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HomeMy WebLinkAboutAmendment of the Lease City of South Bend Bldg. Corp for the New Public Works Service CenterAttest: RESOLUTION 3000 -01 Passed by the Common Council of the City of South Bend, Indiana April 23, 201 . Presented by me to the Mayor of the City of South Bend, Indiana April 24, 2001 City Clerk President of Common Council Approved and signed by me APRIL 24, 20 01 . City Clerk I RESOLUTION NO. �oOEi -OI 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 CONSTRUCTING AND EQUIPPING OF A NEW PUBLIC WORKS SERVICE CENTER FACILITY AND REGARDING CERTAIN RELATED MATTERS WHEREAS, the Common Council previously determined that a need exists for the construction and equipping of a new public works service center facility (the "Project ") 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 $10,000,000; 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 Project; and WHEREAS, the Building Corporation has sold its County Option Income Tax Lease Rental Revenue Bonds of 2001 (the "Bonds ") in the aggregate principal amount of $9,250,000.00 to Legg Mason Wood Walker, Inc. at a net interest cost of approximately 5.1841950 %, 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; and NOW, THEREFORE, BE IT RESOLVED BY THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA, AS FOLLOWS: 1. The Common Council hereby ratifies the sale of the Bonds in an aggregate principal amount ofNine Million Two Hundred Fifty Thousand and 00 /100 Dollars ($9,250,000.00) and the award thereof to Legg Mason Wood Walker, Inc. 2. 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 April 23, 2001, presented to this meeting (the "Addendum "). 2. 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. 3. This Resolution shall be in full force and effect from and after its passage by the Common Council and approval by the Mayor. PRESENTER -L3-O\ 00 NOT APPROVED ADOPTED '�I'23V0\ QS SUbS�9� ::ODMAWHODMAM IMAN 1;92335;1 COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA By: Member of the Common dbunGl -2- Filed in Clerk's Office E R 2 1 2001 LOpHTTAJ. D= CRYCLEM80.8M L COMMITTEE REPORT TO THE COMMON COUNCIL OF THE CITY OF SOUTH BEND: Your Committee of the Whole, to whom was referred: BILL NO. 01 -39 A RESOLUTION OF THE CITY OF SOUTH BEND, INDIANA, COMMON COUNCIL REGARDING THE AMENDMENT OF THE LEASE WITH THE CITY OF SOUTH BEND BUILDING CORPORATION FOR THE CONSTRUCTING AND EQUIPPING OF A NEW PUBLIC WORKS SERVICE CENTER FACILITY 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 as substituted Andrew Udjak Chairman