01-08-01 Council Meeting Minutes

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REGULAR MEETING JANUARY 8, 2001 by the Common Council and approved by the Mayor. s /Charlotte Pfeifer Member of the Common Council Mr. Bob Tennyson, CEO, 759 West Chippewa Avenue, South Bend, Indiana, made the presentation for this Resolution. Mr. Tennyson indicated that they plan to invest a couple of millions of dollars to expand their production capabilities which will allow them to maintain their competitiveness as the area slowly changes with the advent of the H2 plant in Mishawaka. He noted that they are going to have to develop more sophisticated manufacturing techniques. A Public Hearing was held on the Resolution at this time. There being no one present wishing to speak to the Council either in favor of or in opposition to this Resolution, Councilmember Coleman made a motion to adopt this Resolution. Councilmember Varner seconded the motion which carried and the Resolution was adopted by a roll call vote of eight (8) ayes. RESOLUTION NO. 2961 -01 AN INDUCEMENT RESOLUTION OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA (GOODWILL INDUSTRIES OF MICHIANA, INC., PROJECT) (1805 WESTERN AVENUE AND 1904 -1906 IRELAND ROAD) A RESOLUTION approving the findings of the South Bend Economic Development Commission with respect to the issuance of revenue bonds in the approximate amount of Two Million and 00 /100 Dollars ($2,000,000.00) for the financing of certain economic development facilities to be undertaken by Goodwill Industries ofMichiana, Inc., and authorizing and committing the City of South Bend, Indiana, to proceed with such project, subject to final action by this Common Council with respect to the terms and conditions of such financing. WHEREAS, the City of South Bend, Indiana (the "City "), is authorized by IC 36 -7 -11.9 and IC 36 -7 -12 (the "Act ") to issue revenue bonds for the purpose of financing the acquisition, installation, construction and equipping of economic development facilities; and WHEREAS, the City has been advised that there is under consideration a proposal of Goodwill Industries of Michiana, Inc. (the "Company "), to (i) construct an approximately forty thousand (40,000) square foot production and industrial services facility to be located on Western Avenue adjacent to the current Goodwill headquarters and processing plant at 1805 Western Avenue in the City; and (ii) construct an approximately eleven thousand (11,000) square foot new retail store to be located on Ireland Road near Ironwood Road at 1904 -1906 Ireland Road in the City (collectively, the "Project "); and WHEREAS, the Company has proposed that the City issue its revenue bonds under the Act to finance the Project under a financing agreement whereby the proceeds of such bonds would be utilized to construct the Project and the Company would make payments sufficient to pay the principal of, premium, if any, and interest on such bonds; and the Company has further advised the City that a determination by the City to accept such a proposal for financing the Project will constitute a substantial inducement to the Company to proceed with the Project; and WHEREAS, the Company has submitted evidence regarding the 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 approximately fifty (50) permanent jobs with an estimated total annual payroll, including benefits, of $800,000; and