9722-06 Authorizing the sale of an Aggregate Principal amount not to exceed $8,500,000

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ORDINANCE NO. ~ ~ ZZ-~~ AN ORDINANCE AUTHORIZING THE ISSUANCE AND SALE OF AN AGGREGATE PRINCIPAL AMOUNT NOT TO EXCEED EIGHT MILLION FIVE HUNDRED THOUSAND DOLLARS ($8,500,000) OF THE CITY OF SOUTH BEND, INDIANA VARIABLE RATE ECONOMIC DEVELOPMENT REVENUE BONDS, SERIES 2007 (PEI/GENESIS PROJECT); DESIGNATING THE BONDS AS LIMITED OBLIGATIONS OF THE CITY; APPROVING THE FORM OF, AND AUTHORIZING THE EXECUTION AND DELIVERY OF, THE TRUST INDENTURE, LOAN AGREEMENT AND OTHER DOCUMENTS RELATED TO THE ISSUANCE AND SALE OF THE BONDS; AND AUTHORIZING PROPER OFFICERS TO DO ALL OTHER THINGS DEEMED NECESSARY OR ADVISABLE IN CONNECTION THEREWITH AND APPROVING AND AUTHORIZING OTHER ACTIONS IN RESPECT THERETO. STATEMENT OF PURPOSE AND INTENT The City of South Bend, Indiana (the "C~") is a political subdivision of the State of Indiana, and by virtue of Title 36, Article 7, Chapters 11.9 and 12, of the Indiana Code, as amended (the "Act"), is authorized and empowered to adopt this Ordinance and to carry out its provisions. The South Bend Economic Development Commission (the "Commission") has rendered its report concerning the proposed financing and refinancing of economic development facilities for PEUGenesis, Inc., a Pennsylvania corporation ("PEl') and Tuliptree Associates, LLC, a Pennsylvania limited liability company ("Tuliptree") (PEI and Tuliptree, collectively, the "Borrower"). The Commission, after a public hearing held on November 17, 2006, has adopted a Resolution, which has been transmitted to this Council, (i) finding that the acquisition, construction and equipping by the Borrower of the proposed economic development facilities to be f nanced and the economic development facilities to be refinanced (collectively, the "Pr ,iect") will not have an adverse competitive effect on any similar facilities already constructed or operating in or about the City, (ii) further finding that the proposed financing and refinancing of the Project will be of benefit to the health and general welfare of the City and its citizens, (iii) further finding that the proposed financing and refinancing of the Project complies with the purposes and provisions of the Act, (iv) approving the financing and refinancing of the Project, including the form and terms of the Loan Agreement, the Bonds from the City to the bondholders and the Trust Indenture, more fully described below, and this Ordinance, presented