HomeMy WebLinkAbout1985-OR-32Co ON COmCIL O I ANCE .O. ....
A SPECIAL ORDINANCE authorizing the City of jeffersonville to issue its
"Economic Development Mortgage Revenue Bond (Heritage Hardwoods of Kentucky,
Inc., Project), Series 1985" in the principal amount of Two Hundred Seve~ty-Five
Thousand Dollars ($275,000), and approving and authorizing other actions in
respect thereto.
· - - ~= ille Economic DevelOpment Commission has rendered a
WHEREAS, t~e oerzers~nv · - ~ ---~ mommission concernzng the pro
Report of the jeffer~onv~lle Economzc ueve~op~= .... ' -
· mic development facilities for Heritage Hardwoods of
posed financing of econo ~ '~ Cit= Plan Commission has been gzven an
Kentucky, Inc*, and the Je~ersonv~ ~
opportunity to comment thereon;
WHEREAS, the jeffersonville Economic Development Commission after a public
hearing conducted on July 9, 1985, adopted a Resolution on that date, which
Resolution has been transmitted hereto, finding that the financing of certain
economic development facilities of Heritage Hardwoods of Kentucky, Inc.,
complies with the purposes and provisions of IC 36-7-12 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 July 9, 1985, which Resolution has been transmitted hereto; NOW,
THEREFORE:
BE IT ORDAINED BY THE COMMON coUNCIL OF
THE CITY OF jEFFERSONVILLE:
SECTION 1. It is hereby found that the financing of the economic develop-
ment 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 Heritage Hardwoods of Kentucky, Inc., for the acquisi-
tion, construction and equipping of said facilities and the repayment of said
loan by Heritage Hardwoods of Kentucky, Inc., to be evidenced and secured by a
promissory note of Heritage Hardwoods of Kentucky, Inc., 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
lC 36-7-12.
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 are hereby
approved and all such documents shall 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 Bond (Heritage Hardwoods of Kentucky, Inc., Project), Series
1985, in the principal amount .of Two Hundred Seventy-Five Thousand Dollars
($275,000) (the "Bond") for the purpose of procuring funds to loan to Heritage
Hardwoods of Kentucky, Inc., in order to pay the cost of acquisition, construc-
tion and equipping of the economic development facilities, as more particularly
· t and Mortgage and Trust Indenture incorporated
herein by reference. The mon~ - ..... r ~=~ ~. Heritage Hardwoods o~ ~ennUC~,
and interest solely from the pa.ym~nt~.Ta~ ~ecuted ~nd delivered by Heritage
Inc., on its promissory note whmcn .~ A A and secure said loan and from other
Hardwoods of Kentucky, In~., t A-+ or as otherwmse provided zn the.~!ove_
sources under the Loan Agree. ~ .... . The Bond shall never constx~uue
ribed Mortgage and Trusn ,n~=,, .... _ . .~mr=e amainst the general cre-
general obligation of, an znoeo=eu ,
dit of the City of jeffersonville.
SECTION 4. The Mayor and Clerk-Treasurer are authorized and directed to
sell the Bond to the purchaser set forth in the Bond purchase Agreement at a
rate of interest on the Bond not to exceed 75% of the prime Rate per annum and
at a price of 100% of the principal amount thereof plus accrued interest, if
any'SECTION 5. The Mayor and Clerk-Treasurer 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 jeffersonville and
any other documents which may be necessary or desirable to consummate the tran-
saction, including the Bond authorized herein. The signatures of the Mayor and
Clerk-Treasurer on the Bond may be facsimile signatures. The Clerk-Treasurer is
authorized to arrange for the delivery of the Bond 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
binding between the City
Indenture securing the Bond shall constitute a contract Indiana,
and the holder of the City of jeffersonville,
of jeffersonville ---~ ~Herita=e Hardwoods of Kentucky,
Economic ~e~e~°~ories 1985 and after the ~ssuance of said Bond, this
shall not be repealed or amended in any respect that would adversely affect the
rights of such holder so long as the Bond or the interest thereon remains
unpaid.
SECTION 7. This ordinance shall be in full force and effect
from and after compliance with the procedures required by law.
Presiding
ATTEST:
C.'~ichard Spence~ jr.~ler~-Treasurer
Presented by me to the Mayor of the City of jeffersonville,
Indiana, on the ~ day of _~;~ , 1985.
C. k~chard Spenc~, ~-
Clerk-Treasurer ~
Approved and signed by me on this
1985.
~ day of ~ '
City of jeffersonville