86-465 WHITE -yE1TV CLERK
PINK - FINANCE G I TY O F SA I NT PA U L Coun il ///ffJ/
CANARV - DE7ARTMENT �//� �,��
BLUE - MAYOR File NO• OCF�
ouncil Resolution
Presented By
Referred To Committee: Date
Out of Committee By Date
' PROVIDING FOR PUBLIC SALE OF
$2,400,000 GENERAL OBLIGATION STREET IMPRO MENT
SPECIAL ASSESSMENT BONDS, SERIES 198
BE IT RESOLVED by the City Council of the Ci y of Saint
Paul, Minnesota, as follows:
1 . It is hereby found, determined and decla ed that this
City should issue $2,400,000 General Obligation S reet Improve-
ment Special Assessment Bonds, Series 1986, to de ray the
expense of the construction of various street imp ovements in
the City.
2. This Council shall meet at the time and lace
specified in the form of notice attached hereto f r the purpose
of opening and considering sealed bids for, and a arding the
sale of, said bonds.
3. The Director, Department of Finance and anagement
Services, is hereby authorized and directed to ca se the terms
and conditions of said bonds and notice of the sa e thereof, as
fully set forth in the "Official Terms of Offerin " attached
hereto as Exhibit A and incorporated herein by re erence, to be
published in the official newspaper of the City a d in
Commercial West not less than ten days in advance of the date
of sale, as provided by law.
COUNC[LMEN Requested by Department f:
Yeas Drew Nays �
�� Finance & Manage nt Services
Rettman [n Favor
� � �
Sonnen __ AgainSt BY `
Tedesco
Wilson
Adopted by Council: Date APR 15 1986 Fo�m ApP�o�ea b City A tor ey
i
Certified P s•e Counc� c BY
By
Appro by Vlavor. a _ APR � 1 �8� Approv d Mayor r S 'on to Council
�
sy —
PUBI(SHED �+�'R 2 6 198�
� � • xhibit A �o� r���
OFFICIAL TERMS OF OFFERING
$2,400,000
CITY OF SAINT PAUL, MINPESOTA
GEPERAL QBLIGATION STREET IMPROVEMENT SPECIAL ASSESSMEN BONDS, SERIES I986
(Global Book Entry System)
TF-E SALE
Sealed bids for the Bonds will be opened by Eugene Schiller, Director of inance and Management
Services on Tuesday, May 13, 1986, at I I :00 A.M., Central Time, at th offices of SPRINGSTED
Incorporated, Financial Advisor to the City, 85 East Seventh Place, Suite I 0, Saint Paul, Minnesota
55101-2143 (612/223-3000). Consideration for award of the Bonds will b by the City Council at
12:00 Noon, Central Time, of the same day.
TF-E BONDS
Details of. the Bonds. The Bonds will be issued using a Global Book E ry System. One Global
Certificate representing the aggregate principal amount of the Bonds m turing in each year (the
"Global Certificates") will be issued and fully registered as to principal a interest in the name of
Kray & Co. as nominee of the Midwest Securities Trust Company (the "De ository"), a Securities and
Exchange Commission (the "SEC") registered depository and an (llinois limit purpose trust company.
The Bonds will be dated June I, 1986 and will bear interest payable on F bruary I and August I of
each year, commencing February I, 1987. The Bonds will mature Febru ry I in the amounts and
years as follows:
$I 20,000 I 988-2007
Optia�al Redemption. The City may elect on February I, 1997, and on ny interest payment date
thereafter to prepay Bonds due on or after February I, 1998. Redemption may be in whole or in part
of the Bonds subject to prepayment. If redemption is in part, those Bon s remaining unpaid which
have the latest maturity date will be prepaid first. If a maturity is prepai only in part, prepayments
will be in increments of $5,000 of principal. All such prepayments shall be at a price of par plus
accrued interest.
Mandatory Redemption. In �the event that pursuant to federal laws a d regulations the City is
required to use unexpended Bond proceeds for early redemption of B nds in order to continue
exemption of the interest on the Bonds from federal income taxation the City shall use such
unexpended Bond proceeds to redeem Bonds on any date after notice is gi n pursuant to law: Those
Bonds remaining unpaid which have the latest maturity date will be pre id first. If a maturity is
prepaid only in part, prepayments will be in increments of $5,000 of prin ipal. All such mandatory
prepayments shall be at a price of 102% of par, plus accrued interest.
Security and Purpose. The l3onds will be general obligations of the City to which the City will pledge
special assessments against benefited property. In addition the City wi I pledge its full faith and
credit and power to levy direct general ad valorem taxes. The procee s will be used to finance
street improvements within the City.
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GLOBAL BOOK ENTRY SYSTEM
Ownership of the Bonds Purchases of Bonds by investors may be made t rough banks, brokers or
dealers who are, or act through, participants (the "Participants") of th Depository, other SEC
registered depositories and clearing corporations, who collectively compris the National Clearance
and Settlement System (the "National System").
The ownership of the Bonds will be shown on, and transfer of ownership ill be effected through,
records maintained by the Depository. The responsibility for maintaining, eviewing and supervising
such records rests collectively with the specific Participants and the rele nt units of the National
System through whom the investors purchase or maintain the custody of the onds.
Individual purchases of the Bonds may be in the amount of $5,000 or any m Itiple thereof of a single
maturity, through book entries made on the books and records of the Nation I System.
The National Clearance and Settlement System. Under #he National learance and Settlement
System established pursuant to Section 17A of the Securities Exchange ct of 1934 (the "Act"),
broker-dealers and banks may immobilize and safekeep securities certifi ates in depositories and
process and settle securities transactions by computerized book entry. T e National System links
broker-deaters, banks, registered depositories and clearing corporation , and is regulated and
supervised by the SEC in accordance with the Act.
Payme�ts to Bondowners. Payment of principal of and interest on the Bond will be made by the City
to the Depository through its nominee Kray & Co., the registered owner o the Global Certificates.
The Depository will credit payments on the Bonds to the Participants, as li ted on the records of the
Depository on the fifteenth calendar day preceding each interest paymen date. Transfer of such
payments to the Participants is the responsibility of the Depository. Tra fer of such payments by
the Participants is the responsibility of the Participants. Bondowners ill receive interest and
principal payments through their bank, broker or dealer nominees. Th bank, broker or dealer
nominees, if not Participants, will receive payments from Participants or others who received
payments directly or indirectly from Participants.
Replacement 8onds. In the event that (I) the Depository discontinues servi ing the Bonds or the City
determines that the Depository is incapable of discharging its duties, and i the City fails to identify
a qualified replacement depository, or (2) the City determines that the i terest of the bondowners
might be adversely affected if the Global Book Entry System is continue or that it is in the best
interest of the beneficial owners of the Bonds that they be able to obtain c rtificated Bonds, the City
may authenticate and deliver replacement bonds in the form of fully regi tered certificated Bonds,
which would be available for distribution to bondowners or their nominees.
Global Certificates. As part of the Global Book Entry System, the City's B ds are authorized only in
the denomination of the entire outstanding principal amount of a giv n maturity and are not
exchangeable for bonds of smaller denominations, unless replacement bon s are authorized as noted
above. The City (or any successor registrar) will register on the registratio books maintained for the
Global Certificates any transfer requested by the registered owner. Initi Ily, the owner registered
on the City's registration books will be Kray & Co. Despite the larger auth rized denomination of the
City's Global Certificates, the Depository will recognize and enter on ts books in the National
System interests in $5,000 denominations in each Global Certificate.
TERMS OF SALE
Minimum Bid �d Good Faith Deposit. A sealed bid for not less than $2,35 ,760 and accrued interest
on the total principal amount of the Bonds shall be filed with the undersign d prior to the time set for
the opening of bids. Also prior to the time set for bid opening, a certifie or cashier's check in the
amount of $25,000, payable to the order of the City, shall have been fil with the undersigned or
SPRINGSTED Incorporated, the City's Financial Advisor. No bid will be onsidered for which said
� � . � �F�-��
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check has not been filed. The check of the Purchaser will be retained y the City as liquidated
damages in the event the Purchaser fails to comply with the accepted bid. The City will deposit the
check of the Purchaser, the amount of which will be deducted at sett ement. No bid shall be
withdrawn after the time set for opening bids, unless the meeting of the City scheduled for
consideration of the bids is adjourned, recessed, or continued to another ate without award of the
Bonds having been made.
Type of Bid. No rate for any maturity shall be more than I.5°Xo lower tha any prior rate. Bonds of
the same maturity shall bear a single rate from the date of the Bonds to the date of maturity. No bid
may be conditioned upon award of any other offering of obligations by the C ty.
AWARD
The Bonds will be awarded to the Bidder offering the lowest dollar interest cost to be determined by
the deduction of the premium, if any, from, or the addition of any amount ess than par, to, the total
dollar interest on the Bonds from their date to their final schedule maturity. The City's
computation of the total net dollar interest cost of each bid, in accordanc with customary practice�,
will be controlling.
The City will reserve the right to: (i) waive non-substantive informalities of any bid or of matters
relating to the receipt of bids and award of the Bonds, (ii) reject all bid without cause, and, (iii)
reject any bid which the City determines to have failed to comply with the rms herein.
SETTLEMENT AND DELIVERY
Delivery, Payment and Ownership of the Bonds. Within 40 days following the date of award of the
Bonds, the Global Certificates will be delivered without cost to the Purc aser at a place mutually
satisfactory to the City and the Purchaser. On the date of�settlement paym nt for the Bonds shal I be
made in federal, or equivalent, funds which shall be received at the offices f the City or its designee
not later than I :00 P.M., Centra) Time of the day of settlement. Excep as compliance with the
terms of payment for the Bonds shall have been made impossible by action of the City or its agents,
the Purchaser shall be liable to the City for any loss suffered by the City by reason of the Purchaser's
non-compliance with said terms for payment. The successful bidder, as a c ndition of delivery of the
Bonds, shall be required to deposit the Global Certificates with the Depos tory, which shall deposit
the Global Certificates at the main office of the Fourth U.S. Federal eserve District Bank for
saf ekeep i ng.
Legal Opinion and Transcript. Delivery of the Bonds will be subject to rece pt by the Purchaser of an
approving legal opinion of Briggs and Morgan, Professional Association, of S int Paul and �Ylinneapolis,
Minnesota, which opinion will be attached to the Global Certificates, nd of customary closing
papers, including a no-litigation certificate. At settlement the Purchase will be furnished with a
certificate signed by appropriate officers of the City to the effect that t e Official Statement did
not as of the date of the Official Statement, and does not as of the date settlement, contain any
untrue statement of a material fact or omit to state a material fact nece ary in order to make the
statements therein, in light of the circumstances under which they were ma e, not misleading.
OFFICIAL STATEMENT
Underwriters may obtain a copy of the Official Statement by request to th City's Financial Advisor
prior to the bid opening. The Purchaser will be provided with 50 copies of t e Official Statement.
Dated April I S, 1986 BY ORDE OF THE CITY COUNCIL
/s/ Eugene Schiller _
Director, Department of Finance and Management Services
Finance & Mar.agement Services DEPARTMENT ��� No 3463
.
Gary Norstrem CONTACT
292-7038 �PHONE
April 9, 1986 DATE �e�� �'�
�
ASSIGN NUMBER FOR ROUTING ORDER (Clip All Locations for Signature) : f�A1`ut�'S pFF
Department Director 3 Director of nagement/Mayo�E
2 Finance and Management Services Director � City Clerk
Budget Director 4 shirle nav
1 City Attorney
WHAT WILL BE ACHIEVED BY TAKING ACTION ON THE ATTACHED MATERIALS? (Purpo /
Ratio le) •
a.�c.a.a�st.a�ea�, �
1. Determines the amount of bonds to be sold t-e-fie�r�t *�� �� �����h construction of
various street improvements in the City.
2. Sets the date and time of the sale and defines the "Official Terms of the Offering".
3. Provides authority for the publication of the notice of the sale.
4. Adopts the "Official Terms of the Offering" of the Issue.
COST/BENEFIT, BUDGETARY AND PERSONNEL IMPACTS ANTICIPATED:
The bonds will be general obligations of the City for which the City wi 1 pledge its
full faith and credit and power to levy direct general � �a.lorem taxes In
addition the City will pledge special assessments against benefitted pr perty.
FINANCING SOURCE AND BUDGET ACTIVITY NUMBER CHARGED OR CREDITED: (Mayor' signa-
ture n t re-
Total Amount of Transaction: quired if under
$10,00 )
Funding Source:
Activity Number:
ATTACHMENTS (List and Number All Attachments) :
1. Council Resolution: $2,400,000 General Obligation Street�Spe ial As essment
Bonds, Series 1986
DEPARTMENT REVIEW CITY ATTORNEY RE IEW
Yes No Council Resolution Required? Resolution Requi ed? Yes No
Yes No Insurance Required? Insurance Suffic ent? Yes No
Yes No Insurance Attached:
(SEE REVERSE SIDE FOR INSTRUCTIONS)
Revised 12/84
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. .......,r,F, �� CITY OF SAINT PAUL �`� �(n����
�"'� �£ OFFIC� OF TRE CITY COIIYCIL
: :ut �;t.�r
Cammittee Report '
F':i�.an�e l�ana ement & Persannel Com ttee. � �
I�.ARCH 28, 1986
l. Approval of nainutes from meeting held March 21, 1986. a oved
2. Resolution approving an agreement between the city and Ramsey County whereby
they agree to cooperate in participation with Twin City Urban rea Corps
Programs. annroved -
�
3. Resolution authorizing an agreement with the city and Minneap lis whereby they �
agree to cooperate in participation with the Twin City Area U ban Corps
Program. approved � ' � �
4. Resolution authorizing contract with United States General Se ices Administration
whereby the City's Department of Fire and Safety Services wil provide fire-
fighting services to the Bishop Henry Whipple Federal Buildin and Motor Pool
at Fort Snelling. apvroved '
5. Resolution authorizing a 3-year lease agreement between the c'ty and Millstreet
_ .__
- - Investments for Buildings -"B" and "D" (part of the Hi3�--St�ee Municipal -- -
Warehouse, aka West Publishing Warehouse Complex) . a rove
6. Resolution approving guidelines and removing the special cont ngency status of
the Community Services Capital Maintenance Fund. laid over t 4 3
x7. Resolution amending the 1986 Capital Improvement Budget to re lect CSS
Financing. approve�_
� 8. Resolution calling for the sale of 1986 General Obligation Ca ital Improvement
Bonds. approved
� 9. Resolution calling for the sale of 1986 General Obligation Sp cial Assessment
street paving bonds. approved
�
�( 10. Resolution calling for the sale of 1986 General Obligation ur an renewal fi�
bonds. taithdrawn
11. An ordinance anending Chapter 369, Section 369.04, Subd. S, o the Legislative
Code pertaining to reciprocal Building Trade Business License laid over indef.
12. An ordinance amending Chapter 370, Section 370.05, Subd. 3, o the Legislative
Code pertaining to the examination fee for a Master Certifica e of
Occupancy. laid over indef.
13. An ordinance amending Chapter 370, Section 370.15, Subd. 3, o the Legislative
Code pertaining to reciprocal Certificates of Competency. 1 id over indef.
CTTY HAI-I- SEVENTH FLOOR S PAUL,MINNESOTA 55102
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