90-146 A
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Resolution 90-146A
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, Minnesota, was duly held in the City Hall in said City on Monday,
November 5, 1990, commencing at 7:30 P.M.
The following members were present: Mayor Chmiel and council members Dimler,
Johnson and Workman
and the following were absent: None
. . .
The Mayor announced that the next order of business was consideration of the bids
which had been received for the purchase of the City's $1,335,000 General Obligation
Improvement Bonds, Series 1990B, as advertised for sale. The City Manager presented
affidavits showing publication of the notice of sale in the City's official newspaper and in
Northwestern Financial Review, a financial paper published in Minneapolis, Minnesota,
which affidavits were examined and found satisfactory and ordered placed on file.
The City Manager presented a tabulation of the bids which had been received in the
manner specified in the Official Terms of Offering of the Bonds. The bids were as follows:
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SPRINGSTED
II
PUBLIC FINANCE ADVISORS
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500 Elm Grove Road
Suite 101, P.O. Box 37
Elm Grove, WI 53122-0037
(414) 782.8222
Fax: (414) 782.2904
85 East Seventh Place
Suite 100
Saint Paul, MN 55101.2143
(612) 223.3000
Fax: (612) 223-3002
135 North Pennsylvania Street
Suite 2015
Indianapolis, IN 46204.2498
(317) 884-6000
Fax: (317) 684-6004
6800 College Boulevard
Suite 600
Overland Park, KS 66211
(913) 345.8062
Fax: (913) 345-1770
2739 Second Avenue S.E.
Cedar Rapids, IA 52403-1434
(319) 363-2221
Fax: (319) 363-6999
512 Nicollet Mall
Suite 550
Minneapolis, MN 55402.1017
(612) 333.9177
Fax: (612) 333-2363
$1,335,000
CITY OF CHANHASSEN, MINNESOTA
GENERAL OBUGAnON IMPROVEMENT BONDS, SERIES 1990B
AWARD:
FBS INVESTMENT SERVICES, INC.
NORWEST INVESTMENT SERVICES, INCORPORATED
And Associates
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e After due consideration of the bids, Member Johnson then introduced the following
resolution and moved its adoption:
RESOLUTION NO. 146A
A RESOLUTION AWARDING THE SALE OF $1,335,000
GENERAL OBLIGATION IMPROVEMENT BONDS, SERIES 1990B;
FIXING THEIR FORM AND SPECIFICATIONS;
DIRECTING THEIR EXECUTION AND DELIVERY;
AND PROVIDING FOR THEIR PAYMENT
BE IT RESOLVED By the City Council of the City of Chanhassen, Carver and Hennepin
Counties, Minnesota (City) as follows:
Section 1. Sale of Bonds.
1.01. The bid of FBS Investment Services, Inc. (Purchaser) to purchase $1,335,000
General Obligation Improvement Bonds, Series 1990B (Bonds) of the City described in the
Official Terms of Offering thereof is hereby found and determined to be the highest and
best bid received pursuant to duly advertised notice of sale and shall be and is hereby
accepted, the bid being to purchase the Bonds at a price of $1,323,318.75 plus accrued
interest to date of delivery, for Bonds bearing interest as follows:
Year of Maturity Interest Rate Year of Maturity Interest Rate
e 1993 6.0096 1997 6.4096
1994 6.10 1998 6.50
1995 6.20 1999 6.60
1996 6.30 2000 6.65
Net effective interest rate: 6.587996
1.02. The sum of $6,668.75 being the amount bid by the Purchaser in excess of
$1,316,650 will be credited to the Debt Service Fund hereinafter created. The City
Treasurer is directed to retain the good faith check of the Purchaser, pending completion of
the sale of the Bonds, and to return the good faith checks of the unsuccessful bidders
forthwith. The Mayor and City Manager are directed to execute a contract with the
Purchaser on behalf of the City.
1.03. The City will forthwith issue and sell the Bonds in the total principal amount of
$1,335,000, originally dated December 1, 1990, in the denomination of $5,000 each or any
integral multiple thereof, numbered No. R-1, upward, bearing interest as above set forth,
and which mature serially on February 1 in the years and amounts as follows:
~ Amount Year Amount
1993 $190,000 1997 $165,000
1994 $160,000 1998 $165,000
1995 $160,000 1999 $165,000
e 1996 $160,000 2000 $170,000
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1.04. Optional Redemption. The City may elect on February 1, 1997 and on any date
thereafter to prepay Bonds maturing on or after February 1, 1998. Redemption may be in
whole or in part of the Bonds subject to prepayment, and in such order of maturity as the
City may determine. If only part of the Bonds having a common maturity date are called
for prepayment the specific Bonds to be prepaid will be chosen by lot by the Registrar. All
payments will be at a price of par plus accrued interest.
Section 2. Re~istration and Payment.
2.01., Re~stered Form. The Bonds shall be issued only in fully registered form. The
interest thereon and, upon surrender of each Bond, the principal amount thereof, is payable
by check or draft issued by the Registrar described herein.
2.02. Dates; Interest Payment Dates. Each Bond will be dated as of the last interest
payment date preceding the date of authentication to which interest on the Bond has been
paid or" made available for payment, unless (i) the date of authentication is an interest
payment date to which interest has been paid or made available for payment, in which case
such Bond shall be dated as of the date of authentication, or (ii) the date of authentication is
prior to the first interest payment date, in which case such Bond will be dated as of the date
of original issue. The interest on the Bonds is payable on February 1 and August 1 of each
year, commencing August 1, 1991, to the owner of record thereof as of the close of business
on the fifteenth day of the immediately preceding month, whether or not such day is a
business day.
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2.03. Re~stration. The City will appoint, and shall maintain, a bond registrar,
transfer agent, authenticating agent and paying agent (Registrar). The effect of
registration and the rights and duties of the City and the Registrar with respect thereto are
as follows:
(a) Re~ster. The Registrar must keep at its principal corporate trust office a
bond register in which the Registrar provides for the registration of ownership of
Bonds and the registration of transfers and exchanges of Bonds entitled to be
registered, transferred or exchanged.
(b) Transfer of Bonds. Upon surrender for transfer of a Bond duly endorsed by
the registered owner thereof or accompanied by a written instrument of transfer, in
form satisfactory to the Registrar, duly executed by the registered owner thereof or
by an attorney duly authorized by the registered owner in writing, the Registrar will
authenticate and deliver, in the name of the designated transferee or transferees, one
or more new Bonds of a like aggregate principal amount and maturity, as requested by
the transferor. The Registrar may, however, close the books for registration of any
transfer after the fifteenth day of the month preceding each interest payment date
and until such interest payment date.
(c) Exchan~e of Bonds. When Bonds are surrendered by the registered owner
for exchange the Registrar will authenticate and deliver one or more new Bonds of a
like aggregate principal amount and maturity, as requested by the registered owner or
the owner's attorney in writing.
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(d) Cancellation. Bonds surrendered upon any transfer or exchange will be
promptly cancelled by the Registrar and thereafter disposed of as directed by the
City.
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(e) Improper or Unauthorized Transfer. When a Bond is presented to the
Registrar for transfer, the Registrar may re.fuse to transfer_ the Bond until the
Registrar is satisfied that the endorsement on the Bond or separate instrument of
transfer is valid and genuine and that the requested transfer is legally authorized. The
Registrar will incur no liability for the refusal, in good faith, to make transfers which
it, in its judgment, deems improper or unauthorized.
(f) Persons Deemed Owners. The City and the Registrar may treat the person
in whose name a Bond is registered in the bond register as the absolute owner of the
Bond, whether the Bond is overdue or not, for the purpose of receiving payment of, or
on account of, the principal of and interest on the Bond and for all other purposes and
payments so made to registered owner or upon the owner's order will be valid and
effectual to satisfy and discharge the liability upon such Bond to the extent of the sum
or sums so paid.
(g) Taxes, Fees and Char~es. For a transfer or exchange of Bonds, the
Registrar may impose a charge upon the owner thereof sufficient to reimburse the
Registrar for any tax, fee or other governmental charge required to be paid with
respect to the transfer or exchange.
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(h) Mutilated, Lost, Stolen or Destroyed Bonds. If a Bond becomes mutilated
or is destroyed, stolen or lost, the Registrar will deliver a new Bond of like amount,
number, maturity date and tenor in exchange and substitution for and upon
cancellation of the mutilated Bond or in lieu of and in substitution for a Bond
destroyed, stolen or lost, upon the payment of the reasonable expenses and charges of
the Registrar in connection therewith; and, in the case of a Bond destroyed, stolen or
lost, upon filing with the Registrar of evidence satisfactory to it that the Bond was
destroyed, stolen or lost, and of the ownership thereof, and upon furnishing to the
Registrar of an appropriate bond or indemnity in form, substance and amount
satisfactory to it and as provided by law, in which both the City and the Registrar
must be named as obligees. Bonds so surrendered to the Registrar will be cancelled by
the Registrar and evidence of such cancellation must be given to the City. If the
mutilated, destroyed, stolen or lost Bond has already matured or been called for
redemption in accordance with its terms it is not necessary to issue a new Bond prior
to payment.
(i) Redemption. In the event any of the Bonds are called for redemption,
notice thereof identifying the Bonds to be redeemed will be given by the Registrar by
mailing a copy of the redemption notice by first class mail (postage prepaid) not more
than 60 and not less than 30 days prior to the date fixed for redemption to the
registered owner of each Bond to be redeemed at the address shown on the registration
books kept by the Registrar and by publishing the notice in the manner required by
law. Failure to give notice by publication or by mail to any registered owner, or any
defect therein, will not affect the validity of any proceeding for the redemption of
Bonds. Bonds so called for redemption will cease to bear interest after the specified
redemption date, provided that the funds for the redemption are on deposit with the
place of payment at that time.
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2.04. Appointment of Initial Registrar. The City appoints Norwest Bank Minnesota,
National Association, Minneapolis, Minnesota, as the initial Registrar. The Mayor and the
City Manager are authorized to execute and deliver, on behalf of the City, a contract with
the Registrar. Upon merger or consolidation of the Registrar with another corporation, if
the resulting corporation is a bank or trust company authorized by law to conduct such busi-
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ness, such corporation is authorized to act as successor Registrar. The City agrees to pay
the reasonable and customary charges of the Registrar for the services performed. The City
reserves the right to remove the Registrar upon 30 days' notice and upon the appointment of
a successor Registrar, in which event the predecessor Registrar must deliver all cash and
Bonds in its possession to the successor Registrar and must deliver the bond register to the
successor Registrar. On or before each principal or interest due date, without further order
of this Council, the Treasurer must transmit to the Registrar moneys sufficient for the
payment of all principal and interest then due.
2.05. Execution, Authentication and Delivery. The Bonds will be prepared under the
direction of the Manager and executed on behalf of the City by the signatures of the Mayor
and the Manager, provided that all signatures may be printed, engraved or lithographed
facsimiles of the originals. In case any officer whose signature or a facsimile of whose
signature appears on the Bonds ceases to be such officer before the delivery of any Bond,
such signature or facsimile will nevertheless be valid and sufficient for all purposes, the
same as if the officer had remained in office until delivery. Notwithstanding such
execution, a Bond will not be valid or obligatory for any purpose or entitled to any security
or benefit under this Resolution unless and until a certificate of authentication on the Bond
has been duly executed by the manual signature of an authorized representative of the
Registrar. Certificates of authentication on different Bonds need not be signed by the same
representative. The executed certificate of authentication on each Bond is conclusive
evidence that it has been authenticated and delivered under this Resolution. When the
Bonds have been so prepared, executed and authenticated, the Treasurer shall deliver the
same to the Purchaser upon payment of the purchase price in accordance with the contract
of sale heretofore made and executed, and the Purchaser is not obligated to see to the
application of the purchase price.
2.06. Temporary Bonds. The City may elect to deliver in lieu of printed definitive
Bonds one or more typewritten temporary Bonds in substantially the form set forth in
Section 3 with such changes as may be necessary to reflect more than one maturity in a
single temporary bond. Upon the execution and delivery of definitive Bonds the temporary
Bonds will be exchanged therefor and cancelled.
Section 3. Form of Bond.
3.01. The Bonds will be printed in substantially the following form:
Face of the Bond
UNITED STATES OF AMERICA
STATE OF MINNESOTA
COUNTIES OF CARVER AND HENNEPIN
CITY OF CHANHASSEN
GENERAL OBLIGATION IMPROVEMENT BOND, SERIES 1990B
Rate
Maturity
Date of
Original Issue
CUSIP
96
February 1, _
December 1, 1990
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No. R-
$
Registered Owner:
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The City of Chanhassen, Minnesota, a duly organized and existing municipal corpora-
tion in Carver and Hennepin Counties, Minnesota (City), acknowledges itself to be indebted
and for value received hereby promises to pay to the Registered Owner specified above or
registered assigns, the principal sum specified above on the maturity date specified above
with interest thereon from the date hereof at the annual rate specified above, payable
February 1 and August 1 in each year, commencing August 1, 1991, to the person in whose
name this Bond is registered at the close of business on the fifteenth day (whether or not a
business day) of the immediately preceding month. The interest hereon and, upon
presentation and surrender hereof, the principal hereof are payable in lawful money of the
United States of America by check or draft by Norwest Bank Minnesota, National
Association, Minneapolis, Minnesota, as Bond Registrar, Paying Agent, Transfer Agent and
Authenticating Agent, or its designated successor under the Resolution described herein.
For the prompt and full payment of such principal and interest as the same respectively
become due, the full faith and credit and taxing powers of the City have been and are
hereby irrevocably pledged.
The City may elect on February 1, 1997, and on any date thereafter, to prepay Bonds
of this issue maturing on or after February 1, 1998. Redemption may be in whole or in part
of the Bonds subject to prepayment and in such order of maturity as the City may
determine. If only part of the Bonds having a common maturity date are called for
prepayment the specific Bonds to be prepaid will be chosen by lot by the Registrar. All
prepayments shall be at a price of par plus accrued interest.
The City Council has designated the Bonds as "qualified tax exempt obligations" within
the meaning of Section 265(b)(3) of the Internal Revenue Code of 1986, as amended (the
Code) relating to disallowance of interest expense for financial institutions and within the
$10 million limit allowed by the Code for the calendar year of issue.
Additional provisions of this Bond are contained on the reverse hereof and such
provisions for all purposes have the same effect as though fully set forth in this place.
This Bond is not valid or obligatory for any purpose or entitled to any security or
benefit under the Resolution until the Certificate of Authentication hereon has been
executed by the Bond Registrar by manual signature of one of its authorized
representatives.
IN WITNESS WHEREOF, the City of Chanhassen, Carver and Hennepin Counties,
Minnesota, by its City Council, has caused this Bond to be executed on its behalf by the
facsimile signatures of the Mayor and City Manager and has caused this Bond to be dated as
of the date set forth below.
Dated: December _, 1990.
CITY OF CHANHASSEN, MINNESOTA
(facsimile)
City Manager
(facsimile)
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Mayor
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CERTIFICATE OF AUTHENTICATION
This is one of the Bonds delivered pursuant to the Resolution mentioned within.
NOR WEST BANK MINNESOTA,
NATIONAL ASSOCIATION
By
Authorized Representative
Reverse of the Bond
This Bond is one of an issue in the aggregate principal amount of $1,335,000 all of like
original issue date and tenor, except as to number, maturity date, redemption privilege, and
interest rate, all issued pursuant to a resolution adopted by the City Council on November 5,
1990 (the Resolution), for the purpose of providing money to defray the expenses incurred
and to be incurred in making local improvements, pursuant to and in full conformity with the
Constitution and laws of the State of Minnesota, including Minnesota Statutes, Chapter 429,
and the principal hereof and interest hereon are payable primarily from special assessments
against property specially benefited by local improvements, and ad valorem taxes, as set
forth in the Resolution to which reference is made for a full statement of rights and powers
thereby conferred. The full faith and credit of the City are irrevocably pledged for payment
of this Bond and the City Council has obligated itself to levy additional ad valorem taxes on
all taxable property in the City in the event of any deficiency in special assessments and
taxes pledged, which taxes may be levied without limitation as to rate or amount. The
Bonds of this series are issued only as fully registered Bonds in denominations of $5,000 or
any integral multiple thereof of single maturities.
As provided in the Resolution and subject to certain limitations set forth therein, this
Bond is transferable upon the books of the City at the principal office of the Bond Registrar,
by the registered owner hereof in person or by the owner's attorney duly authorized in
writing upon surrender hereof together with a written instrument of transfer satisfactory to
the Bond Registrar, duly executed by the registered owner or the owner's attorney; and may
also be surrendered in exchange for Bonds of other authorized denominations. Upon such
transfer or exchange the City will cause a new Bond or Bonds to be issued in the name of the
transferee or registered owner, of the same aggregate principal amount, bearing interest at
the same rate and maturing on the same date, subject to reimbursement for any tax, fee or
governmental charge required to be paid with respect to such transfer or exchange.
The City and the Bond Registrar may deem and treat the person in whose name this
Bond is registered as the absolute owner hereof, whether this Bond is overdue or not, for the
purpose of receiving payment and for all other purposes, and neither the City nor the Bond
Registrar will be affected by any notice to the contrary.
IT IS HEREBY CERTIFIED, RECITED, COVENANTED AND AGREED that all acts,
conditions and things required by the Constitution and laws of the State of Minnesota to be
done, to exist, to happen and to be performed preliminary to and in the issuance of this Bond
in order to make it a valid and binding general obligation of the City in accordance with its
terms, have been done, do exist, have happened and have been performed as so required, and
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that the issuance of this Bond does not cause the indebtedness of the City to exceed any
constitutional, or statutory limitation of indebtedness.
(Form of certificate to be printed on the reverse side of each Bond, following a full
copy of the legal opinion.)
I certify that the above is a full, true and correct copy of the legal opinion rendered by
bond counsel on the issue of Bonds of the City of Chanhassen, Minnesota, which includes the
within Bond, dated as of the date of delivery of and payment for the Bonds.
(Facsimile Signature)
City Manager
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 according to applicable laws or
regulations:
TEN COM -- as tenants
in common
UNIF GIFT MIN ACT
(Cus~
Custodian
(Minor)
TEN ENT -- as tenants
by entireties
under Uniform Gifts or
Transfers to Minors
JT TEN -- as joint tenants with
right of survivorship and Act . . . . . . . . . . . . .
not as tenants in common (State)
Additional abbreviations may also be used though not in the above list.
ASSIGNMENT
For value received, the undersigned hereby sells, assigns and transfers unto
the within Bond and all rights thereunder, and
does hereby irrevocably constitute and appoint attorney to
transfer the said Bond on the books kept for registration of the within 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 appears upon the face or the within Bond in every particular, without alteration
or any change whatever.
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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.
The Bond Registrar will not effect transfer of this Bond unless the information
concerning the assignee requested below is provided.
Name and Address:
(Include information for all joint owners if
this Bond is held by joint account.)
Please insert social security or
other identifying number of assignee
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3.02. The City Manager is directed to obtain a copy of the proposed approving legal
opinion of Holmes & Graven, Chartered, Minneapolis, Minnesota, which is to be complete
except as to dating thereof and to cause the opinion to be printed on each Bond, together
with a certificate to be signed by the facsimile signature of the Manager in substantially the
form set forth in the form of Bond. The Manager is authorized and directed to execute such
certificate in the name of the City upon receipt of such opinion and to file the opinion in the
City offices.
Section 4. Payment: Security: Pledli(es and Covenants.
4.01. The Bonds are payable from the General Obligation Improvement BondS, Series
1990B Debt Service Fund (Debt Service Fund) hereby created, and the proceeds of general
taxes hereinafter levied (Taxes), and special assessments (Assessments) levied or to be
levied for the improvements (Improvements) financed by the Bonds are hereby pledged to
the Debt Service Fund. If any payment of principal or interest on the Bonds shall become
due when there is not sufficient money in the Debt Service Fund to pay the same, the
Treasurer is directed to pay such principal or interest from the general fund of the City, and
the general fund will be reimbursed for such advances out of the proceeds of Assessments
and Taxes when collected. There is appropriated to the Debt Service Fund all capitalized
interest financed from Bond proceedS, if any, any amount over the minimum purchase price
paid by the Purchaser and the accrued interest paid by the Purchaser upon closing and
delivery of the Bonds.
4.02. It is hereby determined that the Improvements to be financed by the Bonds will
directly and indirectly benefit and abutting property, and the City hereby covenants with
the holders from time to time of the Bonds as follows:
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(a) The City has caused or will cause the Assessments for the Improvements to
be promptly levied so that the first installment will be collectible not later than 1992
and will take all steps necessary to assure prompt collection, and the levy of the
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Assessments is hereby authorized. The City Council will cause all further actions and
proceedings relative to the making and financing of the Improvements financed hereby
to be taken with due diligence that are required for the construction of each Improve-
ment financed wholly or partly from the proceeds of the Bonds, and for the final and
valid levy of the Assessments and the appropriation of any other funds needed to pay
the Bonds and interest thereon when due.
(b) In the event of any current or anticipated deficiency in Assessments and
Taxes, the City Council will levy additional ad valorem taxes in the amount of the
current or anticipated deficiency.
(c) The City will keep complete and accurate books and records showing:
receipts and disbursements in connection with the Improvements, Assessments and
Taxes levied therefor and other funds appropriated for their payment, collections
thereof and disbursements therefrom, moneys on hand and, the balance of unpaid
Assessments.
(d) The City will cause its books and records to be audited at least annually
and will furnish copies of such audit reports to any interested person upon request.
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4.03. It is determined that at least 2096 of the cost of the Improvements will be
specially assessed against benefitted properties. For the purpose of paying the principal of
and interest on the Bonds, there is levied a direct annual irrepealable ad valorem tax upon
all of the taxable property in the City, which shall be spread upon the tax rolls and collected
with and as part of other general taxes of the City. The Taxes will be credited to the Debt
Service Fund above provided and will be in the years and amounts as follows (year stated
being year of levy for collection the following year):
YEAR
LEVY
YEAR
LEVY
(See Attachment A)
4.04. It is hereby determined that the estimated collections of Assessments and
foregoing Taxes will produce at least five percent in excess of the amount needed to meet
when due the principal and interest payments on the Bonds. The tax levy herein provided is
irrepealable until all of the Bonds are paid, provided that the City Manager may annually, at
the time the City makes its tax levies, certify to the County Auditor of Carver County and
Director of Property Taxation of Hennepin County the amount available in the Debt Service
Fund to pay principal and interest due during the ensuing year, and the County Auditor of
Carver County and Director of Property Taxation of Hennepin County will thereupon reduce
the levy collectible during such year by the amount so certified.
4.05. The City Manager is authorized and directed to file a certified copy of this
resolution with the County Auditor of Carver County and Director of Property Taxation of
Hennepin County and to obtain the certificates required by Minnesota Statutes, Section
475.63.
Section 5. Authentication of Transcript.
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5.01. The officers of the City are authorized and directed to prepare and furnish to
the Purchaser and to the attorneys approving the Bonds, certified copies of proceedings and
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records of the City relating to the Bonds and to the financial condition and affairs of the
City, and such other certificates, affidavits and transcripts as may be required to show the
facts within their knowledge or as shown by the books and records in their custody and under
their control, relating to the validity and marketability of the Bonds and such instruments,
including any heretofore furnished, may be deemed representations of the City as to the
facts stated therein.
5.02. The Mayor and City Manager are authorized and directed to certify that they
have examined the Official Statement prepared and circulated in connection with the
issuance and sale of the Bonds and that to the best of their knowledge and belief the Official
Statement is a complete and accurate representation of the facts and representations made
therein as of the date of the Official Statement.
Section 6. Tax Covenant.
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6.01. The City covenants and agrees with the holders from time to time of the Bonds
that it will not take or permit to be taken by any of its officers, employees or agents any
action which would cause the interest on the Bonds to become subject to taxation under the
Internal Revenue Code of 1986, as amended (the Code), and the Treasury Regulations
promulgated thereunder, in effect at the time of such actions, and that it will take or cause
its officers, employees or agents to take, all affirmative action within its power that may be
necessary to ensure that such interest will not become subject to taxation under the Code
and applicable Treasury Regulations, as presently existing or as hereafter amended and
made applicable to the Bonds.
6.02. (a) The City will comply with requirements necessary under the Code to
establish and maintain the exclusion from gross income of the interest on the Bonds under
Section 103 of the Code, including without limitation requirements relating to temporary
periods for investments, limitations on amounts invested at a yield greater than the yield on
the Bonds, and the rebate of excess investment earnings to the United States if the Bonds
(together with other obligations reasonably expected to be issued in calendar year 1990)
exceed the small-issuer exception amount of $5,000,000.
(b) For purposes of qualifying for the small issuer exception to the federal arbitrage
rebate requirements, the City finds, determines and declares that the aggregate face
amount of all tax-exempt bonds (other than private activity bonds) issued by the City (and
all subordinate entities of the City) during the calendar year in which the Bonds are issued
and outstanding at one time is not reasonably expected to exceed $5,000,000, within the
meaning of Section 148(f)(4)(C) of the Code.
6.03. The City further covenants not to use the proceeds of the Bonds or to cause or
permit them or any of them to be used, in such a manner as to cause the Bonds to be
"private activity bonds" within the meaning of Sections 103 and 141 through 150 of the
Code.
6.04. In order to qualify the Bonds as "qualified tax-exempt obligations" within the
meaning of Section 265(b)(3) of the Code, the City makes the following factual statements
and representations:
.
(a) the Bonds are not "private activity bonds" as defined in Section 141 of the
Code;
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(b) the City hereby designates the Bonds as "qualified tax-exempt obligations"
for purposes of Section 265(b)(3) of the Code;
(c) the reasonably anticipated amount of tax-exempt obligations (other than
private activity bonds, treating qualified 501(c)(3) bonds as not being private activity
bonds) which will be issued by the City (and all subordinate entities of the City) during
calendar year 1990 will not exceed $10,000,000; and
(d) not more than $10,000,000 of obligations issued by the City during calendar
year 1990 have been designated for purposes of Section 265(b)(3) of the Code.
6.05. The City will use its best efforts to comply with any federal procedural
requirements which may apply in order to effectuate the designations made by this section.
The motion for the adoption of the foregoing resolution was duly seconded by Member
Dimler, and upon vote being taken thereon, the following voted in favor thereof: all present
and the following voted against the same: none
whereupon said resolution was declared duly passed and adopted.
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Attachment A
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Year Levy Year Levy
Is Made Is Collected
Amount
Of Levy
1990 1991 0
1991 1992 32,722
1992 1993 42,679
1993 1994 42,801
1994 1995 42,756
1995 1996 47,793
1996 1997 47,074
1997 1998 46,184
1998 1999 50,368
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STATE OF MINNESOTA
)
)
) SS.
)
)
COUNTIES OF CARVER AND HENNEPIN
CITY OF CHANHASSEN
I, the undersigned, being the duly qualified and acting Manager of the City of
Chanhassen, Carver and Hennepin Counties, Minnesota, do hereby certify that I have
carefully compare~ached and foregoing extract of minutes of a regular meeting of
the City Council of the City held on November 5, 1990 with the original minutes on file in
my office and the extract is a full, true and correct copy of the minutes insofar as they
\' relate to the issuance and sale of $1,335,000 General Obligation Improvement Bonds, Series
1990B of the City.
WITNESS My hand officially as such Manager and the corporate seal of the City this
t5tA day of AJ~, 1990.
41
v.9J:J
City Manager
Chanhassen, Minnesota
(SEAL)
13