#195 10-12-56 Create Improvement Bond Fund400
Resolution No. 195 October 12, 1956
Member Rahn introduced the following resolution and moved its adoption:
RESOLUTION CREATING SERIES OF AUGUST 1, 1956, IMPROVEMENT
BOND FUND, PROVIDING FOR AND APPROPRIATING SPECIAL ASSESSMENTS
FOR THE SUPPORT AND MAINTENANCE THEREOF, AND
AND DIRECTING ISSUANCE OF IMPROVEMENT BONDS
BE IT RESOLVED, by the Council of the Village of Golden Valley, Minnesota,
as follows:
1. This Council has investigated the facts necessary to ascertain and
does hereby find, determine and declare that the Village of Golden Valley
has duly determined, after public hearing as required by law, the nec-
essity of the construction of each of the improvements described below
and the area proposed to be assessed therefor, and has ordered, received
and approved plans and specifications and entered into contracts therefor
after due advertisement for bids; that the total benefits resulting from
each of said improvements to the lots and tracts of land subject to
assessment therefor and to the Village at large will be not less than
the total cost of such improvement; that the total cost of each of said
improvements, including all expenses incurred and to be incurred from
its inception to its completion and all fees and expenses in connection
therewith, is estimated to be not less than the amount set opposite
the designation of such improvement in the following tabulations
Trunk Sewer Improvement No. 3 $11675,000.00
Lateral Sewer Improvement No. 3a $ 35,000.00
(Minneapolis -Honeywell Lateral)
Lateral Sewer Improvement No. 3b $ 1.4,500.00
(General Mills Lateral)
Improvement No. 20 230,000.0
i 9s Hisv�,�
r
That it is necessary and expedient for the Village to borrow at this time
the sum of $1,000,000.00 for the purpose of paying all of the expenses
incurred and to be incurred in connection with the -above-mentioned
lateral sewer improvements and Improvement No. 20, and a portion of
the expenses incurred and to be incurred in connection with Trunk Sewer
Improvement No. 3, by the issuance of general obligation improvement
bonds in accordance with the provisions of Minnesota Statutes 1953,
Section 129.091, subdivision 4; and that all acts, conditions and
things required by the Constitution and laws of the State of Minnesota
to be done, to exist, to happen and to be performed preliminary to the
issuance and sale of said bonds have been done, do exist, have happened
and have been performed in due form, time and manner as so required.
2. A special debt redemption fund shall be and is hereby created, to
be designated as the "Series of August 1, 1956, Improvement Bond Fund",
and to be held and administered by the Village Treasurer --,in accordance
with the provisions of Minnesota, Statutes 1953, Section 429.091, sub-
division x., which fund shall be administered and accounted for in the
manner herein specified until all of the improvement bonds payable
Resolution No. 195 (continued)
October 12, 1956
therefrom herein or hereafter authorized, and interest thereon, shall
have been fully paid. A separate fund is also hereby created and shall
be maintained for each of the improvements financed by this issue,
which funds shall be designated by the names of the improvements to
which they respectively pertain. The proceeds of sale of the improve-
ment bonds herein authorized shall be credited to said improvement
funds in the following amounts:
To the Improvement No. 20 Fund: $ 230,000
To the Lateral Sewer Improvement No. 3a Fund: )
To the Lateral Sewer Improvement No. 3b Fund: ) $ 770,000
To the Trunk Sewer Improvement No -.3 Fund )
To said improvement funds there shall also be credited the proceeds of
sale of additional improvement bonds which may hereafter be authorized for
the purpose of paying the expenses of making said improvements, and such
available moneys of the Village which may hereafter be appropriated ":there-
to by the Council, all as may be directed by further resolutions of the
Council. From each of said funds shall be paid all costs and expenses of making
the improvement for which the same is created, as such expenses are incurred
and allowed, and the moneys in said funds shall be used for no other pur-
poses; provided that if upon completion of any of such improvements there
shall remain any unexpended balance in the fund of such improvement, such
balance may be transferred to the fund of any other improvement herein
designated for which the moneys herein provided may prove insufficient,
and upon completion of all of said improvements any unexpended balances
in the funds of such improvements shall be transferred to said Series
of August 1, 1956, Improvement Bond Fund. There shall:,be credited to said
Series of August 1, 1956, Improvement Bond Fund all collections of the
special assessments herein agreed to be levied and all accrued interest
and premium received upon delivery of said bonds. The moneys in said fund
shall be held and used only for the payment of the principal of and interest
on said bonds as such payments become due, or to prepay and redeem -the same
when and as such bonds become prepayable, as herein after set forth; pro-
vided, that in the event that it shall be determined by the Council to be
necessary to borrow additional moneys for the payment of the cost of said
improvements, and if such cost shall prove to exceed the amount hereinabove
estimated, and if the Village shall undertake and agree to levy special
assessments and/or general taxes in excess of the amounts of assessments
herein specified, the Village shall have the right and power to issue add-
itional improvement: -bonds payable from said Series of August 1, 1956.,
Improvement Bond Fund on a parity with the bonds of the issue herein author-
ized, but the amount of all bonds issued in respect of said improvements
shall not exceed the total cost thereof or the total amount of the assess-
ments and taxes levied therefor.
3. It is hereby determined that not less than One -Million Dollars ($1,000,000.00)
of the cost of Trunk Sewer Improvement No. 3, and the entire cost of the other
improvements shall be paid by the levy of special assessments upon all assess-
able lots and tracts of land lying within the assessable areas heretofore
specified in the respective resolutions ordering said improvements, based
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CID
Resolution No. 195 (continued) atz
October'. 12, 1956
upon the special benefits received by each such lot and tract. The
Village hereby covenants and agrees that it will do and perform, as soon
as may be, all acts and things necessary for the final and valid levy
of said special assessments, and all collections of said assessments
are hereby irrevocably appropriated to said Series of August 1, 1956,
Improvement Bond Fund. In the event that any such assessment be at
any time held invalid with respect.,to any lot or tract of land, due to
any error, defect or irregularity in any action or proceeding taken or to
be taken by the Village or by this Council or by any of the Village's
officers or employees, either in the making of such assessment or in the
performance of any condition precedent thereto, the Village hereby coven-
ants and agrees that it will forthwith do all such further acts and take
all such further proceedings as shall be required by law to make such
assessment a valid and binding lien upon said property. Said assessments
shall be payable in equa4 consecutive, annual installments, the first of
which shall be certified to the County Auditor for collection with general
taxes for the year 1957, except that the first installment of the assess-
ments for Improvement No. 20 shall be certified for collection with general
taxes for the year 1956, and the remaining installments of.all said assess-
ments shall be certified for collection with the general taxes for each
subsequent consecutive year until the assessment is paid. To the first
installment shall be added interest at the rate of 6% per annum on the
entire assessment from the date of the resolution levying the assessment
until December 31 of the year in which the first installment is payable.
To each subsequent installment shall be added interest at 6% per annum
for one year on all unpaid installments. The number of installments of
assessments for Trunk Sewer Improvement No. 3 and for Lateral Sewer Improve-
ments Nos. 3a and 3b shall be 20, anf for Improvement No. 20 shall be as
heretofore fixed in the assessment roll heretofore prepared and approved
for said improvement.
4. The full faith and credit of the Village shall be and is hereby
irrevocably pledged for the prompt and full payment of the principal of
and interest on said bonds. It is estimated that the collections of said
special assessments agreed to be levied in paragraph 3 above will produce
sums not less than 5% in excess of the amounts needed to pay said principal
and interest when due, in -..accordance with the provisions of. Minnesota
Statutes, Section 475.6.1. If at any time the moneys in said fund should
be insufficient to pay all such principal and interest due, the Council
shall provide sufficient moneys for such payment from any other..funds in
the treasury of the Village , and such funds may be reimbursed from the
proceeds of said special assessments when collected, and the Village shall
have the power and authority to levy ad valorem taxes upon all of the tax-
able property within its corporate limits to the extent required to restore
any deficiency in said fund for the payment of said bonds and interest,
which levy may be made without�Al mitation as to rate or amount.
5. For the purpose of paying costs of said improvements and in antic-
ipation of the collection of said special assessments, the Village shall
forthwith issue its negotiable coupon general obligation Improvement
Bonds, Series of August 1, 1956, payable primarily from said Series of
Resolution No. 195 (continued)
Odtobe . 12, 1956
August 1, 1956, Improvement Bond Fund. Said bonds shall be dated as of
August 1, 1956, shall be 1,000 in number and numbered from 1 to 1,000,
inclusive, each in the denomination of $1,000, and shall mature in order
of serial numbers, on February 1, in the Years and amounts set forth below,
the bonds of the various maturities to bear interest at the rate per annum
set forth opposite such respective maturities, as follows:
Year Amount Int. Rate Year Amount int. Rate
1958 $10,000 3.90% 1968 $50,000 3.90%
1959 50,000 n 1969 n n
1960 tt tt 1970 n n
1961 n tt 1971 a tt
1962 n n 1972 n u
1963 tt n 1973 tt n
1964 n n 1974 n n
1965 n n 1975 it it
1966 tt it 1976 n
1967 it n 1977 n n
1978 $10,000 tt
Interest shall be payable on February 1, 1957, and semiannually thereafter on
August 1 and February 1, of each Year. The bonds maturing in the Years 1973
through 1978 shall be each subject to redemption and prepayment, at the option
of the Village, on February 1, 1968, and any subsequent interest payment date,
at par and accrued interest plus a premium of $10 for each bond redeemed prior
to February 1, 1973, and no premium for any bond redeemed on or after February
15 1973. The Village Clerk is hereby authorized and directed to mail notice
of the call of any of said bonds for redemption to the holder, if known, and
to the bank at which principal and interest are then payable, and to maintain
a register showing the names and addresses of the bondholders and the serial
numbers of their bonds, so far as such information is made availabel to him.
Said bonds shall be payable to bearer; provided, that it any bond is register-
ed, it shall be payable to the registered holder thereof, and vkile registered,
any of said bonds shall not be transferable by delivery but only by registration
in the office of the Village Clerk, all as provided in the text of the bonds
which follows; however, any such registration shall be as to principal only,
and the coupons shall always continue to be payable to bearer and transferable
by delivery. The Village Clerk and his successors in office are hereby
authorized and directed to pracure,-establish and maintain a register suitable
for registering any of said bonds, as to principal only, upon request therefor
by the holders of any of said bonds. The principal of and interest on said
bonds shall be payable at Northwestern National Bank, in Minneapolis, Minnesota,
and the Village hereby agrees to pay the reasonable and customary charges of
said paying agent for the receipt and disbursement thereof.
6. Said improvement bonds shall be in substantially the following forma
404
Resolution No. 195 (continued)
Oetobet 12, 1956
UNITED STATES OF AMERICA
STATE OF MINNESOTA.
COUNTY OF HENNEPIN
VILLAGE OF GOLDEN VALLEY
IMPROVEMENT BOND, SERIES OF AUGUST 1, 1956
No.
KNOW ALL MEN BY THESE PRESENTS that the Village of Golden Valley, a
duly organized and existing municipal corporation of the County of Henn-
epin, State of Minnesota, acknowledges itself to be indebted and for
value received promises to pay to bearer or, if this bond has been reg-
istered, to the registered holder hereof, the sum of ONE THOUSAND DOLLARS
on the lst day of February, 19 , or, if this bond is redeemable, on
a date prior thereto on which shall have been duly called for redemption
pursuant to the right of prepayment reserved below, and to pay interest
thereon from the date hereof until said principal sum be paid, or, if
this bond is redeemable, until it has been duly called for redemption,
at the rate of percent ( %) per annum, payable February 1,
1957, and semi.annua thereafter on=ugust 1 and February 1 of each
year, interest to maturity being represented by and payable in accord-
ance with and .upon presentation and surrender of the interest coupons
appurtenant hereto; (and the Village further promises to pay additional
interest on said principal sum from , 19 , to ,
19 , at the rate of per cent %) per annum, pay
able on , 19 , such adds ot�"n_aT nterest being
represents the separa a "B" coupons) hereto appurtenant). Both
principal and interest are payable at ,
in , , in any corn
or currency of Me- Meg MaRes o Amer ea ME on Me respective dates
of payment is legal tender for public and private debts. For the prompt
and full payment of such principal and interest as the same respectively
become due the full faith, credit and taxing powers of the Village are
hereby irrevocably pledged.
This bond is one of an issue in the aggregate principal amount of $12000,000,
all of like date and tenor except as to serial number, maturity, (interest
rate,) and redemption privilege, all issued for the purpose of defraying
expenses incurred and to be incurred in constructing necessary improve-
ments in said Village, and is issued pursuant to and in full conformity
with the Constitution and laws of the State of Minnesota thereunto
enabling, and pursuant to resolutions duly adopted by the Village Council.
This bond is payable primarily from the Series of August 1, 1956, Improve-
ment Bond Fund, to which fund the Council has appropriated special
assessments to be levied for the payment of the cost of said improvements,
but the Village Council is required to pay the same out of any fund of
the Village in the event that the assessments collected are at any time
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405
Resolution No. 195 (continued)
Odtober 12, 1956
insufficient to meet the payment of maturing principal and interest.
This bond is transferable by delivery, except while registered as to principal
in the name of the holder on the bond register of the Village kept for that
purpose at the office of its Clerk, in Golden Valley, Minnesota, such
registration being noted hereon by the Clerk. 'While so registered, no trans-
fer hereof shall be valid unless -on such register by the registered holder
in person or by his attorney duly authorized in writing and similarly noted
hereon, but this bond may be discharged from registration by being in like
manner transferred to bearer, and thereupon transferability by delivery shall
be restored, but this bond may again and from time to time be registered in
the name of a holder or transferred to bearer as before. Such registration
shall not affect the negotiability of the coupons hereto attached, which
shall always continue to be payable to bearer and transferable by delivery.
Bonds of this issue numbered 1 through 710 are payable on their respective
stated maturity dates, without option of prior payment. Bonds of this
issue numbered 711 through 1,000 are each subject to redemption and.pre-
payment, at the option of the Village, or February 1, 1968, and any sub-
sequent interest payment date, at a price of par and accrued interest plus
a premium for any bond redeemed on or after February 1, 1973, and no premium
for any bond redeemed on or after February 1, 1973. Such redemption may
be made only upon notice mailed, at least thirty days prior to the date
specified for redemption, to the holder, if known, of each bond so called
for redemption, and to the bank at which principal and interest are then
payable. Bondholders desiring to receive such notice may register their
names and addresses and the serial numbers of their redeemable bonds with
the Village Clerk, with or without registration of such bonds as to principal
as herein provided.
IT IS HEREBY CERTIFIED, RECITED, COVENANTED AND AGREED that all acts,
conditions and things required by the Constitution and laws of the State
of Minnesota to be done, to exist, to happen and to be performed prelim-
inary to and in the issuance of this bond in order to make it a valid
and binding general obligation of said Village according to its terms
have been done, do exist, have happened and have been performed as so
required; that the estimated collections of said special assessments will
be in the years and amounts sufficient to produce sums not less than five
per cent (5%) in excess of the amounts required for payment when due of
the principal and interest on all bonds of this issue; that general ad
valorem taxes, if needed for the payment of such principal and interest,
may be levied upon all taxable property in the Village without limitation
as to rate or amount; and that the issuance of th:s bond did not cause
the .indebtedness of said village to exeeed any constitutional or statutory
limitation.
IN WITNESS WHEREOF the Village of Golden Valley, Hennepin County, Minnesota,
by its Village Council, has caused this bond to be executed in its behalf
by the signature of its Mayor, countersigned by its Village Clerk, and
sealed with its official seal, and the interest coupons appurtenant hereto
400
Resolution No. 195 (continued)
October 12, 1956
to be executed and authenticated by the facsimile signatures of said
officers, and has caused this bond to be dated as of August 1, 1956.
(seal)
"or
(Form of text and grill for registration,
to appear on back of each bond)
The within bond has been registered, as to ownership of pancipal only,
on the bond register kept at the office of the Village Clerk in Golden
Valley, Minnesota.
Date
s
NO WRITING HEREON EXCEPT BY THE VILLAGE CLERK
Registered Owner
Signature of Clerk
(Form of Coupon)
No. $
On the 1st day of February (August), 19 , the Village of Golden Valley,
Hennepin County, Minnesota, will pay toTearer at
IN a s
a sumo DOL: ARS lawful.
money of th SIM to es of America for Merest then due on its Improve-
ment Bond, Series of August 1, 1956, dated August 1, 1956, No.
(Facsimile signature)
Mayor
(Facsimile signature)
Village Clerk
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Resolution No. 199 (continued)
October. 12, 1956
(Coupons numbered 24 and up attached to bonds
numbered 711 and up include the phrase: "Unless
the bond described below is called for earlier
redemption".)
7. Said bonds shall be prepared under the direction of the Village Clerk
and shall be executed on behalf of the Village by the signature of the
Mayor, countersigned by the Village Clem, and the corporate seal shall
be affixed thereto, and the interest coupons shall be executed and autheni.
ticated by the printed, engraved or lithographed facsimile signatures of
said Mayor and Village Clerk. When said bonds have been so executed and
authetticated, they shall be delivered by the Treasurer to the purchaser
thereof upon payment of the purchase price heretofore agreed upon, and
said purchaser shall not be obliged to see to the application of the purchase
price.
8. The Village Clerk is hereby authorized and directed to transmit a
certified copy of this resolution to the County Auditor of Hennepin County'
for certification that the bonds herein authorized have been duly registered.
9. The officers of the Village and the County Auditor of Hennepin 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 relating to said bonds and to
the financial affairs of the Village, and such other affidavits, certif-
icates 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 all such certified copies, certificates and affidavits, including any
heretofore furnished, shall be deemed representations of the Village as to
the facts recited therein.
The motion for the adoption of the foregoing resolution was duly seconded
by Member Teresi and upon vote being taken thereon, the following voted
in favor thereof: Nadasdy, Rahn, Stark, and Teresi; and the following
voted against the same,» None, whereupon said resolution was declared duly
passed and adopted, signed by the Mayor and his signature attested by the
Clerk.
Resolution No. 195 (continued)
October 12, 1956
STATE OF MINNESOTA )
COUNTY OF HENNEPIN ) ss
VILLAGE OF GOLDEN VALLEY )
I do hereby certify that at a Special meeting of the Village Council of
Golden Valley, Minnesota, on the 12th day of August, 1956, at which a
majority of the members of the Council were present, the foregoing resolution
was adopted.
Given under my hand and seal thi
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