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10-155Amended 2/10l2010 v � \ Council File # 10-155 Green Sheet # 3097616 RESOLUTION OF,SAINT PAUL, MINNESOTA Presented by SUPPLEMENTING GENERAL RESOLUTION RELATING TO SEWER REVENUE BONDS AND PROVIDING FOR THE ISSUANCE OF APPROXIMATELY $9,000,000 SEWER REVENUE BONDS, SERIES 2010D; AND FIXING THE FORM AND SPECIFICATIONS OF THE SERIES 2010D BONDS 1 A. WHEREAS, the Director, Office of Financial Services, has presented proposals received 2 for the sale of approximately Sewer Revenue Bonds, Series 2010D (the "Series 2010D Bonds"), of the 3 City of Saint Paul, Minnesota (Che "City"); and 4 B. WFIEREAS, the proposals for the purchase of the Series 2010D Bonds set forth on 5 EXHIBIT C attached hereto were received pursuant to the Terms of Proposal at the offices of Springsted 6 Incorporated, as financial advisor to the CiCy, at oc before 10:3Q a.m., Central Time, this same day; and 7 C. WHEREAS, the Director, Office of Financial Services, has advised this Council that the 8 proposal of the Purchaser (as defined herein) was found to be the most advantageous and has 9 recommended that said proposal be accepted by the City; and 10 D. WHEREAS, on May 24, 1988, the City Council of the City adopted Resolution No. 88- 11 835, entitled "General Resolution Relating to Sewer Revenue Bonds" (the "General Resolution"); and 12 E. WHEREAS, the General Resolution contemplates Supplemental Resolutions which 13 supplement or amend the General Resolution, including Supplemental Resolutions authorizing the 14 issuance of additional series of bonds secured on a parity with the bonds initially issued pursuant to the 15 General Resolution, which were the City's Sewer Revenue Bonds, Series 1988A (the "Series 1988A 16 Bonds") and which aze no longer outstanding; and 17 18 19 20 21 22 23 F. WHEREAS, it is necessary and desirable to adopt this resolution as a Supplemental Resolution to the General Resolution to provide for the issuance of the Series 2010D Bonds on a parity of lien with the City's outstanding (i) Sewer Revenue Bonds, Series 2004E (the "Series 2004E Bonds"), (ii) Sewet Revenue Bonds, Series 2006C (the "Series 2006C Bonds"), (iii) Sawar Revenue Bonds, Series 2008D (the "Series 2008D Bonds"), (iv) Sewer Revenue Bonds, Series 2009C (the "Series 2009C Bonds") and (v) Sewet Revenue Refunding Bonds, Series 2009I (the "Series 2009I Bonds"), which are the only bonds outstanding underthe General Resolution; and 24 G. WHEREAS, the Series 2004E Bonds, the Series 2006C Bonds, the Series 2008D Bonds, 25 the Series 2009C Bonds and the Series 2009I Bonds (collectively with the Series 2010D Bonds, the 26 "Parity Bonds") were issued by the City in order to finance rehabilitation projects to the City's sewer 27 system, including major sewer repairs, tunnel repairs and stormwater quality improvements; and 10-155 � r 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 H. WHEREAS, Sections 6.01(B) and (C) of the General Resolution provide for the issuance of parity lien bonds in part as follows: "(B) Except as provided in Section 6.02, no additional revenue obligations ("Additional Bonds") payable from the moneys in the Sewer Service Enterprise Fund on a parity of lien with the then outstanding Bonds shall be hereafter issued unless the annual Net Revenues of the Sewer System for each of the two (2) completed Fiscal Years immediately preceding the issuance of such Addirional Bonds shall have been one and one-quarter (1.25) times the maximum annual principal and interest coming due thereafter on all Bonds (including the Additional Bonds) having a parity of lien upon Revenues. If the annual Net Revenues in either or both of the aforesaid two (2) completed Fiscal Years shall be insufficient to meet the foregoing test, then the City shall be entitled to adjust the Net Revenues for either or both of those Fiscal Yeazs by increasing the l�et Revenues based on a projection of additional Revenues which would have been available from any rate increase placed in effect prior to the adjustment, or from new users. The adjustment of Revenues may assume such increase would have been available for the entire Fiscal Yeaz of adjustment. The projection for adjustment and finding of sufficiency of Net Revenues for the issuance of Additional Bonds shall be shown by a certificate issued by the Director, Department of Public Works, or the City Budget Director, or by an independent consulting engineering firm knowledgeable in such matters and shall be a finding of and recited in the resolution of the City authorizing such Additional Bonds. [Balance of (B) omitted]. "(C) In addition to the requirements of subsection (B) above, the following conditions shall be met prior to the issuance of each series of Additional Bonds: (1) The paymeots required to be made (at the time of the issuance of such Additional $onds) into the various Funds and Accounts provid�d for in this Resolution have been made. (2) The proceeds of such Additional Bonds shall be used only for the purpose of making Improvements to the Sewer System or to refund (or advance refund) Bonds or any other bonds or obligations issued to finance the Sewer System, and capitalizing interest or making a deposit to the Reserve Fund a�d paying the costs of such financing."; and 57 L WHEREAS, Revenues of the Sewer System in the sixth use at section 4.03(A) of the 58 General Resolution have been pledged to the payment of the foliowing sevea outstanding Notes of the 59 City: (i) General Obligation Sewer Revenue Note of 1993; (ii) General Obligation Sewer Revenue Note 60 of 1994; (iii) General Obligation Sewer Revenue Note of 1995; (iv) General Obligation Sewer Revenue 61 Note of 1996; (v) General Obligation Sewer Revenue Note of 1997; (vi) General Obligation Sewer 62 Revenue Note of 1999, and (vii) General Obligation Sewer Revenue Note of 2000 (collectively, the 63 "General Obligation Notes"); and 64 J. WHEREAS, the Reserve Account will be funded for the Series 2010D Bonds by a 65 deposit from proceeds of the Series 2010D Bonds as required by the General Resolution; and 66 K. WHEREAS, the City will deliver the Series 2010D Bonds in "book-entry form" as 67 described in the General Resolution, and the City has heretofore executed a Blanket Issuer Letter of 68 Representations (the "Letter of Representations") setting forth various matters relating to The Depository 69 Trust Company as Depository and its role with respect to the Series 2010D Bonds; and 10-155 70 L. WI�REAS, the Bond Registrar (as defined herein) shall maintain the registration books 71 of the City as provided in paragraph 9; and 72 M. WI�REAS, pursuant to Minnesota Statutes, Section 475.60, Subdivision 2(9), public 73 sale requirements do not apply to the Series 2010D Bonds, because the City has retained an independent 7a financia] advisor (Springsted Incorporated) and this Council has deternuned to sell the Series 2010D 75 Bonds by private negotiation, and the City has instead authorized a competiuve sale without publication 76 of notice thereof as a form of private negotiation; and 77 N. WF�REAS, Rule lSc2-12 of the Securities and Exchange Commission prohibits 78 "participating underwriters" from purchasing or selling the Series 2010D Bonds unless the City 74 undertakes to provide certain continuing disclosure with respect to the Series 2010D Bonds; and 80 O. WHEREAS, proposals for the Series 2010D Bonds have been solicited by Springsted 81 Incorporated, financial advisor to the City pursuant to an Official Statement (the "Official StatemenP') 82 and Terms of Proposal (the "Terms of Proposal") therein. 83 NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Saint Paul, Minnesota, as 84 follows: 85 1. Supplemental Resolution No. 8; Paritv Bonds Findines; Capitalized Terms. This 36 resolution is "Supplemental Resolution No. 8" to the General Resolution, and constitutes a"Supplemental 87 Resolution" as defined therein. The Series 2010D Bonds are "Additional Bopds" which are "Fixed Rate 88 Bonds" and "Tax-Exempt Bonds", all as defined in the General Resolution. It is hereby found, 89 detemuned and declazed thae (1) the Series 2010D Bonds are issued on a parity of lien with the Series 90 2004E Bonds, Series 2006C Bonds, Series 2008D Bonds, Series 2009C Bonds and Series 2009I Bonds 91 (the Parity Bonds) pursuant to Section 6.01(B) of the General Resolution to finance rehabilitation projects 92 to the City's sewer system, including major sewer repairs, tunnel repairs and stormwater quality 93 improvements, and (2) the Series 2010D Bonds meet the requirements to be parity bonds, as further set 94 forth in pazagraph 31. Capitalized terms used in this resolution which are not defined herein but which 95 aze defined in the General Resolution shall have the meanings given such terms in the General 96 Resolution. 97 2. Acceptance of Proposal. The proposal of UBS Financial Services, Ina (the "Purchaser") 98 to purchase the Sewer Revenue Bonds, Series 2010D, of the City (the "Series 2010D Bonds" or 99 individually a"Series 2010D Bond"), in accordauce with the Terms of Proposal for the bond sale, at the 100 rates of interest set forth hereinafter, and to pay for the Series 2010D Bonds the sum of $8,916,332.85 101 (the principal amount of the Sedes 2010D Bonds of $8,610,000, plus an original issue premium in the 102 amount of $403,798.05, less the Purchaser's discount of $97,465.20), is hereby found, determined and 103 declazed to be the most favorable proposal received and is hereby accepted for Series 2010D Bonds. The 104 Director, Office of Financial Services, or her designee, is directed to retain the deposit of the Purchaser 105 and to forthwith return to the others making proposals their good faith checks or drafts. The Director, 106 Office of Financial Services and the City Clerk, on behalf of the City, aze directed to execute a purchase 107 agreement with the Purchaser related to the Series 2010D Bonds. 108 3. Title: Oripinal Issue Date; Denominations; Maturities. The Series 2010D Bonds shall be 109 titled "Sewer Revenue Bonds, Series 2010D" and shall be issued in the original aggregate principal 110 amount of $8,610,000, shall be dated Mazch 3, 2010, as the date of original issue and shall be issued 111 forthwith on or after such date as fully registered bonds. The 5eries 2010D Bonds shall be numbered 112 from R-I upwazd. The Series 2010D Bonds shall each be in the denomination of the entire principal 113 amount maturing on a single date, or, if a portion of said principal amount is prepaid, said principal 10-155 114 amount less the prepayment. The Series 2010D Bonds shall mature on June 1 and December 1, which 115 combination of semiannual principal payment dates differ from the standard December 1 date provided in 116 Section 2.08 of the General Resolution but is pemutted to be specified in this Supplemental Resdution 117 No. 8, on the dates and in the amounts as set forth in EXHIBIT B hereto. 118 4. ose. The Series 2010D Bonds shall provide funds for (i) rehabilitation projects to ll9 the City's sewer system, including major sewer repairs, tunnel repairs and stormwater quality 120 improveme�ts (the "Improvements"), (ii) a deposit to the Reserve Account as required under the terms of 121 the General Resolution, and (iii) the payment of costs of issuance of the Series 2010D Bonds. 122 5. Interest. The Series 2010D Bonds shall bear interest payable semiannually on June I and 123 December 1 of each year as provided in Section 2.08 of the General Resolution (each, an"Interest 124 Payment Date"), commencing December 1, 201Q calculated on the basis of a 360-day year of twelve 30- 125 day months, at the respective rates per annum set forth opposite the maharity dates as set forth in 126 EXHIBIT B hereto. 127 6. Description of the Series 2010D Bonds. Upon their original issuance the Series 2010D 128 Bonds will be issued in the form of a single Series 2010D Bond for each maturity, deposited with The 129 Depository Tmst Company or its ageut as the Depository by the Purchaser. 130 7. Book-Entrv Svstem. The following shall override Section 2.12 of the General Resolution 131 and shall apply to the Series 2010D Bonds. 132 (a) Book-Entry System - The Depository Trust Company. The Series 2010D Bonds will be 133 inirially issued in the form of a separate single typawriCten or printed fully registered Series 2010D Bond 134 for each of the maturities of the Series 2010D Bonds. Upon initial issuance, the ownership of each Series 135 2010D Bond will be registered in the registration books kept by the Registraz in the name oF Cede & Co., 136 as nominee for The Depository Trust Company, New York, New York, and its successors and assigns 137 ("DTC"). Except as provided in this Section 11, all of the outstanding Series 2010D Bonds will be 138 registered in the registration books kept by the Registraz in the name o£ Cede & Co., as nominee of DTC. 139 (b) Participants. With respect to Series 2010D Bonds registered in the registntion books L40 kept by the Registraz in the name of Cede & Co., as nominee of DTC, the City, the Registraz, and the 141 Paying Agent will have no responsibility or obligation to any broker dealers, banks, and other financial 142 institutions from time to time for which DTC holds Series 2010D Bonds as securities depository 143 ("Participants") or to any other person on behalf of which a Participant holds an interest in the Series 144 2010D Bonds, including but not limited to any responsibility or obligation with respect ta (i) the 145 accuracy of the records of Cede & Co., DTC, or any Participant with respect to any ownership interest in 146 the Series 2010D Bonds; (ii) the delivery to any Participant or any other person (other than a registered 147 owner of Series 2010D Bonds, as shown by the registration books kept by the Registrar), of any notice 148 with respect to the Series 2010D Bonds, including any notice of redemption; or (iii) the payment to any 149 Participant or any other person, other than a registered owner of Series 2010D Bonds, of any amount with 150 respect to principal of, premium, if any, or interest on the Series 2010D Bonds. The City, the Registrar, 151 and the Paying Agent may treat and consider the person in whose name each Series 2010D Bond is 152 registered in the registration books kept by the Regstraz as the holder and absolute owner of such Series 153 2010D Bond for the purpose of payment of principal, premium, aud interest with respect to such Series 154 2010D Bond, for the purpose of registering transfers with respect to such Series 2010D Bonds, and for all 155 other purposes. The Paying Agent shall pay all principal of, premium, if any, and interest on the Series 156 2010D Bonds only to or on the order of the respective registered owners, as shown in the registration 157 books kept by the Registrar, and ail such payments will be valid and effectual to fully satisfy and 158 discharge the City's obligations with respect to payment of principal of, premium, if any, or interest on 10-155 159 the Series 2010D Bonds to the extent of the sum or sums so paid. No person other than a registered 160 owner of a Series 2010D Bond, as shown in the rea stration books kept by the Regastraz, will receive a 161 certificated Series 2010D Bond evidencing the obligation of this Resolution. Upon delivery by DTC to 162 the City Clerk of a written notice to the effect that DTC has determined to substitute a new nominee in 163 place of Cede & Co., the words "Cede & Co." shall refer to such new nominee of DTC; and upon receipt 164 of such a notice, the City Clerk shall promptly deliver a copy of the same to the Registraz and Paying 165 Agent. 166 (c) Representation Letter. The City has heretofore executed and delivered to DTC a Blanket 167 Issuer L,etter of Representations (the "Representation I.etter") which shall govem payment of principal of, 168 premium, if any, and interest on the Series 2010D Bonds and notices with respect to the Series 2010D 169 Bonds. Any Paying Agent or Registraz subsequently appointed by the City with respect to the Series 170 2010D Bonds shall agree to take all actions necessary for all representations of the City in the 171 Representation Letter with respect to the Registraz and Paying Agent, respectively, to be complied with at 172 all times. 173 174 175 176 177 178 179 180 181 182 183 (d) Transfers Outside Book-Entry System. In the event the City, by resolution of the City Council, determines that it is in the best interests oF the persons having beneficial interests in the Series 2010D Bonds that they be able to obtain Series 2010D Boad certiflcates, the City will notify DTC, whereupon DTC will notify the Participants, of the availability through DTC of Series 2010D Bond certificates. In such event the City will issue, transfer, and exchange Series 2010D Bond certificates as requested by DTC and any other registered owners in accordance with the provisions of this Resolution. DTC may detezmine to discantinue groviding its services with respect to the Series 2010D Bonds at any time by giving notice to the City and dischazging its responsibilities with respect thereto under applicable law. In such event, if no successor securities depository is appointed, the City shall issue and the RegisCru shall authenticate Series 2010D Bond certificates in accordance with fhis Resolutian aud the provisions hereof shall apply to the transfer, exchange, and method of payment thereof. 184 (e) Payments to DTC. Notwithstauding any other provision of this Resolution to the 185 contrazy, so long as a Series 2010D Bond is registered in the name of Cede & Co., as nominee of DTC, 186 payments wiih respect to principal of, premium, if any, and interest on the Series 2010D Bonds and all 187 notices with respect to the Series 2010D Bonds shall be made and given, respectively, in the manner 188 provided in DTC's Operational Arrangements, as set foRh in the Representation Letter. � 190 191 192 193 194 195 196 197 8. Redemption. (a) Ootional Redemption. The City may elect on June 1, 202�, and on any day thereafter, to prepay Series 2010D Bonds due on or after December 1, 2020. Optional redemptions may be in whole or in part and if in part at the option of the City and in such manner as the City shall deternune. If less than all Series 2010D Bonds of a maturity are called for redemption, the City will notify DTC (as defined herein) of the particulaz amount of such maturity to be prepaid. DTC will deternune by lot the amount of each participant's interest in such maturiry to be redeemed and each participant will then select by lot the beneficial ownership interests in such maturity to be redeemed. All optional redemptions of the Series 2010D Bonds shall be at a price of paz plus accrued interest to the redempdon date. 198 (b) Scheduled MandatorXRedem t�ion. Term Bonds mamring on December 1, 2020 through 199 2029, are subject to redemption and prepayment at a price of paz plus accrued interest, without premium, 200 on the dates and in the amounts set forth below: 10-155 201 202 203 Pavment Date June 1, 2020 December 1, 2020 Principal Amount $215,000 220,000 Term Bonds maturing on December l, 2021, aze subject to redemption and prepayment at a Qrice of paz plus accrued interest, without premium, on the dates and in the amounts set forth below: Payment Date Principal Amount June 1, 2021 $225,000 December 1, 2021 230,000 204 205 206 Term Bonds raaturing on December 1, 2022, aze subject to redemption and prepayment at a price of par plus accrued interest, without premium, on the dates and in the amounts set forth below: Pavment Date Principal Amount Juae 1, 2022 $23Q000 December 1, 2022 235,000 207 208 Term Bonds maturing on December 1, 2023, aze 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: Payment Date Principal Amount June 1, 2023 $240,000 December 1, 2023 245,000 209 210 Term Bonds maturing on December 1, 2024, 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: Payment Date Princioal Amount June 1, 2024 $250,000 December 1, 2024 255,000 211 212 Term Bonds maturing on December 1, 2025, 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: �ment Date Principal Amount June 1, 2025 $260,000 December 1, 2025 265,000 213 214 Term Bonds maturing on December 1, 2026, are subject to redemption and prepayment at a price of par plus accmed interest, without premium, on the dates and in the amounts set forth below: � 10-155 Pavment Date June 1, 2026 December 1, 2026 215 216 PrinciQal Amount $270,000 275,000 Term Bonds maturing on Aecember 1, 2027, ue 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: Payment Date Princi�al Amount June l, 2027 $280,000 December 1, 2027 285,000 217 218 Term Bonds maturing on December 1, 2028, are subject to redemption and prepayment at a price of par plus acemed interest, without premium, on the dates and in the amounts set forth below: Pavment Date Principal Amount June 1, 2028 290,000 December 1, 2028 295,000 219 220 Term Bonds maturing on December 1, 2029, 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: Pavment Date Princioal Amount June 1, 2029 $305,000 December 1, 2029 310,000 221 222 223 (c) Due Date. The Series 2010D Bonds or 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. 224 (d) Notice. Mailed notice of iedemption shall be given to the paying agent (if other than a 225 City officer) and to each affected Holder. If and when the City shall call any of the Series 2010D Bonds 226 for redemption and payment prior to the stated maturity thereof, the Bond Registrar shall give written 227 notice in the name of the City of its intention to redeem and pay such Series 2010A Bonds at the office of 228 the Bond Registraz. Notice of redemption shall be given by first class mail, postage prepaid, mailed not 229 less than thirty (30) days prior to the redemption date, to each Holder of Series 2010D Bonds to be 230 redeemed, at the address appearing in the Bond Register. All notices of redemption shall state: 231 232 (i) (ii) The redemption date; The redemption pdce; 233 (iii) If less than all outstanding Series 2010D Bonds are to be redeemed, the 234 idendficarion (and, in the case of partial redemption, the zespective principal amounts) of the 235 Series 2010D Bonds to be redeemed; 10-155 236 (iv) That on the redemprion date, tha redemption price will become due and payable 237 upon each such Series 2010D Bond, and that intecest thereon shall cease to accrue from and after 23S said date; and 239 (v) The place where such Series 2010D Bonds aze to be surrendered £or payment of 240 the redemption price (which shall be the ofFice of the Bond Registraz). 241 (e) Notice to DTC. Notices to DTC or its nominee shall contain the CUSIP numbers of the 242 Series 2010D Bonds. If there are any Holders of the Series 2010D Bonds other than DTC or its nominee, 243 the Bond Registrar shall use its best efforts to deliver any such notice to DTC on the business day next 244 preceding the date of mailing of such notice to all other Holders. 245 9. Bond Registraz. As provided in Section 2.03 of the General Resolution, the Treasurer of 246 the City is appointed to act as bond registraz and transfer agent with respect to the Series 2010D Bonds 247 (the `Bond Registraz"), and shall do so unless and until a successor Bond Regstraz is duly appointed. A 248 successor Bond Registrar shall be an officer of the City or a bank or trust company eligible for 249 designation as Bond Registraz pursuant to the Municipal Debt Act and may be appointed pursuant to any 250 contract the City and such successor Bond Registraz shall execute which is consistent herewith. The 251 Bond Registraz shall also serve as Paying Agent unless and until a successor Paying Agent is duly 252 appointed. Principal of and interest on the Series 2010D Bonds shall be paid to the registered holder or 253 holders of the Series 2010D Bonds (the "Holder" oc "Holdeis") in the mannec set forth in the form of the 254 Series 2010D Bonds. The effect of registration and the rights and duties of the City and the Bond 255 Registraz with respect thereto are as follows: 256 10. Form of Series 2010D Bonds. All of the provisions of the Series 2010D Bonds, when 257 executed as authorized hezein, sball be deemed to be a part af this ResoluUon as fully and to the same 258 extent as if incorpoiated verbatim hetein and shall be in full foxce and effect from the date of execution 259 and delivery thereof. The 5eries 2010D Bonds shall be issued in the form of registered bonds authorized 260 pursuant to Section 7 hereof, as required by Sections 2.01, 2.14 and 2.17 of the Ge�eral Resolution. The 261 Series 2010D Bonds shall be substantially in the form attached to this Resolution as EXHIBIT A, which 262 form is hereby approved, with such necessary and appropriate variations, omissions, and insertions 263 (including changes to the aggregate principal amount of each series of the Series 2010D Bonds, the stated 264 maturities of the Series 2010D Bonds, the intexest tates on tY�e Series 2010D Bonds, the terms of 265 redemption of the Series 2010D Bonds, and variation from City policies regazding methods of offering 266 bonds) as the City Treasurer and Director, Office of Financial Services, or their respective deputies, in 267 their discretion, shall detemune and delivery of the Series 2010D Bonds by the Ciry shall be conclusive 268 evidence of such deternunations. Changes to the form of the Series 2010D Bonds may be approved by 269 bond counsel and the City Attorney. 270 The Ciry Treasurer is authorized and directed to obtain a copy of the proposed approving legal 271 opinion of Kennedy & Graven, Chartered, Saint Paul, Minnesota, which shall be complete except as to 272 dating thereof and cause the opinion to accompany each Series 2010D Bond. 273 11. Execution. As provided in Section 2.04 of the General Resolution, the Series 2010D 274 Bonds shall be executed on behalf of the City by the sia atures of its Mayor, Clerk and Director, Office 275 of Financial Services, provided that any of such signamres may be printed or photocopied facsimiles and 276 the corporaCe seal may be omitted on the Series 2010D Bonds as pernutted by law. In the event of 277 disability or resia ation or other absence of any such officer, the Series 2010D Bonds may be signed by 278 the manual or facsimile signature of that officer who may act on behalf of such absent or disabled officer. 279 In case any such officer whose signature or facsimile of whose signature shall appear on the Series 2010D 280 Bonds shall cease to be such officer before the delivery of the Series 2010D Bonds, such signature or 10-155 281 282 283 284 285 286 287 288 289 290 291 292 293 294 facsimile shall nevertheless be valid and sufficient for all purposes, the same as if he or she had remained in office unril delivery. 12. Authentication; Date of Re2istration. As provided in Section 2.05 of the General Resolution, no Series 2010D 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 Series 2010D Bond, substantially in the form hereinabove set forth, shall have been duly executed by an authorized cepresentative of the Band Registraz. Certificates of Authentication on different Series 2010D Bonds need not be signed by the same person. The Bond Registraz shali authenticate the sia atures of officers of the City on each Series 2010D Bond by execution of the Certificate of Authentication on the 5eries 2010D Bond and by inserting as the date of registration in the space provided the date on which the Series 2010D Bond is authenticated. For purposes of delivering the Series 2010D Bonds to the Purchaser, the Bond Registrar shall insert as the date of registration the date of original issue. The Certificate oF Authentication so executed on each Series 2010D Bond shall be conclusive evidence that it has been authenticated and delivered under this resolution. 295 13. Registration; Transfer: Exchanee. As provided in Sections 2.Ob, 2.15 and 218 of the 296 General Resolution, the City will cause to be kept at the pdncipal office of the Bond Registrar a bond 297 register in which, subject to such reasonable regulations as the Bond Registrar may prescribe, the Bond 298 Registrar shall provide for the registration of Series 2010D Bonds and the registration of transfers of 299 Series 2010D Bonds endtled to be registered or transferred as herein provided. 300 The registration, transfer and exchange of the Series 2010D Bonds shall be govemed by Sections 301 2.06, 2.15 and 2.18 of the General Resolution. 302 14. Riehts Upon 1'ransfer or Exchange. As provided in Section 2.07 of the General 303 Resolurion, each Seraes 2010D Bond delivered upon transfex of ar in exchange for or in lieu of any ather 304 Series 2010D Bond shall cazry all the rights to interest accrned and unpaid, and to accrue, which were 305 carried by such other Series 2010D Bond. 306 15. Interest Pavment; Record Date. As provided in Section 2.08 of the General Resolution, 307 intexest shall be paid on each Interest Fayment Date by check or draft mailed to the Holders, and in each 308 case atthe address appearing thereoa at the close of business on the fifreenth (i5th) day of the calendar 309 month next preceding such Interest Payment Date (the "Regular Record Date"). Any such interest not so 310 timely paid shall cease to be payable to the person who is the Holder thereof as of the Regulaz Record 311 Date, and shall be payable to the person who is the Holder thereof at the close of business on a date (the 312 "Special Record Date") fixed by the Bond Registrar whenever money becomes available for payment of 313 the defaulted interest. Notice of the Special Record Date shall be given by the Bond Registrar to the 314 Holders not less than ten (10) days prior to the Special Record Date. 315 16. Holders Tieatment of Re¢istered Ownei: Consent oP Holders. Section 2.09 of the 316 General Resolution shall apply to the Series 201QD Bonds. 317 17. Delivery; Application of Proceeds. The Series 2010D Bonds when so prepazed and 318 executed shall be delivered by the Director, Office of Financial Services, to the Purchaser upon receipt of 319 the purchase price, and the Purchaser shall not be obliged to see to the proper application thereof. 320 18. Fund and Accounts. There has heretofore been created, by the General Resolution, a 321 special fund of the City designated the "Sewer Service Enterprise Fund" (the "Fund"). The Fund shall 322 continue to be operated as provided in the General Resolution, except as provided herein. The Fund shall 323 be maintained as provided in the General Resolution, especially Article IV thereof, except as modified 10-155 324 325 326 327 328 329 330 331 332 333 334 335 herein, and in the manner herein specified until all of the Series 2010D Bonds and the interest thereon have been fully paid. (a) Construction Account. Into the Constmction Account established by Section 4.02 of the General Resolution, spec�cally a separate subaccount established for the Series 2010D Bonds, shall be paid the proceeds from the sale of the Series 2010D Bonds, less (a)$654,475 to be deposited in the Reserve Account, (b) $0 of the premium and unused discount, and (c) accrued interest, if any, paid by the Purchaser upon delivery. Brom the Constmction Account, specifically said separate subaccount, shall be paid or reimbursed all costs of the Improvements defined in pazagraph 4 of this resolution, including legal, engineering, financing and other expenses incidental thereto. There shall also be paid from the Construction Account, specifically said sepazate subaccount, the costs of issuance of the Series 2010D Bonds. The provisions of Section 4.02 of the General Resolution apply as to transfers, excess moneys, deposits, earnings and Excess Earnings. 336 (b) Debt Service Account. Debt service on the Series 2010D Bonds shall be paid as provided 337 in the General Resolution, and payments into the Revenue Bond Debt Service Account with respect to the 338 Series 2010D Bonds shall commence in the month of April, 2010. For purposes of the payment of 339 principal, amounts scheduled for mandatory redemption shall be treated as maturities. 340 (c) Operatin¢ Reserve Subaccount. The City Council shall take appropriate actiou in 341 maintaining the balance on hand in the Operating Reserve Subaccount at the Operating Reserve 342 Requirement. 343 344 345 346 347 348 349 350 351 352 353 354 355 356 357 358 359 360 361 362 363 364 365 366 367 368 As provided in Section 5.02 of the General Resolution, no portion of the proceeds of the Series 2010D Bonds shall be used directly or iodirectly to acquire higher yieldiug investments or to replace funds which were used directly ox indirectly to acquixe higher yielding investments, except (1) for a reasonable temporary period until such proceeds are needed for the purpose for which the Series 2010D Bonds were issued, (2) as pazt of a reasonably required reserve or replacement fund not in excess of ten percent (10%) of the proceeds of the Series 2010D Bonds (or in a higher amount which the City establishes is necessary to the satisfaction of the Secretary of the Treasury af the United States), and (3) in addition to the above in an amount not greater than $100,0�0. To this effect, any proceeds of the Series 2010D Bonds and any sums from time to time held in the Fund (or any other Ciry account which will be used to pay principal or interest to become due on the Series 2010D Bonds) in excess of amounts which under then-applicable federal azbitrage regulations may be invested without regard as to yield shall not be invested at a yield in excess of the applicable yieid restrictions imposed by said azbitrage regulations on such investments after taldng into accouot any applicable "temporary periods", "minor portion" or reserve made available under the federal arbitrage regulations. In addition, the proceeds of the Series 2010D Bonds and money in the Fund shall not be invesCed in obligations or deposits issued by, guazanteed by or insured by the United States or any agency or instmmentaliry thereof if and to the extent that such investment would cause the Series 2010D &onds to be "federally guaranteed" within the meaning of Section 149(b) of the federal Internal Revenue Code of 1986, as amended (the "Code"). 19. Paritv Bonds. To provide moneys for payment of the principal and interest on the Series 2010D Bonds, there is hereby pledged to the payment of the Series 2010D Bonds as "Additional Bonds" under [he General Resolution all those items pledged to the payment of Series 2010D Bonds in the General Resoluuon. The covenants made in Article V of the General Resolution shall apply to the Series 2010D Bonds, except that paragraph 30 shall control and override Section 5.05 of the General Resolution. As provided in Section 5.05 of the General Resolution, each and all of the terms and provisions of this resolution shall be and constitute a covenant on the part of the City to and with each and every Holder from time to time of the Series 2010D Bonds. Additional Bonds may be issued as provided in Article VI 10 10-155 369 of the General Resolution. Suits by Bondholders, amendments and dischazge sha11 be governed by 370 Article VII of the General Resolution. 371 20. General Oblieation Notes: Prioritv: Sufficiency Findin�. The General Obligation Notes 372 aze hereby confirmed to have a priority of lien on Revenues subordinate to the priority of lien of the 373 Series 2010D Bonds, specifically the priority derived from their pledge of Revenues in the sixth use at 374 Section 4.Q3(A) of the General Resolution. Pursuant to pazagraph l� of each of the resolutions 375 authorizing the General Obligazion Notes, the Series 2010D Bonds shall have a lien on Revenues that is 376 superioc to the Genecal Obligation NQtes, specifically the priority derived from the pledge to the Series 377 2010D Bonds of Revenues in the first use at Section 4.03(A) of the General Resolution. As required by 378 said pazagraphs 18 and 1Q, the City CouncIl heteby finds, determines and declues that estimated 379 Revenues of the Sewer System wi11 be sufficient, with other sources and used in the order of the General 380 Resolution, for payment of the General Obligation Notes and the Series 2� 1�D Bonds. 381 21. [Reserved.] 382 22. Funded Reserve Account. The Reserve Requirement for the Series 2Q10D Bonds is 383 $654,475. This amount shall be transfened to the Reserve Account from the proceeds of the Series 384 2010D Bonds. 385 386 387 388 389 390 391 392 393 23. Records and Certificates. As provided in Section 7.Q5 of the General Resolution, the officers of the City are hereby authorized and directed to prepare and furnish to the Purchaser, and to the attorneys approving the legality of the issuance of the Series 2Q10D Bonds, certified copies of all proceedings and records of the City relating to the Series 2010D Bonds and to the financial condition and affaizs of the City, and such other affidavits, ceRif'icates and information as aze required to show the facts relating to the legality and marketability of the Series 2�IOD Bonds as the same appeaz from the books and records under their custody and control or as otherwise known to them, and all such certified copies, certificates and affidavits, including any heretofore furnished, shall be deemed representations of the City as to the facts recited therein. 394 All documents, certificates, and insKUments relaring to the issuance of the Series 2010D Bonds, 395 including the forms of the Series 2010D Bonds may be executed and delivered by the Mayor, the City 396 Clerk, and Director, Office of Financial Services, or their designees or executive assistants, or, in the case 397 of the Mayor, the Assistant Mayor, as deternuned by Kennedy & Graven, Chartered, as bond counsel to 398 the City, and the Office of the City Attpmey. 399 400 401 402 403 404 405 406 407 408 409 24. Ne�ative Covenants as to Use of Proceeds and Im�rovements. As provided in Section 5.03 of the General Resolution,the City hereby covenants not to use the proceeds of the Series 2010D Bonds or to use the Improvements financed with the proceeds of the Series 201QD Bonds, or to cause or permit them or any of them to be used, or to enter into any defened payment azrangements for the cost of such imgrovements, in such a manner as to cause the Series 2010D Bonds to be "private activity bonds" within the meaning of SectiQns 1Q3 and 141 through 150 of the Code. The City xeasonably expects that no acrious will be taken ovec the term of the Series 2010D Bonds that would cause them to be private activity bonds, and the average term of the Series 2Q10D Bonds is not longer than reasonably necessary for the govemmental purpose of the issue. The City hereby covenants not to use the proceeds of the Series 2010D Bonds in such a manner as to cause the Series 2010D Bonds to he "hedge bonds" within the meaning of Section 149(g) of tt�e Code. 410 25. Tax-Exemot Status of the Series 2010D Bonds; Rebate; Elections. As provided in 411 Section 5.04 of the General Resolution, the City shall comply with requirements necessary under the 412 Code to establish and maintain the exclusion fmm gross income under Section 103 of the Code of the 11 10-155 413 interest on the Series 20108 Bonds, including without limitation requirements relating to temporary 414 periods for investments, limitations on amounts invested at a yield greater than the yield on the Series 415 2010D Bonds, and the rebate of excess investment eamings to the United 5tates. 416 The City expects that the two-yeaz expenditure exception to the rebate requirements may apply to 417 the construction proceeds of the Series 2010D Bonds. 418 If any elections are available now or hereafter with respect to arbitrage or rebate matters relating 419 to the Series 2010D Bonds, the Mayor, Clerk, Treasurer and Director, Office of Financial Services, or any 420 of them, aze hereby authorized and directed to make such elections as they deem necessary, appropriate or 421 desirable in connection with the Series 2010D Bonds, and all such elections shall be, and shall be deemed 422 and treated as, elections of the City. 423 26. No Desienation of pualified Tati-Exemot Obli¢ations. The Series 2010D Bonds, 424 together with other obligations issued by the City in 2010, exceed in amount those which may be 425 qualified as "qualified tax-exempt obligations" witlun the meaning of Section 265(b)(3) of the Code, and 426 hence are not designated for such purpose. 427 27. Letter of Representations. The Letter of Representations for the Series 2010D Bonds is 428 hereby confirmed to be the Blanket Issuer Letter of Representations dated April 10, 1996, by the City and 429 received and accepted by DTC. So long as DTC is the depository or it or its nominee is the Holder of any 430 Series 2010D Bond, the City shall comply with the provisions of the Letter of Representations, as it may 431 be amended or supplemented by the City from time to time with the agreement or consent of DTC. 432 28. Neeotiated Sale. The City has retained Springsted Incorporated as an independent 433 financial advisor, and this Council has heretofore determined, and does hereby detemune, to sell the 434 Series 2010D Bonds by private negotiaCion, all as provided by Minnesota Statutes, Section 475.6Q 435 Subdivision 2(9). 436 29. Continuine Disclosure. The City is an o6ligated person with respect to the Series 2010D 437 Bonds. 'I'he City hereby agrees, in accordance with the provisions of Rule 15c2-12 (the "Rule"), 438 promulgated by the Securities and Exchange Commission (the "Commission") pursuant to the Securities 439 Exchange Act of 1934, as amended, and a Continuing Disclosure Certi£icate (the "Undertaking") 440 hereinafter described,to: 441 (a) Provide or cause to be provided to the Repository, certain annual financial information 442 and operating data in accordance with the Undertaking. The City reserves the right to modify from time 443 to time the terms of the Undertaking as provided therein. 444 (b) Provida or cause to be provided, in a timely manner, to the Repository notice of the 445 occurrence of certain material events with respect to the Series 2010D Bonds in accordance with the 446 Undertaking. 447 (c) Provide or cause to be provided, in a timely manner, to the Repository notice of a failure 4a8 by the City to provide the annual financial information with respect to the City described in the 449 Undertaking. 450 The City agrees that its covenants pursuant to the Rule set forth in this paragraph 29 and in the 451 Undertaking are intended to be for the benefit of the Holders of the Series 2010D Bonds and shall be 452 enfocceable on behalf of such Holdecs; provided that the right to enforce the provisions of these covenants 453 shall be limited to a right to obtain specific enforcement of the City's obligations under the covenants. 12 10-155 45� The Mayor and Director, Office of Financial Services, or any other officers of the City authorized 455 to act in their stead are hereby authorized and directed to execute on behalf of the City the Under[aking in 456 substantially the form presented to the City Council, subject to such modifications thereof or additions 457 thereto as aze (i) consistent with the requirements under the Rule, (ii) required by the Purchaser, and (iii) 458 acceptable to the OfFcers. 459 30. Override of General Resolution. As provided in pazagraph 8, prepayment of Series 460 2008D Bonds other than an inverse order of maturity shali control over the provisions oF the General 461 Resolution. 462 The use of accrued interest on the Series 2010D Bonds shall be as provided in paragraph 18, 463 notwithstanding Section 4.04(B}(1) of the General Resolution, and no interest is necessary to be 464 capitalized for purposes of Section 4.04(B)(2) of the General Resolution. 465 Notwithstanding Section 5.05 of the General Resolution, the terms and provisions of this 466 resolution shall be and constitute a covenant on the part of the City to and with only each and every 467 Holder from time to time of the Series 2010D Bonds. 468 31. Paritv Findines. It is hereby found, deternuned and declared that: 469 (a) The City does not have any outstanding bonds, warrants, certificates, or other obligations 470 or evidences of indebtedness, or money borrowed for or on account of the Sewer System or indebtedness 471 for which any of the Revenues of all or a part of the Sewer System have bee� pledged which aze a prior 472 lien on such Revenues, except the Series 2004E Bonds, Series 2006C Bonds, Series 2008D Bonds, Series 473 2009C Bonds and Series 2009I Bonds.. 474 475 476 477 (b) All payments required to be made prior to the date hereof into the various Funds and Accounts established by the General Resolution have been made. (c) The proceeds of the Series 2010D Bonds shall be used only for the purpose of making Improvements to the Sewer System (as each of said terms is defined in the General Resolution). 478 (d) The annual Net Revenues of the Sewer System for each of the two (2) completed Fiscal 479 Yeazs immediately preceding of the issuance of the Series 2010D Bonds have been at least one and one- 480 quarter (1.25) times, specifically 416 and 4.10 rimes, respecuvely, the maximum annual principal and 481 interest coming due after December 1, 2009, on all Series 2010D Bonds (as defined in the General 482 Resolution) having a parity of tien upon Revenues, including the Series 2010D Bonds proposed to be 483 issued. 484 This City Council has been furnished with the Certificate of the Director, Department of Public 485 Works, attesting to the fact that the issuance of the Series 2010D Bonds complies with the financial 486 requirements of Article VI of the General Resolution relating to the issuance of Additional Bonds on a 487 pariry with prior senior lien bonds. 488 (e) This City Council, pursuant to advice from the Director, Department of Public Works, 489 hereby finds, determines and declazes that the estimated Revenues to be derived from the operation of the 490 Sewer System during the term of the Series 2010D Bonds will be more than sufficient to provide Net 491 Revenues adequate to pay principal and interest when due on the Series 2010D Bonds and on those other 492 bonds which are now outstanding and to maintain the Reserve Account required therefor, 13 10-155 493 (� The Series 2010D Bonds have June 1 and December 1 maturities (as shown on Exhibit B 494 hereto) and have interest payments on June 1 and December 1, commencing December 1, 2010. 495 32. Severabilitv. As provided in Section 7.06 of the General Resolution, if any section, 496 pazagraph or provision of this resolution shall be held to be invalid or unenForceable for any reason, the 497 invalidity or unenforceability of such section, paragraph or provision shall not affect any of the remaining 498 provisions of this resoluuon 499 33. Headin¢s. As provided in Section 7.07 of the General Resolution, headings in this 500 resolution aze included for convenience of refere�ce only and aze not a part hereof, and shall not limit or 501 define the meaning of any provision hereof. 502 (The remaindet of this page is intentionally Left hlank.) 14 10-155 Bostrom Carter Harris Absent Requested by Department of: �v it.R.i� G�u.e �2�+-f9 i � Stark Thune Adopted by Council: Date ��//f, Adoption Ce�rtified by Cound Secretary BY� � r ///i/i� %��ii/S G Approved By: , B / Approved by By: Appro ( d by By: — 13 � Green Sheet Green Sheet Green Sheet Green Sheet Green sneet ureen anee� � FS —F�nancial Contad Petson & Phone: Bob Geurs 266-8837 Must Be on Council Agenda by (Date): 10-FEB-10 Doc. Type: RESOLUTION W/S TRANSACTION E-DocumentRequired: N Document Contact: �b Geurs Contact Phone: 2668837 02 �E8 2010 � pssign Number For Routing Order io-iss Green Sheet NO: 3097616 0 1 2 3 a 5 6 Total # of Signature Pages _ fClip All Locations for Signature) Action Requested: Execute attached supplementing General Resolution xelating to Sewer Revenue Bonds and providing for the issuance of approximately $9,000,000 Sewer Revenue Bonds, Series 2010D. Recommendaiions: Approve (A) or Re}ect (R): Planning Commission CIB Committee Civii Service Commission Persona! Servtce Contracts Must Answer the Fol�owing Questions: 1. Has this person/firtn ever worked under a contract for this department? Yes No 2. Has tfiis personlfirm ever been a city empioyee? Yes No 3. Does this personffirm possess a skill not nortnatly possessed by any current city employee? Yes No Explain all yes answers an separate sheet and attach to green sheet. Initiating Problem, Issues, Opportunity (Who, What, When, Where, Why): The bonds aze part of the 2010 winter bond sale. City Council gave preliminary approval on 1/20/10 CF#10-45 Advantages If Approved: The bonds will be sold Disadvamages H Approved: None Known Disadvantages If Not Approved: Bond proceeds will not be available as a financing source Total Amount of Transaction: Funding Source: Financial Information: (6cplain) Cost/Revenue Budgeted: Adivity Number: Februarv 2. 2010 9:15 AM p=^A � 10-155 EXFIIBIT A FORM OF SERIES 2010D BOND UNITED STATES OF AMERICA STATE OF MINNESOTA RAMSEY COUNTY I� INTEREST RATE CITY OF SAINT PAUL, MINNESOTA SEWER REVENUE BOND SERIES 2010D DATE OF MATURITY DATE ORIGINAL ISSUE March 3, 2010 REGISTERED OWNER: CEDE & CO. PRINCIPAL AMOUNT: $ CUSIP DOLLARS 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 on Che 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 eazlier redemption, and to pay interest thereon semiannually on June 1 and December 1 of each year (each, an"Interest Payment Date"), cocmnencing December l, 2010, at the rate per annum specified above (calculated on the basis of a 360-day yeaz of twelve 30-day months) until the principal sum is paid or has been provided for. This Series 2010D 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 hereof. The principal of and premium, if any, on this Series 2010D Bond are payable in same-day funds by 2:30 p.m, Eastern time, upon presentation and surrender hereof at the principal office of the Treasurer of the City in Saint Paul, Minnesota (the `Bond Registrar" or the "Paying AgenY'), acting as paying agent, or any successor paying agent duly appointed by the Issuer; provided, however, that upon a partial redemption of this Series 2010D Bond which results in the stated amount hereof being reduced, the Holder may in its discretion be paid without presentation of this Series 2010D Bond, which payment shall be received no latez thau 2:30 p.m., Eastern time, and may make a notation on the panel provided herein of such redemption, stating the amount so redeemed, or may return the Series 2010D Bond to the Bond Registrar in exchange for a new Series 2010D Bond in the proper principal amount. Such notation, if mzde by the Holder, shatl be for reference oniy, and may not be relied upon by any other person as being in any way determinative of the principal amount of this Series 2010D Bond outstanding, unless the Bond Rea straz has signed the appropriate column of the panel. Interest on this Series 2010D Bond will be paid on each Interest Payment Date in same-day funds by 2:30 p.m., Eastern time, to the person in whose name this Series 2010D Bond is registered (the "Holder" or `Bondholder") on the registration books of the Issuer maintained by the Bond Registraz and at the address appearing thereon at the close of business on the fifteenth day of the calendar month next preceding such Interest Payment Date (the "Regulaz Record Date"). Interest payments shall be received by the Holder no later than 2:30 p.m., Eastern time; and principal and premium payments shall be received by the Holder no later than A-1 10-155 230 p.m., Eastem time, if the Series 2010D Bond is surrendered for payment enough in advance to pemut payment to be made by such time. Any interest not so rimely 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 Registraz 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 (10) days prior to the Special Record Date. The principal of and premium, if any, and interest on this Series 2010D Bond aze payable in lawful money of the United States of America. Date of Pavment Not Business Dav. If the date for payment of the principal of, premium, if any, or interest on this Series 2010D Bond shall be a Saturday, Sunday, legal holiday or a day on which banking institutions in the City of New York, New York, or the city where the principal office of the Bond Registrar is located aze authorized by law or executive order to close, then the date for such payment shall be the next succeeding day which is not a Saturday, Sunday, legal holiday or a day on which such banking institutions aze authorized to close, and payment on such date shall have the same force and effect as if made on the nominal date of payment. Ontional Redemption. All Series 2010D Bonds of this issue (the "Series 2010D Bonds") maturing after June 1, 2020, 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 or in pazt of the Series 2010D Bonds sub}ect to prepayment. If redemption is in part, those Series 2010D Bonds remaining unpaid may be prepaid in such order of maturity and in such amount per maturity as the City shall deternune (treating amounts scheduled for mandatory redemption as maturities); and if only part of the Series 2010D Bonds having a common maturity date aze called for prepayment, this Series 2010D Bond may be prepaid in $5,000 increments of principal. fFOR TERM BONDS - Scheduled Mandatory Redemption. This Series 2010D Bond is sabject to scheduled mandatory redemption through operation of a sinldng fund as provided for in the Resolution.] Due Date. Series 2010D Bonds or portions thereof catled for redemption shall be due a�d payable on the redemption date, and interest thereon shall cease to accrue from and after the redemption date. Notice of Redemotion. Mailed notice of redemption sha11 be given to the paying agent (if other than a City officer) and to each affected Holder of the Series 2010D Bonds. In the event any of the Series 2010D Bonds are called for redemption, written notice thereof will be given by first class mail mailed not less than thirty (30) days priar to the redemption date to each Holder of Series 2010D Bonds to be redeemed. In connection with any such notice, the "CU5IP" numbers assia ed to the Series 2010D Bonds shall be used. Issuance; Pumose; Security. This Series 2010D Bond is one of an issue in the original aggregate principal amount of $8,610,000, all of like date of original issue and tenor, except as to number, maturity, interest rate, denomination and redemption privilege, which Series 2010D Bond has been issued pursuant to and in full conformity with the Constitution and taws of the State of Minnesota and the Charter of the Issuer, and pursua�t to a resolution adopted by the City Council of the Issuer on May 24, 1988 (the "General Resolntion"), as supplemented on Febmazy 10, 2010 (the "Supplemental Resolution") (collectively, the "Resolution"), for the purpose of providing, together with certain other moneys of the Issuer, funds far rehabilitation projects to the City's sewer system. This Series 2010D Bond has been issued to aid in financing a sewage disposal system or part thereof pursuant to Minnesota Statutes, Section ll5.46. This Series 2010D Bond is payable out of the Revenue Bond Debt Service Account of A-2 10-155 the Issuer's Sewer Service Enterprise Fund, to which have been pledged revenues of the Issuer's Sewer System. The Series 2010D Bonds and the interest thereon aze payable solety and exclusively from the Revenues (as defined in the Resolution) of the Sewer System of the Issuer pledged to the payment thereof, and sums held in a Reserve Fund, and do not constitute a debt of the Issuer within the meaning of any constitutional, Charter or statutory limitation of indebtedness. In the event of any default hereunder, the Holder of this Series 2010D Bond may exercise. any of the rights and privileges granted by the laws of the State of Minnesota subject to the provisions of the Resolution. The Series 2010D Bonds of this issue are secured by a first and prior lien upon the Revenues of the Sewer System of the Issuer and by sums held in a Reserve Fund, on a parity of lien with the Issuer's (i) Sewer Revenue Bonds, Series 2004E, (ii) Sewer Revenue Bonds, Series 2006C, (iii) Sewer Revenue Bonds, Series 2008D, (iv) Sewer Revenue Bonds, Series 2009C, and (v) Sewer Revenue Refunding Bonds, Series 2009I. The Issuer is authorized under certain conditions to issue additional revenue obligations on a parity of lien with these Series 2010D Bonds, all as provided in the Resolution. The Series 2010D Bonds of this series and any other revenue obligations hereafter issued on a parity therewith aze refened to herein as the "Parity Bonds". A11 other capitalized terms used but not defined herein have the meanings assigned to those terms in the Resolution. Denominations: Resolution. The Series 2010D Bonds are issuable originally only as fully registered bonds in the denominations of $5,000 and integral multiples thereof of a single maturity. Reference is hereby made to the Resolution for a description of the rights and duties of the Registraz. A copy of the Resolution is on file in the principal office of the Registrar. Transfer. This Series 2010D Bond shall be registered in the name of the payee on the books of the Issuer by presenting this Series 2010D Bond for registration to the Registrar, who will endorse its name and note the date of registration opposite the name of the payee in the certificate of registration attached hereto. Thereafter this Series 2010D Bond may be transfetted by delivery with an assignment duly executed by the Holder or its legal representatives, and the Issuer and Registrar may treat the Holder as the person exclusively entitled to exercise all the rights and powers of an owner until this Series 2010D Bond is presented with such assignment for registration of transfer, accompa�ied by assurance of the nature provided by law that the assignment is genuine and effective, and until such transfer is registered on said books and noted hereon by the Registrar, all subject to the terms and conditions provided in the Resalution and to reasooable regulations of the Issuer contained in any agreement with, or notice to, the Registrar. Transfer of this Series 2010D Bond may, at the direction and expense of the Issuer, be subject to ceftain other restrictions if required to qualify this Series 2010D Bond as being "in registered form" within the meaning of Section 149(a) of the Intemal Revenue Code of 1986, as amended. Fees uoon Transfer or Loss. The Registraz may require payment of a sum sufficient to cover any tax or other governmental charge payable in connection with the transfer or exchange of this Series 2010D Bond and any legal oc unusual cosCS regazding tcansfexs and lost Series 2010D Bonds. Treatment of Registered Ownec The Issuer and Registrar may treat the person in whose name this Series 2010D Bond is registered as the owner hereof for the purpose of receiving payment as herein provided (except as otherwise provided with respect to the Record Date) and for all other purposes, whether or not this Series 2010D Bond shall be overdue, and neither the Issuer nor the Registraz shall be affected by notice to the contrary. Authenticafion. This Series 2010D Bond shall not be valid or become obligatory for any purpose or be entided to any security unless the Certificate of Authentication hereon shall have been executed by the Registraz. A-3 10-155 Not Qualified Tax Exempt Obligations. The Series 2010D Bonds have not been desib ated by the Issuer as "qualified tax-exempt obligations" for purposes of Section 265(b)(3) of the federal Internal Revenue Code of 1986, as amended. IT IS HEREBY CERTIFTED AND RECTIBD that all acts, conditions and things required by the Constitution and laws of the State of Minnesota and the Charter of the Yssuer to be done, to happen and to be performed, precedent to and in the issuance of this Series 2010D Bond, have been done, have happened and have been performed, in regular and due form, time and manner as required by law; that this Series 2010D Bond, together with all other debts of the Issuer outstanding on the date of original issue hereof and on the date of its issuance and delivery to the original pwchaser, does not exceed any constitutionat or statutory or Charter limitation of indebtedness; and that the Issuer will establish rates and chazges for the service furnished by its Sewer System sufficient in amount to promptly meet the principal and interest requirements of this issue. IN WITNESS WI�EREOF, the City of Saint Paul, Ramsey County, Minnesota, by its City Council has caused this Series 2010D Bond to be sealed with its official seal and to be executed on its behalf by the facsimile signature of its Mayor, attested by the facsimile signature of its Clerk, and countersigned by the facsimile signature of its Director, Office of Financial Services. CITY OF SAINT PAUL, RAMSEY COUNTY, MINNESOTA Mayor, Assistant Mayor, or Designee Attest: City Clerk Countersigned: Director, Office of Financial Services or Designee m 10-155 CERTIFICATE OF AU'I`HENTICAfiION This is one of the Series 2010D Bonds delivered pursuant to the Resolution mentioned within. CITY OF SAINT PAUL, MINNESOTA �l City Treasurer A-5 10-155 ASSIGNMENT For value received, the undersigned hereby sells, assia s and transfers unto the within Series 2�1�D Bond and all rights thereunder, and does hereby irrevocably constimte and appoint attorney to transfer the said Series 2010D Bond on the books kept for registration of the within Series 2010D Bond, with full power of substitution in the premises. Dated: Notice: The assignor's signature to this assignment must correspond with the name as it appeazs upon the face of the within Series 2010D Bond in every particular, without alteration or any change whatever. Signature Guaranteed: NOTICE: Signature(s) must be guaranteed by a financial institution that is a member of the Securities Transfer Agent Medallion Program ("STAMP"), the Stock Exchange Medallion Program ("SEMP"), the New York Stock Exchange, Inc. Medallion Signatures Pro�am ("MSP") or other such "signature guazantee program" as may be determined by the Registraz in addition to, or in substitution for, STAMP, SEMP or MSP, all in accordance with the Securities Exchange Act of 1934, as amended. The Registcaz will not effect transfer of this 5eries 2010D Bond unless the information conceming the assignee requested below is provided. Name and Address: (Include information for all joint owners if this Series 2010D Bond is held by joint account.) Please inseR social security or other idantifying number of assignee � 10-155 EXHIBIT B Saint Paul City, Minnesota Sewer Revenue Bonds Series 2010D TERMS AND CONDITIONS Tme Interest Cost for the Series 2010D Bonds: 33529613% The Series 2010D Bonds shall mature on the dates and in the principal amounts set forth below: Maturity Date June 1, 2011 December 1, 20ll 7une 1,2Q12 December i, 2012 June 1, 2013 December 1, 2013 Jime 1, 2014 December 1, 2014 June 1, 2015 December 1, 2015 June 1, 2016 December l, 2016 June 1, 2017 Decembee 1, 2017 June 1, 2018 December l, 2018 Iune 1, 2019 Decerabei 1. 3019 Principal Amount $175,000 175,000 18Q,00� 180,000 180,000 180,000 185,000 180,000 185,000 200,000 190,000 195,000 195,000 200,000 205,000 205,000 210,000 210,000 Interest Rate 2.00% 3.00 2.0� 3.00 2.00 3.00 2.50 3.00 3.00 4.00 3.00 4.00 3.00 4.00 3.00 4.00 3.00 4.00 Yield 0.40% 0.58 �.73 0.85 1.00 1.10 1.30 1.45 1.70 1.84 2.07 2.17 2.38 2.43 2.67 2.70 2.84 2.87 $435,000 3.00% Term Bond due December 1, 2020x Frice of 100.524% to Yield 2.94% Pavment Date June 1, 2020 December 1. 2020'`x *Priced to the Optional Redemption Date af May I, 2020. *'`Stafed Maturity Principal Amount � $215,000 220,000 Price 101.983% 104.193 102.821 105.819 103.183 106.950 ] 04.93$ 107.080 106.494 111.721 105.419 111.421 104.101 ll 1.019 102.425 110.062 101.290 109.542 10-155 $455,000 3.00% Term Bond due December 1, 2021 Price of 99.506�10 to Yield 3.05% Pavment Date June 1,2021 Decem6ec 1, 2021* � Princioal Amount $225,000 23�,0�0 $465,000 4.00% Term Bond due December I, 2022x Price of 107.480% to Yield 314°!0 Payment Date June l, 2022 December 1, 2022** Principal Amount $230,000 235,000 $485,000 G.00% Term Bond due December 1, 2023* Price of 106.666% to Yield 3.23% P�ment Date June 1, 2023 December 1, 2023** Principal Amount $240,000 245,000 $505,000 4.00% Term Bond due December l, 2024* Price of 105.860% to Yield 332% Pavment Date 7une 1, 2024 December l, 2024�`* Princi�al Amount $250,000 255,000 $525,00� 4.00% Term Bond due December 1, 2025�` Frice of 105.061% to Yield 3A1% Pavment Date June 1, 2025 December 1, 2025*�` "Priced to the Optional Redemption Date of May 1, 2020. '�*Stated Maturiry Principal Amount $260,000 265,000 � 10-155 $545,000 4.00% Term Bond due December 1, 2026�` Frice of 104.269% to Yield 3.SO�lo Pavment Date June 1, 2026 December 1, 2026xr Principal Amount $270,000 275,000 $565,000 4.00% Term Bond due December 1, 2027x Price of 103.397% to Yield 3.60% Pavment Date Jupe 1, 2027 December 1, 2027*x Principai Amount $280,000 285,000 $585,000 4.00°lo Term Bond due December 1, 2028* Price of 102.534% to Yield 3.70% Payment Date 3une 1, 2028 December 1, 2028** Principal Amount 290,000 295,000 $615,000 4.00% Term Bond due December 1, 2029* Price of 101.679% to Yield 3.80% Pavment Date 7une 1, 2029 Decembei 1, 2029�* "Priced to the Optional Redemptzon Date of May 1, 2020. * "Stated Matunty Principal Amount $305,000 310,000 I: C 10-155 EXFIIBIT C PROPOSALS �1WARD; S.�LE: Q Spsingsted $9,000,000* CITY OF SALtiT PAI,'L, MI�'\ESOTA SER'ER RE�'EtiCE BO:VDS, SERIES 2010D (BOOK ENTRY Otil.l� LBS FL�'.4_�'CIAL SER47CES INC. J.P. ]30RG:1N SECI�RITIES IYC. Fe-bruary 10,2010 Spnngstedincaporated 380 Jackso� Strset Sude 3�� Saint PaW, MN 55101-28g7 TeI 651-223300G Fax 651-2233�02 EmaA adnsors@spnrgstedcom w�mv spnngsted com bioaly's Rating: 9a2 Staudard & Poor's Ratiug: A?.?. I¢terest Net Iuterest True Iuterest Bidder Rates Price Cos[ Ra[e tiBS FINAKCIAL SER47CES i•.A'C. 7.P. !ufORGAN SECURtTTES INC 2.00 6t112011 3.009 12/1201 t 2.00°k 6/ll20L 3 00% 12QI20L 2.0090 6rU2013 3.OD� 12i12013 250� 6/1/2014 3.0090 12/1201R-6/1l2015 4.W% ]2J1i2t715 3.00°k 6!1/?016 4.00`l0 12/12016 3.00% 6(1l2017 4.009 I2l120t7 3.009 611l201S 4.00% 12/12018 3 00"k 6/I/2019 4.00 1211�2014 3.�0% 6/1YZ020-12/1R021 4.00°k 6/L/2022-12/1/2029 S93?A.197.55 $3.545.015.23 3.34869 (Continuedi Pub3iC Sedor Advisors C-1 10-155 Interest \et Interest True Interest Bidder Rates Price Cost Rate �VELLS F.ARG0.4DVtSORS WELLS Frll2G0 BROKER�GE SERVICES,LLC 2.06� 2.309 ?.159< ?.407 2.70 w 2.85 h 2.8759� 3-109c 3109 i.30� 3.409 3S0% 3.60� 3.625� 3.75 � 4.00'� 6/I/ZO11-12/I/2015 6/1i20i6 12/12016 6!1/2017-12/i/2017 bn,2ois-iznnois 6/1�2019 12/1/2019 6/112(t20.12l1�2020 6!]/2021-1211/2021 6/1/2A22-12/1i3022 6/1/2023-121t2023 6/1/2024-12/1/20?A 611t2p25 12/i/2025 6171202Gt2i]l2027 6f112028-121U2629 58.934.172.85 S3,562,665.5� 3.41639 PIPEK JAFFRAY & CO. ROBERT W. BAIRD & COMPANY, INCORPORATED C.L HING & ASSOCI9TES LOOP CAPITAL MARKETS. LLC KILDARE CAPITAL NW CAPITAL MARKETS INC. DAVENPORT & COMPANY LLC WEDBUSH biORGA�* SECURITIES EDWARD D. 70NES & COMPANY AUTCHINSOtY, SHOCKEY, ERLEY & CO. CRONIN & COMPANY, INC. 2.00% 6/Il2011-12l1/20t2 2_SO�E 61172�t3-t211l2Q14 3.00 l0 6/1/2015-6/L/2018 4.00% 1211t2018-12712029 2.00% 6/1/ZA11-12/1/2015 2.54`� 6I172016-]211t2416 3.00� 6lll2017-1211/2030 4.QQ% 6/1/�1-12Q/2029 2.00� 6/1/2011-1211i201S 2.50% 6i1/2016 3.00� 1271f2016-12tt77Ai9 3.OS�k 6/12020 3.10% 12/1/2020 3.259 6lll2021 3.50� 12/il2021-12lI/2024 4.00� 6AY20?5-1211R029 3.00% 6/1l2011-611/2018 3.25�� 127112018-6f1l2019 3.50:� 12/U2019-6lll2080 4.00 k t211/2020.12l1I2029 $9,267,378.25 53.665,243.97 �9,128,553.50 53,615,359.81 $8,920,313.40 S3,727,756.16 $9,093.601.20 53.818.Q78.38 3.474t o 3.47b7 � 3.610090 3.6676 9 (Continued) C-2 10-155 REOFFERIVG SCHEDULE OF THE PURCH:ISER Ra[e Year Yield Z.00h 3 00 � 2.00� 3.009c 2.00 °k 3.00�7 250� 3.009 3.W� 4.W�k 3.06'k 4.W% 3 009 4.009c 3.009� 4.009c 3.00 k 4.00�/c 3.00 k 3.00�7 3.00 k 3.00% 4.00 � 4.00% 4.00% 4.00% 4.00 k 4.00% 4.00�1 4.00% 4.W% 4.00 � 4.Q0� 4.00 � 4.W� 4.009c 4.00� 4.009 6il!2011 I2;1/2011 6/1;201: 12; t2012 6i 12013 12/1/2013 6!1l2014 t2l12014 6!i!?O15 12! 12015 6i1f2616 12/ 12016 6/1/2017 12/I/2017 6/1/2018 L71/2018 6!Il2019 12/1/2019 6/1/2020 t211/2020 6/1/2021 1271'2021 6l1t2022 121172022 6l1/2023 12i12023 6/ll2024 ]2!1/2024 6/1/2025 12/1Y1-025 6/1/2026 12ri/2026 6/1/2027 12l1/2027 6li12028 12!1/2028 61112D29 12/1/2029 0.409 0.58 k 0.7i 9 0 85 `k 1.009c 1.10`� 1309 1.45 % 1.709 I.S490 2.D7% 2.17`70 238� 2.43 k 2.67 % 2.70 � 2.84 � 2.87 � 2.94 � 2.94 � 3.05 � 3.05 % 3.14`.� 3.14`70 3.23 % 3.23% 3.32� 3.32 � 3.41 �k 3.419 3.50% 3.50 c 3.60 a 360� 3.70 k 3.70'� 3.SD9. 3.80� BBI: 4.36� Average Mamriry: ll.406 Years �` Snbsequait to bid ope�urig, the fssue sr�e deere¢sed fro�n $9, Olk�, 000 to .EB, 6Z0,OOD. SA385-21 (BWJ) 32996v.5 G3