Loading...
08-137AMENDED RESOLUTION Council File # �U ��� Grern Sheet # 3049616 CITY OF �AINT PAUL, MINNESOTA ��.. Presented By Referred To Committee: ACCEPTING PROPOSAL ON SALE OF APPROXIMATELY $10,510,000 GENERAL OBLIGATION PUBLIC SAFETY BONDS, SERIES 2008C, PROVIDING FOR THEIIt ISSUANCE, AND LEVYING A TAX FOR THE PAYMENT THEREOF [WESTERN POLICE STATION PROJECT] WHEREAS, the Director, Office of Financial Services, has presented proposals received for the sale of approximately $10,510,000 General Obligation Public Safety Bonds, Series 2008C (the "Bonds"), of the City of Saint Paul, Minnesota (the "City"); and 10 WHEREAS, the proposals set forth on Exhibit A attached hereto were received 11 pursuant to the Terms of Proposal at the offices of Springsted Incorporated at 10:00 A.M., 12 Central Time; this same day; and 13 WHEREAS, the Director, Office of Financial Services, has advised this Council 14 that the proposal of `�,{�i� `�f��,t �_i�i� S` �-�� was found to be the most advantageous 15 and has recommended that said proposal be accepted; and 16 WHEREAS, the proceeds of the Bonds will finance the acquisition and 17 betterment of the Westem District Police Station in the City, for which the City is proceeding 18 pursuant to Minnesota Statutes, Section 475.521, with any excess to be used for any other 19 purpose permitted by law; and 20 WHEREAS, the Bonds are issued in accordance with a capital improvement plan 21 adopted pursuant to Minnesota Statutes, Section 475.521, after a hearing held on January 2, 22 2008, on the plan and on the intention to issue bonds pursuant thereto after published notice 23 thereof; and . 24 WHEREAS, the Bonds are the first issued by the City pursuant to Minnesota 25 Statutes, Section 475.521, and do not exceed tl�e limitations on amount set forth in Subdivision 4 26 thereof; and 27 WIIEREAS, the City has heretofare issued registered obligations in certificated 28 form, and incurs substantial costs associated with their printing and issuance, and substantial 29 continuing transaction costs relating to their payment, transfer and exchange; and 30 WHEREAS, the City has determined that significant savings in transaction costs 31 will result from issuing bonds in "global book-entry form", by which bonds are issued in 32 certificated form in large denominations, registered on the books of the City in the name of a 2138354v3 �,��� 1 depository or its nominee, and held in safekeeping and immobilized by such depository, and such 2 depository as part of the computerized national securities clearance and settlement system (the 3 'National System") registers transfers of ownership interests in the bonds by making 4 computerized book entries on its own books and dishibutes payments on the bonds to its 5 Participants shown on its books as the owners of such interests; and such Participants and other 6 banks, brokers and dealers participating in the National System will do likewise (not as agents of 7 the City) if not the beneficial owners of the bonds; and 8 WHEREAS, "Participants" means those financial institutions for whom the 9 Depository effects book-entry transfers and pledges of securities deposited and immobilized with 10 the Depository; and 11 WHEREAS, The Depository Trust Company, a limited purpose trust company 12 organized under the laws of the State of New York, or any of its successors or successors to its 13 functions hereunder (the "Depository"), will act as such depository with respect to the Bonds 14 except as set forth below, and the City has heretofore delivered a letter of representations (the 15 "Letter of Representations") setting forth various matters relating to the Depository and its role 16 with respect to the Bonds; and 17 WHEREAS, the City will deliver the Bonds in the form of one certificate per 18 maturity, each representing the entire principal amount of the Bonds due on a particular maturity 19 date (each a"Global Certificate"), which single certificate per maturity may be transferred on the 20 City's bond register as required by the Uniform Commercial Code, but not exchanged for smaller 21 denominations unless the City determines to issue Replacement Bonds as provided below; and 22 WHEREAS, the City will be able to replace the Depository or under certain 23 circumstances to abandon the "global book-entry form" by permitting the Global Certificates to 24 be exchanged for smaller denominations typical of ordinary bonds registered on the City's bond 25 register; and "Replacement Bonds" means the certificates representing the Bonds so 26 authenticated and delivered by the Bond Registrar pursuant to paragraphs 6 and 12 hereof; and 27 WHEREAS, "Holder" as used herein means the person in whose name a Bond is 28 registered on the registration books of the City maintained by the registrar appointed as provided 29 in paragraph 8(the "Bond Registrar"); and 30 WHEREAS, Rule 15c2-12 of the Securities and Exchange Commission prohibits 31 "participating underwriters" from purchasing ar selling the Bonds unless the City undertakes to 32 provide certain continuing disclosure with respect to the Bonds; and 33 WHEREAS, pursuant to Minnesota Statutes, Secrion 475.60, Subdivision 2(9), 34 public sale requirements do not apply to the Bonds if the City retains an independent financial 35 advisor and determines to sell the Bonds by private negotiarion, and the City has instead 36 authorized a competitive sale without publication of notice thereof as a form of private 37 negotiation; and 38 WHEREAS, proposals for the Bonds have been solicited by Springsted 39 Incorporated pursuant to an Official Statement and Terms of Proposal therein; and 2138354v4 �� � I "!� 1 WHEREAS, the City retained the right to reduce the principal amount of the 2 Bonds from the proposed $10,510,000, but the City has determined to make no change: 3 NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Saint 4 Paul, Minnesota, as follows: 5 1. Acceptance of ProposaL The proposal of UBS Securities LLC (the 6 "Purchaser") to purchase $10,510,000 General Obligation Public Safety Bonds, Series 2008C, of 7 the City (the "Bonds", or individually a"Bond"), in accordance with the Terms of Proposal for 8 the bond sale, at the rates of interest set forth hereinafter, and to pay for the Bonds the sum of 9 $10,480,572.00, plus interest accrued to settlement, is hereby found, determined and declared to 10 be the most favorable proposal received and is hereby accepted for Bonds in the principal 11 amount of $10,510,000 for a purchase price of $10,480,572.00, plus interest accrued to 12 settlement, and the Bonds are hereby awarded to the Purchaser. The Director, Office of 13 Financial Services, or his designee, is directed to retain the deposit of the Purchaser and to 14 forthwith return to the others making proposals their good faith checks or drafts. 15 2. Title; Oriainal Issue Date; Denominations; Maturities. The Bonds shali be 16 titled "General Obligation Public Safety Bonds, Series 2008C", shall be dated March 1, 2008, as 17 the date of original issue and shall be issued forthwith on or a8er such date as fully registered 18 bonds. The Bonds shall be numbered from R-1 upward. Global Certificates sha11 each be in the 19 denomination of the entire principal amount maturing on a single date, or, if a portion of said 20 principal amount is prepaid, said principal amount less the prepayment. Replacement Bonds, if 21 issued as provided in paragraph 6, sha11 be in the denomination of $5,000 each or in any integral 22 multiple thereof of a single maturity. The Bonds shall mature on May 1 and November 1 on the 23 dates and in the amounts as follows: Date May 1, 2009 November 1, 2009 May 1, 2010 November 1, 2010 May 1, 2011 November 1, 2011 May 1, 2012 November 1, 2012 May 1, 2013 November 1, 2013 May 1, 2014 November 1, 2014 May 1, 2015 November l, 2015 May 1, 2016 November 1, 2016 May 1, 2017 Amount $130,000 135,000 135,000 140,000 140,000 145,000 145,000 150,000 150,000 155,000 155,000 160,000 160,000 165,000 165,000 170,000 175,000 Date November 1, 2017 May 1, 2018 November 1, 2018 May 1, 2019 November 1, 2019 May 1, 2020 November 1, 2020 May 1, 2021 November 1, 2021 May l, 2022 November 1, 2022 November l, 2023 November l, 2024 November 1, 2025 November 1, 2028 May 1, 2033 Amount 175,000 180,000 185,000 185,000 190,000 195,000 200,000 200,000 205,000 210,000 215,000 445,000 465,000 485,000 1,585,000 2,815,000 2138354v4 ��-��� 1 The above maturity schedule differs from the schedule in the Terms of Proposal as to term 2 bonds. 3 3. Purpose. The Bonds shall provide funds for the acquisition and betterment 4 of capital improvements in the City's 2008 "Minnesota Statutes 475.521 Special Purpose Plan" in 5 its capital improvement budget, specifically the Western Dishict Police Station in the City (the 6 "Improvements"). The proceeds of the Bonds shall be deposited and used as provided in 7 paragraph 17, and any excess moneys shall be devoted to any other purpose permitted by law. 8 The total cost of the Improvements, which shall include all costs enumerated in Minnesota 9 Statutes, Section 475.65, is estimated to be at least equal to the amount of the Bonds. Work on 10 the Improvements shall proceed with due diligence to completion. 11 4. Interest. The Bonds shall bear interest payable semiannually on May 1 12 and November 1 of each year (each, an"Interest Payment Date"), commencing November 1, 13 2008, calculated on the basis of a 360-day year of twelve 30-day months, at the respective rates 14 per annum set forth opposite the maturity dates as follows: Maturitv Date May 1, 2009 November 1, 2009 May 1, 2010 November 1, 2010 May 1, 2011 November 1, 2011 May l, 2012 November 1, 2012 May l, 2013 November 1, 2013 May 1, 2014 November 1, 2014 May 1, 2015 November 1, 2015 May 1, 2016 November l, 2016 May 1, 2017 Interest Rate 3.000% 3.000 4.000 4.000 4.000 4.000 4.000 4.000 4.000 4.000 4.000 4.000 4.000 4.000 4.000 4.000 4.000 Maturitv Date November 1, 2017 May 1, 2018 November 1, 2018 May 1, 2019 November 1, 2019 May 1, 2020 November l, 2020 May 1, 2021 November 1, 2021 May 1, 2022 November l, 2022 November 1, 2023 November 1, 2024 November 1, 2025 November 1, 2028 May 1, 2033 Interest Rate 4.000% 4.000 4.000 4.000 4.000 4.000 4.000 4.000 4.000 4.000 4.000 4.000 4.250 4.250 4.250 4.375 15 5. Description of the Global Certificates and Global Book-Entrv Svstem. 16 Upon their original issuance the Bonds will be issued in the form of a single Global Certificate 17 far each maturity, deposited with the Depository or its agent by the Purchaser and immobilized 18 as provided in paragaph 6. No beneficial owners of interests in the Bonds will receive 19 certificates representing their respective interests in the Bonds except as provided in paragraph 6. 20 Except as so provided, during the term of the Bonds, beneficial ownership (and subsequent 21 transfers of beneficial ownership) of interests in the Global Certificates will be reflected by book 22 entries made on the records of the Depository and its Participants and other banks, brokers, and 23 dealers participating in the National System. The Depository's book entries of beneficial 24 ownership interests are authorized to be in increments of $5,000 of principal of the Bonds, but 2138354v4 4 ����� 1 not smaller increments, despite the larger authorized denominations of the Global Certificates. 2 Payment ofprincipal of, premium, if any, and interest on the Global Certificates will be made to 3 the Bond Registraz as paying agent, and in turn by the Bond Registrar to the Depository or its 4 nominee as registered owner of the Global Certificates, and the Depository according to the laws 5 and rules goveming it will receive and forward payments on behalf of the beneficial owners of 6 the Global Certificates. 7 Payment of principal of, premium, if any, and interest on a Global Certificate may in the 8 City's discretion be made by such other method of transferring funds as may be requested by the 9 Holder of a Global Certificate. 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 6. Immobilization of Global Certificates by the Depositorv; Successor Depository; Replacement Bonds. Pursuant to the request of the Purchaser to the Depository, which request is required by the Terms of Proposal, immediately upon the original delivery of the Bonds the Purchaser will deposit the Global Certificates representing all of the Bonds with the Depository or its agent. The Global Certificates shall be in typewritten form or otherwise as acceptable to the Depository, shall be registered in the name of the Depository or its nominee and shall be held immobilized from circulation at the offices of the Depository or its agent on behalf of the Purchaser and subsequent bondowners. The Depository or its nominee will be the sole holder of record of the Global Certificates and no investor or other party purchasing, selling or otherwise transfemng ownership of interests in any Bond is to receive, hold or deliver any bond certificates so long as the Depository holds the Global Certificates immobilized from circulation, except as provided below in this paragraph and in paragraph 12. Certificates evidencing the Bonds may not after their original delivery be transfened or exchanged except: (i) Upon registration of transfer of ownership of a Global Certificate, as providedin paragraph 12, 26 (ii) To any successor of the Depository (or its nominee) or any substitute 27 depository (a "substiYute depository") designated pursuant to clause (iii) of this 28 subparagraph, provided that any successor of the Depository or any substitute depository 29 must be both a"clearing corporation" as defined in the Minnesota Uniform Commercial 30 Code at Minnesota Statutes, Section 336.8-102, and a qualified and registered "clearing 31 agency" as provided in Section 17A of the Securities Exchange Act of 1934, as amended, 32 (iii) To a substitute depository designated by and acceptable to the City upon 33 (a) the determination by the Depository that the Bonds shall no longer be eligible for its 34 depository services or (b) a deterxnination by the City that the Depository is no longer 35 able to carry out its functions, provided that any substitute depository must be qualified to 36 act as such, as provided in clause (ii) of this subparagraph, or 37 (iv) To those persons to whom transfer is requested in written transfer 38 instructions in the event that: 2138354v4 �,i�'I 1 (a) the Depository sha11 resign or discontinue its services for the 2 Bonds and the City is unable to locate a substitute depository within two (2) 3 months following the resignation or determination of non-eligibility, or 4 (b) upon a determination by the City in its sole discretion that (1) the 5 continuation of the book-entry system described herein, which precludes the 6 issuance of certificates (other than Global Certificates) to any Holder other than 7 the Depository (or its nominee), might adversely affect the interest of the 8 beneficial owners of the Bonds, or (2) that it is in the best interest of the beneficial 9 owners of the Bonds that they be able to obtain certificated bonds, 10 in either of which events the City shall notify Holders of its determination and of the 11 availability of certificates (the "Replacement Bonds") to Holders requesting the same and 12 the registration, transfer and exchange of such Bonds will be conducted as provided in 13 paragraphs 9B and 12 hereof. 14 In the event of a succession of the Depository as may be authorized by this 15 paragraph, the Bond Registrar upon presentation of Global Certificates shall register their 16 transfer to the substitute or successor depository, and the substitute or successor depository shall 17 be treated as the Depository far all purposes and functions under this resolution. The Letter of 18 Representations shall not apply to a substitute or successor depository unless the City and the 19 substitute or successor depository so agree, and a similu agreement may be entered into. � 21 22 23 24 25 26 27 28 29 30 31 7. Redemption. (a) Optional Redemption; Due Date. All Bonds maturing after May 1, 2018, shall be subject to redemption and prepayment at the option of the City on such date and on any day thereafter at a price of par plus accrued interest. Redemption may be in whole or in part of the Bonds subject to prepayment. If redemption is in part, those Bonds remaining unpaid may be prepaid in such order of maturity and in such amount per maturity as the City shall determine (treating amounts scheduled for mandatory redemption as maturities); 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 to be prepaid shall be chosen by lot by the Bond Registrar. Bonds ar portions thereof called for redemption shall be due and payable on the redemption date, and interest thereon shall cease to accrue from and after the redemption date. 32 (b) Scheduled Mandatory Redem tp ion. Term Bonds maturing on November 1, 2023, 33 are subject to redemption and prepayment on May 1, 2023, at a price of par plus accrued interest, 34 without premium, in the amount set forth below: 35 36 37 38 39 Date Amount May 1, 2023 $220,000 November 1, 2023 225,000 (Maturity) Term Bonds maturing on November 1, 2024, are subject to redemption and prepayment on May 1, 2024, at a price of par plus accrued interest, without premium, in the amount set forth below: 2138354v4 ��� ��� 2 3 Date May 1, 2024 November 1, 2024 Amount �230,000 235,000 (Maturity) 4 Term Bonds maturing on November 1, 2025, are subject to redemption and prepayment on May 5 1, 2025, at a price of par plus accrued interest, without premium, in the amount set forth below: 0 7 8 Date May 1, 2025 November 1, 2025 Amount $240,000 245,000 (Maturity) 9 Term Bonds maturing on November 1, 2028, are subject to redemption and prepayment at a 10 price of par plus accrued interest, without premium, on the dates and in the amounts set forth 11 below: 12 Date May 1, 2026 November 1, 2026 May 1, 2027 November 1, 2027 May 1, 2028 November 1, 2028 Amount 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 $250,000 255,000 260,000 265,000 275,000 280,000 (Maturity) Term Bonds maturing on May 1, 2033, are subject to redemption and prepayment at a price of paz plus accrued interest, without premium, on the dates and in the amounts set forth below: Date Amount May 1, 2029 $285,000 November 1, 2029 290,000 May 1, 2030 300,000 November 1, 2030 305,000 May 1, 2031 315,000 November 1, 2031 320,000 May 1, 2032 325,000 November 1, 2032 335,000 May 1, 2033 340,000 (Maturity) 31 (c) Notation on Clobal Certificate. Upon a reduction in the aggregate principal 32 amount of a Global Certificate, the Holder may make a notation of such redemption on the panel 33 provided on the Global Certificate stating the amount so redeemed, or may retum the Global 34 Certificate to the Bond Registrar in exchange for a new Global Certificate authenticated by the 35 Bond Registrar, in proper principal amount. Such notation, if made by the Holder, shall be for 36 reference only, and may not be relied upon by any other person as being in any way 37 determinative of the principal amount of such Global Certificate outstanding, unless the Bond 38 Registraz has signed the appropriate column of the panel. 39 (d) Selection of Replacement Bonds. To effect a partial redemption of Replacement 40 Bonds having a common maturity date, the Bond Registrar prior to giving notice of redemption 2138354v4 '� b�' � �� 1 shall assi� to each Replacement Bond having a common maturity date a distinctive number for 2 each $5,000 of the principal amount of such Replacement Bond. The Bond Registrar shall then 3 select by lot, using such method of selection as it shall deem proper in its discretion, from the 4 numbers so assigned to such Replacement Bonds, as many numbers as, at $5,000 for each 5 number, shall equal the principal amount of such Replacement Bonds to be redeemed. The 6 Replacement Bonds to be redeemed shall be the Replacement Bonds to which were assigied 7 numbers so selected; provided, however, that only so much of the principal amount of each such 8 Replacement Bond of a denomination of more than $5,000 shall be redeemed as shall equal 9 $5,000 for each number assigned to it and so selected. 10 (e) Partial Redemption of Replacement Bonds. If a Replacement Bond is to be 11 redeemed only in part, it shall be surrendered to the Bond Registrar (with, if the City or Bond 12 Registrar so requires, a written instnunent of transfer in form satisfactory to the City and Bond 13 Registrar duly executed by the Holder thereof or his, her or its attorney duly authorized in 14 writing) and the City shall execute (if necessary) and the Bond Registrar shall authenticate and 15 deliver to the Holder of such Replacement Bond, without service charge, a new Replacement 16 Bond or Bonds of the same series hauing the same stated maturity and interest rate and of any 17 authorized denomination or denominations, as requested by such Holder, in aggregate principal 18 amount equal to and in exchange for the unredeemed portion of the principal of the Bond so 19 surrendered. 20 (� Request for Redem tu ion. The Bond Registrar shall call Bonds far redemption and 21 payment as herein provided upon receipt by the Bond Registrar at least forty-five (45) days prior 22 to the redemption date of a request of the City, in written form if the Bond Registrar is other than 23 a City officer. Such request shall specify the principal amount of Bonds to be called for 24 redemption and the redemption date. 25 (g) Notice. Mailed notice of redemption shall be given to the paying agent (if other 26 than a City officer) and to each affected Holder. If and when the City shall call any of the Bonds 27 for redemption and payment prior to the stated maturity thereof, the Bond Registrar shall give 28 written notice in the name of the City of its intention to redeem and pay such Bonds at the office 29 of the Bond Registrar. Notice of redemption shall be given by first class mail, postage prepaid, 30 mailed not less than thirty (30) days prior to the redemption date, to each Holder of Bonds to be 31 redeemed, at the address appearing in the Bond Register. All notices of redemption shall state: 32 (i) The redemption date; 33 (ii) The redemption price; 34 (iii) If less than all outstanding Bonds aze to be redeemed, the identification 35 (and, in the case of partial redemption, the respective principal amounts) of the Bonds to 36 be redeemed; 37 (iv) That on the redemption date, the redemption price will become due and 38 payable upon each such Bond, and that interest thereon shall cease to accrue from and 39 after said date; and 2138354v4 V v ��� (v) The place where such Bonds are to be surrendered for payment of the redemption price (which shall be the office of the Bond Regstrar). 3 (h) Notice to Depositorv. Notices to The Depository Trust Company or its nominee 4 shall contain the CUSII' numbers of the Bonds. If there are any Holders of the Bonds other than 5 the Depository or its nominee, the Bond Registrar shall use its best efforts to deliver any such 6 notice to the Depository on the business day next preceding the date of mailing of such notice to 7 all other Holders. 8 8. Bond Re�istrar. The Treasurer of the City is appointed to act as bond 9 registrar and transfer agent with respect to the Bonds (the "Bond Registrar"), and shall do so 10 unless and until a successor Bond Registrar is duly appointed, all pursuant to any contract the 11 City and Bond Registrar shall execute which is consistent herewith. A successor Bond Registrar 12 shall be an officer of the City or a bank or trust company eligible for designation as bond 13 registrar pursuant to Minnesota Statutes, Chapter 475, and may be appointed pursuant to any 14 contract the City and such successor Bond Registrar shall execute which is consistent herewith. 15 The Bond Registrar shall also serve as paying agent unless and until a successor paying agent is 16 duly appointed. Principal and interest on the Bonds shall be paid to the Holders (or record 17 holders) of the Bonds in the manner set forth in the forms of Bond and paragraph 14 of this 18 resolution. 19 9. Forms of Bond The Bonds shall be in the form of Global Certificates 20 unless and until Replacement Bonds are made available as provided in paragraph 6. Each form 21 of bond may contain such additional or different terms and provisions as to the form of payment, 22 record date, notices and other matters as are consistent with the L,etter of Representations and 23 approved by the City Attomey. 24 A. Global Certificates. The Global Certificates, together with the Bond Registrar's 25 Certificate of Authentication, Certificate of Registration, the Register of Partial Payments, the 26 form of Assignment and tl�e registration information thexeon, shall be in substantially the 27 following form and may be typewritten rather than printed: 2138354v4 D�' ��'� 2 3 4 5 R- 6 7 UNITED STATES OF AMERICA STATE OF MINNESOTA RAMSEY COUNTY CITY OF SAINT PAUL GENERAL OBLIGATION PUBLIC SAFETY BOND, SERIES 2008C INTEREST MATURITY DATE OF RATE DATE ORIGINAL ISSLTE 1, 20_ March 1, 2008 10 il 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 REGISTERED OWNER: I'_�7_[\L 1_• • • _ ��1�1��� CUSIP DOLLARS KNOW ALL PERSONS BY THESE PRESENTS that the City of Saint Paul, Ramsey County, Minnesota (the °Issuer" ar"City"), certifies that it is indebted and for value received promises to pay to the registered owner specified above or on the certificate of registration below, or registered assigns, in the manner hereinafter set forth, the principal amount specified above, on the maturity date specified above, unless called for earlier redemption, and to pay interest thereon semiannually on May 1 and November 1 of each year (each, an"Interest Payment Date"), commencing November 1, 2008, at the rate per annum specified above (calculated on the basis of a 360-day year of twelve 30-day months) until the principal sum is paid or has been provided for. This Bond will bear interest from the most recent Interest Payment Date to which interest has been paid or, if no interest has been paid, from the date of original issue hereo£ The principal of and premium, if any, on this Bond are payable in same- day funds by 230 p.m., Eastern time, upon presentation and surrender hereof at the principal office of in , Minnesota (the "Bond Registrar"), acting as paying agent, or any successor paying agent duly appointed by the Issuer; provided, however, that upon a partial redemption of this Bond which results in the stated amount hereof being reduced, the Holder may in its discretion be paid without presentation of this Bond, which payment shall be received no later than 2:30 p.m., Eastem time, and may make a notation on the panel provided herein of such redemption, stating the amount so redeemed, or may return the Bond to the Bond Registrar in exchange for a new Bond in the proper principal amount. Such notation, if made by the Holder, shall be for reference only, and may not be relied upon by any other person as being in any way determinative of the principal amount of this Bond outstanding, unless the Bond Registrar has signed the appropriate column of the panel. Interest on this Bond will be paid on each Interest Payment Date in same-day funds by 230 p.m., Eastern time, to the person in whose name this Bond is registered (the "Holder" or "Bondholder") on the registration books of the Issuer maintained by the Bond Registrar and at the address appearing thereon at the close of business on the fifteenth day of the calendar month preceding such Interest Payment Date (the "Regular Record Date"). Interest payments shall be received by the Holder no later than 230 pm., Eastern time; and principal and premium payments shall be received by the Holder no later than 230 p.m., Eastern time, if the Bond is surrendered for payment enough in 2138354v4 j Q 6�' i�� 1 advance to permit payxnent to be made by such time. Any interest not so timely paid shall cease 2 to be payable to the person who is the Holder hereof as of the Regular Record Aate, and shall be 3 payable to the person who is ihe Holder hereof at the close of business on a date (the "Special 4 Record Date") fixed by the Bond Registrar whenever money becomes available for payment of 5 the defaulted interest. Notice of the Special Record Date shall be given to Bondholders not less 6 than ten days prior to the Special Record Date. The principal of and premium, if any, and 7 interest on this Bond are payable in lawful money of the United States of America. 8 Date of Payment Not Business Dav. If the date for payment of the principal of, 9 premium, if any, or interest on this Bond shall be a Saturday, Sunday, legal holiday or a day on 10 which bankuig insritutions in the City of New York, New York, or the city where the principal 11 office of the Bond Registrar is located are authorized by law or executive order to close, then the 12 date for such payment shall be the next succeeding day which is not a Saturday, Sunday, legal 13 holiday or a day on which such banking institutions are authorized to close, and payment on such 14 date shall have the same force and effect as if made on the nominal date of payment. 15 Redem�tion. All Bonds of this issue (the "Bonds") maturing after May 1, 2018, 16 are subject to redemption and prepayment at the option of the Issuer on such date and on any day 17 thereafter at a price of par plus accrued interest. Redemption may be in whole or in part of the 18 Bonds subject to prepayment. If redemption is in part, those Bonds remaining unpaid may be 19 prepaid in such order of maturity and in such amount per maturity as the City shall determine 20 (treating amounts saheduled for mandatory redemption as maturities); and if only part of the 21 Bonds having a common maturity date are called for prepayment, this Bond may be prepaid in 22 $5,000 increments of principal. Bonds or portions thereof called for redemption shall be due and 23 payable on the redemption date, and interest thereon shall cease to accrue from and after the 24 redemption date. 25 Scheduled Mandatorv Redemption. The Bonds maturing on November 1, 2023, 26 are subject to redemption and prepayment on May 1, 2023, at a price of par plus accrued interest, 27 without premium, in the amount set forth below: 28 29 30 31 32 33 34 35 36 37 38 39 40 Date May 1, 2023 November 1, 2023 Amount $220,000 225,000 (Maturity) The Bonds maturing on November 1, 2024, are subject to redemption and prepayment on May 1, 2024, at a price of par plus accrued interest, without premium, in the amount set forth below: Date Amount May 1, 2024 $230,000 November 1, 2024 235,000 (Maturity) The Bonds maturing on November 1, 2025, are subject to redemption and prepayment on May 1, 2025, at a price of paz plus accrued interest, without premium, in the amount set forth below: Date May 1, 2025 November 1, 2025 2138354v4 Amount $240,000 245,000 (Maturity) 11 a$�l�� 1 The Bonds maturing on I�iovember 1, 2028, are subject to redemption and prepayment at a price 2 ofpar plus accrued interest, without premium, on the dates and in the amounts set forth below: Date Amount 4 May 1, 2026 $250,000 5 November 1, 2026 255,000 6 May 1, 2027 260,000 7 November 1, 2027 265,000 8 May 1, 2028 275,000 9 November 1, 2028 280,000 (Maturity) 10 The Bonds maturing on May 1, 2033, are subject to redemption and prepayment at a price of par ll plus accrued interest, without premium, on the dates and in the amounts set forth below: 12 Date Amount 13 May 1, 2029 $285,000 14 November 1, 2029 290,000 15 May 1, 2030 300,000 16 November 1, 2030 305,000 17 May i, 2031 315,000 18 November 1, 2031 320,000 19 May 1, 2032 325,000 20 November 1, 2032 335,000 21 May 1, 2033 340,000 (Maturity) 22 Notice of Redemption. Mailed notice of redemption shall be given to the paying 23 agent (if other than a City officer) and to each affected Holder of the Bonds. In the event any of 24 the Bonds are called for redemption, written notice thereof will be given by first class mail 25 mailed not less than thirty (30) days prior to the redemption date to each Holder of Bonds to be 26 redeemed. In connection with any such notice, the "CUSIP" numbers assigned to the Bonds 27 shall be used. 28 Replacement or Notation of Bonds after Partial Rede�tion. Upon a partial 29 redemption of this Bond which results in the stated amount hereof being reduced, the Holder 30 may in its discretion make a notation on the panel provided herein of such redemption, stating 31 the amount so redeemed. Such notation, if made by the Holder, shall be for reference only, and 32 may not be relied upon by any other person as being in any way determinative of the principal 33 amount of the Bond outstanding, unless the Bond Registrar has signed the appropriate column of 34 the panel. Otherwise, the Holder may sunender this Bond to the Bond Registrar (with, if the 35 Issuer or Bond Re�istraz so requires, a written instrument of transfer in form satisfactory to the 36 Issuer and Bond Registrar duly executed by the Holder thereof or his, her or its attorney duly 37 authorized in writing) and the Issuer shall execute (if necessary) and the Bond Registrar shall 38 authenticate and deliver to the Holder of such Bond, without service charge, a new Bond of the 39 same series having the same stated maturity and interest rate and of the authorized denomination 40 in aggregate principal amount equal to and in exchange for the unredeemed portion of the 41 principal of the Bond so surrendered. 2138354v4 12 bg' ��� 1 Issuance; Purpose; General Obli�ation. This Bond is one of an issue in the total 2 principal amount of �10,510,000, all of like date of original issue and tenor, except as to number, 3 maturity, interest rate, denomination, and redemption privilege, which Bond has been issued 4 pursuant to and in full conformity with the Constitution and laws of the State of Minnesota, 5 includin� particulazly Minnesota Statutes, Section 475.521, as amended, and the Charter of the 6 Issuer, and pursuant to a resolution adopted by the City Council of the Issuer on February 13, 7 2008 (the "Resolution"), for the purpose of providing money to finance the acquisition and 8 betterment of the Westem Dishict Police Starion in the City. This Bond is payable out of the 9 General Debt Service Fund of the Issuer. This Bond constilutes a generat obligation of the 10 Issuer, and to provide moneys for the prompt and full payment of its principal, premiuxn, if any, 11 and interest when the same become due, the full faith and credit and taxing powers of the Issuer 12 have been and are hereby irrevocably pledged. 13 Denominations; Exchange; Resolution. The Bonds aze issuable originally only as 14 Global Certificates in the denomination of Y1�e entire principal amount of the issue maturing on a 15 single date, or, if a portion of said principal is prepaid, said principal amount less the 16 prepayment. Global Certificates are not exchangeable for fully registered bonds of smaller 17 denominations except to evidence a partial prepayment or in exchange for Replacement Bonds if 18 then available. Replacement Bonds, if made available as provided below, are issuable solely as 19 fully registered bonds in the denominations of $5,000 and integral multiples thereof of a single 20 maturity and are exchangeable for fully registered Bonds of other authorized denominations in 21 equal aggregate principal amounts at the principal office of the Bond Registrar, but only in the 22 manner and subject to the limitations provided in the Resolution. Reference is hereby made to 23 the Resolution for a description of the rights and duties of the Bond Registrar. Copies of the 24 Resolution are on file in the principal office of the Bond Registrar. 25 Reulacement Bonds. Replacement Bonds may be issued by the Issuer in the event 26 that: 27 (a) the Depository shall resign or discontinue its services for the Bonds, and 28 only if the Issuer is unable to locate a substitute depository within two (2) months 29 following the resignation or determination of non-eligibility, or 30 31 32 33 34 35 36 37 38 39 40 41 42 (b) upon a determination by the Issuer in its sole discretion that (1) the continuation of the book-entry system described in the Resolution, which precludes the issuance of certificates (other than Global Certificates) to any Holder other than the Depository (or its nominee), might adeersely affect the interest of the beneficial owners of the Bonds, or (2) that it is in the best interest of the beneficial owners of the Bonds that they be able to obtain certificated bonds. Transfer. This Bond shall be registered in the name of the payee on the books of the Issuer by presenting this Bond for registration to the Bond Registrar, who will endorse his, her or its name and note the date of registration opposite the name of the payee in the certificate of registrarion attached hereto. Thereafter this Bond may be transferred by delivery with an assignment duly executed by the Holder or his, her or its legal representatives, and the Issuer and Bond Registrar may treat the Holder as the person exclusively entitled to exercise all the raghts and powers of an owner until this Bond is presented with such assignment for registration of 2138354v4 13 ��, � �� 1 transfer, accompanied by assurance of the nature provided by law that the assignment is genuine 2 and effective, and until such transfer is registered on said books and noted hereon by the Bond 3 Registrar, all subject to the terms and conditions provided in the Resolution and to reasonable 4 regulations of the Issuer contained in any agreement with, or notice to, the Bond Registrar. 5 Transfer of this Bond may, at the direction and expense of the Issuer, be subject to certain other 6 resriictions if required to qualify this Bond as being "in registered form" within the meanin� of 7 Section 149(a) of the federal Internal Revenue Code of 1986, as amended. 8 Fees upon Transfer or Loss. The Bond Registrar may require payment of a sum 9 sufficient to cover any tax or other governmental charge payable in connection with the transfer 10 or exchange of this Bond and any legal or unusual costs regarding transfers and lost Bonds. ll Treahnent of Re�istered Owner. The Issuer and Bond Registrar may treat the 12 person in whose name this Bond is registered as the owner hereof for the purpose of receiving 13 payment as herein provided (except as otherwise provided with respect to the Record Date) and 14 for a11 other purposes, whether or not this Bond shall be overdue, and neither the Issuer nor the 15 Bond Registrar shall be affected by notice to the contrary. 16 Authentication. This Bond shall not be valid or become obligatory for any 17 purpose or be entitled to any security unless the Certificate of Authentication hereon shall have 18 been executed by the Bond Registrar. 19 Not Qualified Taac-Exempt Obli�ations. The Bonds have not been designated by 20 the Issuer as "qualified taac-exempt obligations" for purposes of Section 265(b)(3) of the federal 21 Internal Revenue Code of 1986, as amended. The Bonds do not qualify for such designation. 22 IT IS HEREBY CERTIFIED AND RECITED that all acts, conditions and things 23 required by the Constitution and laws of the State of Minnesota and the Charter of the Issuer to 24 be done, to happen and to be performed, precedent to and in the issuance of this Bond, haue been 25 done, have happened and have been performed, in regular and due form, time and manner as 26 required by law, and that this Bond, together with all other debts of the Issuer outstanding on the 27 date of original issue hereof and on the date of its issuance and delivery to the original purchaser, 28 does not exceed any constitutional or statutory or Charter limitation of indebtedness. 29 IN WITNESS WHEREOF, the City of Saint Paul, Ramsey County, Minnesota, by 30 its City Council has caused this Bond to be sealed with its official seal and to be executed on its 31 behalf by the photocopied facsimile signature of its Mayor, attested by the photocopied facsimile 32 signature of its Clerk, and countersigned by the photocopied facsimile signature of its Directar, 33 Office ofFinancial Services. 2138354v4 14 ����� � 2 Date of Registration: Registrable by: 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 34 BOND REGISTRAR'S CERTIFICATE OF AUTHENTICATION This Bond is one of the Bonds described in the Resolution mentioned within. Payable at: CITY OF SAINT PAUL, RAMSEY COUNTY, MINNESOTA Mayor Attest: Bond Registrar By Authorized Signature City Clerk Countersigned: Director, Office of Financial Services (SEAL) General Obligation Public Safety Bond, Series 2008C, No. R- 2138354v4 15 ��'� �� CERTIFICATE OF REGISTRATION 2 3 The transfer of ownership of the principal amount of the attached Bond may be made only by the 4 registered owner or his, her or its legal representative last noted below. DATE OF SIGNATURE OF REGISTRATION REGISTERED OWNER BOND REGISTRAR 2138354v4 1 � �� �i3� REGISTER OF PARTIAL PAYMENTS The principal amount of the attached Bond has been prepaid on the dates and in the amounts noted below: Date Amount Bondholder Bond Re i� 5 If a notation is made on this register, such notation has the effect stated in the attached Bond. 6 Partial payments do not require the presentation of the attached Bond to the Bond Registraz, and 7 a Holder could fail to note the partial payment here. 213R354v4 17 �-��� ABBREVIATIONS 2 3 4 5 6 7 8 9 10 I1 12 13 14 IS 16 17 18 19 20 21 22 23 24 f�.F 26 27 28 29 30 31 The following abbreviations, when used in the inscription on the face of this Bond, shall be construed as though they were written out in full accardin� to applicable laws or rea lations: TEN COM - as tenants in common TEN ENT - as tenants by the entiretaes JT TEN - as joint tenants with right of suroivorship and not as tenants in common UTMA - as custodian for (Cust) under the (Minor) Uniform Transfers to Minors Act (State) Additional abbreviations may also be used though not in the above list. ASSTGNMENT For value received, the undersigned hereby sells, assigns and transfers unto the attached Bond and does hereby irrevocably constitute and appoint attorney to transfer the Bond on the books kept for the registration thereof, with full powex of substitution in the premises. Dated: Signature Guaranteed: Notice: The assignor's signature to this assi�unent must correspond with the name as it appeazs upon the face of the attached Bond in every particular, without alteration or any change whatever. Signature(s) must be guaranteed by a national bank or trust company or by a brokerage firm having a membership in one of the major stock exchanges or any other "Eligible Guarantar Iustitution" as defined in 17 CFR 240.17Ad-15(a)(2). The Bond Registrar will not effect transfer of this Bond unless the information conceming the transferee requested below is provided. 32 Name and Address: 33 34 35 36 21383S4v4 (Include information for all joint owners if the Bond is held by joint account.) I8 ��-��� 2 B. Repiacement Bonds. If the City has notified Holders that Replacement Bonds 3 have been made available as provided in paragraph 6, then for every Bond thereafrer transferred 4 or exchanged (including an exchange to reflect the partial prepayment of a Global Certificate not 5 previously exchan�ed for Replacement Bonds) the Bond Registrar shall deliver a certificate in 6 the form of the Replacement Bond rather than the Global Certificate, but the Holder of a Global 7 Certificate shall not otherwise be required to exchange the Global Certificate for one or more 8 Replacement Bonds since the City recognizes that some beneficial owners may prefer the 9 convenience of the Depository's registered ownership of the Bonds even though the entire issue 10 is no longer required to be in global book-entry form. The Replacement Bonds, together with the 11 Bond Registrar's Certificate of Authentication, the form of Assignment and the registration 12 information thereon, shall be in substantially the following form, with paragraphs identical to the 13 form of Global Certificate stated by heading or initial text only: 2138354v4 1(� �g�f �� 2 3 4 6 7 !� INTEREST RATE IJNITED STATES OF AMERICA STATE OF MINNESOTA RAMSEX COUNTY CITY OF SAINT PAUL GENERAL OBLIGATION PUBLIC SAFETY BOND, SERIES 2008C MATURITY DATE 1, 2Q_ 9 REGISTERED OWNER: 10 PRINCIPAL AMOL3NT: 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 [iZ�l�lrl��i.9 CUSIP KNOW ALL PERSONS BY THESE PRESENTS that the City of Saint Paul, Ramsey County, Minnesota (the "Issuer" or "City"), certifies that it is indebted and for value received promises to pay to the registered owner specified above, or registered assigns, in the manner hereinafter set forth, the principal amount specified above, on the maturity date specified above, unless called for eazlier redemption, and to pay interest thereon semiannually on May 1 and November 1 of each year (each, an "Interest Payment Date"), commencing November 1, 2008, at the rate per annum specified above (calculated on the basis of a 360-day year of twelve 30-day months) until the principal sum is paid or has been provided for. This Bond will beaz interest from the most recent Interest Payment Date to which interest has been paid or, if no interest has been paid, from the date of original issue hereof. The principal of and premium, if any, on this Bond are payable upon presentation and swrender hereof at the principal office of , in , (the "Bond Registrar"), acting as paying agent, or any successor paying agent duly appointed by the Issuer. Interest on this Bond will be paid on each Interest Payment Date by check or draft mailed to the person in whose name this Bond is registered (the "Holder" or "Bondholder") on the registration books of the Issuer maintained by the Bond Registrar and at the address appearing thereon at the close of business on the fifteenth day of the calendar month preceding such Interest Payment Aate (the "Regular Record Date"). Any interest not so timely paid 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 on a date (the "Special Record Date"} fixed by the Bond Registrar whenever money becomes available for payment of the defaulted interest. Notice of the Special Record Date shall be given to Bondholders not less than ten days prior to the Special Record Date. The principal of and premaum, if any, and interest on this Bond are payable in lawful money of the United States of America. DATE OF ORIGINAL ISSUE March 1, 2008 2138354v4 20 � 1 REFERENCE IS HEREBY MADE TO THE FURTHER PROVISIONS OF 2 THIS BOND SET FORTH ON THE REVERSE HEREOF, WHICH PROVISTONS SHALL 3 FOR ALL PiTRPOSES Ht1VE THE SAME EFFECT AS IF SET FORTH HERE. � IT IS HEREBY CERTIF]ED AND RECITED.... 5 IN WITNESS WHEREOF, the City of Saint Paul, Ramsey County, Minnesota, by 6 its City Council has caused this Bond to be executed on its behalf by the original or facsimile 7 signature of its Mayor, attested by the original or facsimile signature of its Clerk, and 8 countersigned by the original ar facsimile signature of its Director, Office of Financial Services, 9 the official seal having been omitted as permitted by law. 10 Date of Registration: Registrable by: 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 BOND REGISTRAR'S CERTIFICATE OF AUTHENTICATION This Bond is one of the Bonds described in the Resolution mentioned within. Bond Registrar By Authorized Signahxre 273835Av4 Payable at: CITY OF SAINT PAUL, RAMSEY COUNTY, MINNESOTA Mayor Attest: City Clerk Countersigned: Director, Office of Financial Services 21 �����.»:;.�� Date of Pavment Not Business DaV. 0 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 ?g 29 30 31 o$'��� Redemption. All Bonds of this issue (the "Bonds") maturing after May 1, 2018, are subject to redemption and prepayment at the option of the Issuer on such date and on any day thereafter at a price of par plus accrued interest. Redemption may be in whole ar in part of the Bonds sub}ect to prepayment. If redemption is in part, those Bonds remaining unpaid may be prepaid in such order of maturity and in such amount per maturity as the City shall determine; and if only part of the Bonds having a common maturity date aze called for prepaynnent, the specific Bonds to be prepaid shall be chosen by lot by the Bond Registrar. Bonds or portions thereof cailed for redemption shall be due and payable on the redemption date, and interest thereon shall cease to accrue from and after the redemption date. Scheduled Mandator�Redemntion. Notice of Redemntion. Selection of Bonds for Redem tn ion. To effect a partial redemption of Bonds having a common maturity date, the Bond Registrar shall assign to each Bond having a common maturity date a distinctive number for each $5,000 of the principal amount of such Bond. The Bond Registrar shall then select by 1ot, using such method of selection as it sha11 deem proper in its discretion, from the numbers assigned to the Bonds, as many numbers as, at $5,000 for each number, shall equal the principal amount of such Bonds to be redeemed. The Bonds to be redeemed shall be the Bonds to which were assigned numbers so selected; provided, however, that only so much of the principal amount of such Bond of a denomination of more than $5,000 shall be redeemed as shall equal $5,000 for each number assigned to it and so selected. If a Bond is to be redeemed only in part, it shall be surrendered to the Bond Registrar (with, if the Issuer or Bond Registrar so requires, a written inshument of transfer in form satisfactory to the Issuer and Bond Registrar duly executed by the Holder thereof or his, her or its attomey duly authorized in writing) and the Issuer shall execute (if necessary) and the Bond Registrar shall authenticate and deliver to the Holder of such Bond, without service charge, a tiew Bond or Bonds of the same series having the same stated maturity and interest rate and of any authorized denomination ar denominations, as requested by such Holder, in aggregate principal amount equal to and in exchange for the unredeemed portion of the principal of the Bond so surrendered. Issuance; Purpose; Genet Oblieation. 32 Denominations; Exchange; Resolntion. The Bonds are issuable solely as fully 33 registered bonds in the denominations of $5,000 and integral multiples thereof of a single 34 maturity and are exchangeable for fully registered Bonds of other authorized denominations in 35 equal aggregate principal amounts at the principal office of the Bond Regisfxar, but only in the 36 manner and subject to the limitations provided in the Resolution. Reference is hereby made to 37 the Resolution for a description of the rights and duties of the Bond Registrar. Copies of the 38 Resolurion are on file in the principal office of the Bond Registrar. 2138354v4 ZZ ������ 1 Transfer. This Bond is transferable by the Holder in person or by his, her or its 2 attomey duly authorized in wriring at the principal office of the Bond Registrar upon 3 presentation and surrender hereof to the Bond Registrar, all subject to the terms and conditions 4 provided in the Resolution and to reasonable regulations of the Issuer contained in any 5 agreement with, or notice to, the Bond Registrar. Thereupon the Issuer sha11 execute and the 6 Bond Registraz shall authenticate and deliver, in exchange far this Bond, one or more new fully 7 registered Bonds in the name of the transferee (but not registered in blank or to "bearer" or 8 similar designation), of an authorized denomanation or denominations, in aggregate principal 9 amount equal to the principal amount of this Bond, of the same maturity and bearing interest at 10 the same rate. 11 Fees unon Transfer or Los. 12 Trearinent of Registered Owner. 13 Authentication 14 Not Oualified Tas-Exem�t ObliQations. 15 16 17 ABBREVIATIONS zissssa�a 23 �� ��1 2 For value received, the undersi�ed hereby sells, assigns and transfers unto the within ASSIGNMENT 4 Bond and does hereby irrevocably constitute and appoint 5 attorney to transfer the Bond on the books kept for the 6 registration thereof, with full power of substitution in the premises. 7 8 9 10 11 12 13 Dated: Notice: Signature Guaranteed: The assignor's signature to this assigiment must correspond with the name as it appears upon the face of the within Bond in every particulaz, without alteration or any change whatever. 14 Signahzre(s) must be guaranteed by a national bank or trust company or by a brokerage firm 15 having a membership in one of the major stock exchanges or any other "Eligible Guarantor 16 Institution" as defined in 17 CFR 24017Ad-15(a)(2). 17 18 19 20 21 22 23 The Bond Registrar will not effect transfer of this Bond unless the information concerning the transferee requested below is provided. Name and Address: (Include information for all joint owners if the Bond is held by joint account.) 213835Av4 24 ����'I� 1Q 11 12 13 14 15 16 17 18 19 20 21 22 10. Execution. The Bonds shali be executed on behalf of the City by the signatures of its Mayor, Clerk and Director, Office of Financial Services, each with the effect noted on the forms of the Bonds, and be sealed with the seal of the City; provided, however, that the seal of the City may be a printed or photocopied facsimile; and provided further that any of such signatures may be printed or photocopied facsimiles and the coxporate seal may be omitted on the Bonds as permitted by 1aw, In the event of disability or resignation or other absence of any such officer, the Bonds may be signed by the manual or facsimile signature of that officer who may act on behalf of such absent or disabled officer. In case any such officer whose sigiature or facsimile of whose si�ahue shall appear on the Bonds shall cease to be such officer before the delivery of the Bonds, such signature or facsimile shall nevertheless be valid and sufficient for all putposes, the same as if he or she had remained in office until delivery. I 1. Authentication; Date of Re�istration. No Bond shall be valid or obligatory for any purpose or be entitled to any security or benefit under this resolution unless a Certificate of Authentication on such Bond, substantially in the form hereinabove set forth, shall have been duly executed by an authorized representative of the Bond Registrar. Certificates of Authentication on different Bonds need not be signed by the same person. The Bond Registrar shall authenticate the signatures of officers of the City on each Bond by execution of the Certificate of Authentication on the Bond and by inserting as the date of registration in the space provided the date on which the Bond is authenticated. For purposes of delivering the original G1oba1 Certificates to the Purchaser, the Bond Registraa sha11 insert as the date of registration the date of original issue, which date is March 1, 2008. The Certificate of Authentication so executed on each Bond shall be conclusive evidence that it has been authenticated and delivered under this resolution. 23 12. Re�istration; Transfer; Exchange. The City will cause to be kept at the 24 principal office of the Bond Registrar a bond register in which, subj ect to such reasonable regulations 25 as the Bond Registrar may prescribe, the Bond Registrar sha11 provide for the registration of Bonds 26 and the registration of transfers of Bonds entitled to be registered or transfened as herein provided. 27 A Global Certificate shall be registered in the name of the payee on the books of the 28 Bond Registrar by presenfing the Global Certificate for registrarion to the Bond Registraz, who will 29 endorse his or her name and note the date of registration opposite the name of the payee in the 30 certificate of registration on the Global Certificate. Thereafter a Global Certificate may be transferred 31 by delivery with an assignment duly executed by the Holder or his, her or its legal representative, and 32 the City and Bond Registrar may treat the Holder as the person exclusively entitled to exercise all the 33 rights and powers of an owner unril a Global Certificate is presented with such assignment for 34 registration of transfer, accompanied by assurance of the nature provided by 1aw that the assigunent 35 is genuine and effective, and until such transfer is registered on said books and noted thereon by the 36 Bond Registrar, all subject to the terms and conditions provided in this resolufion and to reasonable 37 regulations of the City contained in any agreemetit with, or notice to, the Bond Regi§trar. 38 Transfer of a Global Certificate tnay, at the direction and expense of the City, be 39 subject to other restrictions if required to qualify the Global Certificates as being "in registered form" 40 within the meaning of Section 149(a) of the federal Intemal Revenue Code of 1486, as amended. 41 42 If a Global Certificate is to be exchanged for one or mare Replacement Bonds, all of the principal amount of the Global Certificate shall be so exchanged. 2138354v4 25 �i��l 1 Upon surrender for transfer of any Replacement Bond at the principal office of the 2 Bond Registrar, the City shall execute (if necessary), and the Bond Registrar shal� authenticate, insert 3 the date of registration {as provided in paragraph 11) of, and deliver, in the name of the designated 4 transferee or transferees, one or more new Replacement Bonds of any authorized denomination or � denominations of a like aggregate principal amount, having the same stated maturity and interest rate, 6 as requested by the transferor; provided, however, that no bond may be registered in blank or in the 7 name of "bearer" or similar designation. 8 At the option of the Holder of a Replacement Bond, Replacement Bonds may be 9 exchanged for Replacement Bonds of any authorized denomination or denominations of a like 10 aggregate principal amount and stated maturity, upon surrender of the Replacement Bonds to be 11 exchanged at the principal office of the Bond Registrar. Whenever any Replacement Bonds are so 12 sunendered for exchange, the City shall execute {if necessary), and the Bond Registrar shall 13 authenticate, insert the date of registration o£, and deliver the Replacement Bonds which the Hoider 14 making the exchange is entitled to receive. Global Certificates may not be exchanged for Global 15 Certificates of smaller denominations. 16 All Bonds surrendered upon any exchange or transfer provided for in this resolution 17 shall be promptly cancelled by the Bond Registraz and thereafter disposed of as directed by the City. 18 All Bonds delivered in exchange for ar upon transfer of Bonds shall be valid general 19 obligations of the City evidencing the same debt, and entitlad to the same benefits under this 20 resolution, as the Bonds surrendered for such exchange or transfer. 21 Every Bond presented or surrendered for h or exchange shall be duly endorsed 22 or be accompanied by a written instrument of transfer, in form satisfactory to the Bond Registrar, duly 23 executed by the Holder thereof or his, her or its attorney duly authorized in writing. 24 The Bond Registrar may require payment of a sum sufficient to cover any tas ar other 25 governmental charge payable in connection with the transfer or exchange of any Bond and any legal 26 or unusual costs regarding transfers and lost Bonds. 27 Transfers shall also be subject to reasonable regulations of Yhe City contained in any 28 agreement with, or notice to, the Bond Registrar, including regulations which permit the Bond 29 Registrar to close its transfer books between record dates and payment dates. 30 13. Ri�hts Unon Transfer or Exchan�e. Each Bond delivered upon transfer of or in 31 exchange for or in lieu of any other Bond shall carry all the rights to interest accrued and unpaid, and 32 to accrue, which were carried by such other Bond. 33 14. Interest Pavment; Record Date. Interest on any Global Certificate shall be paid 34 as provided in the first paragraph thereof, and interest on any Replacement Bond shall be paid on each 35 Interest Payment Date by check or draft mailed to the person in whose name the Bond is registered 36 '(the "Holder") on the registration books of the City maintained by the Bond Registrar, and in each 37 case at the address appearing thereon at the close of business on the fifteenth (15th) day of the 38 calendar month preceding such Interest Payment Date (the "Regular Record Date"). Any such interest 39 not so rimely paid shall cease to be payable to the person who is the Holder thereof as of the Regulaz 40 Record Date, and shall be payable to the person who is the Holder thereof at the close of business on a 2138354v4 26 �`�� I �/� date (the "Special Record Date") fixed by the Bond Registrar whenever money becomes available for payment of the defaulted interest Notace of the Special Record Date shall be given by the Bond Registrar to the Holders not less than ten {10) days prior to the Special Record Date. 4 15. Holders; Treatment ofRegistered Owner; Consent ofHolders. 5 A. For the purposes of all actions, consents and other matters affecting Holders of the 6 Bonds, other than payruenYs, redemptions, and purchases, the Ciry may (but shall noY be obligated to) 7 treaY as tbe Holder of a Bond the beneficial owner of the Bond instead of the person in whose name 8 the Bond is registered. For that purpose, the City may ascertain the identity of the beneficial owner of 9 the Bond by such means as the Bond Registraz in its sole discretion deems appropriate, including but 10 not limited to a certificate from the person in whose name the Bond is registered identifying such ll beneficiai owner. 12 B. The City and Bond Registrar may treat the person in whose name any Bond is 13 registered as the owner of such Bond for the purpose of receiving payment of principal of and 14 premium, if any, and interest (subject to the pay�nent provisions in paragraph 14 above) on, such 15 Bond and for all other purposes whatsoever whether or not such Bond shali be overdue, and neither 16 the City nor the Bond Registraz shall be affected by notice to the contrary. 17 C. Any consent, request, direction, approval, objection or other instrument to be signed 18 and executed by the Holders may be in any number of concurrent writings of similar tenor and must 19 be signed or executed by such Holders in person or by agent appointed in writing. Proof of the 20 execution of any such consent, request, direction, approval, objection or other instrument or of the 21 writing appointing a�y such agent and of the ownership of Bonds, if made in the following manner, 22 shall be sufficient for any of the purposes of this resolution, and shall be conclusive in favor of the 23 City with regard to any action taken by it under such request or other instrument, namely: 24 (1) The fact and date of the execution by any person of any such writing may be 25 proved by the certificate of any officer in any jurisdiction who by law has power to take 26 acknowledgments within such jurisdiction that the person signing such writing acknowledged 27 before him or her the execution thereof, ar by an affidavit of any witness to such execution. 28 (2) Subject to the provisions of subparagraph (A) above, the fact of the ownership 29 by any person of Bonds and the amounts and numbers of such Bonds, and the date of the 30 holding of the same, may be proved by reference to the bond register. 31 16. Delivery; Application of Proceeds. The C�lobal Certificates when so prepazed 32 and executed shall be delivered by the Director, Office of Financaal Services, to the Purchaser upon 33 receipt of the purchase price, and the Purchaser shall not be obliged to see to the proper application 34 thereof. 35 17. Fund and Account. There is hereby created a special account to be desi�ated 36 the "Public Safety Bonds of 2008C Account° {the "Capital Account"). Thexe has been heretofore 37 created and established the General Debt Service Fund (numbered 960, herein the "Fund"). The Fund 38 and Capital Account shall each be maintained in the manner herein specified until a11 of the Bonds 39 and the interest thereon have been fully paid. 213S354v4 _ 2'� �`11�1�� 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 ?� 28 (i) Capital Account. To the Capital Account there shall be credited the proceeds of the sale of the Bonds, less accrued interest received thereon, less �116,484 of capitalized interest, and less any amount paid for the Bonds in excess of $1Q,373,370. From the Capital Account there shall be paid all costs and expenses of making the Improvements, including the cost of any construcrion contracts heretofare let and all other costs incurred and to be incurred of the kind authorized in Minnesota Statutes, Section 475.65 (including interest on the Bonds payable during the construction period); and the moneys in the Capital Account shall be used for no other purpose except as otherwise provided by law; provided that the proceeds of the Bonds may aiso be used to the extent necessary to pay interest on the Bonds due prior to the anticipated date of commencement of the collection of taxes levied herein; and provided further that if upon completion of the Improvements there shall remain any unexpended balance in the Capital Account, the balance may be transfened by the Council to the fund of any other improvement instituted pursuant to Minnesota Statutes, Secrion 475.521, as amended, or used for any other purpose permitted by law, or Yransferred to the Pund. All eamings on the Capital Account shall be transfened to the Fund, or may remain in the Capital Account. (ii) Fund. There is hereby pledged and there shail be credited to the Fund, to a special sinking fund account which is hereby created and established therein for the payment of the Bonds: (a) $116,484 of capitalized interest and all accrued interest received upon delivery of the Bonds; (b) ali funds paid for the Bonds in excess of $10,373,370; (c) any collections of all taxes which are herein levied far the payment of the Bonds and interest thereon as provided in paragraph 18; (d) all funds remaining in the Capital Account after completion of the Improvements and payment of the costs thereof, not so transFened to the account of another improvement or used for any other purpose permitted by law; (e) all investment eamings on moneys held in said special account in the Fund; and (� any and all other moneys which are properly available and are appropriated by the governing body of the City to said special account in the Fund. 29 Said special account created in the Fund shall be used solely to pay the principal and interest 30 and any premiums for redemption of the Bonds and any other bonds of the City heretofore or 31 hereafter issued by the City and made payable from said special account in the Fund as provided by 32 law, ar to pay any rebate due to the United States. No portion of the proceeds of the Bonds sha11 be 33 used directly or indirectly to acquire higher yielding investments or to replace funds which were used 34 directly or indirectly to acquire higher yielding investments, except (1) for a reasonable temporary 35 period until such proceeds are needed for the purpose for which the Bonds were issued, and (2) in 3b addition to the above in an amount not greater than $100,000. To this effect, any proceeds of the 37 Bonds and any sums from time to time held in the Capital Account or said special account in the Fund 38 (or any other City account which will be used to pay principal or interest to become due oti the bonds 39 payable therefrom) in excess of amounts which under then-applicable federal arbitrage regulations 40 may be invested without regazd as to yield shall not be invested at a yield in excess of the applicable 41 yield restrictions imposed by said arbitrage regulations on such investments after taking into account 42 any applicable "temporary periods" ar"minor portion" made available under the federal arbitrage 43 regulations. In addition, the proceeds of the B�onds and money in the Capital Aceount or Fund shall 44 not be invested in obligations or deposits issued by, guaranteed by or insured by the United States or 45 any agency or instrumentality thereof if and to the extent that such inveshnent would cause the Bonds 2138354vA �8 ►� 1 to be "federally guaranteed" within the meaning of Section 149(b) of the federal Internal Revenue 2 Code of 1986, as amended {the "Code"). 3 18. Taac Levy; Covera�e Test. To provide moneys for payment of the principal and 4 interest on the Bonds there is hereby levied upon all of the taxable property in the City a direct annual 5 ad valorem tax which shall be spread upon the tax rolls and collected with and as part of other general 6 property tases in the City for the years and in the amounts as follows: Year of TaY Levv 2007* 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 7 8 9 10 11 12 13 Yeaz of Tax Collection 2008* 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 3026 2027 2028 2029 2030 2031 2032 � heretofore levied or provided &om other available City funds Amount $546,63039* 733,654.69 733,418.44 732,053.44 730,268.44 728,063.44 725,438.44 722,393.44 724,178.44 720,083.44 720,713.44 720,818.44 720,188.44 719,033.44 722,393.44 724,913.44 725,681.25 725,2b1.25 723,948.75 726,993.75 728,811.56 729,060.94 733,113.28 730,53'7.50 732,063.28 The tax levies are such that if collected in full they, together with esrimated colleetions of any other revenues herein pledged for the payment of the Bonds, will produce at least five percent (5%) in excess of the amount needed to meet when due the principal and interest payments on the Bonds. The tax levies shall be irrepealable so long as any of the Bonds are outstanding and unpaid, provided that the City reserves the right and power to reduce the levies in the manner and to the extent permitted by Minnesota Statutes, Section 475.61, Subdivision 3. 2138354v4 29 ���� 1 19. General Obligation Pledge. For Yhe prompt and full payment of the principal 2 and interest on the Bonds, as the same respectively become due, the full faith, credit and taxing 3 powers of the City sha11 be and are hezeby irrevocably pledged. If the balance in the Fund (as defined 4 ]n paza�aph 17 hereo fl is ever insufficient to pay all principal and interest then due on the Bonds 5 payable therefi the deficiency shall be promptly paid out of any other funds of the City which are 6 available for such purpose, including the general fund of the City, and such othex funds may be 7 reimbursed with or without interest from the Fund when a sufficient balance is available therein. 8 20. Certificate of Registration. The Director, Office of Financial Services, is 9 hereby directed to file a certified copy of this resolution with the officer of Ramsey County, 10 Minnesota, performing the functions of the county auditor (the "County Auditor"), together with such 1 I other information as the County Auditor shall require, and to obtain the County Auditor's certificate 12 that the Bonds have been entered in the County Auditor's Bond Register, and that the tax levy 13 required by law has been made. 14 21. Records and Certificates. The officers of the City are hereby authorized and 15 directed to prepare and furnish to the Purchaser, and to the attorneys approving the legality of the 16 issuance of the Bonds, certified copies of all proceedings and records of the City relating to the Bonds 17 and to the financial condition and affairs of the City, and such other affidavits, certificates and 18 informatian as are required to show the facts relating to the legality and marketability of the Bonds as 19 the same appeaz from the books and records under their custody and control or as otherwise known to 20 them, and a11 such certified copies, certificates and affidavits, including any heretofore fiunished, 21 shall be deemed representations of the City as to the facts recited therein. 22 22. NeQative Covenants as to Use of Proceeds and Improvements. The City hereby 23 covenants not to use the proceeds of the Bonds or to use the Improvements, or to cause or permit them 24 to be used, or to enter into any deferred payment arrangements for the cost of the Improvements, in 25 such a manner as to cause the Bonds to be "private activity bonds" within the meaning of Sections 26 103 and 141 through 150 of the Code. The City reasonably expects that no actions will be taken over 27 the term of the Bonds that would cause them to be private activity bonds, and the average term of tAe 28 Bonds is not longer than reasonably necessary for the governtnental puipose of the issue. The City 29 hereby covenants not to use the proceeds of the Bonds in such a manner as to cause the Bonds to be 3Q "hedge bonds" within the meaning of Section 149(g) of the Code. 31 23. T�-Exemnt Status of the Bonds; Rebate; Elections. The City shall comply 32 with requirements necessary under the Code to establish and maintain the exclusion from gross 33 income under Section 103 of the Code of the interest on Yhe Bonds, including without limitation 34 requirements relating to temporary periods for investments, limitations on amounts invested at a yield 35 greater than the yield on the Bonds, and the rebate of excess investment earnings to the United States. 36 The City expects that the two-year expendature exception to the rebate requirements 37 may apply to the conshuction proceeds of the Bonds. 38 If any elections are available now or hereafter with respect to arbitrage or rebate 39 matters relaCing to the Bonds, the Mayor, Clerk, Treasurer and Director, Office of Financial Services, 40 or any of them, are hereby authorized and directed to make such elecrions as they deem necessary, 2138354v4 30 t�-«� appropriate or desirable in connection with the Bonds, and all such elections shall be, and shall be deemed and treated as, elections of the City. 3 24. No Designation of Oualified Tax-Exempt Oblieations. The Bonds, together 4 with other obligations issued by the City in 2008, exceed in amount those which may be qualified as 5 "qualified taY-exempt obligations" witkrin the meaning of Section 265(b}(3) of the Code, and hence 6 are not designated for such purpose. 7 25. Letter of Representations. The Letter of Representatians for the Bonds is 8 hereby confirmed to be the Blanket Issuer Letter of Representations dated May 10, 1996, by the City 9 and received and accepted by The Depository Trust Company. So long as The Depository Trust 10 Company is the Depository or it or its naminee is the Holder of any CTlobal Certificate, the City sha11 I 1 comply with the provisions of the Letter of Representations, as it may be amended or supplemented 12 by the City from time to time with the agreement or consent of The Depository Trust Company. 13 26. Negotiated Sale. The City has retained Springsted Incorporated as an 14 independent financial advisor, and the City has heretofore determined, and hereby determines, to sell 15 the Bonds by private negotiarion, ail as provided by Minnesota Statutes, Secrion 475.60, Subdivision 16 2(9). 17 27. Continuing Disclosure. The City is an,obligated person with respect to the 18 Bonds. The City hereby agrees, in accordance with the provisions of Rule 15c2-12 (the "Rule"), 19 promulgated by the Securities and Exchange Commission (the "Coznmission") putsuant to the 20 Securities Exchange Act of 1434, as amended, and a Continuing Disclosure Undertaking (the 21 "Undertaking") hereinafter described, to: 22 A. Provide or cause to be provided to each nationally recognized municipal 23 securities information repository ("NRMSIIZ") and to the appropriate state information 24 depository ("SID"), if any, for the State of Minnesota, in each case as designated by the 25 Commission in accordance with the Rule, certaan annual financial information and operating 26 data in accordance with the Undertakang. The City reserves the right to modify from time to 27 time the terms of the Undertaking as provided therein. 28 B. Provide or cause to be provided, in a timely manner, to (i) each NRMSIR ar to 29 the Municipal Securities Rulemaking Board (°MSRB") and (ii) the SID, norice of the 30 occurrence of certain material events with respect to the Bonds in accordance with the 31 Undertaking. 32 C. Provide ar cause to be provided, in a timely manner, to (i) each NRMSIR or to 33 Yhe MSRB and (ii) the SID, norice of a failure by the Ciry to provide the annual financial 34 infarmation with respect fo the City described in the Undertaking. 35 The City agrees that its covenants pursuant to the Rule set forth in ttus paragraph 27 36 and in the Undertaking are intended to be for the benefit of the Holders of the Bonds and shall be 37 enforceable on behalf of such Holders; provided that the right to enforce the provisions of these 38 covenants shali be limited to a right to obtain specific enforcement of the City's obligations under the 39 covenants. 40 The Mayor and Director, Office of Pinancial Services, or any other officers of the 41 City authorized to act in their stead (the "Officers"), are hereby authorized and directed to 2138354v4 31 t�- l�'� 1 execute on behalf of the City the Undertaking in substanrially the form presented to the City 2 Council, subject to such modifications thereof or additions thereto as are (i) consistent with the 3 requirements under the Rule, (ii) required by the Purchaser, and (iii) acceptable to the Officers. 4 23. Severabilitv. If any section, pazagraph or provision of this resolution 5 shall be held to be invalid or unenforceable for any reason, the invalidity or unenforceabflity of 6 such section, paragraph or provision shall not affect any of the remaining provisions of this 7 resolution. 8 29. Aeadines. Headings in this resolution are included far convenience of 9 reference only and are not a part hereof, and shall not limit or define the meaning of any 10 provision hereof. Reque, eait of � A . .- �. t �.. - � - �'►�.�� �LI Adoption Certified by Council Secretary � `�'� � 2138354�13 32 � Green Sheet Green Sheet Green Sheet Green Sheet Green Sheet Green Sheet � ���3� DepartrneMfoffice/council: Date Initiated: I FS — Financ7alServices o,_FE&o$ , Green Sheet NO: 3049616 ConWCt Person 8 Phone: Alexandra o'Leary 266-8832 must [3e on councii Agend '13-FEB-08 -� Doc. Type: RESOLUTION E-Document Required: N Document Contact: Contact Phone: � ueoartmenc aen� �o rerson �mnau�a[e 0 �'inancialServices � Assign I �FSnan6alServices DeparhnentDirector i Number ' � ��� For Z IC�h' Attornev i Routing 3 avor's Office Mavor/ASSistant Order q ouncii 5 Total # of Signature Pages _(Clip All Locations for Signafure) Accepting proposal on sale of approximately $1QSIQ000.00 G.O. Public Safety Bonds, Series 2008C, providing their issuance, and levying a taY for the payment thereof. iaaiwns:.vpprove (.v) or rte�ect (re): rersona� serv�ce c:ontracts must wnswer tne rouowmg Ruestions: Planning Commission 1. Has this person/firm ever worked under a contract for this depaRment? CB Cammittee Yes No Civil Service Commission 2. Has this person/irm ever been a city employee? Yes No 3. Does this person/firtn possess a skill not noRnaAy possessed by any current city employee? Yes No F�cplain all yes answers on separete sheet and attach to green sheet Initiating Problem, Issues, Opportunity (Who, What, When, Where, Why): The Bond Sale should take place at ] 0 a.m. Resolution is required to accept the proposal. Ativantages H Approved: The Bonds will be sold. Disadvan W ges If Approved: None. Disadvantages If Not Approved: The Bonds will not be sold Transaction: Funding Source: Financial InFO rmation: (Expiain) CosVRevenue Budgeted: Activity Number: February 1, 2008 4:14 PM Page 1 �� l�'J COMPLETIOI3S AND CONFORMII�TG DBTAILS FOR GENERAL OBLIGATION PUBLIC SAFETY BONDS, SERIES 2008C There is before this Council a draft resolution for the sate of the above bonds thaz requires certain completions and details that conform to those. The Clerk or bond counsel for the Bonds shall revise the draft resolution to read as it should with the completions and details provided here directly or by reference to other materials before this Council. Spots in the resolufion ue noted in the second column. The third column is optional but may contain the completion or note the specific source of the other materials. SPOTS IN THE COMPLETION, DETAIL OR COMPLETIONS AND DETAILS RESOLUTION SOURCE (OPTIONAL 1. Winning Proposer. Other materials before 3rd Whereas UBS Securities LLC this Council indicate the wimiing proposer, ¶ 1 whose name shall be inserted in the third whereas and in paragraph i. 2. Princpal Amount. Other materials before Last Whereas No change from $10,510,000 this Council indicate the principal amount �{ 1 of the Bonds; the last whereas shall be Form of Bond revised to conform if necessary, the second statement of the principal amount in paragraph 1 shall be revised to conform if necessary, and the issue amount stated in the form of bond shall be revised to conform if necessary. 3. Purchase Price. Other materials before this ¶ 1 $10,480,572.00 Council indicate the proposed purchase price and, if applicable, the purchase price for a revised issue size. The blanks in paragraph i shall be completed with purchase prices. 4. Term Bonds. Other materials before this ¶ 2 Term bonds as follows: Council indicate whether there aze term ¶ 4 bonds. If not, no changes are necessary. If ¶ 7 S/1/2023 — 11/II2023 $445,000 so, the maturity schedule in paragraph 2 Form of Bond 5/1/2024 —11/1/2024 $465,000 shall be revised to conform, the schedule of 5f 1l2025 — i l/ll2025 $485,000 maturity dates for interest rates in paragraph 5l112026 —1 1l1/2028 $1,585,000 4 shall be revised to conform, text providing 5!i/2029 — 5f 1/2033 $2,815,000 for scheduled mandatory redemption shall 2139935v2 i/��'�� be added as pazagraph 7(b) and draft paragraphs (b) through (g) shall be relettered, a similaz paragraph for scheduled mandatory redemption shali be added to the form of bond, and paragraph 7(a) and the form of bond shall be revised to treat amounts scheduled for mandatory redemption as an amount per maturity. 5. Interest Rates. Other materials before this ¶ 4 See column 3 of attached Council indicate the interest rates for the schedule C-3 maturity dates of the Bonds, and the schedule in paragraph 4 shall be completed True interest cost is 4.235% for the maturity dates consistent with term bonds, if any, in confor iherew 6. Tas Levies. A schedule of tax levies is ¶ 18 See attached schedule C-3 before this Council, and paragraph 18 shall be com leted in conformance therewith. 2139935v2 c-s ������ $10,510,000 Date OS/07/2010 OS/O1/2011 OS/O7/2072 OS/OV2013 OS/07/2014 OS/O7/2�75 OS/01/2076 05/07/2017 D5101/2018 05fOV20'19 05f01/2020 05(Ot12021 05l01/2022 OSl07l2023 OS/07/2024 05/Oi/2025 05/01/2026 05/01/2027 05/Oi/2028 OS/01/2029 OS/01/2030 OSl07/2031 OSfO7M032 O5/0112033 Totai City of Saint Paul, Minnesota General Obligation Public Safety Bonds, Series 2008C Post-Sate Tax Levies Principat Coupon Interest TotalP+l Cap.Interest 105%Overlevy LevyAmount LeryYear 130,000.00 270,000.00 280,000.00 290,000_00 300,000.00 310,000.00 320,000.00 330,000.00 345,000.00 355,000.00 370,000.00 385,000.�� 40�,000.0� 415,UOO.aa 435,000.00 455,000.00 475,000.00 495,000.00 515,000.00 540,000.00 565,000.00 590,OD0.00 620,000.00 6A5,OOO.OD 675,000.00 3.000% 4.000°/a 4.000% 4.000% 4.000% 4.000% 4.000°/0 4.000 % 4.000°!0 4.00OY 4.000% 4.000q 4.000% a.aoo� a.oaoi 4.250% 4 250% 4.250q 4.250% 4.250% 4 375 k 4.375% A.375% 4.375% 4.375°Io 507,084.38 428,718.75 418,493.75 407,193.75 395,493.75 383,393.75 370,893.75 357,993.75 3A4,693.75 330,793.75 316,393,75 301,493.75 285,893.75 269,793.75 252,993.75 235,393.75 276,125.00 195,725.00 774,475.00 152,375.00 729,70625 104,343.75 78.203.13 50,750.00 22,203.13 637,084.38 698,718.75 698,493.75 697,193.75 695,493,75 693,393.75 690,893.75 687,993.75 689,893.75 685,T93.75 686,393.75 686,493.75 685,893.75 684,793.75 687,993.75 690,393.75 691,125.00 690,725.00 689,475.00 692,375.00 694,106.25 69d,343.75 698,203.13 695,750.00 697,203.13 (176,484.00) 546,630.39 733,654.69 733,418.44 732,053.A4 730,268.44 728,063.44 725,A38.AA 722.393.A4 724.178.4A 720,083.44 720,7t3.44 72�,818.44 720,188.44 719,033.44 722,393 44 �24,913.44 725,687.25 725261.25 723,948.75 726,993.75 728,811.56 729,D60.9A 733,�53.28 730,537.50 732,063.28 '.979714.77 546,630.39 733,654.69 733.418.44 732,053.44 730,268.44 728,063.A4 725,438 44 722,393.44 724.178.44 720,083.44 720.713.44 72�,St8.44 720,188.44 719,033.44 722,393.44 724.913.44 725,681.25 725,261.25 723,948.75 726,993.75 728,811.56 729,060.94 733,11328 730,537.50 732,06328 7.979.714.77 2007 2008 2009 2010 2071 2012 2073 2014 2015 2016 aoi7 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 TLbBC(APab/kLkty� / S/NCLCFUFR�S'[ / Z/l3/TOGt4 / )2�84PM �j3t'1Tit�5�E'{� 2139935v2 �;�� Springsted February 13, 2008 Mr. Matt Smith, Director of Finaocial Services Office of Financial Services 700 City Hall 15 West Kellogg Boulevarcl Saint Paul, Minnesota 55102 RE: ���� Spnngsfed lnwrpo�ated 3B0 Jackson StreeL Suite 300 SaintPZUI,MN 551b1-2887 7el 65i-223-3000 F�. 651-2233002 wrnv sorings(ed com Recommendations for Award of City of Saint Paui's: $6,330,000 General Obligation Capital Improvement Bonds, Series 2008A, $12,500,000 General Obligation SYreet Improvement Special Assessment Bonds, Series 20086 (The Street Bonds have been reduced to $11,545,000 as a result of the bidding), $10,51�,�oQ General Obligatio� Pu61ic Safery Bonds, Series 2008C, and $23,735,000 Sewer Revenue Bonds, Series 2008D Dear Mr. Smith: This letter summarizes the results of the competitive bids opened this moming for the iour Issues fisted above. Purpose and Repayment Sources of Issues The purpose of the CIB Issue is to fund projects provided for through the City's Capital Improvement Budgeting process. The CI8 Issue will be repaid by property tax levies. The purpose of the Street Issue is to fund portions of the City's annuai street improvement program. This Street Issue will be repaid by special assessments on benefiting properties and property tax levies. The purpose ot the Public Safety Issue is to fund the acquisition of the Westem District Police Sta6on. This Issue will be repaid by property tax levies. The purpose of the Sewer Revenue Issue is to funtl improvements to the City's sanitary sewer system. The Sewer Issue wiii be repaid by revenues of the Sewer Utility. Public Sector Advisors City of Saint Paui, Minnesota FebNary 13, 2008 Page 2 G��l �'� 7a�c-Exempf Market Rates While the municipal ta�c-exempt market continues in a very low range, it has been highly erratic over the past six weeks in response to 6oth the economic situation and concems over credit quality. The national index of these interest rates, the BBi, is at the very low point of 4.33%, as compared to last year's April sale where the BBI was at 429%. The trend of interest rates has also changed markedly over the past few months, moving from a relative Bat yield curve to a more traditional `steep' yield curve. This situation results in shorter term bonds having relatively lower interest retes than longer term bonds. Sale Results The City received three bids on the CIB Issue. The senior managers of the bidding syndicates were as follows: Rank Bidder TICI%1 RBC Capital Market 3.0836 PiperJaffray 3.0951 Robert W. Baird 3.1515 The lowest (or best} bid was received from RBC Capital Markets at a true interest rate of 3.0836%. Last year's CiB Issue received a winning bid of 3.82%. Our estimate of inCerest rates from mid-January for this {ssue was 3.80°fo. The City received four bids on the Street Issue: Rank Bidder TIC(°!ol Piper Jaffray 3.9885 Cronin & Company 4.0045 RobeR W. Baird 4.0425 Menill Lynch & Company 4.3024 The lowest (or best) bid was received from Piper Jaffray at a true interest rate of 3.9885%. Last year's Street Issue received a winning 6id of 4.216%. Our estimate of interest rates from mid-January for this Issue was 4.30°l0. Note on the Sfreet Issue Principal Amounf; The City permits investment banking firms to have a defined ievel of flexibility in placing their bids, with one such aspect being 'premium bids.' In a premium bid, the bidder pays the City more than the principai amount of bonds to be issued in return for the City paying higher than market interest rates. In this sale, Piper Jaffray bid a premium of $1,076,000. This premium permitted the reduction in the amount of bonds issued to $11,545,000 from $12,500,000. This debt reduction permits the City to reduce its annual debt service caused by the premium interest rates. Cify of Saint Paul, Minnesota February 13, 2008 Page 3 The City received four bids on the Public Safety Issue: Rank Bidder TICI°kl UBS Securities 4235D PiperJa{fray 424o6 Robert W. Bairci 4.3049 Memll Lynch & Company 4.4997 ���l�j 1 The lowest (or best) bid was received from UBS Securities LLC at a true interest rate af 42350%. Our estimate of interest rates from midJanuary for this Issue was 4.45°l0. The City received four bids on the Sewer Revenue Issue; Rank Bidder TI� UBS Securities 3.9671 RobeA W. Baird 3.9694 PiperJaffray 3.9984 Merzill Lynch & Company 4.0875 The lowest (or best) bid was received from UBS Securities LLC at a true interest rate of 3.9671 °!o. Our estimate of interest rates from mid-January for this Issue was 4.32°/0. The difference in interest rates between these four issues is the result of the respective repayment terms of the Issues. In general, shorter-term issues have fower interest rates than longer issues. The C1B fssue had a markedly shotter term than the other three Issues. We require bidders to submit their 6ids on a"True Interest Rate" (TIC) basis, sa as to reflect the present va4ue of their bids and thereby ensure the City award based on the fowest cost to the City. We have enciosed bid tabulation forms for each issue summarizing the bid specifics and composition of each undenvriting syndicate. Recommendation We recommend award(s) of sale to: CIB Issue ................................ RBC Capitaf Markets Street lssue ............................ Piper Jaffray Public Safety Issue .................. UBS Securities Sewer Revenue Bonds............ UBS Securities City of Saint Paul, Minnesota February 13, 2008 Page 4 Basis of Recommendation D�'I ��I We believe the interest rates received by the City today reflect significant market participation and aggressive bidding. The broad market continues in a very fow range. For ail four issues, the saie results are at interest rate levefs sig�ificanUy under our estimates from mid-January. Credit Rating The City's general obligation rating for these Issues were reafifirmed by Standard & Poor's at AAA and Moody's at Aa2. The Sewer Ufility's separafe ratings were also reaffirmed at AAA from Standard & Poor's and Aa2 from Moody's. The respective rating agency reports present each agency's perspectives on the City's credit quality. The City conducted an intensive series of discussions with the two agencies as part of this rafing process. The AAA rating is an exceptional credit desiqnation and its continuance by the City in difficult budget and economic times demonstrates the quality of decision-making by its elected o�icials and the management of its staff. We welcome any questions regarding this safe process and congratufate the City on compfetion of a successful sale process. Respectfully, C "vWraa `�t�\.J4 / David N. MacGillivray, Chairman C{ient Representative dww Enciosures � � l4 7 L � � � � c � c W L {Q � � > is L � N r.�. � � ^ O Q O � N � C O .Q 0 N � C R m 3 C m > � �. � C O � N � � m . u u • �� �i +s sa;ea 8 a 0 � ���? o c' �O / ��O! O �p� c9 `� � gn ��� 7J� s `�� �O vn ��� ` � Q L S'p� 0��� �O � 1s � ��� O ���/��� O cE'� �� O C� ` o ��� ��i� d' � �/'� � � y.�+ tC ❑ 0 0 0 0 � � o 0 Cfl d' N O o� C4 �t CV � � � � `d' �t ct d=