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<br />I
<br />
<br />
<br />I
<br />
<br />'AN AREAS
<br />
<br />
<br />IJrderlY conduct
<br />. so doing. Op.
<br />
<br />,31.
<br />
<br />
<br />nereby ViUlIþ
<br />.vho owned dog
<br />I dogcatcher for
<br />1unities outside
<br />Icber for use of
<br />n presented fact
<br />I ViJJøge Council.
<br />955.
<br />
<br />enter into lease
<br />d by such mem-
<br />In. 11, 1946.
<br />
<br />for operation of
<br />fin¡ owned by a
<br />Op.Atty.Gen.,
<br />
<br />
<br />13se property to
<br />uch officers are
<br />!racts or having
<br />I village. Op.Atty.
<br />
<br />etween a village
<br />I brokerage firm
<br />~ge firm from di·
<br />village, provided
<br />er financial bene·
<br />I ¡-councilman as a
<br />. 9Oa-l, Dec. 21,
<br />
<br />I ides for tbe giving
<br />h a license to sell
<br />contractual rela·
<br />Ilion to a council·
<br />1se. Op.Atty.Gen.,
<br />
<br />
<br />It beverage license
<br />mg of a contrae!
<br />I providing that no
<br />shall be directly or
<br />contract made by
<br />~E-4, August 15,
<br />
<br />11B liquor license is
<br />shment of munlci-
<br />m.1942, No. 162, p.
<br />
<br />I
<br />
<br />¡ired by munlcipøJ
<br />:don of residents of
<br />I :ontract within the
<br />where some of the
<br />
<br />I
<br />
<br />STATUTORY CITIES
<br />
<br />persons filing the bonds were members of the
<br />municipal council. Op.Atty.Gen., 900-4. May
<br />5,1960.
<br />
<br />If a bond to village is required in connecdon
<br />with license for 3.2 beer, then the giving of the
<br />bond is tbe making of a contract with the
<br />villase within meaning of provision of statutes
<br />that no member of a village council sbaJI be
<br />directly or indirectly interested in any contract
<br />made by the council. Op.Atty.Gen., 90-E4,
<br />August 15. 1949.
<br />
<br />]7. Vending machlnea
<br />
<br />Where vending machine was kepi in munici·
<br />pJll liquor store by owner, who was council-
<br />man-elect, under oral arrangement with village
<br />whereby percentage of gross reœlpts from ma-
<br />chine wu payable to village, arrangement was
<br />a prohibited contract under this section. Op.
<br />Atty.Gen., 9O-A-l, Dec. 26. 1951.
<br />
<br />18. Valldity of contracts
<br />
<br />Where a bank in good faitb loaned money to
<br />a municipal corporation for II legitimate corpo-
<br />rate purpose.. and the money so loaned was
<br />paId into the municipal treasury and sub&e.
<br />tiuendy expended for the purpose srnted, recov-
<br />ery could be had against the municipality for II
<br />return of the money, though the contract was
<br />void becàu.se the president of the municipål
<br />councH was also a managing officer of the
<br />bank, and panicipated in the council proceed-
<br />ings by which the loan was authorized. First
<br />Nato Bank of Goodhue v. Village of Goodhue,
<br />19B, no Minn. 362, 139 N.W. 599, 43 LoR.
<br />A.,N.S., 84.
<br />
<br />This section is mandatory, and a contract in
<br />violation thereof is void. Op,Atty.Gen..
<br />70711-15, Jan, 2, 1957.
<br />
<br />.,. Lowest reaponsible bidder
<br />
<br />In s¢lecting lowest responsible bidder on
<br />public contract. a municipality may exercise 8
<br />reasonable discretion, and may consider, in
<br />
<br />§ 412.321
<br />
<br />addition 10 price, such factors as quaJHy, suita-
<br />bility. and adaptability of article to be pur·
<br />chased for use for which it was intended, and
<br />where ;1 appears that municipality's cboice is
<br />based on substantial difference In quality, suit-
<br />ability, and adaptability. its actíon will not be
<br />inlerfered with Ihough award is given to one
<br />other than lowest bidder. Duffy v. Village of
<br />Princeton, 1953, 240 Minn. 9, 60 N.W.2d 27.
<br />
<br />Where plans and specifications for construc-
<br />tion of elei:lric power plant for village reason·
<br />ably. and necessarily demanded consideration
<br />of several factors, and no single bid was lowest
<br />in all tne factors for consideration, village
<br />council collld, in reasonable exercise of its
<br />discretion, decide what weight was to be given
<br />the various factors and accept what viUage
<br />council deemed to be the lowest responsible
<br />bid, considering all factors, and such decision
<br />would not be set aside by court in absence of
<br />showing of an abuse of discretion, Otter Tail
<br />Power Co, v. Village of Wheaton, 1952, 235
<br />Minn. 123, 49 N.W.2d 804.
<br />
<br />Where specifications for bids for diesel
<br />equipment for proposed municipal power
<br />plant required bidder to furnish materlal,
<br />equipment and work necessary 10 complete
<br />Installation, village had authority to accept sin-
<br />gle bid submitted. Otter Tail Power Co. v,
<br />Village of Elbow Lake, 1951,234 MinI!, 419,49
<br />N,W.2d 197.
<br />
<br />Village council could not accept high over
<br />low bid as between two legal bids. rd.
<br />
<br />Where bids are received on items of equip-
<br />ment which are not capable of precise. or exact
<br />specifications, municipality may exercise rea·
<br />sonable discretion in determining who is low-
<br />est responsible bidder, and in so doing, may
<br />consider, in addition to bid frice. tbe qualilY,
<br />suitability and adaptability 0 article to be pur·
<br />chased for use for which it ìs intended, al.
<br />though discretion exerci&ed must be reason-
<br />able and must be based upon some substantial
<br />difference in qualíty or adaptability. Id.
<br />
<br />UTILITIES
<br />
<br />412.321. Municipal uttUtles
<br />
<br />Subdivision 1. Authority to own and operate. Any statutory city may
<br />own and operate any waterworks, district heating system, or gas, light, power,
<br />or heat plant for supplying its own needs for utility service or for supplying
<br />utUity service to private consumers or both. It may construct and install all
<br />facilities reasonably needed for that purpose and may lease or purchase any
<br />existing utility properties so needed. It may, in lieu of providing for the local
<br />production of gas, electricity, water, hot water, steam, or heat, purchase tbe
<br />same wholesale and resell it to local consumers. After any such utility has
<br />been acquired, the council. except as its powers have been limited through
<br />215
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