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Home My WebLink About31559 / 81-18r COMMON COUNCIL OF TH� CITY OF OSHKOSH Resolution No. i,�. INITIAL RESOLUTION REGl1RDING INDUSTRIAL DEVELOPMENT REVENUE IIONDING ON BEHALF OF CIi11MC0, INC. WHEREAS, Chamco, Inc. (hereinafter "Company") has been considering acquiriny real estate, constructing and equipping a new facility for the manufacture, storage and distribution of products of manufacture in the City of Oshkosh, Winnebago Cowity, Wisconsin fhereinafter, the "City"); and, WHEREAS, such a facility would contribute to the 9ainful employ- ment, business opportunities and qeneral welfare of the City's citizens and the preservation and enhancement of its tax base; and, WHEREAS, in considering acquiring a site for constructing and equipping such a facility, the Company has represented to the City that it would be an encouragement and an inducement for the Company to locate these facilities in the City if the project could be financed with industrial development revenue bonds; and, WHEREAS, the proposed project is to acquire approximately 10 acres ot reai estate, construct a building thereon of approximately 24,000 square feet of floor space, and equip the same for conductiny the business of manufacturing and distributing candles, an3 other sim- ilar products (hereinafter the "Project") at a cost of not to exceed $350,000; and, WtIEREAS, it is in the best interest of the City to promote, attract, stimulate, retiabilitate and revitalize commerce, industry, and manufacturiny; to promote the betterment of the envirorunent and tlie economy of the City; and to stimulate the flow of private invest- n�ent into the community: and, WIiEREAS, it is the finding and determination of this Common Council that it is in the best interest of the City to encourage and induce the Company to proceed with the Project in the City in order L-o provide and retain gainful employment £or its citizens; stimi:late private investment in the community; preserve and enhance its taa base; and otherwise promote the general welfare of its inhabitants; and, WIfER�AS, the City, as a municipal corporation organized and existing under and pursuant to the laws oE the State of Wisconsin, is authorized by Section 66.521(3) of the Wisconsin Statutes to, in addition to the exercise of ot}ier po�aers: (a) Construct, equip, reequip, acquire by qift, lease, or purchase, install, reconstruct, rebuild, rehab- ilitate, improve, supplement, replace, maintain, repair, enlarge, extend or remodel industrial projects. (b) Borrow money and issue revenue bonds to finance all or any part of the costs of the construction, equipping, reequipping, acquisition, purchase, installation, recon- struction, rebuildiny, rehabilitation, improving, supple- menting, replacinq, maintainin9, repairing, enlarging, extending or remodeling of industrial projects and the improvement of sites therefor. (c) Enter into revenue agreements with eligible part- icipants with respect to industrial projects. WHEREAS, *_he Co�pany gursuaiit tc SecLion 66.52i(16)(g) of the Wisconsin Statutes has filed with the Clerk of the City and with the Wisconsin Department of Business Development a document which pro- vides a good faith estimate of attorneys' fees which would be paid fram the proceeds of the industrial revenue bonds; NOW, THEREFORE, BE IT RESOLVED, by the Honorable Common Council of the City of Oshkosh as follows: 1. Subject to the conditions enumerated in Paragraph 2, below, this Common Council agrees that the City shall work toward the con- sununation of a Plan of Financing pursuant to which the City shall: (a) Issue industrial development revenue bonds in an amount equal to the cost of the Project, not to exceed $350,000 (hereinafter the "Sonds"), in order to finance said Project. Said Bonds shall be payable solely out of the revenues derived from the Company pursuant to the terms of a lease, sale, loan, installment purchase, ox similar agree- ment (hereinafter the "Revenue Agreement"); (b) Enter into a Revenue Agreement with the Company whereby the Company agrees to construct the Project and to pay the City an amount of funds sufficient to pay, when due, the principal of and interest on the Sonds so issued for the Project; (c) Structure a sale of the Bonds with such maturities, interest rates, and redemption features as the Company shall propose, provided that such terms shall be substantially similar to the terms of similar bonds securing the obliyations of companies having substantially eguivalent credit worthiness of that of the Company. � � 2. The aforesaid Plan of Financing contemplates and is conditioned upon the followiny: (a) That the Bonds shall never constitute an indebted- ness of the City 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 City 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 Company shall tind a.purchaser ror aIl of the Bonds; and (e) That the out-of-pocket costs, including any trustee fees, in connection with the issuance and sale of the Bonds shall be paid either' from the proceeds of the Bonds or by the Company. � 3. The appropriate officials of the City are hereby authori2ed to negotiate the terms of the Plan of Financing and to execute an ayreement with the Company and the prospective purchaser(s) of the IIonds settiny forth said terms. 4. The Plan of Financing shall not be legally binding upon the City nor be finally implemented unless and until: (a) The City C1erk shall have caused notice of this resolution to be published once in a newspaper of general circulation in the City and the electors of the City shall have been given the opportunity to petition for a referendum on the matter of the aforesaid bond issue as required by law; and (b) Either no such petition shall be timely filed or such petition shall have been filed and said referendum shall have approved the bond issue; and (c) The details and mechanics of the Plan of Financing are authorized and approved by a further resolution of this Common Council. 5. 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 City, such notice to state that unless witltin 30 3ays from the date of adoption of this resolution a petition sie7ned by not less than five percent (5€) of the registered electors of the City shall be filed with the City Clerk requestiny a referendum upon the question of tl�e issuance of the Bonds, the issuance of such Bonds will not be submitted to the electors of the City for approval. Said notice shall be in substantially the form attached as Exhibit A and incorporated herein by reference. 6. This Resolution is an "initial resoiution" within the meaning of Sect3on 66.521(2)(g), Wisconsin Statutes, and a'"bond resolution or other similar official action" witliin the meanin� of Section 1.103-8(a)(5) of tlie Treasury Regulations promulgated under Section 103 of the Internal kevenue Code of 1954, as amended. It shall be effective immediately upon its passage and approval and remain effective until Auyust 31, 1984, or until such later date as this Common Council may specify by further resolution. Adopted this day of , 1981. Converse C. Marks City Clerk City of Oshkosh, Wisconsin NOTICE TO ELEC'tORS OF THE CITY OF OSHKOSH TAKE NOTICE that the Common Council of the City of Oshkosh, Winnebago County, Wisconsin, at a lawful meeting held on the day of 5eptember, 1981, adopted a resolution pursuant to Section 66.521 of the Wisconsin Statutes, authorizing the issuance of not to exceed $350,000 principal amount of City of Oshkosh Industrial Revenue Bonds on behalf of Chamco, Inc. (hereinafter the "Company"). These Bonds are for the pur.pose of constructing a building upon land in the City of Oshkosh for use in the business of manufacturing, storing and distributing candles,and other similar products. THE BONDS SHALL NOT CONSTITUTE AN INDEBTEDNESS OF TFIE CITY OF flSHKOSk NOR SIiALL THE BONDS GIVE RISE TO ANY PECUNIARY LIABILITY OF THE. CITY OF OSHKOSH NOR SHALL THE BONDS BF. R CHARGE AGRINST THF GENEEtr'1L �REDI'P C1;u 'rf'1y,Ii3C PO'++ER OF ^iriE CZTY, 1tATHr:k� 'i'HE 130ND5 SHALL BE PAYABLE SOLELY FFOM THE REVENUES AND OTfiF.R 11MOUNTS UERIVED FROM A REVENUE AGRP•.EMENT TO BE ENT�RED INTO SPITH THE CObtPItNY. The initial resolution may be inspected by any elector of the City of Oshkosh during business hours of the City Clerk, during the thirty (30) days next following publication of this notice. T1tiKF. FURTfiGR NOTICE TIIAT THE ELECTORS Or TFi� CITY OF OSHKOSH MAY PETITIOPI POit A REFERENDUM ON THE QUES'CION OF THE E30ND ISSUE. Section 66.521(10}(d}, �Jisconsin Statutes providesc "(d) The governing body may issue bonds under this section without suUmitting the proposition to the electors of the municipality for approval unless within 30 days from the date oE publicatian of notice of adoption of the Y initial resolution for such bonds, a petition, signed by not less than 5 percent of the re9istered electors of the municipality, or iF there is no registration of electors in the municipality, by 10 percent of the number of electors of the municipality voting £or the office of qovernor at the last yeneral election as determined under Section 115.01(13): is filed o-�.ith the Cle.rk o.f. _ the municipality requesting a referendum upon the question ' oE the issuance of the bonds. If such a petition is filed, the bonds shall not be issued until approved by the majority of the electors of the municipality voting thereon at a general or special election." Converse C. Marks City Clerk City Hall Oshkosh, WI Sn901 GXHIBIT "A" � / y ` ��/SX-��/ � � � � ror� 1� M [� H 41 � � � � 31 � W 'J , � f.' W '. + .. O +� O ,c�-'. 'd +� � U � c� � � � � F�i o a .c o � v � � �a � x a� s� � o � u�w ro ca c �.� N O � � � •� -.i rt � +� C •.� O O H S-i W � � � � _x o� , : u � l \� U r . r� " 7v 1� N c U A N ., +� +� �� S�+ �. 0, � � A