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HomeMy WebLinkAboutApproving Industrial Development Revenue Bonds - Masterbilt Inc ProjectORDINANCE No 6783 -80 Passed by the Common Council of the City of South Bend, Indiana_ M IRENE K. GAMMON Attest: Presented by me to the Mayor of the City of South Bend, Ind*ana Approved and signed by N— 28 , 19 80 City Clerk Of Common Council z. City Clerk IRENE K. GAMMON d- e 19- L—d ORDINANCE NO. Sj- AN ORDINANCE APPROVING THE FORM AND TERMS OF LOAN AGREEMENT AND TRUST INDENTURE, INDUSTRIAL DEVELOPMENT REVENUE BOND, AND AUTHORIZING THE EXECUTION THEREOF AND APPROVING RESOL- UTION NO. 11 -80 OF THE SOUTH BEND ECONOMIC DEVELOPMENT COMMISSION RELATING TO THE MASTERBILT, INC., PROJECT STATEMENT OF PURPOSE OF INTENT: The Common Council of the City of South Bend, Indiana heretofore has created the South Bend Economic Development Commis- sion, 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, including but not limited to IC 18- 6 -4.5 -1 through IC 18 -6- 4.5-30, hereinafter referred to as the "Act "; and MASTERBILT, INC. a Indiana corporation, has filed an ap- plication with the Commission to finance the acquisition of a "Cyclone CNC Turning Center" which is sophisticated piece of machinery to be acquired from the manufacturer of such machinery, South Bend Lathe Works, of South Bend, Indiana to be located in a building at 325 South Walnut, South Bend, Indiana, 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 prepared and placed on file a report containing the subject matter as specified in IC 18- 6- 4.5 -16 and has forward- ed copies thereof to the Chairman of the Area Plan Commission of St. Joseph County, Indiana, and to the Superintendent of the South Bend Community Sch6ol Corporation, being the area in which the pro- posed facilities will be located, and has timely received favor- able 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 Industrial Development Revenue Bond, including but not limited to the Act, and approved the form and terms of the Loan Agreement and Trust Indenture, real estate mortgages and 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 construct- ed 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 and Trust Indenture, and Industrial Development Revenue Bond attached as Exhibits hereto pertaining to the issuance of the Industrial Development Revenue Bonds in accordance with the terms of the Loan Agreement and Trust Indenture pertaining to the application of Masterbilt Inc., are hereby approved and adopted. Section 2. Said forms of Loan Agreement and Trust Indenture, and Industrial Development Revenue Bond 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 and Trust Indendure and Bond 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 Bond, payable solely and only from the revenues derived from such Masterbilt Inc—Project pursuant to the aforementioned Loan Agreement and Trust Indenture, shall not be in any respect a general obligation of the City, nor shall the bond be paid in any manner from funds raised by taxation, and may be executed in amounts not to exceed Ninety Thousand Dollars ($90,000.00) repayable with interest over a period of five (5) years in accordance with the terms set forth in such Loan Agreement and Trust Indenture, and that -2- such Loan Agreement and Trust Indenture and such Industrial Development Revenue Bond 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. 11 -80 of the South Bend Economic Development Commission passed on May 2, 1980, is hereby approved and the Common Council of the City of South Bend hereby finds that the proposed financing for the issuance of such Industrial Development Revenue Bond would be of benefit to the health and welfare of the City of South Bend and that such complies with the purposes and provisions of the Act. Section 6. This Ordinance shall be in full force and effect from and after its passage.by the Common Council and approved by the Mayor. 1st READING PUBLIC HARING 2rd READING NOT APPROVED REFERRED PASSED -3- i' J r of the Common Iran ai -non CITY CLERK, SOUTH BEW, iND. VOOR, MCMICHAEL, ALLEN, FEDDER & HERENDEEN WILLIAM E.VOOR ATTORNEYS 8 COUNSELORS AT LAW GUY H. M c M ICHAE L AREA CODE 219 LLOYD M. ALLEN 300 FIRST BANK BUILDING 234-6061 KENNETH P. FEDDER SOUTH BEND, INDIANA 46601 GEORGE E.HERENDEEN ANTHONY D. KOWALS OF COUNSEL: WILLIAM 0. JACKSON May 7, 1980 Members of the South Bend Common Council County -City Building South Bend, Indiana 46601 RE: Revenue Bond Application (Masterbilt Inc.) Dear Councilmen: The South Bend Economic Development Commission has received an application from MASTERBILT INC., for a Revenue Bond in the amount of Ninty Thousand Dollars, ($90,000.00), to finance the purchase of additional machinery to be located at his Economic Development facility located at 325 South Walnut, South Bend, Indiana, and to purchase and install certain machinery therein. It is anticipated that the new facility will create and additional employment of approximately 3 jobs with an estimated payroll in excess of $30,000.00 a year. It will be a further expansion of business facilities in our South Bend area. pectrt�iy, P. FEDDER ATTORNEY FOR THE SOUTH BEND ECONOMIC DEVELOPMENT COMMISSION Fd? 57:-T� Fart KPF /lb�' Irene Gan, mon CITY CLERX, SOUTH BEND, iND.