06/12/1989 Council Minutes (2) - Laserfiche WebLink

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COUNCIL MEETING JUNE 12, 1989 CONSIDERATION OF SALE OF $4,660,000 GENERAL OBLIGATION TEMPORARY IMPROVEMENT BONDS, SERIES 1989A - RESOLUTION NO. 40 - 89 Mr. Ron Langness, representing Springsted, Inc. presented the results of the sale of the temporary obligation bonds held earlier today. He noted that he was very pleased with the results of the sale and explained that interest rates were lower than he had anticipated. He noted the reasons for the lower rate was that the issue was a short term temporary issue, the market is currently aggressive and the volume of the bonds was sizeable. Mr. Langness noted that the bond rating for this City was reduced from BAA1 to BAA, however the bond sale did not suffer because of this change. The reason for the change in bond rating is that this issue will double the amount of this City's debt and because the rating service does not like to see this much in temporary bonds. Mr. Langness did not expect the bond rating to go any lower and did not expect that it would affect the City in the future. Mr. Langness noted that there were bidders for the bonds and he recommended the low bid from First Bank National Association Norwest Investment Services, Inc. at a net interest rate of 6.3900%. Mr. Bisel noted that this will be a break for the people who are getting services with the purchase of these bonds and moved to award the bid for the sale of General Obligation Temporary Improvement Bonds, Series 1989A to First Bank National Association Norwest Investment Services, Inc. at a net rate of 6.3900% and to approve Resolution No. 40 - 89 awarding the sale of bonds. Mr. Neal seconded the motion. Motion carried unanimously. PUBLIC HEARING - REZONE RICE CREEK CHAIN OF LAKES REGIONAL PARK Mr. Miller explained that this property has never had a zoning and to allow the City to review any development of the property, proper zoning should be applied. The matter came to the forefront when a building was discovered in the park in Chomonix Golf Course, erected without a building permit and in violation of some building codes. Glen Bowen, 6873 Black Duck Drive said he thought that the manner of notification of residents was very inadequate. A notice appeared in the paper once and he asked what affect the PSP zoning will have in the future. Mr. Miller explained that this would be a public /semi - public area, it is a passive park and will remain a natural area. The only addition that he is aware of is the installation of more trails. This is basically a housekeeping issue and assures the Council and