HomeMy WebLinkAboutAppropriating $1,638,455.05 from the UDAG Fund Development & Operation of a Downtown Office Facility 4
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ORDINANCE No. 7762-87
Passed by the Common Council of the City of South Bend, Indiana
May 26, r9 87
Attest: City Clerk
IRENE K. GAMMON
Attest: / i :; e._—` � President of Common f Co Council
1
Presented by me to the Mayor of the City of South Bend, Indiana
May 27, iq 87
City Clerk
IRENE K. GAMMON
Approved and signed by me 027 1914
1767 Mayor
BILL NO.
ORDINANCE NO. 7762-e7
AN ORDINANCE APPROPRIATING $1, 638,455. 05
FROM THE UDAG FUND FOR THE
PURPOSE OF ASSISTING IN THE CONTINUING
DEVELOPMENT AND OPERATION OF A DOWNTOWN OFFICE FACILITY
STATEMENT OF PURPOSE AND INTENT:
In order to assure the efficient and timely utilization of
Urban Development Action Grant Funds and that the immediate needs of
specific activities are met, this appropriation is necessary.
NOW, THEREFORE,BE IT ORDAINED by the Common Council of the City
of South Bend, Indiana:
SECTION I. The sum of $1,638,455. 05 is hereby appropriated
from UDAG miscellaneous revenue as set forth below:
FUND 410
Purpose Amount
Business Development Corporation $1, 638,455. 05
SECTION II. No costs will be incurred or funds expended for
any activities in this ordinance prior to an official release of
funds received from the United States Department of Housing and
Urban Development as may be required.
SECTION III. This ordinance shall be in full force and effect
from and after its passage by the Common Council and approval by the
Mayor.
/ einber/af the Common -•uncil
>f�pOTH� ;o��� 1Qo CITY o f SOUTH BEND rn
O O
m M \\\ i 'o ROGER O. PARENT, Mayor 2
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C \P � t e COUNTY-CITY BUILDING • SOUTH BEND,INDIANA 46601 • • •
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DIVISION OF COMMUNITY PLANNING
AND DEVELOPMENT 1200 County-City Building
South Bend,Indiana 46601
(219)284-9335
Donald E. Inks
Director
May 1, 1987
South Bend Common Council
4th Floor County-City Building
South Bend, IN 46601
RE: APPROPRIATION OF $1,638,455.05 FOR A LOAN TO ONE
MICHIANA PARTNERS
Dear Council Members:
Enclosed is an Ordinance appropriating funds to be granted to the Business
Development Corporation for the purpose of making a loan to One Michiana Partners. A
loan in the same amount is currently outstanding, but due to a technical need related
to closing out the UDAG this loan will be paid off early.
The original 10 year loan was made to One Michiana Partners (formerly One Michiana
Square) under terms of the Urban Development Action Grant which provided the funds.
None of the terms will be changed under the new loan. Payments from One Michiana
Partners will be received in the same amounts, and on the same dates as originally
scheduled. The loan will mature during 1995 as initially scheduled.
The early pay-off,and new loan are necessary to effect a close-out of the UDAG.
During 1986 the original One Michiana Square Project was syndicated. As a result of
the syndication, an amendment of the UDAG documents was required, but over the past
several months it has proven very elusive. After discussion with the U.S. Dept. of
Housing and Urban Development it was decided the best route would be to close-out the
UDAG. Close-out is necessary in any case since the project is virtually complete,
but it also means the amendment will not be necessary.
The attached Ordinance is presented in anticipation of the early loan repayment, and
allows the Business Development Corporation to reloan the same amount. Loan
repayments beginning in 1989 will be returned to the City through the Dept. of
Economic Development.
If you have any questions, please contact me at 284-9278.
Ve truly yours
I / ( 2_14____
Donald r. Inks
Director
DEI/ed
ENC.
D/10
(Commit-Ur Iepnrt
an the Mammon Qlounrit of tie Qitg of*until Bend:
Your Committee of the Whole
to whom was referred
BILL NO.
45-87 A BILL APPROPRIATING $1,638,455 .05 FROM THE UDAG FUND FOR
THE PURPOSE OF ASSISTING IN THE CONTINUING DEVELOPMENT AND
OPERATION OF A DOWNTOWN OFFICE FACILITY.
Respectfully report that they have examined the matter and that in their opinion
This bill should be recommended to the Council favorable.
Ann B. Puzzello
Chairman
FREE PRESS PUBLISHING CO.