06-06 Forgivable Loan for Rosewood

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ORDINANCE NO: 6-06 BY: Butler, Demro, Dever, FitzGerald, Madigan, Seelie. AN ORDINANCE authorizing the Mayor or his designee to enter into an agreement with BP Lakewood Investments LLC for participation in the Lakewood Business Investment Program (BIP) of the Economic Development Fund (EDF) for a five (5) year forgivable loan in an amount of Two Hundred Thousand Dollars ($200~000,00) for the property located at 15725 Detroit Avenue (PP# 313-25-009) and 1413-15 Rosewood Avenue (PP#313-25-010), Lakewood Ohio. WHEREAS, as an authorized use of the City of Lakewood's entitlement allocation of federal Community Development Block Grant dollars, the EDF was established and approved by LakeWood City Council on December 2, 1996 in order to promote business investment and redevelopment in Lakewood for the pui'pose of supporting Lakewood's competitiveness and attractiveness as a location for new businesses and the expansion of existing businesses; and WHEREAS, the BIP was established and approved by Lakewood City Council on June 2, 1997 as a means for implementing the EDF in order to provide needed and appropriate assistance and support to companies investing in Lakewood that would foster redevelopment efforts to increase jobs, generate new tax revenue and provide for physical improvements in Lakewood; and WHEREAS, BP Lakewood Investments LLC has applied for a loan under the BIP in order to assist with costs associated with the construction of a new, mixed-use building located at 15725 Detroit Avenue (PP#313-25-009) and 1413-15 Rosewood Avenue (PP#313-25-010). WHEREAS, this application by BP Lakewood Investments LLC meets and exceeds the General Assistance Guidelines of the BIP; and WHEREAS, the Economic Development Committee convened on May 5, 2005 and, reviewed, and unanimously approved recommendation of the BIP application by BP Lakewood Investments LLC; and · WHEREAS, an Agreement aursuant to Section II - Basic Criteria of the BIP General Assistance Guidelines will be executed by Cornucopia, Inc wherein Cornucopia, Inc. agrees [o cause the initial job creation of nine (9) full-time jobs and further, Jn accordance with such Agreement, BP Lakewood Investments LLC is prepared to undertake the project and to keep the business in Lakewood for five (5) years; and WHEREAS, in order [o enter into loan agreements under the BIP with BP Lakewood Investments LLC Lakewooa City Counci must grant authority for the City to enter into SUCh agreements; and WHEREAS, this Council by a vote of at least five (5) members elected hereto determines that this ordinance is an emergency measure, and that this ordinance shall take effect at the earliest Date possible as set forth in ARTICLE III, SECTIONS 10 and 13 of the SECOND AMENDED CHARTER OF THE CITY OF LAKEWOOD, and that immediate action is necessary to orovide for the preservation of the public health, safety and welfare and for the reason that financial assistance provided under the EDF is an investment in the City of Lakewood which promotes business redevelopment, generates jobs, increases tax revenues and provides for physical improvements thereby stabilizing the community and imarowng the quality of life within the City. NOW, THEREFORE, BE IT ORDAINED BYTHE CITY OF LAKEWOOD, STATE OF OHIO: Section 1. That the Mayor or his designee is hereby authorized and directed to enter into an agreement with BP Lakewood Investments LLC for participation in the Lakewood Business Investment Program (BIP) of the Economic Development Fund (EDF) for a five (5) year forgivable loan in an amount of two hundred thousand dollars ($200,000.00) towarc the costs associated with the construction of a new mixed-use building located au 15725 Detroit Avenue (PP#313-25- 009) and 1413-15 Rosewood Avenue (PP#313-25-010), Lakewood, Ohio in compliance with and