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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 -1- 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 -2- 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 -7- 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.