HomeMy WebLinkAboutInducement Resolution of City of South Bend, Indiana Kokoku Wire Industries Corporation RESOLUTION
NO. 1514-87
Passed by the Common Council of the City of South Bend, Indiana,
June 8 , 19 87.
Attest: �`"` City Clerk
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Attest: President of Common Council.
Presented by me to the Mayor of the City of South Bend, Indiana
June 9 , 19 87
City Clerk
Approved and signed by me , �, CI 19
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RESOLUTION NO. I I - : 7
INDUCEMENT RESOLUTION
of
THE CITY OF SOUTH BEND, INDIANA
KOKOKU WIRE INDUSTRIES CORPORATION,
A DELAWARE CORPORATION
WHEREAS, at the present time there are insufficient
employment opportunities and insufficient diversification of
industry in and near the City of South Bend, Indiana (the
"City" ) ; and
WHEREAS, the economic welfare of the City would be
benefited by the acquisition and rehabilitation of economic
development facilities in the corporate limits of the City
pursuant to the provisions of Indiana Code 36-7-12 (the "Act" ) ;
and
WHEREAS, Kokoku Wire Industries Corporation, a
Delaware corporation ( "Company" ) , proposes to acquire and
rehabilitate economic development facilities in South Bend,
Indiana as defined in the Act if the City will finance costs of
such economic development facilities pursuant to the Act ; and
WHEREAS, the South Bend Economic Development
Commission has received an application by the Company for the
issuance of City of South Bend Economic Development Bonds in
the approximate principal amount of Three Million Two Hundred
Thousand no/100 Dollars ($3 , 200, 000 . 00) with the terms of
repayment to be determined by market conditions at the time the
bonds are sold; and
WHEREAS, the proceeds of the Bonds will be used by the
Company to acquire and rehabilitate facilities for use as a
wire manufacturing facility located on a 13 . 455-acre plot at
the intersection of Sample and Walnut Streets, commonly known
as 1217 South Walnut Street, South Bend, Indiana, which
facility shall result in approximately forty-five (45) new jobs .
NOW, THEREFORE, the Common Council of the City of
South Bend, Indiana resolves as follows :
1 . The project constitutes economic development
facilities which shall be financed by the City through the
issuance of revenue bonds pursuant to the Act and the City is
willing, upon compliance with all provisions of Indiana law, to
authorize approximately Three Million Two Hundred Thousand and
no/100 Dollars ($3 , 200, 000 . 00) of its revenue bonds , which
Bonds will not be general obligations of the City but will be
payable solely from the limited sources authorized and
permitted by the Act .
2 . The proposed financing will be of benefit to the
economic welfare of the City, will comply with the purposes and
provisions of the Act, and the proposed facility shall not have
an adverse competitive effect on other similar facilities in
the City.
3 . The Company may proceed with the acquisition and
rehabilitation of the economic development facilities in
reliance upon this resolution.
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4 . That the liability and obligation of the South
Bend Economic Commission, the South Bend Common Council and the
City of South Bend, Indiana, shall be limited solely to the
good faith efforts to consummate such proceedings and issue
such Bonds . The South Bend Economic Development Commission and
the City of South Bend, Indiana, their officers and agents,
shall not incur any liability if for any reason the proposed
issuance of such Bonds is not consummated.
This Inducement Resolution shall be in full force and
effect from and after its adoption by the Common Council and
approval by the Mayor .
SOUTH BEND COMMON COUNCIL
.Member
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Ck rk's Office
u 1987
CITY UM, S;.. BEND, IF
NOT APPROVED
ADOPTED s" - ) -3-
5 THB CITY of SOUTH END
/0 ..4,a,tl�l110..� 06 / ROGER O. PARENT, Mayor
,,, .›. d COUNTY-CITY BUILDING SOUTH BEND. INDIANA 46601
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Economic Development Commission
Jerry Hammes,President Stall Administration
Al E.Paszek,Vice President
401 East Colfax Avenue
Walter A. Mucha,Secretary P.O. Box 1677
Kenneth P. Fodder,Counsel
South Bend. Indiana
Suzanne M.Rhadigan, Asst.Sec. 46634-1677
219/234-0051
June 2 , 1987
Irene Gammon
City Clerk
County-City Building
South Bend, IN 46601
Re: Inducement Resolution - Kokoku Wire Industries Corporation
Dear Mrs . Gammon:
Enclosed is a proposed Inducement Resolution for Kokoku Wire Industries
Corporation , which I would request be placed on the Agenda for the
meeting of the Common Council scheduled June 8 , 1987 .
Kokoku Wire Industries Corporation has filed an application with the
South Bend Economic Development Commission for a revenue bond in the
approximate amount of $3, 200 , 000 . 00 , the proceeds of the bond to be used
to acquire and rehabilitate facilities for use as a wire manufacturing
operation located at 1217 South Walnut Street , South Bend, Indiana.
This bond would permit the reopening of a closed facility and the hiring
of approximately 45 new people immediately, with an estimated payroll of
$700;000 . 00 .
Re*pec'f wily-.,
KENNETH\ P. FEDDER
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