HomeMy Public PortalAbout05-24-2011 - re TIF - Old Reid PropertyPROCEEDINGS OF A SPECIAL MEETING OF THE COMMON COUNCIL OF
THE CITY OF RICHMOND, INDIANA,
MAY 24, 2011
The Common Council of the City of Richmond, Indiana met in Special session May 24, 2011 in the
Council Chambers in said City. President Pappin presided and the following business was conducted:
ROLL CALL
Councilors present were Howard "Jack" Elstro, Kelley Cruse - Nicholson, Bruce vessel, J. Clayton Miller,
Bing Welch, Larry Parker, Diana Pappin, Bob Goodwin and Phil Quinn.
Others present were: Dan Stamper, Steve Porter, Ron Oler, Peter Murphy, Tony Foster, Richard Jeffers,
Mary Walker, Steve Stevens, Jason Semler, Lisa Lee, Heather James, Sally Hutton, Kim Vessels and
Karen Chasteen.
NEW BUSINESS:
• CONFLICT OF INTEREST DISCLOSURES:
Mr. Miller moved to accept the Disclosure of Wafter Raymond Stevens which is due to this affiliation
with U.S. Bank, supported by Mr. Parker. Upon a vote viva voce, the motion passed.
Mr. Miller moved to accept the Disclosure of Mike Blum which is due to this affiliation with First Bank,
supported by Mr. Welch. Upon a vote viva voce, the motion passed.
ORDINANCE NO. 30 -2011 - ORDINANCE AUTHORIZING THE CITY OF RICHMOND TO ISSUE ITS
"TAXABLE ECONOMIC DEVELOPMENT REVENUE BONDS, SERIES 2011" AND APPROVING AND
AUTHORIZING OTHER ACTIONS IN RESPECT THERETO
The Richmond Economic Development Commission ("Commission") conducted a public hearing and
adopted a resolution on May 24, 2011, finding that the financing of certain economic development
facilities of Spring Grove Development, LLC ("Borrower") complies with the purposes and provisions of IC
35-7 -11.9 and -12 and that such financing will be of benefit to the health and welfare of the City of
Richmond, Indiana ("City') and its citizens.
The Redevelopment Commission of the City has determined to pledge Tax Increment to be used to pay
debt service on the Notes issued pursuant to a Loan Agreement between the Borrower and the City,
dated as of May 1, 2011. The City shall issue its Taxable Economic Development Revenue Bonds, Series
2011 (Whitewater River Project) ("Bonds') pursuant to this ordinance to finance the construction of
residential dwelling units for higher education and vocational purposes which may also provide additional
housing support for Reid Hospital and Indiana University East ("Project'), fund capitalized interest, fund a
debt service reserve, if necessary, costs of issuance and related expenses. Debt service on the Bonds
will be payable from the Note repayments. The Commission has 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 (including the form of Note); the Trust Indenture (including form of Bonds)
between the Issuer and the Trustee, dated as of May 1, 2011 ("Indenture"); and the Bond Purchase
Agreement between the Issuer and the purchaser of the Bonds;
Ordinance No. 30 -2011 would authorize the City to issue Bonds, maturing no later than February 1, 2031,
in the aggregate principal amount not to exceed $1,500,000. The Bonds are to be issued for the purpose
of procuring funds to pay the costs of construction of the Project, all as more particularly set out in the
Spedel Meeting of the Common Counc4 Minutes
May 24, 2011
Page 2 of 2
Financing Agreement, which Bonds will be payable as to principal, premium, if any, and interest from the
note payments under the Loan Agreement and Note or as otherwise provided in the above described
Indenture.
The provisions of this Ordinance and the Indenture securing the Bonds shall constitute a contract binding
between the City and the holders of the Bonds, and after the issuance of the Bonds, this ordinance shall
not be repealed or amended in any respect which would adversely affect the rights of such holders so
long as the Bonds or the interest thereon remains unpaid.
The provisions of this ordinance and the Indenture securing the Bonds shall constitute a contract binding
between the City and the holders of the Bonds, and after the issuance of the Bonds, this ordinance shall
not be repealed or amended in any respect which would adversely affect the rights of such holders so
long as the Bonds or the interest thereon remains unpaid.
Councilor Miller moved to advance Ordinance No. 30 -2011 to second reading and to suspend the rules
and read by title only with a second by Councilor Welch. Upon a vote viva voce, the motion passed.
The Cleric read Ordinance No. 30 -2011 on second reading by title only.
Council President Pappin declared Ordinance No. 30 -2011 on second reading and public hearing. There
being no comments for or against the Ordinance, Councilor Elstro moved for engrossment of Ordinance
No. 30 -2011 with a second by Councilor Miller Upon a vote viva
voce, the motion passed.
Councilor Welch moved to advance Ordinance No. 30 -2011 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.
The Clerk read Ordinance No. 30 -2011 on third reading by title only.
Ordinance No. 30 -2011 was adopted with a 9-0 roll call vote.
CALL FOR ADJOURNMENT
There being no further business, the meeting was adjourned.
Diana Pappin, Pre dent
ATTE ,--
Karen Chasteen, IAMC, MMC
City Clerk