Res 71 - 437 Issuance & Delivery of $340,000 Temporary Improvement Bonds, Series 1971Following discussion of the bids, Member Walter Gutrmer intro-
duced the following resolution and moved its adoption:
RESOLUTION NO 435 RESOLUTION AWARDING SALE OF $340,000
TEMPORARY IMPROVEMENT BONDS, SERIES 1971
BE IT RESOLVED by the Village Council of the Village of Men-
dota Heights, Minnesota, that the bid of the ,American National Bank & Trust
Company �. of St. Paul i 14iunesota , and associates named
therein, to purchase $34o,o00 Temporary Improvement Bonds, Series 1971
of the Village to be dated November 1, 1971, and to be issued as speci-
fied in the notice of sale heretofore published, is hereby found and
declared to be the bid most favorable to the Village received pursuant
to due notice, and should be and is hereby accepted, said bid being to
purchase the bonds at a price of $ 337.790.00 , *and accrued interest, all
bonds to bear interest at the rate of 3,5 % per annum, g'&AX)flqftb[3
and directed to endorse an acceptance on said bid and on a copy there-
of, and to return such copy to the bidder. The Treasurer is directed
to retain the good faith check of said bidder pending completion and
delivery of the bonds, and the good faith checks of other bidders shall
be forthwith returned to them.
The motion for the adoption of the foregoing resolution was
duly seconded by Member Bob Lockwood , and upon vote being taken there-
on, the following voted in favor thereof: all yes
and the following voted against the same: Nona
whereupon said resolution was declared duly passed and adopted.
Member Walt Gutsmer introduced the following resolution and
moved its adoption:
RESOLUTION NO. 437��
RESOLUTION AUTHORIZING THE IT87 ilYCE AND
DELIVERY OF $34o,000 TEMPORARY IMPROVEMENT
BONDS, SERIES 1971
BE IT RESOLVED by the Village Council of the Village of Men-
dota Heights, Minnesota, as follows:
1. It is hereby found, determined and declared that the Vil-
lage of Mendota Heights has.heretofore issued $1,550,000 Temporary
Improvement Bonds, Series 1970, dated June 1, 1970, under terms and
conditions as specified in the resolution authorizing the issuance and
delivery of said temporary bonds, duly passed by this Council on May 5,
1970. Out of said bond proceeds, the sum of $$75,000 was credited to
-2-
9
the 111970 Improvement Fund", a separate and special fund created by
the Village by resolution duly adopted on June 2, 1970, to defray the
costs of construction of the 1970 Improvement (Eagle Ridge, Willow
Springs -Breckenridge, and School). To complete the financing of
that portion of the 1970 Improvement in the vicinity of the New
Sibley High School, as fully described in Resolution No. 295, adopted
January 6, 1970, it is now necessary to borrow $340,000 by the issu-
ance of general obligation temporary improvement bonds of the Village
in accordance with the provisions of Minnesota Statutes, Section
429.091, subd. 3, as amended; and this Council has awarded the sale
of said bonds to the American National Bank b Trust Company b Associates
of St. pain,, Minnesota, on the terms and conditions set forth in
this resolution.
2. The.1970 Improvement Fund created by resolution of June
2, 1970 shall be continued upon the books of the Village, and into
said fund shall be paid the sum of $337,000 from the proceeds of the
bonds herein authorized, the collections of all special assessments
heretofore or hereafter levied on account of said Improvement, and
any other moneys which this Council may appropriate to defray the'
expenses connected with the Improvement.
3. Upon completion and payment of all costs of making the
Improvement, the 1970 Improvement Fund shall be discontinued, and all
moneys therein shall be paid into the Temporary Improvement Bond Fund
of the Village created by the resolution of this Council adopted on
June 6, 1967, which shall constitute a separate and special debt're-
demption fund, to be maintained as long as any of the bonds herein
authorized remain unpaid, the moneys therein to be used only for the
payment of principal of and interest on the bonds herein authorized
and on any additional bonds heretofore or hereafter issued and made
payable from said fund. After discontinuance of said Improvement
Fund, and as long as any of said bonds shall remain unpaid, the col-
lections of all general ad valorem taxes and special assessments pre-
viously required to be paid into the discontinued fund shall be paid
into said Temporary Improvement Bond Fund, or, if any definitive im-
provement bonds have been issued on account of said improvement, into
a fund to be created for payment of such bonds. There shall be cre-
dited directly to the Temporary Improvement Bond Fund out the proceeds
of this issue any amount by which the purchase price exceeds $337,000,
and any accrued interest received on the bonds.
4. The Village has heretofore levied special assessments
in the principal amount of $1,173,778.8tor payment of the costs of the
1970 Improvement, which amount exceeds 20% of the cost of the improve-
ment including those items of cost to be paid out of the proceeds of
the bonds herein authorized. It is the intention of the Village to
levy, on or before October , 1972, additional assessments in the
principal amount of $ 600,000 . In the event that any such assess-
ment shall be at any time 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 Village or the Village Coun-
cil or any of the Village officers or employees in the making of the-
-3-
assessment or the performance of any condition precedent thereto, the
Village will do all such further acts and things and shall take all
such further proceedings as shall be required by law to make such
assessment a valid and binding lien upon the property assessed.
5. Not later than November 13 19742, the Council will by
resolution provide for the issuance, sale and delivery of definitive
improvement bonds, payable from such fund or funds as may be determined
by the Council, for the purpose of providing moneys to pay and redeem
all temporary improvement bonds payable from said Temporary Improve-
ment Bond Fund which become due and payable on said date, so far as
the same cannot be paid out of moneys then on hand in said fund.
6. The Village shall forthwith issue and deliver to the
purchaser thereof its negotiable coupon general obligation Temporary
Improvement Bonds, Series 1971, dated as of November 1, 1971, in the
denomination of $53000 each and in the principal amount of $340,000,
to be numbered from 1 to 68. Said bonds shall mature on November 1,
19'T4, and shall bear interest at the basic rate of 31/2 % per annum
from date of issue until paid, ,
1 13P
4a, all interest to be payable on May 1 and November 1 of each
year, commencing on May 1, 1972. Each bond is subject to redemption
and prepayment at the option of the Village on November 1, 19733 or
May 1, 19743 at a price of par and accrued interest, on notice of call
for redemption published not less than 30 days prior to the date spe-
cified for redemption in a daily or weekly periodical published in a
Minnesota city of the first class or its metropolitan area which cir-
culates throughout the state and furnishes financial news as a part
of its service. The Village Treasurer shall also mail notice of call
for redemption to the bank at which principal and interest are then
payable, but published notice shall be effective without mailing. The
prinbipal of and interest on said bonds shall be payable at the American
National Bank and Trust Company , in St. Paul ,
Minnesota, and the Village hereby agrees to pay the reasonable and
customary charges of said paying agent for the receipt and disbursement
thereof.
7. Said bonds and the coupons attached thereto shall be in
substantially the following form:
-4-
UNITED STATES OF AMERICA
STATE OF. MINNESOTA
COUNTY OF DAKOTA
VILLAGE OF MENDOTA HEIGHTS
TEMPORARY IMPROVEMENT BOND, SERIES 1971
No.
$5,000
KNOW ALL MEN BY THESE PRESENTS that the Village of Mendota
Heights, a duly organized and existing municipal corporation of the
County of Dakota, State of Minnesota, acknowledges itself to be in-
debted and for value received promises to pay to bearer the sum of
FIVE THOUSAND DOLLARS on the 1st day of November, 1974, or on a date
prior thereto on which this bond shall have been duly called for re-
demption, and to pay interest thereon at the basic rate of
per cent ( %) per annum from the
date hereof until said principal sum be paid or until this bond be
duly called for redemption �cxc�xxcxC3rxxxxxxxxxxxxxxxxx 9
said interest being payable on each May 1 and November 1, commencing
on May 1, 1972, interest to maturity being represented by and payable
in accordance with and upon presentation and surrender of the interest
coupons appurtenant hereto, which are in two sets, one representing
interest at said basic rate to maturity, and the other, designated as
"B" coupons, representing interest at said additional rate for the
limited period stated above. Both principal and interest are payable
at , in
Minnesota, in any coin or currency of the United States
of America which on the respective dates of payment is legal tender for
public and private debts. For the prompt and full payment of such prin-
cipal and interest as the same respectively become due the full faith,
credit and taxing powers of the Village are hereby irrevocably pledged.
This bond is one of an issue in the aggregate principal
amount of $340,000, all of like date and tenor except as to serial
number, all issued for the purpose of defraying expenses incurred and
to be incurred in constructing local improvements in said Village here-
tofore duly ordered and contracted to be made in accordance with the
provisions of Minnesota Statutes, Chapter 429, and is issued pursuant
to -and in full conformity with the Constitution and laws of the State
of Minnesota thereunto enabling, and pursuant to resolutions duly adopt-
ed by the Village Council. This bond.is payable primarily from the
Temporary Improvement Bond Fund of said Village, to which fund there
have been irrevocably appropriated the special assessments to be levied
in respect of the improvement financed by said issue, and into which
fund there are to be paid the proceeds of definitive improvement bonds
which the Village is required by law to issue at or prior to the matur-
ity of this bond for the purpose of refunding the same so far as the
collections of taxes and special assessments on hand in said fund are
not sufficient for the payment thereof.
—5—
All bonds of this issue are each subject to redemption and
prepayment at the'option of the Village on November 1, 1973 or May 1,
1974, at par and accrued interest, on notice of call for redemption
published not less than 30 days before the date specified for redemp-
tion in a financial newspaper published in a Minnesota,city of the
first 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 preliminary to and in the issuance of this bond in order to
make it a valid and binding general obligation of said Village accord-
ing to its terms have been done, do exist, have happened and have been
performed as so required; that ad valorem taxes, if needed for the
payment of principal and interest, may be levied upon all taxable
property -in the Village without limitation 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, Minnesota,
by its Village Council, has caused this bond to be executed in its be-
half by the signature of the Mayor,*attested by the signature of the
Clerk, and by affixation hereto of its official seal, and the interest
coupons appurtenant hereto and the certificate on the reverse side
hereof to be executed and authenticated by the facsimile signatures
of said officers, and has caused this bond to be dated November 1, 1971.
Attest:
Clerk Mayor
(SEAL)
(Form of Coupon)
No.
On the 1st day of May (November), 19
scribed below has been duly called for earlier
of Mendota Heights, Dakota County,.Minnesota,
E.
, unless the bond de -
redemption, the Village
will pay to bearer at
, in
Minnesota, the sum shown hereon in lawful money of the
United States of America for interest then due on its Temporary Improve-
ment Bond, Series 1971, dated November 1, 1971.
(Facsimile signature)
Clerk
(Facsimile signature)
Mayor
(Form of certificate to be printed on the back
of each bond following the approving legal opinion)
We certify that the above is a full, true and correct copy of
the legal opinion rendered by bond counsel on the issue of bonds of the
Village of Mendota Heights, Minnesota, which includes the within bond,
dated as of the date of delivery of and payment for the bonds.
(Facsimile signature) (Facsimile signature)
Clerk -6- Mayor
8. Said bonds shall be prepared for execution under the
direction of the Village Clerk and executed on behalf of the Village
by the signature of the Mayor, attested by the signature of the Vil-
lage Clerk, and by affixation of the corporate seal of the Village on
each bond, and the appurtenant interest coupons and the certificate
as to opinion of bond counsel on the back of each bond shall be exe-
cuted and authenticated by the printed, engraved or lithographed
facsimile signatures of said Mayor and Clerk. When the bonds have
been so executed and authenticated, they shall be delivered by the
Village Treasurer to the purchaser thereof upon payment of the pur-
_ chase price specified in the contract of sale, and the purchaser shall
not be obligated to see to the application of the purchase price.
9. Each and all of the terms and provisions of this resolu-
tion shall constitute a covenant and agreement on the part of the
Village with the holders from time to time of each bond issued here-
under. The Village Clerk is hereby authorized and directed forthwith
to file a certified copy of this resolution with the County Auditor
of Dakota County, and to'obtain from the County Auditor a certificate
that said bonds have been duly entered upon his register.
10. The officers of the Village and the County Auditor of
Dakota County are hereby authorized and directed to prepare and fur-
nish to the purchaser of the bonds issued hereunder, and to the attor-
neys approving the legality of the issuance thereof, a certified copy
of this resolution and of all other proceedings relating to said bonds,
together with such affidavits, certificates and information as may be
reasonably required to show the legality and marketability of said
bonds, as such information appears from the books and records in their
custody and control or as otherwise known to them, and all such certi-
fied copies, certificates and affidavits shall be deemed representations
of the Village as to the correctness of all statements contained therein.
The motion for the adoption of the foregoing resolution was
duly seconded by Member Bob Lockwood , and upon vote being taken
thereon, the following members voted in favor thereof: all yes
and the following voted against the same: none
whereupon said resolution was declared duly passed and adopted.
Member Bob Lockwood then introduced the following resolution
and moved its adoption:
-7-
r-