RES 1973-124 - 00008203196
RESOLUTION NO.
124 1973
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:
SEC. 1. The total estimated cost of Street Improvement Project No. St. 1973 -1
ana St. 1973 -2 has been estimated at $680,000.00.
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SEC. 2. It is now estimated that the sum of $680,000.00 is currently necessary
to provide financing 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 a
construction of said improvement project.
SEC. 3. There is hereby created Street Improvement Project No. ST. 1973 -1
and Ste. 1973 -2 which shall contain a construction account as part thereof
into shall be paid all proceeds of temporary bonds issued pursuant to this
resolution and similary subsequent resolutions and out of which shall be paid
all amounts due and payable as costs or expenses insident to or incurred
in the connection with the making of said improvement.
SEC. 4. There is also hereby created Street Improvement Project No. ST. 1973 -1 '
and ST. 1973 -2 a P & I Account, which account in said fund may and shall be
termed as the P & I Fund, into which shall be paid the proceeds of all
special improvements as well as all other monies therein to be paid as
provided by law and out of which shall be paid principal and interest on
all temporary improvement bonds issued to finance said project.
SEC. 5. It is hereby determined that the sum of $680,000.00 shall be borrowed
to finance said Street Improvement Project No. ST. 1973 -1 and ST. 1973 -2 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 3,
and amended by Laws of 1957, Chapter 385.
SEC. 6. Said bonds shall be payable from the P.& I Fund of the following:
Street Improvement Project No. ST. 1973 -1 and ST. 1973 -2 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 improvements 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
prior to maturity of the temporary improvement bonds to the extent that the
same cannot be paid out of funds available in the P & I Fund of Street
Improvement Project ST. 1973 -1 and ST. 1973 -2 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 making of Street Improvement Project -No. ST. 1973 -1
and ST. 1973 -2 and to levy ad valorem taxes, if necessary 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. 124 1973
PAGE 2
SEC. 8. Said temporary improvement bonds in the amount of $680,000.00
s�iall 5e denominated Street Improvement Project No. ST. 1973 -1 and ST. 1973 -2
Bond Series "B" shall be sixty -eight (68) in number and numbered from 1
to 68 inclusive, each in the denomination of $10,000.00 shall bear interest
at the rate of 7% per annum, payable semi - annually on February and August
of each year and shall mature on August 1, 1976, 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 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 Fridley City Hall, 6431 University Avenue N. E., Fridley, Minnesota
55432.
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)
(Unless the bond described below is called for earlier redemption)
on the day of 19_, the of
County, Minnesota, will pay to bearer at
County, Minnesota, the sum of dollars lawful
money of the United States of America for interest then due on its
DATED
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
of the purchase price heretofore agreed upon and accrued interest to date of
delivery and said purchaser shall not be obliged to see 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.
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RESOLUTION NO. 124 1973
PAGE 3
SEC. 12. The bonds issued hereunder shall be payable for Street Improvement
Project No. ST. 1973 -1 and ST. 1973 -2 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 fund shall be reimbrused 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 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 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 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 performance of
any condition precedent thereto, the City 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 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 Tiereby 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 the, 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 AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FRIDLEY THIS LOTH
DAY OF SEPTEMBER , 1973,
Fra (P.GY.�i e
ACTING CITY MANAGFR Nasim Ourei