HomeMy WebLinkAbout1983-032-02/15/1983-A RESOLUTION PROVIDING FOR THE ISSUANCE OF CITY OF FORT COLLINS, COLORADO INDUSTRIAL DEVELOPMENT REV CERTIFIED RECORD
OF
PROCEEDINGS OF THE COUNCIL OF
THE CITY OF FORT COLLINS , COLORADO
RELATING TO A RESOLUTION
PROVIDING FOR THE ISSUANCE OF ITS
INDUSTRIAL DEVELOPMENT REVENUE BONDS
(ANHEUSER-BUSCH, INCORPORATED PROJECT)
SERIES 1983
Table 83
wi-bkd rawY% rorv%
Fl9en9co�- a/► 5163
STATE OF COLORADO )
COUNTY OF LARIMER ) ss
CITY OF FORT COLLINS )
The Council of the City of Fort Collins, Colorado, held a
regular meeting at Council Chambers, City Hall , 300 LaPorte
Avenue, Fort Collins, Colorado, on Tuesday, the lst day of
February, 1983 , at the hour of 5 30 p m
The following persons were present
Council Members Gary Cassell, Mayor
John Knezovich, Assistant Mayor
E John Clarke
William Elliott
Gerald Horak
Norman Miller
Elery Wilmarth
City Manager John Arnold
City Clerk Wanda Kra]icek
The following persons were absent
Council Member introduced the
following Resolution, which was read by title, copies of the
full Resolution having been available in the office of the City
Clerk at least forty-eight (48) hours prior to the time said
Resolution was introduced for each Council Member and for
inspection and copying by the general public
-1-
RESOLUTION 83- 32
A RESOLUTION PROVIDING FOR TFE ISSUANCE OF
CITY OF FORT COLLINS , COLORADO, INDUSTRIAL
DEVELOPMENT REVENLE BONDS (ANHEUSER-BUSCH,
INCORPORATED PROJECT) , SERIES 1983, FOR
THE PURPOSE OF FINANCING MANUFACTURING,
INDUSTRIAL AND BUSINESS FACILITIES AND
AUTHORIZING THE PREPARATION OF DOCUMENTS
AND INSTRUMENTS RELATING THERETO
WHEREAS, the City of Fort Collins , Colorado (the
Municipality) , acting through its Council (the Council) , is
authorized by the provisions of part 1 of article 3 of title 29,
Colorado Revised Statues 1973 , as amended (the Act) , to finance,
refinance, acquire, own, lease, improve, and dispose of
properties to the end that manufacturing , industrial and
business enterprises will locate, expand or remain in the
Municipality, and the Municipality is further authorized thereby
to issue revenue bonds for the purpose of defraying the costs of
financing , refinancing , acquiring , improving , and equipping such
properties, and
WHEREAS, Anheuser-Busch, Incorporated, a Missouri
corporation (the Company) , proposes to acquire, construct and
install a manufacturing, industrial and business facility
consisting of three brew kettles and three mash cookers for use
in connection with a brewery (the Pro)ect) , located within, or
within eight miles from the nearest point of the corporate
limits of, the Municipality, and
WHEREAS, the Company has represented to the Municipality
that the Project will qualify as a "project" within the meaning
of the Act, and
-2-
WHEREAS, the Company has requested the Municipality to issue
and sell its revenue bonds (the Bonds) pursuant to the
provisions of tte Act for the purpose of financing a portion of
the cost of the Project, and
WHEREAS, the Municipality considers that the financing of
the Project will promote industry and aevelop trace or other
economic activity by inducing the Company to locate and expand
its industrial and business enterprise and remain in the
Municipality, thereby securing and maintaining a balanced and
stable economy in the Municipality, that to do so will promote
the public health, welfare and safety of the Municipality and
its citizens, and that the Project will maintain and increase
employment opportunities within the Municipality, and
WHEREAS, prior to the issuance of the Bonds the Municipality
will consider and approve by ordinance the final details of the
Bonds and will authorize and approve, subject to the conditions
of this Resolution, all acts and the execution of all documents
and instruments necessary or desirable in connection with the
issuance thereof
BE IT RESOLVED BY THE COUNCIL OF THE CITY OF FORT COLLINS,
COLORADO, THAT
Section 1 The Council hereby finds, intends, and declares
that this Resolution shall constitute its official binding
commitment to issue the Bonds, subject to the terms hereof and
thereof, and that the adoption of this Resolution is and
constitutes the taking of affirmative official action by the
-3-
Municipality, acting by and through the Council, toward the
issuance of the Bonds
Sect-on 2 In order to --cure the completion of the Project
and the public benefit which is expected from the operation
thereof , the Municipality, subject to the terms and conditions
of the Memorandum of Agreement between the Municipality and tl-e
Company attached hereto as Exhibit A (the Memorandum of
Agreement) and by this reference made a part hereof , will issue
the Bonds pursuant to the provisions of the Act in an aggregate
principal amount necessary to pay a portion of the cost of
financing the Project, together with the costs incident to the
authorization, issuance, and sale of the Bonds, which Bonds will
not exceed in aggregate principal amount the sum of $1,000,000
Section 3. The Bonds shall bear such interest rate or
rates, be in such denominations, bear such date or dates, mature
or become payable on such date or dates , be in such form, carry
such registration privileges, be executed in such manner, be
payable at such place, and be subject to such terms of
redemption or prepayment consistent with the Act as shall be
authorized and approved by ordinance of the Council adopted
prior to the issuance of the Bonds.
Section 4. Any mortgage , trust indenture, deed of trust,
lease, sublease, installment purchase agreement, loan agreement,
security agreement, rental agreement, option to purchase, or
other agreement or security device, or any combination thereof,
entered into in connection with the financing of the Project
(the Financing Agreements) , and any other documents relating to
-4-
the Project and the Bonds shall also be authorized and approved
prior to the issuance of the Bonds
Section 5 The proceeds of the Bonds will be used to pav a
portion of the cost of financing the Project The major
components of the Project are described in a schedule attached
hereto as Exhibit B and by this reference made a part hereof
Section 6 The Municipality will enter into mutually
agreeable Financing Agreements with the Company with respect to
the Project as more fully described in the Memorandum of
Agreement
Section 7 The form of the Memorandum of Agreement is
hereby approved, and the Mayor and the City Clerk are hereby
authorized and directed to execute the Memorandum of Agreement
on behalf of the Municipality
Section 8 The entire cost of financing the Project will be
paid from the proceeds of the sale of the Bonds or from other
Company funds None of the Bonds will be general obligations of
the Municipality Neither shall any of the Bonds , including
interest thereon, constitute a debt or indebtedness of the
Municipality within the meaning of any provision or limitation
of the Constitution or statutes of the State of Colorado or the
Charter of the City or give rise to a pecuniary liability of the
Municipality or a charge against its general credit or taxing
powers The Bonds shall be payable solely from and secured by a
pledge of the revenues derived from and payable pursuant to the
Financing Agreements
-5-
Section 9 Nothing contained in this Resolution or the
Memorandum of Agreement shall constitute a debt or indebtedness
of the Municipality within the meaning of the Constitution or
statutes of the State of Colorado or the Charter of the City or
give rise to a pecuniary liability of the Municipality or a
charge against its general credit or taxing powers.
INTRODUCED, READ, PASSED AND ADOPTED this lst day of
February, 1983
CITY OF FORT COLLINS, COLORADO
(CITY) Mayor
(SEAL)
ATTEST
City Clerk
-6-
Exhibit A
MEMORANDUM OF AGREEMENT
This Memorandum of Agreement is between the City of Fort
Collins , Colorado (the Municipality) , a Colorado municipal
corporation, and Anheuser-Busch, Incorporated, a Missouri
corporation (the Company)
1 Preliminary Statement Among the matters of mutual
inducement which have resulted in the execution of this
Memorandum of Agreement are the following
(a) The Municipality is authorized and empowered by
part 1 of article 3 of title 29, Colorado Revised Statutes
1973 , as amended (the Act) , to finance, refinance , acquire ,
own, lease, improve, and dispose of properties to the end
that manufacturing , industrial and business enterprises will
locate, expand or remain in the Municipality, to issue
revenue bonds for the purpose of defraying the costs of
financing, refinancing , acquiring, improving, and equipping
such properties , and to enter into agreements with respect
to the financing of such properties upon such terms and
conditions as the Council (the Council) of the Municipality
deems advisable
(b) The Company proposes to acquire, construct and
install a manufacturing , industrial ana business facility
consisting of three brew kettles and three mash cookers for
use in connection with a brewery (the Project) , located
-7-
within, or within eight miles from the nearest point of the
corporate limits of, the Municipality
(c) The Municipality has indicated its willingness to
proceed with the issuance of revenue bonds (the Bonds) as
provided by the Act to finance the Project and has advised
the Company that, subject to due compliance with all
requirements or law ana the obtaining of all necessary
consents and approvals and to the happening of all acts,
conditions, ana things required precedent to such financing ,
the Municipality will issue the Bonds pursuant to the Act in
an aggregate principal amount sufficient to pay a portion of
the cost of financing the Project, together with the costs
and expenses incident to the authorization, issuance, and
sale of the Bonds, which Bonds will not exceed in aggregate
principal amount the sum of $1,000 ,000 -
(d) The Municipality considers that the financing of
the Project and the entering into of agreements relating to
the Project, such as a mortgage, trust indenture, deed of
trust, lease, sublease , installment purchase agreement, loan
agreement, security agreement, rental agreement, option to
purchase or other necessary documents (the Financing
Agreements) with the Company with respect to the Project
will promote industry ana aevelop traae or other economic
activity by inducing the Company to locate ana expana its
industrial and business enterprise and remain in the
Municipality, thereby securing and maintaining a balanced
and stable economy in the funicipality, that to do so will
-8-
promote the public health, welfare and safety of the
Municipality and its citizens, and that the Project will
maintain and increase employment opportunities within the
Municipality
2 Undertakings by the Municipality Subject to the
foregoing Paragraph 1, the Municipality agrees as follows
(a) It will issue or cause to be authorized the
issuance of the Bonds pursuant to the terms of the Act in an
aggregate principal amount sufficient to pay a portion of
the cost of financing the Project, together with the costs
incident to the authorization, issuance, and sale of the
Bonds, which Bonds will not exceed in aggregate principal
amount the sum of $1,000,000
(b) It will adopt or cause to be adopted such
proceedings and authorize the execution and delivery of such
documents as reasonably may be necessary or advisable for
the authorization, issuance and sale of the Bonds, the
financing of the Project, and the execution of the Financing
Agreements with the Company and other documents relating to
the Project and the Bonds as shall be authorized by the Act
or other law and mutually satisfactory to the Municipality
and the Company
(c) The aggregate sums to be paid by the Company under
the Financing Agreements shall be required to be sufficient
to pay the principal of, interest on, and any premiums due
in connection with the redemption or prepayment of the Bonds
as and when the same shall become due
-9-
(a) It will take or cause to be taken such other acts
and adopt sich further proceedings as reasonaoly may be
required to implement the aforesaia undertakings
(e) The Bonas shall provide that they shall be payable
solely from and secured by a pledge of the revenues derived
from and payable pursuant to the Financing Agreements, that
they shall never constitute a debt or indebtedness of the
Municipality within the meaning of any provision or
limitation of the Constitution or statutes of the State of
Colorado or the Charter of the City, and that they shall not
give rise to a pecuniary liability of the Municipality nor a
charge against its general creait or taxing powers
(f) In authorizing the issuance of the Bonds pursuant
to this Aemorandum of Agreement, the Municipality will make
no warrant , either expressea or implied , that the proceeas
of the Bonas will be sufficient to pay all costs of the
Project
3 Undertakings on the Part of the Company Subject to
the foregoing Paragraph 1, the Company agrees as follows
(a) The Company will acquire, construct and install
the Project
(b) Prior to the delivery of the Bonas the Company
will enter into the Financing Agreements with the
Municipality under the terms of which the Company will
obligate itself to pay to the Muncipality, whether from the
proceeas of the Bonds or otherwise, sums sufficient in the
aggregate to pay or reimburse the Municipality for all
expenses incurred by It in connection with the
-10-
authorization, issuance, and sale of the Bonds and the
payment of the principal of, interest on, and any premium
due in connection with the redemption or prepayment of the
Bonds as and when the same shall become due and payable, all
fees and expenses of any trustee for the benefit of the
holders of the Bonds incurred under any trust indenture, all
utility charges, taxes, assessments , casualty, and liabil_ty
insurance premiums, any other expenses or charges relating
to the ownership, use, operation, maintenance, occupancy and
upkeep of the Project, and the Municipality's industrial
development revenue bond fee The Financing Agreements
shall contain such other provisions as may be required by
law and such other provisions as shall be mutually
acceptable to the Municipality and the Company
(c) It will take such further action and adopt such
further proceedings as may be required to implement the
aforesaid undertakings
4 General Provisions
(a) All commitments of the Municipality under
Paragraph 2 hereof and of the Company under Paragraph 3
hereof are subject to the condition that on or before three
years from the date of this Memorandum of Agreement (or sucn
other date as shall be mutually satisfactory to the
Municipality and the Company) the Municipality and the
Company shall have agreed to mutually acceptable terms for
the Bonds and the issuance, sale, and delivery thereof, and
mutually acceptable terms and conditions of any Financing
-11-
Agreements and other documents referred to in Paragraph 3
and the proceeaings referred to in Paragraphs 2 and 3 hereof
(b) Prior to the issuance of the Bonds, there shall be
a reasonable showing to the Municipality that the Company is
capable of carrying out its financial obligations under the
Financing Agreements
(c) If the events set forth in subparagraph (a) of
this Paragraph 4 do not take place within the time set forth
or any extension thereof and the Bonds are not issued and
sold within such time, the Company agrees that it will
reimburse the Municipality for all reasonable and necessary
direct out-of-pocket expenses which the Municipality may
incur arising from the execution of this Memorandum of
Agreement and the performance of the Municipality 's
obligations hereunder, and this Memorandum of Agreement
shall thereupon terminate
IN WITNESS WHEREOF, the parties have entered into this
Memorandum of Agreement by their duly authorized officials or
officers this day of February, 1983
CITY OF FORT COLLINS, COLORADO
(CITY) By
(SEAL) Mayor
ATTEST
City Clerk
-12-
ANHEUSER-BUSCH, INCORPORATED
a Missouri corporation
By
(COMPANY)
( SEAL ) Title
ATTEST
Title
-13-
Exhibit B
The ma3or components of tie proposed Pro3ect are presently
contemplated to be as follows
The acquisition, construction and installation of three brew
kettles and three mash cookers to be used by Anheuser-Busch,
Incorporated in connection with a brewery
-14-
Council Member moved that the foregoing
Resolution heretofore introduced and read by title be passed and
adopted Council Member seconded the motion
The question being upon the passage and adoption of the
Resolution, the roll was called with the following results
Council Members voting "AYE" Gary Cassell
John Knezovich
E John Clarke
William Elliott
Gerald Horak
Norman Miller
Elery Wllmarth
Council Members voting "NAY"
The Mayor thereupon declared that, a majority of the Council
Members present having voted in favor thereof, the motion was
carried and the Resolution was duly passed and adopted
After consideration of other business to come before the
Council, the meeting was adjourned
Mayor
(CITY) City of Fort Collins, Colorado
(SEAL)
ATTEST
City Clerk
City of Fort Collins, Colorado
-15-
STATE OF COLORADO )
COUNTY OF LARIMER ) ss
CITY OF FORT COLLINS )
I, Wanda M Kra3icek, City Clerk of the City of Fort
Collins, Colorado , do hereby certify that the attached copy of
Resolution 1983- is a true and correct copy, that said
Resolution was introduced , read, passed and adopted by the
Council of the City of Fort Collins, Colorado, at a regular
meeting thereof, held at Council Chambers, City Hall,
300 LaPorte Avenue, Fort Collins, Colorado, the regular meeting
place thereof , on Tuesday, the 1st day of February, 1983 , and
that a true copy of said Resolution has been authenticated by
the signatures of the Mayor of said City and myself as City
Clerk thereof, sealed with the seal of the City, and numbered,
recorded , and kept in my office. I further certify that the
foregoing pages 1 through 15, inclusive, constitute a true and
correct copy of the record of the proceedings of said Council at
its aforesaid meeting, insofar as said proceedings relate to
said Resolution, that said proceedings were duly had and taken
that the meeting was duly held, and that the persons were
present at said meeting as therein shown.
IN WITNESS WHEREOF, I have hereunto set my hand and the seal
of the City of Fort Collins, Colorado, this _ day of February,
1983
(CITY) City Clerk
(SEAL) City of Fort Collins, Colorado
-16-