83-08B
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Extract of Minutes of Meeting
of the City Council of the City
of Chanhassen, Carver and Hennepin Counties, Minnesota
Pursuant to due call and notice thereof a regular meeting of the City
Council of the City of Chanhassen, Carver and Hennepin Counties, Minnesota,
was held at the City Hall in said City on Monday, March 21, 1983,
commencing at 7:30 o'cloek P.M.
The following members were present:
Mayor Hamilton,
Councilmen Horn and Geving, Councilwomen Swenson and Watson.
and the following were absent:
None
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Councilmember Swenson introduced the following resolution and
moved its adoption:
"RESOLUTION NO. 83- 0 8B
RESOLUTION AUTHORIZING THE ISSUANCE
AND SALE OF $315,000 GENERAL OBLIGATION
TAX INCREMENT BONDS OF 1983
BE IT.. RESOLVED By the City Council of the City of Chanhassen, as
follows:
1. It is hereby determined:
(a) It is necessary and desirable that the City finance the
Public Development Costs (as hereinafter defined) in an
Economic Development Tax Increment Financing District (as
hereinafter defined) in the City, presently estimated to be
$308,860 with the proceeds of general obligation bonds
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issued pursuant to the Tax Increment Financing Act (as
hereinafter defined).
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(b) Pursuant to the provisions of Minnesota Statutes, Chapter
472A and Sections 273.11 and 273.78 (collectively, the
"Act") the City has, by Resolutions No. 80-54. and 81-26,
duly established Development District No. 2 (the "Dis-
trict"), and an Economic Development Tax Increment Financing
District therein (the "TIF District"), and adopted a Tax
Increment Financing Plan (the "TIF Plan") to finance drain-
age improvements in the District (the "Project") in accor-
dance with a Development Program for the District. The City
has (or will prior to the delivery of the Bonds authorized
by this resolution) transmitted the TIF Plan to the Director
of Property Taxation of Hennepin County for certification of
the original assessed value of the District as provided in
the Act;
(c) Monies are needed at this time to provide funds for con-
struction of the Project, and administrative costs (the
"Public Development Costs") presently estimated as follows:
Drainage improvement construction,
contracts, engineering, etc.
$300,000
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Costs of issuance including:
Bond counsel
Bond printing
Advertising
Rating Agency
Financial Advisor
Subtotal
Plus discount bonds
$ 8,860
$308,860
6,140
Total
$315,000
Cd) It is necessary and 'expedient to the sound financial manage-
ment of the affairs of the City to issue $315,000 General
Obligation Tax Increment Bonds of 1983, (Bonds) to provide
financing for the Project.
2. In order to provide financing for the Proj ect, the City shall
therefore issue and sell Bonds in the amount of $308,860. In order to
provide in part the additional interest required to market the Bonds at
this time, -additional Bonds shall be issued in the amount of $6,140. Any
excess of the purchase price of the Bonds over the sum of $308,860 shall be
credited to the debt service fund for the Bonds for the purpose of paying
interest first coming due on the Bonds. The Bonds shall be issued and sold
in accordance with the terms of the following Official Notice of Sale:
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OFFICIAL
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Non CE OF SALE
$315,000 General Obligation Tax Increment Bonds of 1983
City of Chanhassen
Carver and Hennepin Counties, Minnesota
NOTICE IS HEREBY GIVEN that sealed bids for the purchase of the
above bonds will be received until 11:00 a.m. C.T. on Tuesday, April 26,
1983 in the offices of Juran & Moody, Inc., Public Finance Department,
Minnesota Mutual Life Building, 400 North Robert Street, Suite 800, St.
Paul, Minnesota 55101, at which time the bids will be opened by a repre-
sentative of the City of Chanhassen and tabulated for consideration by the
City Council of the City of Chanhassen at a special meeting in the
Chanhassen City Hall at 7:30 p.m. C.T. on the same day. The bonds are
offered on the following terms:
Purpose and Secu~ity
The purpose of the bonds is to provide funds for the financing of
drainage improvements in Development District No. 2 in the City. The bonds
will be general obligations of the issuer, for which its full faith, credit
and taxing powers are pledged, together with tax increments resulting from
increases in assessed valuation of property within an Economic Development
Tax Increment Financing District within Development District No.2.
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Date and Maturities
The bonds will be dated May 1, 1983, will be in the denomination
of $5,000 each and will mature without option of prior payment on August 1
in the following years and amounts:
Year
Amount
1984
1985
1986
1987
1988
1989
$15,000
20,000
40,000
60,000
80,000
100,000
Interest
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Interest on the bonds will be payable on February 1, 1984, and
semiannually thereafter on each August 1 and February 1. All bonds
maturing on the same date must bear interest from date of issue until paid
at a single, uniform rate, not exceeding the rate specified for bonds of
any subsequent maturity. Each rate must be in an integral multiple of
5/100 of 1%, and no rate of interest nor the net effective average rate of
the issue may exceed the maximum rate of interest permitted by law on the
day of sale.
Paying Agent & Registration
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Principal and interest will be made payable at any suitable bank
recommended by the purchaser and approved by the Council, and the City will
pay the customary charges for this service provided that such recommenda-
tion is received within 48 hours after the sale and the Council'will select
the paying agent if the recommendation is not approved. The Bonds will be
issued as negotiable coupon bonds in non-registrable form.
CUSIP Numbers
The City will assume no obligation for the assignment or printing
of CUSIP numbers on the bonds or for the correctness of any numbers printed
thereon, but will permit such numbers to be assigned and printed at the
expense of the purchaser, if the purchaser waives any extension of the time
of delivery caused thereby.
Delivery
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Within 40 days after sale, the City will furnisb ~nd deliver to
the office of the purchaser or, at its option, will deposit with a bank in
the United States selected by it and approved_ by the City as its agent to
permit examination by and to deliver to the purchaser, the printed and
executed Bonds, the unqualified opinion thereon of bond counsel, and a
certificate stating that no litigation in any manner questioning their
validity is then threatened or pending. The charge of any delivery agent
must be paid by the purchaser, but all other costs will be paid by the
City. The purchase price must be paid upon delivery of the bonds, in funds
available for expenditure by the City on the day of payment.
Legal Opinion
An unqualified approving legal opinion on the bonds will be
furnished by LeFevere, Lefler, Kennedy, 0' Brien & IDrawz, a Professional
Association, Minneapolis, Minnesota. The legal opinion will be printed on
the bonds at the request of the purchaser. The legal opinion will state
that the bonds are valid and binding general obligations of the City,
payable from tax increments and general ad valorem tax levies, and that the
City is obligated and required to levy taxes for the principal and interest
thereon as the same become due without limit as to rate or amount.
Type of Bid - Amount
Scaled bids must be mailed or delivered to the undersigned and
must be received prior to the time specified above. Each bid must be
unconditional and must be accompanied by a cashier's or certified check or
bank draft in the amount of $6,300, 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 authorizing the lowest net
interest cost (total interest from date of bonds to stated maturities, less
any cash premium or plus any amount less than $315,000 bid for principal)
will be deemed the most favorable. No oral bid and no bid of less than
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$308,860 for principal plus accrued interest on all of the bonds will be
considered, and the City reserves the right to reject any and bids and to
waive any informality in any bid.
Dated: March 21, 1983.
Further Information:
Juran & Moody, Inc.
Minnesota Mutual Life Building
400 North Robert Street, Suite 800
St. Paul, Minnesota 55101
Tele. (612) 224-1500
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BY ORDER OF THE CITY COUNCIL
/s/ Donald W. Ashworth
City Manager
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3. The City Manag~r is authorized and directed to advertise the Bonds
for ~ale in accordance with the foregoing notice of sale and to cause the
abbreviated notice of sale attached hereto as Exhibit "A", to be published
in the manner required by law. The City Council shall meet on Tuesday,
April 26, 1983, at 7:30 o'clock p.m. for the purpose of considering the
bids on the Bonds and taking any other appropriate action in relation
thereto.
The motion for the adoption of the resolution was duly seconded by
Councilmember Watson , and, upon vote being taken thereon, the following
members voted in favor:
Mayor Hamilton, Councilmen Geving and
Horn, Councilwomen Swenson and Watson.
and the following members voted against:
None
whereupon said resolution was declared duly passed and adopted.
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Exhibit "A"
NOTI CE OF SALE
$315,000 General Obligation Tax Increment Bonds of 1983
City of Chanhassen
Carver and Hennepin Counties, Minnesota
NOTICE IS HEREBY GIVEN that sealed bids for the purchase of the
above bonds will be received until 11:00 a.m. C.T. on Tuesday, April 26,
1983 in the offices of. Juran & Moody, Inc., Public Finance Department,
Minnesota Mutual Life Building, 400 North Robert Street, Suite 800, St.
Paul, Minnesota 55101, at which time the bids will be opened and tabulated
by a representative of the City of Chanhassen for consideration by the City
Council of the City of Chanhassen at a special meeting at 7:30 p.m. C.T. at
the Chanhassen City Hall on the same day. The Bonds will mature without
option of prior payment on August 1 in the following years and amounts:
Year Amount
1984 $15,000
1985 20,000
1986 40,000
1987 60,000
e 1988 80,000
1989 100,000
Interest will be payable on February 1, 1984, and semiannually thereafter.
Each rate must be in an integral multiple of 5/100 of 1% and no rate may
exceed the maximum rate of interest permitted by law on the day of sale.
Minimum price, $308,860. An unqualified legal opiniqn will be furnished by
LeFevere, Lefler, Kennedy, O'Brien & Drawz, a Professional Association,
Minneapolis, Minnesota~ The purpose of the bonds is to finance the costs
of drainage improvements in Development District No.2 in the City.
BY ORDER OF THE CITY COUNCIL
/s/ Donald W. Ashworth
City Manager
Dated: March 21, 1983.
Further Information:
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Juran & Moody, Inc.
Minnesota Mutual Life Building
400 North Robert Street, Suite 800
St. Paul, Minnesota 55101
Tele. (612) 224-1500
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STATE OF MINNESOTA )
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COUNTIES OF CARVER )
AND HENNEPIN ) SS.
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CITY OF CHANHASSEN )
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I, the undersigned, being the duly qualified and acting City
Manager of the City of Chanhassen, Minnesota do hereby certify that I have
carefully compared the attached and foregoing extract of minutes of a
regular meeting of the City Council of said City held on Monday, March 21,
1983, with the original thereof on file in my office and, the same is a
full, true and complete transcript thereof, insofar as th~ ~ame relates to
1983, of the City.
the issuance and sale of $315,000 General Obligation Tax Increment Bonds of
the City this
WITNESS My hand as such City l-lanager and the corporate seal of
8th
day of
(SEAL)
April
, 1983.
1)7 (l(),~
City anager
City of Chanhssen~ Minnesota