HomeMy WebLinkAboutResolution 76-23CITY OF COLUMBIA HEIGHTS
ADMINISTRATIVE OFFICES
590 40TH AVENUE N. E.
COLUMBIA HEIGHTS, MINN. 55421
(612) 788-9221
EQUAL OPPORTUNITY EMPLOYer
OUR NATION'S
BICENTENNIAL
BRUCE G. NAWROCK~, MAYOR
E. {~SEBE" HE]NTZ, COUNCILMAN
WALTER LOGACZ, COUNCILMAN
GAYLE R. NORBERG, COUNCILMAN
KENNETH E. HENTGES, ¢:OUNCtLMAN
"SERVICE IS OUR BUSINESS"
-w' '~.',-~'r~ ~'~'- '"3 ~'~'~T~'~ SALE~_ AUTHORIZING _.SSU~NCm, FIXING THE
DETAILS AND PROVIDIN~ FOR THE PA~Dfi~NT 0v $1 ~020,000 Cz~!TAL ib~ROVEi,iENT BONDS
.~..~ I.~REBY P-..~O~.~D I3Y THE CITY,_ COUNCIL OF THE CTTY OF COLUt. SIA. HEIGHTS,
HiNNESOTA~ AS POLLOW5;
1. l%e bid of the Fi~:st National Bank of St. Paul in St. Paul~ Hinnesota~
to purchase $1~020,000 Captiat Improvement Bonds of the City to be dated as
of April 1, 1976~ and to be issued in accordance with the notice of sale here-
tofore duly published, is hereby found and declared to be the most favorable
bid received pursuant to said notice of sale, and is hereby accepted, said
bid being to pub-chase the bonds at a price of $1,012,860 and accrued inter-.
est on a~ oonds from date thee-eof to the date of their delivery~ the bonds.
to bear interest at the annual rates shown in paragraph 3. The l{ayor and
City ~nager are authorized and directed to endorse a copy of said bid to
show the City;s acceptance and to return it to said bidder. The City Trea-
surer is directed, to retain the good ~aith check of the successful bidder
and to return all other good faith checks forthwith.
2. This Council., by its Ordinance No. 843 adopted I,%arch 8, 1976, authorized
the issuance and sale of general obligation bonds of the City in the prinai---
pal. amount of $I,000,000 to fi~nance the construction of capital improvements
of a lasting character. Ordinance NO o 843 is incorporated herein by refer-
ence, Said bonds, together with $20,000 additional bonds authorized pursuant
to ~finnesota Statutes, Section 475.672 having been sold at public sale,.
shall, be delivered to the purchaser thereof forthwith.
3~ The bonds shall be designated general obligation Capital Improvement
Bonds: shall be dated April 1~ 1976~ shall be 204 in number and numbered
from 1 to 20~, inclusive, each in the denomination of $5,000, shall nmture
serially, lowesn numbers first on October I in 'the years and amounts set
forth belo~, without option of prior payment, and shall bear interest from
date of issue un~il paid at the annual rates set forth opposite such years
and amounts as follow:
Year ~no un t o.~,a *~ ~- Year J, mount Rate
t977 $!05,000 3.50% 1981 $175,000 4.30%
1978 150,000 3.75% 1982 175,000 4.45%
1979 150,000 4~00% 1983 115,000 4.60%
!980 150,000 4.15%
Interest ar the rate applicable to each bond lrom date of issue to maturity
sha]! be represented 'by appropriate interest coupons.
interest shall be payable semiannually or) April ! and October 1 of each year,
comnencing October 1~ i976. Both principal, and interest shall be payable
at Pi~:st National Bank 'cf St. Paul~ in. ~"~. Patti, Hiunesota, and the City
hereby agrees ~to pay the reasonable and customary charges of such paying
agent for the receipt and disbursement thereof.
4. The Bonds of this issue and the coupons to beappurtentant thereto shall
be in substantially the form, a facsimile of ~hich is attached hereto and
made of part thereof.
5. The bonds and the interest coupons and the certificate on the reverse
side of each bond shall be executed and authenticated in behalf of the City
by the signatures of the Mayor and the City ~nager, and the corporate seal
of the City shall be affixed to each bond. Ail signatures and the seal shall
be printed, engraved or lithographed facsimiles except for the manual signa-
ture of one of these officers on the face of each bond. ~lnen said bonds have
been so executed and~authenticated, they shall be delivered by the Treasurer
to the purchaser thereof upon payment of the purchase price in accordance
with the contract of sale heretofore made and executed, and said purchase
shall not be obligated to see to the application of the purchase price.
6. The b~nds and the interest thereon shall be payable from the general
obligation bond sinking fund of the City; provided, that if any payment of
principal or interest shall be come due when there is not sufficient money
in said fund to pay the same, the Treasurer shall nevertheless pay such
principal~or interest from other funds of the City, and such other funds
shall be reimbursed for such advances out of the proceeds of the taxes here-
inafter levied and the taxes levied for all other bonds made payable from
said fund. Into said fund shall be paid the proceeds of ail ta~es levied
pursuant to this resolution, all other taxes and moneys levied or received
for or appropriated to the payment of bonds and interest made payable from
said fund and any amount in excess of $1,000,000 received from the purchaser
upon the delivery of the bonds.
7. The full faith, credit and taxing powers of the City are hereby irre-
vocably pledged to the payment of the bonds and the interest thereon. 'For
the purpose of producing sums which will be not less than 5% in excess of the
principal of and interest on the bonds when due, there is hereby levied upon
all taxable property within the corporate limits of the City, a direct, annual,
ad valorem tax to be spread upgn the tax rolls of the City in each of the
years set forth below, in the amount set forth opposite such years, to be
collected in the respective succeeding collection years:
Levy Collection
Year Year ;~ount
1975 1976 $240,415
1976 1977 $187,900
1977 1978 $182,000
1978 1979 $175,700
1979 1980 $195,400
1980 1981 $187,500
1981 1982 $116,300
Said tax shall be irrepealable so long as any of said bonds are outstand-
ing and unpsid; provided, that the City reserves the right and power to
reduce the levies in the manner and to the extent permitted by Minnesota
Statutes, Section 475.6t.
8. The City Manager is hereby authorized and directed to file a certified
copy of this resolution with the County Auditor of Anoka County, together
with such other information as he shall require, and to obtain from said.County
Auditor a certificate that said bonds have bean entered on his bond register
and that the tax required for the payment thereof has been levied and filed
as required by law.
9. The Mayor and the City ~nager, being the officers of the City charged
with the responsibility for issuing the obligations pursuant to this resolu-
tion, are authorized and directed to execute and deliver to the purchaser a
certification in order to satisfy the provisions of Section 1.103-13 of the
amended Income Tax Regulations (26 CFR Part 1) published in the Federal Reg-
ister, May 5, 1973. Such certification shall state that on the basis of the
facts, estimates and circumstances in existence on the date of issue and de-
livery of the bonds as therein set forth, it is not expected that the pro-
ceeds of the bonds will be used in such a manner that would cause the bonds
to be arbitrage bonds or obligations, and the certification shall further
state that to the best of the knowledge and belief of the certifying officers
there are no other facts, estimates or c~rcumstances that ~ould materially
change such expectation.
10. The officers of the City and said County Auditor are hereby authorized
and directed to prepare and furnish to the purchaser of said bonds and to
the attorneys approving the legality of the issuance thereof certified
copies of all proceedings and records relating to said bonds and to the
financial affairs of the City, and such other affidavits, certificates,
and information as may be required to show the facts relating to the !agil-
ity and marketability of said bonds as the same appear from the books and
records under their custody and control or as othe~¢ise known to them, and
all such certified copies, certificates and affidavits including any hereto-
fore furnished, shall be deemed representations of the City as to the facts
recited therein.
Passed this 12th day of April, 1976
Offered by: Hentges
Seconded by: Heintz
Roll Call: All Ayes
BruEe G Nawrock~, Mayor
Sic reta ry ~