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HomeMy WebLinkAboutApproving the finding of the South Bend Economic Development Commission with respect to the issuance of revenue bonds not exceeding $1 millionRESOLUTION NO. 711 -79 Passed by the Common Council of the City of South Bend, Ir August 13 79 rq City Clerk 0/2 / _President of Common Council Presented by me to the Mayor of the City of South Bend, Indiana August 14 �9 79 Approved and signed by me 19 City Clerk RESOLUTION OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND A PROPOSAL FOR A GENERAL RESOLUTION approving the finding of the South Bend Economic Development Commission with respect to the issuance of revenue bonds in an amount not exceeding One Million Dollars ($1,000,000.00) for financing of certain economic development facilities to be undertaken by Express Freight Lines, Inc., and authorizing and committing the City to proceed with such project, subject to final action by this Council with respect to the terms and conditions of such financing and the obtaining of all approvals as may be required under IC 18- 6 -4.5. GENERAL RESOLUTION NO.711-71 August 13, 1979 WHEREAS, the City of South Bend, Indiana ( "City "), is authorized by IC 18 -6 -4.5 ( "Act ") to issue revenue bonds for the purpose of financing the acquisition, installation, and construction of economic development .facilities; WHEREAS, the City has been advised that there is under consideration a proposal of EXPRESS FREIGHT LINES, INC., a Wisconsin corporation (the "Company "), to construct in St. Joseph County, Indiana, a truck terminal and related facilities (the "Project ") described in Exhibit A hereto; WHEREAS, the Company has proposed that the City issue its revenue bonds under the Act to finance the acquisition, installation and construction of the Project under a financing agreement whereby the proceeds of such bonds would be utilized to acquire, inst?11 and construct the Project and the Company would make payments sufficient to pay the principal of, premium, if any, and interest on such bonds; the Company has further advised the City that a determination by the City to accent such a proposal for financing the Project will constitute a substantial inducement to the Company to proceed with the Project; and the Company has agreed to pay the costs of the City whether or not such revenue bonds are issued and the financing agreement consummated; WHEREAS, the South Bend Economic Development Commission has rendered a Report of the South Bend Economic Development Commission Concerning the Proposed Financing of Economic Development Facilities for EXPRESS FREIGHT LINES, INC., and the executive director of the St. Joseph County Plan Commission and the Superintendent of the South Bend Community School Corporation have been given an opportunity to comment thereon; WHEREAS, the South Bend Economic Development Commission on August 3, 1979, adopted a resolution giving its approval to such financing of the Project and recommending that the Common Council and the St. Joseph County Council also approve such financing, on the basis that the Project will cause additional employment opportunities in the City of South Bend and St. Joseph County, will comply with the purposes and provisions of the Act and will be of public benefit to the health, prosperity, economic stability and general welfare of the City of South Bend and St. Joseph County and their inhabitants; and WHEREAS, subject to the required approvals under the Act, it appears that the financing of tlu Project will be of public benefit to the health, prosperity, economic stability and general welfare of the City of South Bend and St. Joseph County and their inhabitants and complies with the purposes and provisions of the Act; NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of South Bend, Indiana: Section 1. The Common Council finds and determines that the construction of a truck terminal and related facilities of the Company in St. Joseph County, Indiana, by the acquisition, installation and construction of the Project is desirable to better the health, prosperity, economic stability and general welfare of the City of South Bend and St. Joseph County and their inhabitants, and that it is in the public interest that the City take such action -2- as it lawfully may to encourage the Company to construct the truck terminal and related facilities. Section 2. The Common Council further finds and determines that the issua.n.ce and sale of revenue bonds of the City under the Act, and the use of the net proceeds derived therefrom to finance the acquisition, installation and construction of the Project, will enable the Project to be constructed and will be of benefit to the health, prosperity, economic stability and qeneral welfare of the City of South Rend and St. Joseph Countyand their citizens and will comply with the purposes and p_r.ovisions of the Act. Section 3. In order to induce the Company to proceed with the acquisition, installation and construction of the Project, the Common Councilhereby undertakes that: (i) It will authorize and issue one or more series of revenue bonds of the City pursuant to the Act, in an aggregate principal amount not exceeding One Million ($1,000,000.00) Dollars, to finance the costs of the acquisition, installation and construction of the Project, including reimbursement or repayment to the Company of any moneys expended by the Company for planning, engineering, interest during construction, underwriting and attornev and bond counsel fees, and will enter into a financing agreement to use the net proceeds of such bonds to acquire, install and construct the Project and lease or sell the Project to the Company f..or specific rent or purchase price payments sufficient to pay the principal of, premium, if any, and interest on such bonds, or to lend such net proceeds to the Company to enable it to acquire, install and construct the project and. repay the loan in installments sufficient to pay the principal of, premium, if any, and interest on such bonds; (ii) It will adopt such ordinances and resolutions and authorize the execution and delivery of such instru- ments and the taking of such actions as may be necessary or advisable for the authorization, issuance and sale of -3- such bonds.: and (iii) It will take or cause to be taken such other actions as may be required to implement the aforesaid or as it may deem appropriate in pursuance thereof; provided that all of the foregoing shall be authorized by law and mutually acceptable to the City and the Company. Section 4. It is hereby recognized that the issuance and sale of revenue bonds by the City under the Act for the purposes set forth herein shall be subject to the City's obtaining such approvals as may be required under the Act specifically including the consent of the St. Joseph County Council to the financing of the Project. Section 5. This Resolution shall be in full force and effect immediately upon compliance with '_he procedures required by law. Section 6. This resolution shall be in full force and effect from and after its passage by the Common Council of the City of South Bend and approval by the Mayor. PRES N s ED ?- a 3 --� q- 8- 5 NOT APPROVED q A r� DOPTED 8 - � .7 - 7 / aA ��►��"�� �'� •' V �(- -�L Me er of. the Common Council f } JUi ? 40 L EXHIBIT A DESCRIPTION OF THE PROJECT The Project involves the construction of a new truck terminal facility to be located on ten acres of land at the intersection of U. S. Highway 20 and Olive Road, German Townshin, St. Joseph County, Indiana. The terminal facility will consist of a 16,000 square foot one-story main terminal building with 40 overhead doors and dock boards, a separate 6,000 square foot maintenance and repair building, miscellaneous fistures and equipment including gas and diesel fuel pumns and tanks and a truck scale, and associated site work. The main terminal building will include a 4,000 square foot office faci.'_ity. as a. convenience to the Company, the maintenance and r_enair building will be leased to an unaffiliated individual who will maintain and repair the vehicles of the Company. The acquision of the real estate where the terminal will be located is not a part of the Project. q.x �'±.' CLEPill 50M, S,1ND, Ii11f).