HomeMy WebLinkAboutMay 21, 1984 (2)OFFICIAL PROCEEDINGS
COLUMBIA HEIGHTS CITY COUNCIL
PUBLIC HEARING
MAY 21, 1984
The public hearing was called to order by Mayor Nawrocki at 7:05 P.M..
1. Roll Call
Hovland, Petkoff, Carlson, Peterson, Nawrocki - present
2. Purpose of Meeting
To consider a modification to the City's Redevelopment Project Area, Tax Increment
District, and Tax Increment Financing Plan for the City's Downtown CDB District and
to consider resolutions calling for the public sale of general obligation improvement
bonds ($2,600,000) and general obligation tax increment bonds ($1,O70,OO0).
The Director of the Housing and Redevelopment Authority distributed maps of the pro-
posed district modifications. Presently the City has two tax increment districts, one
was established in 1977 and the other was established in 1983. The Director of the
HRA addressed the advantages of combining the two districts. Tax revenues can be
shared if the districts are combined and other areas for redevelopment can be con-
sidered within the district as well. The HRA Director stated the purpose of each of
the following resolutions.
3. Staff Presentation With Regard to Tax Increment District
a. Resolution 84-32 Adopting Modification No. 2 to Downtown CDB Revitalization Plan
Motion by Petkoff, second by Peterson to waive the reading of the resolution there
being ample copies available to the public. Roll call: All ayes
RESOLUTION NO. 84-32
A RESOLUTION ADOPTING MODIFICATION NO. 2 DATED MAY 10,1984 TO THE COLUMBIA HEIGHTS
DOWNTOWN CBD REVITALIZATION PLAN PURSUANT TO THE PROVISIONS OF MINNESOTA STATUTES
SECTION 462.411 et seq.
WHEREAS, the Housing and Redevelopment Authority and for the City of Columbia Heights
( the "Authority") is carrying out a redevelopment project (the "Project") under the
Columbia Heights Downtown CBD Revitalization Plan (the "Plan"), and;
WHEREAS, the City Council of the City of Columbia Heights has held a public hearing
to receive comments regarding the Modification No. 2 to the Columbia Heights Down-
town CBD Revitalization Plan (Modification No. 2) and;
WHEREAS, the Authority by Resolution has requested approval of said Modification No.
2, and;
WHEREAS, the City Council of the City of Columbia Heights finds that the area des-
cribed in said Modification No. 2 contains blighted and deteriorated areas as de-
fined in the Minnesota Municipal Housing and Redevelopment Act, Minnesota Statutes,
Section 462.421, Subdivision 13 and constitutes a blighting influence and contributes
to the deteriorating physical character of these areas in the City, and;
WHEREAS, the City Council of the City of Columbia Heights finds the Plan and Mod-
ification No. 2 will carry out the purpose and policy of the Minnesota Housing and
Redevelopment Act, Minnesota Statutes, Section 462.411 to 462.715 as set forth in
Section 462.515, and;
Public Hearing
May 21, 19134
page 2
WHEREAS, the City Council of the City of Columbia Heights finds that the land to be
added by Modification No. 2 would not be made available for redevelopment without
the financial aid sought, and;
WHEREAS, the City Council of the City of Columbia Heights finds that Modification No.
2 will afford maximum opportunity, consistent with the sound needs of the locality as
a whole, for the developer and redevelopment of the affected areas by private enter-
prise.
NOW, THEREFORE BE IT RESOLVED that the City Council of the City of Columbia Heights
finds (]) that the redevelopment plan and Modification No. 2 conforms to a general
plan for the development of the locality as a whole and (2) the land to be added to
the project area by Modification No. 2 would not be made available for redevelopment
without the financial aid to be sought (3) the Plan and Modification No. 2 wi]] af-
ford maximum opportunity, consistent with the sound needs of the locality as a who]e,
for redevelopment by private enterprise (4) the Plan and Modification No. 2 conform
to a genera] plan for the locality as a whole (5) plan for relocation of individuals
and businesses displaced, if any, in carrying out the project is feasible and can be
reasonably and timely affected to permit the the proper execution and completion of
the redevelopment proposals, and;
(2) that the City Council of the City of Columbia Heights does hereby approve in all
respects the Plan and Modification No. 2.
Approved this 2]st day of May, 1984.
Offered by: Petkoff
Seconded by': Peterson
Roll call: All ayes
Jo-Anne Student, Council Secretary
Bruce G. Nawrocki, Mayor
b. Resolution No. 84-33 Establishing a Tax Increment Financing District
Motion by Petkoff, second by Peterson to waive the reading of the resolution there
being ample copies available to the public. Roll call: All ayes
RESOLUTION NO. 84-33
A RESOLUTION ESTABLISHING A TAX INCREMENT FINANCING REDEVELOPMENT DISTRICT WITHIN
THE DOWNTOWN CBD REVITALIZATION PROJECT PURSUANT TO MINNESOTA STATUTES, SECTIONS
273.71 TO 273.78 INCLUSIVE, AND ADOPTING A FINANCE PLAN FOR SAID TAX INCREMENT
FINANCING DISTRICT
WHEREAS, the City Council of the City of Columbia Heights, Mn. has determined that it
is necessary to create a tax increment financing district within the Columbia Heights
Downtown CBD Revitalization Project [the "Project") pursuant to Minnesota Statutes,
Sections 273.71 to 273.78, inclusive, in connection with Modification No. 2 to the
Project created pursuant to Minnesota Statutes, Section 462.411, et seq. and,
WHEREAS, the City Council of the City of Columbia Heights has determined that less
than 70 percent of the parcels in the proposed district are occupied by buildings,
streets, utilities or other improvements, but due to unusual soil deficiencies re-
quiring substantial fulling, grading and other physical preparation for use at least
80 percent ,of the total acreage of the ]and in the redevelopment district has a fair
'Public Hearing
May 21, 1984
page 3
market value which when added to the estimated cost of preparing that land for dev-
elopment, exceeds its anticipated fair market value after completion of said prepara-
tion, provided that no parcel shall be included within a redevelopment district
pursuant to this paragraph unless a development agreement has been concluded for the
development of at least 50 percent of the acreage having the unusual soil or terrain
deficiences providing recourse for the authority should the development not be com-
pleted.
WHEREAS, the City Planning Commission has received a copy of the proposed tax increment
financing plan and has been given the opportunity to review and comment upon said tax
increment financing plan and the tax increment financing district, and;
WHEREAS, Columbia Heights Housing and Redevelopment Authority has informed the members
of the local School Board of the Independent School District #13 and the Board of Com-
missioners of Anoka County of the fiscal and economic implications of the proposed tax
increment financing district and invited said School Board members and County Com-
missioners to the public hearing.
NOW, THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF COLUMBIA HEIGHTS that
the City Council of the City of Columbia Heights, Mn. does hereby approve the tax in-
crement financing plan and the creation of a tax increment financing district as des-
cribed in said tax increment financing plan and finds as per Section Z 'of the tax
increment plan;
1. That less than 70 percent of the parcels in the district are occupied by buildings
streets, utilities or other improvements, but due to unusual soil deficiencies requir-
ing substantial filling, grading and other physical preparation for use at least 80
percent of the total acreage of the land in the redevelopment
market value which when added to the estimated cost of preparing that land for deve-
lopment, exceeds its anticipated fair market value after completion of said preparation,
provided that no parcel shall be included within the redevelopment district pursuant
to this paragraph unless a.development agreement has been concluded for the develop-
ment of at least 50 percent of the acreage having the unusual soil or terrain defici-
encies providing recourse for the authority should the development not be completed.
2. That the proposed redevelopment would not reasonably be expected to occur solely
through private investment.
3. That the Planning Commission has reviewed the redevelopment proposals and that the
tax increment financing plan conforms to the general plan for the development of the
municipality as a whole.
4. That each of the redevelopment proposals involves a substantial commitment of
private investment and in conjunction with tax increments as identified in the tax
increment financing plan will afford maximum opportunity, consistent with sound needs
of the City for the redevelopment of the project by private enterprise.
Offered by: Carlson
Seconded by: Peterson
Roll call: All ayes
Jo-Anne Student, Council Secretary
Bruce G. Nawrocki, Mayor
Public Hearing
May 21, 19814
page 4
c. Resolution 84-34 Request for County Auditor Certification
Motion by Petkoff, second by Carlson to waive the reading of the resolution there
being ample copies available to the public. Roll call: All ayes
RESOLUTION 84-34
A RESOLUTIDN REQUESTING THE COUNTY AUDITOR TO CERTIFY THE ORIGINAL ASSESSED VALUE
OF THE REAL. PROPERTY WITHIN THE BOUNDARY OF THE COLUMBIA HEIGHTS HOUSING AND RE-
DEVELOPMENT AUTHORITY TAX INCREMENT FINANCING UNIVERSITY AVENUE REDEVELOPMENT
DISTRICT
WHEREAS, the City Council of the City of Columbia Heights has determined that it is
necessary a, nd desirable in the public interest to designate, establish, develop and
administer a tax increment financing redevelopment district, pursuant to the pro-
visions of Minnesota Statutes, Section 273.71 to 273.78 inclusive;
NOW, THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF COLUMBIA HEIGHTS, MN
that the Anoka County Auditor is hereby requested to certify the assessed value of
all real property within the boundaries of the tax increment redevelopment district
as described in the attached tax increment financing plan as of the date of the last
equalized assessment, and each year hereafter to certify the amount by which the assess-
ed value has increased or decreased from the original assessed value and also to cert-
ify the proportion which any increase or decrease bears to the total assessed value
for the real property in said tax increment financing district for that year, and
also to remit to the Columbia Heights Housing and Redevelopment Authority each year
hereafter, that proportion of all taxes paid that year on real property in the dist-
rice which the captured assessed value bears to the total current assessed value,
all pursuant to Minnesota Statutes, Section 273.76 Subdivision 1 and 2.
Adopted this 21st day of May, 1984.
Offered by: Petkoff
Seconded by: Carlson
Roll call: All ayes
Jo-Anne Student, Council Secretary
Bruce G. Nawrocki, Mayor
d. Resolution 84-35 Modification of Existing Tax Increment Financing District
Motion by Petkoff, second by Peterson to waive the reading of the resolution there
being ample copies available for the public. Roll call: All ayes
RESOLUTION NO. 84-35
A RESOLUTION ADOPTING A MODIFICATION OF AN EXISTING TAX INCREMENT FINANCING REDEVE-
LOPMENT DISTRICT WITHIN THE DOWNTOWN CBD REVITALIZATION PROJECT PURSUANT TO THE PRO-
VISIONS OF SECTION 273.71 TO 273.78 INCLUSIVE OF THE MINNESOTA STATUTES AND AMEND-
DING THE FINANCING PLAN FOR SAID TAX INCREMENT FINANCING DISTRICT
WHEREAS, the City Council of the City of Columbia Heights, Mn. has determined the need
to modify the finance plan of an existing tax increment financing district within the
Columbia Heights Downtown CBD Revitalization Project (the 'lproject") pursuant to
Public Hearing
May 21, 1984
page 5
Minnesota Statutes, Section 273.71 to 273.78 inclusive, within area added by Mod-
ification No. 2 to the Project pursuant to Minnesota Statutes, Section 462.411 et seq.
and;
WHEREAS, the City Council of the City of Columbia Heights, Mn. found in March 1977 that
the tax increment financing district to be modified was a redevelopment project pur-
suant to Minnesota Statutes, Section 462.411, Subdivision ll, and;
WHEREAS, the proposed modification to the financing plan will assist in providing
suitable sites for new and expanded business and industry, increase the tax base
and prevent commerce and industry from leaving the City, and;
WHEREAS, the Planning Commission has reviewed the proposed modification of the tax
increment financing district, and;
WHEREAS, the members of the School Board of Education of Independent School District
#13 and the Board of Commissioners of the County of Anoka have been informed of the
fiscal and economic implications of the proposed tax increment financing redevelop-
ment district modification, and;
WHEREAS, a public hearing was held on May 21, 1984 at 7:00 p.m. before the City Council
in the Council Chambers in the City Hall, in Columbia Heights, Mn. notice of which has
been published once in the official newspaper for the City, not less than ten, nor
more that thirty days prior to May 21, 1984, and;
WHEREAS, at said public hearing all persons and parties were given full opportunity
to present written or oral testimony, comments, objections, suggestions and other
matters, all of which were duty considered by the Council,
NOW, THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF COLUMBIA HEIGHTS that:
The City of Columbia Heights does hereby modify the existing Tax Increment Financing
Redevelopment District and amend the financing plan for said tax increment financing
redevelopment district and finds as per Section Z of the tax increment plan:
1. That the geographical area to be added to the existing tax increment district is
a redevelopment district pursuant to Minnesota Statutes, Section 273.73, Subdivision
10 since 70 percent of the parcels in the modification to the redevelopment district
are occupied by buildings, streets, utilities or other improvements and 20 percent
of the buildings are structurally substandard and an additional 30 percent of the
buildings are found to require substantial renovation or clearance in order to re-
move such existing conditions as inadequate street layout, incompatible uses or land
use relationships, overcrowding of buildings on the land, excessive dwelling unit
density, obsolete buildings not suitable for improvement or conversion, or other
identified hazards to health, safety or general well-being of the community, and;
2. That the development proposed by the modification to the tax increment financing
plan would not reasonably be expected to occur solely through private investment
within the reasonably foreseeable future, and;
3. That the proposed modification to the tax increment financing plan will afford
maximum opportunity, consistent with the sound needs of the City as a whole, for
development of the project by private enterprise, and;
4. That the Planning Commission has reviewed the tax increment financing plan and it
Public Hearing
May 21, 1984
page 6
conforms to the general plan for the development of the municipality as a whole.
Adopted by the City Council this 21st day of May, 1984.
Offered by: Petkoff
Seconded by: Peterson
Roll call: All ayes
Jo-Anne Student, Council Secretary
Bruce G. Nawrocki, Mayor
e. Resolution No. 84-36 Request for County Auditor Certification
Motion by Petkoff, second by Hovland to waive the reading of the resolution there
being ample copies available to the public. Roll call: All ayes
RESOLUTION NO. 84-36
A RESOLUTION REQUESTING THE COUNTY AUDITOR TO CERTIFY THE ORIGINAL ASSESSED VALUE OF
THE REAL PROPERTY WITHIN THE BOUNDARY OF THE MODIFICATION TO THE COLUMBIA HEIGHTS
HOUSING AND REDEVELOPMENT AUTHORITY TAX INCREMENT FINANCING CENTRAL BUSINESS DISTRICT
REDEVELOPMENT DISTRICT
WHEREAS, the City Council of the City of Columbia Heights has determined that it is
necessary and desirable and in the public interest to designate, establish, develop
and administer a tax increment financing redevelopment district pursuant to the pro-
visions of Minnesota Statutes, Section 273.71 to 273.78, inclusive;
NOW, THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF COLUMBIA HEIGHTS, Mn.
that the Anoka County Auditor is hereby requested to certify the assessed value of all
real property within the boundaries of the modification to the tax increment redevelop-
ment district as described in the attached tax increment financing plan as of the date
of the last equalized assessment, and each year hereafter to certify the amount by
which the assessed value has increased or decreased from the original assessed value
and also to certify the proportion which any increase or decrease bears to the total
assessed value for the real property in said tax increment financing district for
that year, and also to remit to the Columbia Heights Eousing and Redevelopment Auth-
ority each year hereafter, that proportion of all taxes paid that year on real prop-
erty in the district which the captured assessed value bears to the total current
assessed value, all pursuant to Minnesota Statutes, Section 273.76, Subdivision 1
and 2.
Adopted this 21st day of May, 1984.
Offered by: Hovland
Seconded by: Peterson
Roll call: All ayes
Bruce G. Nawrocki, Mayor
Jo-Anne Student, Council Secretary
The agenda had indicated there would be a recommended motion prepared for the accept-
ance of the financing plan for the tax increment financing district and the funding
but the City Attorney advised this was not necessary as this was addressed in the
resolutions.
'Public Hearing
May 21, 1984
page 7
4. Staff Presentation With Regard to General Obligation Bonds
The City's bond counsel and its fiscal consultant addressed the interest rates on our
short term bonds and the proposed interest rates for these bonds.
a. Resolution No. 84-37 Issuance and Sale of Bonds in the amount of $2,600,000
Motion by Hovland, second by Peterson to waive the reading of the resolution there
being ample copies available to the public. Roll call: All ayes
RESOLUTION NO. 84-37
MOTION PROVIDING FOR THE ISSUANCE AND SALE OF $2,600,000 GENERAL OBLIGATION PERMANENT
IMPROVEMENT FUND BONDS, SERIES 1984 OF THE CITY OF COLUMBIA HEIGHTS, MINNESOTA
Be it resolved by the City Council of the City of Columbia Heights (the "Issuer") as
follows:
l. Findings, Authorization.
1.1 It is hereby found and determined that it is necessary and expedient to the sound
financial management of the Issuer for the Issuer to issue its general obligation per-
manent improvement fund bonds in order to provide definitive financing for certain
local improvements in the City of Columbia Heights which improvements (the "Improve-
ments'') were initially financed with the General Obligation Permanent Improvement
Fund Bonds of 1982 of the Issuer in the aggregate outstanding principal amount of
$2,550,000 (the "Temporary Issue") by refunding the Temporary Issue.
1.2 The Issuer is authorized by Minnesota Statutes, Section 475.67 and by Section
72 of its Home Rule Charter, as amended (the "Charter"), to issue its general ob-
ligation bonds to refund its outstanding general obligation bonds.
1.3 The Issuer if further authorized by Minnesota Statutes, Section 475.56, to issue
additional bonds in an amount not exceeding two percent of the amount otherwise au-
thorized to be issued, representing interest to assist in marketing its bonds.
2. Sale of Bonds.
2.1 In order to provide funds to refund the Temporary Bonds, the Issuer shall issue
its General Obligation Permanent Improvement Fund Bonds, Series 1984 (the "Bonds")
in the principal amount of $2,550,000 and shall issue Bonds representing additional
interest in the amount of $50,000 for an aggregate amount of Bonds equal to $2,600,000.
Any excess of the purchase price of the Bonds over the sum of $2,550,000 shall be
credited to the debt service fund for the Bonds to pay interest first due on the Bonds.
2.2. The Bonds shall be issued, sold and delivered in accordance with the following
Official Terms of Bond Offering:
OFFICIAL TERMS OF OFFERIIlG
$2,600,000
GENERAL OBLIGATION PERMANENT IMPROVEMENT FUND BONDS, SERIES 1984 CITY OF COLUMBIA
HEIGHTS, MINNESOTA
Public Hearing
May 21, 1984
page 8
OFFICIAL TERMS OF OFFERING
$2,600,000
GENERAl, OBLIGATION PERMANENT IMPROVEMENT FUND BONI~, SERIES 1984
CITY OF COLUMBIA .HEIGHTS, MINNESOTA
Sealed bids for the Bonds will be opened on Monday, June 11, 1984, at 11:00
o'clock a.m., Central Time, at the City Offices, 590 40th Avenue N.E., Columbia
Heights, Minnesota 55421. Consideration of the award of the Bonds will be by the
City Council on the same day, at 7:30 o'clock p.m. Central Time.
DETAILS OF THE BONDS
The Bonds will be dated June 1, 1984 and will bear interest payable March 1
and September 1 of each year commencing on March 1, 1985. Interest will be
computed upon the basis of a 360-day year of twelve 30-day months and will be
rounded pursuant to the rules of the MSRB. The Bonds will be issued in registered
form in denominations of $5,000 and integral multiples thereof not exceeding a
single maturity.
The Bonds will mature on March 1 in the following years and amounts:
Year Amount
1985 $140,000
1986 $150,000
1987 $160,000
1988 $170,000
1989 $185,000
1990 $195,000
1991 $215,000
1992 $230,000
1993 $250,000
1994 $275,000
1995 $300,000
1996 $330,000
Bonds maturing on or after March 1, 1989 are subject to redemption on
March 1, 1988 and any interest payment date thereafter at a price equal to par plus
accrued interest.
SECURITY AND PURPOSE
The Bonds will be general obligations of the City for which the City will
pledge certain collections of special assessments and its full faith and credit and
power to levy direct general ad valorem taxes. The proceeds will be used to refund
the Issuer's $2,550,000 General Obligation Permanent Improvement Fund Bonds of
1982 in the outstanding principal amount of $2,550,000, and to pay the costs of
issuing the Bonds.
'Public Hearing
May 21, 1984
page 9
TYPE OF BID
A sealed bid for not less than $2,550,000 and accrued interest on the total
principal amount of the Bonds to the date of delivery shall be filed with the
undersigned prior to the time set for the~pening of bids. Also prior to the time set
for bid opening, a certified or cashier's cheek in the amount of $26,000 payable to
the order of the City shall have been filed with the undersigned or Miller &
Sehroeder Municipals, Inc., the City's Financial Advisor. No bid will be considered
for which said check has not been filed. The cheek of the Purchaser will be
retained by the City as liquidated damages in the event the Purchaser fails to
comply with the accepted bid. No bid shall be withdrawn after the time set for
opening bids, unless the meeting of the City scheduled for consideration of the bids
is adjourned, recessed, or continued to another date without award of the Bonds
having been made. The rates offered by bidders shall be in integral multiples of
5/100 or 1/8 of 1%. No rate shall exceed, nor shall the net effective rate for the
entire Issue of the Bonds exceed the maximum rate permitted by law. Obligations
of the same maturity shall bear the same rate from the date of the Bonds to the
date of maturity, not exceeding the rate specified for any subsequent maturity by
more than 1%, and additional coupons shall not be used.
AWARD
The Bonds will be awarded to the Bidder offering the lowest dollar interest
cost to be determined by the deduction of the premium, if any, from, or the
addition of any amount less than par, to, the total dollar interest on the Bonds from
their date to their final scheduled maturity. The City's computation of the total
net dollar interest cost of each bid, determined in accordance with customary
practice, will be controlling.
The City will reserve the right to: (i) waive non-substantive informalities of
any bid or of matters relating to the receipt of bids and award of the Bonds, (ii)
reject all bids without cause, and, (iii) reject any bid which the City determines to
have failed to comply with the terms herein.
REGISTRAR
The City shall name the Registrar and paying agent for the Bonds, which
shall be subject to appreciable SEC Regulations. The City shall pay the customary
charges for the service.
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 assignment and printing to be done at the expense of the
purchaser, if the purchaser waives any extension of the time of delivery caused
thereby.
SETTLEMENT
On or about forty days from the sale of the Bonds, the Bonds will be
delivered without cost to the Purchaser at a place mutually satisfactory to the
City and the Purchaser. Delivery will b~ subject to receipt by the Purchaser of an
approving legal opinion of Holmes & Graven, Chartered of Minneapolis, Minnesota,
which opinion will be printed on the Bonds, and of customary closing papers,
including a no-litigation certificate. On the date of settlement payment for the
Bonds shall be made in federal, or equivalent, funds which shall be received at the
offices of the City or its designee not later than 1:00 P.M., Central Time of the
date of settlement.
Public Hearing
May 21, 1984
page 1 0
At settlement the Purchaser will be furnished with a certificate signed by
appropriate officers of the City to the effect that the Official Statement did not
as of the date of the Official Statement, and does not as of the date of settlement,
contain any untrue statement of a material fact or omit to state a material fact
necessary in order to make the statements therein, in light of the circumstances
under which they were made, not misleading.
OFFICIAL STATE MENT
Upon request to the City's Financial Advisor, Miller & Schroeder Municipals,
Inc., 7900 Xerxes Avenue South, Minneapolis, Minnesota 55431, prior to the bid
opening underwriters may obtain a copy of the Official Statement.
Dated
, 1984 BY ORDER OF THE CITY COUNCIL
City Manager
0
Award of Bonds, Advertisement~ Meeting.
3.1,
The City Manager of the Issuer is authorized and directed to
cause advertisement for sealed bids for the purchase of the
Bonds to be published in the manner required by Minnesota
Statutes, Chapter 475, and in any additional publications as
the City Manager may determine to be suitable. Such
advertisement for sealed bids shall be in substantially the
following form:
OFFICIAL NOTICE OF SALE
$2,600,000
GENERAL OBLIGATION PERMANENT IMPROVEMENT FUND BONDS, SEI~ 1984
CITY OF COLUMBIA HEIGHTS, MINNESOTA
Notice is hereby given that the City of Columbia Heights, Minnesota (the
"County") will receive sealed bids at the City officers at 590 40th Avenue N.E.,
Columbia Heights, Minnesota on Monday, June 11, 1984, until 11:00 a.m., Central
Time, for the purchase of its $2,600,000 General Permanent Improvement Fund
Bonds, Series 1984 (the '~Bonds'g. The City Manager will then open and record the
bids. The City Council will consider the award of the Bonds at 7:30 p.m. Central
Time the same day.
The Bonds will be dated June 1, 1984, will bear interest payable on March 1
and September 1 of each year, commencing March 1, 1985. The Bonds will be
issued in integral multiples of $5,000 as requested by the Purchaser, and will be
fully registered as to principal and interest.
The Bonds will mature March 1 in the amounts and years as follows:
Public Hearing
May 21, 1984
page ll
Year Amount
1985 $140,000
1986 $150,000
1987 $160,000
1988 $170,000
1989 $185,000
1990 $195,000
1991 $215,000
1992 $230,000
1993 $250,000
1994 $275,000
1995 $300,000
1996 $330,000
Bonds due on or after March 1, 1989 will be subject to redemption, in whole or in
part at par plus accrued interest, at the City's option on March 1, 1988, and on any
interest payment date thereafter. If less than all of the Bonds and redeemed Bonds
will be redeemed in reverse order of maturity and by lot within a single maturity.
The City will furnish the approving legal opinion of Holmes & Graven, Chartered, of
Minneapolis, Minnesota. A copy of the legal opinion will be reproduced on the printed
Bonds. Copies of the detailed Official Terms of Offering and additional information
may be obtained from the City Manager of the City or from Miller & Schroeder Muni-
cipals, Inc. 7900 Xerxes Avenue South, Minneapolis, Minnesota 55431.
Dated: May 21, 1984
BY ORDER OF THE CITY COUNCIL
3.2 City Manager is directed to open bids for the Bonds at 11:O0 a.m. Central Time
on June 11, 1984. The Issuer will meet at 7:30 p.m. on the same day, to consider
the award of the sale of the Bonds.
Adopted by the City Council of the City of Columbia Heights this 21st day of May,
1984.
Offered by: Hovland
Seconded by: Peterson
Roll call: All ayes
Jo-Anne Student, Council Secretary
Bruce G. Nawrocki, Mayor
b. Resolution No. 84-38 Issuance and Sale of Bonds in the Amount of $1,070,OOO
Motion by Carlson, second by Peterson to waive the reading of the resolution there
being ample copies available to the public. Roll call: All ayes
RESOLUTION No. 84-38
MOTION PROVIDING FOR THE ISSUANCE AND SALE OF $1,O70,000 GENERAL OBLIGATION TAX
INCREMENT BONDS, SERIES 1984 OF THE CITY OF COLUMBIA HEIGHTS, MINNESOTA
Public Hearing
May 21, 1984
page 12
It is hereby resolved by the City Council of the City of Columbia Heights
(the 'rissuer") as follows:
1. Findings, Authorization.
1.1 It is hereby found and determined that it is necessary and
expedient to the sound financial management of the Issuer and The Housing
and Redevelopment Authority in and for the City of Columbia Heights,
Minnesota (the "Authority") for the Issuer to issue its general obligation tax
increment bonds in order to provide funds to pay public redevelopment costs
of a redevelopment project (the '~roject") established pursuant to Minnesota
Statutes Section 462.411 et seq. and the CBD Revitalization Plan, as
modified (the '~lan") pursuant to which was established a Tax Increment
Financing Redevelopment District.
1.2 The Issuer is authorized by Minnesota Statutes, Section 273.77
to (a) issue its general obligation bonds for the purpose of financing
expenditures of the Authority incurred pursuant to Minnesota Statutes,
Section 273.75, subd. 4; and (b) to provide for the issuance of such bonds in
the manner provided by, and subject to the limitations of, Minnesota
Statutes, Chapter 475.
1.3 The Issuer is further authorized by Minnesota Statutes, Section
475..56, to issue additional bonds in an amount not exceeding two percent of
the amount otherwise authorized to be issued, representing interest to assist
in marketing its bonds.
2. Sale of Bonds.
2.1 In order to provide funds to pay the publice redevelopment
costs of the Project in accordance with the Plan, the Issuer shall issue its
General Obligation Tax Increment Bonds, Series 1984 (the 'Bonds") in the
principal amount of $1,050,000 and shall issue Bonds representing additional
interest in the amount of $20,000 for an aggregate principal amount of
Bonds equal to $1,070,000. Any excess of the purchase price of the Bonds
over' the sum of $1,050,000 shall be credited to the debt service fund for the
Bonds to pay interest first due on the Bonds.
2.2 The Bonds shall be issued, sold and delivered in accordance
with the following Official Terms of Bond Offering:
OPFICIAL TERMS OF OFFERING
$1,070,000
GENERAL OBLIGATION TAX INCREMENT BONDS, SERIES 1984
CITY OF COLUMRIA HEIGHTS, MINNESOTA
Sealed bids for the Bonds will be opened on Monday, June 11, 1984, at 11:00
dclock a.m., Central Time, at the City Offices, 590 40th Avenue N.E., Columbia
Heights, Minnesota 55421. Consideration of the award of the Bonds will be by the
City Council on the same day, at 7:30 delock p.m. Central Time.
DETAILS OF THE BONDS
The Bonds will be dated June 1, 1984 and will bear interest payable March 1
and September 1 of each year commencing on March 1, 1985. Interest will be
computed upon the basis of a 360-day year of twelve 30-day mont~s and will be
rounded pursuant to the rules of the MSRB. The Bonds will be issued in registered
form in denominations of $5,000 and integral multiples thereof not exceeding a
single maturity.
Public Hearing
May 21, 1984
page 13
The Bonds will mature on March 1 in the following yea~ and amounts:
Year Amount
1986 $ 90,000
1987 95,000
1988 100,000
1989 105,000
1990 115,000
1991 125,000
1992 135,000
1993 145,000
1994 160,000
Bonds maturing on or after March 1, 1992 are subject to redemption on March
1, 1991 and any interest payment date thereafter at a price equal to par plt~
accrued interest.
SECURITY AND PURPOSE
The Bonds will be general obligations of the City for which the City will
pledge certain celleetions of tax increment and its full faith and credit and power
to levy direct general ad valorem taxes. The proceeds will be used to pay the e~ts
of a redevelopment project established pursuant to Minnesota Statutes, Chapter
462.
TYPE OF BID
A sealed bid for not less than $1,050,000 and accrued interest on the total
principal amount of the Bonds to the date of delivery shall be filed with the
undersigned prior to the time set for the.opening of bids. Also prior to the time set
for bid opening, a certified or cashier's cheek in the amount of $20,000 payable to
the order of the City shall have been filed with the undersigned or Miller &
Schroeder Municipals, Inc., the City's Financial Advisor. No bid will be considered
for which said check has not been filed. The check of the Purchaser will be
retained by the City as liquidated damages in the event the Purchaser fails to
comply with the accepted bid. No bid shall be withdrawn after the time set for
opening bids, unless the meeting of the City scheduled for consideration of the bids
is adjourned, recessed, or continued to another date without award of the Bonds
having been made. The rates offered by bidders shall be in integral multiples of
5/100 or 1/8 of 1%. No rate shall exceed, nor shall the net effective rate for the
entire Issue of the Bonds exceed the maximum rate permitted by law. Obligations
of the same maturity shall bear the same rate from the date of the Bonds to the
date of maturity, not exceeding the rate specified for any subsequent maturity by
more than 1%, and additional coupons shall not be used.
AWARD
The Bonds will be awarded to the Bidder offering the lowest dollar interest
cost to be determined by the deduction of the premium, if any, from, or the
addition of any amount less than par, to, the total dollar interest on the Bonds from
their date to their final scheduled maturity. The City's computation of the total
net dollar interest cost of each bid, determined in accordance with customary
practice, will be controlling.
The City will reserve the right to: (i) waive non-substantive informalities of
any bid or of matters relating to the receipt of bids and award of the Bonds, (ii)
reject all bids without cause, and, (iii) reject any bid which the City determines to
have failed to comply with the terms herein.
Public Hearing
May 21, 1984
page 14
REGISTRAR
The City shall name the Registrar and paying agent for the Bonds, which
shall be subject to appreciable SEC Regulations. The City shall pay the customary
charges for the service.
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 assignment and printing to be done at the expense of the
purchaser, if the purchaser waives any extension of the time of delivery caused
thereby.
SETTLE MENT
On or about forty days from the sale of the Bonds, the Bonds will be
delivered without cost to the Purchaser at a place mutually satisfactory to the
City and the Purchaser. Delivery will be subject to receipt by the Purchaser of an
approving legal opinion of Holmes & Graven, Chartered of Minneapolis, Minnesota,
which opinion will be printed on the Bonds, and of customary closing papers,
including a no-litigation certificate. On the date of settlement payment for the
Bonds shall be made in federal, or equivalent, funds which shall be received at the
offices of the City or its designee not later than 1:00 P.M., Central Time of the
date of settlement.
At settlement the Purchaser will be furnished with a certificate signed by
appropriate officers of the City to the effect that the Official Statement did not
as of the date of the Official Statement, and does not as of the date of settlement,
contain any untrue statement of a material fact or omit to state a material fact
necessary in order to make the statements therein, in light of the circumstances
under which they were made, not misleading.
OFFICIAL STATE MENT
Upon request to the City's Financial Advisor, Miller & Schroeder Municipals,
Inc., 7900 Xerxes Avenue South, Minneapolis, Minnesota 55431, prior to the bid
opening underwriters may obtain a copy of the Official Statement.
Dated
, 1984 BY ORDER OF THE CITY COUNCIL
City Manager
0
Award of Bonds~ Advertisement~ Meeting.
3.1,
The City Manager of the Issuer is authorized and directed to
cause advertisement for sealed bids for the purchase of the
Bonds to be published in the manner required by Minnesota
Statutes, Chapter 4.75, and in any additional publications ~s
the City Manager may determine to be suitable. Such
advertisement for sealed bids shall be in substantially the
following form:
OFFICIAL NOTICE OF SALE
Public Hearing
May 21, 1984
page 15
$1,070,000
GENERAL OBLIGATION TAX INCREMENT BONDS, SERIES 1984
CITY OF COLUMRIA HEIGHTS, MINNESOTA
Notice is hereby given that the City of Columbia Heights, Minnesota (the
"County") will receive sealed bids at the City officers at 590 40th Avenue N.E.,
Columbia Heights, Minnesota on Monday, June 11, 1984, until 11:00 a.m., Central
Time, for the purchase of its $1,070,000 General Obligation Tax Increment Bonds,
Series 1984 (the "Bonds"). The City Manager will then open and record the bids.
The City Council will comider the award of the Bonds at 7:30 p.m. Central Time
the same day.
The Bonds will be dated June 1, 1984, will bear interest payable on March 1
and September 1 of each year, commencing March 1, 1985. The Bonds will be
issued in integral multiples of $5,000 as requested by the Purchaser, and will be
fully registered as to principal and interest.
The Bonds will mature March 1 in the amounts and years ss follows:
Year Amount
1986 $ 90,000
1987 95,000
1988 100,000
1989 105,000
1990 115,000
1991 125,000
1992 135,000
1993 145,000
1994 160,000
Bonds due on or after March 1, 1992 will be subject to redemption, in whole
or in part at par plus accrued interest, at the City's option on March 1, 1991, and
on any interest payment date thereafter. If less than all of the Bonds are
redeemed, Bonds will be redeemed in reverse order of maturity and by lot within a
single maturity.
The City will furnish the approving legal opinion of Holmes & Graven,
Chartered, of Minneapolis, Minnesota. A copy of the legal opinion will be
reproduced on the printed Bonds, Copies of the detailed Official Terms of Offering
and additional information may be obtained from the City Manager of the City or
from Miller & Schroeder Municipals, Inc;, 7900 Xerxes Avenue South, Minneapolis,
Minnesota 55431.
Dated: May 21
,1984
BY ORDER OF THE CITY COUNCIL
3.2. City Manager is directed to open bids for the Bonds at 11:00 a.m.
Central Time on June 11, 1984. The Issuer will meet at 7:30 p.m. on the
same day, to consider the award of the sale of the Bonds.
Adopted by the City Council of the City of Columbia Heights this 21st day
of May, 1984.
Public Hearing
May 21, 1984
page 16
Offered by: Peterson
Seconded by: Carlson
Roll call: All ayes
Jo-Anne Student, Council Secretary
Bruce G. Nawrocki, Mayor
The agenda contained a recommended motion that would designate a specific Registrar
for the above bond issues. How this designee was selected was discussed with the
fiscal consultant and the Mayor suggested other banking firms be considered, part-
icularly those who have facilities in the City, before the final decision is made.
Motion by Hovland, second by Petkoff to defer the appointment of the Registrar for
the bond issue for further information. Roll call: All ayes
5. Adjournment
Motion by Hovland, second by Carlson to adjourn the public hear ir~ at 7~5 P.M.. Roll
Nawrocki, Mayor
Jo-Anne StudeAt, Council Secretary