the following factual statements and
representations:
zzs84
(a) the Bonds are issued after August 7, 1986;
(b) the Bonds are not "private activity bonds" as
defined in Section 141 of the Code;
(c) the City hereby designates the Bonds as
"qualified tax-exempt obligations'� for purposes of
Section 265(b)(3) of the Code;
(d) the reasonably anticipated amount of
tax-exempt obligations (other than private activity
bonds, treating qualified 501(c)(3) bonds as not being
private activity bonds) which will be issued by the
City (and all entities treated as one issuer with the
21
City, and all subordinate entities whose obligations
are treated as issued by the City) during this calendar
year 1991 will not exceed $10,000,000; and
(e) not more than $10,000,000 of obligations
issued by the City during this calendar year 1991 have
been designated for purposes of Section 265(b)(3) of
the Code.
The City shall use its best efforts to comply with any federal
procedural requirements which may apply in order to effectuate
the designation made by this paragraph.
25. Severabilitv. If any section, paragraph or
provision of this resolution shall be held to be invalid or
unenforceable for any reason, the invalidity or unenforceability
of such section, paragraph or provision shall not affect any of
the remaining provisions of this resolution.
26. Headincts. Headings in this resolution are
included for convenience of reference only and are not a part
hereof, and shall not limit or define the meaning of any
provision hereof.
The motion for the adoption of the foregoing resolution
was duly seconded by member Koch and, after a full
discussion thereof and upon a vote being taken thereon, the
following voted in favor thereof:
All Yea
and the following voted against the same:
none
Whereupon said resolution was declared duly passed and
adopted.
22884
22
STATE OF MINNESOTA
COUNTY OF DAKOTA
CITY OF MENDOTA HEIGHTS
I, the undersigned, being the duly qualified and acting
Clerk of the City of Mendota Heights, Minnesota, DO HEREBY
CERTIFY that I have compared the attached and foregoing extract
of minutes with the original thereof on file in my office, and
that the same is a full, true and complete transcript of the
minutes of a meeting of the City Council of said City, duly
called and held on the date therein indicated, insofar as such
minutes relate to opening and considering bids for, and awarding
the sale of, $1,030,000 General Obligation Improvement Bonds of
1991 of said City.
WITNESS my hand and the seal of said City this day
of October, 1991.
� (SEAL)
�
�
22884
��� a� ����
Clerk
23