HomeMy WebLinkAboutRESOLUTION - 60-81 - 10/13/1981 - INDUSTRIAL REVENUE BOND POLICY AND RESOLUTION NO. 6o-81
ESTABLISHING THE POLICY AND PROCEDURAL GUIDE-
LINES FOR THE ISSUANCE OF INDUSTRIAL REVENUE
BONDS FOR THE VILLAGE OF ELK GROVE VILLAGE
WHEREAS, certain persons, firms or corporations desire to
finance their development through the use of Industrial Revenue Bonds;
and;
WHEREAS, it is the policy of the Village President and Board
of Trustees to encourage development within the boundaries of the
Village of Elk Grove Village.
NOW, THEREFORE, BE IT RESOLVED that the President and Board
of Trustees as a general policy will consider issuing Industrial Revenue
Bonds to qualified applicants for such bonds upon the assurance that the
taxpayers are fully protected and the affirmation that the development
will benefit the Village. To insure the carrying out of these general
policies, the following guidelines and criteria are hereby established:
Section I. Phase 1
A. Initiation of Application. Any person, firm or corporation may
file an application, as hereinafter provided, requesting the
President and Board of Trustees to consider the issuance of
Industrial Revenue Bonds to finance a "project" as that term
is defined in Ordinance No. 1486 of the Village of Elk
Grove Village.
B. Application. The person, firm or corporation requesting the
issuance of Industrial Revenue Bonds for a project shall file
an application therefor with the Village Manager on a form
available in the office of the Director of Finance. Such
-
application shall be accompanied by a nonrefundable applica-
tion fee as established from time to time by the corporate
authorities of the Village of Elk Grove Village and shall
contain thefollowinginformation.
a. Name, address and telephone number of the applicant;
b. Name, address and telephone number of the person signing
the application on behalf of the applicant along with a
brief description of the relationship of such person to
the applicant;
C. Street address and legal description of the property where
the project is to be located;
d. Name and address of any and all legal and beneficial owners
of the property where the project is to be located;
e. If the applicant is not the owner of the property where the
project is to be located, a statement indicating what
interest, if any, the applicant has in the property where
the project is to be located (eg, contract purchaser, lessee)
and if applicant is a lessee or contract purchaser of
said property, a copy of such lease or contract shall be
filed along with the application.
f. A description of the project for which Industrial Revenue
Bond financing is requested;
g. A resume of the applicant which shall include:
1. A description of each business in which the applicant
is engaged.
2. A description of any and all projects in which the
applicant has participated which were similar to the
project for which Industrial Revenue Bond financing
is requested;
3. A statement indicating whether applicant has ever
been involved in a project financed by Industrial
Revenue Bonds, and if so, a description of each
such project and a statement indicating whether
there has ever been a default in any such bonds;
4. A statement indicating whether the applicant has
applied or intends to apply to other communities
for Industrial Revenue Bond financing of the
proposed project, and if so, the name of the community
and a statement as to the current status of the
application.
5. A statement indicating whether the applicant has
been turned down by any other community for
Industrial Revenue Bond financing for this or any
other project, and if so, a list of communities,
dates of application and the reasons for rejection.
6. A statement indicating whether applicant has been
a party in any bankruptcy proceedings at any time
in the 5-year period preceding the date of the filing
of the application, and if so, a description of
such proceedings, including the caption of any
lawsuits, and the outcome thereof;
7. A statement indicating whether applicant, within 3
years preceding the date of the application, has been
in default or allegedly in default in the payment of
any debt instruments on which the applicant is a
signatory, and if so, a description of such debt
instrument and such default;
B. If applicant is a corporation, a statement indicating
the date and state of incorporation of such corporation
along with a statement that applicant is either a
corporation in good standing in Illinois or that
applicant is a registered foreign corporation in
Illinois and in good standing;
9. If applicant is registered or is required to be
registered under the Illinois Assumed Name Act, the
date applicant filed under the Assumed Name Act, the
county within which applicant filed and the assumed
name under which the applicant has filed;
10. A statement indicating the length of time applicant
has been doing business and the length of time
applicant has been engaged in projects of the type
for which Industrial Revenue Bond financing is
requested;
11. If the applicant is a corporation, copies of all
annual reports filed with the Secretary of State
for the 3 years preceding the date of the application
for Industrial Revenue Bond financing;
12. Financial statements, certified if audited, of the
applicant for 3 years preceding the date of the
filing of the application for Industrial Revenue
Bond financing;
13. A list setting forth the caption, if pending, and a
brief description of any and all pending or threatened
litigation against the applicant which could have an
impact on the existence of the applicant or its
business or the financial 'position of applicant. In
this regard, applicant shall disclose any pending or
threatened litigation which charges applicant or, if
-2-
applicable, anyrof its officers or partners with
misfeasance, misrepresentation, fraud, a violation
of any criminal law, or antitrust violations; and any
cases in which judgment has been entered or requested
against applicant in an amount in excess of $250,000
unless the disclosure of cases in which lesser or
greater judgments have been entered or requested is
required by the Village Manager.
14. Any other data which discloses relevant financial
information such as the applicant's bond rating and
the like.
h. A statement indicating the zoning classification of the
property where the project is to be located along with a
statement indicating whether any amendments to the Zoning
Ordinance of the Village of Elk Grove Village or special
approvals such as variations or special permits will be
required for the project;
i. A site plan for the property where the project is to be
located showing existing structures and the proposed project;
j. A rendering of the project;
k. A statement indicating the amount of money requested for the
project and a description of the purpose for which the money
will be used;
1. A description of any proposed financing arrangements for the
project (eg, Village to own the project and lease it to
applicant) ;
M. The name and address of the proposed purchaser of the
Industrial Revenue Bonds proposed to be issued, if known;
n. Any additional information requested by the Village Manager
and/or the Director of Finance;
o. A proposed Memorandum of Agreement;
p. A statement of the public purpose to be served by the
issuance of Industrial Revenue Bonds for the project.
C. Procedure.
1. The Village Manager shall review an application for Industrial
Revenue Bond financing within 10 days of the date it is filed
and shall notify the applicant in writing within 15 days of
the date the application is filed whether said application
is complete. If it is not complete, the Village Manager
shall in said written notice advise the applicant of any
additional information which is required.
2. Within 30 days after a completed application has been filed
with the Village Manager, the Village Manager shall forward
said application to the Judiciary, Planning and Zoning
Committee of the Village of Elk Grove Village Board of
Trustees with a recommendation as to whether the Committee
should authorize the initiation of the Phase 2 review.
3. Within 10 days of the Committee's preliminary review, the
Village Manager shall notify the applicant as to the
determination of the Committee and will, if the application
is favorably acted upon, request a deposit in full from the
applicant for fees attendant to Phase 2 review.
Section II. Phase 2
A. Initiation of Phase 2. upon favorable determination of the Phase I
review by the Judiciary, Planning and Zoning Committee, the Village
will forward to their financial consultant all materials submitted by
the applicant to determine the viability of the project and financial
capability of the applicant.
-3-
B. Costs. In addition to the nonrefundable application fee previously
paid by the applicant, the applicant will deposit with the Village
an amount established from time to time by the Village Board of
Trustees for the fees of the financial consultants and/or fees of
any and all other consultants deemed necessary for the Phase 2
review. No further action will be taken on the application until
such time as this deposit has been paid.
In addition, the applicant shall be responsible for and
shall pay any and all out of pocket expenses incurred by the
Village of Elk Grove Village in connection with the review of
the applicant's application and issuance of bonds including but
not limited to attorneys' fees, preparation and duplication of
documents, and related costs. The applicant shall be invoiced
for and shall pay all such costs within 10 days of receipt of
said invoice. No further action on the application shall be
taken until such time as these fees have been paid.
C. Procedure. Upon the payment of the deposit, all appropriate
fees and receipt of the report from the financial consultants,
the Judiciary, Planning and Zoning Committee shall review said
application and consultants reports and hold whatever meetings
or hearings and conduct ,whatever investigations it deems
necessary. The Committee Chairman shall forward a report and
recommendations of the Committee to the Village Board within
90 days after the receipt of the application from the Village
Manager.
D. Refund of Deposit. The Village shall deduct from the deposit all
costs related to the Phase 2 review as outlined herein and
shall refund any unused portion.
Section III. Phase 3
A. Consideration by Village Board. The President and Board of
Trustees shall consider each application for Industrial Revenue
Bonds which comes before it on the agenda. Compliance with the
procedures set forth herein shall not be construed as obligating
the President and Board of Trustees to act upon the application
favorably. The issuance of such bonds pursuant to this Resolution
wholely is at the discretionary judgment of the President and
Board of Trustees.
B. Rights Reserved. The President and Village Board of Trustees
reserve the right to have the applicant appear before them at
the Village Board meeting where the subject is to be discussed
to further explain the proposed development and to answer any
and all questions which may arise.
C. Approval. Upon completion of all steps, the President and Village
Board of Trustees shall consider approval of the Industrial
Revenue Bond issue.
D. Fee. In addition to payment of the nonrefundable application
fee and any and all costs, as provided hereinabove, applicant
shall pay the Village a fee, as established from time to time
by the corporate authorities, if Industrial Revenue Bonds are
issued for the project at the time such bonds are issued. Such
fee shall be considered a project cost.
E. Validity of Bonds. Failure on the part of the applicant or the
Village to comply with the requirements of this section of the
Municipal Code or this Resolution shall not effect the validity
of any Industrial Revenue Bonds issued.
-4-
Section TV. That this resolution shall be in full force and effect
from and after its passage and approval according to law.
PASSED this 13th day of October 1981.
APPROVED this 13th day of October 1981.
Charles J. Zettek
Village President
ATTEST.
Fav M. Bishop
Village Clerk