Loading...
HomeMy WebLinkAboutCity Council Resolution 1988-380Extract 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: Mayor Schneider, Councilmembers Vasiliou, Ricker, Zitur and Sisk and the following were absent: None The following resolution was , presented by Councilmember Sisk who moved its adoption: RESOLUTION NO. 380 RESOLUTION PROVIDING FOR THE ISSUANCE AND SALE OF $1,025,000 GENERAL OBLIGATION TAX INCREMENT BONDS, SERIES 1988A, BE IT RESOLVED By the City Council of the City of Plymouth, Hennepin County, Minnesota (City) as follows: 1. It is hereby determined that: (a) the City has duly established Development District No. 1 (Project) pursuant to Minnesota Statutes, Chapter 469 (Act). (b) the City has duly established tax increment financing districts (TIF Districts) within the Project pursuant to the Act. . (c) the City is authorized by Section 469.178 of the Act to issue and sell its general obligations to pay a portion of the public development costs (Costs) related to the Project as identified in the Development Program (Plan) for the Project. (d) the City has identified the following Costs to be financed in part by the Bonds: Project Costs (Estimated) Property Acquisition Engineering - Contingency Construction Contracts Total Project Cost Costs to be Finance by Bonds of this Issue Property Acquisition Engineering Construction Issuance Expense Subtotal Discount Bonds Total Bond Issue $1,800,000 500,000 5 700 000 8,000,000 217,600 62,500 712,500 14,500 $1,007,100 17,900 ;1,025,000 (e) it is necessary and expedient to the sound financial management of the affairs of the City to issue $1,025,000 General Obligation Tax Increment Bonds, Series 1988A to provide a portion of financing for the Costs. 2. In order to provide financing for the Costs, the City will therefore issue and sell Bonds in the amount of $1,007,100. 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 $17,900. The excess of the purchase price of the Bonds over the sum of $1,007,100 will be credited to the debt service fund for the Bonds for the purpose of paying interest first coming due on the Bonds. The Bonds will be issued, solei and delivered in accordance with the terms of the following Official Notice of Sale: OFFICIAL NOTICE OF SALE $1,025,000 General Obligation Tax Increment 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 Securit The purpose of the bonds is to provide funds for the finan- cing of public redeve.&opment costs in an economic development project 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 tax increments from the project. 11 Date and Maturities The bonds will be issued only in fully registered form, will be dated August 16, 1988, will be in denominations of integral multi- ples of $5,000 each and will mature on February 1, in the years and amounts'as follows: Year Amount 1991 $150,000 1992 150,000 1993 175,000 1994 175,000 1995 175,000 1996 200,000 Redemption The City may elect.on.February 1, 1994 or on any interest payment date thereafter to redeem and prepay bonds of this issue maturing on or after February 1, 1995 at a price of par plus accrued interest to date 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 February 1, 1989, and semiannually thereafter on each August 1 and February 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 Tile Bonds when issued will be registered in the name of Cede & 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 and will deliver the 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 pur- chase 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 6 Prawz, 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 tax increments, 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 $20,500 must -be submitted with each bid-. The good faith deposit must be in the form of a certified or cashiers check or bank -draft or a wire transfer of funds to Resource Bank b Trust Company, ABA i09-19-0550-6 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 blinds.. 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 $1,007,100 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. BY ORDER OF THE CITY COUNCIL /s/ Laurie Rapenhorst 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 $1,025,000 GENERAL OBLIGATION TAR INCREMENT BONDS, SERIES 1988A CITY OF PLYMOUTH, HENNEPIN COUNTY, MINNESOTA (GLOBAL BOOK 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, 1988, will bear Interest payable semiannually on each February I and August 1, commencing February 1, 1989, and will mature on February 1 in the years and amounts as follows: Year Amount 1991 $150,000 1992 150,000 1993 175,000 1994 175,000 1995 175,000 1996 200,, 000 The City may elect on February 1, 1994 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, 1995, 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 $1,007,100 plus accrued Interest. A legal opinion on the bonds will be furnished by LeFevers, Lefler, Kennedy, O'Brien 6 Drawz, a Professional Association, Minneap- olis, Minnesota. The proceeds of the bonds will be used to finance public development costs related to.a Municipal Development District 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.