RF'MTT.AR MEETING
<br />ORDINANCES, FIRST AND SECOND READING (CONTINUED)
<br />the rules be suspended and that the public hearing and third reading on the ordinance be held
<br />at this time. Councilman Kopczynski seconded the motion and it was carried unanimously. Mr.
<br />Fedder then introduced Attorney Warren Deahl who spoke for the ordinance. Mr. Deahl said that
<br />South Bend Toy has been in the community for 100 years and that the ordinance approves the
<br />issuance of revenue bonds in the amount of $1,600,000 so that the city can acquire the property
<br />owned by the Bendix Corporation at 3300 West Sample Street for lease to the South Bend Toy
<br />Mfg. Co., Inc. This plant would allow them to expand their operations and hire an additional
<br />100 people. This would be adding to the tax base of the community and would be of benefit to
<br />the City of South Bend. Miss Guthrie asked Mr. Deahl of the city will be acquiring the property
<br />for leasing and if it will stay on the tax rolls. Mr. Fedder answered that it would be on''.the
<br />tax rolls and will not become a general obligation of the city. A local bank is purchasing
<br />the bonds. The city will take title and hold it until South Bend Toy acquires ownership. The
<br />ordinance had third reading. Councilman Kopczynski made a motion that the ordinance pass,
<br />seconded by Councilman Taylor. The ordinance passed by a:roll call vote of eight ayes
<br />(Councilmen Serge, Szymkowiak, Miller, Taylor, Kopczynski, Horvath, Newburn and Nemeth) one
<br />absent (Councilman Parent).
<br />ORDINANCE No. 5421 AN ORDINANCE TO REPEAL ORDINANCE NO. 5407 -72
<br />AND TO AUTHORIZE THE EXECUTION OF A LEASE AND
<br />TRUST INDENTURE AND BONDS AND TO AUTHORIZE THE
<br />ISSUANCE OF ECONOMIC DEVELOPMENT REVENUE BONDS
<br />PERTAINING TO ROYAL INNS OF SOUTH BEND, A
<br />LIMITED PARTNERSHIP.
<br />This ordinance had first reading. Councilman Kopczynski objected to the second reading and made
<br />a motion that everything after the title be stricken and an amended ordinance be submitted at
<br />this time. Councilman Horvath seconded the motion and it carried unanimously. The ordinance had
<br />second reading in full. Councilman Newburn made a motion that the rules be suspended and the
<br />public hearing and third reading on the ordinance be held at this time. Councilman Taylor
<br />seconded the motion and it carried unanimously. Councilman Taylor made a motion that the
<br />Council approve Resolution 1 -72 of the South Bend Economic Development Commission, concerning
<br />Royal Inns of South Bend and dated March 30, 1972. Councilman Kopczynski seconded the motion
<br />and it carried. Mr. Fedder explained to the Council that because of a technicality in the
<br />language of the original ordinance pertaining to Royal Inns, the bond counsel in Indianapolis
<br />had recommended that the original ordinance be repealed and a new ordinance submitted. Mr.
<br />Fedder then introduced Mr. Charles Boynton, Attorney with offices in the St. Joseph Bank Building.
<br />Mr. Boynton explained that the bond counsel was concerned about the taxable basis of the bonds
<br />and wanted to make the bonds more salable. This is just a matter of the technical language of
<br />the ordinance but they felt it would be better to repeal the former ordinance and submit a new
<br />one rather than to try to amend the previously passed ordinance. The ordinance had third reading.
<br />Councilman Kopczynski made a motion that the ordinance pass, seconded by Councilman Newburn.
<br />The ordinance passed by a roll call vote of eight ayes (Councilmen Serge Szymkowiak, Miller,
<br />Taylor, Kopczynski, Horvath, Newburn and Nemeth) one absent (Councilman Parent).
<br />RESOLUTIONS
<br />RESOLUTION NO. 324 -72 A RESOLUTION AUTHORIZING THE ELECTION BY THE
<br />CITY OF SOUTH BEND, INDIANA, OF THE $5,000,000
<br />OR LESS EXEMPTION PROVIDED IN SECTION 103 (c)
<br />(6) (D) WITH RESPECT TO AN ISSUE OF ECONOMIC
<br />DEVELOPMENT REVENUE BONDS RELATING TO THE SOUTH
<br />BEND TOY MANUFACTURING COMPANY, INC. PROJECT.
<br />WHEREAS, it is beneficial and essential that the City of South Bend, Indiana elect under Section
<br />103 (c) (6) (D) and Internal Revenue Regulation Section 1.103 -10 to have the issue of Economic
<br />Development Revenue Bonds relating to the City of South Bend Toy Manufacturing Company, Inc.
<br />project enjoy the exemption provided therein.
<br />NOW, THEREFORE, be it resolved by the Common Council of the City of South Bend, Indiana, that the
<br />city hereby elects pursuant to Section 103 (c) (6) (D) of the Internal Revenue Code, as amended,
<br />and Internal Revenue Service Regulation Section 1.103 -10 to have the provisions thereof as to the
<br />$5,000,000 or less exemption apply to the issue of Economic Development Revenue Bonds relating to
<br />The South Bend Toy Manufacturing Company, Inc. project and authorizes the Mayor of such city, or
<br />in his absence the Controller, to execute and file the statement of such election with the
<br />District Director or Director of the Internal Revenue Service Center where The South Bend Toy
<br />Manufacturing Company, Inc. is required to file its income tax returns prior to the issuance of
<br />such Economic Development Revenue Bonds and provide a copy of such statement for attachment to
<br />the income tax return of The South Bend Toy Manufacturing Company, Inc.
<br />/s/ Peter J. Nem
<br />President o
<br />Common Counc
<br />A public hearing was held on the resolution at this time. Mr. Deahl explained that the Internal
<br />Revenue Code requires that the issuer of the bonds, which is the city, elect to take the benefit
<br />of an exemption on these bonds. This resolution is to be filed with the Director of Internal
<br />Revenue. Councilman Szymkowiak made a motion that the resolution be adopted, seconded by
<br />Councilman Serge. The resolution was adopted by a roll call vote of eight ayes (Councilmen
<br />Serge, Szymkowiak, Miller, Taylor, Kopczynski, Horvath, Newburn and Nemeth) one absent
<br />(Councilman Parent).
<br />RESOLUTION NO. 325 -72 A RESOLUTION AUTHORIZING THE ELECTION BY THE
<br />CITY OF SOUTH BEND, INDIANA, OF THE $5 000,000
<br />OR LESS EXEMPTION PROVIDED IN SECTION 103 (a)
<br />(6) (D) WITH RESPECT TO AN ISSUE OF ECONOMIC
<br />DEVELOPMENT REVENUE BONDS RELATING TO ROYAL INN
<br />OF SOUTH BEND, A LIMITED PARTNERSHIP PROJECT.
<br />WHEREAS, it is beneficial and essential that the City of South Bend, Indiana elect under Section
<br />103 (c) (6) (D) and Internal Revenue Regulation Section 1.103 -10 to have the issue of Economic
<br />Development Revenue Bonds relating to the Royal Inn of South Bend, a Limited Partnership,
<br />
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