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HomeMy WebLinkAbout20053138.tiff RESOLUTION RE: APPROVE A RESOLUTION AUTHORIZING THE ISSUANCE AND SALE OF WELD COUNTY, COLORADO, ADJUSTABLE RATE REVENUE BONDS (BSC-HUDSON LLC PROJECT) SERIES 2005 IN THE AGGREGATE PRINCIPAL AMOUNT NOT TO EXCEED $5,800,000; MAKING DETERMINATIONS AS TO SUFFICIENCY OF REVENUES AND AS TO OTHER MATTERS RELATED TO THE PROJECT AND APPROVING THE FORM AND AUTHORIZING THE EXECUTION OF CERTAIN DOCUMENTS RELATING THERETO 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,Weld County, Colorado (the "Issuer") is a legally and regularly created, established county organized and existing under the Constitution and laws of the State of Colorado, and WHEREAS,the Issuer is authorized by Part 1 of Article 3 of Title 29, C. R. S., as amended (the "Act"), to issue revenue bonds for the purpose of financing or refinancing projects to the end of promoting industry and developing trade or other economic activity by inducing nonprofit corporations to locate, expand or remain in the State of Colorado and to secure and maintain a balanced economy in Colorado, to enter into financing agreements with others for the purpose of providing revenues to pay such bonds, and further to secure the payment of such bonds, and WHEREAS, the following documents have been submitted to the Board of County Commissioners (the "Board") and filed in the office of the Weld County Clerk to the Board (the "Clerk") and are there available for public inspection: (a) a proposed form of a Loan Agreement, dated as of October 1, 2005 (the "Loan Agreement"), by and between the Issuer and the BSC-Hudson LLC (the "Company"); (b) a proposed form of a Trust Indenture, dated as of October 1, 2005 (the "Indenture"), by and between the Issuer and Wells Fargo Bank West, National Association (the "Trustee"); (c) the Official Statement dated October 25, 2005 (the "POS"); and (d) a proposed form of a Bond Purchase Agreement (the "Purchase Agreement") by and among the Issuer, the Company and Wells Fargo Brokerage Services, LLC (the "Underwriter"), and WHEREAS, if the Board proceeds with the Project, as defined below, then the Board is willing to (i) enter into the Loan Agreement, the Trust Indenture and the Bond Purchase Agreement; (ii) acknowledge the use and distribution of the Official Statement and consent to the use of the information therein under the caption "THE ISSUER"; and (iii) issue, execute and delivery the Bonds, and 2005-3138 CC �d Cockri F10041 RESOLUTION TO AUTHORIZE ISSUANCE OF BONDS (BSC-HUDSON LLC) PAGE 2 WHEREAS, if the Board proceeds with the Project, as defined below, then the issuance of the Bonds shall be approved by the "applicable elected representative" of the State of Colorado (the "State") following proceedings under, and in accordance with, Section 147 (f) of the Internal Revenue Code of 1986, as amended (the "Code"), and the regulations promulgated thereunder (the "Regulations"), and WHEREAS, the Board desires to issue at this time Weld County, Colorado, Adjustable Rate Revenue Bonds (BSC-Hudson LLC Project) Series 2005, in the total principal amount not to exceed $5,800,000 (the "Bonds"), for the presently anticipated purposes of financing (i) the acquisition, development, construction, improving and equipping of a 48,000 square-foot manufacturing facility located in Hudson, Colorado (the "Project") and (ii) paying for a portion of the costs of issuance incurred with respect to the Bonds, and WHEREAS, it is necessary or desirable to authorize the issuance of the Bonds by Resolution and to approve the form and authorize the execution of the aforementioned documents thereby. NOW, THEREFORE, BE IT RESOLVEDby the Board of County Commissioners of Weld County, Colorado, that: Section 1. Approvals and Authorizations. The forms of the Loan Agreement, Indenture (including the form of the Bonds) and Purchase Agreement are hereby approved with only such changes therein, if any, as are not inconsistent herewith. In accordance with the terms of the Indenture, Wells Fargo Bank West, National Association, is hereby appointed Trustee with respect to the Bonds. The Underwriter is hereby appointed as the underwriter in connection with the purchase of the Bonds. The Chair of the Board and the Clerk are hereby authorized and directed to execute the Loan Agreement, the Indenture, the Purchase Agreement, the Bonds, the final Official Statement, and to affix the seal of the Issuer thereto, and further to execute and authenticate such other documents, instruments or certificates as are deemed necessary or desirable by bond counsel in order to issue and secure the Bonds. Such documents are to be executed in substantially the form hereinabove approved, provided that such documents may be completed, corrected, prepared or revised as deemed necessary by the parties thereto in order to carry out the purposes of this Bond Resolution. Copies of all of the documents shall be delivered, filed and recorded as provided therein. The rights, title and interest of the Issuer in the Loan Agreement when executed, shall, by the terms thereof, have been assigned to the Trustee except as therein provided. The proper officers of the Issuer are hereby authorized and directed to prepare and furnish to bond counsel certified copies of all proceedings and records of the Issuer relating to the Bonds and such other affidavits and certificates as may be required to show the facts relating to the authorization and issuance thereof, as such facts appear from the books and records in such officers' custody and control. The approval hereby given to the various documents referred to above includes the approval of such additional details therein as may be necessary and appropriate for their 2005-3138 F10041 RESOLUTION TO AUTHORIZE ISSUANCE OF BONDS (BSC-HUDSON LLC) PAGE 3 completion and such modifications thereof, deletions therefrom, and additions thereto as may be approved by bond counsel and Issuer's attorney prior to the execution of the documents. The execution of any instrument by the appropriate officers of the Issuer herein authorized shall be conclusive evidence of the approval by the Issuer of such instrument in accordance with the terms hereof. Section 2. Issuance and Sale of Bonds. Subject to receipt by the Issuer at the time of delivery of the Bonds of the approving legal opinion or opinions of Brownstein Hyatt & Farber, P.C., as bond counsel, and the opinion of counsel to the Company, which opinions shall be in forms and substance acceptable to the Issuer, the Issuer shall issue the Bonds, for the purposes, in the form and upon the terms set forth in this Bond Resolution, the Indenture and the Loan Agreement, including the form of the Bonds as set forth in the Indenture. The Bonds shall be payable in the manner and to the persons set forth in the Indenture and the form of the Bonds set forth therein, and shall mature no later than October 1, 2020. The maximum net effective interest rate authorized for the Bonds is ten percent (10%) per annum. The actual net effective interest rate for the Bonds does not exceed ten percent (10%) per annum. The interest rates on the Bonds are as set forth in the Indenture. Section 3. Determinations. It is hereby found, determined and declared, in accordance with Sections 29-3-113, 29-3-114 and 29-3-120 of the Act, that: (a) The financing of the Project will promote the public health, welfare, safety, convenience and prosperity and promote and develop trade or other economic activity by inducing commercial and business enterprises and nonprofit corporations to locate, expand, or remain in the Issuer and the State of Colorado, in order to mitigate the serious threat of extensive unemployment and to secure and maintain a balanced and stable economy for the Issuer and the State of Colorado. (b) The maximum amounts necessary in each year to pay the principal of and interest on the Bonds and the interest rates to be borne by the Bonds are as provided in the Indenture. (c) The payments required in the Loan Agreement to be made are sufficient to pay the principal of and interest on the Bonds when due, and to pay all other costs required in the Loan Agreement to be paid, including all sums referred to in paragraphs (c), (e) and (f) of this section. (d) The Loan Agreement provides that the Company shall maintain the Project in good repair and carry all proper insurance with respect thereto. (e) The Loan Agreement requires that the Company pay all required taxes and other governmental charges including, without limitation, those specified in Section 29-3-120 of the Act with respect to the Project, and sufficient revenues for such purpose are thereby provided. 2005-3138 FI0041 RESOLUTION TO AUTHORIZE ISSUANCE OF BONDS (BSC-HUDSON LLC) PAGE 4 Section 4. Nature of Obligation. Under the provisions of the Act, and as provided in the Loan Agreement, the Bonds shall be special, limited obligations of the Issuer payable solely from, and secured by a pledge of the revenues derived from the Loan Agreement. The Issuer will not pledge any of its property or secure the payment of the Bonds with its property. The Bonds and the interest thereon shall never constitute the debt or indebtedness or the financial obligation of the Issuer within the meaning of any provision or limitation of the Colorado Constitution or statutes of the State of Colorado and shall not constitute or give rise to a pecuniary liability of the Issuer, its agents, employees or officers, or a charge against its general credit or taxing powers. In entering into the Loan Agreement, the Indenture and the other documents relating to the issuance of the Bonds to which the Issuer is a party, the Issuer will not obligate itself, except with respect to the application of the revenues derived from the Loan Agreement and the Bond proceeds. The Issuer will not pay out of its general fund or otherwise contribute any part of the Cost of the Project (as said term is defined in the Indenture). No costs are to be borne by the Issuer in connection with the issuance of the Bonds. The Loan Agreement provides that all fees and expenses of the Issuer shall be paid by the Company. Section 5. Bond, Preliminary Official Statement and Official Statement Printing. The officers of the Issuer are hereby authorized and directed to assist in, to the extent necessary, the printing of the Bonds, the POS and a final Official Statement with respect to the Bonds, all in connection with the offer and purchase of the Bonds, provided that no costs are to be borne by the Issuer in connection therewith. Section 6. Bond Resolution Irrepealable. After the Bonds are issued, this Bond Resolution shall constitute an irrevocable contract between the Issuer and the holders of the Bonds and shall be and remain irrepealable until the Bonds, both principal and interest, shall be fully paid, canceled and discharged. Section 7. Ratification. All actions heretofore taken by the Issuer and by the officers thereof or on their behalf not inconsistent herewith directed toward the financing of the Project and the issuance and sale of the Bonds are ratified, approved and confirmed. Section 8. Repealer. All acts, orders, resolutions or parts thereof, taken by the Issuer and in conflict with this Bond Resolution, are hereby repealed, to the extent of such inconsistency except that this repealer shall not be construed so as to revive any act, order, resolution, or part thereof, heretofore repealed. Section 9. Other Matters. By the passage of this Bond Resolution, the Board does not intend to approve, nor is it approving hereby, any matters relating to licensing, subdivision, zoning, planning or landscaping of the Project. Approval of such matters must be obtained under normal procedures of the Issuer. Section 10. Severability. If any paragraph, clause, section or provision of this Bond Resolution, except Section 4 hereof, is judicially adjudged invalid or unenforceable, such judgment shall not effect, impair or invalidate the remaining paragraphs, clauses, sections or provisions hereof. 2005-3138 F10041 RESOLUTION TO AUTHORIZE ISSUANCE OF BONDS (BSC-HUDSON LLC) PAGE 5 Section 11. Effective Date. This Resolution shall be effective upon its adoption. The above and foregoing Resolution was, on motion duly made and seconded, adopted by the following vote on the 26th day of October,.A.D., 2005. otaa+...,, BOARD OF COUNTY COMMISSIONERS A �I. ,� ! / ,�% WELD COUNTY, COLORADO ATTEST: a _ _I 1 i/ 1 ,ft: ��. ' -L '1- - `-4 /i � 1 a k fit; - ., illiam H. Jerke, @ir Weld County Clerk to the '"�' ' , �� icy�fsa, �."M. G 'le, Pr Te BY: C\uukfrA �G�t l ." �.DutyCIto the Boar.lc_A-, Y C:•,-( 7 D id Lon APPRO D A.,1,91 _ _ M: O my ;idorrt�y� Robrasde Glenn Vaad 2005-3138 F10041 NOTICE OF PUBLIC HEARING CONCERNING THE ISSUANCE OF WELD COUNTY, COLORADO ADJUSTABLE RATE ECONOMIC DEVELOPMENT REVENUE BONDS (BSC HUDSON, LLC PROJECT) SERIES 2005 PUBLIC NOTICE IS HEREBY GIVEN that a public hearing will be held on Wednesday, October 19, 2005, commencing at 9:00 a.m., at the offices of the Board of County Commissioners of Weld County, Colorado (the "County"), 915 10`h Street, lst Floor Hearing Room, Greeley, Colorado, 80632, for the purpose of providing a reasonable opportunity for interested individuals to express their views, orally or in writing, on the issuance by the County of the above-referenced bonds (the "Bonds") and the nature of the project described below which will be financed through the issuance of the Bonds. The County has been requested by BSC Hudson, LLC, a Colorado limited liability company (the "Borrower"), to issue the Bonds in an aggregate principal amount not to exceed $5,900,000 to fund a loan by the County to the Borrower for the purposes of (i) providing funds to acquire, develop, construct, improve and equip a manufacturing facility for the manufacturing of chemicals containing approximately 48,000 square feet located at 22400 I-76 Frontage Road, Hudson, Colorado 80642 (the "Project") and (ii) paying certain costs of issuance relating to the Bonds. The Project will be owned by the Borrower and will be operated by Boulder Scientific Company. Interested members of the public are invited to attend the public hearing. Persons desiring to obtain additional information concerning the Bonds or the Project in advance of the hearing should contact the County at the address stated above. WELD COUNTY, COLORADO By: William H. Jerke, Chair, Board of County Commissioners • E ICNOTiCONSUANIC RNINNG THE HEARING COS PROOF OF PUBLICATION ISSUANCE OF FORT LUPTON WELD COUNTY,COLORADOECONOMIC ADJUSTABLELOPRATE STATE OF COLORADO DEVELOPMENT REVENUE BONDS (BSC HUDSON,SERIE2005 ROJECT) COUNTY OF WELD SS. PUBLIC NOTICE IS HEREBY GIVEN that a public hearing will be held on Wednesday, October 19, 2005.commencing at 9:00 a.m.,at I, Karen Lambert, do solemnly swear that I the offices of the Board of County Commissioners of Weld County, am the Publisher of the Fort Lupton Press; Colorado(the'County').915 10th Street,1st Floor Heanng Room, that the same is a weekly newspaper printed Greeley,Colorado,80632,for the purpose for f providing areatoe reasonable and published in the County of Weld, State opportunity to express their views, of Colorado, and has a general circulation orally or in writing,on the issuance by the County of the therein; that said newspaper has been above-referenced bonds (the Bonds')and the nature of the published continuously and uninterruptedly project described below wNch will be financed through the issuance in said county of Adams for a period of more of the Bonds. The County has than fifty-two consecutive weeks prior to the been requested by BSC Hudson, LLC, a Colorado limited llassue first publication of the annexed legal notice company(the'Borrower),to issue the Bonds in an aggregate principal amount not to exceed or advertisement; that said newspaper has County to fund Borrower loan by the been admitted to the United States mails as County to the for the purposes acq °`developa'ngconsruct. . second-class matter under the provisions of Improve and equip a the act of March 3, 1879, or any manufacturing faddy for the manufacturing of chemicals containing approximately48.000 amendments thereof, and that said square feet located at 22400 I-76 Frontage Road,Hudson,Colorado newspaper is a weekly newspaper duly 80642 (the 'Project') and (ii) paying certain costsof issuance qualified for publishing legal notices and relating to the Bonds.The Project will be owned by the Borrower and • advertisements within the meaning of the wit be operated by Boulder laws of the State of Colorado. That the Scientific Company. Interested members of the public annexed legal notice or advertisement was are invited to attend the public hearing.Persons desiring to obtain published in the regular and entire issue of information the Bondsl r P q�in every number of said weekly newspaper for advance of thehearing should the period of 1 consecutive insertion(s); and contact the County at the address stated above. that the first publication of said notice was in WELD COUNTY,COLORADO the issue of newspaper, dated 5th day of B :William H.Jerks,Chair, Board of County Commissioners October, 2005, and the last on the 5th day of October, 2005. O�P4Y put, %mq R( to u is er. U scn sworn a ore me,this the BO Ey,,tt�t' )L 2nd day of October, 2005. ;=Aciaoyd o ary u ic. CASE NO.286230 key 20540 2005-3103 Form 8038 Information Return for Tax-Exempt Copt./ (Rev.January 2002) Private Activity Bond Issues OMB No.1545-0720 Department d the Treasury (Under Internal Revenue Code section 149(e)) Internal Revenue Semce P. See separate instructions. Part 1 Reporting Authority Check if Amended Return ► ❑ 1 Issuer's name 1 Issuer's employer identification number Weld County,Colorado 84;6000813 3 Number and street(or P.O.box if mail is not delivered to street address) Room/suite 4 Report number 915 Tenth Street 1 01 5 City,town,or post office.state,and ZIP code 6 Date of Issue Greeley,Colorado 80631 11/2/2005 7 Name or issue Adjustable Rate Economic a CUSIP number Development Revenue Bonds,(BSC Hudson,LLC Project)Series 2005 929222 AA1 9 Name and title of officer or legal representative whom the IRS may call for more information 10 Telephone number of Ace or legal representative Donald Warden,County Administrator ( 970 ) 356-4000 Part II Type of Issue (check the applicable box(es) and enter the issue price for each) Issue Price 11 Exempt facility bond: a 0 Airport(sections 142(a)(1)and 142(c)) 11a b ❑ Docks and wharves (sections 142(a)(2) and 142(c)) 11b c ❑ Water furnishing facilities(sections 142(a)(4) and 142(e)) 11c d 0 Sewage facilities (section 142(a)(5)) ltd. e ❑ Solid waste disposal facilities (section 142(8)(6)) 11e f ❑ Qualified residential rental projects(sections 142(a)(7)and 142(d)), as follows: 11f Meeting 20-50 test(section 142(d)(1)(A)) ❑ Meeting 40-60 test (section 142(d)(1)(B)) ❑ Meeting 25-60 test(NYC only) (section 142(d)(6)) ❑ / Has an election been made for deep rent skewing(section 142(d)(4)(6))? 0 Yes ❑No //A, g ❑ Facilities for the local furnishing of electric energy or gas (sections 142(a)(8) and 142(f)) h ❑ Facilities allowed under a transitional rule of the Tax Reform Act of 1986 (see instructions) , 111i Facility type 1986 Act section i ❑ Qualified enterprise zone facility bonds (section 1394) (see instructions) 11i j ❑ Qualified empowerment zone facility bonds(section 1394(t)) (see instructions) 11J k ❑ District of Columbia Enterprise Zone facility bonds (section 1400A) (see instructions) 1 tk I ❑ Qualified public educational facility bonds(sections 142(a)(13)and 142N) 111 m 0 Other. Describe (see instructions) ► him 12 ❑ Qualified mortgage bond (section 143(a)) 12 13 ❑ Qualified veterans' mortgage bond(section 143(b)) ► 13 Check the box if you elect to rebate arbitrage profits to the United States ❑ r " 4 14 12 Qualified small issue bond(section 144(a)) (see instructions) ► 14 5,715,000 Check the box for$10 million small issue exemption 15 ❑ Qualified student loan bond (section 144(b)) 15 • 16 0 Qualified redevelopment bond(section 144(c)) 16 17 ❑ Qualified hospital bond (section 145(c)) (attach schedule—see instructions) 17 18 ❑ Qualified 501(c)(3)nonhospital bond (section 145(b)) (attach schedule—see instructions) 18 Check box if 95%or more of net proceeds will be used only for capital expenditures ► ❑ 19 ❑ Nongovernmental output property bond (treated as private activity bond) (section 141(d)) . , 19 20 0 Other. Describe (see instructions) ► 20 Part Ill Description of Bonds (Complete for the entire issue for which this form is being filed.) (a)Final maturity date (b)Issue price IU slated redemption (d)Weighted (e)Yield price at maturity average maturity 21 10/1/25 E 5,715,000 E 5,715,000 11.059 years VR% For Paperwork Reduction Act Notice,see page 4 of the separate instructions. cat.No.49973K Form 8038 (Rev.1.2002) RECEIVED 53 NOV 072005_11 OGDEN, UTAH r Form 8038(Rev.1.2002) Page 2 Part IV Uses of Proceeds of Issue (including underwriters' discount) Amount 22 Proceeds used for accrued interest 22 0 23 Issue price of entire issue(enter amount from line 21, column(b)) 23 5,715,000 24 Proceeds used for bond issuance costs(including underwriters'discount) 24 114,300 25 Proceeds used for credit enhancement 25 56,640 26 Proceeds allocated to reasonably required reserve or replacement fund 26 0 27 Proceeds used to currently refund prior issue(complete Part VI) 27 0 28 Proceeds used to advance refund prior issue(complete Part VI) . . 28 0 29 Add lines 24 through 28 29 170,940 30 Nonrefunding proceeds of the issue (subtract line 29 from line 23 and enter amount here). . 30 5,544,060 Part V Description of Property Financed by Nonrefunding Proceeds Caution: The total of lines 31a through e below must equal line 30 above. Do not complete for qualified student loan bonds, qualified mortgage bonds, or qualified veterans'mortgage bonds. 31 Type of Property Financed by Nonrefunding Proceeds: Amount a Land 31a 1,400,000 b Buildings and structures 31b 1,600,000 c Equipment with recovery period of more than 5 years 31c 2,544,060 d Equipment with recovery period of 5 years or less 31d e Other(describe) 31e 32 North American Industry Classification System (NAICS) of the projects financed by nonrefunding proceeds. NAICS Code Amount of nonrefunding proceeds NAICS Code Amount of nonrefunding proceeds a 325100 $ 5,544,060 c $ b $ d $ Part VI Description of Refunded Bonds (Complete this part only for refunding bonds.) 33 Enter the remaining weighted average maturity of the bonds to be currently refunded ► years 34 Enter the remaining weighted average maturity of the bonds to be advance refunded ► years 35 Enter the last date on which the refunded bonds will be called ► 36 Enter the date(s)the refunded bonds were issued► Part VII Miscellaneous 37 Name of governmental unit(s)approving issue(see the instructions) ► Weld County Board of County Commissioners hearing 10/19/05;approval 10/26/05 38 Check the box if you have designated any issue under section 265(b)(3)(B)(i)(III) , ► ❑ 39 Check the box if you have elected to pay a penalty in lieu of arbitrage rebate ► ❑ 40 Check the box if you have identified a hedge (see instructions) ► ❑ 41 Check the box if the issue is comprised of qualified redevelopment, qualified small issue, or exempt facilities bonds and provide name and EIN of the primary private user ► Q Name D. Boulder Scientific Company EIN 84 10537745 Part VIII Volume Caps Amount 42 Amount of state volume cap allocated to the issuer. Attach copy of state certification . . 42 5,715,000 43 Amount of issue subject to the unified state volume cap 43 5,715,000 44 Amount of issue not subject to the unified state volume cap or other volume limitations: 44 a Of bonds for governmentally owned solid waste facilities,airports,docks,wharves,environmental enhancements of hydroelectric generating facilities, or high-speed intercity rail facilities . . , 44a b Under a carryforward election. Attach a copy of Form 8328 to this return 44b c Under transitional rules of the Tax Reform Act of 1986. Enter Act section ► 44c d Under the exception for current refunding (section 1460) and section 1313(a) of the Tax Reform Act of 1986) 44d 45a Amount of issue of qualified veterans'mortgage bonds 45a b Enter the state limit on qualified veterans' mortgage bonds 45b 46a Amount of section 1394(f)volume cap allocated to issuer.Attach copy of local government certification . 46a b Name of empowerment zone ► t„..=. a , t. 47 Amount of section 142(k)(5) volume cap allocated to issuer. Attach copy of state certification. 47 Under penalties or perjury,I declare that I have examined this return,and accompanying schedules and statements,and to the best of my knowledge and belief,they are true,corre and complete. Sign // Here ' ' November 2, 2005 signature or officer Date their, William H.Jerke Board of County Commissioners Name of above officer(type or print) Title or officer(type or print) ® Form 8038 (Rev.1.2002) ' OCT-25-2005 TUE 09:45 AM WELLS FARGO PF FAX NO. 3038634895 P. 02 10124/Yev0 10':87 3930664877 DIv OF HOUSING PAGE B2/B2 STATE OF COLORADO EXECISIWF DIRECTOR'S OFFICE ta.Dcpanmsnt of loaf affairs - 1313 Shaman Sent,suer S00 .�. . , Ramer,Colorado 83203 = Phone:0031866-4904 FAX,(303)666-4317 ' t' TOD,(303)8664300 PO Oaks C/>wnaw October 24,2005 thU�.l t.aauN7 Ftnelw Dewar Donald Warden,Director Department ofFinance and Administration P.O.Box 758 Ottcley,CO 80632 RE: BOULDER SCIENIVIC COMPANY,INC Dear Mr.Warden: I ate pleased to inform you that the Department of Local Affairs,pursuant to 24-32-1710.CRS., is allocating S5,800,0.00 in Private Activity Bond allocation from the statewide balance to Boulder Scientific Company,for use in the financing of their facility expansion. The award period for this allocation is effective the date of this lener and expires December 23, 2005,in accordance with 24-32.1708,C.R.S.If the bond is not issued prior to this expiration date the allocation will relinquish to the statewide balance. Award of Private Activity Bond allocation does not constitute award of actual funds,from any state or federal program.Please be aware that you are required to file a Dopy of IRS Form 8038 with the Department of Local Affairs within five days after issuance and deli pursuant to 24-32-1708(1). very of the bonds. In addition,a fee of.2S%of the statewide balance bond allocation is due to the Department of Local Affairs no later than five days after issuance and delivery of the bonds. A separate invoice for this amount will be provided. Please contact Elizabeth Smith of my staff'at(303)866-5577 if you have any questions. Sine • #000007 'chat'L.Beasley Executive Director cc: John Self Strengthening Colorado Communities PUBLIC APPROVAL CERTIFICATE OF WELD COUNTY, COLORADO WELD COUNTY, COLORADO ADJUSTABLE RATE ECONOMIC DEVELOPMENT REVENUE BONDS (BSC HUDSON, LLC PROJECT) SERIES 2005 WHEREAS, the purpose of this approval certificate is to satisfy the public approval requirement of Section 147(f) of the Internal Revenue Code, as amended (the "Code"), in order to qualify the interest on the above-captioned bond issue in the principal amount not to exceed $6,000,000 (the "Bonds") for exclusion from the gross income of the owners thereof for federal income tax purposes pursuant to the applicable provisions of the Code; and WHEREAS, the proceeds of the Bonds will be loaned to BSC Hudson, LLC, a limited liability company duly organized and existing under the laws of the State of Colorado (the "Borrower"), for the purposes of(i) providing funds to acquire, develop, construct, improve and equip a manufacturing facility for the manufacturing of chemicals containing approximately 48,000 square feet located at 22400 I-76 Frontage Road, Hudson, Colorado 80642 (the "Project") (ii)paying certain costs of issuance relating to the Bonds; and (iii) issuing the Bonds; and WHEREAS, a public hearing was opened by the Board of County Commissioners of the County at 9:00 a.m. on October 19, 2005 (the "Public Hearing") after a Notice of Public Hearing was published on October 5, 2005 in the Fort Lupton Press, as evidenced by the affidavit of publication, a copy of which is attached hereto as Exhibit A; and WHEREAS, after reasonable public notice was given, the Public Hearing was held and that no objections were raised with respect to the proposed issuance of the Bonds for the purposes set forth herein; NOW, THEREFORE, based upon all of the foregoing, I HEREBY CERTIFY THAT: (1) As Chair of the Board of County Commissioners of the County, I am the chief executive officer of the County elected by popular vote of residents of the County; and (2) For the sole purpose of qualifying the interest on the Bonds for exclusion from the gross income of the owners thereof for federal income tax purposes pursuant to the applicable provisions of the Code, I hereby approve the issuance of the Bonds by Weld County, Colorado in the principal amount not to exceed $5,900,000 which will be applied to financing a manufacturing facility for the manufacturing of chemicals, provided that in no event shall the County or any political subdivision thereof be liable for payment of the principal, purchase price or redemption price of or interest on such Bonds nor shall the Bonds constitute a debt of County or any political subdivision thereof. 53941366\943375.1 • Signed this 3/.56 day of October, 2005. Chair, Board of County Commissioners of Weld County, Colorado 5394\366\943375.1 EXHIBIT A _ ,NOTICE OF PUBLIC HEARING PROOF OF PUBLICATION CONCERNING THE ISSUANCE OF FORT LUPTON ADJUSOTABL RAT?ECONOMIC DEV LOPMENT STATE OF COLORADO REVENUE BONDS (BSC HUDSON,LLC 005ROJECT) COUNTY OF WELD SS. PUBLIC NOTICE IS HEREBY GIVEN that a public hearing will be held on Wednesday, October 19, 2005,commencing at 9:00 a.m.,at I, Karen Lambert, do solemnly swear that I the offices of the Board of County Commissioners of Weld County, am the Publisher of the Fort Lupton Press; Colorado(the'CoHeari.91510th that the same is a weekly newspaper rinted Street, 1st Floor Hearing Room, p purposGreeley,e of providinColorado,g8a6reasonable 32,for the and published in the County of Weld, State individualso to express thr interested i of Colorado, and has a general circulation orally or in writing,ony of the ,the issuance by the County therein; that said newspaper has been above-referenced bonds (the Bonds') and the nature of the published continuously and uninterruptedly prow be financed through ct described l°thevhiiss ace in said county of Adams for a period of more of the Bonds. The County has been requested by BSC Hudson, than fifty-two consecutive weeks prior to the LLC, a Colorado limited liability first publication of the annexed legal notice company(the"Borrower'),to issue the Bonds in an aggregate principal amount not to exceed or advertisement; that said newspaper has $5,900,000 to fund a loan by the been admitted to the United States mails as County to the Borrower for the purposes cure, °fd(evelop,idinnco funds second-class matter under the provisions of improve and equip a 3,the act of March 1879, or any manufacturing facility for the manufacturing of chemicals containing approximately 48,000 amendments thereof, and that said square feet located at 22400 1-76 Frontage Road,Hudson,Colorado newspaper is a weekly newspaper duly 80642 (the 'Project') and (ii) paying certain costs of issuance qualified for publishing legal notices and relating to the Bonds.The Project will be owned by the Borrower and advertisements within the meaning of the will Scientific Company.operated by Boulder laws of the State of Colorado. That the Interested members of the public annexed legal notice or advertisement was are invited to attend the public hearing.Persons desiring to obtain published in the regular and entire issue of additional information concerning the Bonds or the Project in every number of said weekly newspaper for advance of the hearing should the period of 1 consecutive insertion (s); and contact the County at the address stated above. that the first publication of said notice was in WELD COUNTY,COLORADO the issue of newspaper, dated 5th day of By:William H.Jerks,Chair, Board of County Commissioners October, 2005, and the last on the 5th day of October, 2005. "y - pU 4 pro 'C 1 ublisher. ubscrib sworn be ore me, this the •`i t p, ' ''I !( 2nd day of October, 2005. T.{ r CCf Lvi\20),(6/ o ary Pu lic. i (6214-061 CASE NO.286230 key 20540 Hello