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Home My WebLink About32152 / 82-06November 4, 1982 U 6 RESOiATION PURPOSE: INITIAL RESOLUTION FOR INDUSTRZAL DEVELOPMENT REVENUE BONDS INITIATED BY: PEPSI-COLA BOTTL.ING C0. OF OSHfCOSH, TNC. BE IT RESOLVED by the Common Council of the City of Oshkosh that the following attached initial resolution regarding Industrial Development Revenue Bonds for Pepsi-Cola Bottling Co. of Oshkosh, Inc. in an amount not to exceed $6,000,000.00 is hereby approved. SUBMITTED BY APPROVED � 1 I CITY OF OSHKOSA, WISCONSIN INZTIAL RESOLUTION REGARDING INDUSTRIAL DEVELOPMENT REVENUE BONDS WfiEREAS, the City o£ Oshkosh, Wisconsin (the "City"), is authorized by Section 66.521, Wisconsin Statutes, as amended (the "Act"), to, among other powers, (i) construct, equip, reequip, acquire by gift, lease or purchase, install, reconstruct, rebuild, rehabilitate, improve, supplement, replace, maintain, repair, enlarge, extend or remodel industrial and manufacturing projects and facilities to provide service activities including ware- housing, storage and distribution which are directly related to such projects, (ii) enter into revenue producing agreements for the same in order to promote the right to gain£ul employment, business opportunities and generai weifare of its inhabicants and to preserve and enhance its tax base, (iii) borrow money and issue bonds to £inance costs related to such projects, which bonds are to be payable solely out of the revenues derived pur- suant to the revenue agreement pertaining to the project to be financed by the bonds so issued and, in the event of default of such agreement, as may be authorized by this Council and per- mitted by law, and which bonds may be secured by a mortgage and/or security interest in the project or other security; and WHEREAS, Pepsi-Cola Bottling Co. o£ Oshkosh, Inc., a Wisconsin corporation ("Pepsi-Cola of Oshkosh"), has represented to the City that it is investigating the acguisition o£ land in the City and the construction and equipping of a building thereon to be used in connection with the business o£ producinq, bottling, warehousinq and distributinq so£t drinks (which acquisition, construction, equippinq and related improvements are herein called the "Froject") for an estimated cost not to exceed $6,000,000; and has had negotiations with the City as to the feasibility of undertaking the Project in the City or elsewhere and as to the financing of part or all of the costs o£ the Project through the issuance by the City of its industrial development revenue bonds, in one or more series, pursuant to the Act; and WHEREAS, Pepsi-Cola o£ Oshkosh has indicated that one or more of Robert J. Pennau, Steven B. Pennau, Donald J. Pennau, Richard R. Pennau, Richard R. Pennau II and Sharon Sterne (the "Individuals") and/or Pepsi-Cola o£ Oshkosh (the Individuals and Pepsi-Cola of Oshkosh hereinafter individually or as part of any combination, joint venture or partnership called the "Company") would enter into a revenue agreement or agreements with the City with respect to the financing; and WHEREAS, Pepsi-Cola of Oshkosh and/or two or more of the Individuals, jointly and severally or severally, will undertake to pay the City funds suf£icient to provide for prompt payment . � of principal and interest on such bonds when issued and will agree to cause the Project to be completed; NOW, THEREFORE, BE IT RESOLVED by this City Council of the City o£ Oshkosh: (1) In view o£ the considerable benefits to be derived by the City from the development of the Project in the City and to induce and encourage the Company to undertake the Project in the City, the City intends to consummate a project financing agree- ment or agreements pursuant to which the City shall: (a) issue, se11 and deliver to purchasers procured by the Company industrial development revenue bonds, in one or more series, in an aggregate amount not to exceed $6,000,000 in order to finance costs related *_o the Project, which bonds sha11 be payable solely £rom the revenues derived £rom a revenue agreement or agreements with respect to the Project and in the event o£ default of such agreement(s), as may be authorized by this Council and permitted by law; (b) acquire part or all of the Project, i£ necessary and proper pursuant to such project financing agreement or agreements; (c) enter into a revenue agreement or agreements with the Company with respect to at least that part of the Project financed by industrial revenue bonds, providing revenues su££icient to pay principal of, and interest on, the bonds when due, providing for completion of part or all of the Project by the Company, and which may further provide for the right o£ the Company to acquire any part of the Project which the City shall have acquired previously, for the aggregate amount equal to the amount required to retire a11 the outstanding bonds plus One Dollar ($1) or such other sum as may be required by law; and (d) assign the revenue producing agreement or agree- men*_s and pledae the revenues and other amounts therefrom to the bondholders or to a trustee under an indenture or indentures of trust and enter into such other appropriate arrangements which may be deemed necessary, i£ any, includ- ing but not limited to, the granting o£ a mortgage andjor security interest in part or all of the Project, in order to further secure payment of principal of, premium, i£ any, and interest on the bonds. (2) The bonds issued to £inance costs of the Project shall never constitute an indebtedness of the City within the meaninq of any state constitutional provision or statutory limitation and shall not constitute or give rise to a pecuniary liability o£ the City or a charge against its general credit or taxing powers. -2- (3) I£ the City owns any part of the Project, taxes sha11 be assessed to the user of such part of the Project in the same manner and amount as though such user owned such part. (4) The appropriate of£icials o£ the City are hereby author- ized to negotiate the terms of any project financing agreements, revenue producing agreements, instruments of conveyance, indentures of trust, if any, and any other documents required to properly complete the financing provided that all such terms, documents and procedures shall be subject to the conditions of this Resolu- tion and the provisions of the Act and shall not be binding unless and until: (a) the details of any project financing agreement and all documents pertinent thereto are reviewed, authorized and approved by resolution of this Cour.cil; (b) the electors of the City shall have been given the opportunity to petition for a referendum on the matter of the a£oresaid bond issue as required by the Act; (c) either no such petition shall be timely £iled or such petition shall have been so £iled and said re£erendum shall have approved the bond issue; and (d) all documents required in connection with the financing shall have been duly executed by the parties thereto and delivered to the extent required. (5) The City Clerk is hereby directed to publish notice of adoption of this Resolution as a class 1 notice under Chapter 985, Wis. Stats., (relating to publication of official notices) in the newspaper of the City in which the City's official notices are published pursuant to such chapter in substantially the form attached to this Resolution. JTW79:D Adopted Approved -3- 1982 City Clerk , 1982 City Manager � � � =tC � � � � � � �� a � �' roo •rI U J�� o W i o � � i � �•�� aam m � � Nroo � o� o +� 0 ¢ N 0 .� � � N N � � � � � � � � � � r-i U � � y � �y U z° � �