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HomeMy WebLinkAboutSpecial City Council Minutes 09.04.1997Minutes of the City Council of Laurel September 4, 1997 A special meeting of the City Council of the City of Laurel, Montana, was held in the Council Chambers and called to order by Mayor Chuck Rodgers at 12:10 p.m., on September 4, 1997 for the specific purpose to sell to the highest and best bidder for cash, water system revenue bonds of the city in the principle amount of one million twenty thousand dollars {$1,020,000.00) for the purpose of financing a portion of the costs of making improvements to the water system. COUNCIL MEMBERS PRESENT: Miles Walton Bud Johnson Gay Easton Gary Temple Donna Kilpatrick William Staudinger COUNCIL MEMBERS ABSENT: Dirk Kroll Norman Orr Three bids were received. Aaron Rudio, D.A. Davidson & Co., financial advisor for the bond issue, distributed bid tally sheets. Mr. Rudio explained that all the firms bidding have not provided a "good faith" check with their bid. They have gotten set up with a company called Sure Bid, which will guarantee the "good faith" amount until the successful purchaser has wired the amount to the city tomorrow. He said that after the bids are opened, he will take the apparent low and best bid and call his office in Great Falls to verify the figures on the computer and then go ahead and award the sale. The bids were opened in the order they were received. Name of Bidder Total Dollar Interest Cost Less Premium Plus Discount Net Dollar Interest Cost New Interest Rate D.A. Davidson Dain Bosworth, Inc. Juran & Moody $625,606.33 $613,633.61 $640,093.33 -0- -0- -0- 15,300.00 11,617.80 15,810.00 625,251.41 5.034095% 640,906.33 5.16013% 655,903.33 5.2808% Aaron Rudio called his office in Great Falls, and they verified the figures from the Dain Bosworth, Inc. bid. The bid was within the parameters set and is an excellent bid. As the financial advisor, D. A. Davidson, Inc. recommends to accept the bid from Dain Bosworth, Inc. for the purchase of the bonds. This would be done by executing the bid form they have submitted and by adopting the resolution awarding the sale of the bonds. Motion by Alderman Johnson to accept the bond bid from Dain Bosworth, Inc., seconded by Alderman Staudinger. Motion carried 6--0. RESOLUTION NO. R97-48 RESOLUTION AUTHORIZING THE ISSUANCE OF $1,020,000 WATER SYSTEM REVENUE BONDS, SERIES 1997, CITY OF LAUREL, MONTANA FOR THE PURPOSE OF PAYING COSTS OF NECESSARY IMPROVEMENTS TO THE WATER SYSTEM, INCLUDING THE EXTENSION, EXPANSION AND REPAIR OF THE WATER SYSTEM AND ALL NECESSARY APPURTENANCES THERETO; PRESCRIBING THE FORM OF BONDS; PROVIDING FOR THE COLLECTION OF REVENUES FROM THE SYSTEM SUFFICIENT TO PAY DEBT SERVICE, THE COSTS OF OPERATION AND MAINTENANCE OF THE SYSTEM AND CERTAIN RESERVES THEREFOR; PROVIDING FOR THE PAYMENT OF THE BONDS; PROVIDING FOR THE SEGREGATION AND DISTRIBUTION OF THE REVENUES; AND PROVIDING FOR THE RIGHTS OF THE HOLDERS OF THE BONDS IN ENFORCEMENT THEREOF. Motion by Alderman Johnson that Resolution No. R97-48 be passed and adopted, seconded by Alderwoman Kilpatrick. Motion carried 6--0. Aaron Rudio, on behalf of D.A. Davidson & Co., thanked the city for allowing them to be their financial advisor. Minutes of the City Council of Laurel Page 2 Council Heeting of September 4, 1997 The meeting was adjourned at 12:34 p.m. Approved by the Mayor and passed Montana, Donald L. Hackmann, City Clerk by the City this 16th day of September, 1997. Council of the City of Laurel, ATTEST: Donald L. Hackmann, City Clerk