HomeMy WebLinkAboutCity Council Resolution 1988-379Extract 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 the City on Monday, June 27, 1988, commencing at 7:30 P.M.
The following members of the Council were present:
Councilmembers Vasiliou, Ricker, Zitur and Sisk
and the following were absent: None
eee
ref
Mayor Schneider,
ee•
The following resolution was presented by Councilmember
'Sisk who moved its adoption:
RESOLUTION NO. 379
RESOLUTION PROVIDING FOR THE ISSUANCE
AND SALE OF $3,950,000 GENERAL OBLIGATION IMPROVEMENT
BONDS, SERIES 1988A
BE IT RESOLVED By the City Council of the City of Plymouth,
Hennepin Canty, Minnesota (City) as follows:
1. It is hereby determined that:
(a) the following assessable public improvements (the
Improvements) have been made, duly ordered or contracts
let for the construction thereof, by the City pursuant
to the provisions of Minnesota Statutes, Chapter 429
(Act):
,. Project Designation 6 Description:
1988 Improvement Projects
630 Harrison Hills Sanitary Sewer
655 Fernbrook Lane Adj. to Ring North Addn.
660 Woodcreek Addn. Drainage Improvements
720 Fernbrookwoods Addn. Improvements
737 Tyrell 5th Addition Improvements
751 Carlson Center 8th Addn. Improvements
813 22nd Ave. in Steeplechase Addn.
815 Revere Lane Improvements
816 West Med. Lake Dr./Hly. 55 Frontage Rd.
Amount to Finance
Dis. unt Allowance
Finance related fees
Capitalized Interest
Subtotal
Less: Interest warned
Amount of 429 Bond Issue
(b) it is necessary and expedient
management of the affairs
$3,950,000 General Obligation
1988A (Bonds) pursuant to the
for the Improvements.
Total Project Cost
$ 91,000
106,000
60,000
560,000
141,000
202,500
262,500
1,774,000
732.000
$3,929,000
$3,929,000
69,125
28,500
0
4,026,625
76,625
#3,950,000
to the sound financial
of the City to issue
Improvement Bonds, Series
Act to provide financing
2. In order to provide financing for the Improvements, the City
will therefore issue and sell Bonds in the amount of #3,880,875. 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 $69,125. The excess of the purchase price of the Bonds over the
sum of $3,880,875 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 Notice of Sale:
OFFICIAL NOTICE OF SALE
$3,950.000 General Obligation Improvement
Bonds, Series 1988A
City of Plymouth
Hennepin County, Minnesota
(Global Book Entry System)
NOTICE IS HEREBY GIVEN that sealed bids for the above bonds
will be received until 6:30, p.m., C.T. on Monday, August 1. 1988, in
the offices of the City Manager, City Hall, 3400 Plymouth Boulevard,
Plymouth, Minnesota 55447, at which time the bids will be opened and
tabulated for consideration by the City Council at a meeting at 7:30
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 assessable public improvements in the City. The bonds will be
general obligations of the City, for which its full faith, credit and
taxing powers are pledged together with special assessments against
benefitted properties.
Date and Maturities
The bonds will be issued only in fully registered global
book entry form, will be dated August 16, 1988, will be in denomina-
tions of integral multiples of $5,000 each and will mature on February
1, in the years and amounts as follows:
Year Amount
1991
$775,000
1992
800,000
1993
850,000
1994
825,000
1995
700,000
Redemption
The City may elect on February 1, 1993 or on any interest payment
date thereafter to redeem and prepay bonds of this issue maturing on
or after February 1, 1994 at a price of par plus accrued interest to
data of redemption. Prepayment may be in whole or in part and will be
In inverse order of maturities and by lot within maturities.
Interest
Interest on the bonds will be payable on August 1, 1989, and
semiannually thereafter on each February 1 and August 1. 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 1/20 or 1/8 of 1%.
Registration: Book Entry .
The Bonds when issued will be registered in the name of Cede
6 Co., as nominee of the Depository Trust Company, New York, New York
(DTC). DTC will act as securities depository for the Bonds. Individ-
ual purchases will be made in book entry form only in principal
amounts of $5,000 and integral multiples thereof. Purchasers will not
receive certificates representing their interest in the Bonds pur-
chased. Principal and interest will be paid by the City to DTC who
will in turn remit such principal and interest to its participants for
subsequent disbursement to the beneficial owners of the Bonds.
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 deliver the bonds
to DTC, the unqualified opinion thereon of bond counsel, and a certif-
icate 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 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, 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 binding general obligations of the
City payable primarily from special assessments against benefitted
properties and that the City is required by law 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 established above for the opening
of bids. Each bid must be unconditional. A good faith deposit in the
amount of $79,000 must be submitted with each bid. The good faith
deposit must be in the form of a certified or cashier's check or bank
draft or a wire transfer of funds to Resource Bank 6 Trust Company,
ABA X109-19-0550-6 for further credit to Ehlers and Associates, Inc.,
Bond Issue Escrow Account #850-788-1, attention Nancy Allen. The good
faith deposit will be retained by the City as liquidated damages if
the bid is accepted and the bidder fails to comply therewith. The
good faith deposit will be returned to the purchaser at the closing
for the bonds. The bid authorizing the lowest net interest cost
(total interest from date of bonds to stated maturities less any cash
premium or plus any discount) will be deemed the most favorable. No
oral bid and no bid of less than $3,880,875 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 informality in any bid.
a• .
BY ORDER OF THE CITY COUNCIL
/s/ Laurie Rauenhorst
City Clerk
Dated: June 27, 1988.
3. The 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 will
meet at 7:30 p.m. on Monday, August 1, 1988, to consider bids on the
Bonds and take any other appropriate action with respect to the Bonds.
The motion for the adoption of the foregoing resolution was
duly seconded by Councilmember Zitur , and upon vote being
taken thereon the following members voted' in favor of the motion:
Mayor Schneider, Councilmembers Vasiliou, Ricker, Zitur and Sisk
and the following voted against: None
whereupon the resolution was declared duly passed and adopted.
Exhibit A
NOTICE OF BOND SALE
$3,950,000
GENERAL OBLIGATION IMPROVEMENT
BONDS, SERIES 1988A
CITY OF PLYMOUTH,
HENNEPIN COUNTY, MINNESOTA
(GLOBAL BOOR ENTRY SYSTEM)
NOTICE IS HEREBY GIVEN that sealed bids for the purchase of the
above bonds will be received until 6:30, p.m., C.T. on Monday, August
1, 1988, In the offices of the City Manager, City Hall, 3400 Plymouth
Boulevard, Plymouth, Minnesota 55447, at which time the bids will be
opened and tabulated for consideration by the City Council at a
meeting at 7:30 p.m. on the same day. The bonds are offered on the
following terms. The bonds will be dated August 16, 1.988, will bear
interest payable semiannually on each August 1 and February 1, com-
mencing August 1, 1989, and will mature on February i in the years and
amounts as follows:
Year Amount
1991
;775;000
1992
800,000
1993
850,000
1994
825,000
1995
700,000
The City may elect on February 1, 1993 or on any interest payment 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, 1994 at a price of par plus accrued
interest to'date of redemption. The bonds will be issued in Global
Book Entry form only.
Bidders must specify a price of not less than $3,880,875 plus accrued
interest. A legal opinion on the bonds will be furnished by LeFevere,
Lefler, Kennedy, O'Brien 6 Drawz, a Professional Association, Minneap-
olis, Minnesota. The proceeds of the bonds will be used to finance a
portion of the costs of various assessable public improvements 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/ Laurie Rauenhorst
City Clerk
Dated: June 27, 1988.