HomeMy WebLinkAboutAmendment of the Lease the Construction and Equipping of a new Fire Station, Renovation ad Expansion of a Police StationAttest:
RESOLUTION
3218 -03
Passed by the Common Council of the City of South Bend, Indiana
July 28, 20 03
Presented by me to the Mayor of the City of South Bend, Indiana
29, 20 03
City Clerk
President of Common Council
Approved and signed by me July 30 20 03 .
City Clerk
�W
RESOLUTION NO. 3 � 'O
A RESOLUTION OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND,
INDIANA, REGARDING THE AMENDMENT OF THE LEASE WITH THE CITY OF
SOUTH BEND BUILDING CORPORATION FOR THE CONSTRUCTION AND
EQUIPPING OF A NEW FIRE STATION AND THE RENOVATION AND EXPANSION
OF A POLICE STATION AND REGARDING CERTAIN RELATED MATTERS
WHEREAS, the Common Council previously determined that a need exists for
the construction and equipping of a new central fire station to be located on Michigan Street
approximately one hundred fifty (150) feet from the intersection of Broadway and Michigan
Streets (the "Fire Station Project ") and the renovation and expansion of the police station located
at 701 W. Sample (the "Police Station Project" and, with the Fire Station Project, the 'Projects ")
and that the funds needed therefor exceeded the funds presently available to the City of South
Bend, Indiana (the "City "); and
WHEREAS, the Common Council previously approved of the sale and issuance
by the City of South Bend Building Corporation (the 'Building Corporation ") of its lease rental
revenue bonds in one or more series in an aggregate principal amount not to exceed $26,000,000;
and
WHEREAS, the Building Corporation has previously submitted to the City, and
the City has previously approved and executed after a public hearing, a lease between the
Building Corporation and the City (the "Lease ") upon the Projects; and
WHEREAS, the Building Corporation has sold its First Mortgage Revenue Bonds
of 2003 (the 'Bonds ") in the aggregate principal amount of $21,335,000 to City Securities
Corporation at a net interest cost of approximately 4.459 %, which interest rate is lower than the
interest rate used to calculate the maximum lease rental under the Lease; and
WHEREAS, the Common Council desires to amend the Lease to reduce the
semi- annual lease rentals to correspond to the actual debt service as established pursuant to the
terms of the bond sale;
NOW, THEREFORE, BE IT RESOLVED BY THE COMMON COUNCIL
OF THE CITY OF SOUTH BEND, INDIANA, AS FOLLOWS:
I. The Common Council hereby ratifies the sale of the Bonds in an aggregate
principal amount of Twenty -one Million Three Hundred and Thirty -five Thousand Dollars and
00 /100 ($21,335,000) and the sale thereof to City Securities Corporation.
II. The Common Council hereby agrees to the reduction of the lease rental
payments to the amount set forth in the Addendum to Lease with the Building Corporation dated
July 1, 2003, presented to this meeting (the "Addendum ").
III. The Common Council hereby approves the Addendum in the form
submitted to this meeting and authorizes the Mayor and City Clerk to execute and attest,
respectively, the Addendum on behalf of the City, with such changes as may be necessary on the
advice of counsel with the execution and attestation thereof to be evidence of such approval.
IV. This Resolution shall be in full force and effect from and after its passage
by the Common Council and approval by the Mayor.
PRESENTED -7 -a-n3
NOT APPROVED
ADOPTED 7 —L$ 0.3
SBUAANI 155442v1
COMMON COUNCIL OF THE CITY
OF SOUTH BEND, INDIANA
By: a
Member of the Common Counc'
-2-
Filed In Clerk's Office
JAL 2 � 2003
t.OREnA J. DilDA
CrrYCLERK, SO. BEND, jtj�
TO THE COMMON COUNCIL OF THE CITY OF SOUTH BEND:
Your Committee of the Whole, to whom was referred:
BILL NO.
03 -79 A RESOLUTION OF THE COMMON COUNCIL OF THE CITY OF
SOUTH BEND, INDIANA, REGARDING THE AMENDMENT OF THE
LEASE WITH THE CITY OF SOUTH BEND BUILDING
CORPORATION FOR THE CONSTRUCTION AND EQUIPPING OF
A NEW FIRE STATION AND THE RENOVATION AND EXPANSION
OF A POLICE STATION AND REGARDING CERTAIN RELATED
MATTERS
Respectfully report that they have examined the matter and that in their opinion, this bill is
being recommended to the full Council with a favorable recommendation.
Karl King
Chairman
COUNTY -IXrY BUILDING
SOUTH BEND, INDIANA 46601 -1830
PHONE 574/ 235 -9216
FAX 574/235 -9928
TDD 574/ 235.5567
CITY OF SOUTH BEND STEPHEN J. LUECKE, MAYOR
DEPARTMENT OF ADMINISTRATION AND FINANCE
FREDERICK B. OLLETT, III
CONTROLLER
July 23, 2003
Ms. Karen White
President
South Bend Common Council
4' Floor, County -City Building
South Bend, IN 46601
Re: A Resolution Amending the Lease with the City of South Bend Building Corporation for the
Construction and Equipping of a New Fire Station and the Renovation and Expansion of a
Police Station and Regarding Certain Related Matters
Dear Ms. White:
Attached for filing is a resolution ratifying the sale of the lease revenue Bonds to fund both the
construction and equipping of the new fire station and the renovation and expansion of the police
station. The previously approved amount of the Bonds was not to exceed $26,000,000. As
determined by the sale of the Bonds, the aggregate principal amount is $21,335,000 at a net interest
cost of approximately 4.459 %, which is lower than the interest rate used to calculate the maximum
lease rental under the Lease.
If you have any questions or comments regarding these ordinances, please feel free to call me. Your
favorable consideration is respectfully requested.
Sincerely,
q'
y,�
T" a6m / �
Frederick B. 011ett, III --
Controller
Attachment
c: Aladean DeRose
Filed in Clerk's Office
a .BEND , iN.
CATHERINE A. HUBBARD -SHEAD
Liz RowE
THOMAS SKARBEK
SUSAN WALLACE
ROBERTALLEN
DIRECTOR
DIRECTOR
DIRECTOR
MANAGER
DIRECTOR
HUMAN RESOURCES
CTTYFINANCE
BUDGETING & FINANCIAL REPORTING
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