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HomeMy WebLinkAbout1057CITY OF KENT, WASHINGTON RESOLUTION NO. /0~1 A RESOLUTION of the City Council of the City of Kent, Washington, approving the proposal of the City of Kent Economic Development Corporation to finance certain industrial development facilities to be located in the City of Kent. WHEREAS, the City of Kent Economic Development Corporation has proposed pursuant to its Resolution No. 1984-12, a copy of which is attached hereto as Exhibit A, to issue nonrecourse industrial development revenue bonds to finance the cost of acquiring, constructing and installing certain industrial development facilities (the •project•) for Cascade Development Company, located in the City of Kent, Washington (the •city•); and WHEREAS, Chapter 300 of the Laws of 1981 of the State of Washington (Chapter 39.84 RCW) requires that such a proposal to issue nonrecourse industrial development revenue bonds be approved by the City inasmuch as the City exercises planning jurisdiction over the area in which the Project is located; and WHEREAS, the City Council of the City finds that all City planning requirements for the Project have been or reasonably may be expected to be satisfied and that the financing of the Project should be approved under RCW 39.84.060; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF KENT, WASHINGTON, that the financing of the Project as proposed by the City of Kent Economic Development Corporation in its Resolution No. 1984-12 is hereby approved. The foregoing resolution was adopted by the City Council of the City of Kent, Washington, and approved by the Mayor, at a special open public meeting this 29th day of April, 1985. :::> 7 Mayor ( ATTEST: ~~ City Cler FORM APPROVED: 1645k - 2 - I, MARIE JENSEN, City Clerk of the City of Kent, Washington, certify that the attached copy of Resolution No. 1057 is a true and correct copy of the original Resolution passed on the 29th day of April, 1985. DATED this 29th day of April, 1985. CITY OF KENT ECONOMIC DEVELOPMENT CORPORATION RESOLUTION NO. / ':/~·'/ -/.?- A RESOLUTION of the City of Kent Economic Development Corporation determining to sell bonds to provide funds to finance an industrial development facility for Cascade Development Company, within the City of Kent, Washington, and determining related matters. WHEREAS, the City of Kent Economic Development Corporation (the •rssuer•) is authorized and empowered by the provisions of Chapter 300, Laws of 1981 of the State of Wash1jngton (Chapter 39.84 RCW) (the "Act"), to issue nonrecourse revenue bonds for the purposes of facilitating economic development and employment opportunities and financing all or part of the cost of acquiring and constructing industrial development facilities within the City of Kent, Washington; and WHEREAS, in order to facilitate economic development and employment opportunities, Cascade Development Company, a Washington corporation (the "Company"), intends to acquire and construct an industrial development facility (the "Project") within the City of Kent, a description and estimated cost of which are contained in Exhibit A attached hereto and made a part hereof; and WHEREAS, the Company has requested the Issuer to issue and sell its revenue bonds pursuant to the provisions of the Act for the purpose of assisting in financing the costs of the Project; and WHEREAS, the Issuer desires to assist the Company by issu- ing and selling revenue bonds and lending the bond proceeds to the Company to assist in paying the costs of the Project, thereby promoting economic development and employment oppor- tunities within the City of Kent and the State of Washington; and WHEREAS, it is considered essential that acquisition and construction of the Project be completed at the earliest prac- ticable date, but the Company wishes to begin construction of the Project only after receiving satisfactory assurances from the Issuer that the proceeds from the sale of revenue bonds of the Issuer in an amount necessary to pay the costs of the Project will be loaned to the Company to assist in financing the Project; and WHEREAS, the Issuer considers that the acquisition and construction of the Project, and the financing of the same, will promote the purposes of the Act and the public purposes of the Issuer; and WHEREAS, Treasury Regulations Section 1.103-8(a)(5), adopted under Section 103 of the Internal Revenue Code of 1954, as amended, requires that, in order for interest on industrial development bonds to be exempt from federal income taxation, the issuer of such bonds must adopt a bond resolution with respect to such bonds or take some other similar official action toward the issuance of such bonds prior to the commencement of con- struction or the acquisition of the Project being financed with the proceeds of such bonds, and one of the purposes of this - 2 - resolution is to satisfy the requirements of such regulation; NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE CITY OF KENT ECONOMIC DEVELOPMENT CORPORATION as follows: Section 1. The establishment and expansion of the Company's manufacturing business within the City of Kent 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 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. To insure the construction and acquisition of the Project, with the public benefits resulting therefrom, the Issuer will issue and sell its nonrecourse revenue bonds or other obligations (the "Bonds") pursuant to the provisions of the Act in a principal amount of not to exceed $3,750,000 to assist in financing the cost of the Project described in Exhibit A together with the costs incident to the authorization, sale, issuance and delivery of the Bonds. Section 3. The proceeds of the Bonds will be used to assist in financing the construction and acquisition of the Project. Section 4. The Bonds will be payable solely from both the revenues derived as a result of the Project funded by the Bonds, including, without limitation, amounts received under the terms - 3 - of any financing document or by reason of any additional secur- ity furnished by the Company in connection with the financing of the Project, and, if necessary, from money and other property received from other private sources. The Bonds shall bear such rate or rates of interest, payable at such times, shall mature at such time or times, in such amount or amounts, shall have such security, and shall contain such other terms, conditions and covenants as shall later be provided by the Board of Directors of the Issuer. Section 5. The Bonds shall be issued subject to the condi- tions that (a) the Issuer, the Company and the purchaser of the Bonds shall have first agreed to mutually acceptable terms for the Bonds and the sale and delivery thereof and mutually accept- able terms and conditions of the loan or other agreement for the Project, (b) all governmental approvals and certifications and findings required by the Act and other laws applicable to the Bonds first shall have been obtained, and (c) the Company shall have agreed to reimburse the Issuer for all fees and costs incurred by the Issuer in connection with or by reason of the financing of the Project and to pay such other reasonable expenses of the Issuer or the City of Kent in enabling this financing to be accomplished. Section 6. The Company is authorized to commence construc- tion of the Project and advance such funds as may be necessary therefor, subject to reimbursement for all expenditures to the - 4 - extent provided herein and only out of proceeds. if any. of the issue of Bonds herein authorized. Section 7. It is intended that this resolution shall constitute •some other similar official action• toward the issuance of the Bonds within the meaning of Section 1.103-8(a)(5) of the Treasury Regulations promulgated under Section 103 of the Internal Revenue Code of 1954. as amended. ADOPTED by the Board of Directors of the City of Kent Economic Development Corporation at a regular open public meet- ing this 6th day of December. 1984. ATTEST: 1023c CITY OF KENT ECONOMIC DEVELOPMENT CORPORATION - 5 - EXHIBIT A PROJECT DESCRIPTION Construct a 153,000 square foot warehouse facility for the storage and distribution of grocery and related items, appurte- nant office space, and truck and rail service facilities. The project is located at the 19000 Block of 64th Avenue South, Kent, Washington. Estimated cost of the project is $3,750,000. 1023c 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 adopted on the 6th day of December, 1984, as that resolution appears on the Minute Book of the Corporation, and that such resolution has not been amended, modified or rescinded since the date of its adoption, and is now in full force and effect. DATED this ~ day of ·r, 1023c