05-17 Eddy Street Commons Phase II Bond Issuance

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ORDINANCE NO. AN ORDINANCE OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA AUTHORIZING THE CITY OF SOUTH BEND, INDIANA TO ISSUE ITS TAXABLE ECONOMIC DEVELOPMENT REVENUE BONDS, SERIES 2017 (EDDY ST. PHASE II) IN THE PRINCIPAL AMOUNT NOT TO EXCEED TWENTY -FIVE MILLION DOLLARS ($25,000,000) AND APPROVING OTHER ACTIONS IN RESPECT THERETO STATEMENT OF PURPOSE AND INTENT Pursuant to I.C. 36 -7 -11.9, I.C. 36 -7 -12 and I.C. 36 -7 -14 (collectively, the "Act "), the City of South Bend, Indiana (the "City ") is authorized and desires to issue its Taxable Economic Development Revenue Bonds, Series 2017 (Eddy St. Phase II) (the "Bonds ") in an amount not to exceed $25,000,000 for the purpose of (i) financing the construction of a portion of Phase II of the development project commonly known as Eddy Street Commons (the "Project ") located within Allocation Area No. 2 of the area formerly known as the Northeast Neighborhood Development Area and now known as the River East Development Area (the "Area ") within the City, (ii) funding a reserve for the Bonds, and (iii) paying costs of issuance of the Bonds. On December 29, 2016, the Redevelopment Commission of the City (the "RDC ") adopted a resolution pledging tax increment revenues generated from the Area (the "TIF Revenues ") as repayment for the Bonds, on a parity with any other bonds issued and payable from a first lien on the TIF Revenues, in accordance with and subject to the terms and conditions of a trust indenture (the "Indenture ") between the City and an institutional trustee. Pursuant to the Act, the Economic Development Commission of the City (the " BDC ") prepared a report (the "Report") evaluating certain aspects of the Project and submitted the Report to the Executive Director of the Area Plan Commission of St. Joseph County, Indiana, which serves as the Plan Commission for the City, and the Superintendent of the South Bend Community School Corporation to provide each the opportunity to provide written comments concerning the Report. Further, pursuant to the Act, the EDC published notice of a public hearing to be held on the proposed issuance of the Bonds (the "Public Hearing ") and, on January 4, 2017, held a meeting and conducted the Public Hearing in accordance with the Act, and adopted a resolution making certain findings and approving the issuance of the Bonds, the Report, and the substantially final forms the Bonds and the Indenture presented at such meeting and subsequently sent its Resolution recommending issuance of the Bonds to this Council. The Council now desires to authorize issuance of the Bonds and finds that all conditions precedent to issuance of the Bonds have been met pursuant to the Act.