12-16-1971 VCMEXTRACT OF MINUTES OF MEETING OF THE
VILLAGE COUNCIL OF THE VILLAGE
OF ELK RIVER, MINNESOTA
HELD: DECEMBER 16, 1971
Pursuant to due call and notice thereof, a S ecial
meeting of the Village Council of the Village of Elk Riven,
Sherburne County, Minnesota, was duly held at the Village
Hall in said Village on the 16th day of December, 1971, at
7:30 o'clock P.M. for the purpose of opening and considering
bids for and awarding the sale of $79,000 Improvement Bonds
of 1971 of said Village.
The following members were present:
Hilmer Bartelt, Mayor Tom Hudson, Robert Otto Charles Savala, Clerk
and the following were absent:
Robert Syring William Konop
The Clerk presented affidavits showing publication
of notice of call for bids on $79,000 Improvement Bonds of
1971 of the Village, for which bids were to be received at
this meeting, in accordance with the resolution adopted by
the -Village Council on November 22 1971 Said affidavits
were examined, found to comply with the provisions of Minne-
sota Statutes, Chapter 475, and were approved and ordered
placed on file.
The Council proceeded to receive and open bids for
the sale of said bonds. The following bids were received:
Bidder Interest Rate Net Interest Cost
(SEE BID TABULATION ATTACHED)
Date of Sale: -RD cember 16, ,1971
Amount: $79,000
Date of Issue: December 1 1971
TABUL�iTIQN OF BIDS
Place: &hyer�burne Counter. Minnesota
Purpose: ovement Mde of 1971
Allison-WilljLus CgMMLV-M 2L. PjRR2;-AfftU 8 HoRwood Mills. Dain. &Oman 8 mil -Mole
Rate for Bonds Maturing
3�25 %
12ZI173
3„�50 %
1211 74
PF %
12 75
3____90 %
12 1 7 6 64.0
%
UL1&Z
'.10 %
12 1 78
4.20 %
12A 79
4.30.
12 80
Discount $1.185
I
Totsl.Cosi, $18.448.00
Net Rate 4,2802
Rate - For Bands Maturing Rate - For Bonds Maturing
3.90 % 12 73
32 75
%
12 73 to 12 75
4e•00% 12ZW74
4.00
%
12 76
4.10 % .2 75 to 12 78
4r„.24_
%
12 77
425_ % PZ1179 to 12 80
, 4.0
%
12 78
4.75
%
1.22 ZILU to 12 1 80
Discount _ U 175.52
Total Cost $19 018.02
Not Rate 4.4125
Discount $ 735.00
Total Cost $ 19,357.50
Net Rate 4.491299
Courtesy of s
ROBBRT D. MIM 8 ASSOCIATFS
266 Sexton Building
Minneapolis, Minnesota 55415
The Council t
After the bids had been
Hudson
and moved its adoption:
hen proceeded to consider such bids.
considered and discussed, member
introduced the following resolution
RESOLUTION ACCEPTING BID ON SALE OF
$79,000 IMPROVEMENT
BONDS OF 1971
AND PROVIDING FOR THEIR ISSUANCE
BE IT RESOLVED by the Council of the Village of
Elk River, Minnesota, as follows:
1. That the bid of Allison -Williams Company
to purchase $79,000 Improvement Bonds of 1971 of the Village,
in accordance with the notice of bond sale, at the rates of
interest hereinafter set forth, and to pay therefor the sum
of $ 77 815 (plus a premium of - * ) is hereby found,
determined and declared to be the most favorable bid received,
and is hereby accepted and said bonds -are hereby awarded to
said bidder. The Village Clerk is directed to retain the
deposit of said bidder and to forthwith return the good faith
checks or drafts to the unsuccessful bidders. Said bonds
shall be payable as to principal and interest at Northwestern
National Bank of Minneapolisp Minnesota
2. The $79,000 negotiable coupon general obliga-
tion bonds of the Village shall be dated December 1, 1971
and shall be issued forthwith. Said bonds shall be' 18
in number and numbered from 1 to 18 , both inclusive, in
the denomination of $ 59000 each, except for bonds nos.
15 to 18 , both inclusive, which shall be in the denom-
ination of T1,000 each. Said bonds shall mature serially,
lowest numbers first, without option of prepayment, on
December 1 in the years and amounts as follows:
$10,000 in each of the years 1973
to 19793 both inclusive;
$ 9,000 in the year 1980.
3. Said bonds shall provide funds for the construc-
tion of street, sewer and water improvements in the Village.
The total cost of said improvements, including the cost of
construction under the terms of the lowest bid received for
each phase thereof, engineering, legal and other professional
charges, publication and printing costs, interest accruing
on money borrowed for the improvements before the collection
of special assessments levied therefor, and all other costs
necessarily incurred and to be incurred from the inception
to the completion of the improvements, is estimated to be
at least equal to the amount of the bonds herein authorized.
-2-
4. The bonds of said issue maturing in the years
and bearing the serial numbers set forth below shall bear
interest, payable December 1, 1972 and semiannually there-
after on June 1 and December 1 of each year, at the respec-
tive rates per annum set opposite said maturity years and
serial numbers:
Maturity
Years Serial Numbers
T
1973
1 - 2
1974
3 - 4
1975
5-6
1976
7 - 8
1977
9 - 10
1978
11 - 12
1979
13 - 14
1980
5. The bonds and i18
Beres t
hereunder
shall be in substantially
-3-
Interest Rate
3.25
3.50
3,75
3,90
4.00
4.10
.4.20
4.30
coupons to be issued
the following form:
No.
UNITED STATES OF AMERICA
STATE OF MINNESOTA
SHERBURNE COUNTY
VILLAGE OF ELK RIVER
IMPROVEMENT
BOND OF 1971
$
KNOW ALL MEN BY THESE PRESENTS that the Village of
Elk River, Sherburne County, Minnesota, certifies that it is
indebted and for value received promises to pay to bearer,
without option of prepayment, the sum of
THOUSAND DOLLARS
on the first day of December, 19 and to pay interest
thereon from the date hereof until the principal is paid
at the rate of
per cent ( %) per annum, payable on the first. day of
December, 1972 and semiannually thereafter on the first
day of June 1 and the first day of December 1 in each year,
in accordance with and upon presentation and surrender of
the interest coupons hereto attached, as the same severally
become due. Both principal and interest are payable at
in any coin or currency of the United States of America which
at the time of payment is legal tender for public and private
debts.
This bond is one of an issue in the total principal
amount of $79,000 all of like date and tenor, except as to
maturity, interest rate and denomination, which bond has
been issued pursuant to and in full conformity with the
Constitution and laws of the State of Minnesota for the
purpose of providing money for street, sewer and water
improvements, and is payable out of the Improvement Bonds
of 1971 Fund of the Village. This ,bond constitutes a
general obligation of the Village, and to provide moneys
for the prompt and full payment of said principal and
interest when the same become due, the full faith and
credit and taxing powers of said Village have been and
are hereby irrevocably pledged,
-4-
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 this bond, together with all other debts of the Village
outstanding on the date hereof and the date of its actual
issuance and delivery does not exceed any constitutional
or statutory limitation of indebtedness.
IN WITNESS WHEREOF, the Village of Elk River,
Sherburne County, Minnesota, by its Village Council has
caused this bond to be executed in its behalf by the
signatures of the Mayor and the Village Clerk,'and the
corporate seal of said Village to be affixed hereto, and
has caused the interest coupons to be executed and authen-
ticated by the facsimile signatures of said officers, all
as of December 1, 1971.
Village Clerk
I
Mayor
(Form of Coupon)
On the first day of December (June), 19 , the
Village of Elk River, Sherburne County, Minnesota, will pay
to bearer at
the sum shown hereon for interest then due on its Improvement
Bond of 1971, No. dated December 1, 1971.
/s/ Facsimile
Village Clerk
Q -5-
/s/ Facsimile
Mayor
6. The Village Clerk is directed to cause said
bonds to be prepared and the Mayor and Clerk are authorized
and directed to execute the same, and to cause said coupons
to be executed and authenticated by the printed, engraved
or lithographed facsimile signatures of said officers.
7. The said bonds when so prepared and executed
shall be delivered by the Treasurer to the purchaser thereof
upon receipt of the purchase price, and the said purchaser
shall not be obliged to see to the proper application thereof.
8. There is hereby created a special fund to be
designated "Improvement Bonds of 1971 Fund" to be held and
administered by the Village Treasurer separate and apart
from all other funds of the Village. Said fund shall be
maintained in the manner herein specified until all of the
bonds herein authorized and the interest thereon have been
fully paid. In said fund there shall be maintained two
separate accounts, to be designated as the "Construction
Account" and the "Sinking Fund Account", respectively. The
proceeds of the sale of the bonds herein authorized, less
accrued interest received thereon and less any amount paid
for said bonds in excess of $77, 815, shall be credited to
the Construction Account, from which there shall be paid
all costs and expenses of making said improvements, including
the costs of construction contracts heretofore let and all
other costs incurred and to be incurred and the moneys in
said account shall be used for no other purpose, provided
that the bond proceeds may also be used to pay interest on
said bonds due prior to the anticipated date of commencement
of the collection of special assessments herein levied, and
provided further that if upon completion of said improvements
there shall remain any unexpended balance in said Construction
Account, said balance may be transferred by the Council to the
fund of any other improvement instituted pursuant to Chapter
429 M.S.A. There is hereby pledged and there shall be credited
to the Sinking Fund Account, all collections of special assess-
ments herein levied, all accrued interest received upon delivery
of said bonds, all funds paid for the bonds -in excess of
$77,815, and all funds remaining in said Construction
Account after completion of the improvements and payment
of the costs thereof, not so transferred to the fund of
another improvement. The Sinking Fund Account shall be
used solely to pay principal and interest on the bonds
issued hereunder.
9. It is hereby determined that no less than
$ of the cost of improvements shall be paid by
special assessments to be levied against every assessable
lot, piece and parcel of land benefited by said improvements.
The Village hereby covenants and agrees that it will do and
0
perform as soon as they may be done, all acts and things
necessary for the 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 irregular-
ity, in any action or proceedings taken or to be taken by
the Village or this Council or any of the Village officers
or employees, either in the making of such assessments or
in the performance of any condition precedent thereto, the
Village and this Council will forthwith do all such further
acts and take all such further proceedings as may be required
by law to make such assessments a valid and binding lien upon
such property. Said assessments shall be payable in equal,
consecutive, annual installments, with general taxes for the
years shown below and with interest on the deferred balance
of all such assessments at the rate of % per annum:
Improvement
Designation Amount Leyy Years
10. It is hereby determined that the estimated
collections of said special assessments for the payment
of said bonds will produce at least five per cent in excess
of the amount needed to meet when due the principal and
interest payments on the bonds.
For the prompt and full payment of the principal
of and interest on said bonds, as the same respectively
become due, the full faith, credit and taxing powers of
the Village shall be and are hereby irrevocably pledged.
11. The Village Clerk is hereby directed to file
a certified copy of this resolution with the County Auditor
of Sherburne County, Minnesota, together with such other infor-
mation as he shall require, and to'obtain from said Auditor
his certificate that said bonds have been entered in the said
Auditor's Bond Register.
12. The officers of the Village are hereby autho-
rized 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
0 -7
and records of the Village relating to said bonds and to the
financial condition and affairs of the Village, and such other
affidavits, certificates and information as are 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, in-
cluding any heretofore furnished, shall be deemed represen-
tations of the Village as to the facts recited therein.
The motion for the adoption of the foregoing
resolution was duly seconded by member Rahapt Qtto
sn
and upon vote being taken thereon, the fg voted in
favor thereof:
Hudson Otto
and the following voted against the same:
None
Whereupon said resolution was declared duly
passed and adopted.
M
STATE OF MINNESOTA )
COUNTY OF SHERBURNE ) SS
VILLAGE OF ELK RIVER)
I, the undersigned, being the duly qualified and
acting Clerk of the Village of Elk River, Minnesota, DO
HEREBY CERTIFY that I have compared the attached and fore-
going extract of minutes with the original 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 Village Council
of said Village, duly called and held on the date therein
indicated, insofar as such minutes relate to the opening and
considering of bids for, and awarding the sale of $79,000
Improvement Bonds of 1971 of said Village.
WITNESS my hand and the seal of said Village this
day of 1%_e- = 1971.
Vill ge lr
(Seal)
0