04-08-2024 AGENDA PACKET FINAL - Laserfiche WebLink

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reasonable, (ii) that the terms of the Lease are based upon the value of the leased premises which includes the real estate on which the Project will be located (the"Leased Premises"), and (iii) the use of the Leased Premises throughout the term of the Lease will serve the public purpose of the City and is in the best interests of its residents and (b) approving the Lease in the form presented at the Commission meeting for the purpose of paying the principal of and interest on the South Bend Redevelopment Authority Lease Rental Revenue Bonds of 2024 (Four Winds Field at Coveleski Stadium Project) (the "Bonds") proposed to be issued by the Authority pursuant to Indiana Code 36-7-14.5 to finance the Project; and WHEREAS, at a meeting held on March 27, 2024, the Authority did adopt Resolution No. 216 whereby the Authority (a) indicated its intent to issue the Bonds in one (1) or more series in an aggregate principal amount not to exceed Fifty Million Two Hundred Fifty Thousand Dollars 50,250,000), to finance all or a portion of(i) the costs of the Project; (ii) a debt service reserve fund, if necessary, in connection with the issuance of the Bonds; and (iii) costs incurred in connection with the issuance of the Bonds; and (b) approved the proposed form of Lease between the Authority and the Commission for the lease of the Leased Premises; and WHEREAS,the Commission reasonably expects to pay the Lease Rentals during the term of the Lease from certain Professional Sports and Convention Development Area tax revenues to be received by the City (the "PSCDA Revenues") pursuant to Indiana Code 36-7-31.3 (the PSCDA Act"); however, to assist with the marketing of the Bonds and securing competitive interest rates,the payment of the Lease Rentals also will be secured by the levy of a special benefits tax pursuant to Section 27 of the Act in the event the PSCDA Revenues are ever insufficient; and WHEREAS, the Common Council of the City (the "Common Council") deems it in the best interest of the City and its citizens and of public utility and benefit for the Commission to utilize the PSCDA Revenues to pay the lease rentals due under the Lease which lease rentals would be used to pay the principal of and interest on the Bonds; and WHEREAS,the annual rentals payable by the Commission under the Lease will be pledged by the Authority to pay the principal of and interest on the Bonds; and WHEREAS,given the use of the lease financing provisions to reduce the cost of borrowing and certain additional requirements set forth in the Act and Indiana Code 36-7-14.5 with respect to the approval by the Common Council of a financing for redevelopment or economic development purposes, the Common Council desires to (i) approve the Lease as required by Section 25.2 of the Act,which provides that any lease approved by a resolution of the Commission must be approved by the fiscal body of the City, (ii) approve the issuance of the Bonds by the Authority as required by Indiana Code 36-7-14.5-19, and (iii) approve and authorize the transfer of the interests in the Leased Premises to the Authority to permit the Authority to lease the Leased Premises to the Commission pursuant to the Lease. NOW,THEREFORE,BE IT RESOLVED by the Common Council of the City of South Bend, Indiana, as follows: SECTION 1. The Common Council hereby approves of the issuance of the Bonds by the Authority pursuant to Indiana Code 36-7-14.5-19 and the execution and delivery of the Lease, as 2