Loading...
HomeMy WebLinkAboutAuthorizing Economic Development Revenue Bonds - W & B Realty ProjectORDINANCE No 6633 -79 Passed by the Common Council of the City of South Bend, Indiana September 10 19 79 City Clerk IRENE K. GAMMON Of Common Council Presented by me to the Mayor of the City of South Bend, Indiana September 11 19 79 A�- A"'," IRENE K. GAMMON Approved and signed by me L— /`11 A , ;k �92j-- Clerk BILL NUMBER ORDINANCE NUMBER ��p33 79 AN ORDINANCE AUTHORIZING THE EXECUTION OF A LEASE AND TRUST INDENTURE AND BONDS, AND APPROVING THE FORM AND TERMS OF THE LEASE AND TRUST INDENTURE, BOND AND AUTHORIZING ISSUANCE OF ECONOMIC DEVELOPMENT REVENUE BONDS AND APPROVING RESOLUTION NO. 18 -79 OF THE SOUTH BEND ECONOMIC DEVELOPMENT COMMISSION RELATING TO THE W & B REALTY PROJECT STATEMENT OF PURPOSE OF INTENT: The City of South Bend, Indiana, is a municipal corporation and political subdivision of the State of Indiana and by virtue of I.C. 18 -6 -4.5 as amended, is authorized and empowered to adopt this Ordinance and to carry out its provisions; and W & B REALTY is an Indiana Partnership duly organized and existing under and by virtue of the laws of the State of Indiana and duly qualified to conduct business in the State of Indiana; and The Common Council of the City of South Bend, Indiana, heretofore has created the South Bend Economic Development Commission pursuant to the provisions of the Municipal Economic Development Act of 1965, as amended, and supplemented by I.C. 18- 6 -4.5; and The South Bend Economic Development Commission has found by a written resolution that because of insufficient employment opportunities, insufficient tax base and insufficient diversification of economic development facilities in the City of South Bend, the economic welfare of the City of South Bend, Indiana, would be benefited by the construction and leasing of certain economic development facilities pursuant to a request made on April 30, 1979, by W & B REALTY, an Indiana Partnership, and has further found by Resolution that the proposed financing complies with the purposes and provisions of I.C. 18- 6 -4.5, as amended; and The South Bend Economic Development Commission has prepared a report estimating the public services which would be made necessary or desirable by the proposed project, the expenses thereof, and the total project costs of the proposed project and the number of jobs and the number of jobs and estimated payroll on account of the construction and leasing of the proposed facilities relating to the proposed project, and such report having been submitted to the Director of the Area Plan Commission and the President of the Board of School Trustees for the South Bend School Corporation, and their written comments having been received by the South Bend Economic Development Commission and such reports and comments having been made a part of their records; and The South Bend Economic Development Commission has approved the form and terms of the Lease and Trust Indenture and Bond and has further approved this form of Ordinance authorizing the execution of the Lease and Trust Indenture and Bond and the issuance of Economic Development Revenue Bonds in accordance therewith; and The South Bend Economic Development Commission has trans- mitted this form of Ordinance to the City Clerk of the City of South Bend, for presentation to the Common Council of the City of South Bend, Indiana; and The Common Council of the City of South Bend, Indiana, finds that the proposed development will be of public benefit to the economic welfare of the City of South Bend, Indiana, by tending to overcome the deficiencies previously found to exist and that such benefit is greater than the costs of the public facilities which would be required by the proposed project. NOW, THEREFORE, BE IT ORDAINED BY THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA, THAT: Section 1. The Common Council of the City of South Bend hereby finds and determines that the construction of a building in connection with the W & B REALTY PROJECT to be acquired and constructed with the proceeds of the Economic Development Revenue Bond herein authorized are "Economic Development Facilities" as that phrase is used in the Act concerning the promotion of Economic Development, I.C. 18- 6 -4.5, as amended; that the construction of the W & B REALTY PROJECT will increase employment opportunities and increase diver- sification of industry in and near the City of South Bend, will improve and promote the economic stability, development and welfare of the area in and near the City of South Bend, and that the public benefits to be accomplished by this Ordinance, intending to overcome insufficient employment opportunities and insufficient diversification -2- of industry, are greater than the cost of public services as that phrase is defined in the Economic Development Act, I.C. 18- 6 -4.5 -1 as amended, which will be required by the W & B REALTY PROJECT. Section 2. In order to pay the cost of the construction of a commercial building which will constitute economic development facilities of the W & B REALTY PROJECT, there are hereby authorized to be issued, sold and delivered One Hundred Seventy -Five Thousand ($175,000.00) Dollars aggregate principal amount of Economic Develop- ment Revenue Bonds. Section 3. The form of the Lease and Trust Indenture and Industrial Development Revenue Bond are before the meeting and hereby incorporated by reference in this Bond Ordinance and the Clerk is hereby directed to insert them into the minutes of the Common Council and to keep them on file. Section 4. The Economic Development Revenue Bond, payable solely and only from the revenue derived from the economic facilities, may be issued in an amount or amounts not to exceed One Hundred Seventy -Five Thousand ($175,000.00) Dollars for a period not to exceed Twenty (20) years duration from the date of the issuance of said Bond in accordance with the terms of the Lease and Trust Indenture and such Bond shall be issued on behalf of the City of South Bend, Indiana, by the Mayor and the City Clerk of the City of South Bend, Indiana, and shall be sealed with the corporate seal of such City. Section 5. The Lease and Trust Indenture and Economic Development Revenue Bond shall executed on behalf of the City of South Bend, Indiana, by the Mayor and the City Clerk. The Economic Develop- ment Revenue Bond authorized by this Ordinance shall not be and shall never constitute an indebtedness of or a charge against the general credit or taxing power of the City of South Bend, nor shall the Bonds be paid in any manner from funds raised by taxation. The Bond shall be payable solely from revenues and receipts derived pursuant to the terms of the Lease and Trust Indenture. Section 6. Resolutirn Number 18 -79 of the City of South Bend Economic Development Commission passed on August 17, 1979, is hereby approved and the Common Council of the City of South Bend hereby finds =10 that the proposed financing for the issuance of the Economic Development Revenue Bond 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 7. The Mayor and the Clerk be and they each hereby are, authorized and directed, in the name of and on behalf of the City of South Bend to execute any and all instruments, perform any and all acts, approve any and all matters and do any and all things deemed by them, or any of them, to be necessary or desirable in order to carry out the provisions of this Bond Ordinance. Section 8. This Bond Ordinance shall be in full force and effect from and after its passage, due attestation and approval by the Mayor as provided by law. r C' aiI signed only to provide an opportunity for public discussion and Council action on the issue' ,' AUIeG ? 19 1st READING �•ai 7. �:� €l> �FE``_;^: PUBLIC HEARING $7 Ci?Y CLERK, SLC H 3c�1u, 2nd READING NOT APPROVED /O • %� —4— REFERRED PASSED VOOR, MCMICHAEL, ALLEN, FEDDER 8 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 O. JACKSON August 17, 1979 Members of the South County -City Building South Bend, Indiana Bend Common Council 46601 RE: Industrial Development Revenue Bond Application - W & B REALTY, an Indiana Partnership, PROJECT Dear Gentlemen: The South Bend Economic Development Commission has received an application from W & B REALTY, an Indiana Partnership, for the issuance of a Revenue Bond in the amount of $175,000.00, for the construction of an economic development facility to be located at 640 South Chapin Street, South Bend, Indiana. The new facility, containing approximately 16,800 square feet, will be leased to Koszegi Leather and Vinyl Products, Inc., creating approximately 50 new jobs with an estimated payroll of approximately $420,000.00. The property is zoned commercial and it is an expansion of existing business in the South Bend area. KPF /mb Respectfully yours, =`KENNETH P. DDER 1 � - I OTORNEY FOR THE ECONOMIC DEVELOPMENT COMMISSION I` t title G ls7Y' L'Lf�g, JrJir�r� 9c ^t'J, lr�D.