HomeMy WebLinkAboutCC-10-21-85 O'Malia's Bakery INDUCEMENT RESOLUTION OF
COMMON COUNCIL OF THE
CITY OF CARMEL, INDIANA
RESOLUTION approving the finding of the Carmel Economic
Development Commission with respect to the issuance of
revenue bonds in an amount not exceeding One Million
Dollars ($1,000,000.00) for financing of certain economic
development facilities to be undertaken by O'Malia
Investment Co., and
of Carmel, Indiana,
to final action by
authorizing and committing the City
to proceed with such project, subject
this Common Council with respect to
the terms and conditions of such financing.
RESOLUTION NO. 85- October 21, 1985
WHEREAS, the City of Carmel, Indiana ("City"), is
authorized by IC 36-7-12 ("Act") to issue revenue bonds for
the purpose of financing the acquisition, installation,
construction and equipping of economic development facilities;
WHEREAS, the City has been advised that there is
under consideration a proposal of O'Malis Investment Co.
(the "Company"), to acquire, construct, install and equip in
the City a central bakery which will consist of real estate
improvements on real property currently owned by the Company
that is adjacent to and immediately south of 130 South
Rangeline Road in Carmel, together with machinery and equip-
ment necessary and incident to the operation of a bakery
(the "Project");
WHEREAS, the Company has proposed that the City
issue its revenue bonds under the Act to finance the acquisi-
tion,
installation, construction and equipping of the Project
under a finanacing agreement whereby the proceeds of such
bonds would be utilized to acquire, install, construct and
equip the Project and the Company would make payments
sufficient to pay the principal of, premium, if any, and
interest on such bonds; and the Company has further advised
the City that a determination by the City to accept such a
proposal for financing the Project will constitute a
substantial inducement to the Company to proceed with the
Project;
WHEREAS, the Company has Submitted evidence and
testified regarding the competitive impact of the Project on
other facilities of the same or similar kind already con-
structed or operating in the City;
WHEREAS, it is estimated that the Project will
result in approximately 50 new jobs at the end of one year
and approximately 55 new jobs at the end of three years with
estimated annual payrolls of $269,704 after one year and
$296,674 after three years;
WHEREAS, the Carmel Economic Development Commission
has rendered a report concerning the proposed financing of
economic development facilities for the Company, which report
incorporates findings of fact of the Commission regarding
the competitive impact of the Project on facilities of the
same or similar kind already constructed or operating in the
City and the Carmel Plan Commission has been given an
opportunity to comment thereon;
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WHEREAS, if the City issues the proposed financing
of economic development facilities for the Company, such
financing shall not in any respect be a general obligation
of, an indebtedness of, or constitute a charge against the
general credit of the City;
WHEREAS, the Carmel Economic Development Commission
has given its approval to such financing of the Project; and
WHEREAS, subject to the required approvals under
the Act, it appears that the financing of the Project will
be of public benefit to the health, prosperity, economic
stability and general welfare of the City and its citizens:
NOW, THEREFORE, BE IT RESOLVED by the Common Council
of the City of Carmel, Indiana:
Section 1. The Common Council finds, determines,
ratifies and confirms that the acquisition, construction,
installation and equipping of the Project is desirable to
better the health, prosperity, economic stability and general
welfare of the City and its citizens, that the Project complies
with the purposes and provisions of the Act, and that it is
in the best interest that the City take such action as it
lawfully may to encourage the Company to acquire, construct,
install and equip the Project.
Section 2. The Common Council further finds,
determines, ratifies and confirms that the issuance and sale
of revenue bonds of the City under the Act, and the use of
the net proceeds derived therefrom to finance the acquisition,
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construction, installation and equipping of the Project,
will enable the Project to be acquired, constructed, installed
and equipped and thereby serve the public purposes referred
to above in accordance with the Act.
Section 3. In order to induce the Company to proceed
with the acquisition, construction, installation and equipping
of the Project, the Common Council hereby undertakes that:
(i) It will authorize and issue one or more
series of revenue bonds of the City pursuant to
the Act, in an aggregate principal amount not exceeding
One Million Dollars ($1,000,000), to finance
the costs of the Project, including reimbursement
or repayment to the Company for planning, engineering,
underwriting and attorney and bond counsel fees,
and will enter into a financing agreement to use
the net proceeds of such bonds to acquire, construct,
install and equip the Project and lease or sell
the Project to the Company for specific rent or
purchase price payments sufficient to pay the
principal of, premium, if any, and interest on
such bonds, or to lend such net proceeds to the
Company to enable the Project to be acquired,
constructed, installed and equipped and repay the
loan in installments sufficient to pay the principal
of, premium, if any, and interest on such bonds;
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(ii) It will adopt such ordinances and resolu-
tions and authorize the execution and delivery of
such instruments and the taking of such actions as
may be necessary or advisable for the authorization,
issuance and sale of such bonds; and
(iii) It will take or cause to be taken such
other actions as may be required to implement the
aforesaid or as it may deem appropriate in pursuance
thereof, provided that all of the foregoing shall
be authorized by law and mutually acceptable to
the City and the Company.
Section 4. It is hereby recognized that the
issuance and sale of revenue bonds by the City under the Act
for the purposes set forth herein shall be subject to the
City's obtaining such approvals as may be required under the
Act.
Section 5. To the extent permitted by the Act,
such changes may be made in the Project as are deemed necessary
or desirable, or as may be required in light of then existing
regulations or technology, or both, provided that after such
changes the Project will continue to constitute economic
development facilities within the meaning of the Act and any
other applicable laws or regulations.
Section 6. The Project will contribute significantly
to the creation of permanent new job opportunities in the
City.
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Section 7. The evidence submitted by the Company
regarding the competitive impact of the Project on other
facilities of the same or similar kind already constructed
or operating in the City, such evidence being embodied in
the Findings of Fact Regarding Competitive Impact of Project
of O'Malia Investment Co., attached to the Report of the
Carmel Economic Development Commission, establishes that the
Project will not have an adverse competitive impact on other
facilities of the same or similar kind already constructed
or operating in the City.
Section 8. This Resolution
and effect immediately upon
required by law.
Adopted this 21st
shall be in full force
compliance with the procedures
day of October, 1985.
[ SEAL ]
ATTEST
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