HomeMy WebLinkAbout2016 08-08 City Council Meeting Minutes August 8, 2016 1
City Council Meeting Minutes
MINUTES
MAPLEWOOD CITY COUNCIL
7:00 P.M. Monday, August 8, 2016
City Hall, Council Chambers
Meeting No. 15-16
A. CALL TO ORDER
A meeting of the City Council was held in the City Hall Council Chambers and was called
to order at 7:08 p.m. by Mayor Slawik.
Mayor Slawik thanked the staff that was involved in planning and participating in
National Night Out.
Mayor Slawik reported that the deadline to accept applications for the “Use of Force
Task Force” has ended. The applications will be reviewed and ranked by the council
and appoints will be made at the August 22, 2016 City Council Meeting.
B. PLEDGE OF ALLEGIANCE
Grace Gabriel, Ellie Gabriel and Annie Gabriel led the council in the pledge of
allegiance. They were attending the council meeting for the Recognition of Service of K-
9 Team – Office Tony Gabriel and K-9 Yoda.
C. ROLL CALL
Nora Slawik, Mayor Present
Marylee Abrams, Councilmember Present
Kathleen Juenemann, Councilmember Present
Bryan Smith, Councilmember Present
Tou Xiong, Councilmember Present
D. APPROVAL OF AGENDA
F2a Rice & Larpenteur Corridor Task Force Night
F2b Meeting with Local Legislators
F2c Ribbon Cutting
F2d Rush Line Corridor Meeting
Councilmember Juenemann moved to approve the agenda as amended.
Seconded by Councilmember Abrams Ayes – All
The motion passed.
E. APPROVAL OF MINUTES
1. Approval of July 25, 2016 City Council Meeting Minutes
Councilmember Abrams moved to approve the July 25, 2016 City Council Meeting
Minutes as submitted.
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Seconded by Councilmember Juenemann Ayes – All
The motion passed.
F. APPOINTMENTS AND PRESENTATIONS
1. Administrative Presentations
a. Approval of Resolution for Commission and Board Appointments
City Manager Coleman gave the staff report.
Councilmember Smith moved to approve the resolution to appoint candidates to the
Planning and Housing & Economic Development Commissions.
Resolution 16-08-1370
Be it Resolved that the City Council of Maplewood, Minnesota:
Hereby appoints the following individuals, who have interviewed with the Maplewood
City Council, to serve on the following commissions:
Planning Commission (one opening)
John Eads term expires December 31, 2018
Housing & Economic Development Commission (one opening)
Benosi Maduka term expires April 30, 2019
Seconded by Councilmember Abrams Ayes – All
The motion passed.
b. Council Calendar Update
City Manager Coleman gave the update to the council calendar.
c. Recognition of Service of K-9 Team – Officer Tony Gabriel and K-9 Yoda
Police Chief Schnell gave the staff report and presented Office Tony Gabriel with the
Recognition of Service of K-9 Team.
2. Council Presentations
a. Rice & Larpenteur Corridor Meeting
Councilmember Juenemann reported on the Rice & Larpenteur Corridor Task Force
meeting she attended with Economic Development Coordinator Martin at Galilee
Lutheran Church on Rice Street. Councilmember Abrams gave additional information on
the meeting.
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b. Meeting with Local Legislators
Councilmember Abrams reported on the meeting with local Legislators she and Police
Chief Schnell attended.
c. Ribbon Cutting
Mayor Slawik reported on a ribbon cutting event she attended with Environmental &
Economic Develop Director Konewko at Access Partners Staffing on County Road D
East. Environmental & Economic Develop Director Konewko gave additional
information.
Mayor Slawik reported that Pediatric Dentistry located on County Road D East had a
grand opening event that she attended.
d. Rush Line Corridor Meeting
Mayor Slawik reported there will be a Rush Line Corridor Meeting on Thursday at 2:00
p.m. at Boat Works in White Bear Lake. She gave additional information about the Rush
Line Corridor routes. Public Works Director Thompson gave additional information.
G. CONSENT AGENDA
Councilmember Juenemann moved to approve agenda items G1-G7.
Seconded by Councilmember Abrams Ayes – All
The motion passed.
1. Approval of Claims
Councilmember Juenemann moved to approve the approval of claims.
ACCOUNTS PAYABLE:
$ 537,799.74 Checks # 97670 thru # 97707
dated 07/26/16
$ 490,524.24 Disbursements via debits to checking account
dated 07/18/16 thru 07/22/16
$ 783,666.08 Checks #97708 thru #97749
dated 07/25/16 thru 08/02/16
$ 516,821.35 Disbursements via debits to checking account
dated 07/25/16 thru 07/29/16
$ 2,328,811.41 Total Accounts Payable
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PAYROLL
$ 556,417.92 Payroll Checks and Direct Deposits dated 07/29/16
$ 490.00 Payroll Deduction check # 99102273 dated 07/29/16
$ 556,907.92 Total Payroll
$ 2,885,719.33 GRAND TOTAL
Seconded by Councilmember Abrams Ayes – All
The motion passed.
2. Approval of a Temporary Lawful Gambling - Local Permit for the Church of St
Jerome, 380 Roselawn Ave E
Councilmember Juenemann moved to approve the Lawful Gambling - Local permit for
the Church of St. Jerome’s Fall Festival on September 18, 2016 at 380 Roselawn Ave E.
Seconded by Councilmember Abrams Ayes – All
The motion passed.
3. Approval of School Resource Officer Agreement with Independent School
District 622
Councilmember Juenemann moved to approve the agreement between the City of
Maplewood and North St. Paul-Maplewood-Oakdale School District 622 for School
Resource Officer services and that the Finance Director be authorized to make any
necessary budget adjustments.
Seconded by Councilmember Abrams Ayes – All
The motion passed.
4. Approval of Resolution Accepting Donation to Maplewood Police
Reserves from Ramsey County Fair
Councilmember Juenemann moved to approve the Resolution Accepting Donation to
Maplewood Police Reserves from Ramsey County Fair.
Resolution 16-08-1371
RESOLUTION EXPRESSING ACCEPTANCE OF AND APPRECIATION OF A
DONATION TO THE MAPLEWOOD POLICE DEPARTMENT
WHEREAS , the Ramsey County Agricultural Society/Fair Board has presented to
the Maplewood Police Department a donation in the amount of $475; and
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WHEREAS, this donation is intended for the purpose of Maplewood Police
Reserve Unit equipment and/or needs; and
WHEREAS, the Maplewood City Council is appreciative of the donation and
commends the Ramsey County Agricultural Society/ Fair Board for their civic efforts,
NOW , THEREFORE, BE IT RESOLVED, by the City Council of the City of
Maplewood, Minnesota, that:
1. The donation is accepted and acknowledged with gratitude; and
2. The donation will be appropriated for the Police Department as designated; and
3. The appropriate budget adjustments be made.
Seconded by Councilmember Abrams Ayes – All
The motion passed.
5. Approval to Authorize Sanitary Lift Station #6 Repairs
Councilmember Juenemann moved to approve the Sanitary Lift Station #6 Repairs to
proceed with Rice Lake Construction Group with a quote of $69,150.00, and establish an
overall budget of $80,000.00 from the Sanitary Sewer Fund, which would cover both
construction and indirect costs.
Seconded by Councilmember Abrams Ayes – All
The motion passed.
6. Approval to Transfer Ownership of K-9 Yoda to Officer Gabriel and Family
Councilmember Juenemann moved to approve the resolution to retirement and transfer
ownership status of Maplewood Police Service Dog (K-9) “Yoda” to Officer Tony Gabriel
and his family.
Resolution 16-08-1372
A Resolution Pertaining to the Retirement and Ownership Status of
Maplewood Police Service Dog (K-9) “Yoda.”
WHEREAS, the Maplewood Police Department has had a successful police
service dog (K-9) program that has honorably and ably served the City for many years;
and
WHEREAS, in 2007 Maplewood Police Officer Tony Gabriel was selected to
serve as the department’s police service dog handler and completed a comprehensive
and demanding training program with his canine partner “Yoda;” and
WHEREAS, upon completion of the training program Officer Gabriel and Yoda
began a successful partnership of service to the City; and
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WHEREAS, Officer Gabriel and Yoda were responsible for the apprehension of
numerous criminal suspects, and the execution of countless building and evidence
searches; and
WHEREAS, during their partnership, Yoda and Officer Gabriel demonstrated the
unique skills and abilities of police service dogs to thousands of local residents and
visitors at community, civic, and school events; and
WHEREAS, Yoda was retired from service with the City of Maplewood at the
completion of his tour of duty on the morning of August 1, 2016; and
WHEREAS, the relationship between the police officer handler and K-9 is unique
and storied, and it is commonplace for official ownership of the retired police service dog
to be transferred to the handler/partner; and
WHEREAS, Officer Gabriel has agreed to assume full ownership, responsibility,
and care of Yoda for the remainder of his days.
NOW, THEREFORE BE IT RESOLVED, by the City Council of the City of
Maplewood, Minnesota;
1. That the faithful, valued, and committed service of Maplewood police service
dog, Yoda, is hereby acknowledged and lauded; and
2. That the care and training of Yoda provided by Maplewood Police Officer
Tony Gabriel is recognized and commended; and
3. That full ownership, responsibility, and care for Yoda shall be transferred to
Officer Gabriel in accordance with the separate Agreement and “Bill of Sale”
document; and
4. That transfer of ownership to Officer Gabriel shall be without remuneration in
recognition of the special bond and unique characteristics of police service
dogs; and
5. That the City Attorney prepared Agreement and “Bill of Sale” transferring
ownership from the City to Officer Gabriel as executed by Officer Gabriel and
the Chief of Police is accepted and approved, and, finally
6. That the City Council extends its gratitude to Officer Gabriel for the competent
care of his canine partner and publically acknowledges Yoda’s well-deserved
transition from police service to family pet.
Seconded by Councilmember Abrams Ayes – All
The motion passed.
7. Approval of Memorandum of Understanding for Interim Legal Services
Assistant City Manager/Human Resource Director Funk gave the staff report and
introduced Attorney Ronald Batty with Kennedy and Graven. Attorney Batty gave
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background information about the firm and working with the City.
Councilmember Juenemann moved to approve the Memorandum of Understanding with
Kennedy & Graven, Chartered for civil representation.
Seconded by Councilmember Abrams Ayes – All
The motion passed.
H. PUBLIC HEARINGS
1. Consider Approval of an Amendment to the Maplewood Rental and Owner-
Occupied Housing Maintenance Ordinance
Economic Development Coordinator Martin gave the staff.
Mayor Slawik opened the public hearing. No one spoke.
Mayor Slawik closed the public hearing.
Councilmember Xiong moved to approve resolution amending Section 12-110 removing
subsection (b) in the Maplewood Rental Housing Maintenance Code and amend the
Owner-Occupied Housing Maintenance Code Section 12-154 (4) to follow the revised
notification process outlined in Section 12-110.
Seconded by Councilmember Abrams Ayes – All
The motion passed.
2. Consider Approval of Amendments to the Maplewood Planning and Parks
and Recreation Commission Ordinances
Economic Development Coordinator Martin gave the staff report.
Mayor Slawik opened the public hearing. No one spoke.
Mayor Slawik closed the public hearing.
Councilmember Juenemann moved to approve the amendments to the planning and
parks & recreation commissions’ enabling ordinances to reduce its memberships from
nine to seven members.
Seconded by Councilmember Xiong Ayes – All
The motion passed.
3. Consider Approval of an Amendment to the Maplewood Zoning Ordinance
Regarding Temporary Accessory Dwelling Units
Economic Development Coordinator Martin gave the staff report.
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Mayor Slawik opened the public hearing. No one spoke.
Mayor Slawik closed the public hearing.
Councilmember Juenemann moved to approve the Amendment to the Maplewood
Zoning Ordinance opting out of allowing temporary dwelling units.
Seconded by Councilmember Abrams Ayes – All
The motion passed.
I. UNFINISHED BUSINESS
1. Consider Approval of Bond Resolutions
a. Approval of Resolution Authorizing the Issuance and Awarding the
Sale of General Obligation Bonds 2016A
b. Approval of Resolution Authorizing the Issuance and Awarding the
Sale of General Obligation Refunding Bonds 2016B
Finance Director Paulson gave the staff report. Terri Heaton from Sprinsted, Inc.
addressed the council to give additional information.
Councilmember Abrams moved to approve the resolution for 2016A bonds that will
finance capital improvements and equipment as follows:
Street improvement bonds in the amount of $1,935,000 will finance the Sterling
Street and Beebe Road improvements.
CIP bonds in the amount of $1,320,000 will finance city building improvements.
Equipment certificates will be issued in the amount of $510,000 to cover the cost
of a new ambulance and a playground for Goodrich Park.
Resolution 16-08-1373
RESOLUTION PROVIDING FOR THE ISSUANCE AND SALE OF
$3,765,000 GENERAL OBLIGATION BONDS, SERIES 2016A
PLEDGING SPECIAL ASSESSMENTS AND
LEVYING A TAX FOR THE PAYMENT THEREOF
A. WHEREAS, on June 27, 2016, after publication of a notice of public
hearing, the City of Maplewood, Minnesota (the "City"), held a hearing on the proposed
issuance of general obligation capital improvement plan bonds pursuant to Minnesota
Statutes, Section 475.521, Subd. 2 and adopted the 2016 through 2021 Capital
Improvement Plan for the City of Maplewood, Minnesota (the "Capital Improvement
Plan"), in accordance with the provisions of Minnesota Statutes, Section 475.521, Subd.
3 and all persons who wished to speak or to provide written information relative to the
public hearing were afforded the opportunity to do so; and
B. WHEREAS, the Capital Improvement Plan provides for the financing of
improvements to the city hall, public works and public safety facilities as outlined in the
City's Capital Improvement Plan by the issuance of general obligation capital
improvement bonds (the "Capital Improvements"); and
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C. WHEREAS, no petition signed by voters equal to five percent of the votes
cast in the City in the last general election requesting a vote on the issuance of the
general obligation capital improvement bonds has been filed with the City Clerk within
thirty days after the date the public hearing on the issuance of the general obligation
capital improvement bonds was held; and
D. WHEREAS, the City proposes to finance the construction of various
public Improvements in the City (the "Improvements") pursuant to Minnesota Statutes,
Chapters 429 and 475; and
E. WHEREAS, the Improvements and all their components have been
ordered, after a hearing thereon for which notice was given describing the Improvements
or all their components by general nature, estimated cost, and area to be assessed; and
F. WHEREAS, pursuant to Minnesota Statutes, Section 412.301, the City
proposes to finance the acquisition of capital equipment for the City through the
issuance of general obligation bonds (the "Equipment"); and
G. WHEREAS, each piece of equipment to be financed has an expected
useful life at least as long as the term of the Equipment Portion of the Bonds (as
hereinafter defined); and
H. WHEREAS, the principal amount of the Equipment Portion of the Bonds
does not exceed 0.25% of the market value of taxable property in the City; and
I. WHEREAS, the City Council has heretofore determined and declared that
it is necessary and expedient to issue $3,765,000 General Obligation Bonds, Series
2016A (the "Bonds") of the City, pursuant to Minnesota Statutes, Chapters 429 and 475
and Minnesota Statutes, Section 412.301, to finance (i) the Capital Improvements set
forth in the Capital Improvement Plan, (ii) the Improvements, and (iii) the acquisition of
the Equipment; and
J. WHEREAS, $1,320,000 in principal amount of the Bonds (the "CIP
Portion of the Bonds") will finance the Capital Improvements set forth in the Capital
Improvement Plan and $1,935,000 in principal amount of the Bonds (the "Improvement
Portion of the Bonds") will finance the Improvements and $510,000 in principal amount
of the Bonds (the "Equipment Portion of the Bonds") will finance the acquisition of the
Equipment; and
K. WHEREAS, the City has retained Springsted Incorporated ("Springsted"),
as its independent financial advisor, in connection with the sale of the Bonds, and
therefore the City is authorized to negotiate the sale of the Bonds without compliance
with the public sale requirements of Minnesota Statutes, Section 475.60; Subdivision
2(9); and
L. WHEREAS, the proposals set forth on Attachment A attached hereto
were received by the City Clerk, or designee, at the offices of Springsted, at 10:00 a.m.
this same day pursuant to the Terms of Proposal established for the Bonds; and
M. WHEREAS, it is in the best interests of the City that the Bonds be issued
in book-entry form as hereinafter provided; and
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NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of
Maplewood, Minnesota, as follows:
1. Acceptance of Proposal. The proposal of Robert W. Baird & Co., Inc. in
Milwaukee, Wisconsin (the "Purchaser"), to purchase the Bonds, in accordance with the
Terms of Proposal established for the Bonds, at the rates of interest hereinafter set forth,
and to pay therefor the sum of $3,847,773.75, plus interest accrued to settlement, is
hereby found, determined and declared to be the most favorable proposal received, is
hereby accepted and the Bonds are hereby awarded to the Purchaser. The Finance
Director is directed to retain the deposit of the Purchaser and to forthwith return to the
unsuccessful bidders any good faith checks or draf ts.
2. Terms of Bonds.
(a) Title; Original Issue Date; Denominations; Maturities; Term Bond Option.
The Bonds shall be dated September 8, 2016, as the date of original issue and shall be
issued forthwith on or after such date in fully registered form, shall be numbered from R
1 upward in the denomination of $5,000 each or in any integral multiple thereof of a
single maturity (the "Authorized Denominations") and shall mature on February 1 in the
years and amounts as follows:
Year Amount Year Amount
2018 $265,000 2026 $220,000
2019 295,000 2027 225,000
2020 300,000 2028 230,000
2021 310,000 2029 235,000
2022 310,000 2030 240,000
2023 210,000 2031 245,000
2024 210,000 2032 250,000
2025 220,000
As may be requested by the Purchaser, one or more term Bonds may be issued having
mandatory sinking fund redemption and final security amounts confirming to the
foregoing principal repayment schedule, and corresponding additions may be made to
the provisions of the applicable Bond(s).
(b) Allocation of Bonds to Capital Improvements, Improvements and to
Equipment. $1,320,000 of aggregate principal amount of the Bonds maturing in the
years and amounts hereinafter set forth are properly allocable to the costs of the Capital
Improvements (the "CIP Portion of the Bonds"); $1,935,000 of the aggregate principal
amount of the Bonds maturing in the years and amounts hereinafter set forth are
properly allocable to the costs of the Improvements (the "Improvement Portion of the
Bonds"); and $510,000 of the aggregate principal amount of the Bonds maturing in the
years and amounts hereinafter set forth are properly allocable to the acquisition of the
Equipment (the "Equipment Portion of the Bonds"):
CIP Portion
Improvement
Portion
Equipment
Portion
Year Amount Year Amount Year Amount
2018 $ 70,000 2018 $ 95,000 2018 $100,000
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CIP Portion
Improvement
Portion
Equipment
Portion
2019 80,000 2019 115,000 2019 100,000
2020 80,000 2020 120,000 2020 100,000
2021 85,000 2021 120,000 2021 105,000
2022 85,000 2022 120,000 2022 105,000
2023 85,000 2023 125,000
2024 85,000 2024 125,000
2025 90,000 2025 130,000
2026 90,000 2026 130,000
2027 90,000 2027 135,000
2028 90,000 2028 140,000
2029 95,000 2029 140,000
2030 95,000 2030 145,000
2031 100,000 2031 145,000
2032 100,000 2032 150,000
If Bonds are prepaid, the prepayments shall be allocated to the portions of debt
service (and hence allocated to the payment of Bonds treated as relating to a particular
portion of debt service) as provided in this paragraph. If the source of prepayment
moneys is the general fund of the City, or other generally available source, including a
tax levy, the prepayment may be allocated to any portions of debt service in such
amounts as the City shall determine. If the source of the prepayment is special
assessments pledged to the Improvements, the prepayment shall be allocated to the
Improvement Portion of debt service.
(c) Book Entry Only System. The Depository Trust Company, a limited
purpose trust company organized under the laws of the State of New York or any of its
successors or its successors to its functions hereunder (the "Depository") will act as
securities depository for the Bonds, and to this end:
(i) The Bonds shall be initially issued and, so long as they remain in
book entry form only (the "Book Entry Only Period"), shall at all times be in the
form of a separate single fully registered Bond for each maturity of the Bonds;
and for purposes of complying with this requirement under paragraphs 5 and 10
Authorized Denominations for any Bond shall be deemed to be limited during the
Book Entry Only Period to the outstanding principal amount of that Bond.
(ii) Upon initial issuance, ownership of the Bonds shall be registered
in a bond register maintained by the Bond Registrar (as hereinafter defined) in
the name of CEDE & CO., as the nominee (it or any nominee of the existing or a
successor Depository, the "Nominee").
(iii) With respect to the Bonds neither the City nor the Bond Registrar
shall have any responsibility or obligation to any broker, dealer, bank, or any
other financial institution for which the Depository holds Bonds as securities
depository (the "Participant") or the person for which a Participant holds an
interest in the Bonds shown on the books and records of the Participant (the
"Beneficial Owner"). Without limiting the immediately preceding sentence,
neither the City, nor the Bond Registrar, shall have any such responsibility or
obligation with respect to (A) the accuracy of the records of the Depository, the
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Nominee or any Participant with respect to any ownership interest in the Bonds,
or (B) the delivery to any Participant, any Owner or any other person, other than
the Depository, of any notice with respect to the Bonds, including any notice of
redemption, or (C) the payment to any Participant, any Beneficial Owner or any
other person, other than the Depository, of any amount with respect to the
principal of or premium, if any, or interest on the Bonds, or (D) the consent given
or other action taken by the Depository as the Registered Holder of any Bonds
(the "Holder"). For purposes of securing the vote or consent of any Holder under
this Resolution, the City may, however, rely upon an omnibus proxy under which
the Depository assigns its consenting or voting rights to certain Participants to
whose accounts the Bonds are credited on the record date identified in a listing
attached to the omnibus proxy.
(iv) The City and the Bond Registrar may treat as and deem the
Depository to be the absolute owner of the Bonds for the purpose of payment of
the principal of and premium, if any, and interest on the Bonds, for the purpose of
giving notices of redemption and other matters with respect to the Bonds, for the
purpose of obtaining any consent or other action to be taken by Holders for the
purpose of registering transfers with respect to such Bonds, and for all purpose
whatsoever. The Bond Registrar, as paying agent hereunder, shall pay all
principal of and premium, if any, and interest on the Bonds only to the Holder or
the Holders of the Bonds as shown on the bond register, and all such payments
shall be valid and effective to fully satisfy and discharge the City's obligations
with respect to the principal of and premium, if any, and interest on the Bonds to
the extent of the sum or sums so paid.
(v) Upon delivery by the Depository to the Bond Registrar of written
notice to the effect that the Depository has determined to substitute a new
Nominee in place of the existing Nominee, and subject to the transfer provisions
in paragraph 10, references to the Nominee hereunder shall refer to such new
Nominee.
(vi) So long as any Bond is registered in the name of a Nominee, all
payments with respect to the principal of and premium, if any, and interest on
such Bond and all notices with respect to such Bond shall be made and given,
respectively, by the Bond Registrar or City, as the case may be, to the
Depository as provided in the Letter of Representations to the Depository
required by the Depository as a condition to its acting as book-entry Depository
for the Bonds (said Letter of Representations, together with any replacement
thereof or amendment or substitute thereto, including any standard procedures or
policies referenced therein or applicable thereto respecting the procedures and
other matters relating to the Depository's role as book entry Depository for the
Bonds, collectively hereinafter referred to as the "Letter of Representations").
(vii) All transfers of beneficial ownership interests in each Bond issued
in book-entry form shall be limited in principal amount to Authorized
Denominations and shall be effected by procedures by the Depository with the
Participants for recording and transferring the ownership of beneficial interests in
such Bonds.
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(viii) In connection with any notice or other communication to be
provided to the Holders pursuant to this Resolution by the City or Bond Registrar
with respect to any consent or other action to be taken by Holders, the
Depository shall consider the date of receipt of notice requesting such consent or
other action as the record date for such consent or other action; provided, that
the City or the Bond Registrar may establish a special record date for such
consent or other action. The City or the Bond Registrar shall, to the extent
possible, give the Depository notice of such special record date not less than
fifteen calendar days in advance of such special record date to the extent
possible.
(ix) Any successor Bond Registrar in its written acceptance of its
duties under this Resolution and any paying agency/bond registrar agreement,
shall agree to take any actions necessary from time to time to comply with the
requirements of the Letter of Representations.
(d) Termination of Book-Entry Only System. Discontinuance of a particular
Depository's services and termination of the book-entry only system may be effected as
follows:
(i) The Depository may determine to discontinue providing its
services with respect to the Bonds at any time by giving written notice to the City
and discharging its responsibilities with respect thereto under applicable law.
The City may terminate the services of the Depository with respect to the Bond if
it determines that the Depository is no longer able to carry out its functions as
securities depository or the continuation of the system of book-entry transfers
through the Depository is not in the best interests of the City or the Beneficial
Owners.
(ii) Upon termination of the services of the Depository as provided in
the preceding paragraph, and if no substitute securities depository is willing to
undertake the functions of the Depository hereunder can be found which, in the
opinion of the City, is willing and able to assume such functions upon reasonable
or customary terms, or if the City determines that it is in the best interests of the
City or the Beneficial Owners of the Bond that the Beneficial Owners be able to
obtain certificates for the Bonds, the Bonds shall no longer be registered as
being registered in the bond register in the name of the Nominee, but may be
registered in whatever name or names the Holder of the Bonds shall designate at
that time, in accordance with paragraph 10. To the extent that the Beneficial
Owners are designated as the transferee by the Holders, in accordance with
paragraph 10, the Bonds will be delivered to the Beneficial Owners.
(iii) Nothing in this subparagraph (c) shall limit or restrict the
provisions of paragraph 10.
(e) Letter of Representations. The provisions in the Letter of
Representations are incorporated herein by reference and made a part of the resolution,
and if and to the extent any such provisions are inconsistent with the other provisions of
this resolution, the provisions in the Letter of Representations shall control.
3. Purpose. The CIP Portion of the Bonds shall provide funds to finance the
construction of the Capital Improvements, the Improvement Portion of the Bonds shall
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provide funds to finance the construction of the Improvements, and the Equipment
Portion of the Bonds shall provide funds to finance the acquisition of the Equipment
(collectively, the "Project"). The total cost of the Project, which shall include all costs
enumerated in Minnesota Statutes, Section 475.65, is estimated to be at least equal to
the amount of the Bonds. Work on the Project shall proceed with due diligence to
completion. The City covenants that it shall do all things and perform all acts required of
it to assure that work on the Project proceeds with due diligence to completion and that
any and all permits and studies required under law for the Project are obtained.
4. Interest. The Bonds shall bear interest payable semiannually on
February 1 and August 1 of each year (each, an "Interest Payment Date"), commencing
August 1, 2017, calculated on the basis of a 360-day year of twelve 30-day months, at
the respective rates per annum set forth opposite the maturity years as follows:
Maturity
Year
Interest
Rate
Maturity
Year
Interest
Rate
2018 2.00% 2026 2.00%
2019 2.00 2027 2.00
2020 2.00 2028 2.00
2021 2.00 2029 2.00
2022 2.00 2030 2.25
2023 2.00 2031 2.25
2024 2.00 2032 2.25
2025 2.00
5. Redemption. All Bonds maturing on February 1, 2026, and thereafter,
shall be subject to redemption and prepayment at the option of the City on February 1,
2025, and on any date thereafter at a price of par plus accrued interest. Redemption
may be in whole or in part of the Bonds subject to prepayment. If redemption is in part,
the maturities and the principal amounts within each maturity to be redeemed shall be
determined by the City; and if only part of the Bonds having a common maturity date are
called for prepayment, the specific Bonds to be prepaid shall be chosen by lot by the
Bond Registrar. Bonds or portions thereof called for redemption shall be due and
payable on the redemption date, and interest thereon shall cease to accrue from and
after the redemption date. Mailed notice of redemption shall be given to the paying
agent and to each affected registered holder of the Bonds.
To effect a partial redemption of Bonds having a common maturity date, the
Bond Registrar prior to giving notice of redemption shall assign to each Bond having a
common maturity date a distinctive number for each $5,000 of the principal amount of
such Bond. The Bond Registrar shall then select by lot, using such method of selection
as it shall deem proper in its discretion, from the numbers so assigned to such Bonds, as
many numbers as, at $5,000 for each number, shall equal the principal amount of such
Bonds to be redeemed. The Bonds to be redeemed shall be the Bonds to which were
assigned numbers so selected; provided, however, that only so much of the principal
amount of each such Bond of a denomination of more than $5,000 shall be redeemed as
shall equal $5,000 for each number assigned to it and so selected. If a Bond is to be
redeemed only in part, it shall be surrendered to the Bond Registrar (with, if the City or
Bond Registrar so requires, a written instrument of transfer in form satisfactory to the
City and Bond Registrar duly executed by the Holder thereof or the Holder's attorney
August 8, 2016 15
City Council Meeting Minutes
duly authorized in writing) and the City shall execute (if necessary) and the Bond
Registrar shall authenticate and deliver to the Holder of the Bond, without service
charge, a new Bond or Bonds having the same stated maturity and interest rate and of
any Authorized Denomination or Denominations, as requested by the Holder, in
aggregate principal amount equal to and in exchange for the unredeemed portion of the
principal of the Bond so surrendered.
6. Bond Registrar. U.S. Bank National Association, in St. Paul, Minnesota,
is appointed to act as bond registrar and transfer agent with respect to the Bonds (the
"Bond Registrar"), and shall do so unless and until a successor Bond Registrar is duly
appointed, all pursuant to any contract the City and Bond Registrar shall execute which
is consistent herewith. The Bond Registrar shall also serve as paying agent unless and
until a successor paying agent is duly appointed. Principal and interest on the Bonds
shall be paid to the registered holders (or record holder) of the Bonds in the manner set
forth in the form of Bond and paragraph 12 of this resolution (with respect to interest
payment and record date).
7. Form of Bond. The Bonds to be issued hereunder, together with the
Bond Registrar's Certificate of Authentication, the form of Assignment and the
registration information thereon, shall be in substantially the following form:
UNITED STATES OF AMERICA
STATE OF MINNESOTA
RAMSEY COUNTY
CITY OF MAPLEWOOD
R-___ $_____________
GENERAL OBLIGATION BOND, SERIES 2016A
INTEREST
RATE
MATURITY
DATE
DATE OF
ORIGINAL ISSUE
CUSIP
% September 8, 2016
REGISTERED OWNER: CEDE & CO.
PRINCIPAL AMOUNT: _______________________________ DOLLARS
The City of Maplewood, Ramsey County, Minnesota (the "Issuer"), certifies that it
is indebted and for value received promises to pay to the registered owner specified
above, or registered assigns, in the manner hereinafter set forth, the principal amount
specified above, on the maturity date specified above, unless called for prepayment, and
to pay interest thereon semiannually on February 1 and August 1 of each year (each, an
"Interest Payment Date"), commencing August 1, 2017, at the rate per annum specified
above (calculated on the basis of a 360 day year of twelve 30 day months) until the
principal sum is paid or has been provided for. This Bond will bear interest from the
most recent Interest Payment Date to which interest has been paid or, if no interest has
been paid, from the date of original issue hereof. The principal of and premium, if any,
on this Bond are payable upon presentation and surrender hereof at the principal office
of U.S. Bank National Association, in St. Paul, Minnesota (the "Bond Registrar"), acting
as paying agent, or any successor paying agent duly appointed by the Issuer. Interest on
this Bond will be paid on each Interest Payment Date by check or draft mailed to the
person in whose name this Bond is registered (the "Holder" or "Bondholder") on the
August 8, 2016 16
City Council Meeting Minutes
registration books of the Issuer maintained by the Bond Registrar and at the address
appearing thereon at the close of business on the fifteenth day of the calendar month
next preceding such Interest Payment Date (the "Regular Record Date"). Any interest
not so timely paid shall cease to be payable to the person who is the Holder hereof as of
the Regular Record Date, and shall be payable to the person who is the Holder hereof at
the close of business on a date (the "Special Record Date") fixed by the Bond Registrar
whenever money becomes available for payment of the defaulted interest. Notice of the
Special Record Date shall be given to Bondholders not less than ten days prior to the
Special Record Date. The principal of and premium, if any, and interest on this Bond are
payable in lawful money of the United States of America. So long as this Bond is
registered in the name of the Depository or its Nominee as provided in the Resolution
hereinafter described, and as those terms are defined therein, payment of principal of,
premium, if any, and interest on this Bond and notice with respect thereto shall be made
as provided in the Letter of Representations, as defined in the Resolution, and surrender
of this Bond shall not be required for payment of the redemption price upon a partial
redemption of this Bond. Until termination of the book-entry only system pursuant to the
Resolution, Bonds may only be registered in the name of the Depository or its Nominee.
Redemption. The Bonds of this issue (the "Bonds") maturing on February 1,
2026, and thereafter, are subject to redemption and prepayment at the option of the
Issuer on February 1, 2025, and on any date thereafter at a price of par plus accrued
interest. Redemption may be in whole or in part of the Bonds subject to prepayment. If
redemption is in part, the maturities and the principal amounts within each maturity to be
redeemed shall be determined by the Issuer; and if only part of the Bonds having a
common maturity date are called for prepayment, the specific Bonds to be prepaid shall
be chosen by lot by the Bond Registrar. Bonds or portions thereof called for redemption
shall be due and payable on the redemption date, and interest thereon shall cease to
accrue from and after the redemption date. Mailed notice of redemption shall be given
to the paying agent and to each affected Holder of the Bonds prior to the date fixed for
redemption.
Prior to the date on which any Bond or Bonds are directed by the Issuer to be
redeemed in advance of maturity, the Issuer will cause notice of the call thereof for
redemption identifying the Bonds to be redeemed to be mailed to the Bond Registrar and
all Bondholders, at the addresses shown on the Bond Register. All Bonds so called for
redemption will cease to bear interest on the specified redemption date, provided funds
for their redemption have been duly deposited.
Selection of Bonds for Redemption; Partial Redemption. To effect a partial
redemption of Bonds having a common maturity date, the Bond Registrar shall assign to
each Bond having a common maturity date a distinctive number for each $5,000 of the
principal amount of such Bond. The Bond Registrar shall then select by lot, using such
method of selection as it shall deem proper in its discretion, from the numbers assigned
to the Bonds, as many numbers as, at $5,000 for each number, shall equal the principal
amount of such Bonds to be redeemed. The Bonds to be redeemed shall be the Bonds
to which were assigned numbers so selected; provided, however, that only so much of
the principal amount of such Bond of a denomination of more than $5,000 shall be
redeemed as shall equal $5,000 for each number assigned to it and so selected. If a
Bond is to be redeemed only in part, it shall be surrendered to the Bond Registrar (with,
if the Issuer or Bond Registrar so requires, a written instrument of transfer in form
satisfactory to the Issuer and Bond Registrar duly executed by the Holder thereof or the
August 8, 2016 17
City Council Meeting Minutes
Holder's attorney duly authorized in writing) and the Issuer shall execute (if necessary)
and the Bond Registrar shall authenticate and deliver to the Holder of such Bond,
without service charge, a new Bond or Bonds of the same series having the same stated
maturity and interest rate and of any Authorized Denomination or Denominations, as
requested by such Holder, in aggregate principal amount equal to and in exchange for
the unredeemed portion of the principal of the Bond so surrendered.
Issuance; Purpose; General Obligation. This Bond is one of an issue in the total
principal amount of $3,765,000, all of like date of original issue and tenor, except as to
number, maturity, interest rate, denomination and redemption privilege, which Bond has
been issued pursuant to and in full conformity with the Constitution and laws of the State
of Minnesota and pursuant to a resolution adopted by the City Council of the Issuer on
August 8, 2016 (the "Resolution"), for the purpose of providing money to finance the
construction of the capital improvements set forth in the City's Capital Improvement Plan,
various municipal improvements, and the acquisition of capital equipment. This Bond is
payable out of the General Obligation Bonds, Series 2016A Fund of the Issuer. This
Bond constitutes a general obligation of the Issuer, and to provide moneys for the
prompt and full payment of its principal, premium, if any, and interest when the same
become due, the full faith and credit and taxing powers of the Issuer have been and are
hereby irrevocably pledged.
Denominations; Exchange; Resolution. The Bonds are issuable solely in fully
registered form in Authorized Denominations (as defined in the Resolution) and are
exchangeable for fully registered Bonds of other Authorized Denominations in equal
aggregate principal amounts at the principal office of the Bond Registrar, but only in the
manner and subject to the limitations provided in the Resolution. Reference is hereby
made to the Resolution for a description of the rights and duties of the Bond Registrar.
Copies of the Resolution are on file in the principal office of the Bond Registrar.
Transfer. This Bond is transferable by the Holder in person or by the Holder's
attorney duly authorized in writing at the principal office of the Bond Registrar upon
presentation and surrender hereof to the Bond Registrar, all subject to the terms and
conditions provided in the Resolution and to reasonable regulations of the Issuer
contained in any agreement with the Bond Registrar. Thereupon the Issuer shall
execute and the Bond Registrar shall authenticate and deliver, in exchange for this
Bond, one or more new fully registered Bonds in the name of the transferee (but not
registered in blank or to "bearer" or similar designation), of an Authorized Denomination
or Denominations, in aggregate principal amount equal to the principal amount of this
Bond, of the same maturity and bearing interest at the same rate.
Fees upon Transfer or Loss. The Bond Registrar may require payment of a sum
sufficient to cover any tax or other governmental charge payable in connection with the
transfer or exchange of this Bond and any legal or unusual costs regarding transfers and
lost Bonds.
Treatment of Registered Owners. The Issuer and Bond Registrar may treat the
person in whose name this Bond is registered as the owner hereof for the purpose of
receiving payment as herein provided (except as otherwise provided herein with respect
to the Record Date) and for all other purposes, whether or not this Bond shall be
overdue, and neither the Issuer nor the Bond Registrar shall be affected by notice to the
contrary.
August 8, 2016 18
City Council Meeting Minutes
Authentication. This Bond shall not be valid or become obligatory for any
purpose or be entitled to any security unless the Certificate of Authentication hereon
shall have been executed by the Bond Registrar.
Qualified Tax-Exempt Obligation. This Bond has been designated by the Issuer
as a "qualified tax-exempt obligation" for purposes of Section 265(b)(3) of the Internal
Revenue Code of 1986, as amended.
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 issuance of this Bond, have been done,
have happened and have been performed, in regular and due form, time and manner as
required by law; and that this Bond, together with all other debts of the Issuer
outstanding on the date of original issue hereof and the date of its issuance and delivery
to the original purchaser, does not exceed any constitutional or statutory limitation of
indebtedness.
IN WITNESS WHEREOF, the City of Maplewood, Ramsey County, Minnesota,
by its City Council has caused this Bond to be executed on its behalf by the facsimile
signatures of its Mayor and its City Clerk, the corporate seal of the Issuer having been
intentionally omitted as permitted by law.
Date of Registration
____________________
BOND REGISTRAR'S
CERTIFICATE OF
AUTHENTICATION
This Bond is one of the
Bonds described in the
Resolution mentioned
within.
U.S. BANK NATIONAL
ASSOCIATION
St. Paul, Minnesota
Bond Registrar
By: ________________________
Authorized Signature
Registrable by: U.S. BANK NATIONAL
ASSOCIATION
Payable at: U.S. BANK NATIONAL
ASSOCIATION
CITY OF MAPLEWOOD,
RAMSEY COUNTY, MINNESOTA
/s/ Facsimile
Mayor
/s/ Facsimile
Clerk
___________________________________________________________
ABBREVIATIONS
The following abbreviations, when used in the inscription on the face of this
Bond, shall be construed as though they were written out in full according to applicable
laws or regulations:
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City Council Meeting Minutes
TEN COM - as tenants in common
TEN ENT - as tenants by the entireties
JT TEN - as joint tenants with right of survivorship
and not as tenants in common
UTMA - ___________ as custodian for _____________
(Cust) (Minor)
under the _____________________ Uniform
(State)
Transfers to Minors Act
Additional abbreviations may also be used though not in the above list.
____________________________________________________________________
ASSIGNMENT
For value received, the undersigned hereby sells, assigns and transfers unto
________________________________________________________________ the
within Bond and does hereby irrevocably constitute and appoint _________________
attorney to transfer the Bond on the books kept for the registration thereof, with full
power of substitution in the premises.
Dated:_____________________
Notice: The assignor's signature to this assignment must
correspond with the name as it appears upon the face
of the within Bond in every particular, without
alteration or any change whatever.
Signature Guaranteed:
___________________________
Signature(s) must be guaranteed by a national bank or trust company or by a brokerage
firm having a membership in one of the major stock exchanges or any other "Eligible
Guarantor Institution" as defined in 17 CFR 240.17 Ad-15(a)(2).
The Bond Registrar will not effect transfer of this Bond unless the information
concerning the transferee requested below is provided.
Name and Address:
(Include information for all joint owners
if the Bond is held by joint account.)
8. Execution. The Bonds shall be in typewritten form, shall be executed on
behalf of the City by the signatures of its Mayor and Clerk and be sealed with the seal of
the City; provided, as permitted by law, both signatures may be photocopied facsimiles
and the corporate seal has been omitted. In the event of disability or resignation or other
absence of either officer, the Bonds may be signed by the manual or facsimile signature
of the officer who may act on behalf of the absent or disabled officer. In case either
officer whose signature or facsimile of whose signature shall appear on the Bonds shall
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City Council Meeting Minutes
cease to be such officer before the delivery of the Bonds, the signature or facsimile shall
nevertheless be valid and sufficient for all purposes, the same as if the officer had
remained in office until delivery.
9. Authentication. No Bond shall be valid or obligatory for any purpose or be
entitled to any security or benefit under this resolution unless a Certificate of
Authentication on such Bond, substantially in the form hereinabove set forth, shall have
been duly executed by an authorized representative of the Bond Registrar. Certificates
of Authentication on different Bonds need not be signed by the same person. The Bond
Registrar shall authenticate the signatures of officers of the City on each Bond by
execution of the Certificate of Authentication on the Bond and by inserting as the date of
registration in the space provided the date on which the Bond is authenticated, except
that for purposes of delivering the original Bonds to the Purchaser, the Bond Registrar
shall insert as a date of registration the date of original issue, which date is September 8,
2016. The Certificate of Authentication so executed on each Bond shall be conclusive
evidence that it has been authenticated and delivered under this resolution.
10. Registration; Transfer; Exchange. The City will cause to be kept at the
principal office of the Bond Registrar a bond register in which, subject to such
reasonable regulations as the Bond Registrar may prescribe, the Bond Registrar shall
provide for the registration of Bonds and the registration of transfers of Bonds entitled to
be registered or transferred as herein provided.
Upon surrender for transfer of any Bond at the principal office of the Bond
Registrar, the City shall execute (if necessary), and the Bond Registrar shall
authenticate, insert the date of registration (as provided in paragraph 9 of, and deliver, in
the name of the designated transferee or transferees, one or more new Bonds of any
Authorized Denomination or Denominations of a like aggregate principal amount, having
the same stated maturity and interest rate, as requested by the transferor; provided,
however, that no Bond may be registered in blank or in the name of "bearer" or similar
designation.
At the option of the Holder, Bonds may be exchanged for Bonds of any
Authorized Denomination or Denominations of a like aggregate principal amount and
stated maturity, upon surrender of the Bonds to be exchanged at the principal office of
the Bond Registrar. Whenever any Bonds are so surrendered for exchange, the City
shall execute (if necessary), and the Bond Registrar shall authenticate, insert the date of
registration of, and deliver the Bonds which the Holder making the exchange is entitled
to receive.
All Bonds surrendered upon any exchange or transfer provided for in this
resolution shall be promptly cancelled by the Bond Registrar and thereafter disposed of
as directed by the City.
All Bonds delivered in exchange for or upon transfer of Bonds shall be valid
general obligations of the City evidencing the same debt, and entitled to the same
benefits under this resolution, as the Bonds surrendered for such exchange or transfer.
Every Bond presented or surrendered for transfer or exchange shall be duly
endorsed or be accompanied by a written instrument of transfer, in form satisfactory to
the Bond Registrar, duly executed by the Holder thereof or his, her or its attorney duly
authorized in writing.
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The Bond Registrar may require payment of a sum sufficient to cover any tax or
other governmental charge payable in connection with the transfer or exchange of any
Bond and any legal or unusual costs regarding transfers and lost Bonds.
Transfers shall also be subject to reasonable regulations of the City contained in
any agreement with the Bond Registrar, including regulations which permit the Bond
Registrar to close its transfer books between record dates and payment dates. The
Finance Director is hereby authorized to negotiate and execute the terms of said
agreement.
11. Rights Upon Transfer or Exchange. Each Bond delivered upon transfer
of or in exchange for or in lieu of any other Bond shall carry all the rights to interest
accrued and unpaid, and to accrue, which were carried by such other Bond.
12. Interest Payment; Record Date. Interest on any Bond shall be paid on
each Interest Payment Date by check or draft mailed to the person in whose name the
Bond is registered (the "Holder") on the registration books of the City maintained by the
Bond Registrar and at the address appearing thereon at the close of business on the
fifteenth day of the calendar month next preceding such Interest Payment Date (the
"Regular Record Date"). Any such interest not so timely paid shall cease to be payable
to the person who is the Holder thereof as of the Regular Record Date, and shall be
payable to the person who is the Holder thereof at the close of business on a date (the
"Special Record Date") fixed by the Bond Registrar whenever money becomes available
for payment of the defaulted interest. Notice of the Special Record Date shall be given
by the Bond Registrar to the Holders not less than ten days prior to the Special Record
Date.
13. Treatment of Registered Owner. The City and Bond Registrar may treat
the person in whose name any Bond is registered as the owner of such Bond for the
purpose of receiving payment of principal of and premium, if any, and interest (subject to
the payment provisions in paragraph 12 above) on, such Bond and for all other purposes
whatsoever whether or not such Bond shall be overdue, and neither the City nor the
Bond Registrar shall be affected by notice to the contrary.
14. Delivery; Application of Proceeds. The Bonds when so prepared and
executed shall be delivered by the Finance Director to the Purchaser upon receipt of the
purchase price, and the Purchaser shall not be obliged to see to the proper application
thereof.
15. Fund and Accounts. There is hereby created a special fund to be
designated the "General Obligation Bonds, Series 2016A Fund" (the "Fund") to be
administered and maintained by the Finance Director as a bookkeeping account
separate and apart from all other funds maintained in the official financial records of the
City. The Fund shall be maintained in the manner herein specified until all of the Bonds
and the interest thereon have been fully paid. There shall be maintained in the Fund two
(2) separate accounts, to be designated the "Capital Account" and "Debt Service
Account", respectively.
(i) Capital Account. To the Capital Account there shall be credited
the proceeds of the sale of the Bonds, less any amount paid for the Bonds in
excess of the minimum bid, plus any special assessments levied with respect to
the Improvements and collected prior to completion of the Improvements and
August 8, 2016 22
City Council Meeting Minutes
payment of the costs thereof. From the Capital Account there shall be paid all
costs and expenses of making the the Capital Improvements, the Improvements
and acquiring the Equipment, including the cost of any construction or other
contracts heretofore let and all other costs incurred and to be incurred of the kind
authorized in Minnesota Statutes, Section 475.65. Moneys in the Capital
Account shall be used for no other purpose except as otherwise provided by law;
provided that the proceeds of the Bonds may also be used to the extent
necessary to pay interest on the Bonds due prior to the anticipated date of
commencement of the collection of taxes or special assessments herein levied or
covenanted to be levied; and provided further that if upon completion of the
Capital Improvements or Improvements there shall remain any unexpended
balance in the Capital Account attributable to the CIP Portion or the Improvement
Portion of the Bonds, the balance (other than any special assessments) shall be
transferred to the Debt Service Account or may be transferred by the Council to
the fund of any other improvement instituted pursuant to Minnesota Statutes,
Chapter 429, and provided further that any special assessments credited to the
Capital Account shall only be applied towards payment of the costs of the
Improvements upon adoption of a resolution by the City Council determining that
the application of the special assessments for such purpose will not cause the
City to no longer be in compliance with Minnesota Statutes, Section 475.61,
Subdivision 1.
(ii) Debt Service Account. There shall be maintained three separate
subaccounts in the Debt Service Account to be designated the "Capital
Improvement Debt Service Subaccount", the "Improvement Debt Service
Subaccount", and the "Equipment Debt Service Subaccount". There are hereby
irrevocably appropriated and pledged to, and there shall be credited to the
separate subaccounts of the Debt Service Account:
(a) Capital Improvement Debt Service Subaccount. To the Capital
Improvement Debt Service Subaccount there shall be credited: (A) a pro rata
share of all funds paid for the Bonds in excess of the minimum bid; (B) all taxes
herein and hereafter levied for the payment of the CIP Portion of the Bonds; (C) a
pro rata share of all funds remaining in the Capital Account after completion of
the Capital Improvements and payment of the costs thereof; (D) all investment
earnings on funds held in the Capital Improvement Debt Service Subaccount;
and (E) any and all other moneys which are properly available and are
appropriated by the governing body of the City to the Capital Improvement Debt
Service Subaccount. The Capital Improvement Debt Service Subaccount shall
be used solely to pay the principal and interest and any premiums for redemption
of the CIP Portion of the Bonds.
(b) Improvement Debt Service Subaccount. To the Improvement
Debt Service Subaccount there shall be credited: (A) a pro rata share of all
funds paid for the Bonds in excess of the minimum bid; (B) all collections of
special assessments herein covenanted to be levied with respect to the
Improvements and either initially credited to the Capital Account and not already
spent as permitted above and required to pay any principal and interest due on
the Bonds or collected subsequent to the completion of the Improvements and
payment of the costs thereof; (C) any collections of all taxes which herein or
hereafter levied for the payment of the principal and interest on the Improvement
August 8, 2016 23
City Council Meeting Minutes
Portion of the Bonds; (D) a pro rata share of all funds remaining in the Capital
Account after completion of the Improvements and payment of the costs thereof;
(E) all investment earnings on funds held in the Improvement Debt Service
Subaccount; and (F) any and all other moneys which are properly available and
are appropriated by the governing body of the City to the Improvement Debt
Service Subaccount. The Improvement Debt Service Subaccount shall be used
solely to pay the principal and interest and any premium for redemption of the
Improvement Portion of the Bonds and any other general obligation bonds of the
City hereafter issued by the City and made payable from said subaccount as
provided by law.
(c) Equipment Debt Service Subaccount. To the Equipment Debt
Service Subaccount there shall be credited: (A) a pro rata share of all funds paid
for the Bonds in excess of the minimum bid; (B) all taxes herein and hereafter
levied for the payment of the Equipment Portion of the Bonds; (C) a pro rata
share of all funds remaining in the Capital Account after acquisition of the
Equipment and payment of the costs thereof; (D) all investment earnings on
funds held in the Equipment Debt Service Subaccount; and (E) any and all other
moneys which are properly available and are appropriated by the governing body
of the City to the Equipment Debt Service Subaccount. The Equipment Debt
Service Subaccount shall be used solely to pay the principal and interest and any
premiums for redemption of the Equipment Portion of the Bonds.
No portion of the proceeds of the Bonds shall be used directly or indirectly to
acquire higher yielding investments or to replace funds which were used directly or
indirectly to acquire higher yielding investments, except (1) for a reasonable temporary
period until such proceeds are needed for the purpose for which the Bonds were issued
and (2) in addition to the above in an amount not greater than the lesser of five percent
(5%) of the proceeds of the Bonds or $100,000. To this effect any special assessments
against benefitted properties are also pledged to the Debt Service Account, in excess of
amounts which under then-applicable federal arbitrage regulations may be invested
without regard to yield shall not be invested at a yield in excess of the applicable yield
restrictions imposed by said arbitrage regulations on such investments after taking into
account any applicable "temporary periods" or "minor portion" made available under the
federal arbitrage regulations. Money in the Fund shall not be invested in obligations or
deposits issued by, guaranteed by or insured by the United States or any agency or
instrumentality thereof if and to the extent that such investment would cause the Bonds
to be "federally guaranteed" within the meaning of Section 149(b) of the Internal
Revenue Code of 1986, as amended (the "Code").
16. Covenants as to the Improvement Portion of the Bonds.
(a) Assessments. It is hereby determined that a portion of the cost to the
City of the Improvements financed hereunder within the meaning of Minnesota Statutes,
Section 475.58, Subdivision 1(3), shall be paid by special assessments to be heretofore
levied against every assessable lot, piece and parcel of land benefitted by the
Improvements. The City hereby covenants and agrees that it will let all construction
contracts not heretofore let within one year after ordering the Improvements financed
hereunder unless the resolution ordering the Improvements specifies a different time
August 8, 2016 24
City Council Meeting Minutes
limit for the letting of construction contracts. The City hereby further covenants 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 irregularity in any action or proceedings taken or to be
taken by the City or the City Council or any of the City officers or employees, either in
the making of the assessments or in the performance of any condition precedent thereto,
the City and the City Council will forthwith do all further acts and take all further
proceedings as may be required by law to make the assessments a valid and binding
lien upon such property. It is hereby determined that the assessments are payable in
equal, consecutive installments of principal, with general taxes for the years shown
below, and with interest on the declining balance of all such assessments at a rate per
annum not greater than the maximum permitted by law and not less than 3.82% per
annum:
Improvements
Designation Amount
Levy
Years
Collection
Years
Sterling Street & Beebe
Road
$1,117,715 2016-2030 2017-2031
At the time the assessments are in fact levied the City Council shall, based on
the then-current estimated collections of the assessments, make any adjustments in any
ad valorem taxes required to be levied in order to assure that the City continues to be in
compliance with Minnesota Statutes, Section 475.61, Subdivision 1.
(b) Tax Levy; Coverage Test. To provide moneys for payment of the
principal and interest on the Improvement Portion of the Bonds there is hereby levied
upon all of the taxable property in the City 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 the City for the years and in the amounts as follows:
Levy Years Collection Years Amount
2016-2030 2017-2031 See attached schedule
The tax levies are such that if collected in full they, together with special
assessments and other revenues herein pledged for the payment of the Improvement
Portion of the Bonds, will produce at least five percent (5%) in excess of the amount
needed to meet when due the principal and interest payments on the Improvement
Portion of the Bonds. The tax levies shall be irrepealable so long as the Improvement
Portion of the Bonds are outstanding and unpaid, provided that the City reserves the
right and power to reduce the levies in the manner and to the extent permitted by
Minnesota Statutes, Section 475.61, Subdivision 3.
(c) General Obligation Pledge. For the prompt and full payment of the
principal and interest on the Improvement Portion of the Bonds, as the same
respectively become due, the full faith, credit and taxing powers of the City shall be and
are hereby irrevocably pledged. If the balance in the Improvement Debt Service
Subaccount is ever insufficient to pay all principal and interest then due on the
Improvement Portion of the Bonds and any other bonds payable therefrom, the
deficiency shall be promptly paid out of any other funds of the City which are available
August 8, 2016 25
City Council Meeting Minutes
for such purpose, and such other funds may be reimbursed with or without interest from
the Improvement Debt Service Subaccount when a sufficient balance is available
therein.
17. Covenants as to the CIP Portion of the Bonds.
(a) Tax Levy; Coverage Test. To provide moneys for payment of the
principal and interest on the CIP Portion of the Bonds there is hereby levied upon all of
the taxable property in the City 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 the
City for the years and in the amounts as follows:
Levy Years Collection Years Amount
2016-2030 2017-2031 See attached schedule
The tax levies are such that if collected in full they, together with other revenues herein
pledged for the payment of the CIP Portion of the Bonds, will produce at least five
percent (5%) in excess of the amount needed to meet when due the principal and
interest payments on the CIP Portion of the Bonds. The tax levies shall be irrepealable
so long as the CIP Portion of the Bonds are outstanding and unpaid, provided that the
City reserves the right and power to reduce the levies in the manner and to the extent
permitted by Minnesota Statutes, Section 475.61, Subdivision 3.
(b) General Obligation Pledge. For the prompt and full payment of the
principal and interest on the CIP Portion of the Bonds, as the same respectively become
due, the full faith, credit and taxing powers of the City shall be and are hereby
irrevocably pledged. If the balance in the Capital Improvement Debt Service
Subaccount is ever insufficient to pay all principal and interest then due on the CIP
Portion of the Bonds and any other bonds payable therefrom, the deficiency shall be
promptly paid out of any other funds of the City which are available for such purpose,
and such other funds may be reimbursed with or without interest from the Capital
Improvement Debt Service Subaccount when a sufficient balance is available therein.
18. Covenants as to the Equipment Portion of the Bonds.
(a) Tax Levy; Coverage Test. To provide moneys for payment of the
principal and interest on the Equipment Portion of the Bonds there is hereby levied upon
all of the taxable property in the City 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 the City for the years and in the amounts as follows:
Levy Years Collection Years Amount
2016-2020 2017-2021 See attached schedule
The tax levies are such that if collected in full they, together with other revenues
herein pledged for the payment of the Equipment Portion of the Bonds, will produce at
least five percent (5%) in excess of the amount needed to meet when due the principal
and interest payments on the Equipment Portion of the Bonds. The tax levies shall be
irrepealable so long as the Equipment Portion of the Bonds are outstanding and unpaid,
provided that the City reserves the right and power to reduce the levies in the manner
and to the extent permitted by Minnesota Statutes, Section 475.61, Subdivision 3.
August 8, 2016 26
City Council Meeting Minutes
(b) General Obligation Pledge. For the prompt and full payment of the
principal and interest on the Equipment Portion of the Bonds, as the same respectively
become due, the full faith, credit and taxing powers of the City shall be and are hereby
irrevocably pledged. If the balance in the Equipment Debt Service Subaccount is ever
insufficient to pay all principal and interest then due on the Equipment Portion of the
Bonds and any other bonds payable therefrom, the deficiency shall be promptly paid out
of any other funds of the City which are available for such purpose, and such other funds
may be reimbursed with or without interest from the Equipment Debt Service
Subaccount when a sufficient balance is available therein.
19. Certificate of Registration and Tax Levy. The 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 or she shall require, and to obtain
the County Auditor's certificate that the Bonds have been entered in the County Auditor's
Bond Register and the tax levy required by law has been made.
20. Records and Certificates. The officers of the City are hereby authorized
and directed to prepare and furnish to the Purchaser, and to the attorneys approving the
legality of the issuance of the Bonds, certified copies of all proceedings and records of
the City relating to the Bonds and to the financial condition and affairs of the City, and
such other affidavits, certificates and information as are required to show the facts
relating to the legality and marketability of the 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 representations of the City as to the facts recited therein.
21. Defeasance. When all Bonds have been discharged as provided in this
paragraph, all pledges, covenants and other rights granted by this resolution to the
registered holders of the Bonds shall, to the extent permitted by law, cease. The City
may discharge its obligations with respect to any Bonds which are due on any date by
irrevocably depositing with the Bond Registrar on or before that date a sum sufficient for
the payment thereof in full; or if any Bond should not be paid when due, it may
nevertheless be discharged by depositing with the Bond Registrar a sum sufficient for
the payment thereof in full with interest accrued to the date of such deposit. The City
may also discharge its obligations with respect to any prepayable Bonds called for
redemption on any date when they are prepayable according to their terms, by
depositing with the Bond Registrar on or before that date a sum sufficient for the
payment thereof in full, provided that notice of redemption thereof has been duly given.
The City may also at any time discharge its obligations with respect to any Bonds,
subject to the provisions of law now or hereafter authorizing and regulating such action,
by depositing irrevocably in escrow, with a suitable banking institution qualified by law as
an escrow agent for this purpose, cash or securities described in Minnesota Statutes,
Section 475.67, Subdivision 8, bearing interest payable at such times and at such rates
and maturing on such dates as shall be required, subject to sale and/or reinvestment, to
pay all amounts to become due thereon to maturity or, if notice of redemption as herein
required has been duly provided for, to such earlier redemption date.
22. Negative Covenant as to Use of Proceeds and Projects. The City hereby
covenants not to use the proceeds of the Bonds or to use the Capital Improvements,
Improvements or the Equipment, or to cause or permit them to be used, or to enter into
any deferred payment arrangements for the cost of the Capital Improvements, the
August 8, 2016 27
City Council Meeting Minutes
Improvements or the Equipment, in such a manner as to cause the Bonds to be "private
activity bonds" within the meaning of Sections 103 and 141 through 150 of the Code.
23. Continuing Disclosure. The City is the sole obligated person with respect
to the Bonds. The City hereby agrees, in accordance with the provisions of Rule 15c2-
12 (the "Rule"), promulgated by the Securities and Exchange Commission (the
"Commission") pursuant to the Securities Exchange Act of 1934, as amended, and a
Continuing Disclosure Undertaking (the "Undertaking") hereinafter described to:
(a) Provide or cause to be provided to the Municipal Securities Rulemaking
Board (the "MSRB") by filing at www.emma.msrb.org in accordance with the Rule,
certain annual financial information and operating data in accordance with the
Undertaking. The City reserves the right to modify from time to time the terms of the
Undertaking as provided therein.
(b) Provide or cause to be provided to the MSRB notice of the occurrence of
certain events with respect to the Bonds in not more than ten (10) business days after
the occurrence of the event, in accordance with the Undertaking.
(c) Provide or cause to be provided to the MSRB notice of a failure by the
City to provide the annual financial information with respect to the City described in the
Undertaking, in not more than ten (10) business days following such amendment.
(d) The City agrees that its covenants pursuant to the Rule set forth in this
paragraph and in the Undertaking is intended to be for the benefit of the Holders of the
Bonds and shall be enforceable on behalf of such Holders; provided that the right to
enforce the provisions of these covenants shall be limited to a right to obtain specific
enforcement of the City's obligations under the covenants.
The Mayor and Clerk of the City, or any other officer of the City authorized to act
in their place (the "Officers") are hereby authorized and directed to execute on behalf of
the City the Undertaking in substantially the form presented to the City Council subject to
such modifications thereof or additions thereto as are (i) consistent with the
requirements under the Rule, (ii) required by the Purchaser of the Bonds, and (iii)
acceptable to the Officers.
24. Tax-Exempt Status of the Bonds; Rebate. The City shall comply with
requirements necessary under the Code to establish and maintain the exclusion from
gross income under Section 103 of the Code of the interest on the Bonds, including
without limitation (a) requirements relating to temporary periods for investments, (b)
limitations on amounts invested at a yield greater than the yield on the Bonds, and (c)
the rebate of excess investment earnings to the United States. The City expects to
satisfy the twenty four month expenditure exemption for gross proceeds of the Bonds as
provided in Section 1.148-7(d)(1) of the Regulations. If any elections are available now
or hereafter with respect to arbitrage or rebate matters relating to the Bonds, the Mayor,
the Finance Director, or either of them, are hereby authorized and directed to make such
elections as they deem necessary, appropriate or desirable in connection with the
Bonds, and all such elections shall be, and shall be deemed and treated as, elections of
the City.
August 8, 2016 28
City Council Meeting Minutes
25. Designation of Qualified Tax-Exempt Obligations. In order to qualify the
Bonds as "qualified tax-exempt obligations" within the meaning of Section 265(b)(3) of
the Code, the City hereby makes the following factual statements and representations:
(a) the Bonds are issued after August 7, 1986;
(b) the Bonds are not "private activity bonds" as defined in Section 141 of the
Code;
(c) the City hereby designates the Bonds as "qualified tax-exempt
obligations" for purposes of Section 265(b)(3) of the Code;
(d) the reasonably anticipated amount of tax-exempt obligations (other than
private activity bonds, treating qualified 501(c)(3) bonds as not being private activity
bonds) which will be issued by the City (and all entities treated as one issuer with the
City, and all subordinate entities whose obligations are treated as issued by the City)
during this calendar year 2016 will not exceed $10,000,000; and
(e) not more than $10,000,000 of obligations issued by the City during this
calendar year 2016 have been designated for purposes of Section 265(b)(3) of the
Code.
(f) the aggregate face amount of the Bonds does not exceed $10,000,000.
The City shall use its best efforts to comply with any federal procedural requirements
which may apply in order to effectuate the designation made by this paragraph.
26. Compliance with Reimbursement Bond Regulations. The provisions of
this paragraph are intended to establish and provide for the City's compliance with
United States Treasury Regulations Section 1.150-2 (the "Reimbursement Regulations")
applicable to the "reimbursement proceeds" of the Bonds, being those portions thereof
which will be used by the City to reimburse itself for any expenditure which the City paid
or will have paid prior to the Closing Date (a "Reimbursement Expenditure").
The City hereby certifies and/or covenants as follows:
(a) Not later than sixty days after the date of payment of a Reimbursement
Expenditure, the City (or person designated to do so on behalf of the City) has made or
will have made a written declaration of the City's official intent (a "Declaration") which
effectively (i) states the City's reasonable expectation to reimburse itself for the payment
of the Reimbursement Expenditure out of the proceeds of a subsequent borrowing; (ii)
gives a general and functional description of the property, project or program to which
the Declaration relates and for which the Reimbursement Expenditure is paid, or
identifies a specific fund or account of the City and the general functional purpose
thereof from which the Reimbursement Expenditure was to be paid (collectively the
"Project"); and (iii) states the maximum principal amount of debt expected to be issued
by the City for the purpose of financing the Project; provided, however, that no such
Declaration shall necessarily have been made with respect to: (i) "preliminary
expenditures" for the Project, defined in the Reimbursement Regulations to include
engineering or architectural, surveying and soil testing expenses and similar prefatory
costs, which in the aggregate do not exceed twenty percent of the "issue price" of the
August 8, 2016 29
City Council Meeting Minutes
Bonds, and (ii) a de minimis amount of Reimbursement Expenditures not in excess of
the lesser of $100,000 or 5% of the proceeds of the Bonds.
(b) Each Reimbursement Expenditure is a capital expenditure or a cost of
issuance of the Bonds or any of the other types of expenditures described in Section
1.150-2(d)(3) of the Reimbursement Regulations.
(c) The "reimbursement allocation" described in the Reimbursement
Regulations for each Reimbursement Expenditure shall and will be made forthwith
following (but not prior to) the issuance of the Bonds and in all events within the period
ending on the date which is the later of three years after payment of the Reimbursement
Expenditure or one year after the date on which the Project to which the Reimbursement
Expenditure relates is first placed in service.
(d) Each such reimbursement allocation will be made in a writing that
evidences the City's use of Bond proceeds to reimburse the Reimbursement
Expenditure and, if made within 30 days after the Bonds are issued, shall be treated as
made on the day the Bonds are issued.
Provided, however, that the City may take action contrary to any of the foregoing
covenants in this paragraph upon receipt of an opinion of its Bond Counsel for the Bonds
stating in effect that such action will not impair the tax-exempt status of the Bonds.
27. Severability. If any section, paragraph or provision of this resolution shall
be held to be invalid or unenforceable for any reason, the invalidity or unenforceability of
such section, paragraph or provision shall not affect any of the remaining provisions of
this resolution.
28. Headings. Headings in this resolution are included for convenience of
reference only and are not a part hereof, and shall not limit or define the meaning of any
provision hereof.
Seconded by Councilmember Smith Ayes – All
The motion passed.
Councilmember Smith moved to approve the resolution for 2016B refunding bonds that
will serve the following purpose:
Advance refunding bonds in the amount of $5,775,000 will be used to refund
maturities of existing G.O. Bonds, Series 2007A and 2008A.
Resolution 16-08-1374
RESOLUTION PROVIDING FOR THE ISSUANCE AND SALE OF
$5,775,000 GENERAL OBLIGATION REFUNDING BONDS,
SERIES 2016B, PLEDGING FOR THE SECURITY THEREOF SPECIAL
ASSESSMENTS AND LEVYING A TAX FOR THE PAYMENT THEREOF
A. WHEREAS, the City Council of the City of Maplewood, Minnesota (the
"City"), hereby determines and declares that it is necessary and expedient to issue
$5,775,000 General Obligation Refunding Bonds, Series 2016B (the "Bonds" or
individually, a "Bond") pursuant to Minnesota Statutes Chapter 475 to provide moneys
for a crossover refunding of the City's (i) $10,060,000 original principal amount General
August 8, 2016 30
City Council Meeting Minutes
Obligation Improvement Bonds, Series 2007A, dated July 1, 2007 (the “Prior 2007A
Bonds”), which mature or are subject to mandatory redemption on and after April 1, 2018
(the “2007A Refunding Portion of the Bonds); and (ii) $9,970,000 original principal
amount of General Obligation Bonds, Series 2008A, dated July 1, 2008 (the "Prior
2008A Bonds") maturing on and after April 1, 2019, consisting of (a) an "Improvement
Portion" (the "2008A Improvement Refunding Portion of the Bonds") to which special
assessments were pledged and (b) a "State-Aid Portion" (the "2008A State-Aid
Refunding Portion of the Bonds") to which revenues were pledged pursuant to
Minnesota Statutes, Section 162.18, which Prior 2008A Bonds mature on and after April
1, 2019 (together, the "Refunding Portion of the Prior 2008A Bonds"); and
B. WHEREAS, $2,490,000 aggregate principal amount of the Prior 2007A
Bonds which mature or are subject to mandatory redemption on and after February 1,
2018 (the “Refunded 2007A Bonds”), is callable on August 1, 2017 (the "August 1, 2017
Crossover Date"), at a price of par plus accrued interest, as provided in the resolution
adopted on June 11, 2007, authorizing the issuance of the Prior 2007A Bonds (the "Prior
2007A Resolution"); and
C. WHEREAS, $3,545,000 aggregate principal amount of the Prior 2008A
Bonds which mature on and after April 1, 2019 (the "Refunded 2008A Bonds", and
together with the Refunded 2007A Bonds, the “Refunded Bonds”), is callable on April 1,
2018 (the "April 1, 2018 Crossover Date", and together with the August 1, 2017
Crossover Date, the “Crossover Dates”), at a price of par plus accrued interest, as
provided in the resolution adopted on June 9, 2008, authorizing the issuance of the Prior
2008A Bonds (the "Prior 2008A Resolution", and together with the Prior 2007A
Resolution, the “Prior Resolutions”); and
D. WHEREAS, the crossover refunding of the Refunded 2007A Bonds on the
August 1, 2017 Crossover Date is consistent with covenants made with the holders
thereof, and is necessary and desirable for the reduction of debt service cost to the City;
and
E. WHEREAS, the crossover refunding of the Refunded 2008A Bonds on the
April 1, 2018 Crossover Date is consistent with covenants made with the holders thereof,
and is necessary and desirable for the reduction of debt service cost to the City; and
F. WHEREAS, the average annual amount of principal and interest due in all
subsequent calendar years on the 2008A State-Aid Refunding Portion of the Bonds, and
on all other bonds (if any) payable from the City's account in the Municipal State-Aid
Street Fund ($607,578) does not exceed 90% of the amount of the last annual allotment
preceding the issuance of the 2008A State-Aid Refunding Portion of the Bonds received
by the City from the Municipal State-Aid Street Fund Construction Account ($1,250,271);
and
G. WHEREAS, the City Council hereby determines and declares that it is
necessary and expedient to issue $5,775,000 General Obligation Refunding Bonds,
Series 2016B (the "Bonds" or individually, a "Bond"), pursuant to Minnesota Statutes,
Chapter 475, Section 162.18, and Chapter 429 to provide moneys for a crossover
refunding of the Refunded Bonds; and
August 8, 2016 31
City Council Meeting Minutes
H. WHEREAS, the City has retained Springsted Incorporated, in St. Paul,
Minnesota ("Springsted"), as its independent financial advisor for the sale of the Bonds
and was therefore authorized to sell the Bonds by private negotiation in accordance with
Minnesota Statutes, Section 475.60, Subdivision 2(9) and proposals to purchase the
Bonds have been solicited by Springsted; and
I. WHEREAS, the proposals set forth on Attachment A attached hereto were
received by the City Clerk, or designee, at the offices of Springsted, at 10:00 a.m. this
same day pursuant to the Terms of Proposal established for the Bonds; and
J. WHEREAS, it is in the best interests of the City that the Bonds be issued in
book-entry form as hereinafter provided; and
NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Maplewood,
Minnesota, as follows:
1. Acceptance of Proposal. The proposal of Piper Jaffray & Co. in Minneapolis,
Minnesota (the "Purchaser"), to purchase the Bonds, in accordance with the Terms of
Proposal established for the Bonds, at the rates of interest hereinafter set forth, and to
pay therefor the sum of $6,247,424.40, plus interest accrued to settlement, is hereby
found, determined and declared to be the most favorable proposal received, is hereby
accepted and the Bonds are hereby awarded to the Purchaser. The Finance Director is
directed to retain the deposit of the Purchaser and to forthwith return to the unsuccessful
bidders any good faith checks or drafts.
2. Bond Terms.
(a) Original Issue Date; Denominations; Maturities. The Bonds shall be
dated September 8, 2016, as the date of original issue, shall be issued forthwith on or
after such date in fully registered form, shall be numbered from R-1 upward in the
denomination of $5,000 each or in any integral multiple thereof of a single maturity (the
"Authorized Denominations") and shall mature, without option of prepayment, on April 1
in the years and amounts as follows:
Year Amount
2018 $385,000
2019 970,000
2020 960,000
2021 950,000
2022 980,000
2023 980,000
2024 550,000
As may be requested by the Purchaser, one or more term Bonds may be issued
having mandatory sinking fund redemption and final maturity amounts conforming to the
foregoing principal repayment schedule, and corresponding additions may be made to
the provisions of the applicable Bond(s).
(b) Allocation of Bonds; Allocation of Prepayments to Portions of Debt
Service. The 2007A Refunding Portion of the Bonds in the aggregate principal amount
of 2,370,000 maturing in each of the years and amounts hereinafter set forth, is issued
August 8, 2016 32
City Council Meeting Minutes
to refund the Prior 2007A Bonds. The Improvement Refunding Portion of the Bonds,
being the aggregate principal amount of $3,405,000, is further bifurcated as follows: (i)
the 2008A Improvement Refunding Portion of the Bonds in the aggregate principal
amount of $1,860,000 maturing in each of the years and amounts hereinafter set forth, is
issued to refund the 2008A Improvement Refunding Portion of the Prior Bonds, and (ii)
the 2008A State-Aid Refunding Portion of the Bonds in the aggregate principal amount
of $1,545,000 maturing in each of the years and amounts hereinafter set forth, is issued
to refund the 2008A State-Aid Refunding Portion of the Prior 2008A Bonds.
Year
2007A Refunding
Portion of the
Bonds
(Amount)
2008A
Improvement
Refunding Portion
of the Bonds
(Amount)
2008A
State-Aid
Refunding Portion
of the Bonds
(Amount) Total Amount
2018 $385,000 $385,000
2019 395,000 $270,000 $305,000 970,000
2020 380,000 265,000 315,000 960,000
2021 385,000 260,000 305,000 950,000
2022 410,000 255,000 315,000 980,000
2023 415,000 250,000 315,000 980,000
2024 245,000 305,000 550,000
If Bonds are prepaid, the prepayments shall be allocated to the portions of debt
service (and hence allocated to the payment of Bonds treated as relating to a particular
portion of debt service) as provided in this paragraph. If the source of prepayment
moneys is the general fund of the City, or other generally available source, including a
tax levy, the prepayment may be allocated to any of the portions of debt service in such
amounts as the City shall determine. If the source of a prepayment is special
assessments pledged to the Prior 2007A Bonds or the 2008A Improvement Refunding
Portion of the Bonds, the prepayment shall be allocated to the 2007A Refunding Portion
of Debt Service or the 2008A Improvement Refunding Portion, as applicable, of debt
service, as applicable. If the source of a prepayment is an allotment received from the
City's account in the Municipal State-Aid Street Fund pledged to the 2008A State-Aid
Refunding Portion of the Bonds, the prepayment shall be allocated to the 2008A State-
Aid Refunding Portion of debt service.
(c) Book Entry Only System. The Depository Trust Company, a limited
purpose trust company organized under the laws of the State of New York or any of its
successors or its successors to its functions hereunder (the "Depository") will act as
securities depository for the Bonds, and to this end:
(i) The Bonds shall be initially issued and, so long as they remain in book
entry form only (the "Book Entry Only Period"), shall at all times be in the form of a
separate single fully registered Bond for each maturity of the Bonds; and for purposes of
complying with this requirement under paragraphs 5 and 10 Authorized Denominations
for any Bond shall be deemed to be limited during the Book Entry Only Period to the
outstanding principal amount of that Bond.
(ii) Upon initial issuance, ownership of the Bonds shall be registered in a
bond register maintained by the Bond Registrar (as hereinafter defined) in the name of
August 8, 2016 33
City Council Meeting Minutes
CEDE & CO., as the nominee (it or any nominee of the existing or a successor
Depository, the "Nominee").
(iii) With respect to the Bonds neither the City nor the Bond Registrar shall
have any responsibility or obligation to any broker, dealer, bank, or any other financial
institution for which the Depository holds Bonds as securities depository (the
"Participant") or the person for which a Participant holds an interest in the Bonds shown
on the books and records of the Participant (the "Beneficial Owner"). Without limiting the
immediately preceding sentence, neither the City, nor the Bond Registrar, shall have any
such responsibility or obligation with respect to (A) the accuracy of the records of the
Depository, the Nominee or any Participant with respect to any ownership interest in the
Bonds, or (B) the delivery to any Participant, any Owner or any other person, other than
the Depository, of any notice with respect to the Bonds, including any notice of
redemption, or (C) the payment to any Participant, any Beneficial Owner or any other
person, other than the Depository, of any amount with respect to the principal of or
premium, if any, or interest on the Bonds, or (D) the consent given or other action taken
by the Depository as the Registered Holder of any Bonds (the "Holder"). For purposes
of securing the vote or consent of any Holder under this Resolution, the City may,
however, rely upon an omnibus proxy under which the Depository assigns its consenting
or voting rights to certain Participants to whose accounts the Bonds are credited on the
record date identified in a listing attached to the omnibus proxy.
(iv) The City and the Bond Registrar may treat as and deem the Depository to
be the absolute owner of the Bonds for the purpose of payment of the principal of and
premium, if any, and interest on the Bonds, for the purpose of giving notices of
redemption and other matters with respect to the Bonds, for the purpose of obtaining any
consent or other action to be taken by Holders for the purpose of registering transfers
with respect to such Bonds, and for all purpose whatsoever. The Bond Registrar, as
paying agent hereunder, shall pay all principal of and premium, if any, and interest on
the Bonds only to the Holder or the Holders of the Bonds as shown on the bond register,
and all such payments shall be valid and effective to fully satisfy and discharge the City's
obligations with respect to the principal of and premium, if any, and interest on the
Bonds to the extent of the sum or sums so paid.
(v) Upon delivery by the Depository to the Bond Registrar of written notice to
the effect that the Depository has determined to substitute a new Nominee in place of
the existing Nominee, and subject to the transfer provisions in paragraph 10, references
to the Nominee hereunder shall refer to such new Nominee.
(vi) So long as any Bond is registered in the name of a Nominee, all
payments with respect to the principal of and premium, if any, and interest on such Bond
and all notices with respect to such Bond shall be made and given, respectively, by the
Bond Registrar or City, as the case may be, to the Depository as provided in the Letter
of Representations to the Depository required by the Depository as a condition to its
acting as book-entry Depository for the Bonds (said Letter of Representations, together
with any replacement thereof or amendment or substitute thereto, including any standard
procedures or policies referenced therein or applicable thereto respecting the
procedures and other matters relating to the Depository's role as book-entry Depository
for the Bonds, collectively hereinafter referred to as the "Letter of Representations").
August 8, 2016 34
City Council Meeting Minutes
(vii) All transfers of beneficial ownership interests in each Bond issued in
book-entry form shall be limited in principal amount to Authorized Denominations and
shall be effected by procedures by the Depository with the Participants for recording and
transferring the ownership of beneficial interests in such Bonds.
(viii) In connection with any notice or other communication to be provided to
the Holders pursuant to this Resolution by the City or Bond Registrar with respect to any
consent or other action to be taken by Holders, the Depository shall consider the date of
receipt of notice requesting such consent or other action as the record date for such
consent or other action; provided, that the City or the Bond Registrar may establish a
special record date for such consent or other action. The City or the Bond Registrar
shall, to the extent possible, give the Depository notice of such special record date not
less than 15 calendar days in advance of such special record date to the extent possible.
(ix) Any successor Bond Registrar in its written acceptance of its duties under
this Resolution and any paying agency/bond registrar agreement, shall agree to take any
actions necessary from time to time to comply with the requirements of the Letter of
Representations.
(d) Termination of Book-Entry Only System. Discontinuance of a particular
Depository's services and termination of the book-entry only system may be effected as
follows:
(i) The Depository may determine to discontinue providing its services with
respect to the Bonds at any time by giving written notice to the City and discharging its
responsibilities with respect thereto under applicable law. The City may terminate the
services of the Depository with respect to the Bond if it determines that the Depository is
no longer able to carry out its functions as securities depository or the continuation of the
system of book-entry transfers through the Depository is not in the best interests of the
City or the Beneficial Owners.
(ii) Upon termination of the services of the Depository as provided in the
preceding paragraph, and if no substitute securities depository is willing to undertake the
functions of the Depository hereunder can be found which, in the opinion of the City, is
willing and able to assume such functions upon reasonable or customary terms, or if the
City determines that it is in the best interests of the City or the Beneficial Owners of the
Bond that the Beneficial Owners be able to obtain certificates for the Bonds, the Bonds
shall no longer be registered as being registered in the bond register in the name of the
Nominee, but may be registered in whatever name or names the Holder of the Bonds
shall designate at that time, in accordance with paragraph 10. To the extent that the
Beneficial Owners are designated as the transferee by the Holders, in accordance with
paragraph 10, the Bonds will be delivered to the Beneficial Owners.
(iii) Nothing in this subparagraph (c) shall limit or restrict the provisions of
paragraph 10.
(e) Letter of Representations. The provisions in the Letter of
Representations are incorporated herein by reference and made a part of the resolution,
and if and to the extent any such provisions are inconsistent with the other provisions of
this resolution, the provisions in the Letter of Representations shall control.
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3. Purpose; Refunding Findings.
(a) The 2007A Refunding Portion of the Bonds shall provide funds for a
crossover refunding of the Refunded 2007A Bonds (the "2007A Refunding"). It is hereby
found, determined and declared that the 2007A Refunding is pursuant to Minnesota
Statutes, Section 475.67, Subdivision 13. With respect to the Refunded 2007A Bonds,
as of the August 1, 2017 Crossover Date there shall result a debt service savings of
$203,243.31 for the Prior 2007A Bonds computed in accordance with the provisions of
Minnesota Statutes, Section 475.67, Subdivision 12. The dollar amount of such present
value of the debt service for the Prior 2007A Bonds is lower by at least three percent
than the dollar amount of such present value of the debt service for the Prior 2007A
Bonds as required by Minnesota Statutes, Section 475.67, Subdivision 12.
(b) The Refunding Portion of the Prior 2008A Bonds shall provide funds for a
crossover refunding of the Refunded 2008A Bonds (the “2008A Refunding” and together
with the 2007A Refunding, the "Refunding"). It is hereby found, determined and
declared that the 2008A Refunding is pursuant to Minnesota Statutes, Section 475.67,
Subdivision 13. With respect to the Refunded 2008A Bonds, as of the April 1, 2018
Crossover Date there shall result a debt service savings of $294,769.20 for the Prior
2008A Bonds computed in accordance with the provisions of Minnesota Statutes,
Section 475.67, Subdivision 12. The dollar amount of such present value of the debt
service for the Prior 2008A Bonds is lower by at least three percent than the dollar
amount of such present value of the debt service for the Prior 2008A Bonds as required
by Minnesota Statutes, Section 475.67, Subdivision 12.
4. Interest. The Bonds shall bear interest payable semiannually on April 1 and
October 1 of each year (each, an "Interest Payment Date"), commencing April 1, 2017,
calculated on the basis of a 360-day year of twelve 30-day months, at the respective
rates per annum set forth opposite the maturity years as follows:
Maturity Year Interest Rate
2018 3.00%
2019 3.00
2020 3.00
2021 3.00
2022 3.00
2023 3.00
2024 3.00
5. No Optional. The Bonds shall maturing shall not be subject to redemption
and prepayment prior to their stated maturity dates.
6. Bond Registrar. U.S. Bank National Association, in St. Paul, Minnesota, is
appointed to act as bond registrar and transfer agent with respect to the Bonds (the
"Bond Registrar"), and shall do so unless and until a successor Bond Registrar is duly
appointed, all pursuant to any contract the City and Bond Registrar shall execute which
is consistent herewith. The Bond Registrar shall also serve as paying agent unless and
until a successor paying agent is duly appointed. Principal and interest on the Bonds
shall be paid to the registered holders (or record holders) of the Bonds in the manner set
forth in the form of Bond and paragraph 12.
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7. Form of Bond. The Bonds, together with the Bond Registrar's Certificate of
Authentication, the form of Assignment and the registration information thereon, shall be
in substantially the following form:
UNITED STATES OF AMERICA
STATE OF MINNESOTA
RAMSEY COUNTY
CITY OF MAPLEWOOD
R-_________ $_________
GENERAL OBLIGATION REFUNDING BOND, SERIES 2016B
Interest Rate Maturity Date Date of Original Issue CUSIP
April 1, September 8, 2016
REGISTERED OWNER: CEDE & CO.
PRINCIPAL AMOUNT:
The City of Maplewood, Ramsey County, Minnesota (the "Issuer"), certifies that it
is indebted and for value received promises to pay to the registered owner specified
above, or registered assigns, in the manner hereinafter set forth, the principal amount
specified above, on the maturity date specified above, without option of prior payment,
and to pay interest thereon semiannually on April 1 and October 1 of each year (each,
an "Interest Payment Date"), commencing April 1, 2017, at the rate per annum specified
above (calculated on the basis of a 360-day year of twelve 30-day months) until the
principal sum is paid or has been provided for. This Bond will bear interest from the
most recent Interest Payment Date to which interest has been paid or, if no interest has
been paid, from the date of original issue hereof. The principal of and premium, if any,
on this Bond are payable upon presentation and surrender hereof at the principal office
of U.S. Bank National Association, in St. Paul, Minnesota (the "Bond Registrar"), acting
as paying agent, or any successor paying agent duly appointed by the Issuer. Interest
on this Bond will be paid on each Interest Payment Date by check or draft mailed to the
person in whose name this Bond is registered (the "Holder" or "Bondholder") on the
registration books of the Issuer maintained by the Bond Registrar and at the address
appearing thereon at the close of business on the fifteenth day of the calendar month
next preceding such Interest Payment Date (the "Regular Record Date"). Any interest
not so timely paid shall cease to be payable to the person who is the Holder hereof as of
the Regular Record Date, and shall be payable to the person who is the Holder hereof at
the close of business on a date (the "Special Record Date") fixed by the Bond Registrar
whenever money becomes available for payment of the defaulted interest. Notice of the
Special Record Date shall be given to Bondholders not less than ten days prior to the
Special Record Date. The principal of and premium, if any, and interest on this Bond are
payable in lawful money of the United States of America. So long as this Bond is
registered in the name of the Depository or its Nominee as provided in the Resolution
hereinafter described, and as those terms are defined therein, payment of principal of,
premium, if any, and interest on this Bond and notice with respect thereto shall be made
as provided in the Letter of Representations, as defined in the Resolution, and surrender
of this Bond shall not be required for payment of the redemption price upon a partial
redemption of this Bond. Until termination of the book-entry only system pursuant to the
Resolution, Bonds may only be registered in the name of the Depository or its Nominee.
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No Optional Redemption. The Bonds of this issue (the "Bonds") are not subject
to redemption and prepayment prior to their stated maturity dates.
Issuance; Purpose; General Obligation. This Bond is one of an issue in the total
principal amount of $5,775,000, all of like date of original issue and tenor, except as to
number, maturity, interest rate and denomination, issued pursuant to and in full
conformity with the Constitution and laws of the State of Minnesota and pursuant to a
resolution adopted by the City Council on August 8, 2016 (the "Resolution"), for the
purpose of providing funds sufficient for a crossover refunding (i) on August 1, 2017, of
the Issuer's General Obligation Improvement Bonds, Series 2007A, dated July 1, 2007,
which mature on or are subject to mandatory redemption and after February 1, 2018,
and (ii) on April 1, 2018, of the Issuer's General Obligation Bonds, Series 2008A, dated
July 1, 2008, which mature on and after April 1, 2019. This Bond is payable out of the
General Obligation Refunding Bonds, Series 2016B Fund of the Issuer established by
the City pursuant to the Resolution. This Bond constitutes a general obligation of the
Issuer, and to provide moneys for the prompt and full payment of its principal, premium,
if any, and interest when the same become due, the full faith and credit and taxing
powers of the Issuer have been and are hereby irrevocably pledged.
Denominations; Exchange; Resolution. The Bonds are issuable solely in fully
registered form in Authorized Denominations (as defined in the Resolution) and are
exchangeable for fully registered Bonds of other Authorized Denominations in equal
aggregate principal amounts at the principal office of the Bond Registrar, but only in the
manner and subject to the limitations provided in the Resolution. Reference is hereby
made to the Resolution for a description of the rights and duties of the Bond Registrar.
Copies of the Resolution are on file in the principal office of the Bond Registrar.
Transfer. This Bond is transferable by the Holder in person or by the Holder's
attorney duly authorized in writing at the principal office of the Bond Registrar upon
presentation and surrender hereof to the Bond Registrar, all subject to the terms and
conditions provided in the Resolution and to reasonable regulations of the Issuer
contained in any agreement with the Bond Registrar. Thereupon the Issuer shall
execute and the Bond Registrar shall authenticate and deliver, in exchange for this
Bond, one or more new fully registered Bonds in the name of the transferee (but not
registered in blank or to "bearer" or similar designation), of an Authorized Denomination
or Denominations, in aggregate principal amount equal to the principal amount of this
Bond, of the same maturity and bearing interest at the same rate.
Fees upon Transfer or Loss. The Bond Registrar may require payment of a sum
sufficient to cover any tax or other governmental charge payable in connection with the
transfer or exchange of this Bond and any legal or unusual costs regarding transfers and
lost Bonds.
Treatment of Registered Owners. The Issuer and Bond Registrar may treat the
person in whose name this Bond is registered as the owner hereof for the purpose of
receiving payment as herein provided and for all other purposes, whether or not this
Bond shall be overdue, and neither the Issuer nor the Bond Registrar shall be affected
by notice to the contrary.
Authentication. This Bond shall not be valid or become obligatory for any
purpose or be entitled to any security unless the Certificate of Authentication hereon
shall have been executed by the Bond Registrar.
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City Council Meeting Minutes
Qualified Tax-Exempt Obligation. This Bond has been designated by the Issuer
as a "qualified tax-exempt obligation" for purposes of Section 265(b)(3) of the Internal
Revenue Code of 1986, as amended.
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 issuance of this Bond, have been done,
have happened and have been performed, in regular and due form, time and manner as
required by law; and that this Bond, together with all other debts of the Issuer
outstanding on the date of original issue hereof and the date of its issuance and delivery
to the original purchaser, does not exceed any constitutional or statutory limitation of
indebtedness.
IN WITNESS WHEREOF, the City of Maplewood, Ramsey County, Minnesota,
by its City Council has caused this Bond to be executed on its behalf by the facsimile
signatures of its Mayor and its Clerk, the corporate seal of the Issuer having been
intentionally omitted as permitted by law.
Date of Registration:
________________________
BOND REGISTRAR'S
CERTIFICATE OF
AUTHENTICATION
This Bond is one of the Bonds
described in the Resolution
mentioned within.
U.S. Bank National Association
St. Paul, Minnesota
Bond Registrar
By____________________
Authorized Signature
Registrable by: U.S. BANK NATIONAL
ASSOCIATION
Payable at: U.S. BANK NATIONAL
ASSOCIATION
CITY OF MAPLEWOOD,
RAMSEY COUNTY, MINNESOTA
/s/ Facsimile
Mayor
/s/ Facsimile
Clerk
ABBREVIATIONS
The following abbreviations, when used in the inscription on the face of this Bond,
shall be construed as though they were written out in full according to applicable laws or
regulations:
TEN COM - as tenants in common
TEN ENT - as tenants by the entireties
JT TEN - as joint tenants with right of survivorship and not as tenants in common
UTMA - _____________ as custodian for _____________
(Cust) (Minor)
under the _____________________ Uniform Transfers to Minors Act
(State)
Additional abbreviations may also be used though not in the above list.
___________________________________
August 8, 2016 39
City Council Meeting Minutes
ASSIGNMENT
For value received, the undersigned hereby sells, assigns and transfers unto
________ the within Bond and does hereby irrevocably constitute and appoint ________
attorney to transfer the Bond on the books kept for the registration thereof, with full
power of substitution in the premises.
Dated:__________ ____________________________________________________
Notice: The assignor's signature to this assignment must
correspond with the name as it appears upon the face of
the within Bond in every particular, without alteration or
any change whatever.
Signature Guaranteed:
___________________________
Signature(s) must be guaranteed by a national bank or trust company or by a brokerage
firm having a membership in one of the major stock exchanges or any other "Eligible
Guarantor Institution" as defined in 17 CFR 240.17 Ad-15(a)(2).
The Bond Registrar will not effect transfer of this Bond unless the information concerning
the transferee requested below is provided.
Name and Address: ________________________________________
________________________________________
________________________________________
8. Execution. The Bonds shall be in typewritten form, shall be executed on
behalf of the City by the signatures of its Mayor and Clerk and be sealed with the seal of
the City; provided, as permitted by law, both signatures may be photocopied facsimiles
and the corporate seal has been omitted. In the event of disability or resignation or other
absence of either officer, the Bonds may be signed by the manual or facsimile signature
of the officer who may act on behalf of the absent or disabled officer. In case either
officer whose signature or facsimile of whose signature shall appear on the Bonds shall
cease to be such officer before the delivery of the Bonds, the signature or facsimile shall
nevertheless be valid and sufficient for all purposes, the same as if the officer had
remained in office until delivery.
9. Authentication. No Bond shall be valid or obligatory for any purpose or be
entitled to any security or benefit under this resolution unless a Certificate of
Authentication on such Bond, substantially in the form hereinabove set forth, shall have
been duly executed by an authorized representative of the Bond Registrar. Certificates
of Authentication on different Bonds need not be signed by the same person. The Bond
Registrar shall authenticate the signatures of officers of the City on each Bond by
execution of the Certificate of Authentication on the Bond and by inserting as the date of
registration in the space provided the date on which the Bond is authenticated, except
that for purposes of delivering the original Bonds to the Purchaser, the Bond Registrar
shall insert as a date of registration the date of original issue of September 8, 2016. The
Certificate of Authentication so executed on each Bond shall be conclusive evidence that
it has been authenticated and delivered under this resolution.
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10. Registration; Transfer; Exchange. The City will cause to be kept at the
principal office of the Bond Registrar a bond register in which, subject to such
reasonable regulations as the Bond Registrar may prescribe, the Bond Registrar shall
provide for the registration of Bonds and the registration of transfers of Bonds entitled to
be registered or transferred as herein provided.
Upon surrender for transfer of any Bond at the principal office of the Bond
Registrar, the City shall execute (if necessary), and the Bond Registrar shall
authenticate, insert the date of registration (as provided in paragraph 9) of, and deliver,
in the name of the designated transferee or transferees, one or more new Bonds of any
Authorized Denomination or Denominations of a like aggregate principal amount, having
the same stated maturity and interest rate, as requested by the transferor; provided,
however, that no Bond may be registered in blank or in the name of "bearer" or similar
designation.
At the option of the Holder, Bonds may be exchanged for Bonds of any
Authorized Denomination or Denominations of a like aggregate principal amount and
stated maturity, upon surrender of the Bonds to be exchanged at the principal office of
the Bond Registrar. Whenever any Bonds are so surrendered for exchange, the City
shall execute (if necessary), and the Bond Registrar shall authenticate, insert the date of
registration of, and deliver the Bonds which the Holder making the exchange is entitled
to receive.
All Bonds surrendered upon any exchange or transfer provided for in this
resolution shall be promptly canceled by the Bond Registrar and thereafter disposed of
as directed by the City.
All Bonds delivered in exchange for or upon transfer of Bonds shall be valid
general obligations of the City evidencing the same debt, and entitled to the same
benefits under this resolution, as the Bonds surrendered for such exchange or transfer.
Every Bond presented or surrendered for transfer or exchange shall be duly
endorsed or be accompanied by a written instrument of transfer, in form satisfactory to
the Bond Registrar, duly executed by the Holder thereof or his, her or its attorney duly
authorized in writing.
The Bond Registrar may require payment of a sum sufficient to cover any tax or
other governmental charge payable in connection with the transfer or exchange of any
Bond and any legal or unusual costs regarding transfers and lost Bonds.
Transfers shall also be subject to reasonable regulations of the City contained in
any agreement with the Bond Registrar, including regulations which permit the Bond
Registrar to close its transfer books between record dates and payment dates. The
Clerk is hereby authorized to negotiate and execute the terms of said agreement.
11. Rights Upon Transfer or Exchange. Each Bond delivered upon transfer of or
in exchange for or in lieu of any other Bond shall carry all the rights to interest accrued
and unpaid, and to accrue, which were carried by such other Bond.
12. Interest Payment; Record Date. Interest on any Bond shall be paid on each
Interest Payment Date by check or draft mailed to the person in whose name the Bond is
registered (the "Holder") on the registration books of the City maintained by the Bond
Registrar and at the address appearing thereon at the close of business on the fifteenth
day of the calendar month next preceding such Interest Payment Date (the "Regular
August 8, 2016 41
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Record Date"). Any such interest not so timely paid shall cease to be payable to the
person who is the Holder thereof as of the Regular Record Date, and shall be payable to
the person who is the Holder thereof at the close of business on a date (the "Special
Record Date") fixed by the Bond Registrar whenever money becomes available for
payment of the defaulted interest. Notice of the Special Record Date shall be given by
the Bond Registrar to the Holders not less than ten days prior to the Special Record
Date.
13. Treatment of Registered Owner. The City and Bond Registrar may treat the
person in whose name any Bond is registered as the owner of such Bond for the
purpose of receiving payment of principal of and premium, if any, and interest (subject to
the payment provisions in paragraph 12) on, such Bond and for all other purposes
whatsoever whether or not such Bond shall be overdue, and neither the City nor the
Bond Registrar shall be affected by notice to the contrary.
14. Delivery; Application of Proceeds. The Bonds when so prepared and
executed shall be delivered by the Finance Director to the Purchaser upon receipt of the
purchase price, and the Purchaser shall not be obliged to see to the proper application
thereof.
15. Fund and Accounts. There is hereby created a special fund designated the
General Obligation Refunding Bonds, Series 2016B Fund (the "Fund"), to be
administered and maintained by the Finance Director as a bookkeeping account
separate and apart from all other funds maintained in the official financial records of the
City. The Fund shall be maintained in the manner herein specified until all of the Bonds
and the interest thereon have been full paid. In such records there shall be established
accounts or accounts shall continue to be maintained as the case may be, of the Fund
for the purposes and in the amounts as follows:
(a) Escrow Account. The Escrow Account is established and shall be
maintained as an escrow account with U.S. Bank National Association. (the "Escrow
Agent"), in St. Paul, Minnesota, which is a suitable financial institution within or without
the State. The moneys in the Escrow Account shall be used solely for the purposes
herein set forth and for no other purpose, except that any surplus in the Escrow Account
may be remitted to the City, all in accordance with the Escrow Agreement by and
between the City and Escrow Agent (the "Escrow Agreement"), a form of which is on file
in the office of the Administrator. $6,187,004.17 proceeds of the sale of the Bonds shall
be received by the Escrow Agent and applied to fund the Escrow Account, $60,420.23
proceeds of the sale of the Bonds shall be used to pay costs of issuance of the Bonds,
and any residual amount of Bond proceeds shall be returned to the City and deposited to
the Debt Service Account. The Escrow Account shall be invested in securities maturing
or callable at the option of the holder on such dates and bearing interest at such rates as
shall be required to provide sufficient funds, together with any cash or other funds
retained in the Escrow Account, (i) to pay when due the interest to accrue on the 2007A
Refunding Portion of the Bonds to and including the August 1, 2017 Crossover Date; (ii)
to pay when due the interest to accrue on the Refunding Portion of the Prior 2008A
Bonds to and including the April 1, 2018 Crossover Date; (iii) to pay when called for
redemption on the August 1, 2017 Crossover Date, the principal amount of the Refunded
2007A Bonds; and (iv) to pay when called for redemption on the April 1, 2018 Crossover
Date, the principal amount of the Refunded 2008A Bonds. The Escrow Account shall be
irrevocably appropriated to the payment of (i) all interest on the 2007A Refunding Portion
August 8, 2016 42
City Council Meeting Minutes
of the Bonds to and including the August 1, 2017 Crossover Date; (ii) all interest on the
Refunding Portion of the Prior 2008A Bonds to and including the April 1, 2018 Crossover
Date; (iii) the principal of the Refunded 2007A Bonds due by reason of their call for
redemption on the August 1, 2017 Crossover Date; and (iv) the principal of the Refunded
2008A Bonds due by reason of their call for redemption on the April 1, 2018 Crossover
Date.
(b) There shall be maintained three separate subaccounts in the Debt
Service Account to be designated the "2007A Improvement Debt Service Subaccount",
the "2008A Improvement Refunding Debt Service Subaccount" and the "2008A State-
Aid Refunding Debt Service Subaccount". There are hereby irrevocably appropriated
and pledged to, and there shall be credited to the separate subaccounts of the Debt
Service Account:
(i) 2007A Improvement Refunding Debt Service Subaccount. To the
2007A Improvement Refunding Debt Service Subaccount there shall be credited:
(A) after the August 1, 2017 Crossover Date, all uncollected special assessments
pledged to the payment of the Prior 2007A Bonds; (B) collections of all taxes
herein or hereafter levied for the payment of the Prior 2007A Bonds; (C) a pro
rata share of any sums remitted to the City pursuant to the Escrow Agreement;
(D) a pro rata share of any amount paid for the 2007A Refunding Portion of the
Bonds in excess of the minimum bid; (E) all investment earnings on funds held in
the 2007A Improvement Refunding Debt Service Subaccount; any funds
remaining after the April 1, 2018 Crossover Date in the 2008A State-Aid
Improvements Debt Service Subaccount established by the Prior 2008A
Resolution; (F) any funds remaining after the August 1, 2017 Crossover Date in
the Debt Service Fund established by the Prior 2007A Resolution (as defined
therein); and (G) any and all other moneys which are properly available and are
appropriated by the governing body of the City to the 2007A Improvement
Refunding Debt Service Subaccount. The 2007A Improvement Refunding Debt
Service Subaccount shall be used solely to pay the principal and interest and any
premium for redemption of the 2007A Refunding Portion of the Bonds and any
other general obligation bonds of the City hereafter issued by the City and made
payable from said subaccount as provided by law. The amount of any surplus
remaining in the 2007A Improvement Refunding Debt Service Subaccount when
the 2007A Refunding Portion of the Bonds and interest thereon are paid shall be
used consistent with Minnesota Statutes, Section 475.61, Subdivision 4.
(ii) 2008A Improvement Refunding Debt Service Subaccount. To the
2008A Improvement Refunding Debt Service Subaccount there shall be credited:
(A) after the April 1, 2018 Crossover Date, all uncollected special assessments
pledged to the payment of the 2008A Improvement Refunding Portion of the
Bonds; (B) any collections of all taxes herein or hereafter levied for the payment
of the 2008A Improvement Refunding Portion of the Bonds; (C) a pro rata share
of any sums remitted to the City pursuant to the Escrow Agreement; (D) a pro
rata share of any amount paid for the Bonds in excess of the minimum bid; (E) all
investment earnings on funds held in the 2008A Improvement Refunding Debt
Service Subaccount; (F) any funds remaining after the April 1, 2018 Crossover
Date in the Debt Service Fund established by the Prior 2008A Resolution (as
defined therein); and (G) any and all other moneys which are properly available
and are appropriated by the governing body of the City to the 2008A
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City Council Meeting Minutes
Improvement Refunding Debt Service Subaccount. The 2008A Improvement
Refunding Debt Service Subaccount shall be used solely to pay the principal and
interest and any premium for redemption of the 2008A Improvement Refunding
Portion of the Bonds and any other general obligation bonds of the City hereafter
issued by the City and made payable from said subaccount as provided by law.
The amount of any surplus remaining in the 2008A Improvement Refunding Debt
Service Subaccount when the 2008A Improvement Refunding Portion of the
Bonds and interest thereon are paid shall be used consistent with Minnesota
Statutes, Section 475.61, Subdivision 4.
(iii) 2008A State-Aid Refunding Street Debt Service Subaccount. To
the 2008A State-Aid Refunding Street Debt Service Subaccount there shall be
credited an amount of moneys allotted or to be allotted to the City from its
account in the Municipal State-Aid Street Fund sufficient to pay the principal of
and interest on the 2008A State-Aid Refunding Portion of the Bonds. Upon
receipt from the Commissioner of Finance of the annual amount of money
needed for payment of principal and interest due each year, the allotment shall
be deposited in the State-Aid Refunding Street Debt Service Subaccount. There
are also hereby irrevocably appropriated and pledged to, and there shall be
credited to, the State-Aid Refunding Street Debt Service Subaccount: (A)
collections of all taxes herein or hereinafter levied for the payment of the 2008A
State-Aid Refunding Portion of the Bonds and interest thereon; (B) all investment
earnings on funds held in the 2008A State-Aid Refunding Street Debt Service
Subaccount; (C) any funds remaining after the April 1, 2018 Crossover Date in
the 2008A State-Aid Improvements Debt Service Subaccount established by the
Prior 2008A Resolution; and (D) any and all other moneys which are properly
available and are appropriated by the governing body of the City to the 2008A
State-Aid Refunding Street Debt Service Subaccount. The 2008A State-Aid
Refunding Street Debt Service Subaccount shall be used solely to pay the
principal and interest and any premium for redemption of the 2008A State-Aid
Refunding Portion of the Bonds and any other general obligation bonds of the
City hereafter issued by the City and made payable from said subaccount as
provided by law.
No portion of the proceeds of the Bonds shall be used directly or indirectly to
acquire higher yielding investments or to replace funds which were used directly or
indirectly to acquire higher yielding investments, except (a) for a reasonable temporary
period until such proceeds are needed for the purpose for which the Bonds were issued,
and (b) in addition to the above, in an amount not greater than the lesser of five percent
of the proceeds of the Bonds or $100,000. To this effect, any proceeds of the Bonds
and any sums from time to time held in the Fund (or any other City account which will be
used to pay principal and interest to become due on the Bonds) in excess of amounts
which under the applicable federal arbitrage regulations may be invested without regard
as to yield shall not be invested in excess of the applicable yield restrictions imposed by
the arbitrage regulations on such investments after taking into account any applicable
"temporary periods" or "minor portion" made available under the federal arbitrage
regulations. In addition, the proceeds of the Bonds and money in the Fund shall not be
invested in obligations or deposits issued by, guaranteed by or insured by the United
States or any agency or instrumentality thereof if and to the extent that such investment
would cause the Bonds to be "federally guaranteed" within the meaning of Section
149(b) of the federal Internal Revenue Code of 1986, as amended (the "Code").
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16. Covenants Relating to the 2007A Refunding Portion of the Bonds.
(a) Special Assessments. The City has heretofore levied special
assessments pursuant to the Prior 2007A Resolution, which were pledged to the
payment of the principal and interest on the Prior 2007A Bonds and, after the August 1,
2017 Crossover Date, the uncollected special assessments for the Prior 2007A Bonds
are now pledged to the payment of principal and interest on the 2007A Refunding
Portion of the Bonds. The special assessments are such that if collected in full they,
together with estimated collections of other revenues pledged for the payment of the
2007A Refunding Portion of the Bonds, will produce at least five percent in excess of the
amount needed to meet when due the principal and interest payments on the 2007A
Refunding Portion of the Bonds. The special assessments were levied as provided
below, payable in equal, consecutive, annual installments, with general taxes for the
years shown below and with interest on the declining balance of all such assessments at
the rate shown opposite such years:
Improvement
Designations Amount Levy Years
Collection Years Rate
Five Projects 2016-2022 2017-2023
At the time the assessments are in fact levied the City Council shall, based on
the then-current estimated collections of the assessments, make any adjustments in any
ad valorem taxes required to be levied in order to assure that the City continues to be in
compliance with Minnesota Statutes, Section 475.61, Subdivision 1.
(b) Tax Levy; Coverage Test; Cancellation of Certain Tax Levies. To
provide moneys for payment of the principal and interest on 2007A Refunding Portion of
the Bonds there is hereby levied upon all of the taxable property in the City 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 the City for the years and in the amounts as
follows:
Levy Years Collection Years Amount
2016-2022 2017-2023 See attached Schedule
The tax levies are such that if collected in full they, together with estimated
collections of special assessments and any other revenues herein pledged for the
payment of 2007A Refunding Portion of the Bonds and sums held in the Escrow
Account, will produce at least five percent in excess of the amount needed to meet when
due the principal and interest payments on 2007A Refunding Portion of the Bonds. The
tax levies shall be irrepealable so long as any of 2007A Refunding Portion of the Bonds
are outstanding and unpaid, provided that the City reserves the right and power to
reduce the levies in the manner and to the extent permitted by Minnesota Statutes,
Section 475.61, Subdivision 3.
Upon payment of the Prior 2007A Bonds, the uncollected taxes levied in the Prior
2007A Resolution authorizing the issuance of the Prior 2007A Bonds which are not
needed to pay the Prior 2007A Bonds as a result of the Refunding shall be canceled.
(c) General Obligation Pledge. For the prompt and full payment of the
principal and interest on the 2007A Refunding Portion of the Bonds, as the same
respectively become due, the full faith, credit and taxing powers of the City shall be and
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are hereby irrevocably pledged. If the balance in the 2007A Improvement Refunding
Debt Service Subaccount is ever insufficient to pay all principal and interest then due on
the 2007A Refunding Portion of the Bonds and any other bonds payable therefrom, the
deficiency shall be promptly paid out of any other funds of the City which are available
for such purpose, and such other funds may be reimbursed with or without interest from
the 2007A Improvement Refunding Debt Service Subaccount when a sufficient balance
is available therein.
17. Covenants Relating to the 2008A Improvement Refunding Portion of the
Bonds.
(a) Special Assessments. The City has heretofore levied special
assessments pursuant to the Prior 2008A Resolution, which were pledged to the
payment of the principal and interest on the 2008A Improvement Refunding Portion of
the Bonds and, after the April 1, 2018 Crossover Date, the uncollected special
assessments for the 2008A Improvement Refunding Portion of the Bonds are now
pledged to the payment of principal and interest on the 2008A Improvement Refunding
Portion of the Bonds. The special assessments are such that if collected in full they,
together with estimated collections of other revenues pledged for the payment of the
2008A Improvement Refunding Portion of the Bonds, will produce at least five percent in
excess of the amount needed to meet when due the principal and interest payments on
the 2008A Improvement Refunding Portion of the Bonds. The special assessments
were levied as provided below, payable in equal, consecutive, annual installments, with
general taxes for the years shown below and with interest on the declining balance of all
such assessments at the rate shown opposite such years:
Improvement
Designations Amount Levy Years
Collection
Years Rate
See Attached Schedule
At the time the assessments are in fact levied the City Council shall, based on
the then-current estimated collections of the assessments, make any adjustments in any
ad valorem taxes required to be levied in order to assure that the City continues to be in
compliance with Minnesota Statutes, Section 475.61, Subdivision 1.
(b) Tax Levy; Coverage Test; Cancellation of Certain Tax Levies. To
provide moneys for payment of the principal and interest on 2008A Improvement
Refunding Portion of the Bonds there is hereby levied upon all of the taxable property in
the City 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 the City for the years and in
the amounts as follows:
Levy Years Collection Years Amount
2017-2022 2018-2023 See attached Schedule
The tax levies are such that if collected in full they, together with estimated
collections of special assessments and any other revenues herein pledged for the
payment of 2008A Improvement Refunding Portion of the Bonds and sums held in the
Escrow Account, will produce at least five percent in excess of the amount needed to
meet when due the principal and interest payments on 2008A Improvement Refunding
Portion of the Bonds. The tax levies shall be irrepealable so long as any of 2008A
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Improvement Refunding Portion of the Bonds are outstanding and unpaid, provided that
the City reserves the right and power to reduce the levies in the manner and to the
extent permitted by Minnesota Statutes, Section 475.61, Subdivision 3.
Upon payment of the 2008A Improvement Refunding Portion of the Bonds, the
uncollected taxes levied in the Prior 2008A Resolution authorizing the issuance of the
Prior 2008A Bonds which are not needed to pay the 2008A Improvement Refunding
Portion of the Bonds as a result of the Refunding shall be canceled.
(c) General Obligation Pledge. For the prompt and full payment of the
principal and interest on the 2008A Improvement Refunding Portion of the Bonds, as the
same respectively become due, the full faith, credit and taxing powers of the City shall
be and are hereby irrevocably pledged. If the balance in the 2008A Improvement
Refunding Debt Service Subaccount is ever insufficient to pay all principal and interest
then due on the 2008A Improvement Refunding Portion of the Bonds and any other
bonds payable therefrom, the deficiency shall be promptly paid out of any other funds of
the City which are available for such purpose, and such other funds may be reimbursed
with or without interest from the 2008A Improvement Refunding Debt Service
Subaccount when a sufficient balance is available therein.
18. Covenants Relating to the 2008A State-Aid Refunding Portion of the Bonds.
(a) Certification to Commissioner. Upon the sale of the 2008A State-Aid
Refunding Portion of the Bonds an officer of the City shall promptly certify to the
Commissioner of Transportation, State of Minnesota, the amount of money required
annually for the payment of principal and interest on the 2008A State-Aid Refunding
Portion of the Bonds, all in accordance with Minnesota Statutes, Section 162.18.
(b) Expenditure Consistent with Minnesota Statutes Chapter 162.
Proceeds of the 2008A State-Aid Refunding Portion of the Bonds shall be spent only in
accordance with the provisions of law and the rules and regulations of the Commissioner
of Transportation relating to the establishment, location, relocation, construction,
reconstruction and/or improvement of municipal State-Aid streets within the City. The
City has been complying, and shall continue to comply with the requirements of
Minnesota Statutes, Chapter 162 with respect to the 2008A State-Aid Refunding Portion
of the Bonds and the 2008A State-Aid Refunding Portion of the Bonds.
(c) 105% Debt Service Coverage. It is hereby determined and
reasonably anticipated that the estimated collections of the sums pledged to the 2008A
State-Aid Refunding Debt Service Subaccount will produce at least five percent in
excess of the amount needed to meet, when due, the principal of and interest on the
State-Aid Street Refunding Portion of the Prior 2008A Bonds.
(d) General Obligation Pledge. For the prompt and full payment of the
principal and interest on the 2008A State-Aid Refunding Portion of the Bonds, as the
same respectively become due, the full faith, credit and taxing powers of the City shall
be and are hereby irrevocably pledged. If the balance in the 2008A State-Aid Street
Refunding Debt Service Subaccount is ever insufficient to pay all principal and interest
then due on the 2008A State-Aid Refunding Portion of the Bonds and any other bonds
payable therefrom, the deficiency shall be promptly paid out of any other funds of the
City which are available for such purpose, and such other funds may be reimbursed with
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or without interest from the 2008A State-Aid Street Refunding Debt Service Subaccount
when a sufficient balance is available therein.
19. Securities; Escrow Agent. Securities purchased from moneys in the Escrow
Account shall be limited to securities set forth in Minnesota Statutes, Section 475.67,
Subdivision 8, and any amendments or supplements thereto. Securities purchased from
the Escrow Account shall be purchased simultaneously with the delivery of the Bonds.
The City Council has investigated the facts and hereby f inds and determines that the
Escrow Agent is a suitable financial institution to act as escrow agent.
20. Escrow Agreement. On or prior to the delivery of the Bonds the Mayor, Clerk
and the Finance Director shall, and are hereby authorized and directed to, execute the
Escrow Agreement on behalf of the City. The Escrow Agreement is hereby approved
and adopted and made a part of this resolution, and the City covenants that it will
promptly enforce all provisions thereof in the event of default thereunder by the Escrow
Agent.
21. Purchase of SLGS or Open Market Securities. The Escrow Agent, as agent
for the City, is hereby authorized and directed to purchase on behalf of the Council and
in its name the appropriate United States Treasury Securities, State and Local
Government Series and/or open market securities as provided in paragraph 19, from the
proceeds of the Bonds and, to the extent necessary, other available funds, all in
accordance with the provisions of this resolution and the Escrow Agreement and to
execute all such documents (including the appropriate subscription form) required to
effect such purchase in accordance with the applicable U.S. Treasury Regulations.
22. Redemption of Refunded Bonds. The Refunded 2007A Bonds and the
Refunded 2008A Bonds shall be redeemed and prepaid in accordance with the terms
and conditions set forth in the Notices of Call for Redemption, in the forms attached to
the Escrow Agreement, which terms and conditions are hereby approved and
incorporated herein by reference. The Notices of Call for Redemption shall be given
pursuant to the Escrow Agreement.
23. Prior Bonds; Security. Until retirement of the Prior Bonds, all provisions
theretofore made for the security thereof shall be observed by the City and all of its
officers and agents.
24. Supplemental Resolution. The Prior Resolutions are hereby supplemented to
the extent necessary to give effect to the provisions of this resolution.
25. Defeasance. When all Bonds have been discharged as provided in this
paragraph, all pledges, covenants and other rights granted by this resolution to the
registered holders of the Bonds shall, to the extent permitted by law, cease. The City
may discharge its obligations with respect to any Bonds which are due on any date by
irrevocably depositing with the Bond Registrar on or before that date a sum sufficient for
the payment thereof in full; or if any Bond should not be paid when due, it may
nevertheless be discharged by depositing with the Bond Registrar a sum sufficient for
the payment thereof in full with interest accrued to the date of such deposit. The City
may also at any time discharge its obligations with respect to any Bonds, subject to the
provisions of law now or hereafter authorizing and regulating such action, by depositing
irrevocably in escrow, with a suitable banking institution qualified by law as an escrow
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City Council Meeting Minutes
agent for this purpose, cash or securities described in Minnesota Statutes, Section
475.67, Subdivision 8, bearing interest payable at such times and at such rates and
maturing on such dates as shall be required, without regard to sale and/or reinvestment,
to pay all amounts to become due thereon to maturity or, if notice of redemption as
herein required has been duly provided for, to such earlier redemption date.
26. Certificate of Registration. The 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 the County Auditor shall require, and to obtain the County
Auditor's Certificate that the Bonds have been entered in the County Auditor's Bond
Register and that the tax levy required by law has been made.
27. Records and Certificates. The officers of the City are hereby authorized and
directed to prepare and furnish to the Purchaser, and to the attorneys approving the
legality of the issuance of the Bonds, certified copies of all proceedings and records of
the City relating to the Bonds and to the financial condition and affairs of the City, and
such other affidavits, certificates and information as are required to show the facts
relating to the legality and marketability of the 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 representations of the City as to the facts recited therein.
28. Negative Covenant as to Use of Proceeds and Project. The City hereby
covenants not to use the proceeds of the Bonds or to use the Projects financed by the
Prior Bonds, or to cause or permit them to be used, or to enter into any deferred
payment arrangements for the cost of the Projects, in such a manner as to cause the
Bonds to be "private activity bonds" within the meaning of Sections 103 and 141 through
150 of the Code.
29. Tax-Exempt Status of the Bonds; Rebate. The City is subject to the rebate
requirement imposed by Section 148(f) of the Code and no exceptions are available.
30. Designation of Qualified Tax-Exempt Obligations. In order to qualify the
Bonds as "qualified tax-exempt obligations" within the meaning of Section 265(b)(3) of
the Code, the City hereby makes the following factual statements and representations:
(a) the Bonds are issued after August 7, 1986;
(b) the Bonds are not "private activity bonds" as defined in Section 141 of
the Code;
(c) the City hereby designates the Bonds as "qualified tax-exempt
obligations" for purposes of Section 265(b)(3) of the Code;
(d) the reasonably anticipated amount of tax-exempt obligations (other
than private activity bonds, treating qualified 501(c)(3) bonds as not being private activity
bonds) which will be issued by the City (and all entities treated as one issuer with the
City, and all subordinate entities whose obligations are treated as issued by the City)
during this calendar year 2016 will not exceed $10,000,000;
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City Council Meeting Minutes
(e) not more than $10,000,000 of obligations issued by the City during
this calendar year 2016 have been designated for purposes of Section 265(b)(3) of the
Code; and
(f) the aggregate face amount of the Bonds does not exceed
$10,000,000.
The City shall use its best efforts to comply with any federal procedural requirements
which may apply in order to effectuate the designation made by this paragraph.
31. Severability. If any section, paragraph or provision of this resolution shall be
held to be invalid or unenforceable for any reason, the invalidity or unenforceability of
such section, paragraph or provision shall not affect any of the remaining provisions of
this resolution.
32. Headings. Headings in this resolution are included for convenience of
reference only and are not a part hereof, and shall not limit or define the meaning of any
provision hereof.
Seconded by Councilmember Juenemann Ayes – All
The motion passed.
J. NEW BUSINESS
1. Consider Approval of the Publication of the Draft Environmental Assessment
Worksheet (EAW) for 3M Company
Economic Development Coordinator Martin gave the staff report. Sherri Buss, Senior
Planner with TKDA addressed the council to give additional information about the
project. Jana Guzman with 3M addressed the council to answer questions.
Councilmember Xiong moved to approve the draft EAW for public notice and distribution
for a 30-day comment period.
Seconded by Councilmember Smith Ayes – All
The motion passed.
2. Consider Approval of Improvements to the MCC and Authorize a
Commission Study for Locker Rooms HVAC Systems
Parks & Recreation Director/Environmental & Economic Development Director Konewko
gave the staff report and answered questions of the council.
Councilmember Abrams moved to approve the MCC improvements which include
replacement of VAV boxes, updating the buildings automation system and controls,
replacing existing fire panel and all smoke and heat detectors throughout the MCC. In
addition, the commissioning of a study for the HVAC system that services the locker
rooms. Funds to pay for these improvements will come from existing capital
improvement funds. Further authorize the Parks & Recreation Director to execute the
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Trane Turnkey Installation of HVAC Proposal in the amount of $136,170 and the Tyco
SimplexGrinnel Fire Panel Upgrade Proposal in the amount of $41,563 and the HVAC
Commission Study in an amount not to exceed $15,000, and authorize the Finance
Director to make the appropriate budget adjustments to account for the purchases.
Seconded by Councilmember Juenemann Ayes – All
The motion passed.
K. AWARD OF BIDS
None
L. VISITOR PRESENTATIONS – All presentations have a limit of 3 minutes.
None
M. ADJOURNMENT
Mayor Slawik adjourned the meeting at 8:23 p.m.