The URL can be used to link to this page

Home My WebLink AboutCCM-09-12-96 SPECIALCity of Carmel CARMEL CITY COUNCIL MEETING AGENDA THURSDAY, SEPTEMBER 12, 1996 -- 9:30 A.M. COUNCIL CHAMBERS / CITY PI~T,T. / ONE CIVIC SQUARE Meeting Called to Order Approval of Claims a. $457,360.98 b. $195,674.16 c. $56,994.21 d. $31,781.22 Payroll General Claims General Claims Retirement Benefits Resolution CC-09-12-96-01/Approval and Authorization for Certain Actions and Proceedings with Respect to Certain Proposed Economic Development Bonds 3. Adjournment ONE CIVIC SQUARE CARMEL, INDIANA 46032 317/571-2400 C~L CITY COUNCIL MEETING MINUTES MONDAY, SEPTEMBER 12, 1996 -- 9:30 A.M. COUNCIL CNle4BERS / CITY HALL / ONE CIVIC SQUARE Members present: Mayor Brainard; Councilors Kirby, Rundle, Carter, Snyder and Walker. Clerk-Treasurer Cordray and Chief Deputy Wolf also attended. Mayor Brainard called the meeting to order at 9:43 a.m. Approval of Claims: Councilor Walker moved to approve claims as listed on the agenda (agenda items la through ld). Councilor Rundle seconded the motion. All councilors voted AYE. The claims were approved 5-0. New Business: Mayor Brainard introduced Resolution CC-09-12-96- 01/Approval and Authorization for Certain Actions and Proceedings with Respect to Certain Proposed Economic Development Bonds. The mayor then explained the type of business performed by the Telamon Corp. was and how the proposed resolution would affect the company and Carmel. He also explained that economic development bonds are of no cost to the city. Councilor Snyder moved to approve the resolution. Councilor Walker seconded. Richard Starkey of Baker and Daniels, bond counsel for Telamon, thanked the council for calling the special meeting so that Telamon could be placed on the waiting list for the bonds. Mr. Starkey stated the company was waiting on building permits and planned to start construction the following week, assuming the council approved the inducement bond. Mr. Chen, owner of Telamon, explained he wanted to locate his company's headquarters in Carmel because of good traffic and because the company has three facilities in Indianapolis he wants to consolidate. Mr. Chen stated the new building will result in an additional 50-60 employees. Councilor Rundle asked City Attorney Deb Grisham why taxable bonds are included in the package. Ms. Grisham asked Mr. Starkey to address the question. Mr. Starkey stated that these bonds are strictly regulated as to what can/can't qualify for tax-exempt status. A large part of Telamon's facilities don't qualify and so claiming part as taxable from the beginning saves time and money. Councilor Rundle questioned who would have to pay the debt if the company defaulted. City Attorney Grisham stated that the obligation would rest with the company and that the city would incur no obligation. Mr. Starkey added that there was no chance of bondholders claiming lawsuit against the city. City Attorney Grisham agreed that the situation presented little risk for the city. Councilor Carter asked why Alan Potasnik, one of the three members of the Economic Development Commission, voted against allowing Telamon to obtain the bonds. Councilor Rundle stated he thought Mr. Potasnik received the information about Telamon's request just a few moments before the commission's meeting, and that Mr. Potasnik believed he couldn't make an informed decision in that amount of time. Councilor Rundle also stated that construction already had begun at the site. Councilor Walker called for the question. All councilors voted AYE. Resolution CC-09-12-96-01 was approved 5-0. The mayor adjourned the meeting at 10:06 a.m. Attest: