HomeMy WebLinkAboutApproving Industrial Development Revenue Bonds - Mossberg & Company IncORDINANCE No 6792 -80
Passed by the Common Council of the City of South Bend, Indiana_
May 27, 80
IRENE K. GAMMON
P
City Clerk
of Common Council
Presented by me to the Mayor of the City of South Bend, Ind*ana
May 28,
IRENE K. GAMMON
Approved and signed by me �1 (f ,� ( d
Clerk
BILL NO.
ORDINANCE NO. 7
AN ORDINANCE AMENDING AND SUPPLEMENTING ORDINANCE NO. 6775 -80
APPROVING THE FORM AND TERMS OF LOAN AGREEMENT, INDENTURE OF
TRUST, REAL ESTATE MORTGAGE, SECURITY AGREEMENT AND INDUSTRIAL
DEVELOPMENT REVENUE BONDS, AND AUTHORIZING THE EXECUTION THEREOF,
AND APPROVING RESOLUTION NO. 12 -80 OF THE SOUTH BEND ECONOMIC
DEVELOPMENT COMMISSION RELATING TO THE MOSSBERG & COMPANY, INC.,
AN INDIANA CORPORATION, PROJECT
STATEMENT OF PURPOSE OF INTENT:
The Common Council of the City of South Bend, Indiana
heretofore has created the South Bend Economic Development Commission,
hereinafter referred to as "Commission ", pursuant to the provisions
of the Public Law No. 182 of the Acts of the General Assembly of
Indiana for 1973, as such may be amended from time to time, in-
cluding but not limited to IC 18- 6 -4.5 -1 through IC 18- 6- 4.5 -30,
hereinafter referred to as the "Act "; and
Mossberg & Company, Inc., an Indiana corporation, has
filed an application with the Commission to finance the expansion
of its commercial printing facility located at 301 East Sample Street,
South Bend, Indiana, and the purchase and installation of certain
machinery and equipment (facilities) which will constitute economic
development facilities resulting in a number of new 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 IC 18- 6- 4.5 -16 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 Com-
mission held a public hearing on the proposed financing of such eco-
nomic 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 Industrial Development Revenue Bonds, including but not limited
to the Act and approved the form and terms of the Loan Agreement,
Indenture of Trust, Real Estate Mortgage, Security Agreement and
Industrial Development Revenue Bonds, and further approved this
form of ordinance authorizing the execution thereof, and 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.
NOW, THEREFORE, BE IT ORDAINED by the Common Council of
the City of South Bend, Indiana, that:
Section 1. The form and terms of the Loan Agreement,
Indenture of Trust, Real Estate Mortgage, Security Agreement and
Industrial Development Revenue Bonds attached as exhibits thereto
pertaining to the issuance of the Industrial Development Revenue
Bonds in accordance with the terms of the Indenture of Trust and
Loan Agreement pertaining to the application of Mossberg & Company,
Inc., an Indiana corporation, are hereby approved and adopted.
Section 2. Said forms of Loan Agreement, Indenture of
Trust, Real Estate Mortgage, Security Agreement and Industrial
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, and shall be kept on file by the City Clerk
of South Bend, Indiana.
Section 3. The Loan Agreement, Indenture of Trust, Real
Estate Mortgage, Security Agreement and Industrial Development Revenue
Bonds shall be executed on behalf of the City of South Bend, Indiana
by the Mayor and the City Clerk.
Section 4. Said Industrial Development Revenue Bonds,
payable solely and only from the revenues derived from such Mossberg
& Company, Inc. Project pursuant to the aforementioned Indenture of
Trust and Loan Agreement shall not be in any respect a general ob-
ligation of the City, nor shall the bonds be paid in any manner
from funds raised by taxation, and may be executed in amounts not
to exceed Seven Hundred Fifty Thousand Dollars ($750,000.00), re-
payable with interest thereon at a rate not to exceed eleven percent
-2-
(11 %) per annum, payable in monthly installments over a period not to
exceed fifteen (15) years after the date of such bonds, and that such
Indenture of Trust and Loan Agreement and such Industrial Develop-
ment Revenue Bonds shall be executed on behalf of the City of South
Bend, Indiana, by the Mayor and Clerk and sealed with the corporate
seal of such City.
Section 5. Resolution No. 12 -80 of the South Bend Eco-
nomic Development Commission passed on April 18, 1980, is hereby
approved; and the Common Council of the City of South Bend 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 provisions of I.C. 18- 6 -4.5, as amended and supplanted.
Section 6. This Ordinance amends and supplements Ordinance
No. 6775 -80 previously passed by the Common Council and approved by
the Mayor.
Section 7. This Ordinance shall be in full force and
effect from and after its passage by the Common Council and approval
by the Mayor.
Me er o the South Bend Common Council
10 READING `3
7'J3LIC HEARING
:nd READING ✓ —��
NOT APPROVE!
REFERRED
PASSED ` 7 —4-d
-3-
'RED III CL 01'S OFFICE
MAY 2 a 1980
Irene Gammon
CITY CLERK, SOUTH BEND, IND.