Res 69 - 226 Awarding Sale of $475,000 Temporary Trunk Sewer Improvement Bonds, Series CFollowing discussion of the bids, Member Mertensottw introduced the
following resolution and moved its adoption:
RESOLUTION NO. 226
RESOLUTION AWARDING SALE OF $475,000
TEMPORARY TRUNK SEWER IMPROVEMENT BONDS,
SERIES C
BE IT RESOLVED by the Village Council of the Village of Mendota Heights,
Minnesota, that the bid of The First National Bank of Minneapolis ,
Of Minneapolis f Minnesota , and associates named therein, to pur-
chase $475,000 Temporary Trunk Sewer Improvement Bonds, Series C, of the Village to
be dated May 1, 1969, and to be issued as specified in the notice of sale hereto-
fore 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 par and accrued interest plus a
premium of $ 0 , all bonds to bear interest at the basic rate of 4.6
per annum, and for the period from 7-25 , 19 69 , to 11-1 ,
1969 , only, at the additional rate of 1.5 % per annum. The Chairman and Clerk
are authorized and directed to endorse an acceptance on said bid and on a copy
thereof, 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 Lockwood , and upon 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.
adoption:
Member Mertensotto introduced the following resolution and moved its
RESOLUTION AUTHORIZING THE ISSUANCE AND
DELIVERY OF $475,000 TEMPORARY TRUNK SEWER
IMPROVEMENT BONDS, SERIES C
BE IT RESOLVED by the Village Council of the Village of Mendota Heights,
- Minnesota, as follows:
1. It is hereby found, determined and declared that the Village of
Mendota Heights has heretofore ordered, in accordance with the provisions of
Minnesota Statutes, Chapter 429, and after public hearing as required by law, the
construction of a local improvement designated as Improvement No. 4, Project No. 7,
150
and has awarded contracts for the construction of various stages thereof; that the
total cost of said improvement is estimated to be approximately equal to
$3,000,000, $2,200,000 of which has been borrowed, and it is necessary to borrow
$475,000 of said cost at this time; that the total benefits resulting from said
improvement to the properties within the area proposed to be assessed therefor, and
to the Village at large, will be substantially in excess of the total cost of said
improvement; that said sum of $475,000 may best be borrowed by the issuance of
general obligation temporary improvement bonds of the Village in accordance with
the provisions of Minnesota Statutes, Section 429.091, Subdivision 3, as amended;
and that this Council has awarded the sale of said bonds to The First National
Bank of Minneapolis , Minnesota, on the terms and conditions as more
fully stated in this resolution.
2. The separate fund for said improvement designated as the "Improvement
No. 4, Project No. 7 Fund," created by resolution adopted on December 5, 1967,
shall continue to be held and administered by the Village Treasurer separate and
apart from all other funds of the Village. Into said fund shall be paid the collec-
tions of all general ad valorem taxes and special assessments levied for said im-
provement. The proceeds of sale of $475,000 Temporary Trunk Sewer Improvement Bonds
herein authorized shall be paid into said fund and from ssid fund there shall be
paid costs and expenses of making said improvement as incurred and allowed, and pay-
ments of principal and interest on all temporary improvement bonds issued for the
purpose of financing said improvement. Said fund shall constitute a separate and
special debt redemption fund, and shall be continued and maintained in the manner
herein specified until all costs of constructing the improvement have been paid.
3. Upon completion and payment of all costs of making said improvement,
said improvement 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, authorizing issuance of $200,000 Temporary
Improvement Bonds of 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 collec-
tions of all general ad valorem taxes and special assessments previously required
to be paid into the discontinued fund shall be paid into said Temporary Improvement
Bond Fund, or, if any definitive improvement bonds have been issued on account of
said improvement, into a fund to be created for payment of such bonds.
4. It is hereby covenanted and agreed that the Village will not later
than October 1, 1969, do and perform all acts and things necessary for the final
_ and valid levy of special assessments upon the properties benefited by said improve-
ment, in a principal amount not less than 20% of the cost of the improvement. In
the event that any such assessment 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 Council or any of
the Village officers or employees in the making of the assessment or the perform-
ance 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.
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5. Not later than May 1, 1972, 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
Improvement 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 Trunk Sewer Improvement Bonds,
Series C, dated as of May 1, 1969, in the denomination of $5,000 each and in the
principal amount of $475,000, to be numbered from 1 to 95. Said bonds shall mature
on May 1, 1972, and shall bear interest at the basic rate of 4.6 %r annum from
date of issue until paid, and for the period from 7 -25 , 1969 , to
November 1 , 1969 , only, at the additional rate of 1.5 % per annum, all in-
terest to be payable on November 1, 1969, and semiannually thereafter on each May 1
and November 1. Each bond is subject to redemption and prepayment at the option of
the Village on May 1, 1971, or November 1, 1971, at a price of par and accrued in-
terest, on notice of call for redemption published not less than 30 days prior to
the date specified for redemption in a daily or weekly periodical published in a
Minnesota city of the first class or its metropolitan area which circulates through-
out 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 prin-
cipal and interest are then payable, but published notice shall be effective without
mailing. The principal of and interest on said bonds shall be payable at The
First National Bank of Minneapolis , in Minneapolis Minnesota, and the
Village hereby agrees to pay the reasonable and customary charges of said paying
agent for the receipt and disbu"rsement thereof.
7. Said bonds and the coupons attached thereto shall be in substantially
the following form:
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UNITED STATES OF AMERICA
STATE OF MINNESOTA
COUNTY OF DAKOTA
VILLAGE OF MENDOTA HEIGHTS
TEMPORARY TRUNK SEWER IMPROVEMENT BOND, SERIES C
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 indebted and for value received promises to
pay to bearer the sum of FIVE THOUSAND DOLLARS on the 1st day of May, 1972, or on a
date prior thereto on which this bond shall have been duly called for redemption,
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 and for the period from ,
19 , to , 19 , only, at the additional rate of % per
annum, said interest being payable on November 1, 1969, and semiannually thereafter
on each May 1 and November 1, 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 principal 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
$475,000, 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 a local
improvement in said Village heretofore 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 adopted 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
general ad valorem taxes and 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 maturity 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.
All bonds of this issue are each subject to redemption and prepayment at
the option of the Village on May 1 or November 1, 1971, at par and accrued interest,
on notice of call for redemption published not less than 30 days before the date
specified for redemption in a financial newspaper published in a Minnesota city of
the first class, or its metropolitan area.
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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 said Village according 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 pay-
ment 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 behalf 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 signa-
tures of said officers, and has caused this bond to be dated May 1, 1969.
Attest:
Clerk
(SEAL)
PkM
(Form of Coupon)
Mayor
On the 1st day of November (May), 19 , unless the bond described below
has been duly called for earlier redemption, the Village of Mendota Heights, Dakota
County, Minnesota, will pay to bearer at 51
in , Minnesota, the sum shown hereon in lawful money of the United
States of America for interest then due on its Temporary Trunk Sewer Improvement
Bond, Series C, dated May 1, 1969, No.
(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 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 Village 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 executed 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 purchase 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 resolution shall
constitute a covenant and agreement on the part of the Village with the holders
from time to time of each bond issued hereunder. 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 furnish to the purchaser
of the bonds issued hereunder, and to the attorneys 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 certified 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 Lockwood , and upon vote being taken thereon, the following
members voted in favor thereof:
and the following voted against the same:
whereupon said resolution was declared duly passed and adopted.
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The Mayor announced that this was the time and place for the receipt and
opening of sealed bids for the purchase of $160,000 Improvement Bonds of 1969 and
$475,000 Temporary Trunk Sewer Improvement Bonds, Series C, of the Village. The
Village Clerk furnished affidavits of publication of the notices of sale in the
West St. Paul Booster -Riverview News and in the Commercial West. Said affidavits
were approved and ordered filed in the office of the Village Clerk.
The Clerk then stated that 8 sealed bids had been received, which
were thereupon opened and read and found to be as follows:
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