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G.O Bonds 2002 Main St. ProjectMEMORANDUM March 13, 2002 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Procedure to Complete Action of Issuance of $1,000,000 General Obligation Bonds, Series 2002 To Support Main Street Project Administrative Services Manager Pauline Joyce is recommending adoption of a resolution appointing Wells Fargo Bank Iowa, National Association as the Registrar and Paying Agent for the $1,000,000 General Obligation Bonds, Series 2002 to support Main Street Project and adoption of a resolution authorizing the issuance of the Bonds and incorporating by reference the form of the Tax Exemption Certificate and continuing Disclosure Certificate. This resolution must be adopted by an affirmative vote equal to a majority of the full Council membership. This is the final City Council action required on the bond issuance. I concur with the recommendation and respectfully request Mayor and City Council approval. MCVM/jh Attachment cc: Barry Lindahl, Corporation Counsel Cindy Steinhauser, Assistant City Manager Pauline Joyce, Administrative Services Manager Ken TeKippe, Finance Director AHLERS, COONEY, DORWEILER, HAYNIE, SMITH & ALLBEE, P.C. ATTORNEYS AT LAW 100 COURT AVENUE, SUITE 600 DES MOINES, IOWA 50309-2231 http://www.ahlerslaw.com TEI.EPHONE 515-243-7611 TELECOPIER 515-243-2149 February 26, 2002 By UPS Ms. Pauline Joyce Administrative Services Manager City of Dubuque 50 W. 13th Street Dubuque, Iowa 52001 RE: $1,000,000 General Obligation Bonds, Series 2002B Dear Ms. Joyce: Enclosed are documents to complete Council action in connection with the authorization for the issuance of the above Bonds. The Council procedure consists of the following: Resolution Appointing Registrar and Paving Agent. This resolution appoints Wells Fargo Bank Iowa, National Association to serve as Registrar. The appropriate agreement has been forwarded to Wells Fargo Bank Iowa, National Association for execution, and will be sent to you directly for signature. Resolution authorizing the issuance of the Bonds. The resolution also incorporates by reference the form of the Tax Exemption Certificate and Continuing Disclosure Certificate. There are blank spaces appearing in the form of Bond set out in the resolution. These need not be completed but may be left blank as a guide since different amounts, dates and percents will be inserted within the blank spaces. February 26, 2002 Page 2 The resolution must be adopted by an affirmative vote equal to a majority of the full Council membership. Tax Exemption Certificate. The Tax Exemption Certificate sets out in detail a number of facts, promises and obligations which must be met and agreed to by the City in order to maintain these Bonds as tax exempt. This Certificate contains some blank spaces relating to matters of information dependent upon the resale price of the Bonds which are not known and available at this time. The information will be calculated and added to this certificate prior to closing and completed copies of pages with blank spaces will be provided to you. This certificate should be SIGNED BUT NOT DATED. Please return the "Complete and Return" copy and Purchaser's copy to our office prior to closing. Continuing Disclosure Certificate. The form of Continuing Disclosure Certificate, which is described in detail below, is included for approval by the Council under the Resolution authorizing issuance. This Certificate also should be signed by the Mayor and the Clerk but not dated. Please return the "Complete and Return" copy and Purchaser's copy to us prior to closing. B. Closing Certificates and Documents: Original Bond Nos. 1-19, inclusive. The Bonds are enclosed to be executed by the Mayor and the Clerk in the spaces provided and impressed with the City's seal. The Registrar also needs to sign the same. Tags are attached to Bond No. 1 showing where signatures and seals should appear on all Bonds. Please have the executed Bonds returned to us as soon as possible so that they can be delivered to the Registrar for authentication and forwarded to DTC prior to closing. Delivery Certificate. Please note that the Delivery Certificate requires a local bank official's signature on the last page. This certificate also should be signed, BUT NOT DATED. Please return the "Complete and Return" copy and Purchaser's copy to my attention prior to closing. February 26, 2002 Page 3 Transcript Certificate. This certificate is to be executed and sealed in the manner indicated on the second page and may be dated at the time of completion. Please return the "Complete and Return" copy to us prior to closing. Authentication Order. Please execute and date all copies and return the "Complete and Return" copy and Registrar's copy to my attention prior to closing. County Auditor's Certificate. A true copy of the authorizing resolution as adopted is to be certified and filed with the Auditor of Dubuque County. The Auditor is asked to certify to such filing on the lower portion of the certificate. Please return the "Complete and Return" copy to my attention prior to closing. Form 8038-G -- Information Return for Tax Exempt Governmental Oblieations. Please sign, but do not date, and return the form to us prior to closing. Tax Exemption The Tax Exemption Certificate is an important document and contains important information concerning the calculated yield on the Bonds and a number of covenants and obligations on the part of the City. This certificate should be retained as a part of the City's permanent records. I will not attempt to summarize all of the matters which are included in this certificate but I do want to point out some important ones. Tax exemption is based in part upon the fact that the use of the facilities to be acquired by the City with the proceeds will be for the benefit of the public and will not be used in the private trade or business of any business or non-tax-exempt entity. The properties acquired with the Bond proceeds must not be sold or diverted to any private or nonpublic use unless the significance of that action is reviewed by bond counsel. In addition, the Tax Exemption Certificate sets forth the best knowledge and belief which you have as of today concerning the timely expenditure of the proceeds as the City reasonably expects expenditures to occur. If for any reason the City finds it will be prevented from expending the Bond proceeds fully within three years, that matter should be referred to us. February 26, 2002 Page 4 These Bonds are also issued under the expectation that the City will be exempt from the requirement to rebate arbitrage earnings to the United States Government since you intend to spend the proceeds of the Bonds for construction purposes within two (2) years of issuance and meet the other requirements of the two-year expenditure exemption from the rebate provisions. Also, these Bonds are designated as qualified tax-exempt obligations, making them desirable for certain banks as investments and making possible a more favorable interest rate. For this designation to be proper, it is necessary that the City reasonably expects to issue $10,000,000 or less of bonds or other obligations in the course of this calendar year. If that mount should be exceeded, it would be necessary to review the situation immediately. There are a number of other general promises and commitments by the City to take or refrain from action, which are necessary to maintain the tax exemption of these Bonds. You should recognize that these promises and commitments are required of the City on an ongoing basis and that the possibility of some additional future action does exist. Continuing Disclosure Certificate Effective July 3, 1995, the Securities and Exchange Commission approved amendments to SEC Rule 15c2-12, generally prohibiting the underwriting and recommendation to the public of municipal securities for which adequate secondary market information is not available. The new rules apply generally to any municipal offering over $1,000,000. The City therefore has an obligation to provide continuing disclosure to the marketplace while the Bonds are outstanding. The applicable covenants and duties of the City are outlined in the Continuing Disclosure Certificate. The Continuing Disclosure Cm'tificate requires the City to provide annual financial information and operating data to certain information repositories so long as the Bonds are outstanding, and also to provide notice to those repositories if certain material events occur which could impact the ability to pay principal and interest on the Bonds. The information to be provided annually is for the most part the same sort of data which is included in the Official Statement. The eleven (11) material events which must be reported are detailed in the certificate, but other events which would be of concern to the rating agencies or bondholders also should be considered for disclosure under the anti- fraud provisions of the federal securities laws. February 26, 2002 Page 5 These disclosure requirements are ongoing and it will be important to designate an appropriate contact person who will have a primary responsibility for preparing and coordinating the filing of the annual financial information, operating data and any event notices. The penalties for violation of the rule fall ultimately on the issuer of the bonds, because underwriters may be precluded from agreeing to underwrite or bid on bonds of issuers who have not complied with their disclosure obligations. Failure to comply therefore may result in fewer bids and ultimately no bids or the inability to secure an underwriter for an issue. Closing Matters. As you know, closing of this issue is scheduled to occur on or about March 19, 2002. At the time of closing, the "Purchaser's" copies of the above items and the original Bonds will be delivered to the Purchaser of the Bonds in exchange for the agreed purchase price. Our legal opinion also will be delivered to the Purchaser at that time. Should you have any questions, or if we can be of any assistance in completing the enclosed items, please don't hesitate to contact me. Yours very truly, William J. Noth FOR THE FIRM WJN:dc encl. cc: Ken TeKippe Dave Dirks DCORNELL~312813\1 \10422058 (This Notice to be posted) NOTICE AND CALL OF PUBLIC MEETING Govemmental Body: Date of Meeting: Time of Meeting: Place of Meeting: The City Council of Dubuque, Iowa. March 18 ., 2002. 6:30 o'clock P .M. Auditorium, Carnegie-Stout Public Library, Dubuque, Iowa. PUBLIC NOTICE IS HEREBY GIVEN that the above mentioned governmental body will meet at the date, time and place above set out. The tentative agenda for said meeting is as follows: $1,000,000 General Obligation Bonds, Series 2002B Resolution Appointing Paying Agent, Bond Registrar, and Transfer Agent, Approving the Paying Agent and Bond Registrar and Transfer Agent Agreement and Authorizing the Execution of the Agreement. Such additional matters as are set forth on the additional 11 page(s) attached hereto. (number) This notice is given at the direction of the Mayor pursuant to Chapter 21, Code of Iowa, and the local rules of said governmental body. ~C'ity Clerk, DubUque, Iowa March 18 ,2002 The City Council of Dubuque, Iowa, met in Regul ar session, in the Auditorium, Carnegie-Stout Public Library, Dubuque, Iowa, at 6.-30 o'clock P.M., on the above date. There were present Mayor lerrance M. Duggan ~ in the chair, and the following named Council Members: Roy Buol, Patricia Cline, Joyce Connors, Ann Michalski, Dan Nicholson 'Absent: John Markham -1- Council Member Buol introduced the following resolution entitled "RESOLUTION APPOINTING WELLS FARGO BANK IOWA, NATIONAL ASSOCIATION OF DES MOINES, IOWA, TO SERVE AS PAYING AGENT, BOND REGISTRAR, AND TRANSFER AGENT, APPROVING THE PAYING AGENT AND BOND REGISTRAR AND TRANSFER AGENT AGREEMENT AND AUTHORIZING THE EXECUTION OF THE AGREEMENT", and moved that the resolution be adopted. Council Member Nieholson seconded the motion to adopt. The roll was called and the vote was, AYES: Buol, Cline, Connors, Duggan, Michalski, Nicholson NAYS: None Whereupon, the Mayor declared the resolution duly adopted as follows: RESOLUTION NO. 159-02 RESOLUTION APPOINTING WELLS FARGO BANK IOWA, NATIONAL ASSOCIATION OF DES MOINES, IOWA, TO SERVE AS PAYING AGENT, BOND REGISTRAR, AND TRANSFER AGENT, APPROVING THE PAYING AGENT AND BOND REGISTRAR AND TRANSFER AGENT AGREEMENT AND AUTHORIZING THE EXECUTION OF THE AGREEMENT WHEREAS, pursuant to the provisions of Chapter 75 of the Code of Iowa, $1,000,000 General Obligation Bonds, Series 2002B, dated March 1, 2002, have been sold at public sale and action should now be taken to provide for the maintenance of records, registration of certificates and payment of principal and interest in connection with the issuance of the Bonds; and WHEREAS, this Council has deemed that the services offered by Wells Fargo Bank Iowa, National Association of Des Moines, Iowa, are necessary for compliance with rules, regulations, and requirements governing the registration, transfer and payment of registered Bonds; and -2- WHEREAS, a Paying Agent, Bond Registrar and Transfer Agent Agreement (hereafter "Agreement") h~ts been prepared to be entered into between the City and Wells Fargo Bank Iowa, National Association. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF DUBUQUE, IOWA: Section 1. That Wells Fargo Bank Iowa, National Association of Des Moines, Iowa, is hereby appointed to serve as Paying Agent, Bond Registrar and Transfer Agent in connection with the issuance of $1,000,000 General Obligation Bonds, Series 2002B, dated March 1, 2002. Section 2. That the Agreement with Wells Fargo Bank Iowa, National Association of Des Moines, Iowa, is hereby approved and that the Mayor and Clerk are authorized to sign the Agreement on behalf of the City. PASSED AND APPROVED this 18th day of March ,2002. Terrance M. Duggan, Mayor ATTEST: Jeanne F. Schneider, City Clerk CIG-3 9/91 CERTIFICATE STATE OF IOWA COUNTY OF DUBUQUE ) ) ss ) I, the undersigned City Clerk of Dubuque, Iowa, do hereby certify that attached is a true and complete copy of the portion of the corporate records of said Municipality showing proceedings of the Council, and the same is a tree and complete copy of the action taken by said coUncil with respect to said matter at the meeting held on the date indicated in the attachment, which proceedings remain in full force and effect, and have not been amended or rescinded in any way; that meeting and all action thereat was duly and publicly held in accordance with a notice of meeting and tentative agenda, a copy of which was timely served on each member of the CoUncil and posted on a bulletin board or other prominent place easily accessible to the public and clearly designated for that purpose at the principal office of the CoUncil (a copy of the face sheet of said agenda being attached hereto) pursuant to the local rules of the CoUncil and the provisions of Chapter 21, Code of Iowa, upon reasonable advance notice to the public and media at least twenty-four hours prior to the commencement of the meeting as required by said law and with members of the public present in attendance; I further certify that the individuals named therein were on the date thereof duly and lawfully possessed of their respective city offices as indicated therein, that no Council vacancy existed except as may be stated in said proceedings, and that no controversy or litigation is pending, prayed or threatened involving the incorporation, organization, existence or boundaries of the City or the right of the individuals named therein as officers to their respective positions. WITNESS my hand and the seal of said Municipality hereto affixed this 18th day of lqarch ,2002. Clerk, Dubuque, IOwa SEAL DCORNELLX312822\1 \ 10422058 -4- (This Notice to be posted) NOTICE AND CALL OF PUBLIC MEETING Governmental Body: Date of Meeting: Time of Meeting: Place of Meeting: The City Council of Dubuque, Iowa. March 18 ,2002. 6:30 o'clock P.M. Auditorium, Carnegie-Stout Public Library, Dubuque, Iowa. PUBLIC NOTICE IS HEREBY GIVEN that the above mentioned governmental body will meet at the date, time and place above set out. The tentative agenda for said meeting is as follows: $1,000,000 General Obligation Bonds, Series 2002B Approval of Tax Exemption Certificate. Approval of Continuing Disclosure Certificate. Resolution authorizing the issuance. Such additional matters as are set forth on the additional ~l. ff//page(s) attached hereto. (number) This notice is given at the direction of the Mayor pursuant to Chapter 21, Code of Iowa, and the local roles of said governmental body. Clerk, Dubuque, Iowa CITY OF DUBUQUE, IOWA CITY COUNCIL MEETING MONDAY, MARCH 18, 2002 6:30 P.M. LIBRARY AUDITORIUM INVOCATION Dr. Alan Crandall, Campus Chaplain, University of Dubuque CONSENT ITEMS (See Pages 6-11) The consent agenda items are considered to be routine and non-controversial and all consent items will be normally voted upon in a single motion without any separate discussion on a particular item. If you would like to discuss one of the Consent Items, please go to the microphone and be recognized by the Mayor and state the item you would like removed from the Consent Agenda for separate discussion and consideration. BOARDS/COMMISSIONS Appointments to the following Commission: Community Development Advisory Commission: Three vacancies - Census Tract 2; Census Tract 5 (term of Dan Shireman); At-Large (term of Walter Pregler) Applicants: Census Tract 5 - Dan Shireman; At-Large - Walter Pregler PUBLIC HEARINGS SUSPEND THE RULES Rezoning Request of Dennis and Lori Ansel (Tabled on 2~4~02) Proof of publication on notice of hearing to consider rezoning property located at 2001 Rockdale Road from R-1 Single Family residential District and C-2 Neighborhood Commercial District to CS Commercial Service and Wholesale District and Zoning Advisory Commission recommending denial of the rezoning. ORDINANCE Amending Appendix A (the Zoning Ordinance) of the City of Dubuque Code of Ordinances by reclassifying hereinafter described property located at 2001 Rockdale Road from R-1 Single Family Distdct and C-1 Neighborhood Commemial District to CS Commercial Service and Wholesale District Suggested Disposition: Remove from Table; Receive and File; Concurwith Denial; or Motion B; Motion A .. Rezoning Request of Greater Dubuque Development Corporation/Kirchoff Realty Proof of publication on notice of hearing to consider amending the PUD Planned Unit Development with a PI Planned Industrial designation to allow primary signs to identify products or services, and to permit a maximum of five primary signs per lot or premises in the Dubuque Industrial Center as requested by the Greater Dubuque Development Corporation/Kimhoff Family Realty and Zoning Advisory Commission recommending approval. ORDINANCE Amending Appendix A (The Zoning Ordinance) of the City of Dubuque Code of Ordinances by repealing Sections E(4)(C)(1) and E(4)(C)(2) of Ordinance 69- 98 and enacting new Sections E(4)(C)(1) and E(4)(C)(2) in lieu thereof pertaining to on- premise primary signage of the PI Planned Industrial District for Dubuque Industrial Center Suggested Disposition: Receive and File; Motion B; Motion A Text Amendment - City of Dubuque Proof of publication on notice of hearing to consider amending the Zoning Ordinance to allow off-street parking lots for churches and schools as a conditional use as requested by the City of Dubuque and the Zoning Advisory Commission recommending approval. ORDINANCE Amending Appendix A (the Zoning Ordinance) of the City of Dubuque Code of Ordinances by amending Section 3-1.1(D)(3), 3-1.2(D)(4) and 3-1.3(D)(5) Conditional Uses for the R-1 Single-Family Residential District, R-2 Two-Family Residential District and the R-2A Alternate Two-Family Residential District to allow off- street parking lots for adjacent schools and churches as a conditional use Suggested Disposition: Receive and File; Motion B; Motion A Napier Street Storm and Sanitary Sewer Reconstruction Project Proofs of publication on notice of hearing on plans and specifications, and notice to bidders on the receipt of bids, and City Manager recommending award of the Napier Street Storm and Sanitary Sewer Reconstruction Project to Fondell Excavating in the amount of $97,862.80. RESOLUTION Adopting plans and specifications for the project RESOLUTION Awarding contract to Fondell Excavating Suggested Disposition: Receive and File; Adopt Resolutions Burlington Northern Depot Restoration Project Proofs of publication on notice of hearing on plans and specifications, and notice to bidders on the receipt of bids, and City Manager recommending award of selected construction contracts and the rejection of others for the Burlington Northern Depot Restoration Project. RESOLUTION Adopting plans and specifications for the project RESOLUTION Awarding contracts RESOLUTION Rejecting bids Suggested Disposition: Receive and File; Adopt Resolutions 2 REINSTATE THE RULES ACTIONITEMS Eagle Point No. 2 - Final Plat (Tabled at 2/18/02 Meeting) Communication from the City Manager requesting that this item be tabled to the April 1, 2002 City Council meeting. Zoning Advisory Commission recommending approval of the final plat of Eagle Point No. 2 Subdivision at the end of Rhomberg Avenue in the City of Dubuque and Dubuque County as requested by the City of Dubuque. Communication from Brian J. Kane, representing Clint V. Johnson, requesting the City Council approve Mr. Johnson's purchase of real estate owned by the City of Dubuque that is adjacent to his property. RESOLUTION Approving the final plat of Eagle Point No. 2 in the City of Dubuque, Iowa Suggested Disposition: Table to 4/1/02 Arbor Estates - Final Plat City Manager recommending approval of the final plat for the first phase of Arbor Estates in the City of Dubuque, Iowa as submitted by Kivlahan Farms, L.C. RESOLUTION Approving the final plat of Lots 1 thru 8, inclusive, and Lot A of Block 1, Block 2, Block 3, Lots 1 thru 13, inclusive, of Block 4, Lots 1 thru 11, inclusive, of Block 5, Lots 11 and 12 of Block 6, Lots 1 and 2 of Block 7, and Lots Athru G, inclusive, all of Arbor Estates, in the City of Dubuque, Iowa Suggested Disposition: Receive and File; Adopt Resolution Harvest Business Center- Final Plat City Manager recommending approval of the final plat of Harvest Business Center located immediately east of Resurrection Church and which is the commercial portion of the Harvest View Estates Subdivision. RESOLUTION Approving the final plat of Harvest Business Center in the City of Dubuque, Iowa Suggested Disposition: Receive and File; Adopt Resolution Streetscape and Landscape Design Guidelines Histodc Preservation Commission recommending approval of the Streetscape and Landscape Design Guidelines for the City's historic districts. Suggested Disposition: Receive and File; Approve 3 w Update of Heritage Trail Extension Project City Manager recommending approval of the plans for the Heritage Trail Extension Project and bidding of the project by the Iowa Department of Transportation. Suggested Disposition: Receive and File; Approve Southwest Arterial Building Permit Moratorium City Manager recommending extension of the Building Permit Moratorium, which expired on February 19, 2002, for the IA32-Southwest Arterial Corridor at the U.S. 20/Seippel Road interchange until April 1,2003 to allow continued work on the Environmental Assessment Study. ORDINANCE Amending Chapter 11 (Buildings and Building Regulations) of the City of Dubuque Code of Ordinances by amending Section 11-58.3 of the City of Dubuque Code of Ordinances by establishing a twelve month moratorium on the issuance of permits for work in the Southwest Arterial Corridor. Suggested Disposition: Receive and File; Motion B; Motion A Extension of Highway 20 Building Permit Moratorium City Manager recommending approval of an Iowa Department of Transportation request to extend the building permit moratorium on Highway 20 until May 1,2003 from Bluff Street east to the city limits in connection with the U.S. Mississippi River Crossing Study. ORDINANCE Amending Chapter 11 (Buildings and Building Regulations) of the City of Dubuque Code of Ordinances by amending Section 11-58.1 of the City of Dubuque Code of Ordinances by establishing a twelve month moratorium on the issuance of permits for work in the U.S. Highway 20 Corridor. Suggested Disposition: Receive and File; Motion B; Motion A Amendment to the Code of Ordinances - Offenses and Miscellaneous Provisions City Manager recommending the addition of two sections to the City of Dubuque Code of Ordinances which would allow for a person suffering from intoxication from substances other than alcohol to be held responsible for their actions as well as add protections for the general public. ORDINANCE Amending the City of Dubuque Code of Ordinances by adding a new Section 33-83 Prohibiting Being Under the Influence of a Controlled Substance in a Public Place and adding a new Section 33-84 Prohibiting Sniffing Glue or other Chemical Substances Suggested Disposition: Receive and File; Motion B; Motion A 4 10. Amendment to the Code to Ordinances - Alcoholic Beverages City Manager recommending adoption of an amendment to the City of Dubuque Code of Ordinances to prohibit underage persons from remaining after 9:00 p.m. in those establishments where more than thirty-five pement of the business conducted on such premises is the sale or dispensing of liquor, wine or beer, except under the conditions of Subsection 5-7.2(b). ORDINANCE Amending the City of Dubuque Code of Ordinances Section 5-7.2(a) underage persons prohibited from premises where alcoholic liquor is sold or dispensed Suggested Disposition: Receive and File; Motion B; Motion A Vehicle Impoundment Ordinance City Manager recommending modifications to the existing Vehicle Impoundment Ordinance to provide the authority to impound vehicles from private lots, with the property owner's consent, and eliminating the twelve month time limitation for the collection of unpaid fines. ORDINANCE Amending the City of Dubuque Code of Ordinances Section 32-411 removal and impoundment of vehicles by permitting the towing of vehicles on private property with the property owner's consent. Suggested Disposition: Receive and File; Motion B; Motion A COUNCIL MEMBER REPORTS ITEMS TO BE SET FOR PUBLIC HEARING Carmel Drive - Request to Vacate City Manager recommending that a public hearing be set for April 1,2002 to consider a request from the Sisters of Charity of the Blessed Virgin Mary that the City vacate a portion of Carmel Drive abutting their property. RESOLUTION Approving plat of proposed vacated portion of Carmel Drive ORDINANCE Vacating a portion of Carmel Drive RESOLUTION of Intent to dispose of City interest in Lot 5A of Carmel Heights, Dubuque, Iowa Suggested Disposition: Receive and File; Adopt Resolution; Motion B; Motion A; Public Hearing 4/1/02 5 Operations and Maintenance Center Roof Repair Project - Initiate City Manager recommending initiation of the bidding Process for the Operations and Maintenance Center Roof Repair Project and setting a public hearing for April 15, 2002. RESOLUTION Preliminary approval of plans and specifications RESOLUTION Fixing date of hearing on plans and specifications RESOLUTION Ordering bids Suggested Disposition: Receive and File; Adopt Resolutions; Public Hearing 4/15/02 Tanzanite Drive Paving - Initiate City Manager recommending initiation of the bidding process for the Tanzanite Drive Paving Project and setting a public hearing for April 15, 2002. RESOLUTION Preliminary approval of plans and specifications RESOLUTION Fixing date of hearing on plans and specifications RESOLUTION Ordering bids Suggested Disposition: Receive and File; Adopt Resolutions; PUblic Hearing 4/15/02 CONSENTITEMS Minutes Submitted Airport Commission of 2/25; Building Code Board of Appeal of 2/28; Citizens with Disabilities Parking Review Committee of 1/22; City Conference Board of 2/11 and 3/4; City Council of 2/27 and 3/4; Civil Service of 2/8; Electrical Code Board of 2/27; Environmental Stewardship Advisory Commission of 3/5; Five Flags Commission of 1/14; Governing Board of the Municipal Housing Agency of 3/5; Historic Preservation Commission of 2/11 and 2/21; Housing Commission of 2/28; Housing Commission Trust Fund Committee of 2/22; Human Rights Commission of 2/11 and 2/21; Long Range Planning Advisory Commission of 2/20; Mechanical Board of 3/5; Zoning Advisory Commission of 3/6; Zoning Board of Adjustment of 2/28 Proofs of publication of City Council Proceedings for 2/20, 2/21, 2/25 and 2/27; and List of Claims and Summary of Revenues for Month Ending January 31, 2002 Finance Director submitting the Financial Reports for the month ending February 28, 2002 Suggested Disposition: Receive and File 6 = = = Notice of Claims/Suits Cindy Frommelt in estimated amount of $241.72 for vehicle damage; Fannie Stout House in estimated amount of $350 for property damage; Lynn E. Lampe in estimated amount of $862.89 for vehicle damage; Marry and Linda Maas in estimated amount of $3,243.50 for vehicle damage; Kenneth and Maria Meyer in estimated amount of $2,460.20 for property damage; Gus Psihoyos in estimated amount of $597.68 for vehicle damage; Joan Reinholt in undetermined amount for personal injury; Jeanne Schneider in estimated amount of $1,363.82 for vehicle damage Suggested Disposition: Receive and File; Refer to Legal for Investigation/Report Corporation Counsel advising that the following claims have been referred to Public Entity Risk Services of Iowa, the agent for the iowa Communities Assurance Pool: Allied Insurance (for Marty Maas) for vehicle damage; Lynn E. Lampe for vehicle damage; Mada and Kenneth Meyer for property damage; Gus Psihoyos for vehicle damage; Joan Reinholt for personal injury; Jeanne Schneider for vehicle damage; James VanVors for personal injury; and Jennifer Ziegler for personal injury. Corporation Counsel recommending denial of the claims of Deborah S. DeVenuta for vehicle damage, Jorja's Restaurant for property damage, and Christine Kuhle for vehicle damage. Corporation Counsel recommending settlement of the claim of Lois Wubben in the amount of $88.38 for vehicle damage and directing the Finance Director to issue the appropriate payment. Suggested Disposition: Receive and File; Concur; Finance Director to Issue Payment Iowa Department of Transportation Communication from Mark F~ Wandro, Director of the Iowa Department of Transportation, acknowledging receipt of Mayor Duggan's letter regarding Iowa 32. Communication from Donna Smith, Chair of the Dubuque County Board of Supervisors, to Mark Wandro, Iowa Department of Transportation regarding the future of IA32 (Southwest Arterial). Suggested Disposition: Receive and File Legislative Correspondence Communication of City Manager Michael C. Van Milligen to area legislators regarding the recent State budget proposal which eliminates funding for aviation and the programs that have been administered by the Iowa DOT Office of Aviation and the negative impact it would have on the City of Dubuque. Communication of City Manager Michael C. Van Milligen to area legislators urging them to resist any efforts to further erode the use of Tax Increment Financing in the State of Iowa (Senate File 2284). 7 Communication of City Manager Michael C. Van Milligen to area legislators urging them to support a comprehensive property tax study bill (Senate File 2284). Communication of City Manager Michael C. Van Milligen to area legislators requesting their support of an appropriation for the Brownfield Redevelopment Fund. Communication of City Manager Michael C. Van Milligen to area legislators requesting that they not support the Construction Management Bill (Senate File 2292) as it will severely hinder cities undertaking public improvements. Communication of City Manager Michael C. Van Milligen to area legislators regarding Chapter 411 of the Municipal Fire and Police Retirement System to Iowa. Suggested Disposition: Receive and File Hillcrest Family Services Continuum of Care Project - Notice of No Significant Impact City Manager recommending approval of a combined notice of no significant impact on the environment and notice of intent to request release of funds for the Hillcrest Family Services Continuum of Care Project. RESOLUTION Authorizing publication of a Combined Notice of Finding of No Significant Impact on the Environment and Notice of Intent to Request Release of Funds for the Hillcrest Family Services Continuum of Care Project Suggested Disposition: Receive and File; Adopt Resolution A.H. Oeth Subdivision No. 5 - Plat of Survey Zoning Advisory Commission recommending approval of the Plat of Survey of Lots 1,2 and 3 of A.H. Oeth Subdivision No. 5. RESOLUTION Approving the Plat of Survey of Lots 1,2 and 3 of A.H. Oeth Subdivision No. 5 in the City of Dubuque, iowa Suggested Disposition: Receive and File; Adopt Resolution Final Plat for Davis Place II Zoning Advisory Commission recommending approval of the minor final plat for Davis Place II to facilitate construction of a 19-unit morning and boarding house on Lot 2 (511 - 515 Garfield Avenue). RESOLUTION Approving the Final Plat of Davis Place II in the City of Dubuque, Iowa Suggested Disposition: Receive and File; Adopt Resolution 8 10. 11. 12. Land and Water Conservation Fund Grant Application for Harvest View Estates Park City Manager recommending approval of the submission of a Land and Water Conservation Fund Grant Application for Harvest View Estates Park. RESOLUTION on Acquisition or development for outdoor recreation Suggested Disposition: Receive and File; Adopt Resolution Collective Bargaining Agreement with the Amalgamated Transit Union City Manager recommending approval of a one year agreement between the City of Dubuque and the Amalgamated Transit Union, Local #329. RESOLUTION Approving the agreement between the City of Dubuque, Iowa, and the Amalgamated Transit Union, Local #329 and authorizing the Mayor to sign the agreement Suggested Disposition: Receive and File; Adopt Resolution Corps of Engineers Construction Permit City Manager recommending approval to execute a Corps of Engineers construction permit to allow the Peavey Company to construct a dver terminal dock facility in the Peosta Channel. RESOLUTION Authorizing execution of the Corps of Engineers permit for construction of a river terminal dock facility in the Peosta Channel Suggested Disposition: Receive and File; Adopt Resolution Center Grove Storm Sewer Reconstruction Project - Acceptance City Manager recommending acceptance of the Center Grove Storm Sewer Reconstruction Project as completed by Horsfield Construction in the final contract amount of $88,664.25. RESOLUTION Accepting improvement RESOLUTION Approving final estimate Suggested Disposition: Receive and File; Adopt Resolutions Jackson Street Relief Storm Sewer Construction Project - Acceptance City Manager recommending acceptance of the Jackson Street Relief Storm Sewer Construction Project as completed by Portzen Construction in the final contract amount of $288,472.48. RESOLUTION Accepting improvement RESOLUTION Approving final estimate Suggested Disposition: Receive and File; Adopt Resolutions 9 13. 14. 15. 16. 17. Northwest Arterial Basin Modifications Project (Phase I) - Acceptance City Manager recommending acceptance of the Northwest Arterial Basin Modification Project (Phase I), as completed by Horsfield Construction in the final contract amount of $175,573.79. RESOLUTION Accepting improvement RESOLUTION Approving final estimate Suggested Disposition: Receive and File; Adopt Resolutions Economic Development Administration Grant Application City Manager recommending approval of a pro-application to the Economic Development Administration for a $2 million grant for acquisition of the Adams Company property. RESOLUTION Authorizing the filing of a pro-application to the Economic Development Administration Suggested Disposition: Receive and File; Adopt Resolution Cottingham and Butler Insurance Services, Inc. - Enterprise Zone Agreement City Manager recommending approval of an Enterprise Zone Agreement between the Iowa Department of Economic Development, City of Dubuque, and Cottingham and Butler Insurance Services, Inc., related to the rehabilitation of the Town Clock Building at 835 Main Street. RESOLUTION Approving an Enterprise Zone Agreement by and among the Iowa Department of Economic Development, the City of Dubuque, and Cottingham and Butler Insurance Service, Inc. Suggested Disposition: Receive and File; Adopt Resolution Civil Service Commission Civil Service Commission submitting the certified list for the position of Engineering Assistant I. Suggested Disposition: Receive and File; Make a Matter of Record Urban Deer Management Program Copy of a media release providing a report on the 2001 - 2002 Urban Deer Management Program. Suggested Disposition: Receive and File 10 18. General Obligation Bonds to Support Main Street Project City Manager recommending the issuance of $1,000,000 General Obligation Bonds, Series 2002B in support of the Main Street construction project. RESOLUTION Appointing Wells Fargo Bank Iowa, National Association of Des Moines, Iowa, to serve as Paying Agent, Bond Registrar, and Transfer Agent, approving the Paying Agent and Bond Registrar and Transfer Agent Agreement and authorizing the execution of the Agreement RESOLUTION Authorizing and providing for the issuance of $1,000,000 General Obligation Bonds, Series 2002B, and levying a tax to pay said bonds Suggested Disposition: Receive and File; Adopt Resolutions 19. Business Licenses RESOLUTION Granting issuance of a Class "C" Beer Permit to Arby's Q Mart RESOLUTION Granting issuance of a Class "C" Beer/Liquor License to Windmills, Neighbor's Tap, Bunker Hill Golf Course, Eagles Club #568, and Dubuque Grayhound Park Suggested Disposition: Adopt Resolutions PUBLIC INPUT At this time, anyone in the Council Chambers may address the Council on matters which are of concern to that person and which are not an agenda item. Please take your place at the microphone and state your name and address clearly. Proceed with your comments; however, no formal action may be taken at this time on your comments because of the notice requirements of the Iowa Open Meetings Law. CLOSED SESSION Property Acquisition - Chapter 21.5(1 )(j) 2001 Code of Iowa Jeanne F. Schneider March 14, 2002 11 March 18, 2002 ,2002 The City Council of Dubuque, Iowa, met in Regular session, in the Auditorium, Carnegie-Stout Public Library, Dubuque, Iowa, at 6:30 o'clock P.M., on the above date. There were present Mayor lorranco [~. Dugan , in the chair, and the following named Council Members: Roy Buol, Patricia Cline, Joyce Connors, Ann Michalski, Dan Nicholson Absent: John Markham -1- Council Member Buol moved that the form of Tax Exemption Certificate be placed on file and approved. Council Member Nichol son seconded the motion. The roll was called and the vote was~ AYES: Buol, Cline, Connors, Duggan, Michalski, Nicholson NAYS: None Council Member Buol moved that the form of Continuing Disclosure Certificate be placed on file and approved. Council Member Nicholson seconded the motion. The roll was called and the vote was~ AYES: Buol, Cline, Connors, Duggan, Michaksi, Nicholson NAYS: None Council Member Buol introduced the following Resolution entitled "RESOLUTION AUTHORIZING AND PROVIDING FOR THE ISSUANCE OF $1,000,000 GENERAL OBLIGATION BONDS, SERIES 2002B, AND LEVYING A TAX TO PAY SAID BONDS" and moved that it be adopted. Council Member Ni chol son seconded the motion to adopt, and the roll being called thereon, the vote was as follows: -2- AYES: Buol, Cline, Connors, Duggan, Michalski, Nicholson NAYS: None Whereupon, the Mayor declared said Resolution duly adopted as follows: RESOLUTION No. 160-02 RESOLUTION AUTHORIZING AND PROVIDING FOR THE ISSUANCE OF $1,000,000 GENERAL OBLIGATION BONDS, SERIES 2002B, AND LEVYING A TAX TO PAY SAID BONDS WHEREAS, the Issuer is duly incorporated, organized and exists under and by virtue of the laws and Constitution of the State of Iowa; and WHEREAS, the Issuer is in need of funds to pay costs of construction and reconstruction of street, sidewalk, utility and streetscape improvements relating to the opening of Main Street from 5th to 9th Streets, an essential corporate purpose, and it is deemed necessary and advisable that General Obligation Bonds in the amount of $1,000,000 be issued for said purpose; and WHEREAS, pursuant to notice published as required by Section 384.25 of said Code, this Council has held a public meeting and hearing upon the proposal to institute proceedings for the issuance of said Bonds, and the Council is therefore now authorized to proceed with the issuance of said Bonds; and WHEREAS, pursuant to the provisions of Chapter 75 of the Code of Iowa, the above mentioned Bonds were heretofore sold at public sale and action should now be taken to issue said Bonds conforming to the terms and conditions of the best bid received at the advertised public sale: NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF DUBUQUE, IOWA: Section 1. Definitions. The following terms shall have the following meanings in this Resolution unless the text expressly or by necessary implication requires otherwise: -3- "Authorized Denominations" shall mean $5,000 or any integral multiple thereof. · "Beneficial Owner" shall mean the person in whose name such Bond is recorded as the beneficial owner ora Bond by a Participant on the records of such Participant or such person's subrogee. "Bonds" shall mean $1,000,000 General Obligation Bonds, Series 2002B, authorized to be issued by this Resolution. · "Cede & Co." shall mean Cede & Co., the nominee of DTC, and any successor nominee of DTC with respect to the Bonds. "Continuing Disclosure Certificate" shall mean that certain Continuing Disclosure Certificate executed by the Issuer and dated the date of issuance and delivery of the Bonds, as originally executed and as it may be amended from time to time in accordance with the terms thereof. "Depository Bonds" shall mean the Bonds as issued in the form of one global certificate for each maturity, registered in the Registration Books maintained by the Registrar in the name of DTC or its nominee. "DTC" shall mean The Depository Trust Company, New York, New York, a limited purpose trust company, or any successor book-entry securities depository appointed for the Bonds. "Issuer" and "City" shall mean the City of Dubuque, Iowa. "Participants" shall mean those broker-dealers, banks and other financial institutions for which DTC holds Bonds as securities depository. · "Paying Agent" shall mean Wells Fargo Bank Iowa, National Association, or such successor as may be approved by Issuer as provided herein and who shall carry out the duties prescribed herein as Issuer's agent to provide for the payment of principal of and interest on the Bonds as the same shall become due. · "Project Fund" shall mean the fund required to be established by this Resolution for the deposit of the proceeds of the Bonds. -4- "Rebate Fund" shall mean the fund so defined in and established pursuant to the Tax Exemption Certificate. · "Registrar" shall mean Wells Fargo Bank Iowa, National Association of Des Moines, Iowa, or such successor as may be approved by Issuer as provided herein and who shall carry out the duties prescribed herein with respect to maintaining a register of the owners of the Bonds. Unless otherwise specified, the Registrar shall also act as Transfer Agent for the Bonds. · "Representation Letter" shall mean the Blanket Issuer Letter of Representations executed and delivered by the Issuer to DTC. · "Tax Exemption Certificate" shall mean the Tax Exemption Certificate executed by the Treasurer and delivered at the time of issuance and delivery of the Bonds. "Treasurer" shall mean the City Treasurer or such other officer as shall succeed to the same duties and responsibilities with respect to the recording and payment of the Bonds issued hereunder. Section 2. Levy_ and Certification of Annual Tax; Other Funds to be Used. (a) Lew of Annual Tax. That for the purpose of providing funds to pay the principal and interest of the Bonds hereinafter authorized to be issued, there is hereby levied for each future year the following direct annual tax on all of the taxable property in Dubuque, Iowa, to-wit: AMOUNT FISCAL YEAR (JULY 1 TO JUNE 30) YEAR OF COLLECTION: $75,560 2002/2003 78,848 2003/2004 82,535 2004/2005 81,035 2005/2006 79,535 2006/2007 82,935 2007/2008 81,135 2008/2009 79,335 2009/2010 82,490 2010/2011 80,390 2011/2012 -5- 83,240 2012/2013 80,820 2013/2014 83,345 2014/2015 80,585 2015/2016 82,765 2016/2017 84,645 2017/2018 81,215 2018/2019 82,750 2019/2020 84,000 2020/2021 (NOTE: For example the levy to be made and certified against the taxable valuations of January 1, 2002, will be collected during the fiscal year commencing July 1, 2003). (b) Resolution to be Filed With County Auditor. A certified copy of this Resolution should be filed with the County Auditor of Dubuque County, Iowa, and said Auditor is hereby instructed in and for each of the years as provided, to levy and assess the tax hereby authorized in Section 2 of this Resolution, in like manner as other taxes are levied and assessed, and such taxes so levied in and for each of the years aforesaid be collected in like manner as other taxes of the City are collected, and when collected be used for the purpose of paying principal and interest on said Bonds issued in anticipation of said tax, and for no other purpose whatsoever. (c) Additional City Funds Available. Principal and interest coming due at any time when the proceeds of said tax on hand shall be insufficient to pay the same shall be promptly paid when due fi:om current funds of the City available for that purpose and reimbursement shall be made fi:om such special fund in the amounts thus advanced. Section 3. Bond Fund. Said tax shall be collected each year at the same time and in the same manner as, and in addition to, all other taxes in and for the City, and when collected they shall be converted into a special fund within the Debt Service Fund to be known as the "GENERAL OBLIGATION BOND FUND 2002B NO. ONE" (the "Bond Fund"), which is hereby pledged for and shall be used only for the payment of the principal of and interest on the Bonds hereinafter authorized to be issued; and also there shall be apportioned to said fund its proportion of taxes received by the City fi:om railway, express, telephone and telegraph companies and other taxes assessed by the Iowa State Department of Revenue. -6- Section 4. Application of Bond Proceeds. Proceeds of the Bonds other than acerued interest except as may be provided below shall be credited to the Project Fund and expended therefrom for the purposes of issuance. Any amounts on hand in the Project Fund shall be available for the payment of the principal of or interest on the Bonds at any time that other fimds shall be insufficient to the purpose, in which event such funds shall be repaid to the Project Fund at the earliest opportunity. Any balance on hand in the Project Fund and not immediately required for its purposes may be invested not inconsistent with limitations provided by law or this Resolution. Accrued interest, if any, shall be deposited in the Bond Fund. Section 5. Investments of Bond Fund Proceeds. All moneys held in the Bond Fund, provided for by Section 3 of this Resolution shall be invested in investments permitted by Chapter 12B, Code of Iowa, 2001 (formerly Chapter 452, Code of Iowa, as amended) or deposited in financial institutions which are members of the Federal Deposit Insurance Corporation and the deposits in which are insured thereby and all such deposits exceeding the maximum amount insured from time to time by FDIC or its equivalent successor in any one financial institution shall be continuously secured in compliance with the State Sinking Fund provided under Chapter 12C of the Code of Iowa, 2001, as amended or otherwise by a valid pledge of direct obligations of the United States Government having an equivalent market value. All such interim investments shall mature before the date on which the moneys are required for payment of principal of or interest on the Bonds as herein provided. Section 6. Bond Details, Execution and Redemption. (a) Bond Details. General Obligation Bonds, Series 2002B, of the City in the amount of $1,000,000, shall be issued pursuant to the provisions of Sections 384.24 and 384.25 of the City Code of Iowa for the aforesaid purpose. The Bonds shall be designated "GENERAL OBLIGATION BOND, SERIES 2002B", be dated March 1, 2002, and bear interest from the date thereof, until payment thereof, at the office of the Paying Agent, said interest payable on December 1, 2002, and semiannually thereafter on the 1st day of June and December in each year until maturity at the rates hereinafter provided. The Bonds shall be executed by the manual or facsimile signature of the Mayor and attested by the manual or facsimile signature of the Clerk, and impressed or printed with the seal of the City and shall be fully registered as to both principal and interest as provided in this Resolution; principal, interest and premium, if any, shall be payable at the office of the Paying Agent by mailing of a check to the registered owner of the Bond. -7- The Bonds shall be in the denomination of $5,000 or multiples thereof. The Bonds shall mature and bear interest as follows: Interest Principal Maturity Rate Amount June 1st 3.000% $20,000 2003 3.750 35,000 2004 3.750 40,000 2005 3.750 40,000 2006 4.000 40,000 2007 4.000 45,000 2008 4.000 45,000 2009 4.100 45,000 2010 4.200 50,000 2011 4.300 50,000 2012 4.400 55,000 2013 4.500 55,000 2014 4.600 60,000 2015 4.700 60,000 2016 4.800 65,000 2017 4.900 70,000 2018 4.950 70,000 2019 5.000 75,000 2020 5.000 80,000 2021 (b) Redemption. Bonds maturing after June 1, 2010 may be called for redemption by the Issuer and paid before maturity on said date or any date thereafter, from any funds regardless of source, in whole or from fane to time in part, in any order of maturity and within an annual maturity by lot. The terms of redemption shall be par, plus accrued interest to date of call. Thirty days' notice of redemption shall be given by first class mail to the registered owner of the Bond. Failure to give such notice by mail to any registered owner of the Bonds or any defect therein shall not affect the validity of any proceed'rags for the redemption of the Bonds. All bonds or portions thereof called for redemption will cease to bear interest after the specified redemption date, provided funds for their redemption are on deposit at the place of payment. -8- If selection by lot within a maturity is required, the Registrar shall designate the bonds to be redeemed by random selection of the names of the registered owners of the entire annual maturity until the total amount of bonds to be called has been reached. Section 7. Issuance o£Bonds in Book-Entry Form; Replacement Bonds. (a) Notwithstanding the other provisions of this Resolution regarding registration, ownership, transfer, payment and exchange of the Bonds, unless the Issuer determines to permit the exchange of Depository Bonds for Bonds in the Authorized Denominations, the Bonds shall be issued as Depository Bonds in denominations of the entire principal amount of each maturity of Bonds (or, if a portion of said principal amount is prepaid, said principal amount less the prepaid amount); and such Depository Bonds shall be registered in the'name of Cede & Co., as nominee of DTC. Payment of semi-annuai interest for any Depository Bond shall be made by wire transfer or New York Clearing House or equivalent next day funds to the account of Cede & Co. on the interest payment date for the Bonds at the address indicated in or pursuant to the Representation Letter. (b) With respect to Depository Bonds, neither the Issuer nor the Paying Agent shall have any responsibility or obligation to any Participant or to any Beneficial Owner. Without limiting the immediately preceding sentence, neither the Issuer nor the Paying Agent shall have any responsibility or obligation with respect to (i) the accuracy of the records of DTC or its nominee or of any Participant with respect to any ownership interest in the Bonds, (ii) the delivery to any Participant, any Beneficial Owner or any other person, other than DTC or its nominee, of any notice with respect to the Bonds, (iii) the payment to any Participant, any Beneficial Owner or any other person, other than DTC or its nominee, of any amount with respect to the principal of, premium, if any, or interest on the Bonds, or (iv) the failure of DTC to provide any information or notification on behalf of any Participant or Beneficial Owner. The Issuer and the Paying Agent may treat DTC or its nominee as, and deem DTC or its nominee to be, the absolute owner of each Bond for the purpose of payment of the principal of, premium, if any, and interest on such Bond, for the purpose of all other matters with respect to such Bond, for the purpose of registering transfers with respect to such Bonds, and for all other purposes whatsoever (except for the giving of certain Bondholder consents, in accordance with the practices and procedures of DTC as may be applicable thereto). The Paying Agent shall pay all principal of, premium, if any, and interest on the Bonds only to or upon the order of the Bondholders as shown on the Registration Books, and all such payments shall be valid and effective to fully satisfy and discharge the Issuer's obligations with respect to the principal of, premium, if any, and -9- interest on the Bonds to the extent so paid. Notwithstanding the provisions of this Resolution to the contrary (including without limitation those provisions relating to the surrender of Bonds, registration thereof, and issuance in Authorized Denominations), as long as the Bonds are Depository Bonds, full effect shall be given to the Representation Letter and the procedures and practices of DTC thereunder, and the Paying Agent shall comply therewith. (c) Upon (i) a determination by the Issuer that DTC is no longer able to carry out its functions or is otherwise determined unsatisfactory, or (ii) a determination by DTC that the Bonds are no longer eligible for its depository services or (iii) a determination by the Paying Agent that DTC has resigned or discontinued its services for the Bonds, the Issuer shall (A) designate a satisfactory substitute depository as set forth below or, if,a satisfactory substitute is not found, (B) provide for the exchange of Depository Bonds for replacement Bonds in Authorized Denominations. (d) If the Issuer determines to provide for the exchange of Depository Bonds for Bonds in Authorized Denominations, the Issuer shall so notify the Paying Agent and shall provide the Registrar with a supply of executed unauthenticated Bonds to be so exchanged. The Registrar shall thereupon notify the owners of the Bonds and provide for such exchange, and to the extent that the Beneficial Owners are designated as the transferee by the owners, the Bonds will be delivered in appropriate form, content and Authorized Denominations to the Beneficial Owners, as their interests appear. (e) Any substitute depository shall be designated in writing by the Issuer to the Paying Agent. Any such substitute depository shall be a qualified and registered "clearing agency" as provided in Section 17A of the Securities Exchange Act of 1934, as amended. The substitute depository shall provide for (i) immobilization of.the Depository Bonds, (ii) registration and transfer of interests in Depository Bonds by book entries made on records of the depository or its nominee and (iii) payment of principal of, premium, if'any, and interest on the Bonds in accordance with and as such interests may appear with respect to such book entries. Section 8. Registration of Bonds; Appointment of Registrar; Transfer; Ownership; Delive _ry; and Cancellation. (a) Registration. The ownership of Bonds may be transferred only by the making of an entry upon the books kept for the registration and transfer of ownership of the Bonds, and in no other way. Wells Fargo Bank Iowa, National Association is hereby appointed as Bond Registrar under the terms of this Resolution and under the provisions of a separate agreement with the Issuer filed herewith which is made a part hereof, by this -10- reference. Registrar shall ma'mtain the books of the Issuer for the registration of ownership of the Bonds for the payment of principal of and interest on the Bonds as provided in this Resolution. All Bonds shall be negotiable as provided in Article 8 of the Uniform Commercial Code and Section 384.31 of the Code of Iowa, subject to the provisions for registration and transfer contained in the Bonds and in this Resolution. (b) Transfer. The ownership of any Bond may be transferred only upon the Registration Books kept for the registration and transfer of Bonds and only upon surrender thereof at the office of the Registrar together with an assignment duly executed by the holder or his duly authorized attorney in fact in such form as shall be satisfactory to the Registrar, along with the address and social security number or federal employer identification number of such transferee (or, if registration is to be made in the name of multiple individuals, of all such transferees). Inthe event that the address ofthe registered owner of a Bond (other than a registered owner which is the nominee of the broker or dealer in question) is that ora broker or dealer, there must be disclosed on the Registration Books the information perta'ming to the registered owner required above. Upon the transfer of any such Bond, a new fully registered Bond, of any denomination or denominations permitted by this Resolution in aggregate principal amount equal to the unmatured and unredeemed principal amount of such transferred fully registered Bond, and bearing interest at the same rate and maturing on the same date or dates shall be delivered by the Registrar. (c) Registration of Transferred Bonds. In all cases of the transfer of the Bonds, the Registrar shall register, at the earliest practicable tinae, on the Registration Books, the Bonds, in accordance with the provisions of this Resolution. (d) Ownership. As to any Bond, the person in whose name the ownership of the same shall be registered on the Registration Books of the Registrar shall be deemed and regarded as the absolute owner thereof for all purposes, and payment of or on account of the principal of any such Bonds and the premium, if any, and interest thereon shall be made only to or upon the order of the registered owner thereof or his legal representative. All such payments shall be valid and effectual to satisfy and discharge the liability upon such Bond, includ'mg the interest thereon, to the extent of the sum or sums so paid. (e) Cancellation. All Bonds which have been redeemed shall not be reissued but shall be cancelled by the Registrar. All Bonds which are cancelled by the Registrar shall be destroyed and a certificate of the destruction thereof shall be furnished promptly to the Issuer; provided that if the Issuer shall so direct, the Registrar shall forward the cancelled Bonds to the Issuer. -11- (f) Non-Presentment of Bonds. In the event any payment check representing payment of principal of or interest on the Bonds is returned to the Paying Agent or if any bond is not presented for payment of principal at the maturity or redemption date, if funds sufficient to pay such principal of or interest on Bonds shall have been made available to the Paying Agent for the benefit of the owner thereof, all liability of the Issuer to the owner thereof for such interest or payment of such Bonds shall forthwith cease, terminate and be completely discharged, and thereupon it shall be the duty of the Paying Agent to hold such funds, without liability for interest thereon, for the benefit of the owner of such Bonds who shall thereafter be restricted exclusively to such funds for any claim of whatever nature on his part under this Resolution or on, or with respect to, such interest or Bonds. The Paying Agent's obligation to hold such funds shall continue for a period equal to two years and six months following the date on which such interest or principal became due, whether at maturity, or at the date fixed for redemption thereof, or otherwise, at which time the Paying Agent, shall surrender any remaining funds so held to the Issuer, whereupon any claim under this Resolution by the Owners of such interest or Bonds of whatever nature shall be made upon the Issuer. (g) Registration and Transfer Fees. The Registrar may ftmaish to each owner, at the Issuer's expense, one bond for each annual maturity. The Registrar shall furnish additional bonds in lesser denominations (but not less than the minimum denomination) to an owner who so requests. Section 9. Reissuance of Mutilated, Destroyed, Stolen or Lost Bonds. In case any outstanding Bond shall become mutilated or be destroyed, stolen or lost, the Issuer Shall at the request of Registrar authenticate and deliver a new Bond of like tenor and amount as the Bond so mutilated, destroyed, stolen or lost, in exchange and substitution for such mutilated Bond to Registrar, upon surrender of such mutilated Bond, or in lieu of and substitution for the Bond destroyed, stolen or lost, upon filing with the Registrar evidence satisfactory to the Registrar and Issuer that such Bond has been destroyed, stolen or lost and proof of ownership thereof, and upon furnishing the Registrar and Issuer with satisfactory indemnity and complying with such other reasonable regulations as the Issuer or its agent may prescribe and paying such expenses as the Issuer may incur in connection therewith. Section 10. Record Date. Payments of principal and interest, otherwise than upon full redemption, made in respect of any Bond, shall be made to the registered holder thereof or to their designated agent as the same appear on the books of the Registrar on the 15th day preceding the payment date. All such payments shall fully discharge the obligations of the Issuer in respect of such Bonds to the extent of the payments so made. Payment of principal shall only be made upon surrender of the Bond to the Paying Agent. Section 11. Execution, Authentication and Delive _ry of the Bonds. Upon the adoption of this Resolution, the Mayor and Clerk shall execute and deliver the Bonds to the Registrar, who shall authenticate the Bonds and deliver the same to or upon order of the Purchaser. No Bond shall be valid or obligatory for any purpose or shall be entitled to any right or benefit hereunder unless the Registrar shall duly endorse and execute on such Bond a Certificate o£Authentication substantially in the form of the Certificate herein set forth. Such Certificate upon any Bond executed on behalf of the Issuer shall be conclusive evidence that the Bond so authenticated has been duly issued under this Resolution and that the holder thereof is entitled to the benefits of this Resolution. No Bonds shall be authenticated and delivered by the Registrar unless and until there shall have been provided the following: A certified copy of the Resolution of Issuer authorizing the issuance of the Bonds; A written order of Issuer signed by the Treasurer of the Issuer directing the authentication and delivery of the Bonds to or upon the order of the Purchaser upon payment of the purchase price as set forth therein; o The approving opinion ofAhlers, Cooney, Dorweiler, Haynie, Smith & Allbee, P.C., Bond Counsel, concerning the validity and legality of all the Bonds proposed to be issued. Section 12. Right to Name Substitute Paying Agent or Registrar. Issuer reserves the right to name a substitute, successor Registrar or Paying Agent upon giving prompt written notice to each registered bondholder. -13- Section 13. Form of Bond. Bonds shall be printed in substantial compliance with standards proposed by the American Standards Institute substantially in the form as follows: (6) ] I (6) (7) ] I (a) (1) [ (2) I I (3) I I (4) I I (5) ] (9) (9a) I (10) (Continued on the back of this Bond) (11)(12)(13) ] [ (14) ] I (15) [ FIGURE 1 (Front) -14- (10) (Continued) (16) FIGURE 2 (Back) -15- The text of the Bonds to be located thereon at the item numbers shown shall be as follows: Item 1, figure 1 "STATE OF IOWA" "COUNTY OF DUBUQUE" "CITY OF DUBUQUE" "GENERAL OBLIGATION BOND, SERIES 2002B" Item 2, figure 1 Item 3, figure 1 Item 4, figure i Item 5, figure 1 Item 6, figure 1 Item 7, figure 1 Item 8, figure 1 = Rate: = Maturity: = Bond Date: March 1, 2002 -- Cusip No.: = "Registered" -- Certificate No. = Principal Amount: $ Item 9, figure 1 = The City of Dubuque, Iowa, a municipal corporation organized and existing under and by virtue of the Constitution and laws of the State of Iowa (the "Issuer"), for value received, promises to pay from the source and as hereinafter provided, on the maturity date indicated above, to Item 9A, figure 1 = (Registration panel to be completed by Registrar or Printer with name of Registered Owner). Item 10, figure 1 = or registered assigns, the principal sum of(principal amount written out) THOUSAND DOLLARS in lawful money of the United States of America, on the maturity date shown above, only upon presentation and surrender hereof at the office of Wells Fargo Bank Iowa, National Association, Paying Agent of this issue, or its successor, with interest on said sum from the date hereof until paid at the rate per annum specified above, payable on December 1, 2002, and semiannually thereafter on the 1st day of June and December in each year. Interest and principal shall be paid to the registered holder of the Bond as shown on the records of ownership maintained by the Registrar as of the 15th day preceding such interest payment date. Interest shall be computed on the basis of a 360-day year of twelve 30-day months. This Bond is issued pursuant to the provisions of Sections 384.24 and 384.25 of the City Code of Iowa, for the purpose of paying costs of construction and reconstruction of street, sidewalk, utility and streetscape improvements relating to the opening of Main -16- Street from 5th to 9th Streets, in conformity to a Resolution of the Council of said City duly passed and approved. Unless this certificate is presented by an authorized representative of The Depository Trust Company, a limited purpose trust company ("DTC"), to the Issuer or its agent for registration of transfer, exchange or payment, and any certificate issued is registered in the name of Cede & Co. or such other name as requested by an authorized representative of DTC (and any payment is made to Cede & Co. or to such other entity as is requested by an authorized representative of DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL inasmuch as the registered owner hereof, Cede & Co., has an interest herein. Bonds maturing after June 1, 2010 may be called for redemption by the Issuer and paid before maturity on said date or any date thereafter, from any funds regardless of source, in whole or from time to time in part, in any order of maturity and within an annual maturity by lot. The terms of redemption shall be par, plus accrued interest to date of call. Thirty days' notice of redemption shall be given by first class mail to the registered owner of the Bond. Failure to give such notice by mail to any registered owner of the Bonds or any defect therein shall not affect the validity of any proceedings for the redemption of the Bonds. All bonds or portions thereof called for redemption will cease to bear interest after the specified redemption date, provided funds for their redemption are on deposit at the place of payment. If selection by lot within a maturity is required, the Registrar shall designate the bonds to be redeemed by random selection of the names of the registered owners of the entire annual maturity until the total amount of bonds to be called has been reached. Ownership of this Bond may be transferred only by transfer upon the books kept for such purpose by Wells Fargo Bank Iowa, National Association, the Registrar. Such transfer on the books shall occur only upon presentation and surrender of this Bond at the office of the Registrar as designated below, together with an assignment duly executed by the owner hereof or his duly authorized attorney in the form as shall be satisfactory to the Registrar. Issuer reserves the right to substitute the Registrar and Paying Agent but shall, however, promptly give notice to registered bondholders of such change. All bonds shall be negotiable as provided in Article 8 of the Uniform Commercial Code and Section 384.31 of the Code of Iowa, subject to the provisions for registration and transfer contained in the Bond Resolution. -17- This Bond is a "qualified tax-exempt obligation" designated by the City for purposes of Section 265(b)(3)(B) of the Internal Revenue Code of 1986. And it is hereby represented and certified that all acts, conditions and things requisite, according to the laws and Constitution of the State of Iowa, to exist, to be had, to be done, or to be performed precedent to the lawful issue of this Bond, have been existent, had, done and performed as required by law; that provision has been made for the levy of a sufficient continuing annual tax on all the taxable property within the territory of the Issuer for the payment of the principal and interest of this Bond as the same will respectively become due; that the faith, credit, revenues and resources and all the real and personal property of the Issuer are irrevocably pledged for the prompt payment hereof, both principal and interest; and the total indebtedness of the Issuer including this Bond, does not exceed the constitutional or statutory limitations. 1N TESTIMONY WHEREOF, the Issuer by its Council, has caused this Bond to be signed by the manual signature of its Mayor and attested by the manual signature of its City Clerk, with the seal of said City impressed hereon, and to be authenticated by the manual signature of an authorized representative of the Registrar, Wells Fargo Bank Iowa, National Association, Des Moines, Iowa. Item 11, figure 1 Item 12, figure 1 = Date of authentication: -- This is one of the Bonds described in the within mentioned Resolution, as registered by Wells Fargo Bank Iowa, National Association. Item 13, figure 1 WELLS FARGO BANK IOWA, NATIONAL ASSOCIATION, Registrar By: Authorized Signature Registrar and Transfer Agent: Wells Fargo Bank Iowa, National Association Paying Agent: Wells Fargo Bank Iowa, National Association Wells Fargo Bank Minnesota, N.A. Corporate Trust Operations MAC N9303-121 P. O. Box 1517 Minneapolis, MN 55480 -18- Item 14, figure 1 Item 15, figure 1 Item 16, figure 2 SEE REVERSE FOR CERTAIN DEFINITIONS = (Seal) = [Signature Block] CITY OF DUBUQUE, IOWA By: (manual signature) Mayor ATTEST: By: (manual signature) City Clerk = [Assignment Block] [Information Required for Registration] ASSIGNMENT For value received, the undersigned hereby sells, assigns and transfers unto (Social Security or Tax Identification No. the within Bond and does hereby irrevocably constitute and appoint attorney in fact to transfer the said Bond on the books kept for registration of the within Bond, with full power of substitution in the premises. Dated (Person(s) executing this Assignment sign(s) here) SIGNATLrRE ) GUARANTEED) IMPORTANT - READ CAREFULLY -19- The signature(s) to this Power must correspond with the name(s) as written upon the face of the certificate(s) or bond(s) in every particular without alteration or enlargement or any change whatever. Signature guarantee must be provided in accordance with the prevailing standards and procedures of the Registrar and Transfer Agent. Such standards and procedures may require signature to be guaranteed by certain eligible guarantor institutions that participate in a recognized signature guarantee program. INFORMATION REQUIRED FOR REGISTRATION OF TRANSFER Name of Transferee(s). Address of Transferee(s) Social Security or Tax Identification Number of Transferee(s) Transferee is a(n): Individual* Corporation Partnership Trust *If the Bond is to be registered in. the names of multiple individual owners, the names of all such owners and one address and social security number must be provided. The following abbreviations, when used in the inscription on the face of this Bond, shall be construed as though written out in full according to applicable laws or regulations: TEN COM - as tenants in common TEN ENT - as tenants by the entireties JT TEN - as joint tenants with right of survivorship and not as tenants in common IA UNIF TRANS MIN ACT - ............ Custodian ............ (¢ust) (minor) under Iowa Uniform Transfers to Minors Act ................... (State) ADDITIONAL ABBREVIATIONS MAY ALSO BE USED THOUGH NOT 1N TI-IE ABOVE LIST -20- Section 14. Contract Between Issuer and Purchaser. This Resolution constitutes a contract between said City and the purchaser of the Bonds. Section 15. Non-Arbitrage Covenants. The Issuer reasonably expects and covenants that no use will be made of the proceeds from the issuance and sale of the Bonds issued hereunder which will cause any of the Bonds to be classified as arbitrage bonds within the meaning of Sections 148(a) and (b) of the Internal Revenue Code of the United States, as amended, and that throughout the term of the Bonds it will comply with the requirements of statutes and regulations issued thereunder. To the best knowledge and belief of the Issuer, there are no facts or circumstances that would materially change the foregoing statements or the conclusion that it is not expected that the proceeds of the Bonds will be used in a manner that would cause the Bonds to be arbitrage bonds. Without limiting the generality of the foregoing, the Issuer hereby agrees to comply with the provisions of the Tax Exemption Certificate and the provisions of the Tax Exemption Certificate are hereby incorporated by reference as part of this Resolution. The Treasurer is hereby directed to make and insert all calculations and determinations necessary to complete the Tax Exemption Certificate in all respects and to execute and deliver the Tax Exemption Certificate at issuance of the Bonds to certify as to the reasonable expectations and covenants of the Issuer at that date. Section 16. Severability Clause. If any section, paragraph, clause or provision of this Resolution be held invalid, such invalidity shall not affect any of the remaining provisions hereof, and this Resolution shall become effective immediately upon its passage and approval. Section 17: Continuing Disclosure. The Issuer hereby covenants and agrees that it will comply with and carry out all of the provisions of the Confmuing Disclosure Certificate, and the provisions of the Continuing Disclosure Certificate are hereby incorporated by reference as part of this Resolution and made a part hereof. Notwithstanding any other provision of this Resolution, failure of the Issuer to comply with the Continuing Disclosure Certificate shall not be considered an event of default under this Resolution; however, any holder of the Bonds or Beneficial Owner may take such actions as may be necessary and appropriate, including seeking specific performance by court order, to cause the Issuer to comply with its obligations under the Continuing Disclosure Certificate. For purposes of this section, "Beneficial Owner" means any person which (a) has the power, directly or indirectly, to vote or consent with respect to, or to dispose of ownership of, any Bond (including persons holding Bonds through nominees, depositories or other intermediaries), or (b) is treated as the owner of any Bonds for federal income tax purposes. -21- PASSED AND APPROVED this 2002. Terrance M. Duggan, Mayor ATTEST: Jeanne F. Schneider, City Clerk City Clerk 18th day of March -23- CIG-3 9/91 CERT~ICATE STATE OF IOWA COUNTY OF DUBUQUE ) )ss ) I, the undersigned City Clerk of Dubuque, Iowa, do hereby certify that attached is a tree and complete copy of the portion of the corporate records of said Municipality showing proceedings of the Council, and the same is a true and complete copy of the action taken by said Council with respect to said matter at the meeting held on the date indicated in the attachment, which proceedings remain in full force and effect, and have not been amended or rescinded in any way; that meeting and all action thereat was duly and publicly held in accordance with a notice of meeting and tentative agenda, a copy of which was timely served on each member of the Council and posted on a bulletin board or other prominent place easily accessible to the public and clearly designated for that purpose at the principal office of the Council (a copy of the face sheet of said agenda being attached hereto) pursuant to the local rules of the Council and the provisions .of Chapter 21, Code of Iowa, upon reasonable advance notice to the public and media at least twenty-four hours prior to the commencement of the meeting as required by said law and with members of the public present in attendance; I further certify that the individuals named therein were on the date thereof duly and lawfully possessed of their respective city offices as indicated therein, that no Council vacancy existed except as may be stated in said proceedings, and that no controversy or litigation is pending, prayed or threatened involving the incorporation, organization, existence or boundaries of the City or the right of the individuals named therein as officers to their respective positions. WITNESS my hand and the seal of said Municipality hereto affixed this lSth day of March ~ 2002. lerk, Dubuque, Iowa SEAL DCORNELL~312825X1\10422058 -24-