HomeMy WebLinkAbout06-28-1983 Council Meeting Minutes 404
A Special Meeting of the Canton City Council was held on
June 28th in council chambers .
PLEDGE OF ALLEGIANCE OPENED THE MEETING FOLLOWED BY THE
INVOCATION GIVEN BY MAYOR DON EDWARDS .
Mayor Edwards asked for roll call at 6 : 30 P .M. Present :
Adlermen Kovachevich , Hammond , Savill , Sarff , Workman ,
Carl , Horr. Absent : None . 1 resigned .
PURPOSE OF THE MEETING :
1 . Public Hearing - HUD Block Grant Amendment.
2 . 2nd Reading - An Ordinance Authorizing the Issuance
of Tax Anticiapation Warrants in Anticipation of
Taxes Levied for the Year1982 of the City of
Canton , Fulton , County Illinois .
3 . 2nd Reading - An Ordinance Providing for the Purchase
of City of Canton Tax Anticipation Warrants with
Motor Fuel Tax Funds on Hand not Immediately Necessary
for their intended Purposes .
4. A Resoution Authorizing the Issuance and Sale to
Gradison & Company Incorporated and Magnus Y Com-
pany for Resale in a Public Offering of $800 ,000
Industrial Revenue Bonds
5 . Any and all matters ancillary to any or all of the
foregoing items .
Motion by Alderman Carl , second by Alderman Savill to go into
a public hearing . Voice vote , motion carried . Public Hearing
- HUD Block Grant Amendment . Dave Dorgan Community Development
Director stated this amendment is for $230 ,000 . 00 of monies
awarded to the city under the present program, we are wishing
to transfer this money to the following : 1 . Land Acquisiton .
2 . Water Line Extension . 3 . Sewer Line and Lift Station . 4 .
Administration . 5 . Appraisals .
Citizens : Bob Milleson of 1256 E . Chestnut ask where is it?
He understands that the industrial site would be in the direct
line of the north and south runway of the airport and there is
an FFA ruling that there must be a safety culvert . Dave Dorgan
answered that the FFA restrictions are for different evaluations .
Moiton by Alderman Carl , second by Alderan Hammond the public
hearing be adjourned . Voice vote , motion carried . Council
reconvened at 6 : 37 P .M .
ORDINANCE - AUTHORIZING THE ISSUANCE OF TAX ANTICIPATION WARR-
ANTS IN ANTICIPATION OF TAXES LEVIED FOR THE YEAR 1982 .
Second reading , read by title . Motion by Alderman Sarff ,
second by Alderman Savill the ordinance be placed upon its
passage . Roll call . AYES : Aldermen Horr , Carl , Workman ,
Sarff, Savill , Hammond , Kovachevich . NAYS : None . Motion
carreid . 7 ayes 0 nays 0 absent 1 resigned . Ordinance being
#981 .
ORDINANCE - PROVIDING FOR THE PURCHASE OF CITY OF CANTON TAX
ANTICIPATION WARRANTS WITH MOTOR FUEL TAX FUNDS ON HAND NOT IM- .
MEDIATELY NECESSARY FOR THEIR INTENDED PURPOSES . Second read-
ing read by title . Motion by Alerman Sarff , second by Alder-
man Workman , the ordinance be placed upon its passage . Dis-
cussion . Alderman Carl asked what interest rate would be charged
to the city? Pat Wright City Treasurer said she thought it
should be dealt with tonight . Motion by Alderman sarff , second
by Alderan Workman , an amendment to the motion to include 1 %
interest . Discussion . ( Voting on the amendment) . Voice vote ,
motion carried . 1 nay heard . Passage of the ordinance as . ;
amended . Roll call . AYES : Aldermen Kovachevich , Savill , Sarff ,
Workman , Carl . NAYS : Aldermen Hammond , Horr . Motion carried .
5 ayes 2 nays 0 absent 1 resigned . Ordinance being #982 .
405
CONTINUED JUNE 28TH , 1983
Council recessed at 6 : 47 P .M. as an attorney was to bring
the resolution for $800 ,000 . 00 bonds for the Kroger store .
Council reconvened at 7 :04 P .M.
RESOLUTION - AUTHORIZING THE ISSUANCE AND SALE TO GRADISON &
COMPANY INCORPORATED AND MAGNUS AND COMPANY FOR RESALE IN A
PUBLIC OFFERING OF $800 ,000. 00 INDUSTRIAL REVENUE BONDS OF
THE CITY OF CANTON . First reading , read by title . Jim Malm-
gren City Attorney reported that the ordinance given before
has been changed. Basically the changes are all duties and
responsibilities have been put in the hands of the trustees .
Sally Hamilton attorney for Kroger was present to answer
questions . Alderman Sarff ask if the city was absolutely not
liable? Attorney Hamilton said that was correct . Jim Malm-
gren City Attorney stated that if the monies would not be
received , and the bonds defaulted upon they are not a general
�., obligation of the city . They are not backed by the full faith
and credit of the city . No bond holder could cause the city
to exercise its taxing power to repay these bonds .
Sally Hamilton said that the way this works is the city sells
the bonds , there purchased by two underwriting companies
Q Gradison & Company and Magnus & Company , they each will purchase
C( $400 ,000 . 00 , they in turn sell these bonds in $5 ,000 . 00 denomi -
nations to the public . The bonds are being purchased by the
public and will be tax exempt status to the public .
Dave Dorgan ask if the Loan Agreement spells out the interest
rate? Attorney Hamilton said , "yes . " The interest rate is
slighly higher for each year of maturity. Motion by Alderman
Carl , second by Alderman Sarff , the resolution be adopted .
Roll call . AYES : Aldermen Horr , Carl , Workman , Sarff , Savill ,
Hammond , Kovachevich . NAYS : None . Motion carried . 7 ayes
0 nays 0 absent 1 resigned . Resolution being #993 .
ADJOURNMENT : Motion by AldermanKovachevich , second by Alder-
man Carl to adjourn . Voice vote , motion carreid . Council
adjourned at 7 : 14 P . M.
O`.
CITY LERK
APPROVED. CJ6 '�
MAYOR