City Council Resolution 1992-33Extract of Minutes of Meeting
of the City Council of
the City of Monticello,
Wright County, Minnesota
Pursuant to due call and notice thereof a regular meeting of the City Council
of the City of Monticello, Wright County, Minnesota, was held at the City Hall in the
City on Monday, November 23, 1992, commencing at 7: 00 P . M.
The following members of the Council were present: Shirley Anderson, Brad
Fyle, Clint Herbst, Dan Blonigen and Mayor Ken Maus
and the following were absent: None
The following written resolution was presented by Councilmember
Anderson who moved its adoption the reading of which had been dispensed with
by unanimous consent:
RESOLUTION NO. 92-33
RESOLUTION PROVIDING FOR THE ISSUANCE AND
SALE OF $535,000 GENERAL OBLIGATION
REFUNDING BONDS, SERIES 1993A
BE IT RESOLVED by the City Council of the City of Monticello, Wright County,
Minnesota (City) as follows:
1. It is determined that:
BLP44875
MN190-39
(a) The City is authorized by the provisions of Minnesota Statutes, Chapter
475 (Act) and Section 475.67, Subdivisions 4 through 12 of the Act to
issue and sell its general obligation bonds to refund outstanding bonds
when determined by the City Council to be necessary and desirable for
the reduction of debt service or interest cost and the adjustment of
maturities of outstanding issues of bonds.
(b) It is necessary and desirable for the reduction of interest cost and the
adjustment of maturities of bonds that the City issue $535,000 General
Obligation Refunding Bonds, Series 1993A ( Bonds) to refund in
advance of maturity certain outstanding general obligations of the City
and to refund on a current basis certain outstanding general obligations
of the City.
(c) The outstanding bonds to be refunded consist of the City's General
Obligation Bonds, Series 1985A, and its General Obligation Improvement
Bonds, Series 1984 (together, the Refunded Bonds) . $475,000 of the
1985A Bonds and $40,000 of the 1984 Bonds are callable on February 1,
1993.
2. To provide moneys to refund the Refunded Bonds, the City will therefore
issue and sell Bonds in the amount of $529,650. To provide in part the additional
interest required to market the Bonds at this time, additional Bonds will be issued
in the amount of $5,350. The excess of the purchase price of the Bonds over the sum
of $529,650 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 Terms of
Proposal:
BLP44875
MN190-39
THE CITY HAS AUTHORIZED SPRINGSTED INCORPORATED TO NEGOTIATE THIS ISSUE
ON ITS BEHALF. PROPOSALS WILL BE RECEIVED ON THE FOLLOWING BASIS:
TERMS OF PROPOSAL
$535,000
CITY OF MONTICELL09 MINNESOTA
GENERAL OBLIGATION REFUNDING BONDS, SERIES 1993A
Proposals for the Bonds will be received by the City Administrator or his designee on Monday,
December 14, 1992, until 1:30 P.M., Central Time, at the offices of Springsted Incorporated, 85
East Seventh Place, Suite 100, Saint Paul, Minnesota, after which time they will be opened and
tabulated. 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 January 1, 1993, as the date of original issue, and will bear interest
payable on February 1 and August 1 of each year, commencing August 1, 1993. Interest will
be computed on the basis of a 360 -day year of twelve 30 -day months. 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 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 will mature February 1 in the years and amounts as follows:
1994 $150,000
1995 $150,000
OPTIONAL REDEMPTION
1996 $130,000
1997 $105,000
The Bonds will not be subject to payment in advance of their respective stated maturity dates.
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. The proceeds will be used to refund
the 1994 and 1995 maturities of the City's $170,000 General Obligation Improvement Bonds,
Series 1984, dated September 1, 1984 and the 1994 through 1997 maturities of the City's
$860,000 General Obligation Bonds, Series 1985A, dated February 1, 1985.
TYPE OF PROPOSALS
Proposals shall be for not less than $529,650 and accrued interest on the total principal
amount of the Bonds. Proposals shall be accompanied by a Good Faith Deposit ("Deposit") in
the form of a certified or cashier's check or a Financial Surety Bond in the amount of $5,350,
payable to the order of the City. If a check is used, it must accompany each proposal. If a
Financial Surety Bond 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 of the proposals. The Financial Surety Bond
must identify each underwriter whose Deposit is guaranteed by such Financial Surety Bond. If
the Bonds are awarded to an underwriter 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 received by
that time, the Financial Surety Bond may be drawn by the City to satisfy the Deposit
requirement. The City will deposit the check of the purchaser, the amount of which will be
deducted at settlement and no interest will accrue to the purchaser. In the event the purchaser
fails to comply with the accepted proposal, said amount will be retained by the City. No
proposal can be withdrawn or amended after the time set for receiving proposals unless the
meeting of the City scheduled for award of the Bonds is adjourned, recessed, or continued to
another date without award of the Bonds having been made. Rates shall be in integral
multiples of 5/100 or 1/8 of 1 %. Rates must be in ascending order. Bonds of the same
maturity shall bear a single rate from the date of the Bonds to the date of maturity. No
conditional proposals will be accepted.
AWARD
The Bonds will be awarded on the basis of 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 final scheduled maturity. The City's
computation of the total net dollar interest cost of each proposal, in accordance with customary
practice, will be controlling.
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 Holmes & Graven,
Chartered 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 12:00 Noon, 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 loss suffered by
the City by reason of the purchaser's non-compliance with said terms 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 Rule 15c2-12 of the Securities and Exchange Commission.
For copies of the Official Statement or for any additional information prior to sale, any
prospective purchaser is referred to the Financial Advisor to the City, Springsted Incorporated,
85 East Seventh Place, Suite 100, Saint Paul, Minnesota 55101, telephone (612) 223-3000.
The Official Statement, when further supplemented by an addendum or addenda specifying the
maturity dates, principal amounts and interest rates of the Bonds, together with any other
information required by law, shall constitute a "Final Official Statement' of the City with respect
to the Bonds, as that term is defined in Rule 15c2-12. By awarding the Bonds to any
underwriter or underwriting syndicate submitting a proposal therefor, the City 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 25 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 for
purposes of distributing copies of the Final Official Statement to each Participating Underwriter.
Any underwriter delivering a proposal with respect to the Bonds agrees thereby that if its
proposal is accepted by the City (i) it shall 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 November 23, 1992 BY ORDER OF THE CITY COUNCIL
/s/ Rick Wolfsteller
Administrator
3. Springsted Incorporated is authorized and directed to negotiate the
Bond in accordance with the foregoing Terms of Proposal. The City Council will meet
at 7: 00 p . m . on Monday, December 14, 1992, to consider bids on the Bonds and take
other appropriate action with respect to the Bonds.
The motion for the adoption of the foregoing resolution was duly
seconded by Councilmember Blonigen , and upon vote being taken thereon the
following members voted in favor of the motion: Shirley Anderson, Brad Fyle, Clint
Herbst, Dan Blonigen and Mayor Ken Maus
and the following voted against: None
whereupon the resolution was declared duly passed and adopted.
BLP44875
MN190-39
STATE OF MINNESOTA )
COUNTY OF WRIGHT )
CITY OF MONTICELLO )
I, the undersigned, being the duly qualified and acting
Administrator of the City of Monticello, 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, November 23, 1992, 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 $535,000 General
Obligation Refunding Bonds, Series 1993A of the City.
WITNESS My hand as
the City this �-2 - ay of November
(SEAL)
BLP44875
MR190-39
Administrator and the corporate seal of
, 1992.
Ad 'nistrator
City of Monticello, Minnesota
Mr. Rick Wolfsteller 1800K Street NW
Adminstrator/Finance Director Suite 831
Washington, DC 20006-2200
City of Monticello (202) 466-3344
P.O. BOX 1 147 Fax: (202) 223-1362
Moniticello, MN 55362
Re: $535,000 General Obligation Refunding Bonds, Series 1993A
City of Monticello, Minnesota
Dear Mr. Wolfsteller:
Enclosed please find a Resolution Providing for the Issuance and Sale for the above issue.
If you should have any questions regarding this, please do not hesitate to contact me.
Sincerely,
Carol L. Kraus
Legal Liaison
Enclosure
CLK/jez
SPRINGSTEIa
120 South Sixth Street
Suite 2507
PUBLIC FINANCE ADVISORS
Minneapolis, MN 55402-1800
(612) 333-9177
Fax: (612) 349-5230
Home Office
85 East Seventh Place
16655 West Bluemound Road
Suite 100
Suite 290
Saint Paul, MN 55101-2143
Brookfield, WI 53005-5935
(612) 223-3000
(414) 782-8222
Fax: (612) 223-3002
Fax: (414) 782-2904
6800 College Boulevard
Suite 600
November 24, 1992
Overland Park, KS 66211-1533
(913) 345-8062
Fax: (913) 345-1770
Mr. Rick Wolfsteller 1800K Street NW
Adminstrator/Finance Director Suite 831
Washington, DC 20006-2200
City of Monticello (202) 466-3344
P.O. BOX 1 147 Fax: (202) 223-1362
Moniticello, MN 55362
Re: $535,000 General Obligation Refunding Bonds, Series 1993A
City of Monticello, Minnesota
Dear Mr. Wolfsteller:
Enclosed please find a Resolution Providing for the Issuance and Sale for the above issue.
If you should have any questions regarding this, please do not hesitate to contact me.
Sincerely,
Carol L. Kraus
Legal Liaison
Enclosure
CLK/jez