87-1731 WHITE - CIT CLERK
PINK - FIN NCE COUACII
CANARV - DE RTMENT GITY OF SA NT PAUL � �
BLUE -MAV R � File NO• � �• �/
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Counci R solu 'on
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Presented
Re erred To Committee: Date
Ou of Committee By Date
PROVIDING FOR TH ACCEPTANCE
OF BID ON S LE OF
$8, 000, 000 WAT R REVENUL
BONDS, SERIES 988A, AND
PROVIDING FOR mH IR ISSUANCE
WHEREAS, bids for the sa e of $8, 000, 000 Water Revenue
� nds, Series 1988A (the "Bonds" o "1988 Bonds" ) , of the City
o Saint Paul, D4innesota (the "Cit " ) , are to be received on
D cember 15, 1987, and considered n December 16, 1987, in accorda.nce
w th Resolution Tdo. 87-/607 adopte by this Council on November 10,
1 87 (the "Resolution Calling the ale" ) , and approved by the
M yor on November /z , 1987 ; and
WHEREAS, the City Charte requires that the Bonds
b authorized by vote of five memb rs of this Council; and
In]HEREAS, it is not likel that five members of this
C uncil will be present on Decembe 16, 19a7 ; and
�'�HEREAS, to best accompl sh the sale of the Bonds
December 16, 1987 , and still au horize the Bonds by the votes
five members of this Council, i is desirable that this resolution
adopted in advance of the sale f the Bonds and that the
ceptance of the best bid be dele ated to an authorized officer
the City, as permitted by Minne ota Statutes, Section 475 . 60,
bdivision 3 ; and
COU C[LMEN Reque ed by Depactment of:
Yeas Nays r
In Favor � J
Against BY
Form Approved by City ttor y
Adopted by Council: Date
Certified P ssed by Council Secretary BY /
gy,
Approved b Ulavor: Date Appro °by Ma o or ission to Co il +
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BY \
�I r�f.- ,� ;:. t f: -,�
WHEREAS, the proceeds o the Bonds will finance
arious improvements to the City' municipal water utility
the "Water Utility" ) , which has ince its acquisition in 1885
een under the jurisdiction of th Board of Water
ommissioners (the "Board" ) ; and
WHEREAS, the Board and his Council deem it
ecessary and expedient to improv the Water Utility by
'nstalling a water main, expandin the Highland Booster Area ,
nd continuing the remote meter p ogram (the "Improvements" or
�'Project" ) ; and
WHEREAS, in the Resolut on Calling the Sale the City
as made various findings necessa y for the issuance of the
onds on a parity with the City' s $2,950, 000 Water Revenue
onds of 1978 , Series 1 (the "197 Bonds" ) , issued pursuant to
resolution adopted by this Coun il on May 11 , 1978, of which
425 ,000 remain outstanding, and 5 , 375,000 Water R2venue
onds, Series 1985A (the "1985 Bo ds" ) , issued pursuant a
Iresolution adopted by this Counci on August 27, 1985, of
hich $5 , 275 , 000 remain outstandi g; and
WHEREAS, paragraph 10 o said resolution authorizing
the issuance and sale of the 1978 Bonds provides for the
issuance of parity lien bonds as ollows:
I "10. The revenue bonds issued hereunder shall be a
first charge and lien upon t e Net Revenues of the Water
Utility and no part of such et Revenues shall ever be
pledged to the payment of an general obligation bonds
issued by the City while any bonds of this issue or bonds
issued on a parity therewith remain outstanding and
undischarged. No additional revenue obligations payable
from the Revenue Bond Debt S rvice Account sha11 be
hereafter issued unless the ame are expressly made a
second and subsequent lien u on the Net Revenues of the
Water Utility, provided howe er , that additional
obligations may be issued on a parity of lien with the
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bonds herein authorized, pr vided that the annual Net
Revenues of said Water Util " ty for each of the two
completed fiscal years imme iately preceding the issuance
� of such additional obligati ns shall have been one and
one-half times the maximum nnual principal and interest
coming due thereafter on al outstanding revenue
obligations payable from an having a parity of lien upon
the Net Revenues of the Wat r Utilit Fund includ '
in the
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I, additional obligations so t be issued; provided further
however that if the annual et Revenues in either or both
of the aforesaid two comple ed fiscal years shall be
insufficient to meet this t st then any reasonably
projected increase in Net R venues for the fiscal ear
Y
immediately following such econd completed fiscal year
may be added to the Net Rev nues for such completed
fiscal ears or either of t
Y em (but the total of such
projected increase in Net R venues may be added only
once) in applying the foreg ing test. Such facts shall
be shown by the Certificate of the General Manager of the
Board of Water Commissioner and shall be a finding of
and recited in the resoluti n of the City authorizing any
such additional series. In addition, the following
conditions shall be met:
" (a) The payment required to be made (at the
time of the issuance o such parity lien bonds) into
� the various funds and ccounts provided for in this
resolution have been m de.
" (b) All such parity lien bonds shall have a
December 1 maturity or aturities and shall have
5emiannual interest pay ents on June 1 and
December 1 in each year .
" (c) The proceeds of such parity lien bonds
shall be used only for he purpose of making
improvements, additions, extensions, renewals or
replacements to the Wat r Utility, and capitalizing
interest or establishin Reserves and paying the
costs of such financing. " ; and
WHEREAS, paragraph 17 o said resolution authorizing
Ithe issuance and sale of the 1985 Bonds is substantively
identical to said paragraph 10 re ating to the 1978 Bonds; and
WHEREAS, in accordance ith advice received from the
loard, this Council finds, determ nes and declares that it is
ecessary and expedient to provid moneys in the amount of
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�$8 ,000,000 to make the Improvemen s to the Water Utility,
establish a Reserve and provide f r the costs of the issuance
thereof from the proceeds of bond payable solely from the Net
Revenues of the Water Utility; an
WHEREAS, it is necessar and desirable to provide
Ifor a lower Reserve when the 1988 Bonds are outstanding and
the 1978 Bonds and 1985 Bonds hav been paid in full; and
WHEREAS, the City has h retofore issued registered
lobligations in certificated form, and incurs substantial costs
associated with their printing an issuance, and substantial
continuing transaction costs rela ing to their payment,
I,transfer and exchange; and
WHEREAS, the City has d termined again in late 1987
that significant savings in trans ction costs will result from
!issuing bonds in "global book-ent y form" , by which bonds are
'issued in certificated form in la ge denominations, registered
�on the books of the City in the n me of a depository or i�s
'nominee, and held in safekeeping nd immobilized by such
,depository, and such depository a part of the computerized
inational securities clearance and settlement system (the
"National System" ) registers transfers of ownership interests
jin the bonds by making computeriz d book entries on its own
books and distributes payments on the bonds to its
Participants shown on its books as the owners of such
interests; and such Participants and other banks, brokers and
dealers participating in the Nati nal System will do likewise
(not as agents of the City) if not the beneficial owners of
the bonds; and
WHEREAS, "Participants" means those financial
institutions for whom the Depository effects book-entry
transfers and pledges of securities deposited and immobilized
�Iwith the Depository; and
WHEREAS, Midwest Securities Trust Company, a limited
',purpose trust company organized u der the laws of the State of
�'Illinois, or any of its successors or successors to its
;functions hereunder (the "Depository" ) , will act as such
;depository with respect to the B ds except as set forth
'below, and there is before this ouncil a form of letter
agreement (the "Depository Letter Agreement" ) setting forth
various matters relating to the epository and its role with
Irespect to the Bonds; and
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WHEREAS, the City will deliver the Bonds in the form
� of one certificate per maturity, each representing the entire
! principal amount of the Bonds du on a particular maturity
Idate (each a "Global Certificate ' ) , which single certificate
Iper maturity may be transferred n the City' s bond register as
required by the Uniform Commerci 1 Code, but not exchanged for
�, smaller denominations unless the City determines to issue
'iReplacement Bonds as provided be ow; and
WHEREAS, the City will be able to repJ.ace the
IDepository or under certain circ rostances to abandon the
I "global book-entry form" by perm tting the Global Certificates
! to be exchanged for smaller deno inations typical of ordinary
I. bonds registered on the City' s b nd register; and "Replacement
�� Bonds" means the certificates re resenting the Bonds so
authenticated and delivered by t e Bond Registrar pursuant to
�,paragraphs 7 and 13 hereof; and
WHEREAS, "Holder" as u ed herein means the person in
�whose name a Bond is registered n the registration books of
Ithe City maintained by the City reasurer or a successor
!registrar appointed as provided i paragraph 9 (the "Bond
'Registrar" ) :
NOW, THEREFORE, BE IT R SOLVED by the Council of the
�,City of Saint Paul, Minnesota, as follows:
l. Acceptance of Bid. Notwithstanding that the
�Resolution Calling the Sale conte plated that this Council
�would accept the bid on the sale f the Bonds, the bids to
urchase $8, 000, 000 Water Revenue Bonds, Series 1988A, of the
ity (the "Bonds" or "1988 Bonds" or individually a "Bond" or
�;'1988 Bond" ) , in accordance with he Official Terms of
ffering for the bond sale, shall be reviewed by the Director ,
epartment of Finance and Managem nt Services (or , if he is
bsent or unavailable or disabled the Treasurer or Budget
irector or Mayor or any other of icer of the City approved by
he City Attorney) . Such officer may reject all bids if
eemed advisable after consultati n with the City' s financial
onsultant. If all bids are not ejected, such officer shall
ind, determine and declare which bid is the most favorable
id received and accept such bid nd award the Bonds to such
idder (the "Purchaser" ) . In acc pting such bid, such officer
hall set the interest rates on t e Bonds (to be those
nterest rates set forth in such id) , and shall set the
urchase price for the Bonds (to e that purchase price set
orth in such bid, plus interest accrued to settlement) . The
irector, Department of Finance a d Management Services, or
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lis designee, is directed to reta 'n the deposit of said bidder
nd to forthwith return to the un uccessful bidders their good
aith checks or drafts.
2. Title; Ori inal Iss e Date; Denominations;
Iaturities. The Bonds shall be t ' tled "Water Revenue Bonds,
eries 1988A" , shall be dated Jan ary 1, 1988, as the date of
riginal issue and shall be issue forthwith on or after such
ate as fully registered bonds. he Bonds shall be numbered
rom R-1 upward. Global Certific tes shall each be in the
enomination of the entire princi al amount maturing on a
ingle date. Replacement Bonds, f issued as provided in
aragraph 7, shall be in the deno ination of $5, 000 each or
' n any integral multiple thereof f a single maturity. The
onds shall mature on December 1 n the years and amounts as
ollows:
Year Amount Y ar Amount
1988 $350,000 1 96 $525 , 000
1989 325,000 1 97 575 , 000
1990 350, 000 1 98 625 , 000
1991 375, 000 1 99 675 , 000
1992 400, 000 2 00 725 , 000
1993 425,000 2 O1 800, 000
1994 475, 000 2 02 875 , 000
1995 500,000
i 3 . Purpose. The Bonds shall provide funds for the
�construction of various improveme ts (the "Improvements" or
!"Project" ) to the Water Utility o the City and the funding of
the Reserve Account with respect o the Bonds. The proceeds
of the Bonds shall be deposited a d used as provided in
iparagraph 18. The total cost of he Improvements, which shall
include all costs enumerated in Minnesota Statutes, Section
j475. 65 , is estimated to be at lea t equal to the amount of the
Bonds. Work on the Improvements hall proceed with due
diligence to completion.
4. Interest. The Bonds shall bear interest payable
jsemiannually on June 1 and December 1 of each year (each, an
"Interest Payment Date" ) , commencing June l, 1988, calculated
�lon the basis of a 360-day year of twelve 30-day months, at the
irespective rates per annum deter ined for each of the maturity
years in the manner , and by the fficer , provided in paragraph
ll of this resolution.
5 . Intentionall Omit ed.
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6. Des
cri tion of the G
obal Certificates and
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lobal Book-Entr S stem. Upon th ir original issuance the
onds will be issued in the form o a single Global
ertificate for each maturity, dep sited with the Depository
y the Purchaser and immobilized a provided in paragraph 7.
o beneficial owners of interests in the Bonds will receive
ertificates representing their respective interests in the
onds except as provided in paragraph 7. Except as so
rovided, during the term of the onds, beneficial ownership
and subsequent transfers of bene icial ownership) of
nterests in the Global Certifica es will be reflected by book
ntries made on the records of th Depository and its
articipants and other banks, bro ers, and dealers
articipating in the National Sys em. The Depository' s book
ntries of beneficial ownership i terests are authorized to be
�in increments of $5, 000 of princi al of the Bonds, despite the
!larger authorized denominations o the Global Certificates.
;Payment of principal of, premium, if any, and interest on the
�Global Certificates will be made o the Bond Registrar as
;paying agent, and in turn by the ond Registrar to the
�Depository or its nominee as regi tered owner of the Global
�Certificates, and the Depository according to the laws and
� rules governing it will receive nd forward payments on behalf
! of the beneficial owners of the lobal Certificates.
Payment of principal o , premium, if any, and
; interest on a Global Certificate may in the City' s discretion
� be made by such other method of ransferring funds as may be
irequested by the Holder of a Glo al Certificate.
7. Immobilization of lobal Certificates b the
I De ositor ; Successor De ositor Re lacement Bonds. Pursuant
' to the request of the Purchaser o the Depository, which
i request is required by the Offic ' al Terms of Offering,
' immediately upon the original delivery of the Bonds the
� Purchaser will deposit the Global Certificates representing
' all of the Bonds with the Depository. The Global Certificates
i shall be in typewritten form or otherwise as acceptable to the
i Depository, shall be registered in the name of the Depository
, or its nominee and shall be hel immobilized from circulation
at the offices of the Depositor on behalf of the Purchaser
� and subsequent bondowners. The Depository or its nominee will
� be the sole holder of record of the Global Certificates and no
investor or other party purchas ng, selling or otherwise
transferring ownership of inter sts in any Bond is to receive,
hold or deliver any bond certif cates so long as the
Depository holds the Global Cer ificates immobilized from
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irculation, except as provided b low in this paragraph and in
aragraph 13 .
Certificates evidencing the Bonds may not after
Itheir original delivery be transf rred or exchanged except:
( i) Upon registratio of transfer of ownership of
a Global Certificate, as pro ided in paragraph 13 ,
( ii) To any successor of the Depository (or its
nominee) or any substitute epository (a "substitute
� " desi nated ur uant to clause ( iii) of this
depository ) g p
subparagraph, provided that any successor of the
jDepository or any substitut depository must be both a
� "clearing corporation" as d fined in the Minnesota
! Uniform Commercial Code at innesota Statutes,
Section 336. 8-102, and a qu lified and registered
� "clearing agency" as provid d in Section 17A of the
Securities Exchange Act of 934 , as amended,
( iii) To a substitute depos.itory designated by and
u on a the determination b the
cce table to the Cit ( ) Y
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Depository that the Bonds s all no longer be eligible for
its depository services or (b) a determination by the
I City that the Depository is no longer able to carry out
! its functions, provided that any substitute depository
must be qualified to act a such, as provided in clause
( ii) of this subparagraph, or
( iv) To those perso s to whom transfer is
re uested in written trans er instructions in the event
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that:
� (a) the Deposit ry shall resign or discontinue
its services for the Bonds and the City is unable
� to locate a substitu e depository within two (2)
I� months following the resignation or determination
� of non-eligibility, r
I (b) upon a dete mination by the City in its
i sole discretion that (1) the continuation of the
book-entry system de cribed herein, which precludes
the issuance of certificates (other than Global
Certificates) to an Holder other than the
Depository (or its ominee) , might adversely affect
the interest of the beneficial owners of the Bonds,
or (2) that it is i the best interest of the
beneficial owners o the Bonds that they be able to
obtain certificated bonds,
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in either of which events th City shal.l notify Holders
I�, of its determination and of he availability of
certificates (the "Replaceme t Bonds" ) to Holders
requesting the same and the egistration, transfer and
exchange of such Bonds will e conducted as rovided in
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paragraphs lOB and 13 hereof.
In the event of a succe sion of the Depository as
Iay be authorized by this paragra h, the Bond Registrar upon
resentation of Global Certificat s shall register their
ransfer to the substitute or suc essor depositories, and the
ubstitute or successor depositor shall be treated as the
epository for all purposes and fu ctions under this
,esolution. The Depository Letter Agreement shall not apply
o a substitute or successor depository unless the City and
he substitute or successor deposi ory so agree, and a similar
greement may be entered into.
8 . Redemption. All Bon s maturing in the years
11997 to 2002 both inclusive shal be sub '
► , �ect to redemption
d prepayment at the option of th City on December 1, 1996,
d on any interest payment date t ereafter at a price of par
us accrued interest. Redemption may be in whole or in part
the Bonds subject to prepayment If redemption is in part,
ose Bonds remaining unpaid which have the latest maturity
te shall be prepaid first; and i only part of the Bonds
ving a common maturity date are alled for prepayment, the
obal Certificates may be prepaid in $5 , 000 increments of
p incipal and, if applicable, the pecific Replacement Bonds
t be prepaid shall be chosen by 1 t by the Bond Registrar .
B nds or portions thereof called f r redemption shall be due
a d payable on the redemption date and interest thereon shall
c ase to accrue from and after the redemption date.
Upon a reduction in the ggregate principal amount
o a Global Certificate, the Holde may make a notation of
s ch redemption on the panel provi ed on the Global
C rtifi.cate stating the amount so redeemed, or may return the
G obal Certificate to the Bond Registrar in exchange or a new
G 'obal Certificate authenticated by the Bond Registrar , in
p ,oper principal amount. Such nota ion, if made by the
H lder , shall be for reference only, and may not be relied
u on by any other person as being i any way determinative of
t 'e principal amount of such Global Certificate outstanding,
u 'less the Bond Registrar has signe the appropriate column of
t e panel.
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To effect a partial red mption of Replacement Bonds
�havin a common maturity da�e, th Bond Registrar prior to
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giving notice of redemption shall assign to each Replacement
�Bond having a common maturity dat a distinctive number for
�each $5 , 000 of the principal amou t of such Replacement Bond.
�The Bond Registrar shall then select by lot, using such method
jof selection as it shall deem pr per in its discretion, from
� the numbers so assigned to such eplacement Bonds, as many
jnumbers as, at $5 ,000 for each n mber , shall equal the
� principal amount of such Replace ent Bonds to be redeemed.
� The Replacement Bonds to be rede med shall be the Replacement
jBonds to which were assigned num ers so selected; provided,
� however , that only so much of th principal amount of each
jsuch Replacement Bond of a denom nation of more than $5 , 000
� shall be redeemed as shall equal $5 , 000 for each number
� assigned to it and so selected.
If a Replacement Bond ' s to be redeemed only in
I art it shall be surrendered to the Bond Registrar (with, if
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� the City or Bond Registrar so re uires, a written instrument
I of transfer in form satisfactory to the City and Bond
I Registrar duly executed by the H lder thereof or his, her or
I its attorney duly authorized in riting) and the City shall
i execute ( if necessary) and the ond Registrar shall
I authenticate and deliver to the Holder of such Replacement
I Bond, without service charge, a new Replacement Bond or Bonds
I of the same series having the s me stated maturity and
�I interest rate and of any author ' zed denomination or
denominations, as requested by uch Holder , in aggregate
principal amount equal to and i exchange for the unredeemed
I portion of the principal of the Bond so surrendered.
The Bond Registrar sh 11 call Bonds for redemption
and payment as herein provided pon receipt by the Bond
� Registrar at least forty-five ( 5) days prior to the
� redemption date of a request of the City, in written form if
the Bond Registrar is other tha a City officer . Such request
shall specify the principal amo nt of Bonds to be called for
redemption and the redemption d te.
Published notice of redemption shall in each case be
given in accordance with law, nd mailed notice of redemption
shall be given to the paying a ent ( if other than a City
officer) and to each affected older . If and when the City
shall call any of the Bonds fo redemption and payment prior
to the stated maturity thereof the Bond Registrar shall give
� written notice in the name of he City of its intention to
� redeem and pay such Bonds at t e office of the Bond Registrar .
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Itice of redemption shall be give by first class mail,
stage prepaid, mailed not less t an thirty (30) days prior
the redemption date, to each Ho der of Bonds to be
deemed, at the address appearing in the Bond Register . All
tices of redemption shall state:
(a) The redemption date
(b) The redemption pric ;
(c) If less than all ou standing Bonds are to be
redeemed, the identification (and, in the case
of partial redempti n, the respective principal
amounts) of the Bon s to be redeemed;
(d) That on the redemption date, the redemption
price will become ue and payable upon each
such Bond, and tha interest thereon shall
' cease to accrue fr m and after said date; and
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� (e) The place where su h Bonds are to be
; surrendered for pa ment of the redemption price
(which shall be th office of the Bond
Registrar) .
Notices to Midwest Secu ities Trust Company or its
lominee shall contain the CUSIP n mbers of the Bonds. If
here are any Holders of the Bond other than the Depository
r its nominee, the Bond Registra shall use its best efforts
o deliver any such notice to the Depository on the business
ay next preceding the date of ma ling of such notice to all
ther Holders.
9. Bond Registrar . Th Treasurer of the City is
iappointed to act as bond registra and transfer agent with
!respect to the Bonds (the "Bond R gistrar" ) , and shall do so
�unless and until a successor Bond Registrar is duly appointed.
�A successor Bond Registrar shall e an officer of the City or
ja bank or trust company eligible or designation as bond
�registrar pursuant to Minnesota S atutes, Chapter 475, and may
Ibe appointed pursuant to any cont act the City and such
isuccessor Bond Registrar shall ex cute which is consistent
iherewith. The Bond Registrar sha 1 also serve as paying agent
unless and until a successor payi g agent is duly appointed.
�Principal and interest on the Bon s shall be paid to the
IHolders (or record holders) of t e Bonds in the manner set
iforth in the forms of Bond and paragraph 15 of this
iresolution.
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10. Forms of Bond. T e Bonds shall be in the form
of Global Certificates unless an until Replacement Bonds are
made available as provided in pa agraph 7. Each form of bond
' may contain such additional or d fferent terms and provisions
as to the form of payment, recor date, notices and other
� matters as are consistent with t e Depository Letter Agreement
��, and approved by the City Attorne .
A. Global Certificate . The Global Certificates,
together with the Certificate of Registration, the Register of
� Partial Payments, the form of As ignment and the registration
" information thereon, shall be in substantially the following
, form and may be typewritten rath r than printed:
�,
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UNITED STATES OF AMERICA
STATE OF M NNESOTA
RAMSEY C UNTY
CITY OF SA NT PAUL
' R- $
WATER RE ENUE
BOND, SERI S 1988A
INTEREST MATURITY DATE OF
RATE DATE ORIGINAL ISSUE CUSIP
December l, January 1, 1988
� REGISTERED OWNER:
� PRINCIPAL AMOUNT: DOLLARS
KNOW ALL PERSONS BX TH SE PRESENTS that the City of
', Saint Paul, Ramsey County, Minne ota (the "Issuer" or "City" ) ,
' certifies that it is indebted an for value received promises
, to pay to the registered owner s ecified above or on the
', certificate of registration belo , 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, a d to pay interest thereon
'� semiannually on June 1 and Decem er 1 of each year (each, an
' "Interest Payment Date" ) , commen ing June l , 1988, at the rate
per annum specified above (calcu ated on the basis of a
�� 360-day year of twelve 30-day mo ths) until the principal sum
; is paid or has been provided for . This Bond will bear
' interest from the most recent In erest Payment Date to which
��, interest has been paid or , if no interest has been paid, from
', the date of original issue hereo . The principal of and
', premium, if any, on this Bond ar payable by check or draft in
next day funds or its equivalent (or by wire transfer in
' immediately available funds if p yment in such form is
necessary to meet the timing req irements below) upon
' presentation and surrender hereo at the principal office of
the Treasurer of the Issuer in S int Paul, Minnesota (the
"Bond Registrar" } , acting as pay' ng agent, or any successor
Ipaying agent duly appointed by t e Tssuer ; provided, however ,
that upon a partial redemption o this Bond which results in
ithe stated amount hereof being r duced, the Holder may in its
Ildiscretion be paid without prese tation of this Bond, whi.ch
payment shall be received no la� r than 12: 00 noon, Chicaga,
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Illinois, time, and may make a n tation on the panel provided
herein of such redemption, stati g the amount so redeemed, or
� may return the Bond to the Bond egistrar in exchange for a
�, new Bond in the proper principal amount. ' Such notation, if
' made by the Holder , shall be for reference only, and may not
i be relied upon by any other person as being in any way deter-
�� minative of the principal amount of this Bond outstanding,
unless the Bond Registrar has signed the appropriate column of
' the panel. Interest on this Bo d will be paid on each
' Interest Payment Date by check r draft in next day funds or
, its equivalent mailed (or by wire transfer in immediately
�, available funds if payment in such form is necessary to meet
' the timing requirements below) to the person in whose name
this Bond is registered (the "H lder" or "Bondholder" ) on the
, registration books of the Issuer maintained by the Bond
I Registrar and at the address ap earing thereon at the close of
business on the fifteenth calendar day preceding such Interest
' Payment Date (the "Regular Record Date" ) . Interest payments
shall be received by the Holder no later than 12: 00 noon,
I Chicago, Illinois, time; and principal and premium payments
' shall be received by the Holder no later than 12: 00 noon,
� Chicago, Illinois, time if the ond is surrendered for payment
' enough in advance to permit pay ent 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 shall be payable to t e person who is the Holder
I 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 de aulted interest. Notice of
� the Special Record Date shall b given to Bondholders not less
�' than ten days prior to the Special Record Date. The principal
iof and premium, if any, and int rest on this Bond are payable
in lawful money of the United S ates of America.
Date of Pa ment Not B siness Da . If the date for
I payment of the principal of, pr mium, if any, or interest on
this Bond shall be a Saturday, unday, legal holiday or a day
on which banking institutions i the City of Chicago,
Illinois, or the city where the principal office of the Bond
Registrar is located are authorized by law or executive order
, to close, then the date for suc payment shall be the next
' succeeding day which is not a S turday, Sunday, legal holiday
or a day on which such banking institutions are authorized to
' close, and payment on such date shall have the same force and
I effect as if made on the nomina date of payment.
Redemption. Al1 Bond of this issue maturing in the
�, years 1997 to 2002 , both inclusive, are subject to redemption
�I
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L..�;�'��'�°'�/
a d prepayment at the option of th Issuer on December l,
1 96 , and on any Interest Payment ate thereafter at a price
o par plus accrued interest. Red mption may be in whole or
i part of the Bonds subject to pr payment. If redemption is
i part, those Bonds remaining unp id which have the latest
m turity date shall be prepaid fir t; and if only part of the
B nds having a common maturity dat are called for prepayment,
t is Bond may be prepaid in $5, 000 increments of principal.
B nds or portions thereof called f r redemption shall be due
a d payable on the redemption date and interest thereon shall
c ase to accrue from and after the redemption date.
' Notice of Redemption. P blished notice of
demption shall in each case be g ven in accordance with law,
d mailed notice of redemption sh 11 be given to the paying
ent ( if other than a City office ) and to each affected
lder of the Bonds. In the event any of the Bonds are called
r redemption, written notice the eof will be given by first
Ilass mail mailed not less than th ' rty (30) days prior to the
edemption date to each Holder of onds to be redeemed. In
onnection with any such notice, t e "CUSIP" numbers assigned
o the Bonds shall be used.
Re lacement or Notation f Bonds after Partial
ledem tion. Upon a partial redemption of this Bond which
esults in the stated amount hereof being reduced, the Holder
ay in its discretion make a notation on the panel provided
erein of such redemption, statin the amount so redeemed.
uch notation, if made by the Hol er , shall be for reference
nly, and may not be relied upon y any other person as being
n any way determinative of the p incipal amount of the Bond
utstanding, unless the Bond Regi trar has signed the
ppropriate column of the panel. Otherwise, the Holder may
urrender this Bond to the Bond R gistrar (with, if the Issuer
r Bond Registrar so requires, a ritten instrument of
ransfer in form satisfactory to he Tssuer and Bond Registrar
uly executed by the Holder there f or his, her or its
ttorney duly authorized in writi g) and the Issuer shall
xecute (if necessary) and the Bo d Registrar shall
uthenticate and deliver to the H lder of such Bond, without
ervice charge, a new Bond of the same series having the same
tated maturity and interest rate and of the authorized
enomination in aggregate princip 1 amount equal to and in
xchange for the unredeemed porti n of the principal of the
ond so surrendered.
Issuance; Purpose. Thi Bond is one of an issue in
�the total principal amount of $8, 00, 000, all of like date of
15
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i
briginal issue and tenor , except s to number , maturity,
�interest rate and denomination, w ich Bond has been issued
pursuant to and in full conformit with the Constitution and
laws of the State of Minnesota an the Charter of the Issuer ,
�and pursuant to a resolution adop ed by the City Council of
ithe Issuer on December _, 1987 ( he "Resolution" ) , for the
�purpose of providing money to finance the acquisition,
iconstruction and repair of vario s improvements to the Water
iUtility of the City. Said Bonds and the interest thereon are
! payable solely and exclusively f om the Net Revenues of the
' Water Utility of the Issuer pled ed to the payment thereof,
� and do not constitute a debt of he Issuer or of the Saint
Paul Board of Water Commissioner within the meaning of any
constitutional, Charter or statu ory limitation of
indebtedness. In the event of a y default hereunder , the
! Holder of this Bond may exercise any of the rights and
iprivileges granted by the laws o the State of Minnesota
I subject to the provisions of the Resolution. The Bonds of
' this issue, together with the Wa er Revenue Bonds of 1978 ,
� Series 1, issued in the principa amount of $2, 950 ,000, and
i the Water Revenue Bonds, Series 1985A, issued in the principal
amount of $5 , 375 ,000, are a first and prior lien upon the Net
iRevenues of the Water Utility of the Issuer , except that the
; Issuer is authorized under cert in conditions to issue
! additional revenue obligations n a parity of lien with these
� Bonds, all as provided in the R solution.
� Action by Holders. T e Holders of twenty percent
i (20%) or more in aggregate prin ipal amount of Bonds at any
� time outstanding may, either by law or in equity, by suit,
� action, or other proceedings, p otect and enforce the rights
of all Holders of Bonds then ou standing, or enforce and
compel the performance of any a d all of the covenants and
; duties specified in the Resolut ' on to be performed by the
i Issuer or the Board of Water Co missioners or their officers
and agents; provided, however , hat nothing shall affect or
; impair the right of any Bondhol er to enforce the payment of
ithe principal of and interest o any Bond at and after the
maturity thereof, or the obligation of the Issuer to pay the
i principal of and interest on e ch of the Bonds issued to the
� respective Holders thereof at he time and place, from the
source and in the manner provi ed in the Bonds.
i
Denominations; Excha e; Resolution. The Bonds are
� issuable originally only as G1 bal Certificates in the
denomination of the entire pri cipal amount of the issue
maturing on a single date. G1 bal Certificates are not
exchangeable for fully registe ed bonds of smaller
i
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�
,
,.�'�-�;.,�_ ��.��
denominations except in exchang for Replacement Bonds if then
available. Replacement Bonds, ' f made available as provided
below, are issuable solely as f lly registered bonds in the
denominations of 5 000 and int gral multiples thereof of a
single maturity and�are exchang able for fully registered
nominations in e ual a re ate
Bonds of other authorized de q J9 9
principal amounts at the princi al office of the Bond
Registrar , but only in the mann r and subject to the
limitations provided in the Res lution. Reference is hereby
made to the Resolution for a de cription of the rights and
duties of the Bond Registrar . opies of the Resolution are on
file in the principal office of the Bond Registrar.
Replacement Bonds. R placement Bonds may be issued
by the Issuer in the event that:
(a) the Depository s all resign or discontinue its
services for the Bonds, an only if the Issuer is unable
to locate a substitute dep sitory within two (2) months
following the resignation r determination of non-
eligibility, or
(b) upon a determina ion by the Issuer in its sole
discretion that (1) the co tinuation of the book-entry
system described in the Re olution, which precludes the
issuance of certificates ( ther than Global Certificates)
I� to any Holder other than t e Depository (or its nominee) ,
might adversely affect the interest of the beneficial
owners of the Bonds, or (2) that it is in the best
interest of the beneficial owners of the Bonds that they
be able to obtain certific ted bonds.
j Transfer . This Bond hall be registered in the name
of the payee on the books of th Issuer by presenting this
Bond for registration to the Bo d Registrar , who will endorse
his, her or its name and note t e date of registration
e tif icate
of
the name of the a ee in the c r
opposite p y
registration attached hereto. hereafter this Bond may be
; transferred by delivery with an assignment duly executed by
the Holder or his, her or its 1 gal representatives, and the
Issuer and Bond Registrar may t eat the Holder as the person
excl
usivel entitled to exercis all the rights and powers of
Y
an owner until this Bond is pre ented with such assignment for
registration of transfer , accom anied by assurance of the
nature rovided b law that the assignment is genuine and
P Y
effective, and until such trans er is registered on said books
and noted hereon by the Bond Re istrar , all subject to the
terms and conditions provided i the Resolution and to
17
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(.�r��j� �%' �'/
reasonable regulations of the I suer contained in any
agreement with, or notice to, t e Bond Registrar . Transfer of
this Bond may, at the direction and expense of the Issuer , be
subject to certain other restri tions if required to qualify
this Bond as being "in register d form" within the meaning of
Section 149 (a) of the federal I ternal Revenue Code of 1986,
as amended.
Fees u on Transfer or Loss. The Bond Registrar may
require payment of a sum suffic ent to cover any tax or other
governmental charge payable in onnection with the transfer or
exchange of this Bond and any 1 gal or unusual costs regarding
transfers and lost Bonds.
Treatment of Re ister d Owner. The Issuer and Bond
Registrar may treat the person n whose name this Bond is
registered as the owner hereof or the purpose of receiving
payment as herein provided (exc pt as otherwise provided with
respect to the Record Date) and for all other purposes,
whether or not this Bond shall e overdue, and neither the
Issuer nor the Bond Registrar s all be affected by notice to
the contrary.
Authentication. This Bond shall not be valid or
become obligatory for any purpo e or be entitled to any
security unless the Certificate of Authentication hereon shall
have been executed by the Bond egistrar .
Not ualified Tax-Exe t Obligations. The Bonds
have not been designated by the Issuer as "qualified
tax-exempt obligations" for pur oses of Section 265 (b) (3 ) of
the federal Internal Revenue Co e of 1986 , as amended.
IT IS HEREBY CERTIFIE AND RECITED that all acts,
conditions and things required y the Constitution and laws of
the State of Minnesota and the harter of the Issuer to be
done, to happen and to be perfo med, precedent to and in the
issuance of this Bond, have bee done, have happened and have
been performed, in regular and ue form, time and manner as
required by law; that this Bond together with all other debts
of the Issuer outstanding on th date of original issue hereof
and on the date of its issuance and delivery to the original
purchaser , does not exceed any onstitutional or statutory or
Charter limitation of indebtedn ss; and that the Issuer will
establish rates and charges for the water service furnished by
its Water Utility sufficient in amount to promptly meet the
principal and interest requirem nts of this issue.
1
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'u�,��-�i�=' �
�,.
Paul Ramse
IN WITNESS WHEREOF, the ity of Saint , y
unty, Minnesota, by its City Cou cil has caused this Bond to
sealed with its official seal a d to be executed on its
half by the photocopied facsimil signature of its Mayor ,
tested by the photocopied facsim le signature of its Clerk,
d countersigned by the photocopi d facsimile signature of
' s Director , Department of Financ and Management Services.
te of Registration: Regist able by:
Payabl at:
ND REGISTRAR' S CITY 0 SAINT PAUL,
RTIFICATE OF RAMSEY COUNTY, MINNESOTA
THENTICATION
is Bond is one of the
nds described in the
solution Mayor
ntioned within.
I
Attest
�
i
, City C erk
ond Registrar
y Counte signed:
Authorized Signature
Direct r , Department of Finance
and Ma agement Services
ISEAL)
ater Revenue Bond, Series 1988A, o. R-
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�
?'��1_, 7� /
CERTIFICATE OF REGISTRATION
� The transfer of ownership of th principal amount of the
! attached Bond may be made only y the registered owner or his,
her or its legal representative last noted below.
DATE OF SIGNATURE OF
REGISTRATION REGISTERED WNER BOND REGISTRAR
�
�
i
0
%"f--���_ �7.��I
REGISTER OF PA TIAL PAYMENTS
I
� The principal amount of the att ched Bond has been prepaid on
the dates and in the amounts no ed below:
Sign ture of Signature of
Date Amount Bond older Bond Registrar
I
i
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If a notation is made on this register , such notation has the
effect stated in the attached ond. Partial payments do not
require the presentation of t e attached Bond to the Bond
Registrar , and a Holder could fail to note the partial payment
here.
I
21
�
-.
.�
�`��
�_"/-`; �� � r ` �
ABBREVIA IONS
The following abbreviations, when used in the inscription
lon the face of this Bond, shall b construed as though they
,were written out in full accordin to applicable laws or
!regulations:
I!TEN COM - as tenants in common
ITEN ENT - as tenants by the entir ties
�7T TEN - as joint tenants with ri ht of survivorship
and not as tenants in co mon
TMA - as custodian f r
�� (Cust) (Minor)
under the Uniform
State)
Transfers to M nors Act
I
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Additional abbreviation may also be used
though not in the above list.
�
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ASSIGN ENT
;
,
For value received, th undersigned hereby sells,
�� assigns and transfers unto
the within Bond and does
,' hereby irrevocably constitute a d appoint
! attorney to transfer the Bond o the books kept for the
i registration thereof, with full power of substitution in the
premises.
Dated:
�
Notice The assignor ' s signature to
this assignment must
correspond with the name as
it appears upon the face of
the within Bond in every
particular , without
alteration or any change
whatever .
Signature Guaranteed:
Signature(s) must be guarantee by a national bank or trust
company or by a brokerage firm having a membership in one of
the major stock exchanges.
The Bond Registrar w' l1 not effect transfer of th
is
Bond unless the information co cerning the transferee
requested below is provided.
; Name an
d Address:
( Include in ormation for all joint owners
if the Bon is held by joint account. )
23
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B. Replacement Bonds. If the City has notified
H lders that Replacement Bonds hav been made available as
p ovided in paragraph 7, then for very Bond thereafter
t ansferred or exchanged the Bond egistrar shall deliver a
c rtificate in the form of the Rep acement Bond rather than
t e Global Certificate, but the Ho der of a Global Certificate
s all not otherwise be required to exchange the Global
C rtifieate for one or more Replac ment Bonds since the City
r cognizes that some bondholders m y prefer the convenience of
t e Depository' s registered owners ip of the Bonds even though
t e entire issue is no longer requ ' red to be in global book-
e try form. The Replacement Bonds together with the Bond
R gistrar ' s Certificate of Authent cation, the form of
signment and the registration in ormation thereon, shall be
i substantially the following for :
I
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Cj� t-���� i��'�
UNITED STATE OF AMERICA
STATE OF INNESOTA
RAMSEY OUNTY
CITY OF S INT PAUL
�
R- S
WATER R VENUE
BOND, SER ES 1988A
I
INTEREST MATTJRITY DATE OF
RATE DATE ORIGINAL ISSUE CUSIP
� January 1, 1988
I
REGISTERED OWNER:
PRINCIPAL AMOUNT: DOLLARS
KNOW ALL PERSONS BY T ESE PRESENTS that the City of
Saint Paul, Ramsey County, Minn sota (the "Issuer" or "City" ) ,
certifies that it is indebted and for value received promises
i to pay to the registered owner specified above, or registered
assigns, in the manner hereinafter set forth, the principal
i amount specified above, on the maturity date specified above,
unless called for earlier rede ption, and to pay interest
thereon semiannually on June 1 and December 1 of each year
� (each, an "Interest Payment lla e" ) , commencing June l, 1988,
at the rate per annum specifie above (calculated on the basis
of a 360-day year of twelve 30 day months) until the principal
sum is paid or has been provid d for . This Bond will bear
interest from the most recent nterest Payment Date to which
interest has been paid or , if o interest has been paid, from
� the date of original issue her of. The principal of and
premium, if any, on this Bond re payable upon presentation
and surrender hereof at the pr ncipal office of
, in
, (the "Bond Registrar" ) ,
acting as paying agent, or any successor paying agent duly
a ointed b the Issuer . Inte est on this Bond will be paid
PP Y
on each Interest Payment Date y check or draft mailed to the
erson in whose name this Bond is re istered (the "Holder" or
P g
"Bondholder" ) on the registrat ' on books of the Issuer
maintained by the Bond Registr r and at the address appearing
thereon at the close of busine s on the fifteenth calendar day
preceding such Interest Paymen Date (the "Regular Record
25
��- ���- ��.��
,.
! Date ) . Any interest not so tim ly paid shall cease to be
� payable to the person who is the Holder hereof as of the
i Regular Record Date, and shall b 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 pay ent of the defaulted interest.
Notice of the Special Record Da e shall be given to
i Bondholders not less than ten d ys prior to the Special Record
, Date. The principal of and pre ium, if any, and interest on
i this Bond are payable in lawful money of the United States of
America.
REFERENCE IS HEREBY M DE TO THE FURTHER PROVISIONS
OF THIS BOND SET FORTH ON THE R VERSE HEREOF, WHICH PROVISIONS
SHALL FOR ALL PURPOSES HAVE THE SAME EFFECT AS IF SET FORTH
HERE.
i
IT IS HEREBY CERTIFIE AND RECITED that all acts,
conditions and things required y the Constitution and laws of
the State of Minnesota and the harter of the Issuer to be
done, to happen and to be perf rmed, precedent to and in the
this Bond have be n done have ha ened and have
' ssuance of , PP
i ,
been performed, in regular and due form, time and manner as
required by law; that this Bon , together with all other debts
of the Issuer outstanding on t e date of original issue hereof
and on the date of its issuanc and delivery to the original
purchaser , does not exceed any constitutional or statutory or
Charter limitation of indebted ess; and that the Issuer will
establish rates and charges fo the water service furnished by
its Water Utility sufficient i amount to promptly meet the
principal and interest require ents of this issue.
IN WITNESS WHEREOF, he City of Saint Paul, Ramsey
County, Minnesota, by its City Council has caused this Bond to
be sealed with its official se 1 or a facsimile thereof and to
be executed on its behalf by t e original or facsimile
signature of its Mayor , attes ed by the original or facsimile
signature of its Clerk, and c untersigned by the original or
facsimile signature of its Di ector , Department of Finance
and
Management Services.
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�" ��.,�- r %`% /
��
� ate of Registration: Regi trable by:
Paya le at:
�BOND REGISTRAR' S CITY OF SAINT PAUL,
;CERTIFICATE OF RAM EY COUNTY, MINNESOTA
' AUTHENTICATION
iThis Bond is one of the
! Bonds described in the
Resolution within May r
' mentioned.
Att st:
, Cit Clerk
� Bond Registrar
gy Co ntersigned:
Authorized Signature
Di ector , Department of
Fi ance and Management
Se vices
(SEAL)
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/aj- ;�"7 i�-�%
ON REVERSE OF BOND
Date of Payment Not Bu iness Da . If the date for
Ipayment of the principal of, pre ium, if any, or interest on
' this Bond shall be a Saturday, S nday, legal holiday or a day
� on which banking institutions in the City of Chicago,
Illinois, or the city where the rincipal office of the Bond
�� Registrar is located are authori ed by law or executive order
to close, then the date for such payment shall be the next
; succeeding day which is not a Sa urday, Sunday, legal holiday
i or a day on which such banking i stitutions are authorized to
close, and payment on such date hall have the same force and
i effect as if made on the nominal date of payment.
Redemption. All Bonds of this issue maturing in the
� years 1997 to 2002, both inclusi e, are subject to redemption
and prepayment at the option of the Issuer on December l,
1996 , and on any Interest Payment Date thereafter at a price
of par plus accrued interest. edemption may be in whole or
iin part of the Bonds subject to repayment. If redemption i�
in part, those Bonds remaining npaid which have the latest
maturity date shall be prepaid irst; and if only part of the
� Bonds having a common maturity ate are called for prepayment,
! the specific Bonds to be prepai shall be chosen by lot by the
' Bond Register . Bonds or portio s thereof called for
redemption shall be due and pay ble on the redemption date,
and interest thereon shall ceas to accrue from and after the
I redemption date.
Notice of Redemption. Published notice of
' redemption shall in each case b given in accordance with law,
and mailed notice of redemption shall be given to the paying
agent ( if other than a City off ' cer) and to each affected
! Holder of the Bonds. In the ev nt any of the Bonds are called
ii for redemption, written notice hereof will be given by first
class mail mailed not less than thirty (30) days prior to the
' redemption date to each Holder f Bonds to be redeemed. In
connection with any such notice the "CUSIP" numbers assigned
to the Bonds shall be used.
Selection of Bonds fo Redem tion. To effect a
! partial redemption of Bonds hav ng a common maturity date, the
' Bond Registrar shall assign to ach Bond having a common
�, maturity date a distinctive num er for each $5 , 000 of the
principal amount of such Bond. The Bond Registrar shall then
� select by lot, using such metho of selection as it shall deem
I proper in its discretion, from he numbers assigned to �he
.
�
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2
�l�--',�'�-/ .�..�/
Bonds, as many numbers as, at $5 000 for each number , shall
� equal the principal amount of su h Bonds to be redeemed. The
� Bonds to be redeemed shall be th Bonds to which were assigned
Inumbers so selected; provided, h wever , that only so much of
, the principal amount of such Bon of a denomination of more
than $5 , 000 shall be redeemed as shall equal $5 , 000 for each
, number assigned to it and so sel cted. If a Bond is to be
� redeemed only in part, it shall e surrendered to the Bond
' Registrar (with, if the Issuer o Bond Registrar so requires,
a written instrument of transfer in form satisfactory to the
� Issuer and Bond Registrar duly e ecuted by the Holder thereof
� or his, her or its attorney duly authorized in writing) and
Ithe Issuer sha11 execute ( if nec ssary) and the Bond Registrar
, shall authenticate and deliver t the Holder of such Bond,
iwithout service charge, a new Bo d or Bonds of the same series
� having the same stated maturity nd interest rate and of any
� authorized denomination or denom' nations, as r�qEaested by such
!�Holder , in aggregate principal a ount equal to and in exchange
�for the unredeemed portion of th principal of the Bond so
'surrendered.
Issuance; Purpose. This Bond is one of an issue in
��the total principal amount of $8,000,000, all of like date of
'original issue and tenor , except s to number , maturity,
'interest rate, and denomination, hich Bond has been issued
ipursuant to and in full conformit with the Constitution and
�,laws of the State of Minnesota an the Charter of the Issuer ,
iand pursuant to a resolution adop ed by the City Council of
',the Issuer on December _, 1987 ( -he "Resolution" ) , for the
' urpose of providing money to fin nce the acquisition,
onstruction and repair of variou improve-ments to the Water
tility of the City. Said Bonds nd the interest thereon are
ayable solely and exclusively fr m the Net Revenues of the
ater Utility of the Issuer pledg d to the payment thereof,
nd do not constitute a debt of t e Issuer or of the Saint
aul Board of Water Commissioners within the meaning of any
onstitutional, Charter or statut ry limitation of
' ndebtedness. In the event of an default hereunder , the
older of this Bond may exercise ny of the rights and
' rivileges granted by the laws of the State of Minnesota
ubject to the provisions of the esolution. The Bonds of
his issue, together with the Wat r Revenue Bonds of 1978 ,
eries 1 , issued in the principal amount of $2 ,950 , 000 , and
he Water Revenue Bonds, Series 1 85A, issued in the principal
mount of $5 , 375 , 000 , are a first and prior lien upon the Net
evenues of the Water Utility of he Issuer , except that the
ssuer is authorized under certai conditions to issue
dditional revenue obligations on a parity of lien with these
onds, all as provided in the Res lution.
, 29
�����-�7- � 7-� /
:.
Action by Holders. T e Holders of twenty percent
�I (20g) or more in aggregate prin ipal amount of Bonds at any
' time outstanding may, either by law or in equity, by suit,
! action, or other proceedings, p otect and enforce the rights
of a.11 Holders of Bonds then ou standing, or enforce and
I compel the performance of any a d all of the covenants and
I duties specified in the Resolut ' on to be performed by the
� Issuer or the Board of Water Co missioners or their officers
and agents; provided, however , hat nothing shall affect or
�', impair the right of any Bondhol er to enforce the payment of
i the principal of and interest o any Bond at and after the
'� maturity thereof, or the obliga ion of the Issuer to pay the
'� principal of and interest on ea h of the Bonds issued to the
' respective Holders thereof at t e time and place, from the
�' source and in the manner provid d in the Bonds.
Denominations; Exchan e; Resolution. The Bonds are
issuable solely as fully regist red bonds in the denominations
'� of $5 , 000 and integral multiple thereof of a single maturity
and are exchangeable for fully egistered Bonds of other
' authorized denominations in equ 1 aggregate principal amounts
at the principal office of the ond Registrar, but only in the
manner and subject to the limit tions provided in the
� Resolution. Reference is hereb made to the Resolution for a
description of the rights and d ties of the Bond Registrar .
'� Copies of the Resolution are on file in the principal office
, of the Bond Registrar .
Transfer . This Bond s transferable by the Holder
in person or by his, her or its attorney duly authorized in
I writing at the principal office of the Bond Registrar upon
�, presentation and surrender here f to the Bond Registrar , all
, subject to the terms and condit ons provided in the Resolution
! and to reasonable regulations o the Issuer contained in any
agreement with the Bond Registr r . Thereupon the Issuer shall
� execute and the Bond Registrar hall authenticate and deliver ,
in exchange for this Bond, one r more new fully registered
Bonds in the name of the transf ree (but not registered in
' blank or to "bearer" or similar designation) , of an authorized
' denomination or denominations, n aggregate principal amount
equal to the principal amount o this Bond, of the same
maturity and bearing interest a the same rate. Whenever
ownership of this Bond should b transferred under any other
circumstances or be registered n nominee name only, the
registered owner of the Bond sh 11 , if and to the extent
re uired to ualif this Bo
nd a bein "in re istered form"
q 9 Y 9 9
'� within the meaning ot Section 1 9 (a) of the federal Tnternal
3
�
/!--=�>'�- � �:�?!
I Revenue Code of 1986, as amende , and at the direction and
�, expense of the Issuer , maintain for the Issuer a record of the
' actual owner of the Bonds.
Fees u on Transfer or Loss. The Bond Registrar may
i require payment of a sum suffic ' ent to cover any tax or other
governmental charge payable in onnection with the transfer or
', exchange of this Bond and any 1 gal or unusual costs regarding
' transfers and lost Bonds.
Treatment of Re ister d Owner . The Issuer and Bond
j Registrar may treat the person ' n whose name this Bond is
� registered as the owner hereof or the purpose of receiving
i payment as herein provided (exc pt as otherwise provided on
the reverse side hereof with re pect 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 co trary.
Authentication. This Bond shall not be valid or
�, become obligatory for any purpo e or be entitled to any
' security unless the Certificate of Authentication hereon shall
!, have been executed by the Bond egistrar .
Not ualified Tax-Exe t Obli ations. The Bonds
� have not been designated by the Issuer as "qualified
�� tax-exempt obligations" for pur oses of Section 265 (b) (3) of
� the federal Internal Revenue Co e of 1986 , as amended.
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ABBREVIAT ONS
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The following abbreviations, when used in the inscription
n the face of this Bond, shall b construed as though they
ere written out in full accordin to applicable laws or
egulations:
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EN COM - as tenants in common
TEN ENT - as tenants by the entir ties
;JT TEN - as joint tenants with ri ht of survivorship
i and not as tenants in co mon
�UTMA - as custodian f r
(Cust) (Minor}
i under the Uniform
(State)
Transfers to inors Act
�
Additional abbreviati ns may also be used
i though not in t e above list.
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ASSIG MENT
For value received, t e undersigned hereby sells,
assigns and transfers unto
the within Bond and does
hereby irrevocably constitute a d appoint
I� attorney to transfer the Bond o the books kept for the
registration thereof, with full power of substitution in the
premises.
Dated:
i Notice: The assignor ' s signature to
this assignment must
correspond with the name as
it appears upon the face of
the within Bond in every
particular , without
alteration or any change
whatever .
Signature Guaranteed:
I� Signature(s) must be guaranteed by a national bank or trust
company or by a brokerage firm aving a membership in one of
the major stock exchanges.
� The Bond Registrar wi 1 not effect transfer of this
Bond unless the information con erning the transferee
requested below is provided.
Name and Address:
( Include info mation for all joint owners
if the Bond ' s held by joint account. )
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t e Global Certificate for re istr tion to the Bond Re istrar
9 9 ,
w o will endorse his or her name a d note the date of
r gistration opposite the name of he payee in the certificate
o registration on the Global Cert ' ficate. Thereafter a
G obal Certificate may be transfer ed by delivery with an
a signment duly executed by the Ho der or his, her or its
1 gal representative, and the City and Bond Registrar may
t eat the Holder as the person exc usively entitled to
e ercise all the rights and powers of an owner until a Global
C rtificate is presented with such assignment for registration
o transfer , accompanied by assura ce of the nature provided
b law that the assignment is genu ne and effective, and until
s ch transfer is registered on sai books and noted thereon by
t e Bond Registrar , all subject to the terms and conditions
p ovided in the Resolution and to easonable regulations of
t e City contained in any agreemen with, or notice to, the
B, nd Registrar .
Transfer of a Global Cer ificate may, at the
d` rection and expense of the City, be subject to other
r strictions if required to qualif the Global Certificates as
ing "in registered form" within he meaning of Section
1 9 (a) of the federal Internal Rev nue Code of 1986, as
a ended.
Upon surrender for trans er of any Replacement Bond
a the principal office of the Bon Registrar, the City shall
ecute (if necessary) , and the Bo d Registrar shall
a thenticate, insert the date of r gistration (as provided in
ragraph 12) of, and deliver , in he name of the designated
ansferee or transferees, one or ore new Replacement Bonds
any authorized denomination or enominations of a like
gregate principal amount, having the same stated maturity
d interest rate, as requested by the transferor; provided,
wever , that no Bond may be regis ered in blank or in the
me of "bearer" or similar design tion. 4Vhenever ownership
any Replacement Bonds should be transferred without
rrender of the Replacement Bond .or transfer or should be
gistered in nominee name only, t e registered owner of the
placement Bond shall, if and to he extent required to
eserve the exclusion from gross ncome of the interest on
e Bonds and at the direction and expense of the City,
' intain for the City a record of he actual owner of the
placement Bond.
At the option of the Hol er of a Replacement Bond,
placement Bonds may be exchanged for Replacement Bonds of
y authorized denomination or den minations of a like
35
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Ia re ate rinci al amount and s ated maturity, upon surrender
99 9 P P
' of the Replacement Bonds to be e changed at the principal
office of the Bond Registrar . W enever any Replacement Bonds
' are so surrendered for exchange, the City shall execute ( if
� necessary) , and the Bond Registr r shall authenticate, insert
Ithe date of registration of , and deliver the Replacement Bonds
� which the Holder making the exch nge is entitled to receive.
Global Certificates may not be e changed for Global
! Certificates of smaller denomina ions.
All Bonds surrendered pon any exchange or transfer
or in this resolution hall be romptly cancelled by
P
rovided f P
the Bond Registrar and thereafte disposed of as directed by
I, the City.
jAl1 Bonds delivered in exchange for or upon transfer
of Bonds shall be valid special bligations of the City
� evidencing the same debt, and entitled to the same benefits
under this resolution, as the Bo ds surrendered for such
� exchange or transfer .
Every Bond presented r surrendered for transfer or
exchange shall be duly endorsed or be accompanied by a written
I instrument of transfer , in form satisfactory to the Bond
Registrar , duly executed by the holder thereof or his, her or
' its attorney duly authorized in writing.
The Bond Registrar ma require payment of a sum
sufficient to cover any tax or ther governmental charge
payable in connection with the ransfer or exchange of any
I Bond and any legal or unusual c sts regarding transfers and
I lost Bonds.
Transfers shall also e subject to reasonable
I� regulations of the City contain d in any agreement with, or
I notice to, the Bond Registrar , ncluding regulations which
' permit the Bond Registrar to cl se its transfer books between
record dates and payment dates.
i14 . Rights Upon Tran fer or Exchan e. Each Bond
delivered upon transfer of or i exchange for or in lieu of
any other Bond shall carry all he rights to interest accrued
and unpaid, and to accrue, whic were carried by such other
Bond.
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15. Interest Pa ment• Record Date. Interest on any
Global Certificate shall be pai as provided in the first
paragraph thereof, and interest on any Replacement Bond shall
36
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b paid on each Interest Payment D te by check or draft mailed
t the person in whose name the Bo d is registered (the
" older" ) on the registration book of the City maintained by
t e Bond Registrar , and in each ca e at the address appearing
ereon at the close of business o the fifteenth (15th)
lendar day preceding such Intere t Payment Date (the
' egular Record Date" ) . Any such nterest not so timely paid
Ihall cease to be payable to the p rson who is the Holder
hereof as of the Regular Record D te, and shall be payable to
'he person who is the Holder there f at the close of business
n a date (the "Special Record Dat " ) fixed by the Bond
egistrar whenever money becomes available for payment of the
efaulted interest. Notice of th Special Record Date shall
e given by the Bond Registrar to the Holders not less than
en (10) days prior to the Specia Record Date. The term
'Holder" shall also include those lawfully entitled to take
ctions on behalf of the benefici 1 owners of the Bonds for
� urposes of any consent or approv ls given by Holders.
16. Treatment of Re is ered Owner . The City and
�Bond Registrar may treat the pers n in whose name any Bond is
�registered as the owner of such B nd for the purpose of
;receiving payment of principal of and premium, if any, and
,interest (subject to the payment rovisions in paragraph 15
above) on, such Bond and for all other purposes whatsoever
�whether or not such Bond shall b overdue, and neither the
� City nor the Bond Registrar shal� be affected by notice to the
; contrary.
17. Delivery; Applica ion of Proceeds. The Global
ICertificates when so prepared an executed shall be delivered
; by the Director , Department of F nance and Management
Services, to the Purchaser upon eceipt of the purchase price,
and the Purchaser shall not be o liged to see to the proper
' application thereof.
18. Fund and Accounts. For the convenience and
� proper administration of the pr ceeds from the sale of the
1988 Bonds and for the payment f principal of and interest on
� the 1988 Bonds, the Board of Wa er Commissioners Water Utility
Enterprise Fund (the "Water Uti ity Fund" , heretofore in
resolutions relating to the 197 Bonds and 1985 Bonds also
referred to as the "Water Utili y Fund" } heretofore created
shall continue in force and eff ct as a separate fund of the
City and of the Board until all of the 1988 Bonds are fully
paid and retired. In said Fund there are and there shall
continue to be the following ac ounts:
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(a) A "Capital Account" , inta which there shall be
' paid the proceeds from the s le of the 1988 Bonds, less
any premium, unused discount ( if any) and accrued
interest paid by the Purchas r upon delivery and the
amount capitalized for the " eserve Account" herein
established. From the Capit 1 Account shall be paid all
costs of the Improvements to be financed by the 1988
Bonds, including legal, engi eering, financing and other
such expenses incidental the eto. Any balance remaining
in said account after the pa ment of such costs shall be
� transferred to the Revenue B nd Debt Service Account
herein established. Nothing in this resolution sha11
reverse or detract from any eposits made into said
! account, or payments made fr m said account, with respect
; to the 1978 Bonds and 1985 B nds.
(b) An "0 eration and aintenance Account" , into
which shall be paid all gro s revenues and earnings
, derived from the operation f the Water Utility system
including any assessments w ich may from time to time be
levied with respect to the ater Utility. From this
account there shall be paid all, but only, current
expenses of said system. C rrent expenses shall include
the reasonable and necessar costs of administering,
operating, maintaining and nsuring the system, salaries,
wages, costs of materials a d supplies, costs of water
production and distribution necessary legal, engineering
and auditing services, and 11 other items which, by
sound accounting practices, constitute normal , reasonable
and current costs of operat ' on and maintenance, but
excluding any al.lowance for depreciation, extraordinary
repairs and payments into t e Revenue Bond Debt Service
Account and the Reserve Acc unt. There shall at all
; times be maintained in said account a reserve in an
amount sufficient to cover he operation and maintenance
costs of the Water Utility system for the ensuing fifteen
(15) day period. The bala ce from time to time remaining
in the Operation and Maint nance Account, including
interest or other earnings received from the investment
of any moneys in the Water Utility Fund, after paying or
providing for the foregoin items, shall constitute, and
are referred to in this re olution as, "Net Revenues. "
(c) A "Revenue Bond ebt Service Account" , into
which there shall be credi ed and to which there is
hereby irrevocably pledged from the Net Revenues of the
operation of the Water Uti ity system monthly commencing
January l, 1988, a sum equ 1 to at least 1/12 of the
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total principal and inter. st on the 1988 Bonds and any
other bonds issued on a p rity therewith during the
ensuing twelve (12) month ; provided, however , that no
further payments need be ade to said account when the
moneys held therein are s fficient for the payment of all
principal and interest du on said bonds on and prior to
the next maturity date. n addition there shall be
credited to said Revenue ond Debt Service Account the
accrued interest, unused iscount ( if any) and premium
(if any) paid by the Purc aser of said bonds upon
delivery thereof. No mon y shall be paid out of said
account except to pay pri cipal, premium, if any, and
interest on the 1988 Bonds and any other bonds which are
issued on a parity with t e 1988 Bonds.
;'`� (d) A "Reserve Accou t" , which was heretofore
created, and is hereby continued, to be used only when
and if moneys in the Reven e Bond Debt Service Account or
other moneys available the efor are insufficient to pay
principal, premium, if any, and interest on the bonds
payable from the Revenue B nd Debt Service Account;
provided, however, that th moneys in the Reserve Account
may be used to prepay said bonds, when such prepayment
will retire all of the bon s then outstanding. There is
hereby credited from the p oceeds of the 1988 Bonds to
this Reserve Account the s m of $800, 000, and from other
moneys of the Board such a ount as shall be necessary,
together with amounts alre dy in said account pursuant to
the resolutions authorizin the issuance of the 1978
Bonds and 1985 Bonds, to e ual the maximum principal and
interest due in any year o the bonds payable from the
Revenue Bond Debt Service ccount (which amount shall be
specified in connection wi h the sale of the Bonds by the
officer who accepts the bi therefor as provided in
paragraph 1 of this resolu ion) . Whenever the moneys in
the Reserve Account exceed an amount equal to the maximum
annual principal and inter st coming due thereafter on
all outstanding revenue ob igations payable from the Net
Revenues of the Water Util ty Fund, such excess may be
transferred to the Revenue Bond Debt Service Account; and
whenever the moneys in sai Reserve Account shall be less
than said amount, the Rese ve Account shall be restored
to said amount from the ne t avail.able Net Revenues.
Notwithstanding the forego ng, after the payment and
discharge of the 1978 Bond and 1985 Bonds the amount
required to be maintained n the Reserve Account shall be
an amount equal to ten per ent (10�) of the original
principal amount of the 19 8 Bonds and other bonds
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payable from the Revenue Bon Debt Service Account issued
after the 1988 Bonds on a parity of lien therewith; and
whenever the moneys in the
eserve Account excee
d such
amount required to be maint ined therein, such excess may
! be transferred to the Reven e Bond Debt Service Account.
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� (e) Net Revenues in e cess of those required for
� the foregoing purposes may e used for any proper
purpose.
f The mone in the ater Utility Fund shall be
( ) Y
I allotted and paid to the va ious accounts herein
� established in the order in which said accounts are
i listed on a cumulative basi , and if in any month the
� money in said accounts is i sufficient to place the
required amount in any acc unts, the deficiency shall be
made up in the following m nth or months after payment
into all other accounts ha ing a prior claim on said Net
' Revenues have been made in full.
(g) All money held i the Revenue Bond Debt Service
; Account and the Reserve Ac ount created by this
resolution shall be kept s parate and apart from all
other municipal funds and ccounts.
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(h) Notwithstanding nything to the contrary
herein, moneys in the Wate Utility Fund and any account
thereof may be used to pay any rebate of excess arbitrage
earnings on gross proceeds of the 1988 Bonds to be paid
' to the United States in order to maintain the exclusion
from gross income under S ction 103 of the Code (as
hereinafter defined) of t e interest on the 1988 Bonds.
( i) No portion of t e proceeds of the 1988 Bonds
; shall be used directly or indirectly to acquire higher
yielding investments or t replace funds which were used
' directly or indirectly to acquire higher yielding invest-
ments, except (1) for a r asonable temporary period until
; such proceeds are needed or the purpose for which the
1988 Bonds were issued, ( ) as part of a reasonably
� required reserve or repla ement fund not in excess of ten
percent (10%) of the proc eds of the 1988 Bonds (or in a
� higher amount which the City establishes is necessary to
the satisfaction of the Secretary of the Treasury of the
United States) , and (3) in addition to the above in an
amount not greater than he lesser of five percent (5a)
of the proceeds of the 1 88 Bonds or $100 , 000. To this
an roceeds of he 1,988 Bonds and any sums from
�
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time to time held in the C pital Account, Operation and
Maintenance Account, Reser e Account or Revenue Bond Debt
Service Account (or any ot er City or Board account which
will be used to pay princi al or interest to become due
on the bonds payable there rom) in excess of amounts
' which under then-applicabl federal arbitrage regulations
' may be invested without re ard to yield shall not be
invested at a yield in exc ss of the applicable yield
restrictions imposed by sa d arbitrage regulations on
such investments after tak ' ng into account any applicable
"temporary periods" , minor portion or reserve made
available under the federa arbitrage regulations. Money
in the Water Utility Fund hall not be invested in
obligations or deposits is ued by, guaranteed by or
insured by the United Stat s or any agency or
instrumentality thereof if and to the extent that such
investment would cause the 1988 Bonds to be "federally
guaranteed" within the mea ing of Section 149 (b) of the
federal Internal Revenue C de of 1986 , as amended (the
"Code" ) .
19. Paritv Bonds. T e revenue bonds issued
hereunder shall be a first char e and lien upon the Net
Revenues of the Water Utility, and no part of such Net
Revenues shall ever be pledged to the payment of any general
obligation bonds issued by the City while any bonds of this
i issue or bonds issued on a parity therewith remain outstanding
and undischarged. No addition 1 revenue obligations payable
from the Revenue Bond Debt Ser ice Account shall be hereafter
issued unless the same are exp essly made a second and
subsequent lien upon the Net R venues of the Water Utility;
provided, however , that additi nal obligations may be issued
j on a parity of lien with the b nds herein authorized, provided
that the annual Net Revenues o said Water Utility for each of
the two (2) completed fiscal y ars immediately preceding the
issuance of such additional ob igations shall have been one
and one-half (1. 5) times the m ximum annual principal and
interest coming due thereafter on all outstanding revenue
obligations payable from and h ving a parity of lien upon the
Net Revenues of the Water Util ty Fund, including the
additional obligations so to b issued; provided further ,
however , that if the annual Ne Revenues in either or both of
the aforesaid two (2) complete fiscal years shall be
insufficient to meet this test then any reasonably projected
� increase in Net Revenues for t e fiscal year immediately
following such second complete fiscal year may be added to
the Net Revenues for such comp eted fiscal years or either of
them (but the total of such pr jectecl increase in Net Revenues
1
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may be added only once) in appl ing the foregoing test. Such
�� facts shall be shown by the Cer ificate of the General Manager
of the Board of Water Commissio ers and shall be a finding of
and recited in the resolution o the City authorizing any such
additional series. In addition the following conditions
shall be met:
(a) The payments req ired to be made (at the time
of the issuance of such pa ity lien bonds) into the
various funds and accounts provided for in this
resolution have been made.
(b) All such arit ien bonds shall h
ave a
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December 1 maturity or mat rities and shall have
semiannual interest paymen s on June 1 and December 1 in
each year .
(c) The proceeds of uch parity lien bonds shall be
used only for the purpose f making improvements,
additions, extensions, ren wals or replacements to the
Water Utility, and capital ' zing interest or establishing
Reserves and paying the co ts of such financing.
,II
20. Refundin Maturi Bonds. The City also
� reserves the right and privileg of issuing additional revenue
�' bonds if and to the extent need d to refund maturing bonds
', payable from the moneys in the ater Utility Fund in case the
moneys in the Revenue Bond Debt Service Account are
, insufficient to pay the same at maturity, which refunding
� revenue bonds may be on a parit with this issue as to
interest payments, but shall ma ure subsequent to all the
I revenue obligations which are payable from the Net Revenues of
the Water Utility Fund and whic are still outstanding upon
� completion of such refunding.
21. Other Revenue Obli ations. Except as
authorized in paragraphs 19, 20 nd 26 hereof, the City
' covenants and agrees that it wil issue or incur no
� obligations payable from the Net Revenues of all or a part of
I said Water Utility or constituti g in any manner a lien
thereon, unless such obligations are expressly made junior and
� subordinate to the lien and char e of the bonds herein
' authorized on said Net Revenues, provided that the bonds
'�, herein authorized, or any part t ereof, may be refunded with
i the consent of the holders there f (except as to maturing
i bonds, in which case such consen shall not be required) and
ithe refunding bonds issued shall enjoy complete equality of
' lien with the portion of the bon s not refunded and any other
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then outstanding bonds payable f om the Revenue Bond Debt
Service Account, it any there be The refunding bonds shall
continue to have whatever priori y of lien over subsequent
issues that the refunded bonds m y have had. If only a
� portion of the outstanding bonds shall be so refunded and if
� such bonds shall be refunded in uch manner that the interest
Irate of any refunding bond shall be greater than the interest
; rate of the corresponding refund d bond (or the average net
interest rate of the refunding b nds shall be, or shall be
I, reasonably estimated to be, high r than the average net
! interest rate of the refunded bo ds) , or that the maturity
� date of any refunding bond shall be earlier than the maturity
Idate of the corresponding refund d bond (or the average
maturity of the refunding bonds hall be earlier than the
average maturity of the ref.unded bonds) , then such bonds may
not be refunded without the cons nt of the holders of the
unrefunded portion of the bonds ssued hereunder and any other
; bonds then outstanding payable f om the Revenue Bond Debt
' Service Account.
22 . Insufficient Amou ts. In the event that the
� moneys in the Revenue Bond Debt ervice Account shall be
, insufficient at any particular t me to pay the principal then
' due and interest then accrued on all bonds payable therefrom,
' said moneys shall first be appli d to the payment pro rata of
the accrued interest on all such bonds, and any balance shall
ibe applied in payment pro rata o the principal on all such
! bonds; provided further that if t shall ever be determined by
a court of competent jurisdictio while any such bonds remain
outstanding that the sums availa le and to become available
�' for the payment of the principal thereof and interest thereon
are insufficient whether or not hen due, then the moneys in
the Revenue Bond Debt Service Ac ount shall be applied in
� payment of all principal then ou standing whether or not then
due and the interest accrued the eon to the date of payment
� ratably according to the aggrega e amount thereof without any
�Ipreference or priority.
23 . Suit b Bondholde s. The Holders of twenty
Ipercent (200) or more in aggrega e principal amount of bonds
issued under this resolution and at any time outstanding may,
'� either at law or in equity, by s it, action, or other
! proceedings, protect and enforce the rights of all Holders of
bonds issued hereunder and then utstanding or enforce or
Icompel the performance of any an all of the covenants and
' duties specified in this resolut on to be performed by the
City or Board or their officers nd agents, including the
'�ifixing and maintaining of rates nd charges and the collection
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Ind proper segregation of revenue and the application and use
hereof.
� 24 . Covenants. For th protection of the Holders
jof the bonds herein authorized, t e City herein covenants and
;agrees to and with the holders th reof from time to time as
,'follows:
�
I (a) It will at all ti. es through its Board
adequately maintain and eff ' ciently operate the Hlater
Utility as a City utility. It will from time to time
� make all needful and proper repairs, replacements,
additions and betterments t the equipment and facilities
�
of said Water Utility so th t they may at all times be
operated properly and advan ageously, and whenever any
� equipment of said system sh 11 have been worn out,
destroyed or otherwise beco e insufficient for proper
use, it shall be promptly r placed or repaired so that
the value and efficiency of the facilities shall be at
all times fully maintained and its revenues uneneumbered
, by reason thereof.
,' (b) The rates for al water service and the charges
� for all water supplied by he Water Utility to the City
and its residents and to a 1 other consumers shall be
� reasonable and just, takin into account the cost and
value of the Water Utility the cost of maintaining and
operating the Water Utilit and the proper and necessary
allowances for depreciatio , the amounts required for the
payment of principal and i terest on the bonds payable
from the Net Revenues of t e Water Utility, and all other
isums customarily paid from the revenues of the Water
Utility.
� (c) It will as requ ' red by Section 10. 11. 2 of the
City Charter (and it will continue to do so whether or
not required by said Char er) establish, maintain and
collect such charges and ates as will produce revenues
sufficient to pay the rea onable cost of operation,
repair and maintenance of the Water Utility and to pay
the interest on and princ 'pal of the bonds herein
authorized as and when th y become due as well as to
provide sufficient money o make the required
appropriations to the various funds and accounts
! established herein. The ity will review the schedule of
j rates and charges for th Water Utility at least annually
' when the Board budget is reviewed.
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:
(d) It will not sell lease, mortgage, or in any
manner dispose of the Wate Utility or any part thereof
( including any and all ext nsions and additions that may
be made ther t
e o until all revenue bonds
) a able from the
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Net Revenues of the Water tility or any part thereof
have been paid in full; pr vided, however , that the City
may sell the Water Utility or any part thereof if
simultaneously with or pri r to said sale all of the
outstanding bonds are disc arged in accordance with
paragraph 26 of this resol tion. This covenant shall not
be construed to prevent th sale by the City at fair
market value of real estat , equipment or other
non-revenue-producing prop rties which in the judgment of
the City have become unnec ssary, uneconomical or
inexpedient to use in conn ction with the Water Utility
' provided that suitable fac ' lities are obtained in place
thereof and provided furth r that nothing herein is
intended to prevent the Ci y or Board from terminating or
otherwise preventing the t rmination of contracts for the
furnishing of water .
' (e) It shall cause to be kept proper books, records
and accounts adapted to t e 4Vater Utility separate from
other accounts to be audi ed at the end of each fiscal
' year . A copy of said aud ' t shall be furnished, without
cost, to the original pur haser of the bonds herein
authorized. If the City ails to provide such audit
within a reasonable time fter the end of said fiscal
year , the holders of twen y percent (20%) or more of the
� outstanding bonds may cau e such audit to be made at the
expense ot the City. The expense of preparing such audit
shall be paid as current perating expenses of the Water
Utility. The original pu chasers of the bonds and the
Holders thereof, or their duly appointed representatives,
� from time to time shall h ve the right, at all reasonable
times, to inspect the Wat r Utility system and to inspect
� and copy the books, recor s, accounts and data relating
thereto. The City agrees to furnish copies of such
audit, without cost, to a y Holder or Holders of the
bonds at their request wi hin a reasonable time after the
end of each fiscal year.
(f) It will faithfu ly and punctually perform all
, duties with reference to he Water Utility required by
the City Charter , the Con titution and laws of the State
of Minnesota and this res lution.
45
i
��'"�i / /'-�r
om tin
t wil rant no f a chise to an c e
I 1 r n
(9) 9 Y P 9
utilit .
Y
25. Amendments. No change, amendment, modification
or alteration shall be made in the covenants made with Holders
j of the bonds authorized by thi resolution without the consent
! of the Holders of not less tha sixty percent (60%) in
principal amount of such bonds then outstanding except for
� changes, amendments, modificat ' ons and alterations (a) made to
cure any ambiguity or formal d fect or omission, or (b) which
would not materially prejudice the Holders of such outstanding
bonds; provided, however , that nothing herein contained shall
permit or be construed as perm tting ( 1) an extention of the
maturity of the principal of o the interest on any such
bonds, or (2) a reduction in t e principal amount of any such
ibond or the rate of interest t ereon, or (3) a privilege or
i priority of any such bond or b nds over any other bond or
bonds except as otherwise prov ded herein, or (4) a reduction
in the aggregate principal amo nt of such bonds required for
� consent of any change, amendme t, modification or alteration,
or (5) the creation of any lie ranking prior to or on a
parity with the lien of such b nds, except as hereinbefore
expressly permitted, or (6) a odification of any of the
i provisions of this paragraph w' thout the consent of the
Holders of one hundred percent (100%) of the principal amount
of such bonds outstanding.
26. Discharge. Whe all bonds issued under this
resolution have been discharge as provided in this paragraph,
all pledges, covenants and ot r rights granted by this
� resolution to the Holders of he bonds shall cease. The City
may discharge all bonds which are due on any date by
! depositing with the paying ag nt (but not if a City officer is
the paying agent) or an escro agent for such bonds on or
before that date a sum suffic ' ent for the payment thereof in
full; or if any bond should n t be paid when due, it may
nevertheless be discharged by depositing with the paying agent
(but not if a City officer is the paying agent) or an escrow
agent a sum sufficient for th payment thereof in full. The
� City may also discharge any p epayable bonds which are called
for redemption on any date wh n they are prepayable according
� to their terms, by depositing with the paying agent (but not
� if a City officer is the payi g agent) or an escrow agent on
� or before that date an amount equal to the principal, interest
j and redemption premium, if an , which are then due, provided
that notice of such redemptio has been duly given as provided
in the resolution authorizing the bonds. The City may also at
any time discharge this issue of bonds in its entirety by
�
46
- , `
�`��`�� �- � l-�'
i complying with the applicable p ovisions of Minnesota
i Statutes, Section 475, 67, and a y amendments thereto, except
that the funds deposited in esc ow in accordance with said
� provisions may but need not be n whole or part proceeds of
� advance refunding bonds. The C ty may discharge bonds as
herein provided without the con ent of any Bondholders.
27. Fiscal Year . As used in this resolution the
� words "fiscal year" shall mean he twelve (12) month period
beginning on January 1 of each ear and ending on December 31
iof the same year . Should it be deemed advisable at some later
date to change the fiscal yearl basis, the same may be done
by proper actions to that effect, which change shall not
constitute an amendment or modification of this resolution.
28 . Certificate of e istration. The Director ,
Department of Finance and Mana ement Services, is hereby
directed to file a certified c py of this Resolution with the
County Auditor of Ramsey Count , Minnesota, together with such
other information as the Audit r shall require, and to obtain
the Auditor ' s certificate that the Bonds have been entered in
the Auditor ' s Bond Register .
29. Records and Cer ificates. The officers of the
City are hereby authorized and directed to prepare and furnish
to the Purchaser , and to the a torneys approving the legality
of the issuance of the Bonds, ertified 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 he legality and marketability
of the Bonds as the same appea 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 represen-
tations of the City as to the facts recited therein.
30 . Ne ative Coven nt as to Use of Improvements.
The City hereby covenants not to use the proceeds of the 1988
Bonds or to use the Improveme ts, or to cause or permit them
ior any of them to be used, or to enter into any deferred
payment arrangements for the ost of the Improvements, in such
a manner as to cause the 1988 Bonds to be "private activity
bonds" within the meaning of ections 103 and 141 through 150
�
of the Code.
31. Tax-Exem t Sta us of the Bonds; Rebate. The
City shall comply with requir ments necessary under the Code
�
47
�
�;�-_-- �7-� �;�/
i
to establish and maintain the e clusion from gross income
under Section 103 of the Code o the interest on the 1988
� Bonds, including without limita ion requirements relating to
� temporary periods for investmen s, limitations on amounts
� invested at a yield greater tha the yield on the 1988 Bonds,
and the rebate of excess invest ent earnings to the United
States.
32. No Desi nation f ualified Tax-Exem t
� Obligations. The 1988 Bonds, ogether with other obligations
expected to be issued by the C ' ty in 1988 , exceed in amount
ithose which may be qualified a "qualified tax-exempt
� obligations" within the meanin of Section 265 (b) (3 ) of the
Code, and hence are not design ted for such purpose.
� 33 . De ositor Lett r A reement. The Depository
Letter Agreement is hereby app oved, and shall be executed on
behalf of the City by the Mayo , Clerk and Director , Depart-
ment of Finance and Management Services, in substantially the
form approved, with such chang s, modifications, additions and
' deletions as shall be necessar and appropriate and approved
! by the City Attorney. Executi n by such officers of the
Depository Letter Agreement sh 11 be conclusive evidence as to
the necessity and propriety of changes and their approval by
the City Attorney. So long as Midwest Securities Trust
Company is the Depository or i or its nominee is the Holder
i an lobal Certificate the Cit shall com 1 with the
of yG , y pY
� provisions of the Depository L tter Agreement, as it may be
amended or supplemented by the City from time to time with the
agreement or consent of Midwe t Securities Trust Company.
i34 . Confirmation o Findin s. The findings made in
paragraphs 1, 2, 3 and 4 of t e Resolution Calling the Sale
are hereby confirmed.
35. Covenant with olders. Each and all of the
terms and provisions of this esolution shall be and
constitute a covenant on the art of the City to and with each
and every Holder from time to time of the bonds issued
�
hereunder .
36. Severability. If any section, paragraph or
I provision of this resolution hall be held to be invalid or
unenforceable for any reason, the invalidity or unenforce-
ability of such section, para raph or provision shall not
affect any of the remaining p ovisions of this resolution.
I
I
i
48
WHITE - C1TY CL RK
PINK - FINANC G I TY O F SA I N PA U L Council /��J
�CANARV - DEPART ENT � � V /-��3�
BI.UE - MAVOR File NO. � l
�
Council Res lution
Presented By
__. • Refer d To Committee: ---. Date
Out o Committee By Date
37 . Headings. Headings i this resolution are included
fo convenience of reference only an are not a part hereof, and
sh 1 not limit or define the meanin of any provision hereof.
COU CILMEN
Yeas Nays � Requested by Department of:
1ViC ia Finance and Mana ement Se ices
Ret [n Favor
� /
Sch 'bel Against BY
So n
Wei
Wil n ��C —� �87 Form Approved by City Attorne
Adopted b Council: Date �
Certified ss o c', Se re BY
By
Appro y Mavor: Date � � O Appro d �T Mayor ubmiss' n to Council '
By
p�� D E C 191981
�� �7- i�31
526Y
CITY OF SAINT PAUL ) CERTIFICATE OF OFFICER
) AS TO RATES, PURCHASE
COUNTY OF RAMSEY ) PRICE AND RESERVE
I, the undersigned, DO HE BY CERTIFY tnat or. the date
hereof I am the dulv qualified and acting Directort Depart�nent
of Finance and Management Serv' ces of the Cit�� of Saint Paul ,
Minnesota (the "City") , aad as such officer I�do hereby further
certifv as follows:
1. I am the officer auth rized by paragraph 1 of the
City' s resolution �dopted on D cember 3 , 1987, to accept the
bid for the sale of the City' s $8 , 000 ,000 Water Revenue Bonds ,
Series 1988A (the "Bonds" ) .
2. I have been presented affidavits showing publication
of notice of the sale of the B nds for which bids were to be
received on December 15 , 1987, in accordance with Resolution
No. 87-1607adopted by the Cit Council on November 10 , 1987,
and approved by the Mayor on ovember 12 , 1987; and I have
examined the affidavits, have found them to comply with the
provisions of Minnesota Statu es, Chapter 475, and have
aoproved them and ordered the placed on fiie in the City' s
records.
3 . The bids se* forth o Exhibit A attac:�ed hereto were
received pursuant to the Ofri ial Ter�s of Ofrering by the
Director , Department of Finan e and Management Services, at
the offices of Springsted Inc rporated at 2:00 P.M. , Central
Time, on December I5 , 1987.
4 . Afte: consultation w th t�e City�' s financial
cor_sultant, I de*er:ni�ed no� o rejzc� a11 b_ds . I have
found, determinec and declare that the bid of '?lunt E'lis �
Loewi, Inc. , attached here o as Exhibit B, is the most
favcrabie bid rece�ved, and h ve accepted suc^ bid and awarded
t�z Bonds to such bidder .
5 . I have set the inter st rates on the Bonds to be
thcse interest rates set fort in such bid. Accordingl.y, the
Bonds shall bear interest at he respe�tive rates per annum
set forth opoosite the maturi y years as follows:
„ � (L;�'�7- i �.�1
Maturit;� Year Interest Rate Maturity Year Interest Rate
1988 5.500 1996 6 . 90�
1989 5. 75 1997 7 . 00
1990 6. 00 1998 7 .10
1991 6 .10 1999 7 , 25
1992 6 . 30 2000 7 ,��
1993 6.40 2001 7 . 40
1994 6. 60 2002 7 . 50
1995 6 .75
6 . I have set the purcha e price for the Bonds to be
that purchase price set forth in such bid, being $7 , 875 ,175. 50 ,
plus accrued interest to settl ment.
7. I have determined that the amount necessar� to fund
the Reserve Account to the amo nt required by paragraph 18 (d)
of said December 3 , 1987, resolution is $ 1,845 ,925 , and,
taking into account amounts already therein and $800,000 of
the proceeds of the Bonds to b placed therein, will require
the Board of Water Commissioners of the City to deposit
$77, 675 from other moneys of such Board.
IN WITNESS WHEREOF, I ha e set my hand this 15th day of
December, 1987.
�
r
�r
Attachments:
Exhibit A: Bid Tabulatio
Exhibit B: Copy of Accep ed Bid
� ' • .
Interest Net Interest
Bidder Rates Price Cost & Rate
MERRILL LY CH CAPITAL 5.5096 1988 $7,848,000.00 $5,521 ,519.80
MARKETS 5.7596 I 989 (7.465796)
DAIN BOSW TH INCORPORATED 6.00% 1990
CRONIN & MPANY, 6.20% 1991
INCORPO ATED 6.4096 1992
MILLER SE RITIES, INCORPORATED 6.60�6 1993
KIDDER, PE BODY & COMPANY, 6.709b 1994
INCORPO ATED 6.8096 199
Allison-Willi ms Company 6.9096 199
-In Associati n With - 7.0096 199
PIPER, JAF RAY & HOPWOOD 7.2096 199
INCORPO ATED 7.40°X� 199
PaineWebbe Incorporated 7.60°J�6 200
7.70°,� 200 -2002
---------- --------------------------------------- --------------------------------------
REOFFERING SCHEDULE OF HE PURCHASER
Rate Year Y ield
5.5096 I 988 Par
5.7596 I 989 Par
6.0096 I 990 Par
6.10% 1991 6.15%
6.30% I 992 Par �
6.4096 I 993 6.4596
6.6096 1994 Par
6.7596 � 1995 Par
6.90% I 996 Par
7.00% I 997 Par
7.1096 I 998 Par
7.2596 I 999 Par
7.2596 2000 7.4096
7.40% 200 I 7.50%
7.5096 2002 7.6096
BBI: 8.10
Average Maturity: 9.24 Years
•- SPRINGSTED , �
' �' k7- 1731
` ' Exhibit A '
,, PuDl:c F ra��:�� �._r .
25 i ^ r�- ^� 5�r .� �, �, ��,i.-,
�� �ndi&��p01�S 'r0�ara-•��; _
a,�����.�a536
$8��,�
CITY OF SAINT PAUL, MIIV�SOTA
WATER REVENUE BONDS, SERIES 1988A
AWARD: BLUNT, ELLIS 8� LOEWI, INCORPORATED
CLAYTON BROWN 8� ASSOCIATES, INCORPORATED
GRIfFIN,KtJBIK, STEPI-ENS 8� TI�iOMPSON, INC.
SALE: Dec�ber I5, 1987 Moody's Rating: Aa
S $ P Rating: AA
Interest Net Interest
Bidder Rates Price Cost & Rate
BLUNT, ELLIS & LOEWI, 5.509'0 1988 $7,875, 175.50 $5,369,446.37
INCORPORATED 5.75% 1989 (7.260097%)
CLAYTON BROWN & ASSOCIATES, 6.009b 1990
INCORPORATED 6. 10% 1991
GRIFFIN, KUBIK, STEPHENS & 6.3096 1992
THOMPSON, INCORPORATED 6.40% 1993
6.60% 1994
6.7596 1995 �
6.90% 1996
7.00� 1997
� 7. 1096 1998
7.259b 1999-2000
7.4090 2001
7.509� 2002
SHEARSON LEHMAN BROTHERS, 5.5096 1988 $7,873,094.06 $5,437,266.36
INC. 5.75% 1989 (7.3517�)
PRUDENTIAL-BACHE SECURITIES 6.009b 1990
INCORPORATED 6.2096 I 991
SMITH BARNEY, HARRIS UPHAM 6.40% 1992
& COMPANY 6.6096 1993
DEAN WITTER REYNOLDS . 6.75% 1994
INCORPORATED 6.90% 1995
7.0096 1996
7. 10� 1997
7.2096 1998
7.30°16 1999
7.40% 2000
7.50% 2001-2002
(Continued)
' � Exhib t B �"d'7- �7��
�F CIAL BID FORM
TO: Eugene A. Schiiler, Director SALE DATE: December 15, 1987
Department of Finance and Management S rvices
365 City Hall
Saint Paul, Minnesota SS 102
(612) 298-4637
RE: $8,000,000 Water Revenue Bonds, Series I9 8A
For the Bonds of this Issue which shall mature a bear interest at the respective annual rates,
as Ilow, we offer a price of $ 4�5 f 75 50 (Note: This amount may not be less than
$7, 8,000) and accrued interest o the ate o delivery. We understand as a condition of
clo ng, the Global Certificates are required t be deposited with Midwest Securities Trust
Co pany.
SQ 9'o I°88 , 3C °�o I 992 �9'o I 996 � �,� % 2000
, 7� % I 989 �0. �) 9'o I 993 7. Cf7` 9'o I 997 7. �a 96 200I
. db % I 990 �. (9� 9'o I 994 7. � 0 9'o I 998 �,�r- _� 2002
. 1� % I 991 �. 75 96 1995 7 � 9'o I 999
In aking this offer we accept all of the terms a conditions of the Official Terms of Offering
pub ished in the Official Statement dated Dece ber I, 1987. In the event of failure to deliver
the e Bonds in accordance with the Official erms of Offering as printed in the Official
Sta ement and made a part hereof, we reserve he right to withdraw our offer, whereupon the
dep sit accompanying it will be immediately r turned. AII blank spoces of this offer are
int tional and are not to be construed as an omi ion.
No ! as a part of our offer, the above quoted pric s being controlling, but only as an aid for the
ver fication of the offer, we have made the follo ing computations:
NE INTEREST COST: $ .3(� ��, �7
NE EFFECTIVE RATE: 7• o?I CT��7 °�o
Ac ount Members
lunt �,Ilis & Loewi, Inc. ��n�
� R� ,ant E� i is &?�c��wi, Zn�
layton Brown & Associates, Inc. /✓1��,� Account Manoger
riffin, Kubik, Stephens & Thomps n, Iric. " �
BY: ���/� � ����—
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Michael. F. Gagno�''. . . . . . . . .
. . . . . . . . . . . . . . . .
Th foregoing offer is hereby accepted by the Iss er on the date of the ofifer by its following
off�cers duly authorized and empowered to make uch acceptance.
. r
Eugene A. Sch Iler, Director
Department of Finance a d Management Services
Received good faith ch k for return to bidder.
SPRINGSTED Incor orated
. ' ' I �`,r c�7` � 7.3%
turit✓ Year Interest Rate M turit Year Interest Rat�
1988 5.50% 1996 6.90�
1989 5. 75 1997 7. 00
� 1990 6 . 00 I998 7 .10
1991 6.10 � 1999 ? .25
1992 6 . 30 2000 7 ,�5
1993 6. a0 2001 7.40
� 1994 6. 60 2002 7.50
1995 6 .75
6 . I have set the purchase rice for the Bonds to be
hat purchase price set forth in uch bid, being $7 ,875 ,175.50,
lus accrued interest to settleme t.
7. I have determined that t e amount necessar� to fund
he Reserve Account to the amount required by paragragh 18(d)
f said December 3, 1987, resolut ' on is S I ,84� ,925 , and,
aking into account amounts alrea y therein and $800, 000 of
he proceeds of the Bonds to be p aced therein, will reguire
he Board of Water Commissioners f the City to deposit
77, 67� from other moneys of such Board.
IN WITNESS WHEREOF, I have s t my hand this 16th day of
ecember, 1987.
. i > �
i , ` ,
��� �, C
d .
I
Attachments:
Exhibit A: Bid Tabulation •
�xhibit B: Copy of Accegted Bid
�
- __..
,, , . _ rv.nw_ _ ............�.._.....—
'• SPRINGSTED
� � G
' Exhi it A a 7— �731
� .. : _
� . . . .. _ .
�
Ss,000
CITY OF SAINT PA L, M1�SOTA �
WATER REVENUE S, SERIES 1988A
� . _
AW BLUNT, ELLIS 8� LOEW , INCORPORATED
CLAYTON BROWN 8� AS50C ATES, INCORPORATED
GRIFFIN, KUBIK, STEPh� 8� THOMPSON, INC. -
' .
SALE: December I , I987 Moodp's Ratingz AQ
S 8� P Rati�x}: AQ
Int rest Net Interest
Bidder Ra es Price Cost & Rate
BLUNT, LLIS & LOEWI, 5.50� 1988 $7,875, 175.50 $5,369,44b.37
INCO ORATED 5.75� 989 (7.26009796)
CLAYT BROWN & ASSOCIATES,. 6.00°6 990
INCO ORATED 6. 1096 991
GRiFFIN KUBIK, STEPHENS & 6.309b 992
THOM SON, INCORPORATED 6.40% 993
' 6.6090 994
6.75� 995 '
6.909b 1996
7.009b 1997
� 7. I 0°�'o I 998
7.259b 1999-2000
7.4096 2 01
7.5096 2 02
SHEARS LEHMAN BROTHERS, 5.50°�'o I 88 $7,873,094.06 $5,437,266.36
INC. _ 5.75% I 89 {7.351790)
PRUDEN AL-BACHE SECURITIES 6.0096 I 90
INCOR RATED 6.2090 I 91
SMITH BA NEI�, HARRIS UPHAM 6.449b ( 92
& COM NY 6.6096 I 93
DEAN WI ER REYNOLDS 6.7596 1 94
INCORP RATED� 6.90% I 95
7.00% I 96
7. I090 I 97
� 7.2090 I 8
7.30� 19 9
7.409'0 20 0
: 7.SOgb 20 I-2002
. (Continued)
_., ..
� ` � � ` ,..
interest Net Interest
Bidder ftates Price Cost 8� Rate
MERRILL LYNCH CAPITAL 5.50°Yo 1988 $7,848,000.00 $5,521 ,519.80
MARKETS 5.75% 1989 (7.465796)
DAlN BOSWORTH INCORPORATED 6.00% 1990
CRONIN & COMPANY, 6.209� 1991
INGORPORATED 6.4090 1992
MILLER SECUR(TIES, INCORPORATED 6.6�% 1993
KIDDER, PEABODY & COMPANY, 6.70°�'0 1994
INCORPORATED 6.809'0 1995
Allison-Williams Company .� 6.9090 1996�
-In Association With - 7.0096 1997
PIPER, JAFFRAY & HOPWOOD 7.2096 1998
INCORPORATED 7.4096 1999 -
PaineWebber incorporated 7.6090 2000
7.709b 2001-2002
-----------------------------------------------------------------------------------------
REOFFERING SCHEDULE OF THE PURCHASER
Rate Year Yield
5.5096 1988 Par
5.75% 1989 Par
6.009'0 1990 Pnr
6.I 096 I 99 I 6.I 59'0
6.30% 1992 Par - .
6.4096 1993 6.45%
6.60�'o I 994 Par
6.759b � 1995 Par �
6.9096 1996 Par
7.0096 I 997 Par
7.1090 1998 Par
7.259b 1999 Pac �
7.2596 2000 7.409b
7.4096 2001 7.5Q96
7.5096 2002 7.609b
� BBi: s.�a
Average Mnturity.:- 9.24-Years
, ' � • Exhibi E ��k7— /73/
_ OFF! IAL BiD FORM �
TO: Eugene A. Schiiler, Director SALE DATE: December I5, 1987
Department of Finance and Management Ser ices
365 City Hall
Saint Paul, Minnesota 55102
612) 2°8-4637
RE: �$8,000,000 Water Revenue Bonds, Series 1988A \
For th Bonds of this Issue which shali mature and ear interest at the respective annuot rates,
as fol i w, we of fer a price of $ � 4 7 5 f 7 5• 0 (Note: This amount may not be less than
$7,84$ 00) and accrued interest fo the date of elivery. We vnderstand as a condition af
closing the Global Certificates are required to e deposited with Midwest Securities Trust
Compn y. �
5 , °,'o I,°88 , 3C °'0 1992 , r7'�i °1'0 1996 � �� °'0 2�00
5. 5 % I 989 �o. �) °,�o I 993 7. (f7` °,'o I 997 �. [,��? % 200 f
�9• °,� I°90 /, (9 Q °,'o I 994 7, �D °,''o l 998 _,7� (� 9'0 2002
�p•. � 9'o I 99 I �o. �5 °,�o I 995 7 � % t 999
Im m�ki g this offer we accept all of the terms and onditions of the Officinl Terms of Offering
publish in the Official Stotement dated Decembe l, 1987. In the event of faiture to deliver
these oncis in accordance with the Official Ter s of Offering as printed in the Officinl
Statem nt and made a part hereof, we reserve the ight to withdraw our offer, whereupon the
deposit Qccompanying it will be immediately retu ned. All blunk spoces of this offer are
intenti al and are not to be construed as an omissio .
Not as part of our offer, the above quoted prices eing controlling, but only as an aid for the
verifie ion of the offer, we have made the following computotions:
NET IN EREST COST: $ ?(� c,L/ , 3
,
NET EF ECTiVE RATE: 7• �?%CZ��17 °,''o
Accoun ;�lemders
�
Blu t �,ilis & Loewi, Ir_c. r� -
� Li �'1.I ��,� T.�+.�±�.r" i� � S oG w��t�.: Tn��. .
C1� ton Brown & Associates, Ir_c. /�;; ��,,� Acco�nt Manager
Gri rin, Kubik, Stephens & Thomps n, Iric. ' �
I, BY: ,G�� , � ���-'
Michael. F . Gagno�fi
. . . . . . . . . . . . . . . . . . . . . . . . . . .
The for oing offer is hereby accepted by the Issuer�o �the date of the ofifer by its following
o�ficers uly authorized and empowered to make such acceptance.
• r
Eugene A. Schiller, Director
Department of Finance and M nagement Services
Received good faith check fo return to bidder.
SPRINGSTED lncorporot .
_ �?� �l--���/
: ,,,� o,,,�..,d„� �►,� �
T!D
, -
� Finance/1� . Services-Trea ury Div. 12/�f87 ` ; �����Y���� �NO• ������
� �wn�wxr a�p�cron . _ w�rw+��on as�srivtr?
GaL No r s t r �°p s��omECroa' I cm cx�wc
�ER FOR . mE — .
�+or�No. � Er o�croA
an,ce/ .. Serv. . '
T�eaBUr � isi�n 292--7,Ol b ,, °n°Ea:. ��r = .
Resolution rovidiag for 'the acceptance of t�id on e sale of $8,Ofl0,000 Water Revenue Bonds,,
Series 198 , and providing for their issuance. .
f�q«�i�) ��s�npt .
v�a+�4 crvn.e�v�oowssaN o�t�n� oe� �rer A+owe ea:
aoNalci reD eas sCwOO�eo�r�n . '
� �.��aTAfF ' . . � - �qTER CAMMM8810N . � . COMPLETEJ1313 ADDi MifO.ADDED'� . .- �A�T . -_.�ITA� . :.
•
°�sT"'cr �_ Bond o tns 1 .ocPUw�rw�: _
s��enams w�rai oa�crrvE� � '
INItM7r10 Ml1R,ClR01171NMiY(Who.vVMd.When,vN�ere.vVhy): _ `
Water Uti ty Bond Issue Sale is scheduled for De ember 15, 1987, and the aw�rd to the low bidder
must ba a ed upon within twenty-four hours of sa e in order to achieve market interest rate.
'Fiye affi ative Council vdtes are required to ac ept' the most £avorable..bid. Scheduling prevent�
this .fr�n ccurring within a resonable.time aEter the bid opening. An aZtern�t3ve authorized by
state sta ute allows the Council to designate a C ty official to determine the �o�t favorable
bid and ke the award. �
: ,�inenmM �w.�r.o..,we�,�st: -
_ , .;.
Issuance f the bands c�rries out the Water LTtil y Capital I�provement Program.
` wh.n,a�w'�►wnea�:: _ , , :. _
The fail re of th�.s resolution would require a r scheduling af the issue at a later date
thereby posing additional cqsts and delays. -
K�w�n� � .: ; w�o� ;.: �o�s '.
To e de.termined. -
�raRr .
'Phis is" t�e first time that th3.s manner,..of acce ting.a bid ha.s. been done in Saint Paul
. to the.: est� of our knowledge. �
. : _ .
.-.
��rzu.
These . ve been addresaed by Bond GSaunsel and t e City Attorney. _ ' � ` �
. /y1l��7'`� : �:'�",� ,�r�
. � �� /� � J�'�����w/�. �<J�
G�GO�/�Dr.Cs .
�
, .. . . . . _
, .
C � . „ � . .�_ . . .
;�: " wwrr t'wnm�+nu.s.
Prev�.ous Water Revenue Bond Issues ligve- �i�en�: rated AA,. and this issue. is expected to be
similarly rated. ' -.
sT/ucE�0�0�B c�U .. 'w ; : voarraN c+,-.br --� ,r vwu:.�s,�rz�rnv� a►na+�g�s�.�.�M.r�Mp.+�aT _
No known opposition.
FINA�IICIAL IMPACT ,; .rwsr r�us ts�o.w __ ,r�w riorES,
The impact is on'the
o�w►n�eunc�ET. . Water Utility, and
r+tv��s Ga�R�rEO ...............:..............._.............................. , : .. . th� Board of Water �
�ses; Commissioners recom-
sa�iF�e�n�.............................................:.......... _. _ _ meads the sale of �
�w�+.....................::......:................................................ � the bonds. ;
_ supplies..:........:.......... ........:. .................
,. . . ,.. ,.
Contrects for Servioe _
OlF�er _ _ .
PROFIT(LOSS) .................. _
FlqIDING SOURCE FOR ANY LDSS(Nama end Amou�rt)
CAPRAL IMPROVEMENT BUDOET: _ .
DE81liNCOSTS................................................................................ i
_ AW{N$iSIQN COS'FS...............:.....................................................
COt1STRlICTION COSTS ........................................... : . ;
_ . _ :
rora�........................:.............................. ......... ......... .........
sou�oF�uaobnci cn�ame�a a�o�ni .
a�ncr oN Buoo�:
A#I�UNT CURRENTLY BUDOETED................. '
_, :; � ..c;;
AMGUNT MI EXCESS CF CURRENT 9UDOE7
SOURCE OF AMOUNT OVER BUDOET........................................ A
PfiOPERTY TAXES GEII�RA7'ED-(�OST) .........
IMPLEMENTATION RESPOtI81BILJTY: •
. DEPTiOFFICE DIVISION �� � � FUND TITLE � . .
Water_Department Admiaistration Water_Operating Revenue '.
BUU(3ET ACTIVIIY NUt�ER&TITLE . . � � � .. . , ACT�VITV MANA(iER . � -� . . .. _ ' ..
850-28000 Thomas Mo ren
How a�o��wu.�eE r�uaeor;
PR08RAM 08JEC71VE$; ' PR06RAM 1l�ICATORS 15f YR. 2ND YR.
;
EVALUATION RESPOlISIBILfT1f:
.. PERS�1 � . DEPT.. PHONE�NO. .... � � HEPOR�T TO GO[lMGN.OF � DATE � ��.
fIRST QtJARTERLY
���1731
�ance/Mgmt. ervices-Treasury Div. 12/2/87 �� GREEN SHEET NO. Q QQ 87
cotR�cr v��t o� aAecroA 3 w�r��on�ss�sr,wn
Garq Norstrem ��� 1 a�+*�� «nc�
inance/Mgm t. erv. � RO�N° � °�fOR _
Treasur �ivi on 292-7016 °�' 2 cm�
CT/DESCRIPTION F PROJECT/REGUEST:
Resolution pr iding for the acceptance of bid on the ale of $8,000,000 Water Revenue Bonds,
Series 1988A, nd providing for their issuance.
pH�AIMiIENDAT101/S:( (�)a R�j�et(p)1 c�Ul�RESEARCN NEI+Oi1T:
PIAMINIO CCAM�SION CML S�ODAAMSSION OATE MI DATE Oui ANALYST PMON6 NO.
n01tle10 C�SION �8D O7d SCl100�BOAWO
�STAFR CMAN'1ER CWMA�SION COMPI.ETE AS IS AOOi INFO.AOD�* RETV TO CONiACT f�lISiRUENr
� �,_FOR AOD�.WP+D.* _REEDBACK AOOW•
01$TR1��'� �_ Band CeLnapl +���
auw�oarsv�+couNCa
NTIA71110 PilOBL,EM. OPPORTUlMTY(1Mw.Whtl.When.VVh�n.Why):
Water Utilit Bond Issue Sale is scheduled for Decemb r 15, 1987, and the award to the low bidde:
must be acte upon within twenty-four hours of sale order to achieve market interest rate.
Five affirma ve Council votes are requ.ired to accept the most favorable bid. Scheduling preven
this from oc rriag within a resonable time after th bid opening. An altemative authorized by
state statut allows the Council to designate a City fficial to determine the most favorable
bid and make he award.
.a�c�noN t �ar.�.a«.n.wn.r.
Issuance of he boads carries out the Water Utility apital Improvememt Program.
CON�UQICES(VYhst, and To YVlwm►:
The failure f this resolution would require a resch duling of the issue at a later date
thereby impo ing additional costs and delays.
�u.re�rnES: vnos coNs
To be termined.
�nstoRrro�ceo�rs
This is the first time that this manner of acceptin a bid has been done in Saint Paul
to the best of our knowledge.
�issuffs:
These have een address by Bond Counsel and t e C ty Attorn y. � /
-.
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�ro� �