HomeMy WebLinkAboutApplication by South Bend Residence Associates for the Issuance of Revenue Bonds RESOLUTION
NO. 1366-85
Passed by the Common Council of the City of South Bend, Indiana,
October 28, 19 85 •
Attest: City Clerk
Attest: 41, sit/ : % President of Common Council.
Presented by me to the Mayor of the City of South Bend, Indiana___
October 29 , 19 85 .
` e}-"� /� '0� �-• • ✓ City Clerk
Approved and signed by me D a 2 9 19&'S
4/k ""ayor
RESOLUTION NO. t 3(0(0'bj
INDUCEMENT RESOLUTION OF
THE CITY OF SOUTH BEND, INDIANA
RELATING TO AN APPLICATION BY
SOUTH BEND RESIDENCE ASSOCIATES
FOR THE ISSUANCE OF
CITY OF SOUTH BEND ECONOMIC DEVELOPMENT REVENUE BONDS,
AND MAKING CERTAIN FINDINGS AND RECOMMENDATIONS
REGARDING THE DECLARATION OF AN ECONOMIC DEVELOPMENT
TARGET AREA OUTSIDE THE CITY LIMITS, COMMONLY
KNOWN AS 52694 U.S. 31-33 NORTH
WHEREAS, at the present time there are insufficient
employment opportunities and insufficient diversification of
business, commerce and industry in and near the City of South
Bend, Indiana (the "City") ; and
WHEREAS, the economic welfare of the City could be
benefited by the acquisition and construction of economic
development facilities outside the corporate limits of the City
pursuant to the provisions of Indiana Code 36-7-12 (the "Act") ;
and
WHEREAS, South Bend Residence Associates ("Associ-
ates") proposes to acquire and construct economic development
facilities near 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 Commis-
sion has received an application by Associates for the issuance
of City of South Bend Economic Development Revenue Bonds in the
approximate principal amount of Five Million and no/100 Dollars
($5, 000, 000. 00) with the terms of repayment to be determined by
the market rates at the time the bonds are sold, and the pro-
ceeds of the bonds will be used to acquire real estate and make
improvements to real estate to be used as a suite hotel
facility in St. Joseph County, Indiana, resulting in a minimum
of twenty (20) full-time new jobs with an annual payroll of
approximately Two Hundred Seventy-five Thousand Dollars
($275, 000. 00) .
WHEREAS, the 1983 and 1985 Indiana General Assembly
amended I.C. 36-7-12 to provide at I.C. 36-7-12-38 for the
designation of economic development target areas by the fiscal
body upon favorable recommendation by an .Economic Development
Commission.
WHEREAS, I.C. 36-7-11.9-3 provides that the statutory
exclusion of a facility as an "economic development facility"
will not be applicable in the case of a facility to be located
in an economic development target area, if the fiscal body of
the appropriate governmental unit finds that the proposed
facility will not have an adverse competitive impact on other
facilities of the same kind already operating in the same
market area, and if the proposed facility will contribute
significantly to the creation of permanent new job opportuni-
ties.
WHEREAS, the South Bend Economic Development Commis-
sion has recommended favorably to the South Bend Common Council
and the St. Joseph County Council the designation of an
economic development target area, commonly known as 52694 U.S.
31-33 North, St. Joseph County, Indiana more particularly
described as follows:
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Lot numbered One (1) in Paxson Park, a recorded plat
in Clay Township, St. Joseph County, Indiana, and the
western half (1/2) of Lot numbered Thirty-seven (37)
in Paxson Park, Clay Township, St. Joseph County,
Indiana.
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,
including consent of the St. Joseph County Council, to
authorize approximately Five Million and no/100 Dollars
($5, 000, 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 and will comply with the purposes
and provisions of the Act.
3. Pursuant to the requirements of I.C. 36-7-11.9-3,
the Common Council hereby finds that the proposed facility to
be located at 52694 U.S. 31-33 North will not have an adverse
competitive impact on other facilities of the same kind already
operating in the same market area and will contribute signifi-
cantly to the creation of permanent new job opportunities.
4. Associates may proceed with acquisition and
construction of the economic development facility in reliance
upon this resolution.
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5. That the liability and obligation of the South
Bend Economic Development 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, and 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.
Member of the C flon Council
Dated October c) , 1985
hi‘j CL WS ONE
OCT 1985
PRESENTED /0 -- SI-8 IRENE GAMMON
NOT APPROVED C!fl' C1 rp S
ADOPTED I O - k j -4-