HomeMy WebLinkAbout5.a. G.O. Improvement Bonds 1991B - Accept Bids & Award SaleEXECUTIVE SUMMARY.FOR ACTION
CITY COUNCIL MEETING DATE: November 19, 1991
AGENDA ITEM: G.O. Improvement Bonds,
AGENDA SECTION:
Series 1991E - Accept Bids and Award Sale
Old Business
PREPARED BY:
AGENDA ffEM #
Jeff May, Finance Director
ATTACHMENTS:
APP LVED
Official Statement, Draft Resolution
At 12:00 P.M., Tuesday, November 19, 1991, sealed bids for G.O.
Improvement Bonds, Series 1991B will be opened and the results
tabulated at the .offices of Springsted Inc. Dan O'Neil, from
Springsted, will be present at the November 19, 1991 council
meeting to give Springsted's recommendation for the issuance of
these bonds and to answer any questions that you may have.
You will receive a copy of the final resolution and other
information regarding the bond sale at the meeting, November 19,
1991.
RECOMMENDED ACTION:
Motion to adopt a RESOLUTION ACCEPTING BID ON SALE OF $265,000 GENERAL
OBLIGATION IMPROVEMENT BONDS, SERIES 1991B AND PROVIDING FOR THEIR
ISSUANCE.
COUNCIL ACTION:
PROPOSED FORM OF LEGAL OPINIONS APPENDIX I
LAW OFFICES
BRIGGS AND MORGAN
PROFESSIONAL ASSOCIATION
2200 FIRST NATIONAL BANS BUIL 3INO
SAINT PAUL, MINNESOTA 66101
TELEPHONE 18121 223-6600
FACSIMILE (612) 223-6460
MINNEAPOLIS OFFICE
8400 IDS CENTER
W82TEIt'S DIRECT DIAL NUMBER TELEPHONE
MINNESOTA 66408
TELEPHONE 16121 334-6400
- ':..FACSIMILE (612).034-81650
` $265,000
GENERAL OBLIGATION IMPROVEMENT BONDS,
SERIES 1991E
CITY OF ROSEMOUNT
DAKOTA COUNTY
MINNESOTA
We have acted as bond counsel in connection with the
issuance by the City of Rosemount, Dakota County, Minnesota (the
"Issuer"), of its $265,000 General Obligation Improvement Bonds,
Series 1991B, bearing a date of original issue of December 1,
1991 (the "Bonds"). We have examined the law and such certified
proceedings and other documents as we deem necessary to render
this opinion.
We have not been engaged or undertaken to review the
accuracy, completeness or sufficiency of the Official Statement
or other offering material relating to the Bonds, and we express
no opinion relating thereto.
As to questions of fast material to our opinion, we
have relied upon the certified proceedings and other
certifications of public officials furnished to us without
undertaking to verify the same by independent investigation.
Based upon such examinations, and assuming the
authenticity of all documents submitted to us as originals, the
conformity to original documents of all documents submitted to us
i-1
BRIGGS AND MORGAN
as certified or photostatic copies and the authenticity of the
- originals of such documents, and the accuracy of the statements
of fact contained in such documents, and based upon present
Minnesota and federal laws (which excludes any pending
legislation which may have a retroactive effect on or before the
date hereof), regulations, rulings and decisions, it is our
opinion that:
(1) The proceedings show lawful authority for the issuance
of the Bonds according to their terms under the Constitution and
laws of the State of Minnesota now in force.
(2) The Bonds are valid and binding general obligations of
the Issuer and all of the taxable property within the Issuer's
jurisdiction is subject to the levy of an ad valorem tax to -pay
the same without limitation as to rate or amount; provided that
the enforceability (but not the validity) of the Bonds and the
pledge of taxes for the payment of the principal and interest
thereon is subject to the exercise of judicial discretion in
accordance with general principles of equity, to the
constitutional powers of the United States of America and to
bankruptcy, insolvency, reorganization, moratorium and other
similar laws affecting creditors' rights heretofore or hereafter
enacted.
(3) At the time of the issuance and delivery of the Bonds
to the original purchaser, the interest on the Bonds is excluded
from gross income for United States income tax purposes and is
excluded, to the same extent, from both gross income and net
taxable income for State of Minnesota income tax purposes (other
than Minnesota franchise taxes measured by income and imposed on
corporations and financial institutions), and is not an item of
tax preference for purposes of the federal alternative minimum
tax imposed on individuals and corporations or the Minnesota
alternative minimum tax applicable to individuals, estates or
trusts; it should be noted, however, that for the purpose of
computing the federal alternative minimum tax imposed on
corporations, such interest is taken into account in determining
adjusted current earnings. The opinions set forth in the
preceding sentence are subject to the condition that the Issuer
comply with all requirements of the Internal Revenue Code,of
1986, as amended, that must be satisfied subsequent to the
issuance of the Bonds in order that interest thereon be, or
continue to be, excluded from gross income for federal income tax
purposes and from both gross income and net taxable income for
State of Minnesota income tax purposes. Failure to comply with
certain of such requirements may cause the inclusion of interest
on the Bonds in gross income and net taxable income retroactive
to the date of issuance of the Bonds.
i
BRIGGS r,xn MORGAN
_ We express no opinion regarding other state or federal tax
consequences caused by the receipt or accrual of interest on the
Bonds or arising with respect to ownership of the Bonds.
Dated at Saint Paul, Minnesota, this day of December,
1991.
Professional Association
EXTRACT OF MINUTES OF A MEETING OF THE
CITY COUNCIL OF THE CITY OF
ROSEMOUNT, MINNESOTA
HELD: November 19, 1991
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 19th day of November, 1991, at
7:30 P.M., for the purpose, in part, of considering offers for,
and awarding the sale of, $265,000 General Obligation Improvement
Bonds, Series 1991B 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 THE
SALE OF $265,000 GENERAL OBLIGATION IMPROVEMENT
BONDS, SERIES 1991B, AND PROVIDING FOR THEIR ISSUANCE
A. WHEREAS, the City Council of the City of Rosemount,
Minnesota (the "City"), has heretofore determined and declared
that it is necessary and expedient to issue $265,000 General
Obligation Improvement Bonds, Series 1991E of the City, pursuant
to Minnesota Statutes, Chapters 429 and 475, to finance the
construction of various public improvement projects within the
City (the "Improvements"); and
B. WHEREAS, the Improvements and all their component
parts have beenordered_prior to the date hereof, after a hearing
thereon for which notice was given describing the Improvements or
all their components by general nature, estimated cost, and area
to be assessed; and
C. WHEREAS, the City has retained Springsted
Incorporated, as independent financial advisor to submit offers
for the sale of the Bonds, and offers to purchase the Bonds were
received, opened and tabulated at 12:00 noon of this same day at
the office of Springsted Incorporated;
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NOW, THEREFORE, BE IT RESOLVED by the City Council of
the City of Rosemount, Minnesota, as follows:
1. Acce2tance of Offer. The offer of
(the "Purchaser"),
to purchase $265,000 General Obligation Improvement Bonds, Series
1991B of the City (the "Bonds", or individually a "Bond"), in
accordance with the terms established for the Bonds, 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 the purchaser. The Administrator is directed to retain the
deposit of the purchaser and to forthwith return to the others
making offers their good faith checks or drafts.
2. Title; Original Issue Date: Denominations:
Maturities. The Bonds shall be titled "General Obligation
Improvement Bonds, Series 1991B11, shall be dated December 1,
1991, 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 1 in the years and amounts as follows:
Year
Amount
Year
Amount
1994
$30,000
1999
$25,000
1995
30,000
2000
25,000
1996
30,000
2001
25,000
1997
25,000
2002
25,000
1998
25,000
2003
25,000
3. Purpose. The Bonds shall provide funds to finance
the construction of various public improvements in the City (the
"Improvements"). The total cost of the Improvements, 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 Improvements shall proceed with due diligence
to completion. The City covenants that it shall do all things
and perform all acts required of it to assure that work on the
Improvements proceeds with due diligence to completion and that
any and all permits and studies required under law for the
Improvements are obtained.
4. Interest. The Bonds shall bear interest payable
semiannually on February 1 and August 1 of each year (each, an.
"Interest Payment Date"), commencing August 1, 1992, calculated
on the basis of a 360 -day year of twelve 30 -day months, at the
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respective rates per annum set forth opposite the maturity years
as follows:
Maturity Interest Maturity Interest
Year Rate Year Rate
1994 $ 1999 $
1995 2000
1996 2001
1997 2002
1998 2003
5. Redemption. All Bonds maturing in the years
2000 to 2003, shall be subject to redemption and prepayment at
the option of the City on February 1, 1999, 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 City shall determine the order of
Bonds to be prepaid; 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 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
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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.
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 holders) 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, 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 -
INTEREST
RATE
REGISTERED OWNER:
PRINCIPAL AMOUNT:
UNITED STATES OF AMERICA
STATE OF MINNESOTA
DAKOTA COUNTY
CITY OF ROSEMOUNT
GENERAL OBLIGATION IMPROVEMENT
BOND, SERIES 1991E
MATURITY DATE OF
DATE ORIGINAL ISSUE
December 1, 1991
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 l and August 1 of each year (each, an "Interest Payment
Date"), commencing August 1, 1992, 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
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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
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.
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, 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.
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 City Administrator, the corporate seal of the Issuer
having been intentionally omitted as permitted by law.
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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
/sj Facsimile
Mayor
/s/ Facsimile
Administrator
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ON REVERSE OF BOND
Redemption. All Bonds of this issue (the "Bonds")
maturing in the years 2000 to 2003, are subject to redemption and
prepayment at the option of the Issuer on February 1, 1999, and
on any date thereafter at a price of par plus accrued interest.
Redemption may in whole or in part of the Bonds subject to
prepayment. If redemption is in part, the City shall determine
the order of Bonds to be prepaid; 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 Bond Registrar so requires, a written instrument of transfer
in form satisfactory to the Issuer and 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: Pur2ose: General __Obligation. This Bond is
one of an issue in the total principal amount of $265,000, 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 of the
Issuer on November 19, 1991 (the "Resolution"), for the purpose
of providing money to finance the construction of various public
improvement projects within the jurisdiction of the Issuer. This
Bond is payable out of the General Obligation Improvement Bonds,
Series 1991E Fund of the Issuer. This Bond constitutes a general
obligation of the Issuer, and to provide moneys for the prompt
and full payment of its 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 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.
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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
payment as herein provided (except as otherwise provided on the
reverse side hereof with respect to the Record Date)andfor 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.
Authentication. 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.
oualified Tax -Exempt Obligation. This Bond has been
designated by the Issuer as a "qualified tax-exempt obligation"
for purposes of Section 265(b)(3) of the Internal Revenue Code of
1986, as amended.
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
(Gust) (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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s. 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. Such
temporary bonds may be 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 as the date of
registration in the space provided the date on which the Bond is
authenticated, except that for purposes of delivering the
original Bonds to the Purchaser, the Bond Registrar shall insert
as a date of registration the date of original issue, which date
is December 1, 1991. The Certificate of Authentication so
executed 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) of, 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 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 registration 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, her or its.
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
regulations of the City 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. The Administrator is hereby authorized to negotiate and
execute the terms of said agreement.
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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 carryall 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 (15th) 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 created a
special fund to be designated the "General obligation Improvement
Bonds, Series 1991B Fund" (the "Fund") to be administered and
maintained by the Finance Director as a bookkeeping account
separate and apart from all other funds maintained in the
official financial records 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 (2) separate accounts, to be
designated the "Construction Account" and "Debt Service Account",
respectively.
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14
(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
aidfor the Bonds in excess of $261,555, and less capitalized
interest in the amount of $ (together with interest
earnings thereon and subject to such other adjustments as are
appropriate to provide sufficient funds to pay interest due on
the Bonds on or before February 1, 1993), plus any special
assessments levied with respect to the Improvements and collected
prior to completion of the Improvements and payment of the costs
thereof. From the Construction Account there shall be paid all
costs and expenses of making the Improvements listed in paragraph
16, including the cost of any construction contracts heretofore
let and all other costs incurred and to be incurred of the kind
authorized in Minnesota Statutes, Section 475.65; and the moneys
in said account shall be used for no other purpose except as
otherwise provided by law; provided that the proceeds of the
Bonds may also be used to the extent necessary to pay interest on
the Bonds due prior to the anticipated date of commencement of
the collection of special assessments herein covenanted to be
levied; and provided further that if upon completion of the
Improvements there shall remain any unexpended balance in the
Construction Account, the balance (other than any special
assessments) may be transferred by the Council to the fund of any
other improvement instituted pursuant to Minnesota Statutes,
Chapter 429, and provided further that any special assessments
credited to the Construction Account shall only be applied
towards payment of the costs of the Improvements upon adoption of
a resolution by the City Council determining that the application
of the special assessments for such purpose will not cause the
City to no longer be in compliance with Minnesota Statutes,
Section 475.61, Subdivision 1.
(ii) Debt Service Account. There are hereby irrevocably
appropriated and pledged to, and there shall be credited to, the
Debt Service Account: (a) all collections of special assessments
herein covenanted to be levied with respect to the Improvements
and either initially credited to the Construction Account and not
already spent as permitted above and required to pay any
principal and interest due on the Bonds or collected subsequent
to the completion of the Improvements and payment of the costs
thereof; (b) all accrued interest received upon delivery of the
Bonds; (c) all funds paid for the Bonds in excess of $261,555;
(d) capitalized interest in the amount of $ (together with
interest earnings thereon and subject to such other adjustments
as are appropriate to provide sufficient funds to pay interest
due on the Bonds on or before February 1, 1993); (e) any
collections of taxes which may hereafter be levied for the
payment of the Bonds and interest thereon in the event the sums
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15
herein pledged to the payment thereof are insufficient; (f) all
funds remaining in the Construction Account after completion of
the Improvements and payment of the costs thereof, not so
transferred to the account of another improvement; (g) all
investment earnings on funds held in the Debt Service Account;
and (h) 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
special assessments against benefited properties are also pledged
to the Debt Service Account, in excess of amounts which under
then -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
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 Internal Revenue Code
of 1986, as amended (the "Code").
16. Assessments. It is hereby determined that no less
than one hundred percent (100%) of the cost to the City of each
Improvement financed hereunder within the meaning of Minnesota
Statutes, Section 475.58, Subdivision 1(3), shall be paid by
special assessments to be heretofore levied against every
assessable lot, piece and parcel of land benefited by any of the
Improvements. The City hereby covenants and agrees that it will
let all construction contracts not heretofore let within one (1)
year after ordering each Improvement financed hereunder unless
the resolution ordering the Improvement specifies a different
time limit for the letting of construction contracts. The City
hereby further covenants and agrees that it will do and perform
as soon as they may be done all acts and things necessary for the
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16
final and valid levy of such special assessments, and in the
event that any such assessment be at any time held invalid with
respect to any lot, piece or parcel of land due to any error,
defect, or irregularity in any action or proceedings taken or to
be taken by the City or the City Council or any of the City
officers or employees, either in the making of the assessments or
in the performance of any condition precedent thereto, the City
and the City Council will forthwith do all further acts and take
all further proceedings as may be required by law to make the
assessments a valid and binding lien upon such property. It is
hereby determined that the assessments shall be payable in equal,
consecutive, annual installments, with general taxes for the
years shown below and with interest on the declining balance of
all such assessments at a rate per annum not greater than the
maximum permitted by law and not less than % per annum:
Improvement Collection
Designation Amount Levy Years Years
County Hills
4th Addition $262,085 1992-2001 1993-2002
At the time the assessments are in fact levied the City
Council shall, based on the then -current estimated collections of
the assessments, make any adjustments in any ad valorem taxes
required to be levied in order to assure that the City continues
to be in compliance with Minnesota Statutes, Section 475.61,
Subdivision 1.
17. 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 hereby irrevocably pledged.
If the balance in the Debt Service Account is ever insufficient
to pay all principal and interest then due on the Bonds and any
other bonds payable therefrom, the deficiency shall be promptly
paid out of any other funds of the City which are available for
such purpose, and such other funds may be reimbursed with or
without interest from the Debt Service Account when a sufficient
balance is available therein.
18. Certificate of Registration. The 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 County Auditor's certificate that the Bonds have been entered
in the County Auditor's Bond Register.
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17
19. Records and Certificates. The officers of the
City are hereby authorized and directed to prepare and furnish to
the Purchaser, and to the attorneys approving the legality of the
issuance of the Bonds, 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.
20. 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 thereof 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.
21. Negative Covenant as to Use of Proceeds and
Improvements. The City hereby covenants not to use the proceeds
of the Bonds or to use the Improvements, or to cause or permit
them to be used, or to enter into any deferred payment
arrangements for the cost of the Improvements, in such a manner
23850
18
as to cause the Bonds to be "private activity bonds" within the
meaning of Sections 103 and 141 through 150 of the Code.
22. 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 one time in this calendar year) exceed the
small -issuer exception amount of $5,000,000.
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.
23. 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
23850
19
bonds, treating qualified 501(c)(3) bonds as not being
private activity bonds) which will be issued by the
City (and all entities treated as one issuer with the
City, and all subordinate entities whose obligations
are treated as issued by the City) during this calendar
year 1991 will not exceed $10,000,000; and
(e) not more than $10,000,000 of obligations
issued by the City during this calendar year 1991 have
been designated for purposes of Section 265(b)(3) of
the Code.
The City shall use its best efforts to comply with any federal
procedural requirements which may apply in order to effectuate
the designation made by this paragraph.
24. 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.
25. 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.
The motion for the adoption of the foregoing resolution
was duly seconded by member and, after a full
discussion thereof and upon a 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.
23850
20
STATE OF MINNESOTA
COUNTY OF DAKOTA
CITY OF ROSEMOUNT
I, the undersigned, beinq 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 oriqinal 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 bids for, and awarding the sale of, $265,000 General
Obligation Improvement Bonds, Series 1991B of said City.
WITNESS my hand this day of , 1991.
Clerk
23850
21
OFFICIAL STATEMENT DATED NOVEMBER 5, 1991
Rating: Requested from Moody's
NEW ISSUES investors Service
In the opinion of Briggs and Morgan, Professional Association, Bond Counsel, based on present federal and Minnesota laws, regulations, rulings and
decisions, at the time of their issuance and delivery to the original purchaser, interest on the Obligations is excluded from gross Income for purposes of
United States income tax and is excluded to the same extent, in computing both gross and net taxable income for purposes of State of Minnesota
Income tax (other than Minnesota trenc91se taxes measured by income and imposed on corporations and flnancfal institutions). Interest on the
Obligations k not an item of tax pre/erence /w purposes of the alternative minimum tax Imposed on individuals and corporations; however, interest on
tire Obligations is taken intres.00
cunt for th purpose of determining adL'usted current eam/nggrrs for purposes of computing the federal alternative
minimum tax imposed on cretions. No o��nlon will be expressed by Bond Counsel regardfng other state or federal tax consequences
caused by
I
receipt or accrual of int n theObligations or arising with respect to ownership of the Obi/gations. See 'TAX EXEMPTIOM,and 'OTHERFEDERAL TAX CONSIDERAherein.
City of Rosemount, Minnesota
$265,000
General Obligation Improvement Bonds, Series 1991 B
(the'Improvement Bonds
$210,000
General Obligation Equipment Certificates
of Indebtedness, Series 1991C
(the "Equipment Certificates")
(collectively referred to as the'Obligations' or the'Issues
Dated Date: December 1, 1991 Interest Due: As shown below
The Improvement Bonds will mature February 1 as follows:
1994 $30,000 1998 $25,000 2001 $25,000
1995 $30,000 1999 $25,000 2002 $25,000
1996 $30,000 2000 $25,000 2003 $25,000
1997 $25,000
Interest will be payable on February 1 and August 1 of each year, commencing August 1, 1992.
The Equipment Certificates will mature December 1 as follows:
1992 $40,000 1994 $40,000 1996 $45,000
1993 $40,000 1995 $45,000
Interest will be payable on June 1 and December 1 of each year, commencing December 1, 1992.
The City may elect on February 1, 1999, and on any day thereafter, to prepay the Improvement Bonds due on or after February 1, 2000
at a price of par and accrued interest. The Equipment Certificates will not be subject to payment in advance of their respective stated
maturity dates.
The Obligations will be general obligations of the City for which the City pledges its full faith and credit and power to levy direct general
ad valorem taxes. Additional pledged sources of security are described herein.
A separate offer, for not less than the amount shown below, must be submitted for each Issue, along with a good faith deposit in the
form of a certified or cashier's check or a Financial Surety Bond, payable to the order of the City. Interest rates must be in integral
multiples of 5/100 or 1/8 of 1%. Rates must be in ascending order.
Minimum Price Good Faith Deposit
The Improvement Bonds $261,555 $2,650
The Equipment Certificates $208,320 $2,100
The Obligations will be bank -qualified tax-exempt obligations pursuant to Section 265(b)(3) of the Internal Revenue Code of 1986, as
amended, and will not be subject to the alternative minimum tax for individuals.
The Obligations will be issued in integral multiples of $5,000 as requested by the Purchaser(s), and will be fully registered as to principal
and interest. The Obligations will be delivered without cost to the Purchaser(s) within 40 days following the date of their award. The City
will name the Registrar and pay for registration services.
PROPOSALS RECEIVED: November 19,1991 (Tuesday) at 12:00 Noon, Central Time
AWARD: November 19,1991 (Tuesday) at 7:30 P.M., Central Time
Further information may be obtained from SPRINGSTED
SPRINGSTED Incorporated, Financial Advisor to the Issuer, 85 East
Seventh Place, Suite 100, Saint Paul, Minnesota 55101
PUBLIC FINANCE ADVISORS (812) 223'3000•
For purposes of compliance with Rule 15c2-12 of the Securities and Exchange Commission,
this document, as the same may be supplemented or corrected by the Issuer from time to time
(collectively, the "Official Statement), may be treated as an Official Statement with respect to
the Obligations described herein that is deemed final as of the date hereof (or of any such
supplement or correction) by the Issuer, except for the omission of certain information referred
to in the succeeding paragraph.
The Official Statement, when further supplemented by an addendum or addenda specifying the
maturity dates, principal amounts and interest rates of the Obligations, together with any other
information required by law, shall constitute a "Final Official Statement" of the Issuer with
respect to the Obligations, as that term is defined in Rule 15c2-12. Any such addendum shall,
on and after the date thereof, be fully incorporated herein and made a part hereof by reference.
By awarding the Obligations to any underwriter or underwriting syndicate submitting a Proposal
therefor, the Issuer 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 Obligations are awarded copies of the Statement and the addendum or addenda
described in the preceding paragraph in the amount specified in the Terms of Proposal.
The Issuer designates the senior managing underwriter of the syndicate to which the
Obligations 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 Obligations agrees thereby that if its bid is accepted by the Issuer (i) it shall
accept such designation and (ii) it shall enter into a contractual relationship with all
Participating Underwriters of the Obligations for purposes of assuring the receipt by each such
Participating Underwriter of the Final Official Statement.
No dealer, broker, salesman or other person has been authorized by the Issuer to give any
information or to make any representations with respect to the Obligations other than as
contained in the Official Statement or the Final Official Statement, and, if, given or made, such
other information or representations must not be relied upon as having been authorized by the
Issuer. Certain information contained in the Official Statement and the Final Official Statement
may have been obtained from sources other than records of the Issuer and, while believed to
be reliable, is not guaranteed as to completeness or accuracy. THE INFORMATION AND
EXPRESSIONS OF OPINION IN THE OFFICIAL STATEMENT AND THE FINAL OFFICIAL
STATEMENT ARE SUBJECT TO CHANGE, AND NEITHER THE DELIVERY OF THE OFFICIAL
STATEMENT OR THE FINAL OFFICIAL STATEMENT NOR ANY SALE MADE UNDER EITHER
SUCH DOCUMENT SHALL CREATE ANY IMPLICATION THAT THERE HAS BEEN NO CHANGE
IN THE AFFAIRS OF THE ISSUER SINCE THE DATE THEREOF.
References herein to laws, rules, regulations, resolutions, agreements, reports and other
documents do not purport to be comprehensive or definitive. All references to such
documents are qualified in their entirety by reference to the particular document, the full text of
which may contain qualifications of and exceptions to statements made herein. Where full texts
have not been included as appendices to the Official Statement or the Final Official Statement,
they will be furnished on request.
TABLE OF CONTENTS
Page(s)
$265,000 General Obligation Improvement Bonds, Series 1991 B
Termsof Proposal..................................................................................................-iu
iv
Scheduleof Bond Years...........................................................................................
$210,000 General Obligation Equipment Certificates of Indebtedness, Series 1991 C
Proposal
v -vii
Termsof ......................................................................................................
viii
Scheduleof Bond Years..........................................................................................
1
Introductory Statement..................................................................................................
1
TheImprovement Bonds..................................................................................................
2
The Equipment Certificates...............................................................................................
2
FutureFinancing...........................................................................................................
2
Litigation......................................................................................................................
2
Legality.........................................................................................................................
3
TaxExemption...................................................................................................................
Considerations
,................ 3-4
Other Federal Tax ................................................................
4
Bank -Qualified Tax -Exempt Obligations.............................................................................
5
Rating...............................................................................................................................
5
FinancialAdvisor................................................................................................................
5
Certification.....................................................................................................................
5-6
City Property Values.........................................................................................................
7-10
CityIndebtedness....................................................................................
..................
...............................................................
10-11
City Tax Rates, Levies and Collections...........
11
Fundson Hand...............................................................................................................
12-15
General Information Concerning the City.......................................................................•
15-16
Governmental Organization and Services.........................................................................
Opinion
Appendix
Proposed Form of Legal ........................................................................
Summary of Tax Levies, Payment Provisions, and
Minnesota Real Property Valuation..................................................................
Appendix li
Annual financial Statements
Appendix III
...............................................................................
Attached
Proposal Forms.................................................................................................
THE CITY HAS AUTHORIZED SPRINGSTED INCORPORATED TO NEGOTIATE THIS ISSUE
ON THEIR BEHALF. PROPOSALS WILL BE RECEIVED ON THE FOLLOWING BASIS:
TERMS OF PROPOSAL
$265,000
CITY OF ROSEMOUNT, MINNESOTA
GENERAL OBLIGATION IMPROVEMENT BONDS, SERIES 1991 B
Proposals for the Bonds will be received by the City Administrator or his designee on Tuesday,
November 19, 1991, until 12:00 Noon, 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 December 1, 1991, as the date of original issue, and will bear interest
payable on February 1 and August 1 of each year, commencing August 1, 1992. 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:
1994 $30,000 1998 $25,000 2001 $25,000
1995 $30,000 1999 $25,000 2002 $25,000
1996 $30,000 2000 $25,000 2003 $25,000
1997 $25,000
OPTIONAL REDEMPTION
The City may elect on February 1, 1999, and on any day thereafter to prepay Bonds due on or
after February 1, 2000. 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. All prepayments shall be 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
special assessments against benefited property. The proceeds will be used to finance a street
and utility improvement project within the City.
TYPE OF PROPOSALS
Proposals shall be for not less than $261,555and 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 $2,650,
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. 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 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 dollar interest cost to be determined by
the deduction of the premium, if any, from, or the addition of any amount less than par, to the
total dollar interest on the Bonds from their date to their final scheduled maturity. The City's
computation of the total net dollar interest cost of each proposal, in accordance with customary
practice, will be controlling.
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 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 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 shag be liable to the City for
any loss suffered by the City by reason of the purchaser's non-compliance with said terms for
payment.
ii -
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 Official 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
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 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 October 22, 1991 BY ORDER OF THE CITY COUNCIL
/s/ Stephan Jilk
City Administrator
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SCHEDULE OF BOND YEARS
$265,000
CITY OF ROSEMOUNT, MINNESOTA
GENERAL OBLIGATION IMPROVEMENT BONDS, SERIES
19916
Cumulative
Year
Principal
Bond Years
Bond Years
1994
$30,000
65.0000
65.0000
1995
$30,000
95.0000
160.0000
1996
$30,000
125.0000
285.0000
1997
$25,000
129.1667
414.1667
1998
$25,000
154.1667
568.3334
1999
$25,000
179.1667
747.5001
2000
$25,000 C
204.1;667
951.6668
2001
$25,000 c
229.1667
1,180.8335
2002
$25,000 c
254.1667
1,435.0002
2003
$253000 c
279.1667
1,714.1669
Average Maturity:
6.47 Years
Bonds Dated:
December 1,
1991
Interest Due:
August 1, 1992
and each February 1 and August
1 to maturity.
Principal Due:
February 1,
1994-2003 inclusive.
Optional Call:
Bonds maturing on or after February 1, 2000
are callable
commencing
February 1, 1999 and any date thereafter at par.
(See Terms
of Proposal.)
c: subject to
optional call
-iv-