RES 1967-115 - 00010772152
RESOLUTION NO. 115 -1967
A RESOLUTION DIRECTING THE ISSUANCE OF TEMPORARY IMPROVE-
MENT BONDS: ACCORDANCE 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 1967 -1 and 1967 -2 Street Improve-
ment Projects has been estimated at $158,000.00.
SEC. 2 It is now estimated that the sum of $155,000.00 is currectly
necessary to provide financing of the projects above noted, and it
is hereby determined to be necessary to borrow said amount for the
payment of obligations now incurred and for expenses necessarily
incurred in connection with the construction of said improvement
project.
SEC. 3 There is hereby created 1967 -1 and 1967 -2 Street Improve-
ment Fund (Temporary) which shall contain a construction account
as part thereof into which shall be paid all proceeds of temporary
bonds issued pursuant to this resolution and similar subsequent
resolution$, 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 inprovement.
SEC. 4 There is also hereby created 1967 -1 and 1967 -2 Street
Improvement Fund (Temporary) a Sinking Fund Account, which account
in said fund may and shall be termed as the Sinking Fund, into which
shall be paid the proceeds of all special assessments levied against
benefited property by reason of 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 project.
SEC. 5 It is hereby determined that the sum of $155,000.00 shall
be borrowed to finance said 1967 -1 and 1967 -2 Street Improvement
Projects with respect to cost of construction and expenses nec-
essarily 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 3, as amended by
Laws 1957, Chapter 385.
SEC. 6 Said bonds shall be payable from the Sinking Fund of the
following: 1967 -1 and 1967 -2 Street Improvement Fund but the
City further recognized its duty under the law, as provided 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 or the proceeds of definitive improve-
ment 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 1967 -1 and 1967 -2 Street Improvement Fund or out of other
Municipal funds which are property 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 1967 -1 and 1967 -2
Street Improvement Fund 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.
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Resolution No. 115 -1967 Continued.
153
SEC. 8 Said temporary improvement bonds in the amount of $155,000.00
shall be denominated 1967 -1 and 1967 -2 Street Improvement Project
Bond Series "A" (Temporary) shall be thirty one (31) in number and
numbered from 1 to 31 inclusive, each in the denomination of
$5,000.00 shall bear interest at the rate of 5c. per annum, payable
semi- annually on June lst and December 1st of each year and shall
mature on June 1, 1970, 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
on 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 addressess 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, Minnesota, 55421.
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:
(Form of Coupon)
NO. $
(Unless the bond described below is called for earlier redemption)
on the day of , 19_, the of
County, Minnesota, will pay to bearer at
dollars lawful money of the
then due on its
IDated:
Minnesota, the sum of
United States of America for interest
CITY 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 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 facsimile 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 thereof, upon payment of the pur-
chase price heretofore agreed upon and accrued interest to date of
delivery and said purchaser shall not be obliged to see to the
application 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 with 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 for 1967 -1
and 1967 -2 Street Improvement 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
154
Resolution No. 115 -1967 Continued.
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.
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 be first
used to pay the principal and interest as is then due and to redeem
the temporary bonds issued thereunder.
SEC. 14 The City Council has determined that not less than twenty
percent (20 %) 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 here-
by 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 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.
SEC. 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
and the interest on said bonds when due and that 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 pro-
ceedings 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
'.mown 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 there- '
in.
PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FRIDLEY•THIS
19TH DAY OF JUNE, 1967.
MAYOR - JACK 0. KIRKHAM
ATTEST:
CITY CLERK - MARVIN C. BRUNSELL