Title
Initial Resolution Regarding Industrial Development Revenue Bond Financing For Cleveland Gear Company, Inc.
Body
WHEREAS, Section 66.1103 of the Wisconsin Statutes (the “Act”) authorized the City of West Allis, Wisconsin (the “Issuer”), to authorize the issuance and sale of bonds by the Issuer to construct, equip, re-equip, acquire by gift, lease or purchase, install, reconstruct, rebuild, rehabilitate, improve, supplement, replace, maintain, repair, enlarge, extend or remodel industrial projects; and
WHEREAS, Cleveland Gear Company, Inc., a Delaware corporation (the “Borrower”), desires to complete a project consisting of (i) the purchase and renovation of an approximately 74,000 square-foot manufacturing facility located at 404 South 116th Street, in the City of West Allis, Wisconsin (the “Facility”) and (ii) the acquisition and installation of equipment at the Facility (collectively with the purchase and renovation of the Facility, the “Project”) to be owned by the Borrower and operated as a contract metal machining facility, all of which would contribute to the well-being of the City of West Allis, Wisconsin; and
WHEREAS, the cost of the Project is currently estimated to be greater than $14,000,000, and the amount proposed to financed with one or more series of tax-exempt and/or taxable industrial development revenue bonds does not exceed $10,000,000; and
WHEREAS, the Borrower has requested that the Issuer now approve an initial resolution (the “Initial Resolution”) providing for the financing of the Project in an amount not to exceed $10,000,000; and
WHEREAS, the Issuer is a municipality organized and existing under and pursuant to the laws of the State of Wisconsin, and is authorized to enter into revenue agreements with eligible participants with respect to the Project whereby eligible participants agree to cause said Project to be constructed and to pay the Issuer an amount of funds sufficient to provide for the prompt payment when due...
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