City Council Resolution 2008-29RESOLUTION NO. 2009-29
A RESOLUTION PROVIDING FOR THE SALE OF GENERAL OBLIGATION SEWER
REVENUE REFUNDING BONDS, SERIES 2008A;
FIXING THEIR FORM AND SPECIY+'ICATIONS;
DIRECTING THEIR EXECUTION AND DELIVERY;
AND PROVIDING FOR THEIR PAYMENT
BE IT RESOLVED By the City Council of the City of Monticello, Wright County,
Minnesota (the "City') as follows:
1. It is hereby determined that:
(a) the City is authorized by Minnesota Statutes, Chapter 475, as
amended (the "Act) and Section 475.67, Subdivision 3 of the Act to issue and sell its
general obligation bonds io refund obligations and the interest thereon before the due date of
the obligations, if consistent with covenants made with the holders thereof, when
determined by the City Council to be necessary or desirable for the reduction of debt service
cost to the City or for the extension or adjustment of maturities in relation to the resources
available for their payment;
(b) Section 475.67, Subdivision 4 of the Act permits the sale of
refunding obligations during the six -month period prior to the date on which the obligations
to be refunded may be called for redemption;
(c) it is necessary and desirable to reduce debt service costs that the City
issue General Obligation Sewer Revenue Refunding Bonds, Series 2008A (the "Bonds") to
refund certain outstanding general obligations of the City,
(d) the outstanding bonds to be refunded (the "Refunded Bonds "} consist
of the $14,700,000 General Obligation Wastewater Treatment Note, Series 1997, dated
February 6, 1997, of which $9,168,564.14 in principal amount is currently outstanding and
is callable on May 1, 2009.
2. Ehlers & Associates, the City's financial advisor ( "Ehlers'), is authorized and
directed to structure the terms of the Bonds, provided that the final maturity shall be no later thati
August 1, 2018. Ehlers is further authorized to negotiate the sale of the Bonds. The City Council
authorizes the City Finance Director and the Mayor to consider proposals and take any other
appropriate action with respect to the Bonds, provided that the proposal of the selected purchaser
(the ' Turchaser") must (a) offer the lowest true interest cost, which shall in any event be no higher
than 3.40% per annum, and (b) produce debt service savings such that the present value of the debt
service on the Bonds (computed to their stated maturity dates) is lower by at least 2.50% than the
present value of the debt service on the Refunded Bonds, resulting in at least $300,000 of future
value debt service savings.
3. The City Council will meet on the first practicable date after acceptance by the City
Finance Director and the Mayor of a proposal from the Purchaser, to ratify such acceptance and take
any other appropriate action with respect to the Bonds.
The motion for the adoption of the foregoing resolution was duly seconded by Member
Brian Stumpf and upon vote being taken thereon, the following voted in favor
thereof Herbst, Mayer and Stumpf
and the following voted against the same: None
whereupon said resolution was declared duly passed and adopted.
STATE OF MINNESOTA )
COUNTY OF WRIGHT ) SS.
CITY OF MONTICELLO }
I, the undersigned, being the duly qualified and acting City Finance Director of the City of
Monticello, Wright County, Minnesota, do 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 March 10, 2008 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 General Obligation
Scwcr Revenue Refunding Bonds, Stvies 2008A of the City.
WITNESS My hand officially as such City Finance Director and the corporate seal of the
City this 7 k day of MW C4, , 2008.
City Finance Director
Monticello, Minnesota
(SEAL)—