RES 1981-05 - 000061280
RESOLUTION NO. 5 - 1981
RESOLUTION AWARDING THE SALE OF $2,200,000 GENERAL
OBLIGATION TAX INCREMENT REDEVELOPMENT BONDS OF 1981;
FIXING THEIR FORM AND SPECIFICATIONS: DIRECTING THEIR
EXECUTION AND DELIVERY; AND PROVIDING FOR THEIR PAYMENT
BE IT RESOLVED by the City Council of the City of Fridley, Minnesota, as
follows:
1. The bid of John Nuveen and Company, Inc., of Chicago, Illinois, to
purchase $2,200,000 General Obligation Tax Increment Redevelopment Bonds
of 1981 of the City described in the notice of sale thereof, is hereby
found and determined to be the highest and best bid received pursuant to
duly advertised notice of sale and shall be and is hereby accepted, such
bid being to purchase such bonds at a price of $2,169,200.00 plus accured
interest to date of delivery, such bonds to bear interest as follows:
Year
Amount
Rate
Year
Amount
Rate
1984
$ 50,000
7.10%
1992
$125,000
8.00%
1985
75,000
7.20%
1993
150,000
8.15%
1986
75,000
7.30%
1994
175,000
8.30%
1987
75,000
7.40%
1995
175,000
8.45%
1988
100,000
7.50%
1996
200,000
8.60%
1989
100,000
7.60%
1997
200,000
8.75%
1990
125,000
7.75%
1998
225,000
8.90%
1991
125,000
7.90%
1999
225,000
9.00%
The Sum of $12,337, being the amount bid in excess of $2,156,863, shall
be credited to the bond sinking fund hereinafter created for the
Redevelopment Bonds. The City Manager is directed to retian the good
faith check of the successful bidder pending completion of the sale and
delivery of the bonds. The city Manager and the financial consultants
are directed to return the checks of the unsuccessful bidders forthwith.
2. The City shall forthwith issue and sell its General Obligation Tax
Increment Redevelopment Bonds of 1981 (the "Bonds ") in the principal
amount of $2,200,000, dated February 1, 1981, the Bonds being 440 in
number and numbered 1 to 440, both inclusive, in the denomination of
$5,00 each, bearing interest as above set forth, all interest payable
August 1, 1981, and semiannually thereafter on February 1 and August 1 in
each year, and which Bonds mature serially on February 1 in the amounts
and in each of the years 1984 to 1999, as set forth in paragraph 1. All
bonds maturing after February 1, 1990, are subject to prior redemption on
said date and any interest payment date thereafter at par plus accrued
interest.
3. Both principal of and interest on the Bonds shall be payable at the main
office of the First National Bank of Minneapolis, of Minneapolis,
Minnesota, and the City shall pay the reasonable charges of said bank for
its services as paying agent.
4. 'The Bonds and the interest coupons to be thereto attached shall be in
substantially the following form:
No.
UNITED STATES OF AMERICA
STATE OF MINNESOTA
COUNTY OF ANOKA
CITY OF FRIDLEY
$5,000
GENERAL OBLIGATION TAX INCREMENT REDEVELOPMENT BOND OF 1981
KNOW ALL MEN BY THESE PRESENTS that the City of Fridley, Anoka County,
Minnesota, acknowledges itself to be indebted and, for value received, hereby
promises to pay to bearer the sum of FIVE THOUSAND DOLLARS on the 1st day of
February, 19 , and to pay interest thereon from the date hereof until the
principal amount is paid at the rate of percent (_%) per
annum, interest to maturity payable of August and semiannually
thereafter on the 1st day of February and the 1st day of August in each year
11
12 Page 2 -- RESOLUTION NO.5 - 1981
in accordance with and upon presentation and surrender of the interest
coupons hereto attached as they severally become due. Both principal of and
interest on this bond are payable at the main office of the First National
Bank of Minneapolis, in Minneapolis, Minnesota, in any coin or currency of
the United States of America which on the date of payment is legal tender for
public and private debts. All bonds of this issue maturing after February 1,
1990, are subject to prior redemption on said date and any interest payment
date thereafter at par plus accrued interest.
This bond is one of an issue of bonds in the total principal amount of
$2,200,000, all of like date and tenor except as to maturity, interest rate,
redemption privilege and serial number, all issued by the City for the
purpose of providing funds to defray the expenses incurred and to be incurred
in financing public improvement costs within a Tax Increment Financing
District, pursuant to and in full confirmity with the Constitution and laws
of the State of Minnesota, including Minnesota Statutes, Sections 462.521 and
273.71 to 273.78, and the Home Rule Charter of the City, and is payable
primarily from tax increments resulting from tax levies upon the increased
value of property within said Project as pledged in a certin Tax Increment
Agreement executed by the City and the Housing and Redevelopment Authority of
the City of Fridley on September 13, 1980, but constitutes a general
obligation of the City and, to provide moneys for the prompt and full payment
of said principal and interest as the same become due, the full faith and
credit of the City is hereby irrevocably pledged, and the City Council will
levy ad valorem taxes, if required for such purpose, which taxes may be
levied on all of the taxable property in the City without limitation as to
rate or amount.
IT IS HEREBY CERTIFIED AND RECITED that all acts, conditions and things
required by the Constitution and laws of the State of Minnesota and the Home
Rule Charter of the City to be done, to happend and to be performed precedent
to and in the issuance of this bond have been done, have happened and have
been performed in regular and due form, time and manner as required by law;
and that this bond, together with all other indebtedness of the City
outstanding on the date hereof and on the date of its actual issuance and
delivery does not exceed any constitutional, statutory or charter limitation
thereon.
IN WITNESS WHEREOF, the City of Fridley, Anoka County, Minnesota, by its City
Council, has caused this bond to be executed by the facsimile signature of
the Mayor and the manual signature of the City Manager and sealed with a
facsimile of the corporate seal of the City and the interest coupons hereto
attached to be executed and authenticated by the facsimile signatures of said
officers, all as of February 1, 1981.
(manual signature)
CITY MANAGER
(facsimile seal)
(facsimile signature)
MAYOR - WILLIAM J. NEE
(Form of Coupon)
No. $
On the 1st day of August (February), 19 the City of Fridley, Anoka '
County, Minnesota, will pay to bearer, at the main office of the First
National Bank of Minneapolis, in Minneapolis, Minnesota the amount shown
hereon for interest then due on its General Obligation Tax Increment
Redevelopment Bond of 1981, dated February 1, 1981, No.
(facsimile signature)
MAYOR - WILLIAM J. NEE
(facsimile signature)
CITY MANAGER
13
0
Page 3 -- RESOLUTION NO. 5 - 1981
5. The Bonds issued hereunder or additional Redevelopment Bonds similarly
authorized and issued shall be payable from the General Obligation Tax
Increment Redevelopment Bonds of 1981 Fund (the "Tax Increment
Redevelopment Bonds Sinking Fund ") hereby created, and the City hereby
pledges to said fund the proceeds of any special assessments hereinafter
levied and all tax increments from the Project Area in which the Project
financed by the Tax Increment Redevelopment Bonds (the "Project ") is
located and received by the City from the Housing and Redevelopment
Authority pursuant to the Tax Increment Agreement (the "Tax Increment
Agreement ") executed by the City and the Authority on 9/13/80. If any
payment of principal or interest on the Tax Increment Redevelopment Bonds
shall become due when there is not sufficient money in said fund to pay
the same, the City Treasurer shall pay such principal or interest from
the general fund of the City and such fund may be reimbursed for such
advances out of proceeds of tax increments and tax levies when received.
6. The tax increments, including any excess tax increments as defined in
Minnesota Statutes, Secton 273.75, Subdivision 2, received from the
Project pursuant to the Tax Increment Agreement are hereby irrevocably
appropriated and pledged to the Tax Increment Redevelopment Bonds Sinking
Fund authorized by this resolution and for the payment of the principal
of and interest on any additional bonds similarly authorized and issued.
7. It is hereby determined that the above mentioned tax increments will
produce at least five percent in excess of the amount needed to meet,
when due, the principal and interest payments on the Tax Increment
Redevelopment Bonds. The City Manager is directed to file a certified
copy of this resolution with the County Auditor of Anoka County and
obtain the certificate required by Minnesota Statutes, Section 475.63.
8. It is hereby determined that the Project to be financed by the Tax
Increment Redevelopment Bonds will directly and indirectly benefit the
abutting property, and the City hereby covenants with the holders from
time to time of the Tax Increment Redevelopment Bonds as follows:
' (a) The City will cause any assessments for the Project to be promptly
levied so that the first installment will be collectible not later
than 1983 and will take all steps necessary to assure prompt
collection. The City Council shall cause all further actions and
proceedings relative to the making and financing of the Project
financed hereby to be taken with due diligence that are required for
the construction of each improvement financed wholly or partly from
the proceeds of the Bonds and for the final and valid levy of any
special assessments and the appropriation of any other funds needed
to pay the Bonds and interest thereon when due.
(b) In the event of any current or anticipated deficiency in any grants,
funds, investmnet income, tax increments or special assessments
pledged or appropriated for payment of the principal of and interest
on the Bonds; the City Council will levy ad valorem taxes in the
amount of said current or anticipated deficiency.
(c) The City will keep complete and accurate books and records showing
all receipts and disbursements in connection with the Project, any
special assessments, pledged funds, tax increments, or any taxes
levied therefor and other funds appropriated for Bond payment, and
all collections thereof and disbursements therefrom, moneys on hand
and balance of any unpaid assessments.
' (d) The City will cause its books and records to be audited at least
annually by qualified public accountants and will furnish copies of
such audit reports to any interested person upon request.
9. It is hereby determined the the Project financed by these Tax Increment
Redevelopment Bonds has a relationship to the comprehensive municipal
plan and that the Project has been referred to the Planning Commission
under the provisions of Minnesota Statutes, Section 462.356, Subdivision
2 and Minnesota Statutes, Section 462.515, and a written opinion of the
Planning Commission is on file in the office of the City Clerk.
14 page 4 -- RESOLUTION NO.5 - 1981
10. The City Manager shall obtain a copy of the proposed legal opinion of
Messrs. Wurst, Carroll and Pearson, P.A., of Minneapolis, Minnesota,
approving the Tax Increment Redevelopment Bonds, which opinion shall be
complete except as to dating thereof and shall cause said opinion to be
printed on the Bonds together with a certificate to be signed by the
facsimile signature of the City Manager in substantially the following
form:
I hereby certify that the foregoing is a full, true and correct
copy of the legal opinion executed by the above named attorneys,
except as to the dating thereof, which opinion has been handed to
me for filing in may office prior to the time of bond delivery.
(facsimile signature}
City Manager,
City of Fridley, Minnesota
The City Manager is hereby authorized and directed to execute such
certificates in the name of the City upon receipt of such opinions and to
file the opinions in the City offices.
11. The Tax Increment Redevelopment Bonds shall be executed on behalf of the
City by the facsimile signature of the Mayor and the manual signature of
the City Manager, and the interest coupons shall be executed and
authenticated by the printed facsimile signatures of the Mayor and City
Manager, and the facsimile of the corporate seal of the City may, but
need not be, printed thereon.
The Bonds, when fully executed, shall be delivered by the City Manager
and the City Treasurer to the purchaser thereof upon receipt of the
purchase price, and the purchaser shall not be obligated to see to the
proper application thereof.
The City Manager is directed to file a certified copy of this resolution
with the County Auditor of Anoka County and obtain the certificate
required by Minnesota Statutes, Section 475.63.
12. The Mayor and City Manager are hereby authorized and directed to certify
that they have examined the official statement or prospectus prepared and
circulated in connection with the issuance and sale of the Tax Increment
Redevelopment Bonds and that to the best of their knowledge and belief
said statement is a complete and accurate representation of the facts and
representations made therein as of the date of said official statement or
prospectus as it relates to the City.
The officers of the City are hereby authorized and directed to prepare
and furnish to the purchaser of the Bonds and to the attorneys approving
the same, certified copies of proceedings and records of the City
relating to said Bonds and to the financial condition and affairs of the
City, and such other certificates, affidavits and transcripts as may be
required to show the facts within their knowledge or as shown by the
books and records in their custody and under their control, relating to
the validity and marketability of the Bonds and such instruments,
including any heretofore furnished, shall be deemed representations of
the City as to the facts stated therein.
PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FRIDLEY THIS 19TH DAY
OF JANUARY, 1981. .
MAYOR - WILLI J NEE
ATTEST:
CITY CLE - SID C. INMAN
0090A/1007A