11-15-79 Council Meeting Minutes

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REGULAR MEETING RECONVENED (Continued RESOLUTION NO. 734 -79 A RESOLUTION OF THESOUTH BEND COMMON COUNCIL AUTHORIZING THE EXECUTION OF AN AGREEMENT WITH STEEL WAREHOUSE OF INDIANA, INC., RELATING TO THE CONSTRUCTION AND INSTALLATION OF ECONOMIC DEVELOPMENT FACILITIES TO BE USED IN THE BUSINESS OF PROCESSING STEEL, WITHIN THE BOUNDARIES OF THE CITY.OF SOUTH BEND, INDIANA. WHEREAS, theCity of South Bend, Indiana (the "Issuer ", by virtue of the laws of the State of Indiana, including the Municipal Economic Development Act of 1965, as amended, Indiana Code of 1971, Title 18, Article 6, Chapter 4.5 (the "Act "), is authorized and empowered, among other things, (a) to provide funds to pay costs of economic development facilities within the boundaries of the Issuer, to be owned and used by Steel Warehouse of Indiana, Inc., or any subsidiary thereof (the "Company "), (b) to issue economic development revenue bonds for the purpose of paying for the costs of such construction and financing costs, (c) to secure such economic development revenue bonds by an indenture, including thepledge and assignment of title to the real estate, application of revenues derived from such economic development facilities to the payment of said revenue bonds and the granting of a mortgage on such facilities for the benefit of the bondholders; and WHEREAS, the Company is a corporation duly organized under the laws of the State of Indiana and desires to construct economic development facilities within the Issuer to be used in the business of processing steel (the "Facility "); and WHEREAS, it is the desire of the members of the Common Council of the Issuer that the additional jobs and employment opportunities resulting from the Facility be provided at the earliest possible moment and that the economic improvement produced by the operation of the Facility within the Issue occur at the earliest possible time; and WHEREAS, under the provisions of the Act it will be necessary for the.South Bend Economic Development Commission (the "Commission ") and the Common Council of the Issuer to undertake certain proceedings and adopt certain legislation prior to the issuance of any economic development revenue bonds to provide funds for theconstruction and installation of such Facility and prior to the execution of any Lease and Trust Indenture therefor; and WHEREAS, this Common Council desires to initiate certain formal steps necessary to secure the commitment of the Company to construct and use the Facility and to provide for other matters incidental thereto;. that: NOW; THEREFORE, BE IT RESOLVED by the Common Council of the City of South Bend, Indiana, SECTIONI. It does hereby approve a finding and determination by the Commission that: a. The real andpersonal property to be included in the Facility will be an "economic development facility" within the meaning of those term in the Act. b. That the utilization of such real and personal property in the creation and location of the Facility would be economically sound and will benefit the health, prosperity, economic stability and general welfare of the Issuer and that because of existing insufficient employment opportunities and insufficient diversification of industry within the Issuer, the economic welfare of the Issuer would be benefited by the construction and use of theFacility by the Company. SECTION 2. In order to overcome insufficient employment opportunities and insufficient diversification of industry which the Common Council of the Issuer has heretofore found to exist in the Issuer, this Common Council determines to commence negotiations with the Company concerning the terms of a bond issue and desires to initiate certain formal steps to secure the commitment of the Company to construct and use the Facility and to provide for other matters incidental thereto. Section 3. Upon the approval and execution by the Commission of an agreement containing substantially the same terms and conditions as Exhibit A attached hereto, the Mayor is authorized and directed to execute the Agreement in the form attached hereto as Exhibit A, and such Agreement is attached hereto is hereby in all respects approved. SECTION 4. This resolution shall be in full force and effect from and after its passage by the Common Council, signed by the President of the Common Council and approved by the Mayor /s /Walter M. Szymkowiak Member of the Common Council A public hearing was held on the resolution at this time. Mr. Kenneth Fedder, attorney for the Economic Development Commission, indicated that the Commission has accepted an application from Steel Warehouse for an Industrial Develpment Revenue Bond in the amount of $648,000.00. Council Member Alams made a motion to adopt this resolution, seconded by Council Member Dombrowski. The resolution was adopted by a roll call vote of nine ayes.