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Home My WebLink About33615 / 85-11,�: RESOLUTION OF THE COMMON COUNCIL OF THE CITY OF OSHKOSH RELATING TO THE FLNANCING OF AN INDUSTRIAL PROJECT FOR Lakeside Plastics, Inc. Resolution Number 11 A❑ Initial Resolu[ion authorizing not to exceed $400,000.00, City of Oshkosh Industrial Development Revenue Bonds to finance the purchase and installation of manuEacturing equipment for use by Lakeside Plastics, Inc.. WHEREAS, Lakeside Plastics, Inc. (hereinafter called collectively and individually as "Company") desire to purchase and install a full coat traffic coqe manufacturing machine for the fabrication or manufacture of products in the City of Oshkosh, Winnebago County (hereinafter called the "Municipality"), and such facility would contribute [o the we11-being of [he Municipality in terms of the gainfut employment of its citizens aad the preservation and enhancement oE its tax base ; and WHEREAS, in connectio❑ with the acquisition and installatio❑ of a full coat traffic cone manufacturing machine, together with incidental electrical structural heating and ventilating ins[allations, the Company has represented to the Municipali[y (hereinafter called the "Project"); that it would be an encouragement and inducement for the Company to locate such facilities i❑ the Mu�icipality if this Project could be financed with industrial development revenue bonds; and WHEREAS, the Project is within [he definition of "industrial project" contained in Section 66.521 (2) (b) of the Wisconsin Statutes; and WHEREAS, ihe cos: of the Project is presen[ly estimated to be ao[ greater than $400,000.00, which is the amount proposed to be financed with industrial development revenue bonds; and WHEREAS, it is in the best in[erests of [he Municipality to promote, attract, stimulate, rehabilitate and revitalize commerce, industry and manufacturing, to promote the bettermen[ of the environment of the Municipality, and [o stimula[e the flow of private investmen[ funds into the Municipali[y; and WHEREAS, the provisions of Section 66.521 (10) (g) of the Wisconsin Statu[es have been complied with; and WHEREAS, it is Che finding and determina[io❑ of [his Common Council that it is desirable for the Muaicipality to encourage the Company [o locate i[s facilities in the Municipality so that the Municipality may derive substantial municipal benefit, Page 1 — 14 — RFSOLUTION # 11 including retention of steady employment for i[s citizens, maintenance of or increase in its tax base resulting in greater support foc municipal services, stimulation of exis[ing and new businesses and stimulation of private investment fu��ds from financial institutions; and WHEREAS, the Municipality, as a municipal corporation organized and existing under and pursuant, to the laws of [he S[ate oE Wisconsin, is authorized by Section 66.521 of the Wisconsin Statutes to: (1) Construct, equip, acquire by gift, lease or repurchase, install, reconstruct, rebuild, rehabilitate, improve, maintain, repair, enlarge, supplement, replace or remodel defined industrial projects; (2) Borrow money and issue industrial developmen[ revenue bonds [o 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 Common Council of the City of Oshkosh, as follows: 1. In view of the aforesaid substantial benefits to the Municipali[y 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 [he Project [o be financed with the proceeds of indus[rial development revenue bonds pursuant to a Revenue Agreement between the Municipality and the Company. 2. Subject [o the conditions enumerated hereafter, this Council agrees that the Municipality shall work [oward the consumma[ion of a financing arrangement pursuant to which [he Municipality shall: (a) Issue industrial development revenue bonds in an amount not to exceed the cost of the Project and not to exceed $400,000.00, (hereinafter called "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 Agreemen[ with the Company whereunder the Company agrees to pay to the Municipality an amount of funds sufficient to pay when due the principal of and interest on the Bonds issued Co finance the Project, a�d requiring [he Company to provide the Project; Page 2 — 15 — RESOI,UTION # 11 (c) Assig❑ [he Revenue Agreement Co holders of Che Bonds or Co a Crus[ee for [heir benefit and enter into any other appropriate arrangements requested by the Company to furthec secure payment of the Bonds; (d) Provide foc maturi[ies and a rate or ra[es of interest on the Bonds of approximately [hat payable on similar tax exempt bonds secured by an obligation of borrowers of equivalenC credit to the Company; (e) Provide for a sale price for the Bonds of no[ less tha❑ the par value Chereof. 3. The aforesaid financing accangement contemplates and is conditioned upon the following: (a) That the Bonds shall never constitu[e an indebted- ness of the Municipality within the meaning of any state constitu[ional provision or sta[u[ory limi[ation; (b) That the Bonds shall not constitute ❑or give rise [o a pecuniary Liability of [he Municipality or a charge against i[s general credi[ 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 the industrial development revenue bonds; (d) That the Company shall find a prospective purchaser(s) for all of the Bonds; and (e) That the out-of-pocket costs, including any Trustee fees, fees of Bond Counsel and reasonable attorneys fees and expenses incurred by the Municipality in connection with the issuance and sale of the Bonds, shall be paid either from the proceeds of Che Bonds or by the Company. 4. The appropciate officials of the Municipality are hereby authorized to negotiate the terms of the Plan of Financing and to execute an agreemen[ with [he Company and the prospective purchaser(s) of the Bonds setting forth said terms. 5. The Plan of Financing shall ❑ot be binding upon the Municipality nor be finally implemented unless and until: (a) The terms, de[ails and mechanics regarding the issuance of the Bonds and [he documents rela[ing thereto are reviewed, authorized and appzoved by a Page 3 - 16 - a RESOLLFrION # 11 further resolutio❑ of this Council as provided by law; (b) The City Clerk shall cause notice of Chis Resolution to be published o�ce in Che Oshkosh Nocthwestern, a newspaper of general circulatio❑ in the Municipality, and Che elec[ors of the Municipality shall have been given [he oppor[uni[y to petition for a referendum on the ma[[er of Che issuance of the Bonds as required by law; and (c) Either no such petition shall be timely filed or such pe[ition shall have been filed and said referendum shall have approved [he issuance of the Bonds. 6. A copy of this Resolution, together with a statemen[ indicating when the notice to electors referred to herein are published, shall be filed with the Secretary of Business Development of the Sta[e of Wisconsin within twenty (20) days following publication of said no[ice. 7. The intent of this Resolution is not to create any firm or binding obligation on the part of the Municipality unless the Municipality detetmines to go forward with the execution of documents required for this proposed financing and, in such event, the Municipality's obligatio❑ shall be limited in Che manner set forth in such documents. 8. The City Manager and City Clerk, and either of them, are hereby authorized on behalf of the Municipality to complete, execute and file with the Internal Revenue Service a statement of election respecting this proposed financing i❑ 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 [his Resolution, [o publish notice of such adoption not less than one time in the Oshkosh Northwestern, the official newspaper of the Municipality, such notice to state that unless withi❑ thirty (30) days from the date of such publication a petition signed by not less than ten percent (107,) of the ❑umber of electors of the Municipality voting for the office of Governor at the last ge�eral election as determined under Sec. 115.01 (13) of the Wisconsin Statutes 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 no[ be submitted to the electors of the Municipality for approval. Said notice shall be in substantially the following form: Page 4 �M� RFSOUJTION # 11 NOTICE TO ELECTOKS OF THE CITY OF OSHKOSH TAKE NOTICE, Tha[ the Commo❑ Council of Che City of Oshkosh, Winaebago County, at a regulac meeting held on October , 1985, adopted a resolution pursuant to Section 66.521, Wisconsin Statutes, as amended, indicating its in[ent [o issue City of Oshkosh Industrial Development Revenue Bonds (Lakeside Plastics, Inc. - 1985 Project) in an amount ❑ot to exceed $400,000.00 for the purpose of financing a full coat traffic cone manufacturing machine to be used by Lakeside Plastics, Inc., as a part oY a ma�ufacturing and production facility in the City of Oshkosh. THE BONDS SHALL NEVER CONSTIT[1TE 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 LAKESIDE PLASTICS, INC.. The Resolution may be inspec[ed by any elec[or of the City of Oshkosh at the office of the City Clerk during business hours during the thirty (30) days following publication of this Notice. The office of the City Clerk is located at City Clerk, City of Oshkosh City Hall, 215 Church Avenue, Oshkosh, Wis. 54903. Unless within [hirty (30) days following the publication of this Notice a petition signed by not less than [en percent (10%) of the number of electors of the Municipality voCing for the office of Governor at the last general election as determined under Sec. 115.01 (13) of the Wisconsin Statutes is filed with the City Clerk requesting a referendum upon the question of the issuance of the Bonds, the City will issue the Bonds without submitting the proposition to the electors of the City for approval. If such a petition is filed as aforesaid, [hen the Bonds shall not be issued until approved by a majority of [he electors of the City voting thereon at a general or special election. THIS RESOLUTION INTRODUCED, APPROVED AND ADOPTED ON October , 1985. Ms. Uonna c� �erwas City Clerk Page 5 �� APPROVED �-�� o >,c� �-r � � rr �� o n 2 r�p �. � to ,�, � � r= w F . �. � � f'� � �:: � << s� �_. . ...._... ._._..�.__. _... .._.. . __.. 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