2008-196 -5 -08
RESOLUTION NO. 2008-19
A RESOLUTION TRANSFERRING $1,400,000 OF 2008 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
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, the availability of job opportunities to relieve conditions of
unemployment and underemployment and the increase of business and commerce to
reduce the evils associated with unemployment and underemployment are essential to the
health, safety and general welfare of a community; and
WHEREAS, in order to facilitate economic development both in the Village of
Buffalo Grove and in Lake County, Illinois, the Village coordinates with Lake County
Partners, serves as the Lake County Private Activity Bond Clearinghouse (the "PABC ")
and has received Volume Cap from the Lake County Home Rule Municipalities; 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% fee for transfer of
$1,400,000; and
WHEREAS, Kenall Manufacturing Company, 1020 Lakeside Drive, Gurnee, Illinois
is seeking to finance the construction of an approximately 19,000 square foot building
addition to the existing 128,000 square foot manufacturing facility and to related conduct
improvements to the property including but not limited to renovations of the existing
facility, purchase fixtures and install equipment ( "Project "); and
WHEREAS, Kenall Manufacturing Company has received approval from the IFA for
a preliminary bond not to exceed $5,600,000 to enable Kenall Manufacturing Company,
and it affiliates, to conduct the Project; and
WHEREAS, Kenall Manufacturing Company has indicated its intent to pay a fee
equal to 1.0% of $1,400,000 (i.e., $14,000) for the Volume Cap currently available under
the PABC; and
WHEREAS, Section 146 of the Internal Revenue Code of 1986, as amended (the
"Code "), 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, 2008, to and including December 31, 2008; and
WHEREAS, it is in the best interest of the Village, on behalf of the PABC, to
transfer and reallocate $1,400,000 of 2008 Volume Cap to IHDA and thereby permit IFA to
issue tax - exempt private activity bonds to finance the application of Kenall Manufacturing
Company for the Project in Gurnee, Illinois; and
WHEREAS, under the Illinois Private Activity Bond Allocation Act, the Village may
reallocate to IFA any unused portion of its Available Ceiling (including that attributable to
PABC); and
WHEREAS, the Village will report this transfer of $1,400,000 of 2008 Volume Cap
to the Illinois Bureau of the Budget as soon as reasonably possible.
NOW, THEREFORE, BE IT RESOLVED BY THE PRESIDENT AND BOARD OF
TRUSTEES OF THE VILLAGE OF BUFFALO GROVE:
Section 1. That the Village of Buffalo Grove as the PABC hereby transfers and
reallocates $1,400,000 of 2008 Volume Cap to IFA. That the
foregoing recitals are incorporated herein and made a part hereof.
Section 2. That an amount equal to 1% of $1,400,000, (i.e., $14,000) shall be
paid to Lake County Partners prior to the issuance of the bonds.
Section 3. That IHDA 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.
Section 4. 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 5. 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 June, 2008.
AYES: 5 - Braiman, Glover, Berman, Trilling, Rubin
NAYS: 0 - None
ABSENT: 1 - Kahn
ADOPTED: June 16 ,2008.
APPROVED: June 16 ,2008.
Village President
ATTEST:
Village C er
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