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Tab 02 Resolution 4204CERTIFICATE AS TO RESOLUTION AND ADOPTING VOTE I " the undersigned, being the duly qualified and acting recording of f icer of the City of Kalispell,, Montana (the "City") hereby certify that the attached resolution is a true copy of Resolution No, 4204,, entitled: "RESOLUTION RELATING TO SPECIAL IMPROVEMENT DISTRICT NO, 341, DECLARING IT TO BE THE INTENTION OF THE CITY COUNCIL TO CREATE THE DISTRICT FOR THE PURPOSE OF UNDERTAKING CERTAIN LOCAL IMPROVEMENTS. AND FINANCING THE COSTS THEREOF AND INCIDENTAL THERETO THROUGH THE ISSUANCE OF SPECIAL IMPROVEMENT DISTRICT BONDS SECURED BY THE CITY'S SPECIAL IMPROVEMENT DISTRICT REVOLVING FUND11 (the "Resolution").. on file in the original records of the City in my legal custody; that the Resolution was duly adopted by the City Council of the City at a meeting on May 1, 1995, and that the meeting was duly held by the City Council and was attended throughout by a quorum, pursuant to call and notice of such meeting given as required by law, and that the Resolution has not as of the date hereof been amended or repealed. I further certify that, upon vote being taken on the Resolution at said meeting the following Council members voted in favor thereof: James Atkinson, Loren Granmo, Barbara Moses, Dale Haarr, Duane Larson, Pam Kennedy, Gary Nystul, and f..'.liff Collins, and Mayor Doug Rauthe; voted against the same: None; abstained from voting thereon: None,; or were absent: None . f WITNESS MY HAND OFFICIALLY THIS / DAY OF MAY, 1995s (yd, cm, CLERK (�F) YPRCIL RESOLUTION NO* RESOLUTION RELATING TO SPECIAL IMPROVEMENT DISTRICT NO. 341; DECLARING IT TO BE THE INTENTION OF THE CITY COUNCIL TO CREATE THE DISTRICT FOR THE PURPOSE OF UNDERTAKING CERTAIN LOCAL IMPROVEMENTS AND FINANCING THE COSTS THEREOF AND INCIDENTAL THERETO THROUGH THE ISSUANCE OF SPECIAL IMPROVEMENT DISTRICT BONDS SECURED BY THE CITY'S SPECIAL IMPROVEMENT DISTRICT REVOLVING FUND* BE IT RESOLVED by the City Council of the City of Kalispell (the "City"),. Montana, as follows: E.QT I QN. I FRQPQ..S.EL)JMPRQVEMENTS; INTO= TO CREA DISTRICT The City proposes to undertake certain local improvements (the '"Improvements") to benef it certain property located in the City. The Improvements consist of installation of a sanitary sewer main, as more particularly described in Section V. The total estimated construction costs of the improvements are $132x7Q0,00 * The cost of the Improvements are to be paid from the following sources: (1) Special Improvement District bonds hereinafter described; (2) City of Kalispell Sewer Fund Reserves. It is the intention of this Council to create and establish in the City under the Title 7, Chapter 12, Parts 41 and 42, Montana Code Annotated, as amended, a special improvement district (the "District") for the purpose of financing a portion of the costs of the Improvements and paying costs incidental thereto, including the costs associated with the sale and the security of special improvement district bonds drawn on the District (the "Bond")., the creation and administration of the District, the funding of a deposit to the City's Special Improvement District Revolving Fund (the "Revolving Fund") and the establishment of a reserve account securing the Bonds in the District fund (the "Reserve Account"), The total estimated costs of the Improvements, including such incidental costs to be f inanced by the Bonds are $1 50, 0-!20,-QO, The Bonds are to be payable primarily from special assessments to be levied against property in the District, which property will be specially benefitted by the Improvements in an amount not less than $1.3 gg. -7 Q 0 , QQ .6 N R --OBE- -.....QF. DISTRI The District, if the same shall be created and established, shall be known and designated as Special RESOLUTION OF INTENTION SID # 341 2 Improvement District No. 341 of the City of Kalispell, MontanaS S-EfeTION II I * BQ-UNDARI.E S —QF D I SM I.-QT The limits and boundaries of the District are depicted on a map attached as Exhi bit "A", attached hereto and thereby made a part hereof, which boundaries are designated and confirmed as the boundaries of the District. A listing of each of the properties of the District is shown on Exhibit "B", attached hereto, which is hereby incorporated herein and made a part hereof& im- I "--to) z L3M"z[*j The District and territory included within the limits and boundaries described in Section III and as shown on Exhibits A and B are hereby declared to be the special improvement district and the territory which will benefit and be benefitted by the Improvements and will be assessed for a portion of the costs of the Improvements as described in Section I. It is the intention of the Council to charge the expenses of the work improvements to lots not fronting on the Improvements, as well as lots abutting the Improvements, because the lots not fronting on the Improvement are benefitted by the Improvements and the installation of the Improvements are more than local and ordinary benefit. The property included within said limits and boundaries is hereby declared to be the property benefitted by the Improvement. ,5.Efe-TION Nr e GENERAL, CHARMTER QF-THE IMPRMMEM The general character of the Improvements is to build a sanitary sewer main with services to the property line, on Fifth Avenue East beginning at Fourteenth Street East and continuing South to the City limits line. BE.C-T—ION VIs ENQI.NEER AND ESI-IMATED QQ5T The City of Kalispell, Public Works Department shall be the engineer for the District, The Engineer has estimated the costs of the Improvements, including incidental costs to be $ U0,000,&Q-6 SECTIQU-VII* AUEr2gj ENT METH All properties in the District are to be assessed for a portion of the costs of the Improvements, as specified RESOLUTION OF INTENTION SID # 341 3 herein. The costs of the Improvements shall be assessed against the property in the District benefitting from the Improvements, based on the following. A) The District's cost of constructing and installing the sanitary sewer, with services to the property line, shall be assessed by determining the lots fronting upon the Improvements and assessing each lot as its frontage bears to its proportion of the whole cost of the Improvements, Lots not fronting shall be assessed based upon an average fronting of those lots fronting the Improvements, B) The total lineal footage of the lots, tracts or parcels bordering or abutting such Improvement and to be so assessed is 2867,03 feet, The assessment for each lot, tract or parcel of land for the Improvements is shown on Exhibit "B". attached hereto. EECTION VII.10 5SMENT ME.THQDQLQGI E S --.-EQIII TA13L.9 -.--AND CONSI5TENT WITH BENEFIT This Council hereby determines that the method of assessment and the assessment of the costs of the specific Improvements against the properties benefitted thereby as prescribed in Section VII are equitable and in proportion to and not exceeding the special benefits derived from the respective Improvements by the lots, tracts and parcels to be assessed therefore in the District* X9 PAYMENT --- QF ASBE, MEN SECTION L---- .95 The special assessment for the costs of the Improvements shall be payable over a term not exceeding years, each in equal semiannual installments of principal, plus interest, or equal semiannual payments of principal and interest, as this Council shall prescribe in the resolution authorizing the issuance of the Bonds . Property owners have the right to prepay assessment as provided by law. 5ECTION. METjQD.5--.-.QF FINANCINQ; PLEDGE QF RMLVINQ FUND'@ FINDIN AND DETERMINA71 -QM The City will issue the Bonds in an aggregate principal amount not to exceed $150..., Q.99.- 90- in order to f inance .the costs of the Improvements. Principal of and RESOLUTION OF INTENTION SID # 341 4 interest on the Bonds will be paid from special assessments levied against the property in the District and such payments will be secured by the Reserve Account. This Council further finds it is in the public interest, and in the best interest of the City and the District, to secure payment of principal of and interest on the bonds by the Revolving Fund and hereby authorizes the City to enter into the undertaking and agreements authorized in S 7-12-4225, MCA with respect to the Bonds. In determining to authorize such undertakings and agreements, this Council has taken into consideration 0 the following factors. A) Est-iMated Market Value of Parcels. The estimated market value Of the lots parcels or tracts in the District as of the date of adoption of this resolution, as estimated by the Flathead County Assessor for property tax purposes , is set f orth in Exhibit "B",, The property within the proposed District is zone Residential Apartment, RA-1, allowing multi- family dwellings. All of the lots are of sufficient size to allow duplexes and most would allow at least fourplexes under the current zoning. There is a great need for additional housing units within the City of Kalispell and multi -family property is in demand. The property within the proposed District cannot be used for multi -family housing, under current regulations, without municipal sewer service. The City of Kalispell, Public Works Department estimates that every lot, parcel or tract of land within the proposed District would increase in value at least by $5000.00 after the Improvements have been completed, with several increasing even more. The special assessments to be levied under Section VII against each lot, parcel or tract in the District is less than the increase in estimated market value of the lot, parcel or tract as a result of the construction of the Improvements. B) Diversity of Property.Ownership. The 35 lots, parcels or tracts of land within the District have 33 different owners, The lots are primarily developed as single family -owner occupied residences, and only two lots are RESOLUTION OF INTENTION SID # 341 5 undeveloped and vacant, C) Comoarison of SDecial Assessments .......... and Propg�r,t,y..Taxes and Market Value,, The proposed Improvements and incidental expenses will require $150,000,00. There are no outstanding special assessments or industrial development revenue bonds on property within the District. According to the Flathead County Treasurer's office total unpaid and delinquent taxes on three (3) of the lots within the District are $842.74, $717.66 and $402.98, respectively, for a total of $1,963.38. As shown in Exhibit "B" the market value of the property is $1,600,603.00. Current delinquencies are .12% of the market value. The District if created will be 9.3% of the market value of the property. D) Delinquencies Delinquencies on the property are .12% of the market value of the property in the proposed District. Currently, the City's General Fund Levy shows a delinquency rate of 2%. The City has currently total outstanding SID and Sidewalk and Curb bonds in the amount of $144,232.00. Total delinquencies on the bonds equals $2,859 or about 2%. The City has currently $32,962.00 in the SID Revolving Fund or about 22% of the outstanding debt owed from SID's and Sidewalk and Curb bonds. E) The Public Benefit.of the Improve=ntg The property included within the District comprises the last significant area within the City limits of Kalispell not served by City sewer. The area is currently served by septic systems for individual properties. If septic systems fail it is doubtful that the property owners will be able to obtain replacement systems. All property within the District is either within the boundaries of the City or will be in the City prior to assessment for the Improvements, RESOLUTION OF INTENTION SID # 341 6 SECTIQN..___X * PILB—LIC- E_EARINQ;._..PRQTEST At any time within fifteen (15) days from and after the date of the first publication of the notice of the passage and approval of this resolution, any owner of real property within the District subject to assessment and taxation for the cost and expenses of making the Improvements may make and file with the City Clerk of Council until 5:00 P.Mol M.D.T., on the expiration date of said 15-day period (-.-..June )written protest against the proposed Improvements, or against the extension or creation of the District or both, and this Council will at its next regular meeting after the expiration of the fifteen (15) days in which such protests in writing can be made and filed, proceed to hear all such protests so made and filed* which said regular meeting will be held on ju]ag 0 1225, at 7*00 P.Me M,D.T. in the City Hall, 312 1st Avenue East, Kalispell, Montana, SECTIQN XI. NQTIQE QF. PAS5A9E..___.0F. RESOLIITIQN _QF INTENTION The City Clerk of Council is hereby authorized and directed to publish or cause to be published a copy of a notice of the passage of this resolution in the Daily Inter Lake, a newspaper of general circulation in the County on -May 16 and -May 1995,, in the form and manner prescribed by law, and to mail or cause to be mailed a copy of said notice to every person, firm, corporation, or the agent or such person, firm, or corporation having real property within the District listed in his or her name upon the last completed assessment roll for state, county, and school district taxes, at his last -known address, on or before the same day such notice is first published. PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF KALISPELL, MONTANA THIS 1st DAY OF MAY, 19950 Vl D. 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