|
RESOLUTION NO. 16-017
<br />A RESOLUTION AWARDING THE SALE OF $1,815,000 GENERAL
<br />OBLIGATION IMPROVEMENT CROSSOVER REFUNDING BONDS, SERIES
<br />2016A; FIXING THEIR FORM AND SPECIFICATIONS; DIRECTING THEIR
<br />EXECUTION AND DELIVERY; PROVIDING FOR THEIR PAYMENT;
<br />PROVIDING FOR THE ESCROWING AND INVESTMENT OF THE PROCEEDS
<br />THEREOF; AND PROVIDING FOR THE REDEMPTION OF BONDS REFUNDED
<br />THEREBY
<br />BE IT RESOLVED By the City Council (the "Council") of the City of Centerville, Minnesota
<br />(the "City") as follows:
<br />Section 1. Sale of Bonds.
<br />1.01. Background; Findings. Pursuant to Resolution No. 16-016, adopted by this Council on
<br />April 13, 2016, and Minnesota Statutes, Chapter 475, as amended (the "Act,"), but more specifically
<br />Section 475.67, Subdivisions 3 and 13 of the Act, this Council determined that it is necessary and
<br />desirable to the sound financial management of the City and to reduce debt service cost to the City that
<br />the City issue certain general obligation bonds to refund, in advance of maturity, the City's General
<br />Obligation Taxable Improvement Bonds, Series 2009A (Build America Bonds — Direct Pay) (the
<br />"Refunded Bonds"), dated August 1, 2009, of which $2,110,000 in principal amount is callable on
<br />February 1, 2018.
<br />1.02. Award to the Purchaser and Interest Rates. The proposal of UMB Bank N.A., Kansas
<br />City, Missouri (the "Purchaser") to purchase the City's General Obligation Improvement Crossover
<br />Refunding Bonds, Series 2016A (the "Bonds") described in the Notice of Sale thereof is found and
<br />determined to be a reasonable offer and is accepted, the proposal being to purchase the Bonds at a price of
<br />$1,839,714.41 (par amount of $1,815,000.00, plus original issue premium of $32,646.80, less
<br />underwriter's discount of $7,932.39), plus accrued interest of $1,000.50, for Bonds bearing interest as
<br />follows:
<br />Year
<br />Interest Rate
<br />Year
<br />Interest Rate
<br />2019
<br />1.500%
<br />2023
<br />1.750%
<br />2020
<br />1.500
<br />2024
<br />1.800
<br />2021
<br />1.500
<br />2025
<br />1.800
<br />2022
<br />1.750
<br />1.03. Purchase Contract. The sum of $44,679.41, being the amount proposed by the Purchaser in
<br />excess of $1,795,035.00, shall be deposited in the Escrow Account created under Section 4.01(a) hereof. The
<br />Mayor and the City Administrator are directed to execute a contract with the Purchaser on behalf of the City.
<br />1.04. Terms and Principal Amounts of the Bonds. The City will forthwith issue and sell the
<br />Bonds pursuant to the Act in the total principal amount of $1,815,000, originally dated as of July 1, 2016, in
<br />the denomination of $5,000 each or any integral multiple thereof, numbered No. R-1, upward, bearing
<br />interest as above set forth, and maturing serially on February 1 in the years and amounts as follows:
<br />2
<br />
|