HomeMy WebLinkAbout1989-033 Council ResolutionExtract of Minutes of Meeting
of the City Council of the City
of Lino Lakes, Anoka County, Minnesota
Pursuant to due call and notice thereof a regular meeting of the City
Council of the City of Lino Lakes, Anoka County, Minnesota, was held at the
City Hall in the City on Monday, May 8, 1989, commencing at 7:00 P.M.
The following members of the Council were present: Mayor Benson,
Members Bisel, Bohjanen, Neal, and Reinert
and the following were absent: None
***
The following written resolution was presented by Member Bisel
who moved its adoption the reading of which had been dispensed with by
unanimous consent:
RESOLUTION NO. 33-89
RESOLUTION PROVIDING FOR THE ISSUANCE
AND SALE OF $4,660,000 GENERAL OBLIGATION TEMPORARY
IMPROVEMENT BONDS, SERIES 1989A
BE IT RESOLVED By the City Council of the City of Lino Lakes,
Anoka County, Minnesota (City) as follows:
1. It is hereby determined that:
(a) the following assessable public improvements (the
Improvements) have been made, duly ordered or contracts
let for the construction thereof, by the City pursuant
to the provisions of Minnesota Statutes, Chapter 429
and the City's home rule charter (collectively referred
to as the Act):
Project Designation & Description:
Total Project Cost
1989 Improvement Projects Nos:
8976, 9196, 9013, 9185, 9401, 9191
Construction $4,120,767
Capitalized Interest 496,020
Subtotal $4,616,787
Discount 46,600
Reinvestment Earnings (3,387)
TOTAL $ 4,660,000
(b) it is necessary and expedient to the sound financial
management of the affairs of the City to issue
$4,660,000 General Obligation Temporary Improvement
Bonds, Series 1989A (Bonds) pursuant to the Act to
provide temporary financing for the Improvements.
2. To provide temporary financing for the Improvements, the
City will therefore issue and sell Bonds in the amount of $4,613,400.
To provide in part the additional interest required to market the
Bonds at this time, additional Bonds will be issued in the amount of
$46,600. The excess of the purchase price of the Bonds over the sum
of $4,613,400 will be credited to the debt service fund for the Bonds
for the purpose of paying interest first coming due on the additional
..- Bonds. The Bonds will be issued, sold and delivered in accordance
with the terms of the following Official Terms of Offering:
OFFICIAL TERMS OF OFFERING
$4,660,000
CITY OF LINO LAKES, MINNESOTA
GENERAL OBLIGATION TEMPORARY IMPROVEMENT BONDS, SERIES 1989A
Sealed bids for the Bonds will be opened by the City on Monday, June 12, 1989, at
11:00 A.M., Central Time, at the offices of SPRINGSTED Incorporated, 85 East Seventh Place,
Suite 100, Saint Paul, Minnesota 55101-2143. Consideration for award of the Bonds will be by
the City Council at 7:00 P.M., Central Time, of the same day.
DETAILS OF THE BONDS
The Bonds will be dated July 1, 1989, as the date of original issue, and will bear interest
payable on January 1 and July 1 of each year, commencing January 1, 1990. Interest will be
computed upon the basis of a 360 -day year of twelve 30 -day months and will be rounded
pursuant to rules of the MSRB. The Bonds will be issued in the denomination of $5,000 each,
or in integral multiples thereof, as requested by the Purchaser, and fully registered as to
principal and interest. Principal will be payable at the main corporate office of the Registrar and
interest on each Bond will be payable by check or draft of the Registrar mailed to the registered
holder thereof at his address as it appears on the books of the Registrar as of the 15th day of
the calendar month next preceding the interest payment.
The Bonds will mature July 1, 1992.
OPTIONAL REDEMPTION
The City may elect on July 1, 1991, and January 1, 1992, to prepay Bonds due on July 1,
1992. Redemption may be in whole or in part of the Bonds subject to prepayment. If
redemption is in part, the specific Bonds to be prepaid will be chosen by lot by the Registrar.
All prepayments shall be at a price of par and accrued interest.
SECURITY AND PURPOSE
The Bonds will be general obligations of the City for which the City will pledge its full faith and
credit and power to levy direct general ad valorem taxes. In addition the City will pledge
special assessments against benefited property. The proceeds will be used to finance various
improvement projects within the City.
TYPE OF BID
A sealed bid for not less than $4,613,400 and accrued interest on the total principal amount of
the Bonds shall be filed with the undersigned prior to the time set for the opening of bids. Also
prior to the time set for bid opening, a certified or cashier's check in the amount of $46,600,
payable to the order of the City, shall have been filed with the undersigned or SPRINGSTED
Incorporated, the City's Financial Advisor. No bid will be considered for which said check has
not been filed. The check of the Purchaser will be retained by the City as liquidated damages
in the event the Purchaser fails to comply with the accepted bid. The City will deposit the
check of the Purchaser, the amount of which will be deducted at settlement. No bid shall be
withdrawn after the time set for opening bids unless the meeting of the City scheduled for
consideration of the bids is adjourned, recessed, or continued to another date without award of
the Bonds having been made. Bidders shall specify a single rate from the date of the Bonds to
the date of maturity.
- i -
AWARD
The Bonds will be awarded to the Bidder offering the lowest dollar interest cost to be
determined by the deduction of the premium, if any, from, or the addition of any amount Tess
than par, to the total dollar interest on the Bonds from their date to their final scheduled
maturity. The City's computation of the total net dollar interest cost of each bid, in accordance
with customary practice, will be controlling.
The City will reserve the right to: (i) waive non -substantive informalities of any bid or of matters
relating to the receipt of bids and award of the Bonds, (ii) reject all bids without cause, and, (iii)
reject any bid which the City determines to have failed to comply with the terms herein.
REGISTRAR
The City will name the Registrar which shall be subject to applicable SEC regulations. The City
will pay for the services of the Registrar.
CUSIP NUMBERS
If the Bonds qualify for assignment of CUSIP numbers such numbers will be printed on the
Bonds, but neither the failure to print such numbers on any Bond nor any error with respect
thereto will constitute cause for failure or refusal by the Purchaser to accept delivery of the
Bonds. The CUSIP Service Bureau charge for the assignment of CUSIP identification numbers
shall be paid by the Purchaser.
SETTLEMENT
Within 40 days following the date of their award, the Bonds will be delivered without cost to the
Purchaser at a place mutually satisfactory to the City and the Purchaser. Delivery will be
subject to receipt by the Purchaser of an approving legal opinion of LeFevere, Lefler, Kennedy,
O'Brien & Drawz, a Professional Association of Minneapolis, Minnesota, which opinion will be
printed on the Bonds, and of customary closing papers, including a no -litigation certificate. On
the date of settlement payment for the Bonds shall be made in federal, or equivalent, funds
which shall be received at the offices of the City, or its designee, not later than 1:00 P.M.,
Central Time. Except as compliance with the terms of payment for the Bonds shall have been
made impossible by action of the City, or its agents, the Purchaser shall be liable to the City for
any Toss suffered by the City by reason of the Purchaser's non-compliance with said terms for
payment.
OFFICIAL STATEMENT
Underwriters may obtain a copy of the Official Statement by request to the City's Financial
Advisor prior to the bid opening. The Purchaser will be provided with 50 copies of the Official
Statement.
Dated May 8, 1989 BY ORDER OF THE CITY COUNCIL
/s/ Marilyn G. Anderson
Clerk -Treasurer
3. The Clerk -Treasurer is authorized and directed to advertise
the Bonds for sale in accordance with the foregoing Official Terms of
Offering and to publish the abbreviated notice of sale attached hereto
as Exhibit A in the manner required by law. The City Council will
meet at 7:00 p.m. on Monday, June 12, 1989, to consider bids on the
Bonds and take any other appropriate action with respect to the Bonds.
The motion for the adoption of the foregoing resolution was
duly seconded by Councilmember Reinert, and upon vote being taken
thereon the following members voted in favor of the motion: Mayor
Benson, Members Bisel, Bohjanen, Neal and Reinert
and the following voted against: None
whereupon the resolution was declared duly passed and adopted.
Exhibit A
NOTICE OF BOND SALE
$4,660,000
GENERAL OBLIGATION TEMPORARY IMPROVEMENT
• BONDS, SERIES 1989A
CITY OF LINO LAKES,
ANOKA COUNTY, MINNESOTA
NOTICE IS HEREBY GIVEN that sealed bids for the purchase of the
above bonds will be received until 11:00, a.m., C.T. on Monday, June
12, 1989, in the offices of Springsted, Incorporated, 85 East Seventh
Place, Suite 100, St. Paul, Minnesota 55101-2143, at which time the
bids will be opened and tabulated for consideration by the City
Council at a meeting at 7:00 p.m. on the same day. The bonds are
offered on the following terms. The bonds will be dated July 1, 1989,
will bear interest payable semiannually on each January 1 and July 1,
commencing January 1, 1990, and will mature on July 1, 1992.
The City may elect on July 1, 1991 or on any interest payment date
thereafter to redeem and prepay bonds of this issue in whole or in
part by lot at a price of par plus accrued interest to date of re-
demption.
Bidders must specify a price of not less than $4,613,400 plus accrued
interest. A legal opinion on the bonds will be furnished by LeFevere,
Lefler, Kennedy, O'Brien & Drawz, a Professional Association, Minne-
apolis, Minnesota. The proceeds of the bonds will be used to finance
a portion of the costs of various assessable public improvements in
the City.
Bidders should be aware that the Official Statement to be distributed
for the bonds may contain additional bidding terms and information
relative to the bonds. In the event of a variance between statements
in this Notice of Bond Sale and the Official Statement bidders must
comply with the terms of the latter.
BY ORDER OF THE CITY COUNCIL
/s/ Marilyn G. Anderson
City Clerk -Treasurer
Dated: May 8, 1989.
STATE OF MINNESOTA
COUNTY OF ANOKA
CITY OF LINO LAKES
I, the undersigned, being the duly qualified and acting
Clerk -Treasurer of the City of Lino Lakes, Minnesota, hereby certify
that I have carefully compared the attached and foregoing extract of
minutes of a regular meeting of the City Council of the City held on
Monday, May 8, 1989, with the original minutes on file in my office
and the extract is a full, true and correct copy of the minutes,
insofar as they relate to the issuance and sale of $4,660,000 General
Obligation Temporary Improvement Bonds, Series 1989A of the City.
WITNESS My hand as City Clerk -Treasurer and the corporate
seal of the City this i,' day of
(SEAL)
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L6: 05270589.RAU
, 1989.
fl ,� Clh }tip Liz ;ti
City Clerk -Treasurer
City of Lino Lakes, Minnesota