HomeMy WebLinkAboutOrd 5185 05/01/2001 ORDINANCE NO. 5185
AN ORDINANCE AUTHORIZING THE EXECUTION AND DELIVERY OF AN
INTERGOVERNMENTAL COOPERATION AGREEMENT AND CERTAIN
DOCUMENTS tN CONNECTION THEREWITH, AND RELATED MATTERS
Passed and approved by
the President and Board of Trustees
the 1st day of May, 2001
Published in pamphlet form by
authority of the corporate
authorities of the Village of
Mount Prospect, Illinois, the
2nd day of May, 2001
ORDINANCE NO. ~ 18 ~
AN ORDINANCE authorizing the execution and delivery of an
Intergovernmental Cooperation Agreement and certain documents
in connection therewith; and related matters.
WHEREAS, pursuant to Section 6(a) of Article VII of the 1970 Constitution of the State of
Illinois, the Village of Mount Prospect, Cook County, Illinois, is a municipality and a home rule
unit of government duly organized and validly existing under the Constitution and the laws of
the State of Illinois (the "Municipality'); and
WHEREAS, pursuant to the Constitution and the laws of the State of Illinois, and
particularly Section 6(a) of Article VII of the 1970 Constitution of the State of Illinois, the
Municipality is authorized to issue its revenue bonds in order to aid in providing an adequate
supply of safe, decent and sanitary residential housing for low and moderate income persons and
families within the Municipality, which such persons and families can afford, which constitutes a
valid public purpose for the issuance of revenue bonds by the Municipality; and
WHEREAS, the Municipality has now determined that it is necessary, desirable and in the
public interest to issue revenue bonds to provide an adequate supply of safe, decent and sanitary
residential housing for low and moderate income persons and families within the Municipality,
which such persons and families can afford; and
WHEREAS, pursuant to Section 10 of Article VII of the 1970 Constitution of the State of
Illinois and the Intergovernmental Cooperation Act (5 Illinois Compiled Statutes ]998, 220/1 et
seq., as supplemented and amended), public agencies may exercise and enjoy with any other
public agency in the State of Illinois any power, privilege or authority which may be exemised
by such public agency individually, and, accordingly, it is now determined that it is necessary,
desirable and in the public interest for the Municipality to enter into an Intergovernmental
Cooperation Agreement (the "Cooperation Agreement") dated as of May 1, 2001, by and among
the Municipality and certain other municipalities named therein (the "Municipalities"), to
provide for the joint issuance of such revenue bonds to aid in providing an adequate supply of
residential housing in such Municipalities through the acquisition, construction and installation
of certain multi-family housing projects (the "Projects"); and
WHEREAS, tO provide for the Projects, the City of Danville, Vermilion County, Illinois,
and The County of Lake, Illinois, jointly (the "Issuers") proposes to issue, sell and deliver their
Multifamily Housing Revenue Bonds (GNMA Collateralized Urban Innovations Project), Series
2001 in an aggregate principal amount not to exceed $69,000,000 (the "Bonds") in one or more
series to obtain funds to finance the acquisition of fully modified mortgage-backed securities (the
"GNMA Securities") of the Government National Mortgage Association ("GNMA"), evidencing
a guarantee by GNMA of timely payment of the principal of and interest on certain qualified
mortgage loans made to finance the Projects on behalf of the Municipality and the other
Municipalities, all under and in accordance with the Constitution and the laws of the State of
Illinois; and
WHEREAS, the Village Clerk of the Municipality has caused a notice of public hearing
with respect to the plan of finance of the costs of the Program through the issuance of the Bonds
to be published in the Daily Herald, a newspaper of general circulation in the Municipality,
pursuant to Section 147(f) of the Internal Revenue Code of 1986, as amended (the "Code "), on
February 7, 2001, and appropriately designated hearing officers of the City of Danville,
Vermilion County, Illinois, the City of DeKalb, DeKalb County, Illinois, and the City of
Macomb, McDonough County, Illinois, have conducted said combined public hearing on
February 22, 2001; and
WHEREAS, a form of the Cooperation Agreement has been presented to and is before this
meeting;
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NOW, THEREFORE, Be It Ordained by the President and Board of Trustees of the Village
of Mount Prospect, Cook County, Illinois, as follows:
Section 1. That it is the finding and declaration of the President and Board of Trustees
of the Municipality that the issuance of the Bonds by the Issuers is advantageous to the
Municipality, as set forth in the preamble to this authorizing ordinance, and therefore serves a
valid public purpose; that this authorizing ordinance is adopted pursuant to the Constitution and
the laws of the State of Illinois, and more particularly Section 6(a) of Article VII of the 1970
Constitution of the State of Illinois, Section 10 of Article VII of the 1970 Constitution of the
State of Illinois and the Intergovernmental Cooperation Act; and that, by the adoption of this
authorizing ordinance, the President and Board of Trustees of the Municipality hereby approves
the issuance of the Bonds for the purposes as provided in the preamble hereto, the text hereof and
the notice of public hearing referred to in the preamble hereto, which notice is hereby
incorporated herein by reference, and the conduct of the combined public hearing referred to in
the preamble hereto, which public approval shall satisfy the provisions of Section 147(f) of the
Code.
Section 2. That the form, terms and provisions of the proposed Cooperation
Agreement be, and they are hereby, in all respects approved; that the President of the
Municipality be, and is hereby, authorized, empowered and directed to execute, and the Village
Clerk of the Municipality be, and is hereby, authorized, empowered and directed to attest and to
affix the official seal of the Municipality to, the Cooperation Agreement in the name and on
behalf of the Municipality, and thereupon to cause the Cooperation Agreement to be delivered to
the other Municipalities; that the Cooperation Agreement is to be in substantially the form
presented to and before this meeting and hereby approved or with such changes therein as shall
be approved by the officer of the Municipality executing the Cooperation Agreement, his or her
execution thereof to constitute conclusive evidence of his or her approval of any and all changes
or revisions therein from the form of Cooperation Agreement before this meeting; that from and
after the execution and delivery of the Cooperation Agreement, the officers, officials, agents and
employees of the Municipality are hereby authorized, empowered and directed to do all such acts
and things and to execute all such documents as may be necessary to carry out and comply with
the provisions of the Cooperation Agreement as executed; and that the Cooperation Agreement
shall constitute and is hereby made a pan of this authorizing ordinance, and a copy of the
Cooperation Agreement shall be placed in the official records of the Municipality, and shall be
available for public inspection at the principal office of the Municipality.
Section 3. That the President, the Village Clerk and the proper officers, officials,
agents and employees of the Municipality are hereby authorized, empowered and directed to do
all such acts and things and to execute ail such documents and certificates as may be necessary to
carry out and comply with the provisions of the Cooperation Agreement and to further the
purposes and intent of this authorizing ordinance, including the preamble to this authorizing
ordinance.
Section 4. That all acts of the officers, officials, agents and employees of the
Municipality heretofore or hereafter taken, which are in conformity with the purposes and intent
of this authorizing ordinance and in furtherance of the issuance and sale of the Bonds, and the
same hereby are, in all respects, ratified, confirmed and approved, including without limitation
the publication of the notice of public hearing.
Section 5. That the Municipality hereby transfers its 2001 unified volume cap in the
amount of $ ~'O,~ I..~ to the Issuers, which is hereby allocated by the Municipality to the
issuance of the Bonds; and that the Municipality, by adoption of this authorizing ordinance,
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hereby represents and certifies that such volume cap has not been allocated to any other bond
issue or transferred to any other party.
Section 6. That after the Cooperation Agreement is executed by the Municipality, this
authorizing ordinance shall be and remain irrepealable until the Bonds and the interest thereon
shall have been fully paid, cancelled and discharged.
Section 7. That the provisions of this authorizing ordinance are hereby declared to be
separable, and if any section, phrase or provision of this authorizing ordinance shall for any
reason be declared to be invalid, such declaration shall not affect the validity of the remainder of
the sections, phrases and provisions of this authorizing ordinance.
Section 8. That all ordinances, resolutions and orders, or parts thereof, in conflict with
the provisions of this authorizing ordinance are, to the extent of such conflict, hereby superseded;
and that this authorizing ordinance shall be in full force and effect upon its adoption and
approval as provided by law.
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Presented, passed, approved and recorded by the President and Board of Trustees of the
Village of Mount Prospect, Cook County, Illinois, this ',~ s,ttay of May, 2001.
[SE~] ,
Attest:
Village Clerk
Ayes: Coraor~n: }t~F~r~, Lohrstorfer. Skowrnn: W~llr~, 7~1
Nays: None
Absent or Not Voting:. None
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INTERGOVERNMENTAL COOPERATION AGREEMENT
By and Among
CITY OF DANVILLE, VERMILION COUNTY, ILLINOIS,
CITY OF DEKALB, DEKALB COUNTY, ILLINOIS,
THE COUNTY OF DEKALB, ILLINOIS,
VILLAGE OF FOX LAKE, LAKE COUNTY, ILLINOIS,
VILLAGE OF GLEN ELLYN, DUPAGE COIYNTY, ILLINOIS,
THE COUNTY OF LAKE, ILLINOIS,
CITY OF MACOMB, MCDONOUGH COUNTY, ILLINOIS,
VILLAGE OF MOUNT PROSPECT, COOK COLrNTY, ILLINOIS,
CITY OF ZION, LAKE COUNTY, ILLINOIS
Dated as of May 1, 2001
1206232,01.02.B
400 · CLI · 4/23/01
INTERGOVERNMENTAL COOPERATION AGREEMENT
THIS INTERGOVERNMENTAL COOPERATION AGREEMENT (the "Cooperation
Agreement") dated as of May 1, 2001, by and among the CITY OF DANVILLE, VERMILION
COUNTY, ILLINOIS, a municipality and a home rule unit of government duly organized and
validly existing under the Constitution and the laws of the State of Illinois ("Danville"), the
CITY OF DEKALB, DEKALB COUNTY, ILLINOIS, a municipality and a home rule unit of
government duly organized and validly existing under the Constitution and the laws of the State
of Illinois ("DeKalb"), THE COUNTY OF DEKALB, ILLINOIS, a political subdivision duly
organized and validly existing under the Constitution and the laws of the State of Illinois
( "DeKalb County"), the VILLAGE OF FOX LAKE, LAKE COUNTY, ILLINOIS, a municipality duly
organized and validly existing under the Constitution and the laws of the State of Illinois ("Fox
Lake"), the VILLAGE OF OLEN ELLYN, DUPAGE COUNTY, ILLINOIS, a municipality and a home
rule unit of government duly organized and validly existing under the Constitution and the laws
of the State of Illinois ("Glen Ellyn"), THE COUNTY OF LAKE, ILLINOIS, a political subdivision
duly organized and validly existing under the Constitution and the laws of the State of Illinois
("Lake County"), the CITY OFMACOMB, MCDONOUGH COUNTY, ILLINOIS, a municipality duly
organized and validly existing under the Constitution and the laws of the State of Illinois
("Macomb"), the ¥ILLAGE OF MOUNT PROSPECT, COOK COUNTY, ILLINOIS, a municipality and
a home rule unit of government duly organized and validly existing under the Constitution and
the laws of the State of Illinois ("Mount Prospect"), and the CITY OF ZION, LAKE COUNTY,
ILLINOIS, a municipality duly organized and validly existing under the Constitution and the laws
of the State of Illinois ( ,'Zion');
WITNESSETH:
WHEI~A$, Section t0 of Article VII of the Constitution of the State of Illinois authorizes
units of local government and school districts to contract or otherwise associate among
themselves in any manner not prohibited by law or by ordinance, and to use their credit, revenues
and other reserves to pay cash and to service debt related to intergovernmental activities; and
WHEREAS, the Intergovernmental Cooperation Act (5 Illinois Compiled Statutes 1998,
220/1 et seq., as supplemented and amended), authorizes public agencies to exercise any power
or powers, privileges or authority which may be exercised by any such public agency
individually to be exercised and enjoyed jointly with any other public agency in the State of
Illinois; and
WHEREAS, Danville, DeKalb, DeKalb County, Fox Lake, Glen Ellyn, Lake County,
Macomb, Mount Prospect and Zion (collectively, the "Municipalities") are each a unit of local
government and a public agency of the State of Illinois; and
WHEREAS, pursuant to the Constitution and the laws of the State of Illinois, and
particularly Section 6(a) of Article VII of the 1970 Constitution of the State of Illinois, in the
case of the Municipalities which are home rule units of government, and 65 Illinois Compiled
Statutes 1998, 5/11-74-1 et seq., as supplemented and amended, and/or 50 Illinois Compiled
Statutes 1998, 445/1 et seq., as supplemented and amended in the case of the Municipalities
which are not home rule units of government, each Municipality has the power to issue its
revenue bonds and to lend the proceeds thereof to finance multi-family housing projects or
"industrial projects"; and
WHEREAS, the Municipalities have determined that it is necessary and desirable to have
Danville and Lake County (the "Issuers") issue such revenue bonds on behalf of all of the
Municipalities for the purpose of financing certain multi-family housing projects for low and
moderate income persons within the corporate boundaries of the Municipalities (the "Projects");
and
WHEREAS, tO provide for the financing of the Projects, the Issuers propose to issue, sell
and deliver their Revenue Bonds (Urban Innovations Project), Series 2001 in one or more series
in an aggregate principal amount not to exceed $69,000,000 (the "Bonds") on behalf of all of the
Municipalities to obtain funds to finance the acquisition of fully modified mortgage-backed
securities (the "GNMA Securities") of the Government National Mortgage Association
("GNMA"), evidencing a guarantee by GNMA of timely payment of the principal of and interest
on certain qualified mortgage loans made tO finance the Projects, all under and in accordance
with the Constitution and laws of the State of Illinois; and
WHEREAS, 30 Illinois Compiled Statutes 1998, 345/6 et seq,, as supplemented and
amended, permits the corporate authorities of any home rule unit of government to reailocate its
private activity bond allocation to another home rnle unit, and to allocate volume cap which has
been allocated to it toward the issuance of the Bonds, subject to certain restrictions, guidelines
and procedures, which guidelines and procedures also permit units of government (including
without limitation non-home rule units of government) to pool allocations of volume cap
received fi.om the Office of GovernOr of the State of Illinois;
NOW, THEREFORE, in consideration of the above premises and of the mutual covenants
hereinafter contained and for other good and valuable consideration, the receipt of which is
hereby acknowledged, the Municipalities hereby agree, as follows:
Section 1. Bonds/Approval. The Issuers hereby agree to issue the Bonds in one or
more series on behalf of all of the Municipalities, as provided in the trust indenture or indentures
pursuant to which the Bonds will be issued, for the purpose of the Projects for low and moderate
income persons within the corporate boundaries of each Municipality, to pay interest on the
Bonds and to pay the costs of issuance of the Bonds. The Bonds shall be issued in such
aggregate principal amounts, shall be issued in such series and classes, shall have such stated
maturity or maturities, shall bear interest at such rate or rates, payable on such date or dates, shall
be subject to redemption prior to maturity, shall be payable at such date or dates and at such
place or places, and shall have such other terms, all as shall be agreed upon by the Issuers and
approved by an ordinances or a resolution of the respective governing bodies of each Issuer. The
proceeds of the Bonds shall be applied to such public purposes and to the payment of the costs of
issuance as shall be approved by said ordinance or resolution of the respective governing bodies
of each Issuer (or either of them). Each Municipality hereby ratifies the conduct of the combined
public hearing held in connection with the issuance of the Bonds, and hereby approves the
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issuance of the Bonds as described in the notice of public hearing published in connection with
the issuance of the Bonds (which is hereby incorporated by reference).
Section 2. Transfer and Allocation of Unified Volume Cap. Certain Municipalities
which are home role units of government, other than the Issuers, hereby transfer to the Issuers
and/or allocate unified volume cap that they have reserved to issue private activity bonds, as set
forth in ExhibitA attached to and made a part of this Cooperation Agreement. Certain
Municipalities which are not home role units of government have received allocation of unified
volume cap from the State of Illinois as set forth in Exhibit A attached to and made a part of this
Cooperation Agreement. The Municipalities, including without limitation the Issuers, hereby
allocate the unified volume cap referred to in this Section to the issuance of the Bonds. Each
Municipality that has received or hereafter receives an allocation of unified volume cap from the
State of Illinois for the Program, after January I, 2001, for calendar year 2001, as set forth in
Exhibit A attached hereto and made a part hereof, which Exhibit may be supplemented from time
to time by exclusive action of either Issuer in the event that volume cap is received .by a
Municipality after the date hereof, hereby allocates such volume cap to the issuance of the
Bonds.
Section 3. Allocation of Unified Volume Cap Allocation. The proceeds of the Bonds
equal in principal amount to the unified volume cap allocated by each Municipality which is not
a home role unit of government in the amounts set forth in Exhibit A attached hereto and made a
part hereof, as such Exhibit A may be supplemented from time to time, shall be used solely to
finance the respective Projects located in such Municipalities, subject to the requirements of
Section 143 of the Code.
Section 4. Pledge of Collateral. The Issuers hereby agree to assign and pledge to the
trustee with respect to the Bonds all of the GNMA Securities purchased with the proceeds of the
Bonds. The Issuers hereby further agree to assign and pledge to such trustee all other such
documents, instruments, securities and moneys as shall be approved by the ordinance or the
resolution adopted by the respective governing bodies of the Issuers.
Section 5. Documents and Instruments. The Issuers hereby agree to enter into all such
documents and instruments as shall be necessary or appropriate in connection with the issuance
of the Bonds, including without limitation loan agreements, trust indentures, bond purchase
contracts or agreements, official statements and closing certificates. The Issuers hereby further
agree to enter into all such other documents and instruments as shall be necessary or appropriate
in connection with the issuance of the Bonds, including without limitation closing certificates.
Section 6. Absolute and Irrevocable Conditions; Amendment. All terms and
conditions contained herein are intended to be absolute and irrevocable conditions hereof and are
agreed to by the Municipalities. This Cooperation Agreement may not be effectively amended,
changed, modified, altered or terminated without the written consent of all of the Municipalities,
authorized by ordinances or resolutions adopted by their respective governing bodies, certified
copies of which shall be filed with the other Municipalities.
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Section 7. Municipalities' Obligations Unconditional. The Municipalities shall have
no right to terminate, cancel or rescind this Cooperation Agreement, it being the intent hereof
that the Municipalities shall be absolutely and unconditionally obligated to perform all covenants
contained in this Cooperation Agreement.
Section 8. Notices. All notices, certificates or other communications hereunder shall
be sufficiently given and shall be deemed given when delivered or mailed by registered or
certified mail, postage prepaid, addressed to the appropriate address set forth in ExhibitB
attached to and made a part of this Cooperation Agreement. A duplicate copy of each notice,
certificate or other communication given hereunder to any Municipality shall also be given to the
others. Any Municipality, by notice given hereunder, may designate a different or further
address to which subsequent notices, certificates or other communications will be sent.
Section 9. Binding Effect. This Cooperation Agreement shall inure to the benefit of
and shall be binding upon the Municipalities and their respective successors and assigns.
Section 10. Severability. In the event any provision of this Cooperation Agreement
shall be held invalid or unenforceable by a court of competent jurisdiction, such holding shall not
invalidate or render unenforceable any other provision of this Cooperation Agreement.
Section 11. Further Assurances and Corrective Instruments. The Municipalities agree
that they will, from time to time, execute, acknowledge and deliver, or cause to be executed,
acknowledged and delivered, such supplements hereto and such further instruments as may
reasonably be required for carrying out the expressed intention of this Cooperation Agreement.
Section 12. Execution in Counterparts. This Cooperation Agreement may be executed
simultaneously in any number of counterparts, each of which counterparts shall be original and
all of which counterparts shall constitute but one and the same instrument.
Section 13. Applicable Law. This Cooperfition Agreement shall be governed bY and
construed in accordance with the laws of the State of Illinois.
Section 14. Effective Date. This Cooperation Agreement shall be in full force and effect
on May 1, 2001, or on the date when it is executed by all Municipalities, whichever is later.
Time is of the essence.
Section 15. Filing of Authorizing Ordinances. Each Municipality shall file with the
other Municipalities a certified copy of the ordinance adopted by the governing body of such
Municipality, authorizing the execution of this Cooperation Agreement within thirty (30) days of
the adoption of such ordinance.
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VILLAGE OF MOUNT PROSPECT, COOK
~ ' COUNTY, ILLINOIS
President //
(S~.AL) /
V{llage Clerk ~
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EXHIBIT A
VOLUME CAP ALLOCATIONS
AND TRANSFERS
MUNICIPALITY
RESERVED STATE PROGRAM
MUNICIPALITY ALLOCATION ALLOCATION ALLOCATION
City of Danville, Vermilion County, lllinois
City of DeKalb, DeKalb County, Illinois
The County of DeKalb, Illinois
Village of Fox Lake, Lake County, Illinois
Village of Glen Ellyn, DuPage County, Illinois
The County of Lake, Illinois
City of Macomb? McDonough County, Illinois
Village of Mount Prospect, Cook Cqunty, Illinois
City of Zion, Lake County, Illinois
NOTICE ADDRESSES
MUNICIPALITY ADDRESS
City of Danville, Vermilion County, Illinois 17 West Main Street
Danville, Illinois 60435
City of DeKalb, DeKalb County, Illinois 200 South Fourth Street
DeKalb, Illinois 60115
The County of DeKalb, Illinois County Courthouse, Sycamore
DeKalb, Illinois 60115
Village of Fox Lake, Lake County, Illinois 301 South Route 59
Fox Lake, Illinois 60020
Village of Glen Ellyn, DuPage County, Illinois 535 Duane Street
Glen Ellyn, Illinois 60137
The County of Lake, Illinois 18 North County Street
Waukegan, Illinois 60085
City of Macomb, McDonough County, Illinois 232 East Jackson
Macomb, Illinois 61455
Village of Mount Prospect, Cook C. ounty, I00 South Emerson Street
Illinois Mount Prospect, Illinois 60056
City of Zion, Lake County, Illinois 2828 Sheridan Road
\ Zion, Illinois 60099