HomeMy WebLinkAbout1044CITY OF KENT, WASHINGTON
RESOLUTION NO. /cft1
A RESOLUTION of the City Council of the City of
Kent, Washington, approving the issuance of industrial
development bonds by the City of Kent Economic
Development Corporation for $9,500,000, and approving
Resolution No. 1984-13 of the City of Kent Economic
Development Corporation authorizing the sale of such
industrial development revenue bonds to provide funds
to finance certain industrial development facilities
for Associated Grocers, Incorporated, in the City of
Kent, Washington, and related matters; approving
execution and delivery by the City of Kent Economic
Development Corporation of the Indenture of Trust and
Loan Agreement both dated as of December l, 1984 and
other related financing documents.
WHEREAS, the City of Kent Economic Development Corporation
(the "Issuer") is authorized and empowered by the provisions of
Chapter 300, Laws of 1981 of the State of Washington (Chapter
39.84 RCW) (the uAct•), to issue nonrecourse revenue bonds for
the purpose of facilitating economic development and employment
opportunities and financing all or part of the cost of acquiring
and constructing industrial development facilities in the City
of Kent, Washington (the "City");
WHEREAS, the City is the municipality under whose auspices
the Issuer was created pursuant to the provisions of the Act;
WHEREAS, in order to facilitate economic development and
employment opportunities, Associated Grocers, Incorporated, a
Washington corporation (the •company"), intends to acquire,
construct and rehabilitate certain industrial development
facilities (the MProject•) in the City;
WHEREAS, upon the request of the Company and after due
consideration of the acquisition, construction, rehabilitation
and financing of the Project as promoting the purposes of the
Act and the public purposes of the Issuer, the Issuer by
Resolution No. 1984-_lQ_ proposes to issue and sell its revenue
bonds in the principal amount of $9,500,000 pursuant to the
provisions of the Act for the purpose of assisting in financing
the costs of the Project; and
WHEREAS, Section 6 of the Act requires the Issuer to obtain
the approval of the City prior to issuing its bonds, and Section
10(6) of the Act requires the City to approve by resolution any
agreement by the Issuer to issue bonds and further requires that
the City specifically approve the resolution of the Issuer
providing for the issuance of the bonds no more than sixty days
before the dpte of the sale of the bonds; NOW, THEREFORE,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF KENT,
WASHINGTON, as follows:
Section 1. The establishment, improvement and rehabili-
tation of the Company's warehouse business in the City and the
State of Washington will result in significant benefits to the
City and the State, will contribute to the alleviation of
unemployment in the City and the State, will have a favorable
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impact upon the economy of the City and the State and will
promote the welfare of the citizens of the City and the State.
Section 2. The City approves the issuance and sale by the
Issuer of its nonrecourse industrial development revenue bonds
or other obligations (the "Bonds") pursuant to the provisions of
the Act and further specifically approves the form of Resolution
No. 1984-~ of the Issuer providing for the issuance of its
Bonds in the principal amount of $9,500,000 to assist in fi-
nancing the cost of the Project, together with the costs in-
cident to the authorization, sale, issuance and delivery of the
Bonds.
Section 3. The City approves the form of and the execution
and delivery by the Issuer of the following financing documents,
copies of which are attached to the Issuer's Resolution No.
1984-~:
3.1 Indenture of Trust dated as of December 1, 1984,
among the Issuer, California First Bank as
Trustee, and J. Henry Schroder Bank and Trust
Company as Paying Agent/Registrar;
3.2 Loan Agreement dated as of December 1, 1984,
between the Issuer and the Company;
3.3 Placement Agency Agreement to be dated December
18, 1984, among Seattle-First National Bank as
Placement Agent, the Issuer and the Company;
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3.4 Remarketing Agreement dated as of December 1,
1984, among Seattle-First National Bank as
Rernarketing Agent, the Issuer, the Company,
California First Bank as Trustee, and J. Henry
Schroder Bank and Trust Company as Paying
Agent/Registrar;
3.5 Deed of Trust and Security Agreement among
Associated Grocers, Incorporated, the Grantor,
the City of Kent Economic Development Corporation
and Seattle-First National Bank, the Beneficiary,
dated as of December 18, 1984; and
3.6 Private Placement Memorandum dated December 18,
1984, to be delivered by the Issuer with the
approval of the Company;
together with the Exhibits, if any, thereto and the certificates
and other documents, if any, required thereby (collectively
called the •financing documents•), as to which and to the extent
the Issuer may be required to execute, deliver, issue or approve
such financing documents. The Issuer may make or approve such
additions, modifications and deletions in the financing docu-
ments as are deemed by the Issuer not to be inconsistent with
the purpose of this Resolution and in substantial conformity
with the documents hereby approved and as may be reasonable and
necessary to facilitate the issuance and sale of the Bonds and
the loan of the proceeds thereof to the Company and the accom-
plishment of any matters related thereto.
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The foregoing resolution was adopted by the City Council of
the City of Kent, Washington, and approved by the Mayor, at a
regular open public meeting this 17th day of December, 1984.
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ATTEST:
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FORM APPROVED:
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CITY OF KENT ECONOMIC DEVELOPMENT CORPORATION
RESOLUTION NO. 1984-13
A RESOLUTION of the City of Kent Economic
Development Corporation approving the financing
documents necessary for the issuance and sale by it of
its $9,500,000 Floating/Fixed Rate Industrial
Development Revenue Bonds, Series 1984 (Associated
Grocers Project), and the loan of the proceeds thereof
to Associated Grocers, Incorporated, and authorizing
the execution and delivery of those documents and
bonds by the Chairman and Secretary of the City of
Kent Economic Development Corporation.
WHEREAS, the City of Kent Economic Development Corporation
(the •Issuer•) was created under the auspices of the City of
Kent (the •city•) pursuant to and is authorized and empowered by
the provisions of Chapter 300, Laws of 1981 of the State of
Washington (Chapter 39.84 RCW) (the •Act•), to issue nonrecourse
revenue bonds for the purposes of facilitating economic develop-
ment and employment opportunities and financing all or part of
the cost of acquiring and constructing industrial development
facilities in the City of Kent, Washington; and
WHEREAS, in order to facilitate economic development and
employment opportunities in the City, Associated Grocers,
Incorporated, a Washington corporation (the •company•), intends
to acquire, construct and rehabilitate certain industrial
development facilities in Kent, Washington (the •Project•),
which are located in their entirety within the boundaries of the
City, a description and estimated cost of which are contained in
Exhibit A attached to the Issuer's Resolution No. 1984-9; and
( WHEREAS, the Project has been approved as an •industrial
development facility• under the Act by the Washington State
Department of Commerce; and
WHEREAS, upon the request of the Company and after due
consideration and finding that the Project promotes the purposes
of the Act and the public purposes of the Issuer, the Issuer by
Resolution No. 1984-9 has determined to issue and sell its
revenue bonds (the •Bonds•) pursuant to the provisions of the
Act for the purpose of assisting in financing the costs of the
Project, which Resolution was intended to constitute •some other
similar official action• toward the issuance of the Bonds within
the meaning of Section 1.103-B(a)(S) of the Treasury Regulations
promulgated under Section 103 of the Internal Revenue Code of
1954, as amended (the •code•); and
WHEREAS, the City of Kent, which exercises planning juris-
diction over the area in which the Project is located, by its
Resolution No. _____ , has approved the financing of the Project
by the Issuer; and
WHEREAS, the elected officials of the City, the munici-
pality under whose auspices the Issuer was created, have held in
the manner required by Section l03(k) of the Code a public
hearing on the proposed financing of the Project by the Issuer;
NOW, THEREFORE,
BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE CITY OF
KENT ECONOMIC DEVELOPMENT CORPORATION as follows:
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(
Section 1. To accomplish the purposes of the Act and to
finance a portion of the cost of the Project, the Issuer au-
thorizes the issuance, sale and delivery of its Floating/Fixed
Rate Industrial Development Revenue Bonds, Series 1984
(Associated Grocers Project) (hereinbefore defined as the
•Bonds•) in the principal amount of $9,500,000 in accordance
with the terms of the following financing documents substan-
tially in the form thereof:
a. Indenture of Trust dated as of December l, 1984, among
the Issuer, California First Bank as Trustee, and J.
Henry Schroder Bank and Trust Company as Paying
Agent/Registrar;
b. Loan Agreement dated as of December 1, 1984, between
the Issuer and the Company;
c. Placement Agency Agreement to be dated December 18,
1984, among Seattle-First National Bank as Placement
Agent, the Issuer and the Company;
d. Remarketing Agreement dated as of December 1, 1984,
among Seattle-First National Bank as Remarketing
Agent, the Issuer, the Company, California First Bank
as Trustee, and J. Henry Schroder Bank and Trust
Company as Paying Agent/Registrar;
e. Deed of Trust and Security Agreement among Associated
Grocers, Incorporated, the Grantor, the City of Kent
Economic Development Corporation and Seattle-First
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National Bank, the Beneficiary, dated as of
December 18, 1984; and
f. Private Placement Memorandum dated December 18, 1984,
to be delivered by the Issuer with the approval of the
Company;
together with the Exhibits, if any, thereto and the certificates
and other documents, if any, required thereby (collectively
called the •financing documents•); copies of which financing
documents have been presented to and reviewed by the Board of
Directors of the Issuer and are attached hereto.
Section 2. Based upon the form of legal opinion prepared
by Roberts & Shefelman, bond counsel, and attached hereto, to be
dated, signed and issued substantially in such form simulta-
neously with the issuance of the Bonds, which opinion states in
part that interest on the Bonds will be exempt from federal
income taxation, the Issuer finds that the interest on the Bonds
will be exempt from Federal income taxation, with the exception
of such interest received by a person who, within the meaning of
Section l03(b)(l3) of the Code, is a substantial user of the
Project or related person.
Section 3. The terms of the financing documents speci-
fying, among other things, the terms and conditions of the
issuance of the Bonds by the Issuer; the private placement of
the Bonds by Seattle-First National Bank; the loan of the
proceeds thereof to the Company to finance a portion of the cost
of acquiring and constructing the Project; the repayment of the
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1 loan by the Company; and the remarketing, if any, of the Bonds
I
by Seattle-First National Bank are hereby approved and adopted
by this reference with such additions, deletions and
modifications, if any, as are deemed by the Chairman or Secre-
tary of the Issuer to be not inconsistent with the purposes of
this Resolution and in substantial conformity with the documents
hereby approved and adopted.
Section 4. The Chairman and Secretary of the Issuer are
hereby authorized and directed to execute, for and on behalf of
the Issuer, and deliver to the parties entitled to executed
copies of the same, any and all of the documents described in
Section 3 hereof to which the Issuer is a party or for which and
to the extent its approval is required, with such additions,
deletions and modifications, if any, as are deemed by the
Chairman or the Secretary to be in the best interest of the
Issuer, and consistent with the purposes and substantive terms
of the financing.
Section 5. The Chairman and Secretary of the Issuer are
also authorized and directed to take such additional actions and
to execute and deliver executed copies, for and on behalf of the
Issuer, of all other certificates, documents and other papers
which, in the judgment of the Chairman or the Secretary, are
necessary to the sale, execution, issuance and delivery of the
Bonds, including, without limitation, the execution and delivery
of any documents required to obtain exemption from federal
income taxation for the interest payable on the Bonds, any
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( necessary Uniform Commercial Code financing statements and any
certificates required by the financing documents.
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Section 6. Pending the printing, execution and delivery to
the purchaser of the definitive Bonds, the Issuer may cause to
be executed and delivered to such purchaser a single temporary
Bond in the principal amount of $9,500,000. Such temporary Bond
shall bear the same date of issuance, interest rates, principal
payment dates and terms and covenants as the definitive Bonds,
and shall be issued as a fully registered bond in the name of
such purchaser, and shall be in such form as acceptable to such
purchaser. Such temporary Bond shall be exchanged for the
definitive Bonds as soon as the same are printed, executed and
available for delivery.
ADOPTED by the Board of Directors of the City of Kent
Economic Development Corporation, at a regular meeting this 14th
day of December, 1984.
ATTEST:
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CITY OF KENT ECONOMIC
DEVELOPMENT CORPORATION ------v-1.
By
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(
I, MARIE JENSEN, Secretary of the City of Kent Economic
Development Corporation, certify that the attached copy of
Resolution No. 1984-/~ is a true and correct copy of the
original resolution passed on the 14th day of December, 1984 as
that resolution appears on the Minute Book of the City of Kent
Economic Development Corporation.
DATED this ;y? day of December, 1984.
~~ Secretar
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