Appropriating proceeds derived from issuance of Bonds authorized in ordinance 9192-01 and deposited in EconDev Fund #210

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ORDINANCE NO. 12 D b "'~ AN ORDINANCE OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA, APPROPRIATING PROCEEDS (TOGETHER WITH INVESTMENT EARNINGS THEREON) DERIVED FROM THE ISSUANCE OF BONDS HERETOFORE AUTHORIZED IN ORDINANCE 9192-O1 AND DEPOSITED IN ECONOMIC DEVELOPMENT STATE GRANT FUND #210 FOR THE PURPOSE OF REMEDIATING ENVIRONMENTAL CONDITIONS IN CONNECTION WITH THE ROBERT BOSCH CORPORATION RETENTION PROJECT STATEMENT OF PURPOSE AND INTENT On January 22, 2001 this Council passed Ordinance #9192-01 which authorized the Mayor to apply for a loan of up to $1,300,000 from the Indiana Environmental Remediation Revolving Loan Program (the Program) sponsored by the Indiana Development Finance Authority (IDFA). The purpose of the loan as set forth in Ordinance 9192-01 was to borrow funds to remediate environmental conditions emanating from or on the property which Bosch Co. formerly leased from Honeywell (f/k/a Allied Signal), which property is the subject of an extensive improvement agreement between Bosch and the City of South Bend. Ordinance 9192-01 also authorized the issuance of bonds evidenced by the IDFA loan and secured by payments made by Bosch to the City per their agreement. These bonds were to be issued in two series, one series constituting the Forgivable Portion of the loan from the IDFA, i.e. a portion not to exceed 20% of the total amount of the loan. The other series of bonds were to be equal to the remainder of the principal part of the loan. Pursuant to Ordinance #9192-01 the City has applied for and received the IDFA Program loan funds in the full amount of $1,300,000 of which $260,000 has been deemed the Forgivable Portion. These funds have been deposited in the City's Economic Development State Grant Fund Account #210 and should be appropriated to pay for the site remediation costs of the Bosch Retention Project for which the loan was obtained. NOW, THEREFORE, BE IT ORDAINED BY THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA AS FOLLOWS: Section I. The proceeds derived from the issuance of the bonds authorized by this Council's prior Ordinance 9192-01 in an aggregate principal amount not to exceed One million three hundred dollars ($1,300,000) together with investment earnings thereon estimated to be Fifty Two Thousand Dollars ($52,000) shall be and the same are hereby appropriated to pay for the site environmental remediation costs of the Robert Bosch corporation Project together with any expenses incidental thereto including expenses in connection with the issuance of said bonds. Such appropriation shall be in addition to all appropriations provided for in the existing budget and levy, and shall continue in effect until the payment of the costs of the Project, together with expenses incidental thereto,