City Council Resolution 1991-26Extract 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 Monitcello, Wright County, Minnesota, was held at the City Hall in the City on
Monday, July 22, 1991, commencing at 7:00 P.M.
The following members of the Council were present: Shirley Anderson, Dan Blonigen,
Brad Fyle, Clint Herbst and Mayor Ken Maus
and the following were absent: None
The following resolution was presented by Councilmember Anderson who
moved its adoption:
RESOLUTION NO. 91-26
RESOLUTION PROVIDING FOR THE ISSUANCE
AND SALE OF $ 515, 000 GENERAL OBLIGATION IMPROVEMENT
BONDS SERIES 1991A
BE IT RESOLVED By the City Council of the City of Monticello, Wright 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 (Act);
Project Designation be Description:
Sanitary Sewer
Water Main
Storm Sewer
Street
Total Project Costs
Costs of Issuance
Subtotal
No. 91-1
No. 91-3
Fallon Avenue
Cardinal Hills
$104,335
$ 53,039
69,700
36,375
—
23,546
—
62.375
$174,035
$175,335
3.990
4,020
$178,025 $179,355
Pius: Underwriter's Discount
Less: School District Prepayment (154,610)
Investment Earnings
Total Bond Issue
No. 91-2
Briar Oakes
$ 65,999
75,173
38,059
119.952
$299,183
6.855
$306,038
Total
$223,373
181,248
61,605
182.327
$648,553
14,865
$663,418
6,440
(154,610)
248
$515,000
(b) it is necessary and expedient to the sound financial management of the affairs
of the City to issue $ 515,000 General Obligation Improvement Bonds Series
1991A (Bonds) pursuant to the Act to provide financing for the Improvements.
2. To provide financing for the Improvements, the City will issue and sell Bonds in
the amount of $ 508,560. To provide in part the additional interest required to market the
Bonds at this time, additional Bonds will be issued in the amount of $6,440. The excess of
the purchase price of the Bonds over the sum of $508,560 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
$515,000
CITY OF MONTICELLO, MINNESOTA
GENERAL OBLIGATION IMPROVEMENT BONDS, SERIES 1991 A
Sealed bids for the Bonds will be received by the City Administrator or his designee on
Monday, August 26, 1991, until 12:00 Noon, 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 September 1, 1991, as the date of original issue, and will bear interest
payable on February 1 and August 1 of each year, commencing August 1, 1992. Interest will
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 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:
1993 $751000 1996 $75,000 1998 $70,000
1994 $75,000 1997 $75,000 1999 $70,000
1995 $75,000
OPTIONAL REDEMPTION
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. In addition the City will pledge
special assessments against benefitted property. The proceeds will be used to finance various
improvements within the City.
TYPE OF BID
Bids shall be for not less than $508,560 and accrued interest on 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 in the amount of $5,150, payable to the
order of the City. If a check is used, it must accompany each bid. 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 bids. The Financial Surety Bond must identify each
bidder whose Deposit is guaranteed by such Financial Surety Bond. If 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
Page 8
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 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 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 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 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 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 and the Official Bid Form or for any additional information
Page 9
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 an Official Bid Form 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 executing and delivering an Official Bid Form with
respect to the Bonds agrees thereby that if its bid 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 July 22, 1991
BY ORDER OF THE CITY COUNCIL
/s/ Rick Wolfsteller
Administrator
Page 10
3. The Administrator 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, August 26, 1991, 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 BloniFen , and upon vote being taken thereon the following members
voted in favor of the motion: Shirley Anderson, Dan Blonigen, Brad Fyle, Clint Herbst
and Mayor Ken A1aus
and the following voted against: None
whereupon the resolution was declared duly passed and adopted.
NOTICE OF BOND SALE
$515,000
GENERAL OBLIGATION IMPROVEMENT BONDS
SERIES 1991A
CITY OF MONTICELLO,
WRIGHT COUNTY, MINNESOTA
NOTICE IS HEREBY GIVEN that sealed bids for the purchase of the above bonds will
be received until 12:00, noon, C.T. on Monday, August 26, 1991, in the offices of Sprinted,
Incorporated, 85 Ea-st Seventh Place, St. Paul, Minnesota, 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
September 1, 1991, will bear interest payable semiannually on each February 1 and August 1,
commencing August 1, 1992, and will mature on February 1 in the years and amounts as
follows:
Year
Amount
Year
Amount
1993
$759000
1997
$759000
1994
75,000
1998
709000
1995
759000
1999
70,000
1996
75,000
Bidders must specify a price of not less than $508,560 plus accrued interest. A legal opinion
on the bonds will be furnished by Holmes be Graven, Chartered, Minneapolis, 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/ Rick Wolfsteller
City Administrator
Dated: July 2 2 , 19 91.
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, July 22, 1991, 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
$515, 000 General Obligation Improvement Bonds Series 1991A of the City.
WITNESS My hand as City Administrator and the corporate seal of the City this
22nd day of _ .TuiX , 1991.
CDfj Administrator
City of Monticello, Minnesota
(SEAL)
16655 West Bluemound Road
Suite 290
Brookfield, WI 53005-5935
(414) 782-8222
Fax: (414) 782-2904
2739 Second Avenue S.E.
Cedar Rapids, IA 52403-1434
(319) 363-2221
Fax: (319) 363-6999
July 25, 1991
SPRINGSTED
PUBLIC FINANCE ADVISORS
85 East Seventh Place
Suite 100
Saint Paul, MN 551 01-21 43
(612) 223-3000
Fax: (612) 223-3002
Mr. Rick Wolfsteller, Administrator
City of Monticello
250 East Broadway
Monticello, MN 55362
6800 College Boulevard
Suite 600
Overland Park, KS 6621 1-1 533
(913) 345-8062
Fax: (913) 345-1770
222 South Ninth Street
Suite 2825
Minneapolis, MN 55402-3368
(612) 333-9177
Fax: (612) 333-2363
RE: $515,000 General Obligation Improvement Bonds, Series
1991A
Dear Mr. Wolf steller :
Enclosed you will find a corrected resolution for the action
taken on July 22nd. The resolution previously sent to you
did not reflect the shortened maturity schedule and should
therefore be disregarded. Please sign and seal thelast page
of this resolution and retain for your record.
If you have any questions, please feel free to call me.
Sincerely,
Carol Kraus
Legal Liaison
Enclosure