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HomeMy WebLinkAboutInducement Resolution Relating to an Application By Murphy Motor Freight Lines Inc. for Economic Development Revenue Bonds RESOLUTION NO. 1262-85 Passed by the Common Council of the City of South Bend, Indiana, February 25. 19 85 . Attest: ` -e.∎ < •..""'`°"i City Clerk Attest 0--eic-14---QI- President of Common Council. Presented by me to the Mayor of the City of South Bend, Indiana February 26 , 19 85 . ei < City Clerk Approved and signed by me IN--R v_C0_, , 7-__(-.0 19 . ` �. �jl'�A Mayor RESOLUTION NO. tar0Q41' INDUCEMENT RESOLUTION OF THE CITY OF SOUTH BEND, INDIANA RELATING TO AN APPLICATION BY MURPHY MOTOR FREIGHT LINES, INC. , FOR THE ISSUANCE OF CITY OF SOUTH BEND ECONOMIC DEVELOPMENT REVENUE BONDS 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 would be benefited by the acquisition 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, Murphy Motor Freight Lines, Inc . , a Minnesota corporation ( "Murphy" ) doing business in the City, proposes to acquire 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 Commis- sion has received an application by Murphy for the issuance of City of South Bend Economic Development Revenue Bonds in the approximate principal amount of Two Million and no/100 Dol- lars ($2, 000 , 000 . 00) with the terms of repayment to be deter- mined by the market rates at the time the bonds are sold and the proceeds of the bonds will be used to make improvements to real estate and acquire equipment at Murphy' s freight terminal facility located at 1503 South Olive Street, in the City of South Bend, Indiana, resulting in fifty (50) to sixty ( 60) full-time new jobs added to Murphy' s payroll with an increase in its annual payroll of approximately $2, 000 ,000 to $2.,500 , 000 . 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 Two Million and no/100 Dollars ($2, 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 . The Company may proceed with acquisition and con- struction of the economic development facility in reliance upon this resolution. 4 . 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 -2- 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 . Ate - •. fe..._ . Member of the Co /. . Council Dated February .s"-, 1985 FILER IN CLERK'S OFFICE FEB 2 0 1985 PRESEN"!ED o°l- .q�5"-f NOT APPROVED IRENE GAMMON CITY CLERK, SO. BEND, IN ADOPTED j—07,5•-- 8`cr -3- VOOR,ALLEN, FEDDER,HERENDEEN 8 KOWALS ATTORNEYS 8 COUNSELORS AT LAW AREA CODE 219 WILLIAM E.VOOR 300 FIRST BANK BUILDING 234-6061 LLOYD M.ALLEN KENNETH P.FEDDER 205 WEST JEFFERSON BLVD. OF COUNSEL: GEORGE E.HERENDEEN SOUTH BEND, INDIANA 46601 WILLIAM O.JACKSON ANTHONY D.KOWALS GUY H.McMICHAEL LARRY L.AMBLER FRED R.MAINS DAVID M.McTIGUE February 20, 1985 Members of the South Bend Common Council County-City Building South Bend, IN 46601 Re : Murphy Motor Freight Lines , Inc . - Proposed Inducement Resolution Dear Councilmen : The South Bend Economic Development Commission has received an application from Murphy Motor Freight Lines , Inc . , for a Revenue Bond in the amount of $2 , 000 , 000 . 00, to construct improvements to real estate consisting of an approximate 18 , 000 square foot garage and improvement of certain existing facilities at 1530 South Olive Street in the City, and to acquire certain equipment to be located at the facility. This is the expansion of an existing business enterprise in the community with an anticipated 50-60 new jobs to be created within the next three (3) years , with a $2 , 500, 000 . 00 additional payroll . Re-‘ectfully, NNETH P . FEDDER ittorn- for the South Bend o • • ic Development Commision KPF :ram FILED IN CLERK'S OFFICE FEB201985 IRENE GAMMON CITY CLERK, SO. BEND, ;N