HomeMy WebLinkAboutAuthorizing the Execution & Delivery of a Memorandum of Intent between City of South Bend and AE Inc. RESOLUTION
NO. 1412-86
Passed by the Common Council of the City of South Bend, Indiana,
Apt i1 28 , 19 86.
Attest: L K C` `y"e'r-, City Clerk
, _ 1, /
Attest: _ _ _aiorla,„...� ' President of Common Council.
or
Presented by me to the Mayor of the City of South Bend, Indiana
April 29, 19 86
City Clerk
Approved and signed by me O9b2.€ 2 9 19 SIC.
)2(2/4.-ezfrii Mayor
RESOLUTION NO. 1412-86
A RESOLUTION AUTHORIZING THE EXECUTION AND DELIVERY OF A MEMORANDUM OF
INTENT BETWEEN THE CITY OF SOUTH BEND, INDIANA AND AE INC. AND/OR AE
PISTONS, INC. PROVIDING FOR THE ISSUANCE BY SAID CITY OF ITS ECONOMIC
DEVELOPMENT REVENUE BONDS PURSUANT TO THE PROVISIONS OF INDIANA CODE,
TITLE 36. ARTICLE 8, CHAPTER 12, AS AMENDED.
The area still has insufficient employment opportunities and
insufficient diversification of industries, which conditions are harmful
to the economic stability and general welfare of the area and, if not
remedied, will be detrimental to the development of such area.
The City of South Bend, Indiana (the "City" ) is authorized under the
provisions of Indiana Code, Title 36, Article 7, Chapter 12, as amended
(the "Act" ) , to acquire, construct and finance economic development
projects for the users thereof and to provide for the issuance of revenue
bonds in conjunction therewith.
The City, in order to implement the public purposes enumerated in the
Act and in furtherance thereof to induce AE Inc. and/or AE Pistons, Inc. ,
a Delaware corporation (the "Borrower" ) to purchase land and construct and
equip a manufacturing facility (hereinafter collectively called the
"Project" ) within the limits of St. Joseph County, Indiana, has indicated
its intent to issue its revenue bonds under and pursuant to the provisions
of the Act and to apply the proceeds therefrom to the payment of the costs
of the Project.
The Borrower, after considering a number of possible locations within
and outside the State of Indiana, and in reliance upon the intent of the
City to finance the Project through the issuance of revenue bonds under
the provisions of the Act, has determined to construct and Project within
the limits of St. Joseph County, Indiana.
It is now deemed advisable to authorize the execution and delivery by
the City of a Memorandum of Intent expressing formally and in writing the
understanding heretofore formally agreed upon by the City and the
Borrower.
NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of
South Bend, Indiana as follows:
SECTION 1 - The Mayor is hereby authorized and directed to execute a
Memorandum of Intent by and between the City and the Borrower and the City
Clerk is hereby authorized and directed to affix the seal of the City
thereto and to attest the same; and said Mayor and City Clerk are hereby
authorized and directed to cause said Memorandum of Intent to be delivered
to, accepted, and executed by the Borrower, said Memorandum of Intent,
which is hereby approved and incorporated by reference and made a part of
this authorizing resolution, to be in substantially the form attached
hereto.
SECTION 2 - All resolutions and orders, or parts thereof , in conflict
with the provisions of this resolution are, to the extent of such
conflict, hereby repealed and this resolution shall be in immediate effect
from and after its adoption.
This inducement resolution shall be in full force and effect from and
after its adoption by the Common Council and approval by the Mayor.
S �/
ember of the'mmon Council
PESENTED - a a." 8"
NOT APPROVED n n
ADOPTED - 81-?6 Q,o ^^-�`'