1994-05-17 Minutes - Laserfiche WebLink

Home Browse Search

• South Bend Redevelopment Authority Regular Meeting -May 17, 1994 Mr. Rompola explained that Resolution No. 91 authorizes the issuance of the Century Center bonds and approves several attached documents. It approves the form of the documents and authorizes the officers to make any changes necessary and execute the documents. Resolution No. 91 indicates that the maximum principal amount of the bond will not exceed $7,500,000. The resolution also approves the Form of Trust Indenture and appoints Norwest Bank as Trustee on the bonds. Norwest Bank is the Trustee on the existing Century Center bond that the Century Center Building Authority issued previously. The resolution also indicates that the fmal maturity of the bond will not be later than February 1, 2019 and that the maximum interest rate will be 71/a % . The principal is payable on February 1 and the interest is payable semi-annually on August 1 and February 1 of each year. The resolution also lays out the redemption terms of these bonds. The resolution approves the Form of Purchase Contract and authorizes the officers to make changes to it to reflect the fmal numbers after the bonds are sold and to execute the Purchase Contract. It also approves the Preliminary Official Statement. The resolution also authorizes bond insurance to be purchased on the bond issue. The purpose for the bond insurance is to provide additional security for the purchasers since • there are a variety of revenue streams, thereby achieving a lower interest rate on the bonds. Resolution No. 91 also authorizes the use of depository bond certificates since the underwriter expects to market the bonds to large, institutional investors who don't desire the paper bond certificate. In the use of depository bond certificates, printing costs are avoided and the depository trust company maintains the records of the bond issue for the bond holders. Mrs. Kolata noted that the bond sale will be about May 25. We will. need to wait 15 days after the sale. of these bonds before selling the Hall of Fame bonds. Upon a motion by Mr. Gammage, seconded by Mr. Wroblewski and unanimously carried, the Authority approved Resolution No. 91 authorizing .the issuance and sale of the South Bend Redevelopment Authority Lease Rental Revenue Bonds of 1994 (Century Center Project) b. Authority authorization reauested to sign tax abatement petition. (Midwest Embroidery) Mrs. Kolata noted that the Commission has on its agenda for May 20 the sale of 14 acres of Authority-owned land in the Toll Road Industrial Park to Midwest Embroidery. Midwest Embroidery will be constructing a 58,000 sq. • -2-