78-68B
Councilperson Pearson
introduced the
following resolution and moved its adoption:
RESOLUTION NO. 78-68
RESOLUTION PROVIDING FOR ISSUANCE AND
PUBLIC SALE OF $990,000 GENERAL
OBLIGATION'TEMPORARY HIfPROVEMENT BONDS OF 1978
BE IT RESOLVED by the City Council of the City of
Chanhassen, Minnesota, as follows:
1. Bond Authorization. This Council has heretofore.
ordered the local improvements designa~ed below to be constructed
in the City, and has contracted or will contract for the construc-
tion of each of said improvements, under and pursuant to Minnesota
Statutes, Chapter 429, the designation and estimated total cost
of each of said improvements being as follows:
Project
Number
Project
Desc'ri'ption
. Amount
75-2
Carver Beach,
San. Sew., Wtr.
and St.
$ 40,000
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75-11
Erie Chan/View,
. Street
15,000
77-2
Lake Riley,
San. Sew
25,000
77-6
MSAS #101,
Street
100,000
78-1
South Lotus
Lake Drainage,
Storm Sewer
80,000
78-5
Hwy. #5
Frontage Rd.,
Wtr. St. and
Storm Sew.
370,000
78-6
E. and S.
Lotus Lake,
San. Sew.,
St. and Wtr.
330,000
.
78-7"
Chaska Rd.,
Water
12,000
$972,000
.
.
It is hereby determined to be necessary for the City to issue
and sell its General Obligation Temporary Improvement Bonds of
1978 in the principal amount of $990,000 to finance the cost
of said improvements, $18,000 of said issue representing interest
as provided in Minnesota Statutes, Section 475.56.
2. Terms of Bond Sale; Notice. Juran & Moody, Inc.,
financial consultants to the City, has presented to this
Council a form of Notice of Sale of the Bonds, which is attached
hereto, and which is hereby approved and .shall be placed on file
by the Manager. Each and all of the provisions of the Notice
of Sale are hereby adopted as the terms and conditions of the
Bonds and of the sale thereof. The Manager is authorized and
directed to cause the Notice of Sale to be published once in the
official newspaper, and once in the Commercial West, a financial
periodical published in Minneapolis, both publications at least
ten days before the date on which bids for the purchase of the.
Bonds will be received.
3. Sale Meeting. This Council shall meet at the
City Hall on Monday, December 11, 1978, at 7:30 o'clock P.M.
for the purpose of receiving, opening and considering sealed
bids for the purchase of the Bonds, and of taking such action
thereon as may be in the best interes the City.
Attest:
&Qa,^_~
City Manager
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The motion for the adoption of the foregoing resolution
'was duly seconded by Councilperson
Waritz
, and upon vote
.,
being taken thereon, the following voted in favor thereof:
Mayor Hobbs, Councilmen Pearson, Waritz, Neveaux, Geving
and.the following voted against the same:
None
whereupon said resolution was declared duly passed and adopted,
and was signed by the Mayor and attested by the City Manager.
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NOTICE OF SA.LE
$990,000 General Obligation
Temporary Improvement Bonds of 1978
City of Chanhassen
Carver and Hennepin Counties,
Minnesota
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NOTICE IS HEREBY GIVEN that the City Council of
the City of Chanhassen, Minnesota will meet at the City
Hall on Monday, December 11, 1978, at the time indicated
below, to receive and consider bids for the purchase of
$990,000 General Obligation Temporary Improvement Bonds
of 1978 of the City, to be issued to finance local improve-
ments. The bonds will be issued in denominations of $5,000
or any multiple thereof, as requested by the successful
bidder within 48 hours after award of sale,. will be dated
December 1, 1978, in bearer form and numbered consecutively,
will mature on December 1, 1981, and will be subject to
redemption prior to maturity, on December 1, 1979 and any
interest payment date thereafter, at par and accrued interest.
The bonds will bear interest from date of issue until paid,
at a single, uniform rate specified by the successful bidder.
The interest rate must be an integral multiple of 5/100 of 1%
and may not exceed 7%. Interest will be payable semiannually
on each June 1 and December 1, commencing December 1, 1979.
~rincipal and interest will be made payable at any
suitable bank or banks in the United States recommended by
the successful bidder within 48 hours after award of sale
and approved by the City Council, and the City will pay the
reasonable and customary paying agency charges. If the
paying agent is not selected within ~8 hours after award of
the sale, or if it is not satisfactory to the Council, the
Council will select the paying agent. The issuer will
assume no obligation for the assignment or printing of CUSIP
numbers on the bonds or for the correctnes~ of any numbers
printed thereon, but will permit such printing to be done at
the expense of the purcbaser,"if-the.purchaser waives any
extension of the time of delivery caused thereby. The Clty
will furnish, without cost to the purchaser and within forty
days after award of sale, the printed and executed bonds,
the usual form of no-litigation certificate, and the
unqualified approving legal opinion of bond counsel desig-
nated below. Delivery will be made without cost to the
purchaser anywhere in the continental United States.
PaYment by the purchaser must be made in funds immediately
available for reinvestment by the City, and payment for the
bonds must be made on the date of physical. delivery of the
bonds unless the purchaser has made arrangements for a
delivery agent.
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An unqualified legal opinion on the bonds will be
furnished by Messrs. Dorsey, Windhorst, Hannaford, Whitney &
Halladay, of Minneapolis and St. Paul, Minnesota. The legal
opinion will state that the bonds are valid and binding general
obligations of the City.
Sealed bids only may be mailed or delivered to the
City Manager and must be received at his office prior to
7:30 P.M. on December II, at which time the bids will be
presented to and acted upon by the .City Counci.l. Each bid
must be unconditional except as to the legality of the bonds,
in which respect bids may be conditioned upon the opinion
of the above-named counsel, and must be accompanied by a
cashier's or certified check or bank draft in the amount of
$19,800 payable to the City Treasurer, to be retained by
the City as liquidated damages if the bid is accepted and
the.bidder fails to comply therewith. The bid offering the
lowest net.interest cost (total interest on all bonds to
stated maturities at the coupon rates specified less any cash
premium or plus any discount used) will be deemed the most
favorable. No oral bid and no bid of less than $972,000
plus accrued interest for all of the bonds will be considered.
The City reserves the right to reject any and all bids and to
waive any informality in any bid.
Dated November 20, 1978.
BY ORDER OF THE CITY COUNCIL
Donald W. Ashworth
City Manager