Resolution No. 2024-2 (466 Works)

Home Browse Search

Item 3.a.iv. RESOLUTION NO. 2024-2 A RESOLUTION OF THE SOUTH BEND ECONOMIC DEVELOPMENT COMMISSION AUTHORIZING A DIRECT LOAN TO THE DEVELOPER OF AN ECONOMIC DEVELOPMENT FACILITY (SOUTHEAST NEIGHBORHOOD PROJECT) AND APPROVING OTHER MATTERS IN CONNECTION THEREWITH WHEREAS, the City of South Bend, Indiana (the “City”), is a municipal corporation and political subdivision of the State of Indiana and by virtue of I.C. 36-7-11.9, I.C. 36-7-12 and I.C. 36-7-14 (collectively, the “Act”) and has previously established the South Bend Economic Development Commission (the “Commission”) to investigate, study, and survey the need for additional job opportunities, industrial diversification, water services, and pollution control facilities in the City, and recommend actions to improve or promote job opportunities, industrial diversification, water services, and availability of pollution control facilities in the City; and WHEREAS, the Act declares that the financing and refinancing of economic development facilities (as defined in the Act) constitutes a public purpose; and WHEREAS, pursuant to the Act, the City is authorized to make loans for the purpose of financing, reimbursing or refinancing all or a portion of the costs of acquisition, construction, renovation, installation and equipping of economic development facilities in order to foster diversification of economic development and creation or retention of opportunities for gainful employment in or near the City; and WHEREAS, 466 Works Community Development Corporation, an Indiana nonprofit corporation (the “Developer”) has informed the City that it desires to acquire and construct certain economic development facilities within the City which will consist of up to thirty (30) single-family detached homes containing two (2) to four (4) bedrooms of which (i) at least forty percent (40%) of the homes will be sold at a price that is affordable to households earning one hundred twenty percent (120%) or less of the Area Median Income, with an approximate total development cost of Eight Million Eight Hundred Seventy-three Thousand Dollars ($8,873,000), on certain parcels of real property generally located in the Southeast neighborhood in the City (collectively, the “Project”), and has requested that the City make a loan to the Developer on a draw basis for the purposes of financing or reimbursing the Developer for a portion of the costs of acquisition and construction of the Project; and WHEREAS, the Project will be located in or physically connected to, and will directly serve and benefit, the South Side Development Area and the South Side Allocation Area (the “Allocation Area”); and WHEREAS, the Developer has advised the City and the Commission regarding the Project, and requested that the City make a loan to the Developer on a draw basis pursuant to the Act in a total amount not to exceed Three Million Five Hundred Thousand Dollars ($3,500,000) for the purpose of financing or reimbursing a portion of the costs of the Project (the “Loan”) as