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HomeMy WebLinkAboutApproving Industrial Development Revenue Bonds - Exacto IncORDINANCE NO. 6696 -79 Passed by the Common Council of the City of South Bend, Indiana December 3 19 79 Attest. �_ r�z-'.. ✓ City Clerk IRENE K. GAMMON of Common Council Presented by me to the Mayor of the City of South Bend, December 4 19 79 IRENE K. GAMMON Approved and signed by me 4.QA - e• • ' S' 1g/' Clerk ORDINANCE NO. AN ORDINANCE APPROVING THE FORM AND TERMS OF LOAN AGREEMENT, TRUST INDENTURE AND SECURITY AGREEMENT AND INDUSTRIAL .G I..VLVIJI.111. - 1J1JV1�1JVrl'11JLV1 l�Vl'!.L'11 UL71 VLV 1 \L:a Lt]111V 17 1V 111J.:1 la l]CLl�1V, 11Y �..•, OF SOUTH BEND 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, 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 EXACTO, INC. OF SOUTH BEND has filed an application with the Commission to finance the acquisition of machinery and equipment and expansion of facilities located at 1119 South Franklin Street, South Bend, Indiana which will constitute 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 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 Commission held a public hearing on the proposed financing of such economic development facilities in accordance with the Act after.giving the required notice0as 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 and Trust Indenture, Security Agreement and Bonds, and further approved the form of Ordinance authorizing the execution thereof, and that such ecanmic development facilities will not have an adverse competitive effect on similar facilities already constructed and operating in the City of South Bend, Indiana. {'. 1 . 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, Security Agreement and Industrial Development Revenue Bonds attached as exhibits thereto pertaining to the application of EXACTO INC. OF SOUTH BEND, an Indiana Corporation, are hereby approved and adopted. Section 2. Said forms of Loan Agreement and Trust Indenture, 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 and Trust Indenture and Security Agreement and Industrial Development 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 EXACTO INC. OF SOUTH BEND PROJECT pursuant to the aforementioned Loan Agreement and Trust Indenture and Security Agreement shall not be in any respect a general obligation 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 Three Hundred Thousand ($300,000.00) Dollars, repayable with interest thereon at a rate not to exceed nine (9 %) percent per annum, payable in_donthly installments over a period of ten (10) years after the date of such Bonds, and that such Loan Agreement and Trust Indenture and Security Agreement and such Industrial Development Revenue Bonds shall be executed on behalf of the City of South Bend, Indiana by the Mayor and the City Clerk and sealed with the corporate seal of such City. Section 5. Resolution No. 33 -79 of the South Bend Economic Development Commission passed on October 22, 1979, 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 -2- 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 shall be in full force and effect from and after its passage by the Common Council and approval by the Mayor. 1st READING 11'115-- ?� PUBLIC HEARING/,?--q- %1517 2nd READING AV NOT APPROVER REFERRED PASSED /,.? __q— 7 Member of the out end Common Council -3- I, L• ' r' pq f".10 V 7 1979 I BEND «1D VOOR, MCMICHAEL, ALLEN, FEDDER & HERENDEEN WILLIAM E.VOOR ATTORNEYS 8 COUNSELORS AT LAW AREA CODE 219 GUY H. Mc MICHAEL 300 FIRST BANK BUILDING 234-6061 LLOYD M. ALLEN KENNETH P. FEDDER SOUTH BEND, INDIANA 46601 GEORGE E. HERENDEEN OF COUNSEL: ANTHONY D. KOWALS WILLIAM 0. JACKSON Members of the South Bend Common Council County -City Building South Bend, Indiana 46601 RE: Revenue Bond Application ( EXACTO INC. OF SOUTH BEND PROJECT) Dear Councilmen: Application of a Revenue Bond issue for Three Hundred Thousand ($300,000.00) Dollars, for and on behalf of EXACTO INC. OF SOUTH BEND for the acquisition of machinery and equip- ment and expansion of facilities located at 1119 South Franklin Street, South Bend, Indiana. The new facility, will initially employ appoximately 25 people with a beginning payroll at approximately $420,000.00. It is properly zoned and it will be a further expansion of facilities in our South Bend area. Re.spe c tful ly , KENNETH P. FEDDER ATTORNEY FOR THE SOUTH BEND ECONOMIC DEVELOPMENT COMMISSION KPF /mb D �.v'U Si v�JJ No"v, ? 1979 G: LMgr cr SCL "< 1 BEND, iIND.