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November 25, 2003
<br />
<br /> Motion by Mr. Benn, and seconded by Mr. Moody, to adopt the following
<br />resolution, and was adopted by the following vote:
<br />
<br />"A RESOLUTION AUTHORIZING THE ISSUANCE BY THE INDUSTRIAL
<br />DEVELOPMENT AUTHORITY OF THE CITY OF PORTSMOUTH, VIRGINIA, OF A
<br />$8,500,000 REVENUE BOND FOR VIRGINIA SPORTS HALL OF FAME
<br />INCORPORATED.
<br />
<br /> WHEREAS, Chapter 49, Title 15.2, Code of Virginia of 1950, as amended (the
<br />"Act"), authorizes the creation of the Industrial Development Authority of the City of
<br />Portsmouth, Virginia (the "Authority"), and empowers the Authority and any other
<br />industrial development authority created pursuant to the Act (the "Other Authority") to
<br />assist the Virginia Sports Hall of Fame Incorporated (the "Company"), by the issuance
<br />of $8,500,000 in aggregate principal amount of revenue bonds (the "Bonds") to (i)
<br />finance the construction and equipping of a new two-story, approximately 35,000 square
<br />foot building to be located at 206 High Street, Portsmouth, Virginia (the Project), to
<br />house the Company's operations and exhibits; and (ii) finance the cost of issuing the
<br />Bonds; and
<br />
<br /> WHEREAS, the facilities to be financed with the Bonds are or will be owned by
<br />the Company; and
<br />
<br /> WHEREAS, the Company has its principal place of business at 420 High Street,
<br />Portsmouth, Virginia 23705; and
<br />
<br /> WHEREAS, Section 147(f) of the Internal Revenue Code of 1986, as amended
<br />(the "Code"), requires approval by the City Council of the City of Portsmouth, Virginia
<br />(the "Council") of the issuance of any private activity bonds by the Authority after the
<br />Authority has held a public hearing to consider the issuance of such Bonds as one of
<br />the acts required in order for the interest on such Bonds to qualify for exemption from
<br />the imposition of federal income tax; and
<br />
<br /> WHEREAS, the Act requires the concurrence of the Council with the issuance of
<br />the Bonds by the Other Authority; and
<br />
<br /> WHEREAS, the Authority held a public hearing on October 28, 2003, in
<br />compliance with the Code and Section 15.2-4906 of the Act, and after such public
<br />hearing did adopt a resolution approving the issuance of the Bond by it or the Other
<br />Authority, subject to the adoption of this resolution; and
<br />
<br /> WHEREAS, the Authority has recommended that this Council approve the
<br />issuance of the Bonds; and
<br />
<br /> WHEREAS, the Bonds, as "qualified 501(c)(3) bonds" will be exempt, under
<br />Section 146(g)(2) of the Code, from the annual limitation on the volume of notes or
<br />bonds, the interest on which is exempt from the imposition of federal income tax; and
<br />
<br /> WHEREAS, a copy of the Authority's resolution approving the issuance of the
<br />Bonds, a record of the public hearing with respect to the Bonds, a Fiscal Impact
<br />Statement in the form prescribed by Section 15.2-4907 of the Act have been filed with
<br />this Council.
<br />
<br /> NOW THEREFORE BE IT RESOLVED by the Council of the City of Portsmouth,
<br />Virginia that:
<br />
<br /> 1. The recitals made in the first preamble to this Resolution are hereby
<br />adopted as a part of this Resolution.
<br />
<br /> 2. The Council of the City of Portsmouth, Virginia, approves the issuance of
<br />the Bonds by the Authority or the Other Authority and concurs with the issuance of the
<br />Bonds by the Other Authority to assist in the plan of finance described herein for the
<br />benefit of the Company to the extent required by the Code and Section 15.2-4906 of the
<br />Act.
<br />
<br />
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