RES 1979-27 - 0000666635
RESOLUTION NO. 27 - 1979
A RESOLUTION DIRECTING THE ISSUANCE OF TEMPORARY
IMPROVEMENT BONDS IN ACCORDANCE WITH LAWS OF 1957,
-CHAPTER 385: STREET IMPROVEMENT PROJECT NO. ST.
1975 -4
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. 1975 -4
has been estimated at $100,000.00.
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 _a
and for expenses necessarily incurred in connection with the construction of
said improvement project.
SEC. 3. There is hereby created Street Improvement Project No. ST. 1975 -4 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 similarly
subsequent resolutions, 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 Street Improvement Project No. ST. 1975 -4
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 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 $100,000.00 shall be borrowed
to finance said Street Improvement Project No. ST. 1975 -4 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, as amended by
Laws 1957, Chapter 385.
SEC. 6. Said bonds shall be payable from the P & I Fund of the following:
Street Improvement Project No. ST. 1975 -4 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 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 P & I Fund of Street Improvement Project No.
ST. 1975 -4 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 Street Improvement Project No. ST. 1975 -4
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.
SEC. 8. Said temporary improvement bonds in the amount of $100,000.00 shall
be denominated Street Improvement Project No. ST. 1975 -4 Bond Series "A"
shall be twenty (20) in number and numbered from 1 to 20 inclusive, each in
the denomination of $5,000.00 shall bear interest at the rate of 7% per annum,
payable semi - annually on July and January of each year and shall mature on
January 15, 1982, 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
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Resolution No. 27 - 1979 Continued Page 2
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 Nall, 6431 University
Avenue, N.E., Minneapolis, 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)
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
Minnesota, the sum of dollars
lawful money of the United States of America for interest then due on its
DATED
CITY MANAGER
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
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 Street Improvement
Project No. ST. 1975 -4 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 advance 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
I
Resolution no. 27 - 1979 Continued
Page 3
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 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 proceedings 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 attorney's 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 AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FRIDLEY THIS 12TH
DAY OF FEBRUARY, 1979.
ATTEST:
� c� CV
CITY CLERK - MARVIN C. BRUN
MAYOR - WILLIAM J. NEE
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