HomeMy WebLinkAbout2007-003 IDA Resolution Industrial Revenue Bonds $45,000,000RESOLUTION 2007-003
RESOLUTION OF THE INDUSTRIAL DEVELOPMENT AUTHORITY
OF THE CITY OF RIVERSIDE, MISSOURI, APPROVING A PROJECT
FOR THE CITY OF RIVERSIDE, MISSOURI, AND DETERMINING THE
OFFICIAL INTENT OF THE AUTHORITY TO ISSUE ITS INDUSTRIAL
REVENUE BONDS IN AN AGGREGATE PRINCIPAL AMOUNT NOT
TO EXCEED $45,000,000 TO FINANCE THE COSTS OF SUCH
PROJECT.
WHEREAS, The Industrial Development Authority of the City of Riverside, Missouri
(the "Authority") is authorized and empowered under the provisions of the Industrial
Development Corporations Act, Chapter 349 of the Revised Statutes of Missouri, as amencled
(the "Act"), to purchase, construct, extend and improve certain projects (as defined in the Act)
for the purposes set forth in the Act and to issue revenue bonds for the purpose of (i) providing
funds to pay the costs of such projects and to lease or sell such projects to others upon such terms
and conditions as the Authority shall deem advisable, or (ii) loaning the proceeds from the sale
of such bonds to others upon such terms and conditions as the Authority shall deem advisable to
provide funds to pay the costs of such projects; and
WHEREAS, the City of Riverside, Missouri, a Missouri fourth class city (the "Cit1~")
has submitted an application to the Authority and has requested that the Authority (i) approv<; a
project for the City consisting of the construction, improving and equipping of certain
infrastructure facilities (the "Project "), (ii) issue its Industrial Revenue Bonds, Series 2006
(Riverside Horizons Infrastructure Project) (the "Bonds ") in an aggregate principal amount r-ot
to exceed $45,000,000 to provide funds to pay the costs of the Project, and (iii) loan the proceeds
from the sale of the Bonds to the City for the purpose of financing the costs of the Project, all in
accordance with and pursuant to the Act; and
WHEREAS, the Authority desires to finance the costs of the Project by issuing, pursu~int
to the Act, the Bonds to be payable out of certain payments, revenues and receipts derived by the
Authority from the City pursuant to a financing agreement evidencing the Authority's loan of the
proceeds of the Bonds to the City; and
WHEREAS, the Authority and the City desire that the financing of the Project
commence as soon as practicable;
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF
THE INDUSTRIAL DEVELOPMENT AUTHORITY OF THE CITY OF RIVERSIDE,
MISSOURI, AS FOLLOWS:
Section 1. Findings and Determinations. The Board of Directors of the Authority
hereby finds and determines that the Project will promote the economic welfare and the
development of the City of Riverside, Missouri, and the issuance of the Bonds by the Authority
to pay the costs of the Project will be in furtherance of the public purposes set forth in the Act.
Section 2. Approval of Project and Declaration of Official Intent. The Board of
Directors of the Authority hereby approves the Project and determines and declares the offic;ial
intent of the Authority to finance the costs of the Project out of the proceeds of the Bonds of the
Authority to be issued pursuant to the Act in a principal amount not to exceed $45,000,000.
Subject to the conditions of this Resolution, the Authority shall issue the Bonds pursuant to the
Act in amounts prescribed by the City up to $45,000,000 and loan the proceeds thereof to the
City to pay the costs of the Project and to pay all expenses and costs of the Authority in
connection with the issuance of the Bonds; provided, however, if for any reason the Bonds are
not issued and sold within one year of the date hereof, the provisions of this Resolution and the
agreement resulting from its acceptance by the City shall be canceled, and neither party skull
thereafter have any rights hereunder against the other except that the City will reimburse the
Authority for all out-of-pocket expenses incurred by it and by its counsel and Bond Counsel. in
connection with the Project.
Section 3. Terms and Provisions. Subject to the conditions of this Resolution ~-nd
the final approval of the Authority: (i) the Authority will issue the Bonds to pay the costs of
financing the Project, with such maturities, interest rates, redemption terms, security provisi~~ns
and other terms and provisions as may be approved by resolution of the Authority; (ii) enter into
a financing agreement with the City, pursuant to which the proceeds from the sale of the Bo~ids
will be loaned to the City to enable the City to pay the costs of the Project, and pursuant to which
the City will make or cause to be made payments, subject to annual appropriation, to pay the
principal of, premium, if any, and interest on the Bonds as the same become due and payable;
(iii) to effect the foregoing, adopt such resolutions and authorize the execution and delivery of
such security agreements and other instruments and the taking of such action as may be
necessary or advisable for the authorization and issuance of the Bonds by the Authority; and (iv)
take or cause to be taken such other action as may be required to implement the foregoing.
Section 4. Conditions to Issuance. The issuance of the Bonds and the execution <md
delivery of any documents related to financing the Project are subject to (i) further approval by
the Board of Directors of the Authority; (ii) approval by the Board of Aldermen of the City; (iii)
obtaining by the City of any necessary governmental licenses, permits and approvals; and liv)
agreement by the Authority, the City and the original purchaser of the Bonds upon (a) mutu~illy
acceptable terms for the Bonds and for the sale and delivery thereof and (b) mutually acceptable
terms and conditions of any documents related to the issuance of the Bonds and the Project.
Section 5. Reimbursement of Expenditures. The City has made certain
expenditures in connection with the Project, and expects to make additional similar expenditures
after the date of this Resolution and before the issuance of the Bonds, and the Authority desires
and intends to reimburse the City from proceeds of the Bonds for such expenditures to the extent
permitted by applicable law.
Section 6. Authorization to Proceed. The City is hereby authorized to proceed v~rith
the Project, including advancing such funds as may be necessary to accomplish such purpo;~es,
and, subject to the conditions set forth herein, the Authority shall reimburse the City for all
expenditures paid or incurred therefor out of the proceeds of the Bonds.
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Section 7. Further Authority. Armstrong Teasdale LLP is hereby appointed Bond
Counsel and Stifel Nicolaus & Company, Incorporated is selected as underwriter ("Stifel.").
Bond Counsel, together with the officers and employees of the Authority, are hereby authorised
to work with the City and Stifel, their respective counsel and others, to prepare for submission. to
and final action by the Authority all documents necessary to effect the authorization, issuance
and sale of the Bonds and other actions contemplated hereunder in connection with the financing
of the Project.
Section 8. Benefit of Resolution. This Resolution shall inure to the benefit of the
Authority and the City and their respective successors and assigns.
Section 9. Effective Date. This Resolution shall take effect and be in full force
immediately upon its adoption by the Board of Directors of The Industrial Development
Authority of the City of Riverside, Missouri.
(The remainder of this page is intentionally left blank.)
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ADOPTED by the Board of Directors this 2I S` day of March, 2007.
THE INDUSTRIAL DEVELOPMENT
AUTHORITY OF THE CITY OF RIVERSIDE,
MI"""""'
(SEAL)
By
ATTEST:
_Secretary
THE INDUSTRIAL DEVELOPMENTAUTNORII7
OF
itrf-frout~rcP~urrre-~ovNTit,-Mtssou~u
The rl;i~V:mf-Riverside, Missouri
APPLICATION
INITIAL REQUEST FOR ISSUANCE OF INDUSTRIAL REVENUE BONDS
Gity of Riverside. Missouri Set7tember I 1 2~~
APPLICANT (FIRM NAME) DATE Of REQUEST
2950 NW yvion Road Riverside Mi~sQurj~],~~ 816 741 39~
FIRM ADDRESS CITY $T ZIP FIRM PHONE NUMBER
David Blackburn City Administrator 816-741 3993
OFFICIAL TITLE- RESPONSIBLE OFFICER PHONE NUMBER
.2950 NW ~vion Roa Riverside Missouri 641,~Q 8L¢:741~,399~
ADDRESS CITY ST ZIP
,lQhn McClelland. itv omey 816 221 ~~a
ATTORNEY FOR/OR AUTHORIZED REPRESENTATIVE OF APPLICATION PHONE NUMBER
2345 Grand, Suite 2000 Kansas Citv MissQ~ri 64108
ADDRESS CITY $T ZIP
Bond Counsel Armstrong TeasdnlA LI P
Grand Suite 2000 Kansas City~,jstn~ ~~ ~ce.rrut
Phone: 816-221- 420..E
Approximate date proposed for
issue of Industrial~Revenue Bonds December 13.2006
Estimated Amount of Issue
Page 2
Industrial Development Authority
Application
1. Financial Res onsibility
a. How many years has the applicant been in businessZ Fi +
b. What portion of the project is being frnanced from other company funds
(in addition to bond issue) Z City Ten Million+ -Federal/State ~iaht Million+
c. What is the dollar value of capital expenditures your firm has made for plant .arid
equipment in Platte County, Missouri, during the pasf three years $7,537,842:.26
for fye 6/2006, $7,232,000.57 for fye 6/2005 and $13,415,222.92 for fye 6/2004, for a
total of $28,185,065.75.
d. Who is your principal banker in the Greater Kansas City area; outside the Greater
Kansas City Areal Various.
2. Type of Tenant
a. What type of business is proposed by the tenants Please describe in detail the
precise nature of all activities your firm contemplates undertaking in the facility
and outline the estimated percentage of space to be devoted to each acfivity,
The City is constructing p ~h~i~ ~nfr~ttn ~cture streets sanitgn~Pwe~ ~mprovemen~
mater fines and related infracfruct re to provide the backbone for comme,~~
retail and industrial development within the Redevelopment Area establis~~y
the City pursuant to the L-385 Levee Redevelopment Plan
b. Does the tenant have a single or multiple plant operations N(~
c. Will the Platte County, Missouri plant be fhe main operation of the tenant$ N1B..
If not, where
Will the products to be manufactured, assembled or processed and any services
to be rendered2 iyLP~
d. What is your estimated target date to begin operationsZ NL&
Page 3
Industrial Development Authority
Application
3. Nature of Improvements.
Amount requested for land and site preparation $40 million.
Amount requested for buildings. ~
Amount requested for equipment. Li/1~..
a. What type and size of building will be constructed8 There are 500+ acres wii;~j~
the area to be served by the infrastructure. These 500+ acres are anticipated tc~e
developed as commercial, retail and i dustrial.
b. Name and address of engineer, contractor, and/or architect. TranSystem
CoLp~c~jjQn, 2400 Pershing Rd. Suite 444, Kg~a~C~. Missouri 64108.
c. Do you contemplate that all improvements will be constructed atone time orwill
the project be constructed in stages Over three year ep riod•
d. Is the land now either owned, controlled, or leased by your companyZ Particrl~.
e. Doss the project contemplate rehabilitation of any existing buildings8 ~,.
f. What fype of equipment will be financed _~
.,
Page 4
industrial Development Authority
Application
4. Measure of Economic Growth and Benefits
a. What dollar amount of annual sales is contemplated
b. What percent of sales will be sold locally2 Unknown.
c. How many people will the tenant employ initially, NLA.
Long term
LIl.A.
See L-~-S Levee Redevelopment Plan on file at Riv ide Ci Hall 29~Q NW ~vion Rg~.
Riverside Missouri for ~ojecfions re ar ' q commer~iat retail and industrial
development.
d. How many of those employees will be new employees
as a result of the projects nkn wn
e. Briefly describe manpower requirements, including approximate numbers of
persons within various categories, (e.g., top and middle management, supervisory,
sales, skilled, semi-skilled and unskilled workers). Unknown at this time.
Briefly describe average wage by categories and benefits for any existing
employees of the applicant located in Platte County and the proposed averaage
wage by categories and benefits of new employees anticipated in Platte County,
(e.g., top and middle management, supervisory, sales, skilled, semi-skilled and
unskilled workers). Construction Wages will be as reauired under the Prevailinc~
Wedge Statutes.
g. is the tenant industry, either through a home office or subsidiary, presently
operating in another iocation~ If so, state location and size of other operations.
1~
h. Is the proposed move an expansion, replacement or relocation of another plant
~:
.,
Page 5
Industrial Development Authority
Application
If this is a proposed expansion, state size of current operation. ,N[A
If this is a proposed relocation or replacement, state size and location of present
operation. 111A
5. a 'o
a. Is the proposed tenant presently located in Platte County, Missouri Ci of
Riverside. Missouri.
b. Address of proposed location. ~lLA
c. Is the prospective location properly zoned Proper is zoned com erp rcialt
industrial and light industrial.
d. What is the present zoning of the property Pro e~rtxj~s zoned commercial;
industrial and light industrial,
e. If a zoning change is pending, site application number and present status. ~IQ,
If application has not been made, briefly describe what change will be
needed and plans for submitting application. j~
6. Marketing of Bonds
Has the tenant an established relationship with an investment banking firm or
firms8 Yes, the City is working with Stifel. Nicolaus and Company. Inc. on this
Transaction.
a. Has an investment banker prepared an analysis indicating that the tenants
bonds are marketable Y~.,~.
b. Have arrangements for the marketing of the bonds been made yam.
c. Has the tenant investigated conventional flnancing~ N1A
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Page 6
Industrial Development Authority
Application
7. Q~vnership and Management
a. Is the applicant industry a proprietorship, partnership, limited liability company
or corporations Riverside is a fourth class city and political subdivision of thg
State of Missouri.
b. If proprietorship, partnership, limited liability company or closed corporation, list
the names and the percentage owned. N/A.
c. List the names and titles of manager or officers of the applicant industryZ
Mayor Kathleen Rose
Alderman Ward I Linda Jones
Alderman Ward I Ron Super
Alderman Ward II Bemie Bruns
Alderman Ward II Ray Beard
Alderman Ward III David Hurt
Alderman Ward III Pam Darata
City Clerk Louise Rusick
d. Is your firm either a wholly owned or partially owned subsidiary of another
firm8 ,~lo,
e. List the name of CPA or public accountant who has performed audits of tP.e
applicant in the last five years. Brupe ~uIIQy. CPA.
8. Financiallnformation
Submit, with this application, audited financial reports (if available) for the last five
years, profit and loss statements for the same years, plus the most recent copies of 10-
K, i 0-Q and 8-K {if applicable}.
A
CERTIFICATION OF APPLICANT
The undersigned hereby represents and cerfifies that, to the best knowledge arn~
belief of the undersigned, this Project Application contains no information or data,
contained herein or in the exhibits or attachments, that is false or incorrect and that it
is truly descriptive of the property which is intended as the security for the proposed
bonds.
A check in the amount of $2,500 representing the non-refundable application fee is
enclosed.
The issuance fee will be due to the Authority simultaneously with the issuance of 'the
Bonds.
DATED THIS ,~Z~h_ _ DAY OF OCTOBER, 2006.
CITY OF R VERSIDE, MISSOURI
BY:
KA LEEN L. ROSE, MAYOR
(Revised June 16, 2oos~
03/20/2007 12:25 8167468349 CITY OF RIVERSIDE PAGE 02/03
BILL N0.2007-17 ORDINANCE N0.2007-17
AN ORDINANCE AMENDING ORDINANCE N0.2006-131 BX SUBSTITUTING THE
INDUSTRIAL AEVELOPMENT AUTHORITY Op' THE CITY OF RIVERSIDE,
MISSOURI IN LIEU OF THE INDUSTRIAL DEVEI.OI'MENT AUTHORITY OF
PLATTE COUNTY, MISSOURI RELATING TO ALL MATTERS IN SUCII
ORDINANCE; AND APPROVING AND AUTHORIZING ACTIONS AND
DOCUMENTS RELATED THERETO.
WHEREAS, the City of Riverside, Missouri, is a Missouri fourth class city {the
"City'; and
WHEREAS, the City has previously adopted Ordinance No. 2006-131 approviung an
application to and requesting that the Industrial Development Authority of Platte County,
Missouri ("the "County Auzhority'~ issue its industrial development revenue bonds to fund
certain infrastructure projects of the City ("Project'; azld
WHEREAS, after review and study, the City has found it advisable to approve the
foxnc-ation of the Industrial Development Authority of the City of Riverside, Missouri ("City
Authority"; and
WHEREAS, the City desires to have the City Authority, in lieu of the Cour-ty
Authority, issue industrial development revenue bonds in the aggregate principal amount not to
exceed $40,000,000 for the Project; and
WHEREAS, accordingly, the City desires to amend Ordinance No. 2006-131 to
provide for such substitution;
NOW THEREFORE, BE IT ORDAINED BX THE BOARD OF ALDERMEN OF
THE CITY OF RIVERSIDE, MISSOURI, AS FOLLOWS:
Section 1. Anaemdmeut to Ordinance No. 2006-131. The City hereby arzrenced
Ordinance No. 2006-131 by deleting "The I~rdustrial Development Authority of Platte County,
,. -
Missouri mall places iur such Ordinance and substituting in lieu thereof, "'The Industrial
Development Authority. of the City of Riverside, Missouri." Ordinance No. 2006-131, as
amended hereby, shall continue in full force and effect.
Sectiorr 2. Application To CIty Autlronity. The Application of Initial Request for
Issuance of Industrial Revenue Borrds to the Industrial Development Authority of Platte
County, Missouri, as previously approved by the City, shall be submitted to the City Authozity,
with the only changes to such Application being that of changing the `°hdustrial Development
Authority of Platte County, Missouri" to the "Industrial pevelopiarent Authority of the City of
Riverside, Missouri" and the date of such application, and the Mayor is hereby authorized and
directed to execute such Application for and on behalf of the City and to irIe such Application
with the City Authority.
03/20/2007 12:25 8167468349 CITY OF RIVERSIDE 'AGE 03/03
Sectiom 3. Further Aatbiolt'1ity. 7'he City hereby authorizes and empowers tlae
officers and representatives of the City to do all such acts and things and to execute,
aelrnowledge and deliver all such documents as may in their discretion be deemed necessary or
desirable in order to carry out or comply with the terms and provisions of this Ordinance in
connection with the structure and sale of the Bonds. All of the acts azxd undertakings of such
ofhcers and representatives which are in confornaity with the intent and purposes of ttus
Ordinance, whether heretofore or hereafter taken or done shall be and the same are hereby in
all respects, ratified, confxrtned and approved.
Section 4. Effective Date. 't'his Ordioaztce shall be in full force aztd effect from
and ai}eX its adoption.
Passed aztd Approved this ~~ay of February, 2007.
Attest:
-_ [se J
4
I.o ise Rusiak, City Clerk
Ka een Z. Rose, Mayor
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03/21/2007 11:08 8167468349 CITY ~ RIVERSIDE /'AGE 02/11
BILL N0.2006-131 ORDINANCE NO.2006-•131
AN ORDINANCE APPROVING THE APPLICATION OF ~IITIAL REQUEST FOR
ISSUANCE OF INDUSTRIAL REVENUE BONDS TO THE INDUSTRIAL
DEVELOPMENT AUTHORITY OF PLATTE COUNTY, NIISSOURI; AUTHORIZING
THE EXECUTION OF SAME; EXPRESSING THE OFFICIAL INTENT OF TH>E;
CITY TOWARDS TSE ISSUANCE OF SUCH INDUSTRIAL REVENUE BONDS 7.'O
FINANCE INFRASTRUCTURE PROJECTS; AND APPROVING AND
AUTHORIZING ACTIONS AND DOC[JMENTS RELATED THERETO.
WHEREAS, the City o£ Riverside, Missouri, is a Missouri fourth class city (the
`.C~ry'~; and
WHEREAS, the City has approved the L-385 Levee Redevelopment Plan, as amended
and supplemezzted, (the "TIF Plan's pursuant to the Real Property Tax Increment Allocation
Redevelopment Act, Missouri Revised Statutes, Sections 99.800 through 99.865, as amended
(the "T,LF,rlct'~; and
WHEREAS, the City hss approved, puzsuamt to the Tff Plaza, infrastructure project:> as
Redevelopment Pznject III, which projects include Hozizozzs Parkway, a four lane north-south
access street £rom.the I-635 Interchange to 9 Highway, 9 Highway inapzovezazents including
intersection improvements at 9 Highway and Northwood, new intersection at 9 Highway anal
Horizons Parkway and acceleration, deceleration and turn lames and east-west connector roads,
all together with stornawater, sanitary sewer, sanitary force main, pump station., water mtwn,
water connector, landscaping, gas and electric improvements, relocations, property acquisition,
wetlands delineation and related improvements (collectively, the "Project'; and
WHEREAS, the City desires to request that the Industrial Development Autlzvzity of
Platte County, Missouri ("the "Authority's issue its industrial development revenue bonds (the
"Bonds") in an aggregate principal amount mot to exceed $40 million to provide fiuads to pay
the costs of the Project pursuant to Chapter 349, RSMo., as amended (the "Act's; and
WHEREAS, the City has determined that it is necessary and desirable to declare the
official intezxt of the City to fznance the costs of the Project from the proceeds of the Bonds :for
such purposes, subject to certain terms and conditions set forth in this Ordinance;
NOW THEREFORE, BE IT ORDAINED BY THE BOARD OF ALDERMEN OF
THE CITY OF RIVERSIDE, MISSOURI, AS FOLLOWS:
Section 1. Findiutg of Public Benel"itt. The City hereby fields and determines t11at
the Project will promote the economic well-beiuag and industrial development of the City and
the taxing districts within the area of the Pmject, and that the issuance of the Bonds to pay the
cost of the Project will be in furtherance of the public purposes set forth in the Act and the 'I'Il~
Act.
03/21/2007 11:08 8167468349 CITY OF RIVERSIDE F'AGE 03/11
Section 2. Application for 13omd Issuance. T'he Application of Initial Request for
Issuance of Industrial Revenue Bonds to the Industrial Development Authority o£ Platte
County, Missouri, in the Toxin presented with this Ordinance and on file at City I3[all,
requesting the issuance of the Bonds in a principal mount not to exceed $40 million, is
approved, and the Mayor is hereby authorized and directed to execute such Application. for .and
on behalf of the City and to file such Application with the Authority.
Section 3. Declaratio~a of Intent. The City hereby declares the intent of the City
to authorize and provide for the issuance of the Bonds in a principal aAO,ount not to exceed :640
million, to provide funds to fuxance the costs o£the Project, subject to the conditions set forth
itz this Ordinance and the final bond documents.
Section 4. Ltbaited Obligations. The Bonds shall be limdted special revenue
obligations payable solely out of payments, revenues and receipts pledged therefore pursuant to
the bond documents. The Botlds quad the interest thereon sb~aU not be a debt of the City or the
State of Missouri, and neither the City nor the State shall be liable thereon, and the Bonds shall
not constitute an indebtedness within the meaning of any constitutional or statutory debt
limiitation or restriction.
Sectiob 5. Reimburseuaent for Project Costs. The City is hereby authorized to
proceed with the purchase, construction and equipping of the Project, including the entering of
contracts and purchase orders i:a connection therewith, and to advance such fiords as may be
necessary to accobnplish such purposes and if the Bonds axe issued, the City may be
reimbursed out of the proceeds thereof for expenditures paid ox incurred in connection
therewith.
Section 6. Preparatio~a of Documents. Counsel to the City, Armstrong Teesdale
LLP, together with the officers and employees of the City, are hereby authorized to work with
the purchaser of the Bonds and the Authority and their respective counsel and others, to
prepare for submission to and final action by the City all documents necessary to effect the
authorization, issuance and sale o£ the Bonds and other actions contemplated hereunder in
connection with the fuaancing of the Project.
Section 7. Further Authority. Tkte City kiexeby authorizes and empowers the
officers and representatives of the City to do all such acts and things and to execute,
ackxiowledge and deliver all such documents as may in their discretion be deemed necessary or
desirable iut order to carry out or comply with the terms and provisions of this Ordinance in
co~onection with the structure and sale of the Bonds. All of the acts and undertakings of such
officers and representatives which axe in confonnuity with the intent and purposes of this
Ordinance, whether heretofore or hereafter taken or done shall be and the same are hereby in
alI respects, ratitited, confirmed and approved.
Sectio~a 8. Effective Date. This Ordanacice shall be in full force and effect from
and after its adoption.
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03/21/2007 11:08 8167468349 CITY OF RIVERSIDE F'AGE 04/11
Passed and Approved this 17th day o~ October, 2006.
Attest
~~~
Ka een L. Rose, Mayor