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12 of 1978 - Resolution authorizing the Board of Commissioners of Salt Lake City to proceed with necessary negoti pp.' . .. Resolution No. ,- gy Jennings Phillips, Jr. 1 J r ' COMMISSIONER Authorizing the Board of Commissioners of Salt Lake City to proceed with i'', necessary negotiations relating to the I'll issuance of$3,500,000 Industrial Revenue Bonds to finance the construct; tion of a conference center in the I Research Park area of the University ',III, of Utah for University Conference l I Center Associates and Sojourner I International. 11 I", Presented to the Board of Commissioners IL I IIII AND PASSED II FEB 71973 Il a 7.e,G� CK/ RY RECOr- 1, . 1' jI I February 14. 1978 Honorable Jennings Phillips, Jr. Commissioner of Public Affairs and Finance 211 City and County Building Salt Lake City, Utah Dear Commissioner Phillips; The Board of City Commissioners. at its meeting today, approved your motion as follow: I move that the City Commissiao meta its action at February 7, lift.preliminary Resolution No. 12 of 1978. authorizing the Board of Commissioners of Salt Lake City to proceed with accessary eegotistica*relating to the isauaeee of$3:200,000 industrial Revenue Bonds to Hoarse*the construction of a conicreae center la the Research Pant sync of the l3adveraity of Utah for university Conference Center Associates and 8d)cureer International without prejudice to Mr. Richard Perkins and Mr. Den B. Allen. Attorney,wtth the understanding that the City may as a matter it policy decline to sponsor hooding for a development bet rather that the City continue to sponsor established fiscally responsible comfits*. Yours truly. Attorney City Recorder Auditor Mayor Wilma Comm.Agrss Comm.Greener Comma.flab Mr.AU** Files-2 Atty Report 81 Resslagsa 12 NOTICE NOTICE OF THE AGENDA OF A REGULAR MEETING OF THE BOARD OF COMMIS- SIONERS OF SALT LAKE CITY, H. Publ Public la hereby given Mat the Board of Commission- hlAaarpWu' gIo Salt Utah, will Room 301, City and Canty Building,Salt Lake City,Utah, osmmencing at 10:00 o'clock am.on February 7,1978. The agenda for the meeting will consist of the following: Roll Call RESOLUTION of Consideration of the althoriz g adoption the Board of Commissioners of Salt Lake City to proceed with necessary reootiatbns relating to Me Issuance of Three Million Five Hundred Thousand Dol- lars(13,500,000)Industrial Rev- enuconfronds uction o f a to finance e center In the Research Perk area of the University of Utah for University Conference Cen- ter Associates,a general pert- mmnio and Suborner Interna- tional,a Utah Corporation. Dated:February 1,1978. MILDRED V.HIGHAM City Recorder PUBLISHED February 4,1998 ID-Sal ROLL CALL VOTING Ems Salt Lake City,Utah, February 7 ,19 78 Mr.Chairman I move that t '• elution be. opted.. Agraz . .. . / • Phillips 1 IMPIOLUTION Result 11111 WHEREAS, Salt Lake City Corporation (the "City") , a municipal corporation of the State of Utah, is authorized and empowered under the provisions of the Utah Industrial Facilities Development Act, Title 11 Chapter 17 Utah Code Annotated 1953, as amended, (the "Act") for the purposes stated therein to issue revenue bonds for industrial develop- ment purposes; and WHEREAS, University Conference Center Associates, a general part- nership organized under the laws of the State of Utah, with Sojourner International, a Utah corporation, as the principal managing partner, has requested that the City issue industrial revenue bonds to finance part of the costs of constructing a conference center consisting of approximately 150 hotel rooms, together with conference rooms and appurtenant dining and shopping facilities, which conference center shall be located on land owned by the University of Utah as part of the Research Park which shall provide such land under a long-term lease for the purpose of said conference center. The proposed conference center will have a cost of approximately $4.5 million, of which $1 million will represent equity contributions through University Con- ference Center Associates and $3.5 million will represent proceeds of the proposed industrial revenue bond issue; and WHEREAS, the City desires, pursuant to the request of University Conference Center Associates ("Company") to issue such industrial revenue bonds to finance part of the costs of constructing the buildings, improvements and related furniture, fixtures and equipment; and WHEREAS, such bonds would be payable solely from the rentals, revenues and receipts delivered to the City or through an account for the City from the proceeds of the project itself, and neither the bonds nor any transactions associated therewith will constitute or give rise to any general obligation or liability of the City whatever and will • -2- not constitute a charge against its general credit or taxing powers and from which, among other things, the Company will agree to hold the City harmless; and WHEREAS, the payment of the principal of, interest on and other charges associated with said bonds will be guaranteed by the company; and WHEREAS, the bondholders will be secured by an appropriate lien on the improvements together with a pledge of the obligations of the Company relating to the project; and WHEREAS, the Company has agreed that, if it becomes appropriate or necessary to use a trustee to administer funds or hold various pro- perties or interests therein for the benefit of the bondholders, a state or national bank doing business within the State of Utah will be appointed as trustee, all with the subsequent approval of the City and in accordance with the laws of the State of Utah; and WHEREAS, sale of the bonds is proposed as a private placement through an investment and bond company, and the bonds will not be marketed generally to members of the public, but to financial insti- tutions or other sophisticated investors; and WHEREAS, the Company desires that the final arrangements with the University of Utah be concluded expeditiously and that construc- tion of the building, improvements and other appurtenances commence within a very short time. NOW, THEREFORE, BE IT RESOLVED by the Board of Commissioners of Salt Lake City as follows: 1. That the Board of Commissioners of Salt Lake City hereby finds and determines that the issuance of its revenue bonds to finance the cost of the project will be in furtherance of the public purposes set forth in the Act and that the project will promote the welfare of the City. 2. That the Board of Commissioners of Salt Lake City hereby grants preliminary approval to the project to be financed in part out of the proceeds of not to exceed $3.5 million principal amount -3- of the industrial revenue bonds, series 1978, of Salt Lake City Corporation, to be issued pursuant to the provisions of the Act. 3. That officials of Salt Lake City Corporation are hereby authorized and directed to proceed with the necessary negotiations with Bond Counsel and Company Officers relating to the project and the review of the legal documents relating thereto which shall be prepared by Bond Counsel for final action by the Board of Commissioners of Salt Lake City, after appropriate approval by the City Attorney, provided that the Company shall meet all City, State and Federal statutory and regulatory requirements for the project and issuance of the bonds, and provided further, that the Company has finalized arrangements with the University of Utah for the long-term lease of the land on which the improvements will be constructed. Passed by the Board of Commissioners of Salt Lake City, Utah, this 7th day of February 1978. ` / ,- 4101."- .4 OM COMM l SIO ER / \ 4„A.. ,, i i .SSIONER -