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HomeMy WebLinkAboutInducement Resolution relating to Group FourRESOLUTION NO. 728 -79 Passed by the Common Council of the City of South Bend, I October 8 1 Attest: Presented by me to the Mayor of the City of South Bend, Indiana. October 9 1 79 9 City Clerk ident of Common Council 79 19 ��u - -�- City Clerk Approved and signed by me 19 �z RESOLUTION NO. 728 -79 INDUCEMENT RESOLUTION OF THE CITY OF SOUTH BEND, INDIANA Relating to: Group Four WHEREAS, at the present time there are insufficient em- ployment opportunities and insufficient diversification of business, commerce and industry in and near the City of South Bend, Indiana (the "City ") ; and WHEREAS, the economic welfare of the City would be benefited by the acquisition and construction of economic develop- ment facilities pursuant to the provisions of Indiana Code 18 -6- 4.5 (the "Act "); and WHEREAS, Group Four, an Indiana partnership consisting of Richard W. Stout, Philip G. Lux, Charles N. Miller and Richard M. Treckelo, ( "Group Four ") proposes to acquire and construct economic development facilities as defined in the Act for the use of United Air Lines, Towne Air Freight, Inc. and Emery Air Freight if the City will finance costs of such economic development facilities pursuant to the Act; and WHEREAS, the South Bend Economic Development Commission has received an application by Group Four for the issuance of City of South Bend Economic Development Bonds in an amount not to exceed Five Hundred Fifty Thousand and no /100 Dollars ($550,000.00) repayable with interest thereon at a rate of eight percent (8 %) per annum over a period of fifteen (15) years in order to construct a warehouse facility containing approximately 19,000 square feet resulting in the preservation of the jobs of twelve (12) employees of one of the users of the facility which twelve (12) employees have an annual payroll of Two Hundred Two Thousand and no /100 Dollars ($202,000.00) per year. NOW, THEREFORE, the Common Council of the City of South Bend, Indiana resolves as follows: 1. The Project constitutes economic development facilities which shall be financed by the City through the issuance of revenue bonds pursuant to the Act and the City is willing, upon compliance with all provisions of Indiana law, to authorize approximately Five Hundred Fifty Thousand and no /100 Dollars ($550,000.00) of its revenue bonds, which bonds will not be general obligations of the City but will be payable solely from the limited sources authorized and permitted by the Act. 2. The proposed financing will be of benefit to the economic welfare of the City and will comply with the purposes and provisions of the Act. 3. The Company may proceed with acquisition and con- struction of the economic development facilities in reliance upon this resolution. PRESENTED /L1 2 J NOT APPROVED ADOPTED ro _ S, 7 v embf of the C'5-mmones6ancil IM FILED IN CLERX'S OFFICE OCT 3IK.'. Irene Gammon CITY CLERK, SOUTH BEND, IND.