HomeMy WebLinkAboutNo. 0065 authorizing sale, issuance, delivery of preliminary loan notes in aggregate principal amount of $1,166,000, execution of requisition agreement No. 3, execution/delivery project temp. loan note No. 4 in connection with Project NO. IND R-7P'
i
H -3G30a
(5 -61)
RESOLUTION #65
ITI,SOTLUI'ION AUTFIORIZIIIG TIir SALE. ISSUANCE', AND DELIVrMY
OF PIITLIMINARY LOAN NCYI'E i IN TIIL AGGREGA`T'E PRIDICTPAL
AMOUIIT OP' 1,166r 000 «00 , TIE E'/'T1!CTJT'ION Or
RT'QUI3ITION AGPJ_111t1HIT NO. 3 , AND TIM ,XTCi1TIOM
,AI-FD PELIVEMY OF PROJECT ' TT; %IPORAI Y I OAN, �d(YI']?, N0, tom. ,
IN CONTTF,,CTION WITH PROJIaCT I40.
1
W1 1REAS,, City of South Rendg Department of Redeveia4diatein
called Lhe "Loca. Pu ]. _c cncy has entered into a contract dated as of the
17tH -.y of Au ust , 1960, numbered Contract No. IND. R-�7 (LG) ,
which, together 1 any supplements thereto or amendmcn -tl s, m d'i..C_icr:i�. or 1r;
waivers of any provisions thereof, is herein called the "'Loan and Grant
Contract"), with the United' States of America ( herein called Mlle "Government")
acting y and through the Ilousing and Home Finance Administrator, providing) in
part, f r a Project Temporary Loan by the Government to the Local Public:Ageney
under Title I of the Housing Act of 1949 (Public Law 171 - 81st Congress)
approvel July 15, 1949), as amended, in an amount outstanding at any one time
not to axceed '$ 21527; 500;00 to aid the .Local'Public Agency in its
undertaking and carrying out of a certain slum clearance and urban
redevel pment project (herein called the "Project ") designated Project
No, Ina R..7 , which is more fully identified in the Loan and Grant
Contract; and
WHEMAS, the Government has agreed, pursuant -to Requisit n Agreement
No. 2 with the Local Public Agency dated as of the S-t day of
Au u t , 19 62 (herein called the "Outstanding Requisition
reeme t , to make a payment on account of said Project Temporary Loan on the
23rd day of August , 19 63, which Project Temporary Loan
payment has been pledged for the payment of the principal of and interest upon
the Pre iminary Loan Notes ( Second SeriesA of the Local Public Agency which
mature Dn the . 23rd day of August , 19 63, and. are herein called
the " Out standing Pre iminary Loan Nis a
REAS, pursuant to advertisement for the receipt of proposals for the
purchas of the Third SerieqLof Preliminary Loan Notes (herein sometimes
called 'New Preliminary Loan Notes ") of the Local Public Agency aggregating
$1,166t000.00 , which appeared in' a Notice of Sale published in the
19 , issues of the
in the City of
and in the � IV 16 , 19 63
issue oC the Daily Bond Buyer in the City of New York, proposals for -the purchase
of said New Preliminary Loan Notes in the form approved by the Local Public
Agency were received; opened, and canvassed at the time and place mentioned in
- 1 -
said adve
in the Ci
-tisement,.. to wit---. At 129 West Colfax Avenue
y of South Bend- , Indiana , at
o'cloe , . ., ..T., Ju y r l9 63,
bsals are -as--follows:
Name of Wder °
Morgan Guara ty Trust Co, of New York
New York 15, New York o
Chemical Ban New York Trust Company
New York, Ne York
The First, Na ional City Bank and Barrk of
America
N.T.&S,.A.:4 N w Ydrk -15, New York
Continental llinois National Bank and
Trust Comp y of'Chicago
Chicago, 111'nois
Interest Principal
Rate Amount Premium
2.0/ $It166ro00 $54.00
1.97/ $1;166,000 47,00
1,97%. $lo166,OQQ 58.00
1.,.96% $l o 166, QQQ 13.00
St Joseph B and Trust Company 1,88• 1, 166,x000 -40-
SoutlFiendx 1ndiana
WHERIKAS, the interest cost at which the Local Public Agency can sell the
New Preliminary Loan Notes is substantially lower than the interest rate which
the Government is required to charge the Local Public Agency under the terms of
the Loan and Grant Contract, and the Government is desirous of cooperating with
the Local Public Agency in its endeavor to sell said New Preliminary Loan Notes
in order Jo reduce carrying charges and other costs of the Project:
BF lid' RESOLVED BY The City of South Bend R develgpment Commission
AS F OWS:
Sect Ed n 1. The aforesaid publication of the Notice of Sale and the form
and conte s ereof as so published are hereby, in all respects, approved,
ratified confirmed.
Section 2. In order,to provide funds to defray expenses incurred or to be
incurr-e-d-i-n-tHe Local Public Agency's undertaking and carrying out of the
Project, or to retire, refund, renew, or extend its outstanding notes issued in
connection-therewith, the Local Public Agency hereby determines to'borrow the
sum of 1-1-on Hundred SixtX Six 'Thousand - -- - ----
- ----- -- --- *- *-•-�- Dollars $ ., , , and issue its
nego s New Pre un nary Loan Notes therefor in--aggregate principal amount
equal to said sum.
- 2 -
Sect
of the px
designate
Local Put
is theref
awarded t
�rincipal
Amount
Ion 3. The Local. Public Agency hereby ratifies and approves the form
oposal hereinafter in this Section 3 enumerated, for -the purchase of the
d principal amount of the New Preliminary Loan Notes, which proposal the
lic Agency hereby determines will provide the lowest interest cost and
ore hereby accepted, and said New Preliminary Loan Notes are hereby
o said purchaser, as follows:
$1,166,,OOO..00
Se
of Aug
of salT
payable
payable
follows:
Interest
Rate Purchaser
1.88• St, Joseph Bank and. Trust Company
Michigan and Jefferson Streets
South BendO Indiana
ion 4. Each such note shall be dated the 20th. day of
xst , 19 ; shall be designated "Preli.minary Loan Note "; shall.
a) -as �-o b th p:r 3pa1-and -interest, to bearer, on the 20th day
3t J 1964 ; and, pursuant to the proposal for T5c purchase
es, ere na ove accepted, shall bear the rate of interest per annum,
t maturity, shall bear the numbers, be in the denominations, and be
s to both principal. --and interest at the bank or trust company, as
-3
Interest
Purchaser
Number
Denominations
Rate Payable. At-
St, Joseph Biink
and
1«-11
$100 #000
1.88°/ St. Joseph Bank and
Trust Company
12
50#' 00
Trust Company
Michigan and
Jefferson
13
101000
Michigan & Jefferson
Sts.
14
5 *000
Streets
South Benda Indiana
15
1,000
South Bend, Indiana
-3
Section 3, The Local. Public Agency hereby ratifies and approves the form
of the p oposal hereinafter in this Section 3 enumerated, for the purchase of the
designated principal amount of the New Preliminary Loan Notes, which proposal the
Local Public Agency hereby determines will provide the lowest interest cost and
is therefore hereby'accepted, and said New Preliminary Loan Notes are hereby
awarded jo said purchaser) as follows;
�rincip
Amount
$1x166,Op0a.00
Sect
of Aug
of sa
payable
payable
follows;
Interest
Rate Purchaser
1,88% St, Joseph Hank and Trust Company
Michigan and Jefferson Streets
South Bend* Indiana
ion 4. Each such note shall be dated the 20th- day of _-
�t , 19 g shall be designated "Preliminary Loan Note "; shall.
as o' both px ipal and - interest, to bearer, on the dray
1964 ; and, pursuant to the proposal for the purchase
)tes, ere na ove accepted, shall bear the rate of interest per annum,
t maturity, shall bear the numbers, be in the denominations, and be
3 to both principal -.and interest at the bank or trust company, as
3 °-
Interest
Purchaser
Number
Denominations
Rate Payable At
St. Joseph Biuik
and
1«-11
$100,x000
1,88% St. Joseph Bank and
Trust Compmy
12
50x000
Trust Company
Michigan and
Jefferson
13
10too0
Michigan & Jefferson
Sts,
14
5,000
Streets
South Benda
Indiana
15
1x000
South Bend, Indiana
3 °-
►5't w
and shall not be valid until said statement is duly executed-on behalf of the
condit
'nb. Said Project Temporary I,� Ei�' m. M! �t� '� the Treasurer of
o Tre Ito ;.the Government to
=y-ex 129fl aid pa for 2-0 to
in accordance with the teams and
)nq contained i;n said New Requisition Agreement,
Sect on 8, The :proceeds derived from the sale of the New Preliminary
Loan o e , ogether with such amount of other appropriate Rands of the Local
Public Agency as may be necessary, shall be applied, simultaneously with the
receipt of said proceeds, as follows
Any ba
or fund est
only in acc
First; To t'ze payment and discharge of the principal of
and Interest on the following Project Temporary
Loan Notes of the Local Public Agency issued
pursuant to the Loan and Grant Contract and held
or to be held by the Government for its own use
and benefit on the date of the New. Preliminary
Loan Notes herein authorized:
Principal
No. Date Amount
None
1
cond: Pursuant to.the provisions. of the Outstanding
Requisition Agreement, the following amount shall
be paid to the paying agent named below, for the
sole and only purpose of paying the principal of
and interest to maturity upon the designated
Series of Outstanding Preliminary Loan Notes of
the Local Public Agency:
Amount Paying Agent
Series
$10399,,334,.44 The Chase Manhattan Bank Second Series A
New York: New York
cc of such proceeds shall be defosited in the appropriate account
ished pursuant to the Loan and Grant Contract and shall be used
ance with the provisions of the Loan and Grant Contract.
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Cty. ex officio Treasurer of the
Secti n 9. The Treasurer of St. Joseph / is hereby authorized and City of
d-irecte— send immedia e y a letter to each paying agent .for the New South Bend
Preliminary Loan Totes in substantially the form of the letter.hereto attached
and marked 11Exhi'b3t 13" and to transmit; (1) the New Preliminary 'Loan Notes to
said payin. agent for delivery said payment in accordance with the terms of said
letter; ( 2) f None of funds of the Local Public Agency to the
Administrator, Housing anJ Home Finance Agency, to be applied against the
payment of the principal of and interest to the date of payment on the Project;
Temporary Loan Notes described in Section 8 hereof; and (3) funds of the Local
Public Age cy to the paying agent of the designated Series of Outstanding
Prelimina Loan Notes, to be applied against the payment of the principal of
and inters t to maturity on such Series of Outstanding Preliminary Loan Notes,
as follows
Amount Paying Agent Series
$233t3341*
The Chase Manhattan Bank
1 Chase Manhattan Plaza
New Fork 15, New York
Second Series A
Secti n 10. This Resolution shall take effect immediately.
Adopted at the special meeting of the South Bend. Redevelopment Commission
held on Au ust 8, 19631 at the office of the Commission, 129 West Colfax
Avenue, So th Bend, Indiana;.
t