HomeMy WebLinkAbout1022RESOLUTION NO. !O~d--
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.
HHEREAS, the City of Kent Economic Development
Corporation has proposed pursuant to its Resolution No. 1984-6, a
copy of which is attached hereto as Exhibit A, to issue
nonrecourse industrial development revenue bonds to finance the
cost of the acquisition, construction and installation of certain
industrial development facilities (the "Project") for H&H Company
and its lessee, Continental Mills, Inc., located in the City of
Kent, Washington~ and
HHEREAS, Chapter 300 of the Laws of 1981 of the State of
Washington (Chapter 39.84 RCW) here requires that such a proposal
to issue nonrecourse industrial development revenue bonds be
approved by the City of Kent inasmuch as the City exercises
planning jurisdiction over the area in which the Project is
located~ and
WHEREAS, the City Council of the City of Kent finds that
all City planning requirements for the Project have been satisfied
and the financing of the Project should be approved under RCW
39.84.060~ and
WHEREAS, more specific approval of the financing of the
Project will be requested of the City as the municipality under
the auspices of which the City of Kent Economic Development
Corporation was created; NOW, THEREFORE,
BE IT RESOLVED BY THE CITY COUNCIL OF ~HE CITY OF KENT,
WASHINGTON AS FOLLOWS:
Sectiion 1. The financing of the Project as proposed by
the City of Kent Economic Development Corporation in its
Resolution No. 1984-6 is hereby approved.
Section 2. This resolution is intended solely to
constitute approval of the issuance of revenue bonds within the
meaning of RCW 39.84.060 of the Act. This approval shall not in
any way be deemed to be a review or final approval of any
building, development or other permit for the Project which may be
in process, or may be submitted at a future date.
Passed at a regular meeting of the City Council of the
City of Kent \'Jashington this /:5 day of ~ 1984.
Concurred in by the Mayor of the City of Kent, this ~
day of ~~ 1 l984o
·J ~~y~----
ATTEST:
APPROVED AS TO FORM:
I hereby certify that this is a true and correct copy of
Resolution No. /<J?..Q?-, passed by the City Council of the City of
Kent, Washington, the ~-day of )t::u-?-~ , 1984.
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CITY OF KENT ECONOMIC DEVELOPMENT CORPORATION
RESOLUTION NO. l__!lE:.!f-:-b
A RESOLUTION of the City of Kent Economic
Development Corporation determining to sell bonds to
provide funds to finance an industrial development
facility for H & H Company and its lessee, Continental
Mills, Inc .• within the City of Kent, Washington, and
determining related matters.
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 •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. H & H Company, a Washington partner-
ship, and its lessee Continental Mills, Inc., a Washington
corporation (collectively, the •company•), intend to acquire and
construct an industrial development facility (the •Project•)
within the City of Kent, a description and estimated cost of
which is 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
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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 opportuni-
ties 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
practicable 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-B(a)(S).
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
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resolution is to satisfy the requirements of such regulations;
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 $1,200,000 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
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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
construction of the Project and advance such funds as may be
necessary therefor. subject to reimbursement for all
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expenditures to the 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 con-
stitute •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 •
. ADOPTED by the Board of Directors of the City of Kent
Economic Development Corporation at a reqular·open public meet-
ing this 1st day of June, 1984 •.
ATTEST:
CITY OF KENT ECONOMIC DEVELOPMENT
CORPORATION
~~ Secretar~
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EXHIBIT A
Construct 32.000 to 42.000 square feet of warehouse space, which
may have manufacturing equipment at a future date, at 7851 South
192nd Street, Kent, Washington. Estimated cost: $1,200,000
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I, /l7fl ~ te ~AL3<Z. ,J - , Secretary of the City of Kent
Economic Development Corporation, certify that the attached copy
of Resolution No.H8~-~is a true and correct copy of the
original resolution adopted on the ~ day of z:ijor0 ~ ,
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 LL day of -~-7""~~~-----' 1984.
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