RES 1959-86 - 00013112RESOLUTION NO. 86 - 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, Minnesotans follows:, I '
Section 1. The total estimated cost of Sewer and
Water Improvement Project # 22 - 1959
has been estimated to be in excess of $50,000.00.
Section 2. It is now estimated that the sum of $50,000
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
Improvement # 22 - 1959 Fund - (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 allamounts 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 # 22 - 1959
Fund (temporary) a Sinking Fund Account, which account
in said Fund may and shall be termed as the Sinking
Fund, into which fund shall be paid the proceeds of all
special assessments levied against benefited property
by reason of the making of said improvements as well
as all other monies therein to be paid as provided by
law and out of which shall be paid the principal and
interest on all temporary improvement bonds issued to
finance said projects.
Section 5. It is hereby determined that the sum of
$50,000.00 shall be borrowed to finance
said Sewer & Water Improvement Project # 22 - 1959
with respect to costs of construction and expenses
necessarily incurred relative thereto to this date
by the issuance of temporary improvement bonds of the
City of Fridley as authorized in Minnesota Statutues,
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 and Water Improvement # 22 - 1959
Fund
but the City further recognizes its duty under the law
as provided by Sec. 429.091, and convenants and agrees
I ]
RESOLUTION NO. 86 - 1959 Continued
with the purchaser and all holders from time to time,
of said temporary impmvement 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 or pbor to the maturity of the temporary improvement
bonds, to the extent that the same cannot be paid out of
funds available in the Sinking Fund of Sewer & Water
Improvement # 22 - 1959 Fund or out of other municipal
funds which are properly available and are appropriated
by the council for such purpose.
Section 7. It is hereby determined to levy special assess-
ments against benefited property by reason of
the making of Sewer & Water Improvement Project # 22 - 1959
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 improve-
ment 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 pro-
jects have been completed or the total cost thereof has
been determined.
Section 8. Said temporary improvement bonds in the amount
of $50,000.00 shall be denominated Sewer &
Water Project # 22 - 1959 Bond Series "A "(temporary) shall
be Ten (10) in number and numbered from 1 to 10, inclusive,
each in the denomination of $5,000.00, shall bear interest
at the rate of 5 % per annum, payable semi- annually on
30th day of September and 28th day of February of each
year and shall mature on 30th of September, shall be subject
to redemption and prepayment on any interest payment date,
at par and accrued interest. No t less than 30 days before
the date specified for redemption of said bonds, the City
Treasurer shall mail notice of the call thereof to the
holder, if known, 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 Fridley City Hall, 6431 University Avenue,
N.E., Minneapolis 21, Minnesota.
Section 9. Said temporary improvement bonds shall be
mimeographed and when so mimeographed shall
have attached thereto an interest coupon which Bond and
coupon shall be substantially in the following form:
UNITED STATES OF AMERICA
STATE OF MINNESOTA
COUNTY OF ANOKA
CITY OF FRIDLEY
' NO. $ 5,000.00
KNOW ALL MEN By THESE PRESENTS THAT the City of Fridley, a duly
organized municipal corporation of Anoka County, Minnesota acknow-
ledges itself to be indebted for value received, promises to pay
to bearer the sum of $5,000.00 on the 30th day of September , 1961,
or on a date prior thereto on which this bond has been duly called
for redemption at the rate of five per cent (5 %) per annu, payable
semi - annually on the 15th day of March and September in each
year, interest to maturity being payable in accordance with and upon
presentation and surrender of the interest coupon appurtenant there-
to, Both principal and interest are payable at the Fridley City Hall,
Fridley, Anoka County, Minnesota in any currency or coin of the
United States of America which on the respective dates of payment
is legal tender for private and public debts. For the prompt and
full payment of such principal and interest as the sambe become
due the full faith, credit and taxing powers of the City are hereby
irrevocably pledged.
This bond is one of a series in the aggregate principal amount of
$ 50,000.00 all of like date and tenor except as to serial number
all issued by said City for the purpose of defraying expenses in-
curred and to be incurred in making improvements designated as S & W
Improvement Project 22 -1959 by the City of Fridley, con -
sisting of the construction of Water & Sewer Mains authorized by
Chapter 429, Minnesota Statutes, and is issued pursuant to and
in full conformity with resolution duly adopted by the City Council
after hearings as required by law and pursuant to and in full con -
formity with the Constitution and laws of the State of Minnesota
thereto enabling incliv_ding Minnesota Statutes, Section 429.0910
Subdivision 3, as amended by Laws 1957, Chapter 385. This bond is
payable first and primarily from the S & W Improvement 22 -1959
Fund but the City of Fridley is required to pay the principal and
interest thereon out of any funds in the Treasury in the event that
the monies on hand in said S & W Improvement 22 -1959 Fund are at any
time insufficient to meet the payment of maturing principal and
interest, and the City of Fridley is further required at or prior
to the maturity of this bond to provide for the payment and retire-
ment thereof by the issuance of definitive bonds, to the extent, if
any, that the assessments and taxes or other municipal funds there -
' tofore,collected and received in said S & W Improvement22 - 1959
Fund may be insufficient for such purpose.
This bond is subject to redemption and prepayment at the option of
the City of Fridley on any interest payment date, at a price of par
and accrued interest, upon notice of call for redemption mailed not
less than 30 days prior to the date specified for such redemption
to the holder if known, Bond holders, desiring to receive such
notice must register their names and addresses and the serial
numbers of their bond with the City Clerk._
IT IS HEREBY CERTIFIED, RECITED, COVENANTED and agreed that all
acts, conditions and things required by the Constitution and laws of
the State of Minnesota be done, to exist, to happen and to be per -
formed preliminary to and in the issuance of this bond in order to
make it valid and binding general obligation of said City of Fridley
' according to its terms have been done, do exist, have happened and
have been performed as so required; that the City has duly determined
the necessity of and provided for the construction of said S & W -
Improvement Project # 22 - 1959 that the S & W Improvement # 22 - 1959
Fund has been duly created and provision has been made for the support
thereof by special assessments and ad valorem taxes to be levied, at
or prior to the time of the issuance of said definitive improvement
bonds, for the years and in aggregate amounts not less than five per
cent ( 5 % ) in excess of sums sufficient to pay the principal and
interest on all bonds payable from said fund as such principal and
interest become due, and additional taxes, if need for said purpose,
will be levied upon all taxable property in the City, without
limitation as to rate or amounts; that the holder hereof shall have
and may enforce by appropriate proceedings all duties imposed by
said Chapter 385 upon the City and its officers with reference to
the levy and collection of said assessments and taxes and the issuance
of said definitive bonds; and that the issuance of this bond did not
cause the indebtedness of said City to exceed any constitutional or
statutory limitation.
IN WITNESS WHEREOF THE City of Fridley, Anoka County, Minnesota,
by its City Council, has caused this bond to be executed in its behalf
by the signature of its Mayor and Manager and sealed with tts official
seal, and the interest coupons appurtenant thereto to be executed
and authenticated by the facsimile signatures of said officers, and
has caused the bond and coupon to be dated all as of
S E A L
NO. $ las.00
(Unless the bond described below is called for earlier redemption)
On the _ day of , . ., the City of Fridley
Anoka County, Minnesota, will pay to bearer at the City Hall, City of
Fridley, County of Anoka, Minnesota, the sum of one hundz'ed= twenty five
dollars ($100.(79) ($25.00) lawful money of the United
' States of America for interest then due on its
S & W Improvement Project # 22 - 39.5:9 Improvement Bond (Temporary)
CITY MANAGER
MAYOR
RESOLUTION NO. 86 - 1959 Continued
Section 10. Said bonds and coupons attached shall be
prepared under the direction of the City
Manager and shall be executed on behalf of the City of
FrIley by the signatures of the Mayor and Manager, and
the corporate seal of the City shall be affixed thereto
and the appurtenant interest coupon shall be mimeographed
and authenticated, by the printed, engraved, lithographed
or facismile signatures of said Mayor and Manager. When
said bonds have been executed and authenticated they
shall be delivered by the Treasurer to the purchaser
thereof, upon payment of the purchase price heretofore
agreed upon and accrued interest 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, to
gether 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 & Water Improvement # 22 - 1959
Fund which is hereby created. The Treasurer shall cause
all monies received from the proceeds 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 or interest
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 acrued 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 principal 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 same, that then the City
shall issue further definitive bonds as authorized and
provided in accordance with Minnesota Statutes, Sec. 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 temporary bonds issued
hereunder.
section 14. The City Council has determined that 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 will do 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
RESOLUTION No. 86 - 1959 - Continued
error, defect or irregularity, or in any action or
proceeding taken or to be taken by the Council or
any of the 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, and also shall
take such further procedings 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 here-
under and to provide for the redemption of the same.
Section 15. It is hereby determined that the collection
of special assessments and the proceeds of
monies appropriated and transferred from other funds is
and will be in an amount of at least five per cent (5 %)
in excess of the amount required to pay the principal
of interest on said bonds when due and that no ad valorem
tax levy is accordingly required.
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, certified 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, including any heretofore
furnished, shall be deemed representations of the City as
to the correctness of all statements contained therein.
PASSED BY THE CITY COUNCIL THIS 24TH DAY OF SEPTEMBER
1959. 1
ATTEST:
CITY CLERK - Marvin . Brunsell