HomeMy WebLinkAbout5A1 Resolution No. 3540 (Approving Execution of Lease -Morris Civic 2021)RESOLUTION NO. 3540
A RESOLUTION OF THE SOUTH BEND
REDEVELOPMENT COMMISSION AUTHORIZING THE EXECUTION
OF A LEASE BETWEEN THE SOUTH BEND REDEVELOPMENT AUTHORITY AND
THE SOUTH BEND REDEVELOPMENT COMMISSION RELATING TO THE
MORRIS PERFORMING ARTS CENTER, AND ALL MATTERS RELATED
THERETO
WHEREAS, the South Bend Redevelopment Commission (the “Commission”), the
governing body of the South Bend Department of Redevelopment and the Redevelopment District
of the City of South Bend, Indiana (the “District”), exists and operates under the provisions of
Indiana Code 36-7-14, as amended from time to time (the “Act”); and
WHEREAS, the City has determined to undertake certain improvements to the Morris
Performing Arts Center (the “Performing Arts Center”) consisting of certain energy savings
improvements, renovations of the floor and seating, and certain other improvements at the
Performing Arts Center (collectively, the “Project”); and
WHEREAS, the Commission has given consideration to (i) financing the cost of all or a
portion of the Project; (ii) funding a debt service reserve fund, if necessary in connection with the
issuance of the Bonds (defined herein); and (iii) paying costs incurred in connection with the
issuance of the Bonds; and
WHEREAS, the South Bend Redevelopment Authority (the “Authority”) has been
established pursuant to the applicable provisions of Indiana Code 36-7-14 as a separate body
corporate and politic, and as an instrumentality of the City to finance local public improvements
for lease to the Commission; and
WHEREAS, on November 8, 2022, the Commission at a duly advertised and noticed public
meeting, adopted its Resolution No. 3538 approving a proposed form of lease (the “Lease”) with
the Authority, as Lessor, for the Performing Arts Center (the “Leased Premises”) in order to
provide for the completion of the Project in order to better serve the residents of the City and
provide for further economic development in the City, and the Commission scheduled a public
hearing regarding the Lease to be held on November 22, 2021, at 9:30 a.m. (local time), in Room
1308 of the County-City Building located at 227 West Jefferson Boulevard, South Bend, Indiana,
and virtually as permitted by Indiana law and published notice of such public hearing on the Lease
in accordance with applicable Indiana law; and
WHEREAS, on this date said public hearing has been held, and all interested parties have
been provided the opportunity to be heard at the hearing; and
WHEREAS, the Commission intends to pay rent to the Authority (the “Rental Payments”)
pursuant to the terms of the Lease, at a rate not to exceed Four Hundred Twenty Thousand Dollars
($420,000.00) per year, in semiannual installments, with a term no longer than twenty-five (25)
years beginning on the date the Authority acquires an interest in the Leased Premises, and ending
on the day prior to a date not later than twenty-five (25) years after such date of acquisition by the
Authority; and
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WHEREAS, the Commission seeks to authorize execution of the Lease and authorize the
publication, in accordance with Indiana Code. 36-7-14-25.2 and Indiana 6-1.1-20-5, of a Notice of
Execution and Approval of Lease and a Notice of Decision to Enter into a Lease;
NOW, THEREFORE, BE IT RESOLVED BY THE SOUTH BEND
REDEVELOPMENT COMMISSION, AS FOLLOWS:
SECTION 1. The Commission hereby finds and determines that (i) the terms of the Lease
are based upon the value of the Leased Premises, that the Rental Payments to be paid by the
Commission, pursuant to the terms of the Lease, at a rate not to exceed Four Hundred Twenty
Thousand Dollars ($420,000.00) per year, in semiannual installments, with a term no longer than
twenty-five (25) years beginning on the date the Authority acquires an interest in the Leased
Premises and ending on the day prior to a date not later than twenty-five (25) years after such date
of acquisition by the Authority, are fair and reasonable, (ii) the use of the Leased Premises
throughout the term of the Lease will serve the public purpose of the City and is in the best interests
of its residents, and (iii) the execution and delivery of the Lease is needed.
SECTION 2. The President or Vice-President and the Secretary of this Commission are
hereby authorized and directed, on behalf of the City, and subject to obtaining approval from the
Common Council of the City (the “Common Council”), to execute and deliver the Lease in
substantially the form presented at this public meeting with such changes in form or substance as
the President or Vice-President of this Commission shall approve, such approval to be conclusively
evidenced by the execution thereof; provided that the Rental Payments shall not exceed the
amounts set forth in Section 1 hereof.
SECTION 3. The Secretary of the Commission is hereby directed to transmit to the
Common Council a copy of this Resolution and the Lease and to request the Common Council to
adopt a Resolution approving the Lease and its execution by the Commission and the Authority,
prior to the execution of the Lease.
SECTION 4. The Commission hereby authorizes the publication and posting in three (3)
public places of a notice of the decision of the Commission to enter into a lease in excess of Five
Thousand Dollars ($5,000) all in accordance with Indiana Code 5-3-1 and 6-1.1-20-5.
SECTION 5. The Commission hereby authorizes the publication, in accordance
with Indiana Code 5-3-1 and 36-7-14-25.2, of the Notice of Execution and Approval of Lease,
following execution of the lease by the Commission.
SECTION 6. The President, Vice-President and Secretary of this Commission,
and each of them, is hereby authorized and directed to take all such further actions and to execute
all such documents or instruments as are desirable to carry out the transactions contemplated by
this Resolution, in such forms as the President, Vice-President or Secretary executing the same
shall deem proper, such desirability to be conclusively evidenced by the execution thereof.
SECTION 7. This Resolution shall be in full force and effect from and after its
adoption by the Commission.
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ADOPTED at a meeting of the South Bend Redevelopment Commission held on
November 22, 2021.
SOUTH BEND REDEVELOPMENT COMMISSION
By:
Marcia I. Jones, President
ATTEST:
Troy Warner, Secretary
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