1972-4768rRESOLUTION No. 4768
RESOLUTION AUTHORIZING ISSUANCE AND ADVERTISEMENT FOR
SALE OF $2,100,000 GENERAL OBLIGATION IMPROVEMENT BONDS
of 1972
BE .IT RESOLVED by the City Council of the City of Richfield, Minnesota, as
follows;
1. It is hereby determined;
(a) By resolution No. 4249, dated the 8th day of September, 1969, the
City Council authorized the issuance of a temporary improvement bond
in the amount of $355,000, Series 26, to provide temporary financing
for certain city projects listed in said resolution.
(b) Such bond, according to its terms, matures on September 1, 1972.
(c) It is therefore necessary to issue definitive improvement bonds to
finance the improvements listed in said resolution to the extent that
said temporary improvement bond, Series 26, cannot be paid out of assess-
ments and other municipal funds properly available and appropriated for
such purpose prior to September ~., 1972.
(d) By resolution No. 4446, dated the 14th day of September, 1970, the
City Council authorized the issuance of a temporary improvement bond in
the amount of $500,000, Series 27, to provide temporary financing for
certain city projects listed in said resolution.
(e) Such bond according to its terms matures on September 1, 1973, but
is callable at any interest payment date prior to maturity at pad and
accrued interest. Interest payment dates are March 1 and September 1 in
each year to maturity.
(f) It is deemed necessary and advisable to call said temporary improve-
ment bond, Series 27, and to issue definitive improvement bonds to finance
the improvements listed in said resolution to the extent that said tempor-
ary bond, Series 27, cannot be paid out of assessments and other municipal
bonds properly available and appropriated for such purpose prior to
September 1, 1972.
(g) By resolution No. 4622, dated the 23rd day of August, 1971, the City
Council authorized the issuance of a temporary improvement bond in the
amount of $450,000, Series 28, to provide temporary financing for certain
city project§.listed~in paid resoluti®n.
(h) Such bond according to its terms matures on September 1, 1974, but is
subject to prior redemption on any interest payment date prior to maturity.
Interest payment dates on said bond are March 1 and September 1 in each
year to maturity.
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(i) It is therefore determined to be necessary and desirable to call
said bond for redemption and to issue definitive improvement bonds to
finance the improvements listed in said resolution to the extent that
said improvement bond, Series 28„ cannot be .paid out of assessments
and other municipal -funds properly available and appropriated fog such
purpose, .prior to September 1, 1972.
(j) Each of said bonds, Series 27 and 28, shall be called for redemption
as soon as the proceeds from the sale of such definitive improvement bonds
are available. The city is the holder of such temporary improvement bonds
and consents to such redemption and prior payment and to a similar re-
demption and prior payment of improvement bonds, Series 26, without the
necessity of other or further notice.
(k) The following assessable public improvements have been undertaken
pursuant to the provisions of Minnesota Statutes, Chapter 429:
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Pro'ect (All Storm Sewers)
629
630
631
632
633
634
637
639
645
Total Proiect Cost
$134,368
42,556
101,108
22,032
84,629
8,390
12,494
188,817
9.236
$603,630
(1) It is necessary and desirable to provide finnancing for the cost of
said projects by the issuance of definitive improvement bonds..
(m) The total amount of definitive improvement bonds required to be issued
to accomplish the purposes hereinbefore set forth is determined to be
$2,060,000. General Obligation Improvement Bonds of 1972, of the city,
in that amount, shall be issued pursuant to the provisions of this resolu-
tion.
(n) The city shall sell additional bonds in the amount of $40,000 to repre-
sent in part the higher interest presently required to market such bonds
as authorized by Minnesota Statutes, Section 475.56, so that the total
amount of-such improvement bonds. to be sold pursuant to the provisions of
this resolution shall be $2,100,000.
2. The city shall offer and advertise for sale said General Obligation Improve-
ment Bonds of 1972 in accordance with the following Notice of Bond Sale:
NOTICE OF SALE
$2,100,000 General Obligation Improve-
ment Bonds of 1972 - City of Richfield,
Minnesota
NOTICE IS HEREBY GIVEN That sealed bids will be received by the City of
Richfield, Minnesota, at the office of the City Manager at the Richfield City Hall,
6700 Partland Avenue, Richfield, Minnesota, until 11:30 a,m., CDS~, on Tuesday,
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June 27, 1972, for the purchase of $2,100,000 General Obligation Improvement
Bonds of 1972. At that time all bids received on said bonds will be opened
and read aloud. The city council of said city will meet at 12:30 p.m. on said
day for the purpose of considering such bids.
The bonds will be dated July 1, 1972; will bear interest payable
January 1, 1973 and each July 1 and January 1 thereafter and will mature serially
on January 1 in the years and amounts as follows:-
1974 $ 65,000
1975/78 125,000
1979/81 110,000
1982/90 100,000
1991/92 90,000
1993 75,000
1994 50,000
all bonds maturing in the years 1985 through 1994 being subject to redemption, in
inverse numerical order, on January 1, 1984, and any interest payment date there-
after at par and accrued interest. Both principal and .interest will be made pay-
able at a suitable bank designated by the purchaser within 48 hours after the
award and acceptable to the city, or otherwise at the selection of the city.
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The borrower will furnish printed bonds in the denomination of $5,000
each, or multiples thereof at purchaser's request within 48 hours after award,
and the approving legal opinion of Messrs. Howard, LeFevere, Lefler, Hamilton and
Pearson, Minneapolis, Minnesota, both without expense to purchaser. Delivery will
be made without expense to the purchaser anywhere in the continental United States
within forty days after the date of sale, accompanied by customary final delivery
papers, including a certificate showing absence of litigation. Payment shall be
in immediately available funds. The text of the legal opinion will be printed on
the back of each bond and certified by an officer if. requested by the purchaser.
Bids shall state one basic rate of interest from date of issue to maturity
for all bonds having a common maturity date. Not more than ten-such rates shall
be specified for the issue and the maturities may be split not more than ten ways
for the purpose of designation of such rates.. No rate for any bonds may exceed
the rate for any subsequently maturing bond. No supplemental or 11B" coupons will
be permitted. All rates must be stated in integral multiples of five hundredths of
one percent, The bid offering the lowest net interest cost (total interest from date
of issue to stated maturities, less any premium offered, plus any discount) will
be deemed the most favorable. No bid of less than $2,060,000 plus accrued interest
to date of delivery or providing for a total interest rate on any bond for any period
exceeding 7% will be considered. Oral auction bids will not be received.
All bids must be enclosed in a sealed envelope marked "Bid for $2,100,000
General Obligation Improvement Bonds of 197.211 and delivered to the undersigned prior
to the above stated time. Each bid must be unconditional except as provided in
this notice and must be accompanied by a cashier's check, certified check or bank
draft payable to the order of the treasurer, in the amount of at least $42,000, to
be forfeited as liquidated damages in event the bid is accepted and the bidder fails
to comply therewith. Bidders are also asked to state total amount of interest and
average rate. The right to waive any informality, to reject any and all bids and
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to adjourn the sale is reserved.
BY ORDER OF THE CITY COUNCIL
Thomas J. Moran
City Finance Director
Additional information may be obtained from:
T. G. Evensen & Associates, Inc.
First National Bank Building
Minneapolis, Minnesota 55402
Tele. 612-336-1637
3. The City Council shall meet on Tuesday, June 27, 1972, at 12:30 p.m.,
CDST, at the council chambers in the city hall for the gurpose of receiving
and considering sealed bids on said bonds. The manager, finance director and-
s representative of the financial. consultant .for the city are authorized to
open and tabulate any such sealed bids at 11:30 a.m. on said date and to present
such bids and tabulation thereof to the council for consideration at its said
meeting.
4. The City Clerk shall cause notice of the sale of such bond issue to be
published in the manner required by law. The terms and conditions contained in
the foregoing Notice of Bond Sale shall constitute the terms and conditions for
the issuance and sale of said bonds.
Passed by the City Council of the City of Richfield this 22nd day of-May,
1972.
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~~ I,taren L. Law ~ f ~~ ~/ nayor
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Attest:
Thomas J. Mod ~ n City Clerk
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