6B(7) Resoluiton No. 2798 - Laserfiche WebLink

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identified in Section 140OU -2 of the Code (each of such expenditures being referred to herein as a "Qualified Economic Development Purpose "); and WHEREAS, the City received an allocation for recovery zone economic development bonds of Four Million Nine Hundred Eighty -three Thousand and 00 /100 Dollars ($4,983,000) (the "Volume Cap "); and WHEREAS, the Common Council adopted Resolution No. 4019 -10 on March 22, 2010, designating the entire geographic area of the City as a Recovery Zone for purposes of Section 1400U -1(b) of the Code, which would include the Area; and WHEREAS, the Project qualifies as a Qualified Economic Development Purpose; and WHEREAS, issuance of the Bonds as Recovery Zone Economic Development Bonds will permit the District to receive a credit from the United States Treasury in an amount equal to 45% of the stated interest to be paid on such Bonds as provided by Sections 140OU -2 and 6431 of the Code; and WHEREAS, the Commission desires to hold a public hearing regarding the appropriation of the proceeds of the Bonds; and WHEREAS, the Commission desires to establish its intent, pursuant to I.C. 5 -1- 14-6(b) and § 1.150 -2 of the Treasury Regulations that preliminary costs of the Project which may be incurred prior to the issuance of the Bonds be reimbursed from the proceeds of the Bonds; NOW, THEREFORE, BE IT RESOLVED by the South Bend Redevelopment Commission as follows: 1. For the purpose of raising money to pay the cost of the redevelopment and economic development in or serving the Area, including without limitation the Project, together with a sum sufficient to pay the estimated cost of all expenses reasonably incurred in connection with the redevelopment and economic development in or serving the Area, including the total cost of all reasonable and necessary architectural, engineering, legal, financing, accounting, advertising, bond discount, and supervisory expenses, capitalized interest and a debt service reserve for the Bonds (to the extent that the Commission determines that capitalized interest and/or a reserve is reasonably required), together with the expenses in connection with the issuance of Bonds therefor, the City, acting for and on behalf of the Commission, shall provide for the issuance of Bonds in an aggregate principal amount not to exceed Four Million Nine Hundred Sixty -five Thousand and 00 /100 Dollars ($4,965,000.00). The Bonds shall be issued on a taxable basis as Recovery Zone Economic Development Bonds In order to procure funds, the Controller of the City is hereby authorized and directed to have prepared and to issue and sell the negotiable bonds of the Redevelopment District the principal of and interest on which shall payable from the PSCDA Revenues, and to the extent the PSCDA Revenues are not sufficient therefor, the COIT Revenues, which bonds -2- BDDB01 6397179v]