2301 RESOLUTION NO. 4)30/
A RESOLUTION OF INTENT OF THE CITY COUNCIL OF THE CITY OF
WEST MEMPHIS, ARKANSAS REGARDING THE ISSUANCE OF •
BONDS FOR THE PURPOSE OF ASSISTING IN THE FINANCING OF
THE ACQUISITION, CONSTRUCTION AND EQUIPPING OF AN
INDUSTRIAL FACILITY TO BE LOCATED WITHIN THE CITY
WHEREAS,the City of West Memphis, Arkansas (the "City") is authorized under the
provisions of Amendment 65 to the Constitution of the State of Arkansas ("Amendment 65")and
the Municipalities and Counties Industrial Development Revenue Bond Law, Arkansas Code
Annotated §§14-164-201 et seq. (the "Act"), to own, acquire, construct, reconstruct, improve,
equip and lease facilities to secure and develop industry and to assist in the financing thereof by
the issuance of bonds payable from the revenues derived from such facilities; and
WHEREAS,as referenced in the Act,"industry"includes"technology-based enterprises"
(as defined in the Act); and
WHEREAS, Spark Innovations, LLC, a Delaware limited liability company and a
"technology-based enterprise" within the meaning of the Act, or an affiliate thereof(collectively,
the"Company"), has evidenced its interest in acquiring, constructing and equipping a data center
facility (the "Project") to be located within the corporate boundaries of the City if permanent
financing for the Project can be provided through the issuance of revenue bonds under the authority
of the Act; and
• WHEREAS, in order to secure and develop industry within the City in accordance with
the provisions of the Act,the City desires to assist the Company in the financing of the Project
through the issuance of the City's.Not to Exceed$3,000,000,000 Taxable Industrial Development
Revenue Bonds, Series 2024;
NOW,THEREFORE,BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF WEST MEMPHIS,ARKANSAS,THAT:
Section 1. It is the City's present intention to assist the Company in the financing of
the proposed Project in one or more phases through the issuance of industrial development revenue
bonds under the authority of Amendment 65 and the Act. It is presently estimated by the Company
that bonds in the aggregate principal amount of approximately $3,000,000,000 would be required
for this purpose. However, the City's intent is to issue the bonds from time to time, pursuant to
the terms of the Act,in such amount as shall be requested by the Company for accomplishing all
or any part of the Project,whether or not such amount is more or less than the above estimate and
whether or not the facilities and improvements finally acquired, constructed and/or equipped are
identical to or different from the facilities and improvements presently expected to constitute the
Project. •
Section 2. In conjunction with any issuance of bonds to assist in the financing of the
Project, the City states its intention to enter into an agreement with the Company providing for
annual payments by the Company in lieu of ad valorem taxes in an amount equal to thirty-five
percent (35%) of the aggregate amount of ad valorem taxes that would otherwise be due with
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respect to the Project facilities but for the City's issuance of the bonds. It is the City's present
intention that said bonds and the corresponding agreement forpayments in lieu of ad valorem taxes
would have a term of approximately thirty(30) years. Any payment made in lieu of ad valorem
taxes would be distributed to the political subdivisions which would have received ad valorem tax
payments with respect to the Project facilities in the proportion that the millage levied by each
affected political subdivision bears to the total millage levied by all affected political subdivisions.
Section 3. All resolutions and parts thereof in conflict herewith are hereby repealed to the
extent of such conflict.
• Section 4. This Resolution shall be in full force and effect from and after its adoption.
ADOPTED this,/ day of )6( ,2024.
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By: rev
ayor
ATTEST:
0By: -
City Clerk
(SEAL)_
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RECEIVED
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