(A) Definitions.
(1) Bonds means any bond, debenture, note, refunding or renewal bond or note, warrant or other security evidencing an obligation the proceeds of which, or a major portion thereof, are to be used in the trade or business carried on by someone other than the City and which are authorized to be issued by the City pursant to: the Industrial Revenue Bond Act (sections 3-32-1 to 3-32-16, NMSA, 1978, as amended from time to time); the Metropolitan Redevelopment Code (Sections 3-60A-1 to 3-60A-48 NMSA 1978, as amended from time to time); or, pursant to the home rule powers of the City given by Article X, Section 6 of the New Mexico Constitution and the City's Charter.
(2) City means the City of Albuquerque, New Mexico;
(3) Commission means the Development Commission or any successor thereto;
(4) Council means the Council of the City, or any succeeding legislative body of the City, as such governing body from time to time may be constituted;
(5) Inducement resolution means a resolution of the Council setting forth the good-faith intent of the Council to issue bonds upon the prior satisfaction of all applicable land use and development requirements of the City, other than the issuance of a building permit;
(6) Project plan means the plan describing a project which shall include:
(a) a general description and location of the project;
(b) the number and type of new jobs to be created;
(c) the estimated percentage of jobs to be filled by persons who are residents of the City on the date of the project plan submission;
(d) identification and the processing of any product associated with the project;
(e) any relocation of individuals or businesses;
(f) the present use of conditions of the project site;
(g) the present assessed value of the project, if available;
(h) the estimated value of the project site after completion of the project;
(i) the maximum amount of the bonds to be issued;
(j) the present and proposed zoning;
(k) a proposed construction schedule;
(l) information relating to the feasibility of the proposed project including information relating to the ability of the project to generate revenues to render the project self-liquidating;
(m) the competition in the type of commerce or industry already existing within the City and its environs;
(n) the effect on existing industry and commerce in the city including during and after the construction period;
(o) the amount of private investment in the project in addition to bond financing;
(p) the total dollar amount of the proposed improvements included as part of the project;
(q) a statement of when the bonds are proposed to be issued;
(r) resumes showing the experience of the development entity or principals, and the experience of the architect, contractor, and leasing agent, if relevant;
(s) a statement of plans for project management;
(t) conceptual site plans for the project;
(u) a map locating the project area; and
(v) other matters which may be reasonably requested by the commission.
(7) User means one or more persons or entities, or their successors, assigns or agents, who propose to acquire or construct a project financed by or proposed to be financed by the proceeds of bonds.
(B) Preliminary review of proposed project.
(1) The Mayor shall review all bond projects except those defined in Section (2) below to determine that proposed project plans are complete.
(2) Requests for refunding or renewal bonds which do not require the allocation of a portion of the State of New Mexico private activity bonds permitted to be issued pursuant to federal law for calendar years subsequent to 1984 shall be made directly to the City Council
(3) A request to issue bonds for a project, except those projects defined in Section B. above shall be made by filing with the Mayor an inducement resolution, a project plan and the fee and deposit required by this Resolution. The Mayor shall cause to be submitted no more than ten days after receipt of the plan and no less than five days before the regularly scheduled meeting of the commission a copy of the documents received to the commission together with a statement describing any other project plans which have been submitted to the commission requesting bonds be issued during the same calendar year.
(C) Approval of project plans; recommendations to City Council; protest.
(1) The commission shall recommend to the Council approval, conditional approval or disapproval of a project plan or portion thereof submitted for its review.
(2) The commission's recommendation for, and the Council's final action regarding approval, conditional approval, or disapproval of a project plan and inducement resolution, shall take into consideration the City's development plans and policies and the promotion of the health, safety, security and general welfare of the citizens of the City and the State of New Mexico.
(3) Any person may protest any decision of the commission which protest shall be considered by the City Council prior to consideration of the inducement resolution of the project. Any protest shall be filed with the Council within ten calendar days after the decision of the commission.
(D) Zoning compliance.
(1) After adoption of the inducement resolution by the Council and prior to the Council adopting an Ordinance authorizing the issuance of the bonds, the following steps shall be followed:
(a) Any required site development or landscape plans shall be submitted to the planning division of the Municipal Development Department and shall be reviewed in accordance with established zoning procedures;
(b) As evidence of compliance with all zoning requirements, the user shall provide to the preliminary review committee at any time prior to the issuance of the bonds a certificate of zoning compliance signed by the zoning enforcement office or his designee.
(E) Industrial revenue bonds; multi-family housing projects; additional requirements.
Although the Council finds that the private sector is adequately meeting most moderate and upper income multi-family housing needs in the City, the Council recognizes that there is a need for multi-family housing for low income families and elderly persons, and that in futherance of the City policy to assure low income housing is dispersed throughout the City, multi-family housing projects financed with bond proceeds should be accessible to families of low income. The Council will consider the issuance of bonds for a multi-family project when a user can demonstrate to the commission and the Council sufficient facts:
(1) that the project will further the City's redevelopment policies; and
(2) that the private sector is not meeting the low or moderate income family housing needs in the immediate area of the City for which the project is proposed; or
(3) that the private sector is not meeting the housing needs of elderly persons in the immediate area of the City for which the project is proposed.
In addition to the submission of the information required by (B) and (C) of this Resolution, if the bonds to be issued are to be used to acquire or construct a multi-family housing projects, the user shall submit to the commission satisfactory information:
(a) that the proposed project will promote the health, safety, security, and welfare of the citizens of the City;
(b) that the proposed project is located within the City;
(c) that the proposed project is not inconsistent with the long-term development plans of the City;
(d) that all tenants will be offered comparable services without any descrimination as to income of the tenant;
(e) relating to the financing of the project and the purchase of the bonds;
(f) that the proposed project will not adversely affect existing multi-family housing in the area of the proposed project;
(g) that the proposed project will generate revenues sufficient to pay the debt service in the bonds and to otherwise render the proposed project self-liquidating;
(h) that the user will be required to submit to the trustee of the bonds at least annually evidence that the percentage of low and moderate income tenants is in compliance with the requirements of federal law for tax exempt bonds;
(i) that the bonds, including any refunding bonds, shall mature in not more than twenty years from the date of issuance; and
(j) that, notwithstanding section (K) of this resolution, as a condition of the issuance of the bonds, the financing agreement will be structured so that the user will pay all ad valorem taxes and special assessments and gross receipts and compensating use taxes on the project and that the user will access the land and premises in the name of the user.
(F) City Attorney review.
All resolutions and ordinances, financing agreements, closing documents and other documents relating to the City and relating to the bonds and the issuance thereof shall be submitted to the City Attorney, or another attorney or attorneys designated by the City Attorney, in sufficient time for review by such attorneys prior to the commission or the Council taking any required action on such documents or execution of the documents by City Officials, as applicable.
(G) Rules.
The commission may establish such rules, not inconsistent with City ordinance or this resolution, as it shall deem necessary to carry out the powers granted to it hereunder.
(H) Status of bonds.
The principal and interest of the bonds approved by the City Council shall be payable solely out of the revenues derived from the financing, sale, or leasing of the project with respect to which the bonds are issued or from a guarantee agreement or agreements or a credit enhancement device or devices upon which the guarantor or obligor is other than the City. The bonds shall never constitute a debt or indebtedness of the City within the meaning of any provision or limitation of the New Mexico Constitution, statutes of the State of New Mexico or the City's Charter and such bonds shall not constitute nor give rise to a pecuniary liability of the City of a charge against its general credit or taxing powers.
(I) Fee.
In addition to any other fee imposed pursant to ordinance or resolution, the user shall pay to the City a fee equal to one-tenth of one percent of the face amount of the bonds to be issued to compensate the City for its reasonable administration expenses incurred in the approval of the project and the issuance of the bonds provided that the fee shall not be less than $500.00 nor more than $2,500.00 plus a deposit of $500.00 to be applied against the payment of attorney fees. In addition to the fees set forth in this section, the user shall pay all attorneys fees and expenses of the attorneys reviewing the bond documents, including any refunding bond documents whether or not the bonds are issued.
(J) Sunset date -- date of issue.
(1) The inducement resolution shall set a final date for issuance of the proposed bonds, which shall constitute a "sunset date" or termination date for the inducement resolution if the bonds are not issued within the specified time. The "sunset date" may be extended if the user presents a revised project schedule with supporting evidence to the satisfaction of the Council that the extension is justified for good cause and necessary project completion.
(2) The ordinance shall state the year in which the bonds will be issued and the bonds shall not be issued in a year other than that stated in the ordinance except upon approval by the Council.
(K) Tax abatement.
(1) No property tax abatement shall be given for any bond project exceeding:
(a) if the bonds are industrial revenue bonds, twenty (20) years from the date the bonds are issued; or
(b) if the bonds are metopolitan redevelopment bonds, seven (7) years from the date the bonds are issued.
(2) The financing agreement relating to the industrial revenue bonds shall contain agreements that, as a condition for the issuance of the bonds:
(a) the user will pay all special assessments on the project; and
(b) the user will have the property assessed in the user's name on or before the first January following twenty years from the date the bonds were originally issued and the user wil pay all ad valorem taxes in the project from and after the first January.
(3) {missing} transaction certificates of the City shall not be used for Metropolitan Redevelopment bond projects. In no project may such certificate be used for a purpose other than capital equipment to be used in a bond project, nor shall it be used by the user after the completion of the project financed by the bonds issued by the "City".
(L) Repeal clause.
Resolution No. 182-1981, which became effective on August 17, 1981 is hereby rescinded.
(M) Temporary Provision.
This resolution shall govern
(1) any project for which an inducement resolution has been introduced or adopted by the City Council after January 15, 1985, and/or
(2) any project which requires the allocation of a portion of the State of New Mexico private activity bonds permitted to be issued pursuant to federal law for calendar years subsequent to 1984, unless a resolution relating to such allocation was introduced by the City Council prior to January 15, 1985, or unless the project is a project for which an inducement resolution or extension thereof was adopted by the Council after December 15, 1984, but prior to January 15, 1985.
(N) Severability clause.
If any section, subsection, sentence, clause, word or phrase of this resolution is for any reason held to be unconstitutional or otherwise invalid by any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this resolution. The Council, the Governing Body of the City of Albuquerque, hereby declares that it would have passed this resolution and such section, subsection, sentence, clause, word or phrase thereof irrespective of any one or more sections, subsections, sentences, clauses, words or phrases being declared unconstitutional or otherwise invalid.
(Ord. 16-1985, passed 01-30-1985; Am. Res. 91-1985, passed 05-22-1985)