HomeMy WebLinkAboutResolution - 86-297 - Authorizing Sale of $2,300,000 G.O., $1,700,000 G.O. Water Revenue and $1,000,000 Certificants of Indebtedness - Member introduced the following
resolution and moved its adoption :
RESOLUTION NO .
RESOLUTION RELATING TO $2 , 300 , 000 GENERAL
OBLIGATION BUILDING BONDS ; $1 , 700 , 000 GENERAL
OBLIGATION WATER REVENUE BONDS; AND $1 , 000 , 000
CERTIFICATES OF INDEBTEDNESS ; PROVIDING FOR THE
PUBLIC SALE THEREOF
BE IT RESOLVED by the City Council of the City of Eden
Prairie , Minnesota , as follows :
1. . It is hereby determined that it is necessary for
the City to issue acid sell. $2 , 300 , 000 General Obligation
Building Bonds to finance the acquisition and betterment of a
municipal firefighting facility, $1 , 700 , 000 General Obligation
Water Revenue Bonds to finance improvements to the City ' s water
system, and $1 , 000 , 000 Certificates of Indebtedness to finance
public safety and public works equipment purchases .
2 . It is hereby determined that ,OL.-c'.. , G , 1986 ,
at /t :�o ' clock, to.M. , C. D . T. , will be the dat and time at
which sealed bids will be received for said bonds , and this
Council shall meet at 1: ,', o o ' clock P .M. that same date to award
the sale .
3 . The Finance Director/Clerk is hereby authorized
and directed to cause notice of the time , place and purpose of
said sale to be published at least ten days in advance of the
bid opening in the a legal newspaper having
general circulation in the City, and in Commercial West , a
periodical published in Minneapolis , Minnesota , giving
financial news and of general circulation throughout the State ,
which notice shall be in substantially the following form:
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q NOTICE OF SALE
$5 , 000 , 000 GENERAL OBLIGATION BONDS AND
CERTIFICATES OF INDEBTEDNESS
CITY OF EDEN PRAIRIE , MINNESOTA
Sealed bids for the above obligations of the City of
Eden Prairie, Minnesota , will be opened at I-.' o ' clock 1I . M. ,
C . D . T . , on 0UI--- ,`- jc- _ , 1986 , at the City Hall in
Eden Prairie. The City Council will meet at _ _ o ' clock P .M.
that same date to consider the bids and award the sale . The
offering includes $2 , 300 , 000 General Obligation Building Bonds
to finance the acquisition and betterment of a municipal
firefighting facility; $1 , 700 , 000 General Obligation Water
Revenue Bonds to finance improvements to the City ' s water
system, and $ 1 , 000 , 000 Certificates of Indebtedness to finance
public safety and public works equipment purchases . Dated
December 1 , 1986 , the obligations will mature on. March 1 in
each year as follows :
G . O . Water
G . O. Building Revenue Certificates of
Year. Bonds Bonds indebtedness Total
1989 $ 50 , 000 $50 , 000 $
1990 50 , 000 50 , 000
1991 75 , 000 50 , 000
` 1992 75 , 000 50 , 000 125 , 000
1993 75 , 000 50 , 000 125 , 000
1994 75 , 000 50 , 000 125 , 000
1995 75 , 000 50 , 000 125 , 000
1996 100 , 000 75 , 000 175 , 000
1997 100 , 000 75 , 000 175 , 000
1998 .100 , 000 75 , 000 175 , 000
1999 100 , 000 75 , 000 175 , 000
2000 125 , 000 75 , 000 200 , 000
2001 125 , 000 100 , 000 225 , 000
2002 125 , 000 100 , 000 225 , 000
2003 150 , 000 100 , 000 250 , 000
2004 150 , 000 125 , 000 275 , 000
2005 175 , 000 125 , 000 300 , 000
2006 175 , 000 125 , 000 300 , 000
2007 200 , 000 150 , 000 350 , 000
2008 200 , 000 150 , 000 350 , 000
$2 , 300 , 000 $1 , 700 , 000 $.1 , 000 , 000 5 , 000 , 000
Interest will be payable on September 1 , 1987 , and semiannually
on each March. 1 and September 1 thereafter . No rate of
interest nor the net effective rate of the issue may exceed the
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F, maximum then permitted by law . All bonds maturing in 1998 and
thereafter are subject to redemption and prepayment at the
option of the City and in whole or in part , in inverse order of
maturities and by lot within maturities , on March 1 , 1997 and
any interest payment date thereafter , at a price equal to the
principal amount thereof to be redeemed plus interest accrued
to the (late of redemption . A legal. opinion will be furnished
by Dorsey & Whitney., of Minneapolis , Minnesota . Copies of a
statement of Terms and Conditions of Sale and additional
information may be obtained from the undersigned or from Ehlers
and Associates , Inc . , Suite 120 - Soo Line Building , 507
Marquette Avenue , Minneapolis , Minnesota 55402 ; telephone :
( 612) 339-8291 , financial consultants to the City .
Dated : 1986 .
BY ORDER OF THE CITY COUNCIL
John D . Frane , Finance
Director. /Clerk
8950 Eden Prairie Road
Eden Prairie , Minnesota 55343
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4 . The following shall constitute the terms and
conditions Eor the sale and issuance of the bonds , and the City
Clerk is hereby authorized and directed to cause the following
terms and conditions to be incorporated in material distributed
to prospective bidders for the bonds :
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TERMS AND CONDITIONS OF SALE
$5 , 000 , 000 GENERAL OBLIGATION BONDS AND
CERTIFICATES OF INDEBTEDNESS
CITY OF EDEN PRAIRIE, HENNEPIN COUNTY, MINNESOTA
Sealed bids will be received at the City Hall in the
City of Eden Prairie , Minnesota , until o ' clock, _ .M. ,
C . D .T . , on , 1986 , for the purchase of
general obligation bonds and certificates of indebtedness in
the aggregate principal amount of $5 , 000 , 000 to be issued by
the City upon the following terms and conditions :
PURPOSES
The obligations will comprise three issues , all dated as of
December 1 , 1986 :
$2 , 300 , 000 General Obligation Building Bonds to be
issued pursuant to Minnesota Statutes , Chapter 475 , to finance
the acquisition and betterment of a municipal firefighting
facility;
$1 , 700 , 000 General Obligation Water Revenue Bonds to
be issued pursuant to Minnesota Statutes , Section 444 . 075 to
finance improvements to the City ' s water system; and
$1 , 000 , 000 Certificates of Indebtedness to be issued
pursuant to Minnesota Statutes , Section 412 . 301 to finance
public safety and public works equipment purchases .
DATE , TYPE AND DENOMINATION
The obligations will be dated December 1 , 1986 . The
obligations will be issuable only as fully registered Bonds in
denominations of $5 , 000 or any multiple thereof , of single
maturities , with interest payable by check or draft to the
person in whose name each Bond is registered 15 days prior to
each interest payment date on the register maintained by the
Bond Registrar which will be a suitable bank or trust company
selected by the City . Principal is payable upon surrender of
each Bond at maturity or upon prior redemption at the office of
the Registrar . The City will pay the charges of the Registrar
with respect to registration of ownership , transfer and
exchange and payment of principal and interest .
MATURITIES
The obligations of each issue will mature serially on
March 1 in the following years and amounts :
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G . O . Water
G . O . Building Revenue Certificates of
Year Bonds Bonds Indebtedness Total
1989 $ 50 , 000 $50 , 000 $
1990 50 , 000 50 , 000
1991 75 , 000 50 , 000
1992 75 , 000 50 , 000 125 , 000
1993 75 , 000 50 , 000 125 , 000
1994 75 , 000 50 , 000 125 , 000
1995 75 , 000 50 , 000 125 , 000
1996 100 , 000 75 , 000 175 , 000
1997 100 , 000 75 , 000 175 , 000
1.998 100 , 000 75 , 000 175 , 000
1999 100 , 000 75 , 000 175 , 000
2000 125 , 000 75 , 000 200 , 000
2001 125 , 000 1-00 , 000 225 , 000
2002 125 , 000 100 , 000 225 , 000
2003 150 , 000 100 , 000 250 , 000
2004 150 , 000 125 , 000 275 , 000
2005 175 , 000 125 , 000 300 , 000
2006 175 , 000 125 , 000 300 , 000
2007 200 , 000 150 , 000 350 , 000
2008 200 , 000 150 , 000 350 , 000
$2 , 300 , 000 $1 , 700 , 000 $1 , 000 , 000 51000 , 000
REDEMPTION
The bonds maturing in 1998 and subsequent years will
each be subject to redemption and prepayment at the option of
the City, in inverse order of maturities and by lot within
maturities , on March 1 , 1997 , and any interest payment date
thereafter , at par plus accrued interest to the date of
redemption .
INTEREST
Interest will be payable on September 1 , 1987 , and
semiannually thereafter on each March 1 and September 1 . All
Bonds of the same maturity must bear interest from date of
issue until paid at a single , uniform rate , not exceeding the
rate specified for Bonds of any subsequent maturity . Each rate
must be in an integral multiple of 5/100 of 1% , and no rate of
interest nor the net effective rate of any issue may exceed the
maximum permitted by law .
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DELIVERY
Within 40 days after sale and without cost to the
purchaser , the City will furnish and deliver at the office of
the purchaser or , at the option of the purchaser , will deposit
with a bank in the United States selected by the purchaser and
approved by the City as the City ' s agent to permit examination
by and to deliver to the purchaser the printed and executed
obligations , the opinions of bond counsel and a certificate
stating that no litigation in any manner questioning the
validity of the obligations is then threatened or pending . A1 .1
costs , with the exception of the printing of CUSIP numbers as
indicated below, will be paid by the City . The price must be
paid upon delivery, or within five days after deposit with the
delivery agent , in funds available for expenditure by the City
on the day of payment .
LEGAL OPINIONS
Legal opinions on the Dbligations will be provided by
Dorsey & Whitney, of Minneapolis , Minnesota . The legal
opinions will be printed on the obligations at the request of
the purchaser . The legal opinions will state that the
obligations are valid and binding general obligations of the
City enforceable in accordance with their terms , except to the
extent enforceability may be limited by State of Minnesota or
United States laws relating to bankruptcy, reorganization ,
moratorium or creditors ' rights generally .
CONSIDERATION OE BIDS
All bids must be sealed and received before the time
stated above . All bids will then be publicly opened and
tabulated and submitted to the City Council at _ _ P .M. ,
C . D . T . , the same day for consideration and action . Each bid
must be unconditional and must be accompanied by a cashier ' s or
certified check or bank draft in the amount of $100 , 000 ,
payable to the City Finance Director/Clerk, to be retained by
the City as liquidated damages if the bid is accepted and the
bidder fails to comply therewith . The bid offering the lowest
net interest cost ( total interest from date of obligations to
stated maturities , less any amount more than $5 , 000 , 000 or plus
any amount less than $5 , 000 , 000 bid for principal ) will be
considered , and the City Council reserves the right to reject
any and all bids and to waive any informality in any bid .
CUSIP NUMBERS
The City will assume no obligation for the assignment
or printing of CUSIP numbers on the obligations or for the
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correctness of any numbers printed thereon , but will permit
such numbers to be assigned and printed at the expense of the
purchaser, if the purchaser waives any extension of the time of
delivery caused thereby .
Further information may be obtained from and bids may
be delivered to : Ehlers and Associates , Inc . , Suite 120 - Soo
Line Building , 507 Marquette Avenue, Minneapolis , Minnesota
55402 ; telephone : ( 612 ) 339-8291 .
5 . The Finance Director/Clerk, in cooperation with
Ehlers and Associates , Inc . , financial consultants to the City ,
is hereby authorized and directed to prepare on behalf of the
City an official statement to be distributed to potential
purchasers of the Bonds . Such official statement shall contain
IC-he statement of Terms and Conditions of Sale set forth in
paragraph 4 hereof and such other information as shall be
deemed advisable and necessary to adequately describe the City
and the security for , and terms and conditions of , the Bonds .
M'a y,6 r
Attest :
F;i ance irector/Clerk
U
The motion for the adoption of the foregoing
resolution was duly seconded by Member , and upon
vote being taken thereon, the following voted in favor thereof :
and the following voted against the same :
whereupon said resolution was declared duly passed and adopted,
signed by the Mayor and his signature attested by the Finance
Director/Clerk .
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