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ITEM 3.a.iv. <br />BILL NO. __________ <br /> <br />ORDINANCE NO. ____________ <br /> <br />AN ORDINANCE OF THE COMMON COUNCIL OF THE <br />CITY OF SOUTH BEND, INDIANA, AUTHORIZING A <br />DIRECT LOAN TO THE DEVELOPER OF AN <br />ECONOMIC DEVELOPMENT FACILITY (SOUTHEAST <br />NEIGHBORHOOD PROJECT) AND APPROVING OTHER <br />MATTERS IN CONNECTION THEREWITH <br /> <br /> <br />STATEMENT OF PURPOSE AND INTENT <br /> <br /> <br />The City of South Bend, Indiana (the “City”), is a municipal corporation and political <br />subdivision of the State of Indiana and by virtue of I.C. 36-7-11.9, I.C. 36-7-12 and I.C. 36-7-14 <br />(collectively, the “Act”), is authorized and empowered to adopt this ordinance (this “Ordinance”) <br />and to carry out its provisions. <br />The Act declares that the financing and refinancing of economic development facilities (as <br />defined in the Act) constitutes a public purpose. <br />Pursuant to the Act, the City is authorized to make loans for the purpose of financing, <br />reimbursing or refinancing all or a portion of the costs of acquisition, construction, renovation, <br />installation and equipping of economic development facilities in order to foster diversification of <br />economic development and creation or retention of opportunities for gainful employment in or <br />near the City. <br />466 Works Community Development Corporation, an Indiana nonprofit corporation (the <br />“Developer”) has informed the City that it desires to acquire and construct certain economic <br />development facilities within the City which will consist of up to thirty (30) single-family detached <br />homes containing two (2) to four (4) bedrooms of which (i) at least forty percent (40%) of the <br />homes will be sold at a price that is affordable to households earning one hundred twenty percent <br />(120%) or less of the Area Median Income, with an approximate total development cost of Eight <br />Million Eight Hundred Seventy-three Thousand Dollars ($8,873,000), on certain parcels of real <br />property generally located in the Southeast neighborhood in the City (collectively, the “Project”), <br />and has requested that the City make a loan to the Developer on a draw basis for the purposes of <br />financing or reimbursing the Developer for a portion of the costs of acquisition and construction <br />of the Project. <br />The Project will be located in or physically connected to, and will directly serve and <br />benefit, the South Side Development Area and the South Side Allocation Area (the “Allocation <br />Area”).