79-032 RES • it
• EXTRACT OF MINUTES OF MEETING OF THE
CITY COUNCIL OF THE CITY OF
ELK RIVER, MINNESOTA
•
HELD: AUGUST 22; 1979
Pursuant to due call and notice thereof, a special
meeting of the City Council of the City of Elk River, •
Minnesota, was duly held at the City Hall in said City on the
22nd day of August, 1979 , at 8:35 o' clock P .M. •
The following members were present:
Mayor Madsen, Councilmembers Toth, Otto and Duitsman
and the following were absent:
Councilmember Engstrom
Member Duitsman introduced the follow-
ing resolution and moved its adoption:
RESOLUTION PROVIDING FOR PUBLIC SALE
OF $380,000 GENERAL OBLIGATION IMPROVEMENT BONDS OF 1979
• BE IT RESOLVED by the City Council of the City of Elk
River, Minnesota, as .follows:
1. It is hereby found , determined and declared that
this City should issue $380,000 General Obligation Improvement
Bonds of 1979 to defray the expense of various improvements
within the City.
2. This Council shall meet at the time and place
specified in the form of notice hereinafter contained for the
purpose of opening and considering sealed bids for, and award-
ing the sale of $380,000 General Obligation Improvement Bonds
of 1979 of said City.
3 . The City Clerk is hereby authorized and directed
to cause notice of the time, place and purpose of said meeting
to be published in the official newspaper of the City and in
Commercial West not less than ten days in advance of date of
sale, as provided by law, which notice shall be in sub-
stantially the form set forth in Exhibit A attached hereto.
111 .
4. The terms and conditions of said bonds and the
• sale thereof are fully set forth in the "Official Terms of Bond
Sale" attached hereto as Exhibit B and incorporated herein by
reference.
The motion for the adoption of the foregoing
resolution was duly seconded by member Otto and upon
a vote being taken thereon, the following voted in favor
thereof:
Councilmembers Toth, Otto and Duitsman
and the following voted against the same:
None
Whereupon said resolution was declared duly passed
and adopted .
•
•
STATE OF MINNESOTA
COUNTY OF SHERBURNE
411 CITY OF ELK RIVER
I, the undersigned, being the duly qualified and
acting Clerk of the City of Elk River, Minnesota, DO HEREBY
CERTIFY that I have carefully compared the attached and
foregoing extract of minutes with the original minutes of a
meeting of the City Council held on the date therein indicated,
which are on file and of record in my office, and the same is a
full, true and complete transcript therefrom insofar as the
same relates to providing for the sale of $380,000 General
Obligation Improvement Bonds of 1979.
• WITNESS my hand as such Clerk and the official seal
• of the City this 22nd day of August , 1979.
Ci y Clerk
(SEAL)
•
EXHIBIT A
NOTICE OF BOND SALE
410 . $380, 000
CITY OF ELK RIVER
MINNESOTA
GENERAL OBLIGATION IMPROVEMENT
BONDS OF 1979
These Bonds will be offered Monday, September 17, 1979, at
7 :30 P.M. , Central Time, at the City Hall in Elk River,
Minnesota. The bonds will be dated October 1, 1979 and
interest will be payable August 1, 1980 and semiannually
thereafter. The bonds will be general obligations of the
Issuer for which its unlimited taxing powers will be pledged.
The bonds will mature on February 1, in the years and amounts
as follows:
$15, 000 1981
$25,000 1982-1990
$20,000 1991-1997
All bonds maturing on or after February 1, 1991 are subject to
Aft redemption on February 1, 1990. Sealed bids for not less
than par and accrued interest on the principal sum of
$380,000 will be accepted. No rate of interest nor the
net effective average rate of the issue may exceed 7% per
annum. An acceptable legal opinion will be furnished by Briggs
and Morgan, Professional Association, of St. Paul and
Minneapolis, Minnesota. The proceeds will be used to
finance various improvements within the City.
Bidders should be aware that the Official Terms of Bond Sale
to be published in the Official Statement for the Offering
may contain additional bidding terms and information relative
to the Issue. In the event of a variance between statements
in this Official Nbtice of Bond Sale and said Official Terms
of Bond Sale the provisions of the latter shall be those to .
be complied with.
Dated- August 22, 1979
BY ORDER OF THE CITY COUNCIL
/s/ Robert Middaugh
City Administrator
Further information maybe obtained from the Issuer's Financial Advisor,
SPRINGSTED INCORPORATED, 800 Osborn Building, St. Paul, Minnesota, 55102,
112/222-4241.
lr
EXHIBIT B
OFFICIAL TERMS OF BOND SALE
$380,000
• CITY OF ELK RIVER, MINNESOTA
GENERAL OBLIGATION IMPROVEMENT BONDS OF 1979
These Bonds (the "Obligations") will be offered for sale on sealed bids on Monday,
September 17, 1979. Bids will be opened and acted upon at 7:30 P.M., Central
Time, at the City Hall in Elk River. The Obligations will be offered upon the
following terms:
DETAILS OF THE OBLIGATIONS
The Obligations will be dated October I, 1979, and will bear interest payable on
each February I, and August I to maturity, commencing August I, 1980. The
Obligations will be general obligations of the Issuer for which its full faith and
credit and unlimited taxing powers will be pledged in addition to special
assessments against benefited property. The Obligations will be non-registrable in
bearer form with interest coupons attached, and will be of the denomination of
$5,000 each unless other denominations are requested by the Purchaser within 48
hours after the award. The proceeds will be used to finance various improvements
within the City.
The Obligations will mature February I, in the amounts and years as follows:
$15,000 1981
$25,000 1982-90
$20,000 1991-97
All Obligations maturing on or after February I, 1991 at the option of the Issuer
will be subject to redemption prior to maturity in inverse order of serial numbers
on February 1, 1990 and any interest payment date thereafter, at a price of par and
accrued interest.
TYPE OF BID
A sealed bid for not less than par and accrued interest on the total principal
amount of the Obligations, and a certified or cashier's check in the amount of
$3,800 payable to the order of the Issuer must be filed with the undersigned or the
Issuer's Financial Advisor, SPRINGSTED Incorporated, prior to the time of sale; no
bid will be considered for which said check has not been filed. The check of the
Purchaser will be retained by the Issuer as liquidated damages in the event the
Purchaser fails to comply with the accepted bid. No bid may be withdrawn until
the conclusion of the meeting of the Issuer at which bids are to be acted upon.
RATES
Bidders must specify rates each of which must be in an integral multiple of 5/100
or I/8 of I% not exceeding 7% per annum. All Obligations of the same maturity
must bear a single rate from the date of issue to maturity. No rate may exceed the
rate specified for any subsequent maturity by more than 11/4.% per annum.
Additional coupons may not be used. The net effective average rate of the Issue
may not exceed 7% per annum.
AWARD
Award will be made on the basis of the lowest dollar interest cost determined by
the deduction of any premium from the total interest on all Obligations from their
date to their stated maturity, as computed on the basis of the schedule of bond
years in the Official Statement published for the Obligations. The Issuer reserves
the right to reject any and all bids, to waive informalities and to adjourn the sale.
PAYING AGENT
Within 48 hours after the sale the Purchaser may name the Paying Agent for whose
services the Issuer will pay customary and'reasonable fees. An alternate Paying
Agent may also be named by the Purchaser provided that there is no additional cost
to the Issuer by reason thereof.
CUSIP NUMBERS
It is anticipated that if the Obligations qualify for assignment of CUSIP numbers
such CUSIP numbers will be printed on the Obligations, but neither the failure to
print such numbers on any Obligation nor any error with respect thereto shall
constitute cause for failure or refusal by the Purchaser to accept delivery of the
Obligations. The CUSIP Service Bureau charge for the assignment of CUSIP
identification numbers shall be paid for by the Purchaser.
SETTLEMENT
The Obligations will be delivered without cost to the Purchaser at a place mutually
Q satisfactory to the Issuer and the Purchaser within 40 days following the date of
their award. 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 upon the Obligations, and of
customary closing papers, including a no-litigation certificate. On the date of
settlement payment for the Obligations by the Purchaser must be made in a manner
and in such funds as will reasonably enable the Issuer to invest the proceeds as of
the same day.
At settlement the Purchaser will be furnished with a certificate signed by
appropriate officers of the Issuer on behalf of the Issuer to the effect that the
Official Statement prepared for the Issuer did not and does not contain any untrue
statement of a material fact or omit to state a material fact necessary in order to
make the statements therein, in light of the circumstances under which they were
made, not misleading.
One copy of the Official Statement will be furnished without cost to any interested
party upon request. Additional copies of the Official Statement will be furnished
without cost to the Purchaser upon request in reasonable quantity within a
reasonable time of such request.
Dated August 22, 1979.
BY ORDER OF THE CITY COUNCIL
/s/ Robert Middaugh
City Administrator