County Commissioner Ordinance-December 2010-4.,
Ordinance 2010-�
An Ordinance
Apprwing the Execution of a Lease between the Gibson County Facilities Holding Corporation
and Gibwn County, Indiana, Pledging CouMy EDIT Tax, and Assigning Construc[ion Bids
WHEREAS, the Gibson County Facilities Holding Corporation (the "Holding Corp") is a nonprofrt
corporation organized under the laws ot the State of Indiana tor the purpose of undertaking certain
upgrades to eledrical, mechanical, plumbing, and related systems at the Gibson County Courthouse and
the Gibson County Jail buildings (colledively, the °ProjecC'); and
WHEREAS, the Holding Corp intends to issue bonds in the aggregate amount of One Million Six Hundred
Thousand Dollars ($1,600,000) for the purpose of financing the Project, which would then be leased to
Gibson County, Indiana (the "Counry"); and
WHEREAS, at a meeting held November 16, 2010, the Board of Commissioners of Gibson County,
Indiana (the "Commissioners°) adopted Resolution 2010-06 giving preliminary approval of a Lease
between Gibson County Faciiities Holding Corporation and Gibson County, Indiana (the "Lease"), subject
to final approval after a public hearing; and
WHEREAS, at its meeting held on November 19, 2010, the Holding Corp approved the form of Lease
between Gibson County Facilities Holding Corporation and Gibson County, Indiana (the °Lease"); and
WHEREAS, the Commissioners received construction bids for the Projea on December 2, 2010 (the
"Bids"), a tabulation of which is attached hereto as Exhibit A and incorporated by reference; and
WHEREAS, the Commissioners have had an opportunity to review the Bids, as well as the plans and
specifications for the Projec[; and
WHEREAS, the Commissioners have caused a public hearing on the Lease to be advertised in a manner
consistent with Indiana law; and
WHEREAS, the Commissioners have, on this date, conducted said public hearing on the terms of the
Lease, as well as the merits of the underlying Project, and all interested parties have had an opportun'rty
to be heard; and
WHEREAS, after consideration of the public commenu, the Bids, and the plans and specifications of the
Project, the Commissioners find that a need exists to undertake the Project at this time, so as to avoid
the potentially catastrophic loss associated with electrical and mechanical system malfunctions at the
courthouse building and the potentially high cost associated with emergency repairs of the mechanical
and plumbing systems at the jail building; and
WHEREAS, the Commissioners find that the County does not have sufficient funds on hand to complete
the Project without the issuance of bonds or entering into a lease purchase ar2ngement; and
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WHEREAS, the Commissioners find that the Project is best undertaken by having the Holding Corp build
the Project and lease it to the County pursuant to I.C. § 6-3.5-7-21; and
WHEREAS, the Commissioners find that the terms of the Lease, the Lease rental paymenu, and overall
structure of the Lease transaction are fair and reaso�able; and
WHEREAS, the Commissioners find that the Projec[ and the Lease will serve the public purpose of
Gibson County, Indiana, and that the Projed and the lease are in the best interesGS of the residenu of
Gibson County,lndiana;and
WHEREAS, the Commissioners find that the Project is a project described in I.C. § 6-3.5-7-13.1(c)(1); and
WHEREAS, the Commissioners find that the Project is located within a"Recovery Zone", as defined by
26 U.S.C.A. § 1400U-2, and previously declared by Ordinance 2010-01 of the Commissioners; and
WHEREAS, the Commissioners find that the Project involves: a) capital expenditures to be paid or
incurred with respect to property located in a Recovery Zone, and b) expenditures for public
infrestructure and construaion of public facilities located in a Recovery Zone; and
WHEREAS, the County has received One Million Four Hundred Thirteen Thousand Dollars ($1,413,000)
of Recovery Zone Economic Development Bond volume directly allocated to the County through the
American Recovery and Reinvestment Act of 2009, along with the Four Hundred Thousand Dollars
(5400,000) of Recovery Zone Economic Development Bond volume that has been reallocated to the
County by the Indiana Finance Authority, all for the purpose of financing qualifying projects in a
Recovery Zone; and
WHEREAS, the Holding Corp, as a 501(c�(2�, is eligible to issue Recovery Zone Economic Development
Bond volume on behalf of the County; and
WHEREAS, the Commissioners now wish to give final approval of the Lease, subject to: 1) final
concurrence by the Holding Corp, 2) final concurrence of the Gibson County Council, 3) a lease rental
rate not to exceed Fifty Thousand Dollars (550,000.00) per quarter, payable on the first business day of
each quarter, commencing with the first quarter after the Project is placed in service or January 3, 2012,
whichever is later, and 4) a lease term not to exceed fifteen (15) years from the date the Project in
placed in service; and
WHEREAS, pursuant to I.C. § 6-3.5-7-21, the County Council for Gibson County Indiana (the "CounciY'�,
as the fiscal body for the County, must also approve the execution of the Lease and pledge the Count�s
Economic Development Income Tax revenues for the payment of lease rental payments thereunder.
NOW, THEREFORE, BE IT ORDAINED as follows:
1. All interested parties have had an opportunity to be heard conceming the Lease, iu terms and
conditions, and the underlying Projed.
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2. The terms of the Lease, the Lease rental paymenu, and overall structure of the lease
transac[ion are fair and reasonable.
3. The Project and the Lease serve the public purpose of the County, will provide value to the
public, and are in the best interesu of the residenis of Gibson County.
4. The lease is hereby approved by both the Commissioners and the Council; and the President or
Vice President of the Commissioners is hereby authorized and directed, on behalf of the County,
to execute and deliver the lease in substantialty the form attached hereto as Exhibit B with
such changes in form or substance as the President or Vice President shall approve, such
approval being evidenced by the execution thereof.
5. The rental payments to be made by the County to the Holding Corp pursuant to the terms of the
Lease shall be made at a rental rete not to exceed fifty Thousand Dollars ($50,000) per quarter
beginning on the date the Project is placed in service or January 3, 2010, whichever is later,
through the end of the Lease term.
6. The Commissioners and the Council hereby irrevocably pledge the Count�/s share of the Gibson
County Etonomic Development Income Tax revenue for the payment of the rental obligations
under the Lease, such pledge to be effective without the filing or recording of this Ordinance or
any other instniment.
7. The bonds to be issued by the Holding Corp, on behaff of the County, for the purpose of
constructing the Project shall be irrevocabty designated as Recovery Zone Economic
Development Bonds; and the One Million Four Hundred Thirteen Thousand Dollars ($1,413,000)
of Recovery Zone Economic Development Bond volume diredly allocated to the County through
the American Recovery and Reinvestment Act of 2009, along wkh the Four Hundred Thousand
Dollars ($400,000) of Recovery Zone Economic Development Bond volume that has been
reallocated to the County by the Indiana Finance Authority, will be available to use for such
designation.
8. The Bids are hereby assigned by the Commissioners to the Holding Corp for further action.
9. The Commissioners hereby grent the Holding Corp, as well as its duly authorized agents, right of
entry to the Gibson County Courthouse, the Gibson County Jail, and the appurtenances thereto,
for the purpose of undertaking the Projeci in accordance with the plans and specifications on
file with the Commissioners, including any changes thereto that have been approved by the
Commissioners.
10. This Ordinance shall be in full force and effect after its passage.
Duly PASSED AND ADOPTED this o?�ay of December 2010, by the County Council of Gibson County,
Indiana, having been passed by a vote of f� in favor and D opposed.
County Council of
Gibson County,lndiana,by:
i�
Je my Overton, President
Voting Yea:
Attest:
C
Mary Key, A ' o
Voting Nay:
�L o�5
Duly PASSED AND ADOPTED this � day of December 2010, by the Board of Commissioners of
Gibson County, having been passed by a vote of � in favor and � opposed.
Board of Commissioners of
Gibson County, Indiana, by:
// /��,,,{ f_ n .2+-tTf
Robert Townsend, President
Voting Yea:
�L//�' I L� [.1.5 S f'.'. C�
L!C/!U-I�{ DIY�S'o-c
_��v. �JIL�,fY��rcC:
Attest:
��
, O < � _
ry Key, A ' or
Voting Nay:
..