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Home My WebLink About30470/ 79-26November 15, 1979 # 26 RESOLLTPiON There will be an Initial Resolution to issue Industrial R�venue Bonds pursuant to Section 66.521 of the Wisconsin Statutes to Hydrite Chanical Co. for the purpose of acquiring land and �nstnicting and �,;t�oing a manufacturing and distributinq facility in the Gity of Oshkosh, at a total �st of not to exceed $1,500,000.00. �.., _ . _ _, _.,.. ",�;z �-. !I -26- CITY OF OSHKOSfi, WISCONSIN INITIAL R�SOLU'1'ION REGI�RDING INDUSTRIAL D�VELOPf1ENT REVENUE BONDS WHEREAS, the City of Oshkosh, Wisconsin (the "City"), is authorized by Section 66.521, Wisconsin Statutes, as amended (the "Act"), to, among other powers,�(i) construct, equip, re-equip, acquire by gift, lease or purchase, install, recon- struct, rebuild, rehabilitate, improve, supplement, replace, maintain, repair, enlarge, extend or remodel industrial projects, (ii) enter into revenue producing agreements for the same in order to promote the right to gainful employment, business opportunities and general welfare of its inhabitants and to preserve and en- hance its ta;c base, (iii) borrow money and issue bonds to finance costs related to such industrial projects, wliich bonds are to be payable solely out of the revenues derived pursuant to the revenue agreement pertaining to the project to be financed by the bonds so issued and, in the event of default of sucii agree- ment, as may be authorized by this Council and perr�itted by law, and wliich bonds ma}� be secured by a mortgage and/or security interest in Che project or oCher security; and WHEREAS, Hydrite Chemical Co., a Vvisconsin corporation (the "Company") has represented to the City that the Cempany has acquired land in the City and needs to have constructed and equipped tnereon an industrial facility (which land, building and financed equipm�nt are herein called the "Project") for initial use in connection with the manufacture and distribution of chemicals and related service, manufacturing and storage activities; WHEREAS, the Company expects that such acquisition, con- struction, equipping and related improvements will be for an estimated cost not to exceed $1,500,000; and kias 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 oi the Project through the issuance by the City of its industrial development revenue bonds pursuant to the Act. NOW, THEREFORE, BE IT RESOLVED by this CM ommon Council of the City of Oshkosh: (1) In view of the cocisicler��t�le benefits to be derived by tlie City from thc development of the Project in the City, and to induce and encouraae�the und rtak;,,q�f_the Project in the City, the Citf intends to consummate a Project Financing Agreement pursua�it to which the City shall -z- (a) issue, sell and deliver to purchasers procured by the Company or_by a nartnership to k G. Gradv. Arthur O. Svo others (cahich CompanV or partnership is herebv referred to as the "Participant") industrial development revenue bonds in an aggregate amount not to exceed $1,500,000 in order to finance costs related to the Project which bonds shall be payable solely from the revenues derived from a revenue agreement with respect to the Project and in the event of default of such aareement, as may be authorized by this Council and permitted b� 1aca; (b) acquire part or all of the Project, if necessary and nroper pursuant to such Project Financing Aqreement; (c) enter into a revenue agreement with the Participant �.�ith respect to at least tnat part ot the Project financed b�- industrial revenue bonds, providing revenues sufficient *<� pay principal of, and interest on, the bonds when due, �r^�:�iding for construction, acquisition and/or installa- tion of part or all of the Project by thenParticipant and which may further provide for the right of tnenParticipant to acquire any part of the Project which the City shall have acquired prev�ously, for the aggregate amount equal to the amount required to retire all the outstanding bonds plus One Do11ar ($1) or such other sum as nay be reauired_by law; (d) assign the revenue producing agreement and pledge the revenues and other amounts therefrom to the bond'nolders or to a trustee under an indenture of trust and enter into such other appropriate arrangements which may be deemed " necessary, if any, including but not limited to, the qranting o£ a mortgage and/or securi�y interest in part or all of the Project, in order to further secure oayment of principal of, premium, if any, and interest on the bonds. (2) The Bonds issued to finance costs of the Project shall never constitute an indebtedness of the City within the meaning of any state constitutional provision or statutory limitation and shall not constitute or give rise to a pecuniary liability of tne City or a charge against its general credit or taxing powers. (3) If the City owns any part of the Project, taxes shall be assessed to the user of such �art of the Project in the same manner and amount as thoug� such user owned such part. (9) Tlie appropriate officials of the CiCy are hereby authorized to negotiate the terms of the Project Pinancing nqrec- ment, i:evenue ��roducing agreement, any itistrumenCs of. co�lveyance, indenture of trust, if any, and any other documents required to properly complete the financing provided that all such terias, documents and procedures shall be subject to the conditions of tltis P.esolution and the provisions of tlte Act and sliall not be binding unless and until: �- (a) the details of the Project Financing Agreement and all documents pertinent thereto are reviewed, autho- rized and approved by resolution of this Council; (b) tile 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 the Act; (c) either no such petition sha11 be timely filed or such petition shall have been so filed and said refer- endum shall have approved the bond issue; and (d) a11 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 tnis Resolution as a class 1 notice under Chapter 985, Wis. Stats., (relatiny to publication of official notices) in the official necaspaper of tne City in substantially the form attached to this Resolution. (6) The City Clerk is hereby directed to file with the Secretary of Business Develooment of the State of Wisconsin a copy of this Resolution together with a copy of the public notice of its adoption withi_n ten days following publication of such r�otice. Z�dopted 1979 l�pproved ty Cler 1979 City r7anager NOTIC� TO ELECTORS OF THE CITY OP OSHROSH WINP7EBAG0 COUNTY, WISCONSIN TAKE NOTICE tha:. thenCo;nmon Council o£ the City of Oshkosh, Winnebago County, `vVisconsin at a lawful meeting held on the day of , 1979, adopted an initial resolution, pursuant to Section 66.521 of the Ydisconsin Statutes, as a::ended, setting fortn ttie intent of the City: (1) to issue industrial development revenue bonds in an amount not to exceed 51,500,000 for the purpose of financing costs related to the acyuisition ot land in the City by Hydrite Chemical Co., a ?:'isconsin corporation, or a partnership to be formed initia�'- �acluding Jefin A. Hon};amp, P�lichael R. Honicamp Duane G Gradv ??-thur G. Svohoda and Louis S. Winter and possiblv others �Y;iiich corporation or partnership is herein referred to as the Participant) and construction and equipping�on such land of an industrial facilit� to be initially uscd in connection with the manufacture and distribution of chemicals and related service, manufacturing and storage activities and (2) to enter ir.to a revenue agreement with�the Par ;;pant.with respect to sucn financing. THE BOVDS SHALL B� PAYABLE SOLELY FROi�i THE REVENUES AND OTHER AA':OUNTS DERIV�D OR RESULTING FROM A iZEVEIdUE AGF�EEDiENT WITH RESPECT TO TfiE FINANCED PROJECT OR, IN THE �VENT OF DEFAULT OF SUCH AGREENIENT, AS 0^1IiEP.StiISE AUTHORIZED BY THE CITY OF OSfii:OSH AiQD °ER,'�1ITTED SY LAW. THE BONDS SEAI,L IQOT CONSTImUTE AI� INDEBTEDtdESS OF THE CITY OF OSfiKOSH 49ITHIPI THE DIEANING OF ANY STATE CONSTITUTIONAL PROVISION OR STATUTORY LIi�1ITATION, AND SAALL NOT CONSTITUTE OR GIVE RISE TO A PECUNIARY LIABILITY OF THE CITY OR A CHARG� AGAINS: ITS GENEi2AL CREDIT OR TAYING P060ER5. The resolution may be inspected by any elector of tne City at the office of the City Clerk, Oshkosh, Wisconsin during business hours. The bonds will be issued without submitting the pr000sition to the electors of the City for approval unless within 30 days from the date of puulication of this notice a petition, signed by not less than 5°s of the reaistered electors of the City, is filed with the City Clerk rea,uesting a referendum upon the question of the issuance of tne bonds. If such petition is filed, the bonds shall not be issued until approved by a majority of the electors of the City voting thereon at a general or special election. Dated , 1979. City Clerk . � N � I � � � rl O i� W .� � � H 'Li � � W • 0 0 � c, a� � �� a�� ,w. ro�� o a� •� � � a � a� �� oroo ,-I ,-I N Fi N � � N ri V] •r� O � F-i �v2 �d 27 ��p N � ✓� t .n � (Z H 'S,' �J � a 0 b ¢ 0 E � O .� � O � ti v � ¢ � v .� Sa Sa � U � ti � fi � � x � s, a� a� � � � � > ,� o ,� z �