CITY of ALBUQUERQUE
TWENTY THIRD COUNCIL
COUNCIL BILL NO. R-19-212 ENACTMENT NO. _____________________
SPONSORED BY: Pat Davis, by request
RESOLUTION
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A Resolution Relating To The Proposed Relationship Between The City Of Albuquerque’s Departments Of Economic Development And Aviation And The New Mexico Small Business Investment Corporation For The Purpose Of Promoting Economic Development At The Albuquerque International Sunport’s Aviation Center For Excellence (ACE) Business Park; Declaring The Intent Of The City Of Albuquerque To Consider For Adoption An Ordinance Authorizing The Pledge Of Certain Aviation Department Revenues Previously Appropriated For Local Economic Development Purposes To Leverage A Revolving Loan Program With The New Mexico Small Business Investment Corporation For The Benefit Of Eligible Private Entities Seeking To Locate At The Albuquerque International Sunport’s ACE Business Park (Davis, by request)
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A RESOLUTION RELATING TO THE PROPOSED RELATIONSHIP BETWEEN THE CITY OF ALBUQUERQUE’S DEPARTMENTS OF ECONOMIC DEVELOPMENT AND AVIATION AND THE NEW MEXICO SMALL BUSINESS INVESTMENT CORPORATION FOR THE PURPOSE OF PROMOTING ECONOMIC DEVELOPMENT AT THE ALBUQUERQUE INTERNATIONAL SUNPORT’S AVIATION CENTER FOR EXCELLENCE (ACE) BUSINESS PARK; DECLARING THE INTENT OF THE CITY OF ALBUQUERQUE TO CONSIDER FOR ADOPTION AN ORDINANCE AUTHORIZING THE PLEDGE OF CERTAIN AVIATION DEPARTMENT REVENUES PREVIOUSLY APPROPRIATED FOR LOCAL ECONOMIC DEVELOPMENT PURPOSES TO LEVERAGE A REVOLVING LOAN PROGRAM WITH THE NEW MEXICO SMALL BUSINESS INVESTMENT CORPORATION FOR THE BENEFIT OF ELIGIBLE PRIVATE ENTITIES SEEKING TO LOCATE AT THE ALBUQUERQUE INTERNATIONAL SUNPORT’S ACE BUSINESS PARK.
WHEREAS, the City of Albuquerque (the "City") is a legally and regularly created, established, organized, and existing municipal corporation of the State of New Mexico (the "State"); and
WHEREAS, pursuant to Sections 5-10-1 through 5-10-13 NMSA 1978, as amended (the "Act"), the City is authorized to provide economic development assistance to eligible entities for certain projects located within the corporate limits of the municipality; and
WHEREAS, pursuant to the Act, the City has adopted Ordinance No. F/S 04-10 (the "LEDA Ordinance"), approving an economic development plan for the City and authorizing the City to assist economic development projects in any legally permissible manner, subject to the terms of the LEDA Ordinance; and
WHEREAS, the City has previously appropriated $4,000,000 of Aviation Department revenues to benefit commercial development projects at the Albuquerque International Sunport (the “Sunport”); and
WHEREAS, the Aviation Department, with the assistance of the City’s Economic Development Department, has evaluated options to maximize the benefit of the $4,000,000 of commercial development funds at the Sunport for the benefit of the Sunport; and
WHEREAS, the Aviation Department has identified the New Mexico Small Business Investment Corporation (“SBIC”) as a potential partner to facilitate loans with eligible private entities seeking to locate at the Sunport’s ACE Business Park, with the City providing credit support; and
WHEREAS, implementation of a potential partnership with SBIC requires the City Council to consider an ordinance authorizing the commitment of Aviation Department commercial development funds (consistent with Federal Aviation Administration regulations and guidelines regarding the use of airport funds for this type of purpose) and to formalize the structure of the relationship between the City’s Aviation and Economic Development Departments with the SBIC; and
WHEREAS, the City Council’s adoption of this Resolution will not obligate the City to encumber the Aviation Department’s $4,000,000 in local economic development funds or enter into a relationship with the SBIC; such commitment to occur only upon full compliance with the terms of an ordinance to be considered for adoption by the City Council authorizing the City’s involvement with the SBIC pursuant to an agreed upon structure and documentation.
BE IT RESOLVED BY THE COUNCIL, THE GOVERNING BODY OF THE CITY OF ALBUQUERQUE:
Section 1. The Aviation and Economic Development Departments and other appropriate City officials and employees are hereby authorized and empowered to take such steps and to do such things as may be necessary to continue due diligence discussions with the SBIC and develop the documentation and structure related to a legally permissible relationship with the SBIC for the benefit of commercial development at the Sunport. The execution and delivery of any documents to which the City is a party in connection therewith shall be subject to the approval and authorization of the Council pursuant to an ordinance.
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