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HomeMy WebLinkAbout04-05-1984 Industrial Development Corporation Board of Directors MeetingZN~WNxnorQ~ •t~ ~xnZN~n ZNIOr Zxoaa~g xo3 NorZn-tos~x ZN3W30nQNI QNtl ONION~lNI3 203 NOIZ~OI'Idd~T JNIn02idd~T d3QISN00 ' £ t~861 ` l H02~~TW Q'I3H OQI HHZ 30 ONIZ33W 3HZ 30 S3ZnNIW JNInOddd~ 2i3QISN00 'Z a~aao oZ ~~~o •~ 'W'd OO~L Zd ONINNI03g `S~X3Z `3Z80d ~'I `x~M~3d~d ZNOW~IIV3 ZSHM tr09 `'7'1~H x,LIO 3HZ 30 W002i 30N32i33N00 3HZ NI `h861 `5 'II2Idb Q'I~H 3H OZ NOIZ~f2i0dd00 ZN3Wd0'I3n3Q 'I~fI~tZSQQNI 3Z2IOd ~'I HHZ .d0 JNIZ3HW ~QN30~d • ~~. r ~ • • C MINUTES OF THE LA PORTE INDUSTRIAL DEVELOPMENT CORPORATION MARCH 1, 1984 1. The meeting was called to order by President Virginia Cline at 7:00 P.M. Members Present: Virginia Cline, Walt Springall, Buddy Felscher, John Longley, Jack Lawler, Bob White Members Absent: Jerry Dennis Others Present: Knox Askins, C. B. Walker, Charlie Gipson, Wes Fox, Ron Rosier, Leroy Smith President Cline asked that, if there were no objections, she be allowed to deviate from the order of business and consider items 4 and 5, as she had another meeting to attend at 7:30. There were no objections. C 4. City Attorney Askins read the inducement resolution for Con- tech Engineering. This project had been approved at the February 13 meeting. Charlie Gipson spoke to the Board and explained that although the project was the same, the location had been changed to a more desirable site on Sens Road. Mr. Askins commented that that should make no difference as long as the property is within the city limits. Contech will submit an ,amended application. Motion was made by Walt Springall to approve the resolution of Contech Engineering. The motion was seconded and approved, 6 ayes and 0 nays. Ayes: Springall, Felscher, Longley, Lawler, White and Cline Nays: None 5. The Board considered the application for financing of Process Products, Inc. Leroy Smith spoke to the Board and explained the project. President Cline excused herself so she could go into her other meeting. Vice-President Springall assumed the chair. ' 7 • Minutes, Industrial Development Corporation March 1, 1984, Page 2 City Attorney Askins read the inducement resolution for Process Products, Inc. Motion was made and seconded to approve the inducement resolu- tion for Process Products, Inc. The motion carried, 5 ayes and 0 nays . Ayes: Springall, Felscher, Longley, Lawler and White Nays: None 2. Item 2, consider approving minutes of the February 13, 1984, meeting, was taken up. Motion was made and seconded to approve the minutes of-the February 13, 1984, meeting as presented. The motion carried, 5 ayes and 0 nays. Ayes: Springall, Felscher, Longley, Lawler and White Nays: None 3. Item 3, reconsider payment of Federal Express bill to the ~ City of La Porte, was taken up. L Motion was made and seconded to reimburse the City of La Porte $36.50 and back-charge Reynolds, Allen & Cook for that amount. The motion carried, 5 ayes and 0 nays. Ayes: Springall, Felscher, Longley, Lawler and White Nays: None Buddy Felscher introduced himself to the Board and gave them a brief summary of his background. 6. There being no further business to come before the Board, the meeting was duly adjourned. Respectfully submitted: Cherie Black, for Jerry Dennis Secretary Passed & Approved this the day of , 1984 Virginia Cline, President 7 • • MAYOR, DAY F3 CALDWELL NORTH TOWER PENNZOIL PLACE HOUSTON, TEXAS 77002 TWX ~JIO-331-G~J17 P. O. BOX 4544 CABLE MAYDAYHOU HOUSTON, TEXAS 77210 (713) 225-7000 March 28, 1984 Knox W. Askins, J.D., P.C. 702 West Fairmont Pkwy. P.O. Box 1218 La Porte, Texas 77571 Re: City of La Porte Industrial Development Corporation (Bayport Joint Venture Project) Dear Mr. Askins: Enclosed please find the following: 1. Two (2) copies of the Application for Financing; 2. Check No. 1001 in the amount of one thousand dollars ($1,000.00); and 3. Five (5) copies of the Inducement Resolution. It is our understanding that the Inducement Resolution will be adopted by the City of LaPorte Industrial Development Corporation at its next regular meeting on April 5, 1984. Should you have any questions or need additional information regarding this matter, please do not hesitate to contact us. Very truly yours, ~u ~/ Dorothy Brunette, Legal Assistant :bad :110000:001 cc: Mr. Walter Nichols, Jr. ~ . • ,~~~-YP.QRT JOINT VENTURE March 20 lg 84 35-97/1130 AY TO THE CITY OF LA PORTE INDUSTRIAL DEVELOPMENT CORPORATION ORDER QF ~ ~_ .~ ~ 000.00 ..-.u•._.~ ****ONE THOUSAND AND NO/100-------------------------------- ~~ InterFirSt -COLLARS ~u InterFint Bank Fannin P.O. Box 20008, Houston, Texas 77025 ~ , ~ n ~ /J / I FoR_ Application Fee -Bayport Joint Venture /~-~ ~- ®~: L 1300097 i~: L95~~~86711' City of La Porte P. O. BOX 1115 LA PORTE, TEXAS 77571 RECEIVED FROM AMOUNT $ ~ , t7i DESCRIPTION: ~ DG .,~, `~ r 1 gy ~ CASHIER NO. FORM OF PAYMENT ^ Cash ^ Money Order ®~Check ^ Cashier Check ~/00/ /yLO No. 1001 RECEIPT NO. nn?735 DATE _ ~ -~~ DO ~ARS ~~~ . a ti ~. • • CITY OF LA PORTE IND(JSTRIAL DEVELOPMENT CORPORATION (a nonprofit corporation) APPLICATION FOR FINANCING The purpose of this application is to present to the City of La Porte Industrial Development Corporation (the "Corporation") a reasonably comprehensive outline of the project (the "Project") for which financing is being requested. Fill in all blanks, using "None" or "Not Applicable" where necessary. If additional space is needed, attach separate sheets as exhibits. The completed application, with supporting documents, is to be submitted in duplicate to the City Secretary of the City of La Porte, Texas at the following address: City Secretary, City of La Porte,•Texas, 604 West Fairmont Pkwy., P. 0. Box 1115, La Porte, Texas J7571, Re: Application for Industrial Development Revenue Bonds. In addition, one copy of the completed application should be submitted to counsel to the Corporation, Knox W. Askins, J.D., P.C., 702 West Fairmont Pkwy., P. 0. Box 1218, La Porte, Texas 77571. At the time this application is submitted, a non-refundable application fee m~~st be paid to the Corporation as follows: if the amount of financing applied for is equal to or less than S500,000, then the fee is S500; if the amount of financing applied for is greater than $500,000, then the fee is $1,000. All applications for financing must be submitted to the Corporation for review and recommendation at least one (1) week prior to a meeting o~f the Board of Directors during which action upon said application will be taken. 1. Genersl information a. Legal name, address and telephone number of Applicant. Bayport Joint Venture (713) 981-9104 9301 Southwest Freeway, Houston, Texas 77074 b. State of incorporation or other form of organisation or association. Texas Joint Venture c. Registered agent for service of process for the Applicant. N/A ITY OF LA PORTS ~USTRIAL • 'DEVELOPMENT CORPORATION Page 2 Application for Financing d. Person to whom questions and correspondence should be directed. Walker L. Nichols (713) 981-9104 e. Name, address and telephone number of counsel for Applicant (this does not mean bond counsel). Counsel for Applicant not yet determined. f. Name, address and telephone number of accounting firm. Kenneth Leventhal & C.canpany (713) 850-9100 3D/International Tower, 1900 W. Loop South, Suite 1600 g. Name, address and telephone number for bond counseion~ Texas 77027 has been chosen). David T. Lail (713) 225-7013 (if one Mayor, Day & Caldwell Houston, texas 77002 2. Description of Proiect a. Amount of financing applied for• $1,850,000 b. Total cost of Project• $1,850,000 c. Brief narrative description of the Project including whether land acquisition is included and the major components of the Project, the estimated number and type of new jobs to be created in City of La Porte, Texas by the Project and t're~ annual payroll of employees working at the Project. The Project to be financed tii+~:. the proceeds of the Bonds is to-be located within the incorporated limits of the City of La Porte, Texas and consists of the acquisition of land and the construction thereon of Mini-Storage warehouses and a six (6) bay car wash, together with various other items of equipment, machinery and furnishings which are functionally related and subordinate to the foregoing. CITY OF LA PORTS ~L'STRIAL • Page 3 DEVELOPMENT CORPO ION Application for Financing d. If the Applicant is relying on the "small issue" exemption as the basis for the interest on the bonds being exempt from federal income taxes, complete and attach to this application the Industrial Development Bond Financing Questionnaire attached to this application as Exhibit A. Any questions in this regard should be addressed to bond counsel (if known). 3. Financial Arranzements a. Summarize the financing arrangements as planned as of this date including name and address of the financial institu- tion(s) (bank, investment banking firm, etc.), if~determined, which may be interested in purchasing the bonds if and when such bonds may be approved for sale: (It is the responsi- bility of the Applicant to arrange for the marketing of the bonds if the financing is approved, with the Corporation's concurrence.) Financial arrangements have not yet been finalized although InterFirst Bank Houston, N.A. and Allied Comrnxnity Bank have expressed an interest in purchasing the Bonds. b. If the Applicant has credit rating, please state the rating and agency: Applicant has no credit rating. c. Explain how the Project will be financed if all or a portion of the amount of the financing applied fc,r herein is denied: Applicant is not certain the Project is feasible without tax exempt 4. Financial Statements financing N/A a. ALt3ch west recent Form 10-K to the Securities and Exchange Commission, together with the most recent Form 10-Q. OR 1. A brief descrip*_ion of the form of organization and organizational structure, including parent, subsidiaries and affiliates; and 2. A brief statement of the history and type of business engaged in; and 3. The names and ages of executive or managing of_`icers and .directors and a brief account of all business experience of each such officer or director, including his princ-~pal CITY OF~LA PORTE INDUSTRIAL ' ' ' DEVELOPMENT CORP~TION Application for financing occupations and employment business of the corporation which such occupations and and, • Page 4 and the name and principal or other organization in employment were carried on; 4. Audited financial statements (or if audited financial statements are not available, unaudited financial statements) for each of the three preceding fiscal years. b. Detail changes or events subsequent to the date of the most recent financial statements (including but not limited to pending or threatened litigation, claims, assessments, commit- ments, subsequent information regarding uncollectibility of receivables, valuation of assets, changes in corporate struc- ture or statements of prior period financial statements) which may have a material effect on the Applicant's financial position: N/A 5. Agreements of A~olicant a. Indemnity: By its execution of this Application, the Applicant agrees that it will at all times indemnify and 'Hold harmless the Corporation, the Board of Directors of the Corpo- ration, City of La Porte, Texas (the "Unit"), the City Council of the Unit and any of the officers, directors, employees, agents, servants and any other party acting for or on behalf of the Corporation or the Unit (such parties being hereinafter referred to as the "Indemnified Parties") against any and l' losses, costs, damages, expenses and liabilities (collectively herein called "Losses") of whatsoever nature (including, but not limited to, attorneys' fees, litigation and court costs, amounts paid in settlement and amounts paid to discharge judgments) directly or indirectly resulting from, arising out of or relating to one or more Claims, as hereinafter defied, even if such Losses or Claims, or both, directly or indirectly result from, arise out of or relate to, or are asserted to have resulted from, arisen out of or related to, fir. ~~hole or in part, one or more negligent acts or omissions of the I:.- demnified Parties in connection with the issuance of the Bonds or in connection with the Project. The term "Claims" as used herein shall mean all claims, lawsuits, causes of action and ,CITY OF LA PORTE~USTRIAL • Page 5 DEVELOP:tEIv"T CORPORATION Application for Financing other legal actions and proceedings of whatsoever nature, including but not limited to claims, lawsuits, causes of action and other legal actions and proceedings, involving bodily or personal injury or death of any person or damage to any property (including, but not limited to, persons employed by the Corporation, the Unit, the. applicant or any other person and alI property owned or claimed by the Corporation, the Unit, the Applicant, any affiliate of the Applicant or any other person) or involving damages relating to the issuance, offering, sale or delivery of the Corporation's bonds to finance the Project (the "Bonds") brought against any Indemni- fied Party or which any Indemnified Party is a party, even if groundless, false or fraudulent, that directly or indirectly result from, arise out of or relate to the issuance offering, sale or delivery of the Bonds or the design, construction, installation, operation, use, occupancy, maintenance or ownership of the Project or any part thereof. None of the Indemnified Parties shall be liable to the Appli- cant for, and the Applicant hereby releases each of them from all liability to the Applicant for all injuries, damages or destruction of all or any part or parts of any property owned or claimed by the Applicant that directly or indirectly result from, arise out of or relate to the design, construction, operation, use, occupancy, maintenance or ownership of the Project or any part thereof, even ii such injuries, damages or destruction directly or indirectly result from, arise out of or relate to, in whole or in part, one or more negligent acts or omissions of the Indemnified Parties in connection with the issuance of the Bonds or in connection with the Project. Each Indemnified Party, as appropriate, shall reimburse the Applicant for payments made by the A_oDlicant to the extent of any proceeds, net of all expenses of collection, actually received by them from any insurance with respect to the Less sustained. Such Indemnified Party, as appropriate, shall have the duty to claim any such insurance proceeds and the Indemni- fied Party, as appropriate, stall assign its respective rights to such proceeds, to the extent of such required reimburse- ment, to the Applicant. In case any action shall be brought or to the I:nowledge of any Indemnified Party, threated against any of *_hem in respect of which indemnity may be sought against the Applicant, the Indemnified Party shall promptly notify the Applicant in writing and the Applicant shall have the right to assume the investigation and defense thereof, including the employment of counsel and the payment of all expenses. The Indemnified Party shall have the right to CITY OF LA PORTE ®L'STRIAL • Page 6 DEVELOPMENT CORPORATION Application for Financing employ separate counsel in any such action and participate in the investigation and defense thereof, but the fees and ex- penses of such counsel shall be paid by the Indemnified Party unless (a) the employment of such counsel has been specific- ally authorized by the Applicant, in writing, (b) the Appli- cant has failed to assume the defense and to employ counsel or (c) the named parties to any such action (including any impleaded parties) include both an Indemnified Party and the Applicant, and said Indemnified Party shall have been advised by such counsel that there may be one or more legal defenses available to it which are different from or additional to those available to the Applicant (in which case, if the In- demnified Party notifies the .Applicant in writing that it elects to employ separate counsel at the Applicant's expense, the Applicant shall not have the right to assume the defense of such action on behalf of such Indemnified Party, it being understood, however, that the Applicant shall not, in con- nection with any one such action or separate but substantially similar or related actions in the same jurisdiction arising out of the same general allegations or circumstances, be liable for the reasonable fees and expenses of more than one separate firm of attorneys for the Indemnified Party, which firm shall be designated in writing by said Indemnified Party). The Indemnified Party, as a condition of such in- demnity, shall use its best efforts to cooperate with the .Applicant in the defense of any. such action or claim. The Applicant shall not be liable for any settlement of any such action without its consent but, if any such action is settled with the consent of the Applicant or if there be final judg- ment for the plaintiff in any such action, the Applicant agrees to indemnify and hold harmless the Indemnified Parties from and against any Loss by reason of such settlement or judgment. b. Fees and Expenses: Applicant agrees to pay-all reasonable and necessary costs, expenses and fees incurred by the Corporation in connection with the issuance of the bonds or in connection with the Project, including but not limited to the out-of- pocket expenses incurred by the Corporation's personnel; fees for legal services and out-of-pocket expenses of the Cor~o- ration's Counsel fees and out-of-pocket expenses for con- sulting advice of the Corporation's consulting engineers; fees and expenses required in connection with the underwriti.^.g or placement of the Bonds; fees and out-of-pocket expenses of Bond Counsel; fees and out-of-pocket expenses of the trustee; all recording costs; Blue Sky and legal investment survey costs, rating agencies; fees and printing costs; and all ITY OF LA PORTS GSTRIAL DEVELOPMENT CORPC~ION Application for Financing Page 7 incidental expenses, costs and charges relating to the Project and the issuance of the Bonds not enumerated above. The Corporation will upon request provide or cause to be provided to the trustee under the indenture of trust and/or the Ap- plicant any data or information which may be reasonably re- quired to verify any of the costs and expenses and fees enumerated above. with respect to the costs, expenses and fees enumerated above, the Applicant shall at the Corpo- ration's request advance on a monthly basis the amounts in- curred by the Corporation pending reimbursement out of the' proceeds from the sale of the Bonds. To the extent that the costs, expenses and fees enumerated above are not or cannot be paid or reimbursed from the proceeds of the bonds or if bonds are not issued, the Applicant shall pay the same. In addition, at the time the Application is forwarded to the Texas Economic Development Commission, the Applicant will be required to pay to the Texas Economic Development Commission, on behalf of the Corpora- tion, a nonrefundable. filing fee in an amount not to exceed S1,500, as required by the Texas Economic Development Commission's Industrial Revenue Bond Program Rules. The undersigned verifies that foregoing application on behalf of information is true and correct to submitted on the day of he is duly authorized to the Applicant and. that th the best of his knowledge 19 submit the =oregoir.g and belief Applicant: BAYPORT JOINT ~, Walker L. Nichols, r ~ - Jam. ;> CERTIFICATE FOR RESOLUTION CONCERNING ISSUANCE OF BONDS TO FINANCE A PROJECT FOR BAYPORT JOINT VENTURE I, the undersigned officer of the CITY OF LA PORTE INDUSTRIAL DEVELOPMENT CORPORATION (the "Issuer"), hereby certify as follows: 1. In accordance with the Bylaws of the Issuer, the Board of Directors of the Issuer (the "Board") held a meeting on 1984 (the "Meeting") of the duly constituted officers and members of the Board, at which a duly constituted quorum was present. Whereupon, among other business transacted at the Meeting, a written RESOLUTION AGREEING TO ISSUE BONDS (BAYPORT JOINT VENTURE PROJECT) ( the "Resolution") was duly introduced for the consideration of the Board. It was then duly moved and seconded that the Resolution be adopted; and, after due discussion, said motion, carrying with it the adoption of the Resolution, prevailed and carried. 2. A true, full, and correct copy of the Resolution adopted at the Meeting is attached to and follows this Certificate; the Resolution has been duly recorded in the Board's minutes of the Meeting; each of the officers and members of the Board was duly and sufficiently notified officially and per- sonally, in advance, of the time, place, and purpose of the Meeting in accordance with the Bylaws, and that the Resolution would be introduced and considered for adoption at the Meeting, and the Meeting was held and conducted in accordance with the Articles of Incorporation and Bylaws of the Issuer. 3. Said Meeting was open to the public notice of the date, hour, place as required by the Texas Open Meetings Civil Statutes, as amended. public as required by law; and that and subject of said ?Meeting was given Act, Article 6252-17, Vernon's Texas SIGNED AND SEALED this day of 1984. Secretary (SEAL) RESOLUTION AGREEING TO ISSUE BONDS (BAYPORT JOINT VENTURE PROJECT) WHEREAS, the City of La Porte Industrial Development Corporation (the "Issuer") is authorized by the Development Corporation Act of 1979, Article 5190.6, Vernon's Annotated Texas Civil Statutes, as amended (the "Act"), to issue revenue bonds for the purpose of paying all or part of the cost of a commercial, industrial or manufacturing "project," as defined in the Act, and to sell or lease the project to others or loan the proceeds of the bonds to others to finance all or part of the cost of the project; and WHEREAS, the Issuer now desires to authorize the issuance and sale of its tax exempt industrial development revenue bonds, to the extent authorized by law, to provide funds to defray all or part of the cost of acquiring and con- structing certain commercial facilities to be constructed by or to be leased or sold to Bayport Joint Venture (the "User"); and WHEREAS, the User, pursuant to the application (the "Application") duly filed with the Issuer, has requested that the Issuer adopt a bond resolution with respect to the bonds or take some other similar official action toward the issuance of such bonds prior to the commencement of construction or acqui- sition of such facilities; and WHEREAS, the City of La Porte, Texas (the "Unit") has authorized and approved creation of the Issuer to act on behalf of the Unit for the public purposes of furthering the promotion and development of commercial enterprises to promote and encourage employment and the public welfare; and WHEREAS, the Issuer has found and determined that the Project will con- tribute to the economic growth or stability of the L'nit by increasing or sta- bilizing employment opportunities, significantly increasing or stabilizing the property tax base and promoting commerce within the Unit and State, and that the Project is in furtherance of the purposes of the Act; NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE CITF CF LA PORTE INDUSTRIAL DEVELOP"SENT CORPORATION THAT: Section 1: Subject to final approval by ttie Unit, the Issuer hereby authorizes and agrees that it will issue and sell its industrial development revenue bonds (the "Bonds") from time to time in one or more series pursuant to the provisions of Texas law in a principal amount sufficient to pay al. or part of the cost of acquiring and constructing the prefect described in Exhibit "A" attached hereto (the "Project"), together with all costs of authorization, sale and issuance of the Bonds. The Bonds will be issued and sold in an aggregate principal amount (excluding bonds issued to refund azy of the Bonds) now estimated to be not more than $1,850,000. • Section 2: The User may commence with the acquisition and construction of the Project, which Project will be in furtherance of the public purposes of the Issuer and the Unit as aforesaid, and the User will provide, or cause to be provided, at its expense, the necessary interim financing to expedite the commencement of the acquisition and construction of the Project. On or prior to the issuance of the Bonds, the User will enter into a purchase, lease or loan agreement on an installment payment basis (herein called the "Agreement") with the Issuer under which the Issuer will sell or lease the Project to the User or make a loan to the User for the purposes of providing temporary or permanent financing of all or part of the costs of the Project and the User will make installment payments sufficient to pay the principal of, premium, and interest, if any, on such series of Bonds. The Bonds shall never consti- tute an indebtedness or pledge of the faith and credit of the State of Texas (the "State"), of the Unit or of any other political corporation, subdivision or agency of the State within the meaning of any State constitutional or stat- utory provision, and the Bonds shall never be paid in whole or in part out of any funds raised or to be raised by taxation or any other funds of the Unit, and shall be payable from the funds of the Issuer derived from or in con- nection with the sale or lease of the Project or the loan of the proceeds of the Bonds. Section 3: Upon final approval of the Project by the Unit and upon receipt of a ruling from the Internal Revenue Service (or the opinion of nationally recognized 'bond counsel) that interest paid on the bonds is exempt from federal income taxation, the Issuer hereby agrees to issue, pursuant to the terms of the Act, the Bonds, or from time to time the portion thereof as may be the subject of such a ruling or opinion as aforesaid, in an appropriate principal amount not exceeding that which is the subject of a ruling or opinion as aforesaid, maturing in such amount and times, bearing interest at the rates, payable on the dates and having such optional and mandatory redemp- tion features and prices as are approved in writing by the User. The Issuer will deliver the Bonds to the purchaser designated by the User and will coop- erate to the fullest extent in facilitating delivery of the Bonds. Section 4: The Bonds may be issued either at one time or in several series from time to time as the User shall request in writing; provided, ?;cw- ever, that the Bonds will be issued in an aggregate principal amount as w°ill not exceed the amount which is the subject of a ruling or rulings or opinion or opinions as aforesaid. A request in writing for issuance of one or more series of Bonds shall not affect the obligation hereunder of the Issuer to issue the remaining Bonds as written requests therefor are received. The proceeds of the Bonds or portions thereof whether or not issued in a se*_-ies, shall not be invested so as to constitute the Bonds or a portion thereof as arbitrage bonds within the meaning of Section 103(c) of the Code and applicable regulations promulgated pursuant thereto. Section S: The costs of the Project (hereinafter the "Project Costs") may include any cost of acquiring, constructing, reconstructing, improving and expanding the Project. Without limiting the generality of the foregoing, the -2- ~ ~ P Project Costs shall specifically include the cost of the acquisition. of all land, rights-of-way, property rights, easements and interests, the cost of all machinery and equipment, financing charges, interest prior to and during con- struction and for one year after completion of construction whether or not capitalized, necessary reserve funds, costs of estimates and of engineering, financial advisory and legal services, plans, specifications, surveys, esti- mates of cost and of revenue, other expenses necessary or incident to de- termining the feasibility and practicability of acquiring, constructing, re- constructing, improving and expanding the Project, administrative expenses and such other expenses as may be necessary or incident to the acquisition, con- struction, reconstruction, improvement and expansion of the Project, the plac- ing of the Project in operation and all incidental expenses, costs and charges relating to the Project not enumerated above. The L'ser shall be responsible for and pay any Project Costs incurred by it prior to issuance of the Bonds and will pay all Project Costs which are not or cannot be paid or reimbursed from the proceeds of the Bonds . Section 6: This Resolution shall be deemed and construed as a resolution authorizing the issuance of the aforesaid Bonds or some other similar official action toward the issuance of the Bonds k~ithir. the meaning of 26 C.F.R. Section- 1.iQ3-8(a)(~). PASSED A'~D APPROVED THIS da} of 198. -3- • • r Exhibit "A" The project to be financed with the proceeds of the Bonds is to be located within the incorporated limits of the City of La Porte, Texas and consists of the acquisition of land and the construction thereon of mini-storage warehouses and a six (6) bay car wash, together with various other items of equipment, machinery and furnishings which are functionally related and subordinate to the foregoing. 0384238 kP0229 -4-