HomeMy WebLinkAbout20092242.tiffRESOLUTION
RE: INTENT OF THE COUNTY OF WELD, COLORADO, TO ISSUE ECONOMIC
DEVELOPMENT REVENUE BONDS FOR THE PURPOSE OF FINANCING THE
ACQUISITION, CONSTRUCTION, IMPROVEMENT AND EQUIPPING OF A FACILITY
FOR U.S. ENGINEERING COMPANY WITHIN THE COUNTY
WHEREAS, the Board of County Commissioners of Weld County, Colorado, pursuant to
Colorado statute and the Weld County Home Rule Charter, is vested with the authority of
administering the affairs of Weld County, Colorado, and
WHEREAS, the County is a duly organized political subdivision of the State of Colorado (the
"State"), and
WHEREAS, the County is authorized and empowered pursuant to the provisions of the
County and Municipality Development Revenue Bond Act, Section 29-3-101, et seq., of the
Colorado Revised Statutes, as amended (the "Act"), to finance the acquisition, construction,
improvement and equipping of "projects" (as defined in the Act), including manufacturing, business
and commercial enterprises, and to issue revenue bonds for that purpose, and
WHEREAS, U.S. Engineering Company (the "Company"), duly authorized to do business in
the State, has requested the County to issue its revenue bonds in one or more series to finance the
acquisition, construction, improvement and equipping of a facility consisting of real estate and two
fabrication shops of approximately 18,000 square feet each (one for plumbing and pipefitting and
one for sheet metal), a 30,000 square -foot warehouse and a 50,000 square -foot office building, all to
be used generally as a full service mechanical contracting business (collectively, the "Project"),
located at the intersection of County Roads 11 and 16, in the Town of Frederick, Colorado, within
the County, in order to promote, stimulate and develop the general economic welfare and prosperity
of residents of the County, and
WHEREAS, subject to the provisions of Section 3 of this Resolution, the County desires to
finance the acquisition, construction, improvement and equipping of the Project by the issuance of
revenue bonds (the "Bonds") in one or more series pursuant to the Act, the Bonds to be payable
solely out of the revenues and receipts derived from a loan agreement (the "Loan Agreement") to be
entered into by the County and the Company, and
WHEREAS, the Company has purchased the real estate for the Project and desires at this
time to evidence its intent and the County's intent that the Bonds be issued in 2010, subject to the
provisions of Section 3 of this Resolution, so that, among other advantages, the Company will be
able to reimburse itself for the purchase of the real estate from the proceeds of the Bonds, and
WHEREAS, the Company has indicated to the County that the Bonds will be needed in a
principal amount not to exceed $10,000,000.00.
2009-2242
FI0049
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RE: INTENT OF WELD COUNTY TO ISSUE ECONOMIC DEVELOPMENT REVENUE BONDS
FOR U.S. ENGINEERING COMPANY
PAGE 2
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS
OF THE COUNTY OF WELD, STATE OF COLORADO, THAT:
Section 1.
Section 2.
Section 3.
Subject to the provisions of Section 3 of this Resolution, it is hereby found
and declared that the issuance of the Bonds in one or more series by the
County for the purpose of financing the cost of the proposed Project pursuant
to the Loan Agreement between the County and the Company will promote,
stimulate and develop the general economic welfare and prosperity of the
residents of the County.
Subject to the provisions of Section 3 of this Resolution, the Board of County
Commissioners of the County hereby states it intention to authorize the
issuance of the Bonds in one or more series, pursuant to a plan of finance, in
a principal amount not to exceed $10,000,000.00 to be issued pursuant to
the Act, upon the Company's obtaining all necessary regulatory approvals for
such issuance and upon the conditions more fully set forth in Section 3
hereof. The Bonds will not be general obligations of the County. Neither
shall the Bonds, including interest thereon, constitute the debt or
indebtedness of the County within the meaning of any limitation of the
Constitution or Statutes of the State of Colorado, nor give rise to the
pecuniary liability of the County or a charge against its general credit or
taxing powers.
Notwithstanding this Resolution of Intent of the County to issue the Bonds as
set forth above, the issuance of the Bonds is expressly subject to application,
presentation, completion and final approval by the Board of County
Commissioners of the County, and to each of the conditions and reservations
of rights set forth below:
(a) Satisfactory preparation of, and agreement on, the Loan Agreement,
a trust indenture, a bond ordinance and other documents necessary
for the issuance of the Bonds, including without limitation, approval
by the County Attorney and Bond Counsel of all such documents;
and
(b) Obtaining, or showing progress satisfactory to the County toward
obtaining, all necessary zoning and building permits and compliance
with all necessary regulatory approvals from the Town of Frederick
and the County ordinances; and
(c) Successful private placement of the Bonds or sale of the Bonds by
some other method of sale approved by the County; and
(d) Approval of the issuance of the Bonds by Kutak Rock, LLP, Bond
Counsel, and approval of certain legal matters pertaining to the
issuance of the Bonds by the County Attorney and the Company's
counsel; and
2009-2242
F10049
RE: INTENT OF WELD COUNTY TO ISSUE ECONOMIC DEVELOPMENT REVENUE BONDS
FOR U.S. ENGINEERING COMPANY
PAGE 3
(e) Receipt by the County of a satisfactory indication by the Town of
Frederick that it has no objection to the issuance by the County of the
Bonds; and
Section 4.
Section 5.
Section 6.
Section 7.
(f) Receipt by the County of a satisfactory application for the issuance of
the Bonds prior to January 15, 2010; provided that the County, in its
sole discretion, may waive the time deadline, and provided further
that the County reserves the right, if there is more than one
application prior to January 15, 2010, to issue bonds for only one,
both, or neither of the applicants, including the Company; and
The County hereby reserves the right to rescind this Intent Resolution
if the conditions specified in this Section 3 are not, in the sole
judgment of the County, satisfied, or upon any change of Federal or
State law or regulations adversely affecting the County's issuing
authority, or if there is a protest of the Project at the public hearing
required before the Bonds are issued; and
(h) If the Bonds are not issued for any reason, including noncompliance
with any of the conditions of this Section 3; the County shall not be
subject to any liability, whatsoever, to the Company.
Subject to the conditions and reservations of rights by the County set forth in
Section 3, the Company is hereby authorized to proceed with all matters
necessary to accomplish the purposes set forth in this Resolution.
The County Manager, Deputy County Manager, Bond Counsel and County
Attorney are hereby directed to take such action as they deem necessary, in
cooperation with all persons involved with the financing of the Project, in
order to present the necessary documents to the Board of County
Commissioners of the County for final action. In connection therewith, Bond
Counsel for the County is directed to work with the Company and its counsel,
and all others necessary, to accomplish the purposes set forth herein.
The County and the Company expect to incur expenses in connection with
the acquisition, construction, improvement and equipping of the Project prior
to the issuance of the Bonds. The County and the Company reasonably
expect to reimburse all expenditures in connection with the Project from the
proceeds of the Bonds.
This Resolution shall take effect and be in full force on the date it is adopted
by the Board of County Commissioners of the County. This Resolution shall
be of no effect and shall be null and void on August 25, 2010, in the event
the initial series of bonds has not been issued by such date.
(g)
2009-2242
FI0049
RE: INTENT OF WELD COUNTY TO ISSUE ECONOMIC DEVELOPMENT REVENUE BONDS
FOR U.S. ENGINEERING COMPANY
PAGE 4
The above and foregoing Resolution was, on motion duly made and seconded, adopted by
the following vote on the 26th day of August, A.D., 2009.
ATTEST: „O"
Weld County Clerk to the Bo
BY:
BOARD OF COUNTY COMMISSIONERS
ELD CO NTY, COLORADO
De • Cler o the Board EXCUSED
APPROVER+
Pro-Tem
Sear' P. Conway
, arbara Kirkmeyer
o my ° orney EXCUSED
David E. Long
Date of signature: c'II(Y1
2009-2242
FI0049
Sharon Kahl
From:
Sent:
To:
Cc:
Subject:
Hi Don,
Esther Gesick
Wednesday, August 26, 2009 12:13 PM
Don Warden
Sharon Kahl
RE: Intent Resolution for U.S. Engineering
This was approved today, and I'm copying Sharon on this e-mail so she knows where to send it [2009-2242] once
signed by the Board.
Thanks!
Esther E. Gesick
Deputy Clerk to the Board
Weld County, Colorado
915 10th Street
Greeley, CO 80631
(970)356-4000 X4226
(970)352-0242 (fax)
Original Message
From: Don Warden
Sent: Wednesday, August 26, 2009 12:04 PM
To: Esther Gesick
Cc: Bruce Barker; Monica Mika
Subject: FW: Intent Resolution for U.S. Engineering
Esther,
I assume the BOCC approved this today. Will you let me know? Also will you send Bill Gorham a copy when signed?
Send it to:
Bill Gorham
Kutak Rock LLP
1801 California Street - Suite 3100
Denver, CO 80202
Phone: (303) 297-2400
Fax: (303) 292-7799
Email: william.gorham@kutakrock.com
Thanks, Don
Original Message
From: Bruce Barker
Sent: Wednesday, August 26, 2009 8:20 AM
To: Esther Gesick; CTB
Cc: Monica Mika; Don Warden
i
Hello