5B2 Resolution No. 3677 (Western Ave. Transformation District HUD Loan) - Signed

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RESOLUTION NO. 3677 A RESOLUTION OF THE SOUTH BEND REDEVELOPMENT COMMISSION PLEDGING CERTAIN TAX INCREMENT REVENUES TO THE REPAYMENT OF A SECTION 108 LOAN FROM THE U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT (WESTERN AVENUE TRANSFORMATION DISTRICT PROJECT) WHEREAS, the South Bend Redevelopment Commission (the “Commission”), the governing body of the South Bend Department of Redevelopment and the Redevelopment District of the City of South Bend, Indiana (the “District”), exists and operates under the provisions of Indiana Code 36-7-14, as amended from time to time (the “Act”); and WHEREAS, the Commission has previously designated and declared an area in the City of South Bend, Indiana (the “City”) known as the River West Development Area as an economic development area (the “Area”) and designated portions of the Area from time to time as allocation areas pursuant to Section 39 of the Act (each such allocation area within the Area, excluding (i) the Riverwalk Allocation Area designated by Resolution No. 3627 adopted by the Commission on January 9, 2025, (ii) the Lincoln and Kennedy Park Residential Housing Development Program Area Allocation Area designated by Resolution No. 3644 adopted by the Commission on July 24, 2025, and (iii) the allocation areas designated by Resolution No. 3661 adopted by the Commission on December 18, 2025, an “Allocation Area” and collectively, the “Allocation Areas”); and WHEREAS, the City has submitted an application (the “Application”) to borrow $10,000,000 through the United States Department of Housing and Urban Development (“HUD”) Section 108 Loan Guarantee Program (the “Section 108 Loan”) to fund a portion of the Western Avenue Transformation District Project, as further described in the Application (the “Project”); and WHEREAS, the City has determined to make loan payments for the Section 108 Loan from future Community Development Block Grant funds received by the City (the “CDBG Funds”) and, to the extent CDBG Funds are insufficient for such purpose, tax increment revenues generated within the Allocation Areas in the City (the “Tax Increment Revenues”); and WHEREAS, the District has previously pledged the Tax Increment Revenues to pay the principal of and interest on the (i) City of South Bend, Indiana Taxable Economic Development Tax Increment Revenue Bonds, Series 2020 (Community Education Center Project) (the “2020 Obligation”) and (ii) City of South Bend, Indiana Redevelopment District Taxable Tax Increment Revenue Bonds, Series 2025 (Residential Infrastructure Fund Loan) (the “2025 Obligation” and together with the 2020 Obligation, collectively, the “Prior Obligations”); and WHEREAS, the Commission anticipates that sufficient Tax Increment Revenues will be available to pay the principal of and interest on the Section 108 Loan, to the extent CDBG Funds are insufficient for such purpose, and the Prior Obligations; and