86-619 - C�TV CLERK
��NK` -.� FINANCE G I TY OF SA I NT PA U L Council �//y//
- C#NARV - OEPARTMENT File O. "v �/ •
'Y3LUE � MAVOR
Council Resolution
Presented By
Referred To Committee: Date
Out of Committee By Date
ACCEPTING BID ON SALE OF
$2,400,000 GENERAL OBLIGATION STREET I�MPROV MENT
SPECIAL ASSESSMENT BONDS, SERIES 1986 ,
AND PROVIDING FOR THEIR ISSUANCE
- WHEREAS, the Director, Department of Fin nce and
Management Services, has presented affidavits show ng
publication of notice of the sale of $2,400,000 Ge eral
Obligation Street Improvement Special Assessment B nds, Series
1986 (the "Bonds" ) , of the City of Saint Paul, Min esota (the
"City") , for which bids were to be received at thi meeting in
accordance with Resolution No. 86-465 adopted by t is City
Council on April 15, 1986, and approved by the May r on
April 17, 1986; and the affidavits have been exami ed, have
been found to comply with the provisions of Minnes ta Statutes,
Chapter 475, and have been approved and ordered pl ced on file;
and
WHEREAS, the bids set forth on Exhibit attached
hereto were received pursuant to the Official Te of Offering
by the Director, Department of Finance and Manage ent Services,
at the offices of Springsted Incorporated at 11:0 A.M. ,
Central Time, this day; and
COUNCILMEN Requested by Department o :
Yeas p�� Nays
N"°5'a [n Favor
Rettman
Scheibel
Sonnen __ Against BY
Tedesco
W ilson
Form Approved by City Att rney
Adopted by Council: Date
Certified Passed by Council Secretary BY �
By�
Approved by Mavor: Date _ Approved b Mayor for Sub ission to Council
By _ _ _ By
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WHEREAS, the Director, Department of Finance a Manage-
ment Services, has advised this Council that the bi of
The First National Bank of Ch�.cago was found to be the most
advantageous and has recommended that said bid be a cepted; and
WHEREAS, the proceeds of the Bonds will financ certain
street improvements to be specially assessed, for w ich the
City is proceeding pursuant to Minnesota Statutes, hapter 429 ,
and not pursuant to its Charter; and
WHEREAS , the City has heretofore issued regist red obliga-
tions in certificated form, and incurs substantial osts
associated with their printing and issuance, and su stantial
continuing transaction costs relating to their paym nt,
transfer and exchange; and
WHEREAS, the City has determined that signific nt savings
in transaction costs will result from issuing bonds in "global
book-entry form" , by which bonds are issued in certificated
form in large denominations, registered on the book of the
City in the name of a depository or its nominee, a held in
safekeeping and immobilized by such depository, an such
depository as part of the computerized national se urities
clearance and settlement system ( the "National Sys em" ) (and
not as an agent of the City) registers transfers o ownership
interests in the bonds by making computerized book entries on
its own books and distributes payments on the bond to its
Participants shown on its books as the owners of s ch
interests; and such Participants and other banks, rokers and
dealers participating in the National System will o likewise
(again, not as agents of the City) if not the bene icial owners
of the bonds; and
WHEREAS, "Participants" means those financial institutions
for whom the Depository effects book-entry transfe s and
pledges of securities deposited and immobilized wi h the
Depository; and
WHEREAS, Midwest Securities Trust Company, a imited
purpose trust company organized under the laws of the State of
Illinois, or any of its successors or successors �o its
functions hereunder (the "Depository" ) , will act s such
depository with respect to the Bonds except as se forth below,
and there is before this Council a form of letter agreement
( the "Depository Letter Agreement" ) setting forth various
matters relating to the Depository and its role w th respect to
the Bonds; and
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WHEREAS, the City will deliver the Bonds in theiform of
one certificate per maturity, each representing the ntire
principal amount of the Bonds due on a particular ma urity date
(each a "Global Certificate" ) , which single certific te per
maturity may be transferred on the City's bond regis er as
required by the Uniform Commercial Code, but not exc anged for
smaller denominations unless the City determines to ' ssue
Replacement Bonds as provided below; and
WHEREAS, the City will be able to replace the D pository
or under certain circumstances to abandon the "globa book-
entry form" by permitting the Global Certificates to be
exchanged for smaller denominations typical of ordin ry bonds
registered on the City' s bond register; and "Replace ent Bonds"
means the certificates representing the Bonds so aut enticated
and delivered by the Bond Registrar pursuant to para raphs 7
and 13 hereof; and
. WHEREAS, "Holder" as used herein means the pers n in whose
name a Bond is registered on the registration books f the City
maintained by the City Treasurer or a successor regi trar
appointed as provided in paragraph 9 (the "Bond Regi trar" ) :
NOW, THEREFORE, BE IT RESOLVED by the Cou il of the
City of Saint Paul, Minnesota, as follows:
1 . Acceptance of Bid. The bid of The Fi st National
Bank of Chicago (the "Purchaser" ) , to,_,purchas 2 ,40 ,000
General Obligation Street Improvement Special Asses ent Bonds,-�
Series 1986 , of the City (hereinafter referred to a the
"Bonds" , or individually as a "Bond" ) , in accordanc with the
Official Terms of Offering for the bond sale, at th rates of
interest hereinafter set forth, and to pay therefor the sum of
$2, 362, 302. 00 , plus interest accrued to settleme t, is
hereby found, determined and declared to be the mos favorable
bid received and is hereby accepted, and the Bonds re hereby
awarded to said bidder. The Director, Department o Finance
and Management Services, is directed to retain the eposit of
said bidder and to forthwith return to the unsucces ful bidders
their good faith checks or drafts.
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2. Title; Ori inal Issue Date; Denominat 'ons;
Maturities. The Bonds shall be titled "General Obl qation
Street Improvement Special Assessment Bonds, Series 1986" ,
shall be dated June 1 , 1986 , as the date of origina issue and
shall be issued forthwith as fully registered bonds The Bonds
shall be numbered from R-1 upward. Global Certific tes shall
each be in the denomination of the entire principal amount
maturing on a single date, or, if a portion of said principal
amount is prepaid, said principal amount less the p epayment.
Replacement Bonds, if issued as provided in paragra h 7 , shall
be in the denomination of $5 ,000 each or in any int gral
multiple thereof of a single maturity. The Bonds s all mature
on February 1 in the years and amounts as follows:
Year Amount Year Amount
1988 $120 ,000 1998 $120 ,000
1989 120 ,000 1999 120 ,000
1990 120 ,000 2000 120 ,000
1991 120 ,000 2001 120 ,000
1992 120 ,000 2002 120,000
1993 120 ,000 2003 120,000
1994 120,000 2004 120 ,000
1995 120,000 2005 120 ,000
1996 120 ,000 2006 120 ,000
1997 120 ,000 2007 120 ,000
3 . Purpo Te. The Bonds shall provide fun s for the
construction of various street improvements (the
"Improvements" ) in the City. The total cost of the
Improvements, which shall include all costs enumera ed in
Minnesota Statutes, Section 475.65, is estimated to be at least
equal to the amount of the Bonds herein authorized. Work on
the Improvements shall proceed with due diligence
completion.
4. Interest. The Bonds shall bear inte st payable
semiannually on February 1 and August 1 of each ye ,r,
commencing February 1 , 1987 , at the respective rat s per annum
set forth opposite the maturity years as follows:
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Maturity Year Interest Rate Maturity Year nterest Rate
1988 5 .00� 1998 7. 20�
1989 5.25� 1999 7.30�
1990 5.50� 2000 7. 40�
1991 5 .75� 2001 7.40%
1992 6 .00o 2002 7 .50�
1993 6 .25� 2003 7. 50%
1994 6.50� 2004 7 .50°s
1995 6.75� 2005 7 .60°�
1996 7. 00� 2006 7.70g
1997 7 .10� 2007 7 . 70�
5. Subcommittee. This Council hereby r tifies and
approves each and every act of its subcommittee on Finance and
� Sinking Funds in connection with the sale of the B nds.
6 . Descri tion of the Global Certificat s and Global
Book-Entry System. Upon their original issuance t e Bonds will
be issued in the form of a single Global Certifica e for each
maturity, deposited with the Depository by the Pur haser and
immobilized as provided in paragraph 7 . No benefi ial owners
of interests in the Aonds will receive certificate
representing their respective interests in the Bon s except as
provided in paragraph 7 . Except as so provided, d ring the
term of the Bonds, beneficial ownership (and subse ent
transfers of beneficial ownership) of interests in the Global
Certificates will be reflected by book entries mad on the
records of the Depository and its Participants and •ther banks,
brokers, and dealers participating in the National ystem. The
Depository's book entries of beneficial ownership 'nterests are
authorized to be in increments of $5 ,000 of princi 1 of the
Bonds, but not smaller increments, despite the lar r
authorized denominations of the Global Certificates. Payment
of principal of, premium, if any, and interest on e Global
Certificates will be made to the Bond Registrar as aying
agent, and in turn by the Bond Registrar to the De sitory or
its nominee as registered owner of the Glohal Certi icates, and
the Depository according to the laws and rules gove ning it
will receive and forward payments on behalf of the eneficial
owners of the Global Certificates.
Payment of principal of, premium, if any, and interest on
a Global Certificate may in the City's discretion made by
such other method of transferring funds as may be r quested by
the Holder of a Global Certificate.
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7 . Immobilization of Global Certificate b the
De ositor ; Successor De ositor ; Re lacement Bond . Pursuant
to the request of the Purchaser to t e Depository, hich
request is required by the Official Terms of Offering,
immediately upon the original delivery of the Bond the
Purchaser will deposit the Global Certificates rep senting all
of the Bonds with the Depository or its agent, the ain office
of the Fourth U.S. Federal Reserve District Bank. he Global
Certificates shall be in typewritten form or other ise as
acceptable to the Depository, shall be registered i the name
of the Depository or its nominee and shall be held immobilized
from circulation at the offices of the Depository said agent
on behalf of the Purchaser and subsequent bondowner . The
Depository or its nominee will be the sole holder f record of
the Global Certificates and no investor or other pa ty
� purchasing, selling or otherwise transferring owne hip of
interests in any Bond is to receive, hold or delive any bond
certificates so long as the Depository holds the G1 bal
Certificates immobilized from circulation, except a provided
below in this paragraph and in paragraph 13.
Certificates evidencing the Bonds may not afte their
original delivery be transferred or exchanged exce t:
( i) Upon registration of transfer of nership of
a Global Certificate, as provided in paragrap 13 ,
( ii) To any successor of the Depositor (or its
nominee) or any substitute depository (a "sub titute
depository" ) designated pursuant to clause ( iii) of this
subparagraph, provided that any successor of t e
Depository or any substitute depository must both a
"clearing corporation" as defined in the Minne ota Uniform
Commercial Code at Minnesota Statutes, Sectio 336 .8-102 ,
and a qualified and registered "clearing agenc " as
provided in Section 17A of the Securities Exch nge Act of
1934 , as amended,
( iii) To a substitute depository designa ed by and
acceptable to the City upon (a) the determinat 'on by the
Depository that the Bonds shall no longer be e igible for
its depository services or (b) a determination by the City
that the Depository is no longer able to carry out its
functions, provided that any substitute deposi ory must be
qualified to act as such, as provided in claus ( ii) of
this subparagraph, or
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( iv) To those persons to whom transfer is requested
in written transfer instructions in the event that:
(a) the Depository shall resign or discontinue
its services for the Bonds and the City s unable to
locate a substitute depository within tw (2) months
following the resignation or determinati n of non-
eligibility, or
(b) upon a determination by the Ci y in its
sole discretion that ( 1) the continuatio of the book-
entry system described herein, which pre ludes the
issuance of certificates (other than Glo al
Certificates) to any Holder other than t e Depository
(or its nominee) , might adversely affect the interest
of the beneficial owners of the Bonds, o (2) that it
is in the best interest of the beneficia owners of
the Bonds that they be able to obtain ce tificated
bonds,
in either of which events the City shall noti y Holders of
its determination and of the availability of ertificates
(the "Replacement Bonds" ) to Holders requesti g the same
and the registration, transfer and exchange o such Bonds
will be conducted as provided in paragraphs 1 B and 13
hereof.
In the event of a succession of the Depositor as may be
authorized by this paragraph, the Bond Registrar u on presenta-
tion of Global Certificates shall register their t ansfer to
the substitute or successor depositories, and the ubstitute or
successor depository shall be treated as the Depos ' tory for all
purposes and functions under this resolution. The Depository
Letter Agreement shall not apply to a substitute o successor
depository unless the City and the substitute or s ccessor
depository so agree, and a similar agreement may b entered
into.
8 . Redem tion. All Bonds of this issue shall be
subject to mandatory re emption and prepayment in he event
that pursuant to federal laws and regulations the ity is
required to use unexpended proceeds of the Bonds f r early
redemption of Bonds in order to continue the exemp ion of the
interest on the Bonds from E'ederal income taxation. In such
event, the City shall use such unexpended proceeds f the Bonds
to redeem Bonds on any date after notice is given rsuant to
law and this resolution, at a price of 102$ of par, plus
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accrued interest. All Bonds of this issue maturing in the
years 1998 to 2U07, both inclusive, shall be subjec to
redemption and prepayment at the option of the Cit on
February 1 , 1997, and on any interest payment date thereafter
at a price of par and accrued interest.
Redemption may be in whole or in part of he Bonds
subject to prepayment. If redemption is in part, ose Bonds
remaining unpaid which have the latest maturity dat shall be
prepaid first; and if only part of the Bonds having a common
maturity date are called for prepayment, the Global
Certificates may be prepaid in $5,000 increments of principal
and, if applicable, the specific Replacement Bonds o be
prepaid shall be chosen by lot by the Bond Registra . Bonds or
portions thereof called for redemption shall be due and payable
on the redemption date, and interest thereon shall ease to
accrue from and after the redemption date.
Upon a reduction in the aggregate princip 1 amount of
a Global Certificate, the Holder may make a notatio of such
redemption on the panel provided on the Global Cert ' ficate
stating the amount so redeemed, or may return the G obal
Certificate to the Bond Registrar in exchange for a new Global
Certificate authenticated by the Bond Registrar, in proper
principal amount. Such notation, if made by the Ho der, shall
be for reference only, and may not be relied upon b any other
person as being in any way determinative of the pri cipal
amount of such Global Certificate outstanding, unle s the Bond
Registrar has signed the appropriate column of the anel.
To effect a partial redemption of Replace ent Bonds
having a common maturity date, the Bond Registrar p ior to
giving notice of redemption shall assign to each Re lacement
Bond having a cor.imon maturity date a distinctive nu ber for
each $5 ,000 of the principal amount of such Replace ent Bond.
The Bond Registrar shall then select by lot, using uch method
of selection as it shall deem proper in its discret 'on, from
the numbers so assigned to such Replacement Bonds, s many
numbers as, at $5 ,000 for each number, shall equal he
principal amount of such Replacement Bonds to be re eemed. The
Replacement Bonds to be redeemed shall be the Repla ement Bonds
to which were assigned numbers so selected; provide , however,
that only so much of the principal amount of each s ch
Replacement Bond of a denomination of more than $5 , 00 shall be
redeemed as shall equal 55,000 for each number assi ned to it
and so selected.
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If a Replacement Bond is to be redeemed nly in part,
it shall be surrendered to the Bond Registrar (wit , if the
City or the Bond Registrar s� requires, a written nstxuinent ot
transfex in form satisfactory t4 the City and the ond
Registrar duly executed by the Holder thereof or h s attorney
duly authorized in writing) and the City shall exe ute (if
necessary) and the Bond Registrar shall autrientica e and
deliver to the H�lder �f such Replacement Bond, wi hout service
charge, a new Replacement Bond or Bonds of the sam series
having the same stated maturity and interest rate nd of any
authorized denomination or denominations, as reque ted by such
Holder, in aggregate principal amount equal to and in excr►anye
for the unredeemed portion of the principal of the Bond so
surrendered.
The Bond Registrar shall call B�nds for edemption
and payment as herein provided upon receipt by the Bond
Registrar at least foxty-five (45) days prior to t e redemption
date of a request of the City, in written form if he t3ond
Registrar is other than a City officer. Such requ st shall
specify the principal amount of Bonds to be called foX
redemption and the redemption date.
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Published notice of redemption shall in ach case be
given in accordance with law, and mailed notice Af redemption
shall be given to the paying agent (if other than City
oFficer) and to each affected Holder. It and when tne City
shall call any of the Bonds f�r redemption and pa ent prior to
the stated maturity thereof, the Bond Registrar sh� ll give
wxitten notice in the name of the City of its inte tion to
redeem and pay such Bonds at tne office of the Bon Reyistrar.
Notice of redemption shall be given by first class mail,
postage prepaid, mailed not less than thirty (3U) ays prior to
the r.edemption date, to each Holder 4f �3onds to be redeemed, at
the address appearing in the Bond Register. All n tices of
redemption shall state:
(a) The redemption date;
(b) The redemption price;
(c) If less than all outstanding Bonds re to be
redeemed, the identification (and, n the case
of partial redemption, the respecti e princiNal
amounts) of the Eionds to be zedeeme ;
(d) That on the redemption date, the re emption
price will become due and payable u on each such
Bond, and that interest thereon sha 1 cease to
accrue from and after s.aid date; an
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(e) The place where such Bonds are to be urrendered
for payment of the redemption price ( hich shall
be the office of the Bond Registrar) .
Notices to Midwest Securities Trust Compan or its
nominee shall contain the CUSIP numbers of the Bond . If there
are any Holders of the Bonds other than the Deposit ry or its
nominee, the Bond Registrar shall use its best effo ts to
deliver any such notice to the Depository on the bu iness day
next preceding the date of mailing of such notice t all other
Holders.
9. Bond Registrar. The Treasurer of the City is
appointed to act as bond registrar and transfer age t with
respect to the Bonds (the "Bond Registrar" ) , and sh 11 do so
� unless and until a successor Bond Registrar is duly appointed.
A successor Bond Registrar shall be an officer of t e City or a
bank or trust company eligible for designation as b nd
registrar pursuant to Minnesota Statutes, Chapter 4 5, and may
be appointed pursuant to any contract the City and uch
successor Bond Registrar shall execute which is con istent
herewith. The Bond Registrar shall also serve as p ying agent
unless and until a successor paying agent is duly a pointed.
Principal and interest on the Bonds shall be paid t the
Holders (or record holders) of the Bonds in the man er set
forth in the forms of Bond and paragraph 15 of this resolution.
10. Forms of Bond. The Bonds to be issue hereunder
shall be in the form of Global Certificates unless nd until
Replacement Bonds are made available as provided i
paragraph 7 . Each form of bond may contain such a itional or
different terms and provisions as to the form of p yment,
record date, notices and other matters as are cons ' stent with
the Depository Letter Agreement and approved by th City
Attorney.
A. Global Certificates. The Global Cer ificates to
be issued hereunder, together with the Certificate of
Registration, the Register of Partial Payments, th form of
Assignment and the registration information thereo , shall be
in substantially the following form and may be typ written
rather than printed:
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UNITED STATES OF AMERICA
STATE OF MINNESOTA
RAMSEY COUNTY
CITY OF SAINT PAUL
R-
GENERAL OBLIGATION STREET IMPROVEMENT
SPECIAL ASSESSMENT BOND, SERIES 1986
INTEREST MATURITY DATE OF
RATE DATE ORIGINAL ISSUE CUSIP
February 1 , June 1 , 1986
REGISTERED OWNER:
PRINCIPAL AMOUNT:
KNOW ALL PERSONS BY THESE PRESENTS that t e City of
Saint Paul, Ramsey County, Minnesota (the "Issuer" r "City" ) ,
certifies that it is indebted and for value receive promises
to pay to the registered owner specified above or o the
certificate of registration below, or registered as igns, in
the manner hereinafter set forth, the principal amo nt
specified above, on the maturity date specified abo e, unless
called for earlier redemption, and to pay interest hereon
semiannually on February 1 and August 1 of each yea (each, an
"Interest Payment Date" ) , commencing February 1 , 19 7 , at the
rate per annum specified above (calculated on the b sis of a
360-day year of twelve 30-day months) until the pri cipal sum
is paid or has been provided for. This Bond will b ar interest
from the most recent Interest Payment Date to which interest
has been paid or, if no interest has been paid, fro the date
of original issue hereof. The principal of and pre ium, if
any, on this Bond are payable by check or draft in ext day
funds or its equivalent (or by wire transfer in imm diately
available funds if payment in such form is necessar to meet
the timing requirements below) upon presentation an surrender
hereof at the principal office of the Treasurer of he Issuer
in Saint Paul, Minnesota (the "Bond Registrar" ) , ac ing as
paying agent, or any successor paying agent duly ap ointed by
the Issuer; provided, however, that upon a partial edemption
of this Bond which results in the stated amount her of being
reduced, the Holder may in its discretion be paid w' thout
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presentation of this Bond, which payment shall be r ceived no
later than 12:00 noon, Chicago, Illinois, time, and may make a
notation on the panel provided herein of such redem tion,
stating the amount so redeemed, or may return the B nd to the
Bond Registrar in exchange for a new Bond in the pr per
principal amount. Such notation, if made by the Ho der, shall
be for reference only, and may not be relied upon b any other
person as being in any way determinative of the pri cipal
amount of this Bond outstanding, unless the Bond Re istrar has
signed the appropriate column of the panel. Intere t on this
Bond will be paid on each Interest Payment Date by heck or
draft in next day funds or its equivalent mailed (o by wire
transfer in immediately available funds if payment n such form
is necessary to meet the timing requirements below) to the
person in whose name this Bond is registered (the " older" or
"Bondholder" ) on the registration books of the Issu r
maintained by the Bond Registrar and at the address appearing
thereon at the close of business on the fifteenth c lendar day
preceding such Interest Payment Date (the "Regular ecord
Date" ) . Interest payment shall be received by the older no
later than 12:00 noon, Chicago, Illinois, time; and principal
and premium payments shall be received by the Holde no later
than 12:00 noon, Chicago, Illinois, time, if the Bo d is
surrendered for payment enough in advance to permit payment to
be made by such time. Any interest not so timely p id shall
cease to be payable to the person who is the Holder hereof as
of the Regular Record Date, and shall be payable to the person
who is the Holder hereof at the close of business o a date
( the "Special Record Date" ) fixed by the Bond Regis rar
whenever money becomes available for payment of the defaulted
interest. Notice of the Special Record Date shall e given to
Bondholders not less than ten days prior to the Spe ial Record
Date. The principal of and premium, if any, and in erest on
this Bond are payable in lawful money of the United States of
America.
Date of Payment Not Business Day. If the date for
payment of the principal of, premium, if any, or in erest on
this Bond shall be a Saturday, Sunday, legal holida or a day
on which banking institutions in the City of Chicag , Illinois,
or the city where the principal office of the Bond egistrar is
located are authorized by law or executive order to close, then
the date for such payment shall be the next succeed ng day
which is not a Saturday, Sunday, legal holiday or a day on
which such banking institutions are authorized to c ose, and
payment on such date shall have the same force and ffect as if
made on the nominal date of payment.
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Redemption. All Bonds of this issue shal�l be subject
to mandatory redemption and prepayment in the event that
pursuant to federal laws and regulations the Issue is required
to use unexpended proceeds of the Bonds for early r demption of
Bonds in order to continue the exemption of the int rest on the
Bonds from Federal income taxation. In such event, the Issuer
shall use such unexpended proceeds of the Bonds to edeem Bonds
on any date after notice is given pursuant to law a d this
resolution, at a price of 102$ of par, plus accrued interest.
All Bonds of this issue maturing in the years 1998 0 2007 ,
both inclusive, are subject to redemption and prepa ent at the
option of the Issuer on February 1 , 1997, and on an Interest
Payment Date thereafter at a price of par and accru d interest.
Redemption may be in whole or in part of the Bonds ubject to
prepayment. If redemption is in part, those Bonds emaining
unpaid which have the latest maturity date shall be prepaid
first; and if only part of the Bonds having a commo maturity
date are called for prepayment, this Bond may be pr paid in
$5,000 increments of principal. Bonds or portions hereof
called for redemption shall be due and payable on t e
redemption date, and interest thereon shall cease t accrue
from and after the redemption date.
Notice of Redemption. Published notice o redemption
shall in each case be given in accordance with law, and mailed
notice of redemption shall be given to the paying a ent ( if
other than a City officer) and to each affected Hol er of the
Bonds. In the event any of the Bonds are called fo
redemption, written notice thereof will be given by first class
mail mailed not less than thirty ( 30) days prior to the
redemption date to each Holder of Bonds to be redee ed. In
connection with any such notice, the "CUSIP" number assigned
to the Bonds shall be used.
Re lacement or Notation of Bonds after Pa tial
Redemption. Upon a partia re emption o t is Ron w ich
results in the stated amount hereof being reduced, he Holder
may in its discretion make a notation on the panel rovided
herein of such redemption, stating the amount so re eemed.
Such notation, if made by the Holder, shall be for eference
only, and may not be relied upon by any other perso as being
in any way determinative of the principal amount of the Bond
outstanding, unless the Bond Registrar has signed t e
appropriate column of the panel. Otherwise, the Ho der may
surrender this Bond to the Bond Registrar (with, if the Issuer
or the Bond Registrar so requires, a written instru ent of
transfer in form satisfactory to the Issuer and the Bond
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Registrar duly executed by the Holder thereof or h s attorney
duly authorized in writing) and the Issuer shall e ecute ( if
necessary) and the Bond Registrar shall authentica e and
deliver to the Holder of such Bond, without servic charge, a
new Bond of the same series having the same stated maturity and
interest rate and of the authorized denomination i aggregate
principal amount equal to and in exchange for the nredeemed
portion of the principal of the Bond so surrendere .
Issuance; Purpose; General Obligati:on. his Bond is
one of an issue- in the total principal amount of $ ,.400 ,000 ,
all of like date of original issue and tenor, exce t as to
number, maturity, interest rate, denomination and edemption
privilege, which Bond has been issued pursuant to nd in full
conformity with the Constitution and laws of the S ate of
Minnesota and pursuant to a resolution adopted by he City
Council on May 13, 1986 ( the "Resolution" ) , for th purpose of
providing money to finance the construction of var'ous street
improvements in the City. This Bond is payable ou of the
General Obligation Street Improvement Special Asse sment Debt
Service Fund of ths Issuer. This Bond constitutes general
obligation of the Issuer, and to provide moneys fo the prompt
and full payment of its principal, premium, if any, and
interest when the same become due, the full faith nd credit
and taxing powers of the Issuer have been and are reby
irrevocably pledged.
Denominations; Exchange; Resolution. Th Bonds are
issuable originally only as Global Certificates in the
denomination of the entire principal amount of the issue
maturing on a single date, or, if a portion of sai principal
amount is prepaid, said principal amount less the repayment.
Global Certificates are not exchangeable for fully registered
bonds of smaller denominations except to evidence partial
prepayment or in exchange for Replacement Bonds if then
available. Replacement Bonds, if made available a provided
below, are issuable solely as fully registered Bonds in the
denominations of $5 ,000 and integral multiples the of of a
single maturity and are exchangeable for fully registered Bonds
of other denominations in equal aggregate principa amounts and
in authorized denominations at the principal offic of the Bond
Registrar, but only in the manner and subject to t
limitations provided in the Resolution. Reference is hereby
made to the Resolution for a description of the rig ts and
duties of the Bond Registrar. Copies of the Resolu ion are on
file in the principal office of the Bond Registrar.
13
, k , �'�-- �� 1��1
Replacement Bonds. Replacement Bonds may be issued
by the Issuer in the event that: -
(a) the Depository shall resign or disco tinue its
services for the Bonds and, only if the Issuer is unable
to locate a substitute depository within two O months
following the resignation or determination of on-
eligibility, or
(b) upon a determination by the Issuer i its sole
discretion that ( 1) the continuation of the bo k-entry
system described herein, which precludes the i suance of
certificates (other than Global Certificates) o any
Holder other than the Depository (or its nomin e) , might
adversely affect the interest of the beneficia owners of
� the I3onds, or (2) that it is in the best inter st of the
beneficial owners of the Bonds that they be ab e to obtain
certificated bonds.
Transfer. This Bond shall be registered n the name
of the payee on the books of the Issuer by presenti g this Bond
for registration to the Bond Registrar, who will en orse his or
her name and note the date of registration opposite the name of
the payee in the certificate of registration attach d hereto.
Thereafter this Bond may be transferred by delivery with an
assignment duly executed by the Holder or his, her r its legal
representatives, and the Issuer and Bond Registrar ay treat
the Holder as the person exclusively entitled to ex rcise all
the rights and powers of an owner until this Bond i presented
with such assignment for registration of transfer, ccompanied
by assurance of the nature provided by law that the assignment
is genuine and effective, and until such transfer i registered
on said books and noted hereon by the Bond Registra , all
subject to the terms and conditions provided in the Resolution
and to reasonable regulations of the Issuer contain d in any
agreement with, or notice to, the Bond Registrar.
Fees upon Transfer or Loss. The Bond Registrar may
require payment of a sum sufficient to cover any ta or other
governmental charge payable in connection with the transfer or
exchange of this Bond and any legal or unusual cost regarc�ing
transfers and lost Bonds.
Treatment of Registered Owner. The Issu and the
Bond Registrar may treat the person in whose name is Bond is
registered as the owner hereof for the purpose of ceiving
payment as herein provided (except as otherwise pr ided with
14
. C�' ��- l�i �
respect to the Record Date) and for all other purpo es, whether
or not this Bond shall be overdue, and neither the ssuer nor
the Bond Registrar shall be affected by notice to t e contrary.
Authentication. This Bond shall not be v lid or
become obligatory or any purpose or be entitled to any
security unless the Certificate of Authentication h reon shall
have been executed by the Bond Registrar.
IT IS HEREBY CERTIFIED AND RECITED that a 1 acts,
conditions and things required by the Constitution nd laws of
the State of Minnesota and the Charter of the Issue to be
done, to happen and to be performed, precedent to a d in the
issuance of this Bond, have been done, have happene and have
been performed, in regular and due form, time and m nner as
� required by law, and this Bond, together with all o her debts
of the Issuer outstanc3ing on the date of original i sue hereof
and on the date of its issuance and delivery to the original
purchaser, does not exceed any constitutional or st tutory or
Charter limitation of indebtedness.
15
a �
, , o�,,�d�-1 i�
IN WITNESS WHEREOF, the City of Saint Pau , Ramsey
County, Minnesota, by its City Council has caused t is Bond to
be sealed with its official seal and to be executed on its
behalf by the original signature of its Mayor, atte ted by the
original signature of its City Clerk, and countersi ned by the
original signature of its Director, Department of F nance and
Management Services.
Date of Registration: Registrable by:
Payable at:
BOND REGISTRAR'S CITY OF SAINT PAUL,
CERTIFICATE OF RAMSEY COUNTY, MINNESOT
AUTHENTICATION
This Bond is one of the
Bonds described in the
within mentioned Mayor
Resolution.
Attest:
City er
Bon Registrar
By Countersigned:
Authorized Signature
� Director, Department of Finance
and Management Services
(SEAL)
16
. C,�-�-- �i y�
CERTIFICATE OF REGISTRATION I
The transfer af ownership of the principal amount o the
attached Bond may be made only by the registered ow er or his,
her or its legal representative last noted below.
DATE OF S GNATURE OF
REGISTRATION REGISTERED OWNER BON REGISTRAR
i
17
. . ��' -�-�i9
REGISTER OF PARTIAL PAYMENTS
The principal amount of the attached Bond has been repaid on
the dates and in the amounts noted below:
Signature of Sig ature of
Date Amount Bondholder Bon Re istrar
If a notation is made on this register, such notati n has the
effect stated in the attached Bond. Partial paymen s do not
require the presentation of the attached Bond to th Bond
Registrar, and a Holder could fail to note the part al payment
here.
18
, , �c- �� ��y
ABBREVIATIONS
The following abbreviations, when used in the nscription
on the face of this Bond, shall be construed as tho gh they
were written out in full according to applicable la s or
regulations:
TEN COM - as tenants in common
TEN ENT - as tenants by the entireties
JT TEN - as joint tenants with right of survivorshi
and not as tenants in common
UNIF GIET MIN ACT Custodian
(Cust) (Minor)
under Uniform Gifts to Minors
Act
' (State)
Additional abbreviations may also be use
though not in the above list.
19
, , � �G- (i5'
ASSIGNMENT
For value received, the undersigned hereb sells ,
assigns and transfers unto
the within Bond nd does
ereby irrevocably constitute and appoint
attorney to transfer the Bond on the books kept for the
registration thereof, with full power of substituti n in the
premises.
Dated:
Notice: The assignor's signature to thi assignment
� must correspond with the name a it appears
upon the face of the within Bon in every
particular, without alteration r any
change whatever.
Signature Guaranteed:
Signature(s) must be guaranteed by a national bank r trust
company or by a brokerage firm having a membership n one of
the major stock exchanges.
The Bond Registrar will not effect transfer of this Bond
unless the information concerning the transferee re uested
below is provided.
Name and Address:
Inc u e in ormation or a �oin owners
if the Bond is held by joint acc unt. )
20
. � �� �,��
B. Replacement Bonds. If the City has n tified
Holders that Replacement Bonds have been made avail ble as
provided in paragraph 7 , then for every Bond therea ter
transferred or exchanged ( including an exchange to eflect the
partial prepayment of a Global Certificate not prev ously
exchanged for Replacement Bonds) the Bond Registrar shall
deliver a certificate in the form of the Replacemen Bond
rather than the Global Certificate, but the Holder f a Global
Certificate shall not otherwise be required to exch nge the
Global Certificate for one or more Replacement Bond since the
City recognizes that some bondholders may prefer th
convenience of the Depository's registered ownershi of he
Bonds even though the entire issue is no longer req ired to be
in global book-entry form. The Replacement Bonds, ogether
with the Bond Registrar' s Certificate of Authentica ion, the
form of Assignment and the registration information thereon,
shall be in substantially the following form:
21
, , �J,��U l i�
UNITED STATES OE AMERICA
STATE OF MINNESOTA I
RAMSEY COUNTY
CITY OF SAINT PAUL
R-
GENERAL OBLIGATION STREET IMPROVEMENT
SPECIAL ASSEBSMENT BOND, SERIES 1986
INTEREST MATURITY DATE OF
RATE DATE ORIGINAL ISS(JE CUSIP
June 1 , 1986
REGISTERED OWNER:
PRINCIPAL AMOUNT:
KNOW ALL PERSONS BY THESE PRESENTS that e City of
Saint Paul, Ramsey County, Minnesota (the "Issuer" r "City" ).,
certifies that it is indebted and for value receiv promises
to pay to the registered owner specified above, or registered
assigns, in the manner hereinafter set forth, the rincipal
amount specified above, on the maturity date speci ied above ,
unless called for earlier redemption, and to pay i terest
thereon semiannually on February 1 and August 1 of each year
(each, an "Interest Payment Date" ) , commencing Feb uary 1 ,
1987 , at the rate per annum specified above (calcu ated on the
basis of a 360-day year of twelve 30-day months) u til the
principal sum is paid or has been provided for. T is Bond will
bear interest from the most recent Interest Paymen Date to
which interest has been paid or, if no interest ha been paid,
from the date of original issue hereof. The princ 'pal of and
premium, if any, on this Bond are payable upon pre entation and
surrender hereof at the principal office of
, in ,
(the "Bond Registrar" ) , acting s paying
agent, or any successor paying agent duly appointe by the
Issuer. Interest on this Bond will be paid on eac Interest
Payment Date by check or draft mailed to the perso in whose
name this Bond is registered (the "Holder" or "Bon holder" ) on
the registration books of the Issuer maintained by the Bond
Registrar and at the address appearing thereon at he close of
business on the fifteenth calendar day preceding s ch Interest
Payment Date (the "Regular Record Date" ) . Any int rest not so
timely paid shall cease to be payable to the perso who is the
22
. ���G�l� i�'
Holder hereof as of the Regular Record Date, and sh 11 be
payable to the person who is the Holder hereof at t le close of
business on a date (the "Special Record Date" ) fixe by the
Bond Registrar whenever money becomes available for payment of
the defaulted interest. Notice of the Special Reco d Date
shall be given to Bondholders not less than ten day prior to
the Special Record Date. The principal of and prem'um, if any,
and interest on this Bond are payable in lawful mon y of the
United States of America.
REFERENCE IS HEREBY MADE TO THE FURTHER P OVISIONS OF
THIS BOND SET FORTH ON THE REVERSE HEREOF, WHICH PR VISIONS
SHALL FOR ALL PURPOSES HAVE THE SAME EFFECT AS IF S T FORTH
HERE.
IT IS HEREBY CERTIFIED AND RECITED that a 1 acts,
conditions and things required by the Constitution nd laws of
the State of Minnesota and the Charter of the Issue to be
done, to happen and to be performed, precedent to a d in the
issuance of this Bond, have been done, have happene and have
been performed, in regular and due form, time and m nner as
required by law, and this Bond, together with all o her debts
of the Issuer outstanding on the date of original i sue hereof
and on the date of its issuance and delivery to the original
purchaser, does not exceed any constitutional or st tutory or
Charter limitation of indebtedness.
IN WITNESS WHEREOF, the City of Saint Pau , Ramsey
County, Minnesota, by its City Council has caused t is Bond to
be sealed with its official seal or a facsimile the eof and to
be executed on its behalf by the original or facsim le
signature of its Mayor, attested by the original or facsimile
signature of its City Clerk, and countersigned by t e original
or facsimile signature of its Director, Department f Finance
and Management Services.
23
�
. ���-��y
Date of Registration: Registrable by:
Payable at:
BOND REGISTRAR'S CITY OF SAINT PAUL,
CERTIFICATE OF RAMSEY COUNTY, MINNESO
AUTHENTICATION
This Bond is one of the
Bonds described in the
within mentioned Mayor
Resolution.
' Attest:
City Clerk
Bond Registrar
By Countersigned:
Authorized Signature
Director, Department o Finance
and Management Services
(SEAL)
24
�
� �;� �_ � ��
, ,
ON REVERSE OF BOND
Date of Payment Not Business Day. If the date for
payment of the principal of, premium, if any, or in erest on
this Bond shall be a Saturday, Sunday, legal holida or a day
on which banking institutions in the City of Chicag , Illinois,
or the city where the principal office of the Bond egistrar is
located are authorized by law or executive order to close, then
the date for such payment shall be the next succeeding day
which is not a Saturday, Sunday, legal holiday or a day on
which such banking institutions are authorized to lose, and
payment on such date shall have the same force and ffect as if
made on the nominal date of payment.
� Redemption. All Bonds of this issue sha 1 be subject
to mandatory redemption and prepayment in the even that
pursuant to federal laws and regulations the Issue is required
to use unexpended proceeds of the Bonds for early edemption of
Bonds in order to continue the exemption of the in erest on the
Bonds from Federal income taxation. In such event the Issuer
shall use such unexpended proceeds of the Bonds to redeem Bonds
on any date after notice is given pursuant to laws and this
resolution, at a price of 102$ of par, plus accrue interest.
All Bonds of this issue maturing in the years 1998 to 2007,
both inclusive, are subject to redemption and prep yment at the
option of the Issuer on February 1 , 1997 , and on a y Interest
Payment Date thereafter at a price of par and accr ed interest.
Redemption may be in whole or in part of the Bonds subject to
prepayment. If redemption is in part, those Bonds remaining
unpaid which have the latest maturity date shall b prepaid
first; and if only part of the Bonds having a comm n maturity
date are called for prepayment, the specific Bonds to be
prepaid shall be chosen by lot by the Bond Registr r. Bonds or
portions thereof called for redemption shall be du and payable
on the redemption date, and interest thereon shall cease to
accrue from and after the redemption date.
Notice of Redemption. Published notice f redemption
shall in each case be given in accordance with law and mailed
notice of redemption shall be given to the paying gent ( if
other than a City officer) and to each affected Ho der of the
Bonds. In the event any of the Bonds are called f r
redemption, written notice thereof will be given b first class
mail mailed not less than thirty (30) days prior t the
redemption date to each Holder of Bonds to be rede med. In
connection with any such notice, the "CUSIP" numbe s assigned
to the Bonds shall be used.
25
} ' �, �. �G _ � ,�
Selection of Bonds for Redemption. To ef ect a
partial redemption of Bonds having a common maturit date, the
Bond Registrar shall assign to each Bond having a c on
maturity date a distinctive number for each 55 ,000 f the
principal amount of such Bond. The Bond Registrar hall then
select by lot, using such method of selection as it shall deem
proper in its discretion, from the numbers assigned to the
Bonds, as many numbers as, at 55,000 for each numbe , shall
equal the principal amount of such Bonds to be rede med. The
Bonds to be redeemed shall be the Aonds to which we e assigned
numbers so selected; provided, however, that only s much of
the principal amount of such Bond of a denomination of more
than $5,000 shall be redeemed as shall equal 55,000 for each
number assigned to it and so selected. If a Bond i to be
redeemed only in part, it shall be surrendered to t e Aond
Registrar (with, if the Issuer or the Bond Registra so
requires, a written instrument of transfer in form atisfactory
to the Issuer and the Bond Registrar duly executed y the
Holder thereof or his attorney duly authorized in w iting) and
the Issuer shall execute ( if necessary) and the Bon Registrar
shall authenticate and deliver to the Holder of suc Bond,
without service charge, a new Bond or Bonds of the ame series
having the same stated matur.ity and interest rate a d of any
authorized denomination or denominations, as reques ed by such
Holder, in aggregate principal amount equal to and n exchange
for the unredeemed portion of the principal of the ond so
surrendered.
Issuance; Purpose; General Obligation. T is Bond is
one of an issue in the total principal amount of $2 400,000 ,
all of like date of original issue and tenor, excep as to
number, maturity, interest rate, denomination and r demption
privilege, which Bond has been issued pursuant to a d in full
conformity with the Constitution and laws of the St te of
Minnesota and pursuant to a resolution adopted by t e City
Council on May 13, 1986 (the "Resolution" ) , for the purpose of
providing money to finance the construction of vari us street
improvements in the City. This Bond is payable out of the
General Obligation Street Improvement Special Asses ment Debt
Service Fund of the Issuer. This Bond constitutes general
obligation of the Issuer, and to provide moneys for the prompt
and full payment of its principal, premium, if any, and
interest when the same become due, the full faith a d credit
and taxing powers of the Issuer have been and are h reby
irrevocably pledged.
26
" ' �_ ��- ���
Denominations; Exchange; Resolution. The Bonds are
issuable solely as fully registered Bonds in the de ominations
of $5,000 and integral multiples thereof of a singl maturity
and are exchangeable for fully registered Bonds of ther
denominations in equal aggregate principal amounts nd in
authorized denominations at the principal office of the Bond
Registrar, but only in the manner and subject to th
limitations provided in the Resolution. Reference 's hereby
made to the Resolution for a description of the rig ts and
duties of the Bond Registrar. Copies of the Resolu ion are on
file in the principal office of the Bond Registrar.
Transfer. This Bond is transferable by t e Holder in
person or by his, her or its attorney duly authoriz d in
writing at the principal office of the Bond Registr r upon
presentation and surrender hereof to the Bond Regis rar, all
subject to the terms and conditions provided in the Resolution
and to reasonable regulations of the Issuer contain d in any
agreement with the Bond Registrar. Thereupon the I suer shall
execute and the Bond Registrar shall authenticate a d deliver,
in exchange for this Bond, one or more new fully re istered
Bonds in the name of the transferee (but not regist red in
blank or to "bearer" or similar designation) , of an authorized
denomination or denominations, in aggregate princip 1 amount
equal to the principal amount of this Bond, of the ame
maturity and bearing interest at the same rate.
Fees upon Transfer or Loss. The Bond Registrar may
require payment of a sum sufficient to cover any ta or other
governmental charge payable in connection with the transfer or
exchange of this Bond and any legal or unusual cost regarding
transfers and lost Bonds.
Treatment of Registered Owner. The Issu and the
Bond Registrar may treat the person in whose name is Bond is
registered as the owner hereof for the purpose of ceiving
payment as herein provided (except as otherwise pr ided on the
reverse side hereof with respect to the Record Dat ) and for
all other purposes, whether or not this Bond shall be overdue ,
and neither the Issuer nor the Bond Registrar shal be affected
by notice to the contrary.
Authentication. This Bond shall not be alid or
become obligatory for any purpose or be entitled t any
security unless the Certificate of Authentication ereon shall
have been executed by the Bond Registrar.
27
. . �3,� �� �,�'
� .
ABBREVIATIONS
The following abbreviations, when used in the nscription
on the face of this Bond, shall be construed as tho gh they
were written out in full according to applicable la s or
regulations:
TEN COM - as tenants in common
TEN ENT - as tenants by the entireties
JT TEN - as joint tenants with right of survivo��t�i
and not as tenants in common
UNIF GIFT MIN ACT Custodian
Cust Minor
under Uniform Gifts to Minors
Act
(State)
Additional abbreviations may also be use
though not in the above list.
28
� .
�� -- �/9
ASSIGNMENT
For value received, the undersigned hereb sells,
assigns and transfers unto
the within Bond n does
hereby irrevocably constitute and appoint
attorney to transfer the Bond on the books kept for the
registration thereof, with full power of substituti n in the
premises.
Dated:
Notice: The assignor's signature to thi assignment
• must correspond with the name a it appears
upon the face of the within Bon in every
particular, without alteration r any
change whatever.
Signature Guaranteed:
Signature(s) must be guaranteed by a national bank r trust
company or by a brokerage firm having a membership n one of
the major stock exchanges.
The Bond Registrar will not effect transfer of this Bond
unless the information concerning the transferee re uested
below is provided.
Name and Address:
Inc u e in ormation or a �oin owners
if the Bond is held by joint acc unt. )
29
, ' .� (� ��- ���
11 . Execution. The Bonds shall be execu ed on
behalf of the City by the signatures of its Mayor, ity Clerk
and Director, Department of Finance and Management ervices ,
each with the effect noted on the forms of the Bond , and be
sealed with the seal of the City; provided, however that the
seal of the City may be a printed or photocopiecl fa simile;
provided further that any of such signatures may be printed or
photocopied facsimiles and the corporate seal may b omitted on
the Bonds as permitted by law. In the event of dis bility or
resignation or other absence of any such officer, t e Bonds may
be signed by the manual or facsimile signature of t at officer
who may act on behalf of such absent or disabled of icer. In
case any such officer whose signature or facsimile f whose
signature shall appear on the Bonds shall cease to e such
officer before the delivery of the Bonds, such sign ture or
� facsimile shall nevertheless be valid and sufficien for all
purposes, the same as if he or she had remained in ffice until
delivery.
12. Authentication; Date of Re istration No Bond
shall be valid or obligatory for any purpose or be ntitled to
any security or benefit under this resolution unles a
Certificate of Authentication on such Bond, substan ially in
the form hereinabove set forth, shall have been dul executed
by an authorized representative of the Bond Registr r.
Certificates of �uthentication on different Bonds n ed not be
signed by the same person. The Bond Registrar shal
authenticate the signatures of officers of the City on each
Bond by execution of the Certificate of Authenticat'on on the
Bond and by inserting as the date of registration i the space
provided the date on which the Bond is authenticate . For
purposes of delivering the original Global Certific tes to the
Purchaser, the Bond Registrar shall insert as the d te of
�pgistration the date of original issue, which dat is June 1,
?6 . The executed Certificate of Authentication each Bond
�nall be conclusive evidence that it has been auth ticated and
delivered under this resolution.
13 . Reqistration; Transfer; Exchange. e City caili
cause to be kept at the principal office of the Bo Registrar
a bond register in which, subject to such reasonab
regulations as the Bond Registrar may prescribe, t Bond
Registrar shall provide for the registration of Bo s and the
registration of transfers of Bonds entitled to be gistered or
trans€erred as herein provided.
30
, . ���� �i�
A Global Certificate shall be registered 'n the name
of the payee on the books of the Bond Registrar by resenting
the Global Certificate for registration to the Bond Registrar,
who will endorse his or her name and note the date f
registration opposite the name of the payee in the ertificate
of registration on the Global Certificate. Thereaf er a Global
Certificate may be transferred by delivery with an ssignment
duly executed by the Holder or his, her or its lega
representative, and the City and Bond Registrar may treat the
Holder as the person exclusively entitled to exerci e all the
rights and powers of an owner until a Global Certif cate is
presented with such assignment for registration of ransfer,
accompanied by assurance of the nature provided by aw that the
assignment is genuine and effective, and until such transfer is
registered on said books and noted thereon by the B nd
Registrar, all subject to the terms and conditions rovided in
the Resolution and to reasonable regulations of the Issuer
contained in any agreement with, or notice to, the ond
Registrar.
Upon surrender for transfer of any Replac ment Bond
at the principal office of the Bond Registrar, the ity shall
execute ( if necessary) , and the Bond Registrar shal
authenticate, insert the date of registration (as p ovided in
paragraph 12) and deliver, in the name of the desig ated
transferee or transferees, one or more new Replacem nt Bonds of
any authorized denomination or denominations of a 1 ke
aggregate principal amount, having the same stated aturity and
interest rate, as requested by the transferor; prov 'ded,
however, that no bond may be registered in blank or in the name
of "bearer" or similar designation.
At the option of the holder of a Replacem nt Bond ,
Replacement Bonds may be exchanged for Replacement onds of any
authorized denomination or denominations of a like ggregate
principal amount and stated maturity, upon surrende of the
Replacement Bonds to be exchanged at the principal ffice of
the Bond Registrar. Whenever any Replacement Bonds are so
surrendered for exchange, the City shall execute ( i
necessary) , and the Bond Registrar shall authenticate, insert
the date of registration of, and deliver the Repla ment Bonds
which the holder making the exchange is entitled t receive.
Global Certificates may not be exchanged for Globa
Certificates of smaller denominations.
31
� . � ��- � i�'
' All Bonds surrendered upon any exchange o transfer
provided for in this resolution shall be promptly c ncelled by
the Bond Registrar and thereafter disposed of as di ected by
the City.
All Bonds delivered in exchange for or up n transfer
of Bonds shall be valid general obligations of the ity
evidencing the same debt, and entitled to the same enefits
under this resolution, as the Bonds surrendered for such
exchange or transfer.
Every Bond presented or surrendered for t ansfer or
exchange shall be duly endorsed or be accompanied b a written
instrument of transfer, in form satisfactory to the Bond
Registrar, duly executed by the holder thereof or h s attorney
duly authorized in writing.
The Bond Registrar may require payment of a sum
sufficient to cover any tax or other governmental c arge
payable in connection with the transfer or exchange of any Bond
and any legal or unusual costs regarding transfers nd lost
Bonds.
Transfers shall also be subject to reason ble regula-
tions of the City contained in any agreement with, r notice
to, the Bond Registrar, including regulations whic permit the
Bond Registrar to close its transfer books between ecord dates
and payment dates.
14. Rights Upon Transfer or Exchange. ach Bond
delivered upon transfer of or in exchange for or i lieu of any
other Bond shall carry all the rights to interest ccrued and
unpaid, and to accrue, which were carried by such ther Bond.
15. Interest Pa ent; Record Date. Int rest on any
Global Certificate shall e paid as provi e in th first
paragraph thereof, and interest on any Replacement Bond shall
be paid on each interest payment date by check or raft mailed
to the person in whose name the Bond is registered (the
"Holder" ) on the registration books of the City ma ntained by
the Bond Registrar, and in each case at the addres appearing
thereon at the close of business on the fifteenth 15th)
calendar day preceding such interest payment date the "Regular
Record Date" ) . Any such interest not so timely pa d shall
cease to be payable to the person who is the Holde thereof as
of the Regular Record Date, and shall be payable t the person
who is the Holder thereof at the close of business on a date
32
. . �',� ��- �� r
(the "Special Record Date") fixed by the Bond Regis rar
whenever money becomes available for payment of the defaulted
interest. Notice of the Special Record Date shall e given by
the Bond Registrar to the Holders not less than ten ( 10) days
prior to the Special Record Date. The term "Holder' shall also
include those lawfully entitled to take actions on ehalf of
the beneficial owners of the Bonds for purposes of ny consent
or approvals given by Holders.
16 . Treatment of Registered Owner. The ity and the
Bond Registrar may treat the person in whose name a y Bond is
registered as the owner of such Bond for the purpos of
receiving payment of principal of and premium, if a y, and
interest (subject to the payment provisions in para raph 15
above) on, such Bond and for all other purposes wha soever
whether or not such Bond shall be overdue, and neit er the City
nor the Bond Registrar shall be affected by notice o the
contrary.
17. Deliver ; A lication of Proceeds. he Global
Certificates when so prepare an execute s a be delivered
by the Director, Department of Finance and Manageme t Services,
to the Purchaser upon receipt of the purchase price and the
Purchaser shall not be obliged to see to the proper application
thereof.
18. Funds. There are hereby created tw special
funds to be designated the "CSO Street Reconstructi n Bond
Fund" (numbered 926 , herein the "Reconstruction Fun ") and the
"General Obligation Street Improvement Special Ass sment Debt
Service Fund" (numbered 963, herein the "Debt Servi e Fund" ) ,
each to be held and administered by the City Treas er separate
and apart from all other funds of the City. The F ds shall be
maintained in the manner herein specified until all of the
Bonds herein authorized and the interest thereon h ve been
fully paid.
( i) Reconstruction Fund. To the Recon truction
Fund there shall be credited the proceeds of he sale of
the Bonds herein authorized, less accrued int rest
received thereon, and less any amount paid fo the Bonds
in excess of $2 ,357 ,760 and less capitalized 'nterest in
the amount of $129 ,260 ( together with interes earnings
thereon and subject to such other adjustments as are
appropriate to provide sufficient funds to pa interest
due on the Bonds on or before February 1 , 198 ) . From the
Reconstruction Fund there shall be paid all c sts and
33
.� .� ���-��� �
expenses of making the Improvements listed in aragraph
19 , including the cost of any construction con racts
heretofore let and all other costs incurred an to be
incurred of the kind authorized in Minnesota S atutes,
Section 475.65; and the moneys in the Reconstr ction Fund
shall be used for no other purpose except as o herwise
provided by law; provided that the proceeds of the Bonds
may also be used to the extent necessary to pa interest
on the Bonds due prior to the anticipated date of
commencement of the collection of taxes or spe ial
assessments herein covenanted to be levied; an provided
further that if upon completion of the Improve ents there
- shall remain any unexpended balance in the Rec nstruction
Fund, the balance may be transferred by the Co ncil to the
fund of any other improvement instituted pursu nt to the
• City's Charter or Minnesota Statutes, Chapter 29.
( ii) Debt Service Fund. There is hereby pledged and
there shall be credited to the Debt Service Fu d (a) all
collections of special assessments herein cove anted to be
levied; (b) all accrued interest received upon delivery of
the Bonds; (c) all funds paid for the Bonds in excess of
52,357 ,760; (d) capitalized interest in the am unt of
$129 ,260 (together with interest earnings ther on and
subject to such other adjustments as are appro riate to
provide sufficient funds to pay interest due o the Bonds
on or before February 1 , 1987 ) ; (e) any collec ions of all
taxes which may hereafter be levied in the eve t that the
special assessments herein pledged to the paym nt of the
Bonds and interest thereon are insufficient th refor; ( f)
all funds remaining in the Reconstruction Fund after
completion of the Improvements and payment of he costs
thereof, not so transferred to the account of nother
improvement; and (g) all investment earnings o funds held
in the Debt Service Fund.
The Debt Service Fund herein created shall be sed solely
to pay the principal and interest and any premiums or
redemption of the Bonds issued hereunder and any ot er general
obligation bonds of the City hereafter issued by th City and
made payable from the Debt Service Fund as provided by law.
Any sums from time to time held in the Reconstructi n Fund or
Debt Service Fund (or any other City fund or accoun which will
be used to pay principal or interest to become due n the bonds
payable therefrom) in excess of amounts which under the
applicable federal arbitrage regulations may be inv sted
without regard as to yield shall not be invested at a yield in
34
,
. � ��-� �9
excess of the applicable yield restrictions imposed by said
arbitrage regulations on such investments after tak ng into
account any applicable "temporary periods" made ava lable under
the federal arbitrage regulations. Money in the Re onstruction
Fund or Debt Service Fund shall not be invested in bligations
or deposits issued by, guaranteed by or insured by he United
States or any agency or instrumentality thereof if nd to the
extent that such investment would cause the Bonds t be
"federally guaranteed" within the meaning of Sectio 103(h) of
the Internal Revenue Code of 1954 , as amended.
19. Assessments; Coverage Test. The Cit Council
has heretofore determined, and does hereby determin , to
proceed with the Improvements and special assessmen s with
respect thereto under the provisions of Minnesota S atutes,
• Chapter 429 , rather than the provisions of the Char er of the
City. It is hereby determined that no less than 20 of the
cost to the City of each Improvement financed hereu der within
the meaning of Minnesota Statutes, Section 475.58, ubdivision
1( 3 ) , shall be paid by special assessments to be le ied against
every assessable lot, piece and parcel of land bene ited by the
Improvements. The City hereby covenants and agrees that it
will let all construction contracts not heretofore et within
one year after ordering each Improvement financed h reunder
unless the resolution ordering the Improvement spec' fies a
different time limit for the letting of constructio contracts
and will do and perform, as soon as they may be don , all acts
and things necessary for the final and valid levy o such
special assessments, and in the event that any such assessment
be at any time held invalid with respect to any lot, piece or
parcel of land due to any error, defect, or irregul rity, in
any action or proceedings taken or to be taken by t e City or
this Council or any of the City officers or employe s, either
in the making of the assessments or in the perform ce of any
condition precedent thereto, the City and this Cou il will
forthwith do all further acts and take all further roceedings
as may be required by law to make the assessments a valid and
binding lien upon such property. The special asse sments have
not heretofore been authorized, and accordingly, f r purposes
of Minnesota Statutes, Section 475.55 , Subdivision 3 , the
special assessments are hereby authorized. Subjec to such
adjustments as are required by conditions in exist nce at the
time the assessments are levied, the assessments a hereby
authorized and it is hereby determined that the as essments
shall be payable in equal, consecutive, annual ins allments,
with general taxes for the years shown below and w'th interest
on the declining balance of all such assessments a a rate per
annum approximately one percent (1$) per annum in xcess of the
net effective rate of interest on the Bonds:
35
,:
. �� �-���
Improvement Collection
Designation Amount Levy Years Years
Hawthorne/Ruth 5581 ,900 1986-2005 1987-2006
Maryland/Galtier 561 ,300 1986-2005 1987-2006
Payne/Arcade 802,200 1986-2005 1987-2006
University/Snelling 852,000 1986-2005 1987-2006
Middle Belt Line 315 ,600 1986-2005 1987-2006
The special assessments shall be such tha if
collected in full they, together with estimated col ections of
other revenues herein pledged for the payment of th Bonds,
will produce at least five percent (5$) in excess o the amount
needed to meet when due the principal and interest ayments on
the Bonds. At the time the assessments are in fact levied the
City Council shall, based on the then current estim ted col-
lections of the assessments, make any adjustments i any ad
valorem taxes required to be levied in order to ass re that the
City continues to be in compliance with Minnesota tatutes,
Section 475.61, Subdivision 1.
20. Tax Levy. If taxes are levied as p ovided in
the final part of paragraph 19, the tax levies sha 1 be
irrepealable so long as any of the Bonds are outst nding and
unpaid, provided that the City reserves the right nd power to
reduce the levies in the manner and to the extent ermitted by
Minnesota Statutes, Section 475.61, Subdivision 3.
21 . General Obli ation Pled e. For the prompt and
full payment of the principa an interest on the onds, as the
same respectively become due, the full faith, cred t and taxing
powers of the City shall be and are hereby irrevoc bly pledged.
If the balance in the Debt Service Account is ever insufficient
to pay all principal and interest then due on the onds payable
therefrom, the deficiency shall be promptly paid o t of any
other funds of the City which are available for su h purpose,
and such other funds may be reimbursed with or wit out interest
from the Debt Service Account when a sufficient ba ance is
available therein.
22. Retroactivel Effective Federal Le slation. On
the date this Reso u ion is a op e , . . o e ci ed as
the "Tax Reform Act of 1985" , herein referred to a the
"Pending Act") has been passed by the United State House of
Representatives and proposed to amend the Internal Revenue Code
of 1954, as amended, to provide for, among other t ings, the
retroactive imposition of additional restrictions n bonds
36
� - ���- �iy
exempt from federal income taxation issued on or af er
January 1 , 1986. On March 14 , 1986 , a joint statem nt (the
"Joint Statement" ) was made by the ranking majority and
minority members of the House Ways and Means Commit ee and the
Senate Finance Committee and the Secretary of the T easury
relating to the effective date of selected provisio s of the
Pending Act as it relates to certain bonds ( includi g the
Bonds) . The Joint Statement stated the five indivi uals are
endorsing a selective postponement of the effective date of
certain provisions and restrictions of the Pending ct to
September 1 , 1986 , or until the enactment date of x reform
legislation, whichever occurs sooner. On the basi of the
Joint Statement the City will not attempt to compl with all
provisions of the Pending Act, but shall, and here covenants
to, comply with that provision of the Pending Act he effective
date of which will not be postponed if the Joint S atement is
given effect, unless and to the extent in the opin'on of bond
counsel compliance with such provision is not nece sary to
maintain the tax-exempt status of the Bonds. Spec fically, the
City represents and covenants that the City shall omply with
rules relating to the calculation of yield on the onds based
on their issue price. In addition, if the Pending Act is
enacted in a form different from that adopted by t e House of
Representatives on December 17 , 1985, after incorp rating the
effective date provisions of the Joint Statement a amendments,
and as enacted imposes any other requirements retr actively
effective to the time the Bonds are issued, the Ci y shall use
its best efforts to meet such requirements, provid d that in
meeting such requirements the City will do so only to the
extent consistent with the purposes of this Resolu ion, to the
extent consistent with the Constitution and laws o the United
States and the State of Minnesota, and to the exte t that there
is a reasonable period of time within which to com ly.
23. Certificate of Re istration. The Di ector,
Department of Finance an anagement . ervices, is ereby
directed to file a certified copy of this Resoluti n with the
County Auditor of Ramsey County, Minnesota, toget r with such
other information as the Auditor shall require, a to obtain
the Auditor's certificate that the Bonds have bee entered in
the Auditor's Bond Register.
24. Records and Certificates. The offi ers of the
City are hereby authorized and directed to prepar and furnish
to the Purchaser, and to the attorneys approving he legality
of the issuance of the Bonds, certified copies of all
proceedings and records of the City relating to t e Bonds and
37
. . ��- ��,../�g
, �
to the financial condition and affairs of the City, and such
other affidavits, certificates and information as a e required
to show the facts relating to the legality and mark tability_ of
the Bonds as the same appear from the books and rec rds under
their custody and control or as otherwise known to hem, and
all such certified copies, certificates and affidav'ts, in-
cluding any heretofore furnished, shall be deemed r presen-
tations of the City as to the facts recited therein.
25. Ne ative Covenant as to Use of Im rov ments. The
City hereby covenants not to use the Improvements o to cause
them to be used in such a manner as to cause the B ds to be
" industrial development bonds" , "consumer loan bonds" , or
"mortgage subsidy bonds" , as those terms are defin in
Sections 103(b) , 103(0) , and 103A of the federal I ternal
Revenue Code of 1954, as amended.
26. Depository Letter Agreement. The De ository
Letter Agreement is hereby approved, and shall be xecuted on
behalf of the City by the Mayor, Clerk and Directo , Department
of Finance and Management Services, in substantial y the form
approved, with such changes, modifications, additi ns and
deletions as shall be necessary and appropriate an approved by
the City Attorney. Execution by such officers of he
Depository Letter Agreement shall be conclusive ev de•�ce as to
the necessity and propriety of changes and their a pr�val by
the City Attorney. So long as Midwest Securities rust Company
is the Depository or it or its nominee is the Hold r :Ff any
Global Certificate, the City shall comply with the pr�visions
of the Depository Letter Agreement, as it may be a ended or
supplemented by the City from time to time with th agreement
or consent of Midwest Securities Trust Company.
38
- GTV CLERK
.NK- -- FINANCE G I TY OF SA I NT PALT L Coun il . �� ( 9
CANqRV - DEPARTMENT
.BLUE y - MAVOR File NO.
Council Resolution
Presented By
Referred To Committee: Date
Out of Committee By Date
27 . Severa�ility. If any section, par graph or
provision of this resolution shall be held to be i:nvalid or
unenforceable for any reason, the invalidity or nenforce-
ability of such section, paragraph or provision hall not
affect any of the remaining provisions of this r solution.
28. Headings. Headings in this resolu ion are
included for covenience of reference only, and a e not a part
hereof.
COUNCILMEN Requested by Department
Yeas p�eW Nays �
�� Department of Finan e and Manageme Services
Rettman I(1 F8V0[
Scheibel �
Sonnen __ AgaitlSt BY �
Tedesco
Wilson
MAY j � �6 Form Approv y City Att ey
Adopted by Council: Date
Certified Pa-s y ouncil S et y BY '
sy-
Appro y Mavor: Date MAY 1 � 1�06 Approved by Mayor for Sub ission to Council
By _ _ sy
PUBl4SNED M AY 2 4 �98'6
..-� ..
SPRINGSTED INCORPORATED
Public Fnance Advisors
85 East Seventh Place,Suite 100
Saint Paul,Minnesota 55101•2143
612•223•3000
� $2,400,000
CITY OF SAINT PAUL, MINNESOTA
GENERAL OBLIGATION
STREET IMPROVEMENT SPECIAL ASSESSMENT BONDS, 5ER1 S 1986
. AWARD: THE FIRST NATIONAL BANK OF CHICAGO
and Associates
SALE: May 13, 1986 Moody's Rating: Aa
S & P Rating: AA+
nterest et n#erest
Bidder Rates Price Cost & Rate
THE FIRST NATIONAL BANK OF 5.009b I 988 $2,362,302.0 $I ,970,058.00
CHICAGO 5.25°6 1989 (7.350%)
and Associates 5.50°�'0 1990 �
5.75% 1991
6.00% 1992
6.25% 1993
6.509'0 1994
6.7596 I995
7.00% 1996
7. 109'0 1997
7.20°� 1998
7.30% 1999
� 7.4096 2000-2001
7.50% 2002-2004
7.6090 2005
7.70°�'0 2006-2007
MERRILL LYNCH CAPITAL MARKETS 5.25� I 988 $2,359,200.00 $I ,971 ,840.00
and Associates 5.50% 1989 (7.35769'0)
5.7596 1990
6.0090 1991
6.209'0 1992
6.40% 1993
6.6090 1994 -
6.8096 1995
7.00% t 996
� 7. 10% 1997
7.209'0 1998
7.259'0 1999
7.309b 2000
7.359b 2001-2002
7.409'0 2003-2004
7.509'0 2005-2007
HARRIS TRUST AND SAVINGS BANK 5.25°� I 988 $2,357,943.60 $I ,972,056.40
and Associates 5.509b 1989 (7.35849'0)
5.75% 1990
6.00°l� 1991
6.20°� 1992
6.40% 1993
6.60% 1994 �
6.80% 1995
7.009b 1996
7. 10% 1997
7.209b 1998
7.3096 1999
7.40�6 2000
7.5090 2001-2007