HomeMy WebLinkAboutSept 9, 1985OFFICIAL PROceEDINGS
COLUMBIA HEIGHTS CITY COUNCIL
LAR COUNCIL MEETING
EMBER ~, 19~5
The meetinc was called to order by Mayor Nawrocki at 7:30 P.M..
1. Roll Call
Hovland, Petkoff, Carlson, Peterson, Nawrocki - present
2. Invocation
There were no ministers available to offer an Invocation.
3. Minutes of Previous Meetings
Motion by Petkoff, second by Peterson to approve the minutes of the Regular City
Council Meetine of August 26th, the Board of Trustees - Fire Fighters Volunteer
Division of Auoust 26th, and the Special City Council Meeting of August 28th, as
presented in writing and that the reading be dispensed with. Roll call: All ayes
4. Oral Peri*ions
a. Resolution No. 85-&2; Awarding the Sa'le of, and Providing the Form, Terms, Covenants
and Directions for S2,100,000 General Obligation Tax Increment Bonds of 1985, Series
A
Steve Emerson of Miller g Schroeder Municipals advised the Council that only one bid
had been received. He felt this was caused by what is perceived as an unstable market.
Leaving the bid open fer thirty days had been considered but Emerson recommended
inst this and that the one bid receiw~d be accepted. He stated he had researched the
through comparisons and felt it was a very fair bid. There are twenty firms who
formed an association for the bid.
Motion by Hovland, second by Peterson to waive the reading of the resolution there
being ample copies available te the public, Roll call: All ayes
RESOLUTION NO. 85-&2
RESOLUTION AWARDING THE SALE OF, AND PROVIDING THE FORM, TERMS, COVENANTS AND DIRECTIONS
FOR S2,lO0,O~S GENERAL OBLIGATION TAX INCREMENT BONDS OF 1985, SERIES A
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF COLUMBIA HEIGHTS, MINNESOTA AS FOLLOWS:
Section l. A,.,ard o~ Sa!e: Terms of Bonds
1.OI The City of Columbia Heiahts, Minnesota (the "Issuer") hereby awards the sale of
S2,100,003 General Obligation Tax Increment Bonds of 1985, Series A (the "Bonds") to
First National Bank of St. Paul and Associates (the "Purchaser") as the bidder offering
the lowest net interest cost by its bid to purchase the Bonds at a price of $2,060,O16
plus accrued interest to the date of delivery, the Bonds to bear interest at the rates
per annum as follows:
Year of Interest Year of Interest Year of Interest
Maturity Rate Maturity Rate Maturity Rate
,88
1989
199,3
1991
5 25
6 oo
6 50
7 00
7 2O
7 ~0
1992 7.60 ~ 1998 8,80
1993 7.80 1999 9.00
1994 8,00 2000 9.00
1995 8.20 200] 9.00
1996 8.~0 2002 9.00
1997 8.60
Reoular Council Meetin9
September 9, 195~
pagc 2
The City Cler~-Treasurer o< the Issuer is directed to retain the good faith check of
the Purchaser pending delivery of and payment for the bonds, and to return the checks
of the unsuccessfu] bidderb.
1.02 The issuer shall issue the Bonds in the aggregate principal amount of $2,1OO,O00
dated September 1, 1985 as fully registered bonds. The Bonds shall be in denominations
of S5,000 or any integral multiple thereof not exceeding the principal amount of a single
maturity, shall be numbered from R-1 upwards in order of issuance, and shall bear inte-
rest at the rates set forth above, payable March 1, 1986 and semiannually thereafter
on each March 1 and SeDtembe- 1, and shall mature serially on March I in the years and
amounts as follo,-.'s:
Year Amount Year Amount Year Amount
1986
1987
1988
1987
1990
1991
$ 5O
50 000
50
1992 S 55,000 1998 S 240,O00
1993 55,000 1999 240,000
199L, 55,000 2000 240,000
1995 100,000 2001 240,000
1996 150,007 2002 250,000
1 oo4.,.. ,, 175,
Bonds issued in exchange for Bonds shall be dated as of the date of authentication
reof and shall bear interest from the date to which interest due and payable has
paid in full on the bonds surrendered, except that Bonds issued upon a transfer
or exchange prior to the first interest payment date shatl be dated as of September
1985.
1.03 All Bonds maturing on or after March 1, 1992, shall be subject to redemption
and prior payment in whole or in part in inverse order of maturity and by lot within
maturity at the option of the issuer on March l, 1991, and any interest payment date
thereafter at a price of par plus accrued interest. Thirty days' prior notice of re-
demption shall be given by mail to the Registrar and to the registered owners of the
Bonds, and notice of redemption will be published in the manner provided by Chapter
475, Minnesota Statutes. Upon notice having been so given, the Bonds or portions of
Bonds therein specified shall De due and payable at the stated redemption date and
price with accrued inl; est to the redemption date, and upon funds for such payment
being held by or on benalf of the Registrar for such payment on the specified redemp-
tion date, interest thereon shall cease to accrue after such redemption date. No
defect ir, the mailed notice of redemption shall affect the validity of the call for
redemption of any Bonds.
1.04 The Bonds shall be payable as to principal upon presentation at the,main office
~-~arquette Bank Minneapolis in Hinneapolis, Minnesota (the "Registrar"), or at any
office of such other successor registrar as the issuer may hereafter designate upon
60 days mailed notice to the registered owners. If the stated maturity date for pay~
ment of principal of any Bond shall not be a business day, then such payment shall be
made on the next succeeding business day with the same force and effect as if made on
the stated maturity, and without additional interest accruing thereon for the period
er such stated maturity. Interest on ,each Bond shall.be payable by check or draft
the Registrar maiJed on the interest payment date or, if the interest payment date
is not a business day, then such payment shall be mailed on the first business day
fo]lowing the interest payment date, to the person who was the registered holder
thereof at the close of business on the 15th day (whether or not a business day) of
the calendar month next preceding the interest payment date, at his or her address
Reoular Council Heetin~
September 9, 1985
page 3
as it appears on the bond register. For purposes of this resolution "business day"
shall mea~ any day other than a day on which banks in the City in wh~£h banks in the
City in wFich the principal office of the Registrar is located are authorized to be
closed.
Section 2. Form and Executio~ of Bonds
2.01 The Bonds shall be substantially the following form, with the necessary variations
as to number, CUSIP Number, rate of interest and date of maturity, the blanks to be
properly filled in:
UNITED STATES OF AMERICA
STATE OF MINNESOTA
COUNTY OF ANOKA
No. R- S
GENERAL OBblCATION TAX INCREMENT BONDS OF 1985, SERIES A
Rate Maturity Nominal Date CUSIP
Of Original Issue
September 1, 1985
City of Columbia Heights, Minnesota (the "Issuer"), for value received, hereby
certifies that it is indebted and hereby Dromised to pay to
or registered assi0ns, the principal sum ,Df
on the maturity date specified above, UpOn the presentation
and surrender hereof, and to pay to the registered owner hereof interest on such prin-
cipal sum at the interest rate specified above from September l, 1985, or the most
recent interest payment date to which interest has been paid or duly provided for
as specified below, on March 1 and September ] of each year, commencing March 1, 1986,
until said principal sum is paid. Principal and the redemption price are payable in
lawfulmoney of the United States of America at Marquette Bank Minneapolis
as Registrar, Transfer Agent and Paying Agent, in Minneapolis, Minnesota
the offices of such successor agent as the Issuer may designate upon 60 days notice
to the registered owne at their registered addressed (the "Registrar"). Interest
~hall be paid on each P .rch 1 and September 1 by check or draft mailed by first-class
mail, postage prepaid, on the interest payment date, or if the imterest payment date
is not a Business Day, then on the first Business Day thereafter, to the person' in
whose name this Bond is registered at the close of business on the preceding February
15 and August 15 (whether or not a Business Day) at his or her address set forth on
the bond register maintained by the Registrar. Any such interest not punctually paid
or provided for will be paid to the person in whose name this Bond is registered at
the close of business on a special record date established by the Registrar for the
payment of such defaulted interest. "Business Day" shall mean any day other than a day
when banks located in the city in which the principal office of the Registrar is loca-
ted are authorized to be closed.
Bonds of this series maturing on or after March 1, 1992, are subject to redemption
option of the Issuer in whole or in part in inverse order of maturity and by lot
within a maturity, on March l, 1991 and any interest payment date thereafter at a price
equal to par and accrued interest. Thirty' days' prior notice of redemption will be
given by mail to the Registrar and to the. registered owners, and notice of redemption
will be published in the manner provided by Minnesota Statutes, Chapter 475. No defect
in mailed notice will affect the validity of the call for redemption.
Regular 'Council Meeting
September 9. 1955
page ~
Bond is one of a series of Bonds in the aggregate principal amount of Two Million
One Hundred Thousand Dollars (SZ,lO0,O00), all of like date and tenor except number,
interest rate, denomination, date of maturity and redemption privilege, and is issued
for the purpose of providing funds to defray the cost of certain public redevelopment
costs of the Downtown C.B.D. Redevelopment Project undertaken pursuant to Minnesota
Statutes, Section 462.41] et seq., and is issued pursuant to an authorizing resolution
(the "Resolution") duty adopted by the Issuer on September 9, 1985, and pursuant to
and in fully conformity with the Constitution and laws of the State of Minnesota,
clusing Ninnesota Statutes, Chapter 475 and Section 273.71 through 273.78. The Bonds
of this series are payable from the "Series B Tax Increment Bond/Subaccount" of the
Issuer. All taxable property within the Issuer is subject to the levy of ad valorem
taxes required by law to be levied and extended if needed for this purpose, without
limitation of rate or amount. The issuance of this bond does not cause the indebtedness
of the issuer to exceed any constitutional, statutory, or charter limitation thereon.
As provided in the Resolution, and subject to certain limitations set forth therein,
this Bond is transferable upon the books of the issuer kept for that purpose at the
principal office of the Registrar, by the registered owner hereof in person or by
such owner's attorney duly authorized in writing, upon surrender of this Bond together
with a written instrument of transfer satisfactory to the Registrar, duly executed
by the registered owner of such owner's duly authorized attorney. Upon such transfer
and the payment of any tax fee or governmental charge required to be paid by the
Issuer or the Registrar with respect to such transfer, there will be issued in the
name of the transferee a ney, Bonds or Bond of the same aggregate principal amount
[he surrendered Bond.
The Bonds of this series are issuable only as fully registered bonds without coupons
in denominations of S5,000 or any integral multiple thereof not exceeding the prin-
cipal amount maturing in an~ one year. As provided in the Resolution and subject to
certain limitations therein set forth, the Bonds of this series are exchangeable for
a like aggregate principal amount of Boncs of this series of a different authorized
denomination, as requested by the registered owner or his duly authorized attorney,
upon surrender thereof to the Registrar.
It is hereby Certified and Recited that alt acts, conditions and things required by
the Constitution and laws of the State of: Minnesota to be done, to exist, to happen
and to be performed in order to make this, Bond a valid and binding general obligation
of the Issuer according to its terms, have been done, do exist, have happened and have
been performed in due form, time and manner as so required.
This Bond shall not be valid or become obligatory for any purpose until the Authen-
tication Certificate hereon shall have been manually signed by a person authorized
to sign on behalf of the Registrar.
IN ~ITNESS ~HEREOF, the City of Columbia Heights, Minnesota has caused this Bond to
be executed with the facsimile signatures of its Mayor and its City Manager, all as
of the Date of Original Issue specified above.
Dated:
CITY OF COLUMBIA HEIGHTS, MINNESOTA
By
Mayor Bruce G. Nawrocki
Robert S. Bocwinski
City Manager
Regular Council Meeting
September 9. 1955
page 5
2.02 As lona as any of the Bonds issued hereunder shall remain outstanding, the
Council shall cause to be kept at the principal office of the Registrar in which,
subject to such reasonable regulations as the Registrar may prescribe, the Registrar
shall provide for the registration of Bonds and the registration of transfers of
Bonds. Marquette Bank Hinneapolis of Minneapolis, Minnesota is hereby appointed
Registrar for the purpose of registering Bonds and registering transfers of Bonds
as herein provided
Upon surrender for transfer of any Bond with a written instrument of transfer satis-
factory to the Rog strar, duly executed by the registered owner or his duly authorized
attorney, and upon payment of any tax, fee or other governmental charge required to be
paid with respect to such transfer, the issuer shall execute and the Registrar shall
authenticate and deliver, in the name of the designated transferee or transferees, one
or more fully registered Bonds of any aul:horized denominations and of a like aggregate
principal amount, interest rate and maturity. Any Bonds, upon surrender thereof at
the office of the Registrar ma,f, at the option of the registered owner thereof, be
exchanged for an equal aggregate principal amount of Bonds of the same maturity and
interest rate of an~ authorized denominations. In all cases in which the privilege
of exchanging or transferring fully regi:stered Bonds is exercised, the Issuer shall
execute and the Reqistrar sha]] deliver Bonds in accordance with the provisions of
this Resolution. For every such exchange or transfer of Bonds, whether temporary
or definitive, the Issuer or the bond Registrar may make a charge sufficient to re-
imburse it for any tax, fee or other governmental charge required to be paid with
spect to such exchange or transfer, which sum or sums shall be paid by the person
uesting such exchange or transfer as a condition precedent to the exercise of the
privilege of making such exchange or transfer. Notwithstanding any other provision
of this Resolution, the cost of preparing each new Bond upon each exchange or
transfer, and any other expenses of the Issuer or the Bond Registrar incurred in
connection therev~ith (except any applicable tax, fee or other governmental charge)
shall be paid by the Issuer. The Issuer shall not be obligated to make any such
exchange or transfer of Bonds during the fifteen (]5) days next preceding the date
of the first publication} of notice of redemption in the case of a proposed redemption
of Bonds. The Issuer and the Registrar sha]] not be required to make any transfer
or exchanoe of any Bonds called for redemption. Each Bond delivered under this Res-
o]ution upon transfer of or in exchange for or in lieu of any other Bond shall
carry all the rights to interest accruecl and unpaid, and to accrue, which were carried
by such other Bond and each such Bond shall bear interest from such date that neither
gain nor loss in interest shall result from such transfer, exchange or substitution.
2.03 As to any Bond, the Issuer and the Registrar and their respective successors,
each in its discretion, may deem and treat the person in whose name the same for the
time being shall be registered as the absolute owner thereof for all purposes and
neither the Issuer nor the Registrar nor' their respective successors shall be affected
by any notice to the contrary. Payment of or on account of the principal of any such
Bond shall be made only to or upon the order of the registered owner thereof, but
such registration may be changed as above provided. All such payments shall be valid
and effectual to satisfy and discharge the liability upon such Bonds to the extent of
the sum or sums so paid.
)4 If (i) any mutilitated Bond is surrendered to the Registrar, and the Issuer and
Registrar receive evidence to their satisfaction of the destruction, loss, or theft
of any Bond, and (ii) there is delivered to the Issuer and the Registrar such security
or indemnity as may be required by them to save each of them harmless, then, in the
absence of notice to the issuer or the Registrar that such Bond has been acquired by
a bona fide purchaser, the issuer shall execute, if necessary, and upon its request
Reoular Council Meeting
September 9. 1985
page 6
the Registrar shall authenticate and detiver, in exchange for or in lieu of any such
mutilated, destroyed, lost or stolen Bond, a new Bond of like tenor and principal
amount, bearing a number not contemporaneously outstanding. In case any such mutilated,
destroyed, lost, or stolen Bond has become or is about to become due and payable, the
issuer in its disrection may in stead of issuing a new Bond, pay such Bond. Upon the
issuance of any new Bond under this subsection, the issuer may require the payment of
a sum sufficient to cover any tax or other governmental charge that may be imposed in
relation thereto.
Every new Bond issued pursuant to this subsection in lieu of any destroyed, lost, or
stolen Bond shall constitute an original additional contractual obligation of the
issuer, whether or not the destroyed, lost, or stolen Bond shall be at any time enfor-
ceable by anyone, and shall be entitled to all the benefits of this Resolution equally
and proportionately with any and all other Bonds duly issued hereunder.
The provisions of this Section are exclusive and shall preclude (to the extent lawful)
all other rio~ts and remedies with respect to the replacement or payment of mutilated,
destroyec, lost, or stolen Bonds.
Section 3 Execution and De]ive-y
3.10 The Bonds shall be executed by the respective facsimile signatures of the Mayor
and the Cty Manager of the Issuer as set forth in the form of Bond. The text of the
approving legal opinion of Ho]mes and Graven, Chartered, of Minneapolis, Minnesota
d counsel, shall be printed o~ the reverse side of each Bond and shall be certi-
by the facsimile signature of the City Manager. When said Bonds shall have been
duly executed and authenticated by the Registrar in accordance with this resolution
the same shall be delivered to the Purchaser upon payment of the purchase price, and
the receipt of the ClerK-Treasurer of the issuer to the Purchaser thereof shall be
a full acquitance; and the Purchaser shall not be bound to see the application of
the purchase money. The Bonds shall not be valid for any purpose until authenticated
by the Registrar.
3.02 The Official Statement relating to the Bonds, on file with the City Manager and
presented to this meeting, is hereby approved and the furnishing thereof to prospective
bidders for the Bonds is hereby ratified and confirmed, insofar as the same relates to
the Bonds and the sale thereof.
3.O3 If such officers find the same to be accurate, the Mayor and the City Manager are
authorized and directed to furnish to the Purchaser at the closing a certificate that,
to the best of the knowledge of such officers, the Official Statement does not, at
the date of closing, and did not, at the time of sale of the Bonds, contain any untrue
statement of a material fact or omit to state any material fact necessary in order to
make the statements made therein, in the light of the circumstances under which they
were made, not misleading. Unless litigation shall have been commenced and be pending
questioning the Bonds, revenues pledged 'for payments of the bonds, or the organization
of the issuer or incumbency of its officers, at the closing, the Mayor and the City
Clerk shall also execute and deliver to the successful bidder a suitable certificate
as to absence of material litigation, and a certificate as to payment for and delivery
the Bonds, together with the arbitrage certificate referred to below and the signed
roving legal opinion of Holmes and Graven, Chartered as to the validity and inforce-
ability of the Bonds and the exemption of interest thereon from federal and Minnesota
income taxation (other than Minnesota corporate and bank excise taxes measured by in-
come) under present laws and rulings.
Regular Council Meet
September
page ?
Sect]om 4. Bond Fund and Accounts, Appropriations, Pledge, Pledge Agreement.
~.01 (a) There is hereby created a special fund of the issuer in the issuer's ProJect
Account established pursuant to resolution of the issuer adopted on August 11, 1980 in
connection ~ith the issuance of its S8,175,000 General Obligation Tax Increment Bonds,
designated the "Series B Tax Increment Bond Fund" (the "Fund") held and administered
by the Clerk-Treasurer of the issuer separate and apart from all other funds of the
issuer. The Fund shall be maintained in the manner specified until all of the bonds
herein authorized, any refunding bonds issued to refund the bonds and any other general
obligation tax increment bonds hereafter issued and made payable in accordance with
law from the Fund and the interest thereon, have been fully paid. In the Fund there
shall be maintained two separate accounts, to be designated as the "Capita] Account"
and the "Debt Service Account" respectively.
Capital Account The proceeds from the sale of the Bonds, less the amount of the pro-
ceeds of the Bonds deposited in the Debt Service Account, and less any accrued interest
received thereon shall be credited to the Capital Account, from which there shall be
paid all relating to the public redevelopment costs of the Downtown C.B.D. Redevelop-
ment Project (the "Project"), including the cost of any construction contracts here-
tofore ]et and all other costs incurred and to be incurred, of the kind authorized
in Minnesota Statutes, Sections 475.65. Upon completion of, and payment of such
costs relating to, the Project, funds remaining in the Capital Account sha]l be
transferred to the Debt Service Account.
t Service Account There is hereby pledged and there shall be credited to the Debt
)ervice Account ~- all accrued interest and unused discount received upon delivery
of and payment for the Bonds (b) tax increment pledged to the payment of the Bonds
pursuant to the Tax Increment Pledge Agreement, dated August ]], 1980, as amended
between the issuer and The Housing and Redevelopment Authority in and for the City
of Columbia Heights (the "Pledge Agreement"), (c) all taxes herein levied for the
payment of the Bonds, and (d) all moneys remaining in the Capital Account after
completion of the project and payment of the costs thereof. The Debt Service Account
herein created sha]] be used solely to pay principal of, premium, if any and interest
of the Bonds and any other general obligation bonds hereafter issued and made payable
from said Debt Service Account in accordance with law.
The Mayor and City Manager are hereby authorized to execute an amendment to the
Pledge Agreement in substantially the form of Exhibit A attached hereto with such
revisions and modifications as may be approved by the Mayor. Execution of such amend-
ment shall evidence approval of any revisions or modifications. Pursuant to such
amendment tax increment from the C.B.D. Redevelopment District and the University
Avenue Redevelopment District and the University Avenue Redevelopment District will
be pledged to the payment of debt service on the Bonds.
4.02 To provide moneys for the payment of principal of, and interest on the Bonds
as the same become due, there is hereby levied upon al1 of the taxable property in
the issuer a direct annual ad valorem tax which, (a) together with estimated col-
]ections of tax increment shall be equal to 105~. of the amount necessary to meet
when due principal and interest on the Bonds, and (b) shall be spread upon the tax
is and collected with and as a part of other general property taxes of the issuer
the years and amounts as follows:
Levy Year Collection Year Amount Levied
Regu ar Council Meeting
September 9. 1985
page 8
Said tax levies shall be irrevocable as lon9 as any bonds are outstanding, provided that
the issuer reserves the right to reduce the levies in the manner and to the extent per-
mitted by Minnesota Statutes, Section 475,,61, Subd. 3. The issuer hereby finds and det-
ermines that tax increment in an amount equal to not less than 20~ of the public redeve-
lopment costs to be financed hereby is estimated to be received from tax increment pledged
to the payment of debt service on the bonds. The full faith and credit taxing powers of
the issuer are hereby irrevocably pledged for the prompt and full payment of the principal
of and interest on the bonds and such other general obligation indebtedness as may be made
payable from the Bond Fund, as such principal and interest respectively become due.
4.03 The Clerk-Treasurer of the issuer is directed to keep on file in his office a
tabulation of the dates and amounts of the principal and interest payments to become
due and amounts of the principal and interest payments to become due on all bonds
payable from the Bond Fund.
Section 5. Miscellaneous
5.01 The issuer covenants and agrees with the Purchaser and holders of the Bonds that
the investments of proceeds of the Bonds, includin9 the investment of any revenues
pledged to the BonOs which are considered proceeds under the applicable regulations,
and accumulated sinking funds, if any, shall be limited as to amount and yield in such
manner that the Bonds shall not be arbitrage bonds within the meaning of Section 103(c)
of the Internal Revenue Code of 1954, as amended, and regulations thereunder. On the
basis of the existing facts, estimates and circumstances, including the foregoin9
ings and covenants, the issuer hereby certifies that it is not expected that the
.ceeds of the bonds will be used in such manner to cause the bonds to be arbitrage
bonds under Section 103(c) and regulations thereunder. The Mayor and City Manager
shall furnish an arbitrage certificate to the Purchaser embracin9 or based on the
foregoing certification at the time of delivery of the bonds to the Purchaser. The
proceeds of the bonds will likewise be used in such manner that the bonds are not
industrial development bonds under Section 103(b) of the Internal Revenue Code or
consumer loan bonds under Section 103(o) of the Internal Revenue Code.
5.02 The City Manager is hereby authorized and directed to certify copies of this
Resolution and to cause the same to be filed in the offices of the county auditor
of Anoka County together with such other information as the county auditor may
require, and to obtain from the county auditor a certificate that the Bonds have been
entered upon his or her bond registrar.
5.03 The officers of the issuer are authorized and directed to prepare and furnish
to the Purchaser and to the attorneys approving the Bonds, certified copies of all
proceedings and records of the issuer relating to the power and authority of the issuer
to issue the Bonds within their knowledge or as shown by the books and records in
their custody and control, and such certified copies and certificates shall be deemed
representations of the issuer as to the 'facts stated therein.
Adopted this 9th day of September, 1985.
Offered by:
:onded by:
1 call:
Hovland
Peterson
Hovland, Petkoff, Peterson, Nawrocki - aye
Carlson - nay
Robert S. Bocwinski, City Manager
Bruce G. Nawrocki, Mayor
Regular Council Meeting
September ~.. 1985
page ~
b. Resolution No. 85-4}; Awarding the Sale of, and Providing the Form, Terms, Covenants
and Directions for S2,460,O00 General Obligation Refunding Bonds of 1985, Series B
Motion by Carlson, second by Peterson to waive the reading of the resolution there being
ample copies available to the public. Rotli call: All ayes
RESOLUTION NO. 85-43
RESOLUTION AWARDING THE SALE OF, AND PROVIDING THE FORM, TERMS, CONVENANTS AND DIRECTIONS
FOR S2,463,000 GENERAL OBLIGATION REFUNDING BONDS OF 1985, SERIES B
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF COLUMBIA HEIGHTS, MINNESOTA AS FOLLOWS:
Section 1. A,..a~d of Sale: Terms of Bonds
1.01 The City of Columbia Heights, Minnesota (the "IssuerI') hereby awards the sale of
S2,463.00: General OBligation Refunding Bonds of 1985, Series B (the "Bonds") to First
National Bank of St. Paul and Associates, (the "Purchaser") as the bidder offering the
lowest net interest cost by its bid to purchase the bonds at a price of $2,423,]00
plus accrued interest to the date of delivery, the bonds to bear interest at the rates
per annum as folio,...s:
Year of Interest Year of Interest
Maturity Rate Maturity Rate
19S6 5.25 ~ 1991 7.40
19~7 6.00 1992 7.60
198~ 6.50 1993 7.80
1989 7.00 1994 8.00
1990 7.20 1995 8.20
1996 8.40
The City Clerk-Treasurer of the issuer is directed to retain good faith check of the
Purchaser pending delivery of and payment for the bonds, and to return the checks of
the unsuccessful bidders.
1.02 The issuer shall issue the bonds in the aggregate principal amount of S2,460,000
dated September i, 1985 as fully registered bonds. The bonds shall be in denominations
of S5,00O or any integral multiple thereof not exceeding the principal amount of a
single maturity, shall be numDered from R-] upwards in order of issuance, and shall bear
interest at the rates set forth above, payable March 1, I986 and semiannually thereafter
on each March 1 and September ], and shall mature on March 1 in the years and amounts
as follows:
Year Amount Year Amount
1986
1987
8
1990
$ 70,000 1991 S
S 195,000 1992 S
S 205,000 1993 $
S 220,000 1994 $
S 230,000 1995 S
1996 $
245,OO0
260,000
280,000
300,000
325,O00
130,000
Regular Council Meeting
September 9, 1985
page 10
issueJ in exchange for bonds shall be dated as of the date of authentication thereof
and shall bear interest fro~, the date to which interest due and payable has been paid in
full on the bonds surrendered except that bonds issued upon a transfer or exchange prior
to the first interest payment date shall be dated as of September l, 1985.
1.03 All bonds maturing on or after March l, 1988, shall be subject to redemption and
prior payment in whole or in part in inverse order of maturity and by lot within maturity
at the at the option of the issuer on March 1, 1987, and any interest payment date there-
after at a price of par plus accured interest. Thirty days' prior notice of redemption
shall be give~ by mail to the Registrar and to the registered owners of the bonds, and
notice of redemption will be published in the manner provided by Chapter 475, Minnesota
Statutes. Upon notice having been so given, the bonds or portions of bonds therein
specified shall be due and payable at the stated redemption date and price with accrued
interest to the redemption date, and upon funds for such payment being held by or on
behalf of the Registrar for such payment on the specified redemption date, interest
thereon shall cease to accrue after such redemption date. No defect in the mailed
notice of redemption shall affect the validity of the call for redemption of any bond.
1.04 The bonds shall be payable as to principal upon presentation at the main office
of Marquette Bank Hinneapolis, in Hinneapolis, Minnesota (the "Registrar"), or at the
office of such other successor registrar as the issuer may hereafter designate upon 60
days mailed notice to the registered owners. If the stated maturity date for payment
of principal of any bone shall not be a business day, then such payment sha]l be made
on the next succeeding business day with the same force and effect as if made on the
ted maturity, and without additional interest accruing thereon for the period after
stated maturity. Interest on each bond shall be payable by check or draft of the
Registrar mailed on the interest payment date or, if the interest payment date is not
a business day, then such payment shall be mailed on the first business day following
the interest payment date with the same force and effect as if payment were made on the
interest payment date, to the person who was the registered holder thereof at the close
of business on the 15th day (whether or not a business day) of the calendar month next
preceding the interest payment date, at his or her address as it appears on the bond
register. For purposes of this resolution "business day~' shall mean any day other than
a day on which banks in the City in which the principal office of the Registrar is
located are authorizec to be c]ose~.
Section 2. Form and Execution of the Bon~s
2.01 The bonds shall be in substantially the following form, with the necessary var
as to number, CUSIP Number, rate of interest and Oate of maturity, the blanks to be
properly filled in:
ations
UNITED STATES OF AMERICA
STATE OF MINNESOTA
COUNTY OF ANOKA
GENERAL OBLIGATION REFUNDING BOND OF 1985, SERIES B
Rate Maturity
Nomina~ Date
of Original Issue
CUSIP
September 1, 1985
Regular Council Meeting
September Q.,. 1985
page 11
City of Columbia Heights, Minnesota (the "Issuer"), for value received, hereby
certifies that it is indebted and hereby lpromises to pay to
or registered assigns, the principal sum of dollars
on the maturity date specified above, upon the presentation and surrender
hereof, and to pay to the registered owner hereof interest on such principal sum at the
interest rate specified above from SeptemlDer 1, ]985, or the most recent interest payment
date to which interest has been paid or d,J]y provided for as specified below, on March ]
and September ] of each year, commencing March ], 1986, until said principa] sum is paid.
Principal and the redemption price are payable in lawful money of the United States of
America at Marquette Bank Minneapolis as Registrar, Transfer Agent and Paying Agent, in
Minneapolis, Minnesota, or at the offices of such successor agent as the issuer may desig-
nate upon 60 days notice to the registered owners at their registered addresses (the
"Registrar"). Interest sha]] be paid on each March ] and September ] by check or draft
mailed by first-class mai], postage prepaid, on the interest payment date, or if the
interest payment date is not a business day, then on the first business day thereafter,
to the person in whose name this bond is registered at the close of business on the
precedin0 February ]5 or August ]5 (whether or not a business day) at his or her address
set forth on the bond register maintained by the Registrar. Any such interest not punctually
paid or provided for v~ill be paid to the person in wh~)$e name this bond is registered at
the close of business on a special record date established by the Registrar for the pay-
ment of such defaulted interest. "Business day" shall mean any day other than a day when
banks located in the city in which the principal office of the Reglstrar is located
are authorized to be c]oseo.
bonds of this series maturing on or after March 1, 1988, are subject to redemption at
option of the issuer in whole or in part in inverse order of maturity and by lot within
a maturity, on March 1, ]987 and any interest payment date thereafter at a price equal to
par and accrued interest. Thirty days' prior notice of redemption will be published in
the manner provided by Minnesota Statutes, Chapter 475. No defect in mailed notice will
affect the validity of the call for redemption.
This bond is one of a series of bonds in the aggregate principal amount of
all of like date and tenor except for number, interest rate, denomination,
date of maturity and redemption privilege, and is issued for the purpose of providing
funds to refund the outstanding principal amount of the issuer's General Ob]ioation
Permanent Improvement Fund Bonds, Series 1984, which were issued to finance the cost of
certain local improvements, and is issued pursuant to an authorizing resolution (the
"Resolution") duly adopted by the issuer :September 9. 1985, and pursuant to and in
full conformity with the Constitution and laws of the State of Minnesota, including
Minnesota Statutes, Chapter 475. The bonds of this series are payable from the perm-
anent Improvement Fund Bonds of 1982 Debt Service Account in the issuer's sinking fund.
Ail taxable property within the issuer is subject to the levy of ad valorem taxes re-
quired by law to be levied and extended if needed for this purpose, without limitation
of rate or amount. The issuance of this bond does not cause the indebtedness of the
issuer to exceed any constitutional, statutory, or charter limitation thereon.
As provided in the Resolution, and subject to certain limitations set forth therein,
this bond is tranferable upon the books of the issuer kept for that purpose at the
principal office of the registrar, by the registered owner hereof in person or by
:h owner's attorney duly authorized in writing, upon surrender of this bond together
ih a written instrument of transfer satisfactory to the Registrar, duly authorized
attorney. Upon such transfer and the payment of any tax, fee or governmental charge
required to be paid by the issuer or the Registrar with respect to such transfer,
there will be issued in the name of the transferee a new bond or bonds of the same
aggregate principal amount as the surrendered bond.
Regular Council Meeting
September
page 12
The bonds of this series are issuable only as fully registered bonds without coupons
in denominations of $5,000 or any integral: multiple thereof. As provided in the re-
olution and subject to certain limitations therein set forth, the bonds of this series
are exchangeable for a like aggregate principal amount of bonds of this series of dif-
ferent authorized denominations, as requested by the registered owner or his duly
authorized attorney, upon surrender thereof to the registrar.
It is hereby certified and recited that all acts, conditions and things required by
the Constitution and la~.~s of the State of Minnesota and by the Charter of the issuer
to be done, to exist, to happen and to be performed in order to make this bond a valid
and binding general obligation of the issuer according to its terms, have been done,
do exist, have happened and have been performed in due form.time and manner as so
required.
This bond shall not be valid or become obligatory for any purpose until the Auth-
entication Certificate hereon shall have been manually signed by a person authorized
to sign on behalf of the Registrar.
IN WITNESS, WHEREOF, the City of Columbia Heights, Minnesota has caused this bond to
be executed v,'ith the facsimile signatures of its Mayor and its City Manager, ali as
to the Date of Original Issue specified above.
CITY OF COLUMBIA HEIGHTS, MINNESOTA
By Bruce G. Nawrocki
Mayor
Robert S. Boc~.,'inski, City Manager
2.02 As long as any of the bonds issued hereunder shall remain outstanding, the
Council shall cause to be kept at the principal office of the Registrar in which
subject to such reasonable regulations as the Registrar may prescribe, the Registrar
shall provide for the registration of bonds and the registration of transfers of bonds.
Marquette Bank Minneapolis of Minneapolis., Minnesota, is hereby appointed Registrar
for the purpose of registering bonds and registering transfers of bonds as herein
provided.
Upon surrender for transfer of any bond with a written statement of transfer satisfactory
to the Registrar, duly executed by the registered owner or his duly authorized attorney
and upon payment of any tax, fee or other governmental charge required to be paid with
respect to such transfer, the issuer sha:ll execute and the Registrar shall authenticate
and deliver, in the name of the designated transferee or transferees, one or more fully
registered bonds of any authorized denominations and of a like aggregate principal
amount, interest rate and maturity. Any bonds, upon surrender thereof at the office
of the Registrar may, at the option of the registered owner thereof, be exchanged for
an equal aggregate principal amount of bonds of the same maturity and interest rate
of any authorized denominations. In all cases in which the privilege of exchanging
or transferring fully registered bonds is exercised, the issuer shall execute and the
Registrar shall deliver bonds in accordaqce with the provisions of this Resolution.
every such exchange or transfer of bonds, whether temporary or definitive, the
r or the bond Registrar may make a .charge sufficient to reimburse it for any tax,
fee or other governmental charge required to be paid with respect to such exchange or
transfer, which sum or sums shall be paid by the person requesting such exchhange or
transfer as a condition precedent to the exercise of the privilege of making such ex-
change or transfer. Notwithstanding, any other provision of this Resolution, the
Regular Council Meeting
September ~,
pa~e 13
cost of preparing each new bond upon each exchange or transfer, and any other expenses
of the issuer or the bond registrar incurred in connection therewith (except any ap-
plicable tax, fee or other governmental charge) shall be paid by the issuer. The issuer
shall not be obligated to make any such exchange or transfer of bonds during the fifteen
(15) days next preceding the date of the first publication or the mailing (if there is
no publication) of notice of redemption in the case of a proposed redemption of bonds.
The issuer and the Registrar shall not be required to make any transfer or exchange of
any bonds called for redemption. Each bond delivered under this resolution upon transfer
of or in exchange for or in lieu of any other bond shall carry all the rights to interest
accrued and unpaid, and to accrue, which were carried by such other bond and each such
bond shall bear interest from such date that neither gain nor loss in interest shall
result from such transfer, exchange or substitution.
2.03 As to any bond, the issuer and the Registrar and their respective successors, each
in its discretion, may deem and treat the: person in whose name the same for the time
being shall be registered as the absolute, owner thereof for all purposes and neither the
issuer nor the Registrar nor their respective successors shall be affected by any notice
to the contrary. Payment of or on account of the principal of any such bond shall be made
only to or upon the order of the registered owner thereof, but such registration may be
changed as above provided. All such payments shall be valid and effectual to satisfy
and discharge the liability upon such bond to the extent of the sum or sums to be paid.
2.0& If (i) any mutilated bond is surrendered to the Registrar, and the issuer and the
jistrar received evidence to their satisfaction of the destruction, loss, or theft of
bond and (ii) there is delivered to the issuer and the Registrar such security or
~ndemnity as may be required by them to save each of them harmless, then, in the ab-
sence of notice to the issuer or the Registrar that, such bond has been acquired by a
bona fide purchaser, the issuer shall execute if necessary, and upon its request the
Registrar shall authenticate and deliver, in exchange for or in lieu of any such
mutilated, destroyed, lost, or stolen bond, a new bond of like tenor and principal
amount, bearing a number not contemporaneously outstanding. In case any such mutilated
destroyed, lost or stolen bond has become or is about to become due and payable, the
issuer in its discretion may, instead of issuing a new bond, pay such bond. Upon the
issuance of any new bond under this subsection, the issuer may require the payment of
a sum sufficient to cover any tax or other governmental charge that may be imposed in
relation thereto.
Every new bond issued pursuant to this subsection in lieu of any destroyed, lost, or
stolen bond shall constitute an original additional contractural obligation of the issuer,
whether or not the destroyed, lost, or stolen bond shall be at any time enforceable by
anyone, and shall be entitled to al1 the benefits of this resolution equally and pro-
portionately with any and all other bonds duly issued hereunder.
The provisions of this Section are exclusive and shall preclude (to the extent lawful)
all other rights and remedies with respect to the replacement or payment of mutilated,
destroyed, lost, or stolen bonds.
Section 3. Execution and Delivery
31 The bonds shall be executed by the respective facsimile signatures of the Mayor
the City Manager of the issuer as set forth in the form of bonds. The text of the
approving legal opinion of Holmes & Graven, Chartered of Minneapolis, Minnesota, as
bond counsel, shall be printed on the reverse side of each bond and shall be certified
by the facsimile signature of the City Manager. When said bonds shall have been duly
executed and authenticated by the Registrar in accordance with this resolution, the
Regular Council Meeting
September
e 1~
same shall be delivered to the Purchaser upon payment of the purchase price, and the
receipt of the City Clerk-Treasurer of the Issuer to the Purchaser thereof shall be a
full acquaintance; and the Purchaser shall not be bound to see to the application of
the purchase money. The bonds shall not be valid for any purpose until authenticated
by the Registrar.
3.02 The Official Statement relating to the bonds, on file with the City Manager and
presented to this meeting, is hereby approved, and the furnishing thereof to prospective
bidders for the bonds is hereby ratified and confirmed, insofar as the same relates to
the bonds an: the sale thereof.
3.03 If such officers find the same to be accurate, the Mayor and the City Manager are
authorized and directed to furnish to the Purchaser at the closing a certificate that,
to the best of the knowledge of such officers, the Official Statement does not, at the
date of closing, and did not, at the time of sale of the bonds, contain any untrue
statement of a material fact or omit to state any material face necessary in order to
make the statements made therein, in the light of the circumstances under which they
were made, not misleading. Unless litigation shall have been commenced and be pending
questioning the bonds, revenues pledged for payments of the bonds, or the organization
of the Issuer or incumbency of its officers, at the closing, the Mayor and City Manager
shall also execute and deliver to the successful bidder a suitable certificate as to
absence of material litigation, and a certificate as to payment for and delivery of
the bonds, together with the arbitrage certificate referred to below and the signed
dying legal opinion of Holmes & Graven, Chartered as to the validity and enforce-
ity of the bonds and the exemption of interest thereon from federal and Minnesota
income taxation (other than Minnesota corporate and bank excise taxes measured by
income) under present laws and rulings.
Section ~. Refundino of Refunded Bcnds.
4.O1. The form of Excrow Agreement proposed to be made and entered into between the
issuer and in Minneapolis, Minnesota,
relating to the issuer's General Obligation Permanent Improvement Fund Bonds, ~eries
195~ (the "Refunded Bones") is hereby approved and shall be executed by the Mayor
and the City Manager in substantially the form in file, with such changes therein
not inconsistent with Section 475.67, Minnesota Statutes, or other law, as the officers
executino the same may approve, which approval shall be conclusively evidenced by the
execution thereof. The Escrow Agreement shall be irrevocable and the issuer hereby
covenants to perform the terms and conditions thereof as long as the Refunded Bonds
are outstanding. The issuer hereby agrees to pay the reasonable charges of the escrow
agent for acting as such.
4.02 The proceeds of the bonds are hereby appropriated as follows: (a) an amount
sufficient to fund the Escrow Fund pursuant to the Escrow Agreement (currently
estimated to be S2,387,896.24) shall be deposited in such Escrow Fund and applied in
accordance with the Escrow Agreement~ and (b) an amount equal to the costs of
issuing the bonds (currently estimated to be $35,139.61) shall be applied to the
payment thereof. The balance of the Escrow Fund shall be funded with the sum of $124,322.12
ich is hereby appropriated to the Escrow Fund from the the General Fund
,the issuer.
4.03 The firm of Peat Marwick, independent public accountants
and consulting actuaries, is hereby authorized and directed to verify that the de-
posits in the Escrow Fund for the refunded bonds will be sufficient to meet the
calculations as may be necessary for the purpose of determining compliance with
Regular Council Meeting
September 9. ]9~
pag? 15
Section 103(c) of the Internal Revenue Code and regulations thereunder.
Section 5. Debt Service Account, Pledges, Appropriations.
5.01 The bonds shall be payable from the "Permanent Improvement Fund Bonds of 1982
Debt Service Account in the issuer's Sinking Fund (the "Debt Service Account") created
on the official records of the issuer by Resolution No. 82-55 adopted on October 25,
1982. The Debt Service Account shall continue to be held in the custody of the Clerk-
Treasurer, deposited in one or more banks duly qualified as depositories of funds of
the issuer, separate from all other bank accounts, and invested and reinvested in ac-
cordance with resolutions of the issuer ar, d Minnesota Statutes, Section 475.66, and
shall be used only to pay principal and interest and expenses of payment when due on
general obligations bonds of the issuer made payable therefrom, including the present
issue of bonds which refund the Refunded Bonds, until all such principal and interest
and expenses have been fully paid; provided that if any payment falls due when the
balance in the fund is insufficient to pay it, the deficiency shall be paid out of
any other funds of the issuer available for that purpose, and advances so made may be
repaic from the Debt Service Account when sufficient balance is available therein.
5.02 Appropriations. The fo]lo~.Jing sums are hereby appropriated and shall be credited
as received to the Debt Service Account:
(a) From the proceeds of the bonds (i) the accrued interest paid by the Purchaser
n the date of issue to the date of delilvery thereof; and (ii) the amount of bid
Ithe bonds in excess of S2,423,100.00 plus accrued interest.
(b) All income and gain from investment o:: the Debt Service Account
loss from such investment shall be charged).
(to which all
(c) Special assessments levied for the local improvements financed with proceeds
of the Refunded Bonds and collected by the City.
(d) Any sums collected from taxes extended and assessed in connection with the
Refunded Bonds.
5.03 The full faith and credit and taxing powers of the issuer are irrevocably
pledged for the prompt and full payment of the principal of and interest on the
Bonds and such other general obligation indebtedness as may be made payable from
the Debt Service Account, as such principal and interest respectively become due.
5.04 It is estimated that the revenues pledged for the payment of the bonds and
taxes levied in connection with the Refunded Bonds will produce sums in an amount
not less than 5~ in excess of the amounts needed to meet when due payments of prin-
cipal of and interest on the bonds, and accordingly no tax is levied by this Res-
olution for that purpose.
5.05 The Clerk-Treasurer of the issuer is directed to keep on file in his office
a tabulation of the dates and amounts of the principal and interest payments to
become due and amounts in the principal and interest payments to become due on
bonds payable from the Debt Service Account
Section 6. ~iscellaneous
6.01 The issuer covenants and agrees with the purchaser and holders of the bonds that
the investments of proceeds of the bonds, including the investment of any revenues
Regular Council Meeting
September
16
pledged to the bonds which are considered proceeds under the applicable regulations,
and accumulated sinking funds, if any, shall be limited as to amount and yield in
such manner that the bonds shall not be arbitrage bonds within the meaning of Section
103(c) of the Internal Revenue Code of 1954, as amended, and regulations thereunder.
On the basis of the existing facts, estimates and circumstances, including the fore-
going findings and covenants, the issuer hereby certifies that it is not expected
that the proceeds of the bonds wilt be used in such manner as to cause the bonds to
be arbitrage bonds under Section ]03(c) a~ad regulations thereunder. The Mayor and
City Manager shall furnish an arbitrage certificate to the purchaser embracing or
based on the foregoing certification at tlae time of delivery of the bonds to the
purchaser. The proceeds of the bonds will likewise be used in such manner that the
bonds are not industrial development bonds under Section lO3(b) of the Internal
Revenue Code or consumer loan bonds under Section lO3(o) of the Internal Revenue
Code.
6.02 The City Manager is hereby authorized and directed to certify copies of this
resolution and to cause the same to be filed in the office of the county auditor
of Anoka County together with such other information as the county auditor did re-
quire, and to obtain from the county a certificate that the bonds have been entered
upon his or her bond register.
6.03 The officers of the issuer are authorized and directed to prepare and furnish
to the purchaser and to the attorneys approving the bonds, certified copies of
I,ceedings and records of the issuer relating to the power and authority of the
.uer to issue the bonds within their knowledge or as shown by the books and records
in their custody and cor, troi, and such certified copies and certificates shall be
deemed representations of the issuer as to the facts stated therein.
Adopted this 9th day of September, 1985.
Offered by:
Seconded by:
Roll cal :
Carlson
Peterson
A]] aye~
Bruce G. Nawrockl, Mayor
Robert S Bocv~inski, City Manager
Escrow Agreement
Motion by Hoviand, second by Petkoff to authorize the Mayor and City Manager to
execute an escrow agreement with Marquet~:e Bank Minneapolis as escrow agent for
S2,460,O00 of General Obligation Refunding Bonds of 1985, Series B, City of Col-
umbia Heights, Minnesota. Roll call: All ayes
c. Resolution No. 85-44 Subdivision Request
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. 85-44
SUBDIVISION REQUEST
Fee: SlO.O0
Date Paid: 8-15-85
Receipt No.: 12867
CITY OF COLUMBIA HEIGHTS
590 40th AVENUE N.E.
Regular Council Meeting
September 9,
page 17
I, Katherine M. Benson hereby request a split of PIN 36 30 24 23 OO6]. Legally des-
cribed as: The East ~ of Lot 37, Block 3, Reservoir Hil]s; Except the South 5 feet;
Subject to easement to the City of Columbia Heights over the North 30 feet, Anoka
County, Minnesota.
THE DESCRIPTION HENCEFORTH TO BE:
1. The East 55 feet of the North 165 feet of Lot 37, Block 3, Reservoir Hill, Anoka
County, Minnesota. Subject to easement to the City of Columbia Heights over the North
30 feet.
2. The East 55 feet of Lot 37, Block 3, Reservoir Hills, Anoka County, Minnesota,
except the North ]6~ feet thereof and also except the South 5 feet.
Be it further resolved that special assessments of record in the office of the City
of Columbia Heights as of this day, against the above described property, in the
amount of S 0 - be divided. Paid.
Any pending or future assessments will be levied according to the new split as approved
this day.
Any lot split given approval shall become invalid if the resolution, motion or other
Council action approving the said lot split is not filed with the County Auditor
:bin one (1) year of the date of the Council action.
ANNING & ZONING DEPARTMENT ACTION:
APPROVED
Katherine M. Benson
Signature of the Owner, Notarized
This 3rd day of September, 1985.
Offered by: Nixon
Seconded by: Heintz
Roll call: All ayes
1015 42nd Avenue N.E., Col. Hts.
Owner's Address
Telephone No. 738-1051
LeRoy Goranson
Zoning Off cer
Subscribed and sworn to before me
this 15th day of August, 1985
CITY COUNC L ACTION:
APPROVED
Karen Meuleners
Notary Public
This 9th day of September, 1985
Offered by: Petkoff
Seconded by: Hovland
Roll call: All ayes
Bruce G. Nawrocki, Mayor
Anne Student, Council Secretary
Regular Council Meeting
September 9, 1985
page 18
lution No. 85-45 Subdivision Request
The owner of this property which is located on Hart Lake adjacent to 1747 37th Avenue
is requesting it be split with the west twenty feet of the property to be combined with
the lot at 1747 37th Avenue and the remainder to be given to the City to be combined
with the City property to the east.
Notion by Carlson, second by Peterson to ~;aive the reading of the resolution there being
ample copies available to the public. Roll call: All ayes
RESOLUTION NO. 85-45
SUBDIVISIC)N REQUEST Fee: WAIVED
Date Paid
CITY OF COLUMBIA HEIGHTS Receipt No.
590 40th AVENUE N.E.
I. Gerald Neumann and Ann Neumann hereby request a split of PIN 36 30 24 43 0027
legally described as:
The East t50 ' of Lot 2. Block 6, Auditor's Subdivision of Walton's Sunny Acres
Third Addition, Anoka County, Minnesota.
THE DESCRIPTION HENCEFORTH TO BE:
1. The West 20' of the East 150' of Lot 2. Block 6, Auditor's Subdivision of Walton's
Sunny Acres Third Addition, Anoka County, Minnesota.
The East 150' of Lot 2 EXCEPT the West 20 feet of Lot 2, Block 6, Auditor's Sub-
sion of Walton's Sunny Acres Third Addition, Anoka County, Minnesota.
Be it further resolved that special assessments of record in the office of the City
of Columbia Heights as of this day, against the above described property, in the
amount of S - 0 - be divided. Paid.
Any pending or future assessments will be levied according to the new split as
approved this day.
Any lot split given approval shall become invalid if the resolution, motion or other
Council action approving the said lot split is not filed with the County Auditor
within one (1) year of the date of the Council action.
PLANNING & ZONING DEPARTMENT ACTION:
APPROVED
Gerald Neumann &
Ann Neumann
Signature of Owners, Notarized
This 3rd day of September, 1985.
Offered by: Heintz
Seconded by: Nixon
Roll call: All ~yes
1337 Virginia St. Anchorage, Alaska
Owners' Address
Telephone No.[907) 277-1926
CITY COUNCIL ACTION:
APPROVED
Subscribed and sworn to before me
this 19th day of June, 1985.
This 9th day of September, 1985
Offered by: Carlson
Seconded by: Peterson
Roll call: All ayes
Notary Public
Regular Council Meeting
Septembpr 9, 1985
page 19
Acceptance of Property as Defined in Part ~2 of Resolution No. 85-45
Motion by Carlson, second by Peterson to accept the donation of the property described
in part ~2 of Resolution No. 85-45. Roll (:all: All ayes
e. Resolution No. 85-46 Setting Annual Library User Fees
Motion by Carlson, second by Petkoff to waive the reading of the resolution there being
ample copies available to the public. Roll call: All ayes
RESOLUTION NO. 85-4~
BEING A RESOLUTION SETTING LIBRARY ANNUAL USER FEES
BE IT RESOLVED that no library user fees will be charged for residents of the
MELSA area and user fees of S30.00 per year wit1 be charged for non-residents
of the MELSA area.
Offered by: Carlson
Seconded b'/: Peterson
Roll call: All ayes
Passed this 9th day of September, 1985.
Bruce G. Nawrocki, Mayor
Student, Council Secretary
f. Resolution No. 85-47 Authorizing Issuance of Duplicate Bonds
Bonds numbered 1268 and 1269 issued to Cathrina Postema have been lost and duplicate
bonds must be issued. This resolution authorizes the issuance of duplicate bonds and
requires a surety bond to protect the City if the original bonds are redeemed.
RESOLUTION NO. 85-47
RESOLUTION AUTHORIZING THE ISSUANCE OF DUPLICATE BONDS NUMBERED 1268 and 1269 OF THE
CITY'S $8,175,000 GENERAL OBLIGATION TAX INCREMENT BONDS OF 1980
WHEREAS:
A. The City Council of the City of Columbia Heights by a resolution adopted August
11, 1980, did authorize the issuance of S8,175,000 General Obligation Tax Increment
Bonds in accordance with the Notice of Bonds Sale at a price of $8,060,068.88.
B. Said bonds are delivered to the purchasers thereof on September l, 1980;
C. Certain said bonds are sold by the original purchasers thereof to one Ms. Cathrina
Postema, said bonds being numbered 1268 and 1269 each in the denomination of $5,000
each bearing interest at the rate of eight and one half percent (8.5%) per annum and
each maturing on March 1, 1999;
Prior to the issuance of duplicate bonds Ms. Cathrina Postema will give the City
umbia Heights in the principal amoant of $5],~50, said amount beinq double the
amount of the lost obligations and being conditioned to save the City of Columbia
Heights harmless as the results of its issuance of additional obligations;
E. Minnesota Statutes, Section 475.69 and 475.70 provide as follows:
Regular Council Meeting
Septem:.er 9, 1985
page 20
475.69 DEFACED BONDS; DUPLICATES.
When a~y obligation of a municipality becomes unfit for circulation, it may be
surrendered and cancelled. Upon the authorization of the governing body, a duplicate
of the obligation except as to signatures and a duplicate of any unpaid coupons, may
be issued to the owners. These duplicates shall be marked "DUPLICATE" and the date
of issue shown thereon. Such marking shall be signed by the treasurer than in office.
475.70 LOST INSTRUMENTS; INDEMNITY.
If the owner of any obligation which is destroyed or lost, first gives a satisfactory
surety bond to the municipality, in a sum double the amount of such obligation,
conditionee to save it harmless in the premises, the governing body thereof may auth-
orize the issuance of another to the owner in its place, corresponding with the
missing obligation as to number, date, amount, and unpaid coupons. Such obligation
shall be signed by the proper officials who are then in office, and shall be marked
and dated as provide~ in section 475.69. 'The treasurer shall keep a record of all
reissues and duplicates showing the date of issue and the persons to whom issued.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Columbia Heights
as follo~,~s:
1. The City of Columbia Heights shall forthwith issued deliver to said Ms. Cathrina
tema obligations in the place of bonds numbered 1268 and 1269, corresponding with
td lost obligations as to number, date, principal amount and unpaid interest
coupons. Said obligations shall be signed on behalf of the City by the manual sig-
nature of City Hanager and the Mayor, the corporate seal of the City being omitted
as permitted by la~..~. The interest coupons for said bonds shall be signed by the Mayor
and the City Manager. Each of said bonds and each coupon thereon shall be marked
"DUPLICATE" and shall show the date of issue. Such marking shall be signed by the Clerk-
Treasurer of the City.
2. The Clerk-Treasurer is hereby directec' to record said duplicate bond, showing the
date of issue and the persor~ to whom issued.
3. The costs of printing said duplicate bond and legal expenses shall be paid by said
Ms. Cathrina Postema.
Pessed this 9th day of September, 1985.
Offered by: Hovland
Seconded by: Petkoff
Roll call: All ayes
Bruce G. Nawrocki, Mayor
Jo-Anne Student, Council Secretary
g. Resolution No. 85-48 Senior Citizen IJtility Rates
Motion by Petkoff, second by Hovland to waive the reading of the resolution there being
le copies available to the public. Roll call: All ayes
RESOLUTION N0, 85-48
ESTABLISHING SENIOR CITIZEN ELIGIBILITY STANDARDS FOR REFUSE, SEWAGE DISPOSAL AND WATER
SUPPLY UTILITY RATES
ReguIar Council Meeting
September
page 21
EAS, the City Council has previously established eligibility standards for senior
citizens for refuse service, disposal, anc water supp]yl and,
WHEREAS, it has been the City's practice to maintain uniform eligibility standards
whenever possiblel
NOW, THEREFORE, BE IT RESOLVED by the City of Columbia Heights as follows:
1. That anyone over 62 years of age with a maximum household income of $9,OO0
will be eligible for reduced rates.
BE IT FURTHER RESOLVED that the above eligibility standard be effective October 1,
]985.
Passed this ~th daV of September, 1985.
Offered by: Petkoff
Seconded by: Hovland
Roll call: All aves
Bruce G. Nawrocki, Mayor
Jo-Anne Stuaer, t, Council Secretary
6. Communications
anning and Zoning Commission
1. Conditional Use Permit and Site Plan, 5101 University Avenue
A car cleaning service business is being proposed at the vacant building at 510] Univer-
sity Avenue. A service station was formerly operated at this location. The Building
Inspector reviewed the proposal as presented to the Planning and Zoning Commission.
The City Manager expressed concern that all the requirements of the site plan may not
be met before winter and in order for an occupancy permit to be issued a letter of
credit or an escrow agreement should be considered. Discussion followed regarding
Mayor Nawrocki's concern for maintenance of the site.
Motion by Carlson, second by Petkoff to a!~prove the conditional use permit for a
car cleaning service at 5]01 with the following conditions:
1. No auto repair is to be done on the site.
2. No automatic car washing equipment is to be installed.
3. All items in the site plan be maintained in a condition of good repair.
4. That the following site plan requirements be met:
a. Screening fence be repaired.
b. Canopy on west side of the building be removed.
c. Dumpster be enclosed and located by the northeast corner of the building.
d. Westerly driveway on 5lst be closed.
e. Southerly driveway on University be closed and replaced with full height
City-specified curbing.
f. Remaining two driveways be reduced to the City maximum size of 22' in width.
g. Curbing be installed around green areas (grass).
h. Parking lot be repaired and parking spaced striped, and,
i. All items to be completed prior to occupancy.
Roll call: All ayes
Regular Council Meeting
September 9. 1985
page 22
2. Conditional Use Permit, Site Plan & Variance VFW Post #230
There was a lengthy discussion held regarding the addition the VFW Post is proposing
to their present building at 4446 Central Avenue. Representatives of the Post advised
the Council as to the specifics of their plans and staff reviewed some of the recom-
mendations of the Pianning and Zoning Commission and of the Inspections and £ngine~
ering Department.
Motion by Hovland, second by Petkoff to grant the expansion of the conditional use
permit for VFW Post ~230 facility at 4446 Central Avenue to allow for the approximate
30 by 37 foot addition to the westend of 'Lhe existing building to provide space for
restrooms, a kitchen, walk-in cooler and !storage area, inc]uding a rear setback variance
to allow for three feet setback between the west end of the building and the alley
property line, a side yard variance to allow for a two foot side yard variance between
the new aedition and the south property line, that signage be provided to direct
existing traffic in the alley to proceed northbound, that roof drainage be directed
to the alley and/or parking lot, that an ,automatic sprink]er system be installed, and
that the westerly-most parking space be reserved for the dumpster. Roll call: A]] ayes
3. Conditional Use Permit, Site Plan Revisions Auto Max, 4501 Central Avenue
Discussion was held regardino the changes requested by the owner of Auto Max concerning
the site pla~. The City Manager recommended the letter of credit with Auto Max be
amended to reflect these changes. The City Manager observed that the owner of Auto
Max has not as yet requested an amended letter of credit therefore the amount of the
credit could not be decreased. Councilmember Peterson stated he felt that the owner
did not understand that these requests must be made and that the letter of credit
ltying ,up a large amount of money for a number of small items yet to be completed.
,or Na~-.rocki felt the Council needed more information from the owner before the
letter of credit amount should be reduced. The City Manager recommended that this
item be tabled for two weeks so that the owner of Auto Max can supply the Council
with additional information regarding future work to be done at the site, the time-
frames for completion, etc..
b. Traffic Commissioo
1. Establish Width of Johnson Street, 37th to 39th Avenues
The Traffic Commission is recommending that Johnson Street be designated as a state
aid roadway. The Commission's recommendation also included proposed widths for dohn-
son Street as well as designated areas for no vehicular parking.
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. 85-49
RELATING TO PARKING RESTRICTIONS ON S.A.P. 113-119-O1 IN THE CITY OF COLUMBIA HEIGHTS,
MINNESOTA
THIS RESOLUTION, passed this 9th day of September, 1985, by the City of Columbia Heights
in Anoka County, Minnesota. The municipal corporation shall hereinafter be called the
"City".
FNESSETH:
WHEREAS, the "City" has planned the improvement of M.S.A.S. 119, and
WHEREAS, the "City" w]ll be expending Municipal State Aid Funds on the improvement of
this street, and
Regular Council Meeting
September 9, )985
page 23
WHEREAS, this improvement does not provide adequate width for parking on both sides
of the street, approval of the proposed construction as a Municipal State Aid Street
project must therefore be conditioned upon certain parkin9 restrictions, and
WHEREAS, the extent of these restrictions that would be a necessary prerequisite to
the approval of this construction as a Municipal State Aid project in the "City~' has
been determined.
NOW, THEREFORE, IT IS HEREBY RESOLVED:
That the "City" shall restrict motor vehicles to "NO PARKING AT ANYTIME" on the west
side of M.S.A.S. 119 from 3?th Avenue N.E. to 40th Avenue N.E. and the "City" shall
restrict motor vehicles to "NO PARKING AT ANYTIME" on the east side of M.S.A.S. 119
from a point 487' north of 39th Avenue, station 14+50, to 4Otb Avenue N.E.
Dated this 9th day of September, 1985.
Offered by: Petkoff
Seconded by: Carlson
Roll call: All ayes
Jo-Anne Student, Council Secretary
Bruce G. Nawrocki, Mayor
ST:
I hereby certify that the aforegoing resolution is a true and correct copy of the
resolution presented to and adopted by the City Council of the City of Columbia Heights,
at a duly authorized meeting thereof held on the 9th day of September.
William J. Eirite
Finance Director-City Clerk/Treasurer
Motion by Peterson, second by Carlson to authorize the City Manager to initiate the
process of right-of-way easement acquisition as needed for the proposed reconstruction
of Johnson Street. Roll call: All ayes
Motion by Peterson, second by Hovland to authorize the Mayor and City Manager to enter
into an agreement wi£h Malcolm Watson to appraise property as needed in the right-of-
way on Johnson Street. Roll call: All ayes
Motion by Carlson, second by Peterson to authorize the Mayor and City Manager to enter
into an agreement with a registered land surveyor for the work as needed on the John-
son Street project. Ro11 call: All ayes
c. Award of Bid - Ford Bronco
Motion by Petkoff, second by Hovland to award the sale of the City-owned Ford Bronco
to John Kruse in the amount of $257.50 based on competitive bid. Roll call: All ayes
Greater Anoka County Humane Society - Request for Funding
Executive Director of the Humane Society gave a presentation regarding the proposed
animal shelter facility to be located in Anoka County. The Humane Society is requesting
a 50¢ per capita grant from the City to assist in the development costs of the new
facility. Land for the facility has been donated and operating costs are expected to
be funded from memberships, donations and sate of animals.
on by Petkoff, second by Hovland to indicate a willingness of the City of Columbia
his to further consider participating in the facility program of the Anoka County
Humane Society up to 50C per capita as allowed with further review of the program in
regards to what other communities in the County may choose to do and with follow up
on a control program. Roll call: All ayes
e. Proposal to Purchase City-Owned Land
The City Manager had received a proposal to purchase a parcel of land located by
Sullivan Lake. The Mayor and all of the councilmembers indicated an unwillingness
to sell th s parcel and directed the City Manager to notify the person making the
request of this position.
f. Six Cit es Water Management Organization - 1986 Budget
The City's Public Works Director, who is the Treasurer of the Six Cities Water Mana-
gement Organization, advised the Council of the details of the 1986 budget and the
amount as proposed for the City of Columbia Heights. The City's portion would be
approximately S7~300 which is based on the assessed valuation.
Motion by Hovland, second by Peterson to approve the Six Cities Water Management
Organization's 1986 budget in the proposed amount of S32,O00. Roll call: All ayes
g. North Suburban Ma/ors' Ad Hoc Committee
The Council receivea copies of a letter and a resolution regarding the impact of
the proposed mega-mall and tax concessions for this project on north suburban
communities and their potential developments.
Handicapped Access Requirements - Revenue Sharing
City Manager advised the Council of the need to address the handicapped access
requirements for revenue sharing funds. He noted that these requirements had been
considered last year and staff had submitted proposals for meeting these require-
ments to the Council. The Council had determined that the costs were extremely
high and requested that the proposals be reconsidered. It was decided this item
should be discussed at a work session.
7. Old and Nev~ Business
a. New Business
1. Request for Five-Day Sign Permit
Motion by Petkoff, second by Hovland to authorize Hardee's Restaurant of 5280 Central
Avenue to display two roof banners and one cold air balloon, and to operate one search-
light in conjunction with advertisment of their grand opening; and, furthermore, that
such display be limited to September 18-22, 1985. Roll call: All ayes
2. Development of Sullivan Lake Site F.M.C.
The HRA Community Development Specialist distributed copies of the material he had
received from F.M.C. regarding their search for an appropriate site for their
research and development facility. He reviewed with the Council the proposal he
had developed for F.M.S.'s consideration in regards to property located at Sullivan
Lake. Mayor Nawrocki observed this facility would be a very desirable development
for the City of Columbia Heights as it would be aesthetically pleasing as well as
afford many job opportunities.
ion by Petkoff, second by Carlson to authorize the submission of the proposal to
C. of the Sullivan Lake site for their consideration. Roll call: All ayes
2. Eutrophication of LaBelle Pond
The City Engineer prepared a study for the Council addressing the alternative methods
Regular Council Neet
September 9. 1~.~
page 25
ng
cleaning up LaBe le Pond. A lengthy discussion followed concerning these suggestions.
Motion bT Per,off, second by Hovland to authorize the City Manager to seek proposals from
consultants regarding a feasibility study for controlling eutrophication of LaBel]e Pond.
Roi] call: Ali ayes
3. Lease Agreement First Lutheran Church - Pre-School Program Rental Space
Construction proposed for Murzyn Hall necessitates moving the Pre-School Program to
another site. The Recreation Director, after a lengthy search, has found available
space at the First Lutheran Church.
Motion by Petkoff, second by Peterson to authorize the Mayor and City Manager to execute
a lease agreement between the City and First Lutheran Church of Columbia Heights for
rental of a gymnasium room at a rental rate of $350 per month effective September
]985, with the funding to come fro~ the Recreation Budget Fund Balance. It was noted
this agreement v;ilt be in effect for approximately eight months. Roll call: All ayes
4. Final Payment Kraus-Anderson for Counter Tops at Top Valu Liquor
Motion by Petkoff, second by Peterson to authorize final payment to Kraus-Anderson
in the amount of S/,140 for completion of the contract on store fixtures and equipment.
Roll call: All aves
Mayor Nawrocki inquired as to when the Top Valu Liquor Store sign will be added to
the freestending sign east of the Central Value Mall parking lot. The City Manager
advised him that Kraus-Anderson has notifi;ed Signcrafters to commence work on this
item as soon as possible.
~uest to Seek Bids for 3/4 Ton Pickup Truck with Utility Box
Mayor Nawrocki requested a complete list of the vehicles used and owned by the City.
Motion by Petkoff, second by Carlson to table this item. Roll ca]l: All ayes
6. Purchase of Used Bus from M.T.C.
Motion by Carlson, second by Peterson to authorize the purchase of a used 1963
GMC bus from the Metropolitan Transit Commission at a cost not to exceed S900
and furthermore, that the expense be charged to the General Fund Contingency Account.
Roll call: All ayes
Mayor Nawrocki requested a list of the activities this bus has been used for and by
whom. He also requested that this approval not be activated until he has checked with
the M.T.C. regarding a mechanical problem.
7. Acquisition of Tax-Forfeit Parcels
Motion by Petkoff, second by Hovland to authorize the City Manager to proceed with
the necessary paperwork to acquire the following tax-forfeit parcels from Anoka
County for unrestric[ive use at the following cost per parcel:
Pin Number
35-30-24-12-0107
36-30-24-21-0039
26-30-24-12-0004
35-30-24-33-0076
Public Purpose
Purchase Price
Tree Nursery $2,366.84
Tree Nursery $ 56.44
Public Street $ 40.99
Tree Planting Area S 52.53
furthermore, this expense will be charged to the General Fund Contingency Account.
1 call: All ayes
Regular Council Meetin.
September 9, 1955
page 26
ports
a. Report of the City Manager
The City Manager's report was distributed to the Council in written form and the fol-
lowing items were discussed:
1. Appointments to Public Works Maintenance I Classification: Dave Landberg and Steve
Coy]e were appointed to the c]assificatior, of Public Works Maintenance I Worker ef-
fective September ]6, ]98~ at an hourly rate of $8.14.
2. Proposed parking lot construction at Mathaire Park: The Public Works Director pre-
pared a cost estimate for construction of a parking lot at Mathaire Park with approximate
costs of S12,~25.
3. Review of Request For Proposals - Data Processing Systems: Staff members have been
visiting various vendors who have submitted RFP's for a date processing system. The
City Manager advised the Council that the Finance Director will be preparing a recom-
mendation for Council consioeration at its September 23rd meeting. Mayor Nawrocki
stated that the Council will be expecting a report not just a recommendation.
4. 19~5 Labor Contracts for Police and Fire Department Employees: The City Manager
advised the Council that it appears that the mediator will be certifying parties
to be at impasse and the issues will be submitted to an arbitrator.
Licenses
ion by Carlson, second by Paterson to approve the licenses as listed upon payment
of proper fees and that the fee for the Itinerant Food License for the Columbia Heights
Boosters be waived on the basis of being a community organization. Roll call: All ayes
10. Payment of Bills
Motion by Carlson, second by Hovland to pay the bills as listed out of proper funds.
Roll call: All ayes
The City Council received copies of the s,Jmmary of the July financial statement of
the general revenue fund.
, meeti at
Motion by Peterson second by Carlson to adjourn the all:
All ayes
Bru-~ce -- ,
Nawrocki Mayor
J~//~nne Student, Council Secretary