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"Series A Bonds ") herein authorized are "economic development facilities"
<br />as defined in the Act and that acquisition and construction of the
<br />Project will increase employment opportunities and increase diversification
<br />of business, commerce and industry in the City, will improve and promote
<br />the economic stability, development, health and welfare of the area in the
<br />City and will encourage and promote the expansion of industry, trade and
<br />commerce in the City and the location of other new commercial and
<br />business facilities in such area.
<br />Section 2. Findings. The Common Council hereby finds that this
<br />ordinance (the "Bond Ordinance ") complies with the purposes and provisions
<br />of the Act and is public benefit to the health and welfare of the City
<br />by tending to overcome the deficiencies previously found to exist,
<br />to -wit: insufficient employment opportunities and insufficient
<br />diversification of business, commerce and industry, and that such
<br />benefit is greater than the cost of public facilities (as that phrase
<br />is defined in the Act) which will be required by the Project.
<br />Section 3. Authorization of $2,500,000.00 Series A Bonds. In
<br />order to obtain funds to loan to the Partnership to finance costs of
<br />acquiring and constructing the Project, including interest on the
<br />Series A Bonds during the anticipated construction period, there are
<br />hereby authorized to be issued, sold and delivered $2,500,000.00
<br />aggregate principal amount of Series A Bonds. It is hereby recognized
<br />that pursuant to the terms of the Loan Agreement any balance of the
<br />cost of the Project will be paid for by the Partnership unless paid for
<br />out of the proceeds of additional parity bonds (the "Additional Bonds ")
<br />as identified in the Indenture of Trust dated as of June 1, 1978,
<br />(the "Indenture ")between the City and the National Bank and Trust
<br />Company of South Bend, Indiana, as Trustee (the "Trustee ").
<br />Section 4. Terms for the Series A Bonds. The total principal
<br />amount of Series A Bonds that may be issued is hereby expressly limited
<br />to $2,500,000.00, provided, however, that Additional Bonds may be issued
<br />as hereinafter provided.
<br />The Series A Bonds shall bear interest until paid at the respective
<br />rates per annum set forth below payable on June 1 and December 1 of each
<br />year and shall mature on June 1 of each of the years set forth in and in
<br />the principal amount set opposite each year, as follows:
<br />PRINCIPAL PRINCIPAL
<br />YEAR AMOUNT RATE YEAR AMOUNT RATE
<br />1981
<br />$70,000
<br />6%
<br />1989
<br />$115,000
<br />7%
<br />1982
<br />75,000
<br />6
<br />1/8%
<br />1990
<br />120,000
<br />7
<br />1/8%
<br />1983
<br />75,000
<br />6
<br />1/4%
<br />1991
<br />130,000
<br />7
<br />1/4%
<br />1984
<br />80,000
<br />6
<br />3/8%
<br />1992
<br />140,000
<br />7
<br />3/8%
<br />1985
<br />85,000
<br />6
<br />1/2%
<br />1993
<br />150,000
<br />7
<br />1/2%
<br />1986
<br />95,000
<br />6
<br />5/8%
<br />1994
<br />160,000
<br />7
<br />5/8%
<br />1987
<br />100,000
<br />6
<br />3/4%
<br />1999
<br />1,000,000
<br />7
<br />3/4%
<br />1988
<br />105,000
<br />6
<br />7/8%
<br />The Series A Bonds shall be in such form, shall be in such
<br />denominations, shall be payable in such medium of payment and at such
<br />place or places, shall be subject to redemption at the times and under
<br />the conditions, shall be executed in such manner and shall contain such
<br />other terms and provisions as are provided for in the Indenture.
<br />The Series A Bonds are limited obligations of the City payable solely
<br />from payments of principal, premium, if any, and interest made by the
<br />Partnership pursuant to the Loan Agreement and the Series A Note in
<br />the form attached to the Loan Agreement, except to the extent that the
<br />principal of, premium, if any, and interest on the Series A Bonds may
<br />be paid out of money attributable to Series A Bond proceeds or from
<br />temporary investments, or from other moneys if any, accruing to the
<br />trustee for the benefit of the bondholders.
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