07-28-03 Council Meeting Minutes

Home Browse Search

REGULAR MEETING JULY 28, 2003 previously approved and executed after a public hearing, a lease between the Building Corporation and the City (the "Lease ") upon the Projects; and WHEREAS, the Building Corporation has sold its First Mortgage Revenue Bonds of 2003 (the "Bonds ") in the aggregate principal amount of $21,335,000 to City Securities Corporation at a net interest cost of approximately 4.459 %, which interest rate is lower than the interest rate used to calculate the maximum lease rental under the Lease; and WHEREAS, the Common Council desires to amend the Lease to reduce the semi - annual lease rentals to correspond to the actual debt service as established pursuant to the terms of the bond sale; NOW, THEREFORE, BE IT RESOLVED BY THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA, AS FOLLOWS: The Common Council hereby ratifies the sale of the Bonds in an aggregate principal amount of Twenty -one Million Three Hundred and Thirty -five Thousand Dollars and 00 /100 ($21,335,000) and the sale thereof to City Securities Corporation. II. The Common Council hereby agrees to the reduction of the lease rental payments to the amount set forth in the Addendum to Lease with the Building Corporation dated July 1, 2003, presented to this meeting (the "Addendum "). III. The Common Council hereby approves the Addendum in the form submitted to this meeting and authorizes the Mayor and City Clerk to execute and attest, respectively, the Addendum on behalf of the City, with such changes as may be necessary on the advice of counsel with the execution and attestation thereof to be evidence of such approval. IV. This Resolution shall be in full force and effect from and after its passage by the Common Council and approval by the Mayor. COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA By: s/Karen L. White Member of the Common Council Councilmember King, Chairperson, Community and Economic Development Committee, reported that this committee held a Public Hearing on this bill this afternoon and voted to send it to the full Council with a favorable recommendation. Mr. Rick 011ett, Controller, City of South Bend, 14th Floor County -City Building, South Bend, Indiana, made the presentation for this bill. Mr. 011ett stated that this Resolution approves the addendum to the lease ratifying the sale of the lease revenue bonds to fund both the construction and equipping of the Fire Department station and the renovation and expansion of the Police Station. He noted that previously the Council approved