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HomeMy WebLinkAbout7391 - ADMIN Resolution - City Council - 1983/04/041 RESOLUTION NO. 7391 RESOLUTION AWARDING THE SALE OF $5,500,000 GENERAL OBLIGATION IMPROVEMENT BONDS OF 1983; FIXING THEIR FORM AND SPECIFICATIONS: DIRECTING THEIR EXECUTION AND DELIVERY: AND PROVIDING FOR THEIR PAYMENT. WHEREAS, aJthority for the issuance of bonds is set forth in Section 6.15 of the Home Rule Charter of the City when approved by a Resolution adopted by 6 members of this Council, and WHEREAS, on April 4, 1983, this Council adopted Resolution 7361 by vote of seven members proposing to issue $5,500,000 General Obligation Improvement Bonds of 1983, and NOW, THEREFORE, BE 1T RESOLVED By the City Council of the City of St. Louis Park, Minnesota, as follows: 1. The bid of Norwest Securities, Merrill Lynch White Weld Capital Market Group, Prudential-Bache Securities, Inc., Dain Bosworth, Inc. to purchase $5,500,000 General Obligation Improvement Bonds of 1983, of the City described in the notice of sale thereof is hereby found and determined to be the highest and best bid received pursuant to duly advertised notice of sale and shall be and is hereby accepted, such bid being to purchase such bonds at a price of $5,431,522.25 plus accrued interest to date of delivery, such bonds to bear interest as follows: 1984, 6.50% 1985, 6.50% 1986, 7.00% 1987, 7.00% 1988, 7.00% 1989, 7.00% 1990, 7.40% 1991, 7.70% 1992, 8.00% 1993, 8.00% 1994, 8.10% 1995, 8.25% 1996, 8.40% 1997, 8.50% 1998, 8.50% The sum of $272.25, being the amount bid in excess of $5,431,250, shall be credited to the bond sinking fund hereinafter created. The Finance Director is directed to retain the good faith check of the successful bidder pending completion of the sale and delivery of the bonds. The Finance Director is directed to return the checks of the unsuccessful bidders forthwith. 2. The City of St. Louis Park shall forthwith issue and sell its General Obligation Improvement Bonds of 1983 (the "Bonds") in the principal amount of $5,500,000, dated June 1, 1983, the Bonds being 1100 in number and numbered 1 to 1100, both inclusive, in the denomination of $5,000 each, bearing interest as above set forth, all interest payable June 1, 1984, and semiannually thereafter on December 1 and June 1 in each year, and which Bonds mature serially on June 1 in the years and amounts as follows: YEAR AMOUNT YEAR AMOUNT 1984 $275,000 1992 $400,000 1985 275,000 1993 400,000 1986 275,000 1994 400,000 1987 350,000 1995 400,000 1988 350,000 1996 425,000 1989 350,000 1997 425,000 1990 350,000 1998 425,000 1991 400,000 The Bonds maturing after June 1, 1995 are subject to redemption in inverse order of serial numbers on said date and on any interest payment date thereafter at a price of par plus accrued interest. 3. Both principal of and interest on the Bonds shall be payable at Norwest Bank, Minneapolis, Minnesota, N.A., and the City of St. Louis Park shall pay the reasonable charges of said bank for its services as paying agent. 4. The Bonds and the interest coupons to be thereto attached shall be in substantially the following form: No. $5,000 UNITED STATES OF AMERICA STATE OF MINNESOTA COUNTY OF HENNEPIN CITY OF ST. LOUIS PARK GENERAL OBLIGATION IMPROVEMENT BOND OF 1983 KNOW ALL MEN BY THESE PRESENTS that the City of St. Louis Park, Hennepin County, Minnesota, acknowledges itself to be indebted and, for value received, hereby promises to pay to bearer out of its General Obligation Improvement Bonds of 1983 Fund, the sum of FIVE THOUSAND DOLLARS on the 1st day of June, 19_, and to pay interest thereon from the date hereof until the principal amount is paid at the rate of percent ( %) per annum, interest to maturity payable June 1, 1984, and semiannually thereafter on the 1st day of December and the 1st day of June in each year in accordance with and upon presentation and surrender of the interest coupons hereto attached as they severally become due. Both principal of and interest on this bond are payable at the Norwest Bank, Minneapolis, Minnesota, N.A., in any coin or currency of the United States of America which on the date of payment is legal tender for public and private debts. r f All bonds of this issue maturing after June 1, 1995, are subject to redemption at the option of the City in inverse order of serial numbers on said date and any interest payment date thereafter, at a price of par and accrued interest. This bond is one of an issue of bonds in the total principal amount of $5,500,000, all of like date and tenor except as to maturity, interest rate, redemption privilege and serial number, all issued by the City for the purpose of providing money to defray the expenses incurred and to be incurred in making local improvements, pursuant to and in full conformity with the Constitution and Laws of the State of Minnesota, including Minnesota Statutes, Chapter 429, and Section 6.15 of the Home Rule Charter of the City, and is payable primarily from special assessments against property specially benefited thereby, but constitutes a general obligation of the City and, to provide moneys for the prompt and full payment of said principal and interest as the same become due, the full faith and credit of the City is hereby irrevocably pledged, and the City Council will levy ad valorem taxes, if required for such purpose, which taxes may be levied on all of the taxable property in the City without limitation as to rate or amount. IT IS HEREBY CERTIFIED AND RECITED that all acts, conditions and things required by the Constitution and laws of the State of Minnesota and the Home Rule Charter of the City 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 indebtedness of the City outstanding on the date hereof and on the date of its actual issuance and delivery does not exceed any constitutional or statutory limitation thereon. IN WITNESS WHEREOF, the City of St. Louis Park, Hennepin County, Minnesota, by its City Council has caused this bond to be executed by the facsimile signature of the Mayor and the manual signature of the City Manager and sealed with a facsimile of the corporate seal of the City, and the interest coupons hereto attached to be executed and authenticated by the facsimile signatures of said officers, all as of June 1, 1983. (Facsimile) Mayor City Manager (facsimile seal) (Form of Coupon) No. $ On the 1st day of June (December) 19_, the City of St. Louis Park, Hennepin County, Minnesota, will pay to bearer, out of its General Obligation Improvement Bonds -3- of 1983 Fund at the Norwest Bank, Minneapolis, Minnesota, N.A., the amount shown hereon for interest then due on its General Obligation Improvement Bond of 1983, dated June 1, 1983, No. (Facsimile) Mayor (Facsimile) City Manager 5. The City Clerk shall obtain a copy of the proposed approving legal opinion of Messrs. Wurst, Pearson, Hamilton, Larson & Underwood, of Minneapolis, Minnesota, which shall be complete except as to dating thereof and shall cause said opinion to be printed on each Bond, together with a certificate to be signed by the facsimile signature of the City Clerk in substantially the following form: I hereby certify that the foregoing is a full, true and correct copy of the legal opinion executed by the above named attorneys, except as to the dating thereof, which opinion has been handed to me for filing in my office prior to the time of bond delivery. (facsimile signature) City Clerk City of St. Louis Park, Minnesota The City Clerk is hereby authorized and directed to execute such certificate in the name of the City upon receipt of such opinion and to file the opinion in the City offices. 6. The Bonds shall be executed on behalf of the City by the facsimile signature of the Mayor and the manual signature of the City Manager, and the interest coupons shall be executed and authenticated by the printed facsimile signatures of the said officers, and the facsimile of the corporate seal of the City may, but need not be, printed thereon. -4- r IP 1 The Bonds when fully executed, shall be delivered by the City to the purchaser thereof upon receipt of the purchase price, and the said purchaser shall not be obligated to see to the proper application thereof. 7. The Bonds shall be payable from the General Obligation Improvement Bonds of 1983 Fund hereby created, and the proceeds of any ad valorem taxes hereafter levied and special assessments to be levied for the improvements (the "Improvements") financed by the Bonds are hereby pledged to said fund. If any payment of principal or interest on the Bonds shall become due when there is not sufficient money in said fund to pay the same, the City shall pay such principal or interest from the general fund of the City and such fund may be reimbursed for such advances out of proceeds of assessments for the Improvements when collected. The City does hereby pledge the full faith and credit and taxing power of the City for the payment of the principal and interest on these bonds, and does further agree to all the provisions of Minnesota Statutes, Section 429.091 and Section 6.15 of the Home Rule Charter under which authority and pursuant to which provisions these bonds are being issued. 8. It is hereby determined that the City will levy special assessments for the Improvements in the principal amount of at least 20% of the cost of the Improvements. To pay the City's share of the cost of the Improvements, there is hereby levied a direct annual irrepealable ad valorem tax levy against all taxable properties in said City, which tax levies shall be in the years and amounts as follows: (year stated being year of levy for collection the following year.) YEAR LEVY YEAR LEVY 1983 $266,757 1991 $165,945 1984 195,387 1992 157,539 1985 189,082 1993 149,133 1986 207,977 1994 140,726 1987 199,570 1995 157,520 1988 191,164 1996 147,013 1989 182,758 1997 136,504 1990 174,351 It is hereby determined that the estimated collection of special assessments for the payment of the Bonds and the foregoing ad valorem tax levies, 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 City Clerk is directed to file a certified copy of this resolution with the County Auditor of Hennepin County, and obtain the certificate required by Minnesota Statutes, Section 475.63. 9. It is hereby determined that the Improvements to be financed by the Bonds will directly and indirectly benefit the abutting property, and the City hereby covenants with the holders from time to time of the Bond as follows: (a) The City will cause the assessments for the Improvements to be promptly levied so that the first installment will be collectible not later than 1984 and will take all steps necessary to assure prompt collection. The City Council shall cause all further actions and proceedings relative to the making and financing of the Improvements financed hereby to be taken with due diligence that are required for the construction of each Improvement financed wholly or partly from the proceeds of obli- gations issued hereunder, and for the final and valid levy of special assessments and the appropriation of any other funds needed to pay the obligations and interest thereon when due. (b) In the event of any current or anticipated deficiency in said grants, pledged funds, investment income or special assessments, the City Council will levy ad valorem taxes in the amount of said current or anticipated deficiency. (c) The City will keep complete and accurate books and records showing all receipts and disbursements in connection with the improve- ments, the grants and pledged funds and any taxes levied and the assess- ments levied therefor and other funds appropriated for their payment, and all collections thereof and disbursements therefrom, moneys on hand and balance of unpaid assessments. (d) The City will cause its books and records to be audited at least annually by qualified public accountants and will furnish copies of such audit reports to any interested person upon request. 10. The tax levy herein provided shall be irrepealable until all of the Bonds are paid, provided that the City Clerk may annually, prior to October 10th, certify to the County Auditor the amount available in the sinking fund to pay principal and interest due during the ensuing year, and the County Auditor shall thereupon reduce the levy collectible during such year by the amount so certified. 11. 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 same, certified copies of proceedings and records of the City relating to the Bonds and to the financial