HomeMy WebLinkAbout1992 11-19 City Council Special Meeting PacketAGENDA
MAPLEWOOD CITY COUNCIL
SPECIAL MEETING
4030 P.M., Thursday, November 19, 1992
Council Chambers, Municipal Building
A. CALL TO ORDER
B. PLEDGE OF ALLEGIANCE
C. ROLL CALL
D. AWARD OF BIDS
I. Bid Award on 1992 Refunding Bonds
N. ADJOURNMENT
WOO
AGENDA RO*
AGENDA REPORT
Action b Council
TO: Cit Mana
/6�r Endorsed—
-FROKO Finance Director
Modiff ied,
,RE: BID AWARD ON 1992 RBFUNDXHG BON D$ Rejected.
Date
DATE: November 16, 1992
On October 12th the Council g ave preliminar approval for the sale
of $6,025,000 of refundin bonds. Additional information on the
bond issues is in the attached report.
The bids on these bonds are scheduled to be opened at 11.*00 a.m. on
Thursda November 19th. A recommendation re the bid award
will be made at the Council meetin b Jerr Shannon, of Sprin
Incorporated.
C: \WP5 \AGNi92BONDS
J .�
t
,Y
AGENDA REPORT Action by C o un ci l
I \ E ndorse d ,r r
TO: City Manager Modif i e d��
]Re
FROM: — D at e .:. o -9
Finance Director
RE: PRELIMINARY APPROVAL OF 1992 REFUNDING BONDS
DATE: October 6, 1992
PROPOSAL
It is proposed that two 1992 bond issues be approved to refinance at a lower interest rate
existing debt. '
BACKGROUND
Bonds were issued in 1986 and 1988 to finance public improvements. The outstandin g bonds
for these issues total $4,335,000 and have an average interest rate of 7.56% and 7.23%
g
respectively. New bonds can be issued at an approximate rate of 5.25% to refinance this
existing debt. The refinancing will save the City a pproximately y pp y over the next 18
years. The present value of these savings is $219,490.
Tax increment bonds were also issued in 1986 by the City. The resent amount outstanding � P g is
$1,485,000 and they have an average interest rate of 7.27%. New bonds can be issued
at an
approximate rate of 4.43% to refinance this existing debt. The refinancing ill save the Cit
g y
approximately $157,429 over the next 9 years. The present value of these savings is $133
The attached 24 -page report prepared by Springsted Inc. provides additional information. It also
recommends a bid award on the bond sale at a special Council meetin g at 7:00 p.m. on
Thursday, November 19th. Since there is a regular pre agenda meeting n the same d at 4 :30
g y
p.m., it would be better to schedule the bid award at a special Council meeting t 4:30 p.m. and
g P
then adjourn to the regular pre- agenda meeting which has been the actice the past several
years.
P
RECOMMENDATION
It is recommended that the City Council (A) schedule a special Council meeting at 4 :30
P g p.m.
on Thursday, November 19th for a bid award on the 1992 bond issues adopt the attached
resolution which proves preliminary approval for the sale of $4,500,000 General Obligation h id lii
w + Improvement Refunding Bonds and (C) adopt the attached resolution which rovides p relimin ary
P P ary
approval for the sale of $1,515,000 General Obligation Tax Increment Refundin g Bonds.
WAAGM92BONDS
i
1
Recommendations
For
C ity of Maplewood, innesota M
$4,500,000
General Obligation Improvement Refunding. Bonds, Series
1992A
$1,515,000
General Obligation Tax Increment Refunding Bonds, Series
19928
Study No. M1408 D7 /E1
SPRINGSTED Incorporated
October 5, 1992
s
S P R I N G ST E D
120 South. Sixth Street
�
Suite 2507
,. U PUBLIC FINANCE ADVISORS
Minneapolis, MN 55402 -1800
(612) 33.3 -9177
Fax: (61 2) 349 -5230
Home Office
85 East Seventh Place
16655 West Bluemound Road
Suite 100
Suite 290
Saint Paul, MN 55101 -2143
Brookfield, WI 53005 -5935
(612) 223 -3000
Fax: (612) 223 -3002
(414) 782 -8222
Fax: (414) 782 -2904
6800 College Boulevard
Suite 600
Overland Park, KS 66211 -1533
(913) 345 -8062
fax: (913) 345 -1770
October 5, 1992
1800K Street NW
Suite 831
Washington, DC 20006.2200
(202) 466 -3344
Ma or Ga Bastian
Fax (202) 223 -1362
Y rY
Members, City Council
Mr. Michael McGuire, City Manager
Mr. Dan Faust, Finance Director
City of Maplewood
1.830 East County Road B
Maplewood, MN 55109
Re: Recommendations for the Issuance of:
$4,500,000 General Obligation Improvement Refunding Bonds, Series 1992A
$1,515,000 General Obligation Tax Increment Refunding Bonds, Series 1992B
Introduction
We respectfully request your consideration of our recommendations for the issuance of these
bonds in accordance with the attached Terms of Proposal. The recommendations describe the
financing plans to issue bonds to advance refund specific maturities of three of the City's
outstanding bond issues. These recommendations will discuss each new bond issue
separately and then address items common to both issues.
$4,500,000 General Obligation improvement Refunding Bonds, Series 1992A
(the "Series 1992A Bonds ")
Plan of Refunding
The 1992A Bonds will advance refund, by means of a crossover refunding, portions of the
City's $3,265,000 General Obligation Improvement Bonds dated August 1, 1986 (the 11 1986A
Bonds ") and $4,160,000 General Obligation Improvement Bonds dated August 1, 1988 (the
0 1988 Bonds "), as shown below.
Total Amount
of Maturities
Issues to Dated Date Maturities to Date of Call Being Called
be Refunded of Issues be Refunded for Redem tion for Redemption
$3,265 G . O. .
Improvement Bonds 8 -1 -1986 1997 -2006 2 -1 -1996 $1,815,000
s
$4,160,000 G.
Improvement Bonds 8 -1 -1 988 1997- 2008 8-1 -1996 $21520,000
r City of Maplewood, Minnesota
October 5, 1992
The 1986A Bonds and 1988 Bonds were both originally issued to finance public improvements
throughout the City.
Based on current market conditions, it is ' our recommendation that the C' pro ceed �Y p ceed with the
sale of a "crossover" refu bond issue that -would advance refund all of the callable
maturities of the 1986A Bonds and the 1988 Bonds. These callable bonds are currently
outstanding at net interest rates of 7.56% on the 1986A Bonds and 7.239 on the 1988 Bonds.
We project that the 1986A Bonds and 1988 Bonds could be refunded at a net interest rate of
approximately 5.25%, resulting in a total savings to the City, net of all costs of issuance, of
approximately $423,892. The estimated resent value net savings is $219,4900
P 9
In a crossover refunding, the proceeds of the refunding issue bonds are -.laced i a 9 ) p n n
escrow account with a major bank and invested in government securities. These securities and
their earnings are structured to pay debt service on the new bonds until the resp ective call
dates on the 1 • P
986A Bonds and 1988 Bonds, at which time the escrow account will crossover
and pay the remaining principal of the original issues by calling in all of the remainin g "called"
maturities. The City will continue to collect taxes and special assessments to pay debt service
on the original issues through their respective call dates. The City will then crossover and
begin levying for the debt service on the new issue.
Refunding Analysis
Appendix I is a combined analysis of the two individual issues being refunded. Appendices II
and. 111 are the individual analytical summaries of. each of the issues being refunded.
Schedule. A in Appendices 11 and III show the debt service on the refunded bonds as each now
exists. Schedule B shows the estimated debt service for that portion of the new crossover
refunding bonds attributable to each refunded issue. Schedule C is the individual anticipated
annual savings analyses based on current rates in the bond market. Please note that
Schedule C of Appendix III shows a negative savi amount of $195,906 in the 1997 maturi
and a large savings of $217,823 in 2009. These amou occur because the 1988 Bonds were
on an August 1, principal payment schedule and the 1992A Bonds are on a Februa ry 1
principal payment schedule.
Amortization Schedule
This refunding (new) issue will be dated December 1, 1992 and will mature February 1, 1997
through 2008 as shown in Column 3 of Appendix 1. Interest on these bonds due August 1,
1993 through February 1, 1996 will be payable solely from the escrow account, as discussed
previously, established upon the sale of this issue. Interest on these bonds due August 1, 1996
will be payable from a combination of escrow monies and new tax levies filed for this issue.
Thereafter, beginning with the February 1, 1997 principal and interest payment, the debt service
on this issue will be made entirely from annual tax levies.
The 1992A Bonds as now structured includes an additional $165,000 which will be used to pay
for all costs of issuance, including bond discount and rating ees, and to supplement the
9 PP
escrow account because of yield restrictions. All savings estimates are net of all these costs.
The actual underwriters discount on the Series 1992A Bonds, and actual cost of issuance, may
differ
from the assumptions made in these recommendations. The amount of money needed in
the escrow account may also differ from the amount projected because of interest rate
fluctuation. Therefore, we have included a provision in the offering to permit the City to
increase or decrease the principal in any of the maturities in a total amount not to exceed
$300,000 to offset any fluctuation.
Page 2
City of Maplewood, Minnesota
October 5, 1992
Prepayment Option
We recommend bonds maturing on or after February 1,.2002 be subject to payment in advance
of , their stated maturities on February 1, 2003 and any date thereafter at a price of par and
accrued interest. This call feature will permit the refinancing or prepayment of the bonds if
future circumstances warrant.
$1,515,000 General Obligation Tax Increment Refunding Bonds, Series 1992B
(the "Series 1992E Bonds")
Plan
of Refundin
On August 1, 1986 the City issued $2,490,000 General Obligation Tax Increment Bonds (the
8 1986B Bonds ") for the purpose of financing public improvements to tax increment districts
within the City's Development District No. 1. The net interest rate on the callable 1986B Bonds,
those maturing in 1994 through 2001 in the principal amount of $1,485,000, is 7.27%. Based
on current market conditions, it is our recommendation the City also proceed with the sale of
this current refunding. We estimate the 1986B Bonds can be refunded at a net interest rate of
4.43% resulting in a total savings to the City of approximately $157,429. The estimated present
value savings is $133,257.
This issue is considered a "current" refunding since the 1986B Bonds will be called within 90
days of the issuance Of the 1992B Bonds. The 1986B Bonds maturing in the years 1994
through 2001 will be called and prepaid on the next payment date of February 1, 1993. The
City will make the February 1, 1993 principal and interest payment on the 1986B Bonds as
originally planned and will begin to pay debt service on the Series 1992B Bonds on August 1,
1993.
Refundina Analy /Amortization Schedule
.Appendix IV is an analytical summary of the refunding. Schedule A of Appendix IV shows the
debt service on the 19866 Bonds as it now exists. Schedule B represents our recommended
maturity schedule for this issue. The Series 1992B Bonds will be dated December 1, 1992 and
will mature each February 1, 1994 through 2001. Debt service is expected to be paid from tax
increment collections, as originally pledged to the 1986E Bonds. Schedule C shows the
estimated annual savings.
The Series 1992B Bonds as Structured include an additional $30,000 which will be used to pay
for all costs of issuance, bond discount and rating fees. All savings estimates are net of these
costs. To account for the actual underwriter's discount on the Series 1992B Bonds and actual
costs of issuance, we have included a provision in the Offering to permit the City to increase or
decrease the principal in any of the maturities, not to exceed $50,000, to offset any fluctuation.
Prepayment Option
Because of the rapid retirement of the Series 19928 Bands coupled with the low interest rates
currently being received in the bond market, it is our recommendation that the Series 19926
Bonds not be subject to call so that maximum marketability is achieved.
Page 3
r City of Maplewood, Minnesota
October 5, 1 992.
Items Common to Both Issues
Allowan for Discount
Included in the principal amount of each issue is a provision for discount bidding in an amount
representing $13 per $1,000 bond for the Series 1992A Bonds and $9 per $1,000 bond for the
Series 1992E Bonds. The discount is a means of providing the underwriters with all or part of
their working capital and /or profit for purchasing the bonds and permits them to reoffer the
bonds at or close to a par scale. This marketing tool has been used with past issues of the
City and we recommend its continued use herein.
Creddit. Rating
In order to maintain a credit rating from Moody's Investors Service and Standard and Poor's
corporation, it is necessary that applications be made for ratings on these issues. We will
assist the City in providing the rating agencies with the necessary data upon which they will
make their rating analysis and make the application on your behalf.
Rebate-Arbitrage
The Series 1992A Bonds and Series 1992B Bonds are subject to the Tax Reform Act of 1.986
and 1989 amendments. The 1986 Act and 1989 amendments modified rebating arbitrage
requirements to the Treasury. Generally speaking, all profits (the Y arbitra 9 a ield difference
P
between the earnings "on the investments and the yield on the bonds) must be rebated to the
Treasury. There are some exemptions to the rebate requirement on refunding bonds for which
these issues qualify. One source of rebate would be on investment earnings on bond
proceeds invested longer than six months. The City will not owe any rebate on investment of
bond proceeds because .proceeds from the Series 1992E Bonds will be spent within six
months and the Series 1992A Bonds will be invested at a yield equal to or less than the bond
yield, thus creating no arbitrage.
Another potential source of rebate is the individual debt service funds to pay debt service on
the new bonds. The City will be exempt from rebate from this source so long as it maintains a
"bona fide" debt service fund. A bona fide debt service fund requires that no more than 13
months of debt service money be accumulated.
Bank Qualification
Prior to the adoption of the Tax Reform Act, financial institutions were generally permitted to
deduct 80% of their interest expense allocable to tax - exempt obligations. Under the Act,
however, financial institutions are generally not entitled to such a deduction for tax - exempt
obligations purchased after August 7, 1986. There is an exemption to this for issuers of less
than $10,000,000 of tax - exempt bonds during the calendar year, incidentally, pursuant to the
Act, because the Series 1992A Bonds are an advance crossover refunding they count towards
the $10,000,000 exemption. The Series 1992B Bonds will not count because they are a current
refunding. Therefore, these bonds meet the $10,000,000 exemption if the City does not incur
any additional tax - exempt indebtedness in calendar year 1992 that in aggregate with the Series
1992A Bonds exceeds $10,000,000. The effect of this is that the bonds are more attractive to
financial institutions which creates greater competition and may lower the interest rates.
Typically, these "bank-qualified" bonds receive interest rates lower than bonds which are not
bank- qualified. We have taken this into consideration in our estimates.
Page 4
City of Maplewood, K44 inesota .
If October 5, 1992
Ter ms of PrOQOSal
The 1991 Legislature amended bond sale procedures to permit the non - public issuance of
obligations if the issuer retains an independent financial advisor. Springsted remains a
proponent of competitive bidding but sees some advantages to the new legislation. We
recommend a competitive negotiated sale where all bidders reasonably expected to compete
for an issue are notified of the pending sale and. competitive bids are received but no legal
advertisement is published. The issuer benefits from eliminating the publication costs and any
risk of having an issue delayed due to the time required for publication, or the inadvertent
failure of a legal notice to be published. In our ever changing industry published notices are no
longer a. critical source of information for bidders. Other than for publication you should see no
change in your issuing procedures or in the bidding results.
Sale Process
The "Sure -bid" program of guaranteeing delivery of a good faith check will again be offered to
prospective bidders as it was in the City's last bond issue. We have allowed for its use in the
Terms of Proposal, attached to these recommendations.
We recommend the Series 1992A Bonds and Series 1992E Bonds be offered for sale on
.Thursday, November 19, 1992 at 11:00 A.M. During the remainder of the day, S rin sted
Y P 9
Incorporated will make the necessary calculations in order to determine the benefits of the
refundings. We will then present the bids and our recommendations to the City Council at 7:00
P.M. later that day. Proceeds will be available in mid December to complete the refunding
program.
Respectfully submitted,
SPRINGSTM Incorporated
mnic
Page 5
City of Maplewood, Minnesota
General Obligation Improvement Refunding Bands, Series 1992A
Cc;mbined .Analysis
Refunds: G.O. Improvement Bonds of 1966 & 1988
3
Dated: 12/1/92
Mature: 2/1
Levy Mat
Year Year
( (
1991 1993
1992 1994
1993 1995
1994 1996
1995 1997
1996 1998
1997 1999
1998 2000
1999 2001
2000 2002
2001 2003
2002 2004
2003 2005
2004 2006
2005 2007
2006 .2008
2007 2009
2008 2010
Totals:
Series 1992A Bonds -- Comb
Curre Statu
Principal
Rates
Total
Refunding
Interest Debt Service
Non - refunded
Debt Service
Less: 1992A
Interest Paid
From Escrow
Net
Total Debt
Service After
Refunding
(
(
(
(
(
(
(
0
0.00%
0
0
388,475
0
388,475
0
0.00%
257,534
257
788,921
(257,534)
788,921
0
0.00%
220
220
754,230
(220
754,230
0
0.00%
220
220
743,970
(220,743)
743,970
425,000
4.00%
.220
645,743
296
(65,943)
876
440
4.20%
203
643,743
603,511
643
435,000
4.40%
185,263
620,263
'
620
425
4.60%
166,123
591,123
`45 ....
591,123
415
4.80%
146
561
463,846
x;258:
561
410,000
4.95%
126,653
536,653
233,415y8'1:
536,653
405,000
5.10%
106,358
511
511
385
5.30%
85
470
470
380
5045%
65
445,298
445
375,000
5.60%
44,588
419
419
205
5.75%
23,588
228
228
200,000
5.90%
11,800
211,800
211,800
0
0.00%
0
0
0
0
0.00%
0
0
0
4,500,000 2,085,453 6,585 2 (764,963) 8,792,624
Bond Years:
40
Annual Interest:
Avg. Maturity:
9.07
Plus Discount:
o) Average Annual Rate:
5.107%
Net Interest:
T.I.C. Rate:
5.261%
N.I.C. Rate:
Prepared 05- Oct -92
SPRINGSTED incorporated
Excess Proceeds
2,085 Funds From Issuer:
58,500 Total Savin g s:
2,143,953
1986A & 1988
r1
p
��423,892�
Existing
216; 93
......... An nuat
Debt
Service
Svin$a
(
388,475
788,92.1
1
754,230-
�
743,970
702
117 - 3
686,591
�42�&4��
664,57644311'
... .
................. *
631, 605
X0;4 82::
603,511
`41
575,205
38;552:
'
551
::4;153:
517,277
`45 ....
488,140
4,842'
463,846
x;258:
249
20 42a
233,415y8'1:
.. .............. ........
217
21 7' 29
..............................
9,260,905
488262:
Excess Proceeds
2,085 Funds From Issuer:
58,500 Total Savin g s:
2,143,953
::�,4�2:
X47;851
r1
p
��423,892�
5.250% Present Value of Savings:
216; 93
APPENDIX 11
Maplewood, Minnesota
G.O. Improv. Refunding Bonds, Series 1992A
Full Crossover Advance Refunding of
G.O. Improvement Bonds of 1986A
Even Annual Savings Structure
Issuer Funds R wired: 647,850.60
Date of Bonds: 12101/92
Relive Date: 12/15/92;
Refunded Cali Date: 02/01/96;
1st Callable Date: 02/01/971
Comparison:
Refunded
Refundin
Principal:
1
1,850,000
-Bond Years:
.15
15,648.33
Avg. Maturity:
8.676
8.458
NIC:
7.566 %
5.12996
otai Net Savinpa t80 008:90 ..........
..........
r889At MUO�iAVIn� � "lOS,Oi+R.95
.............
........................
.............
. ...... ..
.. ..................
Pre 10p6l9¢
By SPRINGSTED Incaporatod
Page 7
.Maplewood, Minnesota
G'60164- improvement Bonds of 1986A
Existing Debt Serv
Schedule A.
Date Principal Rate Interest Semi- Annual
Prepared: 10/05/92
By SPRINGSTED Incorporated.
02/01/93
180
5.400
92,407.50
08/01/93
86,647.50
02J01/94
180
6.600
86,647.50
08/01/94
80,707.50
02/01/95
180
6.800$
80,707.50
08/01/95
74,587.50
02/01/96
185,000.00
7*000%
74,587.50
08/01/96
68,112.50
02/01/97
180
7.100$
68,112.50
08/01/97
61,722.50
02/01/98
180
7*250%
61,722.50
08/01/98
55,197.50
02/01/99
185,000.00
7.400$
55
08/01/99
48,352.50
02/01/2000.
180
7.500$
48,352.50
08/01/2000
41,602950
02/01/2001
180
7.500$
41,.602.50
08/01/2001
34,852.50
02/01/2002
180,000.00
7.6004;
34,852.50
08/01/2002
28,012950
02/01/2003
� 185,000.00
7e600%
28,012.50
08/01/2003
20,982.50
02/01/2004
180,000.00
7e700%
20,982.50
08/01/2004
14,052.50
02/01/2005
180,000.00
7.700$
14,052.50
08/01/2005
7,122.50
02/01/2006
185,000.00
7.700$
7,122.50
TotaLl s
2
1,336,312.50
Bond Years.
Avg. Mat..:
16,963.33 All lower calculations
6.678 are made from the date
7.514% of the refunding bonds
272,407.50
86,647.50
266,647.50
80,707.50
260,707.50
74,587.50
259,587.50
68,112.50
248,112.50
61, 722.50
241,.722.50
55,197.50
.240,197o
48,352.50
228,352.50
41,602.50
221,602.
34,852.50
214, 852.50
28,012.50
213, 012.50
,20,982.50
200,982.50
14,052.50
194,052.50
7,122.50
192,122.50
.Annual
272,407.50
353
341, 415, 00
334,175.00
316, 225.. 00
303,445 0.0
295
276,705.00
263,205.00
249,705.00
241,025.
221,965.00
2 08,105.00
199,245.00
3 , 876, 312.50 3 , 876, 312 .50
Refunded Bonds Only
Avg. Mat..: 8.676
NIC .......: 79566
Page 8
r•'
Maplewood, Minnesota
G.O. Improv. Refunding Bonds, Series 1992A
Refunding Debt . Service
Schedule B
Date Principal Rate Interest
08/01/93
59,236.67
02/01/94
44,427.50
08/01/94
44,427.50
02/01/95
44,427.50
08/01/95
44,427.50
02/01/96
44,427.50
08/01/96
44,427.50
02/01/97
205,000.00 4.000$
44,427.50
08/01/97
40,327.50
02/01/98
200,000.00 4.200$
40,327.50
08/01/98
36,127.50
02/01/99
200,000.00 4.400$
36
08/01/99
31,727.50
02/01/200'0
190,000.00 4.600$
31,727.50
08/01/2000
27,357.50
02/01/2001
185,000.00 4.800$
27,357.50
08/01/2001
22,917.50
02/01/2002
185 4.950$
22,917.50
08/01/2002
18,338975
02/01/2003
185,000.00 5.100$
18,338.75
08/01/2003
13,621.25
02/01/2004
170,000.00 59300$
13,621.25
08/01/2004.
9
02/01/2005
165 5.450$
9,116.25
08/01/2005
4
02/01/2006
165,000.00 5.600$
4,620.00
Totals 1,850,000.00
J
Bond Years: 15,648.33
Avg. Mat... 8.459
NIC.......: 5.129%
778,536.67
* Paid by escrow.
All other payments
wade by the issuer.
Prepared: 10/05/92
By SPRINGSTED Incorporated
Semi - Annual
59,236.67
44,427.50
44,427.50
44,427.50
44,427.50
44,427.50
44,427.50
249,427.50
40,327.50
240,327.50
36,127.50
236,127.50
31,727.50
221,727.50
27,357.5.0
212, 357.50
22,917.50
207,917.50
18,338.75
203,338.75
13, 621.25
183,621.25
9,116.25
174,116.25
4, 620.00
169,620.00
Annual
103,664.17
88,855 * 00
88,855.00
293 , 855.00
280, 655.00
272,255.00
253,455.00
239,715.00
230,835.00
22 1,677.50
197,242 50
183,232.50
174,240.00
2,628,536.67
Bond Date.:
Delivery •
Bond Yield:
2 1 628,536.67
12/01/92
12/15/92
4.94375$
Page 9
,
Maplewood,
Minnesota
2
3 3 227,857.50
Prepared.
10/05/92 -
G.O. Improv. Refunding Bonds, Series 19
Annual Savings Analysis
Funds from Issuer....: (47,850.60)
8 SPRINGSTED
Y
Inc orporated
105,013.95
Funds to Sinking Fund:
Schedule C
P.V. Ref. Int.
19.22%
Total Net Savings....: 180,006.90
Non- Refunded -.
Refunding
9
otal New
'
Existing
.Savings
Date
Debt Service
Debt Service
Debt Service
Debt Service
or (Loss)
{
(2)
(3)
(4)
(5)
(6)
€� 02/01/93
08/.01/93
272, 407.50
.272, 407.50
272, 407.50
r' 02/01/94
353,29.5.00
353,295.00
353,295.00
08/01/94
i
02/01/95
341 415.00
341,415.00
341,415.00
08/01/95
� 02/01/96
334 175.00
.
334
334,175.00
08/01/96
02/01/97
293, 855.00
293, 855.00
316, 225.00
22370.00
'
08/01/97
{� 02/01/98
280,655.00
280,655.00
303
22 790.00
•
08/01/98
02/01/99
272,255.00
272 255.00
295 39
, 5.00
2 3 ,14 0.00
E 08/01/99
02/01/2000
f
253 455.00
253 455, 00
276,705.00
23
08/01/2000
Y 02/01/2001
239,715.00
239,715900
263,205.00
23
s 08/01/2001
x� 02/01/2002
230;, 835.00
230, 835.00
249, 705.00
18 870.00
'
08/01/2002
-
02/01/2003
22.1, 677.50
221 677.50
•
241 025.0
, 0
19,347.50
{� 08/01/2003
il 3a 02/01/2004
197, 242.
197 242.50
221 965.00
�
24 722.50
'
08/01/2004
T 02/01/2005
183,232.50
183,232.50
208,105.00
24 $72.50
'
08/01/2005
-
- 02/01/2006
�i
174,240.00
174, 240.00
199, 245.00
25 005.00
Totals
J
1
2
3 3 227,857.50
Present
Value Rate...:
4994375%
Funds from Issuer....: (47,850.60)
Present
Value Savings:
105,013.95
Funds to Sinking Fund:
As of
P.V. Ref. Int.
19.22%
Total Net Savings....: 180,006.90
Page 10
APPENDIX of .
Maplewood, .Minnesota
G.O. Improv. Refunding Bonds,, Series 1992A
Full Crossover Advance Refunding of
G.O. Improvement Bonds of 1988
Even Annual Savings Structure
Issuer Funds - Required: 50.00
Date of bonds: 12/01/92
Delivery Date: 12/15/92
Refunded Call Date: 08/01/96
1st Callable Date: 08/01/97'
Comparison:
Refunded
Refundin
Principal:
2
2
Bond Years:
25, 620.00
25,185.67
Avg. Maturity:
1 0.167
9.504
NIC:
7.237%1
5.326°
Tptat Net Savings 243,8B5.52 ......
......................
........... Present Value Savings. � 14,476.2b .........
................... .. A X of <P.V. Ref fii. � �" � - •14.30°.6 .....
Prepared: 10/45/92
By SPRINGSTED Incorporated
Page 11
;Maplewood, Minnesota
G.O. Improvement Bonds of 1988
Existing Debt Service
Date
02/01/93
08/01/93
02/01/94
08/01/94
02/01/95
08/01/95
02/01/96
08/01/96
02/01/97
08/01/97
02/Ol/98
08/01/98
02/01/.99
08/01/99
02/01/2000
08/01/.2000
02/01/2001
08/01/2001
02/01/2002
08/O1/2Q02
02/01/2003.
08/01/2003
02/01/2004
08/01/2004
Q2/Ol/2005
08/01/2005
02/01/2006
. 08/01/2006
02/01/2007
08/01/2007
02/01/2008
08/01/2008
02/01/2009
Totals
f
1
Bond 'Years :
Avg. Mat..:
C........
Prepared:- 10/05/92
By SPRINGSTED Incorporated
Schedule A
Principal Rate Interest Semi - Annual Annual
3 2,044,585.00 5 5
27,386967 All lower calculations Refunded Bonds Only
8.2 0 0 are .made from the date Avg . Mat.,.: 10s167
7.183% of the refunding bonds NIC... ...: 7.237
Page 12 Oft
116,067.50
116,067.50
116,067.50
210,000.00
6.200%
116,067.50
326,067.50
109 , 557.50
109 , 557.50
4 3.5 , 62 5.00
200
6.30.0%
109
309,557.50
103,257.50
103,257.50
4 12.,815.00
210, 000.00
6.400%
. 103 , 257.50
313 , 257.50
96,537.50
96,537.50
409,795.00
200,000.00
6.500%
96,537.50
296,537950
90,037.50
90,037,50
386,575.00
210,000.00
6.600%
90,037.50
300,037.50
83,107.50
83,107.50
383,145.00
210, 000.00
6.700$
83 ,107. `50
293 ,107.50
76
76,072950
369,180900
210,000.00
6.900%
76,072.50
286,072.50
68,827.50
68,827950
354,900.00
210,000.00
7,000%
68,827950
278,827.50
61, 477.50
61, 477.50
340
210,000.00
7.100%
61,477.50
271,477950
54,022.50
54,022950
325,500.00
210,000900
7.200%
54,022.50
264,022.50
46,462.50
46,462.50
3 10
210, 000.00
7.250%
46, 462.50
256, 462.50
38,850.00
38
295,312.50
210,000.00
7,300%
38,850.00
248,850900
31,185.00
31,185900
280,035.00
210, 000.00
7.400%
31,185.00
241,185900
23,415900
23 , 415.00
264,600.00
210
7.450%
23,415900
233
15,592.50
15,592.50
249,007.50
210,000.00
7.400%
15,592.50
225,592.50
7,822.50
7,822950
233
210
7.450$
7
217,822.50
217 , 822.50
3 2,044,585.00 5 5
27,386967 All lower calculations Refunded Bonds Only
8.2 0 0 are .made from the date Avg . Mat.,.: 10s167
7.183% of the refunding bonds NIC... ...: 7.237
Page 12 Oft
Maplewood, Minnesota
G.O. Improv. Refunding Bonds, Series 1992A
Refunding Debt Service
Date
08/01/93
02/01/94
08/01/94
02/01/95
08/01/95
02/01/96
08/01/96
02/01/97
08/01/97
42/01/98
08/01/9.8
02/01/99
08/01/99..
02/01/2000
08/01/2000
02/01/2001
08/.01/2001
02/01/2002
08/01/2002
02/01/2003
08/01/2003
02/Ol/20Q4
08/01/2004
02/01/2005
08/01/2005
02/03/2006
08/01/2006
02/01/2007
08/01/2007
02/01/2008
Totals
Bond Years:
Avg, Mat..:
NIC.......:
Principal
220,000.00
240,000.00
235, 000.00
235,000.00
230,000.00
225,000.00
220,000.00
215, 000.00
215,000.00
210, 000.00
205, 000.00
200,000.00
2
25,186.67
9.504
5.326%
Schedule B
Rate Interest
4.000$,
49200.%
4.400$
4.600%
4.800%
4.950%
5.100%
5.300%
5.450%
5.600%
5.750%
5.900%
87,925.00
65,943.75
65,943.75
65,943.75
65,943.75
65,943.75
65,943.75
65,943.75
61,543.75
61,543.75
56 , 503.75
56,503.75
51,333.75
51,333.75
45,928975
45,928.75
40,408.75
40,408.75
34,840.00
3.4,840.00
29,230.00
29,230.00
23,532.50
23,532.50
17,613.75
17,673.75
11,793.75
11,793.75
5,900.00
5,900.00
1,306,908975
* Paid by escrow.
All other payments
made by the issuer.
Prepared: 10/05/92
By SPRZNGSTED Incorporated
Semi- Annual
87, 925.00
65,943.75
65, 943.75 *
65,943.75
65,943.75
55,943.75
65,943.75
285,943.75
61,543.75
301,543.75
56 , 503 , 75
291, 503.75
51,333.75
286,333.75
45,928.75
275,928.75
40,408.75
265,408.75
34, 840.00
254,840 *00
29,230.00
244,230.00
23,532.50
238,532.50
17,673.75
227,673.75
11,793.75
216,793.75
5,900.00
205,900.00
3,956,908.75
Bond Date.:
Delivery...
Bond Yield:
Annual
153 ,.868.75
13 1,887.50
13 1,887.50
351,887.50
3 63 , 087.50
348,007.50
337,667.50
321,857.50
3 05,.817.5.0
2 8 9, 68 0.00
273,460.00
2 62, 065.00
24 5,347.50
228,587.50
211, 800.00
3,956
12/01/92
12/15/92
5.14588$
Page 13
'Maplewood, Minnesota..,
Prepared. 10/05/92
G.O. Improv Refunding Bonds, Series 19
Annual Savi By SPRINGSTED Incorporated
nsAnl
Savings
or (Loss)
(6)
(195,906.25)
20,057.50
21,172.50
17,232.50
18,447.50
19,682.50
20,805.00
21,852.50
17, 970.00
19,252.50
20,420.00
21,615,00
217,822.50
Totals
1,670,840,00
3,473,321925
5,144,161.25 5 240,423.75
Present
Value Rate...:
Schedule
C
Present
Value Savings:
Non - Refunded
Refunding
Total New
Existing
Date
Debt Service
Debt Service
Debt Service
Debt Service
Page 14
(2)
(3)
(4)
(5)
D2/01/93
116,067.50
116,067.50
116,067.50
08/01/93
02/01/94
435,625.00
435
435,625.00
08/01/94
02/01/95
412,815.00
412,815.00
412,815.00
08/01/95
02/01/96
409,795.00
409,795.00
409
08/01/96
02/01/97
296,537.50
285,943.75
582,481.25
386,575.00
08/01/97
02/01/98
363,087.50
363,087.50
383,145.00
08/01/98
02/01/99
348,007.50
348,007.50
369,180.00
08/01/99
02/01/2000
337,667.50
337,667.50
354,900900
os /oi /2000
02/01/2001
321,857.50
321,857.50
340,305.00
08/01/2401
02/01/2002
305,817.50
305,817.50
325,500.00
08/01/2002
02/01/2003
289,680.00
289
310,485.00
08/01/2003
02/01/2004
273,460.00
273,460.00
295,312.50
08/01/2004
02/01/2005
262,065900
262,065.00
280,035900
08/01/2005
02/01/2006
245,347.50
245,347.50
264,600.00
08/01/2006
02/01/2007
228,587.50
228,587.50
249,007.50
08/01/2007
02/01/2008
211,800.00
211,800.00
233,415.00
08/01/2008
217,822.50
Savings
or (Loss)
(6)
(195,906.25)
20,057.50
21,172.50
17,232.50
18,447.50
19,682.50
20,805.00
21,852.50
17, 970.00
19,252.50
20,420.00
21,615,00
217,822.50
Totals
1,670,840,00
3,473,321925
5,144,161.25 5 240,423.75
Present
Value Rate...:
5.14588$
Excess Proceeds......: 3,461.77
Present
Value Savings:
114,476.20
Funds to Sinking Fund:
As % of
P.V. Ref, Int:
14.30$
Total Net Savings....: 243,885.52
Page 14
APPENDIX IV
Maplewood Minnesota
G.O. TIF Refunding Bonds, Series 19928
Prepared: 10/05/92
By SPRINGSTED Incorporated
Current Refunding Summary
Partial Current Refunding of
G.O. Tax Increment Bonds, Series 19866
Even Annual Savings Structure
, Refunding Bond Rabn : Aa
Date of Bonds: 12/01/92
Deliv Date: 12/15/92
.Refunded Call: 02/01/93
1 at Callable 02/01
Refunding Delivery Date S / Uses
Sources of Funds on:
12/15/92
Refunding Principal:
1
Accrued Interest:
2,311.95
Total Sources of Funds:
1, 517, 31 1.95
1
Interest:
472
Uses of Funds on:
12115/92
Discount @ $19.00:
13,635.00
Acc. Int & Unused Disc:
2,311.95
Refunding Expenses:
19,946.88
Investment to Call Date:
1
Total Uses of Funds:
1, 517 311.95
Refunded / Refunding Bond Com arison
As of:
Refunded
Refunding
12/01/92
Statistics
Statistics
Principal:
1
1
Interest:
472
271
Bond Yrs:
6
6
Avg. Mat:
4.379
4.256
NIC:
7.27% -
4.4396
Refunded Bond Call Date Sources / Uses
Sources of Funds on:
02/01/93
Invest Proceeds Mature:
1,481,416.12
Inv. Earnings @ 2.80%:
- 5, 300.18
Funds from Issuer:
1
Total Sources of Funds:
1,486,716-30
:?resent' Vs1 u e Sa "O .. 20 %0 ::
33 257.8
Uses of Funds on:
02/01 /93
Refunded Principal:
1,485, 000.00
Refunded Call Premium:
Excess Proceeds:
1 t 71 6.30
Total Uses of Funds:
1,48 716.30
Total Net Savings/Prese Va lue Savings
Future Savings:
153
Less Funds-From Issuer:
Pius Accr. In t. to D/S Fund:
2
Pius Exc. Proc. to D/S Fund:
1
otaf t�et `Sayan .
5 429.82
:?resent' Vs1 u e Sa "O .. 20 %0 ::
33 257.8
: :% df P: . `Refunded lit :
: 33.23%
Page 15
*Maplewood, Minnesota
G.O. Tax Increment Bonds, Series 1986E
Existing Debt Service
Date
Principal
02J01/93
220,000.00
08/01/93
Semi - Annual
02/01/94
230,000.00
08/01/94
279
42/01/95
240
08/01/95
52,772.50
02/01/96
155,000.00
08/01/96.
282, 772.50
02/01/97
165,000.00
08/01/97
45,182.50
02/01/98
180,000000
08/01/98
285,182.50
02/01/99
195
08/01/99 -
3:7
02/01/2000
210,000000
08/O1/2000
192, 022.50
02./01/2001
110
Prepared: 10/05/92
By SPRINGSTED Incorporated
Schedule A
1, 705,000.00
515,122.50
Rate
Interest
Semi - Annual
Annual
5.400%
59
279
279
Avg. Mat..: 49379
52,772.50
52,772.50
of the refunding bonds
6.600$
- 52, 772.50
282, 772.50
335, 545.00
4 5,182.50
45,182.50
6.800$
45,182:.50
285,182.50
330,365.00
37,022.50-
3:7
7.000%
37, 022.50
192, 022.50
229 00
31,597.50
31,597950
7.100$
31
196,597.50
228,195.00
25,740.00
25,740.00
7.250%
25, 740.00
205, 740.00
231, 480.00
19,215600
19
7.400$
19,215.00
214,215.00
233,430.00
12
12
7.500$
12,000.00
222 1 000.00
234
4 ,125. o0
4 ,125.0a
7.500$
4
114,125.00
118
Totals
r
1, 705,000.00
515,122.50
2,220,122.50 2
a
Bond Years.
6,539.17
All lower calculations
Refunded Bonds Only
:Avg. Mat:.:
3.835
are made from the date
Avg. Mat..: 49379
NIC.......:
7.268%
of the refunding bonds
NIC.......: 7.273
Page 1.6
Date-
Principal
08/01/93
'29,725.00
02/01/94
245,000.00
08/01/94.
25,927..50
02/41/95
260,000.00
08/01/95
21, 507.50
02/01/96
165,000900
08/41/96
18,455.00
02/01/97
170,000000
08/01/97
15
02/01/9.8
185,000.00
08/01/98
11,170.00
02/01/99
195,000.00
08/01/99
6
02/01/2000
200,000000
08/01/2000
2,280.00
02/01/2001
95,000.00
Totals
Bond Date.
Avg.. Mat..:
NIC.......:
1,515,000.00
12/01/92
4.256
4.429$
Schedule B
Rate Interest
27 1,908.33
Semi- Annual
39, 633.33
274, 725.00
25,927.50
285,927.50
21,507.50
186,507.50
18,4 55.00
188,455900
15 , 055 00
200,055.00
11,170.00
206,170.00
6,880.00
206,880.00
2,280 oo
97,280.00
1
Delivery...
Discount.$:
Bond Yield:
Annual
314,358.33
311,855.00
208,015000
206,910.00
215 ,110.00
217,340.00
213,760.00
99, 560.00
1
12/15/92
0.90000$
4.19593$
Page 17
9,633.33
3.100%
'29,725.00
2 5,927.50
3.400%
25,927..50
2 1,507.50
3.700$
21, 507.50
1.8,455.00
4.000%
18,455.00
15,055.00
4.200$
15
11,17 0.00
4.400$
11,170.00
6,880.00
40600$
6
2,280.00
4.800$
2,280.00
27 1,908.33
Semi- Annual
39, 633.33
274, 725.00
25,927.50
285,927.50
21,507.50
186,507.50
18,4 55.00
188,455900
15 , 055 00
200,055.00
11,170.00
206,170.00
6,880.00
206,880.00
2,280 oo
97,280.00
1
Delivery...
Discount.$:
Bond Yield:
Annual
314,358.33
311,855.00
208,015000
206,910.00
215 ,110.00
217,340.00
213,760.00
99, 560.00
1
12/15/92
0.90000$
4.19593$
Page 17
s
_ Maplewood,.
Minnesota
279, 812.50
2 066, 720.83 2, 220,122.50
Prepared.
10/05/92
G .O. T I P Re funding - Bands,
- --
Annual Savings Analysis
_Se_res_ - 1-9928 -
-- - -
8 - SP- RIHGST- _
y ED
_ - - - - rpor - - -
Incoated
Value Savings:
133,257.81
Schedule_ C
2
As % of
P.V. Ref. Int:
Refunding
Hon- Refunded
Total New
Existing
Savings
Date
Debt Service
Debt Service
Debt Service
Debt Service
or ( Loss)
l
( 2)
C
C
(5)
( 6 )
02/01/93
279 , 812 . 50
279 812.50
279 812.50
08/01/93
02/01/94
314, 358.33
314 3 8
5 .33
335,545.00
21
08/01/94
02/01/95
311,855.00
311
330
18 , 510.00
08/01/95
02/01/96
208 - 015.
208, 015.00
229 045.00
�
21, 030.00
08/01/96
02/01/
206,910.00
206,9100
228,195.00
21 • 285.00
08/01/97
02/01/98
215,110900
215,110.00
231,480.00
16,370.00
08/01/98
02/01/99
217,340.00
217,340.00
233,430.00
16 090.00
08/01/99
02/01/2000
j 213, 760.00
213, 760.00
234, 000.00
20 240.00
08/01/2000
02/01/2001
99, 560.00
99,560.00
118,250.00
18 690.00
Totals
1, 786, 908.33
279, 812.50
2 066, 720.83 2, 220,122.50
153, 401.67
If
.Present
Value Rate...:
4.1959%
Exc. Pro. to D/S Fund:
1,716.30
Present
Value Savings:
133,257.81
Acc. Int. to D/S Fund:
2
As % of
P.V. Ref. Int:
33.23%
Total Net Savings....:
157,429.92
Page 18
•
THE CITY HAS AUTHORIZED SPRINGSTED INCORPORATED TO NEGOTIATE THIS ISSUE
ON. ITS BEHALF. PROPOSALS WILL BE RECEIVED ON THE FOLLOWING BASIS:
TERMS OF PROPOSAL
$4,5►�,OaO*
CITY OF MAPLEWOOD, MINNESOTA
GENERAL OBLIGATION IMPROVEMENT REFUNDING
BONDS, SERIES 1992A
Proposals for the Bonds will be received by the City Clerk or her designee on Thursday,
November 19,1992, until 11:00 A.M., Central Time, at the offices of Springsted Incorporated, 85
East Seventh Place, Suite 100, Saint Paul, Minnesota, after which time they will be opened and
tabulated. Consideration for award of the Bonds will be by the City Council at 7:00 P.M.,
Central Time, of the same day.
DETAILS OF THE BONDS
The Bonds will be dated December 1, 1992, as the date of original issue, and will bear interest
payable on February 1 and August 1 of each year, com mencing August 1, 1993. Interest will
be computed on the basis of a 364 -day year of twelve 30-day months. The Bonds will be
.Issued in the denomination of $5,000 each, or in integral multiples thereof, as requested by the
purchaser, and fully registered as to principal and interest. Principal will be payable at the main
corporate Office of the registrar and interest on each Bond will be payable by check or draft of
the registrar mailed to the registered holder thereof at the holder's address as it appears on the
books of the registrar as of the close of business on the 15th day of the immediately preceding
month.
The Bonds will mature February 1 in the years and amounts as follows:
1997 $425,000 2001 $415,000 2005 $380,000
1998 $440,000 2002 $410,000 2006 $375,000
1999 $435,000 2003 $405,000 2007 $205
2000 $425,000 2004 $385,000 2008 $200
* The City reserves the right, after proposals are opened and prior to award, to increase or reduce the
principal amount of the Bonds offered for sale. any such increase or reduction will be in a total
amount not to exceed $300,000 and will be made in multiples of $5,000 in any of the maturities. In the
event the principal amount of the Bonds is increased or reduced, any premium offered or any
discount taken will be increased or reduced by a percentage equal to the percentage by which the
principal amount of the Bonds is increased or reduced.
OPTIONAL REDEMPTION
The City may elect on February 1, 2002, and on any day thereafter, to prepay Bonds due on or
after February 1, 2003. Redemption may be in whole or in part and if in part at the option of the
City and in such order as the City shall determine and within a maturity by lot as selected by
the registrar. All prepayments shall be at a price of par plus accrued interest.
Page 19
SECURITY AND PURPOSE
The Bonds will be general obligations of the City for which the City will pledge its full faith and
credit and power to levy direct general ad valorem taxes. In addition the C' will le
�Y pledge
special assessments levied against benefited properties. The proceeds will be used to refund
the 1997 through 2006 maturities of the City's General Obligation Improvement Bonds, dated
August 1, 1986 and the 1997 through 2008 maturities of the City's General Obligation
Improvement Bonds, dated August 1, 1988.
TYPE OF PROPOSALS
Proposals shall be for not less than $4,441,500 and accrued interest on the Iota! rinci al
P P
amount of the Bonds. Proposals shall be accompanied by a Good Faith Deposit ( "Deposit") in
the form of a certified or cashier's check or a Financial Surety Bond in the amount of $45,400,
payable to the order of the City. If a check is used, it must accompany each proposal. If a
Financial Surety Bond is used, it must be from an insurance company licensed to issue such a
bond in the State of Minnesota, and preapproved by the City. Such bond must be submitted to
Springsted Incorporated. prior to the opening of the proposals. The Financial Surety Bond
must identify each underwriter whose Deposit is guaranteed by such Financial Surety Bond. If
the Bonds are awarded to an underwriter using a Financial Surety Bond, then that purchaser is
required to submit its Deposit to Springsted Incorporated in the form of a certified or cashier's
check or wire transfer as instructed by Springsted Incorporated not later than 3:30 P.M.,
Central Time, on the next business day following the award. If such Deposit is not received b
that -time �� Y
, the Financial Surety Bond may be drawn .�y the City to satisfy the Deposit
requirement. The City will deposit the check of the purchaser, the amount of which will be
deducted at settlement and no interest will accrue to the purchaser. In the event the purchaser
fails to comply with the accepted proposal, said amount will be retained by the City. No
proposal can be withdrawn or amended after the time set for receiving proposals unless the
meeting of the City scheduled for award of the Bonds is adjourned, recessed, or continued to
another date without award of the Bonds having been made. Rates shall be in integral
mufti
ples of 5/100 or 1/8 of ' 1 %. Rates must be in ascending rder. Bonds of the same
9
maturity shall bear a single rate from the date of the Bonds to the date of maturity. No
conditional proposals will be accepted.
AWARD
The Bonds will be awarded on the basis of the lowest interest rate to be determined on a true
interest cost (TIC) basis. The City's computation of the interest rate of each proposal, in
accordance with customary practice, will be controlling. - - -
BOND INSURANCE AT PURCHASER'S OPTION
If the Bonds qualify for issuance of any policy of municipal bond insurance or commitment
therefor at the option of the underwriter, the purchase of any such insurance policy or the
issuance of any such commitment shall be at the sole option and expense of the purchaser of
the Bonds. Any increased costs of issuance of the Bonds resulting from such purchase of
insurance shall be paid by the purchaser, except that, if the City has requested and received a
rating on the Bonds from a rating agency, the City will pay that rating fee. Any other rating
agency fees shall be the responsibility of the purchaser.
Failure of the municipal bond insurer to issue the policy after Bonds have been awarded to the
purchaser shall not constitute cause for failure or refusal by the purchaser to accept delivery on
the Bonds.
Page 20
REGISTRAR
The City will name the registrar which shall be subject to applicable SEC regulations. The City
will pay for the services of the registrar.
CUSIP NUMBERS
If the Bonds qualify for assignment of CUSIP numbers such numbers will be printed on the
Bonds, but neither the failure to print such numbers on any Bond nor any error with respect
thereto will constitute cause for failure or refusal by the purchaser to accept delivery of the
Bonds. The CUSIP Service Bureau charge for the assignment of CUSIP identification numbers
shall be paid by the purchaser.
SETTLEMENT
Within 40 days following the date of their award, the Bonds will be delivered without cost to the
purchaser at a place mutually satisfactory to the City and the purchaser. Delivery will be
subject to receipt by the purchaser of an approving legal opinion of Briggs and Morgan,
Professional Association, of Saint Paul and Minneapolis, Minnesota, which opinion will be
printed on the Bonds, and of customary closing papers, including a no- litigation certificate. On
the date of settlement payment for the Bonds shall be made in federal, or equivalent, funds
which shall be received at the offices of the City or its designee not later than 12:00 Noon,
Central Time. Except as compliance with the terms of payment for the Bonds shall have been
made impossible by action of the City, or its agents, the purchaser shall be liable to the City for
any loss suffered by the City by reason of the purchaser's non- compliance with said terms for
payment.
OFFICIAL STATEMENT
The City has authorized the preparation of an Official Statement containing pertinent
information relative to the Bonds, and said Official Statement will serve as a nearly -final Official
Statement within the meaning of Rule 15c2 -12 of the Securities and Exchange Commission.
For copies of the Official Statement or for any additional information prior to sale, any
prospective purchaser is referred to the Financial Advisor to the City, Springsted Incorporated,
85 East Seventh Place, Suite 100, Saint Paul, Minnesota 55101, telephone (612) 223 -3000.
The Official Statement, when further supplemented by an addendum or addenda specifying the
maturity dates, principal amounts and interest rates of the Bonds, together with any other
information required by law, shall constitute a "Final Official Statement" of the City with respect
to the Bonds, as that term is defined in Rule 15c2 -12. By awarding the Bonds to any
underwriter or underwriting syndicate submitting a proposal therefor, the City agrees that, no
more than seven business days after the date of such award, it shall provide without cost to the
senior managing underwriter of the syndicate to which the Bonds are awarded 180 copies of
the Official Statement and the addendum or addenda described above. The City designates
the senior managing underwriter of the syndicate to which the Bonds are awarded as its agent
for purposes of distributing copies of the Final Official Statement to each Participating
Underwriter. Any underwriter delivering a proposal with respect to the Bonds agrees thereby
that if its proposal is accepted by the City (i) it shall accept such designation and (ii) it shall
enter into a contractual relationship with all Participating Underwriters of the Bonds for
purposes of assuring the receipt by each such Participating Underwriter of the Final Official
Statement.
Dated October 12,1992
BY ORDER OF THE CITY COUNCIL
/s/ Mrs. Lucille Aurelius
City Clerk
Page 21
THE CITY HAS AUTHORIZED SPRINGSTED INCORPORATED TO NEGOTIATE THIS ISSUE
ON tTS BEHALF. PROPOSALS WILL BE RECEIVED ON THE FOLLOWING BASIS:
TERMS OF PROPOSAL
$1,515,000*
CITY OF MAPLEWOOD, MINNESOTA
GENERAL OBLIGATION TAX INCREMENT REFUNDING
BONDS, SERIES 19928
Proposals for the Bonds will be received b the C' Clerk or her designee on Thursday,
y sty g y,
November 19, 1992, until 11.00 A.M., Central Time, at the offices of Springsted Incorporated, 85
East Seventh Place, Suite 100, Saint Paul, Minnesota, after which time they will be opened and
tabulated. Consideration for award of the Bonds will be by the City Council at 7:00 P.M.,
Central Time, of the same day.
DETAILS OF THE BONDS
The Bonds will be dated December 1, 1992, as the date of original issue, and will bear interest
payable on` February 1 and August 1 of each year, commencing August 1, 1993. Interest will
be Computed on the basis of a 360 -day year of twelve 30-day months. The Bonds will be
issued in the denomination of $5,000 each, or in integral multiples thereof, as requested by the
purchaser, and fully registered as to principal and interest. Principal will be payable at the main
corporate office of the registrar and interest on each Bond will be payable by check or draft of
the registrar mailed to the registered holder thereof at the holder's address as it appears on the
books of the registrar as of the close of business on the 15th day of the immediately preceding
month.
The Bonds will mature February 1 in the years and amounts as follows:
1994 $245,000 1997 $170,000 2000 $200,000
1995 $260,000 1998 $185 2001 $ 95,000
1996 $165,000 1989 $195,000
* The City reserves the right, after proposals are opened and prior to award, to increase or reduce the
principal amount of the Bonds offered for sale. Any such increase or reduction will be in a total
amount not to exceed $50,000 and will be made in multiples of $5,000 in any of the maturities. In the
event the principal amount of the Bonds is increased or reduced, any premium offered or any
discount taken will be increased or reduced by a percentage equal to the percentage by which the
principal amount of the Bonds is increased or reduced.
OPTIONAL REDEMPTION
The Bonds will not be subject to payment in advance of their respective stated maturity dates.
SECURITY AND PURPOSE
The Bonds will be general obligations of the City for which the City will pledge its full faith and
credit and power to levy direct general ad valorem taxes. In addition the City will pledge tax
increment revenues generated from tax increment districts within the City's Development
District No. 1. The proceeds will be used to refund the 1994 through 2001 maturities of the
City's .General Obligation Tax Increment Bonds, dated August 1 19860
Page 22
TYPE OF PROPOSALS
Proposals shall be for not less than $1,501,365 and accrued interest on the total principal
amount of the Bonds. Proposals shall be accompanied by a Good Faith Deposit ( "Deposit"} in
the form of a certified or cashier's check or a Financial Surety Bond in the amount of $15,150,
payable to the order of the City. If a check is used, it must accompany each proposal. If a
Financial Surety Bond is used, it must be from an insurance company licensed to issue such a
bond in the State of Minnesota, and preapproved by the City. Such bond must be submitted to
Springsted Incorporated prior to the opening of the proposals. The Financial Surety Bond
must identify each underwriter whose Deposit is guaranteed by such Financial Surety Bond. If
the Bonds are awarded to an underwriter using a Financial Surety Bond, then that purchaser is
required to submit its Deposit to Springsted Incorporated in the form of a certified or cashier's
check or wire transfer as instructed by Springsted Incorporated not later than 3:30 . P. M.,
Central. Time, on the next business day following the award. If such Deposit is not received by
that time, the Financial Surety Bond may be drawn by the City to satisfy the Deposit
requirement. The City will deposit the check of the purchaser, the amount of which will be
deducted at settlement and no interest will accrue to the purchaser. In the event the purchaser
fails to comply with the accepted proposal, said amount will - be retained by the City. No
proposal can be withdrawn or amended after the time set for receiving proposals unless the
meeting of the City scheduled for award of the Bonds is adjourned, recessed, or continued to
another date without award of the Bonds having been made. Rates shall be in integral
multiples of 5/100 or 1/8 of 196. Rates must be in ascending order. Bonds of the same
maturity shall bear a single rate from the date of the Bonds to the date of maturity. No
conditional proposals will be accepted.
AWARD
The'`8onds will be awarded on the basis of the lowest interest rate to be determined on a true
interest cost (TIC) basis. The City's computation of the interest rate of each proposal, in
accordance with customary practice, will be controlling.
BOND INSURANCE AT PURCHASER'S OPTION
If the Bonds qualify, for issuance of any policy of municipal bond insurance or commitment
therefor at the option of the underwriter, the purchase of any such insurance policy or the
issuance of any such commitment shall be at the sole option and expense of the purchaser of
the Bonds. Any increased costs of issuance of the Bonds resulting from such purchase of
insurance shall be paid by the purchaser, except that, if the City has requested and received a
rating on the Bonds from a rating agency, the City will pay that rating fee. Any other rating
agency fees shall be the responsibility of the purchaser.
Failure of the municipal bond insurer to issue the policy after Bonds have been awarded to the
purchaser shall not constitute cause for failure or refusal by the purchaser to accept delivery on
the Bonds.
-REGISTRAR
The City will name the registrar which shall be subject to applicable SEC regulations. The City
will pay for the services of the registrar.
CUSIP NUMBERS
If the Bonds qualify for assignment of CUSIP numbers such numbers will be printed on the
Bonds, but neither the failure to print such numbers on any Bond nor any error with respect
thereto will constitute cause for failure or refusal by the purchaser to accept delivery of the
Page 23
Bonds. The CUSIP Service Bureau charge for the assi nment of CUSIP identification 9 g t n numbers
shall be paid by the purchaser.
SETTLEMENT
Within 40 days following the date of their award, the Bonds will be delivered without cost to the
purchaser at a place mutually satisfactory to the City and the purchaser. Delivery will be
subject to receipt by the purchaser of an approving legal opinion of Briggs and Morgan,
Professional Association, of Saint Paul and Minneapolis, Minnesota, which opinion will be
printed on the Bonds, and of customary closing papers, including a no-litigation certificate. On
rY 9 p p 9 9
the date of settlement payment for the Bonds shall be made in federal, or equivalent, funds
whih shall be received at the offices of the City or its designee not later than 12:00 Noon,
,
Time, me. Except as compliance with the terms. of payment for the Bonds shall have been
made impossible by action of the City, or Its agents, the purchaser shall be liable to the City for
any loss suffered by the City by reason of the purchaser's non - compliance with said terms for
payment.
OFFICIAL STATEMENT
The City has authorized the preparation of an Official Statement containing pertinent
information relative to Bonds, and said Official Statement will serve as a nearly -final Official
Statement within the meaning of Rule 15c2 -12 of the Securities and Exchange Commission.
For copies of the Official Statement or for any additional information prior to sale, any
prospective purchaser is referred to the Financial Advisor to the City, Springsted Incorporated,
85 East Seventh Place, Suite 100, Saint Paul, Minnesota 55101, telephone (612) 223 -30000
The Official Statement, when further supplemented by an addendum or addenda specifying the
maturity dates, principal amounts and interest rates of the Bonds, together with an other
it
• u g y
information required by law, shall constitute a Final Official Statement" of the City with respect
to the Bonds, as that term is defined in Rule 15c2 -12. By awarding the Bonds to any
underwriter or underwriting syndicate submitting a proposal therefor, the City agrees that, no
more than seven business days after the . date of such award, it shall provide without cost to the
senior, managing underwriter of the syndicate to which the Bonds are awarded 60 copies of the
. P
Official .Statement and the addendum or addenda described above. The City designates the
senior. managing underwriter of the syndicate to which the Bonds are awarded as its agent for
purposes of distributing copies of the Final Official Statement to each Participating Underwriter.
Any underwriter delivering a proposal with respect to the Bonds agrees thereby that if its
proposal is accepted by the City (i) it shall accept such designation and (ii) it shall enter into a
contractual _; relationship with all Participating Underwriters of the Bonds for purposes of
assuring the receipt by each such Participating Underwriter of the Final Official Statement,
Dated October 12, 1992 BY ORDER OF THE CITY COUNCIL
/s/ Mrs. Lucille Aurelius
City Clerk
Page 24
EXTRACT OF MINUTES OF A MEETING OF THE
CITY COUNCIL OF THE
CITY OF MAPLEWOOD, MINNESOTA
HELD: October 12, 1992
Pursuant to due call and notice thereof, a regular or
special meeting of the City Council of the City of Maplewood,
.Ramsey County, Minnesota, was duly held at the City Hall in said
City on the 12th day of October, 1992, beginning at o'clock
_M. for the purpose in part of authorizing the competitive
negotiated sale of the $4,5 00,000 General Obligation Improvement
Refunding Bonds, Series 1992A, of said City.
The following Councilmembers were present.
and the following were absent:
Councilmember introduced the following
resolution and moved its adoption:
RESOLUTION . PROVIDING FOR
THE COMPETITIVE NEGOTIATED
SALE OF $4
GENERAL OBLIGATION IMPROVEMENT REFUNDING BONDS,
SERIES 1992A
AG WHEREAS, the City Council of the City of Maplewood,
Minnesota, has heretofore determined that it is necessary and
expedient to issue the City's $4,500,000 General Obligation
Improvement Refunding Bonds, Series 1992A (the "Bonds "), to
refund the 1997 through 2006 maturities of the City's General
Obligation Improvement Bonds, dated August 1, 1986 and the 1997
through 2008 maturities of the City's General Obligation
Improvement Bonds, dated August 1, 1988; and
B. WHEREAS, the City has retained Springsted
incorporated, in Saint Paul, Minnesota ( "Springsted "), as its
independent financial advisor for the Bonds and is therefore
authorized to sell the Bonds by a competitive negotiated sale in
accordance with Minnesota Statutes, Section 475.60, Subdivision
2 (9):
i� •
22650
I .
NOW, THEREFORE, BE IT RESOLVED by the City Council of
the City of Maplewood, Minnesota, as follows:
1. Authorization: Findings The Council hereby
authorizes Springsted to solicit bids for the competitive
negotiated sale of the Bonds
2 Meeting: Bid Openincx The Council shall meet at
the . tune and place specified .n the Terms of Proposal attached
hereto as Exhibit A for the purpose of considering sealed bids
for, and awarding the sale of the, Bonds. The City Clerk, or her
designee, shall.open bids. at the time and place specified in .such
Terms of Proposal.
3. Terms of Prouosal The terms and conditions of the
Bonds and the..negotiation thereof are fully set forth in the
"Terms of Proposal" attached hereto as Exhibit A and hereby
approved and made apart hereof.
4. Official Statement In connection with said
competitive negotiated sale, the officers or employees of the
City are hereby.aauthorized to cooperate with Springsted and
participate in the preparation of an official statement for the
,Bonds and to execute and deliver it on behalf of the City upon
its completion.
The motion for the adoption of the - foregoing resolution
was duly seconded by Councilmember and, after.
full. discussion thereof and upon a vote being taken thereon, the.
following Councilmembers voted in favor thereof:
and the following voted against the same:
Whereupon said resolution was declared duly passed and
adopted.
E
226Sa3
2
' STATE OF MINNESOTA
COUNTY OF RAMSEY
CI
TY OF MAPLEWOOD
I, the undersigned, being the duly qualified and acting
City Clerk of the City of Maplewood, Minnesota, Da HERESY CERTIFY
.that :I have compared the attached and foregoing extract of
minutes with the original thereof on file in my office, and that
the same is a full, true and complete transcript of the minutes
of a meeting of the City Council of said City, duly called and
held on the date therein indicated, insofar as such minutes
relate to the - City's $ General Obligation 'Improvement
Refunding Bonds, Series 1992A.
WITNESS my hand as such City Clerk and the seal of the
City., this 12th day of October, 19920
City Clerk
(SEAL)
226583
3
THE CITY HAS AUTHORIZED SPRINGSTED INCORPORATED TO NEGOTIATE THIS ISSUE
ON. ITS BEHALF, PROPOSALS WILL BE RECEIVED ON THE FOLLOWING BASIS:
TERMS OF PROPOSAL
$4,500,000*
CITY OF MAPLEWOOD, MINNESOTA
GENERAL OBLIGATION IMPROVEMENT REFUNDING
BONDS, SERIES 1992A
Proposals for the Bonds will be received by the City Clerk or her designee on Thursday,
November 19, 1992, until 11:00 A. X111., Central Tme, at the offices of Springsted Incorporated, 85
East Seventh Place, Suite 100, Saint Paul, Minnesota, after which time they will be opened and
tabulated. Consideration for award of the Bonds will be by the City Council at 4:30 P.M.,
Central Time, of the same day.
DETAILS OF THE BONDS
The Bonds will be dated December 1, 1992, as the date of original issue, and will bear interest
payable on February 1 and August 1 of each year, commencing August 1, 1993. Interest will
be computed on the basis of a 360 -day year of twelve 30 -day months. The Bonds will be
issued in the denomination of $5,000 each, or in integral multiples thereof, as requested by the
purchaser, and fully registered as to principal and interest. Principal will be payable at the main
corporate office of the registrar and interest on each Bond will be payable by check or draft of
the registrar mailed to the registered holder thereof at the holder's address as it appears on the
books of the registrar as of the close of business on the 15th day of the immediately preceding
month.
The Bonds will mature February 1 in the years and amounts as follows:
1997 $425,000 2001 $415 2005 $380,000
1998 $440,000 2002 $410, 000 2006 $375
1999 $435,000 2003 $405,000 2007 $205,000
$425,000 2004 $385,000 2008 $200,000
* The City reserves the right, after proposals are opened and prior to award, to increase or reduce the
principal amount of the Bonds offered for sale. Any such increase or reduction will be in a total
amount not to exceed $300..000 and will be made in multiples of $5, 000 in any of the maturities. In the
event the principal amount of the Bonds is increased or reduced, any premium offered or any
discount taken will be increased or reduced by a percentage equal to the percentage by which the
principal amount of the Bonds is increased or reduced.
OPTIONAL REDEMPTION
The City may elect on February 1, 2002, and on any day thereafter, to prepay Bonds due on or
after February 1, 2003. Redemption may be in whole or in part and if in part at the Option of the
City and in such Order as the. City shall determine and within a maturity by lot as selected by
the registrar. All prepayments shall be at a price of par plus accrued interest.
NZ
SECURITY AND PURPOSE
The Bonds will be general obligations of the City for which the City will pledge its full faith and
credit and power to levy direct general ad valorem taxes. In addition the City will pledge
special assessments levied against benefited properties. The proceeds will be used to refund
the 1997 through 2006 maturities of the City's General Obligation Improvement. Bonds, dated
August 1, 1986 and the 1997 through 2008 maturities of the City's General Obligation
Improvement Bonds, dated August 1, 1988.
TYPE OF PROPOSALS
Proposals shall be for not less than $4,441,500 and accrued interest on the total principal.
amount of the Bonds. Proposals shall be accompanied by a Good Faith Deposit ( "Deposit ") in
the form of a certified or cashier's check or a Financial Surety Bond in the amount of $45,000,
payable to the order of the City. If a check is used, it must accompany each proposal. If a
Financial Surety Bond is used, it must be from an insurance company licensed to issue such a
bond in the State of Minnesota, and preapproved by the City. Such bond must be submitted to
Springsted Incorporated prior to the opening of the proposals. The Financial Surety Bond
must identify each underwriter whose Deposit is guaranteed by such Financial Surety Bond. If
the Bonds are awarded to an underwriter using a Financial Surety Bond, then that purchaser is
required to submit its Deposit to Springsted Incorporated in the form of a certified or cashier's
check or wire transfer as instructed by Springsted incorporated not later than 3:30 P.M.,
Central Time, on the next business day following the award. if such Deposit is not received by
that time, the Financial Surety Bond may be drawn by the City to satisfy the Deposit
requirement. The City will deposit the check of the purchaser, the amount of which will be
deducted at settlement and no interest will accrue to the purchaser. In the event the purchaser
fails to comply with the accepted proposal, said amount will be retained by the City. No
proposal can be, withdrawn or amended after the time set for receiving proposals unless the
meeting of the. City scheduled for award of the Bonds is adjourned, recessed, or continued to
another date without award of the Bonds having been made. Rates shall be in integral
multiples of 5/100 or 1/8 of 1 %. Rates must be in ascending order. Bonds of the same
maturity shall bear a single rate from the date of the Bonds to the date of maturity. No
conditional proposals will be accepted.
AWARD
The Bonds will be awarded on the basis of the lowest interest rate to be determined on a true
interest cost (TIC) basis. The City's computation of the interest rate of each proposal, in
accordance with customary practice, will be controlling. .
BOND INSURANCE AT PURCHASER'S OPTION
If the Bonds qualify for issuance of any policy of municipal bond insurance or commitment
therefor at the option of the underwriter, the purchase of any such insurance policy or the
issuance of any such commitment shall be at the sole option and expense of the purchaser of
the Bonds. Any increased costs of issuance of the Bonds resulting from such purchase of
insurance shall be paid by the purchaser, except that, if the City has requested and received a
rating on the Bonds from a rating agency, the City will pay that rating fee. Any other rating
agency fees shall be the responsibility of the purchaser.
Failure of the municipal bond insurer to issue the policy after Bonds have been awarded to the
purchaser shall not constitute cause for failure or refusal by the purchaser to accept delivery on
the Bonds.
REGISTRAR
The City will name the registrar which shall be subject to applicable SEC regulations. The City
will. pay for the services of the registrar.
CUSIP NUMBERS
If the Bonds qualify for assignment of CUSIP numbers such numbers will be printed on the
Bonds, but neither the failure to print such numbers on any Bond nor any error with respect
thereto will constitute cause for failure or refusal by the purchaser to accept delivery of the
Bonds. The CUSIP Service Bureau charge for the assignment of CUSIP identification numbers
shall be paid by the purchaser.
SETTLEMENT
Within 40 days following the date of their award, the Bonds will be delivered without cost to the
purchaser at a place mutually satisfactory to the City and the purchaser. Delivery will be
subject to receipt by the purchaser of an approving legal opinion of Briggs and Morgan,
Professional Association, of Saint Paul and Minneapolis, Minnesota, which opinion will be
printed on the Bonds, and of customary closing papers, including a no-iitigation certificate. On
the date of settlement payment for the Bonds shall be made in federal, or equivalent, funds
which shall be received at the offices of the City or its designee not later than 12:00 Noon,
Central Time. Except as compliance with the terms of payment for the Bonds shall have been
made impossible by action of the City, or its agents, the purchaser shall be liable to the City for
any loss suffered by the City by reason of the purchaser's non - compliance with said terms for
payment.
OFFICIAL STATEMENT
The City has authorized the preparation of an Official Statement containing pertinent
information relative to the Bonds, and said Official Statement will serve as a nearly -final Official
Statement .within the meaning of Rule 15c2 -12 of the Securities and Exchange Commission.
For copies of the Official Statement or for any additional information prior to sale, any
'prospective purchaser is referred to the Financial Advisor to the City, Springsted incorporated,
85 East Seventh Place, Suite 100, Saint Paul, Minnesota 55101, telephone (612) 223 -3000.
The Official Statement, when further supplemented by an addendum or addenda specifying the
maturity dates, principal amounts and interest rates of the Bonds, together with any other
information required by law, shall constitute a "Final Official Statement' of the City with respect
to the Bonds, as that term is defined in Rule 15c2 -12. By awarding the Bonds to any
underwriter or underwriting syndicate submitting a proposal therefor, the City agrees that, no
more than seven business days after the date of such award, it shall provide without cost to the
senior managing underwriter of the syndicate to which the Bonds are awarded 180 copies of
the Official Statement and the addendum or addenda described above. The City designates
the senior managing underwriter of the syndicate to which the Bonds are awarded as its agent
for purposes of distributing copies of the Final Official Statement to each Participating
Underwriter. Any underwriter delivering a proposal with respect to the Bonds agrees thereby
that if its proposal is accepted by the City (i)it shall accept such designation and (ii) it shall
enter into a contractual relationship with all Participating Underwriters of the Bonds for
purposes of assuring the receipt by each such Participating Underwriter of the Final Official
Statement.
f Dated October 12,1992 BY ORDER OF THE CITY COUNCIL
/s/ Mrs. Lucille Aurelius
City Clerk
EXTRACT OF MIKES OF A MEETING OF THE
CITY COUNCIL OF THE
CITY OF MAPLEWOOD, MINNESOTA
HELD: .October 12, 1992
Pursuant to due call and notice thereof, a. regular or
pecia1 meeting of the City Council of the City of Maplewood
Ramsey County, Minnesota, was duly held at the City Hall in said
City on the 12th day of October, 1992, beginning at,'. o'clock
M for the purpose in part of authorizing the competitive
negotiated sale of the $1,515,000 General Obligation Tax
Increment Refunding Bonds, Series 1992B, of said City.
The - following Councilmembers were present:
and the following were absent:
Councilmember introduced the following
resolution and moved its adoption:
RESOLUTION PROVIDING FOR
THE NEGOTIATED
SALE OF $1,515,000
GENERAL OBLIGATION TAX INCREMENT REFUNDING BONDS,
SERIES '1992B
A. WHEREAS, the City Council of the City of Maplewood,
Minnesota, has heretofore determined that it is necessary and
expedient to issue the City's $1,515,000 General Obligation Tax
Increment Refunding Bonds, Series 1992E (the "Bonds ") , to refund
the 1994 through 2001 maturities of the City's General Obligation
Tax Increment Bonds, dated August 1, 1986; and
B. WHEREAS, the City has retained Springsted
Incorporated, in Saint Paul, Minnesota ( "Springsted "), as its
independent financial advisor for the Bonds and is therefore
I uthorized to sell the Bonds by a competitive negotiated sale in
accordance with Minnesota Statutes, Section 475.60, Subdivision
2(9):
226585
t
NOW, THEREFORE, BE IT RESOLVED by the C ity Council of
the City of Maplewood, Minnesota, as follows
10 Luthorization: Findings The Council hereby
authorizes Springsted to solicit bids for the competitive
negotiated sale of the Bonds.
2 . Meeting: Bid O:aenina The Council shall meet at
the time and place specified in the Terms of Proposal
hereto as Exhibit A for the purpose of considering sealed bids
for, and awarding the sale of the Bonds The City Clerk, or her
designee, shall, open bids at the t ime and P
lace sp in such
Terms of Proposal.
P
3 Terms o:f Probosal The terms and conditions of the
Bonds and the negotiation thereof are fully set forth in the
"Terms of Proposal" attached hereto as Exhibit A.and hereby
approved and made a part hereof,
4. Official Statement. In connection with said
compet itive negotiated sale the off icers or employees of the
C ity are hereby authorized to cooperate with Springsted and
participate in the preparat of an official statement for the
Bonds and to execute and deliver it on behalf of the City upon
on
its completion.
The motion for the adoption of the foregoing resolution
was duly seconded by Councilmember and, after
full discussion thereof and upon a vote being taken thereon, the
following Councilmembers voted in favor thereof:
and the following voted against the same.
Whereupon said resolution was declared duly passed and
adopted,
f
i� •
226585
2
L
STATE OF MINNESOTA
COUNTY OF RAMSEY
CITY OF MAPLEWOOD
I, the undersigned, being the duly qualified and . acting
City Clerk of the City of Maplewood, Minnesota, Do HEREBY CERTIFY
that I have compared the attached and foregoing extract of
minutes with the original thereof on file- in day office,, and that
the same is a full, true and complete transcript of the minutes
of a meeting of the City Council of said City, duly called and
held on the date therein indicated, insofar as such minutes
relate.lto the City's $1,515,000 obligation Tax Increment
.Refunding Bonds, Series 19928.
WITNESS my hand as such City.Clerk and the seal of the
City this 12th day of October, 1992
City Clerk
(SEAL)
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3
r
THE CITY HAS AUTHORIZED SPRINGSTED INCORPORATED TO NEGOTIATE THIS ISSN
ON ITS. BEHALF. PROPOSALS WILL BE RECEIVED ON THE FOLLOWING BASIS:
TERMS OF PROPOSAL
$1,515,000*
CITY OF MAPLEWOOD, MINNESOTA
GENERAL OBLIGATION TAX INCREMENT REFUNDING
BONDS, SERIES 19928
Pro for the Bonds will be received by the City Clerk or her designee on Thursday,
November 19,1992, until 11 :00 A.M., Central Time, at the offices of Springsted Incorporated, 85
East Seventh Place, Suite 100 Saint Paul., Minnesota, after which time they will be opened and
tabulated. Consideration for award of the, Bonds will be by the City Council at 4 :30 P.M.,
Central Time, of the same day.
DETAILS OF THE BONDS
The Bonds will be dated December 1, 1992 as the date of original issue, and will bear interest
payable on February 1 and August 1 of each year, Commencing August 1, 1993. Interest will
be computed on the basis of a 360 -day year of twelve 30 -day months. The Bonds will be
issued in the denomination of $5,000 each, or in integral multiples thereof, as requested by the
purchaser, and fully registered as to principal and interest. Principal will be payable at the main
corporate office of the registrar and interest on each Bond will be payable by check or draft of
the registrar mailed to the registered holder thereof at the holder's address as it appears on the
books of the registrar as of the close of business on the 15th day of the immediately preceding
month.
The Bonds will mature February 1 in the years and amounts as follows:
1994 $245 1997 $170,000 2000 $200,000
1995 $260,000 1998 $185,000 2001 $ 95
1,996 $165,000 1999 $195
* The City reserves Use right after proposals are opened and prior to award, to increase or reduce the
principal amount of Use Bonds offered for sale. Any such increase or seduction will be in a total
amount not to exceed 650,000 and will be made in multiples of x5,000 in any of the maturities. In the
event the principal amount of the Bonds is increased or reduced, any premium offered or any
discount taken will be increased or reduced by a percentage equal to the percentage by which the
principal amount of the Bonds is increased or reduced.
OPTIONAL REDEMPTION
The Bonds will not be subject to payment in advance of their respective stated maturity dates.
SECURITY AND PURPOSE
The Bonds will be general obligations of the City for which the City will pledge its full faith and
credit and power to levy direct general ad valorem taxes. In addition the City will pledge tax
increment revenues generated from tax increment districts within the City's Development
District No. 1. The proceeds will be used to refund the 1994 through 2001 maturities of the
City's General Obligation Tax Increment Bonds, dated August 1,1986.
SECURITY AND PURPOSE
The Bonds will be general obligations of the City for which the City will pledge its full faith and
credit and power to levy direct general ad valorem taxes. In addition the City will pledge
special assessments levied against benefited properties. The proceeds will be used to refund
the 1997 through 2006 maturities of the City's General Obligation Improvement Bonds, dated
August 1, 1986 and the 1997 through 2008 maturities of the City's General Obligation
Improvement Bonds, dated August 1, 1988.
TYPE OF PROPOSALS
Proposals shall be for not less than $4,441,500 and accrued interest on the total principal
amount of the Bonds. Proposals shall be accompanied by a Good Faith Deposit ( "Deposit") in
the form of a certified or cashier's check or a Financial Surety Bond in the amount of $45,000,
payable to the order of the City. If a check is used, it must accompany each proposal. If a
Financial Surety Bond is used, it must be from an insurance company licensed to issue such a
bond in the State of Minnesota, and preapproved by the City. Such bond must be submitted to
Springsted Incorporated prior to the opening of the proposals. The Financial Surety Bond
must identify each underwriter whose Deposit. is guaranteed by such Financial Surety Bond. If
the Bonds are awarded to an underwriter using a Financial Surety Bond, then that purchaser is
required to submit its Deposit to Springsted Incorporated in the form of a certified or cashier's
check or wire transfer as instructed by Springsted Incorporated not later than 3:30 P.M.,
Central Time, on the next business day following the award. If such Deposit is not received by
that time, the Financial Surety Bond may be drawn by the City to satisfy the Deposit
requirement. The City .will deposit the check of the purchaser, the amount of which will be
deducted at settlement and no interest will accrue.to the purchaser. In the event the purchaser
fails to comply with the accepted proposal, said amount will be retained by the City. No
proposal can be withdrawn or amended after the time set for receiving proposals unless the
meeting of the City scheduled for award of the Bonds is adjourned, recessed, or continued to
another date without award of the Bonds having been made. Rates shall be in integral
multiples of 5/100 or 1 /8 of 1. %. dates must be in ascending order. Bonds of the same
.maturity shall bear a single rate from the date of the Bonds to the date of maturity. No
conditional proposals will be accepted.
AWARD
The Bonds will be awarded on the basis of the lowest interest rate to be determined on a true
interest cost (TIC) basis. The City's computation of the interest rate of each proposal, in
accordance with customary practice, will be controlling. .
BOND INSURANCE AT PURCHASER'S OPTION
If the Bonds qualify for issuance of any policy of municipal bond insurance or commitment
therefor at the option of the underwriter, the purchase :of any such insurance policy or the
issuance of any such commitment shall be at the sole option and expense of the purchaser of
the Bonds. Any increased costs of issuance of the Bonds resulting from such purchase of
insurance shall be paid by the purchaser, except that, if the City has requested and received a
rating on the Bonds from a rating agency, the City will pay that rating fee. Any other rating
agency fees shall be the responsibility of the purchaser.
Failure of the municipal bond insurer to issue the policy after Bonds have been awarded to the
purchaser shall not constitute cause for failure or refusal by the purchaser to accept delivery on
the :Bonds.
Bonds. The CUSIP Service Bureau charge for the assignment of CUSIP identification numbers
shall be paid by the purchaser.
SETTLEMENT
Within 40 days following the date of their award, the Bonds will be delivered without cost to the
purchaser at a place mutually satisfactory to the City and the purchaser. Delivery will be
subject to receipt by the purchaser of an approving legal opinion of Briggs and Morgan,
Professional Association, of Saint Paul and Minneapolis, Minnesota, which opinion will be
printed on the Bonds, and of customary closing papers, including a no- litigation certificate. On
the date of settlement payment for the Bonds shall be made in federal, or equivalent, funds
which shall be received at the offices of the City or its designee not later than 12:00 Noon,
Central Time. Except as compliance with the terms of :payment for the Bonds shall have been
made impossible by action of the City, or its agents, the purchaser shall be liable to the City for
any loss suffered by the City by reason of the purchaser's non- compliance with said terms for
payment.
OFFICIAL STATEMENT
The City has authorized the preparation of an Official Statement containing pertinent
information relative to the Bonds, and said Official Statement will serve as a nearly -final Official
Statement within the meaning of Rule 15c2 -12 of the Securities and Exchange Commission.
For, copies of the Official Statement or for any additional information prior to sale, any
prospective purchaser is referred to the .Financial Advisor to the City, Springsted Incorporated,
85 East Seventh Place, Suite 100, Saint Paul, Minnesota 55101, telephone (612) 223 -30000
The Official Statement, when further supplemented by an addendum or addenda specifying the
maturity dates, principal amounts and interest rates of the Bonds, together with any other
information required by law, shall constitute a "Final Official Statement" of the City with respect
to the Bonds, as that term is defined in Rule 15c2 -12. By awarding the Bonds to any
underwriter or underwriting syndicate submitting a proposal therefor, the City agrees that, no
more than seven business days after the date of such award, it shall provide without cost to the
senior managing underwriter of the syndicate to which the Bonds are awarded 60 copies of the
Official Statement and the addendum or addenda described above. The City designates the
senior managing underwriter of the syndicate to which the Bonds are awarded as its agent for
purposes of distributing copies of the Final Official Statement to each Participating Underwriter.
Any underwriter delivering a proposal with respect to the Bonds agrees thereby that if its
proposal is accepted by the City (i) it shall accept such designation and (ii) it shall enter into a
contractual relationship with all Participating Underwriters of the Bonds for purposes of
assuring the receipt by each such Participating Underwriter of the Final Official Statement.
Dated October 12, 1992 BY ORDER OF THE CITY COUNCIL
/s/ Mrs. Lucille Aurelius
City Clerk