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HomeMy WebLinkAbout1981-OR-04C01~0N COUNCIL OP, DINA~CE NO. 81-OR- ~ A SPECIAL ORDINANCE authorizing the City of Jeffersonville to issue its "Economic Development Mortgage Revenue Bonds (Thorpe & Osborn, Project)" in the principal amount of Two Hundred Fifty Thousand Dollars ($250,000), and approving and authorizing other actions in respect thereto. WHEREAS, the Jeffersonville Economic Development Commission has rendered a Report of the Jeffersonville Economic Development Commission concerning the proposed financing of economic development facilities for Thorpe & Osborn, and the Jeffersonville City Plan Commission has been given an opportunity to comment thereon; WHEREAS, the Jeffersonville Economic Development Commission after a public hearing conducted on December 22, 1980, adopted s Resolution on that date, which Resolution has been transmitted hereto, finding that the financing of certain economic development facilities of Thorpe & Osborn, complies with the purposes and provisions of IC 18-6-4.5 and that such financing will be of benefit to the health, prosperity, economic stability and general welfare of the City of Jeffersonville and its citizens; and WHEREAS, the Jeffersonville Economic Development Commission has approved the final forms of the Loan Agreement, including the Note attached thereto, the Mortgage and Trust Indenture and the Bond Purchase Agreement by Resolution adopted December 22, 1980, which Resolution has been transmitted hereto; NOW, THEREFORE: BE IT ORDAINED BY THE C0h'MON COUNCIL OF THE CITY OF JEFFERSO}~ILLE: SECTION 1. It is hereby found that the financing of the economic development facilities referred to in the Loan Agreement, previously approved by the Jeffersonville Economic Development Commission and presented to this Common Council, the issuance and sale of the mortgage revenue bonds, the loan of the net proceeds thereof to Thorpe & Osborn, for the acquisition, construction and equipping of said facilities and the repayment of said loan by Thorpe & Osborn, to be evidenced and secured by a promissory note of Thorpe & Osborn, will be of benefit to the health, prosperity, economic stability and general welfare of the City of Jeffersonville and its citizens and complies with the purposes and provisions of IC 18-6-4.5. SECTION 2. The forms of the Loan Agreement, including the Note attached thereto, the Mortgage and Trust Indenture and the Bond Purchase Agreement approved by the Jeffersonville Economic Development Commission Louisville) and at a price of accrued interest, if any. are hereby approved and all such documents shalI be incorporated herein by reference and shall be inserted in the minutes of the Common Council and kept on file by the Clerk of the Council. SECTION 3. The City of Jeffersonville shall issue its Economic Development Mortgage Revenue Bonds (Thorpe & Osborn Project) in the principal amount of Two Hundred Fifty Thousand Dollars ($250,000) (the "Bonds") for the p~rpose of procuring funds to loan to Thorpe & Osborn, in order to pay the cost of acquisition, construction and equipping of the economic development facilities, as more particularly set out in the Loan Agreement and Mortgage and Trust Indenture incorporated herein by reference. The Bonds will be .payable as to principal, premium, if any, and interest solely from the payments made by Thorpe & 0shorn, on its promissory note which will be executed and delivered by Thorpe & Osborn, to evidence and secure said loan and from other sources under the Loan Agreement, or as otherwise provided in the above-described Mortgage and Trust Indenture. The Bonds shall never constitute a general obligation of, an indebtedness Of, or a charge against the general credit of the City of Jeffersonville. SECTION 4. The Mayor and Clerk-Treasurer are authorized and directed to sell such Bonds to the Purchasers set forth in the Bond Purchase Agreement at a per annum rate equal to 70% of the Prime Lending Rate (with any change in said interest rate resulting from a change in the Prime Lending Rate to become effective as of and on the date of the relevant change in such Prime Lending Rate of First National Bank of 100% of the principal amount thereof plus SECTION 5. The Mayor and Clerk-Tr easurer are authorized and directed to execute the Loan Agreement, the Mortgage and Trust Indenture and the Bond Purchase Agreement approved herein on behalf of the City of Jef fer sonville and any other documents which may be necessary or desirable to consummate the transaction, including the Bonds authorized herein. The signatures of the Mayor and Clerk-Treasurer on the Bonds may be facsimile signatures. The Clerk-Treasurer is authorized to arrange for the delivery of the Bonds to the purchaser thereof, payment for which will be made to the Trustee named in the Mortgage and Trust Indenture° SECTION 6. The provisions of this Ordinance and the Mortgage and Trust Indenture securing the Bonds shall constitute s contract binding between the City of Jeffersonville and the holder of the City of Jef~er sonville, Indiana, Economic Development Mortgage Revenue Bonds (Thorpe & Osborn, Project), and after the issuance of said Bonds, this Ordinance shall not be repealed or amended in any respect that would adversely affect the rights of such holder so long as the Bonds or the interest thereon ~emains unpaid. SECTION 7. This Ordinance shall and after compliance with the procedures required by law. pricer be in full force and effect from ATTE S T: C. RiChard Spencer, urer Pr esented Indiana, on the by me to the Mayor of the City of Jeffersonville, ~v'~day of January, 1981. C. R~c~hard Spencer, Clerk-Tr easur er Approved and signed by me on this ~ day of January, 1981. R~c~rd L. ~issi~{g, May City~rf Jef fer sonville