HomeMy WebLinkAboutResolution 1989-015
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RESOLUTION NO. 89- 15
RESOLUTION APPROVING AN AGREEMENT OF THE
NORTH RICHLAND HILLS INDUSTRIAL DEVELOPMENT CORPORATION
WITH RESPECT TO THE ISSUANCE OF BONDS FOR
TECNOL, INC.
WHEREAS, North Richland Hills Industrial Development
Corporation (the "Corporation") was created under the
auspices of the City of North Richland Hills (the "Unit"):
and
WHEREAS, on December 11, 1985, the City Council of the
Unit approved the issuance of $5,250,000 North Richland
Hills Industrial Development Corporation Revenue Bonds,
Series 1985 (Tecnol, Inc. Project) (the "Prior Bonds"): and
WHEREAS, on December 23, 1985, the Prior Bonds were
delivered by the Corporation to the purchaser thereof; and
WHEREAS, the Corporation is authorized by the
Development Corporation Act of 1979, as amended, (the
. "Act") to issue its revenue refunding bonds on behalf of the
Unit for the purpose of refinancing all or part of the costs
of a "project", as defined in the Act, and to loan the
proceeds thereof to refinance all or part of the costs
thereof: and
WHEREAS, the Corporation, by resolution (the "Bond
Resolution") adopted February 27, 1989, has authorized the
issuance and sale of its Variable Rate Demand Revenue Bonds
(Tecnol, Inc. Project) Series 1989 (the "Bonds"), in the
aggregate principal amount of $4,840,1 000 and by the Bond
Resolution has also authorized a Loan Agreement with Tecnol,
Inc. (the "Company") wherein the Corporation agrees to issue
and sell the Bonds to provide funds to refinance a certain
project of the Company (the "Project") located within the
Unit originally financed through the issuance of the Prior
Bonds, and certain other agreements of the Corporation in
connection therewith (collectively the Loan Agreement and
such other agreements shall be referred to as the "Bond
Documents"); and
WHEREAS, the Act requires that the governing body of
the Unit approve, by written resolution, any agreement to
issue bonds approved by the Corporation: and
WHEREAS, this City Council has reviewed the proceedings
relative to the issuance of the Bonds and, by adoption of
this Resolution, intends to approve the Bond Resolution, the
issuance of the Bonds, the plan of financing approved by the
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Bond Resolution and to make the findings required by the Act
to approve the Project;
WHEREAS, it is deemed necessary and advisable that this
Resolution be adopted.
THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF NORTH RICHLAND HILLS THAT:
Section 1. The Bond Resolution adopted by the
Corporation authorizing the execution of the Loan Agreement
and an Indenture of Trust by and between the Corporation and
Security Pacific National Trust Company, N. A., New York,
New York, as Trustee, dated March 1, 1989, and authorizing
the sale of the Bonds, in substantially the form and
substance attached to this Resolution and made a part hereof
for all purposes, is hereby specifically approved, and the
Bonds may be issued as provided for therein.
Section 2. The Loan Agreement, in sUbstantially the
form and substance as attached to the Bond Resolution and
made a part hereof and thereof for all purposes, is hereby
approved, and Bonds in the principal amount of $4,840,000,
may be issued pursuant thereto for the purpose of paying the
cost of refunding the Prior Bonds issued by the Corporation
for the purpose of paying the cost of acquiring and
constructing or causing to be acquired and constructed the
Project as defined and described therein, which Project was
and is in compliance with the Act and the rules promulgated
thereunder by the Texas Department of Commerce; and said
Project is hereby approved.
PASSED AND
APPROVED this 27th day of February, 1989.
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Tommy Brown, yor
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