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65 <br /> <br /> Responding to a question from Mrs. Gleason about the <br />amount of the appropriation, Mr. Clyde Gouldman, City <br />Attorney, stated that operating funds for the remainder of <br />the year were included in the appropriation. <br /> <br /> On motion by Mr. Hall, seconded by Mr. Towe, the $1,725 <br />appropriation for street lights in the North Downtown area <br />was offered and carried over to the next meeting for <br />consideration. <br /> <br />RESOLUTION: APPROVING REFUNDING OF INDUSTRIAL DEVELOPMENT BOND <br />ISSUE - $3,750,000 FOR C.L./CHARLOTTESVILLE LTD. PARTNERSHIP <br /> <br /> Mr. George Gilliam, representing C.L./Charlottesville <br />Ltd. Partnership, stated that the 1982 Industrial Development <br />Bond issue of $3,750,000 had been used to construct and equip <br />the English Inn and was issued when interest rates were <br />high° Mr. Gilliam stated that since that time interest rates <br />have moderated which will enable the English Inn to realize <br />a savings of five percentage points, or almost $200,000 per <br />year for approximately 14 years. <br /> <br /> Mr. Buck noted that no income tax is required to be paid <br />by the English Inn for the interest earned on the bond. <br /> <br /> On motion by Mr. Barnes, seconded by Mr. Towe, the <br />resolution approving the refunding of the $3,750,000 <br />industrial development bond issue for C.L./Charlottesville <br />Ltd. Partnership was unanimously approved by Council. <br /> <br /> WHEREAS, the Industrial Development Authority of the <br />City of Charlottesville, Virginia ("Authority") has <br />considered the application of C.L./Charlottesville Limited <br />Partnership ("Company") requesting the issuance of the <br />Authority's refunding revenue bonds in an amount not to <br />exceed $3,750~000 ("Bonds") to refund the Authority's <br />~3,750,000 Industrial Development Revenue Bonds (C.L./ <br />Charlottesville Limited Partnership) dated May 1, 1982 issued <br />to provide financing for the acquisition, construction and <br />equipping of a motel of 88 rooms and an office facility <br />consisting of approximately 12,000 square feet ("Project") <br />located at the intersection of Morton Drive and Earhart <br />Drive, in the City of Charlottesville, Virginia, and has held <br />a public hearing thereon on February 9, 1988; <br /> <br /> WHEREAS~ Section 147(f) of the Internal Revenue Code of <br />1986, as amended, provides that the governmental unit having <br />jurisdiction over the issuer of private activity bonds and <br />over the~area in which any facility financed with the <br />proceeds of private activity bonds is located must approve <br />the issuance of the bonds; <br /> <br /> WHEREAS, the Authority issues its bonds on behalf of the <br />City of Charlottesville, Virginia ("City"); the Project is <br />located in the City and the City Council of the City of <br />Charlottesville, Virginia ("Council") constitutes the highest <br />elected governmental unit of the City; <br /> <br /> WHEREAS, the Authority has recommended that the Council <br />approve the issuance of the Bonds; and <br /> <br /> WHEREAS, a copy of the Authority's resolution approving <br />the issuance of the Bonds, subject to the terms to be agreed <br />upon, a certificate of the public hearing and a Fiscal Impact <br />Statement have been filed with the Council. <br /> <br /> NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF <br />THE CITY OF CHARLOTTESVILLE, VIRGINIA: <br /> <br /> io The Council approves the ~issuance of the Bonds by <br />the Authority for the benefit of the Company, as required by <br />Section 147(f) and Section 15.1-1378.1 of the Virginia Code, <br /> <br /> <br />