03/23/1992 Council Minutes - Laserfiche WebLink

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1 1 1 created, and the proceeds of special assessments (Assessments) levied for improvements (Improvements) financed by the Refunded Bonds as hereinafter defined] are hereby pledged to the Debt Service Fund. (b) The debt service fund, if any, heretofore established for the Refunded Bonds as defined in the resolution providing for the issuance and sale of the Bonds, is terminated as of July 1, 1992, the maturity date of the Refunding Bonds, and any monies then remaining therein are to be transferred to the Debt Service Fund herein created. If any payment of principal or interest on the Bonds shall become due when there is not sufficient money in the Debt Service Fund to pay the same, the Clerk - Treasurer shall pay such principal or interest from the general fund of the City, and the general fund shall be reimbursed for such advances out of the proceeds of Assessments to be collected. (c) There is hereby appropriated to the Debt Service Fund any amount over the minimum purchase price of the Bonds paid by the Purchaser and all accrued interest paid by the Purchaser upon closing and delivery of the Bonds . 4.02. It is determined that at least 20$ of the cost of the Improvements has been specially assessed against benefitted property. For the purpose of paying the principal of and interest on the Bonds, there is hereby levied a direct annual irrepealable ad valorem tax upon all of the taxable property in the City, which shall be spread upon the tax rolls and collected with and as part of other general taxes of the City. Such tax shall be credited to the Debt Service Fund above provided and shall be in the years and amounts as follows (year stated being year of levy for collection the following year) : Year Levy (See Attachment A) ] 4.03. The Clerk - Treasurer is directed to file a certified copy of this resolution with the County Auditor and to obtain the certificate required by Section 475.63 of the Act. 4.04. It is hereby determined that upon the receipt of proceeds of the Bonds (Proceeds) for payment of the Refunded Bonds that an irrevocable appropriation to the debt service fund for the Refunded Bonds shall have been made within the meaning of Section 475.61, Subdivision 3 of the Act and the Clerk- Treasurer is hereby authorized and directed to certify such fact to and request the County Auditor to cancel any and all tax levies made by the resolution authorizing and approving the Refunded Bonds. 4.05. It is hereby determined that the estimated collection of the foregoing Taxes and Assessments 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 levy herein provided shall be irrepealable until all of the Bonds are paid, provided that the City Clerk- Treasurer may annually, at the time the City makes its tax levies, certify to the County Auditor the amount available in the Debt Service 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. It is expected that the City will annually deposit in the Debt Service Fund amounts from connection charges sufficient to cancel the levy for the following year. SNG31693 LM40 -23 201