ORDINANCE NO. 8678

A HOME RULE ORDINANCE OF THE CITY OF LAWRENCE, KANSAS, AUTHORIZING A LOAN TO 3840 GREENWAY CIRCLE, L.L.C. FOR ECONOMIC DEVELOPMENT PURPOSES

WHEREAS, the governing body of the City of Lawrence, Kansas (‘the “City”) has considered the needs of the City for the stimulation,  expansion, and retention of business and commercial activities in the City in order to enhance and provide for the general and economic development and welfare of the City and its citizens; and

WHEREAS, Article 12, Section 5 of the Constitution of the State of Kansas (the “Home Rule Amendment”) authorizes the City to determine its local affairs and government, and provides that such power and authority granted thereby to cities shall be liberally construed for the purpose of giving cities the largest measure of self-government; and

WHEREAS, there is no enactment of the Kansas Legislature which prohibits the City from making a loan to a business to assist with the costs of acquiring, renovating, and improving certain real property, all for economic development purposes; and

WHEREAS, the governing body of the City hereby finds that pursuant to and in furtherance of the purposes of the Home Rule Amendment, it is in the interest of the public health, safety, and welfare of the City to authorize a loan (the “loan”) to 3840 Greenway Circle, L.L.C. which provides that all or part of said loan will be forgiven by the City if certain conditions set forth in a performance agreement between the City, 3840 Greenway Circle, L.L.C., and Grandstand Sportswear and Glassware  are timely met, all for economic development purposes.

NOW, THEREFORE, BE IT ORDAINED BY THE GOVERNING BODY OF THE CITY OF LAWRENCE, KANSAS:

Section 1.       Recitals Incorporated.   The recitals set forth above are incorporated by reference as if fully set forth herein. 

Section 2.       Loan Authorization.   It is hereby authorized, ordered and directed that the City proceed with issuing a loan in an amount of Twenty-Five Thousand Dollars ($25,000) from the City’s general funds to 3840 Greenway Circle, L.L.C. for its use in acquiring, renovating and improving the real estate legally described as: LOT 1, BLOCK THREE, EAST HILLS BUSINESS PARK, a subdivision in the City of Lawrence, Douglas County, Kansas.  All or part of said loan shall be forgiven by the City if 3840 Greenway Circle L.L.C. together with Screen-It Graphics of Lawrence, Inc. d/b/a Grandstand Sportswear and Glassware (hereinafter “Grandstand”) meet certain performance targets pursuant to the terms and in accordance with the schedule set forth in a performance agreement between the City, 3840 Greenway Circle, L.L.C. and Grandstand. 

Section 3.       Further Authority.  The City, and the officers, employees and agents of the City are hereby authorized and directed to, take such action, expend such funds, and execute such other documents, certificates and instruments as may be necessary or desirable to carry out and comply with the intent of this Ordinance and to carry out, comply with and perform the duties of the City with respect to this Ordinance, including the execution of a Performance Agreement with 3840 Greenway Circle, L.L.C. and Screen-It Graphics of Lawrence, Inc., d/b/a Grandstand Sportswear and Glassware regarding the parties respective rights and obligations with respect to the Incentives.  Such performance agreement shall be in substantially the form presented to the governing body at its October 11, 2011 meeting.

Section 4.       Effective Date.  This Home Rule Ordinance shall be effective from and after final passage by the governing body and publication once in the official City newspaper.

PASSED by the Governing Body of the City of Lawrence, Kansas, this  day of October, 2011.

                                                                        APPROVED:

                                                                        Aron E. Cromwell, Mayor

ATTEST:

Jonathan M. Douglass, City Clerk

APPROVED AS TO FORM:

Toni R. Wheeler, Director of the Legal Department