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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