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HomeMy WebLinkAboutEconomic Development Revenue Bonds 227 Main Street Associates ProjectORDINANCE No 7360 -84 Passed by the Common Council of the City of South Bend, Indiana July 24, 19 84 IRENE K. GAMMON Presented by me to the Mayor of the City of South Bend, Indiana Approved and signed by 0 July 25, �9 84 �y Clerk of Common Council IRENE K. GAMMON V Clerk ORDINANCE NO. 7Y6 0 -,F 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 227 MAIN STREET ASSOCIATES 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 tows the "Act "). 227 Main Street Associates, an Indiana limited partnership filed an application with the Commission to finance certain economic development facilities resulting in a substantial number of new jobs as well as other benefits, and in connection therewith, the Commission has prepared 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 pro- posed financing complies with the purposes and provisions of all appli- cable 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 Agreement, 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 operating in the City of South Bend, Indiana. Section 2. Said forms of Indenture of Trust and Loan Agreement, together with the Note and Mortgage attached as an exhibit 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 executed 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 $850,000.00, as registered bonds in denomina- tions of $1,000.00 or multiples thereof payable in lawful money of the United States of America at the principal office of lst Source Bank, in the City of South Bend, Indiana. Such Bonds shall be repayable with interest thereon at a rate not to exceed 11.5% per annum, over a term of not more than thirty (30) 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 December 31, 1984. Section 5. The Mayor and City Clerk may approve changes and amend- ments to the Loan Agreement, Indenture of Trust, Economic Development Revenue Bonds, Note, Mortgage, and other related documents which do not affect terms contained in this Ordinance. Bonds would be of benefit to the health and welfare of the City of South Bend, and that it complies with the purposes and provisions 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 e e of the C on Council FILED IN PAL -I'S OFFICE Members of the South Bend Common Council County- City Building South Bend, IN 46601 I Cene Gammon CITY CLERK, SOUTH BEND, IND. Re: 227 Main Street Association Refunding Project - Proposed Ordinance Dear Councilmen: The South Bend Economic Development Commission received an application from 227 Plain Street Associates for a revenue bond issue in the amount not to exceed $850,000.00 for the refunding of a prior bond issue used for the purchase of land, and the renovation, restoration and equipping of improvement located at 223 -227 South Main Street, South Bend, Indiana. The project is presently underway, and this would be a further development in the downtown business community. It is anticipated that approximately 32 new jobs are available with an estimated payroll of $480,000.00. We would request your favorable action on the passage of the funding ordinance to approve this downtown renewal project. ectfully, YXen eth P. Fedder Att rney for the South Bend nomic Development Commission KPF /jlb VOOR, ALLEN, FEDDER, HERENDEEN 8 KOWALS ATTORNEYS 8 COUNSELORS AT LAW AREA CODE 219 WILLIAM E. VOOR 300 FIRST BANK BUILDING 234 -6061 LLOYD M. ALLEN KENNETH P. FEDDER 205 WEST JEFFERSON BLVD. OF COUNSEL: GEORGE E. HERENDEEN SOUTH BEND, INDIANA 46601 WILLIAM O. JACKSON ANTHONY D. KOWALS GUY H. McMICHAEL LARRY L. AMBLER FRED R.HAINS DAVID M. McTIGUE July 17, 1984 FILED OFFICE Members of the South Bend Common Council County- City Building South Bend, IN 46601 I Cene Gammon CITY CLERK, SOUTH BEND, IND. Re: 227 Main Street Association Refunding Project - Proposed Ordinance Dear Councilmen: The South Bend Economic Development Commission received an application from 227 Plain Street Associates for a revenue bond issue in the amount not to exceed $850,000.00 for the refunding of a prior bond issue used for the purchase of land, and the renovation, restoration and equipping of improvement located at 223 -227 South Main Street, South Bend, Indiana. The project is presently underway, and this would be a further development in the downtown business community. It is anticipated that approximately 32 new jobs are available with an estimated payroll of $480,000.00. We would request your favorable action on the passage of the funding ordinance to approve this downtown renewal project. ectfully, YXen eth P. Fedder Att rney for the South Bend nomic Development Commission KPF /jlb