HomeMy Public PortalAbout067-1983 - Revenue Bonds - Palladium Publishing CorpORDINANCE NO. 67 —1983
ORDINANCE AUTHORIZING
THE CITY OF RICHMOND TO ISSUE
ITS "ECONOMIC DEVELOPMENT
REVENUE BONDS" AND APPROVING
OTHER ACTIONS IN RESPECT THERETO
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WHEREAS, the Richmond Economic Development Commission has rendered its
Project Report for the Palladium Publishing Corp. Project regarding the
financing of proposed economic development facilities for Palladium
Publishing Corp. and the Richmond Plan Commission has commented favorably
thereon; and
j WHEREAS, the Richmond Economic Development Commission conducted a
public hearing on November 21, 1983, and also adopted a resolution on
November 21, 1983, which Resolution 'has been transmitted 'hereto, finding
that the financing of certain economic development facilities of Palladium
Publishing Corp. complies with the purposes and provisions of I.C. 36-7-12
and that such financing will be of benefit to the health and welfare of the
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City of Richmond and its citizens; and
WHEREAS, the Richmond Economic Development Commission nas heretofore
approved and recommended the adoption of this form of Ordinance by this
Common Council and has approved the terms and substantially final forms of
and has transmitted for approval by the Common Council the Loan Agreement,
Assignment, Bond Purchase Agreement, Bank Bond Purchase Agreement, and
Guaranty Agreement and; now therefore,
BE IT ORDAINED BY THE COMMON COUNCIL OF THE CITY OF RICHMOND, INDIANA
THAT:
Section 1. The proposed economic development facilities will consist
of the acquisition and construction of a twenty five thousand (25,000)
square foot publishing and printing addition ("Addition") to the Palladium
Publishing Corp. business office facility located at 1175 North "A" Street,
Richmond, Indiana, which Addition will be located immediately south of said
business office facility on land owned by the Palladium Publishing Corp.,
the acquisition of certain real estate incidental thereto, and the
acquisition of machinery and equipment to be utilized in and for said
Addition.
Section 2. It is hereby found that the financing of the economic
development facilities referred to in the Loan Agreement approved by the
Richmond Economic Development Commission and presented to this Common
Council, the issuance and sale of revenue bonds, the loan of the proceeds
of the revenue bonds to Palladium Publishing Corp. for the acquisition,
construction and equipping of such facilities, the payment of the revenue
bonds by the payments of Palladium Publishing Corp. under the Loan
Agreement and the guaranty of payment of the principal and interest on the
revenue bonds by Gannett Co., Inc. under the Guaranty Agreement, complies
with the purposes and provisions of I.C. 36-7-12 and will be of benefit to
the health and welfare of the City of Richmond and its citizens.
Section 3. The substantially final forms of the Loan Agreement,
Assignment, Bond Purchase Agreement, Bank Bond Purchase Agreement and
Guaranty Agreement approved by the Richmond Economic Development Commission
is 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. In accordance with the provisions of I.C.
36-1-5-4, two (2) copies of all such documents are on file in the office of
the Clerk for public inspection.
Section 4. The City of Richmond shall issue its Economic Development
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Revenue Bonds Palladium Publishing Corp. Project, in the total principal
amount not exceeding Seven Million Dollars (S7,000,000) and maturing not
later than November 1, 2008, for the purpose of procuring funds to pay the
costs of acquisition, construction and equipping of the economic
development facilities as more particularly set out in the Loan Agreement
incorporated herein by reference, which bonds will be payable as to
principal, premium, if any, and interest from the payments made by
Palladium Publishing Corp. under the Loan Agreement or as otherwise
provided therein and in the above described Guaranty Agreement. The bonds
shall be issued as a single fully registered bond, and shall be redeemed as
provided in the Bond Purchase Agreement. Payments of principal and inter-
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est are payable in immediately available funds in lawful money of the
United States of America at the address provided by the holder of the Bond.
The bonds shall never constitute a general obligation of, an indebtedness
of, or a charge against the general credit of the City of Richmond, nor are
the bonds payable in any manner from revenues raised by taxation.
Section 5. The Mayor and Clerk are authorized and directed to sell
such bonds to the purchaser thereof at 100% of the principal amount thereof
bearing a rate of interest on the bonds calculated from time to time in
accordance with the Bond Purchase Agreement.
Section 6. The Mayor and Clerk are authorized and directed to
execute, attest, affix or imprint by any means the City seal to the
documents constituting the Financing Agreement approved herein on behalf of
the City of Ricnmond and any other document which may be necessary or
desirable to consummate the transaction, including the bonds authorized
herein. The Mayor and Clerk are hereby expressly authorized to approve any
modifications or additions to the documents constituting the Financing
Agreement and which take place after the date of this Ordinance with the
review and advice of the City Attorney; it being the express understanding
of this Common Council that said Financing Agreement is in substantially
final form as of the date of this Ordinance. The approval of said
modifications or additions shall be conclusively evidenced by the execution
and attestation thereof and the affixing of the seal thereto or the
imprinting of the seal thereon; provided, however, that no such
modification or addition shall change the maximum principal amount of,
interest rate on or term of the bonds as approved by the Common Council by
this Ordinanace without further consideration by the Common Council. The
signatures of the Mayor and Clerk on the bonds may be either manual or
facsimile signatures. The Mayor and Clerk shall execute and the Clerk
shall deliver the bonds to the purchaser thereof within ninety days of the
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adoption of this ordinance. The bonds shall be dated as of the date of
delivery. The Mayor and/or Clerk are hereby further authorized to take
such other action and sign such other documents and certificates as may be
necessary to effectuate the bond closing, including filing with the
Internal Revenue Service the tax election letter required by Section 103 of
the Internal Revenue Code of 1954, as amended, and form 8038 of the
Internal Revenue Service.
Section 7. The provisions of this Ordinance shall constitute a
contract binding between the City of Richmond and the holders of the
Economic Development Revenue Bonds (Palladium Publishing Corp. Project),
1983 Series A and after the issuance of said bonds, this Ordinance shall
not be repealed or amended in any respect which would adversely affect the
rights of sucn holders so long as any of said bonds or the interest thereon
remains unpaid.
Section 8. This Ordinance shall be in full force and effect from and
after its passage and signing by the Mayor.
Passed and adopted this,,"!�Aday of L/ , 1983.
RICHMOND COCOUN L
Pry s; in Of r
At t e� G/
Clerk '
Presented by me to the Mayor of the City of Richmond, on this--w-3ay
of „t om 1983, at the ho of -3f �� -_.M.
s —
Cle /
Approved and signed by me on this-v f/�day of
1983.
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I`ia i.ty,wfAichmond
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