CCR1978162Excerpts of Minutes of Meeting
of Common Council Held July 26, 1978 a
A special meeting of the Common Council of the City of
Muskego, Waukesha County, Wisconsin, was held in open session
on July 26, 1978 and called to order by His Honor, Mayor
Gottfried at 8:OO P.M. in the Council Chambers, City Hall.
The following Aldermen were present: Paul J. Schaumberg,
Mark E. Pienkos, Thomas J. Van Lanen, Ralph Tomczyk, Raymond
Wallner and Edwin P. Dude
The following Aldermen were absent: Ronald J. Ford
The Deputy City Clerk announced that bids for Promissory
Notes had been received as follows:
BID TABULATION
$500,000 GENERAL OBLIGATION PROMISSORY NOTES
CITY OF MUSKEGO, WISCONSIN
SALE: WEDNESDAY, JULY 26, 1978
___ AWARD: THE NORTHERN TRUST COMPANY, CHICAGO, ILLINOIS
MOODY'S RATING: "A"
NET INTEREST COST
E OF BIDDER RATES YEARS & RATE PRICE
NORTHERN TRUST COMPANY 5.75%
icago, Illinois 5.30%
5.35%
ST NATIONAL BANK OF MINNEAPOLIS 5.60% H. Novick & Co., Inc. 5.50%
nn@olis, Minnesota 5.40%
ST WISCONSIN NATIONAL BANK OF MILWAUKEE 5.90%
lwaukee, Wisconsin 5.40%
E NORTHWEST
icago, Illinois
IRST NATIONAL BANK OF CHICAGO
Chicago, I11 inois
WRINE NATIONAL EXCHANGE BANK
Ilunt Ellis Loewi & Co., Inc.
Milwaukee, Wisconsin
0
:ONTINENTAL ILLINOIS NATIONAL BANK
AN0 TRUST COMPANY OF CHICAGO
Chicago, Illinois
LA SALLE NATIONAL BANK
Chicago, Illinois
5.90%
5.40%
6.00%
5.40%
5.45%
5.75%
5.50%
6.00%
5.40%
5.50%
5.75%
5.60%
5.50%
1986
1988
1987
1986
1987
1988
1986
7 987188
1986
19a7/88
1986
1987
1988
1986
1987/77
1986
1987
1988
1986
1987
1988
$248,156.00
5.3946%
$251,800.00
5.4739%
$252,375.00
5.4864%
,8252,395.00
5.4868%
$254,194.00
5.5259%
$254,957.00
5.5425%
$255,100.00
5.5456%
$256,800.00
5.5687%
$500,244.00
b500,OOO.OO
$500,025.00
$500,005.00
$500,006.00
$500,043.00
$500,100.00 I
$500,639.00
(continued on following page) I
I
$500,000 Promissory Notes
Muskego, Wisconsin
NET INTEREST COST
PAI&IF BIDDER RATES YEARS & RATE PRICE
CHANNER NEWMAN SECURITIES COMPANY , 5.75% 1986 $256,800.00 $500,000.00
Chicago, I1 1 inois 5.60% 1987
5.50% 1988 5.5826%
FRANK HENJES & COMPANY, INC.
Milwaukee, Wisconsin
6.50%
5.45%
5.50%
1986
1987
1988
$260,034.00
5.6529%
$500,066.00
LMAN & QUAIL, INC. 5.60% 1986 $260,908.00 $500,492.00 yN# polis, Minnesota 5.70% 1987/88
American National Bank & Trust Co. 5.6719%
St. Paul, Minnesota I
EHLERS AND ASSOCIATES, INC.
Financial Specialists
First National-Soo Line Concourse
507 Marquette Avenue
Minneapolis, Minnesota 55402
Telephone: (612) 339-8291
The Deputy City Clerk read the resolution to be known as
Resolution No. 162-78 as follows:
i63- -78
Resolution Awarding Notes
WHEREAS this City has duly received sealed proposals for
its issue of $500,000 Promissory Notes; and
WHEREAS it has been determined that the best proposal re-
ceived was that submitted by The Northern Trust Company, Chicago,
Illinois;
NOW, THEREFORE, BE IT RESOLVED that the proposal of The
Northern Trust Company, Chicago, Illinois, be and it hereby is
accepted and the Mayor and Deputy City Clerk are authorized and
directed to execute an acceptance of the offer of said success-
ful purchaser on behalf of the City;
FURTHER RESOLVED that the check of the successful purchaser
be retained by the City Treasurer until actual closing of the note
issue.and checks of the unsuccessful bidders be promptly returned.
Alderman Schaumberg moved that Resolution No. 162-78 be
adopted. flotion seconded by Alderman Tomczyk and carried
by the following vote':
Ayes: Schaumberg, Pienkos, Van Lanen, Tomczyk, Wallner and Dumke
Noes: None
The Deputy City Clerk read the following resolution, to be
known as Resolution No. 163-78:
/ L.3 -7f
"A Resolution Authorizing the City of Nuskego
to Borrow the Sum of $500,000 Pursuant to
Section 67.12(12) of the Wisconsin Statutes
for Corporate Purposes
WHEREAS the City of Muskego, Waukesha County, Wisconsin
(sometimes hereinafter called the "City"), is presently in need
of the sum of Five Hundred Thousand Dollars ($500,000) for the
purpose of paying part of the costs of public work. or improvements
and equipment; and
WIIEREAS the Common Council of the City deems it necessary
and in the hest interest of the City that said sum be borrowed
pursuant to the provisions of Section 67.12(12), Wis. Stats.,
upon the terns and conditions hereinafter provided;
NOW, THEREFORE, BE IT ESOLVED by the Common Council of
the City of Pluskego, Waukesha County, Wisconsin, that:
Section 1. The City of Muskego, Waukesha County, Wisconsin,
borrow the amount of $500,000 from The Northern Trust Company,
Chicago, Illinois, for the purpose above stated.
Section 2. To evidence such indebtedness, the Mayor and City
Clerk shall nake, execute and deliver to said lender, for and on
behalf of the City 100 general obligation promissory ¬es of the
City in the denomination of Five Thousand Dollars ($5,000) each,
numbered from 1 through 100, and dated July 1, 1978. Said Notes
shall mature serially on July 1 of each of the years and shall
bear interest as follows:
Year Amount Interest __
1986 $100,000 5.75 %
1988 200,000 5.35 %
1907 200,000 5.30 %
Said interest shall be payable semiannually on January 1 and July 1
of each year in accordance with, and upon presentation and surrender
of, the interest coupons to be attached thereto. The Notes shall
be callable as provided in the note form herein established.
Principal of and interest on these Notes shall be payable in
lawful money of the United States of America at The Northern Trust
Company, in Chicago, Illinois
Section 3. The Notes shall be payable to bearer, shall be
delivered to the lender upon receipt of the price thereof, plus
accrued interest to date of delivery and shall be in substantially
the following form:
STATE OF I.IISCONSIN
COUNTY OF NAUKESHA
CITY OF MUSKEGO
P ROMI S SORY NOTE
No. $5,000
FOR VALUE RECEIVED, the City of Muskego, Waukesha County,
Wisconsin, promises to pay .to bearer =he sum of FIVE THOUSAND DOL-
LARS ($5,000) on the first day of. July, 19 , together with inter-
est thereon at the rate of per cent ( %) per annum,
said interest to be payable semiannually on the first days of January
and July in each year, commencing January 1, 1979, in accordance
with, and upon presentation and surrender of, the interest coupons
attached hereto as they severally become due.
Both principal hereof and interest hereon are hereby made
payable in lawful money of the United States of America at The
Northern Trust Company ,in Chicago , Illinois , and for
the prompt payment of this Note with interest thereon as aforesaid,
and the levying and collection of taxes sufficient for that purpose,
the full faith, credit and resources of the City of Muskego, Wis-
consin are hereby irrevocably pledged.
Notes of this issue maturing in the years 1987 and 1988 shall
be subject to call and prior payment in whole or from. time to tine
in part in inverse numerical order at the option of the City on
July 1, 1986, or on any interest payment date thereafter at the
price of 101% of par plus accrued interest. Not less than thirty
(30) days' notice of such call shall be given by the publication of
a notice thereof once in a newspaper published in Chicago, Illinois,
which custonarily publishes like notices as a part of its regular
service.
This Note is issued pursuant to the provisions of Section
67.12(12), Wisconsin Statutes, for the purposes of paying part of
the costs of public work and improvements and equipment and is au-
thorized by a resolution of the Common Council of the City of
Muskego, duly adopted by at least a two-thirds vote of the members-
elect of said Comnion Council at its meeting duly convened on July
26, 1978, which resolution is 'recorded in the official book of its
minutes. for said date and is referred to as Resolution No. 163-78
in said minutes.
It is hereby certified and recited that all conditions, things
and acts required by law to exist or to be done prior to and in con-
nection with the issuance of this Note have been done, have existed
and have been performed in due form and time; that the aggregate
indebtedness of the City, including this Note and others authorized
simultaneously herewith, does not exceed any limitation imposed
by law or the Constitution of the State of Wisconsin; and that the
said City has levied a direct, annual irrepealable tax sufficient
to pay this Note, together with interest thereon when and as payable.
No delay or omission on the part of the holder hereof to ex-
ercise any right hereunder shall impair such right or be considered
as a waiver thereof or as a waiver of or acquiescence in any de-
fault hereunder.
IFJ WITNESS WHEREOF, the Conmon Council of the City of rluskego,
Waukesha County, Wisconsin, has caused this Note to be signed on
behalf of said City by its duly elected Mayor and City Clerk, its
corporate seal to be hereto affixed, and the attached coupons to
be signed by the facsimile signatures of its Mayor and City Clerk,
each of whom in his respective capacity by the execution of this
Note, does adopt his aforesaid facsimile signature as and for his
own proper signature, all as of this first day of July, 1978.
CITY OF MUSKEGO, WAUKESHA
pity 'Elerk
BY
(Form of Coupon)
No. $
On the first day of , 19 , the City of Muskego,
Waukesha County, Wisconsin, promises to pay to bearer the amount
shown hereon in lawful noney of the United States of America at
The Northern Trust Company , in Chicago , Illinois
for interest due that day on its Promissory Note dated July 1,
1978, No.
I
a
CITY OF MUSKEGO, WAUKESHA
COUNTY, WISCONSIN
BY (facsimile) BY (facsimile)
City Clerk Mayor
(Clause to be added to coupons
numbered 18 and up on Notes 21/100)
"Unless the Note to which this coupon is attached shall have
been called for prior redemption . . ."
c
Section 4. For the purpose of paying the principal of and
interest on each of said Notes as the same respectively falls due,
the full faith, credit and taxing powers of the City are hereby
irrevocably pledged and there be and there hereby is levied on
all of the taxable property in the City of Nuskego a direct, annual
irrepealable tax for the following years and in the following
amounts:
For the year 1978
For the year 1979
For the year 1980
For the year 1951
For the year 1982
For the year 1983
For the year 1984
For the year 1985
For the year 1986
For the year 1987
$ 40,575
27,050
27,050
27,050
27,050
27,050
27,050
124,175
216,000
205,350
In each of said years from 1978 to 1987, inclusive, the di-
rect, annual irrepealable tax hereinabove levied shall be carried
into the tax roll each year and collected in the same manner and
at the same tine as other taxes of the City for such years are
collected. So long as any part of the principal of or interest on
said Notes remains unpaid, the proceeds of said tax shall be seg-
regated in the special fund established by Section 5 of this resolu-
tion and used solely for the payment of principal of and interest
on' said Notes.
There hereby is appropriated fron funds of the City on hand
the sum of $ 13,525.00 to be deposited in the Sinking Fund herein-
after created to be used solely to meet interest payments due on
January 1, 1979, which sum nay be returned to the general fund
upon collection of the taxes herein levied for the year 1978.
If at any time there shall be on hand insufficient funds from
the aforesaid tax levy sufficient to meet principal and/or interest
payments on said Notes when due, the requisite amounts shall be
paid from other funds of the City then available, which sums shall
be replaced upon the collection of the taxes herein levied.
Section 5. There is hereby established in the City Treasury
a fund separate and distinct from all other funds of the City, de-
signated "Sinking Fund for Promissory Notes dated July 1, 1978,"
which fund shall be used solely for the purpose of paying principal
of and interest on said Notes. There shall he deposited in said
fund the premium, if any, and all accrued interest paid on said
idotcs at thc time said Notes are delivered to the lenders, all
money raised by taxation or appropriated pursuant to Section 4
hereof or Section 67.11(1) (el, \$is. Stats., and such other suns
as may be necessary to pay interest on said Notes when the same
shall become due and to retire said Notes on their respective ma-
turity dates.
Section 6. The City Comptroller shall keep, maintain and
preserve an adequate and correct register account of all Notes
issued and all payments and other transactions relating thereto;
and the City Clerk shall provide and keep a separate record book
and shall record a full and correct statement of every step or pro-
ceeding had or taken in the course of authorizing and issuing these
Notes. *
Section 7. The "proceeds" of the Notes shall be used solely
for the purposes for which they are issued, but may be temporarily
invested until needed in legal investments provided that no such
1 investment shall be in such a manner as would cause the Notes to
be "arbitrage bonds" within the meaning of Section 103(c) (2) of
the Internal Revenue Code of 1954, as amended, or the Regulations
of the Commissioner of Internal Revenue thereunder; and an officer
of the City charged with the responsibility for issuing these Notes
shall certify that on the basis of the facts, estimates and circum-
stances in existence on the date of closing, it is not expected
that the "proceeds" will be used in a manner that would cause the
Notes to be "arbitrage bonds."
Section 8. Said Notes shall be executed as soon after adop-
tion of this resolution as possible and shall be delivered to the
lender upon receipt of the price thereof and accrued interest to
date of delivery."
Alderman Schaumberg moved that Resolution No. 163-78be
l adopted. Motion seconded by Alderman Tomczyk and carried
by the following vote:
Ayes: Schaumberg, Pienkos, Van Lanen, Tomczyk, Wallner and Dumke
Noes: None
II,
,The Mayor declared the resolution adopted and signed same
in open meeting.
City Clerk signed attest of resolution.