09-07-2010improvements which were financed by past bond proceeds, special assessments and fund
balance.
After evaluation of the PIR Fund cash flow, impact on the tax levy and future needs staff is
proposing a bond issue of $2.710 million. Due to low interest rates as a result of current
market conditions this is an excellent opportunity to sell bonds. In addition to bonding for
new money staff is recommending the refinancing of the 2003A General Obligation (GO)
PIR Bonds, 2003A Storm Sewer Revenue Bonds and the 2002A GO Tax Increment Bonds
(TIF 2-11) for a total interest savings of $199,000.
Council Member Halverson moved and Council Member Brausen seconded a motion to
adopt Resolution 2010-052, providing for the sale of $2,710,000 G.O. Improvement
Bonds, Series 2010A and $2,680,000 G.O. Refunding Bonds, Series 2010B. A poll of the
vote was as follows: Council Member Brausen, aye; Council Member Rowan, aye;
Council Member Halverson, aye; Mayor Maxwell, aye. The motion carried unanimously.
3. Approve Resolution, Authorizing the Redemption of Callable General Obligation
Tax Increment Refunding Bonds, Series 2005A, in Tax Increment District 2-1;
(CR2010-096)
The City of Hopkins issued General Obligation (G.O.) Tax Increment Refunding Bonds,
Series 2005A in 2005. The one remaining serial bond issued for Tax Increment District
(TIF) 2-1 is callable. The cost of calling the final bond is $205,000. TIF District 2-1 has the
capacity to call this bond in 2011. The savings of interest on this bond is $7,175. This TIF
District has been decertified, all developer obligations paid and this is the final obligation
of this TIF District.
Council Member Youakim moved and Council Member Rowan seconded a motion to
adopt Resolution 2010-051 authorizing the redemption of callable General Obligation Tax
Increment Refunding Bonds, Series 2005A in Tax Increment District 2-1. A poll of the
vote was as follows: Council Member Brausen, aye; Council Member Rowan, aye;
Council Member Halverson, aye; Mayor Maxwell, aye. The motion carried unanimously.
4. Approve Resolution, Authorizing the Redemption of Callable Taxable General
Obligation Housing Improvement Bond, Series 1995, for the Meadow Creek
Condominium Project; (CR2010-095)
The City of Hopkins issued Taxable General Obligation Housing Improvement bonds,
Series 1995 in 1995. Seven serial bonds issued are callable. The cost of calling one of
the callable bonds is $95,000. The debt service fund for these bonds has the capacity to
call the bond this year and continue having available funds for future debt and interest
payments. This will be the final call for these bonds as they will now be fully matured.
This action will result in an increase in funds available for improvements to the Meadow
Creek Condominiums.
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