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HomeMy WebLinkAbout11-24-1970 SMMinutes of Maplewood Village Council 3:00 P.M. Tuesday, November 24, 1970 Council Chambers, Municipal Building Meeting No. 70 - 36 A. CALL TO ORDER A special meeting of the Maplewood Village Council was held in the Council Chambers, Municipal Building and was called to order at 3:05 P.M. by Mayor Axdahl. B. ROLL CALL Lester G. Axdahl, Mayor Present John C. Greavu, Councilman Present Harald L. Haugan, Councilman Present Patricia L. Olson, Councilwoman Present Donald J. Wiegert, Councilman Present C. OPENING OF BIDS - 1970 BOND ISSUE 1. Mr. Robert Sander, Juran and Moody, Inc., fiscal agent for the Village of Maplewood presented bids for the $605,000 General Obligation Improvement Bonds of 1970. BIDDER INTEREST RATE NET INTEREST COST (RATE) PIPER, JAFFRAY & HOPWOOD, INC. 4.00% Dain, Ralman & Quail, Inc. 4.30% Shearson, Hammill & Co., Inc. 4.50% Caldwell- Phillips, Inc. 4.60% Woodard - Elwood & Company 4.75% 4.90% 5.00% 5.20% 5.40% 5.60% 5.90% 6.00% 6.20% 6.25% PURCHL FIRST NATIONAL BANK OF ST.PAUL 4.00% First National Bank of Mpls. 4.25% 4.50% Northwestern National Bank 4.60% of Minneapolis 4.75% 4.90% - 1973 -1975 - 1976 -1977 - 1978 - 1979 - 1980 - 1981 - 1982 - 1983 - 1984 - 1985 - 1986 - 1987 - 1988 - 1989 -1990 SSE PRICE - $595,767.70 $298,652.30 (5.2859%) - 1973 - 1974 -1975 - 1976 -1977 - 1978 - 1979 - 1980 - 1 - 11/24 BIDDER AMERICAN NATIONAL BANK AND TRUST COMPANY Allison- Williams Company Paine, Webber, Jackson & Curtis E. J. Prescott & Company INTEREST RATE NET INTEREST 1973 COST 1974 (RATE) 5.25% - 1981 -1982 5.60% - 1983 -1984 5.75% - 1985 6.00% - 1986 -1987 6.20% - 1988 -1990 PURCHASE PRICE - $598,314.75 $303,615.25 (5.3737%) 3.75% - 1973 4.00% - 1974 4.25% - 1975 4.40% - 1976 4.55% - 1977 4.70% - 1978 4.85% - 1979 5.00% - 1980 5.10% - 1981 5.20% - 1982 5.40% - 1983 5.60% - 1984 5.80% - 1985 6.00% - 1986 6.15% - 1987 6.20% - 1988 -1990 PURCHASE PRICE - $594,533.00 $307,687.00 (5.4457%) 2. The Council then proceeded to consider such bids. After the bids had been considered and discussed, Mr. Sander stated Piper, Jaffray & Hopwood was the apparent low bidder. 3. Councilman Haugan introduced the following resolution and moved its adoption: 70 - 11 - 173 RESOLUTION ACCEPTING BID ON SALE OF $605,000 GENERAL OBLIGATION IMPROVEMENT BONDS OF 1970 PROVIDING FOR THEIR ISSUANCE AND LEVYING A TAX FOR THE PAYMENT THEREOF BE IT RESOLVED by the Council of the Village of Maplewood, Minn- esota, as follows: 1. That the bid of Piper, Jaffray & Hopwood to purchase $605,000 General Obligation Improvement Bonds of 1970 of the Village, in - 2 - 11/24 accordance with the notice of bond sale, at the rates of interest hereinafter set forth, and to pay therefor the sum of $595,767.70 (plus a premium of none) is hereby found, determined and declared to be the most favorable bid received, and is hereby accepted and said bonds are hereby awarded to said bidder. The Village Clerk is directed to retain the deposit of said bidder and to forthwith re- turn the good faith checks or drafts to the unsuccessful bidders. Said bonds shall be payable as to principal and interest at American National Bank and Trust Company, St. Paul, Minnesota. 2. The $605,000 negotiable coupon general obligation bonds of the Village shall be dated December 1, 1970 and shall be issued forth- with. Said bonds shall be 121 in number and numbered from 1 to 121, both inclusive, in the denomination of $5,000 each. Said bonds shall mature serially, lowest numbers first, on December 1 in the years and amounts as follows: $55,000 in each of the years 1973 and 1974, $50,000 in each of the years 1975 to 1978, Both inclusive; $55,000 in each of the years 1979 and 1980, $15,000 in each of the years 1981 to 1983, Both inclusive; $20,000 in each of the years 1984 to 1990, Both inclusive. 3. Said bonds shall provide funds for the construction of various improvements in the Village. The total cost of said improvements, in- cluding the cost of construction under the terms of the lowest bid re- ceived for each phase thereof, engineering, legal and other professional charges, publication and printing costs, interest accruing on money borrowed for the improvements before the collection of special assess- ments levied therefor, and all other costs necessarily incurred and to be incurred for the inception to the completion of the improvements, is estimated to be at least equal to the amount of the bonds herein authorized. 4. The bonds of said issue maturing in the years and bearing the serial numbers set forth below shall bear interest, payable December 1, 1971 and semiannually thereafter on June I and December I of each year, at the respective rates per annum set opposite and maturity years and serial numbers: MATURITY YEARS 1973 -75 1976 -77 1978 1979 1980 1981 1982 1983 1984 1985 SERIAL NUMBERS INTEREST RATE 1 -32 4.00% 33 -52 4.30% 53 -62 4.50%', 63 -73 4.60% 74 -84 4.75% 85 -87 4.90% 88 -90 5.00% 91 -93 5.20% 94 -97 5.40/ 98 -101 5.60% - 3 - 11/24 1986 102 -105 5.90% 1987 106 -109 6.00% 1988 110 -113 6.20% 1989 -90 114 -121 6.25% 5. All bonds of this issue maturing in the years 1981 to 1990, both inclusive (bonds numbered 85 to 121, both inclusive), shall be subject to redemption and prepayment at the option of the Village in inverse order of serial numbers, on December 1, 1980 and on any in- terest payment date thereafter at par and accrued interest plus a pre- mium of $75.00; At least thirty days prior mailed notice of redemption shall in each case be given to the bank where said bonds are payable and to the last known holder, and thirty days prior published notice of redemption shall be given in accordance with law. Holders desiring to receive mailed notice must register their names, addresses and bond numbers with the Village Clerk, but published notice shall be effective without mailed notice. 6. The bonds and interest coupons to be issued hereunder shall be in substantially the following form: UNITED STATES OF AMERICA STATE OF MINNESOTA RAMSEY COUNTY VILLAGE OF MAPLEWOOD No. $ GENERAL OBLIGATION IMPROVEMENT BOND OF 1970 KNOW ALL MEN BY THESE PRESENTS that the Village of Maplewood, Ramsey County, Minnesota, certifies that it is indebted and for value received promises to pay to bearer the sum of THOUSAND DOLLARS on the first day of December, 19 and to pay interest thereon from the date hereof until the principal is paid at the rate of per cent ( %) per annum, payable on the first day of December, 1971 and semiannually thereafter on the first day of June and the first day of December in each year, in accordance with and upon presentation and surrender of the interest coupons hereto attached, as the same severally become due. Both principal and interest are pay- able at in any coin or currency of the United States of America which at the time of payment is legal tender for public and private debts. All bonds of this issue maturing in the years 1981 to 1990, both inclusive (bonds numbered to ^, both inclusive), are subject to redemption and pre - payment at the option of the Village in inverse order of serial numbers, on December 1, 1980 and on any interest pay- ment date thereafter at par and accrued interest plus a premium of - 4 - 11/24 $ At least thirty days prior mailed notice of redemption shall in each case be given to the bank where said bonds are payable and to the last known holder, and published notice of redemption shall be given in accordance with law. Holders desiring to receive mailed notice must register their names, addresses and bond numbers with the Village Clerk, but published notice shall be effective without mailed notice. This bond is one of an issue in the total principal amount of $605,000 all of like date and tenor, except as to maturity, interest rate and re- demption privilege, which bond has been issued pursuant to and in full conformity with the Constitution and laws of the State of Minnesota for the purpose of providing money for the constructing of various improve- ments, and is payable out of the General Obligation Improvement Bonds of 1970 Fund of the Village. This bond constitutes a general obligation of the Village, and to provide moneys for the prompt and full payment of said principal and interest when the same become due, the full faith and credit of said Village have been and are hereby irrevocably pledged. IT IS HEREBY CERTIFIED AND RECITED that all acts, conditions and things required by the Constitution and laws of the State of Minnesota to be done, to happen and to be performed, precedent to and in the is- suance of this bond, have been done, have happened and have been per- formed, in regular and due form, time and manner as required by law, and this bond, together with all other debts of the Village outstanding on the date hereof and the date of its actual issuance and delivery does not exceed and constitutional or statutory limitation of indebtedness. IN WITNESS WHEREOF, the Village of Maplewood, Ramsey County, Minnesota, by its Village Council has caused this bond to be executed in its behalf by the manual signature of the Mayor and the facsimile signature of the Village Clem, and the corporate seal of said Village to be affixed hereto, and has caused the interest coupons to be executed and authenticated by the facsimile signatures of said officers, all as of December 1, 1970. Village Clerk Mayor (Form of Coupon) No. On the first day of December (June), 19�, unless the bond described below is called for earlier redemption, the Village of Maplewood, Ramsey County, Minnesota, will pay to bearer at the sum shown hereon for interest then due on its General Obligation Improvement Bond of 1970, No._ dated December 1, 1970. /s/ Facsimile Village Clerk /s/ Facsimile Mayor - 5 - 11/24 7. The Village Clerk is directed to cause said bonds to be pre- pared and the Mayor and Clerk are authorized and directed to execnt"e -Lhe sane by the facsimile signature of the Mayor and the manual signature of the Village Clerk, and to cause said coupons to be executed and authenticated by the printed, engraved or Hun - ographed facsimile signatures of said officers. 8. The said bonds when so prepared and executed shall be delivered by the Treasurer to the purchaser thereof upon receipt of the purchase price, and the said purchaser shall not be obliged to see to the proper application thereof. 9. There is hereby created a special fund to be designated "General Obligation Improvement Bonds of 1970 Fund" to be held and administered by the Village Treasurer separate and apart from all other funds of the Village. Said fund shall be maintained in the manner herein specified until all of the bonds herein authorized and the interest thereon have been fully paid. In said fund there shall be maintained two seperate accounts, to be designated as the "Construction Account" and the "Sink- ing Fund Account ", respectively. The proceeds of the sale of the bonds herein authorized, less accrued interest received thereon and less any " amount paid for said bonds in excess of $594,000, shall be credited to the Construction Account, from which there shall be paid all costs and expenses of making said improvements, including the costs of construction contracts heretofore let and all other costs incurred and to be incurred and the moneys in said account shall be used for no other purpose, pro- vided that the bond proceeds may also be used to pay interest on said bonds due prior to the anticipated date of commencement of the collect - ion of taxes or special assessments herein levied, and provided further that if upon completion of said improvements there shall remain any un- expended balance in said Construction Account, said balance may be trans- ferred by the Council to the fund of any other improvement instituted pursuant to Chapter 429 M.S.A. There is hereby pledged and there shall be credited to the Sinking Fund Account, all collections of special assessments and taxes herein levied, all accrued interest received upon delivery of said bonds, all funds paid for the bonds in excess of $594, 000, and all funds remaining in said Construction Account after complet- ion of the improvements and payment of the costs thereof, not so trans- ferred to the fund of another improvement. The Sinking Fund Account shall be used solely to pay principal and interest on the bonds issued here- under. 10. It is hereby determined that no less than $457,719 of the cost of improvements shall be paid by special assessments to be levied against every assessable lot, piece and parcel of land benefited by said im- provements. The Village hereby convenants and agrees that it will do and perform as soon as they may be done, all acts and things necessary for the final and valid levy of such special assessments, and in the event that any such assessment be at any time held invalid with respect to any lot, piece or parcel of land due to any error, defect, or ir- regularity, in any action of proceedings taken or to be taken by the Village or this Council or any of the Village officers or employees, either in the making of such assessments or in the performance of any condition precedent thereto, the Village and this Council will forthwith - 6 - 11/24 do all such further acts and take all such further proceedings as may be required by law to make such assessments a valid and binding lien upon such property. Said assessments shall be payable in equal, con- secutive, annual installments, with general taxes for the years shown below and with interest on the deferred balance of all such assessments at the rate of 7% per annum: Improvement Designation Amount Ley Years 68 -2 $10,000 * 1971 -1973 69 -1 $39,976 1971 -1979 69 -15 $$03,113 1971 -1989 69 -23 (Street) $135,108 1971 -1979 69 -23 (Water) ;$55,519 1971 -1989 69 -23 (Storm Sewer) $52,401 1971 -1979 69-23 (Sanitary Sewer) $33,704 1971 -1989 69 -24 $27,898 1971 -1989 11. To provide moneys for the payment of said principal and interest there is hereby levied upon all of the taxable property in the Village a direct annual ad valorem tax which shall be spread upon the tax rolls and collected with and as part of, other general property taxes in said Village for the years and in the amounts as follows: Year of Tax Year of Tax Levy Collection Amount 1971 1972 $10,000 1972 1973 10,000 1973 1974 10,000 1974 1975 10,000 1975 1976 15,000 1976 1977 15,000 1977 1978 15,000 1978 1979 15,000 1979 1980 16,000 1980 1981 11,000 1981 1982 10,000 1982 1983 10,000 1983 1984 10,000 1984 1985 10,000 1985 1986 10,000 1986 1987 10,000 1987 1988 10,000 1988 1989 10,000 1989 1990 10,000 Said tax levies are such that if collected in full they, together with estimated collections of special assessments for the payment of said bonds, will produce at least five percent in excess of the amount needed to meet when due the principal and interest payments on the bonds. *Unexpected costs in access of amount financed by previous bond issue. - 7 - 11/24 Said tax levies shall be irrepealable so long as any of said bonds are outstanding and unpaid, provided that the Village reserves the right and power to reduce the levies in the manner and to the extent permitted by Sec. 475.61(3) M.S.A. For the prompt and full payment of the principal of and interest on said bonds, as the same respectively become due, the full faith, credit and taxing powers of the Village shall be and are hereby ir- revocable pledged. 12. The Village Clerk is hereby directed to file a certified copy of this resolution with the County Auditor of Ramsey County, Minnesota, together with such other information as he shall require, and to obtain from said Auditor his certificate that said bonds have been entered in the said..Audltor's Bond Register, and that the tax levy required by law has been made. 13. The officers of the Village are hereby authorized and directed to prepare and furnish to the purchaser of said bonds, and to the at- torneys approving the legality of the issuance thereof, certified copies of all proceedings and records of the Village relating to said bonds and to the financial condition and affairs of the Village, and such other affidavits, certificates and information as are required to show the facts relating to the legality and marketability of said bonds as the same appear from the books and records under their custody and control or as otherwise known to them, and all such certified copies, certificates and affidavits, including any heretofore furnished, shall be deemed re- presentations of the Village as to the facts recited therein. Seconded by Councilman Greavu. D. ADMINISTRATIVE ASSISTANT Ayes - all. 1. Manager Miller requested authorization to increase the salary for the proposed administrative assistant he is contemplating hiring. The amount budgeted was 000 per month. Mr. Miller stated this is approx- imately $100 a month lower than the average being offered for that position. 2. Councilman Wiegert moved to authorize the Manager to increase the salary of the administrative assistant position by $100.00. Seconded by Councilman Greavu. E. ADJOURNMENT 4:02 P.M. J/ City Clerk - 8 - Ayes - Mayor Axdahl, Councilmen Greavu, Haugan and Wiegert. Councilwoman Olson abstained. 11/24