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92
<br />
<br /> WHEREAS, the Charlottesville Redevelopment and
<br />Housing Authority (the "Authority") has considered the
<br />application of Phi Gamma Delta Renovation Associates, a
<br />Virginia limited partnership (the "Applicant") Madison
<br />Hall, University Avenue, Charlottesville, Virginia 22906-
<br />9012, for the issuance of the Authority's bonds in the
<br />maximum amount not to exceed $250,000 (the "Bonds") to
<br />assist in the financing of the Applicant's renovation of
<br />a 7,000 square foot housing facility to be used as a
<br />fraternity house (the "Facility") to be leased in part
<br />to Omicron Chapter House Society and in part to individuals.
<br />The Facility will be located at 128 Madison Lane in the
<br />Central City Development District in the City of Charlottes-
<br />ville, Virginia (the "City"). The Authority held a public
<br />hearing on this matter on July 22, 1985, a date within 60
<br />days prior to the date of adoption of this resolution;
<br />
<br /> WHEREAS, the Authority has requested the City Council
<br />of the City of Charlottesville, Virginia (the "Council")
<br />to approve the issuance of the Bonds to comply with Section
<br />103(k) of the Internal Revenue Code of 1954, as amended
<br />(the "Code"), and Paragraph 2 of Chapter 514 of the Acts of
<br />the General Assembly of Virginia of 1983;
<br />
<br /> WHEREAS, a copy of the Authority's resolution approving
<br />the issuance of the Bonds, its recommendation with respect
<br />thereto, a record of the public hearing, and the fiscal
<br />impact statement required by Paragraph 2 of Chapter 514 of
<br />the Acts of the General Assembly of Virginia of 198~, have
<br />been filed with the Council;
<br />
<br /> WHEREAS, Section 103(n) of the Code and Executive Order
<br />54(85) of the Governor of Virginia (the "Order") have imposed
<br />upon the City a Local Allocation, as defined in the Order,
<br />of $3,022,425 of bonds that may be issued to finance facilities
<br />located in the City, $3,022,425 of which has been allocated
<br />by the Council for use by the Industrial Development
<br />Authority of the City of Charlottesville, Virginia; and
<br />
<br /> WHEREAS, the entire $3,022,425 Local Allocation has
<br />been allocated to other facilities located in the City,
<br />and the Authority has, therefore, requested that the Council
<br />request from the State Reserve, as defined in the Order,
<br />$250,000 to be allocated to the Bonds:
<br />
<br /> BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
<br />CHARLOTTESVILLE, VIRGINIA:
<br />
<br /> 1. The Council approves the proposed issuance of the
<br />Bonds by the Aut'hority for the benefit of the Applicant,
<br />to the extent required by the federal and state laws referred
<br />to above, to permit the Authority to assist in the financing
<br />of the Facility.
<br />
<br /> 2. The foregoing approval of the proposed issuance of
<br />the Bonds does not constitute an endorsement of the Bonds,
<br />the financial viability of the Facility or the creditworthi-
<br />ness of the Applicant. As required by the Code of Virginia
<br />of 1950, as amended, the Bonds shall provide that neither
<br />the Commonwealth of Virginia, the City nor the Authority
<br />shall be obligated to pay the bonds or the interest thereon
<br />or other costs incident thereto except from the revenues
<br />and moneys pledged therefor and neither the faith and
<br />credit nor the taxing power of the Commonwealth, the City
<br />or the Authority shall be pledged thereto.
<br />
<br /> 3. The Council, pursuant to the Order, hereby authorizes
<br />and directs the City Manager, on or before August 15, 1985,
<br />to request $250,000 from the State Reserve to be allocated
<br />to the issuance of the Bonds.
<br />
<br /> 4. This Resolution shall take effect immediately
<br />upon its adoption.
<br />
<br />
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