Res. #11-005 - Sale of G.O. Impr. Bonds Series 2011A

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Individual purchases of the Bonds may be made in the principal amount of $5,000 or any multiple thereof of a single maturity through book entries made on the books and records of DTC and its participants. Principal and interest are payable by the City through Northland Trust Services, Inc. Minneapolis, Minnesota (the "Paying Agent/Registrar"), to DTC, or its nominee as registered owner of the .Bonds. Transfer of principal and interest payments to participants of DTC will be the responsibility of DTC; transfer of principal and interest payments to beneficial owners by participants will be the responsibility of such participants and other nominees of beneficial owners. The successful bidder, as a condition of delivery of the Bonds, will be required to deposit the bond certificates with DTC. The City will pay reasonable and customary charges for the services of the Paying Agent/Registrar. DATE OF ORIGINAL ISSUE OF BONDS April 1, 2011 AUTHORITY/PURPOSE/SECURITY The Bonds are being issued pursuant to Minnesota Statutes, Chapters 429 and 475. Proceeds will be used to current refund $1,085,000 of the $2,200,000 General Obligation Improvement Bonds, Series 2004B, dated June 1, 2004. Maturities 2012 through 2018, inclusive, will be called for redemption on April 1, 2011, at a price of par plus accrued interest. The bonds will also partially current refund $1,615,000 of the $2,600,000 General Obligation Improvement Bonds, Series 2007A, dated December 11, 2007. Maturities 2012 through 2020, inclusive, will be called for redemption on June 1, 2011, at a price of par plus accrued interest. The Bonds are payable from special assessments against benefited property and additionally secured by ad valorem taxes on all taxable property within the City. The full faith and credit of the City is pledged to their payment and the City has validly obligated itself to levy ad valorem taxes in the event of any deficiency in the debt service account established for this issue. INTEREST PAYMENTS Interest is due semiannually on each January I and July 1, commencing January 1, 2012, to registered owners of the Bonds appearing of record in the Bond Register as of the close of business on the fifteenth day (whether or not a business day) of the calendar month preceding such interest payment date. MATURITIES Principal is due annually on July 1, inclusive, in each of the years and amounts as follows: Year Amount Year Amount 2012 $190,000 2016 $365,000 2013 350,000 2017 375,000 2014 360,000 2018 385,000 2015 365,000 2019 365,000 Proposals for the Bonds may contain a maturity schedule providing for any combination of serial bonds and term bonds, subject to mandatory redemption, so long as the amount of principal maturing or subject to mandatory redemption in each year conforms to the maturity schedule set forth above. INTEREST RATES All rates must be in integral multiples of 1120th or 1l8th of I %. Rates must be in level or ascending order. All Bonds of the same maturity must bear a single uniform rate from date of issue to maturity.