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HomeMy Public PortalAbout088-1981 - Economic Development Revenue Bonds - Elevator Equipment Co. Project• AMENDED ORDINANCE NO. 83- - 1981 AN ORDINANCE AUTHORIZING THE CITY OF RICHMOND TO ISSUE ITS "ECONOMIC DEVELOPMENT REVENUE BONDS, SERIES 1981" (ELEVATOR EQUIPMENT CO. PROJECT) AND APPROVING OTHER ACTIONS IN RESPECT THERETO WHEREAS, the Richmond Economic Development Commission has rendered its Project Report for the Elevator Equipment Co. Project regarding the financ- ing of proposed economic development facilities for Elevator Equipment Co. and the Richmond Planning Commission has commented favorably thereon; and WHEREAS, the Richmond Economic Development Commission conducted a public i hearing on December 1P, 1981, and also adopted a Resolution on December 13, 1981, which Resolution has been transmitted hereto, finding that the financ- ing of certain economic development facilities of Elevator Equipment Co. com- plies with the purposes and provisions of I.C.36-7-12 and that such financ- ing will be of benefit to the health and welfare of the City of Richmond and its citizens; and WHEREAS, the Richmond Economic Development Commission has heretofore approved and recommended the adoption of this form of Ordinance by this Common Council and has approved the forms of and has transmitted for approval by the Common Council the Loan Agreement, Note and Mortgage and Indenture of Trust; NOW, THEREFORE, BE IT ORDAINED BY THE COMMON COUNCIL OF THE CITY OF RICHMOND, INDIANA THAT: Section 1. 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 Elevator Equipment Co. for the acquisition and construction of such facilities, the payment of the revenue bonds by the note payments of Elevator Equipment Co. under the Loan Agreement and Note, and the securing of said bonds by the mortgaging of such facilities to the Trustee under the Mortgage and Indenture of Trust 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 2. The substantially final forms of the Loan Agreement, Note, and Mortgage and Indenture of Trust approved by the Richmond Economic Develop- ment Commission are hereby approved (herein collectively referred to as the "FINANCING AGREEMENT" referred to in I.C. 36-7-12), 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 3. The City of Richmond shall issue its Economic Development First Mortgage Revenue Bonds, Series 1981 (Elevator Equipment Co. Project), in the total principal amount not exceeding Three Hundred Thousand Dollars May 1, 2002 ($300,000) and maturing 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 Mortgage and In- denture of Trust and Loan Agreement incorporated herein by reference, which bonds will be payable as to principal, premium, if any, and interest from the note payments made by Elevator Equipment Co. under the Loan Agreement and Note or as otherwise provided in the above described Mortgage and Indenture of Trust. The bonds may be issued in coupon or registered form, may be issued in denominations of $5,000 or a multiple thereof, may be fully registered, or in the case of coupon bonds, may be registrable as to principal only, and shall be redeemed as provided in Article III of the Mortgage and Indenture of Turst. Payments of principal and interest are payable in lawful money of the United States of America at the principal office of the Trustee or its successor in trust or by check or draft mailed or delivered to the registered owner as provided in the Mortgage and Indenture of Trust. The bonds shall never con- stitute 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 man- ner from revenues raised by taxation. Section 4. The Mayor and Clerk are authorized and directed to sell such bonds to the purchaser thereof at a variable rate of interest as follows: (i) from the date of the Bond, for a period until December 31, 1982, the - 2 - • , • interest shall be computed at the rate of twelve percent (12%) per annum, and (ii) from January 1, 1983, until principal and interest have been paid in full, the interest rate shall be computed annually as follows: two percent (2%) per annum over the three-year new issue general obligation Moody Baa rated municipal bond interest rate, on December 1, 1982, and on the first day of each December of each year until maturity and at a price not less than 100% of the principal amount thereof. Section 5. The Mayor and Clerk are authorized and directed to execute, attest, affix or imprint by any means the City seal to the documents consti- tuting the Financing Agreement approved herein on behalf of the City and any other document which may be necessary or desirable to consummate the transac- tion, including the bonds authorized herein. The Mayor and Clerk are hereby expressly authorized to approve any modifications or additions to the docu- ments constituting the Financing Agreement 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 Ordinance without further consideration by the Common Council. The signatures of the Mayor and Clerk on the bonds and coupons, if any, may be either manual or facsimile signatures. The Clerk is authorized to arrange for delivery of such bonds to the Trustee named in the Mortgage and Indenture of Trust, payment for the bonds will be made to the Trustee named in the Mortgage and Indenture of Trust and after such payment, the bonds will be delivered by the Trustee to the purchasers thereof. The Mayor and Clerk shall execute and the Clerk shall deliver the bonds to the Trustee within ninety days of the adoption of this ordinance. The bonds shall be dated as of the date of delivery. - 3 - Section 6. The provisions of this Ordinance and the Mortgage and Inden- ture of Trust securing the bonds shall constitute a contract binding between the City of Richmond and the holders of the Economic Development Revenue Bonds, Series 1981 (Elevator Equipment Co. Project), 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 such holders so long as any of said bonds and in- terest thereon remain unpaid. Section 7. This Ordinance shall be in full force and effect from and after its passage and signing by the Mayor. PASSED AND ADOPTED by the Common Council of the City of Richmond, Indiana, this 21st day of December, 1981. ATTEST: 4 1, Jo `Ellen Trimble~, City Clerk Kenneth Mills), President of Common Council PRESENTED by me, Jo -Ellen Trimble, City Clerk, to the Mayor of the City of Richmond, Indiana this. ~ '` day of December, 1981. Jo -Ellen Trimble City Clerk APPROVED by me, Clifford J. Dickman, Mayor of the City of Richmond, Indiana this day of December, 1981. Clifford J. Dickman Mayor ATTEST; Jo -Ellen Trimble City Clerk - 4 -