Res. #11-007 - Accepting Proposals on the Sale of $2,760,000 G.O. Refunding Bond

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D. WHEREAS, the 2004 Bonds are subject to redemption and prepayment at the option of the City on February 1, 2011, or on any date therea.fter, and the 2007 Bonds are subject ta redemption ,and prepayment at the option of the City on June l, 2011, or on any date thereafter; and E. WHEREAS, the City determines and declares that it is necessary and desirable to issue its $2,760,000 General Obligation Improvement Refunding Bonds, Series 2011 A(the "Bonds") pursuant to Minnesota. Sta.tutes, Chapter 475, to provide funds to pay on May 1, 2011, the outstanding 2004 Bonds and, together with other funds of the City, to pay on June 1, 2011, the outstanding 2007 Bonds; and F. WHEREAS, the current refunding of the 2004 Bonds and the 2007 Bonds is consistent with the covenants made with the bondholder thereof and will reduce the debt service cost to the City; and G. WHEREAS, the City has retained Northland Securities, Inc. ("Northland") as its � independent financial advisor for the Bonds, and Northland has conducted a public sale of the Bonds pursuant to Minnesota Sta.tutes, Section 475.60; and H. WHEREAS, the proposals set forth on Exhibit A attached hereto were received ' by Nortliland at 10:30 a.m., on March 23, 2011; and NOW, THEREFORE, BE IT RESOL D by the Council of the City as follows: 1. Sale of Bonds: Purpose. 1.O1. The proposal of United Bankers' Bank (the Purchaser") to purchase the Bonds (or individually, a"Bond") in accordance with the terms established for the Bonds, at the rates of interest hereinafter set forth, and to pay therefor the sum of $2,740,996.82, plus interest accrued to the date of delivery of the Bonds, is hereby found, determined and declared to be the most favorable proposal received and is hereby accepted, and the Bonds are hereby awarded to said Purchaser. The Clerk is hereby directed to retain the deposit of said Purchaser and to forthwith return to the unsuccessful proposal makers their good faith checks or drafts. 1.02. T'he Bonds shall be titled "General Obligation Improvement Refunding Bonds, Series 2011A", shall be dated April 1, 2011, as the date of original issue and shall be issued forthwith on or after such date as fixlly registered bonds. The City assumes no obligation for the assignment or printing of CUSIP numbers on the Bonds or for the correctness of any CUSIl' numbers printed thereon. The City will permit such numbers to be printed on the Bonds at the expense of the Purchaser, provided; that the City shall not be responsible for any delay in delivery of the Bonds occasioned thereby. The Bonds sha11 be numbered from R-1 upward in the denomination of $5,000 each or in any integral multiple thereof of a single maturity (the "Authorized Denominations"). The Bonds sha11 mature on July 1 in the years and amounts as follows: r _. i 2