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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; -2- 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, -4- 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. -5- 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 -6- 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 -2- 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. -3- 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. -4- VILLAGE OF MOUNT PROSPECT, COOK ~ ' COUNTY, ILLINOIS President // (S~.AL) / V{llage Clerk ~ -12- 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