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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 � ' � �- �'�- �i�� Z 1 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 1 , � ���-��1 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. � i 2 � , ��-,l�_C�i� � . 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: 3 ' ' �/=-' ��� �i y� 1 � 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. 4 � . ����9 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 5 � , � , C!� �� -�� ( 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 6 i � � ��''- � 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. 7 � , �-- ��- � �� 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. i 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 8 , , �%- ��- �i9 (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: 9 � �.��- �i� 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 � 10 f � � . �d'�-��% 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. 11 r . � ��- ��� 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 12 i . � ��-��9 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