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HomeMy WebLinkAboutCity Council Resolution 1969-082IV EXTRACT OF MINUTES OF MEETING OF THE VILLAGE COUNCIL OF THE VILLAGE OF PLYMOUTH HENNEPIN COUNTY, MINNESOTA Pursuant to due call and notice thereof, a meeting of the Village Council of the Village of Plymouth, Minnesota, was duly held at the Village Hall in said village on Monday, the 7th day of April, 1969, at 7:30 o'clock P.M. The following members were present: Mayor Hilde, Councilmen Hintz, Humphrey and Johnson. The following members were absent: There was one council seat vacant. Councilman Johnson introduced the following resolution and moved its adoption: #69-82 A RESOLUTION PROVIDING FOR THE ISSUANCE AND SALE OF $54,000 GENERAL OBLIGATION SEWER REVENUE BONDS FOR THE PURPOSE OF PROVIDING MONEY FOR THE REPAIR OF SANI- TARY SEWERS IN THE VILLAGE WHEREAS, the Village of Plymouth has sustained unusual and serious damages to a portion of its sanitary sewer system by reason of the unlawful and improper discharge into said system of industrial acids and wastes by one of its users and, WHEREAS, repair and reconstruction of such damaged portions of said sanitary sewer system is immediately essential and necessary and, WHEREAS, contracts for such repair and reconstruction have been awarded and, WHERF,AS, the Village of Plymouth will be required to expend funds in addition to the costs incurred by reason of the said contract awards and, WHEREAS, the Village is authorized under Minnesota Statutes, Section 444.075, for the purposes of paying the cost of repairing and reconstructing facilities for disposing of sewage or industrial wastes, to issue and sell general obligations payable primarily from taxes or from net revenue, derived from sewer service charges, and WHEREAS, the Village Council has determined that it is necessary and expedient to use the authority granted by said section, NOW, THEREFORE, BE IT RESOLVED BY the Village Council of the Village of Plymouth, Minnesota, as follows: 1. It is hereby determined that it is necessary and ex- pedient to proceed immediately with the repair and reconstruction of a portion of the sanitary sewer system of the village and to finance the same by the issuance of general obligation sewer revenue bonds as authorized by Minnesota Statutes, Section 444.075. 2. There is hereby established a Sanitary Sewer Fund which shall be kept and maintained as a separate fund of the village during the time that any bonds authorized by this resolution are issued and outstanding. There shall be maintained within said fund the following subaccounts: (a) A Sewer O rations Account, into which shall be paid all sewer service and use c arges imposed and col- lected by the municipality. There shall always be lain- tained in said account an amount sufficient to pay anti- cipated expenses of current operations, including neces- sary repairs of the sanitary sewer system of the village during the ensuing quarterly period. The balance shall be deemed net revenues and shall be transferred at the end of each quarter to the Sewer Bond Sinking Fund in the manner hereinafter provided. (b) A Sewer Bond Sinking Fund, to which there shall be credited quarterly the entire net revenues in the Sewer Operations Account until there is credited thereto an amount equal to the amount of interest due on the next succeeding interest payment date and the amount of prin- cipal due on the next succeeding principal payment date on all bonds issued under this resolution. (c) A Construction Account, to which shall be credited all proceeds from the sale of the bonds issued hereunder and additional amounts appropriated for the payment of costs of construction of such waste collection and treatment system by subsequent resolution of the . village council. Out of such funds or account shall be paid all costs necessary and incidental to the completion of such sanitary sewer project. After completion of the entire project, any balance then remaining in the Construction Account shall be transferred to the Sewer Bond Sinking Fund. 3. The village shall issue and sell General Obligation Sewer Revenue Bonds in the aggregate principal amount of $54,000, said bonds to be 1 in number and numbered 1 and in the denomination of $54,000 bearing date May 1, 1969, bearing interest at the rate or rates hereinafter determined at public sale, all interest payable November 1, 1969, and semiannually thereafter on May lot and November lot in each year, and which bond shall mature on May 1, 1972, said bond being subject to redemption on any interest payment date at par and accrued interest. - 4. The bond to be issued hereunder, and the interest coupons to be thereto attached, shall be in substan- tially the following form: -2- No. UNITED STATES OF AMERICA STATE OF MINNESOTA COUNTY OF HENNEPIN VILLAGE OF PLYMOUTH GENERAL OBLIGATION SEWER REVENUE BOND OF 1969 $54,000 KNOW ALL MEN BY THESE PRESENTS That the Village of Plymouth, Hennepin County, Minnesota, hereby acknowledges that it is obligated and, for value received, promises to pay to bearer, out of the Sewer Bond Sinking Fund, on the 1st day of May, 1972, the sum of FIFTY FOUR THOUSAND DOLLARS, and to pay interest thereon out of said fund from the date hereof until the principal sum is paid at the rate of all interest to maturity payable November 1, 1969, and semi- annually thereafter on the lst day of May and the 1st day of November in each ,ear, 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 FIRST NATIONAL BANK OF MINNEAPOLIS in the City of Minneapolis, 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. All bonds of this issue are subject to redemption, at the option of the village, on any interest payment date, at par and accrued interest, upon thirty days prior notice given in the manner provided by law. This bond is the only bond of an issue in the total principal amount of $54,000, which bond has been issued for the purpose of providing money for repair and reconstruction of the sanitary sewer system of the village as authorized by Minnesota Statutes, Section 444.075, and the principal hereof and interest hereon are payable from the net revenues of the sanitary sewer system of the villagi, out of the Sewer Bond Sinking Fund of the village, as set forth in a resolution entitled, "A Resolution Providing for the Issuance and Sale of $54,000 General Obligation Sewer Revenue Bonds for the Purpose of Providing Money for the Repair of Sanitary Sewers in the Village," to which reference is made for a full statement of rights and powers hereby con- ferred. The full faith and credit of the village is pledged for its payment and the Village Council has obligated itself to levy taxes on all of the taxable property in the village in the event of any deficiency, which taxes may be levied without limitation as to rate or amount. IT IS HEREBY CERTIFIED AND RECITED That in and by the authorizing resolution, the village has covenanted and agreed that it wi',continue to own and operate the sanitary sewer system, frei from competition by other .like utilities and free from all liens thereon; that adequate insurance on said plant and system and suitable fidelity bonds on employees will be carried; that proper and adequate books of account -3- will be kept showing all receipts and disbursements relating to the sanitary sewer system; that it will create and maintain a Sanitary Sewer Fund into which it will pay all of the gross revenues from the sanitary sewer system; that it will create and maintain a Sewer Bond Sinking Fund into which it will pay all of the net revenues from the system; and that it will pro- vide in the Sewer Bond Sinking Fund a sum sufficient to pay principal hereof and interest hereon when due. IT IS FURTHER 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 per- formed 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; and that the Village Council has, by a resolution duly adopted, created the Sewer Bond Sinking Fund and will provide for the payment of principal of and interest on this bond as the same become due. IN WITNESS WHEREOF, the Village of Plymouth, Hennepin County, Minnesota, by its Village Council, has caused this bond to be executed in its behalf by the manual signature of the Mayor and the manual signature of the Village Clerk, and the corporate seal of the village to be hereto affixed, and has caused the interest coupons hereto attached to be executed nd authenticated by the manual signature of sid officers, a?l as of May 1, 1969. (Form of Coupon) No. $ On the 1st day of November (May), 19 , the Village of Plymouth, Hennepin County, Minnesota, will pay to bearer, out of its Sewer Bond Sinking Fund, at First National Bank of Minneapolis in the City of Minneapolis, Minnesota, the amount shown hereon for interest then due on its General Obligation Sewer Revenue,Bond of 1969, dated May 1, 1969, No. -4- 5. The bonds shall be printed under the direction of the clerk and when so prepar3d shall be executed on behalf of the village by the manual signature of the mayor and the manual signature of the village clerk and the seal of the village shall be affixed thereto, and the interest coupons shall be executed and authenticated by the manual signature of such officers. 6. The principal of and interest on the bonds to be issued hereunder shall be payable from the Sewer Bond Sinking Fund, but the full faith and credit of the village is pledged for their payment, and the village council has obligat d itself to levy taxes on all of the taxable property in the village in event of any deficiency, which taxes may be levied without limitation as to rate or amount. 7. The village treasurer shall cause proper books of account to be kept separately as to the sanitary sewer system, showing: (a) The total amount of charges and penalties made against each customer, (b) the date and amount of each statement rendered, (c) the date and amount of each payment thereon, (d) the date, amount and purpose of each disburse- ment on account of the operation, repair and maintenance of the system, (e) the amount set aside for operation and mainten- ance, and (f) the total amount of revenue bonds of this issue out"tanding and the date and amount of all payments of interest and principal thereon. 8. The village council covenants and agrees with the holder of the bond issued hereunder that so long as said bond remains outstanding and unpaid, it will keep and enforce the following covenants and agreements: (a) The council will make the repairs and reconstruc- tion of the sanitary sewer system in accordance with plans and specifications heretofore adoptee and approved by the village council, and will use the proceeds from the bonds for such purpose, and any balance remaining therefrom will be credited to the Sewer Bond Sinking Fund. (b) The village will continue to maintain and efficiently operate the plan and system as a public utility and convenience and will cause all revenues therefrom to be deposited in a bank account and credited to the Sanitary Sewer Fund as hereinabove provided and will make no expenditures from said account except for a duly authorized purpose and in accordance with this resolution. (c) The village 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, together with the taxes designated herein, as a primary source of payment of the obligations, net revenues adequate to pay all principal and interest -5- when due on the obligations and to create and maintain such reserves securing said payments as may be provided herein. (d) The village will keep and maintain proper and adequate books of record and account separate from all other records of the village, in which will be complete and correct entries as to all transactions relating to the sanitary sewer system and which shall be open to in- spection 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 qualified public accountant and statements of such audit and report will be furnished to all bondholders upon request. (e) The village council will levy ad valorem taxes on all taxable property in the village in the amrunt estimated to be required to meet when due all priacinal and interest payments on the bonds whenever it is uetermined that net revenues from the sanitary sewer system will be insufficient for the purpose. (f) The village council will cause all persons handling revenues of the sanitary sewer system to be bonded in reasonable amounts for the protection of the village and the bondholder and will cause the funds collect on account of the operation of the sanitary sewer system to be deposited in a bank or banks whose deposits are guaranteed under the Federal Deposit Insurance Law. (g) The council will keep the sanitary sewer system insured at all times against loss from risks customarily insured against, with an insurer or insurers in good standing in such amounts as are customary for like plants, to protect the holder from time to time of the bond issued hereunder and the village from any loss due to such casualty and will apply the proceeds of such insurance to make good any such loss. (h) The village and each and all of its officers will punctually perform all duties with reference to the waste collection and treatment system as required by the laws of the State of Minnesota. 9. The bond to be issued hereunder shall be sold at public sale and the village council shall meet at the Council Room of the Village Hall in the Village of Plymouth, Minnesota, on Monday, the 5th day of May, 1969, at 7:30 o'clock P.M. for the purpose of receiving and considering bids for such bond. The village clerk shall publish customary notices of sale and shall furnish the approving legal opinion of Messrs. Howard, LeFevere, Lefler, Hamilton and Pearson, Minneapolis, Minnesota. The bond shall be payable at any suitable bank designated by the purchaser within 24 hours after the award of the bond, and the charges of such bank for its services as paying agent shall be paid by the village and charged as an expense of the sanitary sewer system. 10. The village clerk and treasurer are hereby authorized and directed to furnish to the purchaser of said bond and to the attorneys examining the proceedings and furnishing a legal opinion to the purchaser, certified copies of all ordinances, -6- resolutions and records of the village relating to said bond or to the right, power and authority of the village, by its council, to issue the same, and such certified copies or certificates shall be deemed representations of the village as to all facts stated therein. 11. All the terms and provisions of this resolution shall be and constitute a covenant on the part of the village to and with each and every holder from time to time of the bonds issued hereunder. The motion for the adoption of the foregoing resolu- tion was duly seconded by Councilman Humphrey , and upon vote being taken thereon, the following voted in favor thereof: Mayor Hilde, Councilman Humphrey, Hintz and Johnson. aand the following voted against the same: None whereupon said resolution was declared duly passed and adopted. STATE OF MINNESOTA ) ) COUNTY OF HENNEPIN ) SS VILLAGE OF PLYMOUTH ) I, the undersigned, being the duly qualified and acting Clerk of the Village of Plymouth, Minnesota, do hereby • certify that I have carefully compared the attached and fore- going extract of the minutes of a regular meeting of the Village Council of said village held April 7, 1969, with the original thereof on file in my office, and the same is a Full, true and complete transcript therefrom insofar as the same relates to the issuance and sale of $54,000 General Obligation Sewer Revenue Bonds of 1969 of the village. WITNESS My hand)AVillage such Clerk and the seal of the village this�(9�9. �\ a Clerk//. lymouth nnesota (SEAL) -7-