Title
A RESOLUTION AUTHORIZING AN
ECONOMIC DEVELOPMENT GRANT AGREEMENT
BY THE CITY OF FOLEY, ALABAMA
AND
SDP AL FOLEY 1, LLC
Body
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FOLEY, ALABAMA, as follows:
ARTICLE 1
Definitions
Agreement means the Economic Development Grant Agreement by the City and the Developer attached to this Resolution as Exhibit A.
Amendment No. 772 means Amendment No. 772 to the Constitution of Alabama of 1901, as amended.
Bond Counsel means Maynard, Cooper & Gale, PC.
City means the City of Foley, Alabama.
Council means the City Council of the City.
Developer means SDP AL Foley 1, LLC.
Public Notice means the notice attached to this Resolution as Exhibit B.
Validation Act means Article 17 of Chapter 6 of Title 6 of the Code of Alabama 1975.
ARTICLE 2
Representations
The Council, upon evidence duly presented to and considered by it, has found and determined, and does hereby find, determine and declare as follows:
(a) The delivery and performance of the Agreement by the City will provide for the economic growth and development of the City in furtherance of the public interest thereof
(b) The expenditure of public funds for the purposes specified in the Agreement will serve a valid and sufficient public purpose, notwithstanding any incidental benefit accruing to any private entity or entities.
(c) The City caused the Public Notice to be published on January 26, 2022 in The Onlooker, which newspaper has the largest circulation in the City.
(d) The aggregate indebtedness of the City (including without limitation the Total City Commitment under the Agreement) which will be outstanding under, and chargeable against the limitation upon indebtedness prescribed by, Amendment No. 772 on the Effective Date of the Agreement will not exceed fifty percent (50%) of the assessed valuation of the taxable property of the City as assessed for state taxation for the tax year ending September 30, 2021.
ARTICLE 3
The Agreement
(a) The Council approves and authorizes the terms and provisions of, the representations and warranties of the City set forth in, and the obligations and transactions to be undertaken by the City pursuant to, the Agreement, with such changes thereto (by addition or deletion) which (i) do not (individually or in the aggregate) create any additional obligation, or extend or increase any stated obligation, of the City under the Agreement and (ii) the officers of the City conclusively approve by execution and delivery of the Agreement as provided by this Resolution.
(b) The Council authorizes and directs the Mayor, Finance Director, and City Clerk of the City to:
(i) execute under seal, register, and attest the Agreement;
(ii) execute, deliver, file and record such certificates, documents and notices with respect to such matters of fact as Bond Counsel determines to be necessary in connection with the Agreement;
(iii) deliver the Agreement when advised by Bond Counsel;
(iv) effect the performance of the Agreement
ARTICLE 4
Ratification
The Council ratifies and confirms all prior action taken, and all certificates, documents, petitions, proceedings and public notices delivered, by or on behalf of the City in furtherance of the transactions herein authorized
ARTICLE 5
Validation
The City desires to determine the authority thereof to deliver and perform the Agreement, the legality of all proceedings had or taken in connection therewith, the validity of the Project User Fees as the means provided for the payment of the contingent and limited obligations of the City under the Agreement, and the validity of all covenants and provisions contained in the Agreement, and therefor authorizes and directs Bond Counsel to file a petition in the name and on behalf of the City against the taxpayers and citizens of the City and the Developer in the Circuit Court of Baldwin County, Alabama, pursuant to the Validation Act and thereupon take all actions necessary or required to effect the judicial validation of the covenants, obligations and terms of the Agreement pursuant to the Validation Act.
ARTICLE 6
Effect of Resolution
The Council authorizes this Resolution to take effect immediately and repeals any provision of any resolution, order, ordinance, or proceeding of the City to the extent of any conflict or inconsistency thereof with the provisions of this Resolution.