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HomeMy WebLinkAboutResolution-1983-0830 RESOLUTION NO. 830 Series of 1983 TITLE: RESOLUTION SUPERSEDING RESOLUTION NO. 829, SERIES OF 1983, 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. WHEREAS, 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, and WHEREAS, Prime Rate, Inc., a Minnesota corporation, has advised this Council of its desire to form a limited partnership with at least one general partner being Prime Rate, Inc. (the Borrower), which limited partnership will acquire land and construct and furnish thereon a 128 unit motel in the City (the Project); the estimated total cost of the Project to be $5,010,000, and WHEREAS, 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 Borrower 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; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Wheat Ridge, Colorado, that: Section 1. Public Hearing. 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 Resolution No. 830 Page -2- undertake and finance the Project, which public hearing shall be held on February 28, 1983, 7:30 p.m., in City Council Chambers, Municipal Building, 7500 West 29th Avenue, Wheat Ridge, Colorado. The City Clerk shall cause notice of the public hearing to be published twice in the official newspaper of the City, such publications to be at the sole expense of Prime Rate, Inc.; 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 28, 1983, at 7:30 o'clock P.M., at 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 a limited partnership to be formed by Prime Rate, Inc., a Minnesota corporation, with at least one general partner being Prime Rate, Inc. (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. (continued) Resolution No. 830 Page -3- All persons interested may appear and express their views with respect to the proposal to undertake and finance the proposed Project. Dated: " BY ORDER OF THE CITY COUNCIL -)1 - I __ ,I.. /. /-, - Wanda Sang, ( -~t-'7i; Ci ty .)I.l.erk The action of the City Clerk to cause the notice of public hearing to be published on Thursday, February 10, 1983, in the official newspaper of the City, in order that the first publication be not less than fourteen (14 days prior to the hearing, is hereby ratified and approved. Section 2. Soecial 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. Section 3. This resolution supersedes Resolution No. 829, adopted January 24, 1983. DONE AND RESOLVED, this 14th day of February 1983. ~ ~4Af"J7-k- Frank Stites, Mayor ATTEST: I I fj' , f - ~_/ " ,~-/.,--," 'I f' , ~ _ ~ / _ '.-- ,-, Wanda Sang, City 'cy'erk