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85-3821 Intent Issue Warta Buick IRBRESOLUTION NUMBER 85-3821 A RESOLUTION 'EXPRESSING THE INTENTION OF THE CITY OF SALINA, KANSAS, TO ISSUE REVENUE BONDS IN THE AMOUNT OF NOT TOE XCEED $150,000 FOR THE PURPOSE OF FINANCING THE COST OF PURCHASING, CONSTRUCTING, FURNISHING AND EQUIPPING AN AUTOMOBILE BODY SHOR. FACILITY FOR WARTA BUICK, INC. WHEREAS, the City of Salina, Kansas (the "City") , a body politic and corporate and a political subdivision of the State of Kansas, is authorized and empowered by the provisions of the Kansas Statutes Annotated, Sections 12-1740 et seq. , as amended (the "Act") , to finance a project, as that term is defined in the Act,',and to issue its revenue bonds for the purpose of paying the cost of financing a project; and, WHEREAS, Warta Buick, Inc., a Kansas corporation (The "Applicant"), has requested the City the City to issue its revenue bonds pursuant to provisions of the Act for the purpose of financing the cost of purchasing, constructing, furnishing and equipping an automobile body shop facility, including real estate, buildings and improvements (the "Project"), in an aggregate amount not to exceed $150,000; and, WHEREAS, it is intended that the Project will be leased to and operated by Applicant; and, . WHEREAS, the Bonds, if issued by the City, would be payable solely out of the rents, revenues and receipts derived from the leasing of the Project from the City to the Applicant; and, WHEREAS, the City has, in- accordance with the requirements of Section 103(k) of the Internal Revenue Code of 1954, as amended, published notice in the official newspaper of the City on December 7, 1985, that it would hold a public hearing on December 23, 1985, at 4:00 p.m. in the City Commission Chambers to consider the issuance of the bonds; and, WHEREAS, the City did hold such public hearing hereinbefore referred to on December 23, 1985, to consider the issuance of the bonds, SO NOW, THEREFORE BE IT RESOLVED by the Governing Body of the City of Salina, Kansas: Section 1. That the Governing Body of the City hereby finds and determines that the issuance of its revenue bonds to finance the costs of the Project will be in furtherance of the public purposes set forth in the Act, and that the Project will promote the welfare of the City. Section 2. That the Governing Body of the City hereby approves the Project for t— he implication to be financed out of the proceeds of approximately $150,00.0 principal amount of Revenue Bonds of the City to be issued pursuant to the Act. Section 3. That the City officials are hereby authorized and directed to proceed with the necessary negotiations relating to said Project and the preparation .of the legal documents relating thereto for final action by the Governing Body of the City. Section 4. The Bonds will be issued with the express condition that the Applicant will waive any ad valorem property tax exemption which would otherwise be available to the Project under K.S.A. 79-201(a) Second, as amended, or will agree to a satisfactory payment in lieu of taxes. Section 5. In the event the Bonds are not ultimately issued for any reason, the City shall not be obligated to have assumed or incurred any liability or obligations 'to.the Applicant or any other party by virtue of this resolution or by virtue of any proceedings or action taken in connection therewith, or in reliance thereon. Adopted by the Board of Commissioners and signed by the Mayor this 23rd day of December, 1985. [SEAL] ATTEST: Merle A. Hodges, M.D., Mayor D. L. Harrison, City Clerk