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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