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90-50 - 08-07 Authorize Issue $300,000 General Obligation Equipment Series 1990CResolution 90-50 August 7, 1990 Member Stockman introduced the following resolution and moved its adoption: RESOLUTION AUTHORIZING ISSUANCE AND SALE OF $300,000 GENERAL OBLIGATION EQUIPMENT CERTIFICATES OF INDEBTEDNESS, SERIES 1990C BE IT RESOLVED by the City Council of the City of Golden Valley, Minnesota (the City), as follows: Section 1. Purpose. It is hereby determined to be in the best interests of the City to issue its General Obligation Equipment Certificates of Indebtedness, Series 1990C, in the principal amount of $300,000 (The Obligations), pursuant to Minnesota Statutes, Chapters 412.301 and 475, to finance the costs of acquisition of certain items of capital equipment. Section 2. Terms of Bond Sale; Notice. Springsted Incorporated, financial consultant to the ity, as presented tot is Council a form of Official Terms of Offering for the Obligations and an abbreviated notice for publication, which shall be placed on file by the Clerk. Each and all of the provisions of the Official Terms of Offering are hereby adopted as the terms and conditions of the Obligations and of the sale thereof. The Clerk is authorized and directed to cause the abbreviated notice to be published once in the official newspaper and once in a bond trade publication at least 10 days prior to the date on which bids for the purchase of the Obligations will be received. Section 3. Sale Meetin . This Council shall meet at the City Hall on Tuesday, September , 199�t 6:30 o'clock P.M. for the purpose of considering sealed bids for the purchase of the Obligations, and of taking such action thereon as may be in the best interests of the City. ATTEST: hirley J Nelson, City Clerk Mary E. Ano,rson, Mayor The motion for the adoption of the foregoing resolution was seconded by Member Bakken and upon a vote being taken thereon, the following voted in favor thereof: Anderson, Bakken, Johnson, Stockmand 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. is Resolution 90-50 - Continued August 7, 1990 NOTICE OF SALE City of Golden Valley, Minnesota • $300,000 General Obligation Equipment Certificates of Indebtedness, Series 1990C These Certificates will be offered for sale on sealed bids on Tuesday, September 4, 1990. Bids will be accepted until 1:00 o'clock p.m., Central Time, at the offices of Springsted Incorporated, 85 East Seventh Place, Suite 100, St. Paul, Minnesota 55101-2143, at which time the bids will be opened and tabulated for presentation to the City Council for action thereon at a meeting to be held at the City Hall at 6:30 p.m., on the same day. No bids submitted can be withdrawn before the Council meeting. The Certificates will be issuable in fully registered form in denominations of $5,000 or any integral multiple thereof, will be dated, as originally issued, as of September 1, 1990, will bear interest payable semiannually on each February 1 and August 1 to maturity, commencing August 1, 1991, and will mature on February 1 in the following years and amounts: Year Amount 3�j 9� $100,000 1993 100,000 1994 100,000 Bidders must specify a price of not less than $297,000 plus accrued interest. A legal opinion on the Certificates will be furnished by Dorsey & Whitney of Minneapolis, Minnesota. Bidders should be aware that the Official Terms of Offering to be published in the Official Statement for the Certificates may contain additional bidding terms and information relative to the issue. In the event of a variance between sta- tements in this Notice of Sale and said Official Terms of Offering, the provi- sions of the latter shall control. Dated: August 7, 1990 • BY ORDER OF THE CITY COUNCIL Resolution 90-50 - Continued August 7, 1990 OFFICIAL TERMS OF OFFERING $300,000 CITY OF GOLDEN VALLEY, MINNESOTA GENERAL OBLIGATION EQUIPMENT CERTIFICATES OF INDEBTEDNESS, SERIES 1990C Sealed bids for the Certificates will be received by the City's Finance Director or his designee on Tuesday, September 4, 1990, until 1:00 PM, Central Time, at the offices of SPRINGSTED Incorporated, 85 East Seventh Place, Suite 100, Saint Paul, Minnesota, after which time they will be opened and tabulated. Consideration for award of the Certificates will be by the City Council at 6:30 PM, Central Time, of the same day. DETAILS OF THE CERTIFICATES The Certificates will be dated September 1, 1990, as the date of original issue, and will bear interest payable on February 1 and August 1 of each year, com- mencing August 1, 1991. 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: 1992 $100,000 1993 $100,000 1994 $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. TYPE OF BID Bids shall be for not less than $297,000 and accrued interest on the total prin- cipal 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 Resolution 90-50 - Continued August 7, 1990 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 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 comply with the terms herein. BOND INSURANCE AT PURCHASER'S OPTION If the Certificates qualify for issuance of any policy of municipal bond insurance or commitment therefor at the option of the bidder, the purchase of any such insurance policy or the issuance of any such commitment shall be at the sole option and expense of the purchaser of the Certificates. Any increased costs of issuance of the Certificates resulting from such purchase of insurance shall be paid by the purchaser, except that, if the City has requested and received a rating on the Certificates from a rating agency, the City will pay that rating fee. Any other rating agency fees shall be the responsibility of the purchaser. Failure of the municipal bond insurer to issue the policy after Certificates have been awarded too the purchaser shall not constitute cause for failure or refusal by the purchaser to accept delivery on the Certificates. REGISTRAR The City will name the registrar which shall be subject to applicable SEC regu- lations. 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. SETTLEMENT 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 Resolution 90-50 - Continued August 7, 1990 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 settle- ment 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 compliance 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 The City has authorized the preparation of an Official Statement containing pertinent information relative to the Certificates, and said Official Statement will serve as a nearly -final Official Statement as required by Rule 15c2-12 of the Securities and Exchange Commission. For copies of the Official Statement and the Official Bid Form or for any additional information prior to sale, any prospective purchaser is referred to the Financial Advisor to the City, Springsted Incorporated, 85 East Seventh Place, Suite 100, Saint Paul, Minnesota 55101, telephone (612) 223-3000. The Official Statement, when further supplemented by an addendum or addenda spe- cifying the maturity dates, principal amounts and interest rates of the Certificates, together with any other information required by law, shall consti- tute a "Final Official Statement" of the City with respect to the Certificates, as that term is defined in Rule 15c2-12. By awarding the Certificates to any underwriter or underwriting syndicate submitting an Official Bid Form therefor, 40 the City agrees that, no more than seven business days after the date of such award, it shall provide without cost to the senior managing underwriter of the syndicate to which the Certificates are awarded 15 copies of the Official Statement and the addendum or addenda described above. The City designates the senior managing underwriter of the syndicate to which the Certificates are awarded as its agent for purposes of distributing copies of the Final Official Statement to each Participating Underwriter. Any underwriter executing and delivering an Official Bid Form with respect to the Certificates agrees thereby that if its bid is accepted by the City (i) it shall accept such designation and (ii) it shall enter into a contractual relationship with all Participating Underwriters of the Certificates for purposes of assuring the receipt by each such Participating Underwriter of the Final Official Statement. Dated August 7, 1990 BY ORDER OF THE CITY COUNCIL •