2012-099 Council Resolution - Laserfiche WebLink

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• $1,595,000 Signal Improvement Portion • Description of Purpose PURPOSE: AUTHORITY: Proceeds of the Signal Improvement Portion plus a contribution from the Trunk Utility Fund in the amount of $32,000 will be used to finance the construction of traffic signals and related improvements to (i) the intersection of Main Street and Lake Drive and (ii) the intersection of Birch Street and Ware Road. The Signal Improvement Portion of the Bonds is being issued pursuant to Minnesota Statutes Chapter 475 and a referendum approved on November 2, 2010. SECURITY AND The Signal Improvement Portion will be a general obligation of the City for which the City SOURCE OF pledges its full faith and credit and power to levy general ad valorem taxes. The Signal PAYMENT: Improvement Portion will be repaid with ad valorem tax levies. The City will make their first levy for the Signal Improvement Portion in 2013 for collection in 2014. Interest due through and including February 1, 2014 will be paid with capitalized interest included in the par amount of the Signal Improvement Portion of the Bonds. Beginning with the August 1, 2014 interest payment, tax collections will be used to make the August 1 interest payment due in the collection year and the February 1 principal and interest payment due in the following year. STRUCTURING The Signal Improvement Portion of the Bonds has been structured over a term of eleven SUMMARY: years (10 years of principal) with level annual payments of principal and interest. $435,000 Refunding Portion Description of Purpose PURPOSE: AUTHORITY: Proceeds of the Refunding Portion are being used to refund the February 1, 2014 through 2019 maturities of the City's General Obligation Improvement and Refunding Bonds, Series 2003A (the "Series 2003A Bonds "). The aggregate principal amount of the maturities to be refunded is $425,000. The purpose of the refunding is to achieve interest cost savings. The Series 2003A Bond proceeds were used to (i) finance various street and utility improvement projects within the City and (ii) to refund the February 1, 2005 through 2007 maturities of the City's General Obligation Improvement Bonds, Series 1996A. The Refunding Portion of the Bonds is being issued pursuant to Minnesota Statutes, Chapters 429 and 475. SECURITY AND The Refunding Portion will be a general obligation of the City for which the City pledges its SOURCE OF full faith and credit and power to levy general ad valorem taxes. The Refunding Portion will PAYMENT: be repaid with assessments filed against benefited properties. The City does not expect to have to levy to pay any portion of the debt service on the Refunding Portion. Sprjngsted Page 3