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82-6598R29 RESOLUTION N0. 6598 RESOLUTION AWARDING THE SALE OF $4,100,000 GENERAL OBLIGATION REDEVELOPMENT BONDS OF 1482., FIXING THEIR FORM AND SPECIFICATIONS; DIRECTING THEIR EXECUTION AND DELIVERY; AND PROVIDING FOR THEIR PAYMENT. BE IT RESOLVED By the City Council of the City of Richfield, Minnesota, as follows: 1. The bid of The First National Bank of Chicago (the "Purchaser") to purchase $4,100,000 General Obligation Redevelop- merit Bonds of 1982, of they Ctp described in the notice of sale thereof is hereby found and determined to be the highest and best bid received pursuant to duly advertised notice of sale and shall be and is hereby accepted, such bid being to purchase such bonds at a price of $ 4,019,839.76 plus accrued interest to date of delivery, .such bonds to bear interest as follows: Year of Maturity 198-1991 1992.1993 1994 1995 1996 1997-1998 1999 Interest Rate Per Annum 12.5% 10.5% 10.75% 11.0% 11, 25% 11.5% 9.50% The sum of $ 139.7b being the amount bid in excess of $4,OI9,700, and the sum of $471,970 representing capitalized interest, shall be credited to the Debt Service Fund hereinafter referred to. The City Financial Coordinator is directed to retain the good faith check of the Purchaser pending completion of the sale and delivery of the bonds. The City Financial Coordinator is directed. to retura_ the checks of the unsuccessful bidders forthwith. 2. The City shall forthwith issue and sell its General Obligation Redevelopment Bonds of 1982, (the "Bonds"), is the prin- cipal amount of $4,100,000, dated May 1, 1982, the Bonds being 820 in number and numbered 1 to 820, both inclusive, in the denomination of $5,000 each, bearing interest as above set forth, all interest. payable February 1, 1983, and semiannually thereafter on August 1 and February 1 in each pear, and which Bonds mature serially on February 1 in the years and amounts as follows: Year Amount 19ss $ 50,000 1986 75,000 1987 75,000 1988 100,000 1989 125,000 1990 150,000 1991 175,000 1992: 200,000 Bonds maturing after February Lion at the option of the Cit said date and on any interes par plus accrued interest to c Year Amount 1993 $250,000 1994 275,000 1995 325,000 199b 350,000 1997 400,000 1998 750,0:00 1999 800,.000 1, 1994 will be subject to prior redemp- y i.n inverse order of serial nwnbers, on payment date thereafter at a price of ate of redemption. 3. Both principal of and interest oa the Bonds shall be payable at the in the City of and the City shall pay the reasonable charges of said bank for its services as paying agent.. 4. The'Bonds and the interest coupons to be thereto at- Cached shall be in substantially the following form: No. UNITED STATES OF AMERICA STATE t~F MINNESOTA COUNTY OF HENNEPIN CITY OF RICHFIELD GENERAL OBLIGATION KNOW ALL MEN BY TAE: municipal corporation in Iie itself to be indebted and, fc to bearer the sum of FIVE T~O1 19~ , and to pay interest principal amount is paid at t] ~) per annum, interest to mats annually thereafter on the ] August in each year i.n acc+ surrender of the interest cc become due. Both principal < at the city of United States of America whit for public and private debts. BLIND OF 1982 $5,000 E PRESEN2S that the City of Richfield, a anepin County, Minnesota, acknowledges r value received, hereby promises to pay SAND DOLLARS on the 1st day of February, ehereon from the date hereof until the e rate of percent ,rity payable February 1, 1983, and semi- st day of February and the 1st day of rdance with and upon presentation and upons hereto attached as they severally f and interest oa this bond are payable Bank in the - ____ in any coin or currency o e h on the date of payment is legal tender All bonds of this issue subject to prior redemption maturing after February 1, 1994 will be at the option of the City, in inverse order of serial numbers, on said date and any interest payment date thereafter at a price of par plus accrued interest to date of redemption. This bond is one of an issue of bonds in the total principal amount of $4,100,000, all of like date and tenor except as to maturity, interest rate, redemption privilege and serial number, all issued by the City for the purpose of providing money to defray the public redevelopment costs incurred and to be incurred in financing Redevelopment Projects in the City, pursuant to and in full conformity with the charter of the City and Constitution and laws of the State of Minnesota, including Minnesota Statutes, Sections 273.71 to 273.78 inclusive, and Sections 462.411 to 462.711, inclusive, and is payable primarily from tax increments resulting from increases in assessed valuation of real property in the Project Area in which the Redevelop- ment Projects are located pursuant to a Tax Increment Agreement executed by the City and the Housing and Redevelopment Authority of the City o~f Richfield on May 9, 1977, but constitutes a general obli- gation of the City, and, to provide moneys £or the prompt and full payment of the principal of and interest on the bonds as the same become due, the full faith and credit of the City is hereby irre- vocably pledged, and the City Council will levy ad valorem taxes, if required for such purpose, which taxes may be levied on all of the taxable property in the City without limitation as to rate or amount. IT IS HEREBY CERTIFIED AND RECITED that all acts, conditions and things required by the charter of the City and 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 indebtedness of the City outstanding on the date hereof and on the date of its actual issuance and delivery does not exceed any constitutional, statutory or charter limitation thereon. IN WITNESS. WHEREOF, the the City of Richfield, Hennepin County, Minnesota, by its City Council, has caused this bond to be executed by the facsimile signatures of the. Mayor and the City Manager, and the manual signature of one of said officers, and sealed with a facsimile of the corporate seal of the City and the interest coupons hereto attached to be executed and authenticated by the facsimile signatures of said officers, all as of May 1, 1982. (signature), City Manager (Facsimile Signature) Mayor (Manual Signature) (facsimile seal) of Coupon) No. On the 1st day of February (August), 19 , (unless the bond to which this coupon appertains has been previously called for redemp- tion) the City of Richfield, Hennepin County, Minnesota, will pay to bearer at the the amount shown hereon £or Lion Redevelopment Bond of 1 Merest then due on its General Obiiga- !, dated May 1, 1982, No. (facsimile signature) Mayor (facsimile signat ty Manager 5. The City Cler approving legal opinion of M & Drawz, A Professional Asso shall be complete except as opinion to be-printed on eac signed by the facsimile sign the following forme I hereby certify th< correct copy of the le named attorneys, except opinion has been handed to the time of bond deli 8 shall obtain a copy of the proposed sxs. LeFevere, Lefler, Kennedy, O'Brien aton, of Minneapolis, Minnesota,. which o dating thereof and shall cause said Bond, together with a certifica a to be ure of the City Clerk in substantially t the foregoing is a full, true and ;al opinion executed by the above as to the dating thereof., which to me for filing in my office prior ~ery. .(facsimile signature) City Clerk City of Richfield, Minnesota The City Clerk is hereby a certificate in the name of t to file the opinion in the Ci orized and directed to execute such City upon receipt of such opinion and offices. 6. The Bonds shall~be executed on behalf of the City by the facsimile signatures of the Mayor and the City Manager, and the manual signature of one of said officers, and the interest coupons shall be executed and authenticated by the printed facsimile signatures of the Mayor and City Manager, and the facsimile of the corporate seal of the City may, but need not be, printed thereon; provided, however, that the Bonds may be executed by only the facsimile signatures of the Mayor and the. City Manager, duly authenticated by the manual signature of an officer of Bank , hereby designated authenticating agent pursuant to Minnesota Statutes, Section 475.55, Subdivision 1, and, if the Bonds are to be so executed and authenticated, the bond form set forth in paragraph 4 hereof shall be modified as follows: a) Substitute the following paragraph for the final paragraph of the bond: "IN WITNESS WHEREOF, the City of Richfield, Hennepin County, Minnesota, by its City Council, has caused this band to be executed by the facsimile signatures of its Mayor and City Manager and to be sealed with the facsimile of the corporate seal of the City, and the interest coupons hereto attached to be executed and authenticated by the facsimile signatures of said officers, and such signatures to be authenticated by the manual signature of the City's duly authorized Authen- ticating Agent on the reverse side of this bond, all as of May 1, 1982." f b) Add the following on the reverse side of the bonds "This Bond is one of the Bonds of the series designated herein issued pursuant to the resolution authorizing its issuance and delivery." As Authenticating Agent By Its Authorized Officer The Bonds, when fully executed, shall be delivered by the City Finance Coordinator to the Purchaser upon receipt of the purchase price, and the Purchaser shall not be obligated to see to the proper application thereof. 7. The Bonds issued hereunder and additional bonds simi- larly authorized and issued shall be payable from the General Obliga- Lion Redevelopment Bonds Fund account in the Debt Service Fund created by Resolution No. 5751. (the "Fund"). The proceeds of any general taxes heretofore or hereafter levied for the Bonds and other bonds payable from the Debt Service Fuad, and tax increments (the "Tax Increments") from the Project Area in which the Public Redevelopment Costs financed by the Bonds are incurred, received by the City from the Housing and Redevelopment Authority of Richfield (the "Authority") pursuant to the Tax Increment Agreement (the "Agreement") executed by the City and the Authority on May 9, 1977 'are hereby irrevocably appropriated and pledged to the Fund subject to the provisions of paragraph 10 hereof. If any payment of principal or interest on Bonds payable from the Fund shall become due when there is not sufficient money in the Fund to gay the same, the City Clerk shall pay such principal or interest from the general fund of the City and such fund may be reimbursed for such a~vances out of proceeds of the tax incre- ments or taxes when received. 8. It is hereby found and determined as follows: a) The amount of 'estimated tax increments to be received by the City pursuant to the Agree- ment will exceed 20x of the Public Redevelop- meat Costs to be incurred in the Project Area. b) The projects fir which the Public Redevelop- meat Costs have been and are to be incurred in the Projec~ Area are consistent with the Comprehensive Municipal Plan of the City and that the Redevelopment Plan, and all amend- meats thereto for the Project Area have been refs-reed to the City Planning Commission under the provisions of Minnesota Statutes, Secf~ion 462.356, Subdivision 2. 9. It is further determined that the estimated collections of Tax Increments under the Agreement together with the proceeds of any taxes collected pursuant to the provisions of Section 8 of Resolu- tion No. 5717 for the payment of the City's General Obligation Redevelopment Bonds of .1977 dated August i, I977 (the "1977 Bonds") will produce at least £ive p scent in excess of the amounts needed to meet when due the principal and interest payments on the Bonds and the 197`7 Bonds .and that ao additional tax levy is needed at this time. The 1977 Bonds, the Bonds, sad all bonds hereafter issued and made payable from the Fund are and shall be equally and ratably secured by the pledge of all assets of the Fund.. Nothing in this resolution affects or rescinds the taxes levied in Section 8 of Resolution No. 5717, or the authority of the City Finance Coordinator to request the County Auditor to annuall~ reduce or cancel such levies. The City Clerk i~ directed to file a certified copy of the resolution with the Director of Property Taxation of Hennepin County and to obtain the certificate required by Minnesota Statutes, Section 475.63.. 10. This Council by paragraph 12 of Resolution No. b3i0 issuing the city's $b,100,000 General Obligation Improvement Bonds of 1980 (the "1980 Bonds") has determined that the public improvements financed by the 1980 Bonds constituted projects undertaken by the City in aid of the Project Area and constituted Public Redevelopment Costs of the Project Area. This C until further therein determined to use Tax Increments received under the Agreement to pay all or a portion of the City's cost of thosepubi~c improvements as represented by the tax levies made by paragraph 9 o~~f Resolution No. 6310. Accordingly this Council reaffirms paragraph 12 of Resolution No. 6310, and restates its intention to deposit from time to time Such portion of the Tax Increments to the Sinking Fund for the 1980 Bonds as in its judgment is necessary and available for debt service on the 1980 Bonds. i !~ . 11, The officers of the City are hereby authorized and directed to prepare and furnish to the Purchaser and to the attorneys approving the same, certified copies of proceedings and records of the City relating to the Bonds and to the financial condition and affairs of the City, and such other certificates, affidavits and transcripts as may be required to show the facts within their knowledge or as showa by the books and records in their custody and under their control, relating to the validity and marketability of the Bonds and such instruments, including any heretofore furnished, shall be deemed representations. of the City as to the facts stated therein. 12. The Mayor, city Manager and Finance Coordinator are hereby authorized and directed to certify that they have examined the Official Statement prepared and circulated in connection with the issuance and sale. of the Bonds and that to the best of their knowledge and belief said statement is a complete and accurate representation of the facts and representations made therein as of the date of said official statement ar prospectus as it relates to the City. 13. In this resolution the terms Public Redevelopment Costs., Project Area, and Authority, have the meanings given them by Resolution No-. 6573 authorizing the issuance and sale of the Bonds. J Passed by the City Council of the City of Richfield this 21st day of April 19$2. ATTEST: lvia K. ergh Cit erk