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Home My WebLink AboutR09-Redevelopment Agency . R~VELOPMENT AGENCY.~EST FOR WMMISSION/COUNCIL AcilON . F'.'rnm: ~ Glenda Saul, Executive Director Mpt: Redevelopment Agency Subject: APPROVING THE ISSUANCE OF lDB BY THE INDUSTRIAL DEVELOPMENT AUTHORITY - FOOD RESOURCES, INTERNATIONAL, INC. Date: August 29, 1985 Synopsis of Previous Commission/Council action: 8-19-85 IDA Reso 85-5 adopted accepting application for Financing submnitted by Food Resources, Inc. Recommended motion: (MAYOR AND COMMON COUNCIL) ......'.. ~ RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO, CALIFORNIA, APPROVING THE ISSUANCE BY THE CITY OF SAN BERNARDINO INDUSTRIAL DEVELOPMENT AUTHORITY OF ITS CITY OF SAN BERNARDINO INDUSTRIAL DEVELOPMENT AUTHORITY, INDUSTRIAL DEVELOPMENT REVENUE BONDS, FOOD RESOURCES INTERNATIONAL, INC. PROJECT, ISSUE OF 1985 AND THE PROJECT TO BE FINANCED THEREBY, MAKING CERTlAN FINDINGS AND DETERMINATIONS AND SETTING A PUBLIC HEARING RELATING THERETO (FOOD RESOURCES INTERNATIONAL, INC. PROJECT) ~41 f Signature Contact person: FUNDING REQUIREMENTS: Amount: $ KIA Phone: 383-5081 Ward: j Project: 5(; Date: ~eptemoer 9, 1.~8:> ~LENDA SJrtJL Supporting data attached: YE3 No adverse Impact on City: v" cil Notes: ,-.. Aaenda Item No. N'I CI~ OF SAN BERNARD~O - REQU~T FOR COUNCIL ACTiON STAFF REPORT - On July 29, 1985 Ordinance MC-468 established the City of San Bernardino Industrial Development Authority for the issuance of industrial deve10pment1 bonds for industrial projects. It is required that the issuance of an IDB by the Industrial Development Authority must be approved by the Mayor and Common Council. The application will need to be filed with CIDFAC (California Industrial Development Financing Advisory Commission) . The applicant is ready to pursue financing. Below is a recap of the application: APPLICANT: Food Resources International, Inc., an Illinois Corporation PRINCIPAL: Mr. Dominador B. Ciruelas, Vice President PROJECT: Acquisition of 4.8 acres of land and construction of 20,000 sq. ft. food processing, warehousing and distribution facility for the spray drying of food products LOCATION: NW side of Lexington Way between Hallmark Parkway and the Sante Fe Railroad Tracks in the SC Industrial Park. "- AMOUNT OF FINANCING: $3,805,000 TARGET DATE OF FINANCING: Last quarter of 1985 CONSTRUCTION SCHEDULE: Starting Date: Completion Date: October, 1985 January, 1986 INCREASE IN TAX INCREMENT: 1% x 2,715,000 & $27,150 1/4 of 1% x $3,805,000 & $9,513.00 RESERVE & DEVELOPMENT FEE: JOBS: 34 after one year additional 11 within three years Bond Consel will be present to answer any questions you may have. 13l3J/EB 8-29-85 r....... ........ 75-0264 " . t-._ ~-, , ""- '-c_,/ - l,020-63/0913S/jm 08/09/85 -'~"""". - CITY OF SAN BERNARDINO INDUSTRIAL DEVELOPMENT AUTHORITY APPLICATION FOR TAX-EXEMPT FINANCING OF FOOD RESOURCES INTERNATIONAL, INC. PART I. Company Identification and Contact Information 1. The name and address of the Applicant is: Food Resources International, Inc., an Illinois corporation c/o Dominador B. Ciruelas 409 North Kilbourn Chicago, Illinois 60630 (312) 399-5526 For the purposes of this Application addressee and telephone number of the contact person of the Applicant is: the name, principal - Food Resources International c/o Dominador B. Ciruelas 409 North Kilbourn Chicago, Illinois 60630 (312) 399-5526 - 2. The Applicant does business as Food Resources International, Inc., an Illinois corporation, 3. The current business address of the Applicant is: Food Resources International c/o Dominador B, Ciruelas 409 North Kilbourn Chicago, Illinois 60630 (312) 399-5526 4. The Applicant California. currently has no facilities in 5. The Applicant is an Illinois corporation and its tax identification number is 36-3248225. 6. The names and addresses of the directors an~ officers of the Applicant are as follows: ,"1''''"'''- .--- - 1 - '- ,..""". Col. Ciriaco A. Reyes, Jr. 23 Kingsville White Plains Quezon Ci~y, Philippines Dominador B. Ciruelas 4906 North Kilbourn Chicago, Illinois 60630 - Jon C. Chestnut 67-719 Hatchet Cactus Desert Hot Springs, California 92240 Rey C. Ramos 8940 Lavergne Skokie, Illinois 60077 7. Sixty percent (60\) of the shares of the Applicant are owned by Col. Ciriaco A. Reyes, Jr., thirteen and thirty-three hundredths percent (13.33\) are owned by Dominador B. Ciruelas, thirteen and thirty-three hundredths percent (13.33\) are owned by Jon C. Chestnut and thirteen and thi rty-three hundredths percent (13.33\) are owned by Rey C. Ramos. 8. Expert Services -- Bond Counsel to the City of San Bernardino Industrial Development Authority: Sabo & Gondek. a Professional Corporation; 5855 Topanga Canyon Boulevard, Suite 100, Woodland Hills, California 91367 (818) 704-0195, Principal Accountant to the Applicant: none selected at present, Principal Attorney for Poulakidas & Associates, Thomas G. poulakidas the Applicant: Thomas G. Chicago, Illinois, Attention: Principal Architect for the Applicant: Jimmie N, Cartee, 109 East Fourth Street, San Bernardino. California 92410 (714) 889-5358, Principal Engineer for the Applicant: none selected at present. Principal Contractor for the Applicant: none selected at present. -- Principal America, Mantle, Bank Account for the Applicant is at Bank of Redlands Main Offices, Attention: Robert ....... - 2 - , "- ~ -- -- <--- ....... ~.. -"" PART II. Company Description 1. The Applicant is the corporation through which industrial operations will be conducted in California. The Applicant shall spray dry a variety of food products, which spray drying shall remove all but a small amount of water in said products and convert them to dry, pourable powders and conduct related industrial warehousing activities associated with such food processing activities. The planned food processing and warehousing operations of the Applicant will require the acquisition and construction of an automated modern food processing facility for the spray drying of a variety of food products and the warehouse facilities must contain storage space adequate for both raw materials and finished products. 2. The Applicant has no other industrial facilities in California. The Applicant has not previously obtained any other tax-exempt financing. 3. The financial shareholders of the application, statements Applicant and are of to the this resumes attached - 3 - , - PART Ill. Description of the Project '-" The Project includes the acquisition of approximately four and eight-tenths (4.8) acres of land and the construction-thereon of an approximately twenty . thousand (20,000) square foot food processing, warehousing and distribution facility for the spray drying of food products by removing all but a small amount of water in said products and converting them to dry, pourable powders. In addition to the acquisition of said land, located on the northwest side of Lexington Way between Hallmark Parkway and the Atchison, Topeka and Santa Fe Railroad Tracks in the State College Industrial Park in the City and building costs, the Project requires the acquisition of new machinery and equipment, including, but not limited to co-current flow spray dryers, dry collectors, scrubbers and other food processing equipment necessary to effect the spray drying of cheese. shortening, instant formulas, vegetables and fruits. 1. Estimated Construction: Scheduled starting date will be October, 1985. Scheduled completion date will be January, 1986. .'~"''"> 2. The location of the Project is a vacant four and eight-tenths (4,8) acre parcel of property located in the State College Business Park in the City of San Bernardino, The legal owner of the land necessary for the Project is the Campeau Corporation and the Applicant plans to acquire the land necessary for the Project by October, 1985, An 8-1/2" x 11" map showing the location Project site is attached, '- 3. The production process of the Project is more fully described in the attached materials. 4. At present, the only known environmental quality regulation affecting the operation of the Project is Regulation 13 of the South Coast Air Quality Management District. The Applicant is currently preparing to apply for the appropriate permits for the construction and operation of the Project. 5, By-products or residues of the proposed operation of the Project shall be fUlly reclaimed for own use by the Applicant. PART IV. Cost of Project The currently estimated cost of the land, improvements and ,-. equipment necessary for the Project is $3,805,000. It is currently ~ proposed that the financing for the Project shall be derived from a combination of tax-exempt debt financing, certain assistance from - 4 - ...,.. "-" "" the Redevelopment Agency of the City of San Bernardino and equi ty '- contributions from the principal shareholders of the Applicant. The overall capital and financing costs of the Project are estimated to be as follows: . A. Land acquisition $ 332,000 $ 45,000 B. Architectural and engineering C, Construction costs including site preparation and building construction Machinery and equipment E. Interest during construction $1,105,000 $1,610,000 $ 404,000 $ 309,000 D, F. Financing costs: PROJECT TOTAL COST $ 3,805,000 .- --- : ..""""'- --- - 5 - - /"n. , - ~-,/ " ,.~ PART V. Description of the Public Benefits of the Project - A. The Applicant faci li ties in the City State of California. at present has no other location or of San Bernardino (the .City") or the -- B. The commencement of food processing and industrial warehousing activities by the Applicant is anticipated to result in a significant number of new employment opportunities in an area which currently suffers from a high level of unemployment. These new employment opportunities are expected to focus primarily upon unskilled and semi-skilled industrial positions which are occupational categories with comparatively high levels of unemployment in the City of San Bernardino. Within one (1) year following the commencement of operations of the Project, the Applicant anticipates that approximately thirty-four (34) persons will be employed full time at the Project with an estimated aggregate payroll of $675,000. The Applicant also anticipates that an additional eleven (11) persons will be employed full time within three (3) years following commencement of operations of the Project, bringing total employment at the Project to forty-five (45) persons with an estimated aggregate payroll of $840,000. In addition, it is anticipated that commencement of operations of the Project will create a substantial number of new employment opportunities in certain related service and transportation sectors, The wages and salaries to be paid to employees in the various job categories shall meet local and regional standards, The Project will be constructed in accordance with all applicable federal, state and local laws and regulations, hence working conditions will be satisfactory. '- C. Completion of the Project will enable the Applicant to commence the cost efficient production of spray-dry processing of food products, The consumer should benefit from the Applicant's ability to efficiently process such food products. D. The City will benefit from the increased payroll and property values associated with completion of the Project. Unemployment should be reduced by employment of additional unskilled and semi-skilled workers. PART VI, Description of Public Detriment from Issuance of Bonds in the Maximum Amount Proposed in the Application. The Applicant sees no detrimental impact by reason of such bond issuance. Usual city services are sufficient to support the proposed processing activities and no jOb displacement is foreseen. ~ - - 6 - I "~ , ~ -') .~ PART VII. Relocation -- The Applicant currently has no other manufacturing operations in California. The Project will be 8 new facility and not a relocation or consolidation of existing facilities which are currently in operation. PART VIII. Description of the Proposed Issuance of the Bonds A. The Applicant believes that the tax-exempt component of the overall financing of the Project will be privately placed with banks. B. The terms of the Bonds would be subject to negotiation with the Authority and the purchasing financial institutions, C. The probable method of financing for the Project would be loan of bond proceeds by the Authority to the Applicant. -- D. Depending upon the outcome of negotiations, the Bonds would be secured by a letter of credit to be issued by a commercial banking institution in a principal amount and for a term necessary to secure principal and interest of the tax-exempt component of the financing for the Project. Revenues to service the debt will arise from profits generated by Applicant in the normal course of business. '_ PART IX. Commitments The Applicant by the submission of this Application agrees to comply and/or to assist the Authority in complying with all state and federal laws in the issuance of the bonds or other such tax-exempt obligations to finance the Project acceptable to the Authority and the Applicant, including, without limitation, the making of any required application to a governmental department for authorization, qualification or registration of the offer, issuance or sale of the bonds or other tax-exempt obligations, and any amendments thereto, and any permit or other authorization of such governmental department, prior to the delivery by the Authority of such bonds or other tax-exempt obligations. The Applicant further commits to cause and/or to assist the Authority in causing to be printed' any prospectus or other written or printed communication proposed to be pUblished in connection with the issuance, offer or sale of bonds or other tax-exempt obligations acceptable to the Authority~ and the Applicant, prior to the delivery by the Authority of such bonds or other tax-exempt obligations, and, to the extent deemed necessary by the Authority, following delivery of such bonds or other tax-exempt obligations. -- '" - 7 - ........ ~'" ..J ~ '- ,,",'"'' " The Applicant also commits to pay all expenses as _ authorized and approved by the Applicant in connection with the issuance, offer or sale of the bonds or other tax-exempt obligations, whether or not such bonds or other tax-exempt obligations are finally issued, and to hold the Authority harmless from any and all expenses related thereto, to pay items on an ongoing basis so that neither the Authority, nor its advisors, attorneys, employees and the like will accumulate any claims against the Authority, The Applicant will supply any additional information, agreements and undertakings as the Authority may reasonably require as a result of conferences and negotiations and such additional information and agreements will be reproduced and supplied to the Authority and shall be deemed as supplements or amendments to this Application, - The Applicant acknowledges that adoption of the Inducement Resolution shall not be construed as approval of the plans or concept of the proposed development, nor as an indication that either the Authority or the Mayor and Common Council of the City of San Bernardino, California, will hereafter take any particular action toward granting any planning, zoning or other approval relating to a plan of development, The Applicant acknowledges that nothing herein shall be construed as an advance commitment or approval as to any such matter, normal planning processing shall be required. in accordance with the standard procedures of the City and the Applicant will be required to comply with all laws and ordinances of the Authority, the City, the State and federal government. '- ,.- '- - 8 - - , , - /""" ......., v ,- ) ~... ......... .".."'-" PARTX. Signature '-' The undersigned as an authorized officer of the Applicant hereby certifies that the undersigned has the authority to bind the Applicant to contract terms. that this Application to the best knowledge and belief of the undersigned. contains no false or incorrect information or data. and this Application. including exhibits and attachments hereto. is truly descriptive of the proposed Project. DATED: "APPLICANT" FOOD RESOURCES INTERNATIONAL, INC., an Illinois corporation By: Dominador B, Ciruelas. President ",-"",~.... '-' , ,,-"" '- - 9 - - '- G'fc.p,.p,~,.~A 0 -^,~f.~ :rt::"'~~~ ......: 'I~ .'~"., 1)'{1.;' " . I~ ~~.::,-~. ;;--. v >", I ." .,. I ... on! ,~ {.: ~ i.,..' ::u 'I ~~ 'i,. I;, I I"~' _' II........} f";- , ";! 111~)',r .: ;,] ~;l -.1 - _ cu I ~'lliJ' "'~"..~ =~I ! : ,,: 1'U.i" !I i i ~ 'I .r~ il s .: ~:' i; lil' . ""1" ~ . -.': Illft" .. I . 'I rl~~ - ~ ~I - , r .s :~ I .i~; I . ~. ~. 1l~1 ~; ~~ =:r; S :JI . .. - . - =:..'~;;;: I uu.' -fTh' .~ .lir . . -! . .. ~~ ;, .: , ;r---. .: ;~ Ii ~; l.rJ N' _, _...u..... ..........-. ~ It-II II 11 '1 ~~::i~j: ~ ;!~I ~ tJ J. ~ ~ ~ "I i I ~~ : I! b~-!:I' = I~I ~: ~ J - I J ....! S/ " I i 77 ,:-~ ,~, mil Iii .. g: 0 i rL j j'll' : ~'. T"'! 6 ~~, I f'l. ... _ tit: r !;Il^--....'- .A .........00. )'I If~tQoo,~tJI~t ~........~~ 'Q;l Q 1 ~ '~~Jh~Ht I ':' UIJr hl-J ~.~ I ',,,=._c&j..___.n ! ! I ; m1 I ' i !:F ,ill.J'; I l J<,<,~~~'~ __.._,_,J ~ - :';.~'_'_H;;;~'U ._~ I . m I' I" ..... '" ,. , ",' :'~"[}u . iJ 'j! ,\ iii " I~ ... u U l~~:~~:L! . I\-- . 4'"100'0''''' '1 \L._, :;:....""", __....rj' , '-,,- -.;;;;. :_, .....__. _..l-i : j U ..:.._ -:,.':. __.~---- '4"""-- -\. .~. ,', _~'J",>-".___ _ ~._-: /.;::~ ~1h '- c): o~ ............. !! ~ , I : N. - "- L ~ I , i ! : ... III - ~ I.lJ :E :e o u D - o ~ II ~1lI g~ o(u u ~Q. Ii Z4( ~ o:ii 8 > ~i Q)QO Q , 0..1 8~ 5 Q) v S.s l D~'E 1ii.o ~ I l ) ......1 .. ~ ~ e ~ .. .. '" !! J ~ f '0 f ~ 0 ~ ~ i h ii Ii 2'8 H n h 25 I~ ~f ~2 E l~ Ii -l! It U d ~ / "" '...... c ,..... \ V J - 2,223-2/0935S/jvz 08/26/85 ..... RESOLUTION NO. RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO, CALIFORNIA, APPROVING THE ISSUANCE BY THE CITY OF SAN BERNARDINO INDUSTRIAL DEVELOPMENT AUTHORITY OF ITS CITY OF SAN BERNARDINO INDUSTRIAL DEVELOPMENT AUTHORITY, INDUSTRIAL DEVELOPMENT REVENUE BONDS. FOOD RESOURCES INTERNATIONAL, INC. PROJECT, ISSUE OF 1985 AND THE PROJECT TO BE FINANCED THEREBY, MAKING CERTAIN FINDINGS AND DETERMINATIONS AND SETTING A PUBLIC HEARING RELATING THERETO (FOOD RESOURCES INTERNATIONAL, INC. PROJECT) WHEREAS, the City of San Bernardino Industrial Development Authority (the "Authority") is authorized and empowered by the California Industrial Development Financing Act (the "Act") being r '- found as Government Code Section 91500, et seq.. to finance certain industrial activities as permitted by the Act and to issue bonds for the purpose of enabling various developers to finance the cost of such industrial activities; and WHEREAS, the Authority has been requested to issue and sell its bonds to provide funds for the financing of a certain project to be located within the City of San Bernardino. California (the "City"). as proposed by Food Resources International. Inc.. an Illinois corporation (the "Company"), without any liability to the Authority or the City whatsoever; and WHEREAS, the Authority, pursuant to its Resolution .r- No. 85-5, adopted on August 19, 1985, accepted the Application for ~ - 1 - '-' -r".."" Iv '''...', .....,; :) /,.-, Financing as submitted by the Company and declared its intention to authorize and issue bonds of the Authority for the purpose of paying .........., the costs of financing the project, as described and set forth in said Resolution and said Application for Financing (the "Project"), and the costs of issuing such bonds, upon such terms and conditions as may be agreed upon by the Authority, the Company and the purchasers of the bonds; and WHEREAS, the Authority, pursuant to Resolution No, 85-5, determined that the Project will be a substantial factor in the accrual of each of the public benefits from the use of the facilities as proposed in said Application for Financing. and that the Project is in accordance with the Act; and ,- ........ WHEREAS, the Authority has requested the Mayor and Common Council of the City of San Bernardino, California (the "Mayor and Common Council"), to review the Application for Financing and approve said Project and the intended financing therefor; and WHEREAS, the certain amendments to Section 103 of the Internal Revenue Code of 1954, as amended (the "Code"), as enacted by Congress under the Tax Equity and Fiscal Responsibility Act of 1982 ("T.E,F.R.A,"), require that a public hearing be held in connection with the authorization and issuance of any "industrial development bonds including such bonds which may be issued by the Authority to enable the Company to finance the cost of the Project; r~_ '-' and - 2 - - - - / ' ,... f v '""..... i V .....'.... ; '-' , J "-' WHEREAS. the City has been requested to hold a public hearing pursuant to the Code as amended by T.E.F.R,A. for the issuance and sale of industrial development revenue bonds by the Authority to provide funds for the financing of the Company to be located within the City; and WHEREAS, it is appropriate for the City to take certain action at this time regarding the requests of the Company. NOW. THEREFORE, THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO, DO HEREBY FIND. RESOLVE, DETERMINE AND ORDER AS FOLLOWS: .~ ........ Section 1. That the recitals set forth hereinabove are true and correct in all respects. Section 2. Pursuant to the requirements of Code Section 103(k), the City hereby orders and schedules a public hearing to be held in connection with the Project, as described in the recitals of this Resolution. in accordance with said Code Section 103(k) on September 23, 1985. at the hour of 11:00 A,M. in the Council Chambers. San Bernardino City Hall, for the purpose of considering the public benefits and public purposes to be furthered by the financing or financings contemplated by the action of the Authority for the issuance of industrial development revenue bonds ,- for the Proj ect pursuant to the Act, The City hereby ratifies the "-' publication of the notice of said public hearing as attached hereto as Exhibit "A" and incorporated herein by reference, - 3 - - - - I' -, '-" --- ""\ V , -' ....... .~ '- SECTION 3. The Project and issuance of a principal amount not in excess of $4,400,000 of the "City of San Bernardino Industrial Development Authority, Industrial Development Revenue Bonds, Food Resources International, Inc. Project, Issue of 1985", for the corporate purposes of the Authority in aiding in the financing of the Project, and for other purposes related thereto, all of which constitute "industrial uses", as such term is used in Government Code Section 91503(a)(1), are hereby authorized and approved pursuant to Government Code Section 91530(0. transmi t a i"""'" pursuant to ""'-' copies of Section 4. The City Clerk of the City is hereby directed to certified copy of this Resolution to the Authority Government Code Section 91530(f), in addition to all assessments, supporting studies, notices, certifications, declarations and documents related to the California Environmental Quality Act of 1970, regarding the Project. as amended, See tion 5. The approval as herein granted and the final approval of the Project and the financing thereof are specifically conditioned upon the Mayor and Common Council approving the final environmental assessments and other environmental documents prepared or to be prepared pursuant to the provisions of the California Environmental Quality Act of 1970, as amended, with respect to any and all environmental ,- ~ conditions with regard to the operations of the Project as proposed by the Company in the Application. Adoption of this 1- / ' I."" "-"'''''\ ,i" '" """" v ........., ~.- resolution shall not be construed as approval of the plans or <- ........., ..- '- concepts of the proposed development, nor as an indication that the Mayor and Common Council will take any particular action toward granting any planning, zoning, or other approval relating to a plan of development. The Mayor and Common Council reserve their right to evaluate any future administrative procedures and appeals based solely on the information available at the time of consideration, including any actions or recommendations by or appeals from the Development Review Committee and the Planning Commission. Nothing herein shall be construed as advance commitment or approval as to any such matter, and the applicant is notified that normal planning processing shall be required, in accordance with the standard procedures of the City of San Bernardino, and that applicant will be required to comply with all applicable laws and ordinances of the city, state and federal government. Section 6. This Resolution shall take effect upon adoption. - 5 - - "-' ,-.. '- ,,-. '- - - - , '- I" V r--, v I HEREBY CERTIFY that the foregoing adopted by the Mayor and Common Counci 1 San Bernardino at a held on the day of the following vote. to wit: resolution of the meeting AYES: Council Members .. was duly Ci ty of thereof, 1985 , by NAYS: ABSENT: City Clerk day of The foregoing resolution is hereby approved this , 1985. Mayor of the City of San Bernardino AP~~ City Attorney STATE OF CALIFORNIA ) COUNTY OF SAN BERNARDINO) ss. CITY OF SAN BERNARDINO ) I. SHAUNA CLARK. City Clerk in San Bernardino, DO HEREBY CERTIFY that the copy of San Bernardino City Resolution No. true and correct copy of that now on file in this and for foregoing the and is office. City of attached a fu 11, IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of San Bernardino this day of , 1985. City Clerk - 6 - >-. . - - - - - -- ~ - - c ;"' '~. ,....... v / '-' EXHIBIT "A" .....- '- NOTICE OF PUBLIC HEARING BY THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO. CALIFORNIA, FOR A CERTAIN INDUSTRIAL DEVELOPMENT BOND FINANCING AND THE ISSUANCE OF INDUSTRIAL DEVELOPMENT REVENUE BONDS IN CONNECTION THEREWITH (FOOD RESOURCES INTERNATIONAL, INC. PROJECT) NOTICE IS HEREBY GIVEN that a public hearing shall be conducted by the Mayor and Common Council of the City of San Bernardino. California and sha 11 be held on Monday. September 23, 1985, at the hour of 11:00 A,M" in the Council Chambers, City Hall, 300 North "D" Street. San Bernardino, California 92418, for the purpose as hereinafter set forth. The purpose of said public hearing is to consider a proposal by Food Resources International, Inc. , an Illinios -- '- corporation (the "Company"), in accordance wi th Section 103 (k) of the Internal Revenue Code of 1954, as amended, for industrial development bond financing for the "Food Resources International, Inc. project" which shall consist of the acquisition of a four and eight-tenthS (4.8) acre parcel of property located on the northwest side of Lexington Way between Hallmark Parkway and the Atchison, Topeka and Santa Fe Railroad tracks in the State College Industrial Park and the construction thereon of an approximately 20,000 square foot industrial food processing facility and the acquisition of the necessary machinery and equipment there for the spray drying of food products, which process will convert said food products, into dry, pourable powders, in the City of San Bernardino, California (the ,..........., "City"), '-- A-I ';.- I~ - - - c "".., r-""',; -......I "-' ,J>'--- The City of San Bernardino Industrial Development Authority --- (the "Authority"), intends to issue its industrial ~evelopment revenue bonds pursuant to the California Industrial Development Financing Act, as amended (the "Act"), for said Project. The total cost of the Project is currently estimated to be approximately $3,805.000 and the financing for this Project shall be derived from a variety of sources including equity contributions from the Company, certain appropriate assistance from the Redevelopment Agency of the City of San Bernardino and from the issuance of tax-exempt bonds or other obligations of the Authority in a maximum principal amount presently estimated not to exceed Four Million Four Hundred Thousand Dollars ($4.400,000). Land acquisition costs associated with the Project are estimated to be approximately ,- '-r $332,000. site improvement and building construction costs are estimated to be approximately $1,105.000, machinery and equipment acquisition costs are estimated to be approximately $1.610,000, architectural, engineering, funded interest during construction, financing, legal and miscellaneous expenses and contingencies are estimated to be approximately $758.000. The Authority intends to issue its bonds pursuant to the Act in an amount presently estimated not to exceed $4,400,000 for the financing thereof. All persons interested in the subject matter and the public purposes and public benefits and the issuance, by the Authority. of its industrial development revenue bonds In an estimated principal ,,-.-.,-, - "'-- c '-' ,,,,,..,' ) amount not to exceed $4,400,000 in connection with the Project may ,'- attend such hearing and/or file their written comments thereto. - NOTICE GIVEN as of this ____ day of September 1985, City Clerk of the City of San Bernardino. California To be published in The Sun on 9/9/85 and 9/16/85 -.... '- '-' A-3 ~-