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
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OCT 17 1979
Irene Gammon
C,ilY CLERK, SOUTH BEND, IND.