CCR1979053-
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. raw032279
COMMON COUNCIL
OF THE
CITY OF MUSKEGO, WISCONSIN
Resolution No. 53-79
INITIAL RESOLUTION
RELATING TO
INDUSTRIAL DEVELOPMENT REVENUE BOND FINANCING
ON BEHALF OF
PEERLESS GEAR AND ENGINEERING, INC.
WHEREAS, the City of Muskego, Wisconsin (the "Munici-
pality") is a municipal corporation organized and existing
under and pursuant to the laws OF the State of Wisconsin and is
authorized by Section 66.521 Wisconsin Statutes, as amended
(hereinafter sometimes referred to as the "Act"), to:
(a) issue industrial development revenue bonds to
finance all or any part of the costs of the construction,
equipping, reequipping, acquisition, purchase, installation,
reconstruction, rebuilding, rehabilitation, improving,
or remodeling of a project which qualifies under the Act and
supplementing, maintaining, repairing, enlarging, extending
the improvement of the site therefor; and
participant pursuant to which the eligible participant
(b) enter into a revenue agreement with an eligible
agrees to cause said project to be constructed and to pay
the Municipality an amount of funds sufficient to provide
for the prompt payment when due of the principal of and
interest on said industrial development revenue bonds;
and
consin corporation and Robert Agenten and members of the
WHEREAS, Peerless Gear and Engineering, Inc., a Wis-
or both said corporation and said individuals are referred to
Agenten family (hereinafter said corporation or said individuals
as "Eligible Participant") have been considering undertaking a
capital. pro.ject in the Municipality, ;Ind have represented
10 I.hc Municip;rIiLy I~hat it would hc :In 1~nc'our:I~elnent and induce-
mcnt for il L~I proceed iT the project could he f inrlnceri with
industrial development revenue bonds; and
WHEREAS, the project would be for the purpose of
manufacture and fabrication of machinery parts and would con-
sist of land, building and equipment (hereinafter called the
"Project"); and
WHEREAS, the Eligible Participant has estimated that
the cost of the Project would be approximately $1,400,000 but,
with allowance for modifications, design changes, and inflation
could be as high as $1,750,000; and
WHEREAS, it is in the public interest of the Munici-
pality to promote, attract, stimulate, rehabilitate and revita-
lize commerce, industry and manufacturing, to promote the better-
ment of the environment and the economy of the Municipality and
to stimulate a large flow of private investment funds into the
Municipality; and
WHEREAS, it is the finding and determination of
this body that the Project is a qualified "project" within
"eligible participant" within the meaning of the Act; and
the meaning of the Act and that the Eligible Participant is an
WHEREAS, it is the finding and determination of ik
this body that the Municipality would derive public benefits
from the Project and its operation by the Eligible Participant,
including by way of illustration but not limitation the fol-
lowing: the provision and retention of gai,nful employment
opportunities for the citizens of the Municipality; the stimu-
lation of the flow of investment capital into the Municipality
with resultant beneficial effects on the economy in the Munici-
pality; and the preservation and enhancement of the Munici-
pality's tax base; and
body that the public interest will be served if the Munici-
WHEREAS, it is the finding and determination of this
pality were to encourage and induce the Eligible Participant to
undertake the Project in the Municipality;
NOW, THEREFORE, BE IT RESOLVED:
1. Subject to the conditions specified in para-
graph 2, the Municipality shall pursue and consummate a financing
having the following elements:
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e (a) The Municipality shall issue industrial develop-
nent revenue bonds pursuant to the Act in such amount not in
excess of $1,750,000 as the Eligible Participant shall
request, provided, however, that the actual amount shall not
be greater than the then estimated aggregate cost of pro-
viding the Project and paying the costs incident to the
financing (said bonds being hereinafter called the "Bonds").
derived from the Eligible Participant or otherwise provided
(b) The Ronds shall be payable solely out of revenues
ment purchase or similar agreement (hereinafter called the
for pursuant to the terms of a lease, sale, loan, install-
"Revenue Agreement") to be entered into between the Munici-
pality and the Eligible Participant.
Participant to acquire, construct or install the Project and (c) The Revenue Agreement shall require the Eligible
to provide the Municipality with revenues sufficient to pay
when due the principal of, premium, if any, and interest on
the Bonds.
(d) The Bonds shall have such maturities, interest
rates and redemption features as the Eligible Participant
shall propose, provided that such terms shall be substan-
tially similar to the terms of similar bonds secured by
obligations of companies having substantially equivalent
credit to that of the Eligible Participant.
shall be on the following conditions:
2. The issuance of the Bonds by the Municipality
the Municipality within the meaning of any State constitu-
(a) The Bonds shall not constitute an indebtedness of
tional provision or statutory limitation.
(b) The Bonds shall not constitute or give rise to a
pecuniary liability of the Municipality or a charge against
its general credit or taxing powers.
(c) I€ the Municipality shall hold title to the
Project while the Bonds are outstanding, the Eligible
Participant shall be subject to property taxation in the
same amount and to the same extent as though the Eligible
Participant were the owner of the Project.
(d) The Eligible Participant shall be responsible for
finding a purchaser or purchasers for all of the Bonds.
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(e) The out-oE-pocket costs in connection with the
issuance and sale of the Bonds shall be paid either from the
proceeds of the Bonds or by the Eligible Participant.
(E) Prior to the issuance of the Bonds: (i) the
electors of the Municipality shall have been given the
opportunity to petition for a referendum on the matter of
the Bond issue as required by the Act; (ii) either no such
been filed and said referendum shall have approved the Bond petit ion shall be timely filed or such petition shall have
issue: and (iii) this body, by further resolution, shall
have authorized and approved the terms of the Bonds and the
Revenue Agreement.
the delivery of the Bonds shall be accompanied with the
(E) The Bonds shall be issued pursuant to the Act, and
unqualified approving legal opinion of Messrs. Foley &
Lardner, bond counsel, Milwaukee, Wisconsin, or such other
nationally recognized firm of bond attorneys as shall be
acceptable to the Municipality and the Eligible Participant.
e 3. The Clerk shall cause notice of adoption of this
Resolution to be published once in The Muskego Sun (the Munici-
pality's official newspaper, for the publication of notices
pursuant to Chapter 985 of the Wisconsin Statutes) in suhstan-
tially the form attached to this Resolution, and shall cause a
copy of such public notice together with a copy of this Resolu-
tion to be filed with the Secretary of Business Development of
the State of Wisconsin within 10 days following publication of
such notice.
4. 'Chis Resolution is an "initial resolution" within
the meaning of the Act.
5. This Resolution shall be effective immediately
upon its passage and approval. Unless the Bonds shall have
been issued prior thereto, the authorities and authorizations
given by this Resolution shall expire on May 1, 1980, or on
such later date as this body may specify by resolution adopted
either before or after such date.
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[Form oE Notice to be Published by the Clerk]
e
a
NOTICE TO ELECTORS
OF THE
CITY OF MUSKEGO
TAKE NOTICE that the Common Council of the City of
Muskego, Wisconsin, at a lawful meeting held on the 27th day of
March, 1979, adopted an initial resolution, pursuant to Section
66.521 of the Wisconsin Statutes, authorizing the issuance of not
to exceed $1,750,000 principal amount of industrial development
revenue bonds on behalf of Peerless Gear and Engineering, Inc., a
Wisconsin corporation and Robert Agenten and members of the
or both said corporation and said individuals are referred to as
Agenten family (hereinafter said corporation or said individuals
the "Eligible Participant"). The purpose of the hond issue is to
project consisting of land, buildings and equipment to be located
finance the construction, acquisition and installation costs of a
in the City and operated by the Eligible Participant for the
purpose of manufacturing and fabricating machinery parts.
THE BONDS SHALL NOT CONSTITUTE AN INDEBTEDNESS OF
NIARY LIABILITY OF THE CITY; NOR SHALL THE RONDS BE A CHARGE
AGAlNST THE GENERAL CREDIT OR TAXING POWER OF THE CITY. RATHER,
THE BONDS SHALL BE PAYABLE SOLELY FROM THE REVENUES AND OTHER
AMOUNTS DERIVED OR RESULTING FROM A REVENUE AGREEMENT TO BE
ENTERED INTO WITH THE COMPANY,
THE CITY OF MUSKEGO; NOR SHALL THE RONDS GIVE RISE TO ANY PECU-
The aforesaid initial resolution is a public document
and may be inspected by any elector of the City at the City Hall,
during business hours.
TAKE FURTHER NOTICE THAT THE ELECTORS OF THE CITY OF
MUSKEGO MAY PETITI9N FOR A REFERENDUM @N THE QUESTION OF THE BOND
ISSUE. Section 66.521(10)(d) of the Wisconsin Statutes, pro-
v ides :
"(d) The governing body may issue bonds under this
section without submitting the proposition to the electors
of the municipality for approval unless within 30 days from
the date of publication of notice of adoption of the initial
resolution for such bonds, a petit ion, signed by not less
than 5% o€ the registered electors of the municipality, or,
if there is no registration of electors in the municipality,
by 10% of the number of electors of the municipality voting
determined under s-. 115.01(13), is filed with the clerk
for the office of governor at the last general election as
quest ion of the issuance of the bonds. If such a petition
of the municipality requesting a referendum upon the
is filed, the bonds shall not be issued until approved by a
majority of the electors of the municipality voting thereon
at a general or special election."
/s/Betty Bowyer
City Clerk
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APPROVAL OF RESOLUTION BY MAYOR
'The ;Ittachetl IKesol.ution No. 53-79 , ent itled
INITIAL RESOLUTION
RELATING TO
ON BEHALF OF
INDUSTRIAL DEVELOPMENT REVENUE BOND FINANCING
PEERLESS GEAR AND ENGINEERING, INC.
Wisconsin, on Elarch 27, 1979, is hereby approved.
which was adopted by the Common Council of the City of Nuskego,
Dated 3-27-79 , 19 - .
CERTIFICATIONS BY CLERK
dcl)o!;c certify that I am the du1.y elected, qualified and
I, Betty Rowyer, being Eirst duly sworn, do hereby
;~ctini; Clerk of the City oE Muskego, in the County of Milwaukee,
State of Uisconsin, and as such I have in my possession, or have
access to, the complete corporate records oE said City and of its
Common Council; that I have carefully compared the transcript
hereto attached with the aforesaid corporate records; that said
of all the corporate records in relation to the adoption of
transcript hereto attached is a true, correct and complete copy
Resolution No. 53-79 entitled:
INITIAL RESOLUTION
RELATING TO
INDUSTRIAL DEVELOPMENT REVENUE BOND FINANCING
ON BEHALF OF
PEERLESS GEAR AND ENGINEERING, INC.
I do hereby further depose and certify as follows:
1. Said resolution was considered for adoption
by the Common Council at a meeting held in the City Hall at
oE th,e Common Council and was held in open session in compliance
7:30 P.M. on March 27, 1979. Said meeting was a regular meeting
with Subchapter IV of Chapter 19 of the Idisconsin Statutes.
2. Said resolution was on the agenda for said meeting
and public notice thereoE was given not less than 24 hours prior
to the commencement of said meeting in compliance with Section
19.84 of the Idisconsin Statutes, including, without limitation,
by posting on the bulletin hoard in the City Hall, by notice to
those news media who have filed a written request for notice of
meetings and by notice to the official newspaper of the City.
3. Said meeting was called to order by Jerome J.
Gottfried, Mayor, who chaired the meeting. Upon roll I noted and
recorded that the following Aldermen were present:
Ford, Pienkos. Tomczyk, Van Lanen
" Schaumberg and Wallner
and that the following Aldermen were absent:
Dumke
I noted and recorded that a quorum was present. Various matters
and business were taken up during the course of the meeting with-
out intervention of any closed session. One of the matters taken
up was said resolution which was introduced and its adoption was
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1
rlC.1.111.1r1 ..Ford- ~ . . , and sccondctl by Al~dcr1n;tn . I'ollowinv, discussion and after all Aldermen
_._~~~~ to do so had expressed their views for or against
called, and the continued presence of a quorum being noted, the
said resolution, the question was called and upon roll being
recorded vote was as follows:
~"
Aye: Ald. Ford Ald. Schaumberg 1
Ald. Van Laen
Ald. Wallner
Nay : none
, Abstain : none
Whereupon the Mayor declared said resolution adopted, and I so
recorded 'it.
March 27 , 1979, and I have so recorded.
4. Said resolution was approved by the Mayor on
5. I have caused the "Notice to Electors" to be
published'in the form and place specified in said resolution: and
I have filed a copy of said notice as published, together with a
copy of said resolution with the Secretary of the Department of
Business Development of the State of Wisconsin within 10 days
following the publication of said not ice.
IN WI'TNESS WHEREOF, I have signed my name and affixed
the seal of the City hereto on this "" 28 day of March ,
1979. ">-
Bette J. Bowyer, City Clerk
STATE OF WISCONSIN )
COUNTY OF MILWAUKEE ) ) ss
Subscribed and sworn to before me this day, the
date last above written.
[Notarial Seal]