Authorizing Issuance and sale of aggregate principal amount not to exceed $1,495,000, adjustable rate Econ Dev Rev Bonds

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ORDINANCE NO. 1 ~ 3 `- ~ 1_ AN ORDINANCE AUTHORIZING THE ISSUANCE AND SALE OF AN AGGREGATE PRINCIPAL AMOUNT NOT TO EXCEED ONE MILLION FOUR HUNDRED NINETY- FIVE THOUSAND DOLLARS ($1,495,000) OF CITY OF SOUTH BEND, INDIANA ADJUSTABLE RATE ECONOMIC DEVELOPMENT REVENUE BONDS, SERIES 1999 (DYNAMIC R.E.H.C., INC. PROJECT); DESIGNATING THE BONDS AS LIMITED OBLIGATIONS OF THE CITY; APPROVING THE FORM OF, AND AUTHORIZING THE EXECUTION AND DELIVERY OF, THE TRUST INDENTURE, LOAN AGREEMENT AND OTHER DOCUMENTS RELATED TO THE ISSUANCE AND SALE OF THE BONDS; AND AUTHORIZING PROPER OFFICERS TO DO ALL OTHER THINGS DEEMED NECESSARY OR ADVISABLE IN CONNECTION THEREWITH AND APPROVING AND AUTHORIZING OTHER ACTIONS IN RESPECT THERETO. STATEMENT OF PURPOSE AND INTENT The City is a political subdivision of the State of Indiana, and by virtue of Title 36, Article 7, Chapters 11.9 and 12, of the Indiana Code, as amended (the "Act"), is authorized and empowered to adopt this Ordinance and to carry out its provisions. The South Bend Economic Development Commission (the "Commission")has rendered its report concerning the proposed financing of economic development facilities for Dynamic R.E.H.C., Inc. (the "Borrower"). The Commission, after a public hearing held on September 8, 1999, has adopted a Resolution, which has been transmitted to this Council, (I) finding that the acquisition, construction and equipping by the Borrower of the proposed economic development facilities to be financed (the "Prr oiect") will not have an adverse competitive effect on any similar facilities already constructed or operating in or about the City, (ii) further finding that the proposed financing of such facilities will be of benefit to the health and general welfare of the City and its citizens, (iii) further finding that the proposed financing of such facilities complies with the purposes and provisions of the Act, (iv) approving the financing of such facilities, including the form and terms of the Loan Agreement, the Bonds from the City to the bondholders and the Trust Indenture, more fully described below, and this Ordinance, presented to the Commission, and (v) recommending that this Council find that the proposed financing of such facilities will be of benefit to the health and general welfare of the City and its citizens, and complies with the purposes and provisions of the Act, and that this Council adopt an ordinance approving such financing. This Council believes it is in the best interests of the City and its citizens to provide a program for financing economic development facilities for developers or users thereof through the issuance of taxable ortax-exempt bonds.