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HomeMy WebLinkAbout1980-R-09 RESOLUTION OF COMMON COUNCIL OF THECITY 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 amount not exceeding Five Hundred Thousand Dollars ($500,000) for financing of certain economic development facilities to be undertaken by Donald D. Dennis, 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. WHEREAS, the City of Jeffersonville, Indiana ("City"), is authorized by lC 18-6-4.5 ("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 Donald D. Dennis to build in Jeffersonville, Indiana, a restaurant and related facilities ("Project") described in Exhibit A hereto; WHEREAS, Donald D. Dennis 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 w~uld be utilized to acquire, install and construct the Project and Donald D. DenniS would make payments sufficient to pay the principal of, premium, if any, and interest on such bonds~ Donald D. DenniS 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 Donald D. Dennis to proceed with the Project; and Donald D. Dennis has agreed to pay the costs of the City whether or not such revenue bonds are issued and the financing agreement consummated; Wt~EREAS, the jeffersonville Economic Development Commission has rendered a report of the jeffersonville Economic Development Co~mLission concerning the proposed financing of economic development facilities for Donald D. DenniS and the Jeffersonville City Plan Commission has been given an opportunity to comment thereon; Wt~EREAS, the jeffersonville Economic Development Cormnission has adopted a resolution giving its approval to suc~ 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 -2-- public benefit to the health, prosperity, economic stability and general welfare of the City and its inhabitants: NOW, THEREFORE, BE IT RESOLVED by the Cormnon Council of the City of jeffersonville, Indiana: Section 1. The Co~non Council finds and determinms that the construction of a new restaurant and related facilities of Donald D. Dennis 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 as it lawfully may to encourage Donald D. Dennis to construct the new restaurant and related facilities. Sec~tion 2. The Con, non Council further finds and determines t~at 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 Donald' D. Dennis to construct the Project and thereby serve the public purposes referred to above in accordance with the Act. Section 3. In order to induce Donald D. Dennis to proceed with the acquisition, installation and construc- tion of the Project, the Con=non Council hereby undertakes that: -3- (i) It will authorize and issue one Or more series of revenue bonds of the City pursuan~ to the Act, in an aggregate principal amount not exceeding Five Hundred Thousand Dollars ($500,000), to finance the costs of the acquzslulo , installa- tion, construction and equipping of the Project, including reimbursement or repayment to Donald D. Dennis of any moneys expended by Donald D. Dennis for planning, engineering, interest during constructlo , underwriting and attorney and bond counsel fees, and willenter into a financing agreement to use the net proceeds of such bonds to acquit install and construct the Project and lease or sell the ProjeCt to Donald D. Dennis 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 Donald D. Dennis to enable him 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 andresolutions and authorize the execution and delivery of such instru- ments and the taking of such actions as may be necessary -4- or advisable for the authorization, iaauance and sale of such bonds; and (iii) It will take or cause to be taken such other actions as may he 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 ~onald D. Dennis. 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 he made in the Project as are deemed necessary or desirable, or as may be required in light of then existing regulations or technology, 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. Section 6. This Resolution shall be in full force and effectimmediately upon compliance with the procedures required by law. C.R. Sp~hcer/ ~r.' C lerk'T{easui~fr Pres ~ ding Off' -5- Presented by me to the Mayor of the City of Jeffersonville, Indiana, on this /~ day of April, 1980. Approved and signed by me on this /~ day of April, 1980. L. Vissing, Ma~r of the City of Jeffersonville, Indiana -6- EYR{IB%T A DESCR%~T%DN OF TRE PRO~ECT The Project involves the construction and equipping of an approximately 10,60Q square foot family restaurant including site improvements. The restaurant will be constructed on approximately 1.6 acres of land located next to the southeast corner of the intersection of East 10th Street and Sharon Drive in Jeffersonville, Indiana. The real estate is presently owned by Donald D. Dennis and its cost is not a part of the Project. The restaurant will include banquet and meeting roan facilities.