City Council Resolution 1990-25After due consideration of the bids, Member Anderson then introduced
the following resolution and moved its adoption:
RESOLUTION NO. 90-25
A RESOLUTION AWARDING THE SALE OP $730,000
GENERAL OBLIGATION IMPROVEMENT BONDS, SERIES .19908
FIXING THEIR FORM AND SPECIFICATIONS;
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 (City) as follows:
Section 1. Sale of Bonds.
1.01. The bid Of Norwest Investment Services, Incorporated(Purehaser) to purchase
$?30,000 General Obligation Improvement Bonds, Series 1990B (Bonds) of the City described
in the Official Terms of Offering thereof is hereby found and determined to be the highest
and best bid received pursuant to duly advertised notice of sale and shall be and is hereby
accepted, the bid being to purchase the Bonds at a price of $ 722,700 plus accrued
interest to date of delivery, for Bonds bearing interest as follows:
Year of Maturity Interest Rate Year of Maturity Interest Rate
1991 6.00 199? 6.357
1992 6.00 1998 6.40
1993 6.10 1999 6.50
1994 6.15 2000 6.60
1995 6.20 2001 6.70
1996 6.30
Net effective interest rate: 6.6143537,
1.02. The sum of $ 1, 825 being the amount bid by the Purchaser in excess of
$720,875 will be credited to the Debt Service Fund hereinafter created. The City Finance
Director is directed to retain the good faith check of the Purchaser, pending completion of
the sale of the Bonds, and to return the good faith checks of the unsuccessful bidders
forthwith. The Mayor and City Administrator are directed to execute a contract with the
Purchaser on behalf of the City.
1.03. The City will forthwith issue and sell the Bonds in the total principal amount of
$730,000 originally dated July 1, 1990, in the denomination of $5,000 each or any integral
multiple thereof, numbered No. R-1, upward, bearing interest as above set forth, and which
mature serially 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
1.04. Optional Redemption. The City may elect on February 1, 1996 and on any date
thereafter to prepay Bonds maturing on or after February 1, 1997. Redemption may be in
whole or in part of the Bonds subject to prepayment. If redemption is in part, those Bonds
remaining unpaid which have. the latest maturity date will be prepaid first. If only part of
the Bonds having a common maturity date are called for prepayment the specific Bonds to
be prepaid will be chosen by lot by the Registrar. All payments will be at a price of par plus
accrued interest.
Section 2. Registration and Payment.
2.01. Registered Form. The Bonds shall be issued only in fully registered form. The
interest thereon and, upon surrender of each Bond, the principal amount thereof, is payable
by check or draft issued by the Registrar described herein.
2.02. Dates; Interest Payment Dates. Each Bond will be dated as of the last interest
payment date preceding the date of authentication to which interest on the Bond has been
paid or made available for payment, unless (i) the date of authentication is an interest
payment date to which interest has been paid or made available for payment, in which case
such Bond shall be dated as of the date of authentication, or (ii) the date of authentication is
prior to the first interest payment date, in which case such Bond will be dated as of the date
of original issue. The interest on the Bonds is payable on February 1 and August 1 of each
year, commencing February 1, 1991, to the owner of record thereof as of the close of
business on the fifteenth day of the immediately preceding month, whether or not such day
is a business day.
2.03. Registration. The City will appoint, and shall maintain, a bond registrar,
transfer agent, authenticating agent and paying agent (Registrar). The effect of
registration and the rights and duties of the City and the Registrar with respect thereto are
as follows:
(a) Register. The Registrar must keep at its principal corporate trust office a
bond register in which the Registrar provides for the registration of ownership of
Bonds and the registration of transfers and exchanges of Bonds entitled to be
registered, transferred or exchanged.
(b) Transfer of Bonds. Upon surrender for transfer of a Bond duly endorsed by
the registered owner thereo or accompanied by a written instrument of transfer, in
form satisfactory to the Registrar, duly executed by the registered owner thereof or
by an attorney duly authorized by the registered owner in writing, the Registrar w~11
authenticate and deliver, in the name of the designated transferee or transferees, one
or more new Bonds of a like aggregate principal amount and maturity, as requested by
the transferor. The Registrar may, however, close the books for registration of any
transfer after the fifteenth day of the month preceding each interest payment date
and until such interest payment date.
(c) Exchange of Bonds. When Honds are surrendered by the registered owner
for exchange the Registrar will authenticate and deliver one or more new Bonds of a
like aggregate principal amount and maturity, as requested by the registered owner or
the owner's attorney in writing.
(d) Cancellation. Bonds surrendered upon any transfer or exchange will be
promptly cancelled by the Registrar and thereafter disposed of as directed by the
City.
(e) Improper or Unauthorized Transfer. When a Bond is presented to the
Registrar for transfer, the Registrar may refuse to transfer the Bond until the
Registrar is satisfied that the endorsement on the Bond or separate instrument of
transfer is valid and genuine and that the requested transfer is legally authorized. The
Registrar will incur no liability for the refusal, in good faith, to make transfers which
it, in its judgment, deems improper or unauthorized.
(f) Persons Deemed Owners. The City and the Registrar may treat the person
in whose name a Bond is registered in the bond register as the absolute owner of the
Hond, whether the Bond is overdue or not, for the purpose of receiving payment of, or
on account of, the principal of and interest on the Hond and for all other purposes and
payments so made to registered owner or upon the owner's order will be valid and
effectual to satisfy and discharge the liability upon such Bond to the extent of the sum
or sums so paid.
(g) Taxes, Fees and Charges. For a transfer or exchange of Bonds, the
Registrar may impose a charge upon the owner thereof sufficient to reimburse the
Registrar for any tax, fee or other governmental charge required to be paid with
respect to the transfer or exchange.
(h) Mutilated, Lost, Stolen or Destroyed Bonds. If a Hond becomes mutilated
or is destroyed, stolen or lost, the Registrar will deliver a new Bond of like amount,
number, maturity date and tenor in exchange and substitution for and upon
cancellation of the mutilated Bond or in lieu of and in substitution for a Bond
destroyed, stolen or lost, upon the payment of the reasonable expenses and charges of
the Registrar in connection therewith; and, in the case of a Bond destroyed, stolen or
lost, upon filing with the Registrar of evidence satisfactory to it that the Bond was
destroyed, stolen or lost, and of the ownership thereof, and upon furnishing to the
Registrar of an appropriate bond or indemnity in form, substance and amount
satisfactory to it and as provided by law, in which both the City and the Registrar
must be named as obligees. Bonds so surrendered to the Registrar will be cancelled by
the Registrar and evidence of such cancellation must be given to the City. If the
mutilated, destroyed, stolen or lost Bond has already matured or been called for
redemption in accordance with its terms it is not necessary to issue a new Bond prior
to payment.
(i) Redemption. In the event any of the Bonds are called for redemption,
notice thereof identifying the Bonds to be redeemed will be given by the Registrar by
mailing a copy of the redemption notice by first class mail (postage prepaid) not more
than 60 and not less than 30 days prior to the date fixed for redemption to the
registered owner of each Bond to be redeemed at the address shown on the registration
books kept by the Registrar and by publishing the notice in the manner required by
law. Failure to give notice by publication or by mail to any registered owner, or any
defect therein, will not affect the validity of any proceeding for the redemption of
Bonds. Bonds so called for redemption will cease to bear interest after the specified
redemption date, provided that the funds for the redemption are on deposit with the
place of payment at that time.
2.04. Appointment of Initial Registrar. The City appoints American National
Bank and Trust Company , Saint Paul ,Minnesota, a3 the initial Registrar. The
Mayor and the City Administrator are authorized to execute and deliver, on behalf of the
City, a contract with the Registrar. Upon merger or consolidation of the Registrar with
another corporation, if the resulting corporation is a bank or trust company authorized by
law to conduct such business, such corporation is authorized to act as successor Registrar.
The City agrees to pay the reasonable and customary charges of the Registrar for the
services performed. The City reserves the right to remove the Registrar upon 30 days'
notice and upon the appointment of a successor Registrar, in which event the predecessor
Registrar must deliver all cash and Bonds in its possession to the successor Registrar and
must deliver the bond register to the successor Registrar. On or before each principal or
interest due date, without further order of this Council, the Finance Director must transmit
to the Registrar moneys sufficient for the payment of all principal and interest then due.
2.05. Execution, Authentication and Delivery. The Bonds will be prepared under the
direction of the Administrator and executed on behalf of the City by the signatures of the
Mayor and the Administrator, provided that all signatures may be printed, engraved or
lithographed facsimiles of the originals. In case any officer whose signature or a facsimile
of whose signature appears on the Bonds ceases to be such officer before the delivery of any
Bond, such signature or facsimile will nevertheless be valid and sufficient for all purposes,
the same as if the officer had remained in office until delivery. Notwithstanding such
execution, a Bond will not be valid or obligatory for any purpose or entitled to any security
or benefit under this Resolution unless and until a certificate of authentication on the Bond
has been duly executed by the manual signature of an authorized representative of the
Registrar. Certificates of authentication on different Bonds need not be signed by the same
representative. The executed certificate of authentication on each Bond is conclusive
evidence that it has been authenticated and delivered under this Resolution. When the
Bonds have been so prepared, executed and authenticated, the Administrator shall deliver
the same to the Purchaser upon payment of the purchase price in accordance with the
contract of sale heretofore made and executed, and the Purchaser is not obligated to see to
the application of the purchase price.
2.06. Temporary Bonds. The City may elect to deliver in lieu of printed definitive
Bonds one or more typewritten temporary Bonds in substantially the form set forth in
Section 3 with such changes as may be necessary to reflect more than one maturity in a
single temporary bond. Upon the execution and delivery of definitive Bonds the temporary
Bonds will be exchanged therefor and cancelled.
Section 3. Porm of Bond.
3.01. The Bonds will be printed in substantially the following form:
[Face of the Bond]
UNITED STATES OF AMERICA
STATE OF MINNESOTA
COUNTY OF WRIGHT
CITY OF MONTICELLO
GENERAL OBLIGATION IMPROVEMENT BOND, SERIES 1990B
Rate
9i6
Date of
Maturity Original Issue
July 1, 1990
CUSIP
No. R-
The City of Monticello, Minnesota, a duly organized and existing .municipal corporation
in Wright County, Minnesota (City), acknowledges itself to be indebted and for value
received hereby promises to pay to
or registered assigns, the principal sum of $ on the maturity date specified above
with interest thereon from the date hereof at the annual rate specified above, payable
February 1 and August 1 in each year, commencing February 1, 1991, to the person in whose
name this Bond is registered at the close of business on the fifteenth day (whether or not a
business day) of the immediately preceding month. The interest hereon and, upon
presentation and surrender hereof, the principal hereof are payable in lawful money of the
United States of America by check or draft by _ _ _ _ _
,Minnesota, as Bond Registrar, Paying Agent,
Trans er Agent and Authenticating Agent, or its designated successor under the Resolution
described herein. For the prompt and full payment of such principal and interest as the
same respectively become due, the full faith and credit and taxing powers of the City have
been and are hereby irrevocably pledged.
The City may elect on February 1, 1996, and on any date thereafter, to prepay Bonds
of this issue maturing on or after February 1, 199?. Redemption may be in whole or in part
of the Bonds subject to prepayment. If redemption is in part, those Bonds remaining unpaid
which have the latest maturity date will be prepaid first. If only part of the Bonds having a
common maturity date are called for prepayment the specific Bonds to be prepaid will be
chosen by lot by the Registrar. All prepayments shall be at a price of par plus accrued
interest.
The City Council has designated the Bonds as "qualified tax exempt obligations" within
the meaning of Section 265(bX3) of the Internal Revenue Code of 1986, as amended (the
Code) relating to disallowance of interest expense for financial institutions and within the
$10 million limit allowed by the Code for the calendar year of issue.
Additional provisions of this Bond are contained on the reverse hereof and such
provisions for all purposes have the same effect as though fully set forth in this place.
This Bond will not be valid or obligatory for any purpose or entitled to any security or
benefit under the Resolution until the Certificate of Authentication hereon has been
executed by the Bond Registrar by manual signature of one of its authorized
representatives.
IN WITNESS WHEREOF, the City of Monticello, Wright County, Minnesota, by its City
Council, has caused this Bond to be executed on its behalf by the facsimile signatures of the
Mayor and City Administrator and has caused this Bond to be dated as of the date set forth
below.
Dated:
(facsimile)
City Administrator
CITY OF MONTICELLO, MINNESOTA
(facsimile)
Mayor
CERTIFICATE OF AUTHENTICATION
This is one of the Bonds delivered pursuant to the Resolution mentioned within.
By
Authorized Representative
[Reverse of the Bond]
This Bond is one of an issue in the aggregate principal amount of $730,000 all of like
original issue date and tenor, except as to number, maturity date, redemption privilege, and
interest rate, all issued pursuant to a resolution adopted by the City Council on June 11,
1990 (the Resolution), for the purpose of providing money to defray the expenses incurred
and to be incurred in making local improvements, and to refund the outstanding principal
amount of certain general obligation improvement bonds of the City, pursuant to and in full
conformity with the Constitution and laws of the State of Minnesota, including Minnesota
Statutes, Chapters 429 and 475, and the principal hereof and interest hereon are payable
primarily from special assessments against property specially benefited by local
improvements as set forth in the Resolution to which reference is made for a full statement
of rights and powers thereby conferred. The full faith and credit of the City are irrevocably
pledged for payment of this Bond and the City Council has obligated itself to levy ad
valorem taxes on all taxable property in the City in the event of any deficiency in special
assessments pledged, which taxes may be levied without limitation as to rate or amount.
The Bonds of this series are issued only as fully registered Bonds in denominations of $5,000
or any integral multiple thereof of single maturities.
As provided in the Resolution and subject to certain limitations set forth therein, this
Bond is transferable upon the books of the City at the principal office of the Bond Registrar,
by the registered owner hereof in person or by the owner's attorney duly authorized in
writing upon surrender hereof together with a written instrument of transfer satisfactory to
the Bond Registrar, duly executed by the registered owner or the owner's attorney; and may
also be surrendered in exchange for Bonds of other authorized denominations. Upon such
transfer or exchange the City will cause a new Bond or Bonds to be issued in the name of the
transferee or registered owner, of the same aggregate principal amount, bearing interest at
the same rate and maturing on the same date, subject to reimbursement for any tax, fee or
governmental charge required to be paid with respect to such transfer or exchange.
The City and the Bond Registrar may deem and treat the person in whose name this
Bond is registered as the absolute owner hereof, whether this Bond is overdue or not, for the
purpose of receiving payment and for all other purposes, and neither the City nor the Bond
Registrar will be aflected by any notice to the contrary.
IT IS HEREBY CERTIFIED, RECITED, COVENANTED AND AGREED that all acts,
conditions and things required by the Constitution and laws of the State of Minnesota, to be
done, to exist, to happen and to be performed preliminary to and in the issuance of this Bond
in order to make it a valid and binding general obligation of the City in accordance with its
terms, have been done, do exist, have happened and have been performed as so required, and
that the issuance of this Bond does not cause the indebtedness of the City to exceed any
constitutional or statutory limitation of indebtedness.
(Form of certificate to be printed on the reverse side of each Bond, following a full
copy of the legal opinion.)
I certify that the above is a full, true and correct copy of the legal opinion rendered by
bond counsel on the issue of Bonds of the City of Monticello, Minnesota, which includes the
within Bond, dated as of the date of delivery of and payment for the Bonds.
(Facsimile Signature)
City Administrator
The following abbreviations, when used in the inscription on the face of this Bond,
shall be construed as though they were written out in full according to applicable laws or
regulations:
TEN COM -- as tenants UNIF GIFT MIN ACT Custodian
in common (Gust) (Minor)
TEN ENT -- as tenants
by entireties under Uniform Gifts or
Transfers to Minors
JT TEN -- as joint tenants with
right of survivorship and Act ............ .
not as tenants in common (State)
Additional abbreviations may also be used though not in the. above list.
ASSIGNMENT
For value received, the undersigned hereby sells, assigns and transfers unto
does hereby irrevocably constitute
transfer the said Bond on the books
of substitution in the premises.
the within Bond and all rights thereunder, and
and appoint attorney to
kept for registration o the within Bond, with full power
Dated:
Notice: The assignor's signature to this assignment must correspond with the name
as it appears upon the face of the within Bond in every particular, without alteration
or any change whatever.
Signature Guaranteed:
Signature(s) must be guaranteed by a national bank or trust company or by a brokerage firm
having a membership in one of the major stock exchanges.
The Bond Registrar will not effect transfer of this Bond unless the information
concerning the assignee requested below is provided.
Name and Address:
Include information for all joint owners if
this Bond is held by joint account.)
Please insert social security or
other identifying number of assignee
3.02. The City Administrator is directed to obtain a copy of the proposed approving
legal opinion of Holmes ac Graven, Chartered, Minneapolis, Minnesota, which is to be
complete except as to dating thereof and to cause the opinion to be printed on each Bond,
together with a certificate to be signed by the facsimile signature of the Administrator in
substantially the form set forth in the form of Bond. The Administrator is authorized and
directed to execute such certificate in the name of the City upon receipt of such opinion
and to fde the opinion in the City offices.
Section 4. Payment: Security: Pledges and Covenants.
4.01. (a) The Bonds are payable from the Improvement Bonds, Series 1990B Debt
Service Fund (Debt Service Fund) hereby created, and the proceeds of special assessments
(Assessments) levied or to be levied for the improvements (Improvements) financed by the
Bonds, and financed by the City's $1,150,000 General Obligation Improvement Bonds of 1983
dated June 1, 1983 (Refunded Bonds) are hereby pledged to the Debt Service Fund.
(b) The debt service fund, if any, heretofore established for the Refunded Bonds is
terminated, and all monies therein are hereby transferred to the Debt Service Fund herein
created. If any payment of principal or interest on the Bonds shall become due when there
is not sufficient money in the Debt Service Fund to pay the same, the Finance Director is
directed to pay such principal or interest from the general fund of the City, and the general
fund will be reimbursed for such advances out of the proceeds of Assessments when
collected.
(c) There is appropriated to the Debt Service Fund all capitalized interest financed
from Bond proceeds, if any, any amount over the minimum purchase price paid by the
Purchaser and the accrued interest paid by the Purchaser upon closing and delivery of the
Bonds.
4.02. It is hereby determined that the Improvements to be financed by the Bonds will
directly and indirectly benefit and abutting property, and the City hereby covenants with
the holders from time to time of the Bonds as follows:
(a) The City has levied the Assessments for the Improvements and has taken
all steps necessary to assure prompt collection thereof. The City Council w0.1 cause
all further actions and proceedings relative to the making and financing of the
Improvements financed hereby to be taken with due diligence that are required for the
construction of each Improvement financed wholly or partly from the proceeds of the
Bonds, and for the final and valid levy of the Assessments and the appropriation of any
other funds needed to pay the Bonds and interest thereon when due.
(b) In the event of any current or anticipated deficiency in Assessments and
Taxes the City Council will levy additional ad valorem taxes in the amount of the
current or anticipated deficiency.
(c) The City will keep complete and accurate books and records showing:
receipts and disbursements in connection with the Improvements, Assessments and
Taxes levied therefor and other funds appropriated for their payment, collections
thereof and disbursements therefrom, moneys on hand and, the balance of unpaid
Assessments.
(d) The City will cause its books and records to be audited at least annually
and wi71 furnish copies of such audit reports to any interested person upon request.
4.03. It is determined that at least 20% of the cost of the Improvements will be
specially assessed against benefitted properties. For the purpose of paying the principal of
and interest on the Bonds, there is levied a direct annual irrepealable ad valorem tax (Taxes)
upon all of the taxable property in the City, which shall be spread upon the tax rolls and
collected with and as part of other general taxes of the City. The taxes will be credited to
the Debt Service Fund above provided and will be in the years and amounts as follows (year
stated being year of levy for collection the following year):
Year Levy Year L v
(See Attachment A)
4.04. It is hereby determined that the estimated collections of Assessments and
foregoing Taxes will produce at least five percent in excess of the amount needed to meet
when due the principal and interest payments on the Bonds. The tax levy herein provided is
irrepealable until all of the Bonds are paid, provided that the City Administrator may
annually, at the time the City makes its tax levies, certify to the County Auditor the amount
available in the Debt Service Fund to pay principal and interest due during the ensuing year,
and the County Auditor will thereupon reduce the levy collectible during such year by the
amount so certified.
4.05. The City Administrator is authorized and directed to file a certified copy of this
resolution with the County Auditor of Wright County and to obtain the certificate required
by Minnesota Statutes, Section 475.63.
Section 5. Refunding: Findings: Redemption of Refunded Bonds.
5.01. The Refunded Bonds are the General Obligation Improvement Bonds of 1983, of
the City, dated June 1, 1983, of which $620,000 in prinicpal amount is callable on August 1,
1990. It is hereby found and determined that based upon information presently available
from the City's financial advisers, the issuance of the Bonds is consistent with covenants
made with the holders thereof and is necessary and desirable for the reduction of debt
service cost to the municipality and for the extension or adjustment of the maturities in
relation to the resources available for their payment.
5.02. It is hereby found and determined that the Bonds will be sufficient to prepay all
of the principal of, interest on and redemption premium (if any) on the Refunded Bonds.
5.03. The Refunded Bonds maturing on February 1, 1991 and thereafter shall be
redeemed and prepaid on August 1, 1990. The Refunded Bonds shall be redeemed and
prepaid in accordance with their terms and in accordance with the terms and conditions set
forth in the forms of Notice of Call for Redemption attached hereto as Attachment a which
terms and conditions are hereby approved and incorporated herein by reference. The City is
hereby authorized and directed to forthwith publish the Notice of Call for Redemption in a
publication qualified under Section 475.54 of Minnesota Statutes and to send written notices
of call to the paying agent for the Refunded Bonds, provided that published notice alone
shall be effective.
5.04. When all Bonds and all interest thereon have been discharged as provided in this
section, all pledges, covenants and other rights granted by this resolution to the holders of
the Bonds shall cease, except that the pledge of the full faith and credit of the City for the
prompt and full payment of the principal of and interest on the Bonds shall remain in full
force and effect. The City may discharge all Bonds which are due on any date by depositing
with the Registrar on or before that date a sum sufficient for the payment thereof in full.
If any Bond should not be paid when due, it may nevertheless be discharged by depositing
with the Registrar a sum sufficient for the payment thereof in full with interest accrued to
the date of such deposit.
Section 6. Authentication of Transcript.
6.01. The officers of the City are authorized and directed to prepare and furnish to
the Purchaser and to the attorneys approving the Bonds, certified copies of proceedings and
records of the City relating to the Bonds and to the financial condition and affairs of the
City, and such other certificates, affidavits and transcripts as may be required to show the
facts within their knowledge or as shown by the books and records in their custody and under
their control, relating to the validity and marketability of the Bonds and such instruments,
including any heretofore furnished, may be deemed representations of the City as to the
facts stated therein.
6.02. The Mayor and City Administrator are authorized and directed to certify that
they have examined the Official Statement prepared and circulated in connection with the
issuance and sale of the Bonds and that to the best of their knowledge and belief the Official
Statement is a complete and accurate representation of the facts and representations made
therein as of the date of the Official Statement.
Section 7. Tax Covenant.
7.01. The City covenants and agrees with the holders from time to time of the Bonds
that it will not take or permit to be taken by any of its officers, employees or agents any
action which would cause the interest on the Bonds to become subject to taxation under the
Internal Revenue Code of 1986, as amended (the Code), and the Treasury Regulations
promulgated thereunder, in effect at the time of such actions, and that it will take or cause
its officers, employees or agents to take, all affirmative action within its power that may be
necessary to ensure that such interest will not become subject to taxation under the Code
and applicable Treasury Regulations, as presently existing or as hereafter amended and
made applicable to the Bonds.
?.02. (a) The City will comply with requirements necessary under the Code to
establish and maintain the exclusion from gross income of the interest on the Bonds under
Section 103 of the Code, including without limitation requirements relating to temporary
periods for investments, limitations on amounts invested at a yield greater than the yield on
the Bonds, and the rebate of excess investment earnings to the United States if the Bonds
(together with other obligations reasonably expected to be issued in calendar year 1990)
exceed the small-issuer exception amount of $5,000,000.
(b) For purposes of qualifying for the small issuer exception to the federal arbitrage
rebate requirements, the City finds, determines and declares that the aggregate face
amount of all tax-exempt bonds (other than private activity bonds) issued by the City (and
all subordinate entities of the City) during the calendar year in which the Bonds are issued
and outstanding at one time is not reasonably expected to exceed $5,000,000, within the
meaning of Section 148(f)(4)(C) of the Code.
7.03. The City further covenants not to use the proceeds of the Bonds or to cause or
permit them or any of them to be used, in such a manner as to cause the Bonds to be
"private activity bonds" within the meaning of Sections 103 and 141 through 150 of the
Code.
?.04. In order to qualify the Bonds as "qualified tax-exempt obligations" within the
meaning of Section 265(bX3) of -the Code, the City makes the following factual statements
and representations:
(a) the Bonds are not "private activity bonds" as defined in Section 141 of the
Code;
(b) the City hereby designates the Bonds as "qualified tax-exempt obligations"
for purposes of Section 265(bx3) of the Code;
(c) the reasonably anticipated amount of tax-exempt obligations (other than
private activity bonds, treating qualified 501(eX3) bonds as not being private activity
bonds) which will be issued by the City (and all subordinate entities of the City) during
calendar year 1990 will not exceed $10,000,000; and
(d) not more than $10,000,000 of obligations issued byy the City during calendar
year 1990 have been designated for purposes of Section 265(b)(3) of the Code.
6.05. The City will use its best efforts to comply with any federal procedural
requirements which may apply in order to effectuate the designations made by this section.
The motion for the adoption of the foregoing resolution was duly seconded by Member
B1oniQen ,and upon vote being taken thereon, the following voted in
favor thereof: Maus, Anderson, Blonigen, Smith
and the following voted against the same: None
whereupon said resolution was declared duly passed and adopted.
v
STATE OF MINNESOTA )
COUNTY OF WAIGHT ) SS.
CITY OF MONTICELLO )
I, the undersigned, being the duly qualified and acting Administrator 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 June 11, 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
$730,000 General Obligation Improvement Bonds, Series 1990B of the City.
WITNESS My hand officially as such Administrator and the corporate seal of the City
this 1~ day of June , 1990.
~.~,~~
City Administr or
Monticello, Minnesota
(SEAL) " , ,
ATTACHMENT A
Year L vy
1990 $ 0
1991 0
1992 0
1993 0
1994 0
1995 0
1996 52,095
1997 83,183
1998 84,087
1999 79,315
ATTACHMENT B
NOTICE OF CALL FOR REDEMPTION
$1,150,000 GENERAL OBLIGATION IMPROVEMENT BONDS
OF 1983
CITY OF MONTICELLO
WRIGHT COUNTY, MINNESOTA
NOTICE IS HEREBY GIVEN that, by order of the City Council of the City of
Monticello, Wright County, Minnesota, there have been called for redemption
and prepayment on
August 1, 1990
all outstanding bonds of the City designated as General Obligation
Improvement Bonds of 1983, dated June 1, 1983, having stated maturity dates
of February 1 in the years 1991 through 1996, inclusive, totaling $620,000 in
principal amount, and with the following CUSIP numbers:
Year CUSIP
1991 614468 FZ4
1992 614468 GA8
1993 614468 GB6
1994 614468 GC4
1995 614468 GD2
1996 614468 GEO
The bonds are being called at a price of par plus accrued interest to August
1, 1990, on which date all interest will cease to accrue. Holders of the
bonds hereby called for redemption are requested to present their bonds for
payment at the main office of First Trust National Association, successor
paying agent to First National Bank of Minneapolis, 180 East Fifth Street,
3rd Floor - Bond Drop Window, or if by mail to P.0. Box 64111, Saint Paul,
Minnesota 55164-0111, on or before August 1, 1990.
Under the Interest and Dividend Compliance Act of 1983, 20~ will be withheld
if tax identification number is not properly certified.
Dated: June 11, 1990.
BY ORDER OF THE CITY COUNCIL
By /s/ Rick Wolfsteller
City Administrator
City of Monticello, Minnesota
Further Information:
Springsted Incorporated
85 East Seventh Place
Suite 100
Saint Paul, Minnesota 55101-2143
(612)223-3000
i
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CITY OF MONTICELLO, MINNESOTA
MEADOW 2nd ADDITION, PHASE 2
ALLOCATION TO 1990 IMPROVEMENT BONDS
PROJECTED ASSESSMENT INCOME
MEADOWS 2nd PHASE 2
Filing Date: 10/ 1/1990
Filing Collect Interest
Year Year Principal @ 8.100$ Total
----- ------- --------- -------- -----
Prepared June 18, 1990
By SPRINGSTED Incorporated
1990 1991 9,540 9,675a 19,215
1991 1992 9,540 6,955 16,495
1992 1993 9,540 6,182 15,722
1993 1994 9,540 5,409 14,949
1994 1995 9,540 4,636 14,176
1995 1996 9,540 3,864 13,404
1996 1997 9,540 3,091 12,631
1997 1998 9,540 2,318 11,858
1998 1999 9,540 1,545 11,085
1999 2000 9,540 773 10,313
TOTALS 95,400 44,448 139,848
a) Includes interest from filing
date to 12/31/1991.
Extract 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, Minnesota, was duly held in the City Hall in said City on Monday, June
11, 1990, commencing at 7:00 P.M.
The following members were present: Mayor Kenneth Maus, Shirley Anderson,
Daniel Blonigen, Warren Smith
and the following were absent: Frances Fair
The Mayor announced that the next order of business was consideration of the bids
which had been received for the purchase of the City's $730,000 General Obligation
Improvement Bonds, Series 1990B, as advertised for sale. The City Administrator presented
affidavits showing publication of the notice of sale in the City's official newspaper and in
Northwestern Financial Review, a financial paper published in Minneapolis, Minnesota,
which affidavits were examined and found satisfactory and ordered placed on file.
The City Administrator presented a tabulation of the bids which had been received in
the manner specified in the Official Terms of Offering of the Bonds. The bids were as
follows:
'~ SPRINGSTED
PUBLIC FINANCE ADVISORS
85 East Seventh Place. Suite 100
Saint Paul, MN 55101-2143
(612) 223-3000
Fax:612-223-3002
s~so,ooo
CITY OF MONTICELLO, MINNESOTA
GENERAL OBLIGATION IMPROVEMENT BONDS, SERIES 19906
AWARD: NORWEST INVESTMENT SERVICES, INCORPORATED
-And Associates-
SALE: June 11, 1990 Moody's Rating: A
Interest Netlnterest
Bidder Rates Price Cost & Rate
NORWESTINVESTMENTSERVICES, 6.00% 1991-1992 $722,700.00 $291,086.67
INCORPORATED 6.10% 1993 (6.614353%)
American National Bank Saint Paul 6.15°~ 1994
Moore, Juran and Company, Incorporated 6.20% 1995
6.30% 1996
6.35% 1997
6.40°~ 1998
6.50% 1999
6.60°k 2000
6.70% 2001
FBS INVESTMENT SERVICES, INC. 6.00%
6.05%
6.10%
6.20%
6.25%
6.30°i6
6.40%
6.50%
6.00%
1991-1992 $721,240.00 $291,109.58
1993 (6.6148°~)
1994
1995
1996
1997
1998
1999
2000-2001
CRONIN & COMPANY 6.00% 1991-1992 $720,875.00 $291,269.79
Edward D. Jones & Company 6.10% 1993 - (6.6185%)
6.15% 1994
6.20% 1995
6.25% 1996
6.30% 1997
6.40% 1998
6.50°~6 1999
6.55% 2000
6.60% 2001
(Continued)
Indiana Office: Kansas Office: Wisconsin Office:
135 North Pennsylvania Street 6800 College Boulevard 500 Elm Grove Road
Suite 2015 Suite 600 Suite 101
Indianapolis. IN 46204-2498 Overland Park, KS 66211-1533 Elm Grove. WI 53122-0037
(317) 684-6000 (913) 345-8062 (414) 782-8222
Fax 317-684-6004 Fax: (913)345-1770 Fax 414-782-2904
Interest Net Interest
Bidder Rates Price Cost & Rate
DAIN BOSWORTH INCORPORATED
MILLER, JOHNSON & KUEHN, INC.
ALLISON-WILLIAMS COMPANY
Piper, Jaffray & Hopwood
Incorporated
Juran & Moody, Incorporated
PARK INVESTMENT CORPORATION
6.00%
6.05%
6.10%
6.15%
6.20%
6.25%
6.30%
6.40%
6.50%
s.so%
s.7o%
6.00%
6.05%
6.10%
6.15%
6.20%
6.25°~6
6.30°~
6.40°~
6.50%
6.60%
6.70°~
6.00%
6.05°~6
6.10%
6.20%
6.25%
6.30%
6.35%
6.40%
6.50%
6.60%
6.70%
6.00°
6.10°k
6.15%
6.20%
6.30%
6.40%
6.50%
6.55%
6.60%
6.70%
1991
1992
1993
1994
1995
1996
1997
1998
199s
2000
2001
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
1991-1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
$722,043.00
$721,970.00
$721,970.00
$721,970.00
$291,375.33
(6.6209%)
$291,448.33
(6.6225%)
$292,105.21
(6.6374%)
These Bonds are being reoffered at par.
$292,937.71
(6.6564%)
BBI: 7.21
Average Maturity: 6.03 Years