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.