04-14-14 Common Council Meeting Minutes

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REGULAR MEETING RESOLUTION NO. 3 3 � — I - I A RESOLUTION OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA, PROVIDING PRELIMINARY APPROVAL OF THE ISSUANCE OF BONDS FOR THE PURPOSE OF PROVIDING CERTAIN ECONOMIC DEVELOPMENT FACILITIES FOR NOBLE AMERICAS SOUTH BEND ETHANOL, LLC APRIL 14, 2014 WHEREAS, the City of South Bend, Indiana (the "City") is authorized by I.C. 36-7- 11.9 and 12, as supplemented and amended (the "Act'), to issue revenue bonds for the financing of economic development facilities, the funds for said financing to be used for the acquisition, construction, installation and equipping of said facilities; and WHEREAS, Noble Americas Corp„ on behalf of its subsidiary Noble Americas South Bend Ethanol, LLC, (the "Applicant") has advised the South Bend Economic Development Commission (the "Commission ") and the City that it proposes that the City issue economic development revenue bonds for the purpose of providing financing for certain economic development facilities consisting of the acquisition, construction, installation and equipping of, including, but not limited to, grain drying systems, process technology upgrades, boilers, cooling towers, water treatment, mks, piping systems, CIP system and any other facilities and equipment which may be financed through the issuance of economic development revenue bonds (the "Project ") in conjunction with the Applicant's renovation of the ethanol production facility located at 3201 West Calvert Street in the City; 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, construct 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 WHEREAS, the Applicant has further advised the City that the determination by the City - preliminarily to accept such a proposal for financing the Project will constitute a substantial inducement to the Applicant to proceed with the Project; and WHEREAS, it is estimated that the Project will result in the creation of approximately fifty (50) new permanent jobs; and WHEREAS, the Commission has given its approval to such financing of the Project; and WIIEREAS, 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 dm,...53706150.01 20