Montana Code 2-17-1204. Selecting lender for state building construction loan — process
2-17-1204. Selecting lender for state building construction loan — process. (1) Except as provided in subsections (2) and (3), when selecting a financial institution to be the lender for a state building construction loan, a public agency shall select the financial institution that is the lowest responsible bidder in terms of interest rate, without regard to residency.
Terms Used In Montana Code 2-17-1204
- Building: has the meaning given in 18-2-101. See Montana Code 2-17-1202
- Financial institution: means a bank as defined in 32-1-102 or other regulated lender as defined in 31-1-111(1) and (2). See Montana Code 2-17-1202
- Interest rate: The amount paid by a borrower to a lender in exchange for the use of the lender's money for a certain period of time. Interest is paid on loans or on debt instruments, such as notes or bonds, either at regular intervals or as part of a lump sum payment when the issue matures. Source: OCC
- Physical branch: means a physical location of a financial institution that accepts deposits from Montana citizens and businesses. See Montana Code 2-17-1202
- Process: means a writ or summons issued in the course of judicial proceedings. See Montana Code 1-1-202
- Public agency: means a department, commission, council, board, bureau, committee, institution, agency, government corporation, or other entity, instrumentality, or official of the legislative, executive, or judicial branch of this state, including the board of regents and the Montana university system. See Montana Code 2-17-1202
- State: when applied to the different parts of the United States, includes the District of Columbia and the territories. See Montana Code 1-1-201
- State building construction loan: means a loan from a financial institution to a public agency to finance construction of one or more buildings of the public agency, obtained pursuant to the terms and conditions of this part. See Montana Code 2-17-1202
(2)In the event the lowest bidder does not have a physical branch located in the state, the public agency shall:
(a)determine if the next lowest bidder has a physical branch located in the state; and
(b)if, when multiplying the low bid by 1.025, the next lowest bid is at or less than the bid of the lowest bidder, notify the next lowest bidder and give that bidder 2 business days to offer a bid of equal terms.
(3)If the next lowest bidder offers an equal bid, the public agency shall select that bidder as the lender of its state building construction loan.