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HomeMy WebLinkAboutResolution-1983-0829 RESOLUTION NO. 829 Series of 1983 TITLE: RESOLUTION ESTABLISHING A PUBLIC HEARING FOR CONSIDERATION OF AN INDUCEMENT RESOLUTION RELATING TO PROPOSED INDUSTRIAL DEVELOPMENT REVENUE BONDS FOR A PROJECT TO BE UNDERTAKEN BY PRIME RATE, INC. BE IT RESOLVED by the City Council of the City of Wheat Ridge, Colorado (the Ci ty), as follows: Section 1. Recitals. 1.01. The legislature of the State of Colorado, in the County and Municipality Development Revenue Bond Act, Title 29, Article 3, C.R.S. 1973, as amended (the Act) has found and declared it to be a public purpose for municipalities to promote industry and develop trade or other economic activity by inducing profit or non-profit corporations, federal governmental offices, hospitals, and agricultural, manufacturing, industrial, commercial, or business enterprises to locate, expand, or remain in this State, to mitigate the serious threat of extensive unemployment in parts of this State, to secure and maintain a balanced and stable economy in all parts of this State, and to further the use of its agricultural products or natural resources. 1.02. Prime Rate, Inc., a Minnesota corporation (the Applicant) has advised this Council of its desire to acquire land and construct and furnish thereon a 128 unit motel in the City (the Project). The estimated total cost of the Project is $5,000,000. 1.03. The City is authorized by the Act to issue revenue bonds for the purpose of defraying the cost of financing, acquiring, improving, and equipping any "project" including any land, building, or other improvement and all real or personal properties, whether or not in existence, suitable or used for or in connection with commercial enterprises. The Applicant has requested that the City issue its revenue bonds in the approximate principal amount of $3,800,000 to finance the cost of the Project. Section 2. Public Hearing. 2.01. Section 103 of the Internal Revenue Code of 1954, as amended by Section 215 of the Tax Equity and Fiscal Responsibility Act of 1982, requires that the issuance of the revenue bonds must be approved by the applicable elected representative of the City after a public hearing following reasonable public notice. Pursuant to that Section, this Council shall conduct a public hearing on the proposal to undertake and finance the Project, which public hearing shall be held on , 1983, at 7:30 o'clock, p.m., City Council Chambers, Municipal Building, 7500 West 29th Avenue, Wheat Ridge, Colorado. Resolution No. 829 Page 2 2.02. The City Clerk shall cause notice of the public hearing to be published twice in the official newspaper of the City, the first publication to be not less than fourteen (14) days prior to the date fixed for the hearing, such notice to be in substantially the following form: NOTICE OF PUBLIC HEARING ON A PROPOSED PROJECT AND THE ISSUANCE OF INDUSTRIAL DEVELOPMENT REVENUE BONDS UNDER THE COUNTY AND MUNICIPALITY DEVELOPMENT REVENUE BOND ACT, TITLE 29, ARTICLE 3, C.R.S. 1973, AS AMENDED CITY OF WHEAT RIDGE, COLORADO NOTICE IS HEREBY GIVEN that the City Council of the City of Wheat Ridge, Colorado, will meet on February 14 1983, at 7:30 o'clock p.m., in City Council Chambers, Municipal Building, 7500 West 29th Avenue, in Wheat Ridge, Colorado, for the purpose of conducting a public hearing on a proposal that the City issue revenue bonds or notes (whether bonds or notes, hereinafter, the Bonds) under the County and Municipality Development Revenue Bond Act, Title 29, Article 3, C.R.S. 1973, as amended, in order to finance the cost of a project on behalf of Prime Rate, Inc., a Minnesota corporation (the Borrower). The proposed project will consist of the acquisition of land and the construction and furnishing thereon of a 128 unit motel in the City (the Project). The estimated total amount of the proposed bond issue is $3,800,000. The Bonds shall be special, limited obligations of the City and the principal of and interest on the Bonds shall be payable solely out of the revenues derived from the financing of the Project. The Bonds and interest coupons, if any, appurtenant thereto shall never constitute the debt or indebtedness of the City within the meaning of any provision or limitation of the State Constitution, statutes, or home rule charter, and shall not constitute nor give rise to a pecuniary liability of the City or charge against its general credit or taxing powers. Such limitation shall be plainly stated on the face of each Bond. All persons interested may appear and express their views with respect to the proposal to undertake and finance the proposed Project. Dated: January 24, 1983. BY ORDER OF THE CITY COUNCIL Wanda Sang City Clerk (continued) Resolution No. 829 Page 3 Section 3. Special Obligation. In all events, it is understood, however, that the principal of and interest on the revenue bonds issued to finance the Project shall be payable solely out of the revenues derived from the financing of the Project. The bonds and interest coupons, if any, appurtenant thereto shall never constitute the debt or indebtedness of the City within the meaning of any provision or limitation of the State Constitution, statutes, or home rule charter, and shall not constitute nor give rise to a pecuniary liability of the City or charge against its general credit or taxing powers. Such limitation shall be plainly stated on the face of each bond. Done and resolved this 24th day of January , 1983. 4~Ld~J'fJ,z ~ Frank Stites, Mayor ATTEST: Wanda Sang, City