CCR1983225RESOLUTION #225-83
CITY OF MUSKEGO, WISCONSIN
INDUSTRIAL DEVELOPMENT REVENUE BONDS
INITIAL RESOLUTION REGARDING
WHEREAS, the City of Muskego, Wisconsin (the "City"), is
authorized by Section 66.521, Wisconsin Statutes, as amended (the
"Act"), to, among other powers, (i) construct, equip, reequip,
acquire by gift, lease or purchase, install, reconstruct, rebuild,
rehabilitate, improve, supplement, replace, maintain, repair,
enlarge, extend or remodel projects described in the Act, (ii)
enter into revenue producing agreements for the same in order to
promote the right to gainful employment, business opportunities
and general welfare of its inhabitants and to preserve and en-
hance its tax base, (iii) borrow money and issue bonds to finance
costs related to such projects, which bonds are to be payable
solely out of the revenues derived pursuant to the revenue agree-
ment pertaining to the project to be financed by the bonds so
issued and, in the event of default of such agreement, as may be
may be secured by a mortgage and/or security interest in the
authorized by this Council and permitted by law, and which bonds
project or other security; and
WHEREAS, it has been represented to the City that Wisconsin
Coil Spring, Inc., a Wisconsin corporation, Edward H. Lanke,
and/or Erla M. Lanke, his wife (individually or in any combination
referred to herein as the "Company") desires to finance certain
of the costs of acquiring land in the City, constructing improve-
ments and equipping facilities to be initially used in connection
with manufacturing springs and wire products and related manufac-
turing activities; and
equipping and related expenditures (herein called the "Project")
will be for an estimated cost not to exceed $1,000,000 and negoti-
ations have taken place with the City as to the feasibility of
undertaking the Project in the City or elsewhere and as to the
financing of part or all of the costs of the Project through the
issuance by the City of its industrial development revenue bonds
pursuant to the Act; and
WHEREAS, it is expected that such acquisition, construction,
WHEREAS, the City has previously issued Series 1978 $250,000
Industrial Development Revenue Bonds to finance the construction
and equipping of an industrial building in the City pursuant to
an Indenture of Trust between the City and M&I Marshall & Ilsley
Bank, as Trustee, dated as of October 1, 1978 (the "Indenture");
and
WHEREAS, in connection with the issuance of said Series 1978
Bonds, the City has entered into a Mortgage, Loan and Security
with respect to the construction of the industrial building in
Agreement dated as of October 1, 1978 (the "Revenue Agreement")
the City with Edward H. Lanke and Erla M. Lanke;
NOW, THEREFORE, BE IT RESOLVED by this Common Council of the
City of Muskego:
the City from the development of the Project in the City and to
(1) In view of the considerable benefits to be derived by
induce and encourage the Company to undertake the Project in the
City, the City intends to consummate a project financing agree-
ment pursuant to which the City shall:
the Company industrial development revenue bonds in an
aggregate amount not to exceed $1,000,000 in order to finance
costs related to the Project, which bonds shall be payable
solely from the revenues derived from a revenue agreement
with respect to the Project and in the event of default of
permitted by law;
such agreement, as may be authorized by this Council and
(a) issue, sell and deliver to purchasers procured by
with respect to at least that part of the Project financed
(b) enter into a revenue agreement with the Company
by industrial revenue bonds, which may be an amendment to
the Revenue Agreement or otherwise, providing revenues
when due and providing for completion of part or all of the
sufficient to.pay principal of, and interest on, the bonds
Project by the Company; and
(c) assign the revenue producing agreement and pledge
the revenues and other amounts therefrom to the bondholders
or to a trustee under an indenture of trust and enter into
such other appropriate arrangements which may be deemed
necessary, if any, including but not limited to, the grant-
ing of a mortgage and/or security interest in part or all of
the Project, in order to further secure payment of principal
of, premium, if any, and interest on the bonds.
(2) The bonds issued to finance costs of the Project shall
never constitute an indebtedness of the City within the meaning
of any state constitutional provision or statutory limitation and
City or its officers or a charge against its general credit or
shall not constitute or give rise to a pecuniary liability of the
taxing powers.
(3) The appropriate officials of the City are hereby autho-
rized to negotiate the terms of the project financing agreement,
revenue producing agreement, indenture of trust, if any, and any
provided that all such terms, documents and procedures shall be
other documents required to properly complete the financing
of the Act and shall not be binding unless and until:
subject to the conditions of this Resolution and the provisions
(a) the details of the project financing agreement and
all documents pertinent thereto are reviewed, authorized and
approved by resolution of this Council adopted within three
(3) years from the date of adoption of this resolution;
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(b) the electors of the City shall have been given the
opportunity to petition for a referendum on the matter of
the aforesaid bond issue as required by the Act;
(c) either no such petition shall be timely filed or
such petition shall have been so filed and said referendum
shall have approved the bond issue; and
financing shall have been duly executed by the parties
thereto and delivered to the extent required.
(4) The City Clerk is hereby directed to publish notice of
(d) all documents required in connection with the
adoption of this Resolution as a class 1 notice under Chapter
985, Wis. Stats., (relating to publication of official notices)
in the official newspaper of the City in substantially the form
attached to this Resolution.
Adopted , 1983
City Clerk
Approved , 1983
Mayor
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NOTICE TO ELECTORS OF
THE CITY OF MUSKEGO
WAUKESHA COUNTY, WISCONSIN
TAKE NOTICE that the Common Council of the City of Muskego,
Waukesha County, Wisconsin at a lawful meeting held on August 23,
of the Wisconsin Statutes, as amended, setting forth the intent
1983, adopted an initial resolution, pursuant to Section 66.521
of the City: (1) to issue industrial development revenue bonds
in an amount not to exceed $1,000,000 for the purpose of financing
costs related to the acquisition of land in the City, construction
of improvements and equipping of facilities to be initially used
by Wisconsin Coil Spring, Inc., a Wisconsin corporation, Edward H.
Lanke and/or Erla M. Lanke, his wife (individually or in any
with manufacturing springs and wire products and related manufac-
combination referred to herein as the "Company") in connection
turing activities and (2) to enter into a revenue agreement
otherwise) with the Company with respect to such financing.
(which may be an amendment to an existing revenue agreement or
OTHER AMOUNTS DERIVED OR RESULTING FROM A REVENUE AGREEMENT WITH
THE BONDS SHALL BE PAYABLE SOLELY FROM THE REVENUES AND
RESPECT TO THE FINANCED PROJECT OR, IN THE EVENT OF DEFAULT OF
AND PERMITTED BY LAW. THE BONDS SHALL NOT CONSTITUTE AN INDEBT-
SUCH AGREEMENT, AS OTHERWISE AUTHORIZED BY THE CITY OF MUSKEGO
EDNESS OF THE CITY OF MUSKEGO WITHIN THE MEANING OF ANY STATE
CONSTITUTE OR GIVE RISE TO A PECUNIARY LIABILITY OF THE CITY OR
CONSTITUTIONAL PROVISION OR STATUTORY LIMITATION, AND SHALL NOT
ITS OFFICERS OR A CHARGE AGAINST ITS GENERAL CREDIT OR TAXING
POWERS.
at the office of the City Clerk, City Hall, W182 58200 Racine
Avenue, Muskego, Wisconsin during business hours.
The resolution may be inspected by any elector of the City
Section 66.521(10)(d) of the Wisconsin Statutes reads as
follows with respect to the opportunity to petition for a refer-
endum upon the question of the issuance of the Bonds:
"(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
than 5% of the registered electors of the municipality, or,
resolution for such bonds, a petition, signed by not less
by 10% of the number of electors of the municipality voting
if there is no registration of electors in the municipality,
determined under s.115.01(13), is filed with the clerk of
for the office of governor at the last general election as
the municipality requesting a referendum upon the question
of the issuance of the bonds. If such a petition is filed,
the bonds shall not be issued until approved by a majority
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of the electors of the municipality voting thereon at a
general or special election." a
Dated hU. 27 , 1983.
City Clerk
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