HomeMy Public PortalAboutOrd 668 Supplemental Lease with PBCGILMORE & BELL, P.C.
5/10/2021
(PUBLISHED IN THEARK VALLEYNEWS ON MAY 20,202 1)
ORDINANCE NO. 668
AN ORDINANCE AUTHORIZING THE CITY OF BEL AIRE, KANSAS TO
ENTER INTO A SUPPLEMENTAL LEASE WITH OPTION TO PURCHASE
NO. 2, DATED JUNE 2, 2021, WHICH SUPPLEMENTS A LEASE WITH OPTION
TO PURCHASE BETWEEN THE CITY AND THE CITY OF BEL AIRE, KANSAS
PUBLIC BUILDING COMMISSION, DATED APRIL 15, 2010, WHEREBY THE
CITY WILL CONTINUE TO LEASE FROM THE PUBLIC BUILDING
COMMISSION CERTAIN PROPERTY, APPROVING THE FORM OF SAID
SUPPLEMENTAL LEASE WITH OPTION TO PURCHASE NO. 1; AND
AUTHORIZING THE EXECUTION THEREOF AND CERTAIN RELATED
DOCUMENTS.
WHEREAS, under the authority of K.S.A. 12 -1757 et seq., as amended by Charter Ordinance
No. 10 of the City (jointly the "Act "), and Ordinance No. 382, the Governing Body (the "Governing
Body ") of the City of Bel Aire, Kansas (the "City ") has heretofore created The City of Bel Aire, Kansas
Public Building Commission, a municipal corporation of the State of Kansas (the "PBC "); and
WHEREAS, the PBC has heretofore issued its Taxable Revenue Refunding Bonds, Series 2017,
dated July 13, 2017 (the "Series 2017 Bonds "), in the original principal amount of $17,755,000 for the
purpose of paying the costs to refinance the acquisition of certain real estate (the "Project Site ") for use as
a commercial and industrial park (the "Project "), and has leased the Project to the City pursuant to a
Lease with Option to Purchase dated as of April 15, 2010 (the "Original Lease ") as amended and
supplemented by a Supplemental Lease with Option to Purchase No. 1, dated as of July 13, 2017 (the
"Supplemental Lease No. 1 "), with the City to provide a source of revenues for payment of principal and
interest on those Series 2017 Bonds; and
WHEREAS, the PBC has heretofore by resolution found, and the City hereby finds, it necessary
and advisable to refinance the Series 2017 Bonds on behalf of the City refinance the cost of the Project
and to refund the Series 2017 Bonds maturing in the years 2022 through 2034 in the aggregate principal
amount of $14,405,000 (the "Refunded Bonds "), by the issuance of Taxable Refunding Revenue Bonds,
Series 2021 (the "Series 2021 Bonds "); and
WHEREAS, in connection with the issuance of such Series 2021 Bonds, the Governing Body
finds it necessary and advisable to enter into a Supplemental Lease with Option to Purchase No. 2 dated
as of June 2, 2021 (the "Supplemental Lease No. 2 "), which supplements the Original Lease, to ratify the
Original Lease and Supplemental Lease with Option to Purchase No.l, and to authorize certain other
actions and documents related thereto.
NOW, THEREFORE, BE IT ORDAINED BY THE GOVERNING BODY OF THE CITY
OF BEL AIRE, KANSAS:
SECTION 1. The City hereby finds and determines, pursuant to the Act, that the issuance of the
Series 2021 Bonds by the PBC to finance the costs of refunding the Refunded Bonds, under the terms and
601267.20008 \CITYORD
provisions set forth in the Original Lease, Supplemental Lease No. 1, and Supplemental Lease No. 2
(collectively, the "Lease "), are necessary, convenient and in furtherance of the governmental purposes of
the City.
SECTION 2. The sale of the Series 2021 Bonds to Robert W. Baird & Co., Inc., Milwaukee,
Wisconsin (the "Purchaser ") is hereby approved and authorized.
SECTION 3. The Supplemental Lease No. 2, in substantially the form presented to this meeting
of the Governing Body, are in all material respects approved, authorized and confirmed. The Mayor and
the City Clerk are hereby authorized and directed to affix their signatures and the seal of the City to the
Bond Purchase Agreement and Supplemental Lease No. 2, for and on behalf of the City, with such
changes therein as the City Manager may deem necessary or appropriate. The Original Lease and
Supplemental Lease No. 1 are hereby ratified and confirmed, and, except as supplemented by
Supplemental Lease No. 2, continue in full force and effect.
SECTION 4. For the purpose of enabling the Purchaser to comply with the requirements of
Section (b)(1) of Rule 15c2- 12(b)(1) of the Securities and Exchange Commission (the "SEC Rule "), the
City hereby deems the information regarding the City contained in the Preliminary Official Statement for
the Series 2021 Bonds to be "final" as of its date, except for the omission of such information as is
permitted by Section (b)(1) of the SEC Rule, and the appropriate officers of the City are hereby
authorized, if requested, to provide the Purchaser a letter or certification to such effect and to take such
other actions or execute such other documents as such officers in their reasonable judgment deem
necessary to enable the Purchaser to comply with the requirement of the SEC Rule.
The final Official Statement is hereby authorized to be prepared by supplementing, amending and
completing the Preliminary Official Statement, with such changes and additions thereto as are necessary
to conform to and describe the transaction. The use and public distribution of the final Official Statement
by the Purchaser in connection with the reoffering of the Series 2021 Bonds is hereby authorized. The
proper officials of the City are hereby authorized to execute and deliver a certificate pertaining to such
Official Statement as prescribed therein, dated as of the date of payment for and delivery of the Series
2021 Bonds.
SECTION 5. The Mayor and City Clerk are hereby authorized to execute any and all documents
and take such actions as they may deem necessary or advisable in order to carry out and perform the
intent of this Ordinance.
SECTION 6. All action heretofore taken (not inconsistent with the provisions of this Ordinance)
by the City or the officials of the City, is hereby authorized and approved.
SECTION 7. This Ordinance shall be effective from and its passage by the Governing Body,
approval and execution by the Mayor and publication once in the official City newspaper.
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PASSED by the Governing Body of the City of Bel Aire, Kansas, on May 18, 2021 and
APPROVED AND SIGNED by the Mayor.
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Melissa Krehbiel, City Clerk
CITY OF BEL AIRE, KANSAS
`rim Benage, Mayor
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(Signature Page to City Ordinance)