2002-47• , . •
RESOLUTION NO. 2002- 47
A RESOLUTION CEDING THE 2002 PRIVATE ACTIVITY BOND VOLUME CAP
OF THE VILLAGE OF BUFFALO GROVE (INCLUDING VOLUME CAP
TRANSFERRED FROM OTHER LAKE COUNTY HOME RULE UNITS) TO THE
ILLINOIS DEVELOPMENT FINANCE AUTHORITY.
WHEREAS, the Village of Buffalo Grove, Cook and Lake Counties, Illinois
(the "Village ") is a municipality and a home rule unit of government duly
organized and validly existing under Section 6(a) of Article VII of the 1970
Constitution and laws of the State of Illinois; and
WHEREAS, in order to facilitate and economic development both in the
Village of Buffalo Grove and in Lake County, Illinois, the Village has received
Volume Cap from the Lake County Home Rule Municipalities in the amounts
identified in Schedule A to consolidate management under control of a single
Home Rule entity in cooperation with Lake County Partners Private Activity Bond
Clearinghouse (the "PABC "); and
WHEREAS, utilization of the Volume Cap, the tax exempt private activity
bonds, provide for opportunities to increase business and commerce, and relieve
conditions of unemployment; and
WHEREAS, it is also in the best interest of the Village, Lake County
Home Rule Municipalities, and Lake County Partners to collect the anticipated
1.0% Volume Cap fee as soon as possible, and in no case later than 12/31/02;
and
WHEREAS, Alternative Living Options LLC, a Delaware Limited Liability
Company formed to develop, finance, and manage a proposed, new 150 -bed
Supportive Living Facility to be located near the southwest corner of Dixie
Highway and 154 Street in Harvey (Cook County), Illinois has indicated its intent
to pay a fee equal to 1.0% of the $8,023,662 (i.e., $80,236.62) for the remaining
unused 2002 Volume Cap currently available under the Lake County Private
Activity Bond Clearinghouse to Lake County Partners no later than Tuesday
December 31, 2002 at 12;00 Noon; and
WHEREAS, Section 146 of the Internal Revenue Code of 1986 (the
"Code "), as amended, and Section 1301 of the Tax Reform Act of 1986, places a
ceiling (the "State Ceiling ") on the aggregate principal amount of private activity
bonds (as defined in the Code) that can be issued in the State of Illinois from
January 1, 2002, to and including December 31, 2002; and
WHEREAS, the PABC aggregated approximately $14,253,662 of Volume
Cap from Lake County Home Rule Units in 2002 (the "2002 PABC Available
Allocation); and
WHEREAS, the PABC, through the Village of Buffalo Grove, reallocated
approximately $6,230,000 of the 2002 PABC Available Volume Cap to the
Village of Gurnee; and
WHEREAS, the PABC has recommended that it is in the best interest of
the Village of Buffalo Grove to transfer and reallocate PABC's remaining, unused
Available Volume Cap of $8,023,662 to the Illinois Development Finance
Authority and thereby permit the Authority to issue tax - exempt private activity
bonds to finance industrial, manufacturing, and commercial projects for
industrial, housing, or commercial development purposes, including the
proposed Alternative Living Options, LLC project in Harvey, Illinois; and
WHEREAS, under the Illinois Private Activity Bond Allocation Act, the
Village may reallocate to the Illinois Development Finance Authority any
remaining, unused portion of its Available Ceiling, maximum amount of available
Volume Cap, (including that attributable to PABC); and
WHEREAS, the Village will report this transfer of approximately
$8,023,662 of Volume Cap to IDFA to the Bureau of the Budget as soon as
reasonably possible.
NOW, THEREFORE, BE IT RESOLVED BY THE VILLAGE BOARD OF
THE VILLAGE OF BUFFALO GROVE:
Section 1. That the Village of Buffalo Grove hereby transfers and
reallocates PABC's remaining, unused Available Ceiling of
approximately $8,023,662 to the Authority.
Section 2. An amount equal to 1.0% of the $8,023,662 (i.e.,
$80,236.62) shall be paid to Lake County Partners prior to
the issuance of the bonds.
Section 3. The Authority and the Village shall both retain a copy of this
Resolution in their records for a minimum of 30 years.
Notice of this Resolution together with a copy of this
Resolution shall be given in writing by the Village after
passage and approval hereof.
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Section 3. That the officials of the Village are hereby authorized,
empowered, and directed to take all necessary or advisable
actions concerning the execution and implementation of this
Resolution.
Section 4. That this Resolution shall be in full force and effect from and
after its passage and approval according to law.
Passed and approved this 16th day of December, 2002.
AYES: 5 - Braiman. Glover, Berman, Johnson, Trilling
NAYES: 0 - None
ABSENT: 1 - Kahn
ADOPTED: December 16 ,2002.
APPROVED: December 16 ,2002.
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Schedule A
FY 2002 IRB Volume Cap and Clearinghouse Activity
Communities
Amount
Village of Buffalo Grove
$3,218,175.00
Village of Lake Barrington
356,775.00
Village of Lincolnshire
456,100.00
City of Waukegan
6,592,575.00
Park City
497,775.00
Round Lake Beach
969,712.00
Village of Gurnee
2,162,550.00
Total Transferred to Clearinghouse:
$14,253,662.00
Less - Transfers:
Village Gurnee -- Little Lady Foods, Inc. Project
$6,230,000.00
Remaining Allocation Available to Use or Sell
by 12/31102
S 8.023.662.00