HomeMy WebLinkAboutResolution 2539 Authorizing bonds for Cowdrey for construction of 32 unit complex: KILLED 12-10-84
C.f3G KILLED 12-10-84 KILLED 12-10-84
RESOLUTION NO. 2539
RESOLUTION RELATING TO A PROJECT AND REVENUE BONDS UNDER TITLE
90, CHAPTER 5, PART 1, MONTANA CODE ANNOTATED; APPROVING AND
AUTHORIZING HOUSING DEVELOPMENT REVENUE BONDS OR NOTES IN THE
MAXIMUM AMOUNT OF $950,000 FOR MARVIN R. AND JUDY G. COWDREY FOR
THE CONSTRUCTION OF A 32 UNIT APARTMENT COMPLEX.
BE IT RESOLVED by the City Commission of the City of Bozeman, Montana (the City),
I
as follows:
1. General Recitals.
The City, by Resolution No. 2530 duly adopted on November 5, 1984, called a public
hearing on a proposed project (the Project) under Title 90, Chapter 5, Part 1, Montana Code
Annotated (the Act), consisting of the acquisition and construction of a 32 unit Apartment
Complex to be located in the City of Bozeman on the corner of West Dickerson and South 22nd
and to be owned by Marvin R. and Judy G. Cowdrey (the Borrower) and the issuance of
revenue bonds (which may be designated notes) in the maximum aggregate face amount of
$950,000 as authorized by the Act, to defray the costs of the Project and costs and expenses
incident to the financing.
2. Public Hearing.
At the public hearing duly called, noticed and held as required by the Act all persons
who appeared were afforded an opportunity to express their views with respect to the proposal
to undertake and finance the Project.
3. Findings and Determinations.
Based on the public hearing, any written comments filed with the Clerk of Commission
I
and such other facts and circumstances as the City deems relevant, the City hereby finds,
determines and declares, as follows:
a. The Project comprises real and personal properties which shall be suitable
for use
as a multi-family housing facility as contemplated by the Act;
b. In authorizing the acquisition, construction and equipment of the Project,
and the
financing thereof by the issuance and sale of the Note and the loaning
of the
proceeds thereof to the Borrower, the Municipality's purpose is and in
its
judgment the effect thereof wi II be to promote the public welfare by
encouraging
the location and development of multifamily housing in the Municipality
thereby
increasing the availability of affordable mUlti-family housing units for
low income
residents of the City, improving employment opportunities for present
and future
residents, increasing and balancing the tax base of the Municipality and
over-
lapping taxing jurisdictions and promoting and stimulating economic activity
within
the Municipality;
c. The City is authorized thereby to issue revenue bonds (Note) and to loan
the I
proceeds thereof to the Borrower to defray all or a portion of the costs
of the
acquisition and construction of the Project and to enter into a loan agreement
with
the Borrower providing for loan payments from the Borrower to the City
in
amounts at least sufficient to provide for the full and prompt payment
of the
principal of and interest on the bonds as due and requiring the Borrower
to pay
COMMISSION RESOLUTION NO.
2539
.......----- -. -----
KILLED 12-10-84
KILLED 12-10-84 037
all costs of maintaining and insuring the Project, including taxes thereon;
d. Thirty percent (30%) of the units in the Project wi II be reserved for
occupancy
by persons of low income as required by Section 103(b)(4)(A) of the Internal
Revenue Code of 1954, as amended;
4. Preliminary Approval and Authorization.
I The City hereby approves the Project and the issuance of the City's Industrial
Development Revenue Bonds (Note) (32 unit Apartment Complex--Marvin R. and Judy G.
Cowdrey Project) (the Bonds) in the maximum aggregate face amount of $950,000 for the
purpose of defraying all or a portion of the costs of acquiring and constructing the Project
and costs and expenses incident to the financing, including all costs authorized by Section
90-5-109 of the Act. The Project will be located in the City of Bozeman, Montana, on the
corner of West Dickerson and South 22nd (Lots 1 and 2--Block 1, University Square Subdivision).
The Bonds shall mature over a term not to exceed 30 years and shall bear interest at a rate
or rates allowable by law and contain such other terms and provisions as shall be agreed
upon by the City, the Borrower and the purchasers of the Bonds. The Borrower shall,
pursuant to a loan agreement (the Loan Agreement), agree to acquire and construct the
Project; to operate and maintain the Project and keep it properly insured; to pay all taxes
and assessments on or against the Project; and to make loan repayments sufficient to pay the
principal of, premium, if any, and interest on the Bonds and all costs and expenses of the
City and any trustee in connection with the Project; and to establish and maintain all
I necessary reserves therefor. The Bonds will be secured by a trust indenture or mortgage
and a pledge and assignment of the loan repayments under the Loan Agreement and such
other security devices as shall be deemed advantageous.
5. Payment of City's Costs.
The Developer has agreed to pay directly or through the City any and all costs in-
curred by the City in connection with the project whether or not the project is approved,
whether or not the project is carried to completion, and whether or not the Bonds are
executed.
6. City Attorney Approval.
The City Attorney shall approve all agreements to be entered into by the City in
connection with the issuance of the Bonds and such agreements shall be authorized and
approved by this Commission after due consideration prior to their execution by the City.
7. Ratification.
All acts and doings of any officer or agent of the City in furtherance of the purpose
and intent of this Resolution, including without limitation, the publication of Notice of Public
Hearing in the manner provided for in Section 2 hereof and are hereby ratified, confirmed
I and made the act and deed of this governing body.
8. Confl icting Resolutions Repealed.
All resolutions and orders of parts thereof in conflict with the provisions of this
Resolution are to the extent of such conflict thereby repealed and this Resolution shall be in
immediate effect from and after its adoption.
COMMISSION RESOLUTION NO.
2539
038 KILLED 12-10-84 KILLED 12-10-84
PASSED AND APPROVED by the Bozeman City Commission this day of
, 1984.
Mayor
Attest:
Clerk of the City Commission I
I
I
KILLED - 12-10-84 KILLED 12-10-84
COMMISSION RESOLUTION NO. 2539