Loading...
HomeMy WebLinkAboutInducement Resolution Relating to Arlo Steel Corporation Project RESOLUTION NO. 1127-84 Passed by the Common Council of the City of South Bend, Indiana, March 26, 19 84 . Attest: . I City Clerk Attest: Air �/ / i1 • / President of Common Council. atif Presented by me to the Mayor of the City of South Bend, Indiana March 27. 198. "( e City Clerk Approved and signed by me ai(..L/ Z 7 19? i . 7: ,1 ! RESOLUTION NO. 1(1j. V INDUCEMENT RESOLUTION OF THE CITY OF SOUTH BEND, INDIANA Relating to Alro Steel Corporation Project WHEREAS, at the present time there are insufficient employment opportunities and insufficienet diversification of business, commerece 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, Alro Steel Corporation, a Michigan corporation (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; and 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 Two Million Eight Hundred Thousand and no/100 Dollars ($2,800, 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 acquire land and construct an approximate 84 ,800 square foot office building and steel warehouse facility to be located at the northeast corner of the U.S. 31/33 Bypass and the Indiana Toll Road, South Bend, Indiana, resulting in the addition of approximately 10-12 new jobs by the Company with an increase in their annual payrolls of approximately Two Hundred Fifty Thousand and no/100 Dollars ($250 ,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 Two Million Eight Hundred Thousand and no/100 Dollars ($2,800, 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. -2- 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 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. A[/ 1' _' � �/ re S�,er of the Coi Council FILED IN M 'S DFFICE PRESENTED 3-a` 4 Irene Gammon NOT APPROVED CITY CLERK,SOUTH BEND,IND. ADOPTED 3 - a Io "el -3- ®yotlTgg e S I An*. o 4. CITY of SOUTH BEND 6°00��'C.'.- ROGER O. PARENT, Mayor 000 1866• er \` x' Economic Development Commission Alice Neddo Staff Administrator Jerry Hammes, President 230 W. Jefferson Boulevard Walter Szymkowiak, Vice President March 21 , 1984 P.O. Box 1677 Walter A. Mucha, Secretary South Bend, Indiana Kenneth P. Fodder,Councel 46634-1677 Alice Neddo, Asst. Sec. (219) 234-0051 Members of the Common Council of the City of South Bend County-City Building South Bend, Indiana 46601 Re : Proposed Inducement Resolution relating to Economic Development Facilities for Alro Steel Corporation Dear Councilmen: The South Bend Economic Development Commission has received an application from Alro Steel Corporation for the issuance of $2 , 800 , 000. 00 of Economic Revenue Bonds . A copy of their application of March 1 , 1984, is attached for further explanation to the Council . On March 16 , 1984, the South Bend Economic Development Commission passed a similar Inducement Resolution to the one submitted to the South Bend Common Council for its hearing and approval . It i ticipated that this would create additional employment up ards to twelve (12) jobs , with an estimated $250,000. 00 payroll . R, sp4.tfully, k KE '' rTH P. : r _ ' ., Attorhey for the South Bend FILED III CL TA'S OFFICE Ecodulmic Development Commission KPF :ram Irene Gammon attach. CITY CLERK,SOUTH BEND,IND.