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Home My WebLink AboutInducement Resolution Relating to Crowe, Chizek and Company Project RESOLUTION NO. 1195-84 Passed by the Common Council of the City of South Bend, Indiana, August 27 , 19 84 . Attest: (� City Clerk Attest: .�L1/[//1L2i (Zed--> President of Common Council. Presented by me to the Mayor of the City of South Bend, Indiana August 28 , 19 84 �C �- -�✓ City Clerk Approved and signed by me CC 1 19 Cr re. 1- (/ i (744'" Mayor � 2" RESOLUTION NO. WIS.-84 INDUCEMENT RESOLUTION OF THE CITY OF SOUTH BEND, INDIANA Relating to Crowe, Chizek and Company Project 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 , Crowe, Chizek and Company, an Indiana accounting partnership, (the "Company" ) 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; WHEREAS, the South Bend Economic Development Commission has received an application from the Company for the issuance of City of South Bend Economic Development Bonds in the approximate principal amount of Three Million Five Hundred Thousand and no/100 Dollars ($3,500, 000. 00) with the terms of repayment to be determined by the market rates at the time the bonds are sold and the proceeds of the bonds will be used to construct an approximate 35, 600 square foot addition to the Company' s professional building, located at 330 East Jefferson Boulevard, South Bend, Indiana, resulting in the addition of approximately 50 new full-time jobs by the Company with an increase in their annual payroll of approximately One Million and no/100 Dollars ($1 , 000, 000. 00) ; and WHEREAS, it has been discovered by the Company that an additional amount is necessary for these purposes so that the total amount of Bonds required shall be Four Million Two Hundred Thousand and no/100 Dollars ($4 , 200, 000 . 00) . 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 Four Million Two Hundred Thousand and no/100 Dollars ($4, 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 and will comply with the purposes and provisions of the Act. 3. The Company may proceed with acquisition and construction of the economic development facilities 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 -2- 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. 5. Execution of a "Notice of Inducement" and a "Notice of Intent" under Indiana Executive Order No. 21-84 for this project is hereby approved and authorized. This Inducement Resolution shall be in full force and effect from and after its adoption by the Common Council and approval by the Mayor. . 46 r art Mem•er of the Cot . Council DATED: August on , 1984. PRESENTED 2-.?7-,y NOT APPROVED ADOPTED - pi/ -3- • BARNES & THORNBURG OF COUNSEL JERRY BELKHAV SIXTH FLOOR 1ST SOURCE BANK CENTER ALAN w.BOYD LESTER M.PORDER JOHN .HOU HTON MICHAEL PARKER 1 CHARLES M.WELLS THOMAS L.MURRAY NELSON WARREN E.McGILL NELSON J.VOGEL,JR. THOMAS M.SCANLON THOMAS P.JENKINS WARREN A.DEAHL ROGER W.BERKO 100 NORTH MICHIGAN THORNDHRO EvERET.FACITH JOHNPREY R.MELTON FREDERIC A.PNOERSON CCENOA R.J.ZAZAS SOUTH BEND, INDIANA46601 BERT S.ASHBY JOHNR.HARMAN BRYAN G.TABLER LOUIS A.HIGHMARK A.JAM ES RICHARDSON HOWARD J.COFIELD DANIEL RICHARD M O STEPHEN K.SMITH O WILLIAM J.REENKE EL ERNEST J.SEARwARK KLEY EDWARD D EDEER RICHARD W.FaLANwALD TELEPHONE TELECOPIER KATHLEEN L`Sac ART J.GRAY EDWARD O.DELANEY REBONE ROBERT C.RICHFIELD R.LOWELL P.LUCAS m.FOUNTAIN• w.RUDY CYM H. (219) 233-1171 (2191 237-1125 NEY WARD A.KEIRN JIENRY.DUNFEE,JR. DONALD oTHOMPSN. NGLER EDWARD J.RIFFLE DOUGLAS PC LONG C.KAESEBIER HERBERT C.SNYDER,JR. DONALD E JJOHN M YLE N IMOT D.NEUSAOY JAMES A.ERBE RMDTT E.KNEBEL TWX 810-341-3427 B&T LAW IND JAMES RO LOLES JANET D.NEUENR WANDER ROBERY N.SHCIDELER DANIEL KRISTIN .MCGILHWALD .CALHOUN ANTHONY NIMMO C ROBERT H..GRUESDG McGILl .ROTHHAAR STEVEN W.THORNTON CHARLES E.BRUESS KKENTEE.AGNESS DOUGLAS K LY JOHN C.BINKLEV WILLIAM R.COFFEY MICHAEL R CONNE SANDRA J.LO NGTE O.SMALL BRUCE R.BANCROFT CLAUDIA .BELL ERR 1313 MERCHANTS MERIDIAN BUILDING CONNIE M AYLOR JOHNT.MULVIHILL ROBERT K. L.GRIDY II SOUTH MERIDIAN STREET HONARD E.CHRISTIAN FRANKLIN A.MORSE II CATHERINE L.BRIRGE INDIANAPOLIS,INDIANA 46204 EY J.ONNER STEPHEN A.SEALL ICHARDD.CONAP 13171 638`1313 GREGORY L.KELLY KRCMARICAN GORDON B.ESLICK LARRYLRGSIBLED JAMES B.LOOTENS ILLENWATER• NN ROSIELLO M.EUIE MICHAEL JOHN ADBVRGE55 R 305 FIRST NATIONAL BANK BUILDING RICHARD A.COHEN ROLAND A.FULLER III ROBERT P.JOHNSTONE DAVID A.HAiST 301 SOUTH MAIN STREET O JAMES McNEAL TOM CHARLES HUSTON STANLEY K K SULLNAN NANCY L.ICKLER JAMES A.STRAIN WILLIAM C. ELKHART,INDIANA 96516 FRANK SV LL1vEN,JR. RICHARD A.REEEK GEORGE H.SAKER 12191 293-0681 HAVER KENNETH H.INSKEEIP JAMES O.PERRIN SUITE 500 ISIS H STREET,N.W. WASHINGTON,D.C.20006 TO CALL WRITER DIRECT 12021 955-4500 •ADMITTED IN D.C.BUT NOT INDIANA August 27, 1984 Ms . Beverly Beck 4th Floor County-City Building South Bend, Indiana 46601 Re: Crowe, Chizek and Company Bond Issue Dear Ms. Beck: On behalf of Crowe, Chizek and Company we respectfully request that the Council allow withdrawal of the Bond Ordinance presently on the agenda for today' s meeting and suspend its rules so as to allow passage of a new inducement resolution for this project raising the maximum bond proceeds from $3,500, 000 to $4,200, 000. The first reason for this change relates to an increase in the construction costs of the project being financed by economic development bond proceeds. Specifically, Crowe, Chizek and Company has received bids for the construction of its 35, 600 square foot addition to its current facilities and for the computer and office equipment which it will be requiring incident thereto and has discovered that the expenses of such construction and acquisition will exceed the expenses as originally estimated by approximately $700, 000. We, therefore, wish to obtain an inducement resolution in order to enable Crowe, Chizek and Company to make commitments with respect to this materially larger purchase and acquisition amount. • Second, the bond documents must be amended to reflect these changes. Therefore, the bond documents previously • Ms. Beverly Beck August 27, 1984 Page 2 submitted to the Economic Development Commission and to the Council are no longer operative. Third, because of the increased amount of bond proceeds, it will be necessary for the City to file a "Notice of Inducement" and a "Notice of Intent" under Indiana Executive Order No. 21-84. We are enclosing a copy herein for your files. The resolution in question authorizes the execution of these documents. Let me thank you for your kind cooperation and assistance. Sincerely yours, BARNES & THORNBURG Ernest Szarwark EJS:kav Enclosures BARNES a, THORNBURG