89-047 - 08-01 Authorize $300,000 Equipment Certificates Indebtedness Series 1989AResolution 89-47
August 1, 1989
Member Johnson introduced the following resolution and moved its adoption:
RESOLUTION AUTHORIZING THE ISSUANCE AND SALE OF
$300,000 GENERAL OBLIGATION EQUIPMENT
CERTIFICATES OF INDEBTEDNESS, SERIES 1989A
BE IT RESOLVED by the City Council of the City of Golden Valley, Minnesota,
as follows:
1. It is hereby found and determined that it is necessary and expedient
for the City to issue and sell its general obligation equipment
certificates of indebtedness in the principal amount of $300,000 to
finance the cost of capital equipment, pursuant to Minnesota Statutes,
Section 412.301.
2. The Certificates shall be sold in accordance with the terms set forth
in the Official Terms of Offering, which is attached hereto and hereby
approved. The City Clerk is hereby authorized and directed to cause
the abbreviated Notice of Sale of the Certificates attached hereto to
be published once in the official newspaper of the City and in the
Northwestern Financial Review, published in Minneapolis, Minnesota, not
less than 10 days prior to the date of sale.
3. This Council shall meet at the Brookview Community Center, 8200 Wayzata
Boulevard, on Tuesday, September 5, 1989, at 6:30 o'clock, P.M., for
the purpose of considering the bids received for the purchase of said
Certificates.
ary E. "I—
rl rson, Mayor
ATTEST:
.."ley'ati
it u-C?aShilelson, City Clerk
The motion for the adoption of the foregoing resolution was seconded by Member
Thompson and upon a vote being taken thereon, the following voted in favor
thereof: Anderson, Bakken, Johnson, Stockman and Thompson; and the following
voted against the same: none, whereupon said resolution was declared duly
passed and adopted, signed by the Mayor and her signature attested by the City
Clerk.
Resolution 89-47 - Continued
NOTICE OF SALE
City of Golden Valley, Minnesota
$300,000 General Obligation Equipment Certificates
of Indebtedness, Series 1989A
August 1, 1989
Bids for the purchase of $300,000 General Obligation Equipment Certificates of
Indebtedness, Series 1989A of the City of Golden Valley, Minnesota will be
received on Tuesday, September 5, 1989, until 11:00 A.M., Central Time, at the
offices of Springsted Incorporated, 85 East Seventh Place, Suite 100, St. Paul,
Minnesota. The Certificates will be originally dated October 1, 1989, and will
mature on February 1 in the following years and amounts:
Year Amount
1991 $100,000
1992 100,000
1993 100,000
Minimum bid is $296,250. A legal opinion will be furnished by Dorsey & Whitney,
of Minneapolis, Minnesota. The Certificates are being issued to finance the
acquisition of capital equipment.
BY ORDER OF THE CITY COUNCIL
Shirley J. Nelson, City Clerk
Resolution 89-47 - Continued August 1, 1989
OFFICIAL TERMS OF OFFERING
$300,000
CITY OF GOLDEN VALLEY, MINNESOTA
GENERAL OBLIGATION EQUIPMENT CERTIFICATES OF INDEBTEDNESS, SERIES 1989A
Sealed bids for the Certificates will be received by the City or their designee
on Tuesday, September 5, 1989, until 11:00 A.M., Central Time, at the offices of
SPRINGSTED Incorporated, 85 East Seventh Place, Suite 100, Saint Paul, Minnesota,
55101-2143, after which time they will be opened and tabulated. Consideration
for award of the Certificates will be by the City Council at 6:30 P.M., Central
Time, of the same day.
DETAILS OF THE CERTIFICATES
The Certificates will be dated October 1, 1989, as the date of original issue,
and will bear interest payable on February 1 and August 1 of each year, commencing
August 1, 1990. Interest will be computed on the basis of a 360 -day year of
twelve 30 -day months and will be rounded pursuant to rules of the MSRB. The
Certificates will be issued in the denomination of $5,000 each, or in integral
multiples thereof, as requested by the purchaser, and fully registered as to
principal and interest. Principal will be payable at the main corporate office
of the registrar and interest on each Certificate will be payable by check or
draft of the registrar mailed to the registered holder thereof at the holder's
address as it appears on the books of the registrar as of the close of business
on the 15th day of the immediately preceding month.
The Certificates will mature February 1 in the years and amounts as follows:
1991 $100,000 1992 $100,000 1993 $100,000
OPTIONAL REDEMPTION
The Certificates will not be subject to payment in advance of their respective
stated maturity dates.
SECURITY AND PURPOSE
The Certificates will be general obligations of the City for which the City will
pledge its full faith and credit and power to levy direct general ad valorem
taxes. The proceeds will be used to acquire equipment for City purposes.
Resolution 89-47 - Continued
TYPE OF BID
August 1, 1989
Bids shall be for not less than $296,250 and accrued interest on the total
principal amount of the Certificates, and shall be accompanied by a certified or
cashier's check in the amount of $3,000, payable to the order of the City. No
bid will be considered for which said check has not been received. The City
will deposit the check of the purchaser, the amount of which will be deducted at
settlement and no interest will accrue to the purchaser. In the event the
purchaser fails to comply with the accepted bid, said amount will be retained by
the City. No bid can be withdrawn after the time set for receiving bids unless
the meeting of the City scheduled for award of the bids is adjourned, recessed,
or continued to another date without award of the Certificates having been made.
Rates shall be in integral multiples of 5/100 or 1/8 of 1%. Rates must be in
ascending order. Certificates of the same maturity shall bear a single rate
from the date of the Certificates to the date of maturity. No conditional bid
will be accepted.
AWARD
The Certificates will be awarded to the bidder offering the lowest dollar interest
cost to be determined by the deduction of the premium, if any, from, or the
addition of any amount less than par, to the total dollar interest on the
Certificates from their date to their final scheduled maturity. The City's
computation of the total net dollar interest cost of each bid, in accordance
with customary practice, will be controlling.
The City will reserve the right to: (i) waive non -substantive informalities of
any bid or of matters relating to the receipt of bids and award of the Certificates,
(ii) reject all bids without cause, and, (iii) reject any bid which the City
determines to have failed to complay with the terms herein.
REGISTRAR
The City will name the registrar which shall be subject to applicable SEC
regulation. The City will pay for the services of the registrar.
CUSIP NUMBERS
If the Certificates qualify for assignment of CUSIP numbers such numbers will be
printed on the Certificates, but neither the failure to print such numbers on any
Certificate nor any error with respect thereto will constitute cause for failure
or refusal by the purchaser to accept delivery of the Certificates. The CUSIP
Service Bureau charge for the assignment of CUSIP identification numbers shall
be paid by the purchaser.
Resolution 89-47 - Continued
SETTLEMENT
August 1, 1989
Within 40 days following the date of their award, the Certificates will be
delivered without cost to the purchaser at a place mutually satisfactory to the
City and the purchaser. Delivery will be subject to receipt by the purchaser of
an approving legal opinion of Dorsey & Whitney of Minneapolis, Minnesota, which
opinion will be printed on the Certificates, and of customary closing papers,
including a no -litigation certificate. On the date of settlement payment for
the Certificates shall be made in federal, or equivalent, funds which shall be
received at the offices of the City or its designee not later than 12:00 Noon,
Central Time. Except as complaince with the terms of payment for the Certificates
shall have been made impossible by action of the City, or its agents, the
purchaser shall be liable to the City for any loss suffered by the City by
reasons of the purchaser's non-compliance with said terms for payment.
OFFICIAL STATEMENT
Underwriters may obtain a copy of the Official Statement by request to the City's
Financial Advisor prior to the bid opening. The purchaser will be provided with
25 copies of the Official Statement.
Dated August 1, 1989 BY ORDER OF THE CITY COUNCIL
/s/Shirley J. Nelson
Clerk