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HomeMy WebLinkAboutMinutes - 1976/02/12PROCEEDINGS OF THE CITY COUNCIL CITY OF MOUNDS VIEW RAMSEY COUNTY, MINNESOTA A special meeting of the Mounds View City Council was called to order by Mayor Johnson on February 12, 1976, at 8 :30 p.m. at the Mounds View City Hall, 2401 Highway 10, Mounds View, MN 55112, for the purpose of awarding the sale of $1,045,000 Advance Refunding Bonds. Also present: Admin. Achen Present: Mayor Johnson Fiscal Consultant, Councilman Baumgartner Seegar Swanson Councilman Pickar Councilman Shelquist Absent: Councilman Hodges Mayor Johnson asked Seegar Swanson to explain the results of the bid opening at 11 o'clock a.m. today. Mr. Swanson stated that the market conditions for the sale of Advance Refunding Bonds had deteriorated in the past week and that up until the last minutes, he was concerned the City would receive no bids on the bond sale. However, a bid was received from Piper, Jaffray Hopwood, Inc. in association with Allison Williams Co.; Dain, Kalman Quail, Inc.; and The First National Bank of St. Paul. Their bid conformed to the specifications of the sale and produced a net interest cost to the City of 5.7417 percent. This represents a savings to the City of over $55,000 on the existing bonds. Mr. Swanson also indicated that the call premium of approximately $13,000 that would have to be paid in 1991 would be covered by the escrow for the Advance Refunding Bonds, so this created additional savings for the City if it should desire to call those bonds in 1981 or thereafter. He recommended that Council accept the bid of Piper, Jaffray Hopwood, Inc. and award the sale of $1,045,000 General Obligation Refunding Bonds to this firm on March 1, 1976. MSP (Baumgartner- Pickar) to adopt Resolution x=714 "Authorizing, Selling and Establishing the Terms of $1,045,000 General Obligation Refunding Bonds, Creating a Sinking Fund Therefor, and Providing for their Payment 4 ayes Mayor Johnson asked Mr. Swanson whether securities had already been purchased for the 15% portion of the escrow on which the City was not restricted in terms of interest rate. Mr. Swanson said that that had beer done and that an interest rate of about 7.5% had been obtaineJ for the approximately $155,000 in escrow. Mayor Johnson asked that the records show that Mr. Richard Schonhardt, a citizen, was present at this meeting. Special meeting -2- February 12, 1976 MSP (Pickar- Baumgartner) to adjourn at 8:55 p.m. 4 ayes Respectfully submitted, eve.kaeAmi. Mark Achen Clerk- Administrator