HomeMy WebLinkAbout33910 / 86-66AMENDED AND RESTATED RESOLUTION
OF THE CITY COUNCIL
OF THE
CITY OF OSHKOSH
RELATING TO THE FINANCING OF AN
INDUSTRIAL PROJECT ON BEHALF OF
CENTRACOR, INC.
An Initial Resolution - authorizing not to exceed
$600,000 City of Oshkosh Industrial Development Revenue Bonds
to finance a manuEacturing facility on behalf of Centracor, Inc.
WHEREAS, Centracor, Inc., a Wisconsin corporation
(herein called the "BOrrower"), desires to construct and equip
a manuEacturing facility in the City of Oshkosh (hereinafter
called the "Municipality"), and such improvement would
contribute to the weli-being of the Municipality in terms of
the gainful employment of its citizens and the preservation and
enhancement of its tax base; and
WHEREAS, in connection with the construction of its
manufacturing facility, the Borrower has represented to the
Municipality that it would be an encouragement and inducement
for the Borrower to construct such facility in the Municipality
if this project could be financed with industrial development
revenue bonds; and
WHEREAS, the project is described as follows: land,
building and equipment which will be used in the manufacturing
facility of the Borrower (herein collectively called the
"Project"); and
WHEREAS, the Project is within the definition of
"industrial project" contained in Section 66.521(2)(k) of the
Wisconsin Statutes; and
WHEREAS, the cost of the Project is presently
estimated to be not greater than $600,000, which is the amount
proposed to be financed with industrial development revenue
bonds; and
WHEREAS, it is in the best interests of the
Municipality to promote, attract, stimulate, rehabilitate and
revitalize commerce, industry and manufacturing, to promote the
betterment of the environment of the Municipality, and to
stimulate the flow oE private investment funds into the
Municipality; and
WHEREAS, on March 6, 1986, this body adopted an
Initial Resolution relating to the Project expressing its
intent to issue industrial development revenue bonds in an
amount not greater than $600,000 on behalf of Centracor, Inc.
to finance building and equipment which will be used in the
manufacturing facility of the Borrower; and
WHEREAS, the Borrower desires to finance with
industrial development revenue bonds the acquisition of the
land on which the Project will be constructed, and desires this
body to amend and restate the Initial Resolution to authorize
the land acquisition; and
WHEREAS, it is the finding and determination oE this
City Council that it is desirable for the Municipality to
encourage the 6orrower to construct its facilities in the
Municipality so that the Municipality may derive substantial
municipal benefits, including retention of steady employment
for its citizens, maintenance of or increase in its tax base
resulting in greater support for municipal services,
stimulation of existing and new businesses and stimulation of
private investment funds from financial institutions; and
WHEREAS, the Municipality, as a municipal corporation
organized and existing under and pursuant to the laws of the
State of Wisconsin, is authorized by Section 66.521 of the
Wisconsin Statutes to:
(1) Construct, equip, acquire by gift,
lease or purchase, install, reconstruct,
rebuild, rehabilitate, improve, maintain,
repair, enlarge, supplement, replace or
remodel defined industrial projects;
(2) Borrow money and issue industrial
development revenue bonds to finance the
costs of the above; and
(3) Enter into revenue agreements with
eligible participants with respect to
industrial projects.
NOW, THEREFORE, BE IT RESOLVED, by the City Council of
the City of Oshkosh, Wisconsin as follows:
1. In view of the aforesaid substantial benefits to
the Municipality associated with the Project, it is desirable
that the Municipality encourage and assist in the development
of such facility by permitting all or a part of the costs of
the Project to be financed with the proceeds of industrial
development revenue bonds pursuant to a Revenue Agreement
between the Municipality and the Borrower.
2. Subject to the conditions enumerated hereafter,
this City Council agrees that the Municipality shall work
toward the consummation of a financing arrangement pursuant to
which the Municipality shall:
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(a) Issue industrial development
revenue bonds in an amount not to exceed the
cost of the Project and not to exceed
$600,000 (the "Bonds") in order to finance
the Project, which bonds shall be payable
solely out of the revenues derived from the
Revenue Agreement relating to the Project;
(b) Enter into a Revenue Agreement
with the Borrower whereunder the Borrower
agrees to pay to the Municipality an amount
of funds sufficient to pay when due the
principal of and interest on the Bonds
issued to finance the Project; and
(c) Provide for maturities and a rate
or rates of interest on the Bonds of
approximately that payable on similar tax
exempt bonds secured by an obligation of
borrowers of equivalent credit to the
Borrower.
3. The aforesaid financing arrangement contemplates
and is conditioned upon the following:
(a) That the Bonds shall never
constitute an indebtedness of the
Municipality within the meaning of any state
constitutional provision or statutory
limitation;
(b) That the Bonds shall not
constitute nor give rise to a pecuniary
liability of the Municipality or a charge
against its general credit or taxing powers;
(c) That the Project shall be subject
to property taxation in the same amount and
to the same extent as though the Project
were not financed with industrial
development revenue bonds;
(d) That the Borrower shall find a
prospective purchaser(s) for all of the
Bonds;
(e) That the out-of-pocket costs,
including any Trustee fees, fees of Bond
Counsel and reasonable attorney fees and
expenses incurred by the Municipality, in
connection with the issuance and sale of the
eonds shall be paid either from the proceeds
of the Bonds or by the Borrower; and
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(f) That the Bonds shall be issued
within one year of the date of this Amended
and Restated Initial Resolution, at which
time this Initial Resolution shall expire
unless this City Council shall provide for
its continued effectiveness.
4. The appropriate officials of the Municipality are
hereby authorized to negotiate the terms oE the plan of
financing and to execute an agreement with the Borrower and the
prospective purchaser(s) of the 8onds setting forth said terms.
5. The Plan of Financing shall not be binding upon
the Municipality nor be finally implemented unless and until:
(a) The terms, details and mechanics
regarding the issuance of the Bonds and the
documents relating thereto are reviewed,
authorized and approved by a further
resolution of this City Council as provided
by law;
(b) The City Clerk shall cause notice
of this resolution to be published once in a
newspaper of general circulation in the
Municipality and the electors of the
Municipality shall have been given the
opportunity to petition for a referendum on
the matter of the issuance of the Bonds as
required by law;
(c) Either no such petition shall be
timely filed or such petition shall have
been filed and said referendum shall have
approved the issuance of the Bonds; and
(d) The Municipality shall hold a
public hearing following 14 days' notice to
the residents of the Municipality affcrding
them a reasonable opportunity to express
their views on the issuance of the Bonds and
the location and nature of the Project.
6. A copy of this resolution, together with a
statement indicating when the notice to electors referred to
herein was published, shall be filed with the Secretary of
Development of the State of Wisconsin within twenty (20) days
following publication of said notice.
7. The intent of this resolution is not to create any
firm or binding obligation on the part of the Municipality
unless the Municipality determines to go forward with the
execution of documents required for this proposed financing
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and, in such event, the Municipality's obligation shall be
limited in the manner set forth in such documents.
S. The City Manager and City Clerk, and either of
them, are hereby authorized on behalf oE the Municipality to
complete, execute and file with the Internal Revenue Service a
statement of election respecting this proposed financing in
accordance with the provisions of Section 103(b)(6)(D) of the
Internal Revenue Code of 1954, as amended, if such filing is
required.
9. The City Clerk is directed, following adoption of
this resolution, to publish notice of such adoption not less
than one time in the official newspaper of the Municipality,
such notice to state that unless within thirty (30) days from
the date of such publication a petition signed by not less than
five percent (5°B) of the registered electors of the
Municipality shall be filed with the City Clerk requesting a
referendum upon the question of the issuance of the Bonds, the
issuance of such Bonds will not be submitted to the electors of
the Municipality for approval. Said notice shall be in
substantially the following £orm:
NOTICE TO ELECTORS
OF THE
CITY OF OSHKOSH
TAKE NOTICE that the City Council of the City of
Oshkosh, Wisconsin, at a special meeting held the �L day of
May, 1986, adopted an amended and restated resolution pursuant
to Section 66.521, Wisconsin Statutes, as amended, indicating
its intent to issue City of Oshkosh Industrial Development
Revenue Bonds on behalf of Centracor, Inc. in an amount not to
exceed $600,000 for the purpose of financing a manufacturing
facility in the City of Oshkosh.
THE BONDS SHALL NEVER CONSTITUTE AN INDEBTEDNESS OF
THE CITY OF OSHKOSH NOR SHALL THE BONDS GIVE RISE TO ANY
PECUNIARY LIABILITY OF THE CITY NOR SHALL THE BONDS BE A CHARGE
AGAINST THE GENERAL CREDIT OR TAXING POWERS OF THE CITY. THE
BONDS SHALL BE PAYABLE SOLELY FROM THE REVENUES AND OTHER
AMOUNTS DERIVED OR RESULTING FROM THE REVENUE AGREEMENT
RELATING TO SAID PROJECT BETWEEN THE CITY OF OSHKOSH AND
CENTRACOR, INC.
The resolution may be inspected by any elector of the
Municipality at the City Hall during business hours during the
thirty (30) days following publication of this Notice.
Unless within thirty (30) days following the
publication of this Notice a petition signed by not less than
five percent (So) of the registered electors of the
Municipality is filed with the City Clerk requesting a
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referendum upon the question of the issuance of the Bonds, the
Municipality will issue the Bonds without submitting the
proposition to the electors of the Municipality for approval.
If such a petition is filed as aforesaid, then the Bonds shall
not be issued until approved by a majority of the electors of
the Municipality voting thereon at a general or special
election.
Donna C. Serwas, City Clerk
x * x
THIS RESOLUTION INTRODUCED, APPROVED AND ADOPTED
MAY �, 1986.
CJ �*-�o� � l.. P'r�.�.//Ll,_
Mayor �
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City Clerk
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