(A) Authorization of program and establishment of revolving fund. The program, as more particularly described in Exhibit A of Ord. 2, 2019, is hereby approved. There is hereby established a revolving fund of the town to be designated as the "Town of North Manchester, Indiana Revolving Fund" (as hereinbefore defined, the "Revolving Fund"). The Clerk-Treasurer of the Town (the "Clerk-Treasurer") is hereby authorized and directed to take all actions necessary and appropriate to create the Revolving Fund and administer such fund (including making transfers from, deposits to and investments of amounts therein) in a manner in accordance with the other funds and accounts of the town and in accordance with Indiana law, including, particularly, I.C. 5-13, as amended.
(B) Funding of program.
(1) The revolving fund shall be initially funded from a deposit of not more than $300,000 of the Town's TIF funds, subject to appropriation by the town. The Clerk-Treasurer is hereby authorized and directed, subject to appropriation by the town, to deposit such funds to the revolving fund. Future funding of the revolving fund will, to the extent necessary, be made from:
(a) The repayment of loans, to the extent not forgivable;
(b) Economic development LIT, subject to appropriation;
(c) Grants received by the town for such purpose;
(d) The proceeds from the sale of any notes received by the town to evidence loans;
(e) The proceeds of bonds issued under the revolving fund act for such purpose;
(f) Any other source of funds permitted by the revolving fund act; and
(g) Funds received by the RDC from TIF funds.
(2) Except with respect to the repayment of loans described above which shall be deposited to the Revolving Fund, future funding of the Revolving Fund from the sources described in (b) through (f) above shall be subject to the prior approval of the Town Council.
(C) Administration by Commission. The Commission is hereby authorized and directed to operate and administer the program, including the making of loans from the revolving loan fund pursuant to the program, without further action of the Town Council. At the request of the Town Council President (the "President") or Town Manager of the town (the "Town Manager"), the Commission shall provide a report to the Town Council, the President, the Town Manager and the Clerk-Treasurer summarizing:
(1) Applications for loans from the revolving fund;
(2) Loans made from the revolving fund, including the par amounts thereof, the borrowers and the projects funded thereby;
(3) Any payments received or amounts forgiven on loans;
(4) The balance in the revolving fund; and
(5) Any such other matters as may be reasonably requested by the President or Town Manager or otherwise determined appropriate by the Commission.
(D) Loans from the revolving fund.
(1) The funds held in the revolving fund shall be used for the purpose of making loans to borrowers in accordance with the program and the Revolving Fund Act. Subject to the terms of this ordinance and the administration of the Program by the RDC, including any guidelines established by the RDC with respect to the program, loans may be made to borrowers for carrying out one or more economic development purposes including expenditures for any of the following:
(a) Acquisition of land;
(b) Acquisition of property interest;
(c) Site improvements;
(d) Infrastructure improvements;
(e) Buildings;
(f) Structures;
(g) Rehabilitation, renovation, or enlargement of buildings or structures;
(h) Machinery;
(i) Equipment; and
(j) Furnishings.
(2) Borrowers from funds in the revolving fund shall be determined by the RDC and such borrowers may include local governmental entities if the local governmental entity includes territory within the town. In the event of a loan to a local governmental entity, the local governmental entity and the RDC shall each adopt resolutions relating to the loan as provided in I.C. 5-1-14-14(d). The RDC is hereby authorized on behalf of the Town Council to adopt such resolutions.
(E) Execution of instruments and documents. The RDC President, Town Manager and Clerk-Treasurer are each hereby authorized and directed, in the name and on behalf of the town, to execute, attest and deliver such further instruments and documents, and to take such further actions, in the name of the town as in their judgment shall be necessary or advisable in order fully to consummate the transactions described herein and carry out the purposes of this chapter, and any such documents heretofore executed and delivered and any such actions heretofore taken, be, and hereby are, ratified and approved.
(Ord. 2, 2019, passed 2-6-2019)