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HomeMy WebLinkAboutCC-12-15-14-05 City Center Phase II Pedcor Bond ($20,000,000) • Sponsors: Councilors Seidensticker and Rider RESOLUTION CC-12-15-14-05 (FORMERLY CC-11-03-14-01) A RESOLUTION OF THE COMMON COUNCIL OF THE CITY OF CARMEL,INDIANA,APPROVING THE ISSUANCE OF BONDS OF THE CITY OF CARMEL REDEVELOPMENT DISTRICT WHEREAS, the City of Carmel Redevelopment Commission (the "Commission"), as the governing body for City of Carmel Redevelopment District (the "District"), pursuant to Indiana Code 36-7-14, as amended (the "Act), previously adopted resolutions, as subsequently confirmed and amended, for the purposes of(a) designating an area within the City of Carmel, Indiana (the "City"), known as the Cannel Downtown Economic Development Area (the "Economic Development Area"), as an economic development area pursuant to Sections 41 and 43 of the Act, and (b) designating an area in the City known as the City Center Redevelopment Area (the "Redevelopment Area"), as a redevelopment area pursuant to Section 15 of the Act (the Economic Development Area and the Redevelopment Area, collectively, the"Areas");-and WHEREAS, the Commission has deemed it necessary and advisable and in the best interests of the District and its citizens to undertake the construction, improvement and/or equipping of certain local public improvements, redevelopment projects and other capital improvements in or serving the Areas as described more fully on Exhibit A hereto (collectively, the"Projects"); and WHEREAS, on September 15, 2014, the Commission adopted separate declaratory resolutions for the purpose of (a) designating separate portions of the Economic Development Area, known as the Carmel Downtown Allocation Area No. 3, the Motor Court East Allocation Area, the Motor Court West Allocation Area and the Pedcor Office 5 Allocation Area, as separate allocation areas pursuant to Section 39 of the Act, and (b) designating a portion of the Redevelopment Area, known as the Kent Allocation Area, as a separate allocation area pursuant to Section 39 of the Act (clauses (a) and(b), collectively, the "New Allocation Areas"); and WHEREAS, the Commission is in negotiations with one or more private developers which are considering significant new mixed-use development projects in the Areas which will result in major capital improvements to property located in the New Allocation Areas, and the Commission intends to enter into a project agreement (the "Project Agreement") concerning the provision of certain incentives by the Commission to such developers, including the Commission's undertaking of the Projects, in exchange for certain obligations, covenants and guarantees of such developers; and WHEREAS, the Commission is proposing to issue bonds of the District, in one or more series, subject to the terms contained herein (the "Bonds"), for the purpose of providing funds to pay for the costs of the Projects, together with costs incurred on account of the issuance of and in connection with the issuance and sale of the Bonds; and NOW, THEREFORE, BE IT RESOLVED BY THE COMMON COUNCIL OF THE CITY OF CARMEL,INDIANA,that: Section 1. The Common Council hereby approves of the issuance of the Bonds of the District, in one or more series, for the purpose of providing funds to finance the Projects, pursuant to Indiana Code 6-1.1-17-20.5 and Indiana Code 36-7-14-25.1(p), upon the following conditions: (a) the maximum aggregate original principal amount of the Bonds shall not exceed $20,000,000; (b) the maximum term of the Bonds shall not exceed twenty-five (25) years; (c) the maximum interest rate on the Bonds shall not exceed eight percent (8.00%) per annum; (d) the Bonds may be subject to redemption prior to maturity on any date not earlier than seven(7) years following the date of issuance of the Bonds, with such specific dates and redemption terms determined at the time of the sale of the Bonds and approved by the Commission in the purchase agreement for the Bonds, all upon the advice of the financial advisor to the Commission; (e) payment of interest on the Bonds may be capitalized for a period ending no later than five (5) years following the date of issuance of the Bonds; (f) the awarding of all construction bids for the various portions of the Projects shall be subject to the procedures set forth in Exhibit B hereto; (g) any change orders for the Projects that exceed $49,999 shall be subject to the procedures set forth in Exhibit B hereto; and (h) the Common Council shall approve the use of any surplus proceeds of the Bonds remaining after completion of the Projects. Section 2. In the event that incremental property tax revenues derived from the New Allocation Areas, plus all other amounts made available to the Commission pursuant to the terms of the Project Agreement, are insufficient to pay the principal of and interest on the Bonds as the same becomes due, the Council hereby declares that it reasonably expects and intends to use other legally available funds of the City before approving any levy of a special benefits tax upon all of the property within the District pursuant to Section 27 of the Act Section 3. This Resolution shall be in full force and effect from and after its passage by the Common Council and approval by the Mayor as required by law. 2 PASSED by the Common Council of the City of Carmel, this I S day of d�ecer+brr , 2014, by a vote of IA ayes and '3 nays. COMMON COUNCIL OF THE CITY O. CA' ,I EL, I or Of i/ Pre4ling Officer evin D. Rider OPPOSED OPPoseih W. E •' Seidensticker, President Pro Tempore Carol Schleif �� nPPasej) onald E. Carter Richard j . Sharp S 0 am tic' . yder / ATTEI : __ (- / ft/C4A°M-' I Diana L. Cordray, IAMC, Cler Treasurer of the City of Carmel, Indiana Presented by me to the Mayor of the City of Carmel, Ins . , a, this I(cam` �y of , 2014, at 1:+ff P.M. , C� 0 /∎ e . i 0 / /, Di.na L. Cordray, IAMC, Clerk-Treas er Approved by me, Mayor of the City of Carmel, Indiana, this 17 day of , 2014, at la:SO P.M. Wes Brainard, Mayor ATTES -- ,,e,e-cit. Diana L. Cordray, IAMC, Clerk-Treasurer of the City of Carmel, Indiana �/ I Prepared by: Bruce D. Donaldson,Esq. Barnes&Thornburg LLP 11 South Meridian Street Indianapolis, IN 46204 3 . EXHIBIT A DESCRIPTION OF THE PROJECTS The projects consist of the construction, renovation, improvement and equipping of additional local public improvements, redevelopment projects and other capital improvements in or serving the Cannel Downtown Economic Development Area and the City Center Redevelopment Area (collectively, the "Areas"), including, without limitation (a) landscaping and streetscaping projects, (b) lighting upgrades, (c) roads, streets, sidewalks and other public ways, (d) parking facilities, (e) improvements, upgrades, repairs and/or relocation of water, sewer, drainage or other utility infrastructure, (f) site work and preparation to support mixed use development generally to be located in the Areas, and (g) other necessary public infrastructure to be located in the Areas. Such additional local public improvements, redevelopment projects and other capital improvements may include, without limitation,the following specific projects: • Construction, improvement and/or equipping of the Park East Parking Garage Facility • Construction, improvement and/or equipping of extensions to Veterans Way • Construction, improvement and/or equipping of the roads, streets, sidewalks and other public ways adjacent to or serving the existing or proposed Baldwin Building, the Chambers Building, the Holland Building, the Playfair Building and the Park East Parking Garage Facility • Construction, improvement and/or equipping of the Spanish Steps project • Construction, improvement and/or equipping of the Rangeline Road entrance • Construction, improvement and/or equipping of roads, streets, sidewalks and other public ways adjacent to or serving the existing or proposed Kent Building 4 1 EXHIBIT B 2 3 CONSTRUCTION BIDDING AND CHANGE ORDER PROCEDURES 4 5 6 1. Whenever the Board of Public Works of the City (i) awards a construction 7 bidding contract relating to the Projects, or (ii) approves a change order relating to the Projects 8 that exceeds $49,999 (each, a "BPW Decision"), the Clerk-Treasurer of the City shall 9 immediately provide notice of the BPW Decision to all members of the Common Council. 10 2. Subject to Section 3 below, the Common Council shall have the right to review 11 and approve, reject or modify the BPW Decision. 12 3. If the Common Council has not rendered a decision under Section 2 above within 13 five (5) business days of receiving the notice provided under Section 1 above, the BPW Decision 14 shall be deemed approved by the Common Council. INDS01 BJB 1479657v4 5