HomeMy WebLinkAboutD-393 Econ Dev/Beverly Enterp. ORDINANCE AUTHORIZING
THE CITY OF.CARMEL TO ISSUE
ITS "ECONOMIC DEVELOPMENT
REVENUE BONDS, SERIES 1983
(BEVERLY ENTERPrISES-INDIANA, INC. PROJECT)"
APPROVING OTHER ACTIONS IN
AND
RESPECT .THERETO
WHEREAS, the Carmel Economic
rendered its Project Report for
Indiana, Inc. Project: regarding
economic development facilities
Development Commission has
the Beverly Enterprises
the financing of proposed
for Beverly Enterprises -
Indiana, Inc. and the Carmel Plan Commission has commented
favorably thereon; and
WHEREAS, the Carmel Economic Development Commission con-
ducted a public hearing on November 17, 1983, and also adopted
a resolution on November 17, 1983, which Resolution has been
transmitted hereto, finding that the financing of certain
economic development facilities of Beverly Enterprises
Indiana, Inc. complies with the purposes and provisions of I.C.
36-7-12 and that such financing will be of benefit to the
health and welfare of the City of Carmel and its citizens; and
WHEREAS, The Carmel Economic Development Commission also
adopted on November 17, 1983 a "Resolution Reporting on
Economic Development Facilities for Beverly Enterprises-
Indiana, Inc.", finding that the financing of the facilities
will not have an adverse competitive effect on similar
facilities already operating in the applicable market area and
finding that the financing of permanent positive impact on
employment in Carmel and Hamilton County.
WHEREAS, the Carmel Economic Development Commission has
heretofore approved and recommended the adoption of this form
of Ordinance by this Common Council and has approved the sub-
stantially final forms of and has transmitted for approval by
the Common Council the Loan Agreement, Indenture of Trust,
Mortgage and Security Agreement, Guaranty Agreement, Official
Statement, Bond Purchase Agreement, Bank Mortgage and Security
Agreement and Land Use Restriction Agreement; now therefore,
BE IT ORDAINED BY THE COMMON COUNCIL OF THE CITY OF CARMEL,
INDIANA THAT:
Section 1. (a) It is hereby found that the financing of
the economic development facilities referred to in the Loan
Agreement approved by the Carmel 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
Beverly Enterprises Indiana, Inc. for the acquisition, con-
struction and equipping of such facilities, the payment of the
revenue bonds by the payments of Beverly Enterprises - Indiana,
Inc. under 'the Loan Agreement, the guaranty of payment of the
principal and interest on the revenue bonds by Beverly Enter-
pr±ses under the Guaranty Agreement, and the securing of said
bonds by the mortgaging of such facilities under the Mortgage
and Security Agreement complies with the purposes and provi-
sions of I.C. 36-7-12 and will be of benefit to the health and
welfare of the City of Carmel and its citizens.
(b) It is hereby further found that based upon the facts
found by the Carmel Economic Development Commission as evidenced
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in the record of that body's proceedings and particularly in
the "Resolution Reporting on Economic Development Facilities
for Beverly Enterprise~-Indiana, Inc." (which facts are hereby
incorporated by reference) to the proposed facility.will not
have an adverse cempetitive impact on other facilities of the
same kind operating in the applicable market area and (2) the
proposed facility will contribute significantly to the creation
of permanent new job opportunities by the addition of approxi-
mately 38 new jobs.
Section 2. The substantially final forms of the Loan
Agreement, Indenture of Trust, Mortgage and Security Agreement
approved by the Carmel Economic Development Commission are
hereby approved (herein collectively referred to as the
"Financing Agreement" as defined to in I.C. 36-7-12), and the
substantially final forms of the Guaranty Agreement, Official
Statement, Bond Purchase Agreement, Bank Mortgage and Security
Agreement and Land Use Restriction Agreement approved by the
Carmel Economic Development Commission are hereby approved, 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-Treasurer. 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-Treasurer for
public inspection.
Section 3. The City of Carmel shall issue its Economic
Development Revenue Bonds, Series 1983 (Beverly Enterprises-
Indiana, Inc. Project), in the total principal amount not
exceeding Thirteen Million Two Hundred Fifty Thousand Dollars
($13,250,000) and maturing not later than years
from the date of the first maturity and which in no event may
exceed thirty (30) years, 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 Indenture of Trust, Loan Agreement and Mortgage and Security
Agreement incorporated herein by reference, which bonds will be
payable as to principal, premium, if any, and interest from the
payments made by Beverly Enterprises Indiana, Inc. under the
Loan Agreement or as otherwise provided therein and in the
above described Indenture of T~ust. The bonds shall be issued
in registered form, may be issued in denominations of $5,000 or
a multiple thereof, and shall be redeemed as provided in
Article III of the Indenture of Trust. 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 Indenture of Trust.
The bonds shall never constitute a general obligation of, an
indebtedness of, or a charge against the general credit of the
City of Carmel, nor are the bonds payable in any manner from
revenues raised by taxation.
Section 4. The Mayor and Clerk-Treasurer are authorized
and directed to sell such bonds to the purchasers thereof at a
rate of interest on the bonds calculated from time to time in
accordance with Article II of the Indenture of Trust, but not
to exceed
sion Date (as defined
per annum thereafter
case they shall bear
Trust) and at a price not
thereof.
Section 5.
% per annum during the period prior to ~he Conver-
in said Indenture) and not to exceed 30%
(~nless' the bonds become taxable in which
interest as specified in the Indenture of
less than % of the principal amount
The Mayor and Clerk-Treasurer are authorized
and directed to execute, attest, affix or imprint by any means
the City seal to the documents constituting the Financing
Agreement, the Bond Purchase Agreement, the Land Use Restric-
tion Agreement and the Official Statement approved herein on
behalf of the City of Carmel and any other document which may
be necessary or desirable to consummate the transaction,
includihg the bonds authorized herein. The Mayor and'
Clerk-T~easurer are hereby expressly authorized to approve any
modifications or additions to the documents constituting the
Financing Agreement and the Official Statement 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 and the Official
Statement are in substantially final form as of the date of
this Ordinance. The approval of said modifications or addi-
tions 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
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the Common Council by this Ordinance without further considera-
tion by the Common Council. The signatures of the Mayor and
Clerk-Treasurer on the bonds may be either manual or facsimile
signatures. The Clerk-Treasurer is authorized to arrange for
delivery of such bonds to the Trustee named in th~ Indenture of
Trust, payment for the bonds will be made to the Trustee named
in the Indenture of Trust and after such payment the bonds will
be delivered by the Trustee to the purchasers thereof. The
Mayor and Clerk-Treasurer shall execute and the Clerk-Treasurer
shall deliver the bonds to the Trustee within ninety days of
'the adoption of this ordinance.
the date of delivery.
Section 6. The provisions
The bonds shall be dated as of
of this Ordinance and the Mort-
gage and Security Agreement securing the bonds shall constitute
a contract binding between the City of Carmel and the holders
of the Economic Development Revenue Bonds, Ser~es 1983 (Beverly
Enterprises-Indiana, Inc. Project), and after the issuance of
said bonds, this Ordinance shall not be repealed or amended in
any respect which would adversely affect the
holders so long as any of said bends or the
remains unpaid.
Section 7. This ordinance shall be in full force and
from and after its passage and signing by the Mayor.
effect
rights of such
interest thereon
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Passed and
adopted this
CA L CO ON COUNCIL
1983.
Presiding Officer
Attest:
.~
C~!Y k-TreaSurer
Presented by me
thiS ~ day
Approved and signed
to the Mayor of the City of Carmel, on
, 1983, at the hour of f~d ~__.m.
Clerk-Treasur~iz
by me on this /~ day of __~--,
1983.
Mayo~