Loading...
HomeMy WebLinkAbout4769 (Res.)281 • teN RESOLUTION NO. 4769 RESOLUTION AUTHORIZING ISSUANCE OF $140,000 TEMPORARY IMPROVEMENT BONDS OF 1972, SERIES B, FIXING THEIR FORM AND DETAILS, DIRECTING THEIR EXECUTION AND DELIVERY, AND PROVIDING FOR THEIR PAYMENT. BE IT RESOLVED by the City Council of the City of Stillwater, Minnesota, as follows: 1. The City shall forthwith issue its Temporary Improvement Bonds of 1972, Series B, in the total principal amount of $140,000, dated as of October 1, 1972, which shall be 28 in number and numbered from 1 through 28, each in the denomination of $5,000, shall mature on October 1, 1975, subject to redemption at the option of the City in inverse order of serial numbers, on October 1, 1974. or April 1, 1975, at par and accrued interest, and shall bear interest at the rate of 3.50% per annum, payable on each April 1 and October 1, commencing on April 1, 1973. Interest from date of issue to maturity shall be represented by an appropriate set of interest coupons. Each of said bonds shall be subject to redemption at the option of the City in inverse order of serial numbers on October 1, 1974, or April 1, 1975, at par and accrued interest, on notice of call for redemption published not less than 30 days before the date specified for redemption in a daily or weekly periodical published in a Minnesota city of the first class or its metropolitan area which circulates throughout the State and furnishes financial news as a part of its service. The City Treasurer shall also give such notice by mail to the bank at which principal and interest of the bonds are then payable, but published notice shall be effective notwithstanding any failure to give mailed notice. The principal of and interest on the bonds shall be payable at the American National Bank & Trust Company, in St. Paul, Minnesota, and the City agrees to pay the reasonable and customary charges of the paying agent for the receipt and disbursement thereof. 2. The bonds and the appurtenant' interest coupons shall be in substantially the form approved at this meeting. 3. Said bonds shall be prepared under the direction of the City Clerk and shall be executed on behalf of the City by the signatures of the Mayor and the City Clerk, and by printing thereon a facsimile of the official seal of the City. The appurtenant interest coupons shall be executed and authenticated by the facsim- ile signatures of said Mayor and Clerk. When said bonds have been so executed and authenticated, they shall be delivered by the Treasurer to the purchaser thereof upon payment of the purchase price in accordance with the contract of sale hereto- fore made and executed, and said purchaser shall not be obligated to see to the application of the purchase price. 4. There is hereby created a separate fund of the City designated as "Improvement No. 106 Construction Fund", which shall be maintained until payment of all costs and expenses incurred in construction of Improvement No. 106, with respect to which the bonds herein authorized are issued. To such fund there shall be credited from the proceeds of the bonds herein authorized the sum of $137,260. From said fund there shall be paid all costs and expenses of said improvement. There shall also be credited to said fund all special assessments and ad valorem taxes collected with respect to the improvement until all costs of said improvement have been fully paid. After payment of all costs incurred with respect to said improvement, the fund shall be discontinued and any bond proceeds remaining therein may be transferred to a fund established for construction of any other improvement instituted pursuant to Chapter 429, Minnesota Statutes. All special assessments and taxes on hand in said fund when terminated or thereafter received, and any bond proceeds not so transferred, shall be credited to the Improvement Bond Account in the Sinking Fund of the City. 5. The bonds herein authorized to be issued shall be payable from the Improvement Bond Account in the Sinking Fund of the City, which Account the City agrees to maintain until said bonds have been paid in full. If the money in said Account should at any time be insufficient to pay principal and interest due in said bonds, such amounts shall be paid from other funds of the City, and such other funds shall be reimbursed therefor when sufficient money becomes available in said Improvement Bond Account. The moneys on hand in said Account from time to time shall be used only to pay the principal of and interest on the bonds herein authorized and • • RESOLUTION NO. 4769 - continued such other general obligation improvement bonds issued pursuant to Minnesota Statutes, Chapter 429, as the Council shall by resolution designate. Into said account shall be paid the accrued interest and any unused discount received from the purchaser on delivery of the bonds. 6. The City hereby covenants and agrees that, for the payment of the cost of said improvement, it will do and perform all acts and things necessary for the final and valid levy of special assessments in a principal amount not less than 100% of the cost thereof. The assessments shall be collectible in three con- secutive annual installments, the first installment to be collectible in 1973, the unpaid installments to bear interest at the rate of 636 per annum. In the event that any such assessments shil at any time be held invalid with respect to any lot or tract of land, due to any error, defect or irregularity in any action or proceedings taken or to be taken by the City or by this Council or by any of the officers or employees of the City, either in the making of such assess- ments or in the performance of any condition precedent thereto, the City hereby covenants and agrees that it will forthwith to all such further things and take all such further proceedings as shall be required by law to make such assessment a valid and binding lien upon said property. 7. The full faith, credit and taxing powers of the City are hereby irrevocably pledged to the payment of the bonds and the interest thereon when due. It is hereby estimated that the collections of special assessments and interest thereon will provide sums which will amount to no less than 105% of the principal of and inter- est on the bonds when due. 8. The City Clerk is hereby authorized and directed to file with the County Auditor of Washington County a certified copy of this resolution and to obtain. from said County Auditor a certificate stating that said bonds have been entered upon his bond register. 9. The officers of the City and said County Auditor are hereby authorized and directed to prepare and furnish to the purchaser of said bonds and to the attorneys Approving the legality of the issuance thereof, certified copies of all proceedings and records relating to said bonds and to the financial affairs of the City, and such other affidavits, certificates and information as may be required to show the facts relating to the legality and marketability of said 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. Adopted by the Council this 19th day of September, 1972. Published: September 29, 1972 62) Mayor Attest: i