HomeMy WebLinkAboutInducement Resolution relating to Financing of Economic Development Facilities for To-Be-Formed Indiana General Partnership & SDT, Inc. RESOLUTION
NO. 1029-83
Passed by the Common Council of the City of South Bend, Indiana
February 28 , 1g 83
Attest: `ile_ /C--- City Clerk
��— ( _1 /" President of Common Council
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Presented by me to the Mayor of the City of South Bend, Indiana
March 1 , 10_
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`z'_'< °-� City Clerk
Approved and signed by me / ��/ / �9 O
L Mayor
RESOLUTION NO . ma? ? -A3
INDUCEMENT RESOLUTION RELATING TO THE FINANCING OF
ECONOMIC DEVELOPMENT FACILITIES FOR A TO-BE-FORMED
INDIANA GENERAL PARTNERSHIP , AS DEVELOPER, AND
SDT, INC . , AS USER
WHEREAS , the City of South Bend , Indiana, (the "Issuer") ,
is authorized by I . C . 36-7-12 , (the "Act") , to issue revenue
bonds for the financing of economic development facilities
and to loan the proceeds of said financing to a company or
companies to be used for the acquisition , construction and
equipping of said facilities ; and,
WHEREAS , a to-be-formed Indiana general partnership , as
Developer , and SDT, Inc . , as User , (collectively , the
"Applicant") , has advised the South Bend Economic Development
Commission , (the "Commission") , and the Issuer that it
proposes that the Issuer loan proceeds of an economic
development financing to the Applicant for the financing of
economic development facilities consisting of a certain
machinery and equipment for the manufacture of industrial
abrasives , said machinery and equipment to be located in a
15 , 000 square foot leased building , to be located in the
Airport Industrial Park, in South Bend , on an approximate
3-acre tract of land, ("Project") ; and,
WHEREAS , the diversification of industry and increase in
job opportunities (60 new jobs) to be achieved by the Project
will be of public benefit to the health, safety and general
welfare of the Issuer and its citizens ; and,
WHEREAS , having received the advise of the South Bend
Economic Development Commission , it would appear that the
financing of the Project would be of public benefit to the
NOW, THEREFORE , BE IT RESOLVED by the Common Council of
the City of South Bend , as follows :
1 . The Common Council of the City of South Bend finds ,
determines , ratifies and confirms that the promotion of
diversification of economic development and iob opportunities
in and near South Bend , Indiana , is desirable to preserve
the health, safety and general welfare of the citizens of
the Issuer ; and that it is in the public interest that the
Commission and the Issuer take such action as they lawfully
may to encourage economic development , diversification of
industry and promotion of job opportunities in and near the
Issuer .
2 . The Common Council of the City of South Bend approves ,
determines , ratifies and confirms that the issuance and sale
of economic development revenue bonds in an amount of
approximately $5 , 000 , 000 . 00 of the Issuer under the Act for
the loan of the proceeds of the revenue bonds to the Applicant
for the acquisition and equipping of the Project will serve
the public purposes referred to above , in accordance with
the Act .
3 . In order to induce the Applicant to proceed with the
acquisition and equipping of the Project , the Common Council
of the City of South Bend hereby approves , determines ,
ratifies and confirms that (i) it will take or cause to be
taken such actions pursuant to the Act as may be required to
implement the aforesaid financing, or as it may deem
appropriate in pursuance thereof ; provided that all of the
foregoing shall be mutually acceptable to the Issuer and the
Applicant ; and (ii) it will adopt such ordinances and
and advisable for the authorization, issuance and sale of
said economic development revenue bonds ; and (iii) it will
use its best efforts at the request of Applicant to authorize
the issuance of additional bonds for refunding and
refinancing the outstanding principal amount of the bonds
for completion of the Project and for additions to the
Project , including the costs of issuance (providing that
the financing of such addition or additions to the Project
is found to have a public prupose [as defined in I . C . 36-7-12-1]
at the time of authorization of such additional bonds) , and
that the aforementioned purposes comply with the provisions
of I . C . 36-7-12 .
4 . All costs of the Project incurred after the adoption
of this Inducement Resolution , including reimbursement or
repayment to the Applicant of moneys expended by the Applicant
for planning , engineering , interest paid during construction
and for one year after completion of construction , underwriting
expenses , attorney and bond counsel fees , acquisition and
equipping of the Project will be permitted to be included as
part of the bond issue to finance the Project , and the
Issuer will loan the proceeds from the sale of the bonds to
the Applicant for the same purposes . Also , certain indirect
expenses , including but not limited to , planning, architectural
work and engineering incurred prior to this Inducement
Resolution will be permitted to be included as part of the
bond issue to finance the Project .
5 . 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
Commission, South Bend Common Council and the City of South
Bend , Indiana, their Officers of Agents , shall not incur any
liability if for any reason the proposed issuance of such
bonds is not consummated.
/ /
Mem.er of the Comm Council