Res 72 - 503 Awarding Sale of $1,700,000 Improvement Bonds, Series 1972� Member Walter J gutzmer
tion and moved its adoption:
then introduced the following resolu-
RESOLUTION NUmBER 503
RESOLUTION AWARDING SALE OF
$1,700,000 IMPROVEMENT BONDS, SERIES 1972
BE IT RESOLVED by the Village Council of the Village of Men-
dota Heights, Minnesota, that the highest and best bid for the purchase
of �1,700,000 Improvement Bonds, Series 1972 of the Village, dated
August l, 1g72, received pursuant to public advertisement for bids,
is that � of BancNorthwest , of Minneapolis ,
Minnesota , and associates, s.aid bid stating a price of $1,688,610
and accrued interest, for bonds to be issued in'accordance with the
published notice of sale and to bear interest at the following rates
per annum:
,
Maturity Years
1973-1977
1978-1981
1982-1985
1986-
1987- �
1988-1990
Interest Rate
4.00y
4.50%
S.00X .
5.10�
5.20�
5.25%
Said bid is hereby accepted, and sa�d bonds are hereby declared to be
awarded to said bidder. The Mayor and Clerk are hereby authorized to
execute the contract for sale of said bonds to said bidder in behalf
of the Village, and the good faith check of said bidder shall be held
by the Village pending delivery of and payment for the bonds. The
good faith checks of the other bidders shall be returned to them by
the Clerk.
The motion for the adoption of the foregoing resolution was
duly seconded by Member Wm. J. Blair , and upon vote being taken there-
on, the following voted in favor thereof: All
and the fol::c���ing voted against ' Y�� same: None
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whereupon s��: �3 resolution was de�.yared duly passed and ac�: �.cF�d.
Member Robert G. Lockwood thereupon introduced the following
resolution and moved its adoption: RESOLUTION NUmBER 504
RESOLUTION AUTHORIZING AND ESTABLISHING THE
• FORM AND DETAILS OF $1,700,000 IMPROVEMENT
� BOI�DS, SERIES 1972, AND LEVYING.TAXES AND .
APPROPRIATING SPECIAL ASSESSMENTS FOR THE
PAYMENT THEREOF
BE IT RESOLVED by the Council of the Village of Mendota
Height�s, Minnesota, as follows: •
e r ... _ a �a a _ L .. _., • .a t i_ ,.. t t i- _ � r _ 't "+ - -- _ � • �
1. 1li 1.� i1C1'C.�J�jl 1VU17U CL11U UCLCi111111cu 411q,1i 1�11C V.il._a.FjC U�.IA
heretofore issue $1,820,000 Temporary Improvement Bonds, Seri'es 196g,
dated September l, 196g, for the purpose of paying costs of the Village
ior construction of local improvements, which bonds were authorized by
resolution of the Council adopted on August 12, 196g; that a11 of said
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bonds were validly issued and constitute legal obligations of the
,Village in their full amount; that all of said bonds are now outstand-
ing and become due and payable on September l, 1972; that the amount
of moneys remaining on hand in the Temporary Improvement Bond Fund
land available for the payment of said Temporary Improvement Bonds is
approximately equal to and not less than $193,875, of which amount
$56,875 is required for the payment of interest on said bonds coming
due on their maturity, and $137,000 is available f or and will be ap-
�plied to payment of principal;•and that it is necessary to issue
$1,700,000 definitive improvement bonds, including $17,000 of bonds
,representing interest, as authorized by Minnesota Statutes, Section
�475.56, to refund $1,683,000 principal amount of said Temporary•Im-
provement Bonds maturing on September l, 1972.
2. There is hereby created a fund to be known as the 1972
Definitive Improvement Bond Fund, which shall be maintained at all `
times as a separate account on the books of the Village. Into it
shall be paid from the Temporary Improvement Bond Fund any bond pro-
ceeds or special assessment collections received on account of the
issuance of said Temporary Improvement Bonds, Series 1969, to the
extent that they are not applied to the payment of principal and in-
terest due on said bonds on September l, 1972. Into said 1972 Defini-
tive Improvement Bond Fund shall also be paid the accrued interest re-
ceived upon delivery of the bonds herein authorized, any amount by
which the purchase price exceeds $1,683,000, and the collections of
all special assessments levied on account of the improvements financed
by said 1g69 temporary bonds, and the collections of all general ad
valorem taxes herein or hereafter levied for payment of the bonds
herein authorized. Moneys in said 1972 Definitive Improveme�it Bon�
Fund shall be used only for the payment or prepayment of principal
and interest on the bonds herein authorized, including premiums for
�redemptions before maturity'. .
�3. The definitive improvement bonds of the Village herein-
above determined to be issued shall be designated as "Improvement
Bonds, Series 1972", all payable primarily from the 1g72 Definitive
Improvement Bond Fund of the Village. They shall forthwith be issued
and delivered to BancNorthwest & Associates ,
af' Minneapolis , Minnesota , as the successful bidder therefor, in
�.:cordance with the official adver�isem.ent for bi�.s heretofore pub-
lished and the bid of said bidder accepted by this Council. Said
bonds shall be dated as of August 1, 1g72, shall be 340 in number
and numbered serially from 1 to 340, i�clusive, each in the denomina-
tion o.f �>5,000, and shall mature ser�.a�ly on August 1 in :ne years and
amount:� ;�F': forth below, and the bo;?1� �f each maturity s�iall bear in-
terest di trie rate per annum shown ��,.�osite the year of ir�at;urity, as
follows: '
Year
1973
1974
1975
1976
1977
1978
1979
1980
1981
Amoun�
$ 75,000
100,000
100,000
100,000
100,000
100,000
100,000
ioo,000
100,000
Rate
4.00%
4.00�
4.00%
4.00�
4.00X
4.50�
4.SOy
4.50y
4.50�
Year
1g82
1983
1g84
1985
1986
1g87
1g88
1989
1990
Amount
$100,000
100,000
100,000
100,000
100,000
100,000
100,000
100,000
25,000
Rate
s.00/
5.00y
5.00%
5.00X
5.10y
5.20�
5.25�
5.25�
5.25%
All interest shall be payable semiannually on each February 1 and Aug-
ust l, corrm:encing February l, 1973. The �onds maturing in the years
1973 through 1984 shall be without option of prior payment, but those�
maturing in 1985 and later years shall each be sub.ject to redemption
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and prepayment. at the option of the Village in inverse order of ser-
ial numbers on August l, 1g84, and any interest payment date there-
after, at par and accrued interest, plus a premium of 1% of par value
for any bond redeemed on or before February l, 1g87, or no premium
for any bond redeemed on or after August 1, 1987. All redemptions
shall be made on notice of call for redemption published not less
than 30 days prior to the date specified f or redemption in a daily
or weekly periodical published in a Minnesota city of the first class
or its metropolitan area, which circulates throughout the state and
furnishes financial news as a part of its service. The notice shall
also be mailed to the bank at which principal of and interest on said
bonds is then payable, but published notice shall be effective with-
out mailing. The prir..cipal of �and interest on said bonds shall be
p ayab le at Northwestern National Bank of Minneapolis ,
inMinneapolis , Minnesota , and the Village hereby agrees to pay the
reasonable and customary charges of said paying agent f or the receip'�
and disbursement thereof.
4. Said bonds and the interest coupons appurtenant thereto
shall be in substantially the following form:
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. • ,
UNTTED STATES OF AMERICA
STATE OF MINNESOTA
COUNTY OF DAKOTA
VILLAGE OF MENDOTA HEIGHTS
IMPROVEMENT BOND, SERIES 1972
No.-
$5,000
KNOW ALL MEN BY THESE PRESENTS that the Village of Mendota
Heights, Dakota County, Minnesota, acknowledges itself to be indebted
and for value received promises to pay to bearer the sum of FIVE
THOUSAND DOLLARS on the lst day of August, lg , or, if this bond
is redeemable as stated below, on a date prior thereto on which it
shall have been duly called for earlier redemption, and to pay inter.-
est thereon at the rate of
per cent ( �) per annum, from the date hereof until said princi-
pal sum is paid, or, if this bond is redeemable, until it has been
duly called for earlier redemption. Interest on said bonds is pay-
able semiannually on February 1 and August 1 of each year, commencing
February l, 1973, interest to maturity being represented by and pay-
able in accordance with and upon presentation and surrender of the
interest coupons appurtenant hereto. Both principal and interest
are payable at
, in , , in any coin or currency
of the United States of America which on the respective dates of pay-
ment is legal tender for public and private debts. For the prompt
and full payment of said principal and interest as the same »espec-
tively become due, the full faith, credit and unlimited taxing powers
of said Village have been and are hereby irrevocably pledged.
This bond is one of an issue in the aggregate principal
amount of $1,700,000, all of like date and tenor except as to serial
number, int�rest rate, redemption privilege and maturity date, issued
for the purpose of paying and refunding at maturity a portion of the
principal amount of temporary improvement bonds issued in 196g, and
is issued pursuant to and in full conformity with the provisions of
tl��e Constitution and laws of the State of Minnesota thereunto enabling.
`l''�is bond is payable primarily from the 1g72 Defi:,:itive Improvement
t3�nd Fund of the�Village, but the Council is required by law to pay
maturing principal hereof and interest hereon out of any funds in
the treasury if moneys on hand in said special fund are insufficient
therefnr. '
d:�nds of this issue matul°ir• � in 198� and earliE:.;� years are
without �pt�on of prior payment. Bo��<<s of this issue maturing in
1985 and later years are each subject tc� redemption at the option
of the Village in inverse ordez° of serial numbers on August l, 198�1,
and any interest payment date thereafter at a price of 101� of par,
plus accrued interest, if redeemed on or before February l, 1g87, or
par plus accrued interest if redeemed on or after August 1, 1987.
Notice of call for redemption will be published not less than 30 days
before th� date specified for r�demption in a financial periodical
published in a Minnesot3 city of'i�he fir�st class or its metropolitan
area. • •
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 pi�eceden'� to and in the issuance of this k�ond in order to
.-- -- ,�,�,��ce �;: �, �-",��d �.��u bindin� �ereral. obligG:ti�Lr. c�' �a:�3 tiTilla�e a�c�r: -
`� ing-to its terms have been done, do exist, have happened and have been
performed as so required; that prior to the issuance hereoflthe Vil-
lage has duly levied general ad valorem taxes and 'special assessmenis
for the years required and in amounts sufficient to produce�sums not
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. _,...�. . . . ��,.�
less than 5� �n excess of the amounts required to pay the principal
of and interest on the bonds of this issue as such principal and in-
terest respectively become due, and has appropriated the same to said
fund, and additional ad valorem taxes, if needed f or said purpose, may
be levied upon all taxable property within the Village without limita-
tion as to rate or amount; and that the issuance of this bond did not
cause the indebtedness of said Village to exceed any constitutional or
statutory limitation.
IN WITNESS WHEREOF, the Village of Mendota Heights, Dakota
County, Minnesota, by its Village Council, has caused this bond to be
executed in its behalf by the signature of its Mayor, attested by the
signature of the Village Clerk,• and the corporate seal of the Village
to be affixed hereto, and has caused the interest coupons appurtenant
hereto and the certificate as to legal opinion on the reverse side
hereof�to be executed and authenticated by the facsimile signatures ,
of said officers, all as of August 1, 1972.
Attes
n)
Mayor
No. �
• On the lst day of February (August),•lg , unless the bond
described below is subjec� to and has been duly called for earlier re-
demption, the Village of Mendota Heights, Dakota County, Minnesota,
will pay to bearer at
� , in , , the sum shown hereon
in lawful m�ney of the United States of America for interest then due
on its Improvement Bond, Series 1g72, dated August l, 1972, No. .
(Facsimile signature) _ (Facsimile signature)
Village Clerk Mayor
(Certificate as to legal opinion to be printed
on the reverse side of each bond) �
T�;e -certify that the abovE _s a full, true and c�rrect copy of
the le�a:l. opinion rendered by bond ::cittr,�el on the issue c_' �onds of the
Village c�:' n7endota Heights, Minnes�#:�., which includes thE: within bond,
dated as cf the date of delivery of �:;�d payment for• the b�ilds.
(Facsimile signature)
Village Clerk �
0
�7-
(Facsimile signature)
Mayor
.. . .. ���.
5. The bonds shall be forthwith prepared for execution
under the direction of the Village Clerk, and shall then be executed
by the signature of the Mayor, attested by the Village Clerk and
sealed with the corporate seal of the Village, and the appurtenant
interest coupons and the certificate as to legal opinion shall be
executed and authenticated by the printed, lithographed or engraved
facsimile signatures of said Mayor and Clerk. When so executed, the
bonds shall be delivered by the Treasurer to the purchaser thereof,
upon payment of the purchase price heretofore agreed upon, and said
purchaser shall not be obligated to see to the application of the pur-
chase price. Not less than $1,683,000 of said purchase price shall,
however, be credited and paid to.the Temporary Improvement Bond Fund,
for the redemption of �he same principal amount of said Temporary Im-
provement Bonds, due and payable on September l, 1972.
6. The full faith and credit of the Village shall be and '
are hereby pledged to the prompt and full payment of said bonds and
the interest thereon. It is hereby found and determined that the
Village has heretofore levied special assessments upon property bene-
fited by said improvemen� in the amount of $1,812,822.38 , of which
$1,472,200 principal amount remains uncollected. Said assessments
are payable in equal annual installments in the years 1972 through
1g89, with interest at the rate of 7.00 � per annum on unpaid in-
stallments. In the event that any assessments levied for said im-
provement 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 Village or this
Council or any of the Village's officers or employees, either in the
making of such assessment or in the performance of any condition p��-
cedent thereto, the Village and this Council hereby covenant and
agree that they will forthwith do all such further acts and take all
such further proceedings as may be required by law to make such assess-
ment a valid and binding lien upon such property.
7. There is hereby levied a direct, annual, ad valorem tax
on all taxable property in the Village, which shall be collectible in
the years and amounts as follows:
Collection
Year
1986
1987
1988
Amount
�
$12,000
18,000
19,000
Collection
Year
1989
1990
Amount
��
$19,000
28,800
The collec.tions of the foregoing taxes are hereby irrevocably appro-
priated to the 1972 Definitive Improvement Bond Fund, and shall be
irrepealable except as provided in Minnesota Statut,es, Section 475.61,
Subdivision 3.
8. It is hereby estimated that the collections of said taxes
and assessments and interest thereon will provide amounts not less than
105% of the principal of and interest on said bonds as they become due.
;. The C�_erk is ';_ereiiy c��i�ecied t� file a �ertii'iF�e� cop5�
of this res�lution with the County Auditor.of Dakota County and to
obtain said Auditor's certificate in accordance with i�innesota Stat-
utes, Sections 475.61 through 475.63; and the officers of the Village
S
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and County are hereby authorized and directed to furnish �o the pur-
chaser of said bonds, and to the attorneys approving the legality
thereof, certified copies of a11 ordinances, resolutions and other
actions and proceedings of the Village relating to the issuance of
said bonds, and certificates and affidavits as to all such other
matters as may be required b�t them to evidence the legality and
marketability of said bonds, and all such certified copies, certi-
ficates and affidavits, including any heretof ore furnished, shall
be deemed recitals of the Village of Mendota Heights as to the cor-
rectness of all statements contained therein.
10. When all bonds issued pursuant to this resolution, and
all coupons appertaining thereto, have 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 Village may
discharge all bonds and coupons which are due on any date by deposit,-
ing with the paying agent or agents for such bonds on or bef ore that
da�e a sum sufficient for the payment thereof in . full; or if any bond
or coupon should not be paid when due, it may nevertheless be dis-
charged by depositing with the paying agent a sum sufficient for the
payment thereof in full with interest accrued to the date of such de-
posit. The Village may also discharge any prepayable bonds according
to their terms, by depositing with the paying agent or agents on or
before that date an amount equa]_ to the principal, interest and re-
demption premium, if any, which are then due, provided that notice
of such redemption has been duly given as provided herein. The Vil-
lage may also at any time discharge any issue of such bonds in its
entirety, subject to the provisions of law now or hereafter authoriz-
ing and regulating such action, by �allin� all prepayable bonds of
such issue for redemption on the next date when they may be prepaid
in accordance with their terms, by giving the notice required for
such redemption, and by depositing irrevocably in escrow, wi�h a
bank qualified by law as an escrow agent for this purpose, cash or
securities which are general obligations of the United States or
securities of United States agencies which are authorized by law to
be so deposited, bearing interest payable at such times and at such
rates and maturing on such dates as shall be required to pay all prin-
cipal, interest and redemption premiums, if any, to become due on all
bonds of the issue on and before said redemption dC.te.
The motion for the adoption of the foregoing resolution was
dul,y secondcd by Member Russell A. Wahl' , and upon vote being taken
thereon, trt�� f �llowing voted in �'avor thereof : All
and the following voted against the same: None
whereupon said resolution was declared duly passed and adopted.
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