HomeMy WebLinkAboutAugust 27, 1953 (2)OFFICIAL PROCEEDI~C~
Special Meeting
August 27, 1953
Pursuant to due call and notice thereof: and as ordered by resolution of the Council
adopted July 28, 1953, a Special meeting of the City Council of the City of Columbia
Heights, Minnesota, was duly held at the City Offices at 530 Northeast Nill Street
in said City on Thursday, August 27, 1953, at 8:00 o'clock, P.N. The following
Councilmen ~re present:
Holm., Hosch, Deeble, Knutson snd Stopka
and the following were absent: None
It was ~unounced that this was the time and place for opaning Mud consideration of bids for
the purchase of ~200,000 Permanent Improvement Revolving F~mnd Bonds of the City adver-
tised for sale in accordance with the resolution of ~he City Council adopted July 28,1953.
The City Nanager reported that the notice of sale had been duly published, as~required
by said r~so!u~ion, in the official newspaper and in Con~ercialWest.
The Ci~y.~anager then presented the sealed bids which had been received, wiich ~re
thereupon publicly opened, tabulated~ and found to be as follows:
Name of Bidder or
~anager of Bidding Group
Piper,Jaffray & Hop~od,
Altison-~i!liams Co.
J.M. Dain & Oompany
~aturities ~nd Interest Rate
1955-1964 Inclusive 3.2%
(Extra interest of $17.00 per
bond for the oeriod of 2-1-54
to 2-1-55, represented by
separate coupons.)
Premium
N one
E.J. Prescott & Company 1955-1958 Inclusive 3.10%
HaLv~an and Company 1959-1964 Inclusive 3.25% $75.0@
Juran & ~oody (Additional coupons at lq
per annum from 2-1-54 to 2-1-56
The net interest cost on the bonds according to the foregoing bids was then computed
and armor,riced.
After consideration of the bids by the Councf~ Councilman Holm presented and read
the fol!o~ing resolution and moved its adoption:
~SOLUTICE~ AUARDi~G TY~ SALE OF
$200,000 P~5~ENT
REVOLVI]~ Fb~D BONDS
BE IT ?£SOLVED by the City Council of the City of Columbia Heights, ~i~nesota, that the
bid of Piper~ Jaffray & Hopwood, of the City of Ninneapolis, ~innesota, snd associates
named t~berein, to purchase $200,000 Permanent Improvement Revolving Fund Bonds of the
City to be dated as of August l, 1953~ and to be issued in accordance v~th the notice
calling fo~~ bids thereon, ~s hereby found and determined to be the high~st and best
bid received pursuant to due advertisement therefor, aud should be and is hereby
accepted, said bid being to purchase the bonds at a price of par ~plus accrued interest,
for bonds bearing interest as follo~:
3.20? per ann~m for bonds mattering in 1955 ~hrough 196~,
olus lo?O~ vet ar~uum on all bonds, from F~bruary 1,195~,
to February l, 19~5.
BE IT ~s~HER RESCL?ED that the Nayor and City ~anager are authorized and directed
to endorse an acceptance on said bid and on a copy thereof~ and to return such copy
to the successful bidder. The good faith check of said bidder shall be retained
by the City Manager pend4ug completion and delive~ of the bonds, and the good faith
checks of other bidders shall be' forthv~th returned to them.
Atte st: ~ayor ~' S~c'reta~ of Council ~
The motion for the adoption of the foregod_ug resolution was duly seconded by
Councilman Hosch, and on vote being taken thereon the following voted AYE:
Holm, Mosch, Deeble, Enutson and Stopka
and the followiug voted NO: None
whereupon said resolution was declared duly passed and adopted, and was signed
and attested by the Nayor and Secretary.
Councilman Endtson then introduced the following rssolution and moved its adopt±
adoption:
A RESOLL~ION FIXING THE FORM AND DETAILS~ OF
$200,000 PE~ANENT IMPROVE~gENT P~TOLViNG FUND
BONDS, DIRECTING THEIR EXECUTION AND DELI-VERY, ~
A~ LEVl~£NG A TAX FOR THELR PAY~.q~NT
BE IT RESOLVED by the City Council of the City of Columbia~ Heights, ~_innesbta,
as follows:
1. The City of Columbia Heights shall forthwith issue and deliver its negotiable
coupon Permanent Improvement Revolving Fund Bonds in the aggregate principal amount of
$200~000, date8 as of August l, 1953, said bonds to be 200 in number, numbered i to
200, inclusive, each in the denomination of $1000, and shall mature serially, in the amount
amount of $20,000 on August i in each of the ~ears 1955 through 1964, all without
option of prior payment. Said bonds shall bear interest payable on February I and
August I of each year, con~aencing with the payment on February l, 1954, at the foll-
owing rates:
Nos.1 through 200 at 3.20% per annum, plus 1.70% per annum
from February' !, 1954 to February l, 1955.
Both principal and interest shall be payable at the main office of First National'
Bank of Minneapolis, in Minneapo.lis, Ninnesota, and the City agrees to p~y the
reasonable and customary charges of such institution for its services as paying
agent.
2. ~ Said bonds and ~he~ interest coupons_to be thereto attached shall be in
substantially the following form.
STATE OF ~SOTA
COUNTY OF AHOK~
CITY OF COLL~BIA HEIGHTS
PE~ANENT II_~PROV~2~iT REVOLVinG FU~H) BOND
No. $1000
K~:OW ALL ~EN ~ THESE PRESENTS that the City of Columbia Heights, Anoka
County, _~innesota, acknov~ledges itself to be indebted, and for value received
p~romises to pay to bearer the sum of ONE THOUS~ DOT.LARS on the 1st day of
August, 19 , ~thout option of prior payment, and to pay interest thereon, from
the date h~-~eof until the principal sum is paid, at the rate of three and 20/100
per cent (3~20%) per annum, payable February l, 1954, and semiannually thereafter
on each February I and August l, plus additional interest at the rate of one and
70/100 percent (1.70%) per ann~ from Februaryl, 1954 to February 1, 1955, payable
semiannually, interest to maturity being payable in accordance with and upon
presentation and surrender of the interest coupons appurtenant hereto as they
severally become due. Both principal and interest are payable at ~the main office
of First National Bauk of ~inneapolis in ~inneapolis, ~innes~ta,i~ any coin or
currency of the United States of America w~ich ~t the time of p~fment is legal
tender for public and private debts. For the prompt and full p~ent os Nuch
principal and interest as they respectively become due, the full faith, credit
and unlimited taxing powers of the City have been and are ~hereby irrevocably pledged.
T~his bond is one of an issue in the total principal smount of $200,000, all
of like date and tenor except as to serial numbers and maturity dates, all issued
by said City for the purpose of providing funds for improvements of a lasting
character, including iD. sta!lation of pavement, curbs, gutters, sto~ se~rs~ ~d
water line ~d sewer line e~ensions, ~l as authorized ~-~ ordnance duly adopted
by fo~-fifths vote of the Co~cil~ a~ p~suant to and in ~ co~o~ty ~ the
Ccnstitution ~d Laws of the Sta~ of M~esota ~d the Home R~e Ch~r of said
City thereunto eDabl:~g.
IT ~ ~ C~RT~D A!mD ~C!~ that ~ acts, con~.tions, ~d thugs ~-
~ired ~y the Constitution ~d Laws o~ the Sta~of ~d~esota and the Home R~e Ch~ter
of said City to ~ ~ne~ to happen, ~d to ~ ~r~o~ed ~ece~nt to ~d ~n the issu-
ance of this bond, in or~r to make it the v~id ~d b~ding gener~ obligation o~
s~d City accord~g to its te~s~ have ~en do~e, ~s hap~ned, ~d have ~en per-
fo~d in reg~ ~d due fo~ t~e, ~d m~ner as ~quired by iaw~ that~ prior
to the issu~ce of this bond, a di~ct ~u~ ad ~ore~ t~ has ~en d~y levied
upon all of the t~able pro~rty in said City for the ~s ~d in ~o~ts re~ed
~ law, and addition~ t~es may be !e~ed upon ~! o~ said prop~rty~ ~thout t~-
itation as to rate or amour, ~ needed for the pa~ent of t~s bond ~d ~terest
the~on; ~d that the issuance of this ~nd did not cause the ~bte~ess of the
City to exceed ~y constitutional, statutory, or cheer !~itation.
~ ~SS ~OF the City of Col~bia He.ts, Anoka Co~ty, E~esota,
by its Co~ctl~has caused this bond to ~ e~ecuted ~ its ~h~ ~ the siEnat~e
of the ~ayor~ attested ~ the City M~er, and its co.orate se~ to ~ hereto
aff~ed~ and has caused the attached ~rest coupons to ~ executed ~d authen-
ticated by the facs~ile signat~es of said officers, all as o~ August 1~19~3.
E~ager
Atte st:
(Sa~)
(Form of Coupon for 3.20% interest)
~16.oo
On the !st day of February (August), 19 , the City of Columbia Heights,
Anoka County, Minnesota, .will pay to bearer at the main office of First National
Bank of }~inneapotis, in Minneapolis, Minnesota, the sum of Sixteen and no/lO0
Dollars for interest then due on its Permanent Improvement R~volving FUnd Bond
dated August 1,1953,
.... (Facsimi!~ signature)
Attest: (Fac.~imile signature) Mayor
City Manager
_ Form of Coupon for 1.7~ Interest)
No. (B-l) SS. O
On the tst day of (August,19g~) (February, 19~), the City of Columbia Heights,
Anoka County, ~[innesota, ~11 p~ to bearer at the main office of First National
Bar.k of Minneapolis, in Minneapolis, Minnesota, the sum_ of Eight and ~O/lO0 Dollars
for interest then due on its Permanent Improvement Revol~mag Fund Bond dated
August !, 19~, No._~.
(Facsimile signature)
Attest: (Facsimile signature) Mayor
City kanaoer
h. Said bonds shall be forthwith prepared for execution muder direction of the
City Manager and attorneys, and the bonds shall thereupon be executed in behalf of
the City by the Mazor and City Manager and sealed ~th the official corporate seal;
and the interest coupons appurtenant thereto shall be executed and authenticated
by the printed, engraved, or lithographed facsimile signatures of sa~d officers.
When th& bonds have been so executed, the City Treasurer shall deliver them, or
cause them to be delivered, to the p~urchasers thereof upon receipt of the purchase
price heretofore agreed upon, and the purchasers shall not be obligated to see to
the application of such purchase price.
5. The f,~ll faith and credit of the City and its ~ulimSted taxing powers are
hereby iirrevocably pledged to the prompt and full pa~ent of the principal of and
interest on each and all of said bonds as such principal and interest become due.
In compliance with Minnesota Statutes, and in order to provide moneys for the pay-
ment of the principal of and interest on t~he bonds, there shall be and is hereby
levied upon all of the taxable property in the City a direct, annual, ad valorem tax,
to be spread upon the tax rolls and collected ~ith and as a part of other general
city taxes, in the years and amounts as follows~
Ye ar Amount Ye ar Amount Ye ar Amount
1954 32,580 1958 24,360 1961 22,345
1955 26,375 1959 23,690 21,670
1956 25,705
Said levies shall be irrepealable until the full prin~ip~land interest on all of the
bonds of said issue shall have been paid; provided that, fahen and if other mon. eys are
available or .shall be made available in the special sinking fund to pay the p~_ncipal
and interest of the bonds, the City Manager shall certify such amount to the County
Auditor of Anoka County on or before October 15 of any year, and thereupon the
amounts to be extended upon the next ensuing tax rolls for said bonds shall be re-
duced accordingly.
6. There is hereby created a separate "Sinking Fund Account for $200,000
Permanent Improvement Revolving Fund Bonds" in the general Sinking Fund ~f the
City, into which account shall be paid the .proceeds of the foregoing levies
and any aqcrued interest and pre~.~ium received upon the delivery of said bonds
and such other sums as may be from time to time directed to be used for the
payment of said bonds; and o~,t of which fund ~all be paid the interest on hhd
the principal of the bonds as such principal and interest become due. Said
account shall be used for no other purpose until all of said bonds have been
paid, save and except that, if muy payment of principal or ihterest shall be-
come due on any of said bonds v~en moneys in the Sinking Fund ~Account ~are in-
sufficient therefor, such payment shall be made by advances out of any other
funds of the City, and such funds may be reimbursed out of said account when
moneys are available therein.
7- The Secretary of the Council is hereby directed to cause a copy of this
resolution, certified by the Secretary, to be filed ~_u the office of the County
Auditor of Anoka County, N~nnesota, aud to obtain from such County Auditor the
certificate required by law respecting the filing thereof and entry of the bonds
on his register.
8. The County Auditor of Anoka County and the officers of the City are
authorized and directed to furnish to the purchasers of said bonds, and to the
attorneys approving legality thereof, certified copies of all proceedings and
records of the City relating to said bonds and to the financial affairs of the
City, and such other certificates as may be required to show t~e f~cts as to'the
power .and authority of the City to issue said bonds, s.s shown by such books and
records or as known to such officers; and such certified copies and certificates,
including' any heretofore furnished, shall be deemed representations of the City
as to the truth of the facts purported to 'be shown thereby.
9. This resolution shall be published in the official newspaper within ~
fifteen days after its passage, and shall take effect thirty days after its
passage, unless suspended by a referendum petition, and upon so taking effect
shall, operate to ratify, ~onfirm, and validate any and all actions of the City
officers theretofore taken vhich are herein authorized or directed to be done.
Passed.August 27,19%3
Secretar~y of City Counc~
ayor -- -
Thee motion for the adoption of the foregoing resol~ution was duly seconded by
Co~u~ci!man Deeb!e, and on vote being taken thereon the fol!owLng Toted YEA:
Holm, Hosch, Deebte, Enutson and Stopka
and the following voted NAY: None
vhereupo~ said resolution was declared duly passed and adopted, and was signed
and attested by the Mayor and Secretary.
~otion by Mnutson seconded by Hosch to adjourn at 8:3~ P.~.
Secretary to the Council
Roll Call - All Ayes.
OFFICZAL PROCEEDINGS
Regular Meeting
September 8, 19~3
~eeting called to order at 8 P.I~.
All members present.
~in~tes of the last regular, recessed and special meetings were read ~nd approved
with the exception of the following letter written to ~ayor Stopka from DDrsey,
Colman,Barker, Scott & Barber, wRich Mayor Stopka asked to have inserted in the
Council minutes:
Dearer. Stopka:
Yesterday you visited in our office and asked us to comment
on a news item appearing in the Columbia Heights Record on August 20, regard-
in~ the water tower, and also on an editorial in the s~ne paper in the August 13 issue
~e are not in a position to comment on all of the points raised in these articles;
hoover, it does appear that the writer or ~riters of these articles were laboring
unde~ a misapprehension as to the financing plan ~ich was involved in the issuance
of ~60,O00 ~kter Utility Improvement Bonds dated July l, 1952~ for the purpose of
erecting and installing a water tower and tank, ~hich ~ believe is known as the
Hilltop ~ter Tov~r.
]Ve note that the Au~ust 20 story states that you as the Mayor
advocate discard±~ng the financing plan for the tower and water llne and then
refinancing the $$?,O53 cost through general property taxes. In the August
13 editorial it is represented that in order for the water tower to bspaid
for out of the generel tax levy, special assessments amounting t~ ~20,1~5 and
water bill s~charges amounting to $32,287.63 will have to be reikunded to
those who paid such assessments and surcharges~ and pr_esumably an additional
ggo,ooo bond issue will be re~aired to p~y for the improvement.
]~ are the attorneys who were employed by the City last year for
the purpose &f working vA th the City'Attorney on the proceedings for the issuance
of these bonds, and approving the same when issued. ~ therefore have available
in our files a transcript of the legal proceedings for the issuance of these bonds,
and upon this transcript we based our approving legal opinion. From an examination