RES 1968-47 - 0001036473
RESOLUTION NO. 47 -1968
- A RESOLUTION DIRECTING THE ISSUANCE OF TEMPORARY IMPROVE-
MENT BONDS IN ACCORDANCE WITH LAWS OF 1957, CHAPTER 385
BE IT RESOLVED, By the Council of the City of Fridley, Minne-
sota, as follows:
SEC. 1. The total estimated cost of street Improvement Project
No. 1968 -3 has been estimated in excess of $215,000.00.
SEC. 2. It is now estimated that the sum of $60,000.00 is cur-
rently 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 ne-
cessarily incurred in connection with the construction of said
improvement project.
SEC. 3. There is hereby created street Improvement No. 1968 -3
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
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 improvement.
SEC. 4. There is also hereby created in Street Improvement No.
1968 -3 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 the making of said im-
provements as well as all other monies therein to be paid as pro-
vided 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 $60,000.00 shall
be borrowed to finance said Street Improvement Project No. 1968 -3
with respect of costs of construction and expenses necessarily
incurred relative thereto to this date, by the issuance of tem-
porary 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: Street Improvement Project No. 1968 -3 Fund but the
City further recognizes its duty under the law, as provided by
Sec. 429.091, and covenants and agrees with 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 de-
finitive 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 avail-
able in the Sinking Fund of Street Improvement No. 1968 -3 Fund
or out of other municipal funds which are properly available and
are appropriated by the Council for such purpose.
74 Resolution No. 47 -1968 Continued.
SEC. 7. It is hereby determined to levy special assessments
against benefited property by reason of the making of Street
Improvement Project No. 1968 -3 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 tem-
porary 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.
SEC. 8. Said temporary improvement bonds in the amount of
$60,000.00 shall be denominated Street Improvement Project No,
1968 -3 Bond Series "A" (temporary)shall be twelve (12) in number
and numbered from 1 to 12 inclusive, each in the denomination of
$5,000.00, shall bear interest at the rate of 5% per annum,
payable semi - annually on March 1st and September 1st of each year
and shall mature on March 1, 1971 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 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 have attached
thereto an interest coupon which Bond and Coupon shall be sub-
stantially in the following form:
(Form of Coupon)
No.
(Unless the bond described below is called
On the day of
of Minnesota,
Dollars lawful money of the United states
then due on its
Dated:
Manager Mayor
for earlier redemption)
19 , the
the
of
sum of
American for interest
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 fascimile 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 hereto-
fore 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 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 this bond register.
Resolution No. 47 -1968 Continued.
SEC. 12. The Bond issued hereunder shall be payable from Street
Improvement No. 1968 -3 Fund which is hereby created. The Treasurer
shall cause all monies received from the process 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 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 pro-
vided 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.
SEC. 14. The City Council has determined that not less than
eighty per cent (80 %) of the total cost of said improvements
will be paid be 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 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 os 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 trans-
ferred 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
proceedings and records relating to said bonds and to the finan-
cial 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
75
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Resolution No. 47 -1968
otherwise known to them, such certificates, certified copies and
affidavits, including aiy heretofore furnished, shall be deemed
representations of the City as to the correctness of all state-
ments contained therein.
PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FRIDLEY
THIS 1ST DAY OF APRIL, 1968.
YOR - Jack O. Kirkham
ATTEST:
CITY CLERK - Marvin C. Brunsell