RES 1959-111 - 00013146RESOLUTION NO. 111 - 1959
- A RESOLUTION DIRECTING THE ISSUANCE OF TEMPORARY
IMPROVEMENT BONDS IN ACCORDANCE WITH LAWS OF 1957
CHAPTER 385
BE IT RESOLVED, By the Council of the City of Fridley,
Anoka County, Minnesota, as follows:
Section 1. The total estimated cost of Sewer & Water
Improvement Project # 16 - 1958 has been
estimated at $146,000.00.
Section 2. It is now estimated that the sum of $11,000.00
is currently necessary to provide financing
of the projects above noted, and it is hereby determined to be
necessary to borrow said amount for the payment of obligations
now incurred and for expenses necessarily incurred in connection
with the construction of said improvement projects.
Section 3. There is hereby created Sewer & Water Improvemen
Project # 16 - 1958 (temporary) which shall
contain a construction account as a part thereof into which
shall be paid all proceeds of temporary bonds issued pursuant
to this resolution and similar subsequent resolutions, and
out of which shall be paid all amounts due and payable as costs
or expenses incident to or incurred in connection with the making
of said improvement.
Section 4. There is also hereby created in Sewer & Water
Improvement Project # 16 - 1958 Fund (temporary)
a sinking find account, which account is said fund may and shall
be termed as the Sinking Fund, into which fund shall be paid the
proceeds of all special assessments lev ied against benefited
property by reason of the making of said improvements as well
as all other monies herein to be paid as provided by law and out
of which shall be paid the princia, and interest on all temporary
improvement bonds issued to finance said project.
Section 5. It is hereby determined that the sum of $11,000.oO
shall be borrowed to finance said Sewer & Water
Improvement Project # 16 - 1958 with respect to costs of construc-
tion and expenses necessarily incurred relative thereto to this
date, and by the issuance of temporary improvement bonds of the
City of Fridley as authorized in Minnesota Statutes, Sec. 429.01,
Subdivision 3, as amended by Laws 1957, Chapter 385.
Section 6. Said bonds shall be payable from the Sinking Fund of
the following:
Sewer & Water improvement Project # 16 -1958
but the City further recognizes its duty under the law, as pro-
vided by Sec. 429.091, and covenants and agrees with the purchaser
and all holders from time to time, of said temporary improvement
bonds, at or prior to the maturity thereof that it will pay and
.retire such bonds and the interest thereon out of the proceeds
of definitive improvement bonds which the council shall issue and
sell at a prior or prior to the maturity of the tmporary improve-
ment bonds to the extent that the same cannot be paid out of funds
available in the Sinking Fund of Sewer & Water Improvement Project
# 16 - 1958 or out of other municipal funds which are properly
RESOLUTION NO. 111 - 1959 Continued
available and are appropriated by the Council for such purpose.
Wtion 7. It is hereby determined to levy special assess-
ments against benefited property by reason of
the making of Sewer & Water Improvement Project # 16 - 1958 and
to levy ad valorem taxes, if necessary, to produce sums at least 5 % in
excess of the amounts sufficient to pay principal and interest when
due on said temporary improvement bonds and on any definitive bonds
to be issued as herein provided, such special assessments to be
placed on the tax rolls at such time when said improvement projects
have been completed or the total cost thereof has been determined.
Section 8. Said temporary improvement bonds in the amount of
$ 11,000.00 shall be denominated Sewer & Water
Improvement Project # 15 - 1958 Bond Series "D" Temporary shall be
11 in number and numbered from 1 to 11, inclusive, each in the
denomination of $1,000.00 shall bear interest at the rate of 5 % per
annum, payable semi - annually December 15, 1961, shall be subject
to redemption and pre - payment on any interest payment date, at par
and accrued interest. Not less than 30 days before the date specified
for redemption of said bonds, the 15th day of December, 1961 shall
mail notice of the call thereof to the holder, if know, said
Treasurer shall maintain a record of the names and addresses of the
holders of said bonds insofar as such information is made available to
him by the holders thereof, for the purpose of mailing said notices.
The principal and all interest on said bonds shall be payable at
6431 University Avenue, city of Fridley, Fridley City Hall.
section 9. Said temporary improvement bonds shall be mimeo-
graphed and when so mimeographed shall have
attached thereto an interest coupon which Bond and coupon shall
be substantially in the following form:
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RESOLUTION NO. 111 - 1959
SECTION 10. S:id Bonds and coupons attached shall be prepared under
the direction of the City and shall be executed on be-
half of the City by the signatures of the Mayor and Manager, and the
corporate seal of the City shall be affixed thereto, and the appurten-
ant interest coupon shall be mimeographed and authenticated, by the
printed, engraved, lithographed, or facsimile signatures of said Mayor
and Manager. tilhen said bonds have been executed and authenticated,
they shall be delived by the Treasurer to the purchaser thereof, upon
payment of the purchase price heretofore agreed upon and accrued in-
terest to date of delivery and said purchaser shall not be obliged to
See to the application thereof.
SECTION 11. `The City Manager is hereby authorized and directed to file
a certified copy of this resolution with the County Auditor
of Anoka County, together with such other information as he shall require
and to obtain from said County Auditor a certificate that said bonds have
been entered on his bond register.
SECTION 12. The bonds issued hereunder shall be payable from Sewer and
Water Improvement Project 3r` 16 1958 Fund which is hereby
created. The treasurer shall cause all monies received from the pro-
ceeds of said bonds, all monies appropriated and transferred from other
funds and all special assessments for the improvements provided that if
any payment of principal or interest shall become due when there is not
sufficient money in said fund to pay the same, the Treasurer shall pay
such principal orinterest from the general fund of the City and such
fund shall be reimbursed for such advances out of monies to be credited
to said fund when said monies are collected. All proceeds for said
bonds except accrued interest shall be credited to the fund and used to
pay the cost of said improvements.
SECTION 13. It is further provided that should it appear at any time
that the monies credited to said fund and provided for the
payment of pincipal or interest on the bonds when the sums become due
are not sufficient to pay the same, that then the City shall issue
further definitive improvement bonds as authorized and provided in
accordance with Minnesota Statutes, Section 429.091, Chapter 475, and
that the proceeds of said further definitive bonds shall be first used
to pay the principal and interest as is then due and to redeem the tem-
porary bonds issued hereunder.
SECTION 14. The City Council has determinedthat not less than eighty
per cent (80 %) of the total cost of said improvements
will be paid by special assessments to be levied against every lot, piece
or parcel of land benefited by the said improvements. The City hereby
covenants and agrees that it willdo and perform, as soon as they can be
done, all acts and things necessary for the final and valid levy of such
special assessments, and in the event that any such assessments be at any
time held invalid with respect to any lot, piece or parcel of land, due
to any error, defect or irregularity or in any action or proceeding
taken or to be taken by the Council or any othe City Officers or employees,
either in the making of such assessment or in the performance of any
condition precedent thereto, the City and this Council will forthwith
do all such further proceedings as may be required by law to make such
assessments valid and binding liens against such property, also shall
take such further proceedings as may be required by law to provide
monies for the payment of principal and interest as the same fall due
on the bonds issued hereunder and to provide for the redemption of the
same.
SECTION 15. It is hereby determined that the collection of special assess-
ments and the proceeds of monies appropriated and transferred
from other funds is and will be in an amount of at least five percent
(5 %) in excess of the amount required to pay the principal and interest
of said bonds and whn due and that no ad valorem tax levy is accordingly
required.
rs
RESOLUTION NO. 111 - 1959
SECTION 16. The officers of the City and the County Auditor
of Anoka County 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, cer-
tified copies of all proceedings and records relating to said
bonds and to the financial affairs of said 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 such certificates, certified copies and affidavits, in --
cluding any heretofore furnished, shall be deemed representa-
tions of the City as to the correctness of all statements con -
tained therein.
PASSED AND ADOPTED BY THE CITY COUNCIL, CITY OF FRIDLEY, THIS
10TH DAY OF DEMCEMBER, 1959.
it�ff 4
OR - Frank C. LaGragre, irer
ATTEST:
ITY CLERK - Marvin C.Brunsell