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HomeMy WebLinkAboutResolution-1981-0730 llliSOLUTIOU 1m. 730 Series of 1931 TITLE: A Resolution Agreeing to Issue Industrial Development Bonds to finance a Project for Kipling Ventures, Ltd. riHEREAS, the City of riheat Ridge (the "City"), state of Colorado, is authorized by the County and Municipality Development Revenue Bond Act, ~itle 29, Article 3, Part 1, C.R.S. 1973, as amended (the "Act"), for the benefit of the inhabitants of the State and for the promotion of their health, safety, welfare, convenience, and prosperity, to finance one or more projects, including any land, building or other improvements and all necessary and appurtenant real or personal properties suitable for manufacturing, industrial, commercial, agricultural, or business enterprises, upon such conditions as the City Council of the City may deem advisahle; and WHEREAS, the City is further authorized by the Act to issue its revenue bonds or other obligations for the purpose of defraying the cost of financing any such project; and WHEREAS, representatives of Kipling Ventures, Ltd., a Colorado Limited Partnership, (the "User") met with officials of the City and have advised the City of the User's interest in developing land within the City as a site for constructing and equipping an office building thereon, which will be leased to KKBNA Engineers and others as office space and for other business and commercial purposes (the "project") subject to the willingness of the City to finance the Project by the issuance of industrial development revenue bonds or other obligations pursuant to the Act; and WHER~AS, the User has represented to the City that the Project has been designed to qualify as a "project" within the meaning of the Act; and WHEREAS, the City has considered the User's proposal and has concluded that the economic benefit to the City will be substantial due to an increase in employment and the promotion of industry and development of trade and other economic activity within the City; and riHEREAS, the City has hereby determined that issuing its industrial revenue bonds for the Project will benefit the health, welfare, safety, convenience, and prosperity of the inhabitants of the City; and ~HEHEAS, the City wishes to proceed with the financing of the Project, subject to the conditions herein contained; and ~HEREAS, the proposed issuance of the industrial development revenue bonds and the execution of related financing documents are not prohibited by any ordinances or rules ot the City; NOW, THEREFORE, BE IT RESOLVED BY THE C[TY COUNCIL O~ THE CI~Y OF WHEAT RIDGE, COLORADO: Section 1. In order to induce the User to complete the Project wi'thin the City, the City shall take all steps necessary or advisable to effect the issuance of industrial development revenue bonds or other obligations (the "Bonds") in a maximum aggregate principal amount of $5,500,000. This Resolution is and constitutes the taking of affirmative official action by the City toward the Resolution do. 730 -2- issuance of the 8onds. The ~onds and the financin1 documents relating to said Bonds shall be subject to the terms and conditions of a Memorandum of Agreement to be entered into between the City and the User. No costs are to be borne by the City in connection ~ith the issuance of the Bonds. Section 2. The terms and conditions of the Bonds and of the financIng-documents relating to said Bonds or other obligations ~ill De mutually agreed upon by the City and the User, and prior to their execution, such documents will be subject to authorization by Ordinance of the City Council pursuant to law and any ordinance or rules of the City and said financing documents shall provide that the Bonds shall be secured by a first encumbrance on the Project. The issuance of the Bonds is subject to final approval by an ordinance duly enacted by the City Council of the City of Wheat Ridge approving the terms and conditions thereof. Section 3. The User has agreed to provide for reimbursement-of aTl expenses incurred or to be incurred by the City related to the User's Project. Section 4. Neither the Bonds, including interest and any premiums thereon, nor anything contained in this Resolution shall constitute a debt or indebtedness of the City ~ithin the meaninq of the Constitution or statutes of the State of Colorado, nor give rise to a pecuniary liability of the City or a charge against its general credit or taxing powers. The 30nds shall be payable solely from and secured by a pledge of the revenues derived from and payable pursuant to the financing documents referred to in Section 2 hereof. Section 5. All commitments by the City made herein are subject to~he-Condition that on or before one year from the date hereof, the City and the User shall have agreed to mutually acceptable terms for the Bonds or other obligations provided for hereunder, in an amount not to exceed $5,500,000, and for the sale and delivery thereof. Section 6. The form of the Financing Agreement presented to the City CouncIl shall be approved by the City Attorney. The ~ayor and the City Clerk of the City are authorized to execute the Financing Agreement on behalf of the City, with such changes as the City Attorney may approve. The Mayor of the City, City Clerk, City Attorney, and other officers and agents of the City are hereby authorized to initate and assist in the preparation of such documents as may be appropriate to the Bonds. Section 7. This Resolution shall be effective for a period of one year from the date of its adoption. DON8 AND RESOLVED this 9th day of March 19tH. , - --.. ~ _._'--___~~,"_"L.,L_ (J ~__ Frank Stites, Mayor A1rTES r: ../~ .. ., . ;:::::i _~ / <",0- d7.' . /. '" ' ~_,-~..LJ.Y:'.L__ -~ - Carol F. ua-iif'pf, Ci t; ~k