1990-042
.
'\.,
j'
.
After due consideration of the bids, Member
then
introduced the following written resolution and moved its adoption the reading of
which had been dispensed with by unanimous consent:
RESOLUTION NO. 90-42
A RESOLUTION AWARDING THE SALE OF $1,330,000
GENERAL OBLIGATION REDEVELOPMENT REFUNDING BONDS,
SERIES 1990
FIXING THEIR FORM AND SPECIFICATIONS;
DIRECTING THEIR EXECUTION AND DELIVER Y;
PROVIDING FOR THEIR PAYMENT; PROVIDING FOR THE
ESCROWING AND INVESTMENT OF THE PROCEEDS THEREOF;
AND PROVIDING FOR THE REDEMPTION OF
BONDS REFUNDED THEREBY.
BE IT RESOLVED By the City Council of the City of Hopkins, Hennepin
County, Minnesota (City) as follows:
Section 1. Sale of Bonds.
1.01. The bid of (Purchaser)
to purchase $1,330,000 General Obligation Redevelopment Refunding Bonds, Series
1990 (Bonds) of the City described in the Official Terms of Offering thereof is
determined to be the highest and best bid received pursuant to duly advertised
notice of sale and is accepted, the bid being to purchase the Bonds at a price of
$ plus accrued interest to date of delivery, for Bonds bearing interest
as follows:
Year of Maturity
Interest Rate
2006
2007
2008
2009
Net effective interest rate:
1.02. The sum of $ bemg the amount bid by the Purchaser in
excess of $1,310,050 is credited to the Escrow Account or the debt service account
hereinafter created, or designated to pay costs of issuance of the Bonds, as the
case may be. The City Finance Director is directed to retain the good faith check
of the Purchaser, pending completion of the sale of the Bonds, and to return the
good faith checks of the unsuccessful bidders forthwith. The Mayor and City
Manager are directed to execute a contract with the Purchaser on behalf of the
City.
'.
1.03. The City will forthwith issue and sell the Bonds in the total principal
amount of $1,330,000, originally dated March 1, 1990, In the denomination of
$5,000 each or any integral multiple thereof, numbered No. R-1, upward, bearing
interest as above set forth, and which mature serially on February 1 in the years
and amounts as follows:
Year A mount
2006 $165,000
2007 365,000
2008 385,000
2009 -1:15,000
1.04. Optional Redemption. The City may elect on February 1, 1998 and
on any interest payment date thereafter to prepay Bonds maturing on or after
February 1, 1999. Redemption may be in whole or In part of the Bonds subject to
prepayment. If redemption is in part, those Bonds remaining unpaid WhICh have the
latest maturity date will be prepaid first. If only part of the Bonds having a
common maturity date are called for prepayment the specific Bonds to be prepaid
will be chosen by lot by the Registrar. All payments will be at a price of par plus
accrued interest.
1.05. For purposes of complying with Minnesota Statutes, Sections 475.54,
the maturities of the Bonds are combined with the maturities of the City's
$2,650,000 General Obligation Redevelopment Bonds of 1984 (Refunded Bonds).
Section 2. Registration and Payment.
2.01. Registered Form. The Bonds shall be issued only in fully registered
form. The interest thereon and, upon surrender of each Bond, the principal amount
thereof, is payable by check or draft issued by the Registrar described herein.
2.02. Dates; Interest Payment Dates. Each Bond will be dated as of the last
interest payment date preceding the date of authentication to which interest on
the Bond has been paid or made available for payment, unless (i) the date of
authentication is an interest payment date to which interest has been paid or made
available for payment, in which case such Bond shall be dated as of the date of
authentication, or (ii) the date of authentication is prior to the first interest
payment date, in which case such Bond wIll be dated as of the date of original
issue. The interest on the Bonds is payable on February 1 and August 1 of each
year, commencing August 1, 1990, to the owner of record thereof as of the close of
business on the fifteenth day of the ImmedIately preceding month, whether or not
such day is a business day.
2.03. Registration. The City will appoint, and shall maintain, a bond
registrar, transfer agent, authenticating agent and paying agent (Registrar). The
effect of registration and the rights and duties of the City and the Registrar with
respect thereto are as follows:
(a) Register. The Registrar must keep at its principal corporate
trust office a bond register in which the Registrar provides for the
registration of ownership of Bonds and the registration of transfers and
exchanges of Bonds entitled to be registered, transferred or exchanged.
. .
.'
.
Extract of Minutes of Meeting
of the City CouncIl of the City of
Hopkins, Hennepin County, Minnesota
Pursuant to due call and notice thereof, a regular meeting of the City
CouncIl of the City of Hopkins, Minnesota, was duly held In the City Hall in saId
City on Tuesday, March 6, 1990, commencing at 7:30 p.m.
The following members were present:
and the following were absent:
* * *
The Mayor announced that the next order of business was consideration of
the bids which had been received for the purchase of the City's $485,000 General
Obligation Improvement Bonds, Series 1990, as advertised for sale. The City Clerk
presented affidavits showing publication of the notice of sale in the City's official
newspaper and in Northwestern Financial Review, a financial paper published in
Minneapolis, Minnesota, which affidavits were examined and found satisfactory and
ordered placed on file.
The City Clerk presented a tabulation of the bids which had been received in
the manner specified in the Official Terms of Offering of the Bonds. The bids were
as follows:
1
. .
After due consideration of the bids, Member
then
Introduced the following written resolution and moved its adoptIOn the reading of
which had been dispensed with by unanimous consent:
RESOLUTION NO. 90-45
A RESOLUTION AWARDING THE SALE OF $485,000
GENERAL OBLIGATION IMPROVEMENT BONDS, SERIES 1990;
FIXING THEIR FO RM AND SPECIFICA TIO NS;
DIRECTING THEIR EXECUTION AND DELIVER Y;
AND PROVIDING FOR THEIR PAYMENT
BE IT RESOLVED By the City Council of the City of Hopkins, Hennepin
County, Minnesota (City) as follows:
Section 1.
Sale of Bonds.
1.01. The bid of (Purchaser)
to purchase $485,000 General Obligation Improvement Bonds, Series 1990 (Bonds)
of the City described in the OffiCIal Terms of Offering thereof is hereby found and
determined to be the highest and best bid received pursuant to duly advertised
notice of sale and shall be and is hereby accepted, the bid being to purchase the
Bonds at a price of $ plus accrued interest to date of delivery, for
Bonds bearing interest as follows:
Year of Maturity
Interest Rate
Year of Maturity
Interest Rate
1992
1993
1994
1995
1996
1997
1998 .
1999
2000
2001
Net effective interest rate:
1.02. The sum of $ being the amount bid by the Purchaser in
excess of $477,725 will be credited to the Debt Service Fund hereinafter created.
The City Finance Director is directed to retain the good faith check of the
Purchaser, pending completion of the sale of the Bonds, and to return the good
faith checks of the unsuccessful bidders forthwith. The Mayor and City Manager
are directed to execute a contract with the Purchaser on behalf of the City.
1.03. The City will forthwith issue and sell the Bonds in the total principal
amount of $485,000, originally dated March 1, 1990, in the denomination of $5,000
each or any integral multiple thereof, numbered No. R-l, upward, bearing interest
as above set forth, and which mature serially on February 1 in the years and
amounts as follows:
2
. .
Year Amount Year Amount
1992 $ 50,000 1997 $ 50,000
1993 50,000 1998 50,000
1994 50,000 1999 45,000
1995 50,000 2000 45,000
1996 50,000 2001 45,000
1.04. Optional Redemption. The City may elect on February 1, 1998 and
on any Interest payment date thereafter to prepay Bonds maturIng on or after
February 1, 1999. Redemption may be In whole or In part of the Bonds subject to
prepayment. If redemption is in part, those Bonds remaining unpaId which have the
latest maturIty date will be prepaid first. If only part of the Bonds haVIng a
common maturity date are called for prepayment the speCIfic Bonds to be prepaId
will be chosen by lot by the Registrar. All payments will be at a price of par plus
accrued interest.
Section 2.
Re~istration and Payment.
2.01. Registered Form. The Bonds shall be issued only in fully registered
form. The interest thereon and, upon surrender of each Bond, the principal amount
thereof, is payable by check or draft issued by the Registrar described herein.
2.02. Dates; Interest Payment Dates. Each Bond will be dated as of the
last interest payment date preceding the date of authentication to which interest
on the Bond has been paid or made available for payment, unless (i) the date of
authentication is an interest payment date to which interest has been paid or made
available for payment, in which case such Bond shall be dated as of the date of
authentication, or (ii) the date of authentication is prior to the first interest
payment date, in which case such Bond will be dated as of the date of original
issue. The interest on the Bonds is payable on February 1 and August 1 of each
year, commencing August 1, 1990, to the owner of record thereof as of the close of
business on the fifteenth day of the immediately preceding month, whether or not
such day is a business day.
2.03. Registration. The City will appoint, and shall maintain, a bond
registrar, transfer agent, authenticating agent and paying agent (Registrar). The
effect of registration and the rights and duties of the City and the Registrar with
respect thereto are as follows:
(a) Re~ister. The Registrar must keep at its principal corporate
trust office a bond register In which the RegIstrar provides for the
registration of ownership of Bonds and the registration of transfers and
exchanges of Bonds entitled to be registered, transferred or exchanged.
(b) Transfer of Bonds. Upon surrender for transfer of a Bond duly
endorsed by the registered owner thereof or accompanied by a written
instrument of transfer, in form satisfactory to the Registrar, duly execut-
ed by the registered owner thereof or by an attorney duly authorized by the
3
. .
registered owner in writing, the Registrar will authenticate and deliver, in
the name of the designated transferee or transferees, one or more new
Bonds of a like aggregate principal amount and maturity, as requested by
the transferor. The Registrar may, however, close the books for registra-
tion of any transfer after the fifteenth day of the month preceding each
interest payment date and until such interest payment date.
(c) Exchange of Bonds. When Bonds are surrendered by the
registered owner for exchange the Registrar WIll 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. Bonds surrendered upon any transfer or ex-
change will be promptly cancelled by the RegIstrar and thereafter disposed
of as directed by the City.
(e) Improper or Unauthorized Transfer. When a Bond IS presented
to the Registrar for transfer, the RegIstrar may refuse to transfer the Bond
until the Registrar is satisfied that the endorsement on the Bond or separate
instrument of transfer is valid and genuIne and that the requested transfer is
legally authorized. The Registrar will 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 City and the Registrar may
treat the person in whose name a Bond is registered in the bond register as
the absolute owner of the Bond, whether the Bond is 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 payments so made to
registered owner or upon the owner's order will be valid and effectual to
satisfy and discharge the liability upon such Bond to the extent of the sum
or su ms so paid.
(g) Taxes, Fees and Charges. For a transfer or exchange of
Bonds, 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 the transfer or exchange.
(h) Mutilated, Lost, Stolen or Destroyed Bonds. If a Bond
becomes mutilated or is destroyed, stolen or lost, the Registrar will deliver
a new Bond of like amount, number, maturity date and tenor in exchange
and substitution for and upon cancellation of the mutilated Bond or in lieu of
and in substitution for a 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 and as provided by law, in which both the City and
the Registrar must be named as obligees. Bonds so surrendered to the
Registrar will be cancelled by the Registrar and evidence of such
cancellation must be given to the City. If the mutilated, destroyed, stolen
4
. .
or lost Bond has already matured or been called for redemption in
accordance wIth its terms it IS not necessary to issue a new Bond prior to
payment.
(i) Redemption. In the event any of the Bonds are called for
redemption, notice thereof identifymg the Bonds to be redeemed WIll be
given by the RegIstrar by mailing a copy of the redemptIon notice by first
class mail (postage prepaid) not more than 60 and not less than 30 days prior
to the date fixed for redemption to the registered owner of each Bond to be
redeemed at the address shown on the registration books kept by the Regis-
trar and by publishing the notice in the manner required by law. Failure to
give notice by publication or by mail to any registered owner, or any defect
therein, WIll not affect the validity of any proceedmg for the redemption of
Bonds. Bonds so called for redemption WIll cease to bear interest after the
specified redemption date, provIded that the funds for the redemption are
on deposit with the place of payment at that time.
2.04. Appointment of Initial Registrar. The City appoints Bankers Trust
Company, Des Momes, Iowa, as the initial Registrar. The Mayor and the City
Manager are authorized to execute and deliver, on behalf of the City, 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 authorized by
law to conduct such business, such corporation is authorized to act as successor
Registrar. The City agrees to pay the reasonable and customary charges of the
Registrar for the services performed. The City reserves the right to remove the
Registrar upon 30 days' notice and upon the appointment of a successor Registrar,
in which event the predecessor Registrar must deliver all cash and Bonds in its
possession to the successor Registrar and must deliver the bond register to the
successor Registrar. On or before each principal or interest due date, without
further order of this Council, the Finance Director must transmit to the Registrar
moneys sufficient for the payment of all principal and interest then due.
2.05. Execution, Authentication and Delivery. The Bonds will be prepared
under the direction of the Clerk and executed on behalf of the City by the
signatures of the Mayor and the Manager, provided that all signatures may be
printed, engraved or lithographed facsimiles of the originals. In case any officer
whose signature or a facsimile of whose signature appears on the Bonds ceases to
be such officer before the delivery of any Bond, such signature or facsimile will
nevertheless be valid and sufficient for all purposes, the same as if the officer had
remained in office until delivery. Notwithstanding such execution, a Bond will not
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 representative. The executed certificate of authentication on each Bond
is conclusive evidence that it has been authenticated and delIvered under this
Resolution. When the Bonds have been so prepared, executed and authenticated,
the Finance Director shall deliver the same to the Purchaser upon payment of the
purchase price in accordance with the contract of sale heretofore made and
executed, and the Purchaser is not obligated to see to the application of the
purchase price.
5
2.06. Temporary Bonds. The City may elect to deliver in lieu of printed
definitive Bonds one or more typewritten temporary Bonds in substantially the
form set forth in Section 3 with such changes as may be necessary to reflect more
than one maturity in a single temporary bond. Upon the execution and delivery of
definitive Bonds the temporary Bonds will be exchanged therefor and cancelled.
Section 3.
Form of Bond.
3.01. The Bonds WIll be prInted in substantially the following form:
[Face of the Bond]
UNITED STATES OF AMERICA
STATE OF MINNESOTA
COUNTY OF HENNEPIN
CITY OF HOPKINS
GENERAL OBLIGATION IMPROVEMENT BOND, SERIES 1990
Rate
Date of
Maturity
Original Issue
CUSIP
March 1, 1990
No.
$
The City of Hopkins, Mmnesota, a duly organized and existing municipal
corporation in Hennepin County, Minnesota (City), acknowledges itself to be
indebted and for value received hereby promises to pay to
or registered assigns, the principal sum of $ on the maturity date
specified above with interest thereon from the date hereof at the annual rate
specified above, payable February 1 and August 1 in each year, commencing August
1, 1990, 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. 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 Bankers Trust Company, Des Moines, Iowa, as Bond Registrar,
Paying Agent, Transfer Agent and Authenticating Agent, or its designated succes-
sor 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 City have been and are hereby irrevocably pledged.
The City may elect on February 1, 1998, and on any interest payment date
thereafter, to prepay Bonds of this issue maturing on or after
6
February 1, 1999. Redemption may be in whole or in part of the Bonds subject to
prepayment. It redemption is in part, those Bonds remaining unpaid which have the
latest maturity date will be prepaid first. If only part of the Bonds having a
common maturity date are called for prepayment the specific Bonds to be prepaid
will be chosen by lot by the Registrar. All prepayments shall be at a price of par
plus accrued interest.
The City Council has designated the Bonds as "qualified tax exempt obliga-
tions" within the meaning of Section 265(b)(3) of the Internal Revenue Code of
1986, as amended (the Code) relating to disallowance of interest expense for
financial institutions and within the $10 million limit allowed by the Code for the
calendar year of issue.
Additional provisions of this Bond are contained on the reverse hereof and
such provisions for all purposes have the same effect as though fully set forth in
this place.
This Bond is not be valid or obligatory for any purpose or entitled to any
security or benefit under the Resolution until the Certificate of Authentication
hereon has been executed by the Bond Registrar by manual signature of one of its
authorized representatives.
IN WITNESS WHEREOF, the City of Hopkins, Hennepin County, 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.
Dated:
(facsimile)
City Manager
CITY OF HOPKINS, MINNESOTA
(facsimile)
Mayor
CERTIFICATE OF AUTHENTICATION
This is one of the Bonds delivered pursuant to the Resolution mentioned within.
BANKERS TRUST COMPANY
By
Authorized Representative
,Reverse of the Bond.
This Bond is one of an issue in the aggregate principal amount of $485,000
all of like original issue date and tenor, except as to number, maturity date,
redemption privilege, and interest rate, all issued pursuant to a resolution adopted
by the City Council on March 6, 1990 (the Resolution), for the purpose of providing
money to defray the expenses incurred and to be incurred in making local
7
improvements, pursuant to and in full conformity with the Constitution and laws of
the State of Minnesota, and the City's home ru1e charter, including Minnesota
Statutes, Chapter 429, and the principal hereof and interest hereon are payable
primarily from special assessments levied against property specially benefited by
local improvements and ad valorem taxes, as set forth in the Resolution to which
reference is made for a full statement of rights and powers thereby conferred. The
full faith and credit of the City are irrevocably pledged for payment of this Bond
and the City Council has obligated itself to levy additional ad valorem taxes on all
taxable property in the City in the event of any deficiency in special assessments
and taxes pledged, which taxes may be levied without limitation as to rate or
amount. The Bonds of this series are issued only as fully registered Bonds in
denominations of $5,000 or any integral multiple thereof of single maturities.
As provided in the Resolution and subject to certain limitations set forth
therein, this Bond is transferable upon the books of the City at the principal office
of the Bond Registrar, by the registered owner hereof in person or by the owner's
attorney du1y authorized in writing upon surrender hereof together with a written
instrument of transfer satisfactory to the Bond 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
City will cause a new Bond or Bonds to be issued in the name of the transferee or
registered owner, of the same aggregate principal amount, bearing interest at the
same rate and maturing on the same date, subject to reimbursement for any tax,
fee or governmental charge required to be paid with respect to such transfer or
exchange.
The City and the Bond Registrar may deem and treat the person in whose
name this Bond is registered as the absolute owner hereof, whether this Bond is
overdue or not, for the purpose of receiving payment and for all other purposes,
and neither the City nor the Bond Registrar will 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, and the City's home rule charter to be done, to exist, to happen and to
be performed preliminary to and in the issuance of this Bond in order to make it a
valid and binding general obligation of the City in accordance with its terms, have
been done, do exist, have happened and have been performed as so required, and
that the issuance of this Bond does not cause the mdebtedness of the City to
exceed any constitutional, statutory or charter limitation of indebtedness.
(Form of certificate to be printed on the reverse side of each Bond,
following a full copy of the legal opinion.)
I 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 Hopkins, Minnesota,
which includes the within Bond, dated as of the date of delivery of and payment for
the Bonds.
(Facsimile Signature)
City Clerk
8
. .
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:
TEN COM -- as tenants
in common
UNIF GIFT MIN ACT Custodian
(Cust) (Minor)
TEN ENT -- as tenants
by entireties under Uniform Gifts or
Transfers to Minors
JT TEN -- as joint tenants wIth
right of survivorship and
not as tenants In common
Act . . . . . . . . . . . . .
(State)
Additional abbreviations may also be used though not in the above list.
ASSIGNMENT
For value received, the undersIgned hereby sells, assigns and transfers unto
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:
Notice: The assignor's SIgnature to this assignment mustcorrespond with the
name as it appears upon the face of the within Bond in every particular,
without alteration or any change whatever.
Signature Guaranteed:
Signature(s) must be guaranteed by a national bank or trust company or by a
brokerage firm having a membership in one of the major stock exchanges.
The Bond Registrar will not effect transfer of this Bond unless the infor-
mation concerning the assignee requested below is provided.
Name and Address:
(Include information for all joint owners if
this Bond is held by joint account.)
9
Please insert social security or
other identifying number of assignee
3.02. The City Clerk is directed to obtain a copy of the proposed approving
legal opinion of Holmes & Graven, Chartered, Minneapolis, Minnesota, which is to
be complete except as to dating thereof and to cause the opinion to be printed on
each Bond, together with a certificate to be signed by the facsimile signature of
the Clerk in substantially the form set forth in the form of Bond. The Clerk is
authorized and directed to execute such certificate in the name of the City upon
receipt of such opinion and to file the opinion in the City offices.
Section 4.
Payment: Security: Pledges and Covenants.
4.01. The Bonds are payable from the Improvement Bonds, Series 1990
Debt Service Fund (Debt Service Fund) hereby created, and the proceeds of general
taxes hereinafter levied (Taxes), and special assessments (Assessments) levied or to
be levied for the improvements (Improvements) financed by the Bonds are hereby
pledged to the Debt Service Fund. If any payment of principal or interest on the
Bonds shall become due when there is not sufficient money in the Debt Service
Fund to pay the same, the Finance Director is directed to pay such principal or
interest from the general fund of the City, and the general fund will be reimbursed
for such advances out of the proceeds of Assessments and Taxes when collected.
There is appropriated to the Debt Service Fund all capitalized interest financed
from Bond proceeds, if any, any amount over the minimum purchase price paid by
the Purchaser and the accrued interest paid by the Purchaser upon closing and
delivery of the Bonds.
4.02. It is hereby determined that the Improvements to be financed by the
Bonds will directly and indirectly benefit and abutting property, and the City
hereby covenants with the holders from time to time of the Bonds as follows:
(a) The City has caused or will cause the Assessments for the Im-
provements to be promptly levied so that the first installment will be
collectible not later than 1991 and will take all steps necessary to assure
prompt collection, and the levy of the Assessments is hereby authorized.
The City Council will cause all further actions and proceedings relative to
the making and financing of the Improvements financed hereby to be taken
with due diligence that are required for the construction of each Improve-
ment financed wholly or partly from the proceeds of the Bonds, and for the
final and valid levy of the Assessments and the appropriation of any other
funds needed to pay the Bonds and interest thereon when due.
(b) In the event of any current or anticipated deficiency in
Assessments and Taxes, the CIty Council will levy additional ad valorem
taxes in the amount of the current or anticipated deficiency.
(c) The City will keep complete and accurate books and records
showing receipts and disbursements in connection with the Improvements,
Assessments and Taxes levied therefor and other funds appropriated for
their payment, collections thereof and disbursements therefrom, moneys on
hand and, the balance of unpaid Assessments.
10
(d) The City will cause its books and records to be audited at least
annually and will furnish copies of such audit reports to any interested
person upon request.
4.03. It is determined that at least 20% of the cost of the Improvements
will be specially assessed against benefitted properties. For the purpose of paying
the principal of and interest on the Bonds, there is levied a direct annual
irrepealable ad valorem tax upon all of the taxable property in the City, which
shall be spread upon the tax rolls and collected with and as part of other general
taxes of the City. The taxes will be credited to the Debt Service Fund above
provided and will be in the years and amounts as follows (year stated being year of
levy for collection the following year):
YEAR
LEVY
YEAR
LEVY
(See Attachment A)
4.04. It is hereby determined that the estimated collections of Assessments
and foregoing Taxes will produce at least five percent in excess of the amount
needed to meet when due the principal and interest payments on the Bonds. The
tax levy herein provided is irrepealable until all of the Bonds are paid, provided
that the City Clerk may annually, at the time the City makes its tax levies, certify
to the Director of Property Taxation the amount available in the Debt Service
Fund to pay principal and interest due during the ensuing year, and the Director of
Property Taxation will thereupon reduce the levy collectIble during such year by
the amount so certified.
4.05. The City Clerk is authorized and directed to file a certifIed copy of
this resolution with the Director of Property Taxation of Hennepin County and to
obtain the certificate required by Minnesota Statutes, Section 475.63.
Secti on 5.
Authentication of Transcript.
5.01. The officers of the City are authorized and directed to prepare and
furnish to the Purchaser and to the attorneys approving the Bonds, certified copies
of proceedings and records of the City relating to the Bonds and to the financial
condition and affairs of the City, and such other certificates, affidavits and
transcripts as may be required to show the facts within their knowledge or as
shown by the books and records In their custody and under their control, relating to
the validity and marketability of the Bonds and such instruments, including any
heretofore furnished, may be deemed representations of the City as to the facts
stated therein.
5.02. The Mayor, City Manager and Finance Director are authorized and
directed to certify that they have examined the Official Statement prepared and
circulated in connection with the Issuance and sale of the Bonds and that to the
best of their knowledge and belief the Official Statement is a complete and
accurate representation of the facts and representations made therein as of the
date of the Official Statement.
11
Section 6.
Tax Covenant.
6.01. The City covenants and agrees wlth the holders from time to time of
the Bonds that it will not take or permlt to be taken by any of its offIcers,
employees or agents any actIon which would cause the interest on the Bonds to
become subject to taxation under the Internal Revenue Code of 1986, as amended
(the Code), and the Treasury Regulations promulgated thereunder, in effect at the
time of such actions, and that It wIll take or cause its officers, employees or
agents to take, all affirmative actIOn withm Its power that may be necessary to
ensure 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.
6.02. (a) The City will comply wIth requirements necessary under the Code
to establish and maIntain the exclusion from gross income of the Interest on the
Bonds under Section 103 of the Code, Including without limitation requirements
relating to temporary periods for investments, limitations on amounts invested at a
yield greater than the yield on the Bonds, and the rebate of excess investment
earnings to the United States if the Bonds (together with other obligations
reasonably expected to be issued In calendar year 1990) exceed the small-issuer
exception amount of $5,000,000.
(b) For purposes of qualifying for the small issuer exception to the
federal arbitrage rebate requirements, the City finds, determines and declares that
the aggregate face amount of all tax-exempt bonds (other than private activity
bonds) issued by the City (and all subordinate entities of the City) during the
calendar year in which the Bonds are issued and outstanding at one time is not
reasonably expected to exceed $5,000,000, within the meaning of Section
148(f)(4)(C) of the Code.
6.03. The City further covenants not to use the proceeds of the Bonds or to
cause or permit them or any of them to be used, in s}.lch a manner as to cause the
Bonds to be "private activity bonds" within the meaning of Sections 103 and 141
through 150 of the Code.
6.04. In order to qualify the Bonds as "qualified tax-exempt obligations"
within the meaning of Section 265(b)(3) of the Code, the City makes the following
factual statements and representations:
(a) the Bonds are not "private activity bonds" as defined In
Section 141 of the Code;
(b) the City hereby designates the Bonds as "qualified tax-exempt
obligations" for purposes of Section 265(b)(3) of the Code;
(c) the reasonably anticipated amount of tax-exempt obligations
(other than private activity bonds, treating qualified 501(c)(3) bonds as not
being private activity bonds) which will be issued by the City (and all
subordinate entities of the CIty) during calendar year 1990 will not exceed
$10,000,0.00; and
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(d) not more than $10,000,000 of obligations issued by the City
during calendar year 1990 have been designated for purposes of Section
265(b)(3) of the Code.
6.05. The City will use its best efforts to comply with any federal
procedural reqUIrements which may apply In order to effectuate the designations
made by this section.
The motion for the adoption of the foregoing resolution was duly seconded
by Member
, and upon vote being taken thereon, the
following voted in favor thereof:
and the following voted against the same:
whereupon said resolution was declared duly passed and adopted.
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. .
STATE OF MINNESOTA )
)
COUNTY OF HENNEPIN ) SS.
)
CITY OF HOPKINS )
I, the undersigned, being the duly qualified and acting Clerk of the City of
Hopkins, HennepIn County, Minnesota, do hereby certify that I have carefully
compared the attached and foregoing extract of minutes of a regular meeting of
the City Council of the City held on Tuesday, '\1:arch 6, 1990, wIth the orIginal
minutes on file in my office and the extract is a full, true and correct copy of the
minutes insofar as they relate to the issuance and sale of $485,000 General
Obligation Improvement Bonds, SerIes 1990 of the City.
WITNESS My hand officially as such Clerk and the corporate seal of the City
this day of March, 1990.
1 Clerk
opkins, Minnesota
(SEAL)
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.
.
STATE OF MINNESOTA
DIRECTOR OF PROPERTY
TAXATION'S CERTIFICATE
AS TO TAX LEVY AND
REGISTRATION
CO UNTY OF HENNEPIN
I, the undersigned Director of Property Taxation, Hennepin County, Minnesota,
hereby certify that a certified copy of a resolution adopted by the governing body
of Hopkins, Minnesota, on Tuesday, March 6, 1990, levying taxes for the payment
of $485,000 General Obligation Improvement Bonds, Series 1990, of said
municipality dated March 1, 1990, has been filed in my office and said bonds have
been entered on the register of obligations in my office and that such tax has been
levied as required by law.
WITNESS My hand and official seal this day of March, 1990.
Director of Property Taxation
Hennepin County, Minnesota
(SEAL)
By
Deputy
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