HomeMy WebLinkAbout10-26-81 Special Mtg.
DAIN BOSWORTH 10.50% 1984
INCORPORATED 10.20% 1985
10.40% 1986
10.60% 1987
10.80% 1988
11. 00% 1989
11. 20% 1990
11. 40% 1991
11. 60% 1992
11. 80% 1993
BANCNORTHWEST 10.20% 1984
Cronin & Marcotte, 10.40% 1985
Inc. 10.60% 1986
Dougherty, Dawkins, 10.75% 1987
Strand & Yost, Inc. 10.90% 1988
Moore, Juran and 11. 00% 1989
-- Company, Inc. 11. 20% 1990
Northwestern 11.40% 1991
National Bank, 11.60% 1992
Hastings 11. 75% 1993
PIPER, JAFFRAY & 10.00% 1984
HOPWOOD, INC. 10.20% 1985
Allison-Williams 10.40% 1986
Company 10.60% 1987
10.80% 1988
11. 00% 1989
11.25% 1990
11.50% 1991
11. 75% 1992
12.00% 1993
II
I I
~
01
o
CD
CD
<t
I,
Hastings, Minnesota
October 26, 1981
77
The City Council of the City of Hastings, Minnesota met in
a special meeting on Monday, October 26, 1981 at 5:00 o'clock P.M. in
the Council Chambers of the City Hall.
(a.cting Mayor). .
Members present: Councilmen Kulzer, Trau~mann, P~ke, Karn~ck,
Trutna, Klimek and Bond.
Members absent:
Councilman Legler and Mayor Stoffel.
Pursuant to due call and notice thereof, a special meeting
of the City Council of the City of Hastings, Dakota and Washington
Counties, Minnesota, was duly held in the City on the 26th day of
October, 1981, at 5:00 P.M. for the purpose of opening and considering
bids for and awarding the sale of $720,000 General Obligation Improvement
Bonds of 1981, of the City.,.
The Clerk-Treasurer presented affidavits showing publication
of notice of call for bids on $720,000 General Obligation Improvement
Bonds of 1981 of the City, for which bids were tobe.recei:ved.,
at this meeting, in acco~dance with the resolution adopted by the City
Council on September 21, 1981. The affidavits were examined, found
to comply with the provisions of Minnesota Statutes, Chapter 475, and
were approved and ordered placed on file.
The Council proceeded to receive and open bids for the sale
of the bonds. The following bids were received:
BIDDER
THE FIRST NATIONAL
BANK OF SAINT PAUL
First National Bank
of Minneapolis
Robert W. Baird &
Company, Inc.
M.H. Novick &
Company, Inc.
First National Bank
of Hastings
NET INTEREST
COST & RATE
$560,905.55
(11. 2518%)
COUPONS
PRICE
$706,003.20
10.20%
10.25%
10.50%
10.75%
11. 00%
11. 20%
11. 40%
11.50%
1984-86
1987
1988
1989
1990
1991
1992
1993
$706,005.70
$572,724.30
(11. 4889%)
$706,000.00
$573,685.43
(11. 5082%)
$706,032.00
$576,062.17
(11. 5559%)
October 26, 1981
78 The Council then proceeded to consider and discuss the
bids, after which member Kulzer introduced the following resolution
and moved its adoption:
RESOLUTION ACCEPTING BID ON SALE OF
$720,000 GENERAL .OBLIGATION IMPROVEMENT BONDS OF 1981
PROVIDING FOR THEIR ISSUANCE AND LEVYING
A TAX FOR THE PAYMENT THEREOF
RESOLUTION #50-81
AWARD BIDS
FOR BOND SALE
BE IT RESOLVED by the Council of the City of Hastings,
Minnesota, as follows:
1. The bid of The First National Bank of St. Paul to U.
purchase $720,000 General Improvement Bonds of 1981 of the City,
in accordance with the notice of bond sale, at the rates of interest
hereinafter set forth, and to pay therefor the sum of $706,003.20
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 City Clerk is directed to retain the
deposit of said bidder and to forthwith return the good faith
checks or drafts to the unsuccessful bidders. The bonds shall be
payable as to principal and interest at The First National Bank
of Saint Paul, in St. Paul, Minnesota, or any successor paying
agent duly appointed by the City.
2. The $720,000 negotiable coupon general obligation
bonds of the City shall be dated December 1, 1981 and shall be issued
forthwith. The bonds shall be 144 in number and numbered from
1 to 144, both inclusive, in the denomination of $5,000 each. The
bonds shall mature serially, lowest numbers first, on February 1
in the years and amounts as follows:
$70,000 in the year 1984;
$60,000 in the year 1985;
$65,000 in each of the years 1986 and 1987;
$70,000 in each of the years 1988 and 1989;
$75,000 in the year 1990; 0
$80,000 in the year 1991;
$85,000 in the year 1992; and
$80,000 in the year 1993.
3. The bonds shall provide funds for the construction
of various improvements in the City. 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 herein authorized. Work on the
improvements shall proceed with due diligence to completion.
4. The bonds shall mature in the years and bear the
serial numbers set forth below, and shall bear interest payable
August 1, 1982 and semiannually thereafter on February 1 and
August 1 of each year at the respective rates per annum set
opposite the maturity years and serial numbers:
Maturity Years Serial Numbers Interest Rate
1984 1-14 10.20%
1985 15-26 10.20%
1986 27-39 10.20%
1987 40-52 10.25%
1988 53-66 10.50% U
1989 67-80 10.75%
1990 81-95 11. 00%
1991 96-111 11. 20%
1992 112-128 11.40%
1993 129-144 11. 50%
--
, I
~
OJ
o
(])
(])
<(
I'
I
--
October 26, 1981
5. All bonds of this issue maturing in the years 79
1991 to 1993, both inclusive (bonds numbered 96 to 144, both
inclusive), shall be subject to redemption and pre~ayment at the
option of the City on February 1, 1990 and on any lnterest payme~t
date thereafter at par and accrued interest. Redemption may be 7n
whole or in part of the bonds subject to prepayment. If redempt~on
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 paY7ng
agent. Published notice of redemption shall in each case be glven
in accordance with law, and mailed notice of redemption shall be
given to the bank where the bonds are payable.
6. The bonds and interest coupons to be issued
hereunder shall be in substantially the following form:
UNITED STATES OF AMERICA
STATE OF MINNESOTA
DAKOTA AND WASHINGTON COUNTIES
CITY OF HASTINGS
No.
$5,000
GENERAL OBLIGATION IMPROVEMENT
BOND OF 1981
KNOW ALL PERSONS BY THESE PRESENTS that the City of
Hastings, Dakota and Washington Counties, Minnesota, certifies that
it is indebted and for value received promises to pay to bearer the
principal sum of
FIVE THOUSAND DOLLARS
on the first day of February, 19__ and to pay interest thereon from
the date hereof until the principal is paid at the rate of
percent ( %) per annum, payable on the first day of
August, 1982 and semiannually thereafter on the first day of February
and the first day of August in each year, interest to maturity being
represented by and payable in accordance with and upon presentation
and surrender of the interest coupons hereto attached, CI.S the same
severally become due. Both principal and interest are payable at
, or any successor paying agent
duly appointed by the City, in any coin or currency of the United
States of America which at the tiD1e of pa}~ent is legal tender for
public and private debts.
All bonds of this issue maturin[ in the years 1991 to 1993,
both inclusive (bonds numbered 96 to 144, both inclusive), are subject
to redemption and prepayment at the option of the City on r>ebruary 1,
1990 and on any interest payment date thereafter a.t par and 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 sr..a1l be prepaid first
and if only pa.rt of the bonds ha.ving 2. common. maturity date are called
for pre:?ayment, the specific bonds to be prepaid s11.a11 be chcsen by
lot by the paying agent. Published. notice of redemption shall in each
case be given in accordance with law, and mailed notice of redemption
shall be given to the bank vlhere the bonds are lJayable.
This bond is one of an issue in the totaJ_ principal amount
of $720,000 all of like date and te~or, except as to serial nUDber,
maturity, interest rate and redemption privilege, which bond has been
issued pursuant to and in full conformity with the Constitution and
laws of the State of Minnesota for the purpose of providing uoney for
various im?rovements in the City and is payable out of the Improvement
Bonds Common Fund of the City. This bond constitutes a general
obligation of the City, and to provide moneys for the pro~pt and full
payment of the principal and interest when tbe same become due, the
full faith and credit and taxing powers of the City have been and are
hereby irrevocably pledged.
October 26, 1981
80
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 this bond, together with all other
debts of the City outstanding on the date hereof and the date of its
actual issuance and delivery does not exceed any constitutional or
statutory limitation of indebtedness.
IN WITNESS WHEREOF, the City of Hastings, Dakota and
Washington Counties, Minnesota, by its City Council has caused C
this bond to be executed in its behalf by the facsimile signatures ., '
of the Mayor and the City Clerk and the manual signature of one of
said officers, the corporate seal of the City having been
intentionally omitted as permitted by law and has caused the
interest coupons to be executed and authenticated by the facsimile
signatures of said officers, all as of December 1, 1981.
/s/ Facsimile
City Clerk
/s/ Facsimile
Mayor
(FORM OF COUPON)
No.
$
On the first day of August (February), 19 ,unless the
bond described below is called for earlier redemptio~ the City of
Hastings, Dakota and Washington Counties, Minnesota, will pay to
bearer at , or any
successor paying agent duly appointed by the City, the sum shown
hereon for interest then due on its General Obligation Improvement 0,
Bond of 1981, No. , dated December 1, 1981.
/s/ Facsimile
City Clerk
/s/ Facsimile
Mayor
7. 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, that one (or both) of the signatures and the
seal of the City may be printed facsimiles (if the bonds are also
signed manually by at least one such officer); and provided further
that the corporate seal may be omitted on the bonds as permitted by
law. The interest coupons pertaining thereto shall be executed
by the printed, engraved or lithographed facsimile signatures of the
Mayor and Clerk.
8. The bonds when so prepared and executed shall be
delivered by the Treasurer to the purchaser thereof upon receipt of
the purchase price, and the purchaser shall not be obliged to see
to the proper application thereof.
9. There has heretofore been created a special fund
designated "Improvement Bonds Connnon Fund" held and administered D
by the City Treasurer separate and apart from all other funds of
the City. The fund shall continue to be maintained in the manner
heretofore specified until all of the bonds heretofore, herein and .
hereafter authorized and made payable from the fund and the interest
thereon have been fully paid. There shall be created and maintained
in the fund a separate account to be designated the "1981 Improvement
Bonds Construction Account". The proceeds of the sale of the bonds
herein authorized, less any accrued interest received thereon, and
less any amount paid for the bonds in excess of $706,000, and less
capitalized interest in the amount of $31,071 (subject to such
adjustments as are appropriate to provide sufficient funds to pay
interest due on the bonds on or before February 1, 1983), plus any
special assessments levied with respect to improvements financed by
the bonds and collected prior to completion of the improvements
and payment of the cost thereof, shall be credited to the 1981
Improvement Bonds Construction Account, from which there shall be
I
I
'"
OJ
o
m
m
c::(
I'
I
,---
October 26, 1981
81
paid all costs and expenses of making the improvements listed in
paragraph 10, including the cost of any construction c~ntracts
heretofore let and all other costs incurred and to be 1ncurred of
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 bond proceeds may
also be used to the extent necessary to pay interest on the bonds
due prior to the anticipated date or commencement or 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 1981
Improvement Bonds Construction Account, the balance (other than any
special assessments) may be transferred by the Council to the
account of any other improvement instituted pursuant to Minnesota
Statutes, Chapter 429; and provided further that any special
assessments credited to the 1981 Improvement Bonds Construction
Account are hereby pledged and shall be used only to pay principal
and interest due on the bonds. There is hereby pledged and there
shall be credited to the Common Debt Service Account heretofore
created (a) all collections of special assessments herein covenanted
to be levied and either initially credited to the 1981 Improvement
Bonds Construction Account and required to pay any principal and
interest due on the bonds of 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 $706,000, (d) capitalized interest in the
amount of #31,071 (subject to such adjustments as are appropriate to
provide sufficient funds to pay interest due on the bonds on or
before February 1, 1983), (e) any collections of all taxes herein
or which may hereafter be levied for payment of the bonds; and
(f) all funds remaining in the 1981 Improvement Bonds Construction
Account after completion of the improvements and payment of the
costs thereof, not so transferred to the account of another improvement.
The Common Debt Service Act shall be used solely to pay principal
and interest and any premiums for redemption on the bonds issued
hereunder and any other general obligation bonds of the City heretofore
or hereafter issued by the City and made payable from said account
as provided by law. Any sums from time to time held in the Common
Debt Service Account (or any other City account which will be used
to pay principal or interest to become due on the bonds) in excess
of amounts which under the applicable federal arbitrage regulations
may be invested without regard as to yield shall not be invested at
a yield in excess of the applicable yield restrictions imposed by the
arbitrage regulations on such investments after taking into account
any applicable "temporary periods" made available under the federal
arbitrage regulations.
10. It is hereby determined that no less than 20% of
the cost to the City or 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 10tJpiece and parcel of land benefited by the improvements.
The City hereby covenants and agrees that it will let all construction
contracts not heretorore let within one year after ordering each
improvement financed hereunder unless the resolution ordering the
improvement specifies a different time limit for the letting of
construction contracts and 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 this Councilor 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 this 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. 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 the rate of at least
12.75% per annum:
October 26, 1981
82
Improvement
Designation
Pleasant Drive North
1981 Utilities and Streets
Amount
Levy Years
$294,916
$ 54,114
1982-1991
1982-1991
At the time the assessments are in fact levied the
City Council shall, based on the then current estimated collections
of the assessments, make any adjustments in any ad valorem taxes
required to be levied in order to assure that .the City continues
to be in compliance with Minnesota Statutes, Section 475.61,
Subdivision 1.
11. To provide moneys for payment of the principal
and interest on the bonds there is hereby levied upon all of the
taxable property in the City a 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:
Year of Tax Year of Tax
Levy Collection Amo~t
1981 1982 $62,347
1982 1983 64,374
1983 1984 61,954
1984 1985 65,228
1985 1986 62,717
1986 1987 65,421
1987 1988 62,154
1988 1989 63,952
1989 1990 64,990
1990 1991 65,282
1991 1992 54,307
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 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 (3).
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 Common Debt
Service Account is ever insufficient to pay all principal and
interest then due on the 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 Common Debt Service Account when
a sufficient balance is available therein.
12. The City Clerk is hereby directed to file a
certified copy of this resolution with the County Auditors of
Dakota and Washington Counties, Minnesota, together with such
other information as they shall require, and to obtain from the
Auditors their certificates that the bonds have been entered in
their Bond Registers and that the tax levy required by law has been
made.
13. The officers of the City are hereby authorized and
directed to prepare and furnish to the purchaser of the bonds, and
to the attorneys approving the legality of the issuance thereof,
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
n
o
u
I
ri
OJ
o
m
m
<t
I
r-
!
October 26, 1981
such certified copies, certificates and affidavits, including 83
any heretofore furnished, shall be deemed representations of the
City as to the facts recited therein.
The motion for the adoption of the foregoing
resolution was duly seconded by member Trautmann and upon vote
being taken thereon, the following voted in favor thereof: All
members present; and the following voted against the same: None.
Moved by Councilman Pike, seconded by Councilman Kulzer
to adjourn the meeting at 5:09 P.M. Ayes, 7; Nayes, none.
)
lv~~ ~~~
City Adm1n1strator
ATTEST!':
-May
Whereupon said resolution was declared duly passed
and adopted.