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HomeMy WebLinkAboutRes1983-085 . . . e e CITY OF SEWARD, ALASKA RESOLUTION NO. 83-85 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, TAKING OFFICIAL ACTION WITH RESPECT TO THE ISSUANCE OF ITS NONRECOURSE REVENUE BONDS IN THE AMOUNT OF $12,000,000 TO PROVIDE FUNDS TO FINANCE THE ACQUISITION, CONSTRUCTION AND EQUIPPING OF A MARINE TERMINAL FACILITY FOR SEAWAY EXPRESS CORPORATION, AN ALASKAN CORPORATION OR A SUBSIDIARY THEREOF WHEREAS, pursuant to the Constitution of the State of Alaska, the electors of the City of Seward (the "City"), have adopted a home rule to govern its affairs (the "Charter"), which Charter was amended pursuant to an election held on October 4, 1983, to permit the issuance by the City of industrial revenue bonds; and WHEREAS, Seaway Express Corporation, an Alaska corporation or a subsidiary thereof (the "Company"), intends to undertake a project consisting of the acquisition, construction and equipping of a marine terminal facility, fully described in Exhibit A hereto (the "proj ect") within the boundaries of the City; and WHEREAS, the Council of the City deems it advisable for the City (1) to issue its nonrecourse revenue bonds (the "Bonds") for the purpose of financing the Project and (2) to enter into contracts and agreements with the Company whereunder the Company will provide money sufficient to pay the principal of, premium, if any, and interest on such Bonds; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, that: Section 1. It is hereby determined that (a) the acquisition, construction, installation and equipping of the Project and its opera- tion as an industrial development facility; (b) the issuance of up to $12,000,000 principal amount of the Bonds of the City to finance all or a portion of the costs of the Project, such costs presently estimated to be approximately $18,000,000; and (c) the execution and delivery of such contracts and agreements with the Company as are necessary to provide for the payment by the Company of amounts sufficient to pay the princi- pal of, premium, if any, and interest on the Bonds, together with certain costs of the City, will all be in furtherance of the best interests of the City. Section 2. The City presently intends to authorize the issuance and sale of the Bonds when and if requested to do so by the Company and hereby expresses its present approval of such issuance and sale. This resolution is not intended to legally bind the City to authorize, issue or sell the Bonds. -1- . . . . e CITY OF SEWARD, ALASKA RESOLUTION NO. 83-85 Section 3. The authorization, issuance and sale of the Bonds by the City contained herein are subject to the following conditions: (a) The Bonds shall be payable solely from money re- ceived from and security provided by the Company; (b) The Company shall enter into such contracts and agreements with the City as shall be necessary to secure payment of the principal of, premium, if any, and interest on the Bonds as and when the same shall become due and payable; (c) On or before two (2) years from date hereof (or such later date as shall be mutually satisfactory to the City and the Company) the City and the Company shall have agreed to mutually acceptable terms and conditions of the contracts and agreements referred to in Paragraph (b) of this section; (d) The Project is determined to be consistent with policies and objectives of the City; (e) The City shall have received a preliminary oplnlon of the City's Bond Counsel that the Bonds may be issued as tax-exempt obligations pursuant to the provisions of the Internal Revenue Code of 1954, as amended, and applicable regulations thereunder. Section 4. The proper officials of the City are hereby authorized to take such further action as is necessary to carry out the intent and purposes hereof and to issue the Bonds upon the terms and conditions and for the purposes stated herein and in compliance with applicable provisions of law and the Charter. Section 5. It is intended that, as to the proj ect to be financed from the proceeds of the Bonds, this resolution shall consti- tute an official action of the City, including, without limitation, the "other similar official action" referred to in Paragraph 1.103-8 (a) (5)- (ii) and (iii) of the Federal Income Tax Regulations. Section 6. This resolution shall take effect immediately upon its adoption. PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, this 21st day of November , 1983. / THt~Y o'trnj I:;: ~ C:>lla({ttl( [~ DONALD W. CRIPPS, MAYOR -2- . . . e e CITY OF SEWARD, ALASKA RESOLUTION NO. 83-85 EXHIBIT A TO RESOLUTION NO. 83-85 Project Description The proj ect consists of a marine loading and unloading terminal facility to be constructed on property long-termed leased from the Alaska Railroad on the waterfront within the boundaries of the City of Seward. Trailers, equipment and material will be off-loaded from barges arriving at the marine terminal, will be stored at the Project site, and then transported to various locations on the Kenai Peninsula, Anchorage, Fairbanks, and other points in Alaska. Empty and in-transit trailers and equipment will return to be stored at the staging and storage area at the marine terminal. The Proj ect will include an elaborate story ramping system, site preparation, installation of utilities, construc- tion and installation of administrative storage and maintenance build- ings and equipment including fork lifts, mobile cranes, welders, com- pressors, stevedoring equipment, yard hostlers, trailers, communication equipment and other related equipment to be used at the terminal. The Project will require the acquisition and installation of new and exist- ing utilities and other things necessary in connection with the fore- going general description. -4- . . . . CITY OF SEWARD, ALASKA RESOLUTION NO. 83-85 AYES: NOES: ABSENT: ABSTAIN: . Cripps, Gillespie, Hilton, Meehan, Swartz, Wilson None Williams None ATTEST: APPROVED AS TO FORM: HUGHES, THORSNESS, GANTZ, POWELL AND BRUNDIN, Attorneys for the City of Seward, Alaska %.d 17;/~ Fred B. Arvidson, City Attorney -3-