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HomeMy WebLinkAbout1975-222 CCR Member Robert Jensen introduced the following resolution and moved its adoption: RESOLUTION NO. 75 -222 RESOLUTION TO TRANSFER FUNDS FROM THE LIBRARY SALE FUND TO THE LIBRARY BOND REDEMPTION FUND AND THE CAPITAL PROJECTS FUND AND TO AUTHORIZE THE CLOSING OF THE LIBRARY SALE FUND WHEREAS, on April 24, 1969, the City of Brooklyn Center sold its public library building to Hennepin County; and WHEREAS, the purchase agreement did provide that the County make an initial down payment and pay the balance of the purchase price in fifteen equal annual installments; and WHEREAS, at the time of the sale of the building, there was outstanding library bonded indebtedness in the amount of $160,000 attributable to the building which was to be retired in sixteen equal annual installments; and WHEREAS, the earliest date upon which the library bonds outstanding could be called was 1979; and WHEREAS, ad valorem taxes had been levied to provide for the debt retirement of the library bonds; and WHEREAS, on July 14, 1969, a Library Sale Fund was established to act as a repository for payments received from Hennepin County for the library building and to account for subsequent disbursements of the receipts and interest earned thereon to the Library Debt Retirement Fund and such other funds as the Council directed; and WHEREAS, annually, funds have been transferred from the Library Sale Fund to the Library Debt Retirement Fund to meet bond principal and interest payments and the annual tax levy cancelled; and WHEREAS, on August 28, 1973, the City of Brooklyn Center sold the real property upon which the library building was located to Hennepin County and the County also agreed to pay the unpaid balance owed on the purchase of the building; and WHEREAS, on September 28, 1973 the County remitted a check in the amount of $103,369.52 to the City and that said check was in payment of the balance due on the building and interest thereon through September 30, 1973 in the amount of $68,619.52 and the sale price of the real property in the amount of $34,751.11; and WHEREAS, said check was deposited in the Library Sale Fund; and RESOLUTION NO. 75 -222 WHEREAS, the proceeds of the real property in the amount of $34,750.00 were disbursed to the General Fund in the amount of $5,387.56 (to reimburse the General Fund for special assessments on the property paid by the Fund) and the balance of $29,362.44 to the Park Bond Redemption Fund (because the property was purchased with Park bond monies); and WHEREAS, as of November 3, 1975, there is cash on hand in the amount of $153,701.72 in the Library Sale Fund; and WHEREAS, on November 3, 1975, there remains library bonded indebtedness in the amount of $100,000.00 outstanding; and WHEREAS, Section 7.11 of the City Charter does provide the City Council with full authority by resolution to make permanent transfers between all funds which may be created, provided that such transfers are not inconsistent with the provisions of relevant covenants, the provisions of the City Charter, or State Statute: BE IT THEREFORE RESOLVED by the City Council of the City of Brooklyn Center, Minnesota, that the sum of $109,660 be transferred from the Library Sale Fund to the Library Bond Redemption Fund to provide the balance of funds necessary to guarantee the payment of all outstanding bond principal balances, all future coupon payments, and all future paying agent charges attributable to the Library Bond Redemption Fund; and BE IT FURTHER RESOLVED that the balance of $44,042, remaining in the Library Sale Fund after the transfer for debt redemption, be transferred to the Capital Projects Fund to be used for capital expenditures in accordance with rules and regulations established by the Council for the Capital Projects Fund; and BE IT FURTHER RESOLVED that it is hereby determined that the levy of a direct ad valorem tax on all taxable property in the City previously made and certified in the amount of $98,400 collectable in the years 1977 through 1984 in connection with the financing of the construction of the public library is unneces- sary and that the Auditor of Hennepin County is hereby requested to cancel the said levies for the years 1977 through 1984 previously certified; and BE IT FURTHER RESOLVED that the City Clerk is hereby authorized and directed to transmit a certified copy of this resolution to said Hennepin County Auditor forthwith; and BE IT FURTHER RESOLVED that the Director of Finance be directed to close the books and records of the Library Sale Fund and be authorized to deposit any investment interest accrued to (but not yet paid to) the Library Sale Fund at the time of the closing of the fund, to the Capital Projects Fund when it is paid. RESOLUTION NO. 75-222 November 17, 1975 Date Mayor ATTEST:iL�'' Clerk The motion for the adoption of the foregoing resolution was duly seconded by member Tony Kuefler and upon vote being taken thereon, the following voted in favor thereof: Philip Cohen, Maurice Britts, Tony Kuefler, Bill Fignar, and Robert Jensen; and the following voted against the same: none, whereupon said resolution was declared duly passed and adopted.