91-080 - 09-24 Authorize $900,000 Improvement Bonds Series 1991DResolution 91-80
September 24, 1991
Member Thompson introduced the following resolution and moved its adoption:
• RESOLUTION AUTHORIZING ISSUANCE, AWARDING SALE,
PRESCRIBING THE FORM AND DETAILS AND PROVIDING FOR THE
PAYMENT OF $900,000 GENERAL OBLIGATION IMPROVEMENT BONDS,
SERIES 1991D
BE IT RESOLVED by the City Council of the City
Minnesota (the Issuer), as follows: of Golden Valley,
Section I. Authorization and Sale.
(a) This Council, by Resolution No. 91-76, adopted August 20, 1991,
authorized the issuance and public sale of $900,000 General Obligation
Improvement Bonds, Series 1991D (the Bonds) of the Issuer to finance various
Public improvements, as described in Resolution No. 91-76.
(b) Notice of Sale has been duly published. Pursuant to the Official
Terms of Offering and the Notice of Sale, 5 (five) sealed bids for the purchase
of the Bonds were received at or before the time specified for receipt of bids.
The bids have been opened, publicly read and considered and the purchase
rice,
interest rates and net interest cost under the terms of each bid have been
determined. The most favorable bid received is that of Norwest Investment
Servioces, Incorporated of Minneapolis, Minnesota, and associates (the
Purchaser), to purchase the Bonds at a price of $893,700 plus accrued interest
on all Bonds to the day of delivery and payment, on the further terms and con-
ditions hereinafter set forth.
(c) The sale of the Bonds is hereby awarded to the Purchaser and the
Mayor and City Manager are hereby authorized and directed to execute a contract
on behalf of the Issuer for the sale of the Bonds in accordance with the terms
of the bid. The good faith deposit of the Purchaser shall be retained and depo-
sited by the Issuer until the Bonds have been delivered, and shall be deducted
from the purchase price paid at settlement.
Section 2. Bond Terms; Re istration; Execution and Deliver
2.01. Issuance of Bonds. All acts, conditions and things which are
required by the Constitution and laws of the State of Minnesota to be done, to
exist, to happen and to be performed precedent to and in the valid issuance of
the Bonds having been done, now existing, having happened and having been per-
formed, it is now necessary for the City Council to establish the form and terms
of the Bonds, to provide security therefor and to issue the Bonds forthwith.
2.02. Mat11 uri11 ties; Interest Rates; Denominations and Pa ment. The Bonds
shall be originally dated as of October 1, 1991, shall be in the denomination of
$5,000 each, or any integral multiple thereof, of single maturities, shall
mature on February 1 in the years and amounts stated below, and shall bear
interest from date of issue until paid or duly called for redemption at the
annual rates set forth opposite such years and amounts, as follows:
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Resolution 91-80 - Continued
September 24, 1991
Year Amount Rate
• 1993 $100,000 4.70%
1994 80,000 4.90%
1995 50,000 5.00%
1996 85,000 5.10%
1997 95,000 5.30%
1998 95,000 5.50%
1999 95,000 5.65%
2000 100,000 5.80%
2001 100,000 5.90%
2002 100,000 6.00%
The Bonds shall be issuable only in fully registered form. The interest thereon
and, upon surrender of each Bond at the principal office of the Registrar
described herein, the principal amount thereof, shall be payable by check or
draft issued by the Registrar described herein.
2.03. Dates and Interest Payment Dates. Each Bond shall bear a date of
original issue of October 1, 1991. Upon the initial delivery of the Bonds pur-
suant to Section 2.07, and upon any subsequent transfer or exchange pursuant to
Section 2.06, the date of authentication shall be noted on each Bond so deli-
vered, exchanged or transferred. Interest on the Bonds shall be payable on each
February 1 and August 1, commencing August 1, 1992, to the owners of record
thereof as of the close of business on the fifteenth day of the immediately pre-
ceding month, whether or not such day is a business day.
2.04. Redemption. Bonds maturing in the years 1993 through 1999 shall
not be subject To redemption prior to maturity, but Bonds maturing in 2000 and
later years shall be subject to redemption and prepayment at the option of the
Issuer, in whole or in part, in such order as the Issuer shall determine and
within a maturity by lot as selected by the Registrar in multiples of $5,000, on
February 1, 1999, and on any date thereafter, at a price equal to the principal
amount thereof and accrued interest to the date of redemption. The Clerk shall
cause notice of the call for redemption thereof to be published as required by
law, and at least thirty days prior to the designated redemption date, shall
cause notice of call for redemption to be mailed, by first class mail, to the
registered holders of any Bonds to be redeemed at their addresses as they appear
on the bond register described in Section 2.06 hereof, but no defect in or
failure to give such mailed notice of redemption shall affect the validity of
proceedings for the redemption of any Bond not affected by such defect or
failure. Official notice of redemption having been given as aforesaid, the
Bonds or portions of Bonds so to be redeemed shall, on the redemption date,
become due and payable at the redemption price therein specified and from and
after such date (unless the Issuer shall default in the payment of the redemp-
tion price) such Bonds or portions of Bonds shall cease to bear interest. Upon
partial redemption of any Bond, a new Bond or Bonds will be delivered to the
owner without charge, representing the remaining principal amount outstanding.
2.05. pointment of Initial Registrar. The Issuer hereby appoints
First Trust National Association, in St. Paul, Minnesota, as the initial bond
registrar, transfer agent and paying agent (the Registrar). The Mayor and
Manager are authorized to execute and deliver, on behalf of the Issuer, a
• contract with the Registrar. Upon merger or consolidation of the Registrar with
another corporation, if the resulting corporation is a bank or trust company
Resolution 91-80 - Continued
September 24, 1991
authorized by law to conduct such business, such corporation shall be authorized
to act as successor Registrar. The Issuer agrees to pay the reasonable and
customary charges of the Registrar for the services performed. The Issuer
reserves the right to remove the Registrar upon thirty days' notice and upon the
appoinhnent of a successor Registrar, in which event the predecessor Registrar
shall deliver all cash and Bonds in its possession to the successor Registrar
and shall deliver the bond register to the successor Registrar.
2.06. Registration. The effect of registration and the rights and
duties of the Issuer and the Registrar with respect thereto shall be as follows:
(a) Re ister. The Registrar shall keep at its principal corporate trust
office a bond register in which the Registrar shall
provide
of ownership of Bonds and the registration of transfersand exchanges eofsBonds
on
entitled to be registered, transferred or exchanged.
(b) Transfer of Bonds. Upon surrender for transfer of any Bond duly
endorsed by the registered owner thereof or accompanied by a written instrument
of transfer, in form satisfactory to the Registrar, duly executed by the
registered owner thereof or by an attorney duly authorized by the registered
owner in writing, the Registrar shall authenticate and deliver, in the name of
the designated transferee or transferees, one or more new Bonds of a like a
gate principal amount and maturity, as requested by the transferor. The ggre-
Registrar may, however, close the books for registration of any transfer after
the fifteenth day of the month preceding each interest payment date and until
such interest payment date.
(c) Exchan e of Bonds. Whenever any Bonds are surrendered by the
registered owner for exchange the Registrar shall authenticate and deliver one
or more new Bonds of a like aggregate principal amount and maturity, as
requested by the registered owner or the owner's attorney in writing.
(d) Cancellation. All Bonds surendered upon any transfer or exchange
shall be promptly cancelled by the Registrar an
directed by the Issuer. d thereafter disposed of as
the Reg(ise) ImpproperaorUnauthorizedsTransfer.
When any Bond is presented to
it is satisfied that the endorsement on such Bond refuse
Bondor separate finstrumenteofntil
transfer is valid and genuine and that the requested transfer is legally
authorized. The Registrar shall incur no liability for the refusal, in good
faith, to make transfers which it, in its judgment, deems improper or
unauthorized.
(f) Persons Deemed Owners. The Issuer and the Registrar may treat the
person in whose name any Bond is at any time registered in the bond register as
the absolute owner of the Bond, whether the Bond shall be overdue or not, for
the purpose of receiving payment of or on account of, the principal of and
interest on the Bond and for all other purposes; and all
nts made
registered owner or upon the owner's order shall be valid pand eeffectualttoany
satisfy and discharge the liability upon Bond to the extent of the sum or sums
so paid.
0
Resolution 91-80 - Continued
September 24, 1991
(g) Taxes, Fees and Char__ . For every transfer or exchange of Bonds
(except for an exchange upon a partial redemption of a Bond), the Registrar may
impose a charge upon the owner thereof sufficient to reimburse the Registrar for
any tax, fee or other governmental charge required to be paid with respect to
such transfer or exchange.
(h) Mutilated, Lost, Stolen or Destro ed Bonds. In case any Bond shall
become mutilated or be destroyed, stolen or lost, the Registrar shall deliver a
new Bond of like amount, number, maturity date and tenor in exchange and substi-
tution for and upon cancellation of any such mutilated Bond or in lieu of and in
substitution for any Bond destroyed, stolen or lost, upon the payment of the
reasonable expenses and charges of the Registrar in connection therewith; and,
in the case of a Bond destroyed, stolen or lost, upon filing with the Registrar
of evidence satisfactory to it that the Bond was destroyed, stolen or lost, and
of the ownership thereof, and upon furnishing to the Registrar of an appropriate
bond or indemnity in form, substance and amount satisfactory to it, in which
both the Issuer and the Registrar shall be named as obligees. All Bonds so
surrendered to the Registrar shall be cancelled by it and evidence of such can-
cellation shall be given to the Issuer. If the mutilated, destroyed, stolen or
lost Bond has already matured or been called for redemption in accordance with
its terms it shall not be necessary to issue a new Bond prior to payment.
(i) Authenticatin Agent. The Registrar is hereby designated authen-
ticating agent for the Bonds, within the meaning of Minnesota Statutes, Section
475.55, Subdivision 1 , as amended.
2.07. Execution, Authentication and Deliver The Bonds shall be pre-
pared under the direction of the Clerk and shall be executed on behalf of the
Issuer by the signatures of the Mayor and the Clerk, provided that the
signatures may be printed, engraved or lithographed facsimiles of the originals.
In case any officer whose signature or a facsimile of whose signature shall
appear on the Bonds shall cease to be such officer before the delivery of any
Bond, such signature or facsimile shall nevertheless be valid and sufficient for
all purposes, the same as if he had remained in office until delivery.
Notwithstanding such execution, no Bond shall be valid or obligatory for any
purpose or entitled to any security or benefit under this Resolution unless and
until a certificate of authentication on the Bond has been duly executed by the
manual signature of an authorized representative of the Registrar. Certificates
of authentication on different Bonds need not be signed by the same represen-
tative. The executed certificate of authentication on each Bond shall be conclu-
sive evidence that it has been authenticated and delivered under this
Resolution. When the Bonds have been prepared, executed and authenticated, the
Finance Director shall deliver them to the Purchaser upon payment of the
purchase price in accordance with the contract of sale heretofore executed, and
the Purchaser shall not be obligated to see to the application of the purchase
price.
2.08. Form of Bonds. The Bonds shall be prepared in substantially the
following form:
0
Resolution 91-80 - Continued
September 24, 1991
[Face of the Bonds]
UNITED STATES OF AMERICA
STATE OF MINNESOTA
COUNTY OF HENNEPIN
CITY OF GOLDEN VALLEY
GENERAL OBLIGATION IMPROVEMENT BOND, SERIES 1991D
Maturity Date of
Rate Date Original Issue
CUSIP
October 1, 1991
REGISTERED OWNER:
PRINCIPAL AMOUNT:
FOR VALUE RECEIVED, the City of Golden Valley, County of Hennepin,
Minnesota (the Issuer), acknowledges itself to be indebted and hereby promises
to pay to the registered owner named above, or registered assigns, the principal
sum specified above on the maturity date specified above, with interest thereon
from the date hereof at the annual rate specified above, payable on February 1
and August 1 in each year, commencing August 1, 1992, to the person in whose
name this Bond is registered at the close of business on the fifteenth day
(whether or not a business day) of the immediately preceding month, all subject
to the provisions referred to herein with respect to the redemption of the prin-
cipal of this Bond before maturity. The interest hereon and, upon presentation
and surrender hereof, the principal hereof are payable in lawful money of the
United States of America by check or draft by
in , as Bond Registrar, Transfer Agent and Paying
Agent the Registrar), or its designated successor under the Resolution
described herein. For the prompt and full payment of such principal and
interest as the same respectively become due, the full faith and credit and
taxing powers of the Issuer have been and are hereby irrevocably pledged.
Additional provisions of this Bond are contained on the reverse hereof
and such provisions shall for all purposes have the same effect as though fully
set forth hereon.
This Bond shall not be valid or become obligatory for any purpose or be
entitled to any security or benefit under the Resolution until the Certificate
of Authentication hereon shall have been executed by the Registrar by manual
signature of one of its authorized representatives.
IN WITNESS WHEREOF, the City of Golden Valley, County of Hennepin,
Minnesota, by its City Council, has caused this Bond to be executed on its
behalf by the facsimile signatures of the Mayor and City Manager and has caused
this Bond to be dated as of the date set forth below.
Date of Authentication:
CITY OF GOLDEN VALLEY, MINNESOTA
(facsimile)
City Manager (facsimile)
Mayor
Resolution 91-80 - Continued
September 24, 1991
CERTIFICATE OF AUTHENTICATION
•within. This is one of the Bonds delivered pursuant to the Resolution mentioned
as Registrar
By
uthorized Representative
[Reverse of the Bonds]
This Bond is one of an issue in the aggregate principal amount of
$900,000, all of like date and tenor, except as to maturity date, interest rate,
denomination and redemption privilege, issued
pursuant
by the City Council on September 24, 1991 (theResolution), tosfinance theptecosts
of local improvements, and is issued pursuant to and in full conformity with the
Constitution and laws of the State of Minnesota thereunto enabling, including
Minnesota Statutes, Chapters 429 and 475. The Bonds of this issue are issuable
only in fully registered form, in denominations of $5,000 or any integral
multiple thereof, of single maturities.
Bonds maturing in 1999 and earlier years are payable on their respec-
tive stated maturity dates without option of prior payment, but Bonds having
stated maturity dates in 2000 and later years are each subject to redemption and
prepayment at the option of the Issuer, in whole or in part, in such order as
the Issuer shall determine and, within a maturity, by lot as selected by the
Registrar in multiples of $5,000 on February 1, 1999, and on any date
thereafter, at a price equal to the principal amount thereof plus interest
accrued to the date of redemption. The Issuer will cause notice of the call for
redemption to be published as required by law and, at least thirty days prior to
the designated redemption date, will cause notice of the call thereof to be
mailed by first class mail to the registered owner of any Bond to be redeemed at
the owner's address as it appears on the bond register maintained by the
Registrar, but no defect in or failure to give such mailed notice of redemption
shall affect the validity of proceedings for the redemption of any Bond not
affected by such defect or failure. Official notice of redemption having been
given as aforesaid, the Bonds or portions of Bonds so to be redeemed shall, on
the redemption date, become due and payable at the redemption
price cified, and from and after such date (unless the Issuer shall defaulthinethespe-
payment of the redemption price) such Bonds or portions of Bonds shall cease to
bear interest. Upon partial redemption of any Bond, a new Bond or Bonds will be
delivered to the registered owner without charge, representing the remaining
principal amount outstanding.
As provided in the Resolution and subject to certain limitations set
forth therein, this Bond is transferable upon the books of the Issuer at the
principal office of the Registrar, by the registered owner hereof in
son or
by the owner's attorney duly authorized in writing upon surrender hereof
together with a written instrument of transfer satisfactory to the Registrar,
duly executed by the registered owner or the owner's attorney; and may also be
surrendered in exchange for Bonds of other authorized denominations. Upon such
transfer or exchange the Issuer will cause a new Bond or Bonds to be issued in
the name of the transferee or registered owner, of the same aggregate principal
Resolution 91-80 - Continued
amount, bearing interest at the same rate and maturing on
• to reimbursement for any tax, fee or governmental charge
with respect to such transfer or exchange.
•
n
U
September 24, 1991
the same date, subject
required to be paid
The Issuer and the Registrar may deem and treat the
person in name
this Bond is registered as the absolute owner hereof, whether this Bondhiseover-
due or not, for the purpose of receiving payment and for all other purposes, and
neither the Issuer nor the Registrar shall be affected by any notice to the
contrary.
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
in the issuance of this Bond in order to make it a validandbinding general preliminary and
obligation of the Issuer in accordance with its terms, have been done, do exist,
have happened and have been performed as so required; that, prior to the
issuance hereof the City Council has by the Resolution covenanted and agreed to
levy special assessments upon property specially benefited by the local improve-
ments financed by the Bonds, and ad valorem taxes on all taxable property in the
Issuer, which will be collectible for the years and in amounts sufficient to
produce sums not less than 5% in excess of the principal of and interest on the
Bonds of this series when due, and has appropriated such special assessments and
taxes to its Series 1991D Improvement Bond Sinking Fund for the payment of
such principal and interest; that if necessary for payment of such principal and
interest, additional ad valorem taxes are required to be levied upon all taxable
property in the Issuer, without limitation as to rate or amount; and that the
issuance of this Bond, together with all other indebtedness of the Issuer
outstanding on the date hereof and on the date of its actual issuance and deli-
very, does not cause the indebtedness of the Issuer to exceed any constitutional
or statutory limitation of indebtedness.
Form of certificate to be printed on the reverse side of
each Bond, following a full copy of the legal opinion:
We certify that the above is a full, true and correct copy of the legal
opinion rendered by Bond Counsel on the issue of Bonds of the City of Golden
Valley, County of Hennepin, Minnesota, which includes the within Bond, dated as
of the date of original delivery of and payment for the Bonds.
(Facsimile Signature)
City Manager
(Facsimile Signature)
Mayor
The following abbreviations, when used in the inscription on the face of
this Bond, shall be construed as though they were written out in full according
to applicable laws or regulations:
•
•
�J
Resolution 91-80 - Continued
TEN COM - as tenants
in common
TEN ENT - as tenants
by entireties
JT TEN - as joint tenants
with right of
survivorship and
not as tenants in
common
September 24, 1991
UTMA as Custodian for
Cust Minor
under Uniform Transfers
to Minors
Act.....
(State)
Additional
Additional abbreviations may also be used though not in the above list.
ASSIGNMENT
unto
For value received, the undersigned hereby sells, assigns and transfers
the within Bond and all rights thereunder, and
does hereby irrevocably constitute and appoint
attorney to transfer the said Bond on the books kept for registration of the
within Bond, with full power of substitution in the premises.
Dated:
Signature Guaranteed:
Signature s must be guaranteed by—a
commercial bank or trust company or
by a brokerage firm having a membership
in one of the major stock exchanges.
PLEASE INSERT SOCIAL SECURITY
OR OTHER IDENTIFYING NUMBER OF
ASSIGNEE:
NOTICE: The assignors signature to
this assignment must correspond with
the name as it appears upon the face of
the within Bond in every particular,
without alteration or enlargement or,
any change whatsoever.
Resolution 91-80 - Continued
September 24, 1991
Section 3. Use of Proceeds. There is hereby established on the offi-
cial books and records of the Issuer a Series 1991D Improvement Bond
Construction Fund (the Construction Fund), and the Clerk shall continue to main-
tain the Construction Fund until payment of all costs and expenses incurred in
connection with the construction of the local improvements financed by the Bonds
have been paid. To the Construction Fund there shall be credited from the pro-
ceeds of the Bonds, exclusive of unused discount and accrued and capitalized
interest, an amount equal to the estimated cost of the improvements and from the
Construction Fund there shall be paid all construction costs and expenses.
There shall also be credited to the Construction Fund all special assessments
collected with respect to the improvements financed by the Bonds, until all
costs of the improvements have been fully paid. After payment of all construc-
tion costs, the Construction Fund shall be discontinued and any Bond proceeds
remaining therein may be transferred to the other funds or accounts established
for construction of other improvements instituted pursuant to Minnesota
Statutes, Chapter 429. All special assessments on hand in the Construction Fund
when terminated or thereafter received, and any Bond proceeds not so trans-
ferred, shall be credited to the Series 1991D Improvement Bond Sinking Fund of
the Issuer. All proceeds of the Bonds deposited in the Construction Fund will
be expended solely for the payment of the costs of the improvements referred to
in Section 1 hereof (or other improvements authorized pursuant to Chapter 429).
All improvements so financed will be owned and maintained by the Issuer and
available for use by members of the general public on a substantially equal
basis. The Issuer shall not enter into any lease, use or other agreement with
any non-governmental person relating to the use of the improvements or security
for the payment of the Bonds which might cause the Bonds to be considered
"private activity bonds" or "private loan bonds" pursuant to Section 141 of the
• Internal Revenue Code of 1986, as amended (the Code).
Section 4. Series 1991D Improvement Bond Sinking Fund.
of the Bonds are outstanding and So long as any
any principal of or interest thereon unpaid,
the Finance Director shall maintain a separate debt service fund on the official
books and records of the Issuer to be known as the Series 1991D Improvement Bond
Sinking Fund (the Bond Fund), and the principal of and interest on the Bonds
shall be payable from the Bond Fund. The Issuer irrevocably appropriates to the
Bond Fund (a) any amount in excess of $890,000 received from the Purchaser; (b)
all taxes and special assessments levied and collected in accordance with this
Resolution; and (c) all other moneys as shall be appropriated
Council to the Bond Fund from time to time. If the balance inbthehBondtFund is
at any time insufficient to pay all interest and principal then due on all Bonds
payable therefrom, the payment shall be made from any fund of the Issuer which
is available for that purpose, subject to reimbursement from the Bond Fund when
the balance therein is sufficient, and the City Council covenants and agrees
that it will each year levy a sufficient amount of ad valorem taxes to take care
of any accumulated or anticipated deficiency, which levy is not subject to any
constitutional or statutory limitation.
that,
Section 5. Special Assessments. The Issuer hereby covenants and agrees
for the payment of the cost of improvements financed by the Bonds the
Issuer has done or will do and perform all acts and things necessary for the
final and valid levy of special assessments in an amount not less than 20% of
the cost of each of the improvements financed by the Bonds. The Issuer estima-
tes it will levy special assessments in the aggregate principal amount of
$360,000. The principal of the assessments shall be payable in ten
installments, with interest on unpaid installments thereof from time to time
remaining unpaid at an estimated rate of 8% per annum. It is estimated that the
Resolution 91-80 - Continued
September 24, 1991
principal and interest on such special assessments will be levied and collected
in the years and amounts shown on Appendix I attached hereto. In the event any
• such assessment shall at any time be held invalid with respect to any lot or
tract of land, due to any error, defect or irregularity in any action or pro-
ceeding taken or to be taken by the Issuer or by the City Council or by any of
the officers or employees of the Issuer, either in the making of such assessment
or in the performance of any condition
precedent
covenants and agrees that it will forthwith doall hsuch ofurther, thessuthingseandytake
all such further proceedings as shall be required by law to make such assessment
a valid and binding lien upon said property.
Section 6. Pledge of Taxing Powers. For the prompt and full payment of
the principal of and intere...................... on the Bonds as such payments respectively become
due, the full faith, credit and unlimited taxing
and are hereby aith,irrevocably g powers of the Issuer shall be
pledged. In order to produce aggregate amounts
which, together with the collections of special assessments as set forth in
Section 5, will produce amounts not less than 5% in excess of the amounts needed
to meet when due the principal and interest payments on the Bonds, ad valorem
taxes are hereby levied on all taxable property in the Issuer. The taxes will
be levied and collected in the following years and amounts:
Levy Collection
Year Year
Amount
1991 1992
1992 1993 $101,237
1993 1994 68,367
1994 1995 35,631
• 1995 1996 72,636
1996 1997 81,464
1997 1998 79,058
1998 1999 76,451
1999 2000 78,945
2000 2001 75,735
72,420
The taxes shall be irrepealable as long as any of the Bonds are outstanding and
tlnpaid, provided that the Issuer reserves the right and power to reduce the tax
levies in accordance with the provisions of Minnesota Statutes, Section 475.61.
Section 7. Defeasance. When all of the Bonds have been discharged as
provided in this section, all pledges, covenants and other rights granted b
this Resolution to the registered owners of the Bonds shall cease. The Issuer
may discharge its obligations with respect to any Bonds which are due on any
date by depositing with the Registrar on or before that date a sum sufficient
for the payment thereof in full; or, if any Bond should not be paid when due, it
may nevertheless be discharged by depositing with the Registrar a sum sufficient
for the payment thereof in full with interest accrued from the due date to the
date of such deposit. The Issuer may also discharge its obligations with
respect to any prepayable Bonds called for redemption on any date when they are
prepayable according to their terms, by depositing with the Registrar on or
before that date an amount equal to the principal, interest and redemption pre-
mium, if any, which are then due, provided that notice of such redemption has
been duly given as provided herein. The Issuer may also at any time discharge
• its obligations with respect to any Bonds, subject to the provisions of law now
or hereafter authorizing and regulating such action, by depositing irrevocably
in escrow, with a bank qualified by law as an escrow agent for this purpose,
Resolution 91-80 - Continued
September 24, 1991
cash or securities which are authorized by law to be so deposited, bearing
• interest payable at such time and at such rates and maturing or callable at the
holder's option on such dates as shall be required to pay all principal,
interest and redemption premiums to become due thereon to maturity or earlier
designated redemption date.
Section 8. ds
Registration of Bon. The Clerk is hereby authorized and
directed to file a certified copy of this resolution with the County Auditor of
Hennepin Cotmty and obtain a certificate that the Bonds have been duly entered
upon the Auditor's bond register and the tax required by law has been levied.
Section 9. Authentication of Transcript. The officers of the Issuer
and the County Auditor of Hennepin County are hereby authorized and directed to
prepare and furnish to the Purchaser and to Dorsey a Whitney, Bond Counsel,
certified copies of all proceedings and records relating to the Bonds and such
other affidavits, certificates and information as may be required to show the
facts relating to the legality and marketability of the Bonds, as the same
appear from the books and records in their custody and control or as otherwise
known to them, and all such certified copies, affidavits and certificates,
including any heretofore furnished, shall be deemed representations of the
Issuer as to the correctness of all statements contained therein.
Section 10. Tax Covenant and Arbitrage Certificate.
(a) The Issuer covenants and agrees with the registered owners from
time to time of the Bonds herein authorized, that it will not take, or permit to
be taken by any of its officers, employees or agents, any action which would
• cause the interest payable on the Bonds to become subject to taxation under the
Internal Revenue Code of 1986, as amended (the Code) and regulations issued
thereunder, in effect at the time of such action, and that it will take, or it
will cause its officers, employees or agents to take, all affirmative actions
within its powers which may be necessary to insure that such interest will not
become subject to taxation under the Code and applicable Treasury Regulations,
as presently existing or as hereafter amended and made applicable to the Bonds.
(b) The Mayor and Clerk being the officers of the Issuer charged with
the responsibility for issuing the Bonds pursuant to this resolution, are
authorized and directed to execute and deliver to the Purchaser a certificate in
accordance with the provisions of Section 148 of the Code, and Sections
1.103-13, 1.103-14 and 1.103-15 of the Regulations, stating that on the basis of
facts, estimates and circumstances in existence on the date of issue and deli-
very of the Bonds, it is reasonably expected that the proceeds of the Bonds will
not be used in a manner that would cause the Bonds to be arbitrage bonds within
the meaning of the Code and the applicable regulations.
Section 11. Rebate to the United States. The Issuer acknowledges that
the Bonds are subject to the rebate requirements of Section 148(f) of the Code.
The Issuer covenants and agrees to retain such records, make such deter-
minations, file such reports and documents and pay such amounts at such times as
are required under Section 148(f) and applicable Regulations to preserve the
exclusion of interest on the Bonds from gross income for federal income tax pur-
poses, unless the Bonds qualify for the exception from the rebate requirement
• under Section 148(f)(4)(C) of the Code. In furtherance of the foregoing, the
Mayor and Manager are hereby authorized and directed to execute a Rebate
Certificate as part of the closing documentation for the Bonds, and the Issuer
Resolution 91-80 - Continued
September 24, 1991
hereby covenants and agrees to observe and perform the covenants and agreements
contained therein, unless amended or terminated in accordance with the provi-
sions thereof.
Section 12. Official Statement. The Official Statement relating to the
Bonds, dated September 10, 19-9q, prepared and delivered on behalf of the Issuer
by Springsted Incorporated, is hereby approved, and the officers of the Issuer
are hereby authorized and directed to execute such certificates as may be
appropriate concerning the accuracy, completeness and sufficiency therenf_
ATTEST:
, ZL'L �' - 7
S11irley An 4,ty erk
The motion for the adoption of the foregoing resolution was seconded by Member
Stockman and upon a vote being taken thereon, the following voted in favor
thereof: Bakken, Johnson, Russell, 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 his signature attested by the City
• Clerk.
Resolution 91-80 - Continued
APPENDIX I
SCity of Golden Valley, Minnesota
G.O. Improvement Bonds, Series 1991D
PROJECTED ASSESSMENT INCOME
1991 Streets
Filing Date: 10/1/1991
September 24, 1991
Prepared August 8, 1991
By Springsted, Incorporated
Filing
Collect
Interest
Year
Year
Principal
@ 8.000%
Total
1991
1992
1992
1993
36,000
36,000
36,059a
72,059
1993
1994
36,000
25,920
23,040
61,920
59,040
1994
1995
1995
1996
36,000
36,000
20,160
56,160
1996
1997
36,000
17,280
14,400
53,280
50,400
1997
1998
1998
1999
36,000
36,000
11,520
47,520
1999
2000
36,000
8,640
5,760
44,640
41,760
2000
2001
36,000
2,880
38,880
TOTALS
•
360,000
165,659
525,659
a) Includes
interest from
filing date to
12/31/1992.
40