R97-46 AUTHORIZING THE REALLOCATION OF 1997 VOLUME CAP

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RESOLUTION NO. R97-46 RESOLUTION AUTHORIZING THE REALLOCATION OF 1997 VOLUME CAP TO THE CITY OF HARVEY ILLINOIS WHEREAS, Section 146 of the Internal Revenue Code of 1986 as amended (the "Code"), grants Illinois home rule municipalities volume cap in the amount of$50 per population per year to issue private activity bonds; and, WHEREAS, the official estimated 1994 population of the City of Decatur, Illinois (the "City") is 83,105 giving the City a volume cap of$4,155,250 for the year 1997; and, WHEREAS, the City has not reallocated its 1997 volume cap and presently has no requests to use the same; and, WHEREAS, the City of Harvey, Illinois ("Harvey") intends to issue multifamily housing � revenue bonds on behalf of Bethlehem Development Corporation or its assignee (collectively, the "Borrower") to finance the acquisition and construction of a multifamily housing facility in Harvey; and, WHEREAS, Harvey has requested that the City reallocate $2,500,000 of its 1997 volume cap to Harvey to be used to finance such private activity bonds for the Borrower because volume cap is otherwise unavailable to Harvey and the City will be paid a fee in the amount of one percent (1%) of the 1997 volume cap actually used by Harvey in regard to the issuance of the private activity bonds at the time of closing the bonds; and, ' I lin i Private Activit Bond Allocation Act WHEREAS, pursuant to Section 6 of the 1 o s y (30 ILCS 345/1 et seq.) the ("Act") including the written Guidelines and Procedures dated as of January 1, 1997, of the Governor's Office of the State of Illinois issued under the Act (the "Guidelines and Procedures"), the City may reallocate all or any portion of its unused volume cap for calendar year 1997. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DECATUR, ILLINOIS: