HomeMy WebLinkAbout5.b. Accept Bids / Award Sale G.O. Storm Water Bonds 1992BEXECUTIVE SUMMARY FOR ACTION
CITY COUNCIL MEETING DAVE: August 4, 1992
AGENDA ITEM: G.O. Storm Water Revenue Bonds,
AGENDA SECTION:
Series 1992B - Accept Bids and Award Sale
Old Business
PREPARED BY:
Jeff May,
AGENDITEm # 58
Finance Director
ATTACHMENTS: Draft Resolution
APP VE BYs
official statement(Seo Agenda Item)
At 12:30 P.M.-, Tueslday, August 4, 1992, sealed bids for G.O.
Storm Water Revenue; Bonds, Series 1992B will be opened and the
results tabulated alit the offices of Springsted Inc. Dan O'Neill,
from Springsted, will be present at the August 4 1992 Council
meeting to give Spr;ingsted's recommendation for the issuance of
these bonds and to answer any questions that you may have.
You will receive alcopy of the final resolution and other
information regarding the bond sale at the meeting August 4,
1992.
4
EXTRACT OF MINUTES OF MEETING OF THE
CITY COUNCIL OF THE CITY OF
ROSEMOUNT, MINNESOTA
HELD: August 4, 1992
Pursuant to due call and notice thereof, a regular
meeting of the City Council of the City of Rosemount, Dakota
County, Minnesota, was duly called and held at the City Hall in
said City on Tuesday, the 4th day of August, 1992, at 7:30
o'clock P.M. for the purpose in part of considering offers for
and awarding the sale of $1,525,000 General Obligation Storm
Water Revenue Bonds, Series 1992B of the City.
The following members were present:
and the following were absent:
Member introduced the following
resolution and moved its adoption:
RESOLUTION ACCEPTING OFFER ON SALE OF
$1,525,000 GENERAL OBLIGATION
STORM WATER REVENUE BONDS, SERIES 1992E
AND PROVIDING FOR THEIR ISSUANCE
WHEREAS, the City Council has heretofore determined
that it is necessary and expedient to issue $1,525,000 General
Obligation Storm Water Revenue Bonds, Series 1992B, pursuant to
Minnesota Statutes, Chapters 444 and 475 to finance improvements
to the City's storm water utility;
WHEREAS, offers to purchase the Bonds were solicited on
behalf of the City by Springsted Incorporated; and
WHEREAS, the 'following offers were received, opened and
recorded by the City Administrator or his designee at the offices
of Springsted Incorporated at 12:30 P.M., this same day:
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Bidder Interest Rate Net Interest Cost
NOW, THEREFORE, BE IT RESOLVED by the Council of the
City of Rosemount, Minnesota, as follows:
1. Acceptance of Offer. The offer of
(the "Purchaser") to purchase $1,525,000
General Obligation Storm Water Revenue Bonds, Series 1992B of the
City (hereinafter referred to as the "Bonds" or individually as a
"Bond"), in accordance with the Terms of Proposal at the rates of
interest hereinafter set forth, and to pay therefor the sum of
$ , plus interest accrued to settlement, is hereby found,
determined and declared to be the most favorable offer received
and is hereby accepted and the Bonds are hereby awarded to said
Purchaser. The City Administrator is directed to retain the
deposit of said purchaser and to forthwith return to the other
making offers their good faith checks or drafts.
2. Title; Original Issue Date; Denominations;
Maturities. The Bonds shall be titled "General Obligation Storm
Water Revenue Bonds, Series 1992B11, shall be dated September 1,
1992, as the date of original issue and shall be issued forthwith
on or after such date as fully registered bonds. The Bonds shall
be numbered from R -1 -upward in the denomination of $5,000 each or
in any integral multiple thereof of a single maturity. The Bonds
shall mature on February l in the years and amounts as follows:
Year
Amount
Year
Amount
1994
$ 30,000
2002
$110,000
1995
60,000
2003
115,000
1996
75,000
2004
120,000
1997
85,000
2005
125,000
1998
90,000
2006
135,000
1999
95,000
2007
140,000
2000
95,000
2008
150,000
2001
100,000
3. Purpose. The Bonds shall provide funds for
improvements to the City's storm water utility (the "Project").
The total cost of the Project, which shall include all costs
enumerated in Minnesota Statutes, Section 475.65, is estimated to
be at least equal to the amount of the Bonds. Work on the
Project shall proceed with due diligence to completion.
4. Interest. The Bonds shall hear interest payable
semiannually on February 1 and August 1 of each year commencing
August 1, 1993, calculated on the basis of a 360 -day year of
twelve 30 -day months, at the respective rates per annum set forth
opposite the maturity years as follows:
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Maturity
Year
1994
1995
1996
1997
1998
1999
2000
2001
Interest
Rate
Maturity
Year
2002
2003
2004
2005
2006
2007
2008
Interest
Rate
5. Redemption. All Bonds of this issue maturing in
the year 2001 and thereafter, shall be subject to redemption and
prepayment at the option of the City on February 1, 2000, and on
any date thereafter at a price of par plus accrued interest.
Redemption may be in whole or in part of the Bonds subject to
prepayment. If redemption is in part, the maturities and the
principal amounts within each maturity to be redeemed shall be
determined by the City; and if only part of the Bonds having a
common maturity date are called for prepayment, the specific
Bonds to be prepaid shall be chosen by lot by the Bond Registrar.
Bonds or portions thereof called for redemption shall be due and
payable on the redemption date, and interest shall cease to
accrue from and after the redemption date. Mailed notice of
redemption shall be given to the paying agent and to each
affected registered holder of the Bonds.
To effect a partial redemption of Bonds having a common
maturity date, the Bond Registrar prior to giving notice of
redemption shall assign to each Bond having a common maturity
date a distinctive number for each $5,000 of the principal amount
of such Bond. The Bond Registrar shall then select by lot, using
such method of selection as it shall deem proper in its
discretion, from the numbers so assigned to such Bonds, as many
numbers as, at $5,000 for each number, shall equal the principal
amount of such Bonds to be redeemed. The Bonds to be redeemed
shall be the Bonds to which were assigned numbers so selected;
provided, however, that only so much of the principal amount of
each such Bond of a denomination of more than $5,000 shall be
redeemed as shall equal $5,000 for each number assigned to it and
so selected. If a Bond is to be redeemed only in part, it shall
be surrendered to the Bond Registrar (with, if the City or Bond
Registrar so requires, a written instrument of transfer in form
satisfactory to the City and Bond Registrar duly executed by the
holder thereof or his, her or its attorney duly authorized in
writing) and the City shall execute (if necessary) and the Bond
Registrar shall authenticate and deliver to the holder of such
Bond, without service charge, a new Bond or Bonds of the same
series having the same stated maturity and interest rate and of
any auyhorized denomination or denominations, as requested by
such holder, in aggregate principal amount equal to and in
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exchange for the unredeemed portion of the principal of the Bond
so surrendered.
6. Bond Registrar. , in
, Minnesota, is appointed to act as bond registrar and
transfer agent with respect to the Bonds (the "Bond Registrar"),
and shall do so unless and until a successor Bond Registrar is
duly appointed, all pursuant to any contract the City and Bond
Registrar shall execute which is consistent herewith. The Bond
Registrar shall also serve as paying agent unless and until a
successor paying agent is duly appointed. Principal and interest
on the Bonds shall be paid to the registered holders (or record
holder) of the Bonds in the manner set forth in the form of Bond
and paragraph 12 of this resolution.
7. Form of Bond. The Bonds to be issued hereunder,
together with the Bond Registrar's Certificate of Authentication,
the form of Assignment and the registration information thereon,
shall, be in substantially the following form:
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R -
UNITED STATES OF AMERICA
STATE OF MINNESOTA
DAKOTA COUNTY
CITY OF ROSEMOUNT
GENERAL OBLIGATION STORM WATER
REVENUE BOND, SERIES 1992B
INTEREST MATURITY DATE OF
RATE DATE ORIGINAL ISSUE CUSIP
September 1, 1992
REGISTERED OWNER:
PRINCIPAL AMOUNT:
DOLLARS
KNOW ALL PERSONS BY THESE PRESENTS that the City of
Rosemount, Dakota County, Minnesota (the "Issuer"), certifies
that it is indebted and for value received promises to pay to the
registered owner specified above, or registered assigns, in the
manner hereinafter set forth, the principal amount specified
above, on the maturity date specified above, unless called for
earlier redemption, and to pay interest thereon semiannually on
February 1 and August 1 of each year (each, an "Interest Payment
Date"), commencing August 1, 1993, at the rate per annum
specified above (calculated on the basis of a 360 -day year of
twelve 30 -day months) until the principal sum is paid or has been
provided for. This Bond will bear interest from the most recent
Interest Payment Date to which interest has been paid or, if no
interest has been paid, from the date of original issue hereof.
The principal of and premium, if any, on this Bond are payable
upon presentation and surrender hereof at the principal office of
, in , Minnesota
(the "Bond Registrar"), acting as paying agent, or any successor
paying agent duly appointed by the Issuer. Interest on this Bond
will be paid on each Interest Payment Date by check or draft
mailed to the person in whose name this Bond is registered (the
"Holder" or "Bondholder") on the registration books of the Issuer
maintained by the Bond Registrar and at the address appearing
thereon at the close of business on the fifteenth day of the
calendar month next preceding such Interest Payment Date (the
"Regular Record.Date"). Any interest not so timely paid shall
cease to be payable to the person who is the Holder hereof as of
the Regular Record Date, and shall be payable to the person who
is the Holder hereof at the close of business on a date (the
"Special Record Date") fixed by the Bond Registrar whenever money
becomes available for payment of the defaulted interest. Notice
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of the Special Record Date shall be given to Bondholders not less
than ten days prior to the Special Record Date. The principal of
and premium, if any, and interest on this Bond are payable in
lawful money of the United States of America.
This Bond shall not be valid or become obligatory for any purpose
or be entitled to any security unless the Certificate of
Authentication hereon shall have been executed by the Bond
Registrar.
REFERENCE IS HEREBY MADE TO THE FURTHER PROVISIONS OF
THIS BOND SET FORTH ON THE REVERSE HEREOF, WHICH PROVISIONS SHALL
FOR ALL PURPOSES HAVE THE SAME EFFECT AS IF SET FORTH HERE.
IT IS HEREBY CERTIFIED AND RECITED that all acts,
conditions and things required by the Constitution and laws of
the State of Minnesota to be done, to happen and to be performed,
precedent to and in the issuance of this Bond, have been done,
have happened and have been performed, in regular and due form,
time and manner as required by law; that the Issuer has
covenanted and agreed with the Holders of the Bonds that it will
impose and collect charges for the service, use and availability
of its storm water facility at the times and in amounts necessary
to produce net revenues adequate to pay all principal and
interest when due on the Bonds; and that the Issuer will levy a
direct, annual, irrepealable ad valorem tax upon all of the
taxable property of the Issuer, without limitation as to rate or
amount, for the years and in amounts sufficient to pay the
principal and interest on the Bonds of this issue as they
respectively become due, if the net revenues from the storm water
utility and any other revenues irrevocably appropriated to the
Debt Service Account are insufficient therefor; and that this
Bond, together with all other debts of the Issuer outstanding on
the date of original issue hereof and the date of its issuance
and delivery to the original purchaser, does not exceed any
constitutional or statutory limitation of indebtedness.
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IN WITNESS WHEREOF, the City of Rosemount, Dakota
County, Minnesota, by its City Council has caused this Bond to be
executed on its behalf by the facsimile signatures of its Mayor
and its Administrator, the corporate seal of the Issuer having
been intentionally omitted as permitted by law.
Date of Registration:
BOND REGISTRAR'S
CERTIFICATE OF
AUTHENTICATION
This Bond is one of the
Bonds described in the
Resolution mentioned
within.
Bond Registrar
By
Authorized Signature
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Registrable by:
Payable at:
CITY OF ROSEMOUNT,
DAKOTA COUNTY, MINNESOTA
/s/ Facsimile
Mayor
/s/ Facsimile
Administrator
%/
ON REVERSE'OF BOND
Redemption. All Bonds of this issue maturing in the
year 2001 and thereafter, are subject to redemption and
prepayment at the option of the Issuer on February 1, 2000, and
on any date thereafter at a price of par plus accrued interest.
Redemption may be in whole or in part of the Bonds subject to
prepayment. If redemption is in part, the maturities and the
principal amounts within each maturity to be redeemed shall be
determined by the Issuer; and if only part of the Bonds having a
common maturity date are called for prepayment, the specific
Bonds to be prepaid shall be chosen by lot by the Bond Registrar.
Bonds or portions thereof called for redemption shall be due and
payable on the redemption date, and interest thereon shall cease
to accrue from and after the redemption date. Mailed notice of
redemption shall be given to the paying agent and to each
affected Holder of the Bonds.
Selection of Bonds for Redemption; Partial Redemption.
To effect a partial redemption of Bonds having a common maturity
date, the Bond Registrar shall assign to each Bond having a
common maturity date, a distinctive number for each $5,000 of the
principal amount of such Bond. The Bond Registrar shall then
select by lot, using such method of selection as it shall deem
proper in its discretion, from the numbers assigned to the Bonds,
as many numbers as, at $5,000 for each number, shall equal the
principal amount of such Bonds to be redeemed. The Bonds to be
redeemed shall be the Bonds to which were assigned numbers so
selected; provided, however, that only so much of the principal
amount of such Bond of a denomination of more than $5,000 shall
be redeemed as shall equal $5,000 for each number assigned to it
and so selected. If a Bond is to be redeemed only in part, it
shall be surrendered to the Bond Registrar (with, if the Issuer
or the Bond Registrar so requires, a written instrument of
transfer in form satisfactory to the Issuer and the Bond
Registrar duly executed by the Holder thereof or his, her or its
attorney duly authorized in writing) and the Issuer shall execute
(if necessary) and the Bond Registrar shall authenticate and
deliver to the Holder of such Bond, without service charge, a new
Bond or Bonds of the same series having the same stated maturity
and interest rate and of any authorized denomination or
denominations, as requested by such Holder, in aggregate
principal amount equal to and in exchange for the unredeemed
portion of the principal of the Bond so surrendered.
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Issuance; Purpose; General Obligation. This Bond is
one of an issue in the total principal amount of $1,525,000, all
of like date of original issue and tenor, except as to number,
maturity, interest rate, denomination and redemption privilege,
which Bond has been issued pursuant to and in full conformity
with the Constitution and laws of the State of Minnesota and
pursuant to a resolution adopted by the City Council on August 4,
1992 (the "Resolution"), for the purpose of providing money for
improvements to the City's storm water utility. This Bond is
payable out of the General Obligation Storm Water Revenue Bonds,
Series 1992B Fund of the Issuer. This Bond constitutes a general
obligation of the Issuer, and to provide moneys for the prompt
and full payment of the principal, premium, if any, and interest
when the same become due, the full faith and credit and taxing
powers of the Issuer have been and are hereby irrevocably
pledged.
Denominations; Exchange; Resolution. The Bonds are
issuable solely as fully registered bonds in the denominations of
$5,000 and integral multiples thereof of a single maturity and
are exchangeable for fully registered Bonds of other authorized
denominations in equal aggregate principal amounts at the
principal office of the Bond Registrar, but only in the manner
and subject to the limitations provided in the Resolution.
Reference is hereby made to the Resolution for a description of
the rights and duties of the Bond Registrar. Copies of the
Resolution are on file in the principal office of the Bond
Registrar.
Transfer. This Bond is transferable by the Holder in
person or by his, her or its attorney duly authorized in writing
at the principal office of the Bond Registrar upon presentation
and surrender hereof to the Bond Registrar, all subject to the
terms and conditions provided in the Resolution and to reasonable
regulations of the Issuer contained in any agreement with the
Bond Registrar. Thereupon the Issuer shall execute and the Bond
Registrar shall authenticate and deliver, in exchange for this
Bond, one or more new fully registered Bonds in the name of the
transferee (but not registered in blank or to "bearer" or similar
designation), of an authorized denomination or denominations, in
aggregate principal amount equal to the principal amount of this
Bond, of the same maturity and bearing interest at the same rate.
Fees upon Transfer or Loss. The Bond Registrar may
require payment of a sum sufficient to cover any tax or other
governmental charge payable in connection with the transfer or
exchange of this Bond and any legal or unusual costs regarding
transfers and lost Bonds.
Treatment of Registered Owners. The Issuer and Bond
Registrar may treat the person in whose name this Bond is
registered as the owner hereof for the purpose of receiving
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payment as herein provided (except as provided on the reverse
side hereof with respect to the Record Date) and for all other
purposes, whether or not this Bond shall be overdue, and neither
the Issuer nor the Bond Registrar shall be affected by notice to
the contrary.
Oualified Tax -Exempt Obligations. The
designated by the Issuer as "qualified tax-exempt
for purposes of Section 265(b)(3) of the Internal
1986, as amended.
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Bonds have been
obligations"
Revenue Code of
ABBREVIATIONS
The following abbreviations, when used in the
inscription on the face of this Bond, shall be construed as
though they were written out in full according to applicable laws
or regulations:
TEN COM - as tenants in common
TEN ENT - as tenants by the entireties
JT TEN - as joint tenants with right of survivorship
and not as tenants in common
UTMA as custodian for
(Cust) (Minor)
under the Uniform
(State)
Transfers to Minors Act
Additional abbreviations may also be used
though not in the above list.
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ASSIGNMENT
For value received, the undersigned hereby sells,
assigns and transfers unto
the within Bond and does
hereby irrevocably constitute and appoint
attorney to transfer the Bond on the books kept for the
registration thereof, with full power of substitution in the
premises.
Dated:
Notice: The assignor's signature to this assignment
must correspond with the name as it appears
upon the face of the within Bond in every
particular, without alteration or any change
whatever.
Signature Guaranteed:
Signature(s) must be guaranteed by a national bank or trust
company or by a brokerage firm having a membership in one of the
major stock exchanges.
The Bond Registrar will not effect transfer of this Bond
unless the information concerning the transferee requested below
is provided.
Name and Address:
(Include information for all joint owners
if the Bond is held by joint account.)
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8. Execution; Temporary Bonds. The Bonds shall be
executed on behalf of the City by the signatures of its Mayor and
Administrator and be sealed with the seal of the City; provided,
however, that the seal of the City may be a printed facsimile;
and provided further that both of such signatures may be printed
facsimiles and the corporate seal may be omitted on the Bonds as
permitted by law. In the event of disability or resignation or
other absence of either such officer, the Bonds may be signed by
the manual or facsimile signature of that officer who may act on
behalf of such absent or disabled officer. In case either such
officer whose signature or facsimile of whose signature shall
appear on the Bonds shall cease to be such officer before the
delivery of the Bonds, such signature or facsimile shall
nevertheless be valid and sufficient for all purposes, the same
as if he or she had remained in office until delivery. The City
may elect to deliver, in lieu of printed definitive bonds, one or
more typewritten temporary bonds in substantially the form set
forth above, with such changes as may be necessary to reflect
more than one maturity in a single temporary bond. The temporary
bonds may executed with photocopied facsimile signatures of
the Mayor and Administrator. Such temporary bonds shall, upon
the printing of the definitive bonds and the execution thereof,
be exchanged therefor and cancelled.
9. Authentication. No Bond shall be valid or
obligatory for any purpose or be entitled to any security or
benefit under this resolution unless a Certificate of
Authentication on such Bond, substantially in the form
hereinabove set forth, shall have been duly executed by an
authorized representative of the Bond Registrar. Certificates of
Authentication on different Bonds need not be signed by the same
person. The Bond Registrar shall authenticate the signatures of
officers of the City on each Bond by execution of the Certificate
of Authentication on the Bond and by inserting the date of
authentication in the space provided, except that for purposes of
the Bonds delivered to the Purchaser, the Bond Registrar shall
insert as a date of authentication the date of original issue,
which date is September 1, 1992. The executed Certificate of
Authentication on each Bond shall be conclusive evidence that it
has been authenticated and delivered under this resolution.
10. Registration; Transfer; Exchange. The City will
cause to be kept at the principal office of the Bond Registrar a
bond register in which, subject to such reasonable regulations as
the Bond Registrar may prescribe, the Bond Registrar shall
provide for the registration of Bonds and the registration of
transfers of Bonds entitled to be registered or transferred as
herein provided..
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Upon surrender for transfer of any Bond at the
principal office of the Bond Registrar, the City shall execute
(if necessary), and the Bond Registrar shall authenticate, insert
the date of registration (as provided in paragraph 9) and
deliver, in the name of the designated transferee or transferees,
one or more new Bonds of any authorized denomination or
denominations of a like aggregate principal amount, having the
same stated maturity and interest rate, as requested by the
transferor; provided, however, that no bond may be registered in
blank or in the name of "bearer" or similar designation.
At the option of the holder, Bonds may be exchanged for
Bonds of any authorized denomination or denominations of a like
aggregate principal amount and stated maturity, upon surrender of
the Bonds to be exchanged at the principal office of the Bond
Registrar. Whenever any Bonds are so surrendered for exchange,
the City shall execute (if necessary), and the Bond Registrar
shall authenticate, insert the date of authentication of, and
deliver the Bonds which the holder making the exchange is
-entitled to receive.
All Bonds surrendered upon any exchange or transfer
provided for in this resolution shall be promptly cancelled by
the Bond Registrar and thereafter disposed of as directed by the
City.
All Bonds delivered in exchange for or upon transfer of
Bonds shall be valid general obligations of the City evidencing
the same debt, and entitled to the same benefits under this
resolution, as the Bonds surrendered for such exchange or
transfer.
Every Bond presented or surrendered for transfer or
exchange shall be duly endorsed or be accompanied by a written
instrument of transfer, in form satisfactory to the Bond
Registrar, duly executed by the holder thereof or his attorney
duly authorized in writing.
The Bond Registrar may require payment of a sum
sufficient to cover any tax or -other governmental charge payable
in connection with the transfer or exchange of any Bond and any
legal or unusual costs regarding transfers and lost Bonds.
Transfers shall also be subject to reasonable regula-
tions of the Issuer contained in any agreement with the Bond
Registrar, including regulations which permit the Bond Registrar
to close its transfer books between record dates and payment
dates.
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11. Rights Upon Transfer or Exchange. Each Bond
delivered upon transfer of or in exchange for or in lieu of any
other Bond shall carry all the rights to interest accrued and
unpaid, and to accrue, which were carried by such other Bond.
12. Interest Payment; Record Date. Interest on any
Bond shall be paid on each interest payment date by check or
draft mailed to the person in whose name the Bond is registered
(the "Holder") on the registration books of the City maintained
by the Bond Registrar and at the address appearing thereon at the
close of business on the fifteenth day of the calendar month next
preceding such interest payment date (the "Regular Record Date").
Any such interest not so timely paid shall cease to be payable to
the person who is the Holder thereof as of the Regular Record
Date, and shall be payable to the person who is the Holder
thereof at the close of business on a date (the "Special Record
Date") fixed by the Bond Registrar whenever money becomes
available for payment of the defaulted interest. Notice of the
Special Record Date shall be given by the Bond Registrar to the
Holders not less than ten (10) days prior to the Special Record
Date.
13. Treatment of Registered Owner. The City and Bond
Registrar may treat the person in whose name any Bond is
registered as the owner of such Bond for the purpose of receiving
payment of principal of and premium, if any, and interest
(subject to the payment provisions in paragraph 12 above) on,
such Bond and for all other purposes whatsoever whether or not
such Bond shall be overdue, and neither the City nor the Bond
Registrar shall be affected by notice to the contrary.
14. Delivery; Application of Proceeds. The Bonds when
so prepared and executed shall be delivered by the Administrator
to the Purchaser upon receipt of the purchase price, and the
Purchaser shall not be obliged to see to the proper application
thereof.
15. Fund and Accounts. There is hereby established a
special fund to be designated "General Obligation Storm Water
Revenue Bonds, Series 1992B Fund" (the "Fund") to be held and
administered by the City Finance Director separate and apart from
all other funds of the City. The Fund shall be maintained in the
manner herein specified until all of the Bonds and the interest
thereon have been fully paid. There shall be maintained in the
Fund two separate accounts to be designated the "Construction
Account" and the "Debt Service Account," respectively.
(i) Construction Account. To the
Construction Account there shall be credited the
proceeds of the sale of the Bonds, less accrued
interest received thereon, and less any amount paid for
the Bonds in excess of $1,506,700. From the
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Construction Account shall be paid all costs and
expenses of the Project, including the cost of con-
struction contracts heretofore let or to be let and all
other costs incurred and to be incurred of the kind
authorized in Minnesota Statutes, Section 475.65. Any
balance remaining in the fund after completion of the
costs shall be transferred to the Debt Service Account.
(ii) Debt Service Account. There is hereby
pledged and there shall be credited to the Debt Service
Account: (a) the net revenues of the storm water
system not otherwise pledged and applied to the payment
of other obligations of the City, in an amount,
together with other funds which may herein or hereafter
from time to timebeirrevocably appropriated to the
account sufficient to meet the requirements of
Minnesota Statutes, Section 475.61 for the payment of
the principal and interest of this issue; (b) all
accrued interest received upon delivery of the Bonds;
(c) all funds paid for the Bonds in excess of
$1,506,700; (d) all collections of taxes which may
hereafter be levied in the event that net revenues and
other funds herein pledged to the payment of the
principal and interest of the Bonds of this issue are
insufficient therefore; (e) all funds remaining in the
Construction Account after completion of the Project
and payment of the costs thereof; (f) all investment
earnings on funds held in the Debt Service Account; and
(g) any and all other moneys which are properly
available and are appropriated by the governing body of
the City to the Debt Service Account. The Debt Service
Account shall be used solely to pay the principal and
interest and any premiums for redemption of the Bonds
and any other general obligation bonds of the City
hereafter issued by the City and made payable from said
account as provided by law.
No portion of the proceeds of the Bonds shall be used
directly or indirectly to acquire higher yielding investments or
to replace funds which were used directly or indirectly to
acquire higher yielding investments, except (1) for a reasonable
temporary period until such proceeds are needed for the purpose
for which the Bonds were issued, and (2) in addition to the above
in an amount not greater than the lesser of five percent (5%) of
the proceeds of the Bonds or $100,000. To this effect, any
proceeds of the Bonds and any sums from time to time held in the
Construction Account or Debt Service Account (or any other City
account which will be used to pay principal or interest to become
due on the bonds payable therefrom) in excess of amounts which
under the applicable federal arbitrage regulations may be
invested without regard to yield shall not be invested at a yield
in excess of the applicable yield restrictions imposed by said
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arbitrage regulations on such investments after taking into
account any applicable "temporary periods" or "minor portion"
made available under the federal arbitrage regulations. Money in
the Fund shall not be invested in obligations or deposits issued
by, guaranteed by or insured by the United States or any agency
or instrumentality thereof if and to the extent that such
investment would cause the Bonds to be "federally guaranteed"
within the meaning of Section 149(b) of the federal Internal
Revenue Code of 1986, as amended (the "Code").
16. Sufficiency of Net Revenues. It is hereby found,
determined and declared that the net revenues of the storm water
utility are sufficient in amount to pay when due the principal of
and interest on the Bonds herein authorized, and the net revenues
of the storm water utility are hereby pledged for the payment of
the Bonds and shall be applied for that purpose, but solely to
the extent required to meet the principal and interest
requirements of this issue as the same become due. Excess net
revenues may be used for any proper purpose. Nothing contained
herein shall be deemed to preclude the City from making further
pledges and appropriations of the net revenues of the storm water
utility for the payment of other or additional obligations of the
City, provided that it has first been determined by the City
Council that the estimated net revenues of the storm water
utility will be sufficient in addition to all other sources, for
the payment of the Bonds herein authorized, and such additional
obligations and any such pledge and appropriation of the net
revenues may be made superior or subordinate to, or on a parity
with the pledge and appropriation herein.
17. Covenant to Maintain Rates and Charges. In
accordance with Minnesota Statutes, Section 444.075, the City
hereby covenants and agrees with the holders of the Bonds that it
will impose and collect charges for the service, use,
availability and connection to the storm water utility at the
times and in the amounts required to produce net revenues
adequate to pay all principal and interest when due on the Bonds.
18. General Obligation Pledge. For the prompt and
full payment of the principal and interest on the Bonds, as the
same respectively become due, the full faith, credit and taxing
powers of the City shall be and are irrevocably pledged. If the
net revenues of the storm water utility appropriated and pledged
to the payment of principal and interest on the Bonds, together
with other funds irrevocably appropriated to the Debt Service
Account herein established, shall at any time be insufficient to
pay such principal and interest when due, the City covenants and
agrees to levy, without limitation as to rate or amount an ad
valorem tax upon all taxable property in the City sufficient to
pay such principal and interest as it becomes due. If the
balance in the Debt Service Account is ever insufficient to pay
all principal and interest then due on the Bonds payable
221940
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therefrom, the deficiency shall be promptly paid out of any other
accounts of the City which are available for such purpose, and
such other funds may be reimbursed without interest from the Debt
Service Account when a sufficient balance is available therein.
19. Coverage Test. The net revenues are such that if
collected in full they, together with all other funds herein
pledged for the payment of the Bonds, will produce at least five
percent (5%) in excess of -the amount needed to meet when due the
principal and interest payments on the Bonds.
20. Certificate of Registration. The City
Administrator is hereby directed to file a certified copy of this
resolution with the County Auditor of Dakota County, Minnesota,
together with such other information as he or she shall require,
and to obtain the Auditor's certificate that the Bonds have been
entered in the Auditor's Bond Register.
21. Records and Certificates. The officers of the
City are hereby authorized and directed to prepare and furnish to
the Purchaser, and toIthe attorneys approving the legality of the
issuance, certified copies of all proceedings and records of the
City relating to the Bonds and to the financial condition and
affairs of the City, and such other affidavits, certificates and
information as are required to show the facts relating to the
legality and marketability of the Bonds as the same appear from
the books and records under their custody and control or as
otherwise known to them, and all such certified copies,
certificates and affidavits, including any heretofore furnished,
shall be deemed representations of the City as to the facts
recited therein.
22. Negative Covenant as to Use of Project. The City
hereby covenants not to use the Project or to cause or permit
them to be used, or to enter into any deferred payment
arrangements for the cost of the Project, in such a manner as to
cause the Bonds to be "private activity bonds" within the meaning
of Sections 103 and 141 through 150 of the Code.
23. Tax -Exempt Status of the Bonds; Rebate. The City
shall comply with requirements necessary under the Code to
establish and maintain the exclusion from gross income under
Section 103 of the Code of the interest on the Bonds, including
without limitation (1) requirements relating to temporary periods
for investments, (2) limitations on amounts invested at a yield
greater than the yield on the Bonds, and (3) the rebate of excess
investment earnings to the United States if the Bonds (together
with other obligations reasonably expected to be issued and
outstanding at onetime in this calendar year) exceed the
small -issuer exception amount of $5,000,000.
221940
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For purposes of qualifying for the exception to the
federal arbitrage rebate requirements for governmental units
issuing $5,000,000 or less of bonds, the City hereby finds,
determines and declares that (1) the Bonds are issued by a
governmental unit with general taxing powers, (2) no Bond is a
private activity bond, (3) ninety-five percent (95%) or more of
the net proceeds of the Bonds are to be used for local
governmental activities of the City (or of a governmental unit
the jurisdiction of which is entirely within the jurisdiction of
the City), and (4) the aggregate face amount of all tax-exempt
bonds (other than private activity bonds) issued by the City (and
all subordinate entities thereof, and all entities treated as one
issuer with the City) during the calendar year in which the Bonds
are issued and outstanding at one time is not reasonably expected
to exceed $5,000,000, all within the meaning of Section
148(f) (4) (D) of the Code.
24. Designation of Qualified Tax -Exempt Obligations.
In order to qualify the Bonds as "qualified tax-exempt
obligations" within the meaning of Section 265(b)(3) of the Code,
the City hereby makes the following factual statements and
representations:
(a) the Bonds are issued after August 7, 1986;
(b) the Bonds are not "private activity bonds" as
defined in Section 141 of the Code;
(c) the City hereby designates the Bonds as
"qualified tax-exempt obligations" for purposes of Section
265(b)(3) of the Code;
(d) the reasonably anticipated amount of
tax-exempt obligations (other than private activity bonds,
treating qualified 501(c)(3) bonds as not being private
activity bonds) which will be issued by the City (and all
entities subordinate to the City, and all issuers treated as
one issuer with the City) during this calendar year 1992
will not exceed $10,000,000; and
(e) not more than $10,000,000 of obligations
issued by the City during this calendar year 1992 have been
designated for purposes of Section 265(b)(3) of the Code.
The City shall use its best efforts to comply with
procedural requirements which may apply in order to
the designation made by this paragraph.
221940
19
any federal
effectuate
25. Defeasance. When all Bonds have been discharged
as provided in this paragraph, all pledges, covenants and other
rights granted by this resolution to the registered holders of
the Bonds shall, to the extent permitted by law, cease. The City
may discharge its obligations with respect to any Bonds which are
due on any date by irrevocably depositing with the Bond Registrar
on or before that date a sum sufficient for the payment thereof
in full; or if any Bond should not be paid when due, it may
nevertheless be discharged by depositing with the Bond Registrar
a sum sufficient for the payment thereof in full with interest
accrued to the date of such deposit. The City may also discharge
its obligations with respect to any prepayable Bonds called for
redemption on any date when they are prepayable according to
their terms, by depositing with the Bond Registrar on or before
that date a sum sufficient for the payment thereof in full,
provided that notice of redemption hereof has been duly given.
The City may also at any time discharge its obligations with
respect to any Bonds, subject to the provisions of law now or
hereafter authorizing and regulating such action, by depositing
irrevocably in escrow, with a -suitable banking institution
qualified by law as an escrow agent for this purpose, cash or
securities described in Minnesota Statutes, Section 475.67,
Subdivision 8, bearing interest payable at such times and at such
rates and maturing on such dates as shall be required, subject to
sale and/or reinvestment, to pay all amounts to become due
thereon to maturity or, if notice of redemption as herein
required has been duly provided for, to such earlier redemption
date.
26. Compliance with Reimbursement Bond Regulations.
The provisions hereof are intended to establish and provide for
the City's compliance with United States Treasury Regulations
Section 1.103-18 (the "Reimbursement Regulations") applicable to
the "reimbursement proceeds" of the Bonds, being those portions
thereof which will be used by the City to reimburse itself for
any expenditure which the City paid or will have paid prior to
the issuance of the Bonds (an "Expenditure").
The City hereby certifies and/or covenants as follows:
(a) On or before the date of payment of each
Expenditure, the City (or person designated to do
so on behalf of the City) made or will have made a
written declaration of the City's official intent
(a "Declaration") which effectively (i) states the
City's intention and reasonable expectation to
reimburse itself for the payment of the
Expenditure out of the proceeds of a subsequent
borrowing; (ii) gives a general and functional
description of the property, project or program to
which the Declaration relates and/or identifies a
specific fund or account of the City and the
221940
20
general functional purpose thereof from which the
Expenditure was to be paid (collectively the
"Project"); (iii) states the maximum principal
amount of debt expected to be issued by the City
for the purpose of financing the Project; and (iv)
states specifically that the Declaration is a
declaration of official intent under Treasury
Regulations Section 1.103-18; provided, however,
that no such Declaration shall necessarily have
been made with respect to "preliminary
expenditures" for the Project, defined in the
Reimbursement Regulations to include engineering
or architectural expenses and similar prefatory
expenses, which in the aggregate do not exceed 20%
of the "issue price" of the Bonds.
(b) Notwithstanding the foregoing provisions of
paragraph (a) above, with respect to Expenditures
made by the City prior to March 2, 1992, the City
hereby represents that there exists objective
evidence, within the meaning of the Reimbursement
Regulations, thatatthe time the Expenditure was
paid the City expected to reimburse the cost
thereof with the proceeds of a borrowing.
(c) As of the date of each Declaration, there were not
and were not thereafter expected to become
available sources of City funds which were or were
expected to be dedicated or otherwise available on
a long-term basis to provide financing for the
Expenditure or Project.
(d) Each Declaration was made a part of the publicly
available official books, records or proceedings
of the City and was continuously available for
inspection by the general public at the City Hall
during regular City hours beginning not later than
30 days after the making of the Declaration and
continuing through the date of issuance of the
Bonds, as required by the Reimbursement
Regulations.
(e) Each Expenditure, other than the costs of issuing
the Bonds, is a capital expenditure, that is, a
cost of a type that is properly chargeable to a
capital account (or would be with a proper
election) under general federal income tax
principles.
221940
21
(f) The "reimbursement allocation" described in the
Reimbursement Regulations for each Expenditure
shall and will be made forthwith following (but
not prior to) the issuance of the Bonds and in all
events within the period ending on the date which
is the later of one year after payment of the
Expenditure or one year after the date on which
the Project to which the Expenditure relates is
first placed in service.
(g) Each such reimbursement allocation will be
evidenced by an entry on the official books or
records of the City maintained for and in
connection with the Bonds and will specifically
identify the actual prior Expenditure or Project
or, in the case of the reimbursement of a
particular fund or account described in the
applicable Declaration, the fund or account from
which the Expenditure was paid.
(h) The City is unaware of any facts or circumstances
which would cause it to question the reasonability
or accuracy of the content of this paragraph or of
any of the Declarations, or its compliance with
any, of the covenants herein or therein, including
without limitation the City's failure to issue
qualifying reimbursement bonds for costs for which
it has made declarations of official intent,
absent extraordinary and unforeseeable
circumstances of the kind described in the
Reimbursement Regulations.
27. Severability. If any section, paragraph or
provision of this resolution shall be held to be invalid or
unenforceable for any reason, the invalidity or unenforceability
of such section, paragraph or provision shall not affect any of
the remaining provisions of this resolution.
28. Headings. Headings in this resolution are
included for convenience of reference only and are not a part
hereof, -and shall not limit or define the meaning of any
provision hereof.
221940
22
The motion for the adoption of the foregoing resolution
was duly seconded by member and, after a full
discussion thereof and upon vote being taken thereon, the
following voted in favor thereof:
and the following voted against the same:
Whereupon said resolution was declared duly passed and
adopted.
221940
23
STATE OF MINNESOTA
COUNTY OF DAKOTA
CITY OF ROSEMOUNT
I, the undersigned, being the duly qualified and acting
Clerk of the City of Rosemount, Minnesota, DO HEREBY CERTIFY that
I have compared the attached and foregoing extract of minutes
with the original thereof on file in my office, and that the same
is a full, true and complete transcript of the minutes of a
meeting of the City Council of said City, duly called and held on
the date therein indicated, insofar as such minutes relate to
considering of offers for and awarding the sale of, $1,525,000
General Obligation Storm Water Revenue Bonds, Series 1992B of
said City.
WITNESS my hand this day of , 1992.
Clerk
221940
24
PF
SPR 1 N G ST E D
222 South Ninth Street
Interest
Suite
True Interest
PUBLIC FINANCE ADVISORS
Minneapolis, MN 55 55402-3368
Price Cost
Rate
(612) 333-9177
3.35%
Fax: (612) 333-2363
Home Office
5.3957%
85 East Seventh Place
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
Miller, Johnson & Kuehn, Inc.
6800 College Boulevard
1997
Suite 600
Overland Park, KS 66211-1533
4.50%
(913) 345-8062
Fax: (913) 345-1770
1800 K Street NW
1999
Suite 831
Washington, DC 20006-2200
4.90%
(202) 466.3344
$1,525,000
Fax: (202) 223-1362
CITY OF ROSEMOUNT, MINNESOTA
5.00%
GENERAL OBLIGATION STORM WATER REVENUE
BONDS, SERIES 19928
AWARD: FBS INVESTMENT SERVICES, INC.
NORWEST INVESTMENT SERVICES, INCORPORATED
And Associate
SALE: August 4, 1992 Moody's Rating: A
Interest
Net Interest
True Interest
Bidder
Rates
Price Cost
Rate
FBS INVESTMENT SERVICES, INC.
3.35%
1994
$1,511,275.00 $798,493.75
5.3957%
NORWEST INVESTMENT SERVICES,
3.75%
1995
INCORPORATED
4.00%
1996
Miller, Johnson & Kuehn, Inc.
4.25%
1997
4.50%
1998
4.70%
1999
4.90%
2000
5.00%
2001
5.10%
2002
5.25%
2003
5.40%
2004
5.50%
2005
5.60%
2006
5.70%
2007
5.75%
2008
DEAN WITTER REYNOLDS INCORPORATED
3.50%
1994
$1,506,801.05 $802,184.37
5.4328%
LEHMAN BROTHERS
3.90%
1995
PAINEWEBBER INCORPORATED
4.10%
1996
4.30%
1997
4.50%
1998
4.70%
1999
4.85%
2000
5.00%
2001
5.10%
2002
5.25%
2003
5.40%
2004
5.50%
2005
5.60%
2006
5.70%
2007-2008
(Continued)
These Bonds are being reoffered at par.
BBI: 5.89
Average Maturity: 9.68 Years
Interest
Net Interest True Interest
Bidder
Rates
Price Cost Rate
DAIN BOSWORTH INCORPORATED
4.20%
1994-1996
$1,507,129.25 $805,699.71 5..4633%
4.40%
1997
4.70%
1998
4.90%
1999
5.00%
2000
5.10%
2001
5.20%
2002
5.30%
2003
5.40%
2004
5.50%
2005
5.60%
2006
5.625%
2007-2008
CRONIN & COMPANY, INCORPORATED
3.40%
1994
$1,508,225.00 $807,660.83 5.4674%
SMITH BARNEY, HARRIS UPHAM &
3.90%
1995
COMPANY INCORPORATED
4.10%
1996
MARQUETTE BANK MINNEAPOLIS, N.A.
4.30%
1997
4.60%
1998
4.80%
1999
5.00%
2000
5.10%
2001
5.20%
2002
5.30%
2003
5.40%
2004
5.50%
2005
5.60%
2006
5.70%
2007
5.80%
2008
PIPER JAFFRAY, INC.
3.50%
1994
$1,508,987.50 $808,670.42 5.4698%
Craig-Hailum, Incorporated
3.65%
1995
Dougherty, Dawkins, Strand &
4.00%
1996
Bigelow, Incorporated
4.25%
1997
John G. Kinnard & Company Incorporated
4.50%
1998
Moore, Juran and Company, Incorporated
4.75%
1999
4.95%
2000
5.10%
2001
5.20%
2002
5.30%
2003
5.50%
2004
5.60%
2005
5.65%
2006
5.75%
2007-2008
AMERICAN NATIONAL BANK SAINT PAUL
4.25%
1994-1996
$1,506,700.00 $813,453.96 5.5110%
JURAN & MOODY, INCORPORATED
4.35%
1997
PARK INVESTMENT CORPORATION
4.55%
1998
4.75%
1999
5.00%
2000
5.10%
2001
5.20%
2002
5.30%
2003
5.45%
2004
5.55%
2005
5.65%
2006
5.75%
2007
5.80%
2008
These Bonds are being reoffered at par.
BBI: 5.89
Average Maturity: 9.68 Years