HomeMy WebLinkAboutCity Council Resolution 1986-271Extract 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, May S, 1986, commencing at 7:00
o'clock P.M.
The follaw.ng members were present:
Mayor Schne der, Councilmembers Crain, Sisk, Vasiliou and Zitur
and the following were absent:
none
The following resolution was presented by Councilmember Sisk
who moved its adoption:
RESOLUTION NO. 86-271
RESOLUTION PROVIDING FOR THE ISSUANCE
AND SALE OF $1,650,000 GENERAL OBLIGATION
{MATER AND SEWER REVENUE BONDS, SERIES 1986E
BE IT RESOLVED By the City Council of the City of Plymouth,
Hennepin County. Minnesota (City) as follows:
1. It is hereby determined:
(a) That the city engineer has recommended the construction
of various improvements to and extension of (Project)
the City's water and sever system (Utilities).
(b) That the City is authorized by Minnesota Statutes,
Section 444.075 and Chapter 475 (Act) to finance all or
a portion of the cost of the Project by the issuance of
general obligation bonds of the City payable from the
net revenues of the Utilities which Costs are presently
estimated by the engineer to be as
follows:
Project Designation 6 Description
008-001 Pike Lake Phase
Wells 8 S 9
011 Bass Lake Plaza
Sewer i Water
Amount to finance
Discount allowance
Finance related fees
Subtotal
Lose: Interest earned
Amount of bonds
II
Area -Trunk
Total Project Cost
653,400
900,000
110,000
$1,663,400
24,750
20,000
$1,708,150
58,150
$1,650,000
(c) That it is necessary and expedient to the sound finan-
10 cial management of the affairs of the City to issue
$1,650,000 General Obligation Water and Sewer Revenue
Bonds. Series 1986E (Bonds) pursuant to the Act to
provide financing for the Project.
2. In order to provide financing for the Project, the City
shall therefore issue and sell Bonds in the amount of $1,625,250. In
order to provide in part the additional interest required to market
the Bonds at this time, additional Bonds shall be issued in the amount
of $24,750. Any excess of the purchase price of the Bonds over the
sum of 1,625,250 shall be credited to the debt service fund for the
Bonds for the purpose of paying interest first cooing due on such
additional Bonds. The Bonds shall be issued and sold in accordance
with the terms of the following Official Notice of Sale:
OFFICIAL
NOTICE OF SALE
$1,650,000 General Obligation Vater ind Sewer
Revenue Bonds, Series 1986B
City of Plymouth
Hennepin County, Minnesota
NOTICE IS HEREBY GIVEN that sealed bids for the above bonds
will be received in the office of the Plymouth City Manager at the
City Center, 3400 Plymouth Boulevard, Plymouth, Minnesota 55447, until
5:00 p.m. C.T. on Tuesday, May 20, 1986, at which time the bids will
be opened and tabulated for presentation to and consideration by the
City Council at a special meeting at 5:30 p.m. C.T. on the same day.
The bonds are offered on the following terms.
Purpose and Security
The purpose of the bonds is to provide funds for the finan-
cing of various improvements to the water and sever systems in the
City. The bonds will be general obligations of the issuer, for which
Its full faith, credit and taxing powers are pledged together with net
revenues of the sever and water systems of the City.
Date and Maturities
The bonds will be issued in fully registered form, will be
dated June 1, 1986. will be in integral multiples of $3.000 each and
will mature on March 1 in the following years and amounts:
Year
Amount
Year
Amount
1988
$ 75,000
1993
$225,000
1989
100,000
1994
250,000
1990
100,000
1995
275,000
1991
100,000
1996
300,000
1992
225,000
Redemption
The City may elect on March 1, 1994 to redeem and prepay
bonds of this issue in whole or in part, in inverse order of
maturities and by lot within maturitiess maturing in the years 1995
and 1996 at a price of par plus accrued interest to date of redemp-
tion.
Interest
Interest on the bonds will be payable on March 1, 1987,
and semiannually thereafter on each September 1 and March 1. All
bonds maturing on the same date must bear interest from data of issue
until paid at a single, uniform rate, not exceeding the rate specified
for bonds of any subsequent maturity. Each rate
gral multiple of 5/100 of 1%. and no rate of
effective average rate of the issue may exceed
interest permitted by law on the day of sale.
Paying Agent
must be in an inte-
interest nor the net
the maximum rate of
The City will name the Registrar which shall be subject to
applicable SEC regulations. Principal will be payable at the prin-
cipal office of the Registrar and interest will be payable by check or
draft of the Registrar mailed to the registered holder of a bond. The
City will pay the reasonable and customary charges for the services of
the Registrar.
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 farmlob and deliver
to the office of the purchaser or, at its option, will deposit with a
bank in the United States selected by it and approved by the City as
Its agent to permit examination by and to deliver to the porebaser,
the printed and executed bonds, the unqualified opinion thereon of
bond counsel, and a certificate stating that so litigaties 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 in funds available for expenditure by the
City on the day of payment.
Legal Opinion
An unqualified legal opinion on the bonds will be furnisbed
by LeTevere, Lefler, Kennedy, O'Brien i Draws, 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
state that the bonds are valid and biding general obligations of the
City, and that the City is obligated and required to IM taxes
for the principal and 'interest thereon as the sane become dme without
limit as to rate or amount.
Tsps of Bid - Amount
Sealed bids suet be mailed or delivered to the undersigned
and must be received prior to the time of said mating. Lseb bid most
be unconditional and soot be accompanied by a casbier's or certified
check or bank draft in the amount of $33,000, payable to the City
Treasurer, to be retained by the City as liquidated damages if
the bid is accepted and the bidder fails to comply therewith. The bid
authorizing the lowest net interest cost (total interest from date of
bonds to stated maturities, less any cash premium or plus any amount
less than $1,650,000 bid for principal) will be dewed the sost
favorable. No oral bid and no bid of less than $1,625,250 for princi—
pal 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 valve
any informality in any bid.
BY ORDER OF THE CITY COUNCIL
/s/ Laurie Houk
City Clerk
Dated: May 5, 1986.
3. The City Clerk is authorized and directed to advertise the
Bonds for sale in accordance with the foregoing Official 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 Wednesday, May 20, 1986, at 5:30 o'clock p.m.
for the purpose of considering sealed bids on the Bonds and taking any
other appropriate action.
4. In the resolution awarding the sale of the Bonds the City
Council shall set forth the covenants and undertakings required by the
Act.
The motion for the adoption of the foregoing resolution was
duly seconded by Councilmember Zitur
and upon vote
being taken thereon, the following voted in favor of the motion:
Mayor Schneider, Councilmembers Crain, Sisk, Vasiliou and Zitur
and the following voted against:
0 none
whereupon said resolution was declared duly passed and adopted.
EREIBIT A
NOTICE OF BOND SALE
$1,650,000
GENERAL OBLIGATION
WATER AND SEWER REVENUE BONDS,
SERIES 1986E
CITY OF PLYMOUTH, MINNESOTA
HENNEPIN COUNTY
NOTICE IS HEREBY GIVEN that sealed bids for the above bonds will
be received in the office of the Plymouth City Manager at the City
Center, 3400 Plymouth Boulevard, Plymouth, Minnesota 55447, until 5:00
p.m. C.T. on Tuesday, May 20, 1986, at which time the bids will be
opened and tabulated for presentation to and consideration by the City
Council at a special meeting at 5:30 p.m. C.T. on the same day. The
Bonds are offered on the following terms. The Bonds will be dated
June 1, 1986, will bear interest payable semiannually on each March 1
and September 1 to maturity, commencing March 1, 1987, and will mature
on March 1 in the year and amounts as follows:
Year
Amount
Year
Amount
1988
$ 75,000
1993
$225,000
1989
100,000
1994
250,000
1990
100,000
1995
275,000
1991
100,000
1996
300,000
1992
225,000
The City may elect on March 1. 1994 to redeem and prepay bonds of this
Issue in whole or in part, in inverse order of maturities and by lot
within maturities, maturing in the years 1995 and 1996 at a price of
par plus accrued interest to date of redemption.
No rate of interest nor the net effective rate of the issue may exceed
the maximum rate permitted by law. Bidders Dust specify a price of
not less than $1,625,250 plus accrued interest. A legal opinion on
the Bonds will be furnished by LeFevere, Lefler, Kennedy, O'Brien 6
Drawz, a Professional Association, Minneapolis, Minnesota. The
proceeds of the Bonds will be used to finance a portion of the costs
of various improvements to the water and sever system of 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, the provisions
of the latter shall be those to be complied with.
BY ORDER OF THE CITY COUNCIL
/s/ Laurie Houk
City Clerk
Dated: May 5, 1986.
STATE OF MINNESOTA )
COUNTY OF HENNEPIN )
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 a
special meeting of the City Council of said City held on Monday, May
5, 1986, with the original thereof on file in my office and the same
Is a full, true and correct copy thereof, insofar as the same relates
to the issuance and sale of ;1,650,000 General Obligation Water and
Sewer Revenue Bonds, Series 1986B, of the City.
0 WITNESS My hand as such City Clerk and the corporate seal of
the City this day of
(SEAL)
, 1986.
City Clerk
City of Plymouth, Minnesota