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City Council Resolution 1990-20E~ctract 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, May 14, 1990, commencing at ?:00 P. M. The following members of the Council were present: Maus, Anderson, Blonigen, Fair, Smith and the following were absent: None The following resolution was presented by Councilmember Anderson who moved its adoption: RESOLUTION NO. 90-20 RESOLUTION PROVIDING FOR THE ISSUANCE AND SALE OF =730,000 GENERAL OBLIGATION IMPROVEMENT BONDS, SERIES 1990B 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 ~ Description: Sanitary Sewer Water Streets Storm Sewer Subtotal Less Funds Available Net Required Principal Outstanding 1983 Improvement Bonds Additional Issuance Costs Allowance for Discount Total Project Cost $ 38,000 30,000 49,400 13.000 $130,400 (35.0001 $ 95,400 620,000 5,475 9.125 Total Bond Issue $730,000 Resolution 90-20 (b) it is necessary and expedient to the sound financial management of the affairs of the City to issue ;?30,000 General Obligation Improvement Bonds, Series 19908 (Bonds) pursuant to the Act to provide tinancing for the Improvements. 2. To provide financing for the Improvements, the City will issue and sell Bonds in the amount of ;720,875. To provide in part the additional interest required to market the Bonds at this time, additional Bonds will be issued in the amount of ;9,125. The excess of the purchase price of the Bonds over the sum of ;720,875 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: Resolution 90-20 OFFICIAL TERMS OF OFFERING 1730,000 CITY OF MONTICELLO, MINNESOTA GENERAL OBLIGATION IMPROVEMENT BONDS, SERIES 10908 Sealed bids for the Bonds will be received by the City Administrator or his designee on Monday, June 11, 1990, until 1:00 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 July 1, 1990, as the date of original issue, and wilt bear interest payable on February 1 and August 1 of each year, commencing February 1, 1991. 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: 1991 $55,000 1995 $60,000 1999 $75,000 1992 $55,000 1996 $65,000 2000 $80,000 1993 $55,000 1997 $70,000 2001 $80,000 1994 $60,000 1998 $75,000 OPTIONAL REDEMPTION The City may elect on February 1, 1996, and on any day thereafter, to prepay Bonds due on or after February 1, 1997. Redemption may be in whole or in part and if in part, in inverse order of maturity and within a maturity by lot as selected by the registrar. All prepaymerrts shall be at a price of par and accxued interest. 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 specie! assessments against benefited property. The proceeds will be used to finance the construction of improvements in the City and to refund all outstanding maturities of the City's $1,150,000 General Obligation Improvement Bonds of 1983, dated June 1, 1983. TYPE OF BID Bids shall be for not less than $720,875 and accxued interest on the total prinapal amount of the Bonds, and shall be accompanied by a certified or cashier's check in the amount of $7,300, payable to the order of the City. No bid will be considered for which said check has not been received. The City will deposit the check of the purchaser, the amount of which will be deducted at settlement and no interest will accxue to the purchaser. In the event the purchaser Resolution 90-20 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 bids 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 196. Rates must be in ascending order. Bonds of the same maturity shall bear a sinflle 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,rf 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 K 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 identfication 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. Delnrery 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-Iltigation 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 reasons of the purchaser's non-compliance with said terms for payment. OFFICWL 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 Or'fiaal Statement as required by Rule 15c2-12 of the Securities and Exchange Commission. For copies of the Official Statement and the Offiaal Bid Form or for any additional information prior to sale, any prospective purchaser is referred to the Finanaal Advisor to the City, Springsted Incorporated, 85 East Seventh Place, Suite 100, Saint Paul, Minnesota 55101, telephone (612) 223-3000. Resolution 90-20 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 OfFiaal 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 alter the date of such award, h shall provide without cost to the senior managing underwriter of the syndicate to which the Bonds are awarded 30 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 O(Baai Statement to each Participating Underwriter. Any underwriter executing and delivering an O~cial Bid Fomn with respect to the Bonds agrees thereby that ff its bid is acxepted by the City (i) i< shall accept such designation and (ii) it shall enter into a contractual relationship with ail Participating Underwriters of the Bonds for purposes of assuring the receipt by each such Particpating Underwriter of the Final Offaal Statement. Dated May 14, 1990 BY ORDER OF THE CITY COUNCIL /s/ Rick Wolfsteller Administrator -ai- Resolution 90-20 3. The Administrator is authorized and directed to advertise the Bonds for sale in accordance with the foregoing Official Terms of O!lering and to publish the abbreviated notice o! sale attached hereto as Exhibit A in the manner required by law. The City Council will meet at 7:00 p. m. on Monday, June 11, 1990, to consider bids on the Honds and take any other appropriate action with respect to the Bonds. The motion for the adoption of the foregoing resolution was duly seconded by Couneilmember smith ,and upon vote being taken thereon the following members voted in favor of the motion: Maus, Anderson, Blonigen, Fair, Smith and the following voted against: None whereupon the resolution was declared duly passed and adopted. Exhibit A NOTICE OF BOND SALE ;730,000 GENERAL OBLIGATION IMPROVEMENT BONDS, SERIES 1990B CITY OF MONTICELLO, WRIGHT COUNTY, MINNESOTA NOTICE IS HEREBY GIVEN that sealed bids for the purchase of the above bonds will be received by the City Administrator or his designee until 1:00 p.m., C.T. on Monday, June 11, 1990, in the offices of Springsted Incorporated, 85 East Seventh Place, Suite 100, 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 Julq 1, 1990, will bear interest payable semian- nually on each February 1 and August 1, commencing February 1, 1991, and will mature on February 1 in the years and amounts as follows: Year Amount Year Amount 1991 ;55,000 1997 ;70,000 1992 55,000 1998 75,000 1993 55,000 1999 75,000 1994 60,000 2000 80,000 1995 60,000 2001 80,000 1996 65,000 The City may elect on February 1, 1996 or on any date thereafter to redeem and prepay bonds of this issue in whole or in part, in inverse order of maturities and by lot within maturities, maturing on or after February 1, 1997 at a price of par plus accrued interest to date of redemption. Bidders must specify a price of not less than ;720,875 plus accrued interest. A legal opinion on the bonds will be furnished by Holmes & 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: May 14, 1990. 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, May 14, 1990, 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 5730,000 General Obligation Improvement Bonds, Series 1990B of the City. WITNESS My hand as City Administrator and the corporate seal of the City this day of , 1990. City Administ for City of Monticello, Minnesota (SEAL)