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HomeMy WebLinkAboutResolution - 92-47 - Authorizing Approval and Execution of Defeasance Documents Refunding McGlynn Bakeries 1980 and 1989 IDR Bonds - 04/07/1992 • RESOLUTION NO. 92-47 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF EDEN PRAIRIE, MINNESOTA AUTHORIZING THE APPROVAL AND EXECUTION OF DOCUMENTS RELATED TO THE DEFEASANCE OF THE CITY'S $2,050,000 INDUSTRIAL DEVELOPMENT REFUNDING REVENUE BONDS (MCGLYNN BAKERIES, INC. PROJECT) SERIES 1989 AND $1,300,000 INDUSTRIAL DEVELOPMENT REVENUE BONDS (MCGLYNN BAKERIES, INC. PROJECT) SERIES 1980 AND THE APPROVAL OF RELATED MATTERS WHEREAS, the City of Eden Prairie, Minnesota (the "City") has heretofore issued and delivered its $2,050,000 original aggregate principal amount of Industrial Development Refunding Revenue Bonds (McGlynn Bakeries, Inc. Project) Series 1989 (the "Series 1989 Bonds") and its $1,30'0,000 original aggregate principal amount of Industrial Development Revenue Bonds (McGlynn Bakeries, Inc. Project) Series 1980 (the "Series 1980 Bonds") ; and WHEREAS, the City, under and pursuant to the Trust Indenture dated as of November 1, 1989 (the 111989 Indenture") between the City and the American National Bank and Trust Company (the "Trustee") , conveyed, granted, signed, transferred, pledged, set over and confirmed to the Trustee and granted a security interest unto the Trustee and all of the property, real and personal, described in the granting clauses of the 1989 Indenture, being sometimes referred to therein and herein as the 111989 Trust Estate" ; and WHEREAS, the City, under and pursuant to the Trust Indenture dated as of March 1, 1980 (the 111980 Indenture") between the City and the American National Bank and Trust Company (the "Trustee") , conveyed, granted, signed, transferred, pledged, set over and confirmed to the Trustee and granted a security interest unto the Trustee and all of the property, real and personal, described in the granting clauses of the 1980 Indenture, being sometimes referred to therein and herein as the 111980 Trust Estate"; and WHEREAS, the City will cause certain United States Treasury Securities and other United States government obligations (the "Government Securities") to be purchased and then to be deposited with American National Bank and Trust Company (the "Escrow Agent") pursuant to the Escrow Agreement between the City and the Escrow Agent (the 111989 Escrow Agreement") , the principal of the Government Securities together with the interest to be earned thereon, without consideration of any reinvestment thereof, together with any uninvested cash, which is represented by Burton J. McGlynn and verified by Springsted Incorporated to be fully sufficient to (i) pay the interest on the Series 1989 Bonds coming due on or prior to December 1, 1994 and (ii) redeem on - z December 1, 1994 the Series 1989 Bonds remaining outstanding at a redemption price of 100% of the principal amount thereof; and • WHEREAS, the City will cause Government Securities to be purchased and then to be deposited with American National Bank and Trust Company (the "Escrow Agent") pursuant to the Escrow Agreement between the City and the Escrow Agent (the 111980 Escrow Agreement") , the principal of the Government Securities together with the interest to be earned thereon, without consideration of any reinvestment thereof, together with any uninvested cash, which is represented by Burton J. McGlynn and verified by- Springsted Incorporated to be fully sufficient to (i) pay the interest on the Series 1980 Bonds coming due on or prior to September 1, 1992 and (ii) redeem on September 1, 1992 the Series 1980 Bonds remaining outstanding at a redemption price of 102% of the principal amount thereof; and NOW, THEREFORE, be it resolved by the City Council as follows: 1. The City hereby consents to the defeasance of the Series 1989 Bonds and the Series 1980 Bonds. 2. The Mayor and Manager are hereby authorized and directed for and in the name and on behalf of the City to do all acts and things contemplated and required to defease the Series 1989 Bonds and the Series 1980 Bonds and to execute and deliver all certificates, instruments and documents, including the 1989 Escrow Agreement, the 1980 Escrow Agreement, the Release of Indenture between the Trustee and the City for the Series 1989 Bonds, the Release of Indenture between the Trustee and the City for the Series 1980 Bonds, the Release, Cancellation and Termination between the City and the Trustee for the Series 1989 Bonds and the Release, Cancellation and Termination between the City and the Trustee for the Series 1980 Bonds (collectively, the "Financing Documents") , and to do all such further acts and things as may be necessary or in the opinion of' the Mayor and the Manager, desirable and proper to affect the purposes of the foregoing resolution and to cause compliance by the City with all of the terms, covenants and provisions of the documents, including without limitation such certificates, acts and things as may be required to show the facts relating to the defeasance of the Series 1980 Bonds and Series 1989 Bonds. 3. The Mayor and Manager of the City are hereby authorized, on behalf of the City, to execute and deliver the the Financing Documents and the Manager of the City is hereby authorized to affix the seal of the City and to attest the same, all in the forms thereof presented to this meeting with such changes, variations, omissions and insertions, including dates and interest rates. The execution and delivery of such Financing Documents by the Mayor and the Manager shall constitute conclusive evidence of such approval. Copies of the Financing Documents shall be delivered, filed and recorded as provided therein. r Approved and adopted this 17th y of arch, 1992. (SEAL) Mayor aATTEST, I Manag r