File #: ORD-08:062    Version: 1 Name: Amendment to revenue bonds for Millard Refrigerated and Nestle
Type: Ordinance Status: Passed
File created: 7/11/2008 In control: Finance & Administration Council Committee
On agenda: Final action: 8/5/2008
Title: AN ORDINANCE CONFIRMING MATTERS PERTAINING TO INDUSTRIAL DEVELOPMENT REVENUE BONDS PREVIOUSLY ISSUED; AUTHORIZING AND PRESCRIBING OTHER MATTERS RELATING THERETO; AND DECLARING AN EMERGENCY
Sponsors: Mayor's Office
Indexes: Bonds - revenue/development
Attachments: 1. Clerks Certification, 2. First_Amendment_to_Lease, 3. Assignment_and_Assumption, 4. Estoppel_Agreement, 5. Ordinance
Related files: MIN-08:167
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AN ORDINANCE CONFIRMING MATTERS PERTAINING TO INDUSTRIAL DEVELOPMENT REVENUE BONDS PREVIOUSLY ISSUED; AUTHORIZING AND PRESCRIBING OTHER MATTERS RELATING THERETO; AND DECLARING AN EMERGENCY
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WHEREAS, the City of Jonesboro, Arkansas (the "City") has issued its Taxable Industrial Development Revenue Bonds (Millard Refrigerated Services, Inc. Project), Series 2002 (the "Bonds"), in the aggregate principal amount of not to exceed $35,000,000, pursuant to the provisions of Title 14, Chapters 164, Subchapter 2 of the Arkansas Code of 1987 Annotated, for the purpose of financing certain industrial facilities (the "Project"); and

WHEREAS, the Project is leased to Millard Refrigerated Services, Inc., a Georgia corporation (the "Company"), under a Lease Agreement dated as of June 1, 2002 (the "Lease Agreement"), by and between the City and the Company; and

WHEREAS, pursuant to the provisions of the Lease Agreement, the Company proposes to assign its interest in the Lease Agreement and certain other documents entered into in connection with the issuance of the Bonds to Nestle Prepared Foods Company, a Pennsylvania corporation ("Nestle"); and

WHEREAS, the Company will retain ownership of certain machinery, equipment and other personal property and desires to amend the Lease Agreement to specify the items of property to be excluded from the Lease Agreement; and

WHEREAS, there has been presented to this meeting the form of the following instruments which the City proposes to execute to carry out the transaction described above:

(a) Assignment and Assumption Agreement among the Company, Nestle, the City, and The Bank of New York Trust Company, N.A., as Trustee (the "Assignment and Assumption Agreement");

(b) First Amendment to Lease Agreement between the City and the Company (the "Amendment to Lease"); and

(c) Estoppel Agreement among the Company, the City, Nestle, and others (the "Estoppel Agreement"), relating to the Payment in Lieu of Taxes Agreement dated a...

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