Loading...
City Council Resolution 1990-19Extract 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 7:00 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 Fair who moved its adoption: RESOLUTION NO. 90-19 RESOLUTION PROVIDING FOR THE 1S.SUANCE AND SALE OF X560,000 GENERAL OBLIGATION TAX INCREMENT BONDS, SERIES 1990A BE IT RESOLVED By the City CouneR of the City of Monticello, Wright County, Minnesota (City) as follows: 1. It is hereby determined that: (a) the City has duly established development district no. 1 (District) pursuant to Minnesota Statutes, Sections 469.124 though 469.134 (the Act); (b) the City has duly established tax increment financing district no. 1-1 (TIF District) within the District pursuant to Minnesota Statutes, Sections 469.174 to 469.179 (T1F Act); (c) the City is authorized by Section 469.178 of the TIF Act to issue and sell its general obligations to pay all or a portion of the public development costs (Costs) related to the District as identified in the development program and tax increment financing plan (Plan) for the TIF District; (d) the Plan lists the following Costs to be financed by the Bonds: 1 Resolution 90-19 Public Improvements: Redevelopment Cost Land Acquisition ;120,000 Public Improvements 366,500 Contingences 3,400 Professional Services 5,000 Administrative/Issuance 35,000 Capitalized Interest 59,500 Aitowance for Discount 7.000 Total Costs ~.~ Less Avaiiable Funds (36.400) Total Bond Issue ,~ (e) it is necessary and expedient to the sound financial management of the affairs of the City to issue ;560,000 General Obligation Tax Increment Bonds, Series 1990A (Bonds) to provide financing for the Costs. 2. In order to provide financing for the Costs, the City will therefore issue and sell Bonds in the amount of ;553,000. In order to provide in part the additional interest required to market the Bonds at this time, additional Bonds will be issued in the amount of ;?,000. The excess of the purchase price of the Bonds over the sum of 5553,000 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: 2 Resolution 90-19 OFFICIAL TERMS OF OFFERING 5560,000 CITY OF MONTICELLO, MINNESOTA GENERAL OBLIGATION TAX INCREMENT BONDS, SERIES 1990A 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 will 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 mu~iples 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 $55,000 1996 $70,000 1999 $80,000 1994 $60,000 1997 $70,000 2000 $85,000 1995 $65,000 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 'rf in part, in inverse order of maturity and within a maturity by lot as selected by the registrar. All prepayments shag be at a price of par and accrued 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 anticipated increment income from the City's Tax Increment Financing District No.1-1. The proceeds will be used to finance the public project costs associated with the City's Development District No. 1 and Tax Increment Financing District No. 1-1. TYPE OF BID Bids shall be for not less than $553,000 and accrued interest on the total principal amount of the Bonds, and shall be accompanied by a cert~ed or cashier's check in the amount of 55,560, 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 accrue to the purchaser. In the event the purchaser fails to comply with the axepted bid, said amount will be retained by the City. No bid can be Resolution 90-19 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 muifiples of 5/100 or 1 /8 of 196. 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 acxordance with customary practice, will be controlling. The City will reserve the right to: C) waive non-substantive informalities of any bid or of matters relating to the receipt of bids and award of the Bonds, r~ reject all bids without cause, and, (iii) reject any bid which the City determines to have failed to comply with the temps 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 ff 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. SE?TLEMENT 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 8. Graven, Chartered of Minneapolis, Minnesota, which opinion will be printed on the Bonds, and of customary dosing papers, inducting a no-litigation certfic~te. 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 ifs designee not later than 12:00 Noon, Central Tnne. 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 bas suffered by the City by reasons of the purchaser's non-compliance with said terms for payment. OFFICIAL STATEMENT The City has authored the preparation of an Offidal Statement containing pertinent information relative to the Bonds, and said OfFidal Statement will serve as a nearly final Offidal Statement as required by Rule 15c2-12 of the Securities and Exchange Commission. For copies of the Orfidal Statement and the Offidal Bid Form or for any additional iMormation 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 Offiaal 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 Resolution 90-19 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 undewriter or underwriting syndicate submitting an Official Bid Form therefor, the City agrees that, no more than sewn business days after the date of such award, i< 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 execx~ting and delivering an Offidal 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 (i~ it shall enter into a contractual relationship with all Particpating Undervriters of the Bonds for purposes of assuring the receipt by each such Participating Underwriter of the Final Ofhaal Statemern. Dated May 14, 1990 BY ORDER OF THE CITY COUNCIL /s/ Rick Wolfsteller Administrator Resolution 90-19 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, June 11, 1990, to consider bids on the Bonds and take any other appropriate action with respect to the Bonds. The motion for the adoption o! the foregoing resolution was duly seconded by Councilmember Anderson ,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. 3 Exhibit A NOTICE OF BOND SALE ;560,000 GENERAL OBLIGATION TAR INCREMENT BONDS, SERIES 1990A 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 July 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 1993 ;55,000 1997 ;70,000 1994 60,000 1998 75,000 1995 65,000 1999 80,000 1996 70,000 2000 85,000 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, 199?, at a price of par plus accrued interest to date of redemption. Bidders must specify a price of not less than ;553,000 plus accrued interest. A legal opinion on the bonds will be furnished by Holmes do Graven, Chartered, Minneapolis, Minnesota. The proceeds of the bonds will be used to finance public development costs related to a tax increment financing district 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 ) SS. 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 $560,000 General Obligation Tax Increment Bonds, Series 1990A of the City. WITNESS My hand as City Administrator and the corporate seal of the City this day of , 1990. City Admini rator City of Monticello, Minnesota (SEAL)