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ORDINANCE NO. ~ `~~'~~
<br />AN ORDINANCE OF THE COMMON COUNCIL OF THE CITY OF
<br />SOUTH BEND, INDIANA, AUTHORIZING THE ISSUANCE OF ITS
<br />"MULTIFAMILY HOUSING REVENUE REFUNDING BONDS (THE
<br />POINTE AT ST. JOSEPH APARTMENTS PROJECT), SERIES 2004," IN
<br />ONE OR MORE SERIES IN AN AGGREGATE PRINCIPAL AMOUNT
<br />NOT TO EXCEED FOURTEEN MILLION AND 00/100 DOLLARS
<br />($14,000,000) AND APPROVING AND AUTHORIZING OTHER
<br />ACTIONS IN RESPECT THERETO
<br />STATEMENT OF PURPOSE AND INTENT:
<br />Indiana Code Title 36, Article 7, Chapters 11.9 and 12, as amended, and Title 5,
<br />Article 1, Chapter 5, as amended (collectively, the "Act") declares that the financing and
<br />refinancing of economic development facilities constitutes a public purpose. The Act provides
<br />that an issuer may, pursuant to the Act, issue revenue bonds and lend the proceeds thereof to a
<br />corporation, partnership, limited liability company or individual for the purpose of financing or
<br />refinancing costs of acquisition or construction of facilities, including real and personal property,
<br />for diversification of economic development and promotion of job opportunities in or near such
<br />issuer. The Act further provides that such bonds may be secured by a trust indenture between an
<br />issuer and a corporate trustee.
<br />The City of South Bend, Indiana (the "Issuer"), issued its Multifamily Housing
<br />Revenue Refunding Bonds (The Pointe at St. Joseph Project) Reissuance of 1999, Series A,
<br />Series B, and Series C (the "1999 Bonds") in the aggregate principal amount of $12,823,570
<br />secured by the Trust Indenture among the Issuer and Wachovia Bank, N.A., as successor in
<br />interest to Southeast Bank, N.A., as initial trustee, and 1st Source Bank as successor in interest to
<br />Irwin Union Bank and Trust Company, as initial co-trustee, dated December 1, 1988, as
<br />amended through the Third Supplemental Indenture thereto, dated May 15, 1999, for the purpose
<br />of refunding its outstanding Multifamily Housing Revenue Refunding Bonds (The Pointe at St.
<br />Joseph Project), Issue of 1994, Series A, Series B, Series C, and Series D (the "1994 Bonds")
<br />issued in the aggregate principal amount of $12,920,485 for the purpose of refinancing the
<br />Issuer's then outstanding (i) Multifamily Housing Revenue Refunding Bonds (The Pointe at St.
<br />Joseph Project) Series A and Series B, dated December 15, 1988 issued in the aggregate
<br />principal amount of $11,000,000 and (ii) its Multifamily Revenue Bonds (The Pointe at St.
<br />Joseph Project) Series A and Series B, dated January 25, 1989, issued in the aggregate principal
<br />amount of $550,000 (collectively, the "Initial Bonds" and with the 1999 Bonds and the 1994
<br />Bonds, the "Prior Bonds"), which were issued in order to procure funds to be loaned to the Can-
<br />American South Bend Limited Partnership, a Minnesota limited partnership (the "Company"),
<br />pursuant to a loan agreement between the Issuer and the Company (the "Prior Loan") for the
<br />acquisition, construction, and equipping of a two hundred two (202) unit multifamily rental
<br />SBIMANl 174829v6
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