HomeMy WebLinkAboutResolution 3006 Authorizing sale of bonds for SID 662
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COMMISSION RESOLUTION NO. 3006
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF BOZEMAN,
MONTANA, RELATING TO SPECIAL IMPROVEMENT DISTRICT NO. 662;
AUTHORIZING AND PROVIDING FOR THE ISSUANCE AND SALE OF SPECIAL
IMPROVEMENT DISTRICT NO. 662 BONDS, IN THE AMOUNT OF $295,900
FOR THE PURPOSE OF STREET IMPROVEMENTS, INCLUDING ENGINEERING,
CONSTRUCTION, INSPECTION AND ENGINEERING CERTIFICATION OF
ASPHALT CEMENT PAVING, GRAVEL BASE COURSES AND SUBGRADE
PREPARATION, STORM DRAINAGE, AND ALL NECESSARY APPURTENANCES
TO CONSTRUCT A 2,691-FOOT PORTION OF NORTH 19TH A VENUE BETWEEN
BAXTER ROAD AND WEST OAK STREET, IN THE CITY OF BOZEMAN,
MONTANA.
BE IT RESOLVED by the City Commission of the City of Bozeman, Montana, as follows:
Section 1. Recitals.
The City of Bozeman has created Special Improvement District No. 662 (the District) for
the purpose of street improvements, including engineering, construction, inspection and engineering
certification of asphalt cement paving, gravel base courses and subgrade preparation, storm
drainage, and all necessary appurtenances to construct a 2,691-foot portion of North 19th Avenue
between Baxter Road and West Oak Street, in the City of Bozeman, Montana (the Improvements).
The amount of bonds necessary to be sold to pay the District's share of the Improvements is
$295,900. The City Commission of the City of Bozeman has full power and authority to issue the
Bonds.
Section 2. Term of Bonds.
Pursuant to the authority described above, this City Commission of the City of Bozeman
shall issue and sell the Bonds drawn against the funds of Special Improvement District No. 662 in
an aggregate principal amount of $295,900. The Bonds shall be dated as of October 1, 1994, and
shall bear interest, payable semi~annually on January 1 and July 1 of each year commencing
January 1, 1995, at the rate or rates designated by the successful bidder at public sale herein
authorized and as approved by this City Commission. If issued as serial bonds, the Bonds shall
mature on July 1 in each of the following years and amounts:
Year Amount
1995 5,000
1996 5,900
1997 1 0,000
1998 1 0,000
1999 1 5,000
2000 1 5,000
2001 15,000
2002 15,000
2003 1 5,000
2004 1 5,000
2005 1 5,000
2006 20,000
2007 20,000
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2008 20,000
2009 20,000
2010 20,000
2011 20,000
2012 20,000
2013 20,000
If issued as amortization bonds, the bonds will be issued' as a single bond or divided into several
bonds, as the City Commission may determine at the time of sale, with principal of the Bonds
payable annually on January 1, commencing on January 1, 1995, and, subject to prior redemption
and prepayment, continuing through January 1, 2013. Serial bonds shall be in the denomination
of $5,000 each or any integral multiple or fraction thereof of single maturities. The Bonds, whether
serial or amortization, shall be issued only as fully registered bonds and shall be executed by the
manual or facsimile signatures of the City Manager, Director of Finance and Clerk of the City
Commission. Amortization bonds shall be preferred.
Section 3. Notice of Sale.
The Bonds shall be opened on Monday, September 12,1994, at 10:00 a.m., M.D.T., at
the office of the Clerk of the Commission, and shall be sold at a regular meeting of the City
Commission of the City of Bozeman on Monday, September 12, 1994, at 3:00 o'clock p.m.,
M.D.T., in the Commission Room of the Municipal Building, 411 East Main Street, Bozeman,
Montana. The Clerk of the Commission is authorized and directed to cause the notice of the sale
to be published, as required by Section 7-12*4204, M.C.A., in the Bozeman Daily Chronicle, once
a week for two (2) successive weeks preceding the week which contains the date of sale. The
notice of sale attached hereto as Exhibit A (the Notice of Sale) contains further terms and
conditions for the sale of the Bonds which terms and conditions are hereby ratified and made a part
hereof. The Notice of sale shall be in substantially the form set forth in Exhibit A.
PASSED AND ADOPTED by the City Commission of the City of Bozeman, Montana, at a
regular session thereof held on the 22nd day of August 1994.
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ATTEST:
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ROBIN L. SULLIVAN
Clerk of the Commission
APPROVED AS TO FORM:
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EXHIBIT A
NOTICE OF SALE OF BONDS
of
$295,900 SPECIAL IMPROVEMENT DISTRICT NO. 662
OF THE CITY OF BOZEMAN, MONTANA
NOTICE HEREBY GIVEN by the City Commission of the City of Bozeman, Montana, that
bids will be received until 1 0:00 a,m., M.D.T., on the 12th day of September 1994, at which time
the bids will be opened and read in the office of the Clerk of the Commission. The City
Commission, at a regular meeting to be held on the 6th day of September 1994, at the hour of
3:00 o'clock p.m., M,D.T., at the Commission Room in the City Hall, 411 East Main Street,
Bozeman, Montana, will sell to the best bidder for cash, either amortization or serial bonds drawn
against the funds of Special Improvement District No. 662 in the total aggregate principal amount
of $295,900 Bonds (the Bonds) for the purpose of street improvements, including engineering,
construction, inspection and engineering certification of asphalt cement paving, gravel base courses
and subgrade preparation, storm drainage, and all necessary appurtenances to construct a 2,691-
foot portion of North 19th Avenue between Baxter Road and West Oak Street, in the City of
Bozeman, Montana.
THE BONDS
Amortization bonds will be the first choice and serial bonds will be the second choice of
the City of Bozeman. If amortization bonds are sold and issued, the Bonds will be issued as a single
bond or divided into several bonds, as the City of Bozeman may determine at the time of sale,
interest to be payable in equal semi-annual installments on each January 1 and July 1, commencing
on January 1, 1995, and subject to prior redemption and prepayment, continuing through January
1, 2013. Principal shall be payable annually, commencing January 1, 1995, and subject to prior
redemption and prepayment, continuing through January 1, 2013.
If serial bonds are issued and sold, the Bonds will be issued in the denomination of $5,000
each or any integral multiple or fraction thereof of single maturities. The serial bonds will mature,
subject to prior redemption and prepayment, on January 1, in the following years and amounts:
Year Amount
1995 5,000
1996 5,900
1997 1 0,000
1998 10,000
1999 15,000
2000 15,000
2001 1 5,000
2002 1 5,000
2003 1 5,000
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2004 15,000
2005 15,000
2006 20,000
2007 20,000
2008 20,000
2009 20,000
2010 20,000
2011 20,000
2012 20,000
2013 20,000
The Bonds, whether amortization or serial bonds, will be issued as fully registered bonds,
will bear an original issue date and be registered as of October 1, 1994, and will bear interest at
the rate or rates designated by the successful bidder at the sale. Interest will be payable
semiannually on January 1 and July 1 of each year commencing January 1, 1995. The Bonds will
be issued as fully registered bonds only.
REDEMPTION
All bonds are subject to redemption and prepayment at the option of the City of Bozeman,
in order of registration, on any interest payment date whenever there is any balance in the District
Fund after payment of interest due on all Bonds, either from the prepayment of special assessments
levied in the District or from the transfer of surplus monies in the Construction Account. The Bonds
shall not be callable from the proceeds of an issue of refunding bonds prior to the expiration of one-
third of their term.
SECURITY
The Bonds are not general obligations of the City of Bozeman. The Bonds are payable
from the collection of special assessments which are levied against and become a lien on the real
property within the District. The assessments to be levied by the City of Bozeman will bear interest
at an annual rate equal to the sum of one-half of one percent per annum plus the average annual
interest rate borne by the Bonds.
The Bonds shall also be secured by the City of Bozeman's Special Improvement District
Revolving Fund (the Revolving Fund). The City of Bozeman will agree to make a loan from the
Revolving Fund to the District Fund to make good any deficiency then existing in the Interest and
Bond Account of the District Fund and to provide funds for the Revolving Fund by levying a tax or
making a loan from the General Fund to the extent authorized by law. The City of Bozeman has
outstanding as of the date hereof $2,460,000.00 principal amount of Special Improvement District
Bonds. The City has a cash balance of $512,877.37 in its Special Improvement District Revolving
Fund.
REGISTRAR AND PAYING AGENT
Principal of and interest on the bonds will be payable at the principal office of the Director
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of Finance, City of Bozeman, Montana (the Bond Registrar and Paying Agent).
BIDS AND AWARD OF SALE
Terms of Bid. Each bid must be all but not less than all of the Bonds. All Bonds maturing
on the same date must bear basic interest from the date of issue until paid at a single, uniform rate,
expressed in integral multiples of 1/20 of 1 percent per annum. Supplemental or "B" interest shall
not exceed two and one.half percent per annum. No bid for less than par value with accrued
interest on the principal amount of the Bonds to the date of delivery of the Bonds will be
considered.
Bond Counsel. Bond Counsel for the sale of bonds shall be selected by the City. The City
of Bozeman has selected Dorsey and Whitney to serve as bond counsel for the Special
Improvement District No. 662 Bonds.
Receiot of Bids and Award of Sale. Sealed bids for the Bonds will be received by the Clerk
of the Commission, of the City of Bozeman, Montana, until 10:00 a.m., M.D.T., on Tuesday,
September 6, 1994. Each envelope must be marked as follows: "Bid for $295,900 Special
Improvement District No. 662 Bonds" and must indicate the name and address of the bidder or, in
the case of a group of bidders, of the representative.
Basis of Award. The award, if any, will be made to the bidder whose bid results in the
lowest net interest cost payable on the Bonds. The City of Bozeman reserves the right to reject
any and all bids and to waive any informality or irregularity in any and all bids.
Good Faith Check. Each bid must be accompanied by lawful money of the United States
of America or a cashier's check, certified check, bank money order or bank draft, in the amount of
$5,918.00 drawn and issued by a national banking association located in Montana or by any
banking corporation incorporated under the laws of Montana, payable to the City of Bozeman. The
bid security of the unsuccessful bidders will be returned immediately on award of the Bonds to the
successful bidder or after the rejection of all bids. The bid security of the successful bidder will be
deposited by the Director of Finance on the date of sale, and at the time of the delivery of the
Bonds such security will be applied against the purchase price for the Bonds or will be retained as
liquidated damages upon the failure of the successful bidder to take and pay for the Bonds in
accordance with the terms of its bid. No interest will be allowed on the bid security.
Additional Information. Additional information regarding the District and the Bonds may
be obtained from the Clerk of the City Commission, City of Bozeman, P.O. Box 640, Bozeman,
Montana 59715, telephone (406) 586.3321.
DELIVERY
Bonds. Delivery of the Bonds will be made payable therefore in immediately available
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funds within 45 days of the date of sale at Bozeman, Montana, or at such other location as the
purchaser shall request and the City of Bozeman shall approve. The charge of the delivery agent
will be paid by the purchaser. The cost of the printing of the bonds will be paid by the District.
Closina Certificates and Ocinions. At the time of delivery of the Bonds the District will
deliver to the successful bidder a legal opinion, which is to be paid for by the District. The legal
opinion will state that the Bonds are valid and binding special obligations of the City of Bozeman,
and the interest thereon is exempt from federal and Montana state income tax. A copy of the legal
opinion will be printed on the reverse side of the Bonds at the request of the purchaser. The
District will deliver a certificate stating that no litigation in any manner questioning the validity of
the Bonds is then pending, or to the best knowledge of the City threatened, along with other
customary closing certificates.
ROBIN L. SULLIVAN
Clerk of the Commission
Publication Dates: Sunday, August 28, 1994
Sunday, September 4, 1994
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EXHIBIT A
AMENDED
NOTICE OF SALE OF BONDS
of
$295,900 SPECIAL IMPROVEMENT DISTRICT NO. 662
OF THE CITY OF BOZEMAN, MONTANA
(Due to a conflict in dates on the original Notice,
this Amended Notice has been prepared)
NOTICE HEREBY GIVEN by the City Commission of the City of Bozeman, Montana, that
bids will be received until 10:00 a.m., M.D.T., on the 12th day of September 1994, at which time
the bids will be opened and read in the office of the Clerk of the Commission. The City
Commission, at a regular meeting to be held on the 12th day of September 1994, at the hour of
3:00 o'clock p.m., M.D.T., at the Commission Room in the City Hall, 411 East Main Street,
Bozeman, Montana, will sell to the best bidder for cash, either amortization or serial bonds drawn
against the funds of Special Improvement District No. 662 in the total aggregate principal amount
of $295,900 Bonds (the Bonds) for the purpose of street improvements, including engineering,
construction, inspection and engineering certification of asphalt cement paving, gravel base courses
and subgrade preparation, storm drainage, and all necessary appurtenances to construct a 2,691-
foot portion of North 19th Avenue between Baxter Road and West Oak Street, in the City of
Bozeman, Montana.
THE BONDS
Amortization bonds will be the first choice and serial bonds will be the second choice of
the City of Bozeman. If amortization bonds are sold and issued, the Bonds will be issued as a single
bond or divided into several bonds, as the City of Bozeman may determine at the time of sale,
interest to be payable in equal semi-annual installments on each January 1 and July 1, commencing
on January 1, 1995, and subject to prior redemption and prepayment, continuing through January
1, 2013. Principal shall be payable annually, commencing January 1, 1995, and subject to prior
redemption and prepayment, continuing through January 1, 2013.
If serial bonds are issued and sold, the Bonds will be issued in the denomination of $5,000
each or any integral multiple or fraction thereof of single maturities. The serial bonds will mature,
subject to prior redemption and prepayment, on January 1, in the following years and amounts:
Year Amount
1995 5,000
1996 5,900
1997 10,000
1998 1 0,000
1999 1 5,000
2000 1 5,000
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2001 1 5,000
2002 1 5,000
2003 1 5,000
2004 1 5,000
2005 1 5,000
2006 20,000
2007 20,000
2008 20,000
2009 20,000
2010 20,000
2011 20,000
2012 20,000
2013 20,000
The Bonds, whether amortization or serial bonds, will be issued as fully registered bonds,
will bear an original issue date and be registered as of October 1, 1994, and will bear interest at
the rate or rates designated by the successful bidder at the sale. Interest will be payable
semiannually on January 1 and July 1 of each year commencing January 1, 1995. The Bonds will
be issued as fully registered bonds only.
REDEMPTION
All bonds are subject to redemption and prepayment at the option of the City of Bozeman,
in order of registration, on any interest payment date whenever there is any balance in the District
Fund after payment of interest due on all Bonds, either from the prepayment of special assessments
levied in the District or from the transfer of surplus monies in the Construction Account. The Bonds
shall not be callable from the proceeds of an issue of refunding bonds prior to the expiration of one-
third of their term.
SECURITY
The Bonds are not general obligations of the City of Bozeman. The Bonds are payable
from the collection of special assessments which are levied against and become a lien on the real
property within the District. The assessments to be levied by the City of Bozeman will bear interest
at an annual rate equal to the sum of one-half of one percent per annum plus the average annual
interest rate borne by the Bonds.
The Bonds shall also be secured by the City of Bozeman's Special Improvement District
Revolving Fund (the Revolving Fund). The City of Bozeman will agree to make a loan from the
Revolving Fund to the District Fund to make good any deficiency then existing in the Interest and
Bond Account of the District Fund and to provide funds for the Revolving Fund by levying a tax or
making a loan from the General Fund to the extent authorized by law. The City of Bozeman has
outstanding as of the date hereof $2,460,000.00 principal amount of Special Improvement District
Bonds. The City has a cash balance of $512,877.37 in its Special Improvement District Revolving
Fund.
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REGISTRAR AND PAYING AGENT
Principal of and interest on the bonds will be payable at the principal office of the Director
of Finance, City of Bozeman, Montana (the Bond Registrar and Paying Agent).
BIDS AND AWARD OF SALE
Terms of Bid. Each bid must be all but not less than all of the Bonds. All Bonds maturing
on the same date must bear basic interest from the date of issue until paid at a single, uniform rate,
expressed in integral multiples of 1/20 of 1 percent per annum. Supplemental or "B" interest shall
not exceed two and one-half percent per annum. No bid for less than par value with accrued
interest on the principal amount of the Bonds to the date of delivery of the Bonds will be
considered.
Bond Counsel. Bond Counsel for the sale of bonds shall be selected by the City. The City
of Bozeman has selected Dorsey and Whitney to serve as bond counsel for the Special
Improvement District No. 662 Bonds.
ReceiPt of Bids and Award of Sale. Sealed bids for the Bonds will be received by the Clerk
of the Commission, of the City of Bozeman, Montana, until 10:00 a.m., M.D.T., on Monday,
September 12, 1994. Each envelope must be marked as follows: "Bid for $295,900 Special
Improvement District No. 662 Bonds" and must indicate the name and address of the bidder or, in
the case of a group of bidders, of the representative.
Basis of Award. The award, if any, will be made to the bidder whose bid results in the
lowest net interest cost payable on the Bonds. The City of Bozeman reserves the right to reject
any and all bids and to waive any informality or irregularity in any and all bids.
Good Faith Check. Each bid must be accompanied by lawful money of the United States
of America or a cashier's check, certified check, bank money order or bank draft, in the amount of
$5,918.00 drawn and issued by a national banking association located in Montana or by any
banking corporation incorporated under the laws of Montana, payable to the City of Bozeman. The
bid security of the unsuccessful bidders will be returned immediately on award of the Bonds to the
successful bidder or after the rejection of all bids. The bid security of the successful bidder will be
deposited by the Director of Finance on the date of sale, and at the time of the delivery of the
Bonds such security will be applied against the purchase price for the Bonds or will be retained as
liquidated damages upon the failure of the successful bidder to take and pay for the Bonds in
accordance with the terms of its bid. No interest will be allowed on the bid security.
Additional Information. Additional information regarding the District and the Bonds may
be obtained from the Clerk of the City Commission, City of Bozeman, P.O. Box 640, Bozeman,
Montana 59715, telephone (406) 586-3321.
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DELIVERY
Bonds. Delivery of the Bonds will be made payable therefore in immediately available
funds within 45 days of the date of sale at Bozeman, Montana, or at such other location as the
purchaser shall request and the City of Bozeman shall approve. The charge of the delivery agent
will be paid by the purchaser. The cost of the printing of the bonds will be paid by the District.
CI<;>sina Certificates and Opinions. At the time of delivery of the Bonds the District will
deliver to the successful bidder a legal opinion, which is to be paid for by the District. The legal
opinion will state that the Bonds are valid and binding special obligations of the City of Bozeman,
and the interest thereon is exempt from federal and Montana state income tax. A copy of the legal
opinion will be printed on the reverse side of the Bonds at the request of the purchaser. The
District will deliver a certificate stating that no litigation in any manner questioning the validity of
the Bonds is then pending, or to the best knowledge of the City threatened, along with other
customary closing certificates.
ROBIN l. SULLIVAN
Clerk of the Commission
Publication Dates: Friday, September 2, 1994
Sunday, September 4, 1994
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CERTIFICATION OF MINUTES RELATING TO
$295,900.00 Special Improvement District No. 662 Bonds
Issuer: City of Bozeman, Gallatin County, Montana
Governing Body: City Commission
Kind, date, time and place of meeting: A regular meeting held on August 22, 1994, at 3:00 p.m.,
in the Commission Room of the Municipal Building, 411 East Main Street, in Bozeman, Montana.
Members present: Mayor Vincent, Commissioner Youngman, Commissioner Stiff, Commissioner
Stueck and Commissioner Frost
Members absent: None
Documents attached:
Minutes of said meeting (pages):
COMMISSION RESOLUTION NO. 3006
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF BOZEMAN,
MONTANA, RELATING TO SPECIAL IMPROVEMENT DISTRICT NO. 662;
AUTHORIZING AND PROVIDING FOR THE ISSUANCE AND SALE OF SPECIAL
IMPROVEMENT DISTRICT NO. 662 BONDS, IN THE AMOUNT OF $295,900
FOR THE PURPOSE OF STREET IMPROVEMENTS, INCLUDING ENGINEERING,
CONSTRUCTION. INSPECTION AND ENGINEERING CERTIFICATION
OF
ASPHALT CEMENT PAVING, GRAVEL BASE COURSES AND SUBGRADE
PREPARATION, STORM DRAINAGE. AND ALL NECESSARY APPURTENANCES
TO CONSTRUCT A 2,691.FOOT PORTION OF NORTH 19TH A VENUE BETWEEN
BAXTER ROAD AND WEST OAK STREET. IN THE CITY OF BOZEMAN.
MONTANA.
I, the undersigned, being the duly qualified and acting recording officer of the public
corporation issuing the obligations referred to in the title of this certificates, certify that the
documents attached hereto, as described above. have been carefully compared with the original
records of said corporation in my legal custody, from which they have been transcribed; that said
documents are a correct and complete transcript of the minutes of a meeting of the governing body
of said corporation, and correct and complete copies of all resolutions and other actions taken and
of all documents approved by the governing body at said meeting, so far as they relate to said
obligations; and that said meeting was duly held by the governing body at the time and place and
was attended throughout by the members indicated above, pursuant to call and notice of such
meeting given as required by law.
WITNESS my hand officially as such recording officer this 23rd day of August 1994.
GJk .;/ ~
ROBIN L. SULLIVAN
Clerk of the Commission