HomeMy WebLinkAboutResolution 4064~ f
EXTRACT OF MINUTES OF A MEETING OF THE
CITY COUNCIL OF THE CITY OF
MOUNDS VIEW, MINNESOTA
Pursuant to due call and notice thereof, a regular or
special meeting of the City Council of the City of Mounds View,
Minnesota, was duly called and held at the Mounds View City Hall on
the 25th day of March, 1991, commencing at 7:00 P.M., C.T.
The following Counciimembers were present:
Councilmembers Quick, Wuori, 3lanchard and Rickaby and P~ayor
Linke
and the following were absent: None
Councilmember ,Qi,irk introduced the
following resolution and moved its adoption:
RESOLUTION NO. 4064
RESOLUTION PROVIDING FOR PUBLIC SALE
OF $2,875,000 GENERAL OBLIGATION
WATER REVENUE BONDS, SERIES 1991A
BE IT RESOLVED by the City Council of the City of Mounds
View, Minnesota, as follows:
1. It is hereby determined:
(a) That the City has duly ordered or will
order the making of, and has undertaken
or will undertake, the following public
improvements listed in the attached
Exhibit C (the "Improvements") to the
City's municipal water system, pursuant
to and in full conformity with Minnesota
Statutes, Section 444.075.
(b) That it is necessary and expedient to the
sound financial management of the affairs
of the City that the City issue its bonds
pursuant to Minnesota Statutes, Section
444.075 and Chapter 475, to provide
financing for the Improvements.
2. It is hereby found, determined and declared that the City
should issue $2,875,000 General Obligation Water Revenue Bonds,
Series 1991A (the "Bonds"), to finance the costs of the
Improvements, and $37,375 of such amount shall represent additional
bonds issued pursuant to Minnesota Statutes, Section 475.56, as
additional interest required to market the Bonds at this time.
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• 3. This Council shall meet at the time and place specified in
the attached notice of the sale of the Bonds for the purpose of
considering the bids for the purchase, and awarding the sale, of
the Bonds.
4. The City Clerk-Administrator is hereby authorized and
directed to cause the notice of the sale of the Bonds to be
published in the official newspaper of the City and in Northwestern
Financial Review (and/or such other financial publication as may be
recommended by the City's financial advisor for the Bonds,
Springsted Incorporated) not less than ten days in advance of date
of sale, as provided by law, which notice shall be in substantially
the form set forth in Exhibit A attached hereto.
5. The terms and conditions of the Bonds and the sale thereof
are fully set forth in the "Official Terms of Offering" attached
hereto as Exhibit B.
Adopted this 25th day of March, 1991, by the Mounds View City
Council.
The motion for the adoption of the foregoing resolution was
duly seconded by Councilmember l1 u n r i and upon a vote being
taken thereon, the following voted in favor thereof:
. and the following voted against the same:
Whereupon said resolution was declared duly passed and
adopted.
•
15140
• EXHIBIT A
NOTICE OF BOND SALE
$2,875,000
CITY OF MOUNDS VIEW
RAMSEY COUNTY
MINNESOTA
GENERAL OBLIGATION WATER REVENUE
BONDS, SERIES 1991A
Sealed bids for these Bonds will be received by the City Finance
Director or his designee at the offices of SPRINGSTED INCORPORATED,
85 East Seventh Place, Suite 100, Saint Paul, Minnesota 55101-2143,
on Monday, April 22, 1991, until 11:30 A.M., Central Time, after
which time they will be opened and tabulated. Consideration for
award of the Bonds by the City Council will occur at a meeting of
the Council beginning at 7:00 P.M., Central Time, on the same day.
The Bonds will have a date of original issue of May 1, 1991, and
interest will be payable February 1, 1992, and semiannually
thereafter. The Bonds will be general obligations of the City for
which its unlimited taxing powers will be pledged. The Bonds will
mature on February 1 in the amounts and years as follows:
• Years Amou
t Y A
t
s
n ears moun
s
1993 $ 35,000 2004 $135,000
1994 55,000 2005 145,000
1995 80,000 2006 155,000
1996 85,000 2007 165,000
1997 90,000 2008 175,000
1998 95,000 2009 190,000
1999 100,000 2010 205,000
2000 105,000 2011 215,000
2001 115,000 2012 230,000
2002 120,000 2013 250,000
2003 130,000
All Bonds maturing after February 1, 2000, are subject to prior
payment on said date and on any date thereafter at a price of par
and accrued interest. Sealed bids for not less than $2,837,625 and
accrued interest on the principal sum of $2,875,000 will be
accepted. An approving legal opinion will be furnished by Briggs
and Morgan, Professional Association, of St. Paul and Minneapolis,
Minnesota. The proceeds will be used to finance the costs of
public improvements to the City's municipal water system.
i 15140
Bidders should be aware that the Official Terms of Offering to be
published in the Official Statement for the Offering 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 said Official Terms of Offering the provisions of the
latter shall be those to be complied with.
Dated: March 25, 1991.
BY ORDER OF THE CITY COUNCIL
City Cler -Admini rator
Further information may be --
obtained.from the Issuer's
Financial Advisor,
SPRINGSTED INCORPORATED
85 East Seventh Place
Suite 100
St. Paul, Minnesota 55101
• (612) 223-3000
15140
EXHIBIT B
• OFFICIAL TERMS OF OFFERINC3
;2,875,000
CITY OF MOUNDS VIEW, MINNESOTA
GENERAL OBUGATtON WATER REVENUE BONDS, SERIES 1891A
Seated bids for the Bonds will be received by the City Finance Director or hts designee on
Monday, April 22, 1991, until 11;30 A,M., Central Time, at the offices of SPRlNC~STED
Incorporated, 85 East Seventh Place, Suite 100, Saint Paul, Minnesota, after which time they
wilt be opened and tabulated. Consideration for award of the Bonds wUl be by the City Council
at 7;00 P,M., Central Tima, of the same day.
DETAILS OF THE BONDS
The Bonds will be dated May 1, 1991, as the date of original issue, and wilt bear interest
payable on February 1 and August 1 of each year, commencing February 1, 1992. Interest wAl
be computed on the basis of a 360-day year of twelve 30-day months and will be rounded
pursuant to rules of the MSRB. The l3onds 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 ba payable at the main corporate office of the registrar and
interest on each Bond wi11 be payable by check or draft of the registrar mailed to the registered
holder thereof at the holder's address as it appears on the books of the registrar as of the
close of business on the 15th day of the immediately preceding month.
• The Bonds wi11 mature February 1 in the years and amounts as follows:
1993 $35,000 1999 $100,000 2004 $135,000 2009 $190,000
1994 $55,000 2000 $105,000 2005 $145,000 2010 $205,000
i 995 $50,000 2001 $115,000 2006 $i 55,000 2011 $215,000
1996 $85,000 2002 $120,000 2007 $165,000 2012 $230,000
1997 $90,000 2003 $130,000 2008 $175,000 2013 $250,000
1998 $95,000
OPTIONAL Rl»DEMPTION
The City may elect on February 1,2000, and on any day theraafter, to prepay Bonds due on or
after February 1, 2001. Redemption may be in whole or in part and if in part, at th® optbn of
the City and in such manner as the City shall determine and within a maturity by lot as selected
by the registrar. All prepayments shall ba at a price of par and accrued interest.
SECURITY AND PURPOSE
The Bonds will be genera! 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 net
revenues of the City's water utility. The proceeds will be used to finance the expansion and
improvement of the City's water system.
TYPE OF BID
Bids shall be for not Jess than $2,837,625 and accrued interest vn the total principal amount of
. the Bonds. Bids shall be accompanied by a Good Faith Deposit (Deposit") in the form of a
certified or cashier's check or a Financial Surety Bond to the amount of $28,750, payable to the
order of the City. ff a check fa used, k must accompany each bid, ff a Financial Surely Band is
. used, it must be from an insurance company licensed to issue such a bond in the State of
Minnesota, and preapproved by the City. Such bond must be submitted to Springsted
Incorporated prior to the opening o1 the bids. The Financial Surety Bond must Identify each
bidder whose Deposit is guaranteed by such Financial Surety Bond. n the Bonds are awarded
to a bidder using a Financial Surety Bond, then that purchaser is required to submit Its Deposit
to Springsted incorporated in the form of a certified or cashier's check or wire transfer as
instructed by Springsted Incorporated not later than 3:30 P.M., Central Time, on the next
business day following the award. If such Deposit is not recehred by that time, the Financial
Surety Bond may be drawn by the City to satisfy the Deposit requirement. The City wiN deposit
the check of the purchaser, the amount of which will be deducted at settlement and no interest
wi11 accrue to file purchaser. to the event the purchaser falls to comply with the accepted bid,
said amount will be retained by the City. No bid can be withdrawn after the time set for
receiving bids unless the meeting of the City scheduled for award of the Bonds Is adjourned,
recessed, or continued to another dais without award of the Bonds having been made. Rates
shall be in Integral multiples of 5/100 or 1/S of 19b. There is no limit on the interest rate spread
if bid in ascending order; however, no rate for any maturity shall be more than 1.096 lower than
any prior rate. Bonds of the same maturity shall bear a single rate from the date of the Bonds
to the date of maturity. No conditional bid will be accepted.
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 less
than par, to the total dollar interest on the Bonds from their date to their frnal scheduled
maturity. The City's computation of the Iota( net dollar interest cost of each bid, in accordance
with customary practice, will be controlling.
T'he 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, (it) reject ail bids without Cause, and,
(iii) reject any bid which the City determines to have felled to comply with the terms herein.
BOND INSURANCE AT PURCHASER'S OPTION
ff the Bonds qualify for issuance of any policy of municipal bond insurance or commitment
therefor at the option of the bidder, thv purchase of any such insurance policy or the issuance
of any such commitment shall be at the sole option and expanse of the purchaser of the
Bonds. Any increased costa of issuance of the Bonds resulting from such purchase of
insurance shall be paid by the purchaser, axcopt that, if ihs City has requested and received a
rating on the Bonds from a rating agency, the City will pay that rating fee. Any other rating
agency fees shall be the responsibility of the purchaser.
Failure of the municipal bond insurer to issue the policy after Bonds have bean awarded b the
purchaser shall not consti#ute cause for failure or refusal by the purchaser to accept delivery on
thta Bonds.
REGISTRAR
The City will name the registrar which shah be subject to applicabie SEC requlaUons. The City
will pay for the services of the registrar,
CUSIP NUMBERS
if the Bonds quality 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 assl9nment of CUSIP Identification numb®ro
shall be paid by the purchaser.
SETTLEMENT
Within 40 days following the date of their award, the Bonds will Lie dedvered without cost to th®
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 opinton of Briggs and Morgan,
Professlonat Association, of Saint Paul and Minneapolis, Minnesota, whioh opinion will be
printed on the Bonds, and of customary closing papers, including a no-tittgation certtflcato. 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 Clty or its designee not later than 12;00 Noon,
Central Time. F~ccept as compliance with the terms of payment for the Bonds shalt have been
made impossible by action of the City, or its agents, the purchaser shall be Liable to the City for
any loss suffer®d by the City by reason of the purchaser's non-compliance with said farms for
payment.
OFFICIAL STATEMENT
The City has authorized the preparation of an Official Statement containing pertinent
information relative to the Bonds, and said Official Statement will serve as a nearly-final Official
Statement within the meaning of Ruie 15c2-12 of the Securities and Exc~anga Commission.
For copies of the Official Statement and the Official Bid Form or for any additional Information
prior to sale, any prospective purchaser Is referred !o the Financial Advisor to the City,
Springsted Incorporated, 85 East Seventh Place, Suite 100, Saint Paul, Minn®sota 55101,
• telephone (fii 2) 223-3000.
The Official Statement, when further supplemented by an addendum or addenda spediying the
maturity dates, principal amounts and interest rates of the Bonds, together with any other
information required by law, shall constitute a "Final Offlcial Statement" of the City with respect
to the Bonds, as that term is defined in Rule 1.5c2-12. gY awarding the Bonds to any
underwriter or undervvriting syndicate submitting an Offidai Bid Form therefor, the Clty agrees
that, no more than seven business days after the date of such award, it shall provide without
cost to the senior managing underwriter of the syndicate to which the Bonds are awarded 115
copies of the Official Statement and the addendum or addenda described above. The City
designates the senior managing underwriter of the syndicate to which the Bonds are awarded
as its agent fvr purposes of distributing copies of the Final Official Statement to each
Participating Underwriter. Any underwriter executing and delivering an Otfidai Bid Form with
respect to the Bonds agrees thereby that if its bid is accepted by the. City (n it shalt accept such
designation and (ii) it shall enter into a contractual relationship with all Participating
Underwriters of the bonds for purposes of assuring the receipt by each such Participating
Underwriter of the Final Official Statement.
Dated March 25,1991
BY ORDER OF THE CRY COUNCIL.
/s/ Samantha Orduno
Clerk/Administrator
-ui-
~!
1- ~ ~ ~
EXHIBIT C
Project
Number Froiect
91-4 Long Lake Road - TH 10 Crossing $ 69,000
91.2 Bronson Water Main 51,755?
91-2 HilMiew/Oakwood Loop 41,900
91-3 City Hail Sewer Service 17,250
90-3 Treatment Plant #1 1,414,000
91-5 Treatment Plants #2 ~ 3 500,000
90-10 Generator at Booster Station 80,E
91-8 Well #4 Rehabilitation 161,000
91-6 Well #4 Transmission Line 143,750
90-1 Tower #2 DemolitioNPainting 345.000
Subtotal $2,823,650
Add: Costs of Issuance 25,000
Underwriter's Discount 37,375
Less: Investment Earnings 11 025
Net Bond Issue $2,875,000