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
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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.