Resolution 3760 - Preliminary Approval - Immanuel Lutheran HomeESOLU T IOtI NO . 37 E G
RESOLUTION GIVIr1G PRELIT-iINARY APPROVAL TO A
PROPOSED PROJECT FOR Ii-'?i-;ANUEL LUjTHE RAN HONE AZND
GIVING PREELITTINAPY APPROVAL TO hE ISSUANCE OF
FIRST r• ORTGAGE. HOUSING REVEI•IUE BONDS THEREFOR
UNDER TITLE, 90, CHAPTER 5, PART I, MONTANA CODE
ANNOTATED
BE IT RESOLVED by the City Council of Kalispell,
Montana (the City), as follows:
I
Section 1. Recitals, j
1.01. The City is authorized by!Title 90,
Chapter 5, Part 1, Montana Code Annotated;(the Act), to
issue and sell its revenue bonds to provide funds to be
loaned to persons for the purpose of financing costs of
acquiring, constructing, equipping and improving real and
personal properties suitable for use for multifamily
housing projects. Such bonds are to be secured by such
security devices as may be deemed advantageous by the City
1.02. A proposal has been preselted to this
Council on behalf of Immanuel Lutheran Home, a Montana
non-profit corporation organized and existing under the
laws of the State of Montana (the Borrower), that the
City, acting pursuant to and in accordance with the Act,
authorize the issuance of revenue bonds (the Bonds) of the
City_in the maximum aggregate principal amount of
:^ $8,000,000, the proceeds of which will belloaned to the
Borrower for the purpose of: (i)-p-aying costs of
acquiring, constructing and equipping a project (the
Project) consisting of acres of land, a 100 unit
retirement housing complex with congregate dining and
incidental facilities and furnishings andlequipment
therefor, (ii) establishing appropriate reserves for the
Bonds and (iii) paying costs and expenseslincidental to
the financing. The Project financed withlthe Bonds will
be located at Buffalo Hill behind the Immanuel Lutheran
Nursing Hoge in the City of Kalispell. The Project will
be owned by the Borrower.
i
1,03. Under the provisions of the Act, the Bonds
shall be limited obligations of the City payable solely
from the revenues of the Project, including loan
repayments from the Borrower, and shall no,t constitute nor
give rise to a pecuniary liability of theiCity or a charge
against it-s general credit or taxing powers.
1.04. Pursuant to Resolution Noi. 3732 notice of
a public hearing on the Project and the issuance of the
Bonds has, as directed by the City Council, been given in
compliance with the Act, and a public hearring has been
held on the proposed Project and the proposed issuance of
the Bonds at the time and place specifiedin said notice
and aLl objections or other comments relating to the
Project' or the issuance of the Bonds havebeen heard.
Section 2. Findings. It is hereby found,
determined and declared that:
(a) The City has considered the Project and has
y concluded the the benefits to beiderived
therefrom by the City and its inhabitants will be
substantial. I
(b) The Project comprises real and personal property
which shall be suitable for use in connection
with a 100 unit raultiiamily housing facility as
contemplated by the Act.
(c)
It is in the public interest that the City
Proceed with the issuance of the'Bonds pursuant
to the Act in an amount not to exceed an
aggregate principal amount of $8000,000 to
defray the cost of financing the ;acquisition and
the construction and equippinq of the Prn;prF.
Section 3. Preliminary i _Annroyn. The City
hereby gives preliminary approval to theProject and to
the issuance and sale of the Bonds pursuant to the Act, in
_ n aggregate principal amount not .to exceed $8,000,000,
and authorises the appropriate officers of the City to
participate in'the"preparation of such document: as may be
necessary or desirable to accomplish such transactions.
The Bonds shall be limited obligations of the City payable
solely from and secured by the payments to be made by the
Borrower under the Loan Agreement and proceeds and
revenues of the Project, and will not constitute or give
rise to a pecuniary liability of the City o' a charge
against its general credit or taxing powers.
Section 4. No Obligation. This Resolution is
preliminary only and the issuance of thy Bonds L•zid',
consur;.m;ation of the transaction Antc-mplated hereby shall
be subject to the adoption of a definitive resolution by
the City as required by the Act. The City shall be under
no obligation to issue the Bonds until the adoption of
such resolution by the City.
Section S. Cnsts. The Borrower has agreed and
it is hereby determined that any and all direct and
indirect costs incurred by the City in connection with the
Project and the issuance of the Bonds, whether or not the
Project is carried to completion and whether or not the
City by resolution authorizes the issuance of the Bonds,
will hie paid by the Borrower upon request.
PASSED AND APPROVED
KALISPELL, NONTANA this 19th
ATTEST:
f City Clerk
BY THE CITY COUNCIL OF
day of August, 1937.
2a
May r
1
I, the undersigned, City Cleec of the City of Kalispell, certify that
foregoing is a true copy of the Resolution passed by the City Couneil of
City of Ialispell, Montana at a regular meeting held
the
the
City Clerk of the City of Kalispell
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