06-09-80 Special Mtg. - Laserfiche WebLink

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258 construction contracts heretofore let and all other costs incurred and to be incurred of the kind authorized in Minnesota Statutes, Section 475.65; and the IIDneys in said account shall be used for no other purpose except as othezwise provided by law; provided that the bond proceeds may also be used to the extent necessary to pay interest on the bonds due prior to the anticipated date of carnmencement of the collection of special assessments herein covenanted to be levied; and provided further that if upon canpletion of the improvanents there shall remain any unexpended balance in the Construction Account, the balance (other than any special assessments) may be transferred by the Council to the fund of any other improvanent instituted pursuant to Minnesota Statutes, <J1apter 429; and provided further that any special assessments credited to the Construction Account are hereby pledged and shall be used only to pay principal I and interest due on the bonds. '!here is hereby pledged and there shall be credi ted to the Debt Service Account (a) all collections of special assessments _ . · herein covenanted to be levied and either initially credited to the Construction L_ ~ Account and required to pay any principal and interest due on the bonds or collected subsequent to the canpletion of the improvements and payment of the costs thereof; (b) all accrued interest and any premium received upon deli very of the bonds, (c) capitalized interest in the amount of $5,280 (subject to such adjustments as are appropriate to provide sufficient funds to pay interest due on the bonds on or before July 1, 1981), (d) any collections of all taxes which may hereafter be levied in the event that the special assessments herein pledged to the payment of the principal and interest on the bonds are insufficient therefor; and (e) all funds remaining in the Construction Account after can- pletion of the improvements and payment of the costs thereof, not so transferred to the account of another improvenent. '!he Debt Service Account herein created shall be used solely to pay the principal and interest of the bonds issued hereunder and any other general obligation bonds of the City hereafter issued by the City and made payable fran said account as provided by law. Any sums from time to time held in the Debt Service Account (or any other City account which will be used to pay principal or interest to becane due on the bonds) in excess of amounts which under the applicable federal arbitrage regulations may be invested without regard as to yield shall not be invested at a yield in excess of the applicable yield restrictions imposed by said arbitrage regulations on such investments. ~ 9. I t is hereby detennined that no less than 100% of the cost to l the City of each improvement financed hereunder wi thin the meaning of Minn. Statutes, Section 475.58, Sl)IxIivision 1 (3) shall be paid by special assess- _J ments to be levied against every assessable lot, piece and parcel of land benefi ted by the improvements. '!he City hereby covenants and agrees that it will let all construction contracts not heretofore let wi thin one year after ordering each improvement financed hereunder unless the resolution ordering the improvement specified a different time limit for the letting of construc- tion contracts and will do and perform as soon as they may be done, all acts and things necessary for the final and valid levy of such special assessments, and in the event that any such assessments be at any time held invalid with respect to any lot, piece or parceF~f land due to any error, defect, or irregulari ty, in any action or proceedings taken or to be taken by the City or this Councilor any of~ the City officers or employees, either in the making of the assessments or in the performance of any condition precedent thereto, the City and this Council will forthwith do all further acts and take all further proceedings as may be required by law to make the assessments a valid and binding lien upon such property. Subject to such adjus1ments as are required by conditions in existence at the time the assessments are levied, it is deter- mined that the assessments shall be payable in equal, consecutive, annual in- stallments, with general taxes for the years shown belcm and with interest on the deferred balance of all such assessments at the rate of at least 8.0% per annum: Improvement Designation Amount levy Years 1980 Construction Program Pleasant Drive Project $239,000 $ 67,400 1980-89 1981-90 At the time the assessments are in fact levied the (:i ty Council shall, based on the then current estimated collections of the assessments, make any adjustments in any ad valorem taxes required to be levied in order to assure that the City continues to be in canpliance with Minnesota Statutes, Section 475~'61 , Subdivision 1. ~ 'i! IL [