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267285 vf� iM�NT GITY OF SAINT PAITL Council ������ File N 0. \ _ C cil Resolution �. �ented By � Referred To Committee: Date Out of Committee By Date WHEREAS, the City of Saint Paul has of�'ered for sale General Obligation Refunding Bonds of 1976, Series A, B, C, D and E, in the aggregate principal amount of $25,8g0,000; and WHEREAS, under applicable federal arbitrage regulations only the "Minor Portion"of the proceeds of each series of such refunding bonds may be invested at unrestricted yields; and WHEREAS, the balance of the proceeds of each such series of refund- ing bvnds ("Ma�or Portion Proceeds" ) is required to be invested at restricted yields to assure compliance with applicable federal arbitrage regulations ; and WHEREAS, investment of the "Ma�or Portion Proceeds" may result either in (i) third party profits being realized by Piper, Jaffray & Hopwood � Incorporated (the "Escrow Managers") from the sale of federal securities at a price in excess of the market value therefor; or (ii) third party profits being realized by the U. S. Treasury Department from the sale of U. S. Treasury obligations, state and local Government Services , under 31 CFR 344, in excess of the market value therefor; now therefore, be it RESOLVED, by the Council of the City of Saint Paul, Minnesota, that the investment of the Ma,jor Portion Proceeds in connection with each such refunding shall be structured so that the benefits described above are realized solely by the Escrow Managers; and be it FURTHER RESOLVED, that as a precondition to the Escrow Managers realizing such third party profits in excess of its costs and expenses , the City and the Escrow Managers shall enter into an agreement implementing the terms and conditions of this resolution and providing that the Escrow Managers shall agree to (i) indemnify the City against any claims or losses arising out of the refunding; (ii) reimburse the City at any time during which the required escrow remains outstanding for any portion of COUNCILMEN Requested by Department of: Yeas Nays Christensen Hozza In Favor Levine Rcedler Against BY Sylvester Tedesco President Hunt Form Approved by C' Attorney Adopted by Council: Date Certified Passed by Council Secretary BY By Approved by Mayor: Date Approved by Mayor for Submission to Council By By WHI7E - CITY CLERK ���� ^� PINK - E#NqNCE COI111C11 � �� CAN 'RY- DEPARTMENT GITY OF SAINT PAUL File NO. K BLU� -MAYOF� r Council Resolution Presented By Referred To Committee: Date Out of Committee By Date such excess third party profits, together with interest thereon at 6� per annum, to which the City determines , upon advice of its Bond Counsel that it is entitled as a result of any changes in the federal arbitrage regula- tions or in the interpretation thereof; (iii) with respect to each issue of' the refunding bonds sold, sell to the City that portion of the required escrow to be purchased from the "minor portion" of the bond proceeds at a price based on the current yield on Federal obligations used in determining such minimum savings to be derived from such purchase; and (iv) fully disclose upon issuance of the refunding bonds the extent of such excess third party profits, all in accordance with the form of Agreement presented to the City Council and hereby approved; and the Mayor and the Director of Finance and Management Services are hereby authorized and directed to exe- cute said Agreement on behalf of the City. COUNCILMEIV Requested by Department of: Yeas Nays Christen en �•Ieeeer �l�'�I'�.� In Favor Levine Rcedler � Against BY Sylvester �Ld�S�b President �E�p''L� Adopted by Council: Date ���Y � � �976 Form Approved by City Attorney Certifie a d Co c S etary BY By Approv Mayor: D e �� � Approved by Mayor for Submission to Council By By BUSiiEO ,�(�� � � WHITE - CITY CI.ERK Z�o '�.Z��� PINK - FINANCE CO11I1C11 CAN�ARY - DEPARTMENT GITY OF SAINT PAUL t BLUE -MAVOR� � Fll@ NO. � � � Council Resolution Presented By Referred To Committee: Date Out of Committee By Date WHEREAS, the City of Saint Paul has offered for sale General Obligation Refunding Bonds of 1976, Series A, B, C, D and E, in the aggre- gate principal amount of $25,890,000; and , WHEREAS, uncT�r applicable federal arbitrage regulat�S.ons only the "minor portion" of the proceeds of each series of such ref ding bonds may be invested at unrestrict�ed yields; and WHEREAS, the balari�e of the proceeds of eac such series of refunding bonds (the "Major F�rtion Proceeds") is re uired to be invested at restricted yields to assure`,compliance with app cable federal arbitrage regulations; and WHEREAS, investment of �he "Major P tion Proceeds" may result either in (i) third party profits being real ' zed by Piper, Jaffray & Hopwood Incorporated (the "Escrow Managers") from e sale of federal securities at a price in excess of the market value erefor; or (ii) third party profits being realized by the U. S. Tre ury Department, from the sale of U. S. Treasury obligations, state and ocal Government Services, under 31 CFR 344 , at a price in excess of e market value therefor; now therefore be it RESOLVED, by the Coun il of the City of Saint Paul, Minnesota, that Springsted, Incorporated as fiscal consultants to the City, is hereby authorized and direct d to require that the investment of the Major Portion Proceeds in connec on with each such refunding be structured to the maximum extent practi able so that the benefits described above are realized by the Escrow nagers in an amount equal to all out-of-pocket costs and expenses (as et forth in paragraph 12 0� the Escrow Managers' proposal of 'March 24, 976) reasonably incurred in connection with the refunding plus $100, 00 and 10� of the net reduction in debt service resulting from the efunding and so that the remainin� balance of such third party profi is realized by the United States Gpvernment; and be it `\ COUIVCILMEIV Requested by Department� Yeas Nays Christensen �� Hozza In Favor Levine Rcedler B Sylvester Against Y Tedesco President Hunt Form Approved by Ci torney Adopted by Council: Date Certified Passed by Council Secretary BY By Approved by Mayor: Date Approved by Mayor for Submission to Cou cil BY BY WH17E - CITY CLERK � PIN,K - FINANCE GITY OF SAINT PAZIL Council CANARY - DEPARTMENT BLUE - MAYOR File NO. � � � Council Resolution Presented By .� � Referred To ' Committee: Date Out of Committee B � Date � � � FURTHER RESOL D, that as a precondition to the Escrow Managers realizing such third pa y profits in excess of its costs and expenses, the City and the Escrow nagers shall enter into an agreement implement- ing the terms and conditio s of this resolution and providing that the Escrow Managers shall agree to (i) indemnify the City against any claims or losses arising out of the efunding; (ii) reimburse the City at any time during which the require escrow remains outstanding for any portion of such excess third party pro 'ts, together with interest thereon at 6� per annum, to which the City det rmines, upon advice of its Bond Counsel, that it is entitled as a result o any changes in the federal arbitrage regulations or in the interpretati n thereof; (iii) with respect to each issue of refunding bonds sold, sell to the City that portion of the required escrow to be purchased from the "Minor Portion" of the bond proceeds at a price based on the curr nt yield on federal obligations used in determining such minimum savin s to be derived from such purchase; and (iv) fully disclose upon issuance o�� the refunding bonds the extent of such third party profits; all in accoi�dance with the form of Agreement presented to the City Council and hereby a proved; and the Mayor and the Director of Finance and Management Service� are hereby authorized and directed to execute said Agreement on behali�� of the City. ��. \\ `� � COUNCILMEN Requested by Department of: Yeas Nays Christensen Hozza In Favor Levine Rcedler Against BY Sylvester Tedesco President Hunt �. Form Approved b City ttorney Adopted by Council: Date Certified Passed by Council Secretary BY By Approved by Mayor: Date Approved by Mayor for Submission to Council By By i WN17E - CITV C ' PII�K -- FINA TY F SAINT PAITL Council � CANARY - DEP RTMENT File NO. BLUE - MAY � � • � ` o ' Resolution � Presented By Referr o Committee: Date Out of Co ittee By Date WHERE , the City of Saint Paul has offered for sale General Obligation Refun 'ng Bonds of 1976, Ser�.es A, B, C, D and E, in the aggre- gate principal amo nt of $25,8g0,000; and WHEREAS, u der applicable federal arbitrage regulations only the "minor portion" of th proceeds of each series of such refunding bonds may be invested at unrestr ted yields; and WHEREAS, the ba ance of the proceeds of each such series of refunding bonds (the "Majo Portion Proceeds") is required to be invested at restricted yields to ass re compliance with applicable federal arbitrage regulations ; and WHEREAS, investment the Ma�or Portion Proceeds may result in either (i) third party profits eing realized by Piper, Jaffray & Hopwood Incorporated (the "Escrow Manage ") from the sale of federal securities at a price in excess of the market value therefor; or (ii) third party profits being realized by the U. S. Treasury Department , from the sale of U. S. Treasury obligations, state an local Government Services , under 31 CFR 344, at a price in excess of t e market value the�efor; now therefore, be it RESOLVED by the Council of the ity of Saint Paul, Minnesota, that Springsted Incorporated, as fiscal co sultants to the City, is hereby authorized and directed to require that the investment of the Major Por- tion Proceeds in connection with each such r funding be structured to the maximum extent practicable so that the benefi s described above are realized by the Escrow Managers only to the ext nt required to reimburse the Escrow Managers for all costs and expenses easonably incurred by the Escrow Managers in connection with said refu ding and so that the balance of said benefits are realized by the Unit d States Government . COUIVCILMEIV Requested by Department of: Yeas Nays Christensen Hozza In Favor Levine Rcedler Against BY Sylvester Tedesco President Hunt Adopted by Council: Date Form Approved b C' y Att ney Certified Passed by Council Secretary BY By Approved by Mayor: Date Approved by Mayor for Submission to Council By By ( WHITE - CITV CL � PINK - FINA CO1111C11 CANARY - DEP RTMEN ITY F SAINT PAITL File NO. B 1�.U E - M 07F � � ' ol tion Presented By � Referr d To Committee: Date Out of C mmittee By Date WHE AS, the City of Saint Paul has offered for sale General Obligation Refu ding Bonds of 1976, Series A, B, C, D and E, in the aggre- gate principal a ount of $25,890,000 ; and WHEREAS, under applicable federal arbitrage regulations only the "minor portion" of e proceeds of each series of such refunding bonds may be invested at unres icted yields ; and WHEREAS, the alance of the proceeds of each such series of refund- ing bonds (the "Ma�or Po tion Proceeds") is required to be invested at restricted yields to assu e compliance with applicable federal arbitrage regulations; and WHEREAS, investmen of the "Major Portion Proceeds" may result either in (i) third party pro ts being realized by Piper, Jaffray & Hopwood Incorporated (the "Escrow Mana rs") from the sale of federal securities at a price in excess of the market alue therefor; or (ii) third party profits being realized by the U. . Treasury Department , from the sale of U. S. Treasury obligations , state nd local Government Services , under 31 CFR 344, at a price in excess o the market value the�efor; now therefore be it RESOLVED by the Council of t e City of Saint Paul, Minnesota, that Springsted, Incorporated, as fisca consultants to the City, is hereby authorized and directed to re4uir that the investment of the Ma�or Portion Proceeds in connection with each uch refunding be structured to the maximum extent practicable so that the benefits described above are realized by the Escrow Managers in an amoun equal to all costs and expenses reasonably incurred by the Escrow Managers i connection with the refunding plus % of the present value of the balanc of such third party profits (not to exceed $ ) and so that the r aining balance of such third party profits is realized by the United tates Government ; and be it COUIVCILMEN Requested by De rtment of: Yeas Nays Christensen Hozza In Favor Levine �`� Rcedler Against BY ` Sylvester Tedesco President Hunt Adopted by Council: Date Form Approved by ity Attorney Certified Passed by Council Secretary BY By Approved by Mayor: Date Approved by Mayor for Submission to Council By By