HomeMy Public PortalAbout02-05-2007 - Special Meeting - JMPROCEEDINGS OF A SPECIAL MEETING OF THE COMMON COUNCIL OF
THE CITY OF RICHMOND, INDIANA,
MONDAY, FEBRUARY 5, 2007
The Common Council of the City of Richmond, Indiana met in Special session Monday, February 5, 2007,
in the Council Chambers in said City. President Pappin presided and the following business was
conducted:
ROLL CALL
Councilors present were Howard "Jack" Elstro, Etta Lundy, Bruce Wissel, Karl Sharp, Bing Welch, Larry
Parker, Al Glover, Gil Klose and Diana Pappin.
NEW BUSINESS:
ORDINANCE NO. 11 -2007 - ORDINANCE AUTHORIZING THE CITY OF RICHMOND, INDIANA TO
ISSUE ITS "TAXABLE ECONOMIC DEVELOPMENT REVENUE BONDS OF 2007 (JOHNS MANVILLE
PROJECT)" AND APPROVING OTHER ACTIONS IN RESPECT THERETO
The Richmond Economic Development Commission has rendered its Project Report for the Johns
Manville Project regarding the financing of proposed economic development facilities for Johns Manville
and the Report will be submitted to the Richmond Plan Commission. The Richmond EDC conducted a
public hearing on February 5, 2007 and a project Report on said date which Resolution and Project
Report were transmitted, finding that the financing of certain economic development facilities to be
constructed by Johns Manville complies with the purposes and provisions of IC 36 -7 -11.9 and -12. The
Richmond EDC approved and recommended the adoption of this form of Ordinance by this Common
Council, has considered the issue of adverse competitive effect and has approved the forms of and has
transmitted for approval by the Common Council the Loan Agreement; the Note; the Bond Purchase
Agreement and the Trust Indenture.
Ordinance No. 11 -2007 would authorize the City of Richmond to issue its Taxable Economic
Development Revenue Bonds of 2007 (Johns Manville Project) pursuant to a Trust Indenture between the
City and a financial institution to be chosen by the City to act as trustee for the Bonds. The proceeds of
the Bonds would be loaned to Johns Manville, Inc. for the financing of: (1) expansion of manufacturing
buildings; (2) site improvements; (3) acquisition of equipment; and (4) the rebuilding and expansion of two
manufacturing lines, together with necessary appurtenances, related improvements and equipment in,
serving or benefiting the Area, capitalized interest, a debt service reserve and costs of issuance pursuant
to a Loan Agreement, dated as of February 1, 2007 between Johns Manville and the City. If adopted, this
Ordinance would further find, determine, ratify and confirm that the promotion of diversification of
economic development and increase investment (approximately $2,900,000 in real property and
$37,200,000 in depreciable personal property) in the City, is desirable to preserve the health, safety and
general welfare of the citizens of the City; and that it is in the public interest that the Commission and the
Issuer take such action as they lawfully may to encourage economic development, diversification of
industry and increased investment in the City.
This Ordinance would help offset loan repayments of the Borrower and to finance the Project. The
Commission has determined that it is in the best interest of the City and its residents to pledge the
property tax proceeds from the assessed valuation of real and depreciable personal property in the Area
in excess of the assessed valuation.
Councilor Wissel moved to advance Ordinance No. 11 -2007 to second reading and to suspend the rules
and read by title only with a second by Councilor Sharp. Upon a vote viva voce, the motion passed.
The Clerk read Ordinance No. 11 -2007 on second reading by title only.
Council President Pappin declared Ordinance No. 11 -2007 on second reading and public hearing. There
being no comments for or against the Ordinance, Councilor Elstro moved for engrossment of Ordinance
No. 11 -2007 with a second by Councilor Welch. Upon a vote viva voce, the motion passed.
Councilor Welch moved to advance Ordinance No. 11 -2007 to third and final reading and suspend the
rules and read by title only with a second by Councilor Parker. Upon a vote viva voce, the motion
passed.
Special Meeting of the Common Council Minutes
February 5, 2007
Page 2 of 2
The Clerk read Ordinance No11 -2007 on third reading by title only.
Ordinance No. 11 -2007 was adopted with a 9 -0 roll call vote.
RESOLUTION NO. 1 -2007 — REGARDING THE ESTABLISHMENT OF THE JOHNS MANVILLE
ECONOMIC DEVELOPMENT AREA
The Clerk read Resolution No. 1 -2007 by title only
This Resolution would approve the creation of the Johns Manville Economic Development Area as an
economic development area under IC 36 -7 -14 and confirm Resolution No. 1 -2007 — the Declaratory
Resolution of the Richmond Redevelopment Commission.
Councilor Elstro moved to adopt Resolution No. 1 -2007 with a second by Councilor Sharp. Upon a vote
viva voce, the motion passed.
There being no further business, the meeting was adjourned.
S/S Diana Pappin
Diana Pappin, President
ATTEST: S/S Karen Chasteen
Karen Chasteen, City Clerk