7. Authority to Bid - SID 342 BondsRESOLUTION NO. 4235
A RESOLUTION RELATING TO $209,000 SPECIAL IMPROVEMENT
DISTRICT BOND NO. 342 BONDS; AUTHORIZING THE ISSUANCE
AND CALLING FOR THE PUBLIC SALE THEREOF.
BE IT RESOLVED by the City Council (the "Council") of the
City of Kalispell, Montana (the "City"), as follows:
Section 1. Recitals.
(a) Special Improvement District No. 342 (the
"District") has been duly and validly created by the City for the
purpose of providing certain public improvements (the
"Improvements") of special benefit to the properties within the
District.
(b) It is necessary that special improvement district
bonds of the City be issued and sold in an aggregate principal
amount of $209,000 (the "Bonds") to finance the costs of
engineering, constructing and installing the Improvements, the
administrative costs for the District, the cost of making a
deposit to the Revolving Fund for the District and costs of
issuance of the Bonds.
(c) The City is authorized pursuant to Montana Code
Annotated, Section 7-12-4204(1), to sell the Bonds at a price
less than the principal amount thereof, but including interest
thereon to the date of delivery, if this Council determines that
such sale is in the best interests of the District and the City.
Section 2. Determinations of Public Interest. Pursuant
to the authority described in Section 1, this Council hereby
determines to fix the minimum price for the Bonds at $209,000
plus interest accrued thereon to the date of delivery. Such
minimum bid will enable bidders to bid more efficiently for the
Bonds by permitting them to submit their bids based on actual
market conditions without adjusting the interest rates thereon to
provide compensation for their purchase of the Bonds. This
procedure will facilitate the sale of the Bonds at the lowest
interest rates, which is in the best interests of the District
and the City.
Section 3. Terms of the Bonds. This Council hereby
authorizes the issuance and sale of the Bonds, to be denominated
ISpecial Improvement District No. 342 Bonds", of the City for the
purpose of financing the Improvements. The Bonds shall be dated,
as originally issued, as of October 1, 1995, and shall bear
interest payable semiannually on January 1 and July 1 of each
year, commencing January 1, 1996, at a rate or rates designated
by the successful bidder at public sale and accepted by this
Council. The Bonds shall mature on July 1 in each of the
following years and amounts:
Year
Amount
Year
Amount
1997
$ 9,000
2005
15,000
1998
10,000
2006
15,000
1999
10,000
2007
15,000
2000
10,000
2008
15,000
2001
10,000
2009
20,000
2002
10,000
2010
20,000
2003
15,000
2011
20,000
2004
15,000
The Bonds shall be issued as serial bonds in the
denomination of $5,000 each or any integral multiple thereof of
single maturities. Amortization bonds will not be issued.
The Bonds shall be issuable only as fully registered
bonds and shall be executed by the manual or facsimile signatures
of the Mayor, City Manager and Finance Director. The Bonds shall
be secured by the Special improvement District Revolving Fund of
the City.
Section 4. Public Sale. The Bonds shall be sold at a
public competitive sale which is hereby called and shall be held
at a regular meeting of this Council on September 18, 1995, at
7:00 P.M. The City will receive sealed bids for the Bonds in
accordance with the notice of sale hereinafter prescribed. The
City Clerk of Council is authorized and directed to cause notice
of the sale to be published, as required by Montana Code
Annotated, Sections 7-12-4204, 7-7-4252 and 17-5-106, in the
Daily Inter Lake, once each week for two successive weeks
preceding the week which contains the date of sale. The notice
of sale shall be published and mailed in substantially the form
set forth as Exhibit A to this resolution and this Council hereby
adopts the terms and conditions set forth in such notice of sale
as the terms and conditions of the sale of the Bonds.
Passed by the City Council of the City of Kalispell,
Montana, this 28th day of August , 1995.
Attest:
City Clerk of Council
2
Mayor