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HomeMy WebLinkAbout1981-OR-03g I -oR- A SPECIAL ORDINANCE authorizing the City of Jeffersonville to issue its "Economic Development Mortgage Revenue Bonds (Riverview Hotel, Inc., Project)" in the principal amount of Five Hundred Thousand Dollars ($500,000), and approving and authorizing other actions in respect thereto. ~qqEREAS, the Jeffersonville Economic Development Commission has rendered a Report of the Jeffersonvilte Economic Development Commission concerning the proposed financing of economic development facilities for Riverview Hotel, Inc., 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 ~7-- , 1980, adopted a Resolution on that date, which Resolution has been transmitted hereto, finding that the financing of certain economic development facilities of Riverview Hotel, Inc., 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 ~tability 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 Agreements including the Mote attached thereto~ the Mortgage and Trust IndenLure and the Bond Purchase Agreement by Resolution adopted December ~.-., 1980, which Resolution has been transmitted hereto; NOW, THEREFORE: BE IT ORDAINED BY THE COMI~0N COUNCIL OF THE CITY OF JEFFERSONVILLE: SECTION 1. It is hereby found that the financing of the economic development facilities referred to in the Loan Agreement, previously approved by the Jeffersonvilte 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 Riverview Hotel, Inc., for the acquisition, construction and equipping of said facilities and the repayment of said loan by Riverview Hotel, Inc., to be evidenced and secured by a promissory note of Riverview Hotel, Inc., will be of benefit to the health, prosperity, economic stability and general welfare of the City of Jeffersonville and its citizehs 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 Jeffersonvilte Economic Development Co~nnission 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 Bonds (Riverview Hotel, Inc., Project) in the principal amount of Five Hundred Thousand Dollars ($500,000) (the "Bonds") for the purpose of procuring funds to loan to Riverview Hotel, Inc., 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 Riverview Hotel, Inc., on its promissory note which will be executed and delivered by RivervieW Hotel, Inc., 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 Jeffersonvitle. SECTION 4. The Mayor and Clerk-Treasurer are authorized and directed to sell the Bonds to the purchaser set forth in the Bond Purchase Agreement at a rate of interest on the Bonds not to exceed nine and one-half (9.5%) per annum and at a price of 100% of the principal amount thereof plus accrued interest, if any. SECTION 5. The Major and Clerk-Treasurer are authorized and directed to execute the Loan Agreement, the Mortgage and Trust Indenture end 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 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 a contract binding between the City of Jeffersonville and the holder of the City of Jeffersonvtlle, Indiana, Economic Development Mortgage Revenue Bonds (Riverview Hotel, Inc., 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 remains unpaid. SECTION 7. This Ordinance shall be in full force and effect from and after compliance with the procedures required by law. nOffice~ ATTEST: C. Richard Spencer, ~-, Cler~-~Treasure Presented by m__e to the Indiana, on the~ day of May~ of the of / fe[sonvi e, ..., 198 C. Richard Spencer, I~r. ~- Clerk-Tr easur er ~ 198 /pp%oved and signed by me on this ~ day of (~"";"'" R~ha~d L. V~ssing, Mayor City o~ef fer sonville