BY COUNCILOR NESS:
BE IT RESOLVED, by the city council of the city of Duluth, Minnesota, as follows:
(a) Authorization of bonds and certificates. It is hereby found, determined, and declared to be necessary, and in the best interests of the city and its residents, that the city should issue its general obligation bonds and general obligation equipment certificates of indebtedness for the following purposes:
(1) $4,045,000 general obligation sewer utility revenue bonds, Series 2004D (the bonds), are hereby authorized and shall be issued pursuant to Ordinance No. 9694, adopted October 12, 2004, Minnesota Statutes, Chapter 475, and Section 115.46 and 444.075, and Section 55 of the Home Rule Charter of the city for the payment of the costs of improvements to the municipal sewer utility; and
(2) $1,355,000 general obligation equipment certificates of indebtedness, Series 2004E (the certificates), are hereby authorized and shall be issued pursuant to Minnesota Statutes, Sections 410.32 and 412.301 (the act), and Minnesota Statutes, Chapter 475, and the City Charter, for the purpose of providing funds to purchase capital equipment, as permitted by the act, having an expected useful life at least as long as the term of the certificates;
(b) Issuance and sale of bonds and certificates. The terms and conditions of the bonds and certificates and the sales thereof are set forth in the official terms of offerings on file with the city clerk as Public Document No. _______. Each and all of the terms and provisions set forth in the official terms of offerings are adopted and confirmed as the terms and conditions of the bonds and certificates and the sales thereof, and the city council shall meet at the time and place fixed herein to consider bids for the purchase of the bonds and certificates;
(c) Competitive sale of bonds and certificates. Public Financial Management, Inc., independent financial advisor to the city, is hereby authorized to provide the notice of the sales of the bonds and certificates in accordance with Minnesota Statutes, Section 475.60, subdivision 3, and in accordance with the official terms of offering;
(d) Subsequent resolutions. The form, specifications and provisions for repayment of the bonds and certificates shall be set forth in subsequent resolutions of this city council.
STATEMENT OF PURPOSE: The purpose of this resolution is to (1) authorize the issuance of $4,045,000 General Obligation Sewer Utility Revenue Bonds to provide funds necessary to make improvements to the municipal sewer utility plant, including the construction of a pump station and storage facility at Dodge Street and 52nd Avenue East necessary to eliminate sanitary sewer overflow, and which are payable from net revenues of the municipal sewer utility; and (2) authorize the issuance of $1,355,000 General Obligation Equipment Certificates of Indebtedness for the purpose of purchasing capital equipment and which are payable from ad valorem taxes.