RES 1979-95 - 00006798164
RESOLUTION NO. 95 -1979
A RESOLUTION DIRECTING THE ISSUANCE OF TEMPORARY
IMPROVEMENT BONDS IN ACCORDANCE WITH LAWS OF 1957,
CHAPTER 385
WATER & SEWER IMPROVEMENT PROJECT NO. 126
BE IT RESOLVED by the Council of the City of Fridley, Anoka County,
Minnesota, as follows:
SECTION 1. The total estimated cost of Water & Sewer Improvement Project
No. 126 has been estimated at $20,000.00
SECTION 2. It is now estimated that the sum of $20,000.00 is currently
necessary to provide financing of the project 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.
SECTION 3. There is hereby created a Water & Sewer Improvement Project No.
126 Fund whichshall contain a construction account as part thereof
into which shall be paid all proceeds of temporary bonds issued
pursuant to this resolution and 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.
SECTION 4: There is also hereby created a Water & Sewer Improvement Project
#126 principal and interest account, which account in said fund
may and shall be termed as the principal and interest 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.
SECTION 5. It is hereby determined that the sum of $20,000.00 shall be
borrowed to finance said Water & Sewer Improvement Project No.
126 with respect to cost of construction and expenses necessarily
incurred relative thereto by this date, by the issuance of
temporary improvement bonds of the City of Fridley as authorized
in Minnesota Statues, Section 429.01, Subdivision 3, as
amended by Laws of 1957, Chapter 385.
SECTION 6. Said bonds shall be payable from the principal and interest fund
of the Water & Sewer Improvement Project No. 126, but the City,
further recognizing its duty under the law as provided by Section
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 from the principal and interest fund of
Water & Sewer Improvement Project No. 126, or out of other
Municipal funds which are properly available and are appropriated
by the Council for such purpose.
Section 7. It is hereby determined to levy special assessments against
benefited property by reason of the making of Water & Sewer
Improvement Project 126 and to levy ad valorem taxes if necessary
to produce sums at least five percent in excess of the amounts
sufficient to pay principal and interest when due on said
temporaryimprovement 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 when the total cost thereof has been determined.
165
RESOLUTION NO. 95 -1979 (CONTINUED)
SECTION 8.
Said temporary improvement bonds in the amount of $20,000
shall be denominated Water & Sewer Improvement Project No.
126 and shall be four in number and numbered from 1 to 4
inclusive, each in the denomination of $5,000 and shall bear
interest at the rate of 7 percent per annum payable semian-
nually on the 1st day of February and August of each year,
and shall mature on August 1982, and shall be subject to
redemption and prepayment on any interest payment date at
par and accrued interest. Not less than thirty 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 informa-
tion 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.
SECTION 9. Said temporary improvement bonds shall be duplicated and when
so duplicated shall have attached thereto an interest coupon
which bond coupon shall be substantially in the following form:
No. $
(Unfesb the bond desctibed below .is ca tied bon ewLti.eA nedempxion)
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
YOR
SECTION 10. Said bonds and attached coupons shall be prepared under the
direction of the City Clerk and shall be executed on behalf of
the City by the signatures of the Mayor and City Clerk, and the
corporate seal of the City shall be affixed thereto and the
appurtenant interest coupon shall be duplicated and authenticated
by the printed, engraved, lithographed or facsimile
signatures of said Mayor and City Clerk. 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.
SECTION 11. The City Clerk 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 s /he shall
require and to obtain from said County Auditor a certificate that
said bonds have been entered on this bond register.
SECTION 12. The bonds issued hereunder shall be payable from Water & Sewer
Improvement #126 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 improvement, 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.
166
RESOLUTION NO. 59 -1979 (CONTINUED)
SECTION 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, Section 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.
SECTION 14. The City Council has determined that not less than twenty
percent of the total cost of said improvement will be paid by
special assessments to be levied against every lot, piece
or parcel of land benefited by the said improvement. 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 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.
SECTION 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 percent 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.
SECTION 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 financial affairs of
said City, and such other affidavits, certificates and information
as may be required, to show the fact - 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, MINNESOTA
THIS 6TH DAY OF AUGUST.
ATTEST:
MARVIN C. BRUNSELL, CITY CLERK
WILLIAM J. N - MAYOR