7. Bid Award - SID 341AUG-21-95 MON 10 ,15 D. A, DAV I DSON & CO, FAX NO. 5096658811 N. U 1
i
August 21, 1995
City Council Members
City Fall
.Kalispell, MT
Ladies and Gentlemen:
Oft A Mk
DA. Davidson 6C0x
Fixed -Income Department
Oavidson Building
8 Third St. No.
FA Box 5015
Great Falls. MT 59403
(400) 771-4360
1-800-332-5915
FAX (406) 791-7315
For $100,000 par value of legally issued and properly executed bonds of Special Improvement District
No. 341 Bonds, Series 1995, ("the Issue") as more fully described in the Official Notice of Sale, which
Notice of Sale is Hereby made a part of this Proposal, we will pay you $97,000, plus a total premium
of $ ' and accrued interest from the date of the Bonds to the date of delivery to us in Kalispell,
Mon=for bonds maturing July 1, 1997/2011 and dated September 1, 1995.
The first interest payment will be due and payable January 1, 1997. Interest will be due and payable
semi-annually each January 1 and July 1, there -after. Bonds will bear interest as follows:
Principal
Principal
Installment
Installment
No. —
Amount
Year
Rate
No.
1
$5,000
1997
414 0
9
2
5,000
1998
'4 t.0
10
3
5,000
1999
11-12
4
5.000
2000
13-14
5
5,000
2001
t7V
15-16
6
5,000
2002
J0
17-18
7
5,000
2003
19-20
8
5,000
2004
Amount
Year
state
$5,000
2005
,5` %
5,000
2006
C>
10,000
2007
;S .fir
10,000
2008
e o
10,000
2009
10,000
2010
10,000
2011
The net effective interest rate based upon the above varying rates, the maturity schedule as set forth
pursuant to the Notice of Sale and purchase price of $97,000 of par value is & fC Lam" %.
Prior to our accepting delivery of said Securities, you agree to furnish a certified transcript of legal
proceedings requisite to their issuance and delivery, including proceedings required for the creation
of said Issue, and for the execution of a contract and surety bonds in the full amount of such contract,
assuring the completion of the improvements to be financed by the Bonds in accordance with the plans
and specifications and at a cost, including all incidental costs, not exceeding the principal amount of
the Bonds in and including a signature and non -litigation certificates in the customary form to the effect
that there is no pending or threatened litigation involving the Issue.
Members of the City Council Page two of two
This Proposal is .made subject to the unqualified approving legal opinion of bond attorneys to be
designated by us, as to the legality of the Bonds, as to the interest being free from Federal and State
of Montana income taxes, and subject to the establishment by the City in said proceedings, in the
opinion of said attorneys, to the maximum security for the Bonds %hick is permitted by the provisions
of Title 7, Chapter 12, Part 21, Montana Code Annotated, as amended. Said maximum security is to
include the adoption of a Resolution by the City agreeing to make good any deficiency in the principal
and interest account to the extent funds are available and to provide funds for such Revolving Fund
by raping a tax levy and loan as is necessary to cause such payment. The City hereby agrees to
maintain the Revolving Fund in an amount equal to no less than 5.00 % of all outstanding Special
Improvement District Bonds of the City, so long as any Bonds of this issue are outstanding.
The Bonds are to be delivered to us on September 21, 1995 or thereafter at our option.
The cost of printing these Bonds and the fees of the approving attorneys will be paid by the City of
Kalispell.
We herewith hand you our Good Faith Check for $2,000.00 as evidence of our Good Faith in
complying with the terms and conditions of this Proposal which is to apply as part payment for said
bonds when the legality or security of same has been approved by our attorneys, and to be forfeited
as fully liquidated damages should we, fail or. refuse to tape up said Bonds as above provided.. Said
check is to be returned to us if this Proposal is not accepted, or if the above attorneys should decline
to approve the legality or security of this issue. This offer is for immediate acceptance.
Respectfully submitted,
D.A. Davidson & Co.
Wohn H. Easley
Vice President
Accepted for and on behalf of the City of Kalispell, Montana pursuant to authorization by its governing
body receipt of the above -mentioned che(:k is hereby ao nowledged on this 21st day of August, 1995,
Mayor
Director of Finance