12-30-1959 VCM Extract - Laserfiche WebLink

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BE IT RESOLVED by the Council of the Village of Elk River, Minnesota, as follows: 1. This Council has investigated the facts necessary to determine and does hereby find and declare; 1.1 That the Village has by Ordinance No. 39, adopted December 16, 1940, duly authorized the establishment and operation of a municipal liquor dispensary for the on and off-sale of intoxicating liquor and other merchandise in accordance with the provisions of Chapter 340, Minnesota Statutes, and that it is deemed necessary and expedient that the revenue bonds herein authorized be issued and sold for the propose of financing the remodeling and furnishing of a new dispensary for the on and off-sale of intoxicating liquor and other merchandise. 1.2 That the revenues reasonably anticipated to be received from the operation of said dispensary during the period for which such bonds will be outstanding will be more than sufficient to pay all costs of the operation and maintenance thereof and to provide excess or net revenues adequate to meet all payments of principal and interest on such bonds as the same shall fall due, and there are no outstanding obligations payable from or constituting a lien or charge upon said net revenues, and it is in the best interests of the Village that said bonds be made payable solely from such net revenues. 1.3 That Mannheimer-Egan, Inc. and Harold E. Wood & Co. of St. Paul, Minnesota, have been awarded the sale of the bonds herein authorized at par plus interest to accrue to the date of delivery thereof, bearing interest and subject to further terms and conditions as herein set forth. 2. For the proper administration of the moneys so to be borrowed and to make adequate and specific security to the purchaser of said bonds and to the holders thereof from time to time, the Village shall, at least until said bonds and interest thereon are fully paid, maintain the Liquor Dispensary Fund created by said Ordinance No. 39, and amended by Ordinance No. 59, and establish and maintain financial records of the receipts and disbursements relating to said dispensary in accordance with this resolution. In such records there shall be established and maintained subdivisions of said Liquor Dispensary Fund for the purposes and in the amounts as follows: 2.1 There shall be a “Capital Expenditures Account”, into which shall be paid all of the moneys borrowed hereunder, with the exception of accrued interest paid by the purchaser at the time of delivery of said bonds, which shall be paid into the Reserve Account as provided below. There shall be charged to and paid from said account all, but only, the items of capital expenditure to be made for the acquisition of said building and the equipment and furnishing of the same, provided that upon completion of said payment any money remaining in said Capital Expenditures Account shall be transferred to the Operation and Maintenance Account described below. 2.2 There shall also be an “Operation and Maintenance Account”, to which there shall be charged and from which there shall be paid all, but only the items of disbursement which, by sound accounting practices, constitute normal, reasonable and current costs of operation and maintenance of the dispensary. Such costs shall include compensation of the liquor store manager and other necessary employees, insurance, bond paying agent’s charges, utility services and costs of maintenance of a reasonable stock of merchandise. All moneys received by the Village from its ownership and operation of the dispensary, including all receipts from the sale of intoxicating liquor and from the sale of other merchandise and services on the dispensary premises, and from the rental of any portion of the