S2-96 (2) I
• r
CITY OF ELGIN
KANE COUNTY, ILLINOIS
ORDINANCE NO. S2-96
AN ORDINANCE
REALLOCATING$2,350,500 OF THE
CITY OF ELGIN'S
PRIVATE ACTIVITY BOND ALLOCATION TO THE
ILLINOIS DEVELOPMENT FINANCE AUTHORITY
ADOPTED BY THE
CITY COUNCIL
OF THE
CITY OF ELGIN
MINU IES of a regular meeting of the Mayor and City Council of the City of Elgin, Kane
County, Illinois, held at the City Hall, 150 Dexter Court, Elgin, Illinois in said City at
o'clock p.m., on the 28th day of February,1996.
The Mayor called the:meeting to order. Upon roll call by the City Clerk, the following Council
Members answered present:
Councilmembers Gavin, Gilliam, McKevitt, Schock, Walters ,
Yearman and Mayor Kelly
and the following Council Member(s) were absent: None
hereby constituting a quorum.
City Clerk Mecum presented and read in full ordinance as follows:
Ordinance No. S2-96
AN ORDINANCE
REALLOCATING $2, 350,500 OF THE CITY OF ELGIN' S
PRIVATE ACTIVITY BOND ALLOCATION TO THE
ILLINOIS DEVELOPMENT FINANCE AUTHORITY
WHEREAS, pursuant to the Internal Revenue Code of 1986 ,
as amended, the City of Elgin (the "City" ) as a constitutional
home rule unit is allocated a certain amount of "volume cap"
per calendar year; and
WHEREAS, the Illinois Private Activity Bond Allocation
Act, 30 ILCS 345 et seq. , provides, among other things, that
the corporate authorities of any home rule unit may reallocate
all or any portion of its unused allocation of volume cap; and
WHEREAS, the City has available unused volume cap for
calendar year 1996 ; and
WHEREAS, the City wishes to authorize the Mayor of the
City of Elgin (the "Mayor" ) to reallocate a portion of its
unused volume cap for calendar year 1996 to the Illinois
Finance Development Authority (the "Authority" ) for use in
connection with a particular transaction.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE
CITY OF ELGIN, ILLINOIS :
Section 1 . Reallocation. The City hereby authorizes
and directs the Mayor to reallocate to the Authority
$2, 350, 500 of its unused volume cap, for calendar year 1996
(the "Reallocation" ) for application by the Authority to bonds
to be issued to finance a project located within the City for
Suburban Plastics . Should Suburban Plastics not be granted
the additional volume cap from the Authority by April 1, 1996
then the $2, 350,500 will be returned to the City of Elgin to
be reallocated at their discretion. The Mayor will evidence
the making of such Reallocation by filing a certificate with
the Clerk of the City stating the amount of volume cap
reallocated pursuant to this ordinance.
Section 2 . Records . The Mayor is hereby authorized
and directed to maintain a record of such Reallocation for the
term of the Bonds issued pursuant to such Reallocation.
Section 3 . Notice. The Mayor shall provide a written
notice of such Reallocation to the Office of the Governor and
to the Authority.
Section 4 . Execution of Documents . The Mayor shall
execute such agreements, certificates and other documents on
behalf of the City as he deems necessary and desirable to
evidence such Reallocation, which may include a representation
on behalf of the City that such Reallocation volume cap has
not been used and is available for reallocation under the
Internal Revenue Code and the Illinois Private Activity Bond
Allocation Act.
Section 5 . Effective Date. This ordinance shall be
effective from and after its passage.
s/ Kevin Kelly
Kevin Kelly, Mayor
Presented: February 28, 1996
Passed: February 28, 1996
Vote: Yeas 7 Nays 0
Recorded: February 29, 1996
Published:
Attest :
s/ Dolonna Mecum
Dolonna Mecum, City Clerk
Council Member Gavin moved and Council Member Yearman
seconded the motion that said ordinance as presented by the City Clerk be adopted.
After a full and complete discussion thereof, the Mayor directed that the roll be called for
a vote upon the motion to adopt said ordinance.
Upon roll being called,the following Council Members voted:
AYE: Councilmembers Gavin, Gilliam, McKevitt, Schock, Walters,
Yearman, and Mayor Kelly
NAY: None
Whereupon the Mayor declared the motion carried and said ordinance adopted, approved
and signed the same in open meeting and directed the City Clerk to record the same in full in the
records of the Mayor and City Council Members of the City of Elgin Kane and
Cook County,Illinois, which was done.
Other business not pertinent to the adoption of said ordinance was duly transacted at the
meeting.
Upon motion duly made, seconded and carried, the meeting was adjourned.
City Clerk
CERTIFICATE OF THE MAYOR
The undersigned does hereby certify that he is the duly qualified and acting Mayor(the
"Mayor")of the City of Elgin, Kane County, Illinois (the"City") and does hereby further certify
as follows:
1. Pursuant to an ordinance of the City entitled "ORDINANCE REALLOCATING
$2,350,500 OF THE CITY OF ELGIN'S PRIVATE ACTIVITY BOND ALLOCATION TO
THE ILLINOIS DEVELOPMENT FINANCE AUTHORITY"(the "Ordinance"), the Mayor has
been authorized and directed to reallocate $2,350,500 of the City's private activity bond volume
cap to the Illinois Development Finance Authority(the"Authority").
2. As of the date hereof, the undersigned does hereby reallocate to the Authority
$2,350,500 of the City's volume cap for the calendar 1996 under the terms and conditions of the
ordinance dated February 28, 1996 for application by the authority to bonds to be issued to
finance a project located within the City for use by Suburban Plastics.
3. The undersigned has provided notice of such reallocation to the Office of the
Governor of the State of Illinois and the Authority substantially in the form attached hereto as
Exhibit A.
IN WITNESS WHEREOF, I hereunto affix my official signature this 28th day of
February 1996.
Mayor of the City of Elgin
CERTIFICATE OF THE CITY CLERK
I,the undersigned, do hereby certify that I am the duly qualified and acting City Clerk of
the City of Elgin, Kane County,Illinois and as such official I do further certify as follows:
1. The undersigned keeps the official books,records, files and journal of the
proceedings of the City of Elgin.
2. Attached hereto as Exhibit A is a true, correct and complete copy of an ordinance
of the City entitled"ORDINANCE REALLOCATING $2,350,500 OF THE CITY OF ELGIN'S
PRIVATE ACTIVITY BOND ALLOCATION TO THE ILLINOIS DEVELOPMENT
FINANCE AUTHORITY" duly adopted by the Mayor and the City Council of the City effective
on February 28, 1996, said ordinance has not been repealed, amended, supplemented or modified
in any way and remains in full force and effect on the date hereof.
3. Attached hereto as Exhibit B is a true, correct and complete excerpt of the
Minutes of the regular meeting of the City Council of the City held February 28, 1996
evidencing the adoption of said ordinance.
4. Attached hereto as Exhibit C is a full,true and complete copy of the certificate of
the Mayor confirming the reallocation of$2,350,500 of the City of Elgin's unused private
activity bond volume cap of the calendar year 1996 to the Authority which was filed with the
Office of the City Clerk on February 28, 1996.
5. At the time of execution of the attached Certificate of the Mayor, the person
signing said Certificate was the duly qualified and acting Mayor of the City of Elgin.
IN WITNESS WHEREOF, I hereunto affix my official signature this 28th day of February,
1996.
CITY OF ELGIN
By:
City Clerk
(SEAL)
.4 OF rio
7.
4t.4*)\
.
ED�
Office of the Mayor
150 DEXTER COURT
ELGIN, ILLINOIS 60120
Kevin Kelly 847/931-5595
MAYOR Fax 847/931-5610
EVIDENCE OF MAILING OF MAYOR' S
NOTICE OF REALLOCATION
TO THE OFFICE OF THE GOVERNOR
TO: Office of the Governor
207 State House
Springfield, Illinois 62703
Attention: Jamie Owens
Illinois Development Finance Authority
233 South Wacker Drive
Suite 5310
Chicago, Illinois 60606
Attention: Executive Director
The undersigned, the Mayor (the "Mayor" ) of the City of
Elgin, Illinois (the "City" ) , pursuant to an ordinance of the
City entitled "ORDINANCE REALLOCATING $2 , 350, 500 OF THE CITY
OF ELGIN' S PRIVATE ACTIVITY BOND ALLOCATION TO THE ILLINOIS
DEVELOPMENT FINANCE AUTHORITY" duly adopted by the Mayor and
the City Council of the City and effective on February 28,
1996 , hereby notifies the Office of the Governor of the State
of Illinois and the Illinois Development Finance Authority
(the "Authority" ) that on February 28, 1996 , the undersigned
has reallocated $2 , 350, 500 of the City of Elgin' s unused
private activity bond volume cap for the calendar year 1996 to
the Authority for application by the Authority to bonds to be
issued to finance a project located within the City for use by
Suburban Plastics . Such allocation is conditional upon Subur-
ban Plastics Company receiving approval from the Authority.
IN WITNESS WHEREOF, I hereunto affix my official signa-
ture, this day of , 1996 .
CITY OF ELGIN
By:
Mayor
•
n (0-B
Agenda Item No .
JAN-
f \G v.,-
Ze
February 19 , 1996
TO: Mayor and Members of the City Council
FROM: Richard B. Helwig, City Manager
SUBJECT: Reallocation of $2 , 350,500 of the City' s
1996 Industrial Revenue Bond ( IRB) Capacity to
the Illinois Development Finance Authority
on Behalf of Suburban Plastics, Inc.
PURPOSE
The purpose of this memorandum is to present to the Mayor and
members of the City Council an ordinance that reallocates
from the City' s IRB funding resources $2, 350,500 of the
City' s 1996 Private Activity Bond allocation to the Illinois
Development Finance Authority on behalf of Suburban Plastics,
Inc .
BACKGROUND
The City has received requests from two businesses regarding
the availability of Industrial Revenue Bonds in order to
finance business expansion. Suburban Plastics, Inc . present-
ed a request to the City for $4 million and Bailey Develop-
ment (Concrete Specialties, Inc. ) presented a request total-
ling $5 million.
Suburban Plastics has a commitment from the Illinois Develop-
ment Finance Authority ( IDFA) to help finance this project if
a significant level of the City' s bonding authority would
also be used. Staff recommends $2 , 350,500 of 1996 City IRB
capacity be committed to Suburban Plastics with IDFA provid-
ing $1,649 , 500 .
Suburban Plastics intends to purchase an existing industrial
building of 73, 000 square feet, construct a building addition
of 40,000 square feet and purchase additional machinery and
equipment.
COMMUNITY GROUPS/INTERESTED PERSONS CONTACTED
None.
IRB/Suburban Plastics, Inc.
February 19, 1996
Page 2
FINANCIAL IMPACT
All costs pertaining to the IRB issuance will be borne by
Suburban Plastics, Inc.
LEGAL IMPACT
None.
RECOMMENDATION
It is recommended that the Mayor and members of the City
Council approve a resolution authorizing a reallocation of
$2, 350,500 of the City' s 1996 Industrial Revenue Bond capaci-
ty to the Illinois Development Finance Authority on behalf of
Suburban Plastics, Inc .
Respectfully submitted,
/144'4-4 44-910:
JaOes R. Nowicki
Finance Director
,/j, 4„,,z1//‘ ) 7c7al.
Raymond H. Moller, Director
Business Services and
Properties
Richard B. Helwig
City Manager
amp
Attachment
•
in
Memorandum
'°aRriite
January 19 , 1996
TO: Richard B. Helwig, City Manager
FROM: Raymond H. Moller, Director of Business Services
and Properties
SUBJECT: 1996 Industrial Revenue Bond Applications
PURPOSE
The purpose of this memorandum is to apprise you of two appli-
cations for Industrial Revenue Bond ( IRB) allocation for 1996 .
BACKGROUND
THE 1996 allocation of IRB funding from the State of Illinois
to the City of Elgin is $3 . 8 million. In 1995, the City
Council allocated $2 . 3 million of 1996 funds to Gibson String
& Accessories and $1 . 5 million to Grease Guard, Inc . The
City received an additional $2 . 3 million in IRB capacity from
the State and funded the Gibson String project with 1995
capacity. Thus , $2 . 3 million again became available in 1996 .
Two applications have been submitted in 1996 . Suburban Plas-
tics has submitted a request for $4 million and Concrete
Specialties , Inc . has submitted a request for $5 million.
Both applications were submitted to Speer Financial for re-
view. Both applications have received a favorable review
from Speer Financial . (Project applications and Speer ' s re-
view letters are attached. )
Both Suburban Plastics and Concrete Specialties are aware
that the City does not have sufficient funding capacity to
fund both projects or to fund each project in their entirety.
Each of the two applicants are at different stages of deter-
mining how to fill the void between City funding and the
dollars required to fund their projects . Suburban Plastics
has been working with the Illinois Development Finance Author-
ity ( IDFA) , which also has IRB funding capacity. Concrete
Specialties has not made contact with IDFA.
1996 Industrial Revenue Bond Applications
January 19 , 1996
Page 2
In an effort to determine the required level of City involve-
ment to ensure funding from IDFA for Suburban Plastics , City
staff contacted IDFA. City staff was informally advised that
a minimum contribution of $2 million would be required from
the City to ensure funding from IDFA. Based upon this infor-
mation, it would seem prudent to maximize funding to Suburban
Plastics and to work with Concrete Specialties on initiating
contact with IDFA. In addition, Concrete Specialties could
secure an allocation of 1997 City IRB funds and obtain inter-
im funding in order to allow Concrete Specialties to proceed
with this project in Cook County in 1996 .
RECOMMENDATION
We recommend committing the City' s remaining 1996 IRB capaci-
ty of $2 . 3 million to Suburban Plastics and committing the
City' s 1997 IRB capacity of $3 . 8 million to Concrete Special-
ties . We further request submitting the application of Con-
crete Specialties to the Governor' s office in June of this
yeer f_ additional IRB capacity.
//
Raymond H. Moller, irecto
Business Services and Properties
amp
•
'CITY OF ELGIN
APPLICATION FOR INDUSTRIAL DEVELOPMENT BOND FINANCING
Business Name: SUBURBAN PLASTICS COMPANY
Address : 340 Renner Drive
City, State: Elgin, IL 60123
. Representative: W. Stuart Baxter
•
Telephone: (708) 741-4900 .
Federal Tax ID Number: 36-2056697
Amount of Proposed Bond Issue: $4, 000, 000,00
Name of Bond Purchaser: To be determined
Form of Organization of Borrower: Corporation
Name of Bonc Counsel : To be determined _
. Name of Corporate Lawyer: McDermott . Will & Pnpry
Chicago, IL (312) 372-2000
Proposed Use of Proceeds: The proposed use of the proceeds would
be to: 1. Purchase an existing industrial building of 73 , 000 square
feet. 2 . Construct a building addition connected to the existing '
building of approximately 40 ,000 square feet, and 3 . Purchase
additional machinery and equipment to accomodate our growth . The
lower cost financing available through Industrial Revenue Bonds is
imperative to Suburban' s expansion project in Elgin, if we are to
A ' to increase our employment. Financial incentives at other
locations make anything other than IRB ' s not competitive in our
decision to remain based in Elgin .
Is proposal a new facility? This is a continued expansion of
our business in Elgin . •
Is the proposal Industrial/Commercial/Retail? Industrial
What is the principal product of the company? Custom molded
plastic parts .
What are the proposed financing arrangements?
The entire project would be financed with Industrial Revenue
Bonds . •
Give the approximate dates of construction: The existing
building would be purchased immediately and ground would be
broken for the addition in the Spring of 1996, with projected
completion Summer 1996 . •
ECONOMIC
A. Project Costs
Existing Building $2 , 300 , )00 . L0
1 . Construction Costs $ Addition to building $1 , 300 , 000 . 00
• 2 . Financing Costs $ 150 , 000 . 00
3. Equipment Costs $ 250 , 000 . 00
4 . Land $
5. Architectural $ 20 ; 000 . 00
6 . Legal $ 25 , 000 . 00
7 . Other $
B. Financial Stability (provide the following) See - attached .
1 . Prospectus
2 . Reports to stockholders
3 . 5 years independently audited financial
statement
4 . Most recent interim financial report
5 . Dun & Bradstreet report
6 . Name and address of project lender
7 . Commitment letter for financing
(including length of commitment)
8 . Name, address and contact of bond purchaser
9 . Estimated tax yield to City
10 . Estimated increased payroll
11 . Estimated assessed value of additional and total
real property
12 . Number of years in business
Is any litigation pending by or against company?
Yes X No
- Type of Product Custom nolded platic parts
Description of Product Parts that are included in the
• make-up of OEM products dealing with various industries ,
such as Commercial/Residential construction and housewares .
Market Area Served Continental United States , Puerto Rico,
Mexico, Canada .
C. Employment
1. Number of Current Employees :
Full Time: 140 (with an additional 40 full-time temporary
• agency employees . )
Part Time: 0
Managers : 25
Employees living in Elgin: 98 as of 12/13/95
2 . Number of new jobs created/retained (please specify)
a . Permanent Full Time: 54 new jobs created within 2 years .
b. Permanent Part Time :
c. Seasonal/Temporary: 40 construction jobs .
3 . Type of new jobs created/retained
a . Clerical : 2
b. Labor: 52
c. Supervisory:
d. Managerial :
4 . Average Employee Salary (present) : $6 . 80/hr for
manufacturing shop employees .
5 . Yearly Payroll (present) : $3 . 4 million
6 . Employee Skills Required: General manufacturing
positions do not have a skill requirement . The
skills required for any other position are determined
by the type of work to be performed.
D. Environmental
A. Plant
1 . Location: Industrial Park located in the
• southwest area of Elgin.
2 . Land Size: 6 . 24 acres
Square Feet: 271, 809 •
3. Present Plant: 71, 985 square feet
New Plant: 40 , 000 sq. ft.
4 . Land Coverage: 41%
B. Pollution
1 . Water/Sewer effluent domestic
X industrial
unusual wastes
2 . Air/foreign or toxic substances : None
3 . Odors : None
•
4 . Glare: None
5. Noise: Minimal
6 . Pollution devices required: None •
•
7 . According to City Engineer, are there adequate
number of Water and Sewer Connection to the
site?
X Yes No
E. Community Services
A. Traffic
1 . Number of Vehicles into Site per day:
Trucks : ' 8 10 Cars : 65
Other Vehicles : 0
2 . Ability of Street to Carry Additiont.l Land
a . Access - sketch of ingress/egrets patterns
b. Safety - plans to facilitate any
substantial traffic movement The site is currently
served by city streets ,
B. Utility Requirements would be able to handle
• any additional traffic
1 . Water used per day: 6 , 000 gallons created .
Fire Protection adequate? Yes .
Additional water or sewer requirements : (i.e.
pretreatment, extensions) NnnP
2 . Type of Sewage: 100% domestic
3: A. Projected annual electrical usage:
5 , 000 , 000 INH
• B. Projected annual gas usage:
•
60 , 000 therms
1.
-
C. • Schools
Will you project significantly increase school
enrollment?
No
CIVIC AWARENESS
1. Provide evidence of past civic activity:
Bonnie Miller : Personnel Director •
Chairman - Elgin Chamber HR Assn. , Board Member - Elgin Chamber
of Commerce, Board Member - CIP Committee - Chamber, Co-chair -
Plastics Technology Internship - U46 & ECC, Chair 'KDx - JTDA - PIC
• Geneva Advisory Board - YWCA - Personnel .
2 . How will your company support local civic activities?
Continued support as has been for the last 20 years _
•
All supportive financial documents and information required by
the City of Elgin must be supplied before application i+ill be
considered by the City Council of the City of Elgin.
We agree to all the conditions as specified in applicable city •
ordinances .
•
Signed: saw Signed:
Title: `btu.- Title:
Chief Corporate Officer Chief Financial Officer •
Date:
- • (708)741-4900
S Suburban Plastics Company Fax Number
p (708)741-0094
340 RENNER DRIVE
ELGIN, ILLINOIS 60123
Section B: Financial Stability
1. Prospectus : N/A
2 . Reports to stockholders : N/A
3. 5 years independently audited financial statement:
Please see Mueller & Co. reviewed Financial Statements
included.
4 . Most recent interim financial report: Included .
5 . Dun & Bradstreet report: Included.
6 . Name and address of project lender: American National Bank.
7 . Commitment letter for financing : Included.
8 . Name, address and contact of bond purchaser : To be determined.
9 . Estimated tax yield to City: Estimated property tax
increase of $40 , 000 . 00 .
10 . Estimated increased payroll : $545 , 000 . 00
11. Estimated assessed value of additional and total real
property : $4 , 000, 000 . 00
12 . Number of years in business : 50 years .
PUBLIC FINANCE CONSULTANTS SINCE I954
rEdSPEER FINANCIAL, INC.
ELWOOD BARCE RICHARD A.PAVIA KEVIN W.McCANNA DAVID F.PHILLIPS LARRY P.BURGER DANIEL D.FORBES
CIu0.v.44 EMERITUS CHAIR M.Ls.ELERTLS RESIDEsT SR ICI AESIDE'T `ACE PRL.SIDEST VICE RESIDEs1
December 27, 1995
The Honorable Kevin B. Kelly and
Members of.the City Council
City of Elgin
150 Dexter Court
Elgin, IL 60120
Dear Mayor and Council:
Pursuant to the request of the City, Speer Financial, Inc. has reviewed the industrial revenue bond application,
and supporting documentation including unaudited financial reviews, of Suburban Plastics Company. The
reviews are on a calendar year basis and are prepared by Mueller and Company of Elgin. Suburban Plastics
is applying for City approval of a $4,000,000 industrial revenue bond. The purchaser and bond counsel have
not been identified yet. Proceeds will be used to purchase an existing building for $2,300,000, construct an
addition for $1,300,000, purchase equipment for $205,000 and pay legal and financing costs.
The company has been manufacturing its product in Elgin. The increase in business necessitates an expansion
either in Elgin or elsewhere.
The product of the company is custom molded plastic parts used in various industries including housewares and
building construction. The market is international including all of North America and Puerto Rico. Some 140
people work for the company, of whom 98 live in Elgin. New job generation will be 54 positions. The initial
positions will be a mix of jobs, 2 clerical and 52 factory. Average salaries are $14,000. Benefit to the City's
tax base will likely be some $450,000 of equalized assessed valuation. At a tax rate of $1.90 and $8.50 for
the City and all governments, expected revenues will be $8,300 and $40,000 respectively.
Financial Analysis
As the accompanying table indicates, the company has been growing over the past four years.
Sales revenues have been growing, with a 99% increase 1991 to 1994 and a small decline from 1994 to 1995.
Net income as a percentage of sales over the past five years has averaged 1%, ranging from (2%) to 2.5%.
The expansion of sales has been reflected in the balance sheet. Accounts receivable increased dramatically.
Accounts receivable increased from $1,231,202 in 1991 to $2,468,695 in 1994. Inventory has been fairly
stable at approximately $1,200,000. Liabilities and equity have been stable, increasing slightly. This stability
in the various balance sheet items indicates a financially well managed company in a period of growth.
SUITE 3435.55 EAST MONROE STREET•CHICAGO,ILLINOIS 60603•(312)346-3700•FAX(312)346.8833
r-•+••rT-r. inq' .,T.0,SDI.111'..C S N'(SI Q1'NI FTQT
SPEER FINANCIAL, INC.
Jun and Bradstreet reports that the credit appraisal is overall "fair" and that its financial statement is "good.".
The $4,000,000 of bonds are to be retired over 20 years. The bonds will pay interest on a floating rate.
Maximum annual debt service (at an estimated high rate of 9%) should be no more than $500,000 with a likely
debt service closer to $400,000. Results of 1994 provide 120% of the maximum amount and 150% coverage
of this likely amount, after income tax benefits; this is a net of$600,000 cash available for debt service. This
is reasonable coverage of the bonds. It should be noted that the company has various minor debts which dilute
this coverage to approximately 110% and 133%, respectively. Assuming net income continues to grow and
as interest expense lessens each year due to principal retirement, coverage should improve. A mitigating factor
here is the presence of a letter of credit from American National Bank, which will also provide the construction
lending.
Conclusion
In summary, we find the company, based on its unaudited financial information, to be financially viable. The
IRB project will retain 140 jobs and bring new jobs to Elgin. We find this a good credit and worthwhile
project and recommend that the City proceed with the inducement resolution. We would be pleased to discuss
this with you.
Sincerely,
Kevin W. McCanna
President
KWMlslj
CALENDAR YEARS
;imi. ,y(riT::�: ;•iY•}:.F.: : :::Y:.???.ii:is { y� s.<!fi
:.>:«.:::>i:;,<:,::;<:;;.»:,:.>}Ti>,i2.),'?:;':Ji:: iC S:ii:3:i`::i::ii 2}:i i? i :: ii
<'>'i:•:f`.�� . ;.;:f:w >:k<:::>: :>:::::::<<:::>: :»: ::::>:: :<:>:: $7,183,171
$9,255,310 $11 299 798 $14,296,022 $11,547,345
::.c ,t......: < ;f:^tiff:;:`:``s :;::k:>;< : ti,` <:w0Ta'' >> :> 8 6 8 000
<DrEidt 0.! iitO,< };.:w,A:<<•;; <,}IMff, f;.sffY .;; S6,631 ,809 $8,229, 11 $10,175,242 $12, 05,794 $9,41 ,
1C1c11A;u `Costs<? w}v`w} =;s'r, fkfa}` >; f#s 602,276 765,287 899,806 1 ,188,744 1 ,884,436
• : (38,464)� ;;:MiscellaneousNetCossW : x : : 99,314 91 ,604 85,315 91 ,972
..::.:.� : li..= S 150 228 $137 508 $89 835 $243 312 $283 737
Net irica t e"11 .3:::::.......„::::::::::5„:„:„......,..0......*:„..,..;,.... ( ) ,
•
Balance Sheet
Assets;* Cash T T $0 $69,181 $86,077 $8,620 $17,288
< ,
AH6:.":•:tett5.':.` G . }1x., 1 ,231 ,202 1 ,467,196 1,625,544 2,468,695 1,783,103
t,. \\\ •?Z,•1;,: v« 3+` !ti�f3;$•'::�.r;?q i•`;"v 'Yt' $. `.'.41£4
$ ventOry <# }, <�� .,,;f. 1 ,107,006 984,313 1 ,316,555 1,355,613 1,564,057
OthaC Currant AssQ#s,ra <; � }§ " 52,725 37,489 133,834
51 891 575,445
;tic:yC'.:f;5:1.6.b":'•ia>+f ti`c?iC`ii:..ilfe a .::jfZt:,'9.:: :_r_.;E.t s gg / I , I
Plarnt�tandr8qutpment>> X :>>_£ %,v 1 ,254,681 1 ,089,418 931,532 830,643 743,033
L`i b..11if f s:::T:: >'.�:,� f::::.v:}.n:::3::::s<:T.:.::<.T::;:.;::.>:<,;:>..:<:>::<::;; ''::< $2 5 20 642 $2,385,117 $2,8 0 8 0 7 6 $3,421 ,935
$3,085,569
%.MAMA - AMMMIMV�/AMV WMMW.' I i I
Equity.'4 t.s' " .5,5 ' ' ' } T g' $1 ,124,972 $1 ,262,480 $1 ,285,542 $1 ,293,527 $1 ,577,259
T
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ILLINOISIDFA
DEVELOPMENT
FINANCE July 27, 1994
AUTHORITY
Via Certified Mail •
Ms. Dolonna Meclum
City Clerk
City of Elgin
150 Dexter Ct
Elgin, Illinois 60120-5570
Re: Suburban Plastics Company
#1598-IRB
Dear Ms. Meclum:
At a regular meeting of the Illinois Development Finance Authority held in
Chicago, Illinois, on July 20, 1994, the members of the Illinois Development
Finance Authority approved an application to issue Industrial Revenue Bonds on
behalf of Suburban Plastics Company. The amount of such bonds to be issued
on behalf of the applicant is now estimated at an amount not to exceed
$4,000,000. The proceeds of the bond issue will be used to finance the cost of
the acquisition and renovation of a 75,000 square foot manufacturing facility
located on an approximately 3 acre site, the acquisition of an approximately 2
acre adjacent site and the construction thereon of an approximately 50,000
square foot addition to said existing facility, and the purchase of equipment to
be installed in said expanded facility. The project is located at 340 Renner Drive,
Elgin, Illinois.
Following is the pertinent provision of Section 6.1 of the Illinois Development
Finance Authority Act, 20 ILCS 3505/1 et seq. (1992); Illinois Revised Statutes
1991 , ch. 48, par. 850.01 et seq., which describes one of the conditions that
must be met before bonds (the statutory definition of which includes other
indebtedness) may be issued by the Authority:
Chicago Office: The Authority shall not issue any bonds relating to the financing of
2 North LaSalle an industrial project located within the planning and subdivision
Suite 980 control jurisdiction of any municipality unless: (1) notice, including
Chicago.Illinois 606029897 a description of the proposed project and the financing therefor, is
312/7935586 submitted to the corporate authorities of such municipality; and (2)
Downstate Office: such corporate authorities, within 45 days after mailing of the
400 East DeYoung notice, have failed to notify the Authority that the municipality has
Ma Box 397 adopted a resolution disapproving the industrial project or have
Marion,Illinois 62959
618/9976318 notified the Authority that the municipality has adopted a resolution
approving the industrial project.
Springfield Office:
212 S Second Street
Springfield.Illinois 62701
217/524-5413
Chicago Fax
312/793-6347
Ms. Meclum
City Clerk
City of Elgin
Page 2
Please be advised that the corporate authorities of Elgin, Illinois, have 45 days
after the mailing date of this letter to adopt either of the aforesaid resolutions.
If the Authority has not been notified of the adoption of any such resolution
within 45 days, it will assume that the corporate authorities have no objections
to this project.
Please send notification of the adoption of an approving or disapproving
resolution, and a certified copy of the pertinent resolution by registered or
certified mail to:
ILLINOIS DEVELOPMENT FINANCE AUTHORITY
Two North LaSalle Street
Suite 980
Chicago, IL 60602
Attn: Legal Department
If you have any questions concerning this matter, please contact Stephen
Welcome of our office at (312) 793-5586.
Sincerely,
ILLINOIS DEVELOPMENT FINANCE
AUTHORITY
By:
lip S. Howe
Acting Executive Director
cc: Client
Bond Counsel
Issuer's Counsel
IDFA File #1598-IRB
Certified Receipt Number: P 914 405 305
PH:nb
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