HomeMy WebLinkAbout1984-R-47 COMMON COUNCIL OF THE
cITY OF JEFFERSONVILLF~ INDIANA No. 84-R- +7
INDUCEMENT RESOLuTiON
A RESOLUTION OF THE COMMON COUNCIL OF THE CITY OF
JEFFERSONVILLE, INDIANA (,'CITY"), RELATING TO THE
PROPOSED FINANCING OF AN ECONOMIC DEVELOPMENT
FACILITY FOR THE USE OF BASK HOTEL cONSULTANTS,
INC., A NEW JERSEY CORPORATION (THE "APPLICANT");
RELATING TO THE ACQUISITION, IMPROVEMENT AND
EQUIPPING OF AN ECONOMIC DEVELOPMENT FACILITY IN
THE CITY FOR THE USE OF THE APPLICANT; UNDERTAKING
THE ISSUANCE OF ECONOMIC DEVELOPMENT REVENUE
BONDS AT THE APPROPRIATE TIME TO PAY THE cOST OF
ACQUIRING, IMPROVING AND EQUIPPING SAID FACILITY;
AND TAKING OTHER PRELIMINARY ACTION.
wHEREAS,' the Applicant proposes to acquire, improve and equip an
existing building (together with the site thereof and all improvements,
personal property and fixtures thereon) formerly known as the Hilton Inn,
located in the City, the legal description of which is attached hereto as
Exhibit "A," for use as an economic development facility (the foregoing
property being referred to as "Project"), and in this connection it has been
determined that the City may assist the Applicant by causing the
acquisition, improvement and equipping of the Project and by entering into
at the appropriate time a loan, lease or sale agreement with reference
thereto, pursuant to authority of sections 36-7-12-1 to 36-7-12-38, inclusive,
of the Indiana Code of 1981, as supplemented and amended (collectively, the
"Act"), all in furtherance of the purposes of the Act, the public benefit of
the residents and inhabitants of the City, and the improving and promoting
of job opportunities and industrial diversification in the City, such loan,
lease or sale agreement to be upon such terms and conditions as the Act
may require and the City may deem advisable; and
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WHEREAS, the City Economic Development Commission has found
that the Project will not have an adverse competitive impact on other
facilities of the same kind already operating in the same market area, and
the Project will contribute significantly to the creation of permanent new
job opportunities and will improve and promote industrial diversification in
the City, and the proposed financing will be of benefit to the health and
welfare of the City and that the proposed financing complies with the Act;
and
wHEREAS, the City is further authorized by the Act to issue its
economic development revenue bonds for the purpose of defraying the cost
of acquiring, improving and equipping the Project; discussions have occurred
between the Applicant and the City incident to the issuance of economic
development revenue bonds by the City; the City has agreed with the
Applicant to issue such Bonds based upon compliance by the Applicant with
certain conditions, requirements and obligations, and subject to the approval
of the City Economin Development Commission and the City of the terms of
all agreements, ordinances and other documents required incident to said
Bond issue; and the City Economic Development Commission and the City
have authorized the Applicant to proceed with the acquisition and
improvement of the Project, subject to reimbursement of the costs of the
Project from the proceeds of such Bonds, when, as, and if issued; and
WHER~ based upon an estimate of the costs of the Project, the
City proposes to issue its economic development revenue bonds (the "Bonds')
in an amount not to exceed $3,500,000, such Bonds to be sold and delivered
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by the City to pay the costs of the Project, together with costs incident to
the authorization, sale and issuance of the Bonds, but with such
contributions from the Applicant as may be necessary; and
WtIEREAS, the City proposes to enter into at the appropriate time a
loan, lease or sale agreement with the Applicant with respect to tile
Project, whereby the Applicant will covenant and agree to pay amoUnts
sufficient to provide for the payment of principal, premium, if any, and
interest on the Bonds, together with all trustee's and paying agent's fees in
· connection with such Bonds as the same become due and payable; and
wtIEREAS, it is deemed necessary and advisable that an agreement
between the City and the Applicant be executed setting forth the
preliminary agreements of the parties with respect to the acquisition,
improvement, and equipping of the Project, the issuance of the Bonds to
defray the costs thereof and the paymentS to be made by the Applicant with
respect to the Pro~eet.
NOW, THEREFORE~ B]~ IT RESOL¥111~ BY THE coMMON COUNCIL
OF THE Cl'rX OF jEFFERSONVILLE, INDIANA' AS FOLLOWS:
Section 1. It is hereby found, determined and declared that: (i) the
recitals set forth in the preamble to this Resolution, which are incorporated
in this section by reference, are true and correct; (ii) the improvement and
promotion of diversification of industry and commercial enterprises and job
opportunities in the City is desirable to preserve the health, safety and
general welfare of the eitizeus of the City, and it is in the public interest
that the City take such action as it lawfully may to encourage the
improvement and promotion of job opportunities and industrial
diversification in the City; (iii) the total amount of money necessary to be
provided by the City for the acquisition, construction and improvement of
the Project to be financed by the Bonds shall not exceed $3,500,000; (iv) the
Applicant has represented that it has sufficient financial resources to
acquire, improve and equip the Project and to place it in operation and to
continue to operate, maintain and insure the Project throughout the term of
the Bond issue, meeting when due the obligations of the proposed loan, lease
or sale agreement; (v) sufficient safeguards will be provided by the loan,
lease or sale agreement to insure that all money provided by the City from
the proceeds of the sale of the Bonds will be expended by way of direct
expenditures or reimbursement, solely and only for the purposes of the
Project; and (vi) the proposed economic development facilitY will not have
an adverse competitive impact on other facilities of the same kind already
operating in the same market area, and the proposed economic development
facility will contribute significantly to the creation of permanent new job
opportunities-
Section 2. It is hereby found, determined and declared that the cost of
acquiring and improving the Project will be paid out of the proceeds of the
Bonds and such contr~utions of the Applicant as may be necessary to
complete the Project as such Project is defined in the loan, lease or sale
agreement to be executed by and between the City and the Applicant at the
appropriate time pursuant to the Act; that none of the Bonds will be general
obligations of the City; that neither the Bonds nor the interest thereon shall
constitute or give rise to any indebtedness of the City or any charge against
its general credit or taxing power, but that the Bonds and the payment of
interest thereon shall be secured and payable solely and only by a pledge of
amounts to be paid by the Applicant under such loan, lease or sale
agreement; and that no part of said costs will be payable out of any general
funds, revenues, assets, properties or other contributions of the City.
Section 3. Inasmueh as the Project will be undertaken, and the
facilities will be acquired and improved, for the purpose of conforming to
the requirements of the Applicant, in order that the Applicant may give
employment to citizens and residents of the local community, and inasmuch
as the Applicant requires for its operations the acquisition, improvement
and equipping of economic development facilities which it is peculiarly
equipped to plan, acquire, construct and improve, and inasmuch as the
Applicant is better able to judge its requirements as the work progresses
than the City can be expected to do, and the Applieant possesses more
expertise in such matters, it is hereby found, determined and declared that
acquisition and improvement of the Project should be undertaken or eaused
to be undertaken by the Applicant. Aceordingly, the Applieant is hereby
authorized to formulate and develop plans, speeifieations and designs for the
Project and to enter into such eontracts and undertakings as may be
required for the acquisition, improvement and equipping of the Project.
Reimbursements made to the Applicant after the reeeipt of the proceeds of
the sale of the proposed Bond issue by the City shall be subjeet to approval
or eertification by a qualified person to be designated by the Applicant and
approved by the City as specified in the loan, lease or sale agreement to be
entered into by the City and the Applicant at the appropriate time pursuant
to the Act.
Section 4. The firm of Greenebaum Young TreitZ & Maggiolo is
hereby designated as Bond Counsel and is authorized and directed to take
any legal action necessary or appropriate in connection with the issuance of
the Bonds. The City Attorney is authorized and directed to assist Bond
Counsel in any appropriate manner.
Section 5. To the extent any resolution, ordinance or part thereof is in
conflict herewith, the provisions of this Resolution shall prevail and be given
effect.
Section 6. This Resolution shall be in full force and effect from and
after its adoption as provided by law.
Approved this /z~ day of December, 1984.
Presiding Officer,
Common Council of the
City of Jeffarsonville
~. Richard Spencer{ Jr. ~/
City Clerk-Treasurar
to the Mayor of the City of. Jeffersq~ille,
PRESENTED by me of December, 1984~. /
~' Richard Spencer,~Jr.
City Clerk-Treasurer
Approved and signed by me on the t/~ day of Decembe{', 1984.
City of Jeffersonville
cERTIFICATION
I, the undersigned, do hereby certify that I am the duly qualified
Clerk-Treasurer of the City of Jeffersonville, Indiana, and as such Clerk-
Treasurer I further eertify that the foregoing is a true, correct and
complete copy of a Resolution duly adopted by the Common Council of the
City at a duly convened meeting held on December _/_~__, 1984, on the same
occasion signed by the Presiding Officer of said Common Council, duly filed,
recorded and indexed in my office and now in force and effect and that all
action taken in connection with such Resolution was in compliance with the
requirements of Indiana state law, all as appears from the official records of
said Common Council in my possession and under my control.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the
seal of said City this ~ day of December, 1984.
~. Richard Spencer, J~.
City Clerk'Treasurerg
(SEAL)
3:mrs
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EX~q I B I T A
Being part of Block 9, part of Block 10,
all alleys not included in the 3effcrson-
villa Flood Control District right-of-Way,
v_hat part of Broadway lying between said
Blocks 9 and 10, and part of Commercial
Square all being in the city of Jef'ferso9-
villa, Clark County, Indiana, a_nd being
further described as follows:
Beginning at an iron pipe on the south-
east coi-ner of Illinoi's Avenue and Market
Street; thence S. '85" 13' 05" E., along
the south line of said Market Street
581.95' to an "X" chiseled on the top
rim of the fire hydrant being the south-
west corner of Market 5treat and Indiana
Avenue; thence S. 4" 42' 08" W., along
the wast linc of Indiana Avenue 141.77
feet to an iron pipe in the northern
right-of-way line of jeffersonvillc
Flood Control District; thence with sa~d'
northern right-of-way line the following
courses-and distances:- N. 85" 30' 00"
W., 134.91. feat to an iron pipe; $.
557 21" W., 19.40 feet to an ironpipa;
S. 74" 50' 06" W., 87.83 feet to an
iron pipe; N. 85" 29' 27" W., 143.65
feat to an iron pipe; N. 40" 19' 19"
W., 123.20 feet to an iron pipe;
85" 00' 54" W., 11.76 feet to an iron
pipe; N. 4" 43' 06" E., 4.00 feet to an
iron pipe; N. 85" 107 32" W., 119.73
feet to an iron'pipa in the East line
'.of Illinois Avenue;. Thence N. 4' 29' 32"
E., along the cast line of Illinois
Avenue 101.31 feet to the pLACE OF
BEGINNING-
Comtaining.2.020 acres, more or less.
Being part of Lots 1, 2, 3, and 4 in.
Block .9, part of Commercial Square and
part of Lots 1, 2, 3, and 4 in. Block
10 all in the City of jeffersonville,
Clark County, Indiana, and being further
described as follows:
Bcgiru%ing at an iron pipe on the North-
east corner of Illinois Avenue and River-
side Drive; thence N. 4' 29' 32" E., along
the East line of Illinoi~ Avenue 112.17
feet to an iron pipe in the Southern
right-of-way line of the Oeffgrsonvitle
Flood CoDtrol District; thence with
said Southern right-of-way line thF
following courses and distances: N.
85" 12' 08" E., 45.60 feet to an iron
pipe; $. 85" 18' 32" E., 71.90 feet
to an iron pipe; 5. 57' 00' 06" E.,
3.53 feet to a_n iron pip~; S. 4" 32'
32" W,, 36.27 feet to an iron pipe;
S. 85" 15' 15" E., 40.25 fe~t.to
iron pipe; S. 40' 21" 06" E., 69.18
feet to an iron pipe; N. 85' 13'
30" E., 157.73 feet to an iron pipe;
N. 74' 13' 59"' E., 35.74 feet to an
iron pipe; S. 84" 49' 24" E., 64.90
feet to a point; N. 6" 59' 33" E'.,
2~.90 feet to a railroad spike; S.
33' 24" E., 69.99 feet to an iron
pipe; $. 78" 05~ 10" E., 45.45 feet
to ~n iron pipe in the west line of
Indiana Avenue; thence $. 4' 42' 08"
W., along the west line of said Indiana
Avenue 125.80 feet to an iron pipe on
the Northwest corner of said Indiana
Avenue and Riverside Drive; thence N.
77" 14, 33" W., along the northern line
of Riverside Drive 116.19 feet to an
iro~ pipe; thence N. 80" 09' 23" W.,
along sa~d northern line 347.37 feet to
an iron'pipe; thence N. 77" 28' 30" W.,
along said northkrn line 121.15 feet
T}{E PLACE OF BEGINNING.
Containing 1.283 acres, more or less.
This conveyance is made subject to any
and all easements, restrictions and
protective covenants of record affecting
the above, described real estate, to in-
clude sub-surface drainage easements
not exceeding 30 inches in depth in
favo~ of the Jeffersonville Flood Control
District as shown on Plate No. 29 of 39
of the Oeffersonville Flood Control
District Drawingm for Right-Of-W=y and
Drainage Easements.
BEING the same p~operty acquired by
Grantor from citizen~ Bank ~nd Trust Co.,
Jeff~rsonvilte, Indiana, as Trustee for
Union Commerca Bank, cleveland, Ohio,
Citi.zans Fidelity Bank and Trust Company,
Louisville, Kentucky, and citizens. BauLk
and .Trust Co., Jeffersonville', Indiana,
by Deed dated November.24, 1975, and
of'record in Deed Drawer 7, as Instru-
ment No. 10903, in the' office of the
Recorder of Clark County, Indiana.