HomeMy WebLinkAboutNo. 2072 authorizing the issuance of COSB redevelopment district tax increment revenue bonds and related matterss .
Resolution No. 2072
A PRELIMINARY BOND THE RESOLUTION F TH BE
O SOU ND
REDEVELOPMENT COMMISSION AUTHORIZING THE ISSUANCE
OF CITY OF SOUTH BEND, INDIANA, REDEVELOPMENT DISTRICT
TAX INCREMENT REVENUE BONDS AND RELATED MATTERS
WHEREAS, the South Bend Redevelopment Commission (the "Commission "),
governing body of the City of South Bend, Indiana, Redevelopment District (the "District ") did,
on November 1, 2002, adopt Resolution No. 1914 (the "Declaratory Resolution ") declaring the
South Side Development Area (the "Area ") to be a blighted area within the meaning of Ind. Code
§ 36 -7 -14 (the "Act ") and approving a Redevelopment Plan for the Area (the 'Plan ") pursuant to
the Act; and
WHEREAS, the Declaratory Resolution was confirmed by the Commission on
December 20, 2002; and
WHEREAS, pursuant to the Declaratory Resolution, the Commission designated
an allocation area for purposes of Section 39 of the Act which allocation area is known as
Allocation Area No. 1 ( "Allocation Area No. I") and which is described as set forth in the
Declaratory Resolution; and
C WHEREAS, Section 17.5 of the Act and Section 39.1 of the Act provide the
means for approving amendments to the Plan; and
WHEREAS, there has been proposed to the Commission by Anchor Acquisitions,
Ltd. a project involving the construction of a significant commercial and retail center at or about
the southwest corner of the intersection of Ireland and Michigan Streets in the Area (the
'Project "); and
WHEREAS, the Commission desires to separately establish an allocation area
within the Area ( "Allocation Area No. 2 ") for the purpose of separately accounting for the tax
increment revenues within the Area produced as a result of the Project (the 'Project Tax
Increment Revenues ") and to amend the Plan accordingly; and
WHEREAS, the Commission further desires to issue bonds of the District (the
"Bonds ") payable solely from Project Tax Increment Revenues for the purpose of procuring
funds to finance certain local public improvements consisting of roadway improvements and
related infrastructure improvements (the "Improvements ") pursuant to the Act, subject to and
dependent upon the terms and conditions hereinafter set forth; and
WHEREAS, the Commission desires to hold a public hearing regarding the
appropriation of the proceeds of the Bonds, pursuant to Ind. Code § 6- 1.1 -18 -5, and a public
hearing regarding the amendment of the Plan, pursuant to Sections 17.5 and 39.1 of the Act;
C-
SBNANI 187463v2
(W NOW, THEREFORE, BE IT RESOLVED by the South Bend Redevelopment
Commission as follows:
A
1. The City, acting for and on behalf of the Commission, shall provide for
the issuance of Bonds in an amount not to exceed Two Million Eight Hundred Thousand and
00 /100 Dollars ($2,800,000.00) for the purpose of procuring funds to finance the Improvements
together with a sum sufficient to pay the estimated cost of all expenses reasonably incurred in
connection with the Improvements, including the total cost of all reasonable and necessary
architectural, engineering, legal, financing, accounting, advertising, bond discount, and
supervisory expenses, capitalized interest and a debt service reserve for the Bonds (to the extent
that the Commission determines that capitalized interest and/or a reserve is reasonably required)
and all expenses reasonably incurred in connection with the issuance of Bonds.
In order to procure such funds, the Controller of the City is hereby authorized and
directed to have prepared and to issue and sell the negotiable Bonds of the Redevelopment
District, in one or more series or issues, the principal of and interest on which are payable from
the Project Tax Increment Revenues, which Bonds shall be issued in the name of the City, for
and on behalf of the Redevelopment District, in an aggregate principal amount not to exceed
Two Million Eight Hundred Thousand and 00 /100 Dollars ($2,800,000.00), with a discount not
to exceed the discount set forth in or determined by a final bond resolution to be adopted by the
Commission (the "Final Bond Resolution "), together with a sum sufficient to pay the estimated
cost of all expenses reasonably incurred in connection with the Improvements and the issuance
of the Bonds, including the total cost of all reasonable and necessary architectural, engineering,
legal, financing, accounting, advertising, bond discount and supervisory expenses, capitalized
interest and reserve amount, if any, which estimated cost of the Improvements and such expenses
to be financed from proceeds of the Bonds shall not exceed Two Million Eight Hundred
Thousand and 00 /100 Dollars ($2,800,000.00), plus investment earnings thereon.
The Bonds shall not constitute a corporate obligation or indebtedness of the City
but shall constitute an obligation of the Redevelopment District. The Bonds, together with
interest thereon, shall be payable solely out of Project Tax Increment Revenues.
The Bonds shall bear interest at a rate or rates and have such maturities as set
forth in the Final Bond Resolution. The Bonds may be subject to redemption prior to maturity in
whole or in part in accordance with the terms set out in the Final Bond Resolution of the
Commission.
2. The Commission hereby approves and ratifies the actions taken by the
Secretary of the Commission in conjunction with counsel to publish notice of a public hearing
regarding the appropriation of the proceeds of the Bonds as required by Ind. Code § 6- 1.1 -18 -5
and Ind. Code § 5 -3 -1, which hearing shall be conducted at the special meeting of the
Commission scheduled to be held on July 27, 2004, at 8:00 a.m.
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3. The Commission hereby approves and ratifies the actions taken by the
(apol Secretary of the Commission in conjunction with counsel to publish notice of a public hearing
regarding the amendment of the Plan as required by Sections 17.5 and 39 of the Act and Ind.
Code § 5 -3 -1, which hearing shall be conducted at the special meeting of the Commission
scheduled to be held on July 27, 2004, at 8:00 a.m.
4. The President and Secretary of the Commission shall certify a copy of this
Resolution to the Controller of the City.
5. This Resolution shall be in full force and effect after its adoption by the
Commission.
Adopted at a meeting of the South Bend Redevelopment Commission held on
July 16, 2004, at Room 1308, County -City Building, 227 West Jefferson Boulevard, South Bend,
Indiana.
ILO� ATTEST:
ec etary
SOUTH BEND REDEVELOPMENT
COMMISSION
By: 'emjv�4
President
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