HomeMy WebLinkAbout1985-08-12 85-284 RESOLVE85-284
IotYMaCed by Councilor Willey, Awryst 12, 1985
0 1
CITY OF BANGOR
(TITLE) �Rfto Ci dela, rng _t p opoaea.x nce o{ _Revenue
Securities
By cis City CoanoW of Citi of Bas .
BESOLVED,
WHEREAS, Title 10, Chapter 110, subchapter IV of the Maine
Revised Statutes Annotated, as amended, (the Act), authorizes a
municipality to issue revenue obligation securities for the
purpose of acquiring, constructing, reconstructing, renewing and
replacing Within its corporate limits eligible projects, and
WHEREAS, the Act further authorizes a municipality to issue
revenue obligation securities for the purpose of providing
financing for eligible projects, and
WHEREAS, the City of Bangor, Maine (the City) wishes to
encourage and induce Adams -Russell, Inc., a Maine corporation,
(hereinafter referred to as the Company) to become a user of an
eligible project within the meaning of the Act (the Project) in
accordance with the provisions of the Act, and
WHEREAS, the City is the owner of land on which the Project
is to be located (Lot Number 21 of the Airport Industrial Park
Subdivision, 448 Griffin Road, at Bangor International Airport),
which land is leased to the Company, and
WHEREAS, the Project is to be the acquisition and con-
struction of an addition to the electronic component manu-
facturing facility awned and operated by the Company, consisting
of all personal and real property and interest therein necessary
to acquire and construct the Project, including but not limited
to any land or interest in land, buildings, fixtures, machinery
and equipment, and
WHEREAS, the City desires to assist the Company in financing
the Project for the use of the Company, and
WHEREAS, acquisition and construction of the Project have
not commenced, and
WHEREAS, the Act provides that any obligation created by
revenue obligation securities shall in no event Constitute
indebtedness of the City of Bangor, the State of Maine, or any
political subdivision of either.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF BANGOR, MAINE, AS FOLLOWS:
Section 1. That the Project constitutes an eligible project
within the meaning of the Act.
Section 2. That for the purpose of financing the Project,
the City will issue revenue obligation securities (the
Securities), in an amount not to exceed One Million Three Hundred
Thousand Dollars ($1,300,000), the proceeds of which shall be
used to acquire and construct the Project. The Securities shall
bear interest at such rate or rates, shall be initially issued in
such form and denominations, and shall contain such provisions as
may be prescribed by an indenture of trust (the Indenture) to be
entered into by the City and a qualified trust company as
Trustee.
Section 3. That the Securities shall be secured in the
manner to be provided in the Indenture, shall not constitute any
debt or liability or become a pledge of the faith and credit of
the State of Maine, of the City of Bangor, or of any political
subdivision of either but shall be payable solely from revenues
of the Project.
Section 4. That the Company, or any third party which the
Company shall nominate as lessor to lease to the Company a
lessee any property to be used in the Project, or any third party
which the Company shall nominate as lessee to lease from the
Company as lessor any property to be used in the Project, or any
third party which the Company shall nominate as agent of the
Company to develop and manage the Project, is hereby authorized
in its discretion to enter into contracts for the acquisition and
construction of the Project, the casts of which are to be
financed in whole or in part by the proceeds of the Securities.
section S. That all expenses and fees inconnection with
the issuance of the Securities shall be borne by the Company or
may be paid in whole or in part out of the proceeds from the
issue of the Securities.
Section 6. That the city Manager of the City, or such agent
as shall be designated by the City Manger, be, and hereby is,
authorized and directed to prepare and file all applications with
the Finance Authority of Maine as may ben essary under the Act
to obtain authorization to issue the Securities and to take such
further actions as may be necessary or convenient to implement
the provisions of this resolution and to comply with the
requirements of the Act.
Section 7. That the law firm of Eaten, Peabody, Bradford 6
Veague, P.A. be designated bond counsel for the Project.
Section 8. That this resolution shall constitute official
action toward the issuance of the Securities as contemplated by
Regulations under Section 103 of the Internal Revenue Code.
Section 9. That this resolution shall be effective imnedi-
ate Ly. -
in city council august 12,1985
Passed
85-284
RESOLVE
Relating to Proposed lssueance of
Revenue Obligation Securities