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HomeMy WebLinkAboutCC-12-15-03-01 Repay UtilityLoanSponsor: Councilor Wilson RESOLUTION NO. CC-12-15-03-01 A RESOLUTION OF THE COMMON COUNCIL OF THE CITY OF CARMEL, INDIANA, EXTENDING THE TIME TO REPAY FUNDS PROVIDED BY THE CITY'S SEWER UTILITY WHEREAS, the Board of Public Works and Safety ("Board") of the City of Carmel, Indiana acquired land for a street facility (the "Facility") with funds from the municipally owned sewer utility ("utility") for the benefit of the City of Cannel, Indiana (the "City") at a cost of $922,359.77; and WHEREAS, the conditions set forth in Ind. Code § 36-1-8-4(a) were met for the use of such funds for the street facility; and WHEREAS, the City has repaid $500,000 to the utility as partial payment towards the loan; and WHEREAS, the City is still indebted to the utility in the amount of $422,355.97 for the expense of acquiring the Facility; and WHEREAS, the City is unable to repay the remaining balance before the end of the budget year such that a six-month extension is needed pursuant to Ind. Code § 36-1-8-4(b); and WHEREAS, due to the present inability to repay the remaining balance before the end of the budget year, an emergency exists as that term is used in Ind. Code § 36-1-8-4(b). NOW, THEREFORE, BE IT RESOLVED BY THIS COMMON COUNCIL OF THE CITY OF CARMEL, INDIANA ("COMMON COUNCIL") that: Section One: The City shall be obligated to the utility in the amount of $422,357.97 representing the unpaid balance of the loan to acquire the Facility. .Section Two: The City of Carmel, Indiana shall repay the utility $422,355.97 plus accrued interest on or before June 1, 2004. Interest shall be calculated at 3.5% from October of 2002 to the actual date of re-payment. Interest shall not exceed $25,000. Section Three: A copy of this resolution shall immediately be forwarded to the State Board of Accounts. Section Four: This Resolution shall be in full force and effect immediately upon its adoption. PASSED by the Common Council of the City of Carmel, Indiana, this/~q~ay of December, 2003, by a vote of ~ ayes and (~ nays. Sponsor: Councilor Wilson COMMON COUNCIL FOR THE CITY OF CARMEL ~Lii~i Sn~r, President pr~empore ~'onald E. Carter ATTEST: Dian~surer l/~. ~ Pres~ented by me [o. th9 Mayor of the City of Carmel, Indiana, the/~.~ day of Diana L. Cordr y, - ~/~ Approvqd by me, the Mayor of the City of Carmel, Indiana this //~-~-day of ~ J~es ~rainarct,/lwayor ATTEST: Prepared by: Nicholas K. Kile Barnes & Thomburg INDS01 PJS 625277vi