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HomeMy WebLinkAbout1991-R-19RESOLUTION OF COMMON cOUNCIL CITY OF JEFFERSONVILLE A PROPOSAL FOR A GENERAL RESOLUTION approving the finding of the jeffersonville Economic Development Commission (the -Commission") with respect to the issuance of revenue bonds in an amount not exceeding Ten Million Dollars ($10,000,000) for financing of certain economic development facilities to be undertaken by Apollo America Corporation (the -Company"), a Delaware corporation, and authorizing and committing the city to ~roceed with such project, subject to final action by this Council with respect to the terms and conditions of such financing. Wq{EREAS, the city of jeffersonville, Indiana (the "city"), is authorized by IC 36-7-12 ("Act") to issue revenue bonds for the purpose of financing the acquisition, installation and construction of economic development facilities; and WHEREAS, the city has been advised that there is under consideration of a proposal of the Company to build in jeffersonville, Indiana, a facility for processing, blending, distribution and sale of petroleum products, petroleum based products and petrochemicals and related facilities ("Project") described in Exhibit A hereto; and WHEREAS, the Company has proposed that the city issue its revenue bonds under the Act to finance the acquisition, installation and construction of the Project under a financing agreement whereby the proceeds of such bonds would be utilized to acquire, install and construct the Project and the Company would make payments sufficient to pay the principal of, premium, if any, and interest on such bonds; 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 the Company has agreed to pay the costs of the city whether or not such revenue bonds are issued and the financing agreement consummated; WHEREAS, the Commission has rendered a report of the Commission concerning the proposed financing of economic development facilities for the company ~nd the jeffersonville city Plan Commission has been given an oPPortunity to comment thereon; and WHEREAS, the Commission has adopted a resolution giving its approval to such financing of the Project, on the basis that the Project will cause additional employment opportunities in jeffersonville, Indiana, and will be of public benefit to the health, prosperity, economic stability and general welfare of the city and its inhabitants; and WHEREAS, subject to the required approvals under the Act, it appears that the financing of the Project will be of public benefit to the health, prosperity, economic stability and general welfare of the City and NOW, THEREFORE, BE city of jeffersonville, its inhabitants: IT RESOLVED by the Common Council of the Indiana: section 1. The Common Council finds and determines that the construction of a facility for processing, blending, distribution and sale of petroleum products, petroleum based products and petrochemicals and related facilities of the Company in jeffersonville, Indiana, by the acquisition, installation, construction and equipping of the Project is desirable to better the health, prosperity, economic stability and general welfare of the city and its inhabitants, and that it is in the public interest that the city take such action as it lawfully may to encourage the Company to construct a facility for processing, blending, distribution and sale of petroleum products, petroleum based products and petrochemicals and related facilities. Section 2. The Common Council further finds and determines that the issuance and sale of revenue bonds of the city under the Act, and the use of the net proceeds derived therefrom to finance the acquisition, installation and construction of the Project, will enable the company to construct the Project and thereby serve the public purposes referred to above in accordance with the Act. Section 3. In order to induce the Company to proceed with the acquisition, installation and construction of the Project, the Common Council hereby undertakes that: (i) It will authorize and issue one or more series of revenue bonds of the city pursuant to the Act, in an aggregate principal amount not exceeding Ten Million Dollars ($10,000,000), to finance the costs of the acquisition, installation, construction and equipping of the Project, including reimbursement or repayment to the Company of any moneys expended by the Company for planning, engineering, interest during construction, underwriting and attorney and bond counsel fees, and will enter into a financing agreement to use the net proceeds of such bonds to acquire, install and construct the Project and lease or sell the Project to the Company for specific rent or purchase price payments sufficient to pay the principal of, premium, if any, and interest on such bonds, or to lend such net proceeds to the Company to enable it to acquire, install and construct the Project and repay the loan in installments sufficient to pay the principal of, premium, if any, and interest on such bonds; (ii) It will adopt such ordinances and resolutions and authorize the execution and delivery of such instruments and the taking of such actions as may be necessary or advisable for the authorization, issuance and sale of such bonds; and (iii) It will take or cause to be taken such other actions as may be required to implement the aforesaid or as it may deem appropriate in pursuance thereof, provided that all of the foregoing shall be authorized by law and mutually acceptable to the city and the Company. Section 4. It is hereby recognized that the issuance and sale of revenue bonds by the city under the Act for the purposes set forth herein shall be subject to the city's obtaining such approvals as may be required under the Act. Section 5. To the extent permitted by the Act, such changes may be made in the Project as are deemed necessary or desirable, or as may be required in light of then existing regulations or technology, or both, provided that after such changes the Project will continue to constitute economic development facilities within the meaning of the Act and any other applicable laws or regulations. Section 6. This Resolution shall be in full force and effect immediately upon compliance with the procedures required by law. ~e~idi g officer ATTEST: ~eRr~_~Pr~rJr Presented by me to the Mayor of the city of jeffersonville, Indiana, on this /~_ day of June, 1991. Approved and signed by me on this /_~-day of June, 1991. Dale L. Orem, Mayor city of jeffersonville, Indiana L:BONDS:A:Apollo 060491:l:APH Res:Court EXHIBIT A DESCRIPTION OF ECONOMIC DEVELOPMENT FACILITIES An approximately 50,000 square foot manufacturing facility for processing, blending, distribution and sale of petroleum products, petroleum based products and petrochemicals to be located on an approximately 30 acre tract of land in the region of the Northeast corner of utica Pike and Port Road in the Clark Maritime Centre in the city of jeffersonville, Indiana. L:BONDS:A:Apollo 060491:l:APH Desc:Fac EXHIBIT REPORT OF THE JEFFERSONVILLE ECONOMIC DEVELOPMENT cOMMISSION CONCERNING THE PROPOSED FIN~NCING OF ECONOMIC FACILITIES FOR APOLLO AMERICA CORPORATION The jeffersonville Economic Development Commission proposes to recommend to the Common council of the city of jeffersonville that it finance a project (the -Project") for the acquisition, construction and equipping of certain economic development facilities and sell or lease them to Apollo America Corporation, a Delaware corporation (the -Corporation"), or lend the proceeds of an economic development revenue bond financing to the Corporation to enable it to acquire, construct and equip such economic development facilities. The Project involves the acquisition, construction and equipping of a building of approximately 50,000 square feet, together with other related facilities on real estate located on an approximately 30 acre tract in the region of the Northeast corner of utica Pike and Port Road in the clark Maritime Centre in the city of jeffersonville, Indiana. The Project will be used as a manufacturing facility for processing, blending, distribution and sale of petroleum products, petroleum based products and petrochemicals. The total cost for the Project, including incidental expenses relating to the issuance of the bonds, is presently estimated to be approximately Ten Million Dollars ($10,000,000). Certain equipment and personal property not financed by the bonds but related to the operation of the Project are anticipated to be leased to the Company by either the manufacturers thereof or leasing companies unaffiliated with either the Company or the city of jeffersonville. It is estimated that no additional public facilities will be made necessary or desirable on account of the Project and the Project will not have an adverse competitive effect on any similar facilities already constructed or operating in jeffersonville, Indiana. ' d Project will directly result It is further estimate that the in approximately 30 new jobs in jeffersonville, Indiana, with an estimated annual payroll in excess of $800,000. Adopted this 6th day of June, 1991. W. Fred Ha~e, Pres ATTEST: Treva New]~n, Secretary L:BONDS:A:Apollo 060491:l:APH Rep:Com EXHIBIT A DESCRIPTION OF ECONO~TC DEVELOPMENT FACILITIES An approximately 50,000 square foot manufacturing facility for processing, blending, distribution and sale of petroleum products, petroleum based products and petrochemicals to be located on an approximately 30 acre tract of land in the region of the Northeast corner of utica Pike and Port Road in the clark Maritime Centre in the city of jeffersonville, Indiana. L:BONDS:A:Apollo 060491:l:APH Desc:Fac