1989-102
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Extract of Minutes f 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, Hennepin County, Minnesota, was held at the
City Hall in the City on Tuesday, November 7, 1989, commencing at 8:30 P.M.
The following members of the
Council were present:
Councilmember Redepenning
Mayor Berg
Councilmember Anderson
Councilmember Shirley
Councilmember Kritzler
and the following were absent:
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The following written resolution was presented by Councilmember
Redepenning who moved its adoption the reading of which had been dispens d
with by unanimous consent:
RESOLUTION NO. 89-102
RESOLUTION PROVIDING FOR THE ISSUANCE
AND SALE OF $1,390,000 GENERAL OBLIGATION
REDEVELOPMENT BONDS, SERIES 1989
BE IT RESOLVED By the City Council of the City of Hopkins,
Hennepin County, Minnesota (City) as follows:
1. It is hereby determined that:
(a) the City has duly established Redevelopment Project No.
1 (Project Area) pursuant to Minnesota Statutes,
Sections 469.001 through 469.047 (the Act);
(b) the City has duly established tax increment financing
district no. 1-1 (TIF District) within the Project Area
pursuant to Minnesota Statutes, Section 469.174 to
469.179 (TIF Act);
(c) the City is authorized by Section 469.178 of the TIF
Act to issue and sell its general obligations to pay
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all or a portion of the public redevelopment costs
(Costs) related to the Project Area as identified in
the tax increment financing plan (Plan) for the TIF
District;
(d) the Plan lists the following Costs to be financed by
the Bonds:
Public Improvements:
Redevelopment Cost
Alleyscape Improvements $ 450,000
Mainstreet Renovation 500,000
Underground Utilities 400,000
Capitalized Interest 0
Costs of Issuance 19,150
Subtotal $ 1,369,150
Discount 20,850
Bond Issue $ 1,390,000
(e) it is necessary and expedient to the sound financial
management of the affairs of the City to issue
$1,390,000 General Obligation Tax Increment Bonds,
Series 1989 (Bonds) to provide financing for the Costs.
(f) the Tax Increment Agreement between the Housing and
Redevelopment Authority of the City (Authority) and the
City, dated November 7, 1989, and filed with the
Auditor of Hennepin County, is hereby ratified and
confirmed.
(g) the Authority has requested the City to issue and sell
its general obligations to finance a portion of the
Costs.
2. In order to provide financing for the Costs, the City will
therefore issue and sell Bonds in the amount of $1,369,150. In order
to provide in part the additional interest required to market the
Bonds at this time, additional Bonds will be issued in the amount of
$20,850. The excess of the purchase price of the Bonds over the sum
of $1,369,150 will be credited to the debt service fund for the Bonds
for the purpose of paying interest first coming due on the additional
Bonds. The Bonds will be issued, sold and delivered in accordance
with the terms of the following Official Notice of Sale:
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OFFICIAL NOTICE OF SALE
$1,390,000 General Obligation
Redevelopment Bonds, Series 1989
City of Hopkins
Hennepin County, Minnesota
NOTICE IS HEREBY GIVEN that sealed bids for the purchase of
the above bonds will be received until 11:00, a.m., C.T. on Tuesday,
December 5, 1989, at Hopkins Tech Center, 1600 Second Street South, in
Hopkins, Minnesota, at which time the bids will be opened and tabu-
lated for consideration by the City Council at a meeting at 7:30 -p.m.
on the same day. The bonds are offered on the following terms:
Purpose and Security
The purpose of the bonds is to provide funds for the finan-
cing of public redevelopment costs in a tax increment financing
district in the City. The bonds will be general obligations of the
City, for which its full faith, credit and taxing powers are pledged
together with tax increments from the district.
Date and Maturities
The bonds will be issued in fully registered form, will be
dated December 1, 1989, will be in denominations of integral multiples
of $5,000 each and will mature on February 1, in the years and amounts
as follows:
Year Amount Year Amount
2000 10,000 2005 $210,000
2001 20,000 2006 230,000
2002 30,000 2007 245,000
2003 45,000 2008 260,000
2004 60,000 2009 280,000
Redemption
The City may elect on February 1, 1997 or on any interest payment
date thereafter to redeem and prepay bonds of this issue maturing on
or after February 1, 1998 at a price of par plus accrued interest to
date of redemption. Prepayment may be in whole or in part and will be
in inverse order of maturities and by lot within maturities.
Interest
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Interest on the bonds will be payable on August 1, 1990, and
semiannually thereafter on each February 1 and August 1. Bonds
maturing on the same date must bear interest from date of issue until
paid at a single, uniform rate, not exceeding the rate specified for
bonds of any subsequent maturity. Each rate must be in an integral
multiple of 1/100 of 1%.
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Registrar
The City will name the Registrar which will be subject to
applicable SEC regulations. Principal will be payable at the prin-
cipal office of the Registrar and interest will be payable by check or
draft of the Registrar mailed to the registered holder of a bond. The
City will pay the reasonable and customary charges for the services of
the Registrar.
CUSIP Numbers
The City assumes no obligation for the assignment or print-
ing of CUSIP numbers on the bonds or for the correctness of any
numbers printed thereon, but will permit such numbers to be assigned
and printed at the expense of the purchaser if the purchaser waives
any extension of the time of delivery caused thereby.
Delivery
Within 40 days after sale, the City will furnish and deliver
to the office of the purchaser or, at its option, will deposit with a
bank in the United States selected by it and approved by the City as
its agent to permit examination by and to deliver to the purchaser,
the printed and executed bonds, the unqualified opinion thereon of
bond counsel, and a certificate stating that no litigation in any
manner questioning their vaIidity is then threatened or pending. The
charge of the delivery agent must be paid by the purchaser but all
other costs will be paid by the City. The purchase price must be paid
upon delivery of the bonds in funds available for expenditure by the
City on the day of payment.
Legal Opinion
An unqualified legal opinion on the bonds will be furnished
by Holmes & Graven, Chartered, Minneapolis, Minnesota. The legal
opinion will be printed on the bonds at the request of the purchaser.
The legal opinion will state that the bonds are valid and binding
general obligations of the City payable primarily from tax increments,
and that the City is required by law to levy taxes for the principal
and interest thereon as the same become due without limit as to rate
or amount.
Type of Bid - Amount
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Sealed bids must be mailed or delivered to the undersigned
and must be received prior to the time of the meeting. A bid must be
unconditional and must be accompanied by a cashier's or certified
check or bank draft payable to the City, or by wire transfer after bid
opening in the amount of $27,800, to be retained by the City as
liquidated damages if the bid is accepted and the bidder fails to
comply therewith. The good faith check will be deposited by the City
and deducted from the settlement amount at the delivery of the bonds.
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The bid authorizing the lowest net interest cost (total interest from
date of bonds to stated maturities, less any cash premium or plus any
amount less than $1,390,000 bid for principal) will be deemed the most
favorable. No oral bid and no bid of less than $1,369,150 for princi-
pal plus accrued interest on all of the bonds will be considered. The
City reserves the right to reject any and all bids and to waive an
informality in a bid.
BY ORDER OF THE CITY COUNCIL
/s/ Patricia Gisborne
City Clerk
Dated: November 7, 1989.
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3. The Clerk is authorized and directed to advertise the Bonds
for sale in accordance with the foregoing Official Notice of Sale and
to publish the abbreviated notice of sale attached hereto as Exhibit A
in the manner required by law. The City Council will meet at 7 :'3'0 ~
p.m. on Tuesday, December 5, 1989, to consider bids on the Bonds and
take any other appropriate action with respect to the Bonds.
The motion for the adoption of the foregoing resolution was
duly seconded by Councilmember
Kritzler ,and upon vote being
taken thereon the following members
Councilmember Anderson
Councilmember Shirley
Countilmember Kritzler
and the following voted against:
voted in favor of the motion:
Councilmember Redepenning
Mayor Berg
whereupon the resolution was declared duly passed and adopted.
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Exhibit A
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NOTICE OF BOND SALE
$1,390,000
GENERAL OBLIGATION REDEVELOPMENT
BONDS, SERIES 1989
CITY OF HOPKINS,
HENNEPIN COUNTY, MINNESOTA
NOTICE IS HEREBY GIVEN that sealed bids for the purchase of the
above bonds will be received until 11:00, a.m., C.T. on Tuesday,
December 5, 1989, at Hopkins Tech Center, 1600 Second Street South in
Hopkins. Minnesota, at which time the bids will be opened and tabu-
lated for consideration by the City Council at a meeting at 7'3IT p.m.
on the same day. The bonds are offered on the following terms. The
bonds will be dated December 1, 1989, will bear interest payable
semiannually on each August 1 and February 1, commencing August 1,
1989, and will mature on February 1 in the years and amounts as
follows:
Year Amount Year Amount
2000 10 , 000 2005 $210 ,000
2001 20,000 2006 230,000
2002 30,000 2007 245,000
2003 45,000 2008 260,000
2004 60,000 2009 280,000
The City may elect on February 1, 1997 or on any interest payment date
thereafter to redeem and prepay bonds of this issue in whole or in
part, in inverse order of maturities and by lot within maturities,
maturing on or after February 1, 1998 at a price of par plus accrued
interest to date of redemption.
Bidders must specify a price of not less than $1,369,150 plus accrued
interest. A legal opinion on the bonds will be furnished by Holmes &
Graven, Chartered, Minneapolis, Minnesota. The proceeds of the bonds
will be used to finance public redevelopment costs related to a tax
increment financing district in the City.
Bidders should be aware that the Official Statement to be distributed
for the bonds may contain additional bidding terms and information
relative to the bonds. In the event of a variance between statements
in this Notice of Bond Sale and the Official Statement bidders must
comply with the terms of the latter.
BY ORDER OF THE CITY COUNCIL
/s/ Patricia Gisborne
City Clerk
Dated: November 7, 1989.
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STATE OF MINNESOTA
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COUNTY OF HENNEPIN
CITY OF HOPKINS
I, the undersigned, being the duly qualified and acting
Clerk of the City of Hopkins, Minnesota, 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,
November 7, 1989, 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 $1,390,000 General Obliga-
tion Redevelopment Bonds, Series 1989 of the City.
WITNESS My hand as City Clerk and the corporate seal of the
City this --2!h day of November
, 1989.
Minnesota
(SEAL)
A: 00201189. RAU