Inducement Resolution Relating to Raconik Leasing an Indiana Partnership Project

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RESOLUTION NO. 795 -80 INDUCEMENT RESOLUTION OF THE CITY OF SOUTH BEND, INDIANA Relating to: Raconik Leasing, an Indiana Partnership Project WHEREAS, at the present time there are insufficient em- ployment opportunities and insufficient diversification of business, commerce and industry in and near the City of South Bend, Indiana (the "City "); and WHEREAS, the economic welfare of the City would be benefited by the acquisition and construction of economic devel- opment facilities pursuant to the provisions of Indiana Code 18 -6 -4.5 (the "Act "); and WHEREAS, Raconik Leasing, an Indiana Partnership ( "Raconik ") proposes to acquire economic development facilities as defined in the Act if the City will finance costs of such economic development facilities pursuant to the Act; and WHEREAS, the South Bend Economic Development Commission has received an application by Raconik for the issuance of City of South Bend Economic Development Bonds in an amount not to ex- ceed Four Hundred Thousand and no /100 Dollars ($400,000.00) re- payable with interest thereon to be calculated quarterly at an interest rate of sixty -five percent (65 %) of local prime rate with five percent (5 %) minimum rate and a twelve percent (12 %) maximum rate over a period not to exceed ten (10) years in order to pur- chase equipment to be leased to Adams Engineering, Inc., an Indiana corporation, in its tool and die operation resulting in an increase of approximately two (2) additional employees by Adams Engineering, Inc. with an increased annual payroll of a minimum of Sixty -two Thousand and no /100 Dollars ($62,000.00) per year. NOW, THEREFORE, the Common Council of the City of South Bend, Indiana resolves as follows: 1. The project constitutes economic development fa- cilities which shall be financed by the City through the issuance