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Home My WebLink About7.b. Receive Petition/Order Feasibility Report - Schwarz Pond Outlet /` '� CITY OF ROSEMOUNT EXECUTIVE SUMMARY FOR ACTION . CITY COUNCIL MEETING DATE: June 7, 1994 AGENDA ITEM: Receive Petition/Order Feasibility Report- AGENDA SECTION: Schwarz Pond Outlet New Business PREPARED BY: Bud Osmundson AGENDA N¢4-E� � - City Engineer/Assistant Public Works Director � � � � ATTACHMENTS: Petition, Map, Resolution APPROVED BY: i The City has received a petition from Independent School District #196 for public improvements, to control the water elevation of Schwarz Pond. The reason the School District is petitioning is that they are preparing plans for an auditorium addition to the Rosemount High School and the elevations required for that improvement may be periodically below the high water level of Schwarz Pond as it exist today, and coufd cause flooding of the addition. This project has been discussed many times in the past with the School District and has now reached a point where action is imperative prior to further additions to the High School. This is a petition for Storm Water Drainage Improvements and much of the drainage area and/or benefitting properties not only include the School District, but the City owned properties known as Carrolls Woods and Schwarz Pond Park. Therefore, the funding for the project will come from both assessments and trunk storm drain funds. The project will become a City initiated project and will require a 4/5 vote at each step of the Chapter 429 Improvement process. The firm of OSM and Associates has done extensive storm drainage investigation as part of the Armory/Community Center project and therefore is the appropriate firm to use on this project. As part of the Armory Storm Drain Project, a Lift Station Outlet for Schwarz Pond was discussed and a schematic prepared, which is attached. This project has been designated as City Project #259. Staff recommends that Council receive the petition and order a feasibility report for the project. A tentative schedule would include the presentation of the feasibility report at -� the July 5, 1994 City Council meeting. RECOMMENDED ACTION: MOTION TO ADOPT A RESOLUTION RECEIVING THE PETITION/ORDERING THE FEASIBILITY REPORT FOR SCHWARZ POND DRAINAGE IMPROVEMENTS, CITY PROJECT #259. COUNCIL ACTION: 5 ', �,o � � e.-. ,� .. � . �'i��2 � ,,,� i.�r�: �f Pro� #�� CITY OF ROSEMOUNT' PETITION FOR LOCAL IMPROVEMERTS t35% Petition) To the City Council of Rosemount, Minnesota: We, the undersign�d, being the oaners of 35% of the real property abutting on 3335 142nd St West, Rosemount betreen State Highway #3 and --� or located within Addition, hereby petition for the following improvements to auch property pureuant to Minnesota Statues, Chapter 429: Sanitary SeWer WalkWays Watermain Streete �� Storm Sewer Curb & Gutter Streetlights Other i atur of Owner(s) * Description of Property 1, � Rosemount Hi h Schaol Joe Sutte 2. 3. . 4. 5. 6. . 7. .� �. 8. Attach additional eheets as necesseary. For City Use Only ! 1 �ti -�' / p )ate �ec'�: � /��By: �f /Ll(l/�� Council: �.1 K/L3� `�G� +� Property owned in �oint tenancy should he signed by each or+ner. � ioiaa �..ri er� �.r� i.�i t�.� e�od t� ��•r �•�+ �+ �r t�r �et rl�r �1' r�r r�.. \ .,4 100 YEAR FLOOD BO.UNDARY � � o �-�'•---` � � � � � ALTERNATIVE N0 . 4 ` ` � / � _._ .. I � �r1� �� ^ ^'� ONAL ARMORY S�lTE D�RAINAGE I � { I �� ( NATI � CITY OF , � \� � Z i � Z GUARD � ROSEMOUNT, MINNESOTA ' � � O � I o ARM4RY Z : ,c��WARZ POND .Q j i Q ti l S C H" 1 51 � � 1 f- c� WL=921 .5 i w w j t . a w � SCN 153 y L_93 0.5, � � � � � � U u. i N W L=956.0 ,��' � t W ; i W ;H WL- 959. 1 8.4 AC-FT POND 1 L �.� I oc I � °C � _ _: _ ' � - n� ` TATIO�I FOH�EMAIN y 18 RCP �.....�...........�.��.�Y.,..... _• »�"'� � \ r---�-� —�✓� '/f � i R� REAT10j � � ` ' . ,�� RECREATION � FIELD � �I U � I t• FIELD -_ � //� � � --f [iERM `i._---� " ' ^r ERN 1T7 ,_... � � 100 YEAR FLOOD ..�_____..__ `/--� 1 t WL= 933. � / �� BOUNDARY �..,.-� � H W L= 9 3?. � � y. �RECREATION . l✓/ � � � `r� y FIELD . EX. 24" CMP , ��0 •� \ � � �.�.�-' �� o� L___�____--_ � . � � r r � �, \�b5 , � `'---�-- E A, °N ECR . � � t� �1��p � ✓ f `' "" � ��.=, . �� ,�,.1 � r . , �. � �� . . � � ERIGK�ON POND .N l f EAN� 190 _ SCHOOL ,. '� r � � NWL- 920.8 S*, t r .H W L= 9 4 4.6 �1 � � � �•�..1 �� . w � � 400 0 • � 400 800 _ ` , I �.,,.� • � , _ � CITY OF ROSEMOUNT DAKOTA COUNTY, MINNESOTA RESOWTION 1994 - A RESOWTION RECEIVING PETITION/ORDERING FEASIBILITY REPORT SCHWARZ POND DRAINAGE�VIPROVEMENTS CITY PROJECT #259 WHEREAS, the City Council of the City of Rosemount has received a petition from the property owners adjacent to Schwarz Pond, Drainage Subdistrict Schwarz 151 . NOW THEREFORE BE IT RESOLVED, by the City Council of the City of Rosemount as follows (1) the aforesaid petition represents the owners of affected property; (2) the property owner requests in the petition that the improvements be constructed and that the entire cost for their share less the City's share of the cost of improvement be assessed against the property; • (3) the aforesaid petition is approved and placed on file. ADOPTED this 7th day of June, 1994. E. B. McMenomy, Mayor ATTEST: Susan M. Walsh, City Clerk Motion by: Seconded by: Voted in favor: Voted against: a d� Recommendations For City of Rosemount, Minnesota $1,605,000 General Obligation Improvement Bonds, Series 1994A $335,000 General Obligation Storm Water Revenue Bands, Series 1994B $700,000 General Obligation State Aid Street Bonds, Series 1994C Rosemount Port Authority, Minnesota $1,630,000 General Obligation Bonds, Series 1994A Study No. R0704 SPRINGSTED Incorporated June 1, 1994 , SPRINGSTED i20 South Sixth Street . Suite 2507 PUBLIC FINANCE ADVISORS Minneapolis, MN 55402-1800 (612) 333-9177 Fax: (612) 349-5230 Home Office 85 East Seventh Piace 16655 West Bluemound Road Suite 100 Suite 290 Saint Paul, MN 55101-2143 Brookfield, WI 53005-5935 (612) 223-3000 (414) 782-8222 Fax: (612) 223-3002 Fax: (414) 782-2904 6800 College Boulevard Suite 600 Overland Park, KS 66211-1533 (913) 345-8062 Fax: (913) 345-1770 1850 K Street NW June 1, 1994 Suite 215 Washington, DC 20006-2200 (202) 466-3344 Fax: (202) 223-1362 Mayor E. B. McMenomy Chair Edmund Dunn Members, City Council Board of Commissioners Mr. Thomas Burt, City Administrator Mr. Thomas Burt, Executive Director Mr. Jeffrey May, Finance Director Rosemaunt Port Authority � City of Rosemount Rosemount City Hall Rosemount City Hall 2875 - 145th Street West 2875 - 145th Street West Rosemount, MN 55068-0510 Rosemount, MN 55068-0510 Re: Recommendations for the Issuance of: $1,605,000 General Obligation Improvement Bonds, Series 1994A $335,000 General Obligation Storm Water Revenue Bonds, Series 1994B $700,000 General Obligation State Aid Street Bonds, Series 1994C $1,630,000 General Obiigation Bonds, Series 1994A (PortAuthority) We respectfully request your consideration of our recommendations for the issuance of these issues in accordance with the attached Terms of Proposals. The following is a brief discussion of each bond issue. Appendix I summarizes each of the four bond issues and the project costs comprising each issue. $1,605,000 General Obligation Improvement Bonds, Series 1994A (the Improvement Bonds") The Improvement Bonds are being issued pursuant to Minnesota Statutes, Chapters 429 and 475 and will be general obligations of the City. In addition, the City will pledge speciat assessments against benefited property. The proceeds of the Improvement Bonds will finance the construction of various street and utility improvements. Appendix ( is a description of the projects composing the Issue. A summary of the composition of this Issue is as follows Project Costs $1,445,000 Cost of Issuance 16,900 Capitalized Interest 123,900 Allowance for Discount Bidding 22,470 Less: Estimated tnvestment Earnings (,'�,270) Total Improvement Bonds $1.605,000 City of Rosemount, Minnesota • June 1, 1994 Appendix II is the projected assessment income schedule totaling $1,605,000 of principaL Assessments are expected to be filed on or about October 1, 1995 for first collection in 1996, and will be spread over ten years in even annual principal and interest payments. Interest will be charged on the unpaid balance at a rate estimated to be 7.4%, which is approximately 2% over the interest rate expected to be received on the Bonds when sold, consistent with the City's assessment policy. The first collection of assessments will be received by the City with taxes collected in 1996. The projection of assessment income does not take into account any prepayments or delinquencies, thereby assuming that the City will receive 100% of assessments filed. Appendix III is our recommended maturity schedule for this Issue. The Bonds are dated August 1, 1994 and will mature each February 1, 1997 through 2006. Columns 1 through 6 show the years and amounts of principal and estimated interest due and payable on the Improvement Bonds. Interest rates shown in Column 4 are current market rates and are subject to change between now and the sale date. Column 7 is the capitaiized interest included in the Issue to pay the interest due on the Improvement Bonds through February 1, 1996 before assessments are collected. The 105% overlevy required by State Statute is shown in Column 9. Column 10 is the projection of assessment income as developed in Appendix II. Column 11 �, is the surplus of assessment income over the 105% total requirement and assumes the City will ' receive 1-00% of assessments filed. The interest payments due February 1, 1995, August 1, 1995, and February 1, 1996 witl be paid from capitatized interest to total $123,900. The August 1, 1996 interest payment will be paid from assessments collected in the first half of 1996. The February 1, 1997 prineipal and interest payment will be paid from assessments collected in the second half of 1996 and surplus assessments callected in the first half. This cycle will continue through the life of the Issue. We have included an allowance for underwriter's discount of $22,470. The discount provides the underwriters with all or part of their profit and/or working capital for purchasing the Issue and permits them to reoffer the Improvement Bonds to the investing public at a price of par. The City has successfully used the discount bidding approach in the past, and we recommend its continued use herein. We recommend the Improvement Bonds maturing on february 1, 2004 through 2006 be callable on or after February 1, 2003 at a price of par. This will allow the City to pay some of the issue early if significant prepayments of assessments are received. The call provision should have no adve�se impact on the marketability of the Issue. $335,000 General Obligation Storm Water Revenue Bonds, Series 1994B (the "Storm Water Bonds") The Storm Water Bonds are being issued pursuant to Minnesota Statutes, Chapters 444 and 475. Proceeds of this Issue will be used to finance improvements to the City's storm water system. The composition of the Storm Water Bonds is as follows: Project Costs $325,000 lssuance Costs 9,100 Allowance for Discount Bidding 4,690 Less: Estimated Investment Earnings (�,79Q) Total Storm Water Bonds ��4 In addition to its general obligation pledge, the City pledges net revenues of the City's Storm Water Utility for payment of the Storm Water Bonds. Page 2 City of Rosemount, Minnesota • June 1, 1994 Attached as Appendix IV is our recommended maturity schedule for this issue. The Storm Water Bonds are dated August 1, 1994, and mature each February 1, 1996 through 2005. The Storm Water Bonds were structured to allow for equal annual principal and interest payments when combined with the existing debt requirements of the Storm Water Revenue Bonds of 1992. Column 6 of Appendix IV shows the total principal and interest due on the Storm Water Bonds. Column 8 shows existing debt service on the Storm Water Revenue Bonds of 1992, and Column 9 shows the total debt senfice to be pledged by the Storm Water Utility. The Issue was structured to be repaid in 10 years as requested by City staff. We have included an allowance for underwriter's discount of $4,690. As with the Improvement Bonds, the discount feature provides underwriters with all or part of their profit and/or working capital for purchasing the issue and permits them to reoffer the Bonds to the investing public at a price of par. We recommend the Storm Water Bonds maturing February 1, 2004 through 2005 be callable on or after February 1, 2003 at a price of par. This will allow the City to pay some of the issue early if significant prepayments of fees or other income is received. The call provision should have no adverse impact on the marketability of the Storm Water Bonds. $700,000 State Aid Street Bonds, Series 1994C (the "State Aid Bonds") � The State Aid Bonds are being issued pursuant to Minnesota Statutes, Chapters 162 and 475. The proceeds of the Bonds will be used for street improvements. The composition of the Issue is as follows: _ Project Costs $680,000 Costs of Issuance 12,300 Allowance for Discount Bidding 9,800 Less: Estimated Investment Earnings �2.100) Totat State Aid Bonds �7Q4,000 The State Aid Bonds will be secured by the City's pledge to appropriate and pledge to a sinking fund sufficient money to pay the principal and interest due on the State Aid Bonds from the City's allotment from its account in the municipal State Aid Street Fund. The City may not issue State Aid Bonds unless the average annual principal and interest due in all subsequent calendar years on the obligations, including similar outstanding debt, is not greater than 50% of the amount of the last annual allotment of the construction account. Since the City's estimafied average annual obligation on the State Aid Bonds of $89,597 is less than 50% of the 1994 allotment of $385,738, no such restriction exists on the issuance of the State Aid Bonds. The City has no existing State Aid Bonds outstanding. Appendix V is the repayment schedule for the State Aid Bonds, which will be dated August 1, 1994, and will mature April 1, 1995 through 2004. The State Aid Bonds are structured in even annual principal and interest payments to match the receipt of State allotments distributed to municipalities on or around February 1. The first payment for this tssue will be April 1, 1995 for the expected amount of$87,733 and will be paid from State funds received in February 1995. The average annual payment on the State Aid Bonds is expected to be $89,593. Included in the bond size is a provision for discount bidding in the amount $9,800. As in the ' above bond issues, the discount feature allows the undervuriters to reoffer the State Aid Bonds at or close to a par reoffering scale, enhancing the marketability of the State Aid Bonds. . Page 3 City of Rosemount, Minnesota - June 1, 1994 We recommend the State Aid Bonds maturing April 1, 2004 be callable on or after April 1, 2003 at a price of par. The call provision should have no adverse impact on the marketability of the . Bonds. Rosemount Port Authority, Minnesota $1,630,000 General Obligation Bonds, Series 1994A (the "Port Authority Bonds") The Port Authority Bonds are being issued by the Rosernount Port Authority pursuant to Minnesota Statutes, Chapter 475. The proceeds of the Port Authority Bonds will be used to make improvements to the Rosemount Business Park. The composition of the Issue is as follows: Projects Costs, Engineering & Contingency $1,509,357 Cost of Issuance 18,200 Capitalized lnterest (through August 1, 1995) 83,305 Allowance for Discount Bidding 22,820 Less: Estimated Investment Earnings _(3,682) , Total Port Authority Bonds �1.630.000 ' The Port Authority Bonds will be general obligations of the City of Rosemount. Income received from the sale of the improved sites in the Rosemount Business Park is expected to provide adequate income to fund the debt service on the Port Authority Bands withouf a general ad valorem tax levy. Capitalized interest has been included in the Port Authority Bonds sufficient to make interest payments through August 1, 1995, after which time revenues from land sales are expected to be available. All costs of the business park improvements will be specially assessed to benefited property owners. CMC, which owns property north of County Road 42, will be assessed for a po�tion of the County Road 42 modifications. Remaining costs will be assessed against the business park land. As land is sold in future years, the Port Authority may allow the special assessment obligation to be assumed by the purchaser and paid over time. As special assessment payments are received by the City, they will be transferred to the Port Authority for payments on the Bonds, as well as other obligations of the Port Authority. Attached as Appendix VI is the projected maturity schedule for the Port Authority Bonds. The Bonds are dated August 1, 1994 and wilt mature each February 1, 1997 through 2011. Columns 1 through 6 show the years and amounts of principal and estimated interest due and payable on the Port Authority Bonds. Please note that interest rates shown are current market rates and are subject to change between now and the sale date. Column 7 is capitalized interest included to pay interest costs prior to the receipt of income. Column 8 shows the tax levy required to pay 100% of debt service, and Column 9 shows the 5% overlevy requirement. Columns 10 and 11 show income expected through the life of the Issue. The first interest payments due February 1, and August 1, of 1995 will be paid from capitalized interest included in the Port Authority Bonds. Thereafter, incame will cover the August 1 interest payment and February 1 principal and interest payment through the life of the Issue. As in the above bond issues, we have included an allowance for underwriter's discount of $22,820. We recommend the Port Authority Bonds maturing February 1, 2004 through 2010 be callable on or after February 1, 2003 at a price of par. This will allow the Rosemount Port Authority to Page 4 , City of Rosemount, Minnesota _ June 1, 1994 pay some of the Issue early if significant receipts of income are received. The call provision should have no adverse impact on the marketability of the Port Authority Bonds. Common to All Issues For purposes of discussion, the City and the Authority are hereafter referred to as the City. tina We recommend that the City request a rating from Moody's for these issues. The City is currently rated "A" by Moody's Investors Service. The rating fee for all issues, estimated at $5,000, has been pro-rated in the issuance costs of each bond issue. Federal Rebate-Arbitraae All tax-exempt bonds are subject to federal arbitrage regulations, including rebating arbitrage profits to the U.S. Treasury. Generally speaking, all arbitrage profits (the yield difference between the earnings on the investments and the yield on the obligations) must be rebated to the U.S. Treasury. There are some exemptions to this rebate requirement which include: (i) A small issuer exemption if the obligations are for governmental purposes and the issuer reasonably expects to issue not more than $5,000,000 tax-exempt obligations during the calendar year. (ii) A six-month exemption if all of the proceeds of the obligations are expended within six months of issuance of the obligations. - (iii) An 18-month expenditure test if at least 15% of the proceeds are expended within 6 months, 60% within 12 months and 100%within 18 months. (iv) A two-year expenditure test if at least 75% of the proceeds of the issue are used for construction and if 10% is expended within six months, 45% within 12 months, 75% within 18 months and 100%within two years. For items (iii) and (iv), if it is reasonably required that a retainage be maintained to enforce the completion of a contract, up to 5% of the proceeds may be retained for an additional 12 months. Net proceeds subject to these expenditure tests include investment earnings on the original bond proceeds. The City expects to meet the smaU issuer test (i) above, and will therefore be exempt from reporting and rebate requirements. Another potential source of rebate would stem from the crcation of the debt senrice funds ta pay debt service on the new issues. Prior to the 1993 "final" arbitrage regulations released in June 1993, the small issuer exemption also exempted any debt service funds from rebate requirements. The 1993 regulations now permit only bona fide debt service funds to be exempt from rebate. A bona fide debt service fund is defined as a fund for which there is an equal matching of revenue to debt service expense with a carry over permitted equal to the greater af the investment earnings in the fund during that year or 1/12 of the debt service of that year. A debt service fund can lose its bona fide status if the issuer accumulates too much investment earnings, prepayments of assessrnents or other sources of revenue in the debt service fund. It is important to monito� the debt service fund for these issues to assure compliance with the regulations. Page 5 City of Rosemount, Minnesota - June 1, 1994 Economic Life of Financed Proj�cts The 1993 "final" arbitrage regulations brought all tax-exempt issues into the calculation of "economic life." Previously this requirement was only for private activity bonds. The intent of this requirement is that the U.S. Treasury does not want bonds outstanding longer than is necessary, thus creating more tax-exempt bonds in the marketplace than are needed. The general safe harbor for assuring that bonds comply with the regulations is if the average maturity of the bonds does not exceed 120% of the economic life of the financed projects. The bonds are issued for street and storm water and water main improvements, which, under the U.S. Treasury guidelines have an economic life of 20 and 50 years, respectively. Therefore, these Issues are in compliance with this regulation. Federal ReimbursementRegulations The U.S. Treasury has enacted reimbursement regulations to regulate issuers who wish to issue tax-exempt bonds to recover costs of prior expenditures. The reimbursement regulations require that if the issuer proposes to reimburse itself for expenses they paid prior to receipt of bond proceeds, it must have made a decfaration of that intent within 60 days of the aetual payment of the expense. There are exemptions for architectural and engineering fees and miscellaneous start-up costs. It is our understanding the City is aware of these regulations and will take whatever action is necessary, to comply with the federal reimbursement regufations in regard to these Issues. Bank-Qualified Obligatio�s The Tax Reform Act of 1986 restricts the ability of banks to deduct tax-exempt interest as a carrying expense under certain circumstances in calculating their tax liability. However, the Act allows certain bonds to be qualified bonds which can be included in a bank's calculation of interest deduction. That qualification is reserved for municipalities that will issue less than $10,000,000 of tax-exempt debt within a calendar year. The City does not expect to exceed this $10,000,000 limit in 1994, and therefore these Issues will be bank-qualified. This qualification will help the marketability of the Issues. Sale Process For your bond sale, you will most likely receive some bids which are accompanied by a good faith check and some which are covered under "Sure-Bid," the surety bond service which the City has used for previous issues. Springsted will be in constant touch with Capital Guaranty, the provider of the surety bond service, to monitor the underwriters which have been admitted to this program and, if Sure-Bid is used, Springsted will follow through after the sale, to make sure you receive your good faith amount from the purchaser. We recommend these bonds be offered for sale on Tuesday, July 5, 4994, with proposals received at the offices of Springsted Incorporated at 11:00 A.M. Proposals will be verified, checked for accuracy and presented that same evening to the City at 7:30 P.M., and to the Port Authority at 5:15 P.M., for eonsideration of award. A representative of Springsted Incorporated will attend your meetings to provide recommendations as to the acceptability of the proposals received. Respectfully submitted, �-- � - ��1 Z<: , � �.�% "�' � SPRINGSTED Incorporated p1P Page 6 CITY OF ROSEMOUNT, MINNESOTA Summary of Project Funding 3eries 1894A Series 19946 Series 1994C Series 1994A (the Improvement (the Stam Water (the Sfate Road- (the Pat- Project Bonas� Bonds� Aid BotKls) Autharity Bonds) 145th Street Reconstruction 55,000 39,000 680,000 Chili to Cameo West Ridge 5th Addition 414,000 Shannon Pond 3rd Addition Shannon Hills 6th Addition 405,000 70,000 O'Leary's 7th Addition 571,000 O'Leary's 8th Addition Wachter 186A Outlet 2�6�000 Rosemount Business Park 1,509,357 . Subtotal Project Costs: 1,445,000 325,000 680,000 1�509,357 Cost Of Issuance: 16,900 9,1� 12,300 18,200 Capitalized Interest: 123,900 0 0 83,305 Ailowance for Discount Bidding: 22,470 4,690 9,800 22,820 Less:Estimated Investment Earnings: (3,270) (3,790) (2,100) (3,682) Total Bond Size: 1,605,000 335,000 700,000 1,650,000 A � 'o m � z � �n o � X � — 01—Jun-94 Prepared by Springsted Incorporated , APPENDIX II City of Rosemount, Minnesota Pr�epared t�ay 31 , 1994 $1 ,605,000 General Obligation Improvement Bonds By SPRINGSTED Incorporated Series 1994A PROJECTED ASSESSMENT INCOME Filing Date: 10/ 1/1995 Filing Collect Interest Yea� Year Principal @ 7.400� Total 1995 1996 88,095 148,707a 236,802 1996 1997 124,55t 112,251 236,802 1997 1998 133,768 103,034 236,802 1898 1999 143,667 93,135 236,802 1999 2000 154,29$ 82,504 236,802 2000 2001 165,716 71 ,086 236,802 2001 2002 177,979 58,823 236,802 � 2002 2003 191 ,149 45,653 236,802 2003 2004 205,295 31 ,507 236,802 2004 2005 220,482 16,316 236,798 TOTALS 1 ,605,000 763,016 2,368,016 a) Includes interest f rom f iling date to 12/31/1996. • Page 8 City of Rosemount, Minnesota Prepared May 31 , 1994 $1 ,6U5,000 General-0bligation Improvement Bonds By SPRINGSTED Incorporated Series 1994A � Dated• 8- 1 -1994 Mature: 2- 1 First Interest: 2- 1 -1995 Total Capital- Net Projected Year of Year of Principal ized Levy 105� Assessment Cumulative Levy Mat. Principal Rates Interest & Interest Interest Required of Total Income Surplus (1) (2) (3) (4) (5) (6) (�) (8) (g) (10) (11 ) 1994 1996 0 0.00� 123,878 123,878 123,900 0 0 0 22 1995 1997 130,000 4.60� 82,585 212,585 0 212,585 223,214 236,802 13,610 1996 1998 135,000 4.80� 76,605 211 ,605 0 211 ,605 222,185 236,802 28,227 1997 1999 140,000 4.90� 70,125 210,125 0 210,125 220,631 236,802 44,398 1998 2000 145,000 5.00� 63,265 208,265 0 208,265 218,678 236,802 62,522 1999 2001 155,000 5.10� 56,015 211 ,015 0 211 ,015 221 ,566 236,802 77,758 20Q0 2002 160,000 5.20� 48,110 208,110 0 208,110 218,516 236,802 96,044 2001 2003 170,000 5.3Q�S 39,790 209,790 0 209,790 220,280 236,802 112,566 2002 2004 180,000 5.40�a 30,780 210,78Q 0 210,780 221 ,319 236,802 128,049 2003 2005 190,000 5.40� 21 ,060 211 ,060 0 241 ,060 221 ,613 236,802 143,238 2004 2006 200,000 5.40� 10,8Q0 210,800 0 210,800 221 ,340 236,798 158,696 TOTALS: 1 ,605,000 623,013 2,228,013 123,900 2,104,135 2,209,342 2,368,016 Bond Years; 11 ,882.50 Annual Interest: 623,013 Avg. Maturity: , 7.40 Plus Discount: 22,47Q Avg. Annual Rate: 5.243� Net Interest: 645,483 T.I.C. Rate: 5.468� N.I.C. Rate: 5.432� Interest rates are estimates; changes may cause significant alterations of this schedule. The actual underwriter's discount bid may also vary. D '� � m -� z �, v � x � �o = City of Rosemount,Minnesota Prepared May 31 , 1994 General Obligation Storm Water Revenue Bonds By SPRINGSTED Incorporated Series 19946 Dated: 8- 1 -1994 Mature: 2- � First Interest: 2- 1 -1995 . Total Existing Total Year of Year of Principal 105� Debt Debt Revenue Mat. Pr.incipal Rates Interest & Interest of Total 19928 Bonds Service (1 ) (2) (3) (4) �5) �6) l7) �8� �9� 1994 1996 60,000 4.40� 25,050 85,050 89,303 111 ,975 201 ,278 1995 1997 25,000 4.60� 14,060 39,060 41 ,013 155,950 196,963 1996 1998 25,000 4.80� 12,910 37,910 39,806 157,338 197,144 1997 1999 25,OOU 4.90� 11 ,710 36,710 38,546 158,288 196,834 1998 2000 30,000 5.00� 10,485 40,485 42,509 153,822 196,331 1999 2001 35,000 5.1Q� 8,985 43,985 46,184 154,167 200,351 2000 2002 30,000 5.20� 7,200 37,200 39,060 155,168 198,228 2001 2003 30,000 5.30� 5,640 35,640 37,422 158,558 195,980 2002 2004 35,000 5.40� 4,05d 39,050 41 ,003 157,520 198,523 2003 2005 40,000 5.40� 2,160 42,160 44,268 156,040 200,308 2004 2006 0 5.40� 0 0 0 159,165 159,165 2005 2007 0 5.40� 0 0 0 156,605 156,605 2006 2008 0 5.40� 0 0 0 158,625 158,625 TOTALS: 335,000 102,250 437,250 459,114 1 ,997,221 2,456,335 Bond Years: 1 ,97�.50 Annual Interest: 102,250 Avg. Maturity: 5.90 Plus Discount: 4,690 Avg. Annual Rate: 5.171� Net Interest: 106,940 T.I .C. Rate: 5.444� N.I.C. Rate: �•40�� D � � Interest rates are estimates; changes may cause significant alterations of this schedule. m � The actual underwriter's discount bid may also vary. Z v � ccs . X m � < 0 APPENDIX V I , � City Of Rosemount, Minnesota Prepared May 31 , 1994 $700,000 General Obligation State Aid Street Bonds By SPRINGSTED Incorporated Series 1994C Dated: 8- 1 -1994 Mature: 4- 1 First Interest: 4- 1 -1995 Total Year of Year of Principal Revenue Mat. Principal Rates Interest & Interest (1 ) (2) �3) (4) (5) : (6) 1995 1995 65,000 3.60� 22,733 87,733 1996 1996 60,000 4.40� 31 ,760 91 ,760 1997 1 997 60,000 4.60� 29,120 89,120 1998 1998 65,000 4.80� 26,360 91 ,360 1999 1999 65,000 4.90� 23,240 88,240 2000 2000 70,000 5.00� 20,055 90,055 2001 2001 75,000 5.10� 16,555 91 ,555 � 2002 2002 75,000 5.20� 12,730 87,730 2003 2003 80,000 5.30� 8,830 88,830 2004 2004 85,000 � 5.40� 4,590 89,590 TOTALS: 700,000 195,973 89�,973 Bond Years: 3,831 .67 Annual Interest: 195,973 Avg. Maturity: 5.47 Plus Discount: 9,800 Avg. Annual Rate: 5.115� Net Interest: 205,773 T.I.C. Rate: 5.404� N.I.C. Rate: 5.370� Interest rates are estimates; changes may cause significant alterations of this schedule. The actual underwriter's discount bid may also vary. Page 11 Port Authority of the City of Rosemount, Minnesota Prepared June 2, 1994 $1,630,000 General Obiigation Bonds By SPRINGSTED Incorporated Series 1994A Dated: 8- 1-1994 Mature: 2- 1 First Interest: 2- 1-1995 Total Capital- Net Paid Paid Year of Year of Principal ized Levy 105°k By By Port Levy Mat. Principal Aates interest & Interest Interest Required of Total CMC Authority (1� �2) �3) �4) �5) �6) (7) �8) {9) �10) (11) 1994 1996 0 0.00% 133,293 133,293 83,305 49,988 52,487 5,039 47,448 1995 1997 75,000 4.6096 88,862 163,862 0 163,862 172,055 16,517 155,538 1996 1998 80,000 4.80°� $5,412 165,412 0 165,412 173,683 16,674 157,009 1997 1999 80,Q00 4.90°� 81,572 161,572 0 161,572 169,651 16,286 153,365 1998 2000 85,000 5.00%0 77,652 162,652 0 162,652 170,785 16,395 154,390 1999 2001 90,000 5.10°� 73,402 163,402 0 163,402 171,572 16,471 155,101 2000 2002 95,000 5.20°� 68,812 163,812 0 163,812 172,003 16,512 155,491 2001 2003 100,000 5.30% 63,872 163,872 0 163,872 172,066 16,518 155,548 2002 2004 105,000 5.40% 58,5�2 163,572 0 t63,572 171,751 16,488 155,263 2003 2005 110,�0 5.40°k 52,902 162,902 0 162,902 171,047 16,421 154,626 2004 2006 115,000 5.55% 46,962 161,962 0 161,962 170,060 16,326 1b3,734 � 2005 2007 125,000 5.65% 40,579 165,579 0 165,579 173,858 16,690 157,168 20Q6 2008 130,000 5.75% 33,516 163,516 0 163,516 171,692 16,482 155,210 2007 20Q9 140,000 5.85% 26,041 166,041 0 166,041 174,343 16,737 157,606 2008 2010 145,�0 5.95°� 17,851 162,851 0 162,851 170,994 16,415 154,579 2009 2011 155,000 5.95% 9,223 164,223 0 164,223 172,434 16,554 155,880 TOTALS: 1,630,000 958,523 2,588,523 83,305 2,505,218 2,630,481 252,526 2,377,955 Bond Years: 17,070.00 Annuai Interest: 958,523 y Avg. Maturity: 10.47 Plus Discount: 22,820 � � Avg. Annual Rate: 5.615% Net Interest: 981,343 m � T.1.C. F�ate: 5.770% N.I.C. Rate: 5.749% z v m X � < n� Inte�est rates are estimates; changes may cause significant alterations of this schedule. - The actuai underwriter's discount bid may aiso vary. � THE CITY HAS AUTHORIZED SPRINGSTED INCORPORATEQ TO NEGOTIATE THIS ISSUE ON ITS BEHALF. PROPOSALS WILL BE RECEIVED ON THE FOLLOWING BASIS: TERMS OF PROPOSAL $1,605,000 CITY OF ROSEMOUNT, MINNESOTA GENERAL OBLIGATION IMPROVEMENT BONDS, SERIES 1994A Proposals for the Bonds will be received on Tuesday, July 5, 1994, until 11:00 A.M., Central I' Time, at the offices of Springsted Incorporated, 85 East Seventh Place, Suite 100, Saint Paul, Minnesota, after which time they will be opened and tabulated. Consideration for award of the Bonds will be by the City Council at 7:30 P.M., Central Time, of the same day. DETAILS OF THE BONDS The Bonds will be dated August 1, 1994, as the date of original issue, and will bear interest payable on February 1 and August 1 of each year, commencing February 1, 1995. Interest will be computed on the basis of a 360-day year of twelve 30-day months. The Bonds will be � issued in the denomination of$5,000 each, or in integral multiples thereof, as requested by the purchaser, and fully registered as to principal and interest. Principal will be payable at the main corporate office of the registrar and interest on each Bond will be payable by check or draft of the registrar mailed to the registered holder thereof at the holder's address as it appears on the books of the registrar as of the close of business on the 15th day of the immediately preceding month. The Bonds will mature February 1 in the years and amounts as follows: 1997 $130,000 2001 $155,000 2004 $180,000 1998 $135,000 2002 $160,000 2005 $190,000 1999 $140,000 2003 $170,000 2006 $2Q0,000 2000 $145,000 OPTIONAI. REDEMPTION The City may elect on February 1, 2003, and on any day thereafter, to prepay Bonds due on or after February 1, 2004. Redemption may be in whole or in part and if in part, at the option of the City and in such order as the City shall determine and within a maturity by lot as selected by the registrar. AU prepayments shall be at a price of par plus accrued inte�est. SECURITY AND PURPOSE The Bonds will be general obligations of the City for which the City will pledge its full faith and credit and power to levy direct general ad valorem taxes. In addition the City will pledge special assessments against benefitted property. The proceeds will be used for street improvements in the City. TYPE OF PROPOSA�S Proposals shall be for not less than $1,582,530 and accrued interest on the total principal amount of the Bonds. Proposals shall be accompanied by a Good Faith Deposit ("Deposit") in the form of a certified or cashier's check or a Financial Surety Bond in the amount of $16,050, • Page 13 � payable ta the order of the City. If a check is used, it must accompany each proposaL ff a Financial Surety Bond is used, it must be from an insurance company licensed to issue such a bond in the State of Minnesota, and preapproved by the City. Such bond must be submitted to Springsted Incorporated prior to the opening of the proposals. The Finaneial Surety Bond must identify each underwriter whose Deposit is guaranteed by such Financial Surety Bond. If the Bonds are awarded to an underwriter using a Financial Surety Bond, then that purchaser is required to submit its Deposit to Springsted Incorporated in the form of a certified or cashier's check or wire transfe�as instructed by Springsted Incorporated not later than 3:30 P.M., Central Time, on the next business day following the award. If such Deposit is not received by that time, the Financial Surety Bond may be drawn by the City to satisfy the Deposit requirement. The City will deposit the check of the purchaser, the amount of which will be deducted at settlement and no interest will accrue to the purchaser. In the event the purchaser fails to comply with the accepted proposal, said amount will be retained by the City. No proposal can be withdrawn or amended afte� the time set for receiving proposals unless the meeting of the City scheduled for award of the Bonds is adjourned, recessed, or continued to another date without award of the Bonds having been made. Rates shall be in integral rnultiples of 5/100 or 1/8 of 1%. Rates must be in ascending order. Bonds of the same maturity shall bear a si�gle rate from the date of the Bonds to the date of maturity. No conditional proposals will be accepted. ; AWARD The Bonds will be awarded on the basis of the lowest interest rate to be determined on a true interest cost (TIC) basis. The City's computation of the interest rate of each proposal, in accordance with customary practice, will be controlling. The City will reserve the right to: (i) waive non-substantive informalities of any proposal or of matters relating to the receipt of proposals and award of the Bonds, (ii) reject all proposals without cause, and, (iii) reject any proposal which the City determines to have failed to comply with the terms herein. REGISTRAR The City will name the registrar which shall be subject to applicable SEC regulations. The City will pay for the services of the registrar. CUSIP NUMBERS If the Bonds qualify for assignment of CUSIP numbers such numbers will be printed on the Bonds, but neither the failure to print such numbers on any Bond nor any errar with respect thereto will constitute cause for failure or refusal by the purchaser to accept delivery of fhe Bonds. The CUSIP Service Bureau charge for the assignment of CUSIP identification numbe�s shall be paid by the purchaser. SETTLEMENT Within 40 days following the date of their award, the Bonds will be delivered without cast to the purchaser at a place mutually satisfactory to the City and the purchaser. Delivery will be subject to receipt by the purchaser of an approving legal opinion of Briggs and Morgan, Professional Association, of Saint Paul and Minneapolis, Minnesota, which opinion will be printed on the Bonds, and of customary closing papers, including a no-litigation certificate. On the date of settlement payment for the Bonds shall be made in federal, or equivalent, funds which shall be received at the offices of the City or its designee not later than 12:00 Noon, Central Time. Except as compliance with the terms of payment for the Bonds shall have been made impossible by action of the City, or its agents, the purchaser shall be liable to the City for Page 14 any loss suffered by the City by reason of the purchaser's non-compliance with said terms for payment. � OFFICIAL STATEMENT The City has authorized the preparation of an Official Statement containing pertinent information relative to the Bonds, and said Official Statement will serve as a nearly-final Official Statement within the meaning of Rule 15c2-12 of the Securities and Exchange Commission. For copies of the O�cial Statement or for any additional information prior to sale, any prospective purchaser is referred to the Financial Advisor to the City, Springsted Incorporated, 85 East Seventh Place, Suite 100, Saint Paul, Minnesota 55101, telephone (612) 223-3000. The Official Statement, when further supplemented by an addendum or addenda specifying the maturity dates, principal amounts and interest rates of the Bonds, together with any other , information required by law, shall constitute a "Final Official Statement" of the City with respect ta the Bonds, as that term is defined in Rule 15c2-12. By awarding the Bonds to any underwriter or underwriting syndicate submitting a proposal therefor, the City agrees that, no more than seven business days after the date of sueh award, it shall provitle without cost to the senior managing underwriter of the syndicate to which the Bonds are awarded 65 copies of the Official Statement and the addendum or addenda described above. The City designates the senior managing underuvriter of the syndicate to which the Bonds are awarded as its agent for _ purposes of distributing copies of the Final Official Statement to each Participating Underwriter. Any underwriter delivering a proposal with respect to the Bonds agrees thereby that if its proposal is accepted by the City (i) it shall accept such designation and (ii) it shall enter into a contractual relationship with all Participating Underwriters of the Bonds for purposes of assuring the receipt by each such Participating Underwriter of the Final Officiat Statement. Dated June 7, 1994 BY ORDER OF THE CITY COUNCIL /s/Susan Walsh City Clerk Page 15 � THE GITY HAS AUTHORIZED SPRINGSTED INCORPORATED TO NEGOTIATE THIS ISSUE ON ITS BEHALF. PROPOSALS WILL BE RECEIVED ON THE FOLLOWING BASIS: TERMS OF PROPOSAL . $335,000 CITY OF ROSEMOUNT, MINNESOTA GENERAL OBLIGATION STORM WATERREVENUE BONDS, SERIES 19948 Proposals for the Bonds will be received on Tuesday, July 5, 1994, until 11:00 A.M., Central Time, at the offices of Springsted Incorporated, 85 East Seventh Place, Suite 100, Saint Paul, Minnesota, after which time they will be opened and tabulated. Consideration for award of the Bonds will be by the City Council at 7:30 P.M., Central Time, of the same day. DETAILS OF THE BONDS ' The Bonds will be dated August 1, 1994, as the date o# original issue, and will bear interest payable on February 1 and August 1 of each year, commencing February 1, 1995. Interest will be computed on the basis of a 360-day year of finrelve 30-day months. The Bonds will be issued in the denomination of$5,000 each, or in integral multiples thereof, as requested by the purchaser, and fully registered as to principal and interest. Principal will be payable at the main corporate office of the registrar and interest on each Bond will be payable by check or draft of the registrar mailed to the registered holder thereof at the holder's address as it appears on the books of the registrar as of the close of business on the 15th day of the immediately preceding month. The Bonds will mature February 1 in the years and amounts as follows 1996 $60,000 2000 $30,000 2003 $30,000 1997 $25,000 2001 $35,000 2004 $35;000 1998 $25,000 2002 $30,000 2005 $40,000 1999 $25,000 OPTIONAL REDEMPTION The City may elect on February 1, 2003, and on any day thereafter, to prepay Bonds due on or after February 1, 2004. Redemption may be in whole or in part and if in part, at the option of the City and in such order as the City shall determine and within a maturity by Jot as selected by �, the registrar. Alt prepayments shall be at a price of par plus accrued interest. SECURITY AND PURPOSE The Bonds will be general obligations of the City for which the City will pledge its full faith and credit and power to levy direct general ad valorem taxes. In addition the City will pledge net revenues of the storm water utility. The proceeds will be used to finance the costs of storm water improvement projects within the City TYPE OF PROPOSALS Proposals shall be for not less than $330,310 and accrued interest on the total principal amount of the Bonds. Proposals shall be accompanied by a Good Faith Deposit ("Deposit") in the form Page 16 + of a certified or cashier's check or a Financial Surety Bond in the amount of $3,350, payable to the order of the City. If a check is used, it must accompany each proposal. If a Financial Surety Bond is used, it must be from an insurance company licensed to issue such a bond in .the State of Minnesota, and preapproved by the City. Such bond must be submitted to Springsted Incorporated prior to the opening of the proposals. The Financial Surety Bond must identify each underwriter whose Deposit is guaranteed by such Financial Surety Bond. 1f the Bonds are awarded to an underwriter using a Financial Surety Bond, then that purchaser is required to submit its Deposit to Springsted Incorporated in the form of a certified or cashier's check or wire transfer as instructed by Springsted Incorporated not later than 3:30 P.M., Central . Time, on the next business day following the award. If such Deposit is not received by that time, the Financial Surety Bond may be drawn by the City to satisfy the Deposit requirement. The City will deposit the check of the purchaser, the amount of which will be deducted at settlement and no interest will accrue to the purchaser. In the event the purchaser fails to comply with the accepted proposal, said amount will be retained by the City. No proposal can be withdrawn or amended after the time set for receiving prapasals unless the meeting of the City scheduled for award of the Bonds is adjoumed, recessed, or continued to another date without award of the Bonds having been made. Rates shall be in integral multiples of 5/100 or 1f8 of 1%. Rates must be in ascending order. Bonds of the same maturity shall bear a single rate from the date of the Bonds to the date of maturity. No conditional proposals will be accepted. AWARD The Bonds will be awarded on the basis of the lowest interest rate to be determined on a true interest cost (TIC) basis. The City's computation of the interest rate of each proposal, in accordance with customary practice, will be controlling. _ The City will reserve the right to: (i)waive non-substantive informalities of any proposal or of matters relating to the receipt of proposals and award of the Bonds, (ii) reject all proposals without cause, and, (iii) reject any proposal which the City determines to have failed to comply with the terms herein. REGISTRAR The City will name the registrar which shall be subject to applicable SEC regulations. The City will pay for the services of the registrar. CUSIP NUMBERS If the Bonds qualify for assignment of CUSIP numbers such numbers will be printed on the Bonds, but neither the failure to print such numbers on any Bond nor any error with respect thereto will constitute cause for failure or refusal by the purchaser to accept delivery of the Bonds. The CUSIP Seniice Bureau charge for the assignment of CUSIP identification numbers shall be paid by the purchaser. SETTLEMENT Within 40 days following the date of their award, the Bonds will be delivered without cost to the purchaser at a place mutually satisfactory to the City and the purchaser. Delivery wili be subject to receipt by the purchaser of an approving legal opinion of Briggs and Morgan, Professional Association, of Saint Paul and Minneapolis, Minnesota, which opinion will be printed on the Bonds, and of customary closing papers, including a no-litigation certificate. On the date of settlement payment for the Bonds shall be made in_federal, or equivalent, fiunds which shall be received at the offices of the City or its designee not later than 12:00 Noon, Central Time. Except as compliance with the terms of payment for tMe Bonds shall have been made impossible by action of the City, or its agents, the purchaser shall be Iiable to the City for 'I Page 17 any loss suffered by the City by reason of the purchaser's non-compliance with said terms for payment. OFFICIAL STATEMENT The City has authorized the preparation of an Official Statement containing pertinent information �elative to the Bonds, and said Official Statement will serve as a nearly-final Official Statement within the meaning of Rule 15c2-12 of the Securities and Exchange Commission. For copies of the Official Statement or for any additional information prior to sale, any prospective purchaser is referred to the Financial Advisor to the City, Springsted lncorporated, 85 East$eventh Place, Suite 100, Saint Paul, Minnesota 55101, telephone (612) 223-3000. The Official Statement, when further supplemented by an addendum ar addenda specifying the maturity dates, principal amounts and interest rates of the Bonds, together with any other information required by law, shall constitute a "Final Official Statement" of the City with respect to the Bonds, as that term is defined in Rule 15c2-12. By awarding the Bonds to any underwriter or underwriting syndicate submitting a proposal therefor, the City agrees that, no more than seven business days after the date of such award, it shall provide without cost to the senior managing underwriter of the syndicate to which the Bonds are'awarded 15 copies of the Official Statement and the addendum or addenda described above. The City designates the senior managing unden�vriter of the syndicate to which the Bonds are awarded as its agenf for purposes of distributing copies of the Final Official Statement to each Participating Underwriter. Any underwriter delivering a proposal with respect to the Bonds agrees thereby that if its � proposaF is accepted by the City (i) if shall accept such designation and (ii) it shall enter into a contractual relationship with all Participating Underwriters of the Bonds for purposes of assuring the receipt by each such Participating Underwriter of the Final Official Statement. Dated June 7, 1994 BY ORDER OF THE CITY COUNCIL /s/Susan Walsh City Clerk . Page 18 Y THE CITY HAS AUTHORIZED SPRINGSTED INCORPORATED TO NEGOTIATE THIS ISSUE ON ITS BEHALF. PROPOSALS WILL BE RECEIVED ON THE FOI.LOWING BASIS: TERMS OF PROPOSAL $700,000 CITY OF ROSEMOUNT, MINNESOTA GENERAL OBLIGATION STATE AID STREET BONDS, SERIES 1994C Proposais for the Bonds will be received on Tuesday, July 5, 1994, until 11:00 A.M., Centrat Time, at the offices of Springsted Incorporated, 85 East Seventh Place, Suite 100, Saint Paul, ' Minnesota, after which time they will be opened and tabulated. Consideration for award of the Bonds will be by the City Council at 7:30 P.M., Central Time, of the same day. DETAILS OF THE BONDS The Bonds will be dated August 1, 1994, as the date of original issue, and will bear interest payable on April 1 and October 1 of each year, commencing April 1, 1995. Interest will be computed on the basis of a 360-day year of twelve 30-day months. The Bonds will be issued in the denomination of $5,000 each, or in integral multiples thereof, as requested by the purchaser, and fully registered as to principal and interest. Principal will be payable at the main corporate office of the registrar and interest on each Bond will be payable by check or draft of the registrar mailed to the registered holder thereof at#he holder's address as it appears on the books of the registrar as of the close of business on the 15th day of the immediately preceding month. The Bonds will mature April 1 in the years and amounts as follows: 1995 $65,000 1999 $65,000 2002 $75,000 1996 $60,000 2000 $70,000 2003 $80,000 1997 $60,000 2001 $75,000 2004 $85,000 1998 $65,000 OPTIONAL REDEMPTION The City may elect on April 1, 2003, and on any day thereafter, to prepay Bonds due on or after April 1, 2004. Redemption may be in whole or in part and if in part, at the option of the City and in such order as the City shatl determine and within a maturity by lot as selected by the registrar. All prepayments shall be at a price of par plus accrued interest. SECURITY AND PURPOSE The Bonds will be general obligations of the City for which the City will pledge its full faith and credit and power to levy direct general ad valorem taxes. The proceeds will be used for street improvements. TYPE OF PROPOSALS Proposals shall be for not less than $690,200 and accrued interest on the total principal amount of#he Bonds. Proposals shall be accompanied by a Good Faith Deposit ("Deposit") in the form of a certified or cashier's check or a Financial Surety Bond in the amount of$7,000, payable to Page 19 r the order of the City. if a check is used, it rnust accompany each proposaL If a Financial Surety Bond is used, it must be from an insurance company licensed to issue such a bond in the State of Minnesota, and preapproved by the City. Such bond must be submitted to . Springsted Incorporated prior to the opening of the proposals. The Financial Surety Bond must identify each underwriter whose Deposit is guaranteed by such Financial Surety Bond. If the Bonds are awarded to an underwriter using a Financial Surety Bond, then that purchaser is required to submit its Deposit to Springsted Incorporated in the form of a certified or cashier's check or wire transfer as instructed by Springsted Incorporated not later than 3:30 P.M., Central Time, on the next business day following the award. If such Deposit is not received by that time, the Financial Surety Bond may be drawn by the City to satisfy the Deposit requirement. The City will deposit the check of the purchaser, the amount of which will be deducted at settlement and no interest will accrue to the purchaser. In the event the purchaser fails to comply with the accepted proposal, said amount will be retained by the City. No proposal can be withdrawn or amended after the time set for receiving proposals unless the meeting of the City scheduled for award of the Bonds is adjou�ned, recessed, or continued to another date ! without award of the Bonds having been made. Rates shaH be in integral multiples of 5/100 or 1/8 of 1%. Rates must be in ascending order. Bands of the same maturity shall bear a single rate from the date of the Bonds to the date of maturity. No conditional proposals will be accepted. AWARD The Bonds will be awarded on the basis of the lowest interest rate to be determined on a true interest cost {TIC) basis. The City's computation of the interest rate of each proposal, in accordance with customary practice, will be controlling. The City will reserve the right to: (i) waive non-substantive informalities of any proposal or of matters relating to the receipt of proposals and award of the Bonds, (ii) reject all proposals without cause, and, (iii) reject any proposal which the City determines to have failed to comply with the terms herein. REGISTRAR The City will name the registrar which shall be subject to applicable SEC regulations. The City will pay for the services of the registrar. CUSIP NUMBERS If the Bonds qualify for assignment of CUSIP numbers such numbers will be printed on the Bonds, but neither the failure to print such numbers on any Bond nor any error with respect f h thereto will constitute cause for failure or refusal by the purchaser to accept delivery o t e Bonds. The CUSIP Service Bureau charge for the assignment of CUSIP identification numbers shalf be paid by the purchaser. SETTLEMENT Within 40 days following the date of their award, the Bonds will be delivered without cost to the purchaser at a place mutually satisfactory to the City and the purchaser. Delivery will be subject to receipt by the purchaser of an approving legal opinion of Briggs and Morgan, Professional Association, of Saint Paul and Minneapolis, Minnesota, which opinion will be printed on the Bonds, and of customary closing papers, including a no-litigation certificate. Ort the date of settlement payment for the Bonds shall be made in federal, or equivalent, funds which shall be received at the offices of the City or its designee not later than 12:00 Noon, Central Time. Except as compliance with the terms of payment for the Bonds shall have been made impossible by action of the City, or its agents, the purchaser shall be Iiable to the City for Page 20 , any loss suffered by the City by reason of the purchaser's non-compiiance with said terms for payment. OFFICIAL STATEMENT The City has authorized the preparation of an Official Statement containing pertinent information relative to the Bonds, and said Official Statement will serve as a nearly-final Official Statement within the meaning of Rule 15c2-12 of the Securities and Exchange Commission. For copies of the O�cial Statement or for any additional information prior to sale, any prospective purchaser is referred to the Financial Advisor to the City, Springsted Incorporated, 85 East Seventh Place, Suite 100, Saint Paul, Minnesota 55101, telephone (612) 223-3000. The Official Statement, when further supplemented by an addendum or addenda specifying the maturity dates, principal amounts and interest rates af the Bonds, together with any other information required by law, shall constitute a "Final Official Statement" of the City with respect to the Bonds, as that term is defined in Rule 15c2-12. By awarding the Bonds to any underwriter or underwriting syndicate submitting a proposal therefor, the City agrees that, no more than seven business days after the date of such award, it shall provide without cost to the senior managing underwriter of the syndicate to which the Bonds are awarded 30 copies of the Official Statement and the addendum or addenda described above. The City designates the senior managing underwriter of the syndicate to which the Bonds are awarded as its agent for purposes of distributing copies of the Final Official Statement to each Participating Underwriter. Any underwriter delivering a proposal with respect to the Bonds agrees thereby that if its proposal is accepted by the City (i) it shall accept such designation and (ii) it shall enter into a contractual relationship with all Participating Underwriters of the Bonds for purposes of assuring the receipt by each such Participating Underwriter of the Final Official Statement. Dated June 7, 1994 BY ORDER OF THE CITY COUNCIL /s/Susan Walsh City Clerk Page 21 + THE AUTHORITY HAS AUTHORIZED SPRINGSTED INCORPORATED TO NEGOTIATE THIS ISSUE ON ITS BEHALF. PROPOSALS WILL BE RECEIVED ON THE FOLLOWING BASIS: TERMS OF PROPOSAL $1,630,000 ROSEMOUNT PORT AUTHORITY, MINNESOTA GENERAL OBLIGATION BONDS, SERIES 1994A Proposals for the Bonds will be received on Tuesday, July 5, 1994, antil 11:00 A.M., Central Time, at the offices of Springsted Incorporated, 85 East Seventh Place, Suite 100, Saint Paul, Minnesota, after which time they will be opened and tabulated. Consideration for award of the Bonds will be by the Authority at 5:15 P.M., Central Time, of the same day. DETAILS OF THE BONDS The Bonds will be dated August 1, 1994, as the date of original issue, and will bear interest payable on February 1 and August 1 of each year, commencing February 1, 1995. Interest will be computed on the basis of a 360-day year of finrelve 30-day months. The Bonds will be issued in the denomination of$5,000 each, or in integral muftiples thereof, as requested by the purchaser,and fully registered as to principal and interest. Principal.will b�payable at the main . corporate office of the registrar and interest on each Bond will be payable by check or draft of the registrar mailed to the registered holder thereof at the holder's address as it appears on the books of the registrar as of the close of business on the 15th day of the immediately preceding month. The Bonds will mature February 1 in the years and amounts as follows: 1997 $75,000 2001 $ 90,000 2005 $110,000 2009 $140,000 1998 $80,000 2002 $ 95,000 2006 $115,000 2010 $145,000 1999 $80,000 2003 $100,OQ0 2007 $125,000 2011 $155,000 2000 $85,000 2004 $105,000 2008 $130,000 OPTIONAL REDEMPTION The Authority may elect on February 1, 2003, and on any day thereafter, to prepay Bonds due on or after February 1, 2004. Redemption may be in whole or in part and if in part, at the option of the Authority and in such order as the Authority shaH determine and within a maturity by lot as selected by the registrar. All prepayments shall be at a price of par plus accrued interest. SECURITY AND PURPOSE The Bonds will be general obligations of the City of Rosemount for which the City of Rosemount will pledge its full faith and credit and power to levy direct general ad valorem taxes. The proceeds will be used to finance site work improvements for development of a business park. TYPE OF PROPOSALS . Proposals shall be for not less than $1,607,108 and accrued interest on the total principal amount of the Bonds. Proposals shall be accompanied by a Good Faith Deposit ("Deposit") in . Page 22 � Y the form of a ce�tified or cashier's check or a Financial Surety Bond in the amount of $16,300, payable to the order of the Authority. If a check is used, it must accompany each proposal. If a Financial Surety Bond is used, it must be from an insurance company licensed to issue such a bond in the State of Minnesota, and preapproved by the Authority. Such bond must be submitted to Springsted Incorporated prior to the opening of the proposals. The Financial Surety Bond must identify each underwriter whose Deposit is guaranteed by such Financial Surety Bond. If the Bonds are awarded to an underwriter using a Financial Su�ety Bond, then that purchaser is required to submit its Deposit to Springsted Incorporated in the form of a certified or cashier's check or wire transfer as instructed by Springsted Incorporated not later than 3:30 P.M., Central Time, on the next business day following the award. If such Deposit is � not received by that time, the Financial Surety Bond may be drawn by the Authority to satisfy �, the Deposit requirement. The Authority will deposit the check of the purchaser, the amount of ' which will be deducted at settlement and no interest will accrue to the purchaser. In the event the purchaser fails to comply with the accepted proposal, said amount will be retained by the Authority. No proposal can be withdrawn or amended after the time set for receiving proposals unless the meeting of the Authority scheduled for award of the Bonds is adjourned, recessed, or , continued to another date without award of the Bonds having been made. Rates shall be in integral multiples of 5/100 or 1/8 of 1%. Rates must be in ascending order. Bonds of the same maturity shall bear a single rate from the date of the Bonds to the date of maturity. No conditional proposals will be accepted. AWARD ' The Bonds will be awarded on the basis of the lowest interest rate to be determined on a true interest cost (TIC) basis. The Authority's computation of the interest rate of each proposal, in accordance with customary practice, will be controlling. ._ _ - . The Authority will reserve the right to: (i)waive non-substantive informalities of any proposal or of matters relating to the receipt of proposals and award of the Bonds, (i�) reject all proposals without cause, and, (iii) reject any proposat which the Authority determines to have failed to comply with the terms herein. REGISTRAR The Authority will name the registrar which shall be subject to applicable SEC regulations. The Authority will pay for the services of the registrar. CUSIP NUMBERS If the Bonds qualify for assignment of CUSIP numbers such numbers wilf be printed on the Bonds, but neither the failure to print such numbers on any Bond nor any error with respect thereto will constitute cause for failure or refusal by the purchaser to accept delivery of the Bonds. The CUSIP Service Bureau charge for the assignment of CUSIP identification numbers shall be paid by the purchaser. SETTLEMENT Within 40 days following the date of their award, the Bonds will be delivered without cost to the purchaser at a place mutually satisfactory to the Authority and the purchaser. Delivery will be subject to receipt by the purchaser af an approving legal opinion of Briggs and Morgan, Professional Association, of Saint Paul and Minneapolis, Minnesota, which opinion wilf be printed on the Bonds, and of customary closing papers, including a no-litigation certificate. On the date of settlement payment for the Bonds shall be made in federal, or equivalent, funds • which shall be received at the o�ces of the Authority or its designee not later than 12:00 Noon, Central Time. Except as compliance with the terms of payment for the Bonds shall have been made impossible by action of the Authority, or its agents, the purchaser shall be tiable to the . Page 23 1 � Authority for any loss suffered by the Authority by reason of the purchaser's non-compliance with said terms for payment. - OFFICIAL STATEMENT The Authority has authorized the preparation of an O�cial Statement containing pertinent information relative to the Bonds, and said O�cial Statement will serve as a nearly-final Official Statement within the meaning of Rule 15c2-12 of the Securities and Exchange Commission. For copies of the Official Statement or for any additional information prior to sale, any prospective purchaser is referred to the Financial Advisor to the Authority, Springsted Incorporated, 85 East Seventh Place, Suite 100, Saint Paul, Minnesota 55101, telephone (612) 223-3000. The Official Statement, when further supplemented by an addendum or addenda specifying the maturity dates, principal amounts and interest rates of the Bonds, together with any other information required by law, shall constitute a "Final Official Statement" of the Authority with respect to the Bonds, as that term is defined in Rule 15c2-12. By awarding the Bonds to any undennrriter or underwriting syndicate submitting a proposal therefor, the Authority ag�ees#hat, no more than seven business days after the date of such award, it shall provide without cost to the senior managing underwriter of the syndicate to which the Bonds are awarded 90 copies of the Official Statement and the addendum or addenda described above. The Authority designates the senior managing underwriter of the syndicate to which the Bonds are awarded as its agent for purposes of distributing copies of the Final Official Statement to each Participating Underwriter. Any underwriter delivering a proposal with respect to the Bonds agrees thereby that if its proposal is accepted by the Authority (i) it shall accept such designation and (ii) it shall enter into a contractual relatio�ship vYith all Participating . Underwriters of the Bonds for purposes of assuring the receipt by each such Participating Underwriter of the Final Official Statement. Dated June 7, 1994 BY ORDER OF THE PORT AUTHORITY /s/Thomas Burt Executive Director Page 24 (