05-24-04 Council Meetng Minutes - Laserfiche WebLink

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REGULAR MEETING MAY 24, 2004 providing financing for certain economic development facilities consisting of the acquisition, construction, installation and equipping of a facility to accommodate the business of DHL /Airborne Express, which is airfreight and logistics services (the "Prof ect "); and WHEREAS, the Applicant has proposed that the City issue its revenue bonds under the Act to finance the acquisition and installation of the Project under a financing agreement whereby the proceeds of such bonds would be utilized to acquire and install the Project and the Applicant would make payments sufficient to pay the principal of, premium, if any, and interest on said bonds; and the Applicant has further advised the City that the determination by the City to accept such a proposal for financing the Project will constitute a substantial inducement to the Applicant to proceed with the Project; and WHEREAS, the Applicant has submitted evidence regarding the lack of an adverse competitive effect of the Project on similar facilities already constructed or operating in the City; and WHEREAS, it is estimated that the Project will result in the retention of eighty - eight (88) jobs and the creation of approximately five (5) new permanent jobs; and WHEREAS, the Commission has rendered a report concerning the proposed financing of economic development facilities for the Applicant which report incorporates findings of fact by the Commission; and WHEREAS, the Commission has given its approval to such financing of the Project; and WHEREAS, the issuance and sale of said revenue bonds will not reduce the legal bonding capacity of the City; and WHEREAS, the City shall bear no expense in connection with the issuance and sale of said revenue bonds and all expenses in connection thereto which are incurred by the City shall be reimbursed to the City by the Applicant; and WHEREAS, the principal and interest payable on said bonds are not payable from funds raised by taxation by the City; and WHEREAS, the issuance of said bonds shall not obligate the full faith and credit for the taxing power of the City; and WHEREAS, subject to required approvals, it appears that the financing of the Project would be a public benefit to the health, prosperity, economic stability and general welfare of the City and its inhabitants; NOW, THEREFORE, BE IT RESOLVED, by the Common Council of the City of South Bend, Indiana, as follows: Section 1. The Common Council finds, determines, ratifies and confirms that the creation and retention of opportunities for gainful employment and the creation of business opportunities to be achieved by the Project in the City will be of benefit to the health and general welfare of the citizens of the City; and that it is in the public interest that this Common Council take such action as it lawfully may to encourage diversification of industry and promotion of job opportunities in the City. Section 2. The Common Council further finds, determines, ratifies and confirms that the issuance and sale of economic development revenue bonds of the City under the Act in an aggregate principal amount not to exceed $2,200,000.00 for the Project and the loan of the proceeds of the revenue bonds to the Applicant will serve the public purposes referred to above, in accordance with the Act. Section 3. In order to induce the Applicant to proceed with the Project, the 19