Relating to an Application by Allied Products Corporation for Issuance of Revenue Bonds

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RESOLUTION NO. JI4 - -$$ INDUCEMENT RESOLUTION OF THE CITY OF SOUTH BEND, INDIANA RELATING TO AN APPLICATION BY ALLIED PRODUCTS CORPORATION FOR THE ISSUANCE OF CITY OF SOUTH BEND ECONOMIC DEVELOPMENT REVENUE BONDS STATEMENT OF PURPOSE AND INTENT: At the present time there are insufficient employment and business opportunities and insufficient diversification of business, commerce and industry in and near the City of South Bend, Indiana (the "City "). The economic welfare of the City would be benefited by the acquisition and rehabilitation of economic development facilities within the corporate limits of the City pursuant to the provisions of Indiana Code 36 -7 -11.9 and -12 (the "Act "). Allied Products Corporation ( "Applicant ") proposes to acquire and rehabilitate economic development facilities in South Bend, Indiana, as defined in the Act, and has requested that the City finance costs of such economic development facilities pursuant to the Act. The South Bend Economic Development Commission has received an application by Applicant for the issuance of City of South Bend Economic Development Revenue Bonds in the approximate principal amount of Five Million Two Hundred Fifty Thousand Dollars ($5,250,000.00) with the terms of repayment to be determined by market rates at the time the bonds are sold, and the proceeds of the bonds will be used to modernize, rehabilitate and generally improve an existing facility to be used as a manufacturing facility located at 601 West Broadway Street, South Bend, Indiana, and to acquire and rehabilitate machinery and equipment for use in said facility, resulting in the preservation of approximately 400 jobs. NOW, THEREFORE, the Common Council of the City of South Bend, Indiana resolves as follows: Section 1. The project constitutes economic development facilities which shall be financed by the City