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City of Beaumont
REGULAR MEETING OF THE CITY COUNCIL
COUNCIL CHAMBERS AUGUST 9,2005 1:30 P.M.
CONSENT AGENDA
* Approval of minutes
* Confirmation of committee appointments
A) Approve a bid for the remounting of one (1) EMS ambulance box onto a new cab and
chassis
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0 f Ci of Beaumont
Council A enda� � g Item
TO: City Council
FROM: Kyle Hayes, City Manager
PREPARED BY: Kirby Richard, Internal Services Director
MEETING DATE: August 9, 2005
AGENDA MEMO DATE: August 5, 2005
REQUESTED ACTION: Council approval to award a bid for the remounting of one(1)
EMS ambulance box onto a new cab and chassis.
RECOMMENDATION
Administration recommends award of a bid for the remounting of one(1)Frazer ambulance box from
EMS Unit No. 7116 to a new cab and chassis to Frazer, Ltd. of Bellaire, Texas, in the amount of
$30,000.
BACKGROUND
It is recommended that the bid be awarded to Frazer,Ltd. as they are the manufacturer of the subject
ambulance box originally purchased by the City in 1995. The original cab and chassis are being
replaced due to deterioration brought about by extensive running hours and vehicle mileage. The
new cab and chassis were previously approved for purchase by City Council on October 5, 2004, at
a cost of$21,856.
The cab and chassis have now been received and are to be remounted with the existing ambulance
box. Additionally, the box will be refurbished and repaired as part ofthis remounting. A tabulation
of the entire scope of work and associated costs is attached for review.
The 1995 Ford cab and chassis being replaced,Unit No. 7116,will be disposed of in accordance with
the City's surplus property policy.
BUDGETARY IMPACT
Funds for this expenditure are budgeted in the Capital Reserve Fund.
Remounting of EMS Ambulance Box
August 5,2005
Page 2
PREVIOUS ACTION
None.
SUBSEQUENT ACTION
None.
RECOMMENDED BY
City Manager, Internal Services Director and Public Health Director.
Remounting of EMS Ambulance Boa
August 5, 2005
Page 3
Description of Work Cost
Basic Remount $9,000.00
Replace Emergency Lighting to LED $5,000.00
Repaint, Restripe, Reletter, Clearance
Lights $4,500.00
Air Suspension $4,200.00
Replace Floor $2,000.00
Replace 115 VAC Scene Lights $2,000.00
Stainless Countertops $600.00
Replace Rear Bumper $500.00
New Oxygen Box $500.00
Lexan Doors $500.00
Generator Repairs, Door Grille $450.00
Wheel Covers $350.00
Running Boards $300.00
CPR Seat Repair $100.00
Total Expenditure sp,000.00
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City of Beau,nont
REGULAR MEETING OF THE CITY COUNCIL
COUNCIL CHAMBERS AUGUST 9,2005 1:30 P.M.
AGENDA,
CALL TO ORDER
* Invocation Pledge Roll Call
* Presentations and Recognition
* Public Comments: Persons may speak on Consent Agenda Item A
* Consent Agenda
COMMENTS
• * Councilmembers/City Manager comment on various matters
* Public Comment (Persons are limited to 3 minutes)
EXECUTIVE SESSION
* Consider matters related to contemplated or pending litigation in accordance with
Section 551.071 of the Government Code:
Beaumont Police Officers Association v. City of Beaumont
• Persons with disabilities who plan to attend this meeting and who may need auxiliary aids
or services are requested to contact Pat Buehrle at 880-3725 a day prior to the meeting.
City of Beaumont
MEETING OF THE BEAUMONT HOUSING FINANCE CORPORATION
COUNCIL CHAMBERS AUGUST 9, 2005 1:30 P.M.
AGENDA
CALL TO ORDER
* Roll Call
GENERAL BUSINESS
1. Consider approving a request for financial assistance by Maple Glen Partners, LLC
to finance the acquisition, development and rehabilitation of an apartment complex
• located at 4365 South 4' Street in Beaumont, Texas
• Persons with disabilities who plan to attend this meeting and who may need auxiliary aids
or services are requested to contact Pat Buehrle at 880-3725 a day prior to the meeting.
INTER-OFFICE MEMORANDUM
City of Beaumont, Texas
City Attorney's Office
Date: August 5, 2005
To: Beaumont Housing Finance Corporation
From: Tyrone E. Cooper, City Attorney
Subject: Request for financing for the Maple Glen Partners, LLC, Project located at 4365
South 4th Street
COMMENTS
On January 15, 1980, the Beaumont Housing Finance Corporation was created to provide a
means to finance the cost of decent, safe and sanitary housing for residents in the city of
Beaumont. In June of 1984 the Articles of Incorporation of the Beaumont Housing Finance
Corporation were amended to provide for a board of seven (7) persons, each of whom shall be
a member of the City Council of the City of Beaumont, Texas. Each director shall serve so long
as he or she is a member of the City Council or until his or her respective successor be elected
and qualified.
On August 9, 2005, the Council will convene as the Board of Directors of the Beaumont Housing
Finance Corporation to consider the passage of a resolution regarding the request for financial
assistance by Maple Glen Partners, LLC, a Texas limited liability company, to finance the
acquisition, development and rehabilitation of the apartment complex located at 4365 South 4th
Street in Beaumont, Texas.
Maple Glen Partners, LLC, wants to buy the housing complex and will renovate and make
substantial improvements to the property. It is asking the Beaumont Housing Finance Corporation
to issue revenue bonds in an amount not to exceed $5,000,000, the proceeds of which will be
loaned to the developer to acquire and renovate the housing project. If approved, the developer
will rename the complex "Maple Glen."
The inducement resolution, as required by tax law, is a non-binding resolution on the City and the
Beaumont Housing Finance Corporation and merely indicates a willingness on the part of the
Corporation to issue revenue bonds to finance the proposed project or a portion thereof. This
GARMIMMEMOWAPLE GLEN
Beaumont Housing Finance Corporation
August 5, 2005 Page 2
expression of intent is the inducement the developer needs to move forward with its plans. If the
inducement resolution is passed, the next step would be to have the developer file a formal
application for financing with the Beaumont Housing Finance Corporation. The Corporation would
require the developer to provide references, financial information, project summaries, financial
projections, lists of financial participants, proposed schedules of events, and similar information,
as well as any additional information that the Corporation may request. An application fee of
$1,000.00 will be charged.
The Beaumont Housing Finance Corporation will secure the services of Lance Fox of the Law
Firm of Orgain, Bell and Tucker as its bond counsel and all of his legal fees will be paid by the
developer at the time of closing.
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G:\RMW\MEMO\MAPLE GLEN
RESOLUTION OF
BEAUMONT HOUSING FINANCE CORPORATION
WHEREAS, Maple Glen Partners LLC, an Ohio limited liability company (the
"Borrower") has requested the assistance of Beaumont Housing Finance Corporation (the
"Issuer") in financing the (1) acquisition, development and rehabilitation of the apartment
complex known as Maple Glen Apartments located at 4365 South 4th Street, Beaumont,
Texas, and (2) costs related to the issuance of the Bonds (the "Project") and has represented
to the Issuer that its assistance in financing the Project is a vital factor in the decision to
proceed with the Project; and
WHEREAS, after careful investigation, the Issuer has and does find that the Project
will increase and preserve employment, will promote development in the City of Beaumont,
will be in the public good and is within the purposes for which the Issuer was created; and
WHEREAS, the proposed Project will require expenditures estimated in the amount of
not to exceed $5,000,000.
NOW, THEREFORE, BE IT RESOLVED BY THE BEAUMONT HOUSING
FINANCE CORPORATION AS FOLLOWS:
1. In order to indicate the Issuer's willingness to issue its revenue bond or bonds
(the "Bonds") to finance the proposed Project or a portion thereof, the execution and delivery
of an inducement agreement is hereby authorized to be in substantially the form attached
hereto as Exhibit "A," subject to such minor changes, insertions and omissions as may be
approved by the President or Vice President of the Issuer, and the execution of said
inducement agreement by the President or Vice President and Secretary of the Issuer shall be
conclusive evidence of such approval.
2. In order to facilitate the commencement of the planning, design, construction,
installation, equipping and carrying out of the proposed Project or a portion thereof, the
President, Vice President or Secretary of the Issuer are hereby,authorized to execute or accept
the assignment of contracts for the carrying out of the Project, subject to the receipt of
appropriate guarantees of payment by the Borrower.
3. In adopting this Resolution, the Issuer is indicating its "official intent" to
authorize the issuance of the Bonds referred to in Section 1 hereof within the meaning of
regulations of the Internal Revenue Service and provisions of the Internal Revenue Code, and
to authorize such revenue Bonds in an amount up to the maximum of$5,000,000.
4. It is hereby directed that a notice to the public in substantially the form as
Exhibit "B" attached hereto (the "Notice") be published in the official newspaper in which
Sheriff's advertisements appear for the County of Jefferson, Texas, prior to the public hearing
(the "Hearing") more fully described in Paragraph 5 hereunder. Said advertisement of the
Notice shall be published in such a manner that the publication shall be no fewer than fourteen
(14) days prior to said Hearing.
5. The President of the Issuer or other representative of the Issuer designated by
the President of the Issuer) shall conduct the hearing described in Exhibit "B" attached hereto
at the time and place designated by said Notice. The representative of the Issuer conducting
said hearing shall be fully informed of the details of the Project described in said Public
Notice and shall answer any inquiries concerning the Project and receive comments
concerning the Project made by any person or persons appearing at the hearing. Said
representative shall further have at the hearing the official file of the Issuer in connection with
this Project and shall provide access to said official file to any person desiring to review the
same. Minutes of the hearing shall be taken.
6. Immediately following the conclusion of the hearing, the official conducting
said hearing shall cause minutes of the hearing to be transcribed. Said minutes shall be a
reasonable and accurate r6sum6 of the hearing and said minutes shall forthwith be forwarded
to the President of the Beaumont Housing Finance Corporation.
Also to be forwarded to said official at said time shall be a certified copy of this
Resolution and the order of approval attached hereto as Exhibit "C."
7. The President or Vice President and Secretary or Hearing Officer of the Issuer
are further authorized to take any and all further action to execute and deliver any and all
other documents as may be necessary to implement the Project, including, but not limited to,
mortgages, security agreements, UCC financing statements, a lease to the Borrower and/or
such other documents as are required to consummate the Project, it being intended that the
aforementioned officers be clothed with broad and plenary powers and discretion in the
premises.
ADOPTED on the day of August, 2005.
BEAUMONT HOUSING FINANCE
CORPORATION
By:
(SEAL) President
Attest:
Clerk
Page 2
EXHIBIT "A"
August 2, 2005
Maple Glen Partners LLC
731 E. Broad Street
Columbus, OH 43205
Re: Proposed Acquisition, Development and Rehabilitation of the Apartment
Complex Known as Maple Glen Apartments located at 4365 South 4th Street,
Beaumont, Texas (the "Project")
Dear Sir:
The Beaumont Housing Finance Corporation (herein called the "Issuer") is informed
that the addressee and/or its assigns (herein called "Borrower") is considering undertaking the
above-described Project. It is our understanding that the availability of revenue bond
financing in the area served by the Issuer for the purpose of carrying out of the proposed
Project is an important factor under consideration by the Borrower in determining the
feasibility of the Project from a financial standpoint.
Accordingly, in order to assist the Borrower with the financing of the proposed Project
and to induce the Borrower to locate the same and to arrange for its continued operation in the
City of Beaumont, Texas, and, in order thereby to develop and promote for the public good
and general welfare, trade, commerce and employment opportunities, and increase
employment in Beaumont, Texas to the greatest extent possible, we hereby make the
following proposals:
1. The Issuer will issue its bonds (the "Bonds") in a principal amount currently
estimated at not to exceed $5,000,000, for the purpose of carrying out of the proposed
Project. The Issuer may, at the request of the Borrower, acquire as mortgagee a security
interest in the site of the Project, subject only to such encumbrances as will not, in the
judgment of the Borrower, interfere with the use of the site for the purposes presently
contemplated.
2. The terms of the Bonds (maturity schedule, interest rate or rates, denominations,
redemption provisions, etc.) will be determined by a bond purchase contract in terms
satisfactory to the Issuer to be entered into between the Issuer and the purchaser of the Bonds
and subject to the approval of the Borrower.
3. Simultaneously with the delivery of the Bonds, the proposed Project will be
financed through the Issuer for the benefit of the Borrower, and the terms and provisions of
Page 2
such financing shall be substantially in the form generally utilized in connection with such
financial undertakings, as agreed upon by the Issuer and the Borrower. A loan agreement
(the "Agreement") or other financing document agreed to by the parties, shall contain, in
substance, the following provisions:
(a) The term of the Agreement or other financing documents will coincide with
the term of the Bond issue.
(b) The amounts payable under the Agreement will be paid as designated by the
Issuer at such times and in such amounts as shall be timely and sufficient to pay the principal
of, the redemption premium (if any) and the interest on the Bonds as the same become due
and payable. The obligation of the Borrower to make all payments required under the
Agreement shall be absolute and unconditional after the delivery of the Bonds.
(c) The proceeds of the sale of the Bonds will be deposited into a depository or
bond fund and disbursed pursuant to requisitions in accordance with the requirements of the
Agreement or other financing document.
(d) The Borrower will pay any taxes, assessments or utility charges which may be
lawfully levied, assessed or charged upon the Borrower, the Issuer, the proposed Project or
the payments derived from the Agreement. The interest created by the Agreement shall be
treated, for ad valorem tax purposes, as a fee simple interest, taxable to the Borrower.
(e) The Borrower will keep the Project insured against loss or damage or perils
generally insured against with respect to facilities similar to the Project, and will carry
adequate public liability insurance covering personal injury, death or property damage with
respect to the proposed Project.
(f) The Agreement or other financing document shall provide that in the
performance of the agreements contained therein on the part of the Issuer, any obligations it
may incur for the payment of money shall not be a general debt of the Beaumont Housing
Finance Corporation, but shall be payable solely from the payments received under the
Agreement or from Bond proceeds, and, under certain circumstances, insurance proceeds and
condemnation awards.
(g) The Agreement or other financing document shall contain agreements
providing for the indemnification of the Issuer and the individual members and officers
thereof for all expenses incurred by them and for any claim of loss suffered or
damage to property or any injury or death of any person occurring in connection with the
planning, design, construction, installation, equipping and carrying out of the proposed
Project.
4. The Issuer will enter into appropriate agreements with the bondholders, or a
Page 3
corporate trustee or depository representing the interest of bondholders which will pledge the
Agreement and payments and revenues due thereunder or under any other financing
document, and the Issuer shall also assign its security interest in the Project by a trust
indenture so as to create a security interest in the Project for the benefit of the bondholders.
5. The Issuer hereby agrees to permit steps for the planning, design, construction,
installation, equipping and carrying out of the Project to begin and continue prior to the
issuance and delivery of the Bonds. The Borrower may enter into a contract for the purchase
of the Project, subject to the subsequent issue of the Bonds.
The acceptance of this inducement agreement by the Borrower shall be deemed to
mean that the Borrower agrees to guarantee payment of all such obligations incurred by the
Issuer at the request of the Borrower, in connection with such contracts or otherwise. The
Borrower may advance any interim funds required in connection with'the planning, design,
construction, installation, equipping and carrying out of the Project and be reimbursed from
the proceeds of the sale of the Bonds when and if the same are issued and delivered.
6. The Borrower is hereby informed that numerous procedural and substantive actions
must be undertaken and completed in order to conclude this transaction in accordance with
applicable state and federal law, rules and regulations. While the Issuer represents that it will
use its best efforts to issue the Bonds and to provide the funds for the Project, the Issuer
nevertheless assumes no legal responsibility or liability in the event the Bonds are not, in fact,
issued for any reason whatsoever, including, but not limited to, the failure of the Issuer or its
agents or employees to act prudently in connection with this matter. Further, if the Borrower
elects to exercise its rights granted in Paragraph 5 hereinabove, it is understood and agreed
that expenditures of funds or the incurrence of debt in connection with the Project shall be at
the entire risk of Borrower and in the event costs are incurred by the Borrower,
reimbursement for said costs or expenses can only be made from the proceeds of the Bonds
after issuance.
7. The Issuer will assist in the prompt preparation of the Agreement or other
financing document and all other documents required for this transaction.
8. The Borrower will apply for, and use its best efforts to obtain, all permits,
licenses, authorizations and approvals required by all governmental authorities in connection
with the planning, design, construction, installation, equipping and carrying out, operation
and use of the proposed Project. Without limiting the generality of the foregoing, the
Borrower must file an application with the Issuer and comply with all conditions of the Issuer.
9. The Borrower, in accepting this proposal, will thereby agree to indemnify, defend
and hold the Issuer and the individual members and officers thereof harmless against any
claim of loss or damage to property or any injury or death of any person or persons occurring
in connection with the planning, design, construction, installation, equipping and carrying out
Page 4
of the Project. The Borrower also agrees to reimburse or otherwise pay on behalf of the
Issuer any and all expenses not hereinbefore mentioned, incurred by the Issuer in connection
with the proposed Project. This indemnity shall be superseded by a similar indemnity in the
Agreement or other financing document, and, if the Bonds are not issued and delivered, this
indemnity shall survive the termination of the inducement agreement resulting from the
Borrower's acceptance of this proposal.
If the foregoing proposal is satisfactory to you, you may so indicate by having the
following acceptance executed by the Borrower and returning a copy to the Issuer. This
proposal and your acceptance will then constitute an agreement in principle with respectAo the
matters herein contained as of the date hereof.
Yours very truly,
BEAUMONT HOUSING FINANCE CORPORATION
By:
President
(SEAL)
ACCEPTANCE
Foregoing proposal of the Beaumont Housing Finance Corporation regarding the
financing of the Project is accepted the_day of August, 2005.
MAPLE GLEN PARTNERS LLC
BY:
Managing Member
[SEAL]
EXHIBIT "B"
TEXAS, JEFFERSON COUNTY.
OTICE TO THE PUBLIC
You are hereby notified that on the day of August, 2005, at_:__.M. at the
Beaumont City Hall, City Council Chambers, 801 Main Street, 1' Floor, Beaumont, Texas, a
public hearing will be held in connection with proposed action of the Beaumont Housing
Finance Corporation("Issuer") to proceed with the financing of a certain project more
particularly described hereinbelow through the issuance of revenue bonds by the Issuer.
The President of said Issuer, or other representative of the Issuer officially designated
by the President of said Issuer, shall preside at said public hearing and shall provide any
interested individual with such information as may be requested concerning the Project at said
time, including access and review of the official files of the Issuer in connection with the
Project described hereinbelow. Members of the public are invited to be present for said
public hearing or to direct communications concerning the proposed Project to Lance C. Fox,
Esq., Orgain, Bell &Tucker, L.L.P., 470 Orleans Street, Suite 400, P.O. Box 1751,
Beaumont, Texas 77704-1751.
The Issuer has indicated its official intent to authorize the confirmation and issuance of
its revenue bonds in the aggregate principal amount of not to exceed $5,000,000, to be issued
for the purpose of paying for the benefit of Maple Glen Partners LLC, an Ohio limited
liability company, and/or its assigns, the costs, in whole or in part, of the (1) acquisition,
development and rehabilitation of the apartment complex known as Maple Glen Apartments
located at 4365 South 4th Street, Beaumont, Texas, and (2) costs related to the issuance of the
Bonds (the "Project").
In indicating its official intent to authorize the issuance of said revenue bonds, the
Issuer has determined that the Project will develop and promote for the public good and
general welfare, trade and commerce and will create, preserve and increase employment in
Beaumont, Texas, and that the implementation of the Project is within the purposes for which
the Issuer was created.
The revenue bonds, if and when issued, shall be the limited obligation of the Issuer in
that the Issuer shall pledge as security for the payment of debt service for the bonds revenues
and security instruments. The issuance of the Bonds shall not create any debt of the City of
Beaumont or Jefferson County except for the limited obligation of the Issuer as described
above.
This the day of August, 2005.
Hearing Officer
Beaumont Housing Finance Corporation
EXHIBIT "C"
STATE OF TEXAS
JEFFERSON COUNTY
The undersigned, as the Mayor of Beaumont, Texas, DOES HEREBY APPROVE the
Project described in the attached Resolution of the Beaumont Housing Finance Corporation,
as follows:
(i) The Project consists of the (1) acquisition, development and rehabilitation
of the apartment complex known as Maple Glen Apartments located at 4365
South 4th Street, Beaumont, Texas, and (2) costs related to the issuance of the
Bonds (the "Project");
(ii) The maximum aggregate face amount of obligations to be issued with
respect to the facility is $5,000,000;
(iii) The initial owner, operator or manager of the facility is Maple Glen
Partners LLC, an Ohio limited liability company, or its successors or assigns;
and
(iv) The location of the project is see (i) above.
This approval is provided in accordance with the requirements of the Internal Revenue
Code of 1986, as amended.
This day of August, 2005.
MAYOR, CITY OF BEAUMONT, TEXAS
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