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99-308Council Fife # \� ' ��� �R1GfNAL. A �""�• a �`+i'i; 1 Green Sheet # � 3 a35 " RESOLUT{ON p `1" `� 3, 4���� 3q �� �� C�TY O� SAfNT PAUL, MINNESOTA 3�j Presented By RefeRed To Committee: Date ACCEPTING PROPOSAL ON SAL,E OF $3,730,000 GENERAL OBLIGATION STREET IMPROVEMENT SPECIAL ASSESSMENT BONDS, SERIES 1999C, PROVIDING FOR THETR ISSUANCE, AND LEVYING A TAX FOR THE PAYMENT THEREOF 6 WHEREAS, the Director, Office of Financial Services, 7 has presented proposals received for the sale of $3,730,000 8 General Obligation Street Improvement Special Assessment Bonds, 9 Series 1999C (the "Bonds"), of the City of Saint Paul, Minnesota 10 (the "City"); and 11 WHEREAS, the proposals set forth on Exhibit A attached 12 hereto were received pursuant to the Terms of Proposal at the 13 offices of Springsted Incorporated zt 10:30 A.M., Central Time, 14 this same day; and 15 WHEREAS, the Director, Office of Financial Services, 16 has advised this Council that the proposal of 17 � .� �,��� S„� was found to be the most advantageous 18 and has recommended that said proposal be accepted; and 19 WHEREAS, the proceeds of the Bonds will finance certain 20 street improvements to be specially assessed, for which the City 21 is proceeding pursuant to its Charter and not Minnesota Statutes, 22 Chapter 429, with any excess to be used for any other purpose 23 permitted by law; and �g -308 1 WHEREAS, the City has heretofore issued registered 2 obligations in cerCificated form, and incurs substantial costs 3 associated with their printing and issuance, and substantial 4 continuing transaction costs relating to their payment, transfer 5 and exchange; and 6 WHEREAS, the City has determined that significant 7 savings in transaction costs wi11 result from issuing bonds in 8 "global book-entry form", by which bonds are issued in 9 certificated form in large denominations, registered on the books 10 of the City in the name of a depository or its nominee, and held li in safekeeping and immobilized by such depository, and such 12 depository as part of the computerized national securities 13 clearance and settlement system (the "National System") registers 14 transfers of ownership interests in the bonds by making 15 computerized book entries on its own books and distributes 16 payments on the bonds to its Participants shown on its books as 17 the owners of such interests; and such Participants and other 18 banks, brokers and dealers participating in the National System 19 will do likewise (not as agents of the City) if not the 20 beneficial owners of the bonds; and 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 WHEREAS, "Participants" means those financial institutions for whom the Depository effects book-entry transfers and pledges of securities deposited and immobilized with the Depository; and WHEREAS, The Depository Trust Company, a limited purpose trust company organized under the laws of the State of New York, or any o£ its successors or successors to its functions hereunder (the '�Depository"), will act as such depository with respect to the Bonds except as set fortih below, and the City has heretofore delivered a letter of representations (the "Letter of Representations") setting forth various matters relating to the Depository and its role with respect to the Bonds; and WHEREAS, the City will deliver the Bonds in the form of one certificate per maturity, each representing the entire principal amount of the Bonds due on a particular maturity (each a"G1oba1 Certificate"), which single certificate per maturity may be transferred on the City's bond register as reguired by the Uniform Commercial Code, but not exchanged smaller denominations unless the City determines to issue Replacement Bonds as provided below; and date for 41 WHEREAS, the City will be able to replace the 42 Depository or under certain circumstances to abandon the '�global 43 book-entry form" by permitting the Global Certificates to be ?4 exchanged for smaller denominations typical of ordinary bonds 45 registered on the City's bond register; and "Replacement Bonds" 46 means the certificates representing the Bonds so authenticated 1035073.2 2 �q,�3b8 and delivered by the Bond Registrar pursuant to paragraphs 6 and 12 hereof; and 3 WHEREAS, "Holder" as used herein means the person in 4 whose name a Bond is registered on the registration books of the 5 City maintained by the registrar appointed as provided in 6 paragraph 8(the "Bond Registrar"); and � 10 11 12 13 14 15 16 i� WHEREAS, Rule 15c2-12 of the Securities and Exchange Commission prohibits "participating underwriters" from purchasing or selling the Bonds unless the City undertakes to provide certain continuing disclosure with respect to the Bonds; and WHEREAS, pursuant to Minnesota Statutes, Section 475.60, Subdivision 2(9), public sale requirements do not apply to the Bonds if the City retains an independent financial advisor and determines to sell the Bonds by private negotiation, and the City has instead authorized a competitive sale without publiaation of notice Chereof as a£orm of private negotiation; and 18 WHEREAS, proposals for 19 Springsted Incorporated puzsuant 20 Terms of Proposal therein: 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 the Bonds have been solicited by to an Official Statement and NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Saint Paul, Minnesota, as follows: 1. Acceptance of Pr000sal. The proposal of Prudential Securities Inc. (the "Purchaser"), to purchase $3,730,000 General Obligation Street Improvement Special Assessment Bonds, Series 1999C, of the City (the "BOnds", or individually a"Bond"), in accordance with the Terms of Proposal for the bond sale, at the rates of interest hereinafter set forth, and to pay therefor the sum of $3,705,358.40, plus interest accrued to settlement, is hereby found, determined and declared to be the most favorable proposal received and is hereby accepted, and the Bonds are hereby awarded to the Purchaser. The Director, Office of Financial Services, or his designee, is directed to retain the deposit of the Purchaser and to forthwith return to the others making proposals their good faith checks or drafta. 36 2. Title; Original Issue Date; Denominations; 37 Maturities. The Bonds shall be titled "General Obligation Street 38 Improvement Special Assessment Bonds, Series 1999C", shall be 39 dated April 1, 1999, as the date of original issue and shall be 40 issued forthwith on or after such date as fully registered bonds. 41 The Bonds shall be numbered from R-1 upward. Global Certificates 10350�3.2 3 q,q.,�o $' 1 2 3 4 5 6 7 shall each be in the denomination of the entire principal amount maturing on a single date, or, if a portion of said principal amount is prepaid, said principal amount less the prepayment. Replacement Bonds, if issued as provided in paragraph 6, shall be in the denomination of $5,000 each or in any integral multiple thereof of a single maturity. The Bonds shall mature on April 1 in the years and amounts as follows: 8 Year Amount Year Amount 9 2000 $560,000 2006 $ 150,000 10 2001 155,000 2007 150,000 11 2002 150,000 2008 150,000 12 2003 150,000 2009 150,000 13 2004 150,000 2010 150,000 14 2005 150,000 2011 1,665,000 15 For purposes of Minnesota Statutes, Section 475.54, the serial 16 maCurities of the Bonds are combined with the serial maturities 17 of the City's $16,375,000 General Obligation Capital Improvement 18 Bonds, Series 1999B. 19 20 21 22 23 24 25 26 3. Purpose. The Bonds shall provide funds for the construction of various street improvements i�he '�Improvements") in the City, and any excess funds shall be devoted to any other purpose permitted by law. The total cost of the Improvements, 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 Improvements shall proceed with due diligence to completion. 27 4. Interest. The Bonds shall bear interest payable 28 semiannually on April 1 and October 1 of each year (each, an 29 "Interest Payment Date"), commencing April 1, 2000, calculated on 30 the basis of a 360-day year of twelve 30-day months, at the 31 respective rates per annum set forth opposite the maturity years 32 as £ollows: 33 Maturitv Year Interest Rate Maturity Year Interest Rate 34 2000 35 2001 36 2002 37 2003 38 2004 39 2005 4.00o 2006 4.00 2007 4.00 2008 4.00 2009 4.00 2010 4.00 2011 4.00o 4.10 4.20 4.30 4.40 4.50 40 5. Description of the Global Certificates and Global 41 Book-Entrv �stem. Upon their original issuance the Bonds will 42 be issued in the form of a single Global Certificate for each 43 maturity, deposited with the Depository by the Purchaser and 44 immobilized as provided in paragraph 6. No beneficial owners of 10350'J3.2 4 gq.3o8- 1 2 3 4 5 7 8 9 10 11 12 13 1§ 15 16 17 18 interests in the Bonds will receive certificates representing their respective interests in the Bonds except as provided in paragraph 5. Except as so provided, during the term of the Bonds, beneficial ownership (and subsequent transfers of beneficial ownership) of interests in the Global Certificates will be reflected by book entries made on the records of the Depository and its Participants and other banks, brokers, and dealers participating in the National System. The Depository�s book entries of beneficial ownership interests are authorized to be in increments of $5,000 of principal of the Bonds, but not smaller increments, despite the larger authorized denominations of the Global Certificates. Payment of principal of, premium, if any, and interest on the Global Certificates will be made to the Bond Registrar as paying agent, and in turn by the Bond Registrar to the Depository or its nominee as registered owner of the Global Certificates, and the Depository according to the laws and rules governing it will receive and forward payments on behalf of the beneficial owners of the Global Certificates. 19 Payment of principal of, premium, if any, and interest 20 on a Global Certificate may in the City's discretion be made by 21 such other method of transferring funds as may be requested by 22 the Holder of a Global Certificate. 23 6. Immobilization o£ Global Certificates by the 24 Denository; Successor Depositorv: Replacement Bonds. Pursuant to 25 the request of the Purchaser to the Depository, which request is 26 required by the Terms of Proposal, immediately upon the original 27 delivery of the Bonds the Purchaser will deposit the Global 28 Certificates representing all of the Bonds with the Depository. 29 The Global Certificates shall be in typewritten form or otherwise 30 as acceptable to the Depository, shall be registered in the name 31 of the Depository or its nominee and shall be held immobilized 32 from circulation at the offices of the Depository on behalf of 33 the Purchaser and subsequent bondowners. The Depository or its 34 nominee will be the sole holder of record of the Global 35 Certificates and no investor or other party purchasing, selling 36 or otherwise transferring ownership of interests in any Bond is 37 to receive, hold or deliver any bond certificates so long as the 38 Depository holds the Global Certificates immobilized from 39 circulation, except as provided below in this paragraph and in 40 paragraph 12. 41 42 43 44 Certificates evidencing the Bonds may not a£ter their original delivery be transferred or exchanged except: (i) Upon registration of transfer of ownership of a Global Certificate, as provided in paragraph 12, 45 (ii) To any successor of the Depository (or its 46 nominee) or any substitute depository (a "substitute 47 depository") designated pursuant to clause (iii) of this 10350']3.2 5 a`�. 1 subparagraph, provided that any successor of the Depository 2 or any subsCitute depository must be both a"clearing 3 corporation" as defined in the Minnesota Uniform Commercial 4 Code at Minnesota Statutes, Section 336.8-102, and a 5 qualified and registered "clearing agency" as provided in 6 Section 17A of the Securities Exchange Act of 1934, as 7 amended, 8 (iii) To a substitute depository designated by and 9 acceptable to the City upon (a) the determination by the 10 Depository that the Bonds shall no longer be eligible for 11 its depository services or (b) a determination by the City 12 that the Depository is no longer able to carry out its 13 functions, provided that any substitute depository must be 14 qualified to act as such, as provided in clause (ii) of this 15 subparagraph, or 16 (iv) To those persons to whom transfer is requested 17 in written transfer instructions in the event that: 18 (a) the Depository shall resign or discontinue 19 its services for the Bonds and the City is unable to 20 locate a substitute depository within two (2) months 21 following the resignation or determination of non- 22 eligibility, or 23 (b? upon a determination by the City in its sale 24 discretion that (1) the continuation of the book-entry 25 system described herein, which precludes the issuance 26 of certificates (other than Global Certificates) to any 27 Holder other than the Depository (or its nominee), 28 might adversely affect the interest of the beneficial 29 owners of the Bonds, or (2) that it is in the best 30 interesti of the beneficial owners of the Bonds that 31 they be able to obtain certificated bonds, 32 in either of which events the City sha11 notify Holders of 33 its determination and of the availability of certificates 34 (the �'Replacement Bonds") to Holders requesting the same and 35 the registration, transfer and exchange of such Bonds will 36 be conducted as provided in paragraphs 9B and 12 hereof. 37 In the event of a succession of the Depository as may 38 be authorized by this paragraph, the Bond Registrar upon 39 presentation of Global Certificates shall register their transfer 40 to the substitute or successor depository, and the substitute or 41 successor depository shall be treated as the Depository for all 42 purposes and functions under this resolution. The Letter o£ 43 Representations shall not apply to a substitute or successor 44 depository unless the City and the substitute or successor 45 depository so agree, and a similar agreement may be entered into. 1035D73.2 6 q9 -3�8' 1 2 3 4 5 6 7 8 9 10 11 12 13 14 is 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 RedemDtion. (a) OAtional Redemption: Due Date. All Bonds maturing after April 1, 2007, shall be subject to redemption and prepayment at the option of the City on such date and on any day 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, those Bonds remaining unpaid may be prepaid in such order of maturity and in such amount per maturity as the City shall determine; and if only part of the Bonds having a common maturity date are called for prepayment, the Global Certificates may be prepaid in $5,000 increments of principal and, if applicable, the specific Replacement 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. (b) Notation on Global Certificate. Upon a reduction in the aggregate principal amount of a Global Certificate, the Holder may make a notation of such redemption on the panel provided on the G1oba1 Certificate stating the amount so redeemed, or may return the Global Certificate to the Bond Registrar in exchange for a new Global Certificate authenticated by the Bond Registzar, in proper principal amount. Such notation, if made by the Holder, shall be for reference only, and may not be relied upon by any other person as being in any way determinative of the principal amount of such Global Certificate outstanding, unless the Bond Registrar has signed the appropriate column of the panel. (c) Selection of Reglacement Bonds. To effect a partial redemption of Replacement Bonds having a common maturity date, the Bond Registrar prior to giving notice of redemption shall assign to each Replacement Bond having a common maturity date a distinctive number for each $5,000 of the principal amount of such Replacement Bond. The Bond Registrar shall then select by 1ot, using such method of selection as it shall deem proper in its discretion, from the numbers so assigned to such Replacement Bonds, as many numbers as, at $5,000 for each number, shall equal the principal amount of such Replacement Bonds to be redeemed. The Replacement Bonds to be redeemed shall be the Replacement Bonds to which were assigned numbers so selected; provided, however, that only so much of the principal amount of each such Replacement Bond of a denomination of more than $5,000 shall be redeemed as shall equal $5,000 for each number assigned to it and so selected. 45 (d) Partial Redem�tion of Replacement Bond. If a 46 Replacement Bond is to be redeemed only in part, it shall be 47 surrendered to the Bond Registrar (with, if the Citiy or Bond 48 Registrar so requires, a written instrument of transfer in form iassa�3.a 7 °1`1-�D$ 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 satisfactory to the City and Bond Registrar duly executed by the Holder thereof or his, her or its attorney duly authorized in writing) and the City shall execute (if necessary) and the Bond Registrar sha11 authenticate and deliver to the Holder of such Replacement Bond, without service charge, a new Replacement Bond or Bonds of the same series having the same stated maturity and interesC 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. (e) Request for Redem�tion. The Bond Registrar shall call Bonds for redemption and payment as herein provided upon receipt by the Bond Registrar at least forty-five (45) days prior to the redemption date of a request of the City, in written form if the Bond Registrar is other than a City officer. Such request sha11 specify the principal amount of Bonds to be called for redemption and the redemption date. (f) Notice. Mailed notice of redemption shall be given the paying agent (if other than a City officer) and to each affected Holder. If and when the City shall call any o£ the Bonds for redemption and payment prior to the stated maturity thereof, the Bond Registrar shall give written notice in the of the City of its intention to redeem and pay such Bonds at office of Che Bond Registrar. Notice of redemption shall be to name the given by first class mail, postage prepaid, mailed not less than thirty (30) days prior to the redemption date, to each Holder of Bonds to be redeemed, at the address appearing in the Bond Register. Al1 notices of redemption shall state: 29 3Q 31 32 33 34 35 36 37 38 39 40 41 1035073.2 (i) The redemption date; (iil The redemption price; (iii) If less than all outstanding Bonds are to be redeemed, the identification (and, in the case o£ partial redemption, the respective principal amounts) of the Bonds to be redeemed; (iv) That on the redemption date, the redemption price will become due and payable upon each such Bond, and that interest thereon shall cease to accrue from and after said date; and (v) The place where such Bonds are to be surrendered for payment of the redemption price (which shall be the office of the Bond Registrar). �q-3o� 1 2 3 4 5 6 7 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 (g) Notice to Depositorv. Notices to The Depository Trust Company or its nominee shall contain the CUSIP numbers of the Bonds. If there are any Holders of the Bonds other than the Depository or its nominee, the Bond Registrar shall use its best efforts to deliver any such notice to the Depository on the business day next preceding the date of mailing of such notice to all other Holders. 8. Bond Reaistrar. U.S. Bank Trust National Association, in Saint 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. A successor Bond Registrar shall be an officer of the City or a bank or trust company eligible £or designation as bond registrar pursuant to Minnesota Statutes, ChapCer 475, and may be appointed pursuant Co any contract the City and such successor 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 Holders (or record holders) of the Bonds in the manner set forth in the forms of Bond and paragraph 14 of this resolution. 9. Forms of Bond. The Bonds shall be in the form of Global Certificates unless and until Replacement Bonds are made available as provided in paragraph 6. Each form of bond may contain such additional or different terms and provisions as to the form of payment, record date, notices and other matters as are consistent with the Letter of Representations and approved by the City Attorney, A. Global Certificates. The Global Certificates, together with the Certificate of Registration, the Register of Partial Payments, the form of Assignment and the registration information thereon, shall be in substantially the following form and may be typewritten rather than printed: 10350�3.2 °Iq '3°� � 2 3 4 5 R- 6 7 8 INTEREST 9 RATE 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 4� 41 UNITED STATES OF AMERICA STATE OF MINNESOTA RAMSEY CO[INTY CITY OF SAINT PAUL GENERAL OBLIGATION STREET IMPROVEMENT SPECIAL ASSESSMEI3T BOND, SERIES 1999C MATURITY DATE DATE OF ORIGINAL ISSUE Ci3SIP April 1, REGISTERED OWNER: PRINCIPAL AMOUNT: DOLLARS KNOW ALL PERSONS BY THESE PRESENTS that the City of Saint Paul, Ramsey County, Minnesota (the ��Issuer" or "City"), certifies that it is indebted and for value received promises to pay to the registered owner specified above or on the certificate of registration below, or registered assigns, in the manner hereinafter set forth, the principal amount specified above, on the maturity date specified above, unless called for earlier redemption, and to pay interest thereon semiannually on April 1 and October 1 of each year (each, an ��Interest Payment Date"), commencing April 1, 2000, 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 wi11 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 Sond are payable in same-day funds by 2:30 p.m., Eastern time, upon presentation and surrender hereof at the principal o£fice of in , Minnesota (the "BOnd Registrar"), acting as paying agent, or any successor paying agent duly appointed by the Issuer; provided, however, that upon a partial redemption of this Bond which results in the stated amount hereof being reduced, the Holder may in its discretion be paid without presentation of this Bond, which payment shall be received no later than 2:30 p.m., Eastern time, and may make a notation on the panel provided herein of such redemption, stating the amount so redeemed, or may return the Bond to the Bond Registrar in exchange for a new Bond in the proper principal amount. Such notation, if made by the Holder, shall be for April 1, 1999 1�35073.2 1,� aq-3o� � 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 ia 19 20 21 22 23 24 25 reference only, and may not be relied upon by any other person as being in any way determinative of the principal amount of this Bond outstanding, unless the Bond Registrar has signed the appropriate column of the panel. Interest on this Bond will be paid on each Interest Payment Date in same-day funds by 2:30 p.m., Eastern time, 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 preceding such Interest Payment Date (the "Regular Record Date"). Interest payments shall be received by the Aolder no later than 2:30 p.m., Eastern time; and principal and premium payments shall be received by the Holder no later than 2:30 p.m., Eastern time, if the Bond is surrendered for payment enough in advance to permit payment to be made by such time. 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 sha11 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. 26 Date of Payment Not Business Day. If the date for 27 payment of the principal of, premium, if any, or interest on this 28 Bond shall be a Saturday, Sunday, legal holiday or a day on which 29 banking institutions in the City of New York, New York, or the 30 city where the principal office of the Bond Registrar is located 31 are authorized by law or executive order to close, then the date 32 for such payment shall be the next succeeding day which is not a 33 Saturday, Sunday, legal holiday or a day on which such banking 34 institutions are authorized to close, and payment on such date 35 shall have the same force and effect as if made on the nominal 36 date of payment. 37 Redemption. All Bonds of this issue (the "Bonds") 38 maturing after April 1, 2007, are subject to redemption and 39 prepayment at the option of the Issuer on such date and on any 40 day thereafter at a price of par plus accrued interest. 41 Redemption may be in whole or in part of the Bonds subject to 42 prepayment. If redemption is in part, those Bonds remaining 43 unpaid may be prepaid in such order of maturity and in such 44 amount per maturity as the City shall determine; and if only part 45 of the Bonds having a common maturity date are called for 46 prepayment, this Bond may be prepaid in $5,000 increments of a7 principal. Bonds or portions thereof called for redemption shall 48 be due and payable on the redemption date, and interest thereon 49 shall cease to accrue from and after the redemption date. 1035073.2 1 1 9q-�o� 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 � Notice of Redemption. Mailed notice of redemption sha11 be given to the paging agent (if other than a City officer) and to each affected Holder of the Bonds. In the event any of the Bonds are called for redemption, written notice thereof will be given by first class mail mailed not less than thirty (3o) days prior to the redemption date to each Holder of Bonds to be redeemed. In connection with any such notice, the "CUSIP" numbers assigned to the Bonds shall be used. Replacement or Notation of Bonds after Partial Redemntion_ Upon a partial redemption of this Bond which results in the stated amount hereof being reduced, the Holder may in its discretion make a notation on the panel provided herein of such redemption, stating the amount so redeemed. Such notation, if made by the Holder, shall be for reference only, and may not be relied upon by any other person as being in any way determinative of the principal amount of the Bond outstanding, unless the Bond Registrar has signed the appropriate column of the panel. Otherwise, the Holder may surrender this Bond 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 Che Holder thereof or his, her or its attorney duly authorized in writinq) and the Issuer shall execute (if necessary) and the Bond Registrar shall authenticate and deliver to the Aolder of such Bond, without service charge, a new Bond of the same series having the same stated maturity and interest rate and of the authorized denomination 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 $3,730,000, 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 the Charter of the Issuer, and pursuant to a resolution adopted by the City Council of the Sssuer on April 7, 1999 (the "Resolution"), for the purpose o£ providing money to finance the construction of various street improvements in the City. This Bond is payable out of a special account relating to the Bonds in the General Obligation Special Assessments -- Streets Debt Service Fund of the Issuer. This Sond 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; ExchanQe; Resolution. The Bonds are issuable originally only as Global Certificates in the 1035073.2 12 ° l`t -308' 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 1'J 18 19 denomination of the entire principal amount of the issue maturing on a single date, or, if a portion of said principal amount is prepaid, said principal amount less the prepayment. Global Certificates are not exchangeable for fully registered bonds of smaller denominations except to evidence a partial prepayment or in exchange for Replacement Bonds if then available. Replacement Bonds, if made available as provided below, are issuable solely as fully registered bonds in the denominations of $S,D00 ar.d integral multiples thereof of a single maturity 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. Replacement Bonds. Replacement Bonds may be issued by the Issuer in the event that: 20 (a) the Depository shall resign or discontinue its 21 services for the Bonds, and only if the Tssuer is unable to 22 locate a substitute depository within two (2) months 23 following the resignation or determination of non- 24 eligibility, or 25 (b) upon a determination by the Issuer in its sole 26 discretion that (1) the continuation of the book-entry 27 system described in the Resolution, which precludes the 28 issuance of certificates (other than Global Certificates) to 29 any Holder other than the Depository (or its nominee�, might 30 adversely affect the interest of the beneficial owners of 31 the Bonds, or (2) that it is in the best interest of the 32 beneficial owners of the Bonds that they be able to obtain 33 certificated bonds. 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 Transfer. This Bond shall be registered in the name of the payee on the books of the Issuer by presenting this Bond for registration to the Bond Registrar, who will endorse his, her or its name and note the date of registration opposite the name of the payee in the certificate of registration attached hereto. Thereafter this Bond may be transferred by delivery with an assignment duly executed by the Holder or his, her or its legal representatives, and the Issuer and Bond Registrar may treat the Holder as the person exclusively entitled to exercise all the rights and powezs of an owner until this Bond is presented with such assignment for registration of transfer, accompanied by assurance of the nature provided by law that the assignment is genuine and effective, and until such transfer is registered on said books and noted hereon by the Bond Registrar, all subject to the terms and conditions provided in the Resolution and to 1035073.2 1 3 q°�-3a� 1 reasonable regulations of the Issuer contained in any agreement 2 with, or notice to, the Bond Registrar. Trans£er of this Bond 3 may, at the direction and expense of the Issuer, be subject to 4 certain other restrictions if required to qualify this Bond as 5 being "in registered form" within the meaning of Section 149(a) 6 of the federal Internal Revenue Code of 1986, as amended. 7 Fees upon Trans£er or Loss. The Bond Registrar may S require payment of a sum sufficient to cover any tax or other 9 governmental charge payable in connection with the transfer or 10 exchange of this Bond and any legal or unusual costs regarding 11 transfers and lost Bonds. 12 Treatment of Registered Owner. The Issuer and Bond 13 Registrar may treat the person in whose name this Bond is 14 registered as the owner hereof for the purpose of receiving 15 payment as herein provided (except as otherwise provided with 16 respect to the Record Date) and for all other purposes, whether 17 or not this Bond shall be overdue, and neither the Issuer nor the 18 Bond Registrar shall be affected by notice to the contrary. 19 Authentication. This Bond shall not be valid or become 2� obligatory for any purpose or be entitled to any security unless 21 the Certificate of Authentication hereon shall have been executed 22 by the Bond Registrar. 23 Not Oualified Tax-Exempt Obliaations. The Bonds have 24 not been designated by the Issuer as "qualified tax-exempt 25 obligations" for purposes of Section 265(b)(3) of the federal 26 Internal Revenue Code of 1986, as amended. The Bonds do not 27 qualify for such designation. 28 IT IS HEREBY CERTIFIED AND RECITED that all acts, 29 conditions and things required by the Constitution and laws of 30 the State of Minnesota and the Charter of the Issuer to be done, 31 to happen and to be performed, precedent to and in the iesuance 32 of this Bond, have been done, have happened and have been 33 performed, in regular and due form, time and manner as required 34 by law, and that this Bond, together with all other debts of the 35 Issuer outstanding on the date of original issue hereof and on 36 the date of its issuance and delivery to the original purchaser, 37 does not exceed any constitutional or statutory or Charter 38 limitation of indebtedness. 39 IN WITNESS WHEREOF, the City of Saint Paul, Ramsey 40 County, Minnesota, by its City Council has caused this Bond to be 41 executed on its behalf by the photocopied facsimile signature of 42 its Mayor, attested by the photocopied facsimile signature of its 43 C1erk, and countersigned by the photocopied facsimile signature 4§ of its Director, Office of Financial Services, the o£ficial seal 45 having been omitted as permitted by law. io3so�3.z 14 q`1-3o8' 1 2 3 4 Date of Registration Registrable by: Payable at: _ 5 BOND REGISTRAR'S 6 CERTIFICATE OF 7 AiIT'rIENTICATION 8 This Bond is one of the 9 Bonds described in the 10 Resolution mentioned 11 within. 12 13 14 15 , 16 Bond Registrar 17 18 19 20 21 By Authorized Signature CITY OF SAINT PAUL, RAMSEY COUNTY, MINNESOTA Mayor Attest: City Clerk Countersigned: Director, Office of Financial Services 22 General Obligation Street Improvement Special Assessment Bond, 23 Series 1999C, No. R- 1035073.2 15 q9-�o� � 2 3 4 5 6 7 e E E��; 11 12 CERTIFICATE OF REGISTRATIOI3 The transfer of ownership of the principal amount of the attached Bond may be made only by the registered owner or his, her or its legal representative last noted below. DATE OF REGISTRATION REGISTERED OWNER SIGNATURE OF BOND REGISTRAR 1035073.2 E[:7 99-30� � REGISTER OF PARTIAL PAYMENTS 3 The principal amount of the attached Bond has been prepaid on the 4 dates and in the amounts noted below: 5 Signature of Signature of 6 Date Amount Hondholder Eond Rectistrar 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 If a notation is made on this register, such notation has the 24 effect stated in the attached Bond. Partial payments do not 25 require the presentation of the attached Bond to the Bond 26 Registrar, and a Holder could fail to note the partial payment 27 here. 1035073.2 l�] q9-�o� � ABBREVIATIONS 2 The following abbreviations, when used in the inscription on 3 the face of this Bond, shall be construed as though they were 4 written out in full according to applicable laws or regulations: 5 TEN_COM - as tenants in common 6 TEN ENT - as tenants by the entireties 7 JT TEN - as joint tenants with right of survivorship 8 and not as tenants in common 9 UTMA - as custodian £or 10 (Cust) (Minor) 11 under the Uniform Transfers 12 (State) 13 to Minors Act 14 Additional abbreviations may also be used 15 though not in the above list. 1035073.2 ]_8 9q •1oP' � ASSIGI3MEN`I' 2 For value received, the undersigned hereby sells, 3 assigns and transfers unto 4 the attached Bond and does 5 hereby irrevocably constitute and appoint 6 attorney to transfer the Bond on the books 7 kept for the registration thereof, with full power of 8 substitution in the premises. 9 Dated: 10 Notice: The assignor's signature to this assignment 11 must correspond with the name as it appears 12 upon the face of the attached Sond in every 13 particular, without alteration or any change 14 whatever. 15 Signature Guaranteed: FS:7 17 Signature(s) must be guaranteed by a national bank or trust 18 company or by a brokerage firm having a membership in one of the 19 major stock exchanges or any other "Eligible Guarantor 20 Institution" as defined in 17 CFR 240.17Ad-15(a)(2). 21 The Bond Registrar will not effect transfer of t11is 22 Bond unless the information concerning the transferee requested 23 below is provided. 24 Name and Address: 25 26 27 (Include information for all joint owners 28 if the Bond is held by joint account.) 1035073.2 ]_9 9� • �os' 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 B. Replacement Bonds. If the City has notified Holders that Replacement Bonds have been made available as provided in paragraph 6, then for every Bond thereafter transferred or exchanged (including an exchange to reflect the partial prepayment of a Global Certificate not previously exchanged for Replacement Bonds) the Bond Registrar shall deliver a certificate in the form of the Replacement Bond rather than the Global Certificate, but the Holder of a Global Certificate shall not,otherwise be required to exchange the Global Certificate for one or more Replacement Bonds since the City recognizes that some beneficial owners may prefer the convenience of the Depository's registered ownership of the Bonds even though the entire issue is no longer required to be in global book-entry form. The Replacement 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: 1035073.2 2,� qq-3o8 1 UNITED STATES OF AMERICA 2 STATE OF MINNESOTA 3 RAMSEY COUNTY 4 CITY OF SAINT PAUL 5 R- 6 GENERAI, OBLIGATION STREET IMPROVEMENT 7 SPECIAL ASSESSMENT BOND, SERIES 1999C 8 9 10 11 12 INTEREST RATE MATURITY DATE OF DATE ORIGINAL ISSUE April 1, 1999 CUSIP 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 REGISTERED OWNER: PRINCIPAL AMQUNT: $ UAIiU�F_lel.y KNOW ALL PERSONS BY THESE PRESENTS that the City of Saint Paul, Ramsey County, Minnesota (the "Issuer" or "City'�), 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 earlier redemption, and to pay interest thereon semiannually on April 1 and October 1 of each year (each, an "Interest Payment Date"), commencing April 1, 2000, 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 , in , (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 dra£t 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 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 sha11 be payable to the person who is the Holder hereo£ at 1035�73.2 2 1 9q-�o� 1 the close of business on a date (the "Special Record Date") fixed 2 by the Bond Registrar whenever money becomes available for 3 payment of the defaulted interest. Notice of the Special Record 4 Date shall be given to Bondholders not less than ten days prior 5 to the Special Record Date. The principal of and premium, if 6 any, and interest on this Bond are payable in lawful money of the 7 United States of America. 8 REFERENCE IS HEREBY MADE TO THE FURTHER PROVISIONS OF 9 THIS BOND SET FORTH ON THE REVERSE HERBOF, WHICH PROVISIONS SHALL 10 FOR ALL PURPOSES HA�IE THE SAME EFFECT AS IF SET FORTH HERE. 11 IT IS HEREBY CERTIFIED AND RECITED that all acts, 12 conditions and things required by the Constitution and laws of 13 the State of Minnesota and the Charter of the Issuer to be done, 14 to happen and to be performed, precedent to and in the issuance 15 of this Bond, have been done, have happened and have been 16 performed, in regular and due form, time and manner as required 17 by law, and that this Bond, together with all other debts of the 18 Issuer outstanding on the date of original issue hereof and on 19 the date of its issuance and delivery to the original purchaser, 20 does not exceed any constitutional or statutory or Charter 21 limitation of indebtedness. 22 IN WITNESS WHEREOF, the City of Saint Paul, Ramsey 23 County, Minnesota, by its City Council has caused this Bond to be 24 executed on iCs behalf by the original or facsimile signature of 25 its Mayor, attested by the original or facsimile signature of its 26 Clerk, and countersigned by the original or facsimile signature 27 of its Director, Office of Financial Services, the official seal 28 having been omitted as permitted by law. 1035073.2 2 2 99 -3as� 1 2 3 4 Date of Registration 5 BOND REGISTRAR'S 6 CERTIFICATE OF 7 AUTHENTICATION 8 This Bond is one of the 9 Bonds described in the 10 Resolution mentioned 11 within. 12 13 14 , 15 Bond Registrar 16 17 18 19 By Authorized Signature 1035073.2 Registrable by: Payable at: CITY OF SAINT PAUL, RAMSEY COUNTY, MINNESOTA Mayor Attest: City Clerk Countersigned: Director, Office of Financial Services 23 99-�08' � ON REVERSE OF BOND 2 Date of Payment Not Business Day. If the date for 3 payment of the principal of, premium, if any, or interest on this 4 Bond shall be a Saturday, Sunday, legal.holiday or a day on which 5 banking institutions in the City of New York, New York, or the 6 city where the principal office of the Bond Registrar is located 7 are authorized by law or executive order to close, then the date 8 for such payment shall be the next succeeding day which is not a 9 Saturday, Sunday, legal holiday or a day on which such banking 10 institutions are authorized to close, and payment on such date 11 shall have the same force and effect as if made on the nominal 12 date of payment. 13 Redemption. All Bonds of this issue (the ��Bonds") 14 maturing after April 1, 2007, are subject to redemption and 15 prepayment at the option of the Issuer on such date and on any 16 day thereafter at a price of par plus accrued interest. 17 Redemption may be in whole or in part of the Bonds subject to 18 prepayment. If redemption is in part, those Bonds remaining 19 unpaid may be prepaid in such order of maturity and in such 20 amount per maturity as the City sha11 determine; and if only part 21 of the Bonds having a common maturity date are called for 22 prepayment, the specific Bonds to be pzepaid shall be chosen by 23 lot by the Bond Registrar. Bonds or portions thereof called for 24 redemption shall be due and payable on the redemption date, and 25 interest thereon shall cease to accrue from and after the 26 redemption date. 27 Notice of Redemgtion. Mailed notice of redemption 28 shall be given to the paying agent (if other than a City officer) 29 and to each affected Holder of the Bonds. In the event any of 30 the Bonds are called for redemption, written notice thereof wi11 31 be given by first class mail mailed not less than thirty (30) 32 days prior to the redemption date to each Holder o£ Bonds to be 33 redeemed. In connection with any such notice, the "CUSIP" 34 numbers assigned to the Bonds sha11 be used. 35 Selection of Bonds for Redemption. To effect a partial 36 redemption of Bonds having a common maturity date, the Bond 37 Registrar shall assign to each Bond having a common maturity date 38 a distinctive number for each $5,000 of the principal amount of 39 such Bond. The Bond Registrar shall then select by lot, using 40 such method of selection as it shall deem proper in its 41 discretion, from the numbers assigned to the Bonds, as many 42 numbers as, at $5,000 for each number, shall equal the principal 43 amount of such Bonds to be redeemed. The Bonds to be redeemed 44 shall be the Bonds to which were assigned numbers so selected; 45 provided, however, that only so much o£ the principal amount of 46 such Bond of a denomination of more than $5,000 shall be redeemed 1035073.2 2 4 99 • 3a� 1 as shall equal $5,000 for each number assigned to it and so 2 selected. If a Bond is to be redeemed only in part, it shall be 3 surrendered to the Bond Registrar (with, if the Issuer or Bond 4 Registrar so requires, a written instrument of transfer in form 5 satisfactory to the Issuer and Bond Registrar duly executed by 6 the Holder thereof or his, her or its attorney duly authorized in 7 writing? and the Issuer shall execute (if necessary) and the Bond 8 Registrar shall authenticate and deliver to the Holder of such 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 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; Purnose; General Oblic,�ation. This Bond is one of an issue in the total principal amount of $3,730,000, 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 the Charter of the Issuer, and pursuant to a resolution adopted by the City Council of the Issuer on April 7, 1999 (the "Resolution"), for the purpose of providing money to finance the construction of various street improvements in the City. This Bond is payable out of a special account relating to the Bonds in the General Obligation Special Assessments -- Streets Debt Service 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 as fully registered bonds in the denominations of $5,000 and integral multiples thereof of a single maturity and are exchangeable for fully registered Bonds of other authorized denominations in equal aggregate principal amounts at the principal of£ice 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. 44 Trans£er. This Bond is transferable by the Holder in 45 person or by his, her or its attorney duly authorized in writing 46 at the principal office of the Bond Registrar upon presentation 47 and surrender hereof to the Bond Registrar, all subject to the 48 terms and conditions provided in the Resolution and to reasonable 49 regulations of the Issuer contained in any agreement with, or 1035073.2 2 rJ 99-3aY 1 notice to, the Bond Registrar. Thereupon the Issuer shall 2 execute and the Bond Registrar shall authenticate and deliver, in 3 exchange for this Bond, one or more new fully registered Bonds in 4 the name of the transferee (but not registered in blank or to 5 ��bearer" or similar designation), of an authorized denomination 6 or denominations, in aggregate principal amount equal to the 7 principal amount of this Bond, of the same maturity and bearing 8 interest at the same rate. 9 Fees upon Transfer or Loss. The Bond Registrar may 10 require payment of a sum sufficient to cover any tax or other ll governmental charge payable in connection with the transfer or 12 exchange of this Bond and any legal or unusual costs regarding 13 transfers and lost Bonds. 14 15 16 17 18 19 20 21 Treatment of Reaistered Owner. 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 on the reverse side hereof 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. 22 Authentication. This Bond shall not be valid or become 23 obligatory for any purpose or be entitled to any security unless 24 the Certificate of Authentication hereon shall have been executed 25 by the Bond Registrar. 26 Not Oualified Tax-Exempt Obliaations. The Bonds have 27 not been designated by the Issuer as "qualified tax-exempt 28 obligations" for purposes of Section 265(b)(3) of the federal 29 Internal Revenue Code of 1986, as amended. The Bonds do not 30 qualify for such designation. 1035073.2 2 6 99-3op' � ABBREVIATIONS 2 The £ollowing abbreviations, when used in the 3 inscription on the face of this Bond, shall be construed as 4 though they were written out in full according to applicable laws 5 or regulations: 6 TEN COM - as tenants in common 7 TEN ENT - as tenants by the entireties 8 JT TEN - as joint tenants with right of survivorship 9 and not as tenants in common 10 UTMA - as custodian for 11 (Cust) (Minor) 12 under the Uniform Transfers 13 (State) 14 to Minors Act 15 Additional abbreviations may also be used 16 though not in the above list. 1035073.2 2�] Qq -�o� � ASSIGNMENT 2 For value received, the undersiqned hereby se11s, 3 assigns and transfers unto 4 the within Bond and does 5 hereby irrevocably constitute and appoint 6 attorney to transfer the Bond on the books kept for the 7 registration thereof, with full power of substitution in the 8 premises. 9 Dated: 10 Notice: The assignor's signature to this assignment 11 must correspond with the name as it appears 12 upon the face of the within Bond in every 13 particular, without alteration or any change 14 whatever. 15 Signature Guaranteed: � 17 Signature(s) must be guaranteed by a national bank or trust 18 company or by a brokerage firm having a membership in one of the 19 major stock exchanges or any other "Eligible Guarantor 20 Institution" as defined in 17 CFR 240.17Ad-15(a)(2). 21 The Bond Registrar will not effect transfer of this 22 Bond unless the information concerning the transferee requested 23 below is provided. 24 Name and Address: 25 26 27 28 (Include information for all joint owners if the Bond is held by joint account.) 10350�3.2 2 8 41-�0� 1 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 10. Execution. The Bonds shall be executed on behalf of the City by the signatures of its Mayor, Clerk and Director, Office of Financial Services, each with the effect noted on the forms of the Bonds, and be sealed with the seal of the City; provided, however, that the seal of the City may be a printed or photocopied facsimile; and provided further that any of such signatures may be printed or photocopied facsimiles and the corporate seal may be omitted on the Bonds as permitted by law. In the event of disability or resignation or other absence of any such officer, the Bonds may be signed by the manual or facsimile signature of that officer who may act on behalf of such absent or disabled officer. In case any such 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, such signature or facsimile shall nevertheless be valid and sufficient for all purposes, the same as if he or she had remained in office until delivery. 11. Authentication; Date of Reaistration. 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 Certi£icate 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. For purposes of delivering the original Global Certi£icates to the Purchaser, the Bond Registrar shall insert as the date of registration the date of original issue, which date is Apri1 1, 1999. The Certificate of Authentication so executed on each Bond shall be conclusive evidence that it has been authenticated and delivered under this resolution. 12. RegisCration; Transfer; Exchancxe. 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. A Global Certificate shall be registered in the name of the payee on the books of the Bond Registrar by presenting the G1oba1 Certificate for registration to the Bond Registrar, who will endorse his or her name and note the date of registration opposite the name of the payee in the certificate of registration on the Global Certificate. Thereafter a Global Certificate may be transferred by delivery with an assignment duly executed by the Holder or his, her or its legal representative, and the City 1035073.2 2 9 9`t-3o�- F� 4 5 6 7 8 9 10 and Bond Registrar may treat the Holder as the person exclusively entitled to exercise all the rights and powers of an owner until a Global Certificate is presented with such assignment for registration of transfer, accompanied by assurance of the nature provided by law that the assignment is genuine and effective, and until such transfer is registered on said books and noted thereon by the Bond Registrar, all subject to the terms and conditions provided in the Resolution and to reasonable regulations of the City contained in any agreement with, or notice to, the Bond Registrar. 11 Transfer of a Global Certificate may, at the direction 12 and expense of the City, be subject to other restrictions if 13 required to qualify the Global Certificates as being '�in 14 registered form" within the meaning of Section 149(a) of the 15 federal Internal Revenue Code of 1986, as amended. 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 If a Global Certificate is to be exchanged for one or more Replacement Bonds, all of the principal amount of the Global Certificate shall be so exchanged. Upon surrender for transfer of any Replacement 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 11) of, and deliver, in the name of the designated transferee or transferees, one or more new Replacement 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 of a Replacement Bond, Replacement Bonds may be exchanged for Replacement Bonds of authorized denomination or denominations of a like aggregaCe principal amount and stated maturity, upon surrender of the Replacement Bonds to be exchanged at the principal office of any the Bond Registrar. Whenever any Replacement 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 Replacement Bonds which the Holder making the exchange is entitled to receive. Global Certificates may not be exchanged for Global Certificates of smaller denominations. 42 Al1 Bonds surrendered upon any exchange 43 provided for in this resolution shall be promptly 44 the Bond Registrar and thereafter disposed of as 45 City. 1035073.2 30 or transfer cancelled by directed by the 9g-3o� 1 All Bonds delivered in exchange for or upon transfer of 2 Bonds shall be valid general obligations of the City evidencing 3 the same debt, and entitled to the same benefits under this 4 resolution, as the Bonds surrendered for such exchange or 5 trans£er. 6 Every Bond presented or surrendered for transfer or 7 exchange shall be duly endorsed or be accompanied by a written 8 instrument of transfer, in form satisfactory to the Bond 9 Registrar, duly executed by the Holder thereof or his, her or its 10 attorney duly authorized in writing. 11 The Bond Registrar may require payment of a sum 12 sufficient to cover any tax or other governmental charge payable 13 in connection with the transfer or exchange of any Bond and any 14 legal or unusual costs regarding transfers and lost Bonds. 15 Transfers shall also be subject to reasonable regula- 16 tions of the City contained in any agreement with, or notice to, 17 the Bond Registrar, including regulations which permit the Bond 18 Registrar to close its transfer books between record dates and 19 payment dates. 20 13. Riqhts Upon Transfer or ExchancLe. Each Bond 21 delivered upon transfer of or in exchange for or in lieu of any 22 other Bond shall carry all the rights to interest accrued and 23 unpaid, and to accrue, which were carried by such other Bond. 24 14. Interest Pavment; Record Date. Interest on any 25 Global Certificate shall be paid as provided in the first 26 paragraph thereof, and interest on any Replacement Bond shall be 27 paid on each Interest Payment Date by check or draft mailed to 28 the person in whose name the Bond is registered (the "Holder") on 29 the registration books of the City maintained by the Bond 30 Registrar, and in each case at the address appearing thereon at 31 the close of business on the fifteenth (15th) day of the calendar 32 month preceding such Interest Payment Date (the "Regular Record 33 Date"). Any such interest not so timely paid shall cease to be 34 payable to the person who is the Holder thereof as of the Regular 35 Record Date, and shall be payable to the person who is the Holder 36 thereof at the close of business on a date (the "Special Record 37 Date") fixed by the Bond Registrar whenever money becomes 38 available for payment of the defaulted interest. Notice of the 39 Special Record Date shall be given by the Bond Registrar to the 40 Holders not less than ten (10) days prior to the Special Record 41 Date. 42 15. Holders; Treatment of Reaistered Owner; Consent of 43 Holders. 44 (A) For the purposes of all actions, consents and other 45 matters affecting Holders of the Bonds, other than payments, 1035073.2 3 1 qq . 30�- 1 redemptions, and purchases, the City may (but shall not be 2 obligated to) treat as the Holder of a Bond the beneficial owner 3 of the Bond instead of the person in whose name the Bond is 4 registered. For that purpose, the City may ascertain the 5 identity of the beneficial owner of the Bond by such means as the 6 Bond Registrar in its sole discretion deems appropriate, 7 including but not limited to a certificate from the person in 8 whose name the Bond is registered identifying such beneficial 9 owner. 10 (B) The City and Bond Registrar may treat the person in 11 whose name any Bond is registered as the owner of such Bond for 12 the purpose of receiving payment of principal of and premium, if 13 any, and interest (subject to the payment provisions in paragraph 14 14 above) on, such Bond and for all other purposes whatsoever 15 whether or not such Bond shall be overdue, and neither the City 16 nor the Bond Registrar shall be affected by notice to the 17 contrary. 18 (C) Any consent, request, direction, approval, objection or 19 other instrument to be signed and executed by the Holders may be 20 in any number of concurrent writings of similar tenor and must be 21 signed or executed by such Holders in person or by agent 22 appointed in writing. Proof of the execution of any such 23 consent, request, direction, approval, objection or other 24 instrument or of the writing appointing any such agent and of the 25 ownership of Bonds, if made in the following manner, shall be 26 sufficient for any of the purposes of this Resolution and shall 27 be conclusive in favor of the City with regard to any action 28 taken by it under such request or other instrument, namely: 29 (1) The fact and date of the execution by any person 30 of any such writing may be proved by the certificate of any 31 officer in any jurisdiction who by law has power to take 32 acknowledgments within such jurisdiction that the person 33 signing such writing acknowledged before him or her the 34 execution thereof, or by an affidavit of any witness to such 35 execution. 36 (2) Subject to the provisions of subparagraph (A) 37 above, the fact of the ownership by any person of Bonds and 38 the amounts and numbers of such Bonds, and the date of the 39 holding of the same, may be proved by reference to the bond 40 register. 41 16. Delivery; Application of Proceeds. The Global 42 Certificates when so prepared and executed shall be delivered by 43 the Director, Office of Financial Services, to the Purchaser upon 44 receipt of the purchase price, and the Purchaser shall not be 45 obliged to see to the proper application thereof. 1035073.2 3 2 4' � 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 17. Funds. There is hereby created a special fund to be designated the "1999 Capital Projects Fund" (numbered C-99, the "Capital Fund"), to be administered and maintained by the City Treasurer as a bookkeeping account separate and apart from all other accounts maintained in the official £inancial records of the City. There has been heretofore created and established the "General Obligation Special Assessments -- Streets Debt Service Fund" (numbered 963, the "Debt Service Fund��). The Capital Fund and Debt Service Fund shall be maintained in the manner herein specified until all of the Bonds and the interest thereon have been fully paid. (i) CaDital Fund. To the Capital Fund there shall be credited the proceeds of the sale of the Bonds, less accrued interest received thereon, and less any amount paid for the Bonds in excess of $3,692,700. From the Capital Fund there shall be paid all costs and expenses of making the Improvements listed in paragraph 18, after they have been ordered in accordance with the Charter of the City, including the cost of any construction contracts heretofore let and a11 other costs incurred and to be incurred of the kind authorized in Minnesota Statutes, Section 475.65 (including interest on the Bonds payable during the construction period); and the moneys in the Capital Fund 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 covenanted to be levied; and provided further that if upon completion of the Improvements there shall remain any unexpended balance in the Capital Fund, the balance may be transferred by the Council to the fund of any other improvement instituted pursuant to the City's Charter or Minnesota Statutes, Chapter 429, or used to pay the costs of any other purpose permitted by law, or transferred to the Debt Service Fund. All earnings on the Capital Fund shall be transferred to the Debt Service Fund, or may be retained in the Capital Fund. (ii) Debt Service Fund. There is hereby pledged and there shall be credited to a special account relating to the Bonds in the Debt Service Fund: (a) collections of special assessments herein covenanted to be levied, to the extent provided in paragraph 19; (b) all accrued interest received upon delivery of the Bonds; (c) all funds paid for the Bonds in excess of $3,692,700; (d) any collections of all taxes which are levied herein, or which may hereafter be levied in the event that the special assessments herein pledged to the payment of the Bonds and interest thereon are insufficient therefor; (e) all funds remaining in the Capital Fund after completion o£ the Improvements and payment of the costs 10350�3.2 33 q9-3or � 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 .; thereof, not so transferred to the account of another improvement or used to pay the costs of any other purpose permitted by law; and (f) all investment earnings on moneys held in such special account in the Debt Service Fund or on moneys held in the Capital Fund. If moneys in the special account of the Debt Service Fund should ever be insufficient to pay debt service on the Bonds, the Bonds shall be paid from the Debt Service Fund or any other special account therein, and the Bonds are hereby made payable from the Debt Service Fund and any other special accounts therein for this purpose. Amounts drawn from the Debt Service Fund or any special account therein may be repaid with or without interest when moneys sufficient for such repayment are deposited in the special account relating to the Bonds in the Debt Service Fund. The special account relating to the Bonds in the Debt Service Fund shall be used solely to pay the principal and interest and any premiums for redemption of the Bonds and any other general obligation bonds of the City hereafter issued by the City and made payable from such special account in the Debt Service Fund as provided by law, or to pay any rebate due to the United States. 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 £ive percent (5%) of the proceeds of the Bonds. To this effect, any sums from time to time held in the Capital Fund or in such special account in the Debt Service Fund (or any other City fund or account which will be used to pay principal or interest to become due on the bonds payable therefrom) in excess of amounts which under then- applicable federal arbitrage regulations may be invested without regard as 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. In addition, the proceeds of the Bonds and money in the Capital Fund or in such special account in the Debt Service 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"). 18. Assessments; Coverage Test. The City Council has heretofore determined, and does hereby determine, to proceed with the Improvements and special assessments with respect thereto io3so�a.z �� a9-�o� 1 2 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 under the provisions of the Charter of the City, rather than the provisions of Minnesota Statutes, Chapter 429. It is hereby determined that no less than twenty percent (200) of the cost to the City of each Improvement financed hereunder within the meaning of Minnesota Statutes, Section 475.58, Subdivision 1(3), shall be paid by special assessments to be 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 each Improvement financed hereunder unless the resolution ordering the Improvement specifies a different time limit for the letting of construction contracts and 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 this 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 this 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. The special assessments have not heretofore been authorized, and accordingly, for purposes of Minnesota Statutes, Section 475.55, Subdivision 3, the special assessments are hereby authorized. Subject to such adjustments as are required by conditions in existence at the time the assessments are levied, the assessments are hereby authorized and it is hereby determined that the assessments shall be 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 a rate per annum approximately one percent (lo) per annum in excess of the net effective rate of interest on the Bonds: Improvement Designation Pascal/Jefferson Grotto{HOyt Chatsworth/HOyt Hewitt/Aldine Ivy/Earl Amount 870,000 325,000 770,000 790,000 975,000 Levy Years Collection Years TOTAL $3,730,000 1999-2018 for all 2000-2019 for all 46 The special assessments shall be such that if collected 47 in full they, together with estimated collections of other 1035073.2 3 �j 1 revenues herein pledged for the payment of the Bonds, wi11 2 produce at least five percent (50) in excess of the amount needed 3 to meet when due the principal and interest payments on the Bonds 4 in every year except the final year (2011). At the time the 5 assessments are in fact levied the City Council shall, based on 6 the then-current estimated collections of the assessments, make 7 any adjustments in any ad valorem taxes required to be levied in 8 order to assure that the City continues to be in compliance with 9 Minnesota Statutes, Section 475.61, Subdivision 1. 0 19. Limit on Special Assessments Pledqed. The City 1 Council hereby finds, determines and declares that the payment of 2 the Bonds does not require the pledge of all the special 3 assessments which may be levied with respect to the Improvements 4 identified in paragraph 18, and that it is necessary, proper and 5 expedient to provide that payments and prepayments of special 6 assessments in excess of the debt service requirements of the 7 Bonds be put to use for other purposes sooner than upon the 8 termination of the Debt Service Fund. Only $3,730,000 original 9 principal amount of the special assessments (which amount is the 0 "Pledged Assessments"), and interest thereon, recognized in 1 paragraph 18 of this Resolution (of which $755,000 are necessary 2 prior to their scheduled receipt in order to pay debt service on 3 the Bonds on April l, 2000) are or shall be pledged to the 4 payment of the Bonds, and payments of, or with respect to, such 5 special assessments in excess of the Pledged Assessments shall be 6 credited instead to a special account in the Capital Fund, and 7 used for the purpose of paying any additional costs of the 8 Improvements and the costs of other improvements approved by the 9 City, as follows: (a) the first $755,000 of all prepayments of 0 special assessments recognized in paragraph 18 shall be credited 1 to the Debt Service Fund, (b) thereafter until such time as the 2 special assessments from time to time outstanding equal in 3 original principal amount the Pledged Assessments or less, 4 prepayments of any of the special assessments recognized in 5 paragraph 18 shall be treated as prepayments of the portion of 6 the special assessments not pledged to the Bonds and shall be 7 credited instead to said special account of the Capital Fund, and 8 used as provided above, and (c) while the special assessments 9 from time to time outstanding equal in original principal amount 0 the Pledged Assessments or more, regular installment payments 1 made on the Pledged Assessments only (not all of the special 2 assessments) shall be credited to the Debt Service Fund, and 3 regular installment payments on that portion, if any, of the 4 remaining assessments in excess of the Pledged Assessments shall 5 be credited to said special account of the Capital Fund, and used 6 as provided above. 47 20. Tax Levv; Coverage Test. If taxes are levied as 48 provided in the final part of paragraph 18, the tax levies shall 49 be irrepealable so long as any of the Bonds are outstanding and 50 unpaid, provided that the City reserves the right and power to 1035073.z 3 6 1 reduce the levies in the manner and to the extent permitted by 2 Minnesota Statutes, Section 475.61, Subdivision 3. 3 To provide moneys for payment of the principal and 4 interest on the Bonds due to be paid in 2011 there is hereby 5 levied upon all of the taxable property in the City a direct 6 annual ad valorem tax which shall be spread upon the tax rolls 7 and collected with and as part of other general property taxes in 8 the City for the years and in the amounts as follows: SH 11 Year of Tax Lew 2009 Year of Tax Collection Amount 12 13 14 15 16 17 18 19 2� 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 2010 $1,307,670 The tax levies are such that if"collected in full they, together with estimated collections of special assessments and other revenues herein pledged for the payment 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 Bonds. The tax levies shall be irrepealable so long as any 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. 21. General Obliaation Pledge. For the prompt and full payment of the principal and interest on the Bonds, as the same respectively become due, the fu11 faith, credit and taxing powers of the City shall be and are hereby irrevocably pledged. If the balance in the special account relating to the Bonds in the Debt Service Fund (as defined in paragraph 17 hereof) is ever insufficient to pay all principal and interest then due on the Bonds payable therefrom, the deficiency shall be promptly paid out of any other funds of the City which are available for such purpose, including the general fund of the City and the Debt Service Fund and the special accounts therein, and such other funds may be reimbursed with or without interest from the special accounC in the Debt Service Fund relating to the Bonds when a sufficient balance is available therein. 36 22. Certificate of Recxistration. The Director, Office 37 of Financial Services, is hereby directed to file a certified 38 copy of this Resolution with the officer of Ramsey County, 39 Minnesota, performing the functions of the county auditor (the 40 "County Auditor"), together with such other information as the 41 County Auditor shall require, and to obtain the County Auditor's 42 certi£icate that the Bonds have been entered in the County 43 Auditor's Bond Register, and that the tax levy required by law 44 has been made. 1035073.2 3 7 `t9-3c� � 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 23. 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. 24. Negative Covenants as to Use of Proceeds and Improvements. The City hereby covenants not to use the proceeds of the Bonds or to use the Improvements, or to cause or permit them to be used, or to enter into any deferred payment arrangements for the cost of the Improvements, 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. The City reasonably expects that no actions will be taken over the term of the Bonds that would cause them to be private activity bonds, and the average term of the Bonds is not longer than reasonably necessary for the governmental purpose of the issue. The City hereby covenants not to use the proceeds of the Bonds in such a manner as to cause the Bonds to be "hedge bonds" within the meaning of Section 149(g) of the Code. 28 25. Tax-Exempt Status of the Bonds; Rebate: Election. 29 The City shall comply with requirements necessary under the Code 30 to establish and maintain the exclusion from gross income under 31 Section 103 of the Code of the interest on the Bonds, including 32 without limitation requirements relating to temporary periods for 33 investments, limitations on amounts invested at a yield greater 34 than the yield on the Bonds, and the rebate of excess investment 35 earnings to the United States. 36 The City expects that the two-year expenditure 37 exception to the rebate requirements may apply to the 38 construction proceeds of the Bonds. 39 If any elections are available now or hereafter with 40 respect to arbitrage or rebate matters relating to the Bonds, the 41 Mayor, Clerk, Treasurer and Director, Office of Financial 42 Services, or any of them, are hereby authorized and directed to 43 make such elections as they deem necessary, appropriate or 44 desirable in connection with the Bonds, and all such elections 45 shall be, and shall be deemed and treated as, elections of the 46 City. 1035073.z 3 $ �iq-�o�' 1 26. No Desianation of Oualified Tax-ExemDt 2 Obliaations. The Bonds, together with other obligations issued 3 by the City in 1999, exceed in amount those which may be 4 qualified as "qualified tax-exempt obligations" within the 5 meaning of Section 265(b)(3) of the Code, and hence are not 6 designated for such purpose. 7 27. Letter of Re�resentations. The Letter of 8 Representations for the Bonds is hereby confirmed to be the 9 Blanket Issuer Letter of Representations dated April 10, 1996, by 10 the City and received and accepted by The Depository Trust 11 Company. So long as The Depository Trust Company is the 12 Depository or it or its nominee is the Holder of any Global 13 Certificate, the City shall comply with the provisions of the 14 Letter of Representations, as it may be amended or supplemented 15 by the City from time to time with the agreement or consent of 16 The Depository Trust Company. 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 28. Negotiated Sale. The City has retained Springsted Incorporated as an independent financial advisor, and the City has heretofore determined, and hereby determines, to sell the Bonds by private negotiation, a11 as provided by Minnesota Statutes, Section 475.60, Subdivision 2(9). 29. ContinuinQ Disclosure. The City is an 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 Co be provided to each nationally recognized municipal securities information repository ("NRMSIR") and to the appropriate state information depository ("SID"), if any, for the State of Minnesota, in each case as designated by the Commission 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, in a timely manner, to (i) each NRMSIR or to the Municipal Securities Rulemaking Board (��MSRB��) and (ii) the SID, notice of the occurrence of certain material events with respect to the Bonds in accordance with the Undertaking. C. Provide or cause to be provided, in a timely manner, to (i) each NRMSIR or to the MSRB and (ii) the SID, notice of a failure by the City to provide the annual 1035073.2 � qq-�c8� financial information with respect to the City described in the Undertaking. 3 The City agrees that its covenants pursuant to the Rule 4 set forth in this paragraph 29 and in the Undertaking are 5 intended to be for the benefit of the Holders of the Bonds and 6 shall be enforceable on behalf of such Aolders; provided that the 7 right to enforce the provisions of these covenants shall be 8 limited to a right to obtain specific enforcement of the City's 9 obligations under the covenants. 10 The Mayor and Director, Office of Financial Services, 11 or any other officers of the City authorized to act in their 12 stead (the ��Officers"), are hereby authorized and directed to 13 execute on behalf of the City the Undertaking in substantially 14 the form presented to the City Council, subject to such 15 modifications thereof or additions thereto as are (i) consistent 16 with the requirements under the Rule, (ii) required by the 17 Purchaser, and (iii) acceptable to the Officers. m q9-3os� 1 30. Severabilitv. If any section, paragraph or 2 provision of this resolution shall be held to be invalid or 3 unenforceable for any reason, the invalidity or unenforceability 4 of such section, paragraph or provision shall not affect any of 5 the remaining provisions of this resolution. 6 31. Headinas. Headings in this resolution are 7 included for convenience of reference only and are not a part 8 hereof, and shall not limit or define the meaning of any 9 provision hereof. Adopted by Council: Date R�, 7 `�`�� � Adoption Certified by Council Secretary s . � _ Approved by Ma �: D te By: � Requested by Department of: �FF�c.e o� �,••�t.w�c�a� Sec v�ce,S ay: _�� J� ''"� � Form Ap d by City Attorney �. �L�� -��_ C" –dA–�, Mayor for��bqii�s�on to Council � 41 �1°� - �o� EXHIBITS Exhibit A - Proposals � ifQ _ 9wb DEPARTMENT/OFFICE/CIXINCIL DnTEINmATED � � — V V � OfficeofFlrrancialServices �«hz6.,� GREEN SHEET No 63235 CONiACT PERSON & PHONE InnbVOae InMauDabe Todd Hutiey 266-8837 2 nEruen�rmECrox 4 aneous�. MUST BE ON COUNCIL AGENDA BY (DATE� AsslGx APfII 7. ��JS NUMBER FOR � prvATiOR1EY OIYCtFIlK ROUiI1W OR�ER R111NCMLSERYICPSGR ANMGIILEERV/ACCT6 � MYOR ❑ TOTAL # OF SIGNATURE PAGES 1_ (CLIP ALL LOCATIONS FOR SIGNATURE) CTIIXJ RE�UESTED is resolution accepts the winnirg proposal and awards the bid for ihe $3,730,000 G.O. treet ImprovemeM Special AssesmeM Bonds Series 1999C. This is a canpetiti�e baid sate and fhe award — is going to the bidder fourW most advantageos (lowest cost) to the City. i RECOMMENDATION Approve (A) or Reject (R) PERSONAL SERViCE CONTRACfS MUSTANSWER 7HE FOLLOWiN6 QUES7ION5: i. Has this persoNfirm erer worked under a contract for this departmeM? PLANNING COMMISSION YES NO CIB COMMITTEE 2. Has this persoNfirm ever been a dry empbyee7 CIVILSERVICECAMMISSION YES NO 3. Does this personfhrm possess a 51611 rwt normally possessed by any curreM cily employce? YES NO 4. Is Mis perSONfirtn a Wrge[ed vendoR YES NO Fxplain all yes answers on separate sheet and attxh to green shee[ � INITIATING PROBLEM ISSUE, OPPORTUNI7Y (Who, What, When, Where, Why) The boMs are for the purpose of finar�cirg certain street imprwemeMS wRhin the Cily, and will be repaitl by special assesmerRS. ADVANTAGESIFAPPROVED Fundswillbeavailahieforstreetimprovements. pa����9, }`� �n��a,?i;� (,6 dr � 9�is�'+@a e! 0 �37� DISADVANTAGESIFAPPROVED None DISADVANTAGES IF NOT APPROVED � � FurWs needed for certain s[ree[ improvements will not be available. TOTAL AMOUNT OF TRANSACTION S sx�w.roo COSTIREVENUE BUDGETED (CIRCLE ONE) YES NO FUNDING SOURCE ACTIYITY NUMBER FINANCIAL INFORMATION (IXPWN) Gq-3o8' 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 and delivered by the Bond Registrar pursuant to paragraphs 6 and 12 hereof; and WHEREAS, "Holder" as used herein means the person in whose name a Bond is registered on the registration books of the City maintained by the registrar appointed as prov�ed in paragraph 8 (the "Bond Registrar"); and WHEREAS, Rule 15c2-12 of the Securiti and Exchange Commission prohibits "participating underwrite " from purchasing or selling the Bonds unless the City�undertak�s to provide certain continuing disclosure with respect t„ the Bonds; and WHEREAS, pursuant to Minnesota S�atutes, Section 475.60, Subdivision 2(9), public sale re irements do not apply to the Bonds if the City retains an ind �endent financiaZ advisor and determines to sell the Bonds by pr "ate negotiation, and the City has instead authorized a competi ve sale without publication of notice thereof as a f m of private negotiation; and � 18 wHEREAS, proposals for 'e Bonds have been solicited by 19 Springsted Incorporated pursuant •o an Official Statement and 20 Terms of Proposal therein: 21 NOW, THEREFORE, BE �RESOLVED by the Council of the 22 City of Saint Paul, Minnesot��as follows: 23 24 25 26 27 28 29 30 31 32 33 34 35 36 1. Acce tance of��'Proposal. The proposal of ,�the "Purchaser"), to purchase $3,730,000 General Oblig ;�ion Street Improvement Special Assessment Bonds, Series�1999C, of the City (the "Bonds", or individually a"Bond°),%in accordance with the Terms of Proposal for the bond sale, at -he rates of interest hereinafter set forth, and to pay th 'efor the sum of $ , plus interest accrued to �'ettlement, is hereby found, determined and declared to be the ost favorable proposal received and is hereby accepted, and the onds are hereby awarded to the Purchaser. The Director, Office f Financial Services, or his designee, is directed to reta'- the deposit of the Purchaser and to £orthwith return to the o ers making proposals their good faith checks or draf t s . 37 2. .Title: Oriainal Issue Date; Denominations; 38 Maturities. The Bonds shall be titled "General Obligation Street 39 Improvement Special Assessment Bonds, Series 1999C", shall be 4o dated Apri 1, 1999, as the date of original issue and shall be 41 issued fo hwith on or after such date as fully registered bonds. 42 The Bond shall be numbered from R-1 upward. Global Certificates 10350'13.2 3 q1-3o 8' 1 2 3 4 5 6 7 e 9 1Q 11 12 13 14 shall each be in the denomination of the entire principal amount maturing on a single date, or, if a portion of said principal amount is prepaid, said principal amount less the prepayment. Replacement Bonds, if issued as provided in paragraph 6, shall be in the denomination of $5,000 each or in any integral multiple thereof of a single maturity. The Bonds shall mature on April 1 in the years and amounts as follows: Year 2000 2001 2002 2003 2004 2005 Amount Year 2006 $ O,OQO 2007 50,000 2008 150,0�0 2009 150,000 2010 150,000 2011 � 1,665,000 $560,000 155,OQ0 150,000 150,000 150,000 150,D00 15 For purposes of Minnesota Statutes, Secti '�475.54, the serial 16 maturities of the Bonds are combined wit , 'the serial maturities 17 of the City's $16,375,000 General Oblig ion Capital Improvement 18 Bonds, Series 1999B. 19 20 21 22 23 24 25 26 3. Purgose. The Bonds st� construction of various street imp�pv in the City, and any excess funds sha purpose permitted by law. The t�al which shall include all costs e�umera Section 475.65, is estimated t at of the Bonds. Work on the Imp"rovemen diligence to completion. �� 11 provide funds for the ements (the "Improvements��) 11 be devoted to any other cost of the Improvements, ted in Minnesota Statutes, least equal to the amount ts shal� proceed with due 27 4. Interest. �e Bonds shall bear interest payable 28 semiannuaZly on April 1 ar�d October 1 of each year (each, an 29 "Interest Payment Date");� commencing April 1, 2000, calculated on 30 the basis of a 360-day �ear of twelve 30-day months, at the 31 respective rates per a��num set forth opposite the maturity years 32 as follows: f� 33 Maturity Year 34 2000 35 2001 36 2002 37 2003 38 2004 � 39 2005 �" MaturitX Year Interest Rate 0 2006 2007 2008 2009 2010 2011 40 . Descrintion of the Global Certificates and Global 41 Book-Ent S stem. Upon their original issuance the Bonds will 42 be issu in the form of a single Global Certificate for each 43 maturi , deposited with the Depository by the Purchaser and 44 immob' ized as provided in paragraph 6. No beneficial owners of z 4 99 -3o P� 1 revenues herein pledged for the payment of the Bonds, will 2 produce at least five percent 15%) in excess of the amount needed 3 to meet when due the principal and interest payments on the Bonds 4 in every year except the final year (2011). At the time the 5 assessments are in fact levied the City Council shall, based on 6 the then-current estimated collections of the assessments, make 7 any adjustments in any ad valorem taxes required to be levi in 8 order to assure that the City continues to be in complianc with 9 Minnesota Statutes, Section 475.61, Subdivision 1. 19. Limit on Special Assessments Plec3ged. e City Council hereby finds, determines and declares that t payment of the Bonds does not require the pledge of all the s cial assessments which may be levied with respect to t Improvements identified in paragraph 18, and that it is nece�,s ary, proper and expedient to provide that payments and prepaym ts of special assessments in excess of the debt service re zrements of the Sonds be put to use for other purposes soon� than upon the termination of the Debt Service Fund. Onl� original principal amount of the special assessmer�s(which amount is the "Pledged Assessments"), and interest th�eon, recognized in paragraph 18 of this Resolution (of w��h $746,000 are necessary prior to their scheduled receipt in �der to pay debt service on the Bonds on April 1, 2000) are ar � all be pledged to the payment of the Bonds, and payments or with respect to, such special assessments in excess of # d� ie Pledged Assessments shall be credited instead to a special ac�ount in the Capital Pund, and used for the purpose of paying�, additional costs of the Improvements and the costs of ther improvements approved by the City, as follows: (a) the f'�st $74b,000 of aZl prepayments of special assessments recogni ed in paragraph 18 shall be credited to the Debt Service Fund, ,) thereafter until such time as the special assessments from �ime to time outstanding equal in original principal amou� the Pledged Assessments or less, prepayments of any of tr e special assessments recognized in paragraph 18 shall be, reated as prepayments of the portion of the special assessme s not pledged to the Bonds and shall be credited instead to said special account of the Capital Fund, and used as provided��ove, and (c) while the special assessments from time to time outstanding equal in original principal amount the Pledged Asse sments or more, regular installment payments made on the P1 ged Assessments only (not all of the special assessments) all be credited to the Debt Service Fund, and regular inst lment payments on that portion, if any, of the remaining a essments in excess of the Pledged Assessments shall be credite to said speciaZ account of the Capital Fund, and used as provid above. 47 20. Tax Lew; Coveraae Test. If taxes are levied as 48 provi d in the final part of paragraph 18, the tax levies shall 49 be i epealable so long as any of the Bonds are outstanding and 50 unp id, provided that the City reserves the right and power to 1035073.2 3 6 qq-3o8` 1 2 reduce the levies in the manner and to the extent permitted by Minnesota Statutes, Section 475.61, Subdivision 3. 3 To provide moneys for payment of the principal an 4 interest on the Bonds due to be paid in 2011 there is her 5 levied upon all of the taxable property in the City a di ct 6 annual ad valorem tax which shall be spread upon the t rolls 7 and collected with and as part of other general prope y taxes in 8 the_City £or the years and in the amounts as follows- 9 10 11 Year of Tax Levy Year of Tax Collection Amount 2D09 2010 $ 12 The tax levies are such that if co'llected in full they, <,;. 13 together with estimated collections of sp��ial assessments and 14 other revenues herein pledged for the payment of the Bonds, will 15 produce at least five percent (5%) in excess of the amount needed 16 to meet when due the principal and int�est payments on the 17 Bonds. The tax levies shall be irrepe'alable so long as any of 18 the Bonds are outstanding and unpaicl;;' provided that the City 19 reserves the right and power to redzice the levies in the manner 20 and to the extent permitted by Min�'iesota Statutes, Section 2Z 475.62, Subdivision 3. ,j° :, � 22 21. General Obligat�"�on Pledge. For the prompt and 23 full pa}mtent of the principa�,rand interest on the Bonds, as the 24 same respectively become due�' the full faith, credit and taxing 25 powers of the City sha21 be�t:and are hereby irrevocably pledged. 26 If the balance in the spec.;Yal account relating to the Bonds in 27 the Debt Service Fund (as;ydefined in paragraph 17 hereof) is ever 28 insufficient to pay all and interest then due on the 29 Bonds payable therefroci3;� the deficiency sha11 be promptly paid 30 out of any other fund�`'of the City which are available for such 31 purpose, including tka`e general fund of the City and the Debt 32 Service Fund and thcs'specia2 accounts therein, and such other 33 funds may be reimbt�rsed with or without interest from the special 34 account in the Deb`t Service Fund relating to the Bonds when a 35 sufficient balance is available therein. 36 22. /`Certificate of Registration. The Director, Office 37 of Financial �ervices, is hereby directed to file a certified 38 copy of this<� esolution with the officer of Ramsey County, 39 Minnesota, erforming the functions of the county auditor (the 40 "County Au itor"), together with such other information as the 41 County Au,itor shall require, and to obtain the County Auditor's 42 certific.te that the Bonds have been entered in the County 43 Audito s Bond Register, and that the tax levy required by law 44 has b n made. 1035073.2 3�] Council Fife # \� ' ��� �R1GfNAL. A �""�• a �`+i'i; 1 Green Sheet # � 3 a35 " RESOLUT{ON p `1" `� 3, 4���� 3q �� �� C�TY O� SAfNT PAUL, MINNESOTA 3�j Presented By RefeRed To Committee: Date ACCEPTING PROPOSAL ON SAL,E OF $3,730,000 GENERAL OBLIGATION STREET IMPROVEMENT SPECIAL ASSESSMENT BONDS, SERIES 1999C, PROVIDING FOR THETR ISSUANCE, AND LEVYING A TAX FOR THE PAYMENT THEREOF 6 WHEREAS, the Director, Office of Financial Services, 7 has presented proposals received for the sale of $3,730,000 8 General Obligation Street Improvement Special Assessment Bonds, 9 Series 1999C (the "Bonds"), of the City of Saint Paul, Minnesota 10 (the "City"); and 11 WHEREAS, the proposals set forth on Exhibit A attached 12 hereto were received pursuant to the Terms of Proposal at the 13 offices of Springsted Incorporated zt 10:30 A.M., Central Time, 14 this same day; and 15 WHEREAS, the Director, Office of Financial Services, 16 has advised this Council that the proposal of 17 � .� �,��� S„� was found to be the most advantageous 18 and has recommended that said proposal be accepted; and 19 WHEREAS, the proceeds of the Bonds will finance certain 20 street improvements to be specially assessed, for which the City 21 is proceeding pursuant to its Charter and not Minnesota Statutes, 22 Chapter 429, with any excess to be used for any other purpose 23 permitted by law; and �g -308 1 WHEREAS, the City has heretofore issued registered 2 obligations in cerCificated form, and incurs substantial costs 3 associated with their printing and issuance, and substantial 4 continuing transaction costs relating to their payment, transfer 5 and exchange; and 6 WHEREAS, the City has determined that significant 7 savings in transaction costs wi11 result from issuing bonds in 8 "global book-entry form", by which bonds are issued in 9 certificated form in large denominations, registered on the books 10 of the City in the name of a depository or its nominee, and held li in safekeeping and immobilized by such depository, and such 12 depository as part of the computerized national securities 13 clearance and settlement system (the "National System") registers 14 transfers of ownership interests in the bonds by making 15 computerized book entries on its own books and distributes 16 payments on the bonds to its Participants shown on its books as 17 the owners of such interests; and such Participants and other 18 banks, brokers and dealers participating in the National System 19 will do likewise (not as agents of the City) if not the 20 beneficial owners of the bonds; and 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 WHEREAS, "Participants" means those financial institutions for whom the Depository effects book-entry transfers and pledges of securities deposited and immobilized with the Depository; and WHEREAS, The Depository Trust Company, a limited purpose trust company organized under the laws of the State of New York, or any o£ its successors or successors to its functions hereunder (the '�Depository"), will act as such depository with respect to the Bonds except as set fortih below, and the City has heretofore delivered a letter of representations (the "Letter of Representations") setting forth various matters relating to the Depository and its role with respect to the Bonds; and WHEREAS, the City will deliver the Bonds in the form of one certificate per maturity, each representing the entire principal amount of the Bonds due on a particular maturity (each a"G1oba1 Certificate"), which single certificate per maturity may be transferred on the City's bond register as reguired by the Uniform Commercial Code, but not exchanged smaller denominations unless the City determines to issue Replacement Bonds as provided below; and date for 41 WHEREAS, the City will be able to replace the 42 Depository or under certain circumstances to abandon the '�global 43 book-entry form" by permitting the Global Certificates to be ?4 exchanged for smaller denominations typical of ordinary bonds 45 registered on the City's bond register; and "Replacement Bonds" 46 means the certificates representing the Bonds so authenticated 1035073.2 2 �q,�3b8 and delivered by the Bond Registrar pursuant to paragraphs 6 and 12 hereof; and 3 WHEREAS, "Holder" as used herein means the person in 4 whose name a Bond is registered on the registration books of the 5 City maintained by the registrar appointed as provided in 6 paragraph 8(the "Bond Registrar"); and � 10 11 12 13 14 15 16 i� WHEREAS, Rule 15c2-12 of the Securities and Exchange Commission prohibits "participating underwriters" from purchasing or selling the Bonds unless the City undertakes to provide certain continuing disclosure with respect to the Bonds; and WHEREAS, pursuant to Minnesota Statutes, Section 475.60, Subdivision 2(9), public sale requirements do not apply to the Bonds if the City retains an independent financial advisor and determines to sell the Bonds by private negotiation, and the City has instead authorized a competitive sale without publiaation of notice Chereof as a£orm of private negotiation; and 18 WHEREAS, proposals for 19 Springsted Incorporated puzsuant 20 Terms of Proposal therein: 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 the Bonds have been solicited by to an Official Statement and NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Saint Paul, Minnesota, as follows: 1. Acceptance of Pr000sal. The proposal of Prudential Securities Inc. (the "Purchaser"), to purchase $3,730,000 General Obligation Street Improvement Special Assessment Bonds, Series 1999C, of the City (the "BOnds", or individually a"Bond"), in accordance with the Terms of Proposal for the bond sale, at the rates of interest hereinafter set forth, and to pay therefor the sum of $3,705,358.40, plus interest accrued to settlement, is hereby found, determined and declared to be the most favorable proposal received and is hereby accepted, and the Bonds are hereby awarded to the Purchaser. The Director, Office of Financial Services, or his designee, is directed to retain the deposit of the Purchaser and to forthwith return to the others making proposals their good faith checks or drafta. 36 2. Title; Original Issue Date; Denominations; 37 Maturities. The Bonds shall be titled "General Obligation Street 38 Improvement Special Assessment Bonds, Series 1999C", shall be 39 dated April 1, 1999, as the date of original issue and shall be 40 issued forthwith on or after such date as fully registered bonds. 41 The Bonds shall be numbered from R-1 upward. Global Certificates 10350�3.2 3 q,q.,�o $' 1 2 3 4 5 6 7 shall each be in the denomination of the entire principal amount maturing on a single date, or, if a portion of said principal amount is prepaid, said principal amount less the prepayment. Replacement Bonds, if issued as provided in paragraph 6, shall be in the denomination of $5,000 each or in any integral multiple thereof of a single maturity. The Bonds shall mature on April 1 in the years and amounts as follows: 8 Year Amount Year Amount 9 2000 $560,000 2006 $ 150,000 10 2001 155,000 2007 150,000 11 2002 150,000 2008 150,000 12 2003 150,000 2009 150,000 13 2004 150,000 2010 150,000 14 2005 150,000 2011 1,665,000 15 For purposes of Minnesota Statutes, Section 475.54, the serial 16 maCurities of the Bonds are combined with the serial maturities 17 of the City's $16,375,000 General Obligation Capital Improvement 18 Bonds, Series 1999B. 19 20 21 22 23 24 25 26 3. Purpose. The Bonds shall provide funds for the construction of various street improvements i�he '�Improvements") in the City, and any excess funds shall be devoted to any other purpose permitted by law. The total cost of the Improvements, 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 Improvements shall proceed with due diligence to completion. 27 4. Interest. The Bonds shall bear interest payable 28 semiannually on April 1 and October 1 of each year (each, an 29 "Interest Payment Date"), commencing April 1, 2000, calculated on 30 the basis of a 360-day year of twelve 30-day months, at the 31 respective rates per annum set forth opposite the maturity years 32 as £ollows: 33 Maturitv Year Interest Rate Maturity Year Interest Rate 34 2000 35 2001 36 2002 37 2003 38 2004 39 2005 4.00o 2006 4.00 2007 4.00 2008 4.00 2009 4.00 2010 4.00 2011 4.00o 4.10 4.20 4.30 4.40 4.50 40 5. Description of the Global Certificates and Global 41 Book-Entrv �stem. Upon their original issuance the Bonds will 42 be issued in the form of a single Global Certificate for each 43 maturity, deposited with the Depository by the Purchaser and 44 immobilized as provided in paragraph 6. No beneficial owners of 10350'J3.2 4 gq.3o8- 1 2 3 4 5 7 8 9 10 11 12 13 1§ 15 16 17 18 interests in the Bonds will receive certificates representing their respective interests in the Bonds except as provided in paragraph 5. Except as so provided, during the term of the Bonds, beneficial ownership (and subsequent transfers of beneficial ownership) of interests in the Global Certificates will be reflected by book entries made on the records of the Depository and its Participants and other banks, brokers, and dealers participating in the National System. The Depository�s book entries of beneficial ownership interests are authorized to be in increments of $5,000 of principal of the Bonds, but not smaller increments, despite the larger authorized denominations of the Global Certificates. Payment of principal of, premium, if any, and interest on the Global Certificates will be made to the Bond Registrar as paying agent, and in turn by the Bond Registrar to the Depository or its nominee as registered owner of the Global Certificates, and the Depository according to the laws and rules governing it will receive and forward payments on behalf of the beneficial owners of the Global Certificates. 19 Payment of principal of, premium, if any, and interest 20 on a Global Certificate may in the City's discretion be made by 21 such other method of transferring funds as may be requested by 22 the Holder of a Global Certificate. 23 6. Immobilization o£ Global Certificates by the 24 Denository; Successor Depositorv: Replacement Bonds. Pursuant to 25 the request of the Purchaser to the Depository, which request is 26 required by the Terms of Proposal, immediately upon the original 27 delivery of the Bonds the Purchaser will deposit the Global 28 Certificates representing all of the Bonds with the Depository. 29 The Global Certificates shall be in typewritten form or otherwise 30 as acceptable to the Depository, shall be registered in the name 31 of the Depository or its nominee and shall be held immobilized 32 from circulation at the offices of the Depository on behalf of 33 the Purchaser and subsequent bondowners. The Depository or its 34 nominee will be the sole holder of record of the Global 35 Certificates and no investor or other party purchasing, selling 36 or otherwise transferring ownership of interests in any Bond is 37 to receive, hold or deliver any bond certificates so long as the 38 Depository holds the Global Certificates immobilized from 39 circulation, except as provided below in this paragraph and in 40 paragraph 12. 41 42 43 44 Certificates evidencing the Bonds may not a£ter their original delivery be transferred or exchanged except: (i) Upon registration of transfer of ownership of a Global Certificate, as provided in paragraph 12, 45 (ii) To any successor of the Depository (or its 46 nominee) or any substitute depository (a "substitute 47 depository") designated pursuant to clause (iii) of this 10350']3.2 5 a`�. 1 subparagraph, provided that any successor of the Depository 2 or any subsCitute depository must be both a"clearing 3 corporation" as defined in the Minnesota Uniform Commercial 4 Code at Minnesota Statutes, Section 336.8-102, and a 5 qualified and registered "clearing agency" as provided in 6 Section 17A of the Securities Exchange Act of 1934, as 7 amended, 8 (iii) To a substitute depository designated by and 9 acceptable to the City upon (a) the determination by the 10 Depository that the Bonds shall no longer be eligible for 11 its depository services or (b) a determination by the City 12 that the Depository is no longer able to carry out its 13 functions, provided that any substitute depository must be 14 qualified to act as such, as provided in clause (ii) of this 15 subparagraph, or 16 (iv) To those persons to whom transfer is requested 17 in written transfer instructions in the event that: 18 (a) the Depository shall resign or discontinue 19 its services for the Bonds and the City is unable to 20 locate a substitute depository within two (2) months 21 following the resignation or determination of non- 22 eligibility, or 23 (b? upon a determination by the City in its sale 24 discretion that (1) the continuation of the book-entry 25 system described herein, which precludes the issuance 26 of certificates (other than Global Certificates) to any 27 Holder other than the Depository (or its nominee), 28 might adversely affect the interest of the beneficial 29 owners of the Bonds, or (2) that it is in the best 30 interesti of the beneficial owners of the Bonds that 31 they be able to obtain certificated bonds, 32 in either of which events the City sha11 notify Holders of 33 its determination and of the availability of certificates 34 (the �'Replacement Bonds") to Holders requesting the same and 35 the registration, transfer and exchange of such Bonds will 36 be conducted as provided in paragraphs 9B and 12 hereof. 37 In the event of a succession of the Depository as may 38 be authorized by this paragraph, the Bond Registrar upon 39 presentation of Global Certificates shall register their transfer 40 to the substitute or successor depository, and the substitute or 41 successor depository shall be treated as the Depository for all 42 purposes and functions under this resolution. The Letter o£ 43 Representations shall not apply to a substitute or successor 44 depository unless the City and the substitute or successor 45 depository so agree, and a similar agreement may be entered into. 1035D73.2 6 q9 -3�8' 1 2 3 4 5 6 7 8 9 10 11 12 13 14 is 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 RedemDtion. (a) OAtional Redemption: Due Date. All Bonds maturing after April 1, 2007, shall be subject to redemption and prepayment at the option of the City on such date and on any day 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, those Bonds remaining unpaid may be prepaid in such order of maturity and in such amount per maturity as the City shall determine; and if only part of the Bonds having a common maturity date are called for prepayment, the Global Certificates may be prepaid in $5,000 increments of principal and, if applicable, the specific Replacement 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. (b) Notation on Global Certificate. Upon a reduction in the aggregate principal amount of a Global Certificate, the Holder may make a notation of such redemption on the panel provided on the G1oba1 Certificate stating the amount so redeemed, or may return the Global Certificate to the Bond Registrar in exchange for a new Global Certificate authenticated by the Bond Registzar, in proper principal amount. Such notation, if made by the Holder, shall be for reference only, and may not be relied upon by any other person as being in any way determinative of the principal amount of such Global Certificate outstanding, unless the Bond Registrar has signed the appropriate column of the panel. (c) Selection of Reglacement Bonds. To effect a partial redemption of Replacement Bonds having a common maturity date, the Bond Registrar prior to giving notice of redemption shall assign to each Replacement Bond having a common maturity date a distinctive number for each $5,000 of the principal amount of such Replacement Bond. The Bond Registrar shall then select by 1ot, using such method of selection as it shall deem proper in its discretion, from the numbers so assigned to such Replacement Bonds, as many numbers as, at $5,000 for each number, shall equal the principal amount of such Replacement Bonds to be redeemed. The Replacement Bonds to be redeemed shall be the Replacement Bonds to which were assigned numbers so selected; provided, however, that only so much of the principal amount of each such Replacement Bond of a denomination of more than $5,000 shall be redeemed as shall equal $5,000 for each number assigned to it and so selected. 45 (d) Partial Redem�tion of Replacement Bond. If a 46 Replacement Bond is to be redeemed only in part, it shall be 47 surrendered to the Bond Registrar (with, if the Citiy or Bond 48 Registrar so requires, a written instrument of transfer in form iassa�3.a 7 °1`1-�D$ 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 satisfactory to the City and Bond Registrar duly executed by the Holder thereof or his, her or its attorney duly authorized in writing) and the City shall execute (if necessary) and the Bond Registrar sha11 authenticate and deliver to the Holder of such Replacement Bond, without service charge, a new Replacement Bond or Bonds of the same series having the same stated maturity and interesC 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. (e) Request for Redem�tion. The Bond Registrar shall call Bonds for redemption and payment as herein provided upon receipt by the Bond Registrar at least forty-five (45) days prior to the redemption date of a request of the City, in written form if the Bond Registrar is other than a City officer. Such request sha11 specify the principal amount of Bonds to be called for redemption and the redemption date. (f) Notice. Mailed notice of redemption shall be given the paying agent (if other than a City officer) and to each affected Holder. If and when the City shall call any o£ the Bonds for redemption and payment prior to the stated maturity thereof, the Bond Registrar shall give written notice in the of the City of its intention to redeem and pay such Bonds at office of Che Bond Registrar. Notice of redemption shall be to name the given by first class mail, postage prepaid, mailed not less than thirty (30) days prior to the redemption date, to each Holder of Bonds to be redeemed, at the address appearing in the Bond Register. Al1 notices of redemption shall state: 29 3Q 31 32 33 34 35 36 37 38 39 40 41 1035073.2 (i) The redemption date; (iil The redemption price; (iii) If less than all outstanding Bonds are to be redeemed, the identification (and, in the case o£ partial redemption, the respective principal amounts) of the Bonds to be redeemed; (iv) That on the redemption date, the redemption price will become due and payable upon each such Bond, and that interest thereon shall cease to accrue from and after said date; and (v) The place where such Bonds are to be surrendered for payment of the redemption price (which shall be the office of the Bond Registrar). �q-3o� 1 2 3 4 5 6 7 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 (g) Notice to Depositorv. Notices to The Depository Trust Company or its nominee shall contain the CUSIP numbers of the Bonds. If there are any Holders of the Bonds other than the Depository or its nominee, the Bond Registrar shall use its best efforts to deliver any such notice to the Depository on the business day next preceding the date of mailing of such notice to all other Holders. 8. Bond Reaistrar. U.S. Bank Trust National Association, in Saint 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. A successor Bond Registrar shall be an officer of the City or a bank or trust company eligible £or designation as bond registrar pursuant to Minnesota Statutes, ChapCer 475, and may be appointed pursuant Co any contract the City and such successor 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 Holders (or record holders) of the Bonds in the manner set forth in the forms of Bond and paragraph 14 of this resolution. 9. Forms of Bond. The Bonds shall be in the form of Global Certificates unless and until Replacement Bonds are made available as provided in paragraph 6. Each form of bond may contain such additional or different terms and provisions as to the form of payment, record date, notices and other matters as are consistent with the Letter of Representations and approved by the City Attorney, A. Global Certificates. The Global Certificates, together with the Certificate of Registration, the Register of Partial Payments, the form of Assignment and the registration information thereon, shall be in substantially the following form and may be typewritten rather than printed: 10350�3.2 °Iq '3°� � 2 3 4 5 R- 6 7 8 INTEREST 9 RATE 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 4� 41 UNITED STATES OF AMERICA STATE OF MINNESOTA RAMSEY CO[INTY CITY OF SAINT PAUL GENERAL OBLIGATION STREET IMPROVEMENT SPECIAL ASSESSMEI3T BOND, SERIES 1999C MATURITY DATE DATE OF ORIGINAL ISSUE Ci3SIP April 1, REGISTERED OWNER: PRINCIPAL AMOUNT: DOLLARS KNOW ALL PERSONS BY THESE PRESENTS that the City of Saint Paul, Ramsey County, Minnesota (the ��Issuer" or "City"), certifies that it is indebted and for value received promises to pay to the registered owner specified above or on the certificate of registration below, or registered assigns, in the manner hereinafter set forth, the principal amount specified above, on the maturity date specified above, unless called for earlier redemption, and to pay interest thereon semiannually on April 1 and October 1 of each year (each, an ��Interest Payment Date"), commencing April 1, 2000, 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 wi11 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 Sond are payable in same-day funds by 2:30 p.m., Eastern time, upon presentation and surrender hereof at the principal o£fice of in , Minnesota (the "BOnd Registrar"), acting as paying agent, or any successor paying agent duly appointed by the Issuer; provided, however, that upon a partial redemption of this Bond which results in the stated amount hereof being reduced, the Holder may in its discretion be paid without presentation of this Bond, which payment shall be received no later than 2:30 p.m., Eastern time, and may make a notation on the panel provided herein of such redemption, stating the amount so redeemed, or may return the Bond to the Bond Registrar in exchange for a new Bond in the proper principal amount. Such notation, if made by the Holder, shall be for April 1, 1999 1�35073.2 1,� aq-3o� � 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 ia 19 20 21 22 23 24 25 reference only, and may not be relied upon by any other person as being in any way determinative of the principal amount of this Bond outstanding, unless the Bond Registrar has signed the appropriate column of the panel. Interest on this Bond will be paid on each Interest Payment Date in same-day funds by 2:30 p.m., Eastern time, 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 preceding such Interest Payment Date (the "Regular Record Date"). Interest payments shall be received by the Aolder no later than 2:30 p.m., Eastern time; and principal and premium payments shall be received by the Holder no later than 2:30 p.m., Eastern time, if the Bond is surrendered for payment enough in advance to permit payment to be made by such time. 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 sha11 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. 26 Date of Payment Not Business Day. If the date for 27 payment of the principal of, premium, if any, or interest on this 28 Bond shall be a Saturday, Sunday, legal holiday or a day on which 29 banking institutions in the City of New York, New York, or the 30 city where the principal office of the Bond Registrar is located 31 are authorized by law or executive order to close, then the date 32 for such payment shall be the next succeeding day which is not a 33 Saturday, Sunday, legal holiday or a day on which such banking 34 institutions are authorized to close, and payment on such date 35 shall have the same force and effect as if made on the nominal 36 date of payment. 37 Redemption. All Bonds of this issue (the "Bonds") 38 maturing after April 1, 2007, are subject to redemption and 39 prepayment at the option of the Issuer on such date and on any 40 day thereafter at a price of par plus accrued interest. 41 Redemption may be in whole or in part of the Bonds subject to 42 prepayment. If redemption is in part, those Bonds remaining 43 unpaid may be prepaid in such order of maturity and in such 44 amount per maturity as the City shall determine; and if only part 45 of the Bonds having a common maturity date are called for 46 prepayment, this Bond may be prepaid in $5,000 increments of a7 principal. Bonds or portions thereof called for redemption shall 48 be due and payable on the redemption date, and interest thereon 49 shall cease to accrue from and after the redemption date. 1035073.2 1 1 9q-�o� 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 � Notice of Redemption. Mailed notice of redemption sha11 be given to the paging agent (if other than a City officer) and to each affected Holder of the Bonds. In the event any of the Bonds are called for redemption, written notice thereof will be given by first class mail mailed not less than thirty (3o) days prior to the redemption date to each Holder of Bonds to be redeemed. In connection with any such notice, the "CUSIP" numbers assigned to the Bonds shall be used. Replacement or Notation of Bonds after Partial Redemntion_ Upon a partial redemption of this Bond which results in the stated amount hereof being reduced, the Holder may in its discretion make a notation on the panel provided herein of such redemption, stating the amount so redeemed. Such notation, if made by the Holder, shall be for reference only, and may not be relied upon by any other person as being in any way determinative of the principal amount of the Bond outstanding, unless the Bond Registrar has signed the appropriate column of the panel. Otherwise, the Holder may surrender this Bond 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 Che Holder thereof or his, her or its attorney duly authorized in writinq) and the Issuer shall execute (if necessary) and the Bond Registrar shall authenticate and deliver to the Aolder of such Bond, without service charge, a new Bond of the same series having the same stated maturity and interest rate and of the authorized denomination 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 $3,730,000, 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 the Charter of the Issuer, and pursuant to a resolution adopted by the City Council of the Sssuer on April 7, 1999 (the "Resolution"), for the purpose o£ providing money to finance the construction of various street improvements in the City. This Bond is payable out of a special account relating to the Bonds in the General Obligation Special Assessments -- Streets Debt Service Fund of the Issuer. This Sond 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; ExchanQe; Resolution. The Bonds are issuable originally only as Global Certificates in the 1035073.2 12 ° l`t -308' 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 1'J 18 19 denomination of the entire principal amount of the issue maturing on a single date, or, if a portion of said principal amount is prepaid, said principal amount less the prepayment. Global Certificates are not exchangeable for fully registered bonds of smaller denominations except to evidence a partial prepayment or in exchange for Replacement Bonds if then available. Replacement Bonds, if made available as provided below, are issuable solely as fully registered bonds in the denominations of $S,D00 ar.d integral multiples thereof of a single maturity 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. Replacement Bonds. Replacement Bonds may be issued by the Issuer in the event that: 20 (a) the Depository shall resign or discontinue its 21 services for the Bonds, and only if the Tssuer is unable to 22 locate a substitute depository within two (2) months 23 following the resignation or determination of non- 24 eligibility, or 25 (b) upon a determination by the Issuer in its sole 26 discretion that (1) the continuation of the book-entry 27 system described in the Resolution, which precludes the 28 issuance of certificates (other than Global Certificates) to 29 any Holder other than the Depository (or its nominee�, might 30 adversely affect the interest of the beneficial owners of 31 the Bonds, or (2) that it is in the best interest of the 32 beneficial owners of the Bonds that they be able to obtain 33 certificated bonds. 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 Transfer. This Bond shall be registered in the name of the payee on the books of the Issuer by presenting this Bond for registration to the Bond Registrar, who will endorse his, her or its name and note the date of registration opposite the name of the payee in the certificate of registration attached hereto. Thereafter this Bond may be transferred by delivery with an assignment duly executed by the Holder or his, her or its legal representatives, and the Issuer and Bond Registrar may treat the Holder as the person exclusively entitled to exercise all the rights and powezs of an owner until this Bond is presented with such assignment for registration of transfer, accompanied by assurance of the nature provided by law that the assignment is genuine and effective, and until such transfer is registered on said books and noted hereon by the Bond Registrar, all subject to the terms and conditions provided in the Resolution and to 1035073.2 1 3 q°�-3a� 1 reasonable regulations of the Issuer contained in any agreement 2 with, or notice to, the Bond Registrar. Trans£er of this Bond 3 may, at the direction and expense of the Issuer, be subject to 4 certain other restrictions if required to qualify this Bond as 5 being "in registered form" within the meaning of Section 149(a) 6 of the federal Internal Revenue Code of 1986, as amended. 7 Fees upon Trans£er or Loss. The Bond Registrar may S require payment of a sum sufficient to cover any tax or other 9 governmental charge payable in connection with the transfer or 10 exchange of this Bond and any legal or unusual costs regarding 11 transfers and lost Bonds. 12 Treatment of Registered Owner. The Issuer and Bond 13 Registrar may treat the person in whose name this Bond is 14 registered as the owner hereof for the purpose of receiving 15 payment as herein provided (except as otherwise provided with 16 respect to the Record Date) and for all other purposes, whether 17 or not this Bond shall be overdue, and neither the Issuer nor the 18 Bond Registrar shall be affected by notice to the contrary. 19 Authentication. This Bond shall not be valid or become 2� obligatory for any purpose or be entitled to any security unless 21 the Certificate of Authentication hereon shall have been executed 22 by the Bond Registrar. 23 Not Oualified Tax-Exempt Obliaations. The Bonds have 24 not been designated by the Issuer as "qualified tax-exempt 25 obligations" for purposes of Section 265(b)(3) of the federal 26 Internal Revenue Code of 1986, as amended. The Bonds do not 27 qualify for such designation. 28 IT IS HEREBY CERTIFIED AND RECITED that all acts, 29 conditions and things required by the Constitution and laws of 30 the State of Minnesota and the Charter of the Issuer to be done, 31 to happen and to be performed, precedent to and in the iesuance 32 of this Bond, have been done, have happened and have been 33 performed, in regular and due form, time and manner as required 34 by law, and that this Bond, together with all other debts of the 35 Issuer outstanding on the date of original issue hereof and on 36 the date of its issuance and delivery to the original purchaser, 37 does not exceed any constitutional or statutory or Charter 38 limitation of indebtedness. 39 IN WITNESS WHEREOF, the City of Saint Paul, Ramsey 40 County, Minnesota, by its City Council has caused this Bond to be 41 executed on its behalf by the photocopied facsimile signature of 42 its Mayor, attested by the photocopied facsimile signature of its 43 C1erk, and countersigned by the photocopied facsimile signature 4§ of its Director, Office of Financial Services, the o£ficial seal 45 having been omitted as permitted by law. io3so�3.z 14 q`1-3o8' 1 2 3 4 Date of Registration Registrable by: Payable at: _ 5 BOND REGISTRAR'S 6 CERTIFICATE OF 7 AiIT'rIENTICATION 8 This Bond is one of the 9 Bonds described in the 10 Resolution mentioned 11 within. 12 13 14 15 , 16 Bond Registrar 17 18 19 20 21 By Authorized Signature CITY OF SAINT PAUL, RAMSEY COUNTY, MINNESOTA Mayor Attest: City Clerk Countersigned: Director, Office of Financial Services 22 General Obligation Street Improvement Special Assessment Bond, 23 Series 1999C, No. R- 1035073.2 15 q9-�o� � 2 3 4 5 6 7 e E E��; 11 12 CERTIFICATE OF REGISTRATIOI3 The transfer of ownership of the principal amount of the attached Bond may be made only by the registered owner or his, her or its legal representative last noted below. DATE OF REGISTRATION REGISTERED OWNER SIGNATURE OF BOND REGISTRAR 1035073.2 E[:7 99-30� � REGISTER OF PARTIAL PAYMENTS 3 The principal amount of the attached Bond has been prepaid on the 4 dates and in the amounts noted below: 5 Signature of Signature of 6 Date Amount Hondholder Eond Rectistrar 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 If a notation is made on this register, such notation has the 24 effect stated in the attached Bond. Partial payments do not 25 require the presentation of the attached Bond to the Bond 26 Registrar, and a Holder could fail to note the partial payment 27 here. 1035073.2 l�] q9-�o� � ABBREVIATIONS 2 The following abbreviations, when used in the inscription on 3 the face of this Bond, shall be construed as though they were 4 written out in full according to applicable laws or regulations: 5 TEN_COM - as tenants in common 6 TEN ENT - as tenants by the entireties 7 JT TEN - as joint tenants with right of survivorship 8 and not as tenants in common 9 UTMA - as custodian £or 10 (Cust) (Minor) 11 under the Uniform Transfers 12 (State) 13 to Minors Act 14 Additional abbreviations may also be used 15 though not in the above list. 1035073.2 ]_8 9q •1oP' � ASSIGI3MEN`I' 2 For value received, the undersigned hereby sells, 3 assigns and transfers unto 4 the attached Bond and does 5 hereby irrevocably constitute and appoint 6 attorney to transfer the Bond on the books 7 kept for the registration thereof, with full power of 8 substitution in the premises. 9 Dated: 10 Notice: The assignor's signature to this assignment 11 must correspond with the name as it appears 12 upon the face of the attached Sond in every 13 particular, without alteration or any change 14 whatever. 15 Signature Guaranteed: FS:7 17 Signature(s) must be guaranteed by a national bank or trust 18 company or by a brokerage firm having a membership in one of the 19 major stock exchanges or any other "Eligible Guarantor 20 Institution" as defined in 17 CFR 240.17Ad-15(a)(2). 21 The Bond Registrar will not effect transfer of t11is 22 Bond unless the information concerning the transferee requested 23 below is provided. 24 Name and Address: 25 26 27 (Include information for all joint owners 28 if the Bond is held by joint account.) 1035073.2 ]_9 9� • �os' 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 B. Replacement Bonds. If the City has notified Holders that Replacement Bonds have been made available as provided in paragraph 6, then for every Bond thereafter transferred or exchanged (including an exchange to reflect the partial prepayment of a Global Certificate not previously exchanged for Replacement Bonds) the Bond Registrar shall deliver a certificate in the form of the Replacement Bond rather than the Global Certificate, but the Holder of a Global Certificate shall not,otherwise be required to exchange the Global Certificate for one or more Replacement Bonds since the City recognizes that some beneficial owners may prefer the convenience of the Depository's registered ownership of the Bonds even though the entire issue is no longer required to be in global book-entry form. The Replacement 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: 1035073.2 2,� qq-3o8 1 UNITED STATES OF AMERICA 2 STATE OF MINNESOTA 3 RAMSEY COUNTY 4 CITY OF SAINT PAUL 5 R- 6 GENERAI, OBLIGATION STREET IMPROVEMENT 7 SPECIAL ASSESSMENT BOND, SERIES 1999C 8 9 10 11 12 INTEREST RATE MATURITY DATE OF DATE ORIGINAL ISSUE April 1, 1999 CUSIP 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 REGISTERED OWNER: PRINCIPAL AMQUNT: $ UAIiU�F_lel.y KNOW ALL PERSONS BY THESE PRESENTS that the City of Saint Paul, Ramsey County, Minnesota (the "Issuer" or "City'�), 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 earlier redemption, and to pay interest thereon semiannually on April 1 and October 1 of each year (each, an "Interest Payment Date"), commencing April 1, 2000, 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 , in , (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 dra£t 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 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 sha11 be payable to the person who is the Holder hereo£ at 1035�73.2 2 1 9q-�o� 1 the close of business on a date (the "Special Record Date") fixed 2 by the Bond Registrar whenever money becomes available for 3 payment of the defaulted interest. Notice of the Special Record 4 Date shall be given to Bondholders not less than ten days prior 5 to the Special Record Date. The principal of and premium, if 6 any, and interest on this Bond are payable in lawful money of the 7 United States of America. 8 REFERENCE IS HEREBY MADE TO THE FURTHER PROVISIONS OF 9 THIS BOND SET FORTH ON THE REVERSE HERBOF, WHICH PROVISIONS SHALL 10 FOR ALL PURPOSES HA�IE THE SAME EFFECT AS IF SET FORTH HERE. 11 IT IS HEREBY CERTIFIED AND RECITED that all acts, 12 conditions and things required by the Constitution and laws of 13 the State of Minnesota and the Charter of the Issuer to be done, 14 to happen and to be performed, precedent to and in the issuance 15 of this Bond, have been done, have happened and have been 16 performed, in regular and due form, time and manner as required 17 by law, and that this Bond, together with all other debts of the 18 Issuer outstanding on the date of original issue hereof and on 19 the date of its issuance and delivery to the original purchaser, 20 does not exceed any constitutional or statutory or Charter 21 limitation of indebtedness. 22 IN WITNESS WHEREOF, the City of Saint Paul, Ramsey 23 County, Minnesota, by its City Council has caused this Bond to be 24 executed on iCs behalf by the original or facsimile signature of 25 its Mayor, attested by the original or facsimile signature of its 26 Clerk, and countersigned by the original or facsimile signature 27 of its Director, Office of Financial Services, the official seal 28 having been omitted as permitted by law. 1035073.2 2 2 99 -3as� 1 2 3 4 Date of Registration 5 BOND REGISTRAR'S 6 CERTIFICATE OF 7 AUTHENTICATION 8 This Bond is one of the 9 Bonds described in the 10 Resolution mentioned 11 within. 12 13 14 , 15 Bond Registrar 16 17 18 19 By Authorized Signature 1035073.2 Registrable by: Payable at: CITY OF SAINT PAUL, RAMSEY COUNTY, MINNESOTA Mayor Attest: City Clerk Countersigned: Director, Office of Financial Services 23 99-�08' � ON REVERSE OF BOND 2 Date of Payment Not Business Day. If the date for 3 payment of the principal of, premium, if any, or interest on this 4 Bond shall be a Saturday, Sunday, legal.holiday or a day on which 5 banking institutions in the City of New York, New York, or the 6 city where the principal office of the Bond Registrar is located 7 are authorized by law or executive order to close, then the date 8 for such payment shall be the next succeeding day which is not a 9 Saturday, Sunday, legal holiday or a day on which such banking 10 institutions are authorized to close, and payment on such date 11 shall have the same force and effect as if made on the nominal 12 date of payment. 13 Redemption. All Bonds of this issue (the ��Bonds") 14 maturing after April 1, 2007, are subject to redemption and 15 prepayment at the option of the Issuer on such date and on any 16 day thereafter at a price of par plus accrued interest. 17 Redemption may be in whole or in part of the Bonds subject to 18 prepayment. If redemption is in part, those Bonds remaining 19 unpaid may be prepaid in such order of maturity and in such 20 amount per maturity as the City sha11 determine; and if only part 21 of the Bonds having a common maturity date are called for 22 prepayment, the specific Bonds to be pzepaid shall be chosen by 23 lot by the Bond Registrar. Bonds or portions thereof called for 24 redemption shall be due and payable on the redemption date, and 25 interest thereon shall cease to accrue from and after the 26 redemption date. 27 Notice of Redemgtion. Mailed notice of redemption 28 shall be given to the paying agent (if other than a City officer) 29 and to each affected Holder of the Bonds. In the event any of 30 the Bonds are called for redemption, written notice thereof wi11 31 be given by first class mail mailed not less than thirty (30) 32 days prior to the redemption date to each Holder o£ Bonds to be 33 redeemed. In connection with any such notice, the "CUSIP" 34 numbers assigned to the Bonds sha11 be used. 35 Selection of Bonds for Redemption. To effect a partial 36 redemption of Bonds having a common maturity date, the Bond 37 Registrar shall assign to each Bond having a common maturity date 38 a distinctive number for each $5,000 of the principal amount of 39 such Bond. The Bond Registrar shall then select by lot, using 40 such method of selection as it shall deem proper in its 41 discretion, from the numbers assigned to the Bonds, as many 42 numbers as, at $5,000 for each number, shall equal the principal 43 amount of such Bonds to be redeemed. The Bonds to be redeemed 44 shall be the Bonds to which were assigned numbers so selected; 45 provided, however, that only so much o£ the principal amount of 46 such Bond of a denomination of more than $5,000 shall be redeemed 1035073.2 2 4 99 • 3a� 1 as shall equal $5,000 for each number assigned to it and so 2 selected. If a Bond is to be redeemed only in part, it shall be 3 surrendered to the Bond Registrar (with, if the Issuer or Bond 4 Registrar so requires, a written instrument of transfer in form 5 satisfactory to the Issuer and Bond Registrar duly executed by 6 the Holder thereof or his, her or its attorney duly authorized in 7 writing? and the Issuer shall execute (if necessary) and the Bond 8 Registrar shall authenticate and deliver to the Holder of such 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 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; Purnose; General Oblic,�ation. This Bond is one of an issue in the total principal amount of $3,730,000, 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 the Charter of the Issuer, and pursuant to a resolution adopted by the City Council of the Issuer on April 7, 1999 (the "Resolution"), for the purpose of providing money to finance the construction of various street improvements in the City. This Bond is payable out of a special account relating to the Bonds in the General Obligation Special Assessments -- Streets Debt Service 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 as fully registered bonds in the denominations of $5,000 and integral multiples thereof of a single maturity and are exchangeable for fully registered Bonds of other authorized denominations in equal aggregate principal amounts at the principal of£ice 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. 44 Trans£er. This Bond is transferable by the Holder in 45 person or by his, her or its attorney duly authorized in writing 46 at the principal office of the Bond Registrar upon presentation 47 and surrender hereof to the Bond Registrar, all subject to the 48 terms and conditions provided in the Resolution and to reasonable 49 regulations of the Issuer contained in any agreement with, or 1035073.2 2 rJ 99-3aY 1 notice to, the Bond Registrar. Thereupon the Issuer shall 2 execute and the Bond Registrar shall authenticate and deliver, in 3 exchange for this Bond, one or more new fully registered Bonds in 4 the name of the transferee (but not registered in blank or to 5 ��bearer" or similar designation), of an authorized denomination 6 or denominations, in aggregate principal amount equal to the 7 principal amount of this Bond, of the same maturity and bearing 8 interest at the same rate. 9 Fees upon Transfer or Loss. The Bond Registrar may 10 require payment of a sum sufficient to cover any tax or other ll governmental charge payable in connection with the transfer or 12 exchange of this Bond and any legal or unusual costs regarding 13 transfers and lost Bonds. 14 15 16 17 18 19 20 21 Treatment of Reaistered Owner. 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 on the reverse side hereof 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. 22 Authentication. This Bond shall not be valid or become 23 obligatory for any purpose or be entitled to any security unless 24 the Certificate of Authentication hereon shall have been executed 25 by the Bond Registrar. 26 Not Oualified Tax-Exempt Obliaations. The Bonds have 27 not been designated by the Issuer as "qualified tax-exempt 28 obligations" for purposes of Section 265(b)(3) of the federal 29 Internal Revenue Code of 1986, as amended. The Bonds do not 30 qualify for such designation. 1035073.2 2 6 99-3op' � ABBREVIATIONS 2 The £ollowing abbreviations, when used in the 3 inscription on the face of this Bond, shall be construed as 4 though they were written out in full according to applicable laws 5 or regulations: 6 TEN COM - as tenants in common 7 TEN ENT - as tenants by the entireties 8 JT TEN - as joint tenants with right of survivorship 9 and not as tenants in common 10 UTMA - as custodian for 11 (Cust) (Minor) 12 under the Uniform Transfers 13 (State) 14 to Minors Act 15 Additional abbreviations may also be used 16 though not in the above list. 1035073.2 2�] Qq -�o� � ASSIGNMENT 2 For value received, the undersiqned hereby se11s, 3 assigns and transfers unto 4 the within Bond and does 5 hereby irrevocably constitute and appoint 6 attorney to transfer the Bond on the books kept for the 7 registration thereof, with full power of substitution in the 8 premises. 9 Dated: 10 Notice: The assignor's signature to this assignment 11 must correspond with the name as it appears 12 upon the face of the within Bond in every 13 particular, without alteration or any change 14 whatever. 15 Signature Guaranteed: � 17 Signature(s) must be guaranteed by a national bank or trust 18 company or by a brokerage firm having a membership in one of the 19 major stock exchanges or any other "Eligible Guarantor 20 Institution" as defined in 17 CFR 240.17Ad-15(a)(2). 21 The Bond Registrar will not effect transfer of this 22 Bond unless the information concerning the transferee requested 23 below is provided. 24 Name and Address: 25 26 27 28 (Include information for all joint owners if the Bond is held by joint account.) 10350�3.2 2 8 41-�0� 1 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 10. Execution. The Bonds shall be executed on behalf of the City by the signatures of its Mayor, Clerk and Director, Office of Financial Services, each with the effect noted on the forms of the Bonds, and be sealed with the seal of the City; provided, however, that the seal of the City may be a printed or photocopied facsimile; and provided further that any of such signatures may be printed or photocopied facsimiles and the corporate seal may be omitted on the Bonds as permitted by law. In the event of disability or resignation or other absence of any such officer, the Bonds may be signed by the manual or facsimile signature of that officer who may act on behalf of such absent or disabled officer. In case any such 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, such signature or facsimile shall nevertheless be valid and sufficient for all purposes, the same as if he or she had remained in office until delivery. 11. Authentication; Date of Reaistration. 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 Certi£icate 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. For purposes of delivering the original Global Certi£icates to the Purchaser, the Bond Registrar shall insert as the date of registration the date of original issue, which date is Apri1 1, 1999. The Certificate of Authentication so executed on each Bond shall be conclusive evidence that it has been authenticated and delivered under this resolution. 12. RegisCration; Transfer; Exchancxe. 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. A Global Certificate shall be registered in the name of the payee on the books of the Bond Registrar by presenting the G1oba1 Certificate for registration to the Bond Registrar, who will endorse his or her name and note the date of registration opposite the name of the payee in the certificate of registration on the Global Certificate. Thereafter a Global Certificate may be transferred by delivery with an assignment duly executed by the Holder or his, her or its legal representative, and the City 1035073.2 2 9 9`t-3o�- F� 4 5 6 7 8 9 10 and Bond Registrar may treat the Holder as the person exclusively entitled to exercise all the rights and powers of an owner until a Global Certificate is presented with such assignment for registration of transfer, accompanied by assurance of the nature provided by law that the assignment is genuine and effective, and until such transfer is registered on said books and noted thereon by the Bond Registrar, all subject to the terms and conditions provided in the Resolution and to reasonable regulations of the City contained in any agreement with, or notice to, the Bond Registrar. 11 Transfer of a Global Certificate may, at the direction 12 and expense of the City, be subject to other restrictions if 13 required to qualify the Global Certificates as being '�in 14 registered form" within the meaning of Section 149(a) of the 15 federal Internal Revenue Code of 1986, as amended. 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 If a Global Certificate is to be exchanged for one or more Replacement Bonds, all of the principal amount of the Global Certificate shall be so exchanged. Upon surrender for transfer of any Replacement 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 11) of, and deliver, in the name of the designated transferee or transferees, one or more new Replacement 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 of a Replacement Bond, Replacement Bonds may be exchanged for Replacement Bonds of authorized denomination or denominations of a like aggregaCe principal amount and stated maturity, upon surrender of the Replacement Bonds to be exchanged at the principal office of any the Bond Registrar. Whenever any Replacement 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 Replacement Bonds which the Holder making the exchange is entitled to receive. Global Certificates may not be exchanged for Global Certificates of smaller denominations. 42 Al1 Bonds surrendered upon any exchange 43 provided for in this resolution shall be promptly 44 the Bond Registrar and thereafter disposed of as 45 City. 1035073.2 30 or transfer cancelled by directed by the 9g-3o� 1 All Bonds delivered in exchange for or upon transfer of 2 Bonds shall be valid general obligations of the City evidencing 3 the same debt, and entitled to the same benefits under this 4 resolution, as the Bonds surrendered for such exchange or 5 trans£er. 6 Every Bond presented or surrendered for transfer or 7 exchange shall be duly endorsed or be accompanied by a written 8 instrument of transfer, in form satisfactory to the Bond 9 Registrar, duly executed by the Holder thereof or his, her or its 10 attorney duly authorized in writing. 11 The Bond Registrar may require payment of a sum 12 sufficient to cover any tax or other governmental charge payable 13 in connection with the transfer or exchange of any Bond and any 14 legal or unusual costs regarding transfers and lost Bonds. 15 Transfers shall also be subject to reasonable regula- 16 tions of the City contained in any agreement with, or notice to, 17 the Bond Registrar, including regulations which permit the Bond 18 Registrar to close its transfer books between record dates and 19 payment dates. 20 13. Riqhts Upon Transfer or ExchancLe. Each Bond 21 delivered upon transfer of or in exchange for or in lieu of any 22 other Bond shall carry all the rights to interest accrued and 23 unpaid, and to accrue, which were carried by such other Bond. 24 14. Interest Pavment; Record Date. Interest on any 25 Global Certificate shall be paid as provided in the first 26 paragraph thereof, and interest on any Replacement Bond shall be 27 paid on each Interest Payment Date by check or draft mailed to 28 the person in whose name the Bond is registered (the "Holder") on 29 the registration books of the City maintained by the Bond 30 Registrar, and in each case at the address appearing thereon at 31 the close of business on the fifteenth (15th) day of the calendar 32 month preceding such Interest Payment Date (the "Regular Record 33 Date"). Any such interest not so timely paid shall cease to be 34 payable to the person who is the Holder thereof as of the Regular 35 Record Date, and shall be payable to the person who is the Holder 36 thereof at the close of business on a date (the "Special Record 37 Date") fixed by the Bond Registrar whenever money becomes 38 available for payment of the defaulted interest. Notice of the 39 Special Record Date shall be given by the Bond Registrar to the 40 Holders not less than ten (10) days prior to the Special Record 41 Date. 42 15. Holders; Treatment of Reaistered Owner; Consent of 43 Holders. 44 (A) For the purposes of all actions, consents and other 45 matters affecting Holders of the Bonds, other than payments, 1035073.2 3 1 qq . 30�- 1 redemptions, and purchases, the City may (but shall not be 2 obligated to) treat as the Holder of a Bond the beneficial owner 3 of the Bond instead of the person in whose name the Bond is 4 registered. For that purpose, the City may ascertain the 5 identity of the beneficial owner of the Bond by such means as the 6 Bond Registrar in its sole discretion deems appropriate, 7 including but not limited to a certificate from the person in 8 whose name the Bond is registered identifying such beneficial 9 owner. 10 (B) The City and Bond Registrar may treat the person in 11 whose name any Bond is registered as the owner of such Bond for 12 the purpose of receiving payment of principal of and premium, if 13 any, and interest (subject to the payment provisions in paragraph 14 14 above) on, such Bond and for all other purposes whatsoever 15 whether or not such Bond shall be overdue, and neither the City 16 nor the Bond Registrar shall be affected by notice to the 17 contrary. 18 (C) Any consent, request, direction, approval, objection or 19 other instrument to be signed and executed by the Holders may be 20 in any number of concurrent writings of similar tenor and must be 21 signed or executed by such Holders in person or by agent 22 appointed in writing. Proof of the execution of any such 23 consent, request, direction, approval, objection or other 24 instrument or of the writing appointing any such agent and of the 25 ownership of Bonds, if made in the following manner, shall be 26 sufficient for any of the purposes of this Resolution and shall 27 be conclusive in favor of the City with regard to any action 28 taken by it under such request or other instrument, namely: 29 (1) The fact and date of the execution by any person 30 of any such writing may be proved by the certificate of any 31 officer in any jurisdiction who by law has power to take 32 acknowledgments within such jurisdiction that the person 33 signing such writing acknowledged before him or her the 34 execution thereof, or by an affidavit of any witness to such 35 execution. 36 (2) Subject to the provisions of subparagraph (A) 37 above, the fact of the ownership by any person of Bonds and 38 the amounts and numbers of such Bonds, and the date of the 39 holding of the same, may be proved by reference to the bond 40 register. 41 16. Delivery; Application of Proceeds. The Global 42 Certificates when so prepared and executed shall be delivered by 43 the Director, Office of Financial Services, to the Purchaser upon 44 receipt of the purchase price, and the Purchaser shall not be 45 obliged to see to the proper application thereof. 1035073.2 3 2 4' � 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 17. Funds. There is hereby created a special fund to be designated the "1999 Capital Projects Fund" (numbered C-99, the "Capital Fund"), to be administered and maintained by the City Treasurer as a bookkeeping account separate and apart from all other accounts maintained in the official £inancial records of the City. There has been heretofore created and established the "General Obligation Special Assessments -- Streets Debt Service Fund" (numbered 963, the "Debt Service Fund��). The Capital Fund and Debt Service Fund shall be maintained in the manner herein specified until all of the Bonds and the interest thereon have been fully paid. (i) CaDital Fund. To the Capital Fund there shall be credited the proceeds of the sale of the Bonds, less accrued interest received thereon, and less any amount paid for the Bonds in excess of $3,692,700. From the Capital Fund there shall be paid all costs and expenses of making the Improvements listed in paragraph 18, after they have been ordered in accordance with the Charter of the City, including the cost of any construction contracts heretofore let and a11 other costs incurred and to be incurred of the kind authorized in Minnesota Statutes, Section 475.65 (including interest on the Bonds payable during the construction period); and the moneys in the Capital Fund 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 covenanted to be levied; and provided further that if upon completion of the Improvements there shall remain any unexpended balance in the Capital Fund, the balance may be transferred by the Council to the fund of any other improvement instituted pursuant to the City's Charter or Minnesota Statutes, Chapter 429, or used to pay the costs of any other purpose permitted by law, or transferred to the Debt Service Fund. All earnings on the Capital Fund shall be transferred to the Debt Service Fund, or may be retained in the Capital Fund. (ii) Debt Service Fund. There is hereby pledged and there shall be credited to a special account relating to the Bonds in the Debt Service Fund: (a) collections of special assessments herein covenanted to be levied, to the extent provided in paragraph 19; (b) all accrued interest received upon delivery of the Bonds; (c) all funds paid for the Bonds in excess of $3,692,700; (d) any collections of all taxes which are levied herein, or which may hereafter be levied in the event that the special assessments herein pledged to the payment of the Bonds and interest thereon are insufficient therefor; (e) all funds remaining in the Capital Fund after completion o£ the Improvements and payment of the costs 10350�3.2 33 q9-3or � 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 .; thereof, not so transferred to the account of another improvement or used to pay the costs of any other purpose permitted by law; and (f) all investment earnings on moneys held in such special account in the Debt Service Fund or on moneys held in the Capital Fund. If moneys in the special account of the Debt Service Fund should ever be insufficient to pay debt service on the Bonds, the Bonds shall be paid from the Debt Service Fund or any other special account therein, and the Bonds are hereby made payable from the Debt Service Fund and any other special accounts therein for this purpose. Amounts drawn from the Debt Service Fund or any special account therein may be repaid with or without interest when moneys sufficient for such repayment are deposited in the special account relating to the Bonds in the Debt Service Fund. The special account relating to the Bonds in the Debt Service Fund shall be used solely to pay the principal and interest and any premiums for redemption of the Bonds and any other general obligation bonds of the City hereafter issued by the City and made payable from such special account in the Debt Service Fund as provided by law, or to pay any rebate due to the United States. 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 £ive percent (5%) of the proceeds of the Bonds. To this effect, any sums from time to time held in the Capital Fund or in such special account in the Debt Service Fund (or any other City fund or account which will be used to pay principal or interest to become due on the bonds payable therefrom) in excess of amounts which under then- applicable federal arbitrage regulations may be invested without regard as 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. In addition, the proceeds of the Bonds and money in the Capital Fund or in such special account in the Debt Service 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"). 18. Assessments; Coverage Test. The City Council has heretofore determined, and does hereby determine, to proceed with the Improvements and special assessments with respect thereto io3so�a.z �� a9-�o� 1 2 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 under the provisions of the Charter of the City, rather than the provisions of Minnesota Statutes, Chapter 429. It is hereby determined that no less than twenty percent (200) of the cost to the City of each Improvement financed hereunder within the meaning of Minnesota Statutes, Section 475.58, Subdivision 1(3), shall be paid by special assessments to be 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 each Improvement financed hereunder unless the resolution ordering the Improvement specifies a different time limit for the letting of construction contracts and 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 this 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 this 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. The special assessments have not heretofore been authorized, and accordingly, for purposes of Minnesota Statutes, Section 475.55, Subdivision 3, the special assessments are hereby authorized. Subject to such adjustments as are required by conditions in existence at the time the assessments are levied, the assessments are hereby authorized and it is hereby determined that the assessments shall be 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 a rate per annum approximately one percent (lo) per annum in excess of the net effective rate of interest on the Bonds: Improvement Designation Pascal/Jefferson Grotto{HOyt Chatsworth/HOyt Hewitt/Aldine Ivy/Earl Amount 870,000 325,000 770,000 790,000 975,000 Levy Years Collection Years TOTAL $3,730,000 1999-2018 for all 2000-2019 for all 46 The special assessments shall be such that if collected 47 in full they, together with estimated collections of other 1035073.2 3 �j 1 revenues herein pledged for the payment of the Bonds, wi11 2 produce at least five percent (50) in excess of the amount needed 3 to meet when due the principal and interest payments on the Bonds 4 in every year except the final year (2011). At the time the 5 assessments are in fact levied the City Council shall, based on 6 the then-current estimated collections of the assessments, make 7 any adjustments in any ad valorem taxes required to be levied in 8 order to assure that the City continues to be in compliance with 9 Minnesota Statutes, Section 475.61, Subdivision 1. 0 19. Limit on Special Assessments Pledqed. The City 1 Council hereby finds, determines and declares that the payment of 2 the Bonds does not require the pledge of all the special 3 assessments which may be levied with respect to the Improvements 4 identified in paragraph 18, and that it is necessary, proper and 5 expedient to provide that payments and prepayments of special 6 assessments in excess of the debt service requirements of the 7 Bonds be put to use for other purposes sooner than upon the 8 termination of the Debt Service Fund. Only $3,730,000 original 9 principal amount of the special assessments (which amount is the 0 "Pledged Assessments"), and interest thereon, recognized in 1 paragraph 18 of this Resolution (of which $755,000 are necessary 2 prior to their scheduled receipt in order to pay debt service on 3 the Bonds on April l, 2000) are or shall be pledged to the 4 payment of the Bonds, and payments of, or with respect to, such 5 special assessments in excess of the Pledged Assessments shall be 6 credited instead to a special account in the Capital Fund, and 7 used for the purpose of paying any additional costs of the 8 Improvements and the costs of other improvements approved by the 9 City, as follows: (a) the first $755,000 of all prepayments of 0 special assessments recognized in paragraph 18 shall be credited 1 to the Debt Service Fund, (b) thereafter until such time as the 2 special assessments from time to time outstanding equal in 3 original principal amount the Pledged Assessments or less, 4 prepayments of any of the special assessments recognized in 5 paragraph 18 shall be treated as prepayments of the portion of 6 the special assessments not pledged to the Bonds and shall be 7 credited instead to said special account of the Capital Fund, and 8 used as provided above, and (c) while the special assessments 9 from time to time outstanding equal in original principal amount 0 the Pledged Assessments or more, regular installment payments 1 made on the Pledged Assessments only (not all of the special 2 assessments) shall be credited to the Debt Service Fund, and 3 regular installment payments on that portion, if any, of the 4 remaining assessments in excess of the Pledged Assessments shall 5 be credited to said special account of the Capital Fund, and used 6 as provided above. 47 20. Tax Levv; Coverage Test. If taxes are levied as 48 provided in the final part of paragraph 18, the tax levies shall 49 be irrepealable so long as any of the Bonds are outstanding and 50 unpaid, provided that the City reserves the right and power to 1035073.z 3 6 1 reduce the levies in the manner and to the extent permitted by 2 Minnesota Statutes, Section 475.61, Subdivision 3. 3 To provide moneys for payment of the principal and 4 interest on the Bonds due to be paid in 2011 there is hereby 5 levied upon all of the taxable property in the City a direct 6 annual ad valorem tax which shall be spread upon the tax rolls 7 and collected with and as part of other general property taxes in 8 the City for the years and in the amounts as follows: SH 11 Year of Tax Lew 2009 Year of Tax Collection Amount 12 13 14 15 16 17 18 19 2� 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 2010 $1,307,670 The tax levies are such that if"collected in full they, together with estimated collections of special assessments and other revenues herein pledged for the payment 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 Bonds. The tax levies shall be irrepealable so long as any 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. 21. General Obliaation Pledge. For the prompt and full payment of the principal and interest on the Bonds, as the same respectively become due, the fu11 faith, credit and taxing powers of the City shall be and are hereby irrevocably pledged. If the balance in the special account relating to the Bonds in the Debt Service Fund (as defined in paragraph 17 hereof) is ever insufficient to pay all principal and interest then due on the Bonds payable therefrom, the deficiency shall be promptly paid out of any other funds of the City which are available for such purpose, including the general fund of the City and the Debt Service Fund and the special accounts therein, and such other funds may be reimbursed with or without interest from the special accounC in the Debt Service Fund relating to the Bonds when a sufficient balance is available therein. 36 22. Certificate of Recxistration. The Director, Office 37 of Financial Services, is hereby directed to file a certified 38 copy of this Resolution with the officer of Ramsey County, 39 Minnesota, performing the functions of the county auditor (the 40 "County Auditor"), together with such other information as the 41 County Auditor shall require, and to obtain the County Auditor's 42 certi£icate that the Bonds have been entered in the County 43 Auditor's Bond Register, and that the tax levy required by law 44 has been made. 1035073.2 3 7 `t9-3c� � 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 23. 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. 24. Negative Covenants as to Use of Proceeds and Improvements. The City hereby covenants not to use the proceeds of the Bonds or to use the Improvements, or to cause or permit them to be used, or to enter into any deferred payment arrangements for the cost of the Improvements, 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. The City reasonably expects that no actions will be taken over the term of the Bonds that would cause them to be private activity bonds, and the average term of the Bonds is not longer than reasonably necessary for the governmental purpose of the issue. The City hereby covenants not to use the proceeds of the Bonds in such a manner as to cause the Bonds to be "hedge bonds" within the meaning of Section 149(g) of the Code. 28 25. Tax-Exempt Status of the Bonds; Rebate: Election. 29 The City shall comply with requirements necessary under the Code 30 to establish and maintain the exclusion from gross income under 31 Section 103 of the Code of the interest on the Bonds, including 32 without limitation requirements relating to temporary periods for 33 investments, limitations on amounts invested at a yield greater 34 than the yield on the Bonds, and the rebate of excess investment 35 earnings to the United States. 36 The City expects that the two-year expenditure 37 exception to the rebate requirements may apply to the 38 construction proceeds of the Bonds. 39 If any elections are available now or hereafter with 40 respect to arbitrage or rebate matters relating to the Bonds, the 41 Mayor, Clerk, Treasurer and Director, Office of Financial 42 Services, or any of them, are hereby authorized and directed to 43 make such elections as they deem necessary, appropriate or 44 desirable in connection with the Bonds, and all such elections 45 shall be, and shall be deemed and treated as, elections of the 46 City. 1035073.z 3 $ �iq-�o�' 1 26. No Desianation of Oualified Tax-ExemDt 2 Obliaations. The Bonds, together with other obligations issued 3 by the City in 1999, exceed in amount those which may be 4 qualified as "qualified tax-exempt obligations" within the 5 meaning of Section 265(b)(3) of the Code, and hence are not 6 designated for such purpose. 7 27. Letter of Re�resentations. The Letter of 8 Representations for the Bonds is hereby confirmed to be the 9 Blanket Issuer Letter of Representations dated April 10, 1996, by 10 the City and received and accepted by The Depository Trust 11 Company. So long as The Depository Trust Company is the 12 Depository or it or its nominee is the Holder of any Global 13 Certificate, the City shall comply with the provisions of the 14 Letter of Representations, as it may be amended or supplemented 15 by the City from time to time with the agreement or consent of 16 The Depository Trust Company. 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 28. Negotiated Sale. The City has retained Springsted Incorporated as an independent financial advisor, and the City has heretofore determined, and hereby determines, to sell the Bonds by private negotiation, a11 as provided by Minnesota Statutes, Section 475.60, Subdivision 2(9). 29. ContinuinQ Disclosure. The City is an 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 Co be provided to each nationally recognized municipal securities information repository ("NRMSIR") and to the appropriate state information depository ("SID"), if any, for the State of Minnesota, in each case as designated by the Commission 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, in a timely manner, to (i) each NRMSIR or to the Municipal Securities Rulemaking Board (��MSRB��) and (ii) the SID, notice of the occurrence of certain material events with respect to the Bonds in accordance with the Undertaking. C. Provide or cause to be provided, in a timely manner, to (i) each NRMSIR or to the MSRB and (ii) the SID, notice of a failure by the City to provide the annual 1035073.2 � qq-�c8� financial information with respect to the City described in the Undertaking. 3 The City agrees that its covenants pursuant to the Rule 4 set forth in this paragraph 29 and in the Undertaking are 5 intended to be for the benefit of the Holders of the Bonds and 6 shall be enforceable on behalf of such Aolders; provided that the 7 right to enforce the provisions of these covenants shall be 8 limited to a right to obtain specific enforcement of the City's 9 obligations under the covenants. 10 The Mayor and Director, Office of Financial Services, 11 or any other officers of the City authorized to act in their 12 stead (the ��Officers"), are hereby authorized and directed to 13 execute on behalf of the City the Undertaking in substantially 14 the form presented to the City Council, subject to such 15 modifications thereof or additions thereto as are (i) consistent 16 with the requirements under the Rule, (ii) required by the 17 Purchaser, and (iii) acceptable to the Officers. m q9-3os� 1 30. Severabilitv. If any section, paragraph or 2 provision of this resolution shall be held to be invalid or 3 unenforceable for any reason, the invalidity or unenforceability 4 of such section, paragraph or provision shall not affect any of 5 the remaining provisions of this resolution. 6 31. Headinas. Headings in this resolution are 7 included for convenience of reference only and are not a part 8 hereof, and shall not limit or define the meaning of any 9 provision hereof. Adopted by Council: Date R�, 7 `�`�� � Adoption Certified by Council Secretary s . � _ Approved by Ma �: D te By: � Requested by Department of: �FF�c.e o� �,••�t.w�c�a� Sec v�ce,S ay: _�� J� ''"� � Form Ap d by City Attorney �. �L�� -��_ C" –dA–�, Mayor for��bqii�s�on to Council � 41 �1°� - �o� EXHIBITS Exhibit A - Proposals � ifQ _ 9wb DEPARTMENT/OFFICE/CIXINCIL DnTEINmATED � � — V V � OfficeofFlrrancialServices �«hz6.,� GREEN SHEET No 63235 CONiACT PERSON & PHONE InnbVOae InMauDabe Todd Hutiey 266-8837 2 nEruen�rmECrox 4 aneous�. MUST BE ON COUNCIL AGENDA BY (DATE� AsslGx APfII 7. ��JS NUMBER FOR � prvATiOR1EY OIYCtFIlK ROUiI1W OR�ER R111NCMLSERYICPSGR ANMGIILEERV/ACCT6 � MYOR ❑ TOTAL # OF SIGNATURE PAGES 1_ (CLIP ALL LOCATIONS FOR SIGNATURE) CTIIXJ RE�UESTED is resolution accepts the winnirg proposal and awards the bid for ihe $3,730,000 G.O. treet ImprovemeM Special AssesmeM Bonds Series 1999C. This is a canpetiti�e baid sate and fhe award — is going to the bidder fourW most advantageos (lowest cost) to the City. i RECOMMENDATION Approve (A) or Reject (R) PERSONAL SERViCE CONTRACfS MUSTANSWER 7HE FOLLOWiN6 QUES7ION5: i. Has this persoNfirm erer worked under a contract for this departmeM? PLANNING COMMISSION YES NO CIB COMMITTEE 2. Has this persoNfirm ever been a dry empbyee7 CIVILSERVICECAMMISSION YES NO 3. Does this personfhrm possess a 51611 rwt normally possessed by any curreM cily employce? YES NO 4. Is Mis perSONfirtn a Wrge[ed vendoR YES NO Fxplain all yes answers on separate sheet and attxh to green shee[ � INITIATING PROBLEM ISSUE, OPPORTUNI7Y (Who, What, When, Where, Why) The boMs are for the purpose of finar�cirg certain street imprwemeMS wRhin the Cily, and will be repaitl by special assesmerRS. ADVANTAGESIFAPPROVED Fundswillbeavailahieforstreetimprovements. pa����9, }`� �n��a,?i;� (,6 dr � 9�is�'+@a e! 0 �37� DISADVANTAGESIFAPPROVED None DISADVANTAGES IF NOT APPROVED � � FurWs needed for certain s[ree[ improvements will not be available. TOTAL AMOUNT OF TRANSACTION S sx�w.roo COSTIREVENUE BUDGETED (CIRCLE ONE) YES NO FUNDING SOURCE ACTIYITY NUMBER FINANCIAL INFORMATION (IXPWN) Gq-3o8' 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 and delivered by the Bond Registrar pursuant to paragraphs 6 and 12 hereof; and WHEREAS, "Holder" as used herein means the person in whose name a Bond is registered on the registration books of the City maintained by the registrar appointed as prov�ed in paragraph 8 (the "Bond Registrar"); and WHEREAS, Rule 15c2-12 of the Securiti and Exchange Commission prohibits "participating underwrite " from purchasing or selling the Bonds unless the City�undertak�s to provide certain continuing disclosure with respect t„ the Bonds; and WHEREAS, pursuant to Minnesota S�atutes, Section 475.60, Subdivision 2(9), public sale re irements do not apply to the Bonds if the City retains an ind �endent financiaZ advisor and determines to sell the Bonds by pr "ate negotiation, and the City has instead authorized a competi ve sale without publication of notice thereof as a f m of private negotiation; and � 18 wHEREAS, proposals for 'e Bonds have been solicited by 19 Springsted Incorporated pursuant •o an Official Statement and 20 Terms of Proposal therein: 21 NOW, THEREFORE, BE �RESOLVED by the Council of the 22 City of Saint Paul, Minnesot��as follows: 23 24 25 26 27 28 29 30 31 32 33 34 35 36 1. Acce tance of��'Proposal. The proposal of ,�the "Purchaser"), to purchase $3,730,000 General Oblig ;�ion Street Improvement Special Assessment Bonds, Series�1999C, of the City (the "Bonds", or individually a"Bond°),%in accordance with the Terms of Proposal for the bond sale, at -he rates of interest hereinafter set forth, and to pay th 'efor the sum of $ , plus interest accrued to �'ettlement, is hereby found, determined and declared to be the ost favorable proposal received and is hereby accepted, and the onds are hereby awarded to the Purchaser. The Director, Office f Financial Services, or his designee, is directed to reta'- the deposit of the Purchaser and to £orthwith return to the o ers making proposals their good faith checks or draf t s . 37 2. .Title: Oriainal Issue Date; Denominations; 38 Maturities. The Bonds shall be titled "General Obligation Street 39 Improvement Special Assessment Bonds, Series 1999C", shall be 4o dated Apri 1, 1999, as the date of original issue and shall be 41 issued fo hwith on or after such date as fully registered bonds. 42 The Bond shall be numbered from R-1 upward. Global Certificates 10350'13.2 3 q1-3o 8' 1 2 3 4 5 6 7 e 9 1Q 11 12 13 14 shall each be in the denomination of the entire principal amount maturing on a single date, or, if a portion of said principal amount is prepaid, said principal amount less the prepayment. Replacement Bonds, if issued as provided in paragraph 6, shall be in the denomination of $5,000 each or in any integral multiple thereof of a single maturity. The Bonds shall mature on April 1 in the years and amounts as follows: Year 2000 2001 2002 2003 2004 2005 Amount Year 2006 $ O,OQO 2007 50,000 2008 150,0�0 2009 150,000 2010 150,000 2011 � 1,665,000 $560,000 155,OQ0 150,000 150,000 150,000 150,D00 15 For purposes of Minnesota Statutes, Secti '�475.54, the serial 16 maturities of the Bonds are combined wit , 'the serial maturities 17 of the City's $16,375,000 General Oblig ion Capital Improvement 18 Bonds, Series 1999B. 19 20 21 22 23 24 25 26 3. Purgose. The Bonds st� construction of various street imp�pv in the City, and any excess funds sha purpose permitted by law. The t�al which shall include all costs e�umera Section 475.65, is estimated t at of the Bonds. Work on the Imp"rovemen diligence to completion. �� 11 provide funds for the ements (the "Improvements��) 11 be devoted to any other cost of the Improvements, ted in Minnesota Statutes, least equal to the amount ts shal� proceed with due 27 4. Interest. �e Bonds shall bear interest payable 28 semiannuaZly on April 1 ar�d October 1 of each year (each, an 29 "Interest Payment Date");� commencing April 1, 2000, calculated on 30 the basis of a 360-day �ear of twelve 30-day months, at the 31 respective rates per a��num set forth opposite the maturity years 32 as follows: f� 33 Maturity Year 34 2000 35 2001 36 2002 37 2003 38 2004 � 39 2005 �" MaturitX Year Interest Rate 0 2006 2007 2008 2009 2010 2011 40 . Descrintion of the Global Certificates and Global 41 Book-Ent S stem. Upon their original issuance the Bonds will 42 be issu in the form of a single Global Certificate for each 43 maturi , deposited with the Depository by the Purchaser and 44 immob' ized as provided in paragraph 6. No beneficial owners of z 4 99 -3o P� 1 revenues herein pledged for the payment of the Bonds, will 2 produce at least five percent 15%) in excess of the amount needed 3 to meet when due the principal and interest payments on the Bonds 4 in every year except the final year (2011). At the time the 5 assessments are in fact levied the City Council shall, based on 6 the then-current estimated collections of the assessments, make 7 any adjustments in any ad valorem taxes required to be levi in 8 order to assure that the City continues to be in complianc with 9 Minnesota Statutes, Section 475.61, Subdivision 1. 19. Limit on Special Assessments Plec3ged. e City Council hereby finds, determines and declares that t payment of the Bonds does not require the pledge of all the s cial assessments which may be levied with respect to t Improvements identified in paragraph 18, and that it is nece�,s ary, proper and expedient to provide that payments and prepaym ts of special assessments in excess of the debt service re zrements of the Sonds be put to use for other purposes soon� than upon the termination of the Debt Service Fund. Onl� original principal amount of the special assessmer�s(which amount is the "Pledged Assessments"), and interest th�eon, recognized in paragraph 18 of this Resolution (of w��h $746,000 are necessary prior to their scheduled receipt in �der to pay debt service on the Bonds on April 1, 2000) are ar � all be pledged to the payment of the Bonds, and payments or with respect to, such special assessments in excess of # d� ie Pledged Assessments shall be credited instead to a special ac�ount in the Capital Pund, and used for the purpose of paying�, additional costs of the Improvements and the costs of ther improvements approved by the City, as follows: (a) the f'�st $74b,000 of aZl prepayments of special assessments recogni ed in paragraph 18 shall be credited to the Debt Service Fund, ,) thereafter until such time as the special assessments from �ime to time outstanding equal in original principal amou� the Pledged Assessments or less, prepayments of any of tr e special assessments recognized in paragraph 18 shall be, reated as prepayments of the portion of the special assessme s not pledged to the Bonds and shall be credited instead to said special account of the Capital Fund, and used as provided��ove, and (c) while the special assessments from time to time outstanding equal in original principal amount the Pledged Asse sments or more, regular installment payments made on the P1 ged Assessments only (not all of the special assessments) all be credited to the Debt Service Fund, and regular inst lment payments on that portion, if any, of the remaining a essments in excess of the Pledged Assessments shall be credite to said speciaZ account of the Capital Fund, and used as provid above. 47 20. Tax Lew; Coveraae Test. If taxes are levied as 48 provi d in the final part of paragraph 18, the tax levies shall 49 be i epealable so long as any of the Bonds are outstanding and 50 unp id, provided that the City reserves the right and power to 1035073.2 3 6 qq-3o8` 1 2 reduce the levies in the manner and to the extent permitted by Minnesota Statutes, Section 475.61, Subdivision 3. 3 To provide moneys for payment of the principal an 4 interest on the Bonds due to be paid in 2011 there is her 5 levied upon all of the taxable property in the City a di ct 6 annual ad valorem tax which shall be spread upon the t rolls 7 and collected with and as part of other general prope y taxes in 8 the_City £or the years and in the amounts as follows- 9 10 11 Year of Tax Levy Year of Tax Collection Amount 2D09 2010 $ 12 The tax levies are such that if co'llected in full they, <,;. 13 together with estimated collections of sp��ial assessments and 14 other revenues herein pledged for the payment of the Bonds, will 15 produce at least five percent (5%) in excess of the amount needed 16 to meet when due the principal and int�est payments on the 17 Bonds. The tax levies shall be irrepe'alable so long as any of 18 the Bonds are outstanding and unpaicl;;' provided that the City 19 reserves the right and power to redzice the levies in the manner 20 and to the extent permitted by Min�'iesota Statutes, Section 2Z 475.62, Subdivision 3. ,j° :, � 22 21. General Obligat�"�on Pledge. For the prompt and 23 full pa}mtent of the principa�,rand interest on the Bonds, as the 24 same respectively become due�' the full faith, credit and taxing 25 powers of the City sha21 be�t:and are hereby irrevocably pledged. 26 If the balance in the spec.;Yal account relating to the Bonds in 27 the Debt Service Fund (as;ydefined in paragraph 17 hereof) is ever 28 insufficient to pay all and interest then due on the 29 Bonds payable therefroci3;� the deficiency sha11 be promptly paid 30 out of any other fund�`'of the City which are available for such 31 purpose, including tka`e general fund of the City and the Debt 32 Service Fund and thcs'specia2 accounts therein, and such other 33 funds may be reimbt�rsed with or without interest from the special 34 account in the Deb`t Service Fund relating to the Bonds when a 35 sufficient balance is available therein. 36 22. /`Certificate of Registration. The Director, Office 37 of Financial �ervices, is hereby directed to file a certified 38 copy of this<� esolution with the officer of Ramsey County, 39 Minnesota, erforming the functions of the county auditor (the 40 "County Au itor"), together with such other information as the 41 County Au,itor shall require, and to obtain the County Auditor's 42 certific.te that the Bonds have been entered in the County 43 Audito s Bond Register, and that the tax levy required by law 44 has b n made. 1035073.2 3�] Council Fife # \� ' ��� �R1GfNAL. A �""�• a �`+i'i; 1 Green Sheet # � 3 a35 " RESOLUT{ON p `1" `� 3, 4���� 3q �� �� C�TY O� SAfNT PAUL, MINNESOTA 3�j Presented By RefeRed To Committee: Date ACCEPTING PROPOSAL ON SAL,E OF $3,730,000 GENERAL OBLIGATION STREET IMPROVEMENT SPECIAL ASSESSMENT BONDS, SERIES 1999C, PROVIDING FOR THETR ISSUANCE, AND LEVYING A TAX FOR THE PAYMENT THEREOF 6 WHEREAS, the Director, Office of Financial Services, 7 has presented proposals received for the sale of $3,730,000 8 General Obligation Street Improvement Special Assessment Bonds, 9 Series 1999C (the "Bonds"), of the City of Saint Paul, Minnesota 10 (the "City"); and 11 WHEREAS, the proposals set forth on Exhibit A attached 12 hereto were received pursuant to the Terms of Proposal at the 13 offices of Springsted Incorporated zt 10:30 A.M., Central Time, 14 this same day; and 15 WHEREAS, the Director, Office of Financial Services, 16 has advised this Council that the proposal of 17 � .� �,��� S„� was found to be the most advantageous 18 and has recommended that said proposal be accepted; and 19 WHEREAS, the proceeds of the Bonds will finance certain 20 street improvements to be specially assessed, for which the City 21 is proceeding pursuant to its Charter and not Minnesota Statutes, 22 Chapter 429, with any excess to be used for any other purpose 23 permitted by law; and �g -308 1 WHEREAS, the City has heretofore issued registered 2 obligations in cerCificated form, and incurs substantial costs 3 associated with their printing and issuance, and substantial 4 continuing transaction costs relating to their payment, transfer 5 and exchange; and 6 WHEREAS, the City has determined that significant 7 savings in transaction costs wi11 result from issuing bonds in 8 "global book-entry form", by which bonds are issued in 9 certificated form in large denominations, registered on the books 10 of the City in the name of a depository or its nominee, and held li in safekeeping and immobilized by such depository, and such 12 depository as part of the computerized national securities 13 clearance and settlement system (the "National System") registers 14 transfers of ownership interests in the bonds by making 15 computerized book entries on its own books and distributes 16 payments on the bonds to its Participants shown on its books as 17 the owners of such interests; and such Participants and other 18 banks, brokers and dealers participating in the National System 19 will do likewise (not as agents of the City) if not the 20 beneficial owners of the bonds; and 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 WHEREAS, "Participants" means those financial institutions for whom the Depository effects book-entry transfers and pledges of securities deposited and immobilized with the Depository; and WHEREAS, The Depository Trust Company, a limited purpose trust company organized under the laws of the State of New York, or any o£ its successors or successors to its functions hereunder (the '�Depository"), will act as such depository with respect to the Bonds except as set fortih below, and the City has heretofore delivered a letter of representations (the "Letter of Representations") setting forth various matters relating to the Depository and its role with respect to the Bonds; and WHEREAS, the City will deliver the Bonds in the form of one certificate per maturity, each representing the entire principal amount of the Bonds due on a particular maturity (each a"G1oba1 Certificate"), which single certificate per maturity may be transferred on the City's bond register as reguired by the Uniform Commercial Code, but not exchanged smaller denominations unless the City determines to issue Replacement Bonds as provided below; and date for 41 WHEREAS, the City will be able to replace the 42 Depository or under certain circumstances to abandon the '�global 43 book-entry form" by permitting the Global Certificates to be ?4 exchanged for smaller denominations typical of ordinary bonds 45 registered on the City's bond register; and "Replacement Bonds" 46 means the certificates representing the Bonds so authenticated 1035073.2 2 �q,�3b8 and delivered by the Bond Registrar pursuant to paragraphs 6 and 12 hereof; and 3 WHEREAS, "Holder" as used herein means the person in 4 whose name a Bond is registered on the registration books of the 5 City maintained by the registrar appointed as provided in 6 paragraph 8(the "Bond Registrar"); and � 10 11 12 13 14 15 16 i� WHEREAS, Rule 15c2-12 of the Securities and Exchange Commission prohibits "participating underwriters" from purchasing or selling the Bonds unless the City undertakes to provide certain continuing disclosure with respect to the Bonds; and WHEREAS, pursuant to Minnesota Statutes, Section 475.60, Subdivision 2(9), public sale requirements do not apply to the Bonds if the City retains an independent financial advisor and determines to sell the Bonds by private negotiation, and the City has instead authorized a competitive sale without publiaation of notice Chereof as a£orm of private negotiation; and 18 WHEREAS, proposals for 19 Springsted Incorporated puzsuant 20 Terms of Proposal therein: 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 the Bonds have been solicited by to an Official Statement and NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Saint Paul, Minnesota, as follows: 1. Acceptance of Pr000sal. The proposal of Prudential Securities Inc. (the "Purchaser"), to purchase $3,730,000 General Obligation Street Improvement Special Assessment Bonds, Series 1999C, of the City (the "BOnds", or individually a"Bond"), in accordance with the Terms of Proposal for the bond sale, at the rates of interest hereinafter set forth, and to pay therefor the sum of $3,705,358.40, plus interest accrued to settlement, is hereby found, determined and declared to be the most favorable proposal received and is hereby accepted, and the Bonds are hereby awarded to the Purchaser. The Director, Office of Financial Services, or his designee, is directed to retain the deposit of the Purchaser and to forthwith return to the others making proposals their good faith checks or drafta. 36 2. Title; Original Issue Date; Denominations; 37 Maturities. The Bonds shall be titled "General Obligation Street 38 Improvement Special Assessment Bonds, Series 1999C", shall be 39 dated April 1, 1999, as the date of original issue and shall be 40 issued forthwith on or after such date as fully registered bonds. 41 The Bonds shall be numbered from R-1 upward. Global Certificates 10350�3.2 3 q,q.,�o $' 1 2 3 4 5 6 7 shall each be in the denomination of the entire principal amount maturing on a single date, or, if a portion of said principal amount is prepaid, said principal amount less the prepayment. Replacement Bonds, if issued as provided in paragraph 6, shall be in the denomination of $5,000 each or in any integral multiple thereof of a single maturity. The Bonds shall mature on April 1 in the years and amounts as follows: 8 Year Amount Year Amount 9 2000 $560,000 2006 $ 150,000 10 2001 155,000 2007 150,000 11 2002 150,000 2008 150,000 12 2003 150,000 2009 150,000 13 2004 150,000 2010 150,000 14 2005 150,000 2011 1,665,000 15 For purposes of Minnesota Statutes, Section 475.54, the serial 16 maCurities of the Bonds are combined with the serial maturities 17 of the City's $16,375,000 General Obligation Capital Improvement 18 Bonds, Series 1999B. 19 20 21 22 23 24 25 26 3. Purpose. The Bonds shall provide funds for the construction of various street improvements i�he '�Improvements") in the City, and any excess funds shall be devoted to any other purpose permitted by law. The total cost of the Improvements, 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 Improvements shall proceed with due diligence to completion. 27 4. Interest. The Bonds shall bear interest payable 28 semiannually on April 1 and October 1 of each year (each, an 29 "Interest Payment Date"), commencing April 1, 2000, calculated on 30 the basis of a 360-day year of twelve 30-day months, at the 31 respective rates per annum set forth opposite the maturity years 32 as £ollows: 33 Maturitv Year Interest Rate Maturity Year Interest Rate 34 2000 35 2001 36 2002 37 2003 38 2004 39 2005 4.00o 2006 4.00 2007 4.00 2008 4.00 2009 4.00 2010 4.00 2011 4.00o 4.10 4.20 4.30 4.40 4.50 40 5. Description of the Global Certificates and Global 41 Book-Entrv �stem. Upon their original issuance the Bonds will 42 be issued in the form of a single Global Certificate for each 43 maturity, deposited with the Depository by the Purchaser and 44 immobilized as provided in paragraph 6. No beneficial owners of 10350'J3.2 4 gq.3o8- 1 2 3 4 5 7 8 9 10 11 12 13 1§ 15 16 17 18 interests in the Bonds will receive certificates representing their respective interests in the Bonds except as provided in paragraph 5. Except as so provided, during the term of the Bonds, beneficial ownership (and subsequent transfers of beneficial ownership) of interests in the Global Certificates will be reflected by book entries made on the records of the Depository and its Participants and other banks, brokers, and dealers participating in the National System. The Depository�s book entries of beneficial ownership interests are authorized to be in increments of $5,000 of principal of the Bonds, but not smaller increments, despite the larger authorized denominations of the Global Certificates. Payment of principal of, premium, if any, and interest on the Global Certificates will be made to the Bond Registrar as paying agent, and in turn by the Bond Registrar to the Depository or its nominee as registered owner of the Global Certificates, and the Depository according to the laws and rules governing it will receive and forward payments on behalf of the beneficial owners of the Global Certificates. 19 Payment of principal of, premium, if any, and interest 20 on a Global Certificate may in the City's discretion be made by 21 such other method of transferring funds as may be requested by 22 the Holder of a Global Certificate. 23 6. Immobilization o£ Global Certificates by the 24 Denository; Successor Depositorv: Replacement Bonds. Pursuant to 25 the request of the Purchaser to the Depository, which request is 26 required by the Terms of Proposal, immediately upon the original 27 delivery of the Bonds the Purchaser will deposit the Global 28 Certificates representing all of the Bonds with the Depository. 29 The Global Certificates shall be in typewritten form or otherwise 30 as acceptable to the Depository, shall be registered in the name 31 of the Depository or its nominee and shall be held immobilized 32 from circulation at the offices of the Depository on behalf of 33 the Purchaser and subsequent bondowners. The Depository or its 34 nominee will be the sole holder of record of the Global 35 Certificates and no investor or other party purchasing, selling 36 or otherwise transferring ownership of interests in any Bond is 37 to receive, hold or deliver any bond certificates so long as the 38 Depository holds the Global Certificates immobilized from 39 circulation, except as provided below in this paragraph and in 40 paragraph 12. 41 42 43 44 Certificates evidencing the Bonds may not a£ter their original delivery be transferred or exchanged except: (i) Upon registration of transfer of ownership of a Global Certificate, as provided in paragraph 12, 45 (ii) To any successor of the Depository (or its 46 nominee) or any substitute depository (a "substitute 47 depository") designated pursuant to clause (iii) of this 10350']3.2 5 a`�. 1 subparagraph, provided that any successor of the Depository 2 or any subsCitute depository must be both a"clearing 3 corporation" as defined in the Minnesota Uniform Commercial 4 Code at Minnesota Statutes, Section 336.8-102, and a 5 qualified and registered "clearing agency" as provided in 6 Section 17A of the Securities Exchange Act of 1934, as 7 amended, 8 (iii) To a substitute depository designated by and 9 acceptable to the City upon (a) the determination by the 10 Depository that the Bonds shall no longer be eligible for 11 its depository services or (b) a determination by the City 12 that the Depository is no longer able to carry out its 13 functions, provided that any substitute depository must be 14 qualified to act as such, as provided in clause (ii) of this 15 subparagraph, or 16 (iv) To those persons to whom transfer is requested 17 in written transfer instructions in the event that: 18 (a) the Depository shall resign or discontinue 19 its services for the Bonds and the City is unable to 20 locate a substitute depository within two (2) months 21 following the resignation or determination of non- 22 eligibility, or 23 (b? upon a determination by the City in its sale 24 discretion that (1) the continuation of the book-entry 25 system described herein, which precludes the issuance 26 of certificates (other than Global Certificates) to any 27 Holder other than the Depository (or its nominee), 28 might adversely affect the interest of the beneficial 29 owners of the Bonds, or (2) that it is in the best 30 interesti of the beneficial owners of the Bonds that 31 they be able to obtain certificated bonds, 32 in either of which events the City sha11 notify Holders of 33 its determination and of the availability of certificates 34 (the �'Replacement Bonds") to Holders requesting the same and 35 the registration, transfer and exchange of such Bonds will 36 be conducted as provided in paragraphs 9B and 12 hereof. 37 In the event of a succession of the Depository as may 38 be authorized by this paragraph, the Bond Registrar upon 39 presentation of Global Certificates shall register their transfer 40 to the substitute or successor depository, and the substitute or 41 successor depository shall be treated as the Depository for all 42 purposes and functions under this resolution. The Letter o£ 43 Representations shall not apply to a substitute or successor 44 depository unless the City and the substitute or successor 45 depository so agree, and a similar agreement may be entered into. 1035D73.2 6 q9 -3�8' 1 2 3 4 5 6 7 8 9 10 11 12 13 14 is 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 RedemDtion. (a) OAtional Redemption: Due Date. All Bonds maturing after April 1, 2007, shall be subject to redemption and prepayment at the option of the City on such date and on any day 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, those Bonds remaining unpaid may be prepaid in such order of maturity and in such amount per maturity as the City shall determine; and if only part of the Bonds having a common maturity date are called for prepayment, the Global Certificates may be prepaid in $5,000 increments of principal and, if applicable, the specific Replacement 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. (b) Notation on Global Certificate. Upon a reduction in the aggregate principal amount of a Global Certificate, the Holder may make a notation of such redemption on the panel provided on the G1oba1 Certificate stating the amount so redeemed, or may return the Global Certificate to the Bond Registrar in exchange for a new Global Certificate authenticated by the Bond Registzar, in proper principal amount. Such notation, if made by the Holder, shall be for reference only, and may not be relied upon by any other person as being in any way determinative of the principal amount of such Global Certificate outstanding, unless the Bond Registrar has signed the appropriate column of the panel. (c) Selection of Reglacement Bonds. To effect a partial redemption of Replacement Bonds having a common maturity date, the Bond Registrar prior to giving notice of redemption shall assign to each Replacement Bond having a common maturity date a distinctive number for each $5,000 of the principal amount of such Replacement Bond. The Bond Registrar shall then select by 1ot, using such method of selection as it shall deem proper in its discretion, from the numbers so assigned to such Replacement Bonds, as many numbers as, at $5,000 for each number, shall equal the principal amount of such Replacement Bonds to be redeemed. The Replacement Bonds to be redeemed shall be the Replacement Bonds to which were assigned numbers so selected; provided, however, that only so much of the principal amount of each such Replacement Bond of a denomination of more than $5,000 shall be redeemed as shall equal $5,000 for each number assigned to it and so selected. 45 (d) Partial Redem�tion of Replacement Bond. If a 46 Replacement Bond is to be redeemed only in part, it shall be 47 surrendered to the Bond Registrar (with, if the Citiy or Bond 48 Registrar so requires, a written instrument of transfer in form iassa�3.a 7 °1`1-�D$ 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 satisfactory to the City and Bond Registrar duly executed by the Holder thereof or his, her or its attorney duly authorized in writing) and the City shall execute (if necessary) and the Bond Registrar sha11 authenticate and deliver to the Holder of such Replacement Bond, without service charge, a new Replacement Bond or Bonds of the same series having the same stated maturity and interesC 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. (e) Request for Redem�tion. The Bond Registrar shall call Bonds for redemption and payment as herein provided upon receipt by the Bond Registrar at least forty-five (45) days prior to the redemption date of a request of the City, in written form if the Bond Registrar is other than a City officer. Such request sha11 specify the principal amount of Bonds to be called for redemption and the redemption date. (f) Notice. Mailed notice of redemption shall be given the paying agent (if other than a City officer) and to each affected Holder. If and when the City shall call any o£ the Bonds for redemption and payment prior to the stated maturity thereof, the Bond Registrar shall give written notice in the of the City of its intention to redeem and pay such Bonds at office of Che Bond Registrar. Notice of redemption shall be to name the given by first class mail, postage prepaid, mailed not less than thirty (30) days prior to the redemption date, to each Holder of Bonds to be redeemed, at the address appearing in the Bond Register. Al1 notices of redemption shall state: 29 3Q 31 32 33 34 35 36 37 38 39 40 41 1035073.2 (i) The redemption date; (iil The redemption price; (iii) If less than all outstanding Bonds are to be redeemed, the identification (and, in the case o£ partial redemption, the respective principal amounts) of the Bonds to be redeemed; (iv) That on the redemption date, the redemption price will become due and payable upon each such Bond, and that interest thereon shall cease to accrue from and after said date; and (v) The place where such Bonds are to be surrendered for payment of the redemption price (which shall be the office of the Bond Registrar). �q-3o� 1 2 3 4 5 6 7 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 (g) Notice to Depositorv. Notices to The Depository Trust Company or its nominee shall contain the CUSIP numbers of the Bonds. If there are any Holders of the Bonds other than the Depository or its nominee, the Bond Registrar shall use its best efforts to deliver any such notice to the Depository on the business day next preceding the date of mailing of such notice to all other Holders. 8. Bond Reaistrar. U.S. Bank Trust National Association, in Saint 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. A successor Bond Registrar shall be an officer of the City or a bank or trust company eligible £or designation as bond registrar pursuant to Minnesota Statutes, ChapCer 475, and may be appointed pursuant Co any contract the City and such successor 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 Holders (or record holders) of the Bonds in the manner set forth in the forms of Bond and paragraph 14 of this resolution. 9. Forms of Bond. The Bonds shall be in the form of Global Certificates unless and until Replacement Bonds are made available as provided in paragraph 6. Each form of bond may contain such additional or different terms and provisions as to the form of payment, record date, notices and other matters as are consistent with the Letter of Representations and approved by the City Attorney, A. Global Certificates. The Global Certificates, together with the Certificate of Registration, the Register of Partial Payments, the form of Assignment and the registration information thereon, shall be in substantially the following form and may be typewritten rather than printed: 10350�3.2 °Iq '3°� � 2 3 4 5 R- 6 7 8 INTEREST 9 RATE 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 4� 41 UNITED STATES OF AMERICA STATE OF MINNESOTA RAMSEY CO[INTY CITY OF SAINT PAUL GENERAL OBLIGATION STREET IMPROVEMENT SPECIAL ASSESSMEI3T BOND, SERIES 1999C MATURITY DATE DATE OF ORIGINAL ISSUE Ci3SIP April 1, REGISTERED OWNER: PRINCIPAL AMOUNT: DOLLARS KNOW ALL PERSONS BY THESE PRESENTS that the City of Saint Paul, Ramsey County, Minnesota (the ��Issuer" or "City"), certifies that it is indebted and for value received promises to pay to the registered owner specified above or on the certificate of registration below, or registered assigns, in the manner hereinafter set forth, the principal amount specified above, on the maturity date specified above, unless called for earlier redemption, and to pay interest thereon semiannually on April 1 and October 1 of each year (each, an ��Interest Payment Date"), commencing April 1, 2000, 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 wi11 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 Sond are payable in same-day funds by 2:30 p.m., Eastern time, upon presentation and surrender hereof at the principal o£fice of in , Minnesota (the "BOnd Registrar"), acting as paying agent, or any successor paying agent duly appointed by the Issuer; provided, however, that upon a partial redemption of this Bond which results in the stated amount hereof being reduced, the Holder may in its discretion be paid without presentation of this Bond, which payment shall be received no later than 2:30 p.m., Eastern time, and may make a notation on the panel provided herein of such redemption, stating the amount so redeemed, or may return the Bond to the Bond Registrar in exchange for a new Bond in the proper principal amount. Such notation, if made by the Holder, shall be for April 1, 1999 1�35073.2 1,� aq-3o� � 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 ia 19 20 21 22 23 24 25 reference only, and may not be relied upon by any other person as being in any way determinative of the principal amount of this Bond outstanding, unless the Bond Registrar has signed the appropriate column of the panel. Interest on this Bond will be paid on each Interest Payment Date in same-day funds by 2:30 p.m., Eastern time, 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 preceding such Interest Payment Date (the "Regular Record Date"). Interest payments shall be received by the Aolder no later than 2:30 p.m., Eastern time; and principal and premium payments shall be received by the Holder no later than 2:30 p.m., Eastern time, if the Bond is surrendered for payment enough in advance to permit payment to be made by such time. 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 sha11 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. 26 Date of Payment Not Business Day. If the date for 27 payment of the principal of, premium, if any, or interest on this 28 Bond shall be a Saturday, Sunday, legal holiday or a day on which 29 banking institutions in the City of New York, New York, or the 30 city where the principal office of the Bond Registrar is located 31 are authorized by law or executive order to close, then the date 32 for such payment shall be the next succeeding day which is not a 33 Saturday, Sunday, legal holiday or a day on which such banking 34 institutions are authorized to close, and payment on such date 35 shall have the same force and effect as if made on the nominal 36 date of payment. 37 Redemption. All Bonds of this issue (the "Bonds") 38 maturing after April 1, 2007, are subject to redemption and 39 prepayment at the option of the Issuer on such date and on any 40 day thereafter at a price of par plus accrued interest. 41 Redemption may be in whole or in part of the Bonds subject to 42 prepayment. If redemption is in part, those Bonds remaining 43 unpaid may be prepaid in such order of maturity and in such 44 amount per maturity as the City shall determine; and if only part 45 of the Bonds having a common maturity date are called for 46 prepayment, this Bond may be prepaid in $5,000 increments of a7 principal. Bonds or portions thereof called for redemption shall 48 be due and payable on the redemption date, and interest thereon 49 shall cease to accrue from and after the redemption date. 1035073.2 1 1 9q-�o� 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 � Notice of Redemption. Mailed notice of redemption sha11 be given to the paging agent (if other than a City officer) and to each affected Holder of the Bonds. In the event any of the Bonds are called for redemption, written notice thereof will be given by first class mail mailed not less than thirty (3o) days prior to the redemption date to each Holder of Bonds to be redeemed. In connection with any such notice, the "CUSIP" numbers assigned to the Bonds shall be used. Replacement or Notation of Bonds after Partial Redemntion_ Upon a partial redemption of this Bond which results in the stated amount hereof being reduced, the Holder may in its discretion make a notation on the panel provided herein of such redemption, stating the amount so redeemed. Such notation, if made by the Holder, shall be for reference only, and may not be relied upon by any other person as being in any way determinative of the principal amount of the Bond outstanding, unless the Bond Registrar has signed the appropriate column of the panel. Otherwise, the Holder may surrender this Bond 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 Che Holder thereof or his, her or its attorney duly authorized in writinq) and the Issuer shall execute (if necessary) and the Bond Registrar shall authenticate and deliver to the Aolder of such Bond, without service charge, a new Bond of the same series having the same stated maturity and interest rate and of the authorized denomination 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 $3,730,000, 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 the Charter of the Issuer, and pursuant to a resolution adopted by the City Council of the Sssuer on April 7, 1999 (the "Resolution"), for the purpose o£ providing money to finance the construction of various street improvements in the City. This Bond is payable out of a special account relating to the Bonds in the General Obligation Special Assessments -- Streets Debt Service Fund of the Issuer. This Sond 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; ExchanQe; Resolution. The Bonds are issuable originally only as Global Certificates in the 1035073.2 12 ° l`t -308' 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 1'J 18 19 denomination of the entire principal amount of the issue maturing on a single date, or, if a portion of said principal amount is prepaid, said principal amount less the prepayment. Global Certificates are not exchangeable for fully registered bonds of smaller denominations except to evidence a partial prepayment or in exchange for Replacement Bonds if then available. Replacement Bonds, if made available as provided below, are issuable solely as fully registered bonds in the denominations of $S,D00 ar.d integral multiples thereof of a single maturity 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. Replacement Bonds. Replacement Bonds may be issued by the Issuer in the event that: 20 (a) the Depository shall resign or discontinue its 21 services for the Bonds, and only if the Tssuer is unable to 22 locate a substitute depository within two (2) months 23 following the resignation or determination of non- 24 eligibility, or 25 (b) upon a determination by the Issuer in its sole 26 discretion that (1) the continuation of the book-entry 27 system described in the Resolution, which precludes the 28 issuance of certificates (other than Global Certificates) to 29 any Holder other than the Depository (or its nominee�, might 30 adversely affect the interest of the beneficial owners of 31 the Bonds, or (2) that it is in the best interest of the 32 beneficial owners of the Bonds that they be able to obtain 33 certificated bonds. 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 Transfer. This Bond shall be registered in the name of the payee on the books of the Issuer by presenting this Bond for registration to the Bond Registrar, who will endorse his, her or its name and note the date of registration opposite the name of the payee in the certificate of registration attached hereto. Thereafter this Bond may be transferred by delivery with an assignment duly executed by the Holder or his, her or its legal representatives, and the Issuer and Bond Registrar may treat the Holder as the person exclusively entitled to exercise all the rights and powezs of an owner until this Bond is presented with such assignment for registration of transfer, accompanied by assurance of the nature provided by law that the assignment is genuine and effective, and until such transfer is registered on said books and noted hereon by the Bond Registrar, all subject to the terms and conditions provided in the Resolution and to 1035073.2 1 3 q°�-3a� 1 reasonable regulations of the Issuer contained in any agreement 2 with, or notice to, the Bond Registrar. Trans£er of this Bond 3 may, at the direction and expense of the Issuer, be subject to 4 certain other restrictions if required to qualify this Bond as 5 being "in registered form" within the meaning of Section 149(a) 6 of the federal Internal Revenue Code of 1986, as amended. 7 Fees upon Trans£er or Loss. The Bond Registrar may S require payment of a sum sufficient to cover any tax or other 9 governmental charge payable in connection with the transfer or 10 exchange of this Bond and any legal or unusual costs regarding 11 transfers and lost Bonds. 12 Treatment of Registered Owner. The Issuer and Bond 13 Registrar may treat the person in whose name this Bond is 14 registered as the owner hereof for the purpose of receiving 15 payment as herein provided (except as otherwise provided with 16 respect to the Record Date) and for all other purposes, whether 17 or not this Bond shall be overdue, and neither the Issuer nor the 18 Bond Registrar shall be affected by notice to the contrary. 19 Authentication. This Bond shall not be valid or become 2� obligatory for any purpose or be entitled to any security unless 21 the Certificate of Authentication hereon shall have been executed 22 by the Bond Registrar. 23 Not Oualified Tax-Exempt Obliaations. The Bonds have 24 not been designated by the Issuer as "qualified tax-exempt 25 obligations" for purposes of Section 265(b)(3) of the federal 26 Internal Revenue Code of 1986, as amended. The Bonds do not 27 qualify for such designation. 28 IT IS HEREBY CERTIFIED AND RECITED that all acts, 29 conditions and things required by the Constitution and laws of 30 the State of Minnesota and the Charter of the Issuer to be done, 31 to happen and to be performed, precedent to and in the iesuance 32 of this Bond, have been done, have happened and have been 33 performed, in regular and due form, time and manner as required 34 by law, and that this Bond, together with all other debts of the 35 Issuer outstanding on the date of original issue hereof and on 36 the date of its issuance and delivery to the original purchaser, 37 does not exceed any constitutional or statutory or Charter 38 limitation of indebtedness. 39 IN WITNESS WHEREOF, the City of Saint Paul, Ramsey 40 County, Minnesota, by its City Council has caused this Bond to be 41 executed on its behalf by the photocopied facsimile signature of 42 its Mayor, attested by the photocopied facsimile signature of its 43 C1erk, and countersigned by the photocopied facsimile signature 4§ of its Director, Office of Financial Services, the o£ficial seal 45 having been omitted as permitted by law. io3so�3.z 14 q`1-3o8' 1 2 3 4 Date of Registration Registrable by: Payable at: _ 5 BOND REGISTRAR'S 6 CERTIFICATE OF 7 AiIT'rIENTICATION 8 This Bond is one of the 9 Bonds described in the 10 Resolution mentioned 11 within. 12 13 14 15 , 16 Bond Registrar 17 18 19 20 21 By Authorized Signature CITY OF SAINT PAUL, RAMSEY COUNTY, MINNESOTA Mayor Attest: City Clerk Countersigned: Director, Office of Financial Services 22 General Obligation Street Improvement Special Assessment Bond, 23 Series 1999C, No. R- 1035073.2 15 q9-�o� � 2 3 4 5 6 7 e E E��; 11 12 CERTIFICATE OF REGISTRATIOI3 The transfer of ownership of the principal amount of the attached Bond may be made only by the registered owner or his, her or its legal representative last noted below. DATE OF REGISTRATION REGISTERED OWNER SIGNATURE OF BOND REGISTRAR 1035073.2 E[:7 99-30� � REGISTER OF PARTIAL PAYMENTS 3 The principal amount of the attached Bond has been prepaid on the 4 dates and in the amounts noted below: 5 Signature of Signature of 6 Date Amount Hondholder Eond Rectistrar 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 If a notation is made on this register, such notation has the 24 effect stated in the attached Bond. Partial payments do not 25 require the presentation of the attached Bond to the Bond 26 Registrar, and a Holder could fail to note the partial payment 27 here. 1035073.2 l�] q9-�o� � ABBREVIATIONS 2 The following abbreviations, when used in the inscription on 3 the face of this Bond, shall be construed as though they were 4 written out in full according to applicable laws or regulations: 5 TEN_COM - as tenants in common 6 TEN ENT - as tenants by the entireties 7 JT TEN - as joint tenants with right of survivorship 8 and not as tenants in common 9 UTMA - as custodian £or 10 (Cust) (Minor) 11 under the Uniform Transfers 12 (State) 13 to Minors Act 14 Additional abbreviations may also be used 15 though not in the above list. 1035073.2 ]_8 9q •1oP' � ASSIGI3MEN`I' 2 For value received, the undersigned hereby sells, 3 assigns and transfers unto 4 the attached Bond and does 5 hereby irrevocably constitute and appoint 6 attorney to transfer the Bond on the books 7 kept for the registration thereof, with full power of 8 substitution in the premises. 9 Dated: 10 Notice: The assignor's signature to this assignment 11 must correspond with the name as it appears 12 upon the face of the attached Sond in every 13 particular, without alteration or any change 14 whatever. 15 Signature Guaranteed: FS:7 17 Signature(s) must be guaranteed by a national bank or trust 18 company or by a brokerage firm having a membership in one of the 19 major stock exchanges or any other "Eligible Guarantor 20 Institution" as defined in 17 CFR 240.17Ad-15(a)(2). 21 The Bond Registrar will not effect transfer of t11is 22 Bond unless the information concerning the transferee requested 23 below is provided. 24 Name and Address: 25 26 27 (Include information for all joint owners 28 if the Bond is held by joint account.) 1035073.2 ]_9 9� • �os' 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 B. Replacement Bonds. If the City has notified Holders that Replacement Bonds have been made available as provided in paragraph 6, then for every Bond thereafter transferred or exchanged (including an exchange to reflect the partial prepayment of a Global Certificate not previously exchanged for Replacement Bonds) the Bond Registrar shall deliver a certificate in the form of the Replacement Bond rather than the Global Certificate, but the Holder of a Global Certificate shall not,otherwise be required to exchange the Global Certificate for one or more Replacement Bonds since the City recognizes that some beneficial owners may prefer the convenience of the Depository's registered ownership of the Bonds even though the entire issue is no longer required to be in global book-entry form. The Replacement 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: 1035073.2 2,� qq-3o8 1 UNITED STATES OF AMERICA 2 STATE OF MINNESOTA 3 RAMSEY COUNTY 4 CITY OF SAINT PAUL 5 R- 6 GENERAI, OBLIGATION STREET IMPROVEMENT 7 SPECIAL ASSESSMENT BOND, SERIES 1999C 8 9 10 11 12 INTEREST RATE MATURITY DATE OF DATE ORIGINAL ISSUE April 1, 1999 CUSIP 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 REGISTERED OWNER: PRINCIPAL AMQUNT: $ UAIiU�F_lel.y KNOW ALL PERSONS BY THESE PRESENTS that the City of Saint Paul, Ramsey County, Minnesota (the "Issuer" or "City'�), 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 earlier redemption, and to pay interest thereon semiannually on April 1 and October 1 of each year (each, an "Interest Payment Date"), commencing April 1, 2000, 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 , in , (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 dra£t 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 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 sha11 be payable to the person who is the Holder hereo£ at 1035�73.2 2 1 9q-�o� 1 the close of business on a date (the "Special Record Date") fixed 2 by the Bond Registrar whenever money becomes available for 3 payment of the defaulted interest. Notice of the Special Record 4 Date shall be given to Bondholders not less than ten days prior 5 to the Special Record Date. The principal of and premium, if 6 any, and interest on this Bond are payable in lawful money of the 7 United States of America. 8 REFERENCE IS HEREBY MADE TO THE FURTHER PROVISIONS OF 9 THIS BOND SET FORTH ON THE REVERSE HERBOF, WHICH PROVISIONS SHALL 10 FOR ALL PURPOSES HA�IE THE SAME EFFECT AS IF SET FORTH HERE. 11 IT IS HEREBY CERTIFIED AND RECITED that all acts, 12 conditions and things required by the Constitution and laws of 13 the State of Minnesota and the Charter of the Issuer to be done, 14 to happen and to be performed, precedent to and in the issuance 15 of this Bond, have been done, have happened and have been 16 performed, in regular and due form, time and manner as required 17 by law, and that this Bond, together with all other debts of the 18 Issuer outstanding on the date of original issue hereof and on 19 the date of its issuance and delivery to the original purchaser, 20 does not exceed any constitutional or statutory or Charter 21 limitation of indebtedness. 22 IN WITNESS WHEREOF, the City of Saint Paul, Ramsey 23 County, Minnesota, by its City Council has caused this Bond to be 24 executed on iCs behalf by the original or facsimile signature of 25 its Mayor, attested by the original or facsimile signature of its 26 Clerk, and countersigned by the original or facsimile signature 27 of its Director, Office of Financial Services, the official seal 28 having been omitted as permitted by law. 1035073.2 2 2 99 -3as� 1 2 3 4 Date of Registration 5 BOND REGISTRAR'S 6 CERTIFICATE OF 7 AUTHENTICATION 8 This Bond is one of the 9 Bonds described in the 10 Resolution mentioned 11 within. 12 13 14 , 15 Bond Registrar 16 17 18 19 By Authorized Signature 1035073.2 Registrable by: Payable at: CITY OF SAINT PAUL, RAMSEY COUNTY, MINNESOTA Mayor Attest: City Clerk Countersigned: Director, Office of Financial Services 23 99-�08' � ON REVERSE OF BOND 2 Date of Payment Not Business Day. If the date for 3 payment of the principal of, premium, if any, or interest on this 4 Bond shall be a Saturday, Sunday, legal.holiday or a day on which 5 banking institutions in the City of New York, New York, or the 6 city where the principal office of the Bond Registrar is located 7 are authorized by law or executive order to close, then the date 8 for such payment shall be the next succeeding day which is not a 9 Saturday, Sunday, legal holiday or a day on which such banking 10 institutions are authorized to close, and payment on such date 11 shall have the same force and effect as if made on the nominal 12 date of payment. 13 Redemption. All Bonds of this issue (the ��Bonds") 14 maturing after April 1, 2007, are subject to redemption and 15 prepayment at the option of the Issuer on such date and on any 16 day thereafter at a price of par plus accrued interest. 17 Redemption may be in whole or in part of the Bonds subject to 18 prepayment. If redemption is in part, those Bonds remaining 19 unpaid may be prepaid in such order of maturity and in such 20 amount per maturity as the City sha11 determine; and if only part 21 of the Bonds having a common maturity date are called for 22 prepayment, the specific Bonds to be pzepaid shall be chosen by 23 lot by the Bond Registrar. Bonds or portions thereof called for 24 redemption shall be due and payable on the redemption date, and 25 interest thereon shall cease to accrue from and after the 26 redemption date. 27 Notice of Redemgtion. Mailed notice of redemption 28 shall be given to the paying agent (if other than a City officer) 29 and to each affected Holder of the Bonds. In the event any of 30 the Bonds are called for redemption, written notice thereof wi11 31 be given by first class mail mailed not less than thirty (30) 32 days prior to the redemption date to each Holder o£ Bonds to be 33 redeemed. In connection with any such notice, the "CUSIP" 34 numbers assigned to the Bonds sha11 be used. 35 Selection of Bonds for Redemption. To effect a partial 36 redemption of Bonds having a common maturity date, the Bond 37 Registrar shall assign to each Bond having a common maturity date 38 a distinctive number for each $5,000 of the principal amount of 39 such Bond. The Bond Registrar shall then select by lot, using 40 such method of selection as it shall deem proper in its 41 discretion, from the numbers assigned to the Bonds, as many 42 numbers as, at $5,000 for each number, shall equal the principal 43 amount of such Bonds to be redeemed. The Bonds to be redeemed 44 shall be the Bonds to which were assigned numbers so selected; 45 provided, however, that only so much o£ the principal amount of 46 such Bond of a denomination of more than $5,000 shall be redeemed 1035073.2 2 4 99 • 3a� 1 as shall equal $5,000 for each number assigned to it and so 2 selected. If a Bond is to be redeemed only in part, it shall be 3 surrendered to the Bond Registrar (with, if the Issuer or Bond 4 Registrar so requires, a written instrument of transfer in form 5 satisfactory to the Issuer and Bond Registrar duly executed by 6 the Holder thereof or his, her or its attorney duly authorized in 7 writing? and the Issuer shall execute (if necessary) and the Bond 8 Registrar shall authenticate and deliver to the Holder of such 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 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; Purnose; General Oblic,�ation. This Bond is one of an issue in the total principal amount of $3,730,000, 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 the Charter of the Issuer, and pursuant to a resolution adopted by the City Council of the Issuer on April 7, 1999 (the "Resolution"), for the purpose of providing money to finance the construction of various street improvements in the City. This Bond is payable out of a special account relating to the Bonds in the General Obligation Special Assessments -- Streets Debt Service 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 as fully registered bonds in the denominations of $5,000 and integral multiples thereof of a single maturity and are exchangeable for fully registered Bonds of other authorized denominations in equal aggregate principal amounts at the principal of£ice 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. 44 Trans£er. This Bond is transferable by the Holder in 45 person or by his, her or its attorney duly authorized in writing 46 at the principal office of the Bond Registrar upon presentation 47 and surrender hereof to the Bond Registrar, all subject to the 48 terms and conditions provided in the Resolution and to reasonable 49 regulations of the Issuer contained in any agreement with, or 1035073.2 2 rJ 99-3aY 1 notice to, the Bond Registrar. Thereupon the Issuer shall 2 execute and the Bond Registrar shall authenticate and deliver, in 3 exchange for this Bond, one or more new fully registered Bonds in 4 the name of the transferee (but not registered in blank or to 5 ��bearer" or similar designation), of an authorized denomination 6 or denominations, in aggregate principal amount equal to the 7 principal amount of this Bond, of the same maturity and bearing 8 interest at the same rate. 9 Fees upon Transfer or Loss. The Bond Registrar may 10 require payment of a sum sufficient to cover any tax or other ll governmental charge payable in connection with the transfer or 12 exchange of this Bond and any legal or unusual costs regarding 13 transfers and lost Bonds. 14 15 16 17 18 19 20 21 Treatment of Reaistered Owner. 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 on the reverse side hereof 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. 22 Authentication. This Bond shall not be valid or become 23 obligatory for any purpose or be entitled to any security unless 24 the Certificate of Authentication hereon shall have been executed 25 by the Bond Registrar. 26 Not Oualified Tax-Exempt Obliaations. The Bonds have 27 not been designated by the Issuer as "qualified tax-exempt 28 obligations" for purposes of Section 265(b)(3) of the federal 29 Internal Revenue Code of 1986, as amended. The Bonds do not 30 qualify for such designation. 1035073.2 2 6 99-3op' � ABBREVIATIONS 2 The £ollowing abbreviations, when used in the 3 inscription on the face of this Bond, shall be construed as 4 though they were written out in full according to applicable laws 5 or regulations: 6 TEN COM - as tenants in common 7 TEN ENT - as tenants by the entireties 8 JT TEN - as joint tenants with right of survivorship 9 and not as tenants in common 10 UTMA - as custodian for 11 (Cust) (Minor) 12 under the Uniform Transfers 13 (State) 14 to Minors Act 15 Additional abbreviations may also be used 16 though not in the above list. 1035073.2 2�] Qq -�o� � ASSIGNMENT 2 For value received, the undersiqned hereby se11s, 3 assigns and transfers unto 4 the within Bond and does 5 hereby irrevocably constitute and appoint 6 attorney to transfer the Bond on the books kept for the 7 registration thereof, with full power of substitution in the 8 premises. 9 Dated: 10 Notice: The assignor's signature to this assignment 11 must correspond with the name as it appears 12 upon the face of the within Bond in every 13 particular, without alteration or any change 14 whatever. 15 Signature Guaranteed: � 17 Signature(s) must be guaranteed by a national bank or trust 18 company or by a brokerage firm having a membership in one of the 19 major stock exchanges or any other "Eligible Guarantor 20 Institution" as defined in 17 CFR 240.17Ad-15(a)(2). 21 The Bond Registrar will not effect transfer of this 22 Bond unless the information concerning the transferee requested 23 below is provided. 24 Name and Address: 25 26 27 28 (Include information for all joint owners if the Bond is held by joint account.) 10350�3.2 2 8 41-�0� 1 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 10. Execution. The Bonds shall be executed on behalf of the City by the signatures of its Mayor, Clerk and Director, Office of Financial Services, each with the effect noted on the forms of the Bonds, and be sealed with the seal of the City; provided, however, that the seal of the City may be a printed or photocopied facsimile; and provided further that any of such signatures may be printed or photocopied facsimiles and the corporate seal may be omitted on the Bonds as permitted by law. In the event of disability or resignation or other absence of any such officer, the Bonds may be signed by the manual or facsimile signature of that officer who may act on behalf of such absent or disabled officer. In case any such 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, such signature or facsimile shall nevertheless be valid and sufficient for all purposes, the same as if he or she had remained in office until delivery. 11. Authentication; Date of Reaistration. 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 Certi£icate 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. For purposes of delivering the original Global Certi£icates to the Purchaser, the Bond Registrar shall insert as the date of registration the date of original issue, which date is Apri1 1, 1999. The Certificate of Authentication so executed on each Bond shall be conclusive evidence that it has been authenticated and delivered under this resolution. 12. RegisCration; Transfer; Exchancxe. 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. A Global Certificate shall be registered in the name of the payee on the books of the Bond Registrar by presenting the G1oba1 Certificate for registration to the Bond Registrar, who will endorse his or her name and note the date of registration opposite the name of the payee in the certificate of registration on the Global Certificate. Thereafter a Global Certificate may be transferred by delivery with an assignment duly executed by the Holder or his, her or its legal representative, and the City 1035073.2 2 9 9`t-3o�- F� 4 5 6 7 8 9 10 and Bond Registrar may treat the Holder as the person exclusively entitled to exercise all the rights and powers of an owner until a Global Certificate is presented with such assignment for registration of transfer, accompanied by assurance of the nature provided by law that the assignment is genuine and effective, and until such transfer is registered on said books and noted thereon by the Bond Registrar, all subject to the terms and conditions provided in the Resolution and to reasonable regulations of the City contained in any agreement with, or notice to, the Bond Registrar. 11 Transfer of a Global Certificate may, at the direction 12 and expense of the City, be subject to other restrictions if 13 required to qualify the Global Certificates as being '�in 14 registered form" within the meaning of Section 149(a) of the 15 federal Internal Revenue Code of 1986, as amended. 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 If a Global Certificate is to be exchanged for one or more Replacement Bonds, all of the principal amount of the Global Certificate shall be so exchanged. Upon surrender for transfer of any Replacement 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 11) of, and deliver, in the name of the designated transferee or transferees, one or more new Replacement 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 of a Replacement Bond, Replacement Bonds may be exchanged for Replacement Bonds of authorized denomination or denominations of a like aggregaCe principal amount and stated maturity, upon surrender of the Replacement Bonds to be exchanged at the principal office of any the Bond Registrar. Whenever any Replacement 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 Replacement Bonds which the Holder making the exchange is entitled to receive. Global Certificates may not be exchanged for Global Certificates of smaller denominations. 42 Al1 Bonds surrendered upon any exchange 43 provided for in this resolution shall be promptly 44 the Bond Registrar and thereafter disposed of as 45 City. 1035073.2 30 or transfer cancelled by directed by the 9g-3o� 1 All Bonds delivered in exchange for or upon transfer of 2 Bonds shall be valid general obligations of the City evidencing 3 the same debt, and entitled to the same benefits under this 4 resolution, as the Bonds surrendered for such exchange or 5 trans£er. 6 Every Bond presented or surrendered for transfer or 7 exchange shall be duly endorsed or be accompanied by a written 8 instrument of transfer, in form satisfactory to the Bond 9 Registrar, duly executed by the Holder thereof or his, her or its 10 attorney duly authorized in writing. 11 The Bond Registrar may require payment of a sum 12 sufficient to cover any tax or other governmental charge payable 13 in connection with the transfer or exchange of any Bond and any 14 legal or unusual costs regarding transfers and lost Bonds. 15 Transfers shall also be subject to reasonable regula- 16 tions of the City contained in any agreement with, or notice to, 17 the Bond Registrar, including regulations which permit the Bond 18 Registrar to close its transfer books between record dates and 19 payment dates. 20 13. Riqhts Upon Transfer or ExchancLe. Each Bond 21 delivered upon transfer of or in exchange for or in lieu of any 22 other Bond shall carry all the rights to interest accrued and 23 unpaid, and to accrue, which were carried by such other Bond. 24 14. Interest Pavment; Record Date. Interest on any 25 Global Certificate shall be paid as provided in the first 26 paragraph thereof, and interest on any Replacement Bond shall be 27 paid on each Interest Payment Date by check or draft mailed to 28 the person in whose name the Bond is registered (the "Holder") on 29 the registration books of the City maintained by the Bond 30 Registrar, and in each case at the address appearing thereon at 31 the close of business on the fifteenth (15th) day of the calendar 32 month preceding such Interest Payment Date (the "Regular Record 33 Date"). Any such interest not so timely paid shall cease to be 34 payable to the person who is the Holder thereof as of the Regular 35 Record Date, and shall be payable to the person who is the Holder 36 thereof at the close of business on a date (the "Special Record 37 Date") fixed by the Bond Registrar whenever money becomes 38 available for payment of the defaulted interest. Notice of the 39 Special Record Date shall be given by the Bond Registrar to the 40 Holders not less than ten (10) days prior to the Special Record 41 Date. 42 15. Holders; Treatment of Reaistered Owner; Consent of 43 Holders. 44 (A) For the purposes of all actions, consents and other 45 matters affecting Holders of the Bonds, other than payments, 1035073.2 3 1 qq . 30�- 1 redemptions, and purchases, the City may (but shall not be 2 obligated to) treat as the Holder of a Bond the beneficial owner 3 of the Bond instead of the person in whose name the Bond is 4 registered. For that purpose, the City may ascertain the 5 identity of the beneficial owner of the Bond by such means as the 6 Bond Registrar in its sole discretion deems appropriate, 7 including but not limited to a certificate from the person in 8 whose name the Bond is registered identifying such beneficial 9 owner. 10 (B) The City and Bond Registrar may treat the person in 11 whose name any Bond is registered as the owner of such Bond for 12 the purpose of receiving payment of principal of and premium, if 13 any, and interest (subject to the payment provisions in paragraph 14 14 above) on, such Bond and for all other purposes whatsoever 15 whether or not such Bond shall be overdue, and neither the City 16 nor the Bond Registrar shall be affected by notice to the 17 contrary. 18 (C) Any consent, request, direction, approval, objection or 19 other instrument to be signed and executed by the Holders may be 20 in any number of concurrent writings of similar tenor and must be 21 signed or executed by such Holders in person or by agent 22 appointed in writing. Proof of the execution of any such 23 consent, request, direction, approval, objection or other 24 instrument or of the writing appointing any such agent and of the 25 ownership of Bonds, if made in the following manner, shall be 26 sufficient for any of the purposes of this Resolution and shall 27 be conclusive in favor of the City with regard to any action 28 taken by it under such request or other instrument, namely: 29 (1) The fact and date of the execution by any person 30 of any such writing may be proved by the certificate of any 31 officer in any jurisdiction who by law has power to take 32 acknowledgments within such jurisdiction that the person 33 signing such writing acknowledged before him or her the 34 execution thereof, or by an affidavit of any witness to such 35 execution. 36 (2) Subject to the provisions of subparagraph (A) 37 above, the fact of the ownership by any person of Bonds and 38 the amounts and numbers of such Bonds, and the date of the 39 holding of the same, may be proved by reference to the bond 40 register. 41 16. Delivery; Application of Proceeds. The Global 42 Certificates when so prepared and executed shall be delivered by 43 the Director, Office of Financial Services, to the Purchaser upon 44 receipt of the purchase price, and the Purchaser shall not be 45 obliged to see to the proper application thereof. 1035073.2 3 2 4' � 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 17. Funds. There is hereby created a special fund to be designated the "1999 Capital Projects Fund" (numbered C-99, the "Capital Fund"), to be administered and maintained by the City Treasurer as a bookkeeping account separate and apart from all other accounts maintained in the official £inancial records of the City. There has been heretofore created and established the "General Obligation Special Assessments -- Streets Debt Service Fund" (numbered 963, the "Debt Service Fund��). The Capital Fund and Debt Service Fund shall be maintained in the manner herein specified until all of the Bonds and the interest thereon have been fully paid. (i) CaDital Fund. To the Capital Fund there shall be credited the proceeds of the sale of the Bonds, less accrued interest received thereon, and less any amount paid for the Bonds in excess of $3,692,700. From the Capital Fund there shall be paid all costs and expenses of making the Improvements listed in paragraph 18, after they have been ordered in accordance with the Charter of the City, including the cost of any construction contracts heretofore let and a11 other costs incurred and to be incurred of the kind authorized in Minnesota Statutes, Section 475.65 (including interest on the Bonds payable during the construction period); and the moneys in the Capital Fund 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 covenanted to be levied; and provided further that if upon completion of the Improvements there shall remain any unexpended balance in the Capital Fund, the balance may be transferred by the Council to the fund of any other improvement instituted pursuant to the City's Charter or Minnesota Statutes, Chapter 429, or used to pay the costs of any other purpose permitted by law, or transferred to the Debt Service Fund. All earnings on the Capital Fund shall be transferred to the Debt Service Fund, or may be retained in the Capital Fund. (ii) Debt Service Fund. There is hereby pledged and there shall be credited to a special account relating to the Bonds in the Debt Service Fund: (a) collections of special assessments herein covenanted to be levied, to the extent provided in paragraph 19; (b) all accrued interest received upon delivery of the Bonds; (c) all funds paid for the Bonds in excess of $3,692,700; (d) any collections of all taxes which are levied herein, or which may hereafter be levied in the event that the special assessments herein pledged to the payment of the Bonds and interest thereon are insufficient therefor; (e) all funds remaining in the Capital Fund after completion o£ the Improvements and payment of the costs 10350�3.2 33 q9-3or � 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 .; thereof, not so transferred to the account of another improvement or used to pay the costs of any other purpose permitted by law; and (f) all investment earnings on moneys held in such special account in the Debt Service Fund or on moneys held in the Capital Fund. If moneys in the special account of the Debt Service Fund should ever be insufficient to pay debt service on the Bonds, the Bonds shall be paid from the Debt Service Fund or any other special account therein, and the Bonds are hereby made payable from the Debt Service Fund and any other special accounts therein for this purpose. Amounts drawn from the Debt Service Fund or any special account therein may be repaid with or without interest when moneys sufficient for such repayment are deposited in the special account relating to the Bonds in the Debt Service Fund. The special account relating to the Bonds in the Debt Service Fund shall be used solely to pay the principal and interest and any premiums for redemption of the Bonds and any other general obligation bonds of the City hereafter issued by the City and made payable from such special account in the Debt Service Fund as provided by law, or to pay any rebate due to the United States. 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 £ive percent (5%) of the proceeds of the Bonds. To this effect, any sums from time to time held in the Capital Fund or in such special account in the Debt Service Fund (or any other City fund or account which will be used to pay principal or interest to become due on the bonds payable therefrom) in excess of amounts which under then- applicable federal arbitrage regulations may be invested without regard as 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. In addition, the proceeds of the Bonds and money in the Capital Fund or in such special account in the Debt Service 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"). 18. Assessments; Coverage Test. The City Council has heretofore determined, and does hereby determine, to proceed with the Improvements and special assessments with respect thereto io3so�a.z �� a9-�o� 1 2 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 under the provisions of the Charter of the City, rather than the provisions of Minnesota Statutes, Chapter 429. It is hereby determined that no less than twenty percent (200) of the cost to the City of each Improvement financed hereunder within the meaning of Minnesota Statutes, Section 475.58, Subdivision 1(3), shall be paid by special assessments to be 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 each Improvement financed hereunder unless the resolution ordering the Improvement specifies a different time limit for the letting of construction contracts and 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 this 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 this 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. The special assessments have not heretofore been authorized, and accordingly, for purposes of Minnesota Statutes, Section 475.55, Subdivision 3, the special assessments are hereby authorized. Subject to such adjustments as are required by conditions in existence at the time the assessments are levied, the assessments are hereby authorized and it is hereby determined that the assessments shall be 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 a rate per annum approximately one percent (lo) per annum in excess of the net effective rate of interest on the Bonds: Improvement Designation Pascal/Jefferson Grotto{HOyt Chatsworth/HOyt Hewitt/Aldine Ivy/Earl Amount 870,000 325,000 770,000 790,000 975,000 Levy Years Collection Years TOTAL $3,730,000 1999-2018 for all 2000-2019 for all 46 The special assessments shall be such that if collected 47 in full they, together with estimated collections of other 1035073.2 3 �j 1 revenues herein pledged for the payment of the Bonds, wi11 2 produce at least five percent (50) in excess of the amount needed 3 to meet when due the principal and interest payments on the Bonds 4 in every year except the final year (2011). At the time the 5 assessments are in fact levied the City Council shall, based on 6 the then-current estimated collections of the assessments, make 7 any adjustments in any ad valorem taxes required to be levied in 8 order to assure that the City continues to be in compliance with 9 Minnesota Statutes, Section 475.61, Subdivision 1. 0 19. Limit on Special Assessments Pledqed. The City 1 Council hereby finds, determines and declares that the payment of 2 the Bonds does not require the pledge of all the special 3 assessments which may be levied with respect to the Improvements 4 identified in paragraph 18, and that it is necessary, proper and 5 expedient to provide that payments and prepayments of special 6 assessments in excess of the debt service requirements of the 7 Bonds be put to use for other purposes sooner than upon the 8 termination of the Debt Service Fund. Only $3,730,000 original 9 principal amount of the special assessments (which amount is the 0 "Pledged Assessments"), and interest thereon, recognized in 1 paragraph 18 of this Resolution (of which $755,000 are necessary 2 prior to their scheduled receipt in order to pay debt service on 3 the Bonds on April l, 2000) are or shall be pledged to the 4 payment of the Bonds, and payments of, or with respect to, such 5 special assessments in excess of the Pledged Assessments shall be 6 credited instead to a special account in the Capital Fund, and 7 used for the purpose of paying any additional costs of the 8 Improvements and the costs of other improvements approved by the 9 City, as follows: (a) the first $755,000 of all prepayments of 0 special assessments recognized in paragraph 18 shall be credited 1 to the Debt Service Fund, (b) thereafter until such time as the 2 special assessments from time to time outstanding equal in 3 original principal amount the Pledged Assessments or less, 4 prepayments of any of the special assessments recognized in 5 paragraph 18 shall be treated as prepayments of the portion of 6 the special assessments not pledged to the Bonds and shall be 7 credited instead to said special account of the Capital Fund, and 8 used as provided above, and (c) while the special assessments 9 from time to time outstanding equal in original principal amount 0 the Pledged Assessments or more, regular installment payments 1 made on the Pledged Assessments only (not all of the special 2 assessments) shall be credited to the Debt Service Fund, and 3 regular installment payments on that portion, if any, of the 4 remaining assessments in excess of the Pledged Assessments shall 5 be credited to said special account of the Capital Fund, and used 6 as provided above. 47 20. Tax Levv; Coverage Test. If taxes are levied as 48 provided in the final part of paragraph 18, the tax levies shall 49 be irrepealable so long as any of the Bonds are outstanding and 50 unpaid, provided that the City reserves the right and power to 1035073.z 3 6 1 reduce the levies in the manner and to the extent permitted by 2 Minnesota Statutes, Section 475.61, Subdivision 3. 3 To provide moneys for payment of the principal and 4 interest on the Bonds due to be paid in 2011 there is hereby 5 levied upon all of the taxable property in the City a direct 6 annual ad valorem tax which shall be spread upon the tax rolls 7 and collected with and as part of other general property taxes in 8 the City for the years and in the amounts as follows: SH 11 Year of Tax Lew 2009 Year of Tax Collection Amount 12 13 14 15 16 17 18 19 2� 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 2010 $1,307,670 The tax levies are such that if"collected in full they, together with estimated collections of special assessments and other revenues herein pledged for the payment 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 Bonds. The tax levies shall be irrepealable so long as any 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. 21. General Obliaation Pledge. For the prompt and full payment of the principal and interest on the Bonds, as the same respectively become due, the fu11 faith, credit and taxing powers of the City shall be and are hereby irrevocably pledged. If the balance in the special account relating to the Bonds in the Debt Service Fund (as defined in paragraph 17 hereof) is ever insufficient to pay all principal and interest then due on the Bonds payable therefrom, the deficiency shall be promptly paid out of any other funds of the City which are available for such purpose, including the general fund of the City and the Debt Service Fund and the special accounts therein, and such other funds may be reimbursed with or without interest from the special accounC in the Debt Service Fund relating to the Bonds when a sufficient balance is available therein. 36 22. Certificate of Recxistration. The Director, Office 37 of Financial Services, is hereby directed to file a certified 38 copy of this Resolution with the officer of Ramsey County, 39 Minnesota, performing the functions of the county auditor (the 40 "County Auditor"), together with such other information as the 41 County Auditor shall require, and to obtain the County Auditor's 42 certi£icate that the Bonds have been entered in the County 43 Auditor's Bond Register, and that the tax levy required by law 44 has been made. 1035073.2 3 7 `t9-3c� � 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 23. 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. 24. Negative Covenants as to Use of Proceeds and Improvements. The City hereby covenants not to use the proceeds of the Bonds or to use the Improvements, or to cause or permit them to be used, or to enter into any deferred payment arrangements for the cost of the Improvements, 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. The City reasonably expects that no actions will be taken over the term of the Bonds that would cause them to be private activity bonds, and the average term of the Bonds is not longer than reasonably necessary for the governmental purpose of the issue. The City hereby covenants not to use the proceeds of the Bonds in such a manner as to cause the Bonds to be "hedge bonds" within the meaning of Section 149(g) of the Code. 28 25. Tax-Exempt Status of the Bonds; Rebate: Election. 29 The City shall comply with requirements necessary under the Code 30 to establish and maintain the exclusion from gross income under 31 Section 103 of the Code of the interest on the Bonds, including 32 without limitation requirements relating to temporary periods for 33 investments, limitations on amounts invested at a yield greater 34 than the yield on the Bonds, and the rebate of excess investment 35 earnings to the United States. 36 The City expects that the two-year expenditure 37 exception to the rebate requirements may apply to the 38 construction proceeds of the Bonds. 39 If any elections are available now or hereafter with 40 respect to arbitrage or rebate matters relating to the Bonds, the 41 Mayor, Clerk, Treasurer and Director, Office of Financial 42 Services, or any of them, are hereby authorized and directed to 43 make such elections as they deem necessary, appropriate or 44 desirable in connection with the Bonds, and all such elections 45 shall be, and shall be deemed and treated as, elections of the 46 City. 1035073.z 3 $ �iq-�o�' 1 26. No Desianation of Oualified Tax-ExemDt 2 Obliaations. The Bonds, together with other obligations issued 3 by the City in 1999, exceed in amount those which may be 4 qualified as "qualified tax-exempt obligations" within the 5 meaning of Section 265(b)(3) of the Code, and hence are not 6 designated for such purpose. 7 27. Letter of Re�resentations. The Letter of 8 Representations for the Bonds is hereby confirmed to be the 9 Blanket Issuer Letter of Representations dated April 10, 1996, by 10 the City and received and accepted by The Depository Trust 11 Company. So long as The Depository Trust Company is the 12 Depository or it or its nominee is the Holder of any Global 13 Certificate, the City shall comply with the provisions of the 14 Letter of Representations, as it may be amended or supplemented 15 by the City from time to time with the agreement or consent of 16 The Depository Trust Company. 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 28. Negotiated Sale. The City has retained Springsted Incorporated as an independent financial advisor, and the City has heretofore determined, and hereby determines, to sell the Bonds by private negotiation, a11 as provided by Minnesota Statutes, Section 475.60, Subdivision 2(9). 29. ContinuinQ Disclosure. The City is an 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 Co be provided to each nationally recognized municipal securities information repository ("NRMSIR") and to the appropriate state information depository ("SID"), if any, for the State of Minnesota, in each case as designated by the Commission 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, in a timely manner, to (i) each NRMSIR or to the Municipal Securities Rulemaking Board (��MSRB��) and (ii) the SID, notice of the occurrence of certain material events with respect to the Bonds in accordance with the Undertaking. C. Provide or cause to be provided, in a timely manner, to (i) each NRMSIR or to the MSRB and (ii) the SID, notice of a failure by the City to provide the annual 1035073.2 � qq-�c8� financial information with respect to the City described in the Undertaking. 3 The City agrees that its covenants pursuant to the Rule 4 set forth in this paragraph 29 and in the Undertaking are 5 intended to be for the benefit of the Holders of the Bonds and 6 shall be enforceable on behalf of such Aolders; provided that the 7 right to enforce the provisions of these covenants shall be 8 limited to a right to obtain specific enforcement of the City's 9 obligations under the covenants. 10 The Mayor and Director, Office of Financial Services, 11 or any other officers of the City authorized to act in their 12 stead (the ��Officers"), are hereby authorized and directed to 13 execute on behalf of the City the Undertaking in substantially 14 the form presented to the City Council, subject to such 15 modifications thereof or additions thereto as are (i) consistent 16 with the requirements under the Rule, (ii) required by the 17 Purchaser, and (iii) acceptable to the Officers. m q9-3os� 1 30. Severabilitv. If any section, paragraph or 2 provision of this resolution shall be held to be invalid or 3 unenforceable for any reason, the invalidity or unenforceability 4 of such section, paragraph or provision shall not affect any of 5 the remaining provisions of this resolution. 6 31. Headinas. Headings in this resolution are 7 included for convenience of reference only and are not a part 8 hereof, and shall not limit or define the meaning of any 9 provision hereof. Adopted by Council: Date R�, 7 `�`�� � Adoption Certified by Council Secretary s . � _ Approved by Ma �: D te By: � Requested by Department of: �FF�c.e o� �,••�t.w�c�a� Sec v�ce,S ay: _�� J� ''"� � Form Ap d by City Attorney �. �L�� -��_ C" –dA–�, Mayor for��bqii�s�on to Council � 41 �1°� - �o� EXHIBITS Exhibit A - Proposals � ifQ _ 9wb DEPARTMENT/OFFICE/CIXINCIL DnTEINmATED � � — V V � OfficeofFlrrancialServices �«hz6.,� GREEN SHEET No 63235 CONiACT PERSON & PHONE InnbVOae InMauDabe Todd Hutiey 266-8837 2 nEruen�rmECrox 4 aneous�. MUST BE ON COUNCIL AGENDA BY (DATE� AsslGx APfII 7. ��JS NUMBER FOR � prvATiOR1EY OIYCtFIlK ROUiI1W OR�ER R111NCMLSERYICPSGR ANMGIILEERV/ACCT6 � MYOR ❑ TOTAL # OF SIGNATURE PAGES 1_ (CLIP ALL LOCATIONS FOR SIGNATURE) CTIIXJ RE�UESTED is resolution accepts the winnirg proposal and awards the bid for ihe $3,730,000 G.O. treet ImprovemeM Special AssesmeM Bonds Series 1999C. This is a canpetiti�e baid sate and fhe award — is going to the bidder fourW most advantageos (lowest cost) to the City. i RECOMMENDATION Approve (A) or Reject (R) PERSONAL SERViCE CONTRACfS MUSTANSWER 7HE FOLLOWiN6 QUES7ION5: i. Has this persoNfirm erer worked under a contract for this departmeM? PLANNING COMMISSION YES NO CIB COMMITTEE 2. Has this persoNfirm ever been a dry empbyee7 CIVILSERVICECAMMISSION YES NO 3. Does this personfhrm possess a 51611 rwt normally possessed by any curreM cily employce? YES NO 4. Is Mis perSONfirtn a Wrge[ed vendoR YES NO Fxplain all yes answers on separate sheet and attxh to green shee[ � INITIATING PROBLEM ISSUE, OPPORTUNI7Y (Who, What, When, Where, Why) The boMs are for the purpose of finar�cirg certain street imprwemeMS wRhin the Cily, and will be repaitl by special assesmerRS. ADVANTAGESIFAPPROVED Fundswillbeavailahieforstreetimprovements. pa����9, }`� �n��a,?i;� (,6 dr � 9�is�'+@a e! 0 �37� DISADVANTAGESIFAPPROVED None DISADVANTAGES IF NOT APPROVED � � FurWs needed for certain s[ree[ improvements will not be available. TOTAL AMOUNT OF TRANSACTION S sx�w.roo COSTIREVENUE BUDGETED (CIRCLE ONE) YES NO FUNDING SOURCE ACTIYITY NUMBER FINANCIAL INFORMATION (IXPWN) Gq-3o8' 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 and delivered by the Bond Registrar pursuant to paragraphs 6 and 12 hereof; and WHEREAS, "Holder" as used herein means the person in whose name a Bond is registered on the registration books of the City maintained by the registrar appointed as prov�ed in paragraph 8 (the "Bond Registrar"); and WHEREAS, Rule 15c2-12 of the Securiti and Exchange Commission prohibits "participating underwrite " from purchasing or selling the Bonds unless the City�undertak�s to provide certain continuing disclosure with respect t„ the Bonds; and WHEREAS, pursuant to Minnesota S�atutes, Section 475.60, Subdivision 2(9), public sale re irements do not apply to the Bonds if the City retains an ind �endent financiaZ advisor and determines to sell the Bonds by pr "ate negotiation, and the City has instead authorized a competi ve sale without publication of notice thereof as a f m of private negotiation; and � 18 wHEREAS, proposals for 'e Bonds have been solicited by 19 Springsted Incorporated pursuant •o an Official Statement and 20 Terms of Proposal therein: 21 NOW, THEREFORE, BE �RESOLVED by the Council of the 22 City of Saint Paul, Minnesot��as follows: 23 24 25 26 27 28 29 30 31 32 33 34 35 36 1. Acce tance of��'Proposal. The proposal of ,�the "Purchaser"), to purchase $3,730,000 General Oblig ;�ion Street Improvement Special Assessment Bonds, Series�1999C, of the City (the "Bonds", or individually a"Bond°),%in accordance with the Terms of Proposal for the bond sale, at -he rates of interest hereinafter set forth, and to pay th 'efor the sum of $ , plus interest accrued to �'ettlement, is hereby found, determined and declared to be the ost favorable proposal received and is hereby accepted, and the onds are hereby awarded to the Purchaser. The Director, Office f Financial Services, or his designee, is directed to reta'- the deposit of the Purchaser and to £orthwith return to the o ers making proposals their good faith checks or draf t s . 37 2. .Title: Oriainal Issue Date; Denominations; 38 Maturities. The Bonds shall be titled "General Obligation Street 39 Improvement Special Assessment Bonds, Series 1999C", shall be 4o dated Apri 1, 1999, as the date of original issue and shall be 41 issued fo hwith on or after such date as fully registered bonds. 42 The Bond shall be numbered from R-1 upward. Global Certificates 10350'13.2 3 q1-3o 8' 1 2 3 4 5 6 7 e 9 1Q 11 12 13 14 shall each be in the denomination of the entire principal amount maturing on a single date, or, if a portion of said principal amount is prepaid, said principal amount less the prepayment. Replacement Bonds, if issued as provided in paragraph 6, shall be in the denomination of $5,000 each or in any integral multiple thereof of a single maturity. The Bonds shall mature on April 1 in the years and amounts as follows: Year 2000 2001 2002 2003 2004 2005 Amount Year 2006 $ O,OQO 2007 50,000 2008 150,0�0 2009 150,000 2010 150,000 2011 � 1,665,000 $560,000 155,OQ0 150,000 150,000 150,000 150,D00 15 For purposes of Minnesota Statutes, Secti '�475.54, the serial 16 maturities of the Bonds are combined wit , 'the serial maturities 17 of the City's $16,375,000 General Oblig ion Capital Improvement 18 Bonds, Series 1999B. 19 20 21 22 23 24 25 26 3. Purgose. The Bonds st� construction of various street imp�pv in the City, and any excess funds sha purpose permitted by law. The t�al which shall include all costs e�umera Section 475.65, is estimated t at of the Bonds. Work on the Imp"rovemen diligence to completion. �� 11 provide funds for the ements (the "Improvements��) 11 be devoted to any other cost of the Improvements, ted in Minnesota Statutes, least equal to the amount ts shal� proceed with due 27 4. Interest. �e Bonds shall bear interest payable 28 semiannuaZly on April 1 ar�d October 1 of each year (each, an 29 "Interest Payment Date");� commencing April 1, 2000, calculated on 30 the basis of a 360-day �ear of twelve 30-day months, at the 31 respective rates per a��num set forth opposite the maturity years 32 as follows: f� 33 Maturity Year 34 2000 35 2001 36 2002 37 2003 38 2004 � 39 2005 �" MaturitX Year Interest Rate 0 2006 2007 2008 2009 2010 2011 40 . Descrintion of the Global Certificates and Global 41 Book-Ent S stem. Upon their original issuance the Bonds will 42 be issu in the form of a single Global Certificate for each 43 maturi , deposited with the Depository by the Purchaser and 44 immob' ized as provided in paragraph 6. No beneficial owners of z 4 99 -3o P� 1 revenues herein pledged for the payment of the Bonds, will 2 produce at least five percent 15%) in excess of the amount needed 3 to meet when due the principal and interest payments on the Bonds 4 in every year except the final year (2011). At the time the 5 assessments are in fact levied the City Council shall, based on 6 the then-current estimated collections of the assessments, make 7 any adjustments in any ad valorem taxes required to be levi in 8 order to assure that the City continues to be in complianc with 9 Minnesota Statutes, Section 475.61, Subdivision 1. 19. Limit on Special Assessments Plec3ged. e City Council hereby finds, determines and declares that t payment of the Bonds does not require the pledge of all the s cial assessments which may be levied with respect to t Improvements identified in paragraph 18, and that it is nece�,s ary, proper and expedient to provide that payments and prepaym ts of special assessments in excess of the debt service re zrements of the Sonds be put to use for other purposes soon� than upon the termination of the Debt Service Fund. Onl� original principal amount of the special assessmer�s(which amount is the "Pledged Assessments"), and interest th�eon, recognized in paragraph 18 of this Resolution (of w��h $746,000 are necessary prior to their scheduled receipt in �der to pay debt service on the Bonds on April 1, 2000) are ar � all be pledged to the payment of the Bonds, and payments or with respect to, such special assessments in excess of # d� ie Pledged Assessments shall be credited instead to a special ac�ount in the Capital Pund, and used for the purpose of paying�, additional costs of the Improvements and the costs of ther improvements approved by the City, as follows: (a) the f'�st $74b,000 of aZl prepayments of special assessments recogni ed in paragraph 18 shall be credited to the Debt Service Fund, ,) thereafter until such time as the special assessments from �ime to time outstanding equal in original principal amou� the Pledged Assessments or less, prepayments of any of tr e special assessments recognized in paragraph 18 shall be, reated as prepayments of the portion of the special assessme s not pledged to the Bonds and shall be credited instead to said special account of the Capital Fund, and used as provided��ove, and (c) while the special assessments from time to time outstanding equal in original principal amount the Pledged Asse sments or more, regular installment payments made on the P1 ged Assessments only (not all of the special assessments) all be credited to the Debt Service Fund, and regular inst lment payments on that portion, if any, of the remaining a essments in excess of the Pledged Assessments shall be credite to said speciaZ account of the Capital Fund, and used as provid above. 47 20. Tax Lew; Coveraae Test. If taxes are levied as 48 provi d in the final part of paragraph 18, the tax levies shall 49 be i epealable so long as any of the Bonds are outstanding and 50 unp id, provided that the City reserves the right and power to 1035073.2 3 6 qq-3o8` 1 2 reduce the levies in the manner and to the extent permitted by Minnesota Statutes, Section 475.61, Subdivision 3. 3 To provide moneys for payment of the principal an 4 interest on the Bonds due to be paid in 2011 there is her 5 levied upon all of the taxable property in the City a di ct 6 annual ad valorem tax which shall be spread upon the t rolls 7 and collected with and as part of other general prope y taxes in 8 the_City £or the years and in the amounts as follows- 9 10 11 Year of Tax Levy Year of Tax Collection Amount 2D09 2010 $ 12 The tax levies are such that if co'llected in full they, <,;. 13 together with estimated collections of sp��ial assessments and 14 other revenues herein pledged for the payment of the Bonds, will 15 produce at least five percent (5%) in excess of the amount needed 16 to meet when due the principal and int�est payments on the 17 Bonds. The tax levies shall be irrepe'alable so long as any of 18 the Bonds are outstanding and unpaicl;;' provided that the City 19 reserves the right and power to redzice the levies in the manner 20 and to the extent permitted by Min�'iesota Statutes, Section 2Z 475.62, Subdivision 3. ,j° :, � 22 21. General Obligat�"�on Pledge. For the prompt and 23 full pa}mtent of the principa�,rand interest on the Bonds, as the 24 same respectively become due�' the full faith, credit and taxing 25 powers of the City sha21 be�t:and are hereby irrevocably pledged. 26 If the balance in the spec.;Yal account relating to the Bonds in 27 the Debt Service Fund (as;ydefined in paragraph 17 hereof) is ever 28 insufficient to pay all and interest then due on the 29 Bonds payable therefroci3;� the deficiency sha11 be promptly paid 30 out of any other fund�`'of the City which are available for such 31 purpose, including tka`e general fund of the City and the Debt 32 Service Fund and thcs'specia2 accounts therein, and such other 33 funds may be reimbt�rsed with or without interest from the special 34 account in the Deb`t Service Fund relating to the Bonds when a 35 sufficient balance is available therein. 36 22. /`Certificate of Registration. The Director, Office 37 of Financial �ervices, is hereby directed to file a certified 38 copy of this<� esolution with the officer of Ramsey County, 39 Minnesota, erforming the functions of the county auditor (the 40 "County Au itor"), together with such other information as the 41 County Au,itor shall require, and to obtain the County Auditor's 42 certific.te that the Bonds have been entered in the County 43 Audito s Bond Register, and that the tax levy required by law 44 has b n made. 1035073.2 3�]