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REGULAR MEETING AUGUST 24, 1981
<br />City is willing, upon compliance with all provisions of Indiana law, to authorize
<br />approximately Two Hundred Twenty Five Thousand Dollars ($225,000.00) of its revenue
<br />bonds, which bonds will not be general obligations of the City but will be payable
<br />solely-from the limited sources authorized and permitted by the Act.
<br />2. The proposed financing will be of benefit to the economic welfare of the
<br />City and will comply with the purposes and provisions of the Act.
<br />3. Robert Freshley may proceed with the acquisition and construction of eco-
<br />nomic development facilities in reliance lupon this resolution.
<br />4. That the liability and obligation of the South Bend Economic Development
<br />Commission, the South Bend Common Council, the City of South Bend, Indiana, the St.
<br />Joseph County Council and St. Joseph County shall be limited solely to the good faith
<br />efforts to consummate such proceedings and issue such Bonds, and the South Bend Eco-
<br />nomic Development Commission, the City of South Bend, Indiana and St. Joseph County,
<br />their officers or agents, shall not incur any liability if for lany reason the pro-
<br />posed issuance of such Bonds is not consumated.
<br />This Inducement Resolution shall be in full force and effect from and after its
<br />adoption by the Common Council and approval by the Mayor.
<br />/s /Lewis A. McGann
<br />Member of the Common Council
<br />A public hearing was held on the resolution at this time. Kenneth Fedder, attorney
<br />for the Economic Development Commission, indicated they intended to relocate and
<br />expand the present facilities. He indicated the new building would be located at 416
<br />W. LaSalle. He indicated this would be a $225,000 bond issue. Robert Cary, 25 N.
<br />Fourth Street, Niles, Michigan, attorney representing Dorothy Freshley, spoke against
<br />granting tax abatement. He indicated in the divorce settlement she received the
<br />building and he received the business, therefore, he wanted to move out of the build-
<br />ing, and not repurchase it from her. Council Member Beck made a motion to recess,
<br />seconded by Council Member Zielinski. The motion carried and the meeting was re-
<br />cessed at 8:10 p.m., and reconvened at 8:28 p.m. Council Member Szymkowiak made a
<br />motion to adopt this resolution, seconded by Council Member Beck. The resolution was
<br />adopted by a roll call vote of eight ayes.
<br />RESOLUTION N0. (406 -81 AN INDUCEMENT RESOLUTION OF COMMON COUNCIL OF THE CITY OF
<br />SOUTH BEND, INDIANA, RELATING TO SCHAFER GEAR WORKS, INC.
<br />PROJECT.
<br />WHEREAS, the City of South Bend, Indiana (the "Issuer ") is authorized by I.C.
<br />18- 6 -4.5 -1 through I.C. 18- 6- 4.5 -30 (the "Act ") to issue revenue bonds for the fi-
<br />nancing of economic development facilities, the funds from said financing to be used
<br />for the construction and installation of said economic development facilities, to be
<br />either sold or leased to the user or developer; and
<br />WHEREAS, Schafer Gear Works, Inc., an Indiana corporation (the "Applicant "), has
<br />applied to the South Bend Economic Developmetn Commission (the "Commission ") for an
<br />Economic Development Bond issue in the principal amount of Two Hundred Fifty Thousand
<br />Dollars ($250,000) in order that the proceeds thereof may be used to pay a part of
<br />the costs of the construction and installation of an approximatrely 10,000 square
<br />foot expansion to the main plant of the applicant at 814 South Main Street, South
<br />Bend, Indiana 46624 including new walls, roof, flooring, partitions, ceilings, light-
<br />ing, service wiring and outlets, air distribution system, and other features commonly
<br />incorporated in a plant expansion, which such economic development facilities are
<br />sometimes referred to as the "Schafer Gear Works, Inc. Project:; and
<br />WHEREAS, the diversification of industry and increase in job opportunities to be
<br />achieved by the completion of the Schafer Gear Works, Inc. Project will be of public
<br />benefit to the health, safety and general welfare of the Issuer and its citizens; and
<br />WHEREAS, under date of August 14, 1981, the Commission adopted and enacted an
<br />Inducement Resolution approving such Schafer Gear Works, Inc. Project and recommend-
<br />ing the issuance of Economic Development Bonds in accordance with the application of
<br />the Applicant; and
<br />WHEREAS, it is apparent that the financing of the Schafer Gear Works, Inc. Pro-
<br />ject is of public benefit to the health, safety and general welfare of the Issuer and
<br />its citizens, together with the citizens of St. Jospeh County, Indiana; and
<br />WHEREAS, the construction and installation of such economic development faci-
<br />lities will not have an adverse competitive effect on any similar facility already
<br />installed or operating in St. Jospeh County, Indiana.
<br />NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of South Bend,
<br />Indiana, as follows:
<br />1. The Common Council of the City of South Bend, Indiana, finds, determines,
<br />ratifies and confirms that the promotion of diversification of economic development
<br />and job opportunities is desirable to preserve the health, safety and general welfare
<br />of the citizens of the Issuer and that it is in the public interest that the South
<br />Bend Economic Devleopment Commission and said Issuer take such action as they law-
<br />fully may take to encourage diversification of industry and promotion of job op-
<br />portunities in and near said Issuer.
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