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HomeMy WebLinkAbout1997-R-07 97-R- 7 RESOLUTION OF COMMON COUNCIL CITY OF JEFFERSONVILLE A PROPOSAL FOR A GENERAL RESOLUTION approving the finding of the Jeffersonville Economic Development Commission with respect to the issuance of revenue bonds in an mount not exceeding Nine Million Dollars ($9,000,000) for financing of certain economic development facilities to be undertaken by Wayne Steel, Inc., and authorizing and committing the City to proceed with such project, subject to final action by this Council with respect to the terms and conditions of such financing. GENERAL RESOLUTION NO. 97-R- 7 ' )~-a~, ,~ ,1997 WHEREAS, the City of Jeffersonvitle, Indiana ("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; WHEREAS, the City has been advised that there is under consideration a proposal of Wayne Steel, Inc., to build in Jeffersonville, Indiana, an 80,000 square foot precision steel manufacturing plant and related facilities ("Project") described in Exhibit A hereto; WHEREAS, Wayne Steel, Inc., 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 Wayne Steel, Inc., would make payments sufficient to pay the principal of, premium, if any, and interest on such bonds; Wayne Steel, Inc., 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 Wayne Steel, Inc., to proceed with the Project; and Wayne Steel, Inc., has agreed to pay the costs of the City xvhether or not such revenue bonds are issued and the financing agreement consummated; 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 Wayne Steel, Inc., and the Jeffersonville City Plan Commission has been given an opportunity to comment thereon; WHEREAS, the Jeffersonville Economic Development 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 its inhabitants: NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of Jeffersonville, Indiana: Section 1. The Common Council finds and determines that the construction of an 80,000 square foot precision steel blank manufacturing plant and related facilities of Wayne Steel, Inc., 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 -2- as it lawfully may to encourage Wayne Steel, Inc., to construct the 80,000 square foot precision steel blank manufacturing plant 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 Wayne Steel, Inc., to construct the Project and thereby serve the public purposes referred to above in accordance with the Act. Section 3. In order to induce Wayne Steel, Inc., 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 Nine Million Dollars ($9,000,000), to finance the costs of the acquisition, installation, construction and equipping of the Project, including reimbursement or repayment to Wayne Steel, Inc., of any moneys expended by Wayne Steel, Inc., 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 Wayne Steel, Inc., 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 Wayne -3- Steel, Inc., 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 Wayne Steel, Inc. 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 tecknology, 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. -4- Section 6. This Resolution shall be in full force and effect immediately upon compliance with the procedures required by law. ATfEST: Officer C. RiChard Spencer, Jr., ~erk-Tr~ret~ Presented by me to the Mayor of the City of Jeffersonville, Indiana, on this dayof ,?~' ~ , 1997. C. Richard Spence , . Approved and signed by me on this ~ day of ~ , 1997. x cT~:.t~mca) j eGfalfelirsgca~ 'vil~e~Y°i~rdiana ~ W3818:30236 WAYNE COUNCIL RESOLUTION -5- EXHIBIT A DESCRIPTION OF THE PROJECT Construction of a steel service and manufacturing facility consisting of approximately 80,000 square feet, housing two leveling and splitting lines supported by overhead cranes and shears to produce precision steel blanks in the Clark Maritime Centre. CERTIFICATE REGARDING BY-LAWS AND RULES AND REGULATIONS I, BARRY CAHILL Secretary' of the Jeffersonville Economic Development Commission, Jeffersonville, Indiana, do hereby certify that I am the keeper of the records and minutes of the proceedings of said Commission, and that said Commission does not now have, and has never had, by-laws or rules and regulations. IN WITNESS WHEREOF, I have hereunto set my hand as Secretary of said Commission this ~ day of ~'.,'~,~./ , 1997. "~ec~eta~-/6~ ~he Jeffersonville Economic Develf~'ment Commission W3818:30236 012497:I:39964:ST1TF~-JEFF WAYNE CERT BY-I~,WS MINUTES OF MEETING OF THE JEFFERSONVILLE ECONOMIC DEVELOPMENT COMMISSION HELD ON JANUARY 28, 1997 The Jeffersonville Economic Development Commission held a meeting on January 28, 1997, at 10:00 a.m., in the City County Building, Jeffersonville, Indiana. Commissioners were present or absent as indicated: Present: Ronald F. Barnes, Jerry Lemmons, Barry Cahill and Andrew Williams Absent: Bill Orberson A discussion was had as to the proposal of Wayne Steel, Inc., concerning the financing of certain economic development facilities described in Exhibit A attached hereto to be located in Jeffersonvllle, Indiana. The President presented a proposed "Report of the Jeffersonville Economic Development Commission Concerning the Proposed Financing of Economic Development Facilities for Wayne Steel, Inc. ," as attached hereto. After consideration of the proposed Report, upon motion duly made by Commissioner Williams and seconded by Commissioner Cahill, the Report was approved and adopted by the following vote: Ayes: 4 Nays: 0 and upon motion duly made, seconded and unanimously carried, the Secretary of the Commission was instructed to submit immediately a copy of the Report to the Jeffersonville City Plan Commission for its consideration and approval. Upon motion duly made by Commissioner Williams and seconded by Commissioner Cahill, and carded by the following vote: Ayes: 4 Nays: 0 the Commission adopted the following resolutions inducing Wayne Steel, Inc, to locate new economic development facilities in the City of Jeffersonville. RESOLUTION OF THE JEFFERSONVILLE ECONOMIC DEVELOPMENT COMMISSION WHEREAS, the Jeffersonville Economic Development Commission ("Commission") is a commission operating and existing under and pursuant to the authority of IC 36-7-12-1 ("Act"); WHEREAS, the Commission is authorized by the Act to investigate, study and survey the need for additional job opportunities, industrial diversification and pollution control facilities in Jeffersonville and to recommend action to improve or promote job opportunities, industrial diversification and the availability of pollution control facilities in Jeffersonville; WHEREAS, Wayne Steel, Inc., has requested the Commission to consider a proposal to finance under the Act a project to build an approximately 80,000 square foot building, equipment and machinery and related facilities ("Project") for leveling and splitting lines to produce precision steel blanks in Jeffersonville; WHEREAS, the Commission has studied the Project and the proposed financing of the Project and the effect on the health, prosperity, economic stability and general welfare of Jeffersonville and its citizens; -2- WHEREAS, subject to all required approvals under the Act, it appears that the proposed financing of the Project will be of benefit to the health, prosperity, economic stability and general welfare of Jeffersonville and its citizens; WHEREAS, the acquisition and construction of the Project will not have an adverse competitive effect on any similar facilities already constructed or operating in Jeffersonville; and WHEREAS, the Commission has considered a form of resolution ("Council Resolution"), a copy of which is attached to the minutes of this meeting, and has considered recommending that the Common Council of Jeffersonville ("Council") adopt a resolution in such form as a resolution. NOW, THEREFORE, BE IT RESOLVED, that the Commission hereby finds that because of the need to promote job opportunities and because the Project will create jobs and job opportunities and increase payrolls in Jeffersonville, the proposed financing of the Project through revenue bonds issued under the Act in an amount not to exceed Nine Million Dollars ($9,000,000) will be of benefit to the health, prosperity, economic stability and general welfare of Jeffersonville and its citizens and complies with the purposes and provisions of the Act. BE IT FURTHER RESOLVED, that in order to induce Wayne Steel, Inc., to proceed with the acquisition, construction and equipping of the Project, this Commission hereby undertakes that (i) it will take or cause to be taken such actions pursuant to the Act as may be required to implement the aforesaid financing, or as it may deem appropriate in pursuance thereof; provided that all of the foregoing shall be as authorized by law and is mutually acceptable to the City and Wayne Steel, Inc.; and (ii) it will adopt such resolutions and authorize the execution and delivery of such instruments and the taking of such action as may be necessary -3- and advisable for the authorization, issuance and sale of said economic development revenue bonds, subject to ail required approvals as may be required under the Act. BE IT FURTHER RESOLVED, that the Commission hereby approves the attached form of Council Resolution and recommends that it be adopted by the Common Council of Jeffersonville as a resolution, and the Commission hereby directs that copies of this Resolution, and the attached form of a Council Resolution be transmitted to the Clerk-Treasurer for presentation to the Council with the recommendation that the Council Resolution be adopted as a resolution. There being no further business to come before the meeting, the meeting was thereupon adjourned. Approved: President W3818:30236 WAYNE EDC MINUTES -4- EXHIBIT A DESCRIPTION OF THE PROJECT Construction of a steel service and manufacturing facility consisting of apprOximately 80,000 square feet, housing two leveling and splitting lines supported by overhead cranes and shears to produce precision steel blanks in the Clark Maritime Centre. REPORT OF THE JEFFERSONVILLE ECONOMIC DEVELOPMENT COMMISSION CONCERNING THE PROPOSED FINANCING OF ECONOMIC FACILITIES FOR WAYNE STEEL, INC. 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 Wayne Steel, Inc., or lend the proceeds of an economic development revenue bond financing to Wayne Steel, Inc., 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 80,000 square feet, together with other related facilities on real estate located at the Clark Maritime Centre in the City of Jeffersonville, Indiana. The Project will be used for the production and manufacturing of precision steel blanks. The total cost of the Project, including incidental expenses relating to the issuance of the bonds, is presently estimated to be approximately Nine Million Dollars ($9,000,000). 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. It is further estimated that the Project will directly result in approximately 55-60 new jobs in Jeffersonville, Indiana, with an estimated annual payroll in excess of $1,600,000. Adopted this ~ dayof D-'/q4'j~4~c~ ,1997. President ATTEST: "'Secretary -2- RESOLUTION OF THE JEFFERSONVILLE ECONOMIC DEVELOPMENT COMMISSION WHEREAS, the Jeffersonville Economic Development Commission ("Commission") is a commission operating and existing under and pursuant to the authority of IC 36-7-12-1 ("Act"); WHEREAS, the Commission is authorized by the Act to investigate, study and survey the need for additional job opportunities, industrial diversification and pollution control facilities in Jeffersonville and to recommend action to improve or promote job oppommifies, industrial diversification and the availability of pollution control facilities in Jeffersonville; WHEREAS, Wayne Steel, Inc., has requested the Commission to consider a proposal to finance under the Act a project to build an approximately 80,000 square foot building, equipment and machinery and related facilities ("Project") for leveling and splitting lines to produce precision steel blanks in Jeffersonville; WHEREAS, the Commission has studied the Project and the proposed financing of the Project and the effect on the health, prosperity, economic stability and general welfare of Jeffersonville and its citizens; WHEREAS, subject to all required approvals under the Act, it appears that the proposed financing of the Project will be of benefit to the health, prosperity, economic stability and general welfare of Jeffersonville and its citizens; WHEREAS, the acquisition and construction of the Project will not have an adverse competitive effect on any similar facilities already constructed or operating in Jeffersonville; and WHEREAS, the Commission has considered a form of resolution ("Council Resolution"), a copy of which is attached to the minutes of this meeting, and has considered recommending that the Common Council of Jeffersonville ("Council") adopt a resolution in such form as a resolution. NOW, THEREFORE, BE IT RESOLVED, that the Commission hereby finds that because of the need to promote job opportunities and because the Project will create jobs and job opportunities and increase payrolls in Jeffersonville, the proposed financing of the Project through revenue bonds issued under the Act in an amount not to exceed Nine Million Dollars ($9,000,000) will be of benefit to the health, prosperity, economic stability and general welfare of Jeffersonville and its citizens and complies with the purposes and provisions of the Act. BE IT FURTHER RESOLVED, that in order to induce Wayne Steel, Inc., to proceed with the acquisition, construction and equipping of the Project, this Commission hereby undertakes that (i) it will take or cause to be taken such actions pursuant to the Act as may be required to implement the aforesaid financing, or as it may deem appropriate in pursuance thereof; provided that all of the foregoing shall be as authorized by law and is mutually acceptable to the City and Wayne Steel, Inc.; and (ii) it will adopt such resolutions and authorize the execution and delivery of such instruments and the taking of such action as may be necessary and advisable for the authorization, issuance and sale of said economic development revenue bonds, subject to all required approvals as may be required under the Act. -2- BE IT FURTHER RESOLVED, that the Commission hereby approves the attached form of Council Resolution and recommends that it be adopted by the Common Council of Jeffersonville as a resolution, and the Commission hereby directs that copies of this Resolution, and the attached form of a Council Resolution be transmitted to the Clerk- Treasurer for presentation to the Council with the recommendation that the Council Resolution be adopted as a resolution. Approved this 2~f day of January, 1997. President Approved: Secretary W3818:30236 -3- CERTIFICATE OF MEMBERS OF JEFFERSONVILLE ECONOMIC DEVELOPMENT COMMISSION The undersigned certify that they am the duly appointed, qualified and acting members of the Jeffersonville Economic Development Commission; that attached are true and correct copies of all pertinent portions of proceedings had by the Jeffersonville Economic Development Commission in eormection with the issuance by the City of Jeffersonville of its $9,000,000 Economic Development Mortgage Revenue Bonds (Wayne Steel, Inc., Project) (the "Bonds"); that such proceedings complied with all applicable laws, including the Indiana Open Door Law; that such proceedings and the documents referred to therein have not been amended, modified or revoked and are now in full force and effect; that there is no litigation pending or threatened in any way questioning or relating to the validity of said proceedings or the existence of the Commission; and that no member of the Commission has any pecuniary interest in any employment, financing agreement or other contract made under the provisions of IC 18-6-4.5 and related to the Project or to the issuance of the Bonds. IN WITNESS WHEREOF, we ha e hereunto set our hands and affixed the seal of the Commission this ~day of ,-~'e~, , 1997. Pmsident (SEAL) Secretary Member Member W3818:30236 012497:1: 39965:ST1TES-~EFF WAYNE EDC MEMBERS CERT