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
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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
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No"v, ? 1979
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