HomeMy WebLinkAbout1987-07-02-R RESOLUTION NO.
A RESOLUTION AUTHORIZING THE
MAYOR TO EXECUTE LOAN DOCUMENTS
WITH RESPECT TO CUPPLES PRODUCTS,
INC.
WHEREAS, the City of Batesville. Arkansas, established
a revolving loan fund from proceeds derived from a loan to Omega
Containers awarded through the Arkansas Industrial Development
Commission.
WHEREAS, Cupples Products, Inc., has made application
to the city for $31,000 from the revolving loan fund. Said
application was reviewed and approved by the Arkansas Industrial
Development Commission in February 1987 and subsequently, at a
(W Loan Review Committee meeting on April 30, 1987.
NOW, THEREFORE, IT IS RESOLVED that the Batesville
City Council hereby authorizes the loan of $31,000 to Cupples
Products, Inc. Said terms and conditions of loan will be set
forth in a legally binding promissory note to be executed by the
Mayor and City Clerk.
ENTERED this 23t day of July, 1987.
jayor
Z�L-" 1�j LGc '�
City Clerk
P R QM I S� S� QR Y N QT E
CW
$31,000.00 Batesville, Arkansas
For value received , I , We, or either of us promise to pay
to the order of The City of Batesville, Batesville, Arkansas, a
Municipal Corporation organized and existing under the laws of
the State of Arkansas , the sum of THIRTY ONE THOUSAND DOLLARS
($31 , 000 .00) with interest from date until due at the rate of
Four Percent (4%) per annum and thereafter until paid at the rate
of Four Percent (4$) per annum.
The makers and endorsers hereby severally waive notice,
demand and presentment, and consent that time for payment may be
extended without notice. If this obligation, after default, is
placed in the hands of an attorney for collection, the makers and
endorsers agree to pay the holder hereof an additional sum as
attorney ' s fee , equal to Ten Percent (10%) of the unpaid
principal plus all accrued interest.
DUE AND PAYABLE: Payable over a five year period due each
six month as follows:
1. $620.00 Interest 4-1-1% 0 Principal
2. $620.00 Interest 0 Principal
3. $620.00 Interest 4--7-aq 0 Principal
4. $620.00 Interest 0 Principal
5. $620 .00 Interest $5,116.67 Principal
6. $516 .67 Interest $5,166.67 Principal
7. $413 .33 Interest $5,166.67 Principal
8. $310.00 Interest $5,166.67 Principal
9. $206.67 Interest $5,166.67 Principal
10 . $103 .33 Interest $5,166.65 Principal
This note may be prepaid without penalty.
C�e CjC to - 7 - Y7
It is agreed and understood that the City of Batesville will not
assign , pledge , transfer , hypothecate or negotiate this
instrument with or to any third party.
. . . . . . . . . . . . . . . . . . . . . . . . . . .
H. OBERTSON COMPANY
J. W. VIEHMAN
VICE PRESIDENT-FINANCE & TREASURER
DEBT FORGIVENESS AGREENENT
This agreement entered into this . 15th day of
�r September
. 0000 . . . . . . . . . . . . . 1987, by and between the City of Batesville,
Arkansas, a Municipal Corporation organized and existing under
the laws of the State of Arkansas (The City) , and the H. H.
Robertson Company°Cupples Division (Cupples) , for the purposes
and considerations set out herein below, to-wit:
1. It is understood and agreed that Cupples has signed a
Promissory Note in favor of the City of Batesville in the
principal amount of Thirty One Thousand Dollars ($31, 000. 00)
under an Arkansas Industrial Development Commission grant re-use
plan. A copy of said Promissory Note is attached hereto and
incorporated herein by reference as if set out fully word for
word.
2. It is further understood and agreed that the purpose of
this Promissory Note was to facilitate the operation of the
Cupples plant located in Batesville, Arkansas .
3. In exchange for, and in consideration of, the expansion
of the Cupples operation in Batesville, Arkansas and, thereby,
the creation of more jobs for the community, the City agrees that
in the event the full time employment at the Cupples facility in
Batesville reaches two hundred (200) employees , the principal
balance outstanding on the note at that time shall be forgiven.
4. In the event the Cupples facility at Batesville reaches
two hundred (200) employees, Cupples will furnish to the City a
copy of it 's quarterly employee tax form so that the City may
verify the full time employment . It is agreed that the
information on that form shall be prima facie evidence of the
full time employment of Cupples.
5. Upon verification by the City that full time employment
has reached two hundred (200) employees, the City shall deliver
to Cupples the original Promissory Note marked paid in full and
no future payments shall be due and owing thereunder and the
underlying debt will be deemed forgiven.
IN WITNESS WHEREOF, we have set our hands and seals this
. ��Jtllday of . . ppptprrLPpr. . . . . . 1987.
. . . . . . . . . . . . . . . . . . . . .
�ljH6NORABLE JIM SHIRRELL
MAYOR
ATTEST: . :it� . .`� . . . . . . . .
LARRY WILLIAMS
(W MUNICIPAL CLERK
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
W. VIEHMAN
VICE PRESIDENT-FINANCE & TREASURER
H. H. ROBERTSON COMPANY