File #: ORD-10:068    Version: 1 Name: Nordex revenue bonds
Type: Ordinance Status: Passed
File created: 8/4/2010 In control: Finance & Administration Council Committee
On agenda: Final action: 9/7/2010
Title: AN ORDINANCE AUTHORIZING THE ISSUANCE OF INDUSTRIAL DEVELOPMENT REVENUE BONDS AND RECOVERY ZONE FACILITY REVENUE BONDS TO FINANCE CERTAIN INDUSTRIAL FACILITIES; AUTHORIZING THE LEASING OF SUCH FACILITIES TO NORDEX USA, INC.; AUTHORIZING TRUST INDENTURES SECURING THE BONDS; AUTHORIZING THE SALE OF THE BONDS; DESIGNATING A PORTION OF THE BONDS AS RECOVERY ZONE FACILITY BONDS; DESIGNATING THE JONESBORO WORK FORCE RECOVERY ZONE; AUTHORIZING AND PRESCRIBING OTHER MATTERS PERTAINING THERETO; AND DECLARING AN EMERGENCY.
Indexes: Bonds - revenue/development
Attachments: 1. Resolution concerning American Recovery and Reinvestment Act of 2009, 2. Jonesboro Labor Market Area, 3. Lease Agreement, 4. Trust Indenture, 5. Trust Indenture 2010 SERIES C, 6. Trust Indenture Recovery Zone Bonds - Series B
Related files: RES-10:095
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AN ORDINANCE AUTHORIZING THE ISSUANCE OF INDUSTRIAL DEVELOPMENT REVENUE BONDS AND RECOVERY ZONE FACILITY REVENUE BONDS TO FINANCE CERTAIN INDUSTRIAL FACILITIES; AUTHORIZING THE LEASING OF SUCH FACILITIES TO NORDEX USA, INC.; AUTHORIZING TRUST INDENTURES SECURING THE BONDS; AUTHORIZING THE SALE OF THE BONDS; DESIGNATING A PORTION OF THE BONDS AS RECOVERY ZONE FACILITY BONDS; DESIGNATING THE JONESBORO WORK FORCE RECOVERY ZONE; AUTHORIZING AND PRESCRIBING OTHER MATTERS PERTAINING THERETO; AND DECLARING AN EMERGENCY.
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WHEREAS, the City of Jonesboro, Arkansas (the City), is authorized and empowered under the provisions of Title 14, Chapter 164, Subchapter 2 of the Arkansas Code of 1987 Annotated (the Act), to issue revenue bonds and to expend the proceeds thereof to finance land, buildings or facilities which can be used in securing or developing industry; and

WHEREAS, it is proposed that the City issue its revenue bonds under the Act to finance the cost of acquiring, constructing and equipping an industrial facility for the manufacture of wind turbine nacelles and rotor blades to be located at 3100 Nordex Drive, Jonesboro, Arkansas 72401 (the Project), for use by Nordex USA, Inc., a Delaware corporation (the Company), and paying the bond guaranty fees, establishing a reserve fund, and paying the expenses of issuing the bonds; and

WHEREAS, after due consideration, the City has determined to proceed with financing the Project and to issue and sell its revenue bonds in the aggregate principal amount of $45,000,000 (the Bonds), and in connection therewith to enter into three Trust Indentures (the Indentures) between the City and a Trustee to be named prior to the issuance of the Bonds (the Trustee), to secure the Bonds; and

WHEREAS, the Bonds will be compromised of (i) $11,000,000 of Economic Development Revenue Bonds issued pursuant to the Act and guaranteed by the Arkansas Development Finance Authority and the Arkansas Economic Development Commission, (ii...

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