HomeMy WebLinkAboutCity Council Resolution 1982-358s
Extract of Minutes of Meeting
of the City Council of the City
of Plymouth, Hennepin County, Minnesota
Pursuant to due call and notice thereof a regular meeting of the
City Council of the City of Plymouth, Hennepin County, Minnesota, was
held at the City Hall in said City on Monday, July 19, 1982,
commencing at 7:30 o'clock P.M., C.T.
The following members were present: Mayor Davenport, Councilmembers
Moen, Neils, Schneider and Threinen
and the following were absent: none
7
The following resolution was presented by Councilmember
Councilmember Schneiderwho moved its adoption:
RESOLUTION NO. 82-358
RESOLUTION PROVIDING FOR THE ISSUANCE
AND SALE OF $2,350,000 GENERAL OBLIGATION
BONDS of 1982
consisting of
$1,825,000 GENERAL OBLIGATION IMPROVEMENT BONDS OF 1982
AND
$525,000 GENERAL OBLIGATION WATER REVENUE BONDS OF 1982.
BE IT RESOLVED By the City Council of the City of Plymouth,
Hennepin County, Minnesota as follows:
I. $2,350,000 General Obligation Bonds of 1982.
1. It is hereby determined:
(a) That the following assessable public improvements (the
"Improvements") have been made, duly ordered or con-
< Y rar.,c
Rei No' 82 -358
N
123
201
202
204
206
208
211
tracts let for the construction thereof, by the City
pursuant to the provisions of Minnesota Statutes,
Chapter 429:
Project
Description
Number
Pilgrim Lane - 26th Ave. no Nathan Lane
117
Fox Forest Addn./18th
122
123
201
202
204
206
208
211
tracts let for the construction thereof, by the City
pursuant to the provisions of Minnesota Statutes,
Chapter 429:
Total $1,789,235
Plus: Allowance for Discount Bidding 35,765
Bond Issue $1,825,000
(b) That it is necessary and expedient to the sound finan-
cial management of the affairs of the City to issue
$1,825,000 General Obligation Improvement Bonds of
1982, (the "Improvement Bonds") to provide financing
for the improvements.
2. It is hereby determined and recited:
(a) That the City of Plymouth owns and operates a municipal
water system; and
(b) That the City Engineer*has recommended improvements and
extensions of the water system (the "Water Project") as
follows:
Project GO Water
Number Description Revenue
209 DNR Trailhead Water Main $ 63,932
210 Well No. 7 450,778
Total $514,710
Plus: Allowance for Discount Bidding 10,290
Bond Issue $525,000
(c) That the Council determines that it is necessary to
construct the foregoing Water Project;
Improvement
Description
Bonds
Pilgrim Lane - 26th Ave. no Nathan Lane
$ 101,147
Fox Forest Addn./18th
528,046
Pond BC -P11 (Northwest Bus. Comp.)
108,651
Brockpahler Addn.
104,649
West Ridge 4th Addn.
149,169
Glacier N. - 27th Ave. to 28th Place
111,552
Nathan La. - 4th Ave. to Hamel Road
263,123
34th Ave. Water Hain
135,263
Oxbow Ridge Addn.
287.635
Total $1,789,235
Plus: Allowance for Discount Bidding 35,765
Bond Issue $1,825,000
(b) That it is necessary and expedient to the sound finan-
cial management of the affairs of the City to issue
$1,825,000 General Obligation Improvement Bonds of
1982, (the "Improvement Bonds") to provide financing
for the improvements.
2. It is hereby determined and recited:
(a) That the City of Plymouth owns and operates a municipal
water system; and
(b) That the City Engineer*has recommended improvements and
extensions of the water system (the "Water Project") as
follows:
Project GO Water
Number Description Revenue
209 DNR Trailhead Water Main $ 63,932
210 Well No. 7 450,778
Total $514,710
Plus: Allowance for Discount Bidding 10,290
Bond Issue $525,000
(c) That the Council determines that it is necessary to
construct the foregoing Water Project;
_RWA6_12 158
.............
(d) y
That �it is that the.. City -borrow, $525,000 to
for construction,: in
provideand legal
engineering, fiscal
and re
expenses a , to provide interest during construction,
(e) That it is necessary. to prhe
ovide the amount by
Z;,
the issuance and sale of $525,000 General Obligation
Water Itivetnxe Bonds of 1982 (.the "Water Revenue 'EGudill)
to be payable from the: utility trunk fund revenue to
the water utility fund; and
(f) That the City is authorized under the provisions of
Minnesota Statutes, Section 444.075, to issue revenue
bonds for such purpose, with such bonds also supported
by a pledge of the full faith and credit of the City
and such bonds can be sold to provide necessary funds.
3. In order to provide financing for the Improvements and the
Water, rroject, the City shall therefore issue and sell Bonds in the
of $2,303,945.
amount In order to provide in part the additional
interest required to market the Bonds at this time additional Bonds
Jr
shall be issued in the amount of $46,055. Any excess of the -purchase.
,
price 0f the Bonds over the sum of $2-,303,.945 shall, be credited as
determined by, the. City's fiscal consultants, Ehlers and Associates,',
Inc to the debt service funds for 'the -d
respective Ron s for the
urpose. of paying interest first coming due on the Bonds. The Bonds
hall be issued and,sold.in accordance with the terms of the following
Official Notice of Sale:
Y.
OFFICIAL
Improvement
NOTICE OF SALE
K
Year
$2,350,000 General,Oblgation Bonds of 1982
Reven:i,n Bonds
consisting of
x
$1,825,000 GENERAL OBLIGATION IMPROVEMENT BONDS OF 1982
$100,000
AND _
$125,000
$525,000 GENERAL OBLIGATION WATER REVENUE BONDS OF 1982.
1985
City of Plymouth
25,000
Hennepin County, Minnesota
NOTICE IS HEREBY GIVEN, that sealed bids for the purchase of
225,000
the above Bonds will be received in the office of the City Manager,
250,000
City Hall, Plymouth, until 6:30 p.■. on Monday, August 16, 1982 at
1987
which time the bids will be opened andtabulatedfor presentation to
50,000
the City; Council far. consideration at its, regular meeting at 7:30 p.m.
an the same day. The Bonds consist of $1,825,000 General Obligation
225,000
Improvement Bonds of 1982 (the "Improvement Bonds") and $525,000
`'
General Obligation Water Revenue Bonds (the "Water Revenue Bonds").
1989
The"Bonds are offered on the following terms:
50,000
250,000
Puraose and.;$ecurity
175,000
75,+000
250,000
The purpose of the I aprovemeat Bonds is to finance various assess-
may,
able public improvements in the City and the purpose of the Water
75,000
Revenue Bonds is to finance various improvements to the City's water
3.
system. The Bonds will be general obligations of the issuer, for
150,000
which its full faith, credit and taxing powers are pledged.
225,000
rt
Ur
Date and Maturities
The Bonds will be dated September 1, 1982, will be in denomina-
tion of $5,000 each and will mature on March i in the following years
i_ and asounts•
$1,825,000 $525,000 $2,350,000
T,
s y,�
.s t �
Improvement
Wator
K
Year
Bonds
Reven:i,n Bonds
Combined
1984
$100,000
$25,000
$125,000
1985
225000
25,000
250,000
1986
225,000
25,000
250,000
1987
225,000
50,000
275,000
1988
225,000
50,000
275,000
F;
1989
260F000
50,000
250,000
1990
175,000
75,+000
250,000
1991
150,000
75,000
225,000
,f
1992
150,000
75,000
225,000
rt
1993
150,000
75,000
225.000
$1,825,000 $525,000 $2,350,000
T,
s y,�
.s t �
- 358
Redemption Feature
All Bonds will be issued without right of prior redemption.
Interest
Interest on the Bonds will be payable on March 1, 1983, and
semiannually thereafter on each March 1 and September I. All bonds
maturing on the same date 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
average rate of the issue may exceed the maximum rate permitted by law
on the date of sale.
Paying Agent
Principal and interest will be made payable at any suitable bank
recommended by the purchaser and approved by the Council, and the City
will pay the customary charges for this service provided that such
recommendation is received within 48 hours after the sale and the
Council will select the paying agent if the recommendation is not
approved.
CUSIP Numbers
The City will assume no obligation for the assignment or printing
of CUSIP numbers on the Bonds or for the 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.
Delivery
Within 40 days after sale, the City will furnish and deliver to
the office of the purchaser or, at his option, will deposit with a
bank in the United States selected by him and approved by the City as
its agent to permit examination by and to deliver to the purchaser,
the printed and executed Bonds, and unqualified opinion thereon of
bond counsel, and a certificate stating that no litigation in any
manner questioning their validity is then threatened or pending. The
charge of the delivery agent must be paid by the purchaser, but all
other costs will be paid by the City. The purchase price must be paid
upon delivery of the bonds, or within five days after deposit with the
delivery agent, in funds available for expenditure by the City on the
day of payment.
Legal Opinion
An unqualified legal opinion on the Bonds will be furnished by
LeFevere, Lefler, Kennedy, O'Brien & Drawz, a Professional Associa-
tion, of Minneapolis, Minnesota. The legal opinion will be printed on
the Bonds at the request of the purchaser. The legal opinion will
n.,., state that the Bonds are valid and binding general obligations of the
City and that the City is obligated and required to levy taxes for the
principal and interest thereon as the same become due without limit as
to rate or amount.
Type of Bid - Amount
Sealed bids must be mailed or delivered to the undersigned and
must be received prior to the time of said meeting. Each bid must be
unconditional and must be accompanied by a cashier's or certified
check or hank draft in the amount of $47,000, payable to the City
Clerk, to be retained by the City as liquidated damages if the bid is
accepted and the bidder fails to comply therewith. The bid author-
izing the lowest net interest cost (total interest from date of bonds
to stated maturities, less any cash premium or plus any amount less
than $2,350,000 bid for principal) will be deemed the most favorable.
No oral bid and no bid of less than $2,303,945 for principal plus
accrued interest on all of the Bonds will be considered, and the City
reserves the right to reject any and all bids and to waive any infor-
mality in any bid.
BY ORDER OF THE CITY COUNCIL
Js/ Laurie Houk
City Clerk
Dated: July 19, 1982.
J.
0 82 358
4. The City Clerk is authorized and directed to advertise the
Bonds for sale in accordance with the foregoing notice of sale and to
cause the abbreviated notice of sale attached hereto as Exhibit "A" to
be published in the manner required by law, The City Council shall
meet on Monday, August 16, 1982, at 7:30 o'clock p.m., C.T., for
the purpose of considering sealed bids on the Bonds and taking any
other appropriate action.
II. $525,000 General Obligation Water Revenue Bonds of 1982.
1. The Water Revenue Bonds to be issued hereunder, and the
interest coupons to be thereto attached, shall be in substantially the
following form:
No.
UNITED STATES OF AMERICA
STATE OF MINNESOTA
COUNTY OF HENNEPIN
CITY OF PLYMOUTH
GENERAL OBLIGATION WATER REVENUE BOND OF 1982
$5,000
KNOW ALL MEN BY THESE PRESENTS That the City of Plymouth,
Hennepin County, Minnesota, hereby acknowledges that it is obligated
and, for value received, promises to pay to bearer without option of
prior redemption out of its General Obligation Water Revenue Bond
Sinking Fund the sum of FIVE THOUSAND DOLLARS, on the 1st day of
March, 19_, and to pay interest thereon out of said fund from the
date hereof until the principal sum is paid at the rate of
and hundredths percent (_%) per annum, interest to
maturity payable March 1, 1983, and semiannually thereafter on the 1st
day of March and the 1st day of September in each year, in accordance
with and upon"presentation and surrender of the interest coupons
hereto attached as they severally become due. Both principal and
interest are payable at
Bank of , in the City of
Minnesota, in any coin or currency of the United States of America
which at the time of payment is legal tender for public and private
debts.
This Bond is one of an issue in the total principal amount of
$525,000 all of like date and tenor except as to serial number,
maturity and interest rate, all issued for the purpose of providing
money to aid in financing water system improvements, or parts thereof,
as authorized by Minnesota Statutes, Section 444.075, and the princi-
pal thereof and interest thereon are payable primarily from the net
revenues of the water system of the City in a special sinking fund of
the City, as set forth in Resolution 82- (the "Authorizing Reso-
lution"), adopted by the City Council on July 19, 1982, and providing
for the issuance and sale of $525,000 General Obligation Water Revenue
ra�u ,o
Bonds of 1982, to which Resolution reference is made for a full
statement of rights and powers hereby conferred. The full faith and
credit of the City is pledged; for the payment of the principal of and
interest on the bonds, and the City Council has obligated itself to
levy ad valorem taxes on all of the taxable property in the City in
the event of any deficiency, which taxes may be levied without limita-
tion as to rate or amount.
IT IS HEREBY CERTIFIED AND RECITED That in and by the Authorizing
Resolution, the City has covenanted and agreed that it will continue
to own and operate the water system free from competition by other
like utilities; that adequate insurance on said system and suitable
fidelity bonds on employees will be carried; that proper and adequate
books of account will be kept showing all receipts and disbursements
relating to the Water Utility Fund,_ into which it will pay all of the
gross revenues from the water system and any special assessments
leviedforthese improvements; that it will also create and maintain a
General Obligation Water Revenue Bond Sinking Fund, into which it will
pay, out of the net revenues from the water system, a suet sufficient
to pay principal hereof and interest hereon when due; and that it will
provide, by ad valorem tax levies, for any deficiency in net water
revenues.
IT IS FUTHER CERTIFIED AND RECITED That all acts, conditions and
things required by the Constitution and laws of the State of Minnesota
to be done, to happen and to be performed precedent to and in the
issuance of this bond, have been done, have happened and have been
performed in due form,.time and manner as required by law.
0'
IN WITNESS WHEREOF, the City of Plymouth, Hennepin County,
Minnesota, by its City Council, has caused this bond to be executed by
the facsimile signatures of the Mayor and City Manager and sealed with
a facsimile of the corporate seal of the City and the interest coupons
hereto attached to be executed and authenticated by the facsimile
signatures of said officers, except for the manual signature of its
duly authorized"authenticating agent on the reverse side of this bond,
all as of September 1, 1982.
(facsimile signature)
Mayor
(facsimile signature)
City Manager
(facsimile city seal)
On the 1st day of March (September), 19 the City of Plymouth,
Hennepin County, Minnesota, will pay to bearer, out of its General
Obligation Water Revenue Bond Sinking Fund at
Bank of , in the City of
Minnesota, the amount shown hereon for interest then due on its
General Obligation Water Revenue Bond of 1982, dated September 1,
1982.
(facsimile signature)
Mayor
(facsimile signature)
City Manager
2. The City shall continue to operate its Water Utility Fund to
which shall be credited all gross revenues of the water system and out
of which shall be paid all normal and reasonable expenses of current
operations of the water system. Any balance therein shall be deemed
net revenues and shall be transferred, from time to time, in suffi-
cient amounts, to a General Obligation Water Revenue Bond Sinking Fund
hereby credited, which fund shall be used to pay the Water Revenue
Bonds issued hereunder and any other bonds similarly authorized.
There shall always be retained in such fund an amount sufficient
to pay principal of and interest on all bonds payable from said fund,
and the City Finance Director shall report any current or anticipated
deficiency in sdch fund to the Council.
3. The City Council covenants and agrees with the holders of
the Water Revenue Bonds issued hereunder that so long as any of said
Bonds remain outstanding and unpaid, it will keep and enforce the
following covenants and agreements:
(a) The City will continue to maintain and efficiently
operate the municipal water system as a public utility
and convenience and will cause all revenues therefrom
to be deposited in a bank account and credited to the
Water Utility Fund as hereinabove provided, and will
make no expenditures from said account except for a
duly authorized purpose and in accordance with this
resolution.
(b) The City will also maintain a separate account for the
General Obligation Water Revenue Bond Sinking Fund and
will cause money to be credited to said account, from
time to time, out of net revenues from the water
WV
Res No 82
- 358
(Form of Coupon)
No.
$
On the 1st day of March (September), 19 the City of Plymouth,
Hennepin County, Minnesota, will pay to bearer, out of its General
Obligation Water Revenue Bond Sinking Fund at
Bank of , in the City of
Minnesota, the amount shown hereon for interest then due on its
General Obligation Water Revenue Bond of 1982, dated September 1,
1982.
(facsimile signature)
Mayor
(facsimile signature)
City Manager
2. The City shall continue to operate its Water Utility Fund to
which shall be credited all gross revenues of the water system and out
of which shall be paid all normal and reasonable expenses of current
operations of the water system. Any balance therein shall be deemed
net revenues and shall be transferred, from time to time, in suffi-
cient amounts, to a General Obligation Water Revenue Bond Sinking Fund
hereby credited, which fund shall be used to pay the Water Revenue
Bonds issued hereunder and any other bonds similarly authorized.
There shall always be retained in such fund an amount sufficient
to pay principal of and interest on all bonds payable from said fund,
and the City Finance Director shall report any current or anticipated
deficiency in sdch fund to the Council.
3. The City Council covenants and agrees with the holders of
the Water Revenue Bonds issued hereunder that so long as any of said
Bonds remain outstanding and unpaid, it will keep and enforce the
following covenants and agreements:
(a) The City will continue to maintain and efficiently
operate the municipal water system as a public utility
and convenience and will cause all revenues therefrom
to be deposited in a bank account and credited to the
Water Utility Fund as hereinabove provided, and will
make no expenditures from said account except for a
duly authorized purpose and in accordance with this
resolution.
(b) The City will also maintain a separate account for the
General Obligation Water Revenue Bond Sinking Fund and
will cause money to be credited to said account, from
time to time, out of net revenues from the water
(c) The City will keep and maintain proper and adequate
books of record and account separate from all other
records of the City in which will be complete an
correct entries as to all transactions relating to the
water system and which shall be open to inspection and
copying by any bondholder, his agent or attorney, at
any reasonable time, and it will furnish certified
transcripts therefrom upon request and upon payment of
a reasonable fee therefor, and said accounts shall be
audited at least annually by a oualified public
accountant and statements of such audit and report will
be furnished to all bondholders upon request.
(d) The City Council will cause all persons handling
revenues of the water system to be bonded in reasonable
amounts for the protection of the City and the bond-
holders and will cause the funds collected on account
of the operations of the water system to be deposited
in a bank or banks whose deposits are guaranteed under
the Federal Deposit Insurance Law.
(e) The Council will keep the water system insured at all
times against loss by fire, tornado and other risks
customarily insured against, with an insurer or
insurers in good standing, in such amounts as are
customary for like plants, to protect the holders, from
time to time, of the bonds issued hereunder and the
City from any loss due to any such casualty and will
apply the proceeds of such insurance to make good any
such loss.
(f) The City and each and all of its officers will punc-
tually perform all duties with reference to the water
system as required by the laws of the State of
Minnesota.
(g) The City will impose and collect charges of the nature
authorized by Minnesota Statutes, Section 444.075, at
the times and in the amounts required to produce net
revenues adequate to pay all principal and interest
when due on the Water Revenue Bonds and to create and
maintain such reserves securing said payments as may be
provided in the authorizing resolution.
(h) The City Council will levy general ad valorem taxes on
all taxable property in the City, when required to meet
any deficiency in net revenues.
4. With respect to the Water Revenue Bonds all the terms and
provisions of this resolution shall be and constitute a covenant on
the part of the City to and with each and every holder from time to
time of said Bonds issued hereunder.
The motion for the adoption of the foregoing resolution was duly
seconded by Councilmember Neils , and upon vote being
taken thereon, the following voted in favor: Mayor Davenport, Council -
members Moen, Neils, Schneider and Threinen
and the following voted against: none
whereupon said resolution was declared duly passed and adopted.
y..r
Exhibit "A"
NOTICE OF SALE
$2,350,000 General Obligation Bonds of 1982,
consisting of
$1,825,000 General Obligation Improvement Bonds of 1982
AND
$525,000 General Obligation Water Revenue Bonds of 1982.
City of Plymouth
Hennepin County, Minnesota
NOTICE IS HEREBY GIVEN that sealed bids for the purchase of
the above Bonds will be received in the office of the City Manager,
City Hall, Plymouth, until 6:30 p.m. on Monday, August 16, 1982 at
which time the bids will be opened and tabulated for presentation to
the City Council for consideration at its regular ®seting at 7:30 p.m.
on the same day. The Bonds consist of $1,825,000 General Obligation
Improvement Bonds of 1982 (the "Improvement Bonds") and $525,000
General Obligation Water Revenue Bonds (the "Water Revenue Bonds").
Dated September 1, 1982, the bonds will mature on March 1 in the years
and amounts as follows:
All bonds will be issued without right of prior redemption. Interest
will be payable on March 1, 1983, and semiannually thereafter. Each
rate must be in an integral multiple of 5/100 of 1% and no rate may
exceed the maximum rate permitted by law on the date of sale. Minimum
price, $2,303,945; good faith check, $47,000. An unqualified legal
opinion will be furnished by LeFevere, Lefler, Kennedy, O'Brien &
Drawz, a Professional Association, of Minneapolis, Minnesota. The
purposes of the bonds are to finance various assessable public
improvements and to finance improvements to the City's water sytem,
respectively.
BY ORDER OF THE CITY COUNCIL
/s/ Laurie Houk
City Clerk
Dated: July 19, 1982.
Improvement
Water
Year
Bonds
Revenue Bonds
Combined
1984
$100,000
$25,000
$125,000
1985
225,000
25,000
250,000
1986
225,000
25,000
250,000
1987
225,000
50,000
275,000
1988
225,000
50,000
275,000
1989
200,000
50,000
250,000
1990
175,000
75,000
250,000
1991
150,000
75,000
225,000
1992
-150,000
75,000
225,000
1993
150,000
75,000
225,G00
$1,825,000
$525,000
$2,350,000
All bonds will be issued without right of prior redemption. Interest
will be payable on March 1, 1983, and semiannually thereafter. Each
rate must be in an integral multiple of 5/100 of 1% and no rate may
exceed the maximum rate permitted by law on the date of sale. Minimum
price, $2,303,945; good faith check, $47,000. An unqualified legal
opinion will be furnished by LeFevere, Lefler, Kennedy, O'Brien &
Drawz, a Professional Association, of Minneapolis, Minnesota. The
purposes of the bonds are to finance various assessable public
improvements and to finance improvements to the City's water sytem,
respectively.
BY ORDER OF THE CITY COUNCIL
/s/ Laurie Houk
City Clerk
Dated: July 19, 1982.
CITY OF PLYMOUTH )
I, the undersigned, being the duly qualified and acting City
Clerk of the City of Plymouth, 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 said City held on Monday,
July 19, 1982, with the original thereof on file in my office and the
same is a full, true and complete transcript thereof, insofar as the
same relates to the issuance and sale of $2;350,000 General Obligation
Bonds of 1982, consisting of $1,825,000 General Obligation Improvement
Bonds of 1982 and $525,000 General Obligation Water Revenue Bonds of
1982 of the City.
WITNESS My hand as such City Clerk and the corporate seal of
the City this day of , 1982.
(SEAL)
City Clerk
City of Plymouth, Minnesota
f♦
' '
STATE OF MINNESOTA
)
SS..
COUNTY OF`HENNEPIN
P ,
CITY OF PLYMOUTH )
I, the undersigned, being the duly qualified and acting City
Clerk of the City of Plymouth, 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 said City held on Monday,
July 19, 1982, with the original thereof on file in my office and the
same is a full, true and complete transcript thereof, insofar as the
same relates to the issuance and sale of $2;350,000 General Obligation
Bonds of 1982, consisting of $1,825,000 General Obligation Improvement
Bonds of 1982 and $525,000 General Obligation Water Revenue Bonds of
1982 of the City.
WITNESS My hand as such City Clerk and the corporate seal of
the City this day of , 1982.
(SEAL)
City Clerk
City of Plymouth, Minnesota