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HomeMy WebLinkAboutApproving Industrial Development Revenue Bonds - Diversified Group ProjectORDINANCE No. 6666 -79 Passed by the Common Council of the City of South Bend, Indiana_ ovember 15 19 79 Attest: ~ /�— City Clerk IRENE K. GAMMON of Common Council Presented by me to the Mayor of the City of South Bend, Ind*ana November 16 19 79 IRENE K. GAMMON Approved and signed by me / Q _ City Clerk BILL NO. 146 -79 ORDINANCE NO. AN ORDINANCE APPROVING THE FORM AND TERMS' OF THE LOAN AGREEMENT, INDENTURE OF TRUST, AND INDUSTRIAL DEVELOPMENT REVENUE BONDS, AND AUTHORIZING THE EXECUTION THEREOF, AND APPROVING RESOLUTION NO. 29 -79 OF THE SOUTH BEND ECONOMIC DEVELOPMENT COMMISSION RE- T.ATTNr T() rPRR nTN7V-DC TV T'L1T 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 the "Commission" pursuant to the provisions of Indiana Code 18- 6 -4.5, as amended, hereinafter referred to as the "Act "; and DIVERSIFIED GROUP, an Indiana partnership, has filed an application with the Commission to finance certain 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 Indiana Code 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 Superinten- dent 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 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 approve the form and terms r of the Loan Agreement, Indenture of Trust, and Bonds, and further approve 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 j Section 1. The form and terms of the Loan-Agreement, Indenture,of Trust, and Economic Development Revenue Bonds pertaining to DIVERSIFIED GROUP PROJECT and the issuance of the Economic Development Revenue Bonds 'pursuant thereto are hereby approved and adopted. Section 2. Said forms of Indenture of Trust and Loan Agreement, together with the Note and Mortgage attached as an exhibit thereto, and the Economic Development Revenue Bonds which are on file with the Commis- sion, 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. Section 3. Said Loan Agreement and Indenture of Trust shall be executed on behalf of the City of South Bend, Indiana, by the Mayor and City Clerk and sealed with the corporate seal of such City. Section 4. Said Economic Development Revenue Bonds, payable solely and only from the revenues derived from such DIVERSIFIED GROUP PROJECT .pursuant to the aforementioned Loan Agreement and Indenture of Trust will not be in any respect a general obligation of the City, nor may the Bonds be.paid in any manner from funds raised by taxation, and may be issued in amounts not to exceed $350,000.00 repayable with interest thereon at the rate of 9% per annum, over a term of 20 years, in accordance with the terms of said Loan Agreement and Indenture of Trust and that such Bonds shall be exe.cut --d on behalf of the City of South Bend, Indiana, by the Mayor and City Clerk of South Bend, Indiana, and sealed with the corporate s.eal..of said City. Section-5. Resolution No. 29 -79 of the South Bend Economic Develop- ment Commission, passed on October 51 1979, is hereby approved; and the Common .Council of the City of South .Bend, Indiana, 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 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. PUELK HEARING 2nd READRAG d/ IS-_ 7� NOT APPROVED REFERRED �q7 CLE K OCT 17 1979 Irene Gammon _ 2 - PASSED /-f, ; �� CiiY CL[RK, SOLIT? BEND, UND. oPPortunity for Public - - - --- - -4A and Council action on the issue., VOOR, MCMICHAEL, ALLEN, FEDDER 8 HERENDEEN WILLIAM E.VOOR GUY H.M�MICHAEL ATTORNEYS 8 COUNSELORS AT LAW 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 O. JACKSON Members of the South Bend Common Council County -City Building South Bend, Indiana 46601 RE: Industrial Development Revenue Bond DIVERSIFIED GROUP PROJECT Dear Councilmen: The South Bend Economic Development Commission has received an application from DIVERSIFIED GROUP, an Indiana Partnership, for the issuance of a revenue bond in the amount of Three Hundred Fifty Thousand ($350,000.00) Dollars for the construction of an economic development facility to be located in Phase IV of the Industrial Park, in the City of South Bend, Indiana. It is anticipated that approximately five (5) new jobs will be created, with a payroll of approximately $75,000.00. KPF /mb Respp,ctfully yours, P. ` FEDDER ATT'ORNEY FOR THE SOUTH BEND ECONOMIC DEVELOPMENT COMMISSION SLED 4� Jp p x� uE{I.�P P _�,� -rp- � N 4� ET � � L ' OCT 17 1979 Irene Gammon C,ilY CLERK, SOUTH BEND, IND.