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HomeMy WebLinkAbout29328 / 78-22. , e FebrU�' 2' 19 � 8 # 2 2 RESOLIP�ION .S� Ther� will be a Initial Resolution relating to Industrial Developmerit Revenue ��::�' fi.�:-:�ir.� or. �-half v� Vali�y i��g, , Inc. � - 22 - � . .. . , � ; . _ , : ., .. ,,,. � x .. , c ;�T , ,�, � � �. e , ' = s, � �'.: y . �...�.,, ., r ._. .-i. ,.,i . �..�.._ a ."*. . %+°H%.:"� Y � . � _�—�-- 1----� raw11078 CITY COUNCIL OF THE CITY OF OSHKOSH, ;9ISCONSIN Resol ution No . aNITIAL RESOLUTI�N � RELATING TO . INDUSTRIAL DEVELOPMENT REVENUE BOND FINANCING ON BEHALF OF VALLEY MFG. , INC. WHERFAS, the City of Oshkosh, Wisconsin (the "Muniei- pality") is a municipal corporation organized and existing under and pursua;�t to the la�as of the State of Wiscon5in and is authorized by Section 66.521 P7isconsin Statntes, as amended (hereinafter sometimes referred to as the "Ac�t"}, ta: (a) issue industrzal development revenue bonds to finance all or any part of the costs of the construction, equipping, reequipping, acquisition, purchase, installation, reconstruction, rebuilding, rehabilitation, improving, supplementing, maintaining, repairing, enlarging, extending or remodeling of a�roject wzich qualifies under the Act and the improvement of the site therefor; anc3 (b) enter into a revenue agreement wit�z an eligible participant pursuant to which the eligible participant agrees to cause said project to be constructed and to pay the Municipality an amount of £unds sufficient to provide for the promp� payment when due of the principal of and interest on said industrial development revenue bonds; and WHEREAS, Valley Mfg., Inc., a Wisconsin corporation and/or O&L Corporation, a.Wisconsin corporation {collectively or alternati.vely the "Company") has been considering undertaking a capital project in the Municipality, and the Company has repre- sented to the Municipality that it would be an enco uragement and inducement for it to proceed if the project could be financed with industr�ia� development revenue bonds; and ,� � WHEREAS, the project would be for the purpose of expanding the Company's facilities for the manufacture and warehousing of residential and commercial cabinetry and re- lated products and would consist of a building addition of approximately 19,900 square feet and necessary fixtures (here- inafter called the "Project"); and %1HEREAS, the Company has estimated that the �ost of the Project woulcl be approximately $365,000 but, with allow- ance for modifications, design changes, and inflation could be as high as $450,000; and WHEREAS, it is in the public interest of the Munici- pality to promote, attract, stimulate, rehabilitate and revita- lize commerce, industry and manufacturing, to promo�e th� better- ment of the env�.ronment and the economy of the Municipality and to stimulate a large flow of private investment fu�ds into the Municipality; and WHEREAS, it is the finding and determination of this body that the Project is a qualified "project" within the meaning of the Act and that the Company is an "eligible participant" within the meaning of the Act; and WHEREAS, it is the finding and det�rminatj�on o£ this body that the Alunicipality would derive public benefits from the Project and its operation by the Company, including by way of illustration but not limitation the following: the provision and retention of gainful eanployment opportuni- L-ies fc�r the citizens of the Municipality; the stimulation of the flow of investment capital into the Municipality with resultant beneficial effects on the economy in the Municipality; and the preservation and enhancement of the Municipality's tax base; and WH�REAS, it is the finding and determination of this body that the public interest will be served if the Munici- pality were to encourage and ind uce the Company to undertake the Project in the Muni.cipality; NOW, THEREFORE, BE IT RESOLVED: 1. �ubject to the conditions specified in para- graph 2, the Municipality shall pursue and consummate a financing having the following elements: (a) The Municipality shall issue industrial develop- ment revenue bonds pursuant to the Act in such amount not in ex,cess of $450,000 as the Company shall request, provided, however, that the actual amount shall not be greater than the then estimated aggregate cost of providing the Project and paying the costs incident to the financing (said bonds being hereinafter called the "Bonds"). -2- r�� . (b) The Bonds �hall be payable solely out of revenues derived trom the Company or otherwise provided for pursuant to the terms ot a lease, sale, loan, installment purchase or similar agreement (hereinafter called the "Revenue Agree- ment" ) to be entered into between the Municipal ity and the Company. (c) The Reuenue Agreement shall require the Company to acquire, construct or install the Project and to provide the Nunicigality with revenues suificient to pay when due the principal of, premium, if any, and interest on the Bonds. (a) The Bonds shall have 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 secured the obiigations of companies having substantially equivalent credit to that of the Company. 2. The issuance of the Bonds by the Municipality shall be on the foll.owing conditions: (a) The Bonds shall not constitute an indebtedness of the Municipality within the meaning of any State constitu- tional provision or statutory limitation. (b) The Bonds shall not constitute or give rise to a pecuniary liability of the Municipality or a charge against its general credit or taxing powers. (�) If the Municipality shall hold title to the Project while the Bonds are Qutstanding, the Company shall be subject to property taxation in the same amount and to the same extent as though Company were the owner of the Project. (d) The Company shall be responsible for finding a purchaser or purchasers for all of the Bends. (e) The out-of-pocket costs in connection with the issuance and sale of the Bonds shall be paid either from the proceeds of the Bonds or by the Company. � t�) Prior to tne issuance of the Bonds: (i) the electars of the Municipality shall have been given the opportunity to petition for a referendum on the matter of the Bond issue as required by the Act; (ii) 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 (iii) this body, by further resolution, shall have authorized and approved the terms ot the Bonds and the Revenue Agreement. -3- �;� csr �`�C'c �y �° rt� - - - -- ,-. ..h.'. � - - - ,;;�s' (g) The Bonds shali be issued pursuant to the Ac�, and the delivery of the Bonds shall be accompanied with the unqualified approvirig legal opinion of Messrs. Foley & Lardner, bond counsel, Milwau3cee, Wisconsin, or such other nationally recognized firm of bond attorneys as shall be acceptable to the Municipality and the Company. 3. The Clerk shall cause notice of adoption of this Resolution to be published once in Oshkosh Daily Northwestern, (the biunicipal}ty's official newspaper, for the publication of notices pursuant to Chapter 985 of the Wisconsin Statutes) in substanti.ally the form attached to this Resolution, and shall cause a copy of such public notice together with a copy of this� Resolution to be filed with the Secretary of Business Development of the State of Wisconsin within 10 days following publication of such notice. 4. This Resolution is an "initial resolution" within the meaning of the Act and a"bond resolution or other similar off icial action" with in the mean ing of Section 1.].03-8 ( a)( 5) of the Treasury Regulations promulgated under Section 103 of the Internal Revenue Code of I954, as amended. 5, This Resolution shaZl be effective immediately upon its passage. Unless the Bonds shall have been issued prior thereto, the authorities and authorizations given by this Resolu- ti.on shall expire on January 1, 1979 or on such later date as this body may specify by resolution adopted either before or after such date. Adopted and recorded January 19, 1978. _,___._Council President M� � C'lerk � -4- _. . - . . .. . - . , . . *� � .M �..� � .,��,. :.. .;,, -a�• ��.�»� 4� i?^�i �`�;'''�+�'.�. -.'"rc..,rYub 'S��`l,K. ,:i F',w a�r' rk�.� � --' .�. A :s:. 1`�- :-.id?�., �,t,.. : . � E!' � � (Form of Notice to be Published by the ClerkJ NOTICE C I7'Y TO ELEGTORS OF THE OF QSHKOSH TAKE NOTICE that the City Council of the City of Oshkosh, Wisconsin, at a lawful meeting held on the 19th day of January, 1978, adopted an initial resolution, pursuant to Section 66.521 of the Wisconsin Statutes, authorizing the issuance of not to exceed $450,000 principal amount of industrial development revenue bonds on behalf of Va11ey Mfg., Inc., a Wiseonsin cor- poration and/or O&L Corporation, a Wisconsin corporation (col- lectively or alternativel.y the "Company'• ). The purpose of the bond issue is to finance the canstruction, acquisition and installation costs.of a project consisting o� a buiiding addition to be located in the City and operated by the Company for the manufacture and warehousing of residential and commercial cabi- netry and related products. THE 80NDS SHALL NOT CONSTITUTE AN INDEBTEDNESS OF THE CITY OF OSHKOSH; NOR SHALL THE BONDS GIVE RISE TO ANY PE- CUNIARY LIABILITY OF THE CITY; NOR SHALL THE BONDS BE A CHARGE AGAIN5T THE GENERAL CREDZT OR TAXING POWER OF THE CTTY. RATHER, THE BONDS SHALL BE PAYABLE SOLELY FROM THE REVENUES AND OTHE12 AMOUNTS DERTVED OR RESULTING FROM A RE�,7ENUE AGREEMENT TO BE ENTERED INTO WITH TH� COMPANY. The aforesaid initial resolution is a public document and may be inspected by any elector of the City at the City Hall, 230 Church Avenue, during business hours. �TAKE FURTHER NOTICE THAT THE ELECTORS OF THE CITY OF OSHKOSH MAY PETITION FOR A REFERENDUM ON THE QUES1^ION OF THE BOND ISSUE. Sect'ion 66.521(10)(d) of the Wisconsin Statutes, pro- vides: "(d) The governing body may issue bonds under this section without submitting the proposition to the electors of the municipality for approval unless within 30 days from the date of publication of notice of adoption of the initial resolution for such bonds, a petition, signed by not less than 5$ o� the registered electors of the municipality, or, if there is no reqistration oP electors in the municipality, by 10$ of the number of electors of the municipality voting for the of£ice of governor at the last general election as determined under s. 115.01(13), is filed with the clerk of the municipality requesting a referendum upon the question of the issuance of the bonds. If such a petition is filed, 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." -S- /s/Converse hiarks City Clerk CERTIFICATIONS BY CLERK I, Converse C. Marks, being first duiy sworn, do hereby epose and certify that I am the duly appointed, gualified and cting Clerk of the City of Oshkosh, in the County of Winnebago, tate of Wisconsin, and as such I have in my possession, or have ccess to, �he complete corporate records ot said City and of its ity Council; that I have carefully compared the transcript ereto attached with the aforesaid corporate records; that said ranscript hereto att�ched is a true, correct and complete copy t all the corporate records in relation to the adoption of esolution No. entitled: INITIAL RESOLUTION RELATING TO INDUSTRIAL DEV$LOPMENT REVENUE BOND FINANCTNG ON BEHALF OF VALLEY MFG.� INC. I do hereby further depose and certify as follows: 1. Said resolution was considered for adoption by the City Council at a meeting held in the City Hall at 7:00 P.t�[, on January 19, 1978. Said meeting was a regular meeting of the City Council and was held in open session in compl.iance with Subchapter IV of Chapter 19 of the t�iisconsin Statutes. 2� Said resolution was on the agen�� for said meeting and public notice thereof was given not less than 24 hours prior to the commencement o� said meeting in compliance with Section �.9.84 0� the Wisconsin Statutes, including, without limitation, by posting on the bulletin board in the City Hall, by notice to those ner�rs inedit3 who have filed a written request for notice of meetings and by notice to the official newspaper of the City. 3. Sch�.efelbein, roll I noted pre�ent: Said meeting was called to order by Kenneth Councii President who chaired the meeting. Upon and recorded that the following Councilmen were and that �he following Councilmen were absent: 0 I noted and recorded that a quorum was present. Various matters and business were taken up during the course of the meeting with- out intervention of any closed session. One of the matters ta�en up was said resolution which was introduced and its adoption -i- i.-- ::ar.. ,�'.�S...s. �� _ <.-..s.� ti��.,. -#� .� r`.wt.- . ".. `�-rrc.rv`� + y .-3 � `[�+ +t, �� • t �-. t: ; 1- .^ - .'___ . ' d'v. m.._:.3. .� ��= ".6:T'"�.s.<_. �.�e� _.+'� �i �.�v-:.�5'1E'r...r 'i,°ke�.1�. T^."_ u, .:"_��%�+*�.... . � was moved by Councilman , and seconded by Councilman Following discussion and after all Councilmen who desired to do so had expressed their views for or against said resolution, the question was called and upon roll being call�d and the continued presence of a quorum being noted, the recorded vote was as follows: , Aye: Nay: Abstain: Whereupon the President declared said resolution adopted, anc3 I so recorded it. 4. I have caused the "Notice to Electors" to be published in the form and place specified in said resolut�on; and I have filed a copy of said notice as published together with a copy of said resolution with the Secretary of the Department of Business Development of the State of Wisconsin within 10 days following the publication of said notice. IN WITNESS WHEREOF, I have signed my name and affixed the seal of the City her�to on this day of , 1978. [Municipal Sea�] STATE OL� WISCONSIN ) � ss COUNTY OF WINNEBAGO ) erk Subscribed and sworn to before me this day, the date last above written. - Notary Public � My commission expires: [Notarial Seal] -ii-- N N � � ci� h-�I � � U] O � � '� � H tz0 4-i � � O }, �`�t f� �—I � cC3 c�d � � ��. + -I-� , �.3 � � O � •r-I v] � � � H r-1 O � � � N O fZ W � tr� � � +� N '� � � .. o � Ei v .,� � F-t �'. td O U .,�i J-� O � �.... _., ,....... •,,.....d..—.�.-Y�_._�.;.�•�,.^ ...,y....��1 I � , _� _...._..._.�,_�._....... � i �1 _ t�'�'Y ' f ��'°�..�..F J ��.�....� ��....��. . .�... � C�- � r-1 N � � Cd � � A � � .. `%- � U � � � ��� U �1 � � .r{ U