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RES 1965-204 - 00011535280 RESOLUTION N0. 204 -1965 A RESOLUTION DIRECTING THE ISSUANCE CF TEMPORARY IMPROVEMENT BONDS IN ACCORD+. ANCE WITH LAWS OF 1957, CHAPTER 385 BE IT RESOLVED, By the Council of the City of Fridley, Anoka County, Minnesota, as follows: ' SEC. 1. The total estimated cost of Sewer and Water Improvement Project#73 has been estimated in excess at $2003000.00. SEC. 2. It is now estimated that the sum of $100,000.00 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 cm strue- tion of said improvement projects. SEC. 3. There is hereby created Storm Sewer, Sanitary Sewer and Water Improve- ment #73 Fund (temporary) which shall contain a construction account as part thereof into which shall be paid all proceeds of temporary bonds inssued pursuant to this resolution and similary subsequent resolution, and out of which shall be paid all amount due and payable as costs or expenses incident to or incurred in connection with the making of said improvement. , SEC. 4. There is also hereby created in Storm Sewer, Sanitary Sewer, and Water Improvement #73 Fund (temporary) a Sinking Fund !:count, 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 other monies therein to be paid as provided by the law and out of which shall be paid the principal and interest on all temporary improvement bonds issued to finance said project. SEC. 5. It is hereby determined that the sum of $100,000,00 shall be borrowed to finance said Storm Sewer, Sanitary Sewer, and Water Improvement Project #73 with respect to cost 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 Statutes, Sec. 429.01, Subdivision 32 as amended by laws 1957s Chapter 385. SEC. 6. Said bonds shall be payable from the Sinking Fund of the following: Storm Sewer, Sanitary Sewer, and Water Improvement #73 Fund but the City furthe recognize its duty under the law, as provided by Sec. 429.091, and covenants and agrees wi th the purchaser and all holders from time to time, of said temporary improvement bonds, at or prior to the maturity thereof that it will w RESOLUTION NO. 201 -1965 (Continued) 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 prior 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 Storm Sewer, Sanitary Sewer, and Water Improvement #73 Fund or out of other municipal funds which are properly available and are appropriated by the council for such purpose. SEC. 7. It is hereby determined to levy special assessments against benefited property by reason of the making of Storm Sewer, Sanitary Sewer, and Water Improvement Project #73 andto levy ad valorem taxes, if necessary, to produce sums at least 5% in excess of the amounts sufficient to pay prindoal 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 an the tax rolls at such tine when said improvemement projects have been completed or the total cost thereof has been determined. SEC. 8. Said temporary improvement bonds in the amount of ,$100,000.00 shall be denominated Storm Sewer, Sanitary Sewer, and Water Improvement Project #73 Bond Series "A° (TEMPORARY) shall be twenty (20) in number and siumbered from 1 to 20 inclusinve, each in the denomination of $5,000.00 shall bear interest at the rate of 421% per annum, payable semi - annually of May 15th and November 15th, of each year and shall mature on November 15, 1967, shall be subject to redemption and pre - payment on any interest date, at par and accrued interest. Not 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. SEC. 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: U'd No. RESOLUTION NO. 2o4 -1965 (Continued) (Form of Coupon) (Unless the bond described below is called for earlier redemption) on the .,, , day of , 19 , the County, Minnesota, will pay to bearer at of Minnesota, the sum of DOLLARS lawful money of the United States of America for interest then due on its Dated Manager Mayor SEC. 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 by the signature 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 authen- ticated, by the printed, engraved, lithographed, or facsimile signatures of said Mayor and Manager, When said bonds have been exacuted and authenticated they shall be delivered by the Treasurer to the purchaser thereof, upon payment of the purchase prices heretofore agreed upon and accrued interest to date of delivery and said purchaser shall not be obliged to see to the appli- cation thereof. SEC. 11. The City Manager is hereby authorized and directed to file a certified copy of this resolution with County Auditor of Anoka County, together vi th such other information as he shall require and to obtain from said County Auditor a certificate that said bonds have been entered on this bond register. SEC. 12. The bonds issued hereunder shall be payable from Storm Sewer, Sanitary Sewer and Water Improvement #73 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 and all special assessments for the improvements provided that is 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 accrued interest shall be credited to the fund and used to i RESOLUTION N0. 204 -1965 (Continued) pay the cost of said improvements. SEC. 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 authorized and provided in accordance with Minnesota Statutes, Sec. 429.091, Chapter 475, and that the process of said further definitive bonds shall b e first used to pay the principal and interest as is then due and to redeem the temporary bonds issued thereunder. SEC. 1l4. _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 assess- ments 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 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 c'? C) ej %6a:k 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 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, will be in an amount of at least five per cent (5 %) in excess of the amount required to pay the principal of the interest on said bonds when due andthat no ad valorem tax levy is accordingly required. SEC. 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 RESOLUTION N0:• 2o4 -1965 (Continued) 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 certificated, 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 6TH DAY OF DECEMBER, 1965. qL Mayor City Manager ATTESTt City C1er