#077 07-05-78 Approve Fire Station Bondsr
Resolution ##7f
July 5, 1978
Member Johnson introduced the following resolutionand moved its adoption:
RESOLUTION RELATING TO $575,000 GENERAL OBLIGATION
FIRE STATION BONDS: PROVIDING FOR THE PUBLIC SALE THEREOF:
BE IT RESOLVED by the City Council of the City of Golden Valley,
Minnesota, as follows:
1. It is hereby found, determined and declared that at a special election
held on June 6, 1978, the voters of the City authorized the issuance of its
general obligation bonds in the maximum amount of $575,000, for the purpose of
constructing, furnishing and equipping two new fire stations in and for the City
and that it is necessary and expedient to issue all of said bonds forthwith.
2. This Council shall meet at the time and place specified in the form
of notice included in paragraph 3 hereof for the purpose of opening and considering
sealed bids for and awarding the sale of said bonds.
3. The Finance Director -Clerk is hereby authorized and directed to cause
notice of the time, place and purpose of said meeting to be published at least
ten days in advance of the time of said meeting in the Golden Valley Post news-
paper, a legal newspaper having general circulation in the City, and in Commercial
West, a periodical published in Minneapolis, Minnesota, giving financial news
and of general circulation throughout the state, which notice shall be in sub-
stantially the following form:
NOTICE OF SALE
$575,000 GENERAL OBLIGATION FIRE STATION BONDS
CITY OF GOLDEN VALLEY
HENNEPIN COUNTY, MINNESOTA
Sealed bids for the above bonds of the City of Golden Valley will be received
and opened on Monday, August 7, 1978, at 2:30 p.m. C.D.T. at the City Hall,
Golden Valley, Minnesota, and will be considered by the City Council at 7:30
p.m. that same day. The $575,000 General Obligation Fire Station Bonds are
being issued to finance the construction, furnishing and equipping of two fire
stations. The bonds will be dated August 1, 1978, and will mature on February 1
in the following years and amounts:
Year Amount
1980 $ 35,000
1981 45,000
1982 55,000
1983 60,000
1984 35,000
1985 180,000
1986 165,000
Resolution T7 con't July 5, 1978
BY ORDER OF THE CITY COUNCIL
John F. Murphy, Finance Director -Clerk
7800 Golden Valley Road
Golden Valley, MN 55427
Further information may be obtained from the City of Golden Valley, telephone
612-545-3781, or T.G. Evensen & Associates, Inc., Financial Consultants to the
City, 1910 First National Bank Building, Minneapolis, Minnesota 55402, telephone
612-338-3535•
4. The following shall constitute the terms and conditions for the sale
and issuance of the bonds, and the Finance Director -Clerk is hereby authorized
and directed to cause the following terms and conditions to be incorporated
in material distributed to prospective bidders for the bonds:
TERMS AND CONDITIONS OF SALE
$575,000 GENERAL OBLIGATION FIRE STATION BONDS
CITY OF GOLDEN VALLEY
HENNEPIN COUNTY, MINNESOTA
Sealed bids will be received at the City Hall in the City of Golden Valley,
Minnesota, until 2:30 o'clock p.m., C.D.T., on Monday, August 7, 1978, at which
time they will be opened and will be considered by the City Council at 7:30
o'clock p.m. C.D.T., that same day, for th epurchase of general obligation bonds
to be issued by the City upon the following terms;
Purpose
The bonds will be dated as of August 1, 1978, and be designated as General
Obligation Fire Station Bonds in the principal amount of $575,000 to be issued
pursuant to Minnesota Statutes, Chapter 475, to finance the construction,
furnishing and equipping of two fire stations in and for the City.
Maturities
The bonds will be numbered serially, will be issued in the denomination of
$5,000, unless designated otherwise by the purchaser within 48 hours of award
of sale, and will mature serially on February 1 in the following years and amounts:
Year Amount
1980 $ 35,000
1981
45,000
1982
55,000
1983
1984
6o,000
35,000
1985
180,000
1986
165,000
Resolution 77 con't
Interest
Interest on the bonds will be payable semiannually on each February 1 and
August 1, commencing February 1, 1979. All bonds maturing on the same date
must bear interest at a single uniform rate. Each rate must be in an integral
multiple of 9/100 of 1% and no rate may exceed 7%. The difference between the
highest and lowest rate specified may not exceed 1%. No supplemental or "B"
coupons will be permitted.
Paying Agent
Principal and interest will be made payable at a suitable bank recommended by
the purchaser and approved by the Council, and the City will pay customary
charges for this servi.ce.provided that such recommendation is received within 48
hours after the sale and the Council will select the paying agent if the recom-
mendation is not approved.
CUSIP Numbers
The City will assume no obligation for the assignment or printing of CUSIP
numbers on the bonds or for the correctness of any numbers printed thereon,
but will permit such numbers to be assigned and printed at the expense of the
purchaser, if the purchaser waives any extension of the time of delivery caused
thereby.
Delivery
Within 40 days after sale, the City will furnish and deliver at the office
of the purchaser or, at his option, will deposit with a bank in the United
States selected by the purchaser and approved by the City as the City's agent
to permit examination by and to deliver to the purchaser the printed and
executed bonds, the opinion of bond counsel and a certificate stating that no
litigation in any manner questioning their validity is then threatened or pending.
The charge of the delivery agent must be paid by the purchaser, but all other
costs will be paid by the City. The purchase price must be paid upon delivery,
or within five days after deposit with the delivery agent,.in funds available
for expenditure by the City on the day of payment.
Legal Opinion
Legal opinion on the bonds will be requested from Dorsey, Windhorst, Hannaford,
Whitney & Halladay, of Minneapolis, Minnesota. The legal opinion will be
printed on the bonds at the request of the purchaser. The legal opinion will
state that the bonds are valid and binding general obligations of the City and
the City is required to levy taxes for the payment of the principal and interest
thereon when due, without limit as to rate or amount.
Resolution #77 con 't
Consideration of Bids
July 5, 1978
All bids must be sealed and mailed or delivered to the undersigned so as to be
received before the time stated above, and will then be publicly opened and
tabulated and submitted to the City Council at 7:30 p.m. for consideration
and action. Each bid must be unconditional (except that each bid will be deemed
to be conditioned on receipt of the legal opinion referred to above) and must
be accompanied by a cashier's or certified check or bank draft in the amount
of $11,500 payable to the City Treasurer, to be retained by the City as liquidated
damages if the bid is accpeted and the bidder fails to comply therewith. The
bid offering the lowest net interest cost (total interest from date of bonds
to stated maturities, less any cash premium plus any amount less that $575,000
bid for principal) will be deemed the most favorable. No oral bid, and no
bid of less than $575,000 for the principal plus accured interest on all of the
bonds, or resulting in net interest cost over 7% per annum, will be considered,
and the City Council reserves the right to reject any and all bids and to waive
any informality in any bid.
BY ORDER OF THE CITY COUNCIL
John F. Murphy, Finance Director -Clerk
Golden Valley City Hall
7800 Golden Valley Road
Golden Valley, Minnesota 55427
Further information may be obtained from the City of Golden Valley, telephone
612-545-3781, or T. G. Evensen & Associates, Inc., Minneapolis, Minnesota,
Financial Consultants, Telephone 612-338-3535•
ROBERT R. HOOVER, MAYOR
ATTEST:
JOHN MURPHY, CITV CLERK
The motion for the adoption of the foregoing resolution was duly seconded by
Member Anderson and upon vote being taken thereon, the following voted in favor
thereof: Anderson, Hoover, Johnson, Stockman and Thorsen 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 City Clerk.
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