#173 06-24-58 Authorize Improvement Bonds Fourth Series090
Resolution No. 173 June 24, 1958 .
Member Teresi introduced the following resolution and MOVED its
adoption:
RESOLUTION AUTHORIZING AND PROVIDING FOR THE FORM AND DETAILS
OF $500,000 IMPROVEMENT BONDS OF 1958, FOURTH SERIES, AND
APPROPRIATING SPECIAL ASSESSMENTS FOR THE PAYMENT THEREOF
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
necessity of the construction of and the area proposed to be assessed fcr
those portions of Lateral Sewer Improvement No. 58 -LF described below,
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 said portions of said improvement
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 thereof; that
the total cost of said portions of said improvement, including all
expenses incurred and to be incurred from inception to completion
and all fees and expenses in connection therewith, is estimated to be
substantially in excess of $1,000,000. The portions of said improve-
ment which have been contracted for are as follows:
Project Nos. Date Ordered
1, 2, 3, 6 and 12 (ordered
in part only) March 11, 1958
4, 7, 99 159 18 and 20 March 11, 1958
10 (ordered in part only) April 1, 1958
59 149 21, 22, 23 and 24 April 1, 1958
25 May 6, 1958
that it is necessary and expedient for the Village to borrow at this
time the sum of $500,000.00, for the purpose of paying part of the
expenses incurred and to be incurred in connection with the above-
mentioned improvement, by the issuance of general obligation improve-
ment bonds in accordance with the provisions of Minnesota Statutes
1953, Section 429.091, Subdivision 4; that such bonds have heretofore
been duly sold to the highest and best bidder therefor, and shall
forthwith be issued and delivered to said purchases; that said bonds
shall be payable from the Improvement Bond Redenption Fund created by
current Ordinance No. 28 of the Village, adopted on January 21, 1958,
which ordinance is by reference incorporated herein and made a part
hereof; and that all acts, conditions and things required by the
09 t
Resolution No. 173 (continued) June 24, 1958
Constitution and laws of the State of Minnesota to be done, to exist, to
happen and to be performed preliminary to the,jssuance 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 separate fund is hereby created and shall be maintained for
said improvement, and is hereby designated as th- "Lateral Sewer Improve—
ment No. 58—LF Fund". The proceeds of sale of the bonds herein authorized
shall be credited to said fund, and used for the purposes as provided by
Section 3 of said Ordinance No. 28; provided, that the sum of $2�.000.00 s
representing interest accruing on said bonds during the period of
construction, shall be held and used only paying interest becoming due
on said bonds.
To said improvement fund 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 improvement, and such
available moneys of the Village which may hereafter be appropriated thereto
by the Council, all as may be directed by further resolution of the
Council.
3. It is hereby determined that not less than all of the cost of
those portions of said improvement described in paragraph 1 hereof shall
be paid by the levy of special assessments upon all assessable lots and
tracts of land lying within the assessable areas heretofore specified in
the respective resolutions ordering said portions of the improvement,
based upon the special benefits received by each such lot and tract.
The Village hereby covenants and agreed 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. 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
covenants 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 20 equal, consecutive, annual installments, the first
of which shall be certified to the County Auditor for collection with
general taxes for the year 1959, and the remaining installments of said
assessments 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 assess—
ment until December 31 of the year in which the first installment is payable.
To each subsequent installment shall be added interest at 6% perannum for
one year on all unpaid installments.
4. The full faith and credit of the Village shall be and is hereby
pledged to the prompt and full payment of said bonds and the interest
39_
Amount
Interest
Year
Amount
Interest
Rate
Rate
1961
$25,000
3.50%
1971
Resolution No.
173 (continued) June 24, 1958
1962
of
it
1972
"
of
thereon, Each
and all of the provisions of said Ordinance No. 28
of the
1973
Village and of
this resolution shall constitute covenants for the
security
ft"
of the holders
from time to time of said bonds. It is estimated
that
3.80%
the collections
of said special assessments agreed to be levied in para—
it
graph 3 above
will produce sums not less than 5% in excess of the
amounts
1966
needed to pay
said principal and interest when due, in accordance
with
the provisions
of Minnesota Statutes, Section 475.61.
it
to
5. For the purpose of paying costs of said improvement and in
anticipation of the collection of said special assessments, the Village
shall forthwith issue its negotiable coupon general obligation Improve—
ment Bonds of 19581 Fourth Series, in the prinicpal amount of $500,000.
Said bonds shall be dated as of May 1, 1958, shall be 500 in number and
numbered from 1 to 500, inclusive, each in the donomination of $1,000,
shall be payable to bearer, 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
Interest
Year
Amount
Interest
Rate
Rate
1961
$25,000
3.50%
1971
$25,000
3.700
1962
of
it
1972
"
of
1963
to
it
1973
it
"
1964
ft"
1974
it
3.80%
1965
to
it
1975
if
to
1966
it
3.60%
1976
"
1967
it
to
1977
"
"
1968
"
it
1978
if
of
1969
"
1979
it
tt
1970
"
3.70%
1980
"
to
All bonds shall bear additional interest, represented by separate 'B"
coupons, from February 1, 1959, to February 1, 1960, at the rate of
to per annum, payable on August 1, 1959, and February 1, 1960. All
other interest shall be payable on February 1, 1959, and semiannually
thereafter on August 1 and February 1 of each year. Bonds numbered 1
through 375 shall be payable on their respective maturity dates without
option of prior payment, but those numbered 376 through 500, having
maturity dates in 1976 and later yaars, shall each be subject to
redemption and prepayment at the op tion of the Village, in inverse
order of serial numbers, on February 1, 1970, and any interest payment
date thereafter, at par and accrued interest plus a premium of $20 for
each bond redeemed prior to February 1, 1976, or no premium for any
bond redeemed on or after February 1, 1976. All redemptions shall be
made on notice of call for redemption mailed not less than 30 days
prior to the date specified for redemption to the holder, if known,
and to the bank at which principal and interest are then payable. The
Village Clerk and his successors in office are hereby authorized and
directed to maintain in their office a register for the purpose of giving
393
Resolution No. 173 (continued) June 24, 1958
such notice, in which they shall enter the names and addresses of owners of
redeemable bonds, and the serial numbers d such bonds owned by them,
insofar as such information is made available. The principal and interest
on such bonds shall be payable at the main office of the Northwestern National
Bank of Minneapolis, in Minneapolis, Minnesota, and the Village agrees to
pay the reasonable and custormay charges of said paying agent for the receipt
and disbursement thereof.
b. Said bonds and the coupons attached thereto shall be in substantially
the following form:
UNITED STATES OF AMERICA
STATE OF MINNESOTA
COUNTY OF HENNEPIN
VILLAGE OF GOLDEN VALLEY
IMPROVEMENT BOND OF 1958, FOURTH SERIES
No. $1,000
KNOW ALL MEN BY THESE PRESENTS that the Village of Golden Valley,
a duly organized and existing municipal corporation of the County of
Hennepin, State of Minnesota, acknowledges itself to be indebted and
for value received promises to pay to bearer the sume of ONE THOUSAND
DOLLARS on the 1st day of February, 19 , or, if this bond is redeemable
as stated below, on a date prior thereto on which it shall have been duly
called for earlier redemption, and to pay interest thereon from the date
hereof until said principal sum be paid, or until this bond, if redeemable,
has been duly called for redemption,at the rate of per cent
( %) per annum, payable February 1, 1959, and semiannually thereafter
on August 1 and February 1, of each year, interest to maturity being represented
by and payable in accordance 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, payable on , 19 , said additional interest being
represented by the separate "B" coupons hereto appurtenant. Both principal
and interest are payable at the main office of ,
in , , in any coin or currency of
the United States of America which on the 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 a series in the aggregate principal amount of
$500,000, all of like date and tenor except as to serial number, maturity,
and interest rate, all issued for the purpose of defraying a portion of the
expenses incurred and to be incurred in constructing Lateral Sewer Improve-
ment No. 58 -LF 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.
7_
�.s
Resolution No. 173 (continued) June 24, 1958
This bond is payable primarily from the Improvement Bond Redemption
Fund of the Village, to which fund the Council has appropriated special
assessments to be levied for the payment of the cost of said improvenent,
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 insufficient to meet the payment of maturing principal and interest.
Bonds of this series bearing serial numbers 1 through 375 are each payable
on their respective stated maturity dates, without option of prior,
payment. Bonds of this series bearing serial numbers 376 through 500,
maturing in 1976 and later years, are each subject to redemption and
prepayment, at the option of the Village, in inverse order of serial
numbers, on February 1, 1970, and any interest payment date thereafter,
at par and accrued interest plus a premium of $20 for each bond redeemed
prior to February 1, 1976, or no premium for any bond redeemed on or after
February 1, 1976. All redemptions will be made on notice of call for re-
demption mailed not less than 30 days prior to the date specified for re-
demption to the holder, if known, and to the bank at which principal and
interest are then payable. Any holder of redeemable bonds desiring to
receive such notice must register his name and address and the serial
numbers of redeemable bonds helf by him in the office of the Village Clerk.
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 per-
fromed preliminary 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 assess-
ments 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 series; 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 this
bond did not cause the indebtedness of said Village to exceed any
constitutional or statutory limitations.
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 to be executed and authenticated by the
facsimile signatures of said officers, and has caused this bond to be
dated as of May 1, 1958. f
Attest:
V�� age Clerk
Resolution No. 173 (continued) June 24, 1958
(Form of Coupon)
No.
On the 1st day of February (August), 19 , the Village of Golden
Valley, Hennepin County, Minnesota, will pay to bearer at the main office
of in
the sum of DOLLARS
lawful money of the United States of America for interest then due on
its Improvement Bond of 1958, Fourth Series, dated May 1, 1958, No.
(Facsimile signature)
Mayor
(Facsimile signature)
Village Clerk
(Coupons numbered 24 and upwards attached to bonds numbered
376 and upwards shall also include the phrase: "Unless the
bond described below is called for earlier redemption".)
7. Said Bonds shall be forthwith prepared for execution under the
direction of the Village Clerk, and shall then be executed by the signature
of the Mayor, countersigned by the Village Clerk and sealed with the
corporate seal of the Village, and the appurtenant interest coupons shall
be executed and authenticated by the printed, lithographed or engraved
facsimile signatures of said Mayor and Clerk. When so executed, the bonds
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 obligated 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,
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 all such certified copies, certificates and affidavits,
including any heretofore furnished, shall be deemed representations of
the Village as to the facts recited therein.
Attest:
Vill ge Clerk
Resolution No. 173 (continued) June 24, 1958
The motion for the adoption of the foregoing resolution was duly
seconded by Member Flannagan, and upon vote being taken thereon, the
following voted in favor thereof: Bies, Flannagan, Nadasdy, Scherer
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.
F1
1