CITY of ALBUQUERQUE
TWENTY-FIFTH COUNCIL
COUNCIL BILL NO. O-22-28 ENACTMENT NO.
SPONSORED BY: Renee Grout
1 ORDINANCE
2 title
3 Approving A Project Involving BlueHalo, LLC Pursuant To The Local Economic Development Act And City Ordinance F/S O-04-10, The City's Implementing Legislation For That Act, To Support The Renovation, Expansion And Improvement Of Engineering, Manufacturing And Training Facilities For An Integrated Technology Company In Albuquerque, New Mexico; Authorizing The Execution Of A Project Participation Agreement And Other Documents In Connection With The Project; Making Certain Determinations And Findings Relating To The Project Including The Appropriation Of Funds; Ratifying Certain Actions Taken Previously; And Repealing All Actions Inconsistent With This Ordinance (Grout)
4 body
5 APPROVING A PROJECT INVOLVING BLUEHALO, LLC PURSUANT TO THE
6 LOCAL ECONOMIC DEVELOPMENT ACT AND CITY ORDINANCE F/S O-04-10,
7 THE CITY'S IMPLEMENTING LEGISLATION FOR THAT ACT, TO SUPPORT THE
8 RENOVATION, EXPANSION AND IMPROVEMENT OF ENGINEERING,
9 MANUFACTURING AND TRAINING FACILITIES FOR AN INTEGRATED
10 TECHNOLOGY COMPANY IN ALBUQUERQUE, NEW MEXICO; AUTHORIZING THE
11 EXECUTION OF A PROJECT PARTICIPATION AGREEMENT AND OTHER
12 DOCUMENTS IN CONNECTION WITH THE PROJECT; MAKING CERTAIN
13 DETERMINATIONS AND FINDINGS RELATING TO THE PROJECT INCLUDING THE
14 APPROPRIATION OF FUNDS; RATIFYING CERTAIN ACTIONS TAKEN
15 PREVIOUSLY; AND REPEALING ALL ACTIONS INCONSISTENT WITH THIS
16 ORDINANCE.
17 WHEREAS, the City of Albuquerque (the "City") is a legally and regularly
18 created, established, organized, and existing municipal corporation of the State of New
19 Mexico (the "State"); and
20 WHEREAS, pursuant to Sections 5-10-1 through 5-10-13 NMSA 1978, as
21 amended (the "Act"), the City is authorized to provide economic development
22 assistance to eligible entities for certain projects located within the corporate limits of
23 the municipality; and
24 WHEREAS, pursuant to the Act, the City has adopted Ordinance No. F/S 04-10
25 (the "LEDA Ordinance"), approving an economic development plan for the City and
26 authorizing the City to assist economic development projects in any legally permissible
27 manner, subject to the terms of the LEDA Ordinance; and
1 WHEREAS, pursuant to the LEDA Ordinance, BlueHalo, LLC (the “Company”),
2 has submitted to the Council and the Albuquerque Development Commission (the
3 "Commission") an application (the "Application") requesting certain economic
4 development assistance for the renovation, expansion and improvement of engineering,
5 manufacturing and training facilities for the Company, which will include the addition of
6 64 new employees, within the City (the "Project"); and
7 WHEREAS, the City will administer and disburse to the Company funds totaling
8 up to $2,500,000, of which $2,250,000 is to be received by the City from the State
9 Economic Development Department and $250,000 are to be City funds; and
10 WHEREAS, the Act and the LEDA Ordinance require that the City and the
11 Company enter into a project participation agreement meeting the requirements of the
12 Act and the LEDA Ordinance; and
13 WHEREAS, City staff has worked with the Company to prepare, and has
14 negotiated the terms of, a project participation agreement (the "Agreement") and related
15 documents that will govern the relationship between the City and the Company with
16 respect to the Project; and
17 WHEREAS, the form of the proposed Agreement has been filed with the City
18 Clerk and presented to the Council; and
19 WHEREAS, the proposed Agreement contains the provisions required by the Act
20 and the LEDA Ordinance and, among other things, provides that the Company will grant
21 to the City a security instrument to secure the Company's obligations under the
22 Agreement; and
23 WHEREAS, the City has obtained a cost-benefit analysis with respect to the
24 Project on the basis of information provided to the City by the Company, which cost-
25 benefit analysis shows that the City will recoup the value of its contribution within ten
26 (10) years; and
27 WHEREAS, the Application, together with the cost-benefit analysis,
28 demonstrates the benefits that will accrue to the community as a result of the donation
29 of public resources and demonstrates that the Company, by completing the Project, will
30 be making a substantive contribution to the community, as required by the LEDA
31 Ordinance; and
1 WHEREAS, the Commission has considered the Project and the proposed
2 Agreement and has recommended that the Council approve the Company's proposal;
3 and
4 WHEREAS, the total amount of public money expended and the value of credit
5 pledged in each fiscal year in which money is expended by the City for the Project (and
6 any other approved projects) pursuant to the Act does not and will not exceed ten
7 percent of the general fund expenditures of the City in such fiscal year; and
8 WHEREAS, the City anticipates that the State will transfer to it, for subsequent
9 transfer to or on behalf of the Company pursuant to an intergovernmental agreement
10 between the City and the State, certain funds of the State that are available for the
11 Project; and
12 WHEREAS, after having considered the Application and the Agreement, the
13 Council has concluded that the economic and other benefits of the Project to the City
14 will be substantial, that it is desirable and necessary at this time to authorize the City to
15 enter into the Agreement, and that the City's provision of the assistance contemplated
16 by the Agreement will constitute a valid public purpose under the Act; and
17 WHEREAS, there has been published in The Albuquerque Journal, a newspaper
18 of general circulation in the City, public notice of the Council's intention to adopt this
19 Ordinance, which notice was published at least fourteen (14) days prior to hearing and
20 final action on this Ordinance.
BE IT ORDAINED BY THE COUNCIL, THE GOVERNING BODY OF THE CITY
21 OF ALBUQUERQUE:
22 Section 1. RATIFICATION. All actions not inconsistent with the provisions of
23 this Ordinance previously taken by the Council and the officials of the City directed
24 toward the provision of economic development assistance in connection with the Project
25 be approved and the same hereby are ratified, approved and confirmed.
26 Section 2. GOALS AND OBJECTIVES. The goals and objectives of the
27 Project are, as set forth in the Agreement, to create and support an economic
28 development project that fosters, promotes and enhances local economic development
29 efforts and that provides job growth and career opportunities for Albuquerque-area
30 residents and otherwise makes a substantive contribution to the community.
31 Section 3. THE PROJECT. The Project will consist of the renovation,
32 expansion and improvement of engineering, manufacturing and training facilities for the
1 Company, which will include the addition of 64 new employees within the City and the
2 operation of the facility within the City for a minimum of ten years.
3 Section 4. FINDINGS. The Council hereby declares that it has considered all
4 relevant information presented to it relating to the Project and the Agreement and
5 hereby finds and determines that the provision of economic development assistance for
6 the Project is necessary and advisable and in the interest of the public and will promote
7 the public health, safety, morals, convenience, economy, and welfare of the City and its
8 residents.
9 Section 5. AUTHORIZATION AND APPROVAL OF THE PROJECT AND THE
10 AGREEMENT; APPROPRIATION OF FUNDS. The City hereby approves the Project
11 and the Agreement, which provides, among other things, that the City will administer
12 and disburse to the Company funds totaling up to $2,500,000, of which $2,250,000 is to
13 be received by the City from the State Economic Development Department and
14 $250,000 are to be City funds, in exchange for which the Company will complete the
15 Project as specified in the Agreement. There is hereby appropriated for the Project up
16 to $2,250,000 of funds received from the State Economic Development Department and
17 up to $250,000 of City funds.
18 Section 6. AUTHORIZATION OF OFFICERS; APPROVAL OF DOCUMENTS.
19 (A) The form, terms, and provisions of the Agreement in the form
20 presented to the Council with this Ordinance are in all respects approved, authorized,
21 and confirmed, and the City is authorized to enter into the Agreement in substantially
22 the form thereof, with only such changes as are not inconsistent with this Ordinance or
23 such other changes as may be approved by supplemental resolution of the Council.
24 (B) The Council authorizes the Mayor or the Chief Administrative
25 Officer of the City to execute and deliver the Agreement in the name and on behalf of
26 the City, with only such changes therein as are not inconsistent with this Ordinance or
27 such changes as may be approved by supplemental resolution of the Council.
28 (C) The Mayor, Chief Administrative Officer, Chief Financial Officer,
29 City Treasurer, and City Clerk are further authorized to execute, authenticate and
30 deliver such certifications, instruments, documents, letters and other agreements,
31 including an intergovernmental agreement with the State Economic Development
32 Department and any appropriate security agreements, and to do such other acts and
33 things, either prior to or after the date of delivery of the executed Agreement, as are
1 necessary or appropriate to consummate the transactions contemplated by the
2 Agreement.
3 (D) City officials shall take such action as is necessary in conformity
4 with the Act, the LEDA Ordinance and this Ordinance to effectuate the provisions of the
5 Agreement and carry out the transactions as contemplated by this Ordinance and the
6 Agreement, including, without limitation, the execution and delivery of any documents
7 deemed necessary or appropriate in connection therewith.
8 Section 7. SEVERABILITY. If any section, paragraph, clause or provision of
9 this Ordinance shall for any reason be held to be invalid or unenforceable, the invalidity
10 or unenforceability of that section, paragraph, clause, or provision shall not affect any of
11 the remaining provisions of this Ordinance.
12 Section 8. REPEALER. All bylaws, ordinances, resolutions, and orders, or
13 parts thereof, inconsistent with this Ordinance are repealed by this Ordinance but only
14 to the extent of that inconsistency. This repealer shall not be construed to revive any
15 bylaw, ordinance, resolution, or order, or part thereof, previously repealed.
16 Section 9. RECORDING; AUTHENTICATION; PUBLICATION; EFFECTIVE
17 DATE. This Ordinance, immediately upon its final passage and approval, shall be
18 recorded in the ordinance book of the City, kept for that purpose, and shall be there
19 authenticated by the signature of the Mayor and the presiding officer of the City Council,
20 and by the signature of the City Clerk or any Deputy City Clerk, and notice of adoption
21 thereof shall be published once in a newspaper that maintains an office in, and is of
22 general circulation in, the City, and shall be in full force and effect five (5) days following
23 such publication.
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