2012-064 Sale of General Bonds Series 2012B. EXTRACT OF MINUTES OF A MEETING OF THE
CITY COUNCIL OF THE CITY OF HOPKINS, MINNESOTA
HELD: August 21, 2012
Pursuant to due call and notice thereof, a regular meeting of the City Council of the City of
Hopkins, Minnesota, was called and held at the City Hall in Hopkins, Minnesota on Tuesday, the 21 st
day of August, 2012, at 7:30 p.m. for the purpose, in part, of awarding the sale of the City's general
obligation bonds and directing their execution and delivery.
The following members were present:
Eugene Maxwell, Molly Cummings, Jason Gadd, Kristi Halverson, and Cheryl Youakim
and the following were absent:
None
The Mayor announced that the next order of business was consideration of the proposals which
• had been received for the purchase of the City's General Obligation Bonds, Series 2012B, in the
s
aggregate principal amount of $5,505,000.
The City Manager presented a tabulation of the proposals that had been received in the manner
specified in the Terms of Proposal for the Bonds. The proposals are attached hereto as EXHIBIT A.
After due consideration of the proposals, Member Youakim then introduced the following written
resolution, the reading of which was dispensed with by unanimous consent, and moved its adoption:
4091870 JAE HPI 10-83
RESOLUTION NO. 2012-064 •
A RESOLUTION AWARDING THE SALE OF GENERAL
OBLIGATION BONDS, SERIES 2012B, IN THE ORIGINAL
AGGREGATE PRINCIPAL AMOUNT OF $5,505,000; FIXING
THEIR FORM AND SPECIFICATIONS; DIRECTING THEIR
EXECUTION AND DELIVERY; AND PROVIDING FOR THEIR
PAYMENT
BE IT RESOLVED By the City Council of the City of Hopkins, Hennepin County, Minnesota
(the "City") as follows:
Section 1. Sale of Bonds.
1.01. Equipment Certificates.
(a) The City is authorized by Minnesota Statutes, Chapter 475, as amended, and
Minnesota Statutes, Sections 410.32 and Section 412.301 (collectively, the "Equipment
Financing Act"), to issue its general obligation certificates of indebtedness on such terms and in
such manner as the City determines to finance the purchase of items of capital equipment
(the "Equipment"), subject to certain limitations contained in the Equipment Financing Act.
(b) The City will purchase and acquire various items of Equipment, which items and
the estimated cost thereof are listed on EXHIBIT B, attached hereto and made a part hereof, or
other similar equipment to be purchased pursuant to the Equipment Financing Act. 0
(c) As required by the Act:
(i) the expected useful life of each item of Equipment is or will be
at least as long as the term of the certificates of indebtedness issued to finance
such Equipment; and
(ii) the principal amount of certificates of indebtedness to be issued
in the year 2012 will not exceed 0.25 percent of the market value of taxable
property in the City for the year 2012.
(d) It is necessary and expedient to the sound financial management of the affairs of
the City to issue general obligations in the aggregate principal amount of $970,000 (the
"Equipment Certificates"), pursuant to the Equipment Financing Act, to provide financing for the
acquisition of the Equipment.
1.02. Improvement Bonds.
(a) Certain assessable public improvements, including asphalt roadway and concrete
curb and gutter installation (the "Assessable Improvements") associated with the 2011 Street and
Utility Improvements (Project No. 10-10) and the 2012 Street and Utility Improvements (Project
No. 11-10) (collectively, the "Project") within the City, have been made, duly ordered or
contracts let for the construction thereof pursuant to the provisions of Minnesota Statutes,
Chapters 429 and 475, as amended (collectively, the "Improvement Act").
4091870 JAE HPI 10-83 2
(b) It is necessary and expedient to the sound financial management of the affairs of
the City to issue general obligations in the aggregate principal amount of $3,285,000 (the
"Improvement Bonds"), pursuant to the Improvement Act, to provide financing for the
Assessable Improvements.
1.03. Utility Revenue Bonds.
(a) The City engineer has recommended the construction of various improvements
to the City's water, sanitary sewer, and storm sewer systems (the "Utility Improvements") as part
of the Project, pursuant to Minnesota Statutes, Chapters 444 and 475, as amended (collectively,
the "Utility Revenue Act").
(b) It is necessary and expedient to the sound financial management of the affairs of
the City to issue general obligations in the aggregate principal amount of $1,250,000 (the "Utility
Revenue Bonds"), pursuant to the Utility Revenue Act, to provide financing for the Utility
Improvements.
1.04. Issuance of General Obligation Bonds.
(a) The City Council finds it necessary and expedient to the sound financial
management of the affairs of the City to issue its General Obligation Bonds, Series 2012B (the
"Bonds"), in the original aggregate principal amount of $5,505,000, pursuant to the Equipment
Financing Act, Improvement Act, and Utility Revenue Act (collectively, the "Act"), to provide
• financing for the acquisition of the Equipment, the construction of the Assessable Improvements,
and the construction of the Utility Improvements.
(b) The City is authorized by Section 475.60, subdivision 2(9) of the Act to
negotiate the sale of the Bonds, it being determined that the City has retained an independent
financial advisor in connection with such sale. The actions of the City staff and financial advisor
in negotiating the sale of the Bonds are ratified and confirmed in all aspects.
1.05. Award to the Purchaser and Interest Rates. The proposal of Piper Jaffray & Co., Leawood,
Kansas (the "Purchaser"), to purchase the Bonds is hereby found and determined to be a reasonable offer
and is hereby accepted, the proposal being to purchase the Bonds at a price of $5,593,652.57 (par amount of
$5,505,000, plus original issue premium of $128,256.05, less original issue discount of $12,742.25, less
underwriter's discount of $26,861.23), plus accrued interest to date of delivery, if any, for Bonds bearing
interest as follows:
Year Interest Rate
Year Interest Rate
2013
2.000%
2021
2.000%
2014
2.000
2022
2.000
2015
2.000
2023
2.000
2016
2.000
2024
2.000
2017
2.000
2025
2.000
2018
2.000
2026
2.000
2019
2020
2.000
2.000
2027
2028
2.125
2.200
4091870 JAE HP 110-83
True interest cost: 1.8151035%
1.06. Purchase Contract. The sum of $143,702.57, being the amount proposed by the Purchaser
in excess of $5,449,950.00, shall be credited to the accounts in the Debt Service Fund hereinafter created or
deposited in the Construction Fund hereinafter created, as determined by the Finance Director of the City in
consultation with the City's financial advisor. The 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 proposers. The Mayor and City Manager are directed to execute a contract with the
Purchaser on behalf of the City.
1.07. Terms and Principal Amounts of the Bonds. The City will forthwith issue and sell the
Bonds pursuant to the Act, in the total principal amount of $5,505,000, originally dated September 13, 2012,
in the denomination of $5,000 each or any integral multiple thereof, numbered No. R-1, upward, bearing
interest as above set forth, and maturing serially on February 1 in the years and amounts as follows:
Year
Amount
Year
Amount
2014 •
90,000
2013
$140,000
2021
$400,000
2014
345,000
2022
410,000
2015
360,000
2023
305,000
2016
370,000
2024
310,000
2017
375,000
2025
315,000
2018
380,000
2026
325,000
2019
390,000
2027
340,000
•
2020
395,000
2028
345,000
(a) $970,000 of the Bonds, constituting the Equipment Certificates, maturing on the
dates and in the amounts set forth below, are being used to finance the acquisition of the
Equipment:
Year
Amount Year Amount
2013
$ 55,000
2018
$ 100,000
2014 •
90,000
2019
105,000
2015
100,000
2020
105,000
2016
100,000
2021
105,000
2017
100,000
2022
110,000
(b) $3,285,000 of the Bonds, constituting the Improvement Bonds, maturing on the
dates and in the amounts set forth below, are being used to finance the construction of the
Assessable Improvements:
0
4091870 JAE HP 110-83 4
• Year
Amount
Year
Amount
2013
$ 20,000
2021
$215,000
2014
190,000
2022
220,000
2015
190,000
2023
225,000
2016
195,000
2024
230,000
2017
200,000
2025
235,000
2018
205,000
2026
240,000
2019
210,000
2027
245,000
2020
215,000
2028
250,000
(c) The remainder of the Bonds in the principal amount of $1,250,000, constituting the
Utility Revenue Bonds, maturing on the dates and in the amounts set forth below, are being used to
finance the construction of the Utility Improvements.
Year
Amount
Year
Amount
2013
$65,000
2021
$80,000
2014
65,000
2022
80,000
2015
70,000
2023
80,000
2016
75,000
2024
80,000
2017
75,000
2025
80,000
2018
75,000
2026
85,000
2019
75,000
2027
95,000
• 2020
75,000
2028
95,000
1.08. Optional Redemption. The City may elect on February 1, 2021, and on any day thereafter
to prepay Bonds due on or after February 1, 2022. Redemption may be in whole or in part and if in part, at
the option of the City and in such manner as the City will determine. If less than all Bonds of a maturity are
called for redemption, the City will notify DTC (as defined in Section 7 hereof) of the particular amount of
such maturity to be prepaid. DTC will determine by lot the amount of each participant's interest in such
maturity to be redeemed and each participant will then select by lot the beneficial ownership interests in
such maturity to be redeemed. Prepayments will be at a price of par plus accrued interest.
Section 2. Registration and Payment.
2.01. Registered Form. The Bonds will 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 the Bond will 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 the 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 February 1, 2013, to the registered owners of record thereof as of the close of business on the
0 fifteenth day of the immediately preceding month, whether or not such day is a business day.
4091870 JAE HP 110-83
2.03. Registration. The City will appoint a bond registrar, transfer agent, authenticating agent
and paying agent (the "Registrar"). The effect of registration and the rights and duties of the City and the
Registrar with respect thereto are as follows:
(a) Re ig ster. 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 executed by the registered owner thereof or by an attorney duly authorized by
the 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
registration of any transfer after the fifteenth day of the month preceding each interest payment date
and until that 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 transfer or exchange 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 a registered owner
or upon the owner's order will be valid and effectual to satisfy and discharge the liability upon the
Bond to the extent of the sum or sums so paid.
(g) Taxes, Fees and Charges. The Registrar may impose a charge upon the owner
thereof for a transfer or exchange of Bonds 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 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 an appropriate bond or indemnity in form, substance and amount satisfactory to it and as
4091870 JAE HP 110-83
• 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 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 identifying 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) to the registered owner of each Bond to be
redeemed at the address shown on the registration books kept by the Registrar and by publishing the
notice if 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 the proceedings 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 Moines,
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, the resulting 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 City Manager and executed on behalf of the City by the signatures of the Mayor and the City Manager,
provided that those signatures may be printed, engraved or lithographed facsimiles of the originals. If an
officer whose signature or a facsimile of whose signature appears on the Bonds ceases to be such officer
before the delivery of a Bond, that 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 a 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 City Manager will 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.
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 EXHIBIT C attached hereto 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.
4091870 JAE HPI 10-83 7
Section 3. Form of Bond.
3.01. Execution of the Bonds. The Bonds will be printed or typewritten in substantially the form
set forth in EXHIBIT C.
3.02. Approving LegalOpinion. The City Manager is authorized and directed to obtain a copy
of the proposed approving legal opinion of Kennedy & Graven, Chartered, Minneapolis, Minnesota,
which is to be complete except as to dating thereof and cause the opinion to be printed on or accompany
each Bond.
Section 4. Payment; Security, Pledges and Covenants.
4.01. Debt Service Fund. The Bonds will be payable from the General Obligation Bonds,
Series 2012B Debt Service Fund (the "Debt Service Fund") hereby created. The Debt Service Fund shall be
administered and maintained by the Finance Director as a bookkeeping account separate and apart from all
other funds maintained in the official financial records of the City. The City will maintain the following
accounts in the Debt Service Fund: the "Equipment Account," the "Assessable Improvements Account,"
and the "Utility Improvements Account." Amounts in the Equipment Account are irrevocably pledged to
the Equipment Certificates, amounts in the Assessable Improvements Account are irrevocably pledged to the
Improvement Bonds, and amounts in the Utility Improvements Account are irrevocably pledged to the
Utility Revenue Bonds.
(a) Equipment Account. Ad valorem taxes herein levied for the acquisition of the
Equipment are hereby pledged to the Equipment Account of the Debt Service Fund. There is
appropriated to the Equipment Account a pro rata portion of (i) capitalized interest financed from
Bond proceeds, if any; and (ii) amounts over the minimum purchase price of the Bonds paid by the
Purchaser, to the extent designated for deposit in the Debt Service Fund in accordance with
Section 1.06.
(b) Assessable Improvements Account. Ad valorem taxes and special assessments (the
"Assessments") herein levied for the Assessable Improvements are hereby pledged to the
Assessable Improvements Account of the Debt Service Fund. There is appropriated to the
Assessable Improvements Account a pro rata portion of (i) capitalized interest financed from Bond
proceeds, if any; and (ii) amounts over the minimum purchase price of the Bonds paid by the
Purchaser, to the extent designated for deposit in the Debt Service Fund in accordance with Section
1.06.
•
(c) Utility Improvements Account. The City will continue to maintain and operate its
Water Fund, Sanitary Sewer Fund, and Storm Sewer Fund to which will be credited all gross
revenues of the water system, sanitary sewer system, and storm sewer system, respectively, and out
of which will be paid all normal and reasonable expenses of current operations of such systems.
Any balances therein are deemed net revenues and will be transferred, from time to time, to the
Utility Improvements Account of the Debt Service Fund, which Utility Improvements Account will
be used only to pay principal of and interest on the Utility Revenue Bonds and any other bonds
similarly authorized. There will always be retained in the Utility Improvements Account a
sufficient amount to pay principal of and interest on all the Utility Revenue Bonds, and the
Finance Director must report any current or anticipated deficiency in the Utility Improvements
Account to the City CouncilThere is also appropriated to the Utility Improvements Account a pro •
rata portion of (i) capitalized interest financed from the proceeds of the Bonds, if any; and (ii)
4091870 JAE HP 110-83
• amounts over the minimum purchase price paid by the Purchaser, to the extent designated for
deposit in the Debt Service Fund in accordance with Section 1.06.
4.02. Construction Fund. The City hereby creates the General Obligation Bonds, Series 2012B
Construction Fund (the "Construction Fund"). The City will maintain the following accounts in the
Construction Fund: the "Equipment Account," the "Assessable Improvements Account," and the "Utility
Improvements Account." Amounts in the Equipment Account are irrevocably pledged to the Equipment
Certificates, amounts in the Assessable Irnprovements Account are irrevocably pledged to the Improvement
Bonds, and amounts in the Utility Improvements Account are irrevocably pledged to the Utility Revenue
Bonds.
(a) Equipment Account. Proceeds of the Equipment Certificates, less the
appropriations made in Section 4.01(a) hereof, together with any other funds appropriated for the
Equipment, will be deposited in the Equipment Account of the Construction Fund to be used solely
to defray expenses of the acquisition of the Equipment. When the Equipment has been acquired
and the cost thereof paid, the Equipment Account of the Construction Fund is to be closed and any
balance therein may be deposited in the Equipment Account of the Debt Service Fund.
(b) Assessable Improvements Account. Proceeds of the Improvement Bonds, less the
appropriations made in Section 4.01(b) hereof, together with any other funds appropriated for the
Assessable Improvements, ad valorem taxes, and Assessments collected during the construction of
the Assessable Improvements, will be deposited in the Assessable Improvements Account of the
Construction Fund to be used solely to defray expenses of the Assessable Improvements and the
payment of principal of and interest on the Improvement Bonds prior to the completion and
payment of all costs of the Assessable Improvements. Any balance remaining in the Assessable
Improvements Account after completion of the Assessable Improvements may be used to pay the
cost in whole or in part of any other improvement instituted under the Improvement Act, under the
direction of the City Council. When the Assessable Improvements are completed and the cost
thereof paid, the Assessable Improvements Account of the Construction Fund is to be closed and
any subsequent collections of Assessments and ad valorem taxes for the Assessable Improvements
are to be deposited in the Assessable Improvements Account of the Debt Service Fund.
(c) Utility Improvements Account. Proceeds of the Utility Revenue Bonds, less the
appropriations made in Section 4.01(c), will be deposited in the Utility Improvements Account of
the Construction Fund to be used solely to defray expenses of the Utility Improvements. When the
Utility Irnprovements are completed and the cost thereof paid, the Utility Improvements Account of
the Construction Fund is to be closed and any funds remaining may be deposited in the Utility
Improvements Account of the Debt Service Fund.
4.03. City Covenants with Respect to the Improvement Bonds. It is hereby determined that the
Assessable Improvements will directly and indirectly benefit abutting property, and the City hereby
covenants with the holders from time to time of the Bonds as follows:
(a) The City will cause the Assessments for the Assessable Improvements to be
promptly levied so that the first installment for the 2011 Street and Utility Improvements will be
collectible not later than 2012 and the first installment of the 2012 Street and Utility
Improvements will be collectible not later than 2013 and will take all steps necessary to assure
. prompt collection, and the levy of the Assessments is hereby authorized. The City Council will
cause to be taken with due diligence all further actions that are required for the construction of
each Assessable Improvement financed wholly or partly from the proceeds of the Bonds, and will
4091870 JAE HPI 10-83 9
take all further actions necessary for the final and valid levy of the Assessments and the •
appropriation of any other funds needed to pay the Improvement Bonds and interest thereon
when due.
(b) In the event of any current or anticipated deficiency in Assessments and ad
valorem 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 Assessable Improvements, Assessments and ad
valorem taxes levied therefor and other funds appropriated for their payment, collections thereof
and disbursements therefrom, monies on hand and, the balance of unpaid Assessments.
(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.
(e) At least 20% of the cost to the City of the Assessable Improvements described
herein will be specially assessed against benefited properties.
4.04. City Covenants with Respect to the Utility Revenue Bonds. The City Council covenants
and agrees with the holders of the Bonds that so long as any of the Bonds remain outstanding and unpaid,
it will keep and enforce the following covenants and agreements:
(a) The City will continue to maintain and efficiently operate the water system,
sanitary sewer system, and storm sewer system as public utilities and conveniences free from
competition of other like municipal utilities and will cause all revenues therefrom to be deposited
in bank accounts and credited to the Water Fund, Sanitary Sewer Fund, and Storm Sewer Fund,
respectively, as hereinabove provided, and will make no expenditures from those accounts except
for a duly authorized purpose and in accordance with this resolution.
(b) The City will also maintain the Utility Improvements Account of the Debt
Service Fund as a separate account and will cause money to be credited thereto from time to
time, out of net revenues from the water system, sanitary sewer system, and storm sewer system
in sums sufficient to pay principal of and interest on the Utility Revenue Bonds when due.
(c) The City will keep and maintain proper and adequate books of records and
accounts separate from all other records of the City in which will be complete and correct entries
as to all transactions relating to the water system, sanitary sewer system, and storm sewer system
and which will be open to inspection and copying by any Bondholder, or the Bondholder's agent
or attorney, at any reasonable time, and it will furnish certified transcripts therefrom upon request
and upon payment of a reasonable fee therefor, and said account will be audited at least annually
by a qualified public accountant and statements of such audit and report will be furnished to all
Bondholders upon request.
(d) The City Council will cause persons handling revenues of the water system,
sanitary sewer system, and storm sewer system to be bonded in reasonable amounts for the
protection of the City and the Bondholders and will cause the funds collected on account of the
operations of such systems to be deposited in a bank whose deposits are guaranteed under the .
Federal Deposit Insurance Law.
4091870 JAE HPI 10-83 10
• (e) The City Council will keep the water system, sanitary sewer system, and storm
sewer system insured at all times against loss by fire, tornado and other risks customarily insured
against with an insurer or insurers in good standing, in such amounts as are customary for like
plants, to protect the holders, from time to time, of the Bonds and the City from any loss due to
any such casualty and will apply the proceeds of such insurance to make good any such loss.
(f) The City and each and all of its officers will punctually perform all duties with
reference to the water system, sanitary sewer system, and storm sewer system as required by law.
(g) The City will impose and collect charges of the nature authorized by
Section 444.075 of the Act, at the times and in the amounts required to produce net revenues
adequate to pay all principal and interest when due on the Utility Revenue Bonds and to create
and maintain such reserves securing said payments as may be provided in this resolution.
(h) The City Council will levy general ad valorem taxes on all taxable property in
the City when required to meet any deficiency in net revenues.
4.05. General Obligation Pledge. For the prompt and full payment of the principal and interest
on the Bonds, as the same respectively become due, the full faith, credit and taxing powers of the City will
be and are hereby irrevocably pledged. If the balance in the Debt Service Fund is ever insufficient to pay all
principal and interest then due on the Bonds and any other bonds payable therefrom, the deficiency will be
promptly paid out of monies in the general fund of the City which are available for such purpose, and such
general fund may be reimbursed with or without interest from the Debt Service Fund when a sufficient
balance is available therein.
of4.06. Pledge of Tax Levy. For the purpose of paying the principal of and interest on the
Equipment Certificates and the Improvement Bonds, there is levied a direct annual irrepealable ad
valorem tax (the "Taxes") upon all of the taxable property in the City, which will 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 attached hereto as
EXHIBIT D.
4.07. Certification to Taxpayer Services Division Manager as to Debt Service Fund Amount. It
is hereby determined that the estimated collections of Taxes, Assessments, and net revenues of the water
system, sanitary sewer system, and storm sewer system 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 at the time the City makes its annual
tax levies the Finance Director may certify to the Taxpayer Services Division Manager of Hennepin
County, Minnesota, the amount available in the Debt Service Fund to pay principal and interest due
during the ensuing year, and the Taxpayer Services Division Manager will thereupon reduce the levy
collectible during such year by the amount so certified.
4.08. Registration of Resolution. The City Manager is authorized and directed to file a certified
copy of this resolution with the Taxpayer Services Division Manager and to obtain the certificate required
by Section 475.63 of the Act.
Section 5. Authentication of Transcript.
5.01. City Proceedings and Records. 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
4091870 JAE HPI 10-83 11
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, will be
deemed representations of the City as to the facts stated therein.
5.02. Certification as to Official Statement. The Mayor and City Manager 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.
5.03. Other Certificates. The Mayor, City Manager, and Finance Director are hereby
authorized and directed to furnish to the Purchaser at the closing such certificates as are required as a
condition of sale. Unless litigation shall have been commenced and be pending questioning the Bonds or
the organization of the City or incumbency of its officers, at the closing the Mayor, the City Manager, and
the Finance Director shall also execute and deliver to the Purchaser a suitable certificate as to absence of
material litigation, and the Finance Director shall also execute and deliver a certificate as to payment for
and delivery of the Bonds.
5.04. Payment of Costs of Issuance. The City authorizes the Purchaser to forward the amount
of Bond proceeds allocable to the payment of issuance expenses (other than amounts payable to
Kennedy & Graven, Chartered, as Bond Counsel) to KleinBank, Chaska, Minnesota on the closing date
for further distribution as directed by the City's financial advisor, Ehlers & Associates, Inc.
Section 6. Tax Covenant.
6.01. Tax -Exempt Bonds, The City covenants and agrees with the holders from time to time of
the Bonds 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 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 within 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. Rebate. 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.
6.03. Not Private Activity Bonds. 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 such 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. Qualified Tax -Exempt Obligations. 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: 0
4091870 JAE HP 110-83 12
• (a) the Bonds are not "private activity bonds" as defined in Section 141 of the Code;
(b) the City 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 that are not qualified 501(c)(3) bonds) which will be issued by the City (and all
subordinate entities of the City) during calendar year 2012 will not exceed $10,000,000; and
(d) not more than $10,000,000 of obligations issued by the City during calendar year
2012 have been designated for purposes of Section 265(b)(3) of the Code.
6.05. Procedural Requirements. 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.
Section 7. Book -Entry System; Limited Obligation of City.
7.01. DTC. The Bonds will be initially issued in the form of a separate single typewritten or
printed fully registered Bond for each of the maturities set forth in Section 1.07 hereof. Upon initial
issuance, the ownership of each Bond will be registered in the registration books kept by the Registrar in the
name of Cede & Co., as nominee for The Depository Trust Company, New York, New York, and its
successors and assigns ("DTC"). Except as provided in this section, all of the outstanding Bonds will be
registered in the registration books kept by the Registrar in the name of Cede & Co., as nominee of DTC.
7.02. Participants. With respect to Bonds registered in the registration books kept by the
Registrar in the name of Cede & Co., as nominee of DTC, the City, the Registrar and the Paying Agent will
have no responsibility or obligation to any broker dealers, banks and other financial institutions from time to
time for which DTC holds Bonds as securities depository (the "Participants") or to any other person on
behalf of which a Participant holds an interest in the Bonds, including but not limited to any responsibility
or obligation with respect to (i) the accuracy of the records of DTC, Cede & Co. or any Participant with
respect to any ownership interest in the Bonds, (ii) the delivery to any Participant or any other person (other
than a registered owner of Bonds, as shown by the registration books kept by the Registrar), of any notice
with respect to the Bonds, including any notice of redemption, or (iii) the payment to any Participant or any
other person, other than a registered owner of Bonds, of any amount with respect to principal of, premium,
if any, or interest on the Bonds. The City, the Registrar and the Paying Agent may treat and consider the
person in whose name each Bond is registered in the registration books kept by the Registrar as the holder
and absolute owner of such Bond for the purpose of payment of principal, premium and interest with respect
to such Bond, for the purpose of registering transfers with respect to such Bonds, and for all other purposes.
The Paying Agent will pay all principal of, premium, if any, and interest on the Bonds only to or on the
order of the respective registered owners, as shown in the registration books kept by the Registrar, and all
such payments will be valid and effectual to fully satisfy and discharge the City's obligations with respect to
payment of principal of, premium, if any, or interest on the Bonds to the extent of the sum or sums so paid.
No person other than a registered owner of Bonds, as shown in the registration books kept by the Registrar,
will receive a certificated Bond evidencing the obligation of this resolution. Upon delivery by DTC to the
City Manager of a written notice to the effect that DTC has determined to substitute a new nominee in place
of Cede & Co., the words "Cede & Co." will refer to such new nominee of DTC; and upon receipt of such a
notice, the City Manager will promptly deliver a copy of the same to the Registrar and Paying Agent.
7.03. Representation Letter. The City has heretofore executed and delivered to DTC a Blanket
Issuer Letter of Representations (the "Representation Letter") which will govern payment of principal of,
4091870 JAE HP 110-83 13
premium, if any, and interest on the Bonds and notices with respect to the Bonds. Any Paying Agent or
Registrar subsequently appointed by the City with respect to the Bonds will agree to take all action
necessary for all representations of the City in the Representation Letter with respect to the Registrar and
Paying Agent, respectively, to be complied with at all times.
7.04. Transfers Outside Book -Entry System. In the event the City, by resolution of the City
Council, determines that it is in the best interests of the persons having beneficial interests in the Bonds that
they be able to obtain Bond certificates, the City will notify DTC, whereupon DTC will notify the
Participants, of the availability through DTC of Bond certificates. In such event the City will issue, transfer
and exchange Bond certificates as requested by DTC and any other registered owners in accordance with
the provisions of this resolution. DTC may determine to discontinue providing its services with respect to
the Bonds at any time by giving notice to the City and discharging its responsibilities with respect thereto
under applicable law. In such event, if no successor securities depository is appointed, the City will issue
and the Registrar will authenticate Bond certificates in accordance with this resolution and the provisions
hereof will apply to the transfer, exchange and method of payment thereof.
7.05. Payments to Cede & Co. Notwithstanding any other provision of this resolution to the
contrary, so long as a Bond is registered in the name of Cede & Co., as nominee of DTC, payments with
respect to principal of, premium, if any, and interest on the Bond and all notices with respect to the Bond
will be made and given, respectively in the manner provided in DTC's Operational Arrangements, as set
forth in the Representation Letter.
Section 8. Continuing Disclosure.
8.01. Execution of Continuing Disclosure Certificate. "Continuing Disclosure Certificate"
means that certain Continuing Disclosure Certificate executed by the Mayor and City Manager and dated
the date of issuance and delivery of the Bonds, as originally executed and as it may be amended from time
to time in accordance with the terms thereof.
8.02. City Compliance with Provisions of Continuing Disclosure Certificate. The City hereby
covenants and agrees that it will comply with and carry out all of the provisions of the Continuing
Disclosure Certificate. Notwithstanding any other provision of this resolution, failure of the City to comply
with the Continuing Disclosure Certificate is not to be considered an event of default with respect to the
Bonds; however, any Bondholder may take such actions as may be necessary and appropriate, including
seeking mandate or specific performance by court order, to cause the City to comply with its obligations
under this section.
Section 9. Defeasance. When all Bonds and all interest thereon have been discharged as
provided in this section, all pledges, covenants and other rights granted by this resolution to the holders of
the Bonds will cease, except that the pledge of the full faith and credit of the City for the prompt and full
payment of the principal of and interest on the Bonds will remain in full force and effect. The City may
discharge all 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. 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 to the date of such deposit.
C,
4091870 JAE HPI 10-83 14
.
The motion for the adoption of the
foregoing resolution was
duly seconded by Member
Cummings, and upon vote being taken thereon,
the following voted in favor
thereof:
0
Eugene Maxwell, Molly Cummings, Jason Gadd, Kristi Halverson, and Cheryl Youakim
and the following voted against the same:
Eugene Maxwell, Molly Cummings, Jason Gadd, Kristi Halverson, and Cheryl Youakim
whereupon said resolution was declared duly passed and adopted.
4091870 JAE HPI 10-83 15
Passed and adopted this 21 st day of August, 2012.
CITY OF HOPKINS, MINNESOTA
Mayor
Attest:
City Clerk
4091870 JAE HP 110-83 16
•
•
•
•
EXHIBIT A
PROPOSALS
Error! Unknown document property name. A-1
BID TABULATION
2.000%
$5,650,000" General Obligation Bonds, Series 2012B
Leawood, Kansas 2014
CITY OF HOPKINS, MINNESOTA
0.400%
SALE: August 21, 2012
2.000%
AWARD: PIPER JAFFRAY & CO.
2016
RATING: Standard & POWs Credit Markets "AA"
BBI: 3.80%
2017
NET TRUE
NAME OF BIDDER MATURITY RATE REOFFERING PRICE
INTEREST INTEREST
(F*bruary 1) YIELD
COST RATE
PIPER JAFFRAY b CO. 2013
2.000%
0.300% $5,739,706.45 5833,432.76 1.8190%
Leawood, Kansas 2014
2.000%
0.400%
2015
2.000%
0.500%
2016
2.000%
0.600%
2017
2.000%
0.800%
2018
2.000%
1.050%
2019
2.000%
1250%
2020
2.000%
1.550%
2021
2.000%
1.650%
2022
2.000%
1.750%
2023
2.000%
1.900%
2024
2.000%
2.000%
2025
2.000%
2.050%
2026
2.000%
2.150%
2027
2.125%
2200%
2028
2.200%
2250%
RAYMOND JAMES 8 ASSOCIATES, INC. 2013
1.000% $5,731,036.05 5836,913.53 1.8195%
Mw phis, Tennessee 2014
1.000%
2015
1.000%
2016
1.000%
2017
1.000%
2018
2.000%
2019
2.000%
2020
2.000%
2021
2.000%
2022
2.000%
2023
2.000%
2024
2.000%
2025
2.125%
2026
2.250%
2027
2.375%
2028
2.375%
'Subsequent to bid opening the issue size was decreased to S5,505,000.
Adjusted Price - S5,593,652.57 Adjusted Net Interest Cost - $809,679.85
Error! Unknown document property name. A_2
Adjusted TIC - 1.8151 %
•
•
0$5,660,000 General Obligation Bonds, Series 2012B
City of Hopkins, Minnesota
Pape 3
NET TRUE
NAME OF BIDDER MATURITY RATE REOFFERING PRICE INTEREST INTEREST
(F*bruary 1) YIELD COST RATE
JANNEY MONTGOMERY SCOTT LLC 2013 2.000% $5,708,163.00 $878,984.00 1.9246%
Philadelphia, Pennsylvania
2014
2.000%
2015
2.000%
2016
2.000%
2017
2.000%
2018
2.000%
2019
2.000%
2020
2.000%
2021
2.000%
2022
2.000%
2023
2.000%
2024
2.000%
2025
2.000%
2026
2.100%
2027
2.200%
2028
2.300%
BOSC, INC., A SUBSIDIARY OF BOK
2013
2.000%
FINANCIAL CORPORATION
2014
2.000%
Menomonee Falls, Wisconsin
2015
2.000%
2016
2.000%
2017
2.000%
2018
2.000%
2019
2.000%
2020
2.000%
2021
2000%
2022
2.000%
•
2023
2.050%
2024
2.150%
2025
2.250%
2026
2.350%
2027
2.450%
2028
2.550%
i
Error! Unknown document property name. A-3
$5,697,741.50 $944,620.83 2.0671%
$6,650,000 General Obligation Bonds, Series 2012B Page 2 •
City of Hopkins, Minnesota
NET TRUE
NAME OF BIDDER MATURITY RATE REOFFERING PRICE INTEREST INTEREST
(February 1) YIELD COST RATE
BAIRD
MiMraukee, Wmcanw
FTN FINANCIAL CAPITAL MARKETS
Memphis, Tennessee
STIFEL NICOLAUS
Memphis, Tmwssee
2013
2014
2015
2016
2017
2018
2019
2020
2021
2022
2023
2024
2025
2026
2027
2028
2013
2014
2015
2016
2017
2018
2019
2020
2021
2022
2023
2024
2025
2026
2027
2028
2013
2014
2015
2016
2017
2018
2019
2020
2021
2022
2023
2024
2025
2026
2027
2028
2.000%
2.000%
2.000%
2.000%
2.000%
2.000%
2.000%
2.000%
2.000%
2.000%
2.000%
2.000%
2.050%
2.100%
2.200%
2.300%
2.000%
2.000%
2.000%
2.000%
2.000%
2.000%
2.000%
2.000%
2.000%
2.000%
2.000%
2.000%
2.100%
2.250%
2.250%
2.350%
2.000%
2.000%
2.000%
2.000%
2.000%
2.000%
2.000%
2.000%
2.000%
2.000%
2.000%
2.000%
2.000%
2.125%
2.250%
2.250%
Error! Unknown document property name. A_4
55,737,734.30 5851,424.99 1.8575%
$5,739,268.20 $864,153.80 1.8840%
55,715,719.35 $872,291.72 1.9082%
is
L'
•
EXHIBIT B
LIST OF EQUIPMENT
Equipment Estimated Cost
One Quick Attach Pumper
$ 250,000
Two 4x4 3/4 -Ton Truck
70,000
Two One -Ton Dump Truck
40,000
One One -Ton Traffic Boom Truck
82,500
One Single -Axel Dump Truck
130,000
One Front -End Loader
172,000
One Backhoe
135,000
One Regenerative Air Sweeper
156,400
One Ice Resurfacer
180,000
Total: $1 21 9 0
Error! Unknown document property name. B-1
EXHIBIT C
FORM OF BOND
No. R- UNITED STATES OF AMERICA
STATE OF MINNESOTA
COUNTY OF HENNEPIN
CITY OF HOPKINS
GENERAL OBLIGATION BOND
SERIES 2012B
Date of
Rate Maturity Original Issue
February 1, 20_ September 13, 2012
Registered Owner: Cede & Co.
CUSIP
The City of Hopkins, Minnesota, a duly organized and existing municipal corporation in
Hennepin County, Minnesota (the "City"), acknowledges itself to be indebted and for value received
hereby promises to pay to the Registered Owner specified above 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
February 1, 2013, 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 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 City have been and are hereby
irrevocably pledged.
The City may elect on February 1, 2021, and on any day thereafter to prepay Bonds due on or
after February 1, 2022. Redemption may be in whole or in part and if in part, at the option of the City
and in such manner as the City will determine. If less than all Bonds of a maturity are called for
redemption, the City will notify The Depository Trust Company ("DTC") of the particular amount of
such maturity to be prepaid. DTC will determine by lot the amount of each participant's interest in such
maturity to be redeemed and each participant will then select by lot the beneficial ownership interests in
such maturity to be redeemed. Prepayments will be at a price of par plus accrued interest.
This Bond is one of an issue in the aggregate principal amount of $5,505,000 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 August 21, 2012 (the "Resolution"), for the
purpose of providing money to defray the expenses incurred and to be incurred in the acquisition of
certain items of equipment and making certain assessable local improvements and improvements to the
City's water system, sanitary sewer system, and storm sewer system, pursuant to and in full conformity
with the home rule charter of the City and the Constitution and laws of the State of Minnesota, including
Error! Unknown document property name. C-1
•
•
•
Minnesota Statutes, Chapters 429, 444, and 475, as amended, and Sections 410.32 and 412.301. The
principal hereof and interest hereon are payable in part from ad valorem taxes, special assessments levied
against property specially benefited by local improvements, and net revenues of the City's water system,
sanitary sewer system, and storm sewer system, 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 taxes, special
assessments, and net revenues 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.
The City Council has designated the issue of Bonds of which this Bond forms a part as "qualified
tax-exempt obligations" 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.
IT IS HEREBY CERTIFIED AND RECITED That in and by the Resolution, the City has
covenanted and agreed that it will continue to own and operate the water system, sanitary sewer system,
and storm sewer system free from competition by other like municipal utilities; that adequate insurance
on said systems and suitable fidelity bonds on employees will be carried; that proper and adequate books
of account will be kept showing all receipts and disbursements relating to the Water Fund, Sanitary
Sewer Fund, and Storm Sewer Fund, into which it will pay all of the gross revenues from the water
system, sanitary sewer system, and storm sewer system, respectively; that it will also create and maintain
a Utility Improvements Account within the General Obligation Bonds, Series 2012B Debt Service Fund,
• into which it will pay, out of the net revenues from the water system, sanitary sewer system, and storm
sewer system, a sum sufficient to pay principal of the Utility Revenue Bonds (as defined in the
Resolution) and interest on the Utility Revenue Bonds when due; and that it will provide, by ad valorem
tax levies, for any deficiency in required net revenues of the water system, sanitary sewer system, and
storm sewer system.
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 duly 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 home rule charter of the City and the Constitution and laws of the
• State of Minnesota 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
Error! Unknown document property name. C-2
issuance of this Bond does not cause the indebtedness of the City to exceed any constitutional, charter, or •
statutory limitation of indebtedness.
This Bond is not 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 or manual signatures of the
Mayor and City Manager and has caused this Bond to be dated as of the date set forth below.
Dated: September 13, 2012
CITY OF HOPKINS, MINNESOTA
(Facsimile) (Facsimile)
Mayor City Manager
CERTIFICATE OF AUTHENTICATION
This is one of the Bonds delivered pursuant to the Resolution mentioned within.
BANKERS TRUST COMPANY
By
Authorized Representative
ABBREVIATIONS
The following abbreviations, when used in the inscription on the face of this Bond, will be
construed as though they were written out in full according to applicable laws or regulations:
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
UNIF GIFT MIN ACT
Custodian
(Cust) (Minor)
under Uniform Gifts or Transfers to Minors
Act, State of
Additional abbreviations may also be used though not in the above list.
Error! Unknown document property name. C-3
•
• 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 must correspond with the name as it
appears upon the face of the within Bond in every particular, without alteration or
any change whatever.
Signature Guaranteed:
NOTICE: Signature(s) must be guaranteed by a financial institution that is a member of the Securities
Transfer Agent Medallion Program ("STAMP"), the Stock Exchange Medallion Program ("SEMP"), the
New York Stock Exchange, Inc. Medallion Signatures Program ("MSP") or other such "signature guarantee
program" as may be determined by the Registrar in addition to, or in substitution for, STEMP, SEMP or
MSP, all in accordance with the Securities Exchange Act of 1934, as amended.
The Registrar will not effect transfer of this Bond unless the information concerning the assignee
requested below is provided.
Name and Address:
(Include information for all joint owners if this Bond is
held by joint account.)
Please insert social security or other identifying
number of assignee
Error! Unknown document property name. C_4
PROVISIONS AS TO REGISTRATION •
The ownership of the principal of and interest on the within Bond has been registered on the books
of the Registrar in the name of the person last noted below.
Signature of
Date of Registration Registered Owner Officer of Re istrar
Cede & Co.
Federal ID #13-2555119
•
•
Error! Unknown document property name. C-5
. EXHIBIT D
TAX LEVY SCHEDULES
TAX LEVY FOR EQUIPMENT CERTIFICATES
Tax Levy Calculation For:
City of Hopkins, Minnesota
General Obligation Bonds, Series 2012B
Dated Date: 9/13/2012
Equipment Certificate Portion
Levy Collect Pay Total P & I Net
40 Year Year Year P & I x 10S% Levy
.7
2011
/ 2012
/ 2013
62,436.67
65,558.50
65,558.50
2012
/ 2013
/ 2014
108,300.00
113,715.00
113,715.00
2013
/ 2014
/ 2015
116,500.00
122,325.00
122,325.00
2014
/ 2015
/ 2016
114,500.00
120,225.00
120,225.00
2015
/ 2016
/ 2017
112,500.00
118,125.00
118,125.00
2016
/ 2017
/ 2018
110,500.00
116,025.00
116,025.00
2017
/ 2018
/ 2019
113,500.00
119,175.00
119,175.00
2018
/ 2019
/ 2020
111,400.00
116,970.00
116,970.00
2019
/ 2020
/ 2021
109,300.00
114,765.00
114,765.00
2020
/ 2021
/ 2022
112200.00
117,810.00
117,810.00
Totals
1,071,136.67
1,124,693.50
1,124,693.50
Error! Unknown document property name. D_1
TAX LEVY FOR IMPROVEMENT BONDS 0
Tax Levy Calculation For:
City of Hopkins, Minnesota
$5,505,000 General Obligation Bonds, Series 20128
Dated Date: 9113/2012
Improvement Portion
Levy
Collect
Pay
Total
P & I
Less: Special
Met
Year
Year
Year
P & I
x 105%
Assessments (1)
Levy
2011 /
2012
/ 2013
45,494.06
47,768.76
-
47,768.76
20121
2013
12014
256,10626
268,911.57
(124,211.30)
144,70027
2013 /
2014
/ 2015
252,30626
264,921.57
(124,211.30)
140,71027
20141
2015
12016
253,506.26
266,181.57
(124,211.31)
141,97026
20151
2016
/2017
254,60626
267,336.57
(124,211.30)
143,125.27
2016 /
2017
/2018
255,60626
268,386.57
(124,211.31)
144,17526
2017 /
2018
/2019
256,506.26
269,331.57
(124,211.31)
145,12026
2018 /
2019
/ 2020
257,30626
270,171.57
(124,211.30)
145,960.27
2019 /
2020
/2021
253,00626
265,656.57
(124,21129)
141,44528
20201
2021
/2022
253,70626
266,391.57
(124,211.30)
142,18027
2021 1
20221
2022
2023
12023
12024
254,30626
254,80626
267,021.57
267,546.57
(124,211.29)
(124,211.30)
142,81028
143,33527
2023 /
2024
12025
255,20626
267,966.57
(124,211.31)
143„755.26
2024 /
2025
12026
255,506.26
268,281.57
(124,211.30)
144,07027
2025 /
2026
12027
255,706.26
268,491.57
(124,211.31)
14428026
2026 /
2027
/ 2028
255,500.00
268275.00
(124211.30)
144,063.70
Totals
3,869,181.70
4,062,640.79
(1,863,169.53)
2,199,471.26
(1) Projected special assessment revenue based on $1,289,441 assessed at 5.0096.
11
Error! Unknown document property name. D_2
•
STATE OF MINNESOTA )
COUNTY OF HENNEPIN ) SS.
CITY OF HOPKINS )
I, Kristine A. Luedke, being the duly qualified and acting City Clerk of the City of Hopkins,
Hennepin County, Minnesota (the "City"), 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
August 21, 2012 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 the City's General Obligation
Bonds, Series 2012B, in the original aggregate principal amount of $5,505,000.
WITNESS My hand officially as such City Clerk and the corporate seal of the City this 29th day
of August, 2012.
(SEAL)
C"L. 1�
Error! Unknown document property name.
City Clerk
City of Hopkins, Minnesota