Res 116-2017 9/5/2017Resolution No. _116-2017_
Resolution approving the programs and expenditures of the Wichita
Falls Economic Development Corporation (WFEDC) and amending
the budget to include up to $168,750 for Chantex Manufacturing Inc.,
to purchase equipment needed to exp and operations for the
fabrication and assembly of the closure head to highly pressured
vessels
WHEREAS, Texas Local Gov’t. Code § 501.073(a) provides “The corporation's
authorizing unit will approve all programs and expenditures of a cor poration and
annually review any financial statements of the corporation ”; and,
WHEREAS, on August 24, 2017, the WFEDC approved the Project listed below
and as stated in its agenda.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF WICHITA FALLS, TEXAS, THAT:
1. The Wichita Falls Economic Development Corporation ’s approval and funding
of the following programs and expenditures as described below and in said
corporation’s agenda, are approved:
A $168,750, No Interest, Forgivable Loan to the Chantex
Manufacturing Inc., for a period of seven years for the acquisition
of five new 20-ton overhead cranes and bridge assemblies , two
new 80,000 lb. cargo trailers, an I-Beam, and assistance with the
cost of running new electrical power fr om Oncor.
The 4A Corporation would require a first lien position on this
equipment.
For each year that the company creates and maintains 60
employees (20 additional positions), the loan would be forgiven at
the rate of 14.29% per year. At the end of year seven, the company
would own the equipment outright. If the company is unable to
create and maintain the jobs specified, the amount of the loan not
already forgiven would be repayable to the City.
2. The current fiscal year budget of the WFEDC is amended to provide for the
aforementioned expenditures and changes thereto.
PASSED AND APPROVED this the 5th day of September, 2017.
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M A Y O R
ATTEST:
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City Clerk