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86-466 � WMITE - CITV� �'_ERK PINK - FINAh�E GITY OF SAINT PALTL Coun il / CANARV - DEPARTMENT File NO• �`� `�T � Bli1E - R`11vOR ` Council Resolution � Presented By Referred To Committee: Date Out of Committee By Dat PROVIDING FOR PUBLIC SALE OF $10,700,000 GENERAI� OBLIGATION CAPITAL IMPROVEMENT BONDS, SERIES 1986 BE IT RESOLVED by the City Council of the ity of Saint Paul, Minnesota (the "City" ) , that pursuant to the provisions of Laws of Minnesota 1971, Chapter 773, amended by Laws of Minnesota 1974, �hapter 351, Laws of Mi sota 1976, Chapter 234, Laws of Minnesota 1978, Chapter 788, L s of Minnesota 1981, CYiapter 369, and Laws of Minnesota 1 83, Chapter 302 (said Laws being collectively referred herein as the "CIB Laws") , and pursuant to applicable Ordinan s and provisions of the City' s Legislative Code, there is ereby authorized and there shall be issued and sold gener 1 obligation bonds of the City in the aggregate princ' al amount of Ten Million Seven Hundred Thousand Dollars ($10, 00,000.00) for the purpose of procurement by the City of funds in said amount to be used by the City exclusively for the a quisition, construction and repair of capital improvements of he City authorized in the Capital Improvement Budget of the City for the year 1986, provided that the proceeds of such b nds shall be expended only upon projects which have been revi wed and have received a priority rating from the capital im rovements committee designated pursuant to Laws of 1978, Chap er 788, Section 2, as amended; and, be it FURTHER RESOLVED, that the bonds authoriz d above shall be designated "General Obligation Capital Imp ovement Bonds, Series 1986. " Said bonds shall be issued in accordance with the CIB Laws and in accordance with the furthe provisions of the City Charter and Minnesota Statutes, Chapter 475, all as more fully provided in the Clzarter and CIB Laws; an , be it COUNCILMEN Requested by Department f: Yeas pfeW Nays Nicosia ln Favor Rettman Scheibel Sonnen __ Agei(lst BY Tedesco Wilson Form Approved by City At orney Adopted by Council: Date Certified Passed by Council Secretary BY B}� Approved by :Navor: Date _ Approved by Mayor for Su mission to Council BY - – — BY WMITE - C�TV CLERK PINK - FINANCE C I TY OF SA I NT PA U L Cou il GANARV — DEPARTMENT /� e�y€ —ryFrora File N�. ��+' + � Council Resolution Presented By Referred To Committee: Dat Out of Committee By Dat FURTHER RESOLVED, that sealed proposals e received in accordance with the Of�icial Tsrms•. of Offeri-r�, a �opy of v+thich has been presented to the Council and is att checl hereto. A copy of said Official Terms of Offering is hereb directed to be placed on file in the office of the City Clerk. The terms and conditions of said bonds and of the sale there f as set forth in said Official Terms of Offering are hereb approved and confirmed and are hereby adopted. The Officia Terms of Offering shall be published in the manner prescrib d by law in the St. Paul Legal Ledger, the official City newsp per, and in Commercial West; and, be it FURTHER RESOLVED, that in accordance wit the CIB Laws the City may issue up to the $10,700,000 of b nds in 1986 if such amount is not greater than one-fourth of o e percent of the assessor' s estimated market value of taxable p operty in the City and if the City' s local general obligatio debt is less than six percent of market value calculated a of December 31 of the preceding year; a�d it is therefore auth rized to issue the $10,700,000 of bonds herein proposed to e issued, since the assessor' s estimated market value is $6, 12,913,697 and one-fourth of one percent of such amount is $1 , 782,284 and the City' s local general obligation debt is $ 223 3 3 000, representing3.327$ of the market value as of Decemb r 31, 1985 (six percent would be $402,774,821) . COUNC[LMEN Requested by Department Yeas preW Nays � ' �, k'inance and Mana ement Services Rettman Itl Favo[ Seheibel � (�� Sonnen __ Against BY ti'`' "` Tedesco '� Wilson Adopted by Council: Date APR 15 1986 Form Approv y City A rney Certified P . y Coun ' Se a BY / ' Bl� Appr by Mavor: D e �R � 7 14A APProved ayor f S iss� to Council . BY - – — �UBtISNED AP R ? � 1986 . � � � _ � ��� ��� OFFICIAL TERMS OF OFFERING ; � $I 0,700,000 CITY OF SAINT PAUL, MINPESOTA GENERAL 08LIGATION CAPITAL IMPROVEMENT BONDS, RIES I 986 (Global Book E�try System) TI-E SALE Sealed bids for the Bonds will be opened by Eugene Schiiler, Director of Finance 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 100, Saint Paul, Minnesota 55101-2143 (612/223-3000). Consideration for award of the Bonds will e 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 try 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 Illinois limit purpose trust company. The Bonds will be dated June I, (986 and will bear interest payable on June I and December I of each year, commencing December I, 1986. The Bonds will mature June I in he amounts and years as fol(ows: $800,000 1987 $ 950,000 1990 $I , IS0,000 1993 $1 ,300,000 1995 $850,000 1988 $1 ,025,000 1991 $1 ,250,000 1994 $1 ,400,000 1996 $900,000 1989 $1 ,075,000 1992 Mandatory Redemption. In the event that pursuant to federal laws an regulations the City is required to use unexpended Bond proceeds for early redemption of Bo ds 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 giv n pursuant to law. Those Bonds remaining unpaid which have the latest maturity date will be prep id first. If a m�turity is prepaid only in part, prepayments will be in increments of $5,000 of princ pal. All such mandatory prepayments shall be at a price of 102% of par, plus accrued interest. E ept as provided for such mandatory redemption, the Bonds will not be subject to payment in advance f their respective stated maturity dates. �ecurity and Purpose. The Bonds will be general obligations of the Cit for which the City will pledge its full faith and credit and power to levy direct general ad valorem taxes. The proceeds will be used to finance approved projects from the City's 1986 Capital Improve nt Budget and Program. GLOBAL BOOK ENTRY SYSTEM Ownership of the Bonds. P�rchases of Bonds by investors may be made hrough 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 wil� 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 Natio�al Clearance and Settlement System. Under the National (earance 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-dealers, banks, registered depositories and clearing corporation , and is regulated and supervised by the SEC in accordance with the Act. Parments 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. Tran 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 Bonds. 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 if 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 continued or that it is in the best interest of the beneficial owners of the Bonds that they be able to obtain ce tificated Bonds, the City may authenticate and deliver replacement bonds in the form of fully regis ered 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 Bo 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 bond 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 ized denomination of the City's Global Certificates, the Depository will recognize and enter on i s books in the National System interests in $5,000 denominations in each Global Certificate. TERMS OF SALE Minimum Bid and Good Faith Deposit. A sealed bid for not less than $I 0,5 I ,000 and accrued interest on the total principal amount of the Bonds shall be filed with the undersigne prior to the time set for the opening of bids. Also prior to the time set for bid opening, a certified or cashier's check in the amount of $100,000, 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 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 te without award of the Bonds having been made. . • ' • • . �� �- �1�� Type of Bid No rate for any maturity shall be more than 1.5% 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 ity. 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 occordanc with customary practice, will be controlling. The City will reserve the right to: (i) waive non-substantive informalitie 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 erms 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 shall 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., Central 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 safekeeping. 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 Minneapolis, Minnesota, which opinion will be attached to the Global Certificates, nd of customary closing papers, including a no-litigation certificate. At settlement the Purchaser 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 o settlement, contain any untrue statement of a material fact or omit to state a material fact neces 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 SO copies of t e Official Statement. Dated April 15, 1986 BY ORDE OF THE CITY COUNCIL /s/ Eugene Sch i I ler Director, Department of Finance and Management Services • I Finance and Management Services DEPARTMENT �'���0 N� 3 4 6 2 . Gar Norstrem C'OI�TACT 292-7038 . � PHONE April 9, 1986 DATE �Q,/�� e�i ASSIGN NUMBER FOR ROUTING ORDER (Clip All Locations for Signature) : Department Director 3 Director of nagement/Mayor � Finance and Management Services Director 5 City Clerk Budget Director c� 1 City Attorney WHAT WILL BE ACHIEVED BY TAKING ACTION ON THE ATTACHED MATERIALS? (Purp e/ Rati ale) : 1. Determines the amount of Capital Improvement Bonds to be sold. ���<',✓� 2. Sets the date and time of the Sale and defines the "Official Terms of Of fering". L� �IPR ' ,�y� 3. Provides authority for the publication of the notice of the Sale. P�,qy . 4. Adopts the "Official Terms of the Offering" of the various issues. Q�S�Ff��,£ COST/BENEFIT, BUDGETARY AND PERSONNEL IMPACTS ANTICIPATED: The bonds will be general obligations of the City for which the City w 11 pledge its full faith and credit and power to levy direct general ad valorem axes. \ �\� P \ ` F � �f \��� FINANCING SOURCE AND BUDGET ACTIVITY NUMBER CHARGED OR CREDITED: (Mayor' signa- ture t re- Total Amount of Transaction: quire if under $10,0 ) Funding Source: Activity Number: ATTACHMENTS (List and Number All Attachments) : 1. Council Resolution: $10,700,000 General Obligation Capital Improve ent Bonds. DEPARTMENT REVIEW CITY ATTORNEY R VIEW Yes No Council Resolution Required? Resolution Required? Yes No Yes No Insurance Required? Insurance Suffi ient? Yes No Yes No Insurance Attached: (SEE REVERSE SIDE FOR INSTRUCTIONS) Revised 12/84 . ,�t . . -. . ,i... ... •.. . ,-.r= , � �`t�'�.j � (-e v!� . � � �� ��_��� �> i CITY OF SA.INT PAUL = :ii=� ; OFF`ICE OF THF CITY COIINCIL �01�1�Tlltt�� �� Qrt � � �i�anc� l�ana ement 8� Persannel Com 'ttee. � � 1�.ARCH 28, 1986 1. Approval of minutes 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 Area Corps Programs. anvroved _ t 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. �apvroved ' ' 4. Resolution authorizing contract with United States General Se vices 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. apnroved - 5. _ Resolution_authorizing a 3-y_e.ar lease agreement between_the- c ty and Millstreet Investments for Buildings "B" and "D" (part of tihe Hill Stree 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. approved � 8. Resol��iost calli.ng 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 n renewal " bonds. withdrawn - � 11. An ordinance anending Chapter 369, Section 369.04, Subd. 5, 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, of the Legislative Code pertaining to the examination fee for a Master Certificat of Occupancy. laid over indef. � 13. An ordinance amending Chapter 370, Section 370.15, Subd. 3, of the Legislative Code pertaining to reciprocal Certificates of Competency. la d over indef. CITY HALL SEVENTH FLOOR S PAUL,MINNESOTA 55IO2 .�4s