HomeMy WebLinkAboutApproving Economic Development Reveune Bonds Inland Distributing Corp Project ORDINANCE No. 7442-85
Passed by the Common Council of the City of South Bend,Indiana
April 29, rq 85
Attest: Cit y Clerk
IRENE K. GAMMON
Attest: ,.'_ ♦��_ ' • Ai
President of Common Council
Presented by me to the Mayor of the City of South Bend, Indiana
April 30, 19 85
City Clerk
IRENE K. GAMMON
Approved and signed by me
/(1//1,4,7 Mayor
ORDINANCE NO. 7 /�
AN ORDINANCE APPROVING THE FORM AND TERMS OF THE LOAN AGREEMENT, INDENTURE
OF TRUST, AND ECONOMIC DEVELOPMENT REVENUE BONDS, AND AUTHORIZING THE EXE-
CUTION THEREOF, AND APPROVING THE RESOLUTION OF THE SOUTH BEND ECONOMIC
DEVELOPMENT COMMISSION RELATING TO THE INLAND DISTRIBUTING CORPORATION
PROJECT.
STATEMENT OF PURPOSE AND INTENT:
The Common Council of the City of South Bend, Indiana, heretofore
has created the South Bend Economic Development Commission (hereinafter
referred to as the "Commission") pursuant to the provisions of Indiana
Code 36-7-12 , as amended (hereinafter referred to as the "Act") .
Inland Distributing Corporation, an Indiana corporation filed an
application with the Commission to finance .certain economic development
facilities resulting in a substantial number ofnew jobs as well as
other benefits, and in connection therewith, the Commission has pre-
pared and placed on file a report containing the subject matter as
specified in Section 23 of the Act and has forwarded copies thereof
to the Chairman of the Area Plan Commission of St. Joseph County,
Indiana, and to the Superintendent of the South Bend Community School
Corporation, being the area in which the proposed facilities will be
located, and has timely received favorable reports from each of them,
and the Commission held a public hearing on the proposed financing of
such economic development facilities in accordance with the Act after
giving the required notice as provided in the Act, and adopted a
resolution finding that such proposed financing complies with the
purposes and provisions of all applicable Indiana statutes governing
the issuance of Economic Development Revenue Bonds, including but not
limited to the Act, and approving the form and terms of the Loan Agree-
ment, Indenture of Trust, and Bonds, and further approving this form
of Ordinance, authorizing the execution thereof, and further finding
that such economic development facilities will not have an adverse
competitive effect on similar facilities already constructed and opera-
ting in the City of South Bend, Indiana.
NOW, THEREFORE, BE IT ORDAINED BY THE Common Council of the City
of South Bend, Indiana _ that .
Inland Distributing Corporation Project and the issuance of the Economic
Development Revenue Bonds pursuant thereto are hereby approved and adopted.
Section 2 . Said forms of Indenture of Trust and Loan Agreement, to-
gether with the Note and Mortgage attached as exhibits thereto, and the
Economic Development Revenue Bonds which are on file with the Commission,
are hereby incorporated by reference into this Ordinance, and said forms ,
shall be inserted into the minutes of the Common Council of the City of
South Bend, Indiana.
Section 3. Said Loan Agreement and Indenture of Trust shall be exe-
cuted on behalf of the City of South Bend, Indiana, by the Mayor and City
Clerk of South Bend, Indiana, and sealed with the corporate seal of such
City.
Section 4 . Said Economic Development Revenue Bonds, payable solely
and only from the revenues derived from such Project pursuant to the
aforementioned Loan Agreement and Indenture of Trust will not be in
any respect a general obligation of the City, nor may the Bonds be paid
in any manner from funds raised by taxation, and may be issued in an
aggregate amount not to exceed Six Hundred Twenty-Five Thousand Dollars
($625,000 . 00) , as fully registered bonds in denominations of One Thousand
Dollars ($1, 000. 00) or multiples thereof payable in lawful money of the
United States of America at the principal office of St. Joseph Bank and
Trust Company in the City of South Bend, Indiana. Such Bonds shall be re-
payable with interest thereon at a rate not to exceed the higher of 80%
of the four year U.S . Treasury Note rate of interest or 75% of the rate
of interest charged to its prime customers by Citicorp of New York in
effect during the term of the Bonds, over a term of not more than 15
years, and subject to redemption, all in accordance with the terms of
said Bonds, Loan Agreement and Indenture of Trust. Such Bonds shall be
dated as of the date of execution and delivery, and shall be executed on
behalf of the City of South Bend, Indiana, by the manual signatures of
the Mayor and City Clerk of the City, and sealed with the corporate seal
of the City, and executed and delivered to the purchasers of the Bonds
on or before July 1, 1985.
Section 6 . The Resolution of the South Bend Economic Development
Commission, passed on April 19 , 1985 , is hereby approved, and the
Common Council of the City of South Bend, Indiana, hereby finds that
the proposed financing for the issuance of the Economic Development
Revenue Bonds would be of benefit to the health and welfare of the
City of South Bend, and that it complies with the purposes and pro-
visions of the Act.
Section 7. Pursuant to the provisions of Indiana Code 36-1-5-4 ,
two copies of all documents incorporated in this Ordinance by reference
are on file in the office of the City Clerk for public inspection.
Section 8 . This Ordinance shall be in full force and effect from
and after its passage by the Common Council and approval by the Mayor
leMber of the CO on Council
ky
-a 9- FILED IN CLERK'S OFFICE
1st READING__ t1_�n
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�o W ;` " ,",7471 ROGER O. PARENT, Mayor
Economic Development Commission
Alice Neddo
Jerry Hammes, President Staff Administrator
April 24, 1985 230 W. Jefferson Boulevard
Walter Szymkowiak, Vice President
Walter A.Mucha,Secretary P.O.Box 1677
Kenneth P Fedder,Counsel South Bend,Indiana
Alice Neddo, Asst. Sec. 46634 1677
(219)234-0051
Members of the South Bend
Common Council
County-City Building
South Bend, IN 46601
Re : Inland Distributing Corporation - Proposed Ordinance
Dear Councilmen :
The South Bend Economic Development Commission has received an
application from Inland Distributing Corporation for a City of
South Bend Economic Development Revenue Bond in the amount of
$85 , 000. 00, to aquire , remodel , expand and equip manufacturing and
office facilities for use by Inland Distributing Corporation,
located at 1145 Prairie Avenue, South Bend, Indiana.
This is the expansion of a business enterprise in the South Bend
Community. It is anticipated that the 5 new jobs created will
have an approximate payroll of $100, 000 . 00 .
We request your favorable action on the passage of the Ordinance.
Rstspectfull ,p.
•
if
gkNliTH ' PER
A to • ey for the South Bend
E.o.omic Development Commission
KPF :ram FILED IN CLERK'S OFFICE
APR 2 1985
IREI Gq 1ON
CITY CLERK, SO. BEND, IN