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Tab 25 Certified Copy of Ordinance 759October 18, 1995 I, Debbie Gifford, the undersigned, Clerk of the Council of the City of Kalispell, certify that the foregoing is a true and correct copy of Ordinance 759, approved by motion by the City Council of the City of Kalispell at City Hall on May 13, 1968* Debbie Giq0A' CM'C Kalispell Clerk of Council ORDINANCE NO. 759 AN ORDINA14CE CREATING THE SPECIAL IMPROVE2.WT DISTRICT REVOLVING Flu-NND OF 7HE CITY OF :,-ALISPELL,, 110-tITANA, IN ORDER TO SECURE PROt7T PAYK2,2172 OF BONDES' ISSUED WITH ;�T RESPE%r..','T TO TIIPROVP�WTS IN SPECI U IAMPROVPTENT DISTRICTS Tj�'-OR'�1111T ; OX THE CITY, AND THE 1NITEREST ESTABLISHING &N IRREVOCAIBLE UNDI,,,TAKING AND ON "I.IE PART OF OR ADV;t:'"ES CIT-';r TO 0�:'ZRS kN.`.ijALj.Y AUTHOR'JrZT';G bk- � �.A FROM THE RE110;-iVING FUND TO THE S.F7,111CIAL 7%1T DISTRICT FUNDS INVOLVED IN AMOUNTS SUFFICIFT"'." TO MAKE GC,�JD A7Zy F ,j_j 7 ". N DEFICIEN"(30Y IN THE BCND AND INT 'T ACCOUNTS THEREOF TO THE EXTENT THAT FUNDS ARE AVAILABLE, AND TO PROVIDE FUNDS FOR THE REVOLVING FU14D BY A.TiNUALLY MAKING SUCH TAX LEVY OR LOAN FROM THE GENERAL FUND AS MAY BE NEC&SSARY TO MEET Th-E F.-,rNANC'.,rAL REOUIRDIENTS THEREOF,, S-U-39JECT TO THE IMAXIMMI LIMITATT.ON IWPOSED BY RCM 11-2270; AND PROVIDING FOR TF.E ACC=17,,ATIC'L*��' �-.;"ITD MAINTENANCE OF A RESERVE IN T,'--,E RE7!1-7*'TNG FUND IN THE AMOUNT NECESSARY FOR PArIfMT AND REDMTT__*U-' OF BONDS AND INTEREST BE IT ORDATNED BY TJHE CITY COUNCIL OF THE CITY OF KALISPELL, MON="TA, AS FOLLOWS: Section 1. Under and pursuant to the provisions of Sections 14-1-2269 to 11-2273, inclusive, of the Revised Codes of Montana 1947, as amended, there is 1. ta4 hereby created and e-!:-ablished a special fund which shall be main Aned by the City Treasurer on th.-"- o-:ficial books and records of the City, separate from all other funds'. to be known and designated as the Spec4_-,_7 Im- 7--n­-�ment District Revolving Fund, for the purpose of securing the prompvc pWien-k'.-. of special im- provement district bonds issued in payment of the cost of improvem-::nts made for the benefit of special improvement districts of the City. Section 2. For the purpose of providing funds for the Revolving Fund the �ity Council may in its discretion, fram time to tire, transfer to the Revolving Fund from the General Fund of the City such amount or amounts as may be deemed necessary, as loans from the General Fund to ttohe Revolving Fund, and shall in addition to such transfers or in lieu thereof, levv and collect for the Re- volving Fund such a tax on all the taxable property within the City as shall be necessary to meet the financial requirements of the Revolving Fund- provided that such levy., togetber with such transfers, shall not exceed in any one year five per cent -um. (5%) of the principal amount of the then outstanding special improve- ment district bonds of the City. Section 3. Whenever.any special improvement district bond of the City, or any interest thereon, shall become due and payable and there shall then be either no money or not sufficient money in the appropriate district fund with which to pay the same, an amount sufficient to make uD the deficiency shall be Icazied, by order of the Council, by the Revolving Fund to such district fund anC, used'. uith the amount t ' hen on hand in the district fizi.', to pay such bond and interes-%'.. Whenever any loan is made to any special improvement district fund from the Revolvina, FiLnd,, the Revolving Fund shall have a lien therefor on all unpaid Cop assessments and installments of assess-ments on such distr-1'et, whether delinquent or not', and on all moneys thereafter comi�ig intoo such district fund, to the amount of such loan, together with interest thereon from the time it was made at the rate borne by the bond for payment of which, or of interest thereon, such loan was made; and whenever there shallbe moneys in such district fund which aree not required for payment of any bond of such district, or of interest thereon, so much of such moneys as may be necessary to pay such loan sha.11 by order of the A�cd A-i Council be transferred to the Revolving Fund. After all bonds issued on any special improvement district fund have been fully paidp all moneys remaining in such district fund shall by order of the Council be transferred to and become part of the Revolving Fund, Section 4. The CitY of Kalispell has undertaken and agreed in con- nection with the public of f"ering ol- its Special improvement District No. 308 Bonds. and does herebi covenant, undertake and agree with the holders of these bonds and all other special improvement district bonds to be offdred at public sale in the future, so long as any such bonds, or any interest thereon, remain unpaid, that it will annually authorize loans or advances from the Revolving Fund to each fund from which such bonds are payable (each such fund being referred to below as the District Fund), and will provide funds for the Revolving Fund by annual tax levies or loans from the General Fund, in accordance with the following procedures: (a) Separate bond and interest accounts shall be maintained on the official books and records of the City, within each District Fund. Upon the collection of the installment of principal and interest due November 30 in each year on the special assessments levied and appropriated to the District Fund, the City Treasurer shall credit to the Interest Account so much thereof as may be nee essary to pay interest to bedbme due on all bonds payable from the District Fund on the then next succeeding interest payment date, and shall credit the remainder thereof to the Bond Account. Any installment of any special assessment which is paid prior to the year in which it is due, with the interest accrued thereon to such payment date, shall be credited directly to the Bond Account, (b) The Interest Account shall be used solely to pe�v the interest due at annual interest payment dates on the bonds issued against the District Fund. The Bond Account shall be used,,wbenever and to the extent that funds are avail- able therein, for the redemption of such bonds in order' of their registration numbers, and the payment of interest accrued thereon to the date of redemption, in accordance with PCM 11-22310 (c) A deficiency shall be deemed to exist in the Interest Account if ever the balance on hand therein, fifteen days prior to any date on which interest is due on the bonds payable from the District Fund, is insufficient to pay su(� interest in full. A deficiency shall be deemed to exist in the Bond Account Oil ,any date on vhich there are not sufficient moneys in said Account to pay all principal due on any bonds payable from the District Fund. A deficiency. shall also be deemed to exist in the Bond Account on any date on which interest is due on bonds payable from the District Fund, unless the City has then or theretofore redeemed bonds in a principal amount equal to the sum -of all installments of special assessments paid prior to their due dates, plus a fraction of the remain- ing principal amount of the special assessments originally levied and appropri�ted to the District Fund, equal to the number of installments of such assessments then and theretofore due divided by the total number of installments in which such special assessments are permitted to be paid, (d) The City Council, not less than fifteen days before the date when interest is due on bonds payable from any District Fund,, shall issue an order authorizing a loan or advance from- the Revolving Fund to the District Fund in an amount sufficient to make good any deficiency then existing in the Interest Account thereof, and on any principal or interest due date shall issue an order authorizinLv a loan or make good any deficiency then existing in the Bond Account thereof,, to the extent that funds are available in the Revolving Fund. In the event that the balance on hand in the Revolving Fund fifteen days prior to any date when interest is due on special improvement district bonds of the City is not sufficient to make good aill def-'&.ciencies then existing in the Interest Accounts of District Funds, such balance shall be allocated to the District Funds in which such de- ficiencies then exist, in proportion to the amounts of the respective deficiencies on that date. Any money subsequently received in the Revolving Fund shall be allocalt-ed to the Interest Accounts of District Funds in which deficiencies exist �2� in proportion to the amounts of the deficiencies on the respective dates of receipL of such money, until all interest accrued on special improvement district bonds of the City has been paid. On any date when al.1 such accrued interest has been - id, any balance remaining in the Revolvi--, 7 7und shall be loaned or advanced to P a L L a the Bond Accounts of District Funds in which deficiencies then exist, in amounts proportionate to the respective amounts of such deficiencies, (e) At the same time as the annual Ievy for general taxes is certified for col'lection in each year, the C-Lt,)r Council -make,a tax levy on all the taxable property within the City, Of Kalispell 1z 9-Lch amount as shall be neces- as--ry, together with any anounts therefore transferred to the Revolving Fund from the General Fund, to accumulate in the Revolving Fund, within a period not exceeding three years from and after the issuance of bonds for any special im- provement district, and thereafter to inaintain at all times, a balance equal to fifteen Der centum of the originLl principe� of al-1. outstanding issues o-f special improvement district bonds, subject Lae maximum liz:-dtation as to rate or amount o-." such "Coax. All funds de."ived from such tax levy and transfers be irrcvo7ably ap-)ropriated to the Revolving Fund, and used on-"&.,y for the purposes se-L, forth in this ordinance,, until all special improvement district bonds o--A* the City and all interest thereon are fully paid. Section 5. The balance required in Section 4(e) to be acc,,.-,,,n.ulated and maintained -.n the Re,,,rolving Fund is determined to be the minimum necessary as a reserv,:�, 'for pa,-;-,-,�nt and redemption of maturing special improveru-.nt dd3trict bonds and interest of the Cit-,-. Nothing herein shall -prevent the Cit�� Co--�-il f rom appropriating to the Revo-la-ving Fund from other funds properly avalldble therefor amounts in excess of the minimum reserve established herein, or from transferring such excess amounts to the General ?"und or using such excess amounts for the purchase of property against which unpaid assessments are outstanding pursuant to RCM 11-2273; but the City expressly covenants and agrees -with the holders from time to time of all of its special improvement district bonds that no such transfers or purchases will be made at any time in such manner as to reduce the reserve in the Revolving Fund below the amount herein agreed to be maintained. The Revolving Fund will be deposited in a duly qualified depository bank and secured at all times as required by RCM 16-2618., but no,time deposit s. shall be made for a period exceeding one hundred eighty (180) days, and the Cit:, Council is alzo authorized to invest all or any portion of the reserve in direc-o". obligations of the. United States government, payable within not to exceed one hundred eighty (180) days from the time of such investment'. I . Section 6. This ordinance shall be in full force and effect from and after its passage and approval. Passed and adopted by the City Council of the City of Kalispell, Montana,, this 13th,day of 1,1'ay , 1968, and approved by the Mayor of said CitY of Ralispell thisl3th. day of 1.xay 3, 1968. (SEAL) At C il.y C 16 rk L, George Beardslee, Cil,,-y Clerk of the C of Kalispell, Montana, do hereby 5-i� certify that on the 14th day of May, 68,0 1 posted a co of t e foregoing ordinance In my office and the same emai d posted fo a pert of five I days and the foregoing Is a true and- , r ec - t copy o�f the or ance as passed by the City Council, I City C ,IeyVof the gity of Kalispell, Montana