Title
RESOLUTION AUTHORIZING A PROJECT AGREEMENT AMONG
THE CITY OF FOLEY, ALABAMA, ROHR, INC.,
AND BALDWIN COUNTY, ALABAMA AND RELATED BORROWING
AND ISSUANCE OF WARRANTS OR OTHER OBLIGATIONS
Summary
Description of Topic: (who, what, where, when, why and how much)
Budgetary Impact:
Non-Capital Item:
____ Budgeted under account #_______________ (discussion item)
____ Not budgeted, requesting transfer of $__________ from Account #______________ to Account #_____________.
____ Not budgeted requiring increase to account #___________ in the amount of $____________.
Capital - Departmental
____ Budgeted under account #______________ for $___________ and described in budget as __________________________________.
Additional amount needed, if any: Increase in budget of $_____________ OR, transfer of $___________ from Account #____________ to Account #_______________
____ Not Budgeted - account #____________ requires budget increase of $_____________.
Capital Project - **THE PRE-PROJECT CHECKLIST AND BUDGET CHECKLIST MUST BE ATTACHED TO THIS FILE**
In current year Capital Projects Plan:
_____ Yes, planned amount $___________, requesting $_________ as total project estimate, including contingencies, under account #_________________
_____ No, requesting $___________ as total project estimate, including contingencies, under account #____________________
Body
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FOLEY, ALABAMA (the “Council”), GOVERNING BODY OF THE CITY OF FOLEY, ALABAMA (the “City”), as follows:
Section 1. The City has heretofore, upon evidence duly presented to and considered by it, found and determined, and does hereby find, determine and declare that:
(a) ROHR, Inc., a Delaware corporation (“ROHR”) owns certain industrial facilities in the City in Baldwin County (the “County”) and currently employs approximately 798 persons in the City. The City and ROHR, along with the County, propose to execute and deliver a Development Agreement (the “Development Agreement”) wherein, in order to induce the Corporation to further develop and expand its operation within the City and County, and to maintain at least the yearly average number of employees as defined in the Development Agreement for the time period set forth in the Development Agreement, the City desires, along with the County, to transfer funds to the Corporation to facilitate the expansion of its facilities within the City, and the City desires to enter into a line of credit, warrants or other loan transaction in the maximum amount of $1,500,000, the proceeds of which will be used to fund the payments to be made by the City pursuant to the Development Agreement (the “Loan”).
(b) The Development Agreement will be executed and delivered by ROHR, the City and the County.
(c) Pursuant to Amendment No. 772 and/or Amendment No. 750 to the Constitution of Alabama of 1901, as amended, the City has caused the Notice attached hereto as Exhibit A (the “Notice”) to be published on May 4, 2016 in The Foley Onlooker with respect to certain actions proposed to be taken, including the Loan, and the Development Agreement proposed to be made and delivered, by the parties, to provide for the economic development of the City thereby. The information set forth in the Notice is true and correct and the publication of the Notice is hereby ratified and confirmed.
(d) The Development Agreement and information regarding the Loan have been made available for public inspection with respect to the transactions described in the Notice and the undertakings by the City in connection therewith.
(e) The expenditure of public funds and the Loan for the purposes specified in the Notice and the Development Agreement will serve a valid and sufficient public purpose, notwithstanding any incidental benefit accruing to any private entity or entities.
(f) The City seeks to achieve, by undertaking its obligations pursuant to the Development Agreement and the Loan, to promote the local economic and commercial development of the City; to promote the expansion and retention of business enterprise within the City; to increase employment in the City; to promote and develop for the public good and welfare trade, commerce, industry, and employment opportunities in the City; to increase the tax and revenue base of the City and property values of the City; and to promote the convenience, order, prosperity and welfare of its citizens. The increased tax revenues, additional economic activity, creation of new jobs and the other benefits will directly benefit the City.
(g) It is necessary, desirable, and in the best interests of the taxpayers and citizens of the City for the City to deliver and perform the agreements and undertakings of the City set forth in the Development Agreement and to enter into the Loan.
Section 2. The City does hereby approve, ratify and confirm (i) the form and content of, and the statements set forth in, the Notice and (ii) the publication of the Notice as set forth in Section 1 of this resolution.
Section 3. The City does hereby approve, adopt, authorize, direct, ratify and confirm the representations, agreements and covenants of the City set forth in, and the transactions to be undertaken by the City pursuant to, the Development Agreement.
Section 4. The Development Agreement is approved in substantially the form and the content attached hereto as Exhibit B.
Section 5. The Development Agreement presented to, considered and adopted by the City Council shall be filed in the permanent records of the City.
Section 6. The Mayor of the City is hereby authorized to execute, acknowledge and deliver on behalf of the City a Development Agreement in substantially the form attached hereto as Exhibit B, with any revisions thereto as may be approved by the Mayor of the City, with such execution and delivery to be conclusive proof of the Mayor’s approval.
Section 7. The City does hereby approve the Loan and the issuance of its warrants or other obligations in the maximum amount of $1,500,000 upon the terms attached hereto as Exhibit C and the officers of the City, or any one of them are hereby authorized to have an authorizing ordinance and such documents as are necessary for same prepared and submitted to the Council at a subsequent meeting.
Section 8. The officers of the City, or any one or more of them, are hereby authorized and directed to do and perform or cause to be done or performed in the name and on behalf of the City such other acts, and execute, deliver, file and record such other instruments, documents, certificates, notifications and related documents, all as shall be required by law or necessary or desirable to carry out the provisions and purposes of this Resolution and the Development Agreement.
Section 9.
(a) All ordinances, resolutions, orders, or parts thereof in conflict or inconsistent with any provision herein hereby are, to the extent of such conflict or inconsistency, repealed.
(b) This resolution shall take effect immediately.