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HomeMy WebLinkAboutOrdinance #4381 - Revelopment Agreement between The City of Canton and 309 Developments, Jedediah Rhoades, Max Kumer, and Spoon River Rentals CERTIFICATE THE UNDERSIGNED CERTIFIES THAT SHE IS THE CITY CLERK FOR THE CITY OF CANTON, ILLINOIS, AND THAT THE CITY COUNCIL AT A REGULARLY CONSTITUTED MEETING OF SAID CITY COUNCIL OF THE CITY OF CANTON ON THE 5TH DAY OF DECEMBER, 2023, ADOPTED ORDINANCE NO. 4381, A TRUE AND CORRECT COPY OF WHICH IS CONTAINED IN THIS PAMPHLET. GIVEN UNDER MY HAND AND SEAL THIS 5TH DAY OF DECEMBER,2023. (SEAL) /ANDI SMITH-WALTERS CITY CLERK STATE OF ILLINOIS). SS. COUNTY OF FULTON) CERTIFICATE I, Andi Smith-Walters, certify that I am the duly elected City Clerk of the CITY OF CANTON, FULTON COUNTY, ILLINOIS. I further certify that on DECEMBER 05. 2023. the City Council of such municipality passed and approved Ordinance #4381 entitled: AN ORDINANCE APPROVING AND AUTHORIZING THE EXECUTION OF THE FIRST AMENDMENT TO THE CANTON 2—RT. 9/CHESTNUT STREET TAX INCREMENT FINANCING(TIF) DISTRICT REDEVELOPMENT AGREEMENT BY AND BETWEEN THE CITY OF CANTON,FULTON COUNTY,ILLINOIS AND 309 DEVELOPMENTS, LLC AND JEDEDIAH RHOADES AND MAX KUMER AND SPOON RIVER RENTALS,LLC The ordinance attached is a true and correct copy of the ordinance adopted by Canton City Council. DATED AT CANTON, ILLINOIS, THIS 5T" DAY OF DECEMBER 2023 Seal ndi Smith-Walters, City Clerk City of Canton, Illinois CITY OF CANTON, ILLINOIS ORDINANCE NO. 4 3 81 AN ORDINANCE APPROVING AND AUTHORIZING THE EXECUTION OF THE FIRST AMENDMENT TO THE CANTON 2-RT. 9/CHESTNUT STREET TAX INCREMENT FINANCING(TIF)DISTRICT REDEVELOPMENT AGREEMENT BY AND BETWEEN THE CITY OF CANTON,FULTON COUNTY,ILLINOIS AND 309 DEVELOPMENTS,LLC AND JEDEDIAH RHOADES AND MAX KUMER AND SPOON RIVER RENTALS,LLC PASSED BY THE CITY COUNCIL OF THE CITY OF CANTON,FULTON COUNTY,ILLINOIS, ON THE 5TH DAY OF DECEMBER,2023. PUBLISHED IN PAMPHLET FORM BY AUTHORITY OF THE CITY COUNCIL OF THE CITY OF CANTON,FULTON COUNTY,ILLINOIS, THIS 5'H DAY OF DECEMBER,2024. EFFECTIVE: DECEMBER 5,2023 ORDINANCE NO.4381 CITY OF CANTON,ILLINOIS AN ORDINANCE APPROVING AND AUTHORIZING THE EXECUTION OF THE FIRST AMENDMENT TO THE CANTON 2—RT. 9/CHESTNUT STREET TAX INCREMENT FINANCING(TIF)DISTRICT REDEVELOPMENT AGREEMENT by and between CITY OF CANTON and 309 DEVELOPMENTS,LLC and JEDEDIAH RHOADES and MAX KUMER and SPOON RIVER RENTALS,LLC WHEREAS, the Mayor and City Council of the City of Canton, Fulton County, Illinois, an Illinois Municipal Corporation (the"City"),have hereby determined that the First Amendment to the Canton 2-Rt. 9/Chestnut Street Tax Increment Financing (TIF) District Redevelopment Agreement by and between the City of Canton and 309 Developments, LLC., an Illinois Limited Liability Company, and Jedediah Rhoades and Max Kumer and Spoon River Rentals, LLC, an Illinois Limited Liability Company (collectively the"Developer") attached hereto as Exhibit `A,"is in the best interest of the citizens of the City of Canton. NOW THEREFORE, be it ordained by the Mayor and City Board of the City of Canton, Illinois,in the County of Fulton, as follows: 1. The First Amendment to the Canton 2-Rt. 9/Chestnut Street Tax Increment Financing (TIF) District Redevelopment Agreement (the "Redevelopment Agreement") attached hereto as Exhibit 'A"is hereby approved. 2. The Mayor is hereby authorized and directed to enter into and execute on behalf of the City said First Amendment to the Redevelopment Agreement and the City Clerk of the City of Canton is hereby authorized and directed to attest such execution. 3. The First Amendment to the Redevelopment Agreement shall be effective the date of its approval on the 5`'day of December,2023. 4. This Ordinance shall be in full force and effect from and after its passage and approval as required by law. (The remainder of thi page is intentionally left blank.) 2 PASSED, APPROVED AND ADOPTED by the Corporate Authorities of the City of Canton, Fulton County,Illinois,on the 5`'day of December,2023,and deposited and filed in the Office of the City Clerk of said City on that date. MAYOR&ALDERMEN AYE VOTE NAY VOTE ABSTAIN/ABSENT Angie Lingenfelter X Andra Chamberlin Patrick Ketcham Ralph Grimm X Greg Gossett Justin Nelson John Lovell Angela Hale Kent A.McDowell,Mayor TOTAL VOTES 9 APPROVED: Date: / /2023 Kent A. McDowell,Mayor, City of Canton ATTEST: Date: �/�/2023 Andi Walters-Smith, ity Clerk, City of Canton ATTACHMENT: EXHIBIT A. First Amendment to the City of Canton, Illinois Business Development District No. 1 Redevelopment Agreement by and between the City of Canton and 309 Developments, LLC., and Jedediah Rhoades and Max Kumer and Spoon River Rentals,LLC. 3 EXHIBIT A CITY OF CANTON, ILLINOIS FIRST AMENDMENT TO THE CANTON 2—RT. 9/CHESTNUT STREET TAX INCREMENT FINANCING (TIF) DISTRICT REDEVELOPMENT AGREEMENT by and between CITY OF CANTON and 309 DEVELOPMENTS,LLC and JEDEDUH RHOADES and MAX KUMER and SPOON RIVER RENTALS,LLC 4 CITY OF CANTON, ILLINOIS FIRST AMENDMENT TO THE CANTON 2—RT. 9/CHESTNUT STREET TAX INCREMENT FINANCING (TIF) DISTRICT REDEVELOPMENT AGREEMENT by and between CITY OF CANTON, ILLINOIS and 309 DEVELOPMENTS, LLC and JEDEDIAH RHOADES and MAX KUMER and SPOON RIVER RENTALS, LLC DECEMBER 5, 2023 CITY OF CANTON, ILLINOIS FIRST AMENDMENT TO THE CANTON 2—RT.9/CHESTNUT STREET TAX INCREMENT FINANCING(TIF)DISTRICT REDEVELOPMENT AGREEMENT by and between CITY OF CANTON and 309 DEVELOPMENTS,LLC and JEDEDIAH RHOADES and MAX KUMER and SPOON RIVER RENTALS,LLC THIS FIRST AMENDMENT TO THE CANTON 2—RT.9/CHESTNUT STREET TAX INCREMENT FINANCING (TIF) DISTRICT REDEVELOPMENT AGREEMENT by and between the CITY OF CANTON, Fulton County, Illinois, an Illinois Municipal Corporation(the"City"),and 309 DEVELOPMENTS,LLC.,an Illinois Limited Liability Company,and JEDEDIAH RHOADES,and MAX KUMER and SPOON RIVER RENTALS, LLC, an Illinois Limited Liability Company (collectively the Developer") is entered into this 5`' day of December, 2023. Hereinafter the City and the Developer, for convenience, may collectively be referred to as the"Parties. PREAMBLE WHEREAS, the City has the authority to promote the health,safety,and welfare of the City and its citizens and to encourage development,job creation,and/or the full utilization of real estate; and WHEREAS, pursuant to 65 ILCS 5/8-1-2.5, a municipality may appropriate and expend funds for economic development purposes, including without limitation for commercial enterprises that are deemed necessary or desirable for the promotion of economic development within the community;and WHEREAS, pursuant to the Tax Increment Allocation Redevelopment Act, 65 ILCS 5/11- 74.4.4 et. seq., as amended (the"TIF Act"),the City has the authority to provide incentives to owners or prospective owners of real property to develop, redevelop, and rehabilitate such property by reimbursing the owners for certain costs from resulting increases in real estate tax revenues;and WHEREAS,on February 6,2021,recognizing the need to foster the development,expansion and revitalization of certain properties which are vacant, underutilized, or undeveloped, the City adopted Tax Increment Financing under the TIF Act, approved a Redevelopment Plan, and designated a Redevelopment Area known as the"Canton 2—Rt. 9/Chestnut Street TIF District" and hereinafter referred to as the "TIF District");and WHEREAS, said Property is also located within the City of Canton Business Development District No. 1 Redevelopment Project Area,which was established by the City on March 15,2022,by 2 i Ordinance No. 4281 pursuant to the Business District Development and Redevelopment Act, 65 ILCS 5/11-74.3 et. seq. (the"BDD Act");and WHEREAS, pursuant to the BDD Act, the City has the authority to incur eligible business district project costs and may enter into agreements with developers to reimburse them for their eligible business district project costs;and WHEREAS,on November 21,2023,the City approved Ordinance No. 4379 and the Parties entered into a Redevelopment Agreement (the "Original Redevelopment Agreement"),wherein the City agreed to extend incentives to 309 Developments,LLC,Jedediah Rhoades and Max Kutner for reimbursement of certain TIF and BDD Eligible Project Costs incurred on property located at 305 W.Locust St.,Canton,Illinois, (PIN 09-08-27-318-019 and the"Property");and WHEREAS,the Developer has proceeded to acquire the Property and begin construction of a new 32 ft. x 12 ft.building located thereon for use as a retail drive-thru coffee shop to be known as Dame Fine Coffee (the "Project") and is incurring redevelopment costs for the Project pursuant to said Original Redevelopment Agreement(the"Project");and WHEREAS, Spoon River Rentals,LLC is an Illinois Limited Liability Company which shall also incur redevelopment costs for the Project;and WHEREAS, the Parties agree to Amend the terms of the Original Redevelopment Agreement as set forth below. AMENDMENT NOW, THEREFORE, for good and valuable consideration, the receipt of which is acknowledged,the Parties agree as follows: A. AMENDED DEFINITION OF "DEVELOPER" The term "Developer"in the Original Redevelopment Agreement,and any exhibits thereto, shall mean, collectively,309 Developments, LLC., and Jedediah Rhoades, and Max Kumer, and Spoon River Rentals,LLC. B. AMENDED SECTION `11. INCENTIVES" Section "C"Incentives of the Original Redevelopment Agreement is hereby amended by adding the following Paragraph 3: 2. All of the Developers,309 Developments, LLC and Jedediah Rhoades and Max Kumer and Spoon River Rentals, LLC,hereby direct the City to make all reimbursements for TIF and or BDD Eligible Project Costs (whether incurred by 309 Developments, LLC or Jedediah Rhoades or Max Kumer or Spoon River Rentals, LLC) pursuant to this Agreement with the original Developer,payable to 309 Developments,LLC. 3 C.AMENDED SECTION "M.NOTICES" Section "Q" Notices of the Original Redevelopment Agreement is hereby amended in its entirety as follows: All notices,demands,requests,consents,approvals or other instruments required or permitted by this Agreement shall be in writing and shall be executed by the Party or an officer,agent or attorney of the Party,and shall be deemed to have been effective as of(i) the date of actual delivery,if delivered personally,or(ii) as of the third(3`d) day from and including the date of posting,if mailed by registered or certified mail, return receipt requested, with postage prepaid or (iii) the next business day if sent overnight delivery using a nationally recognized delivery service,addressed as follows: TO CITY TO DEVELOPER City of Canton 309 Developments,LLC % City Clerk %Jedediah Rhoades,Manager 2 N. Main St. 130 N. Main St. Canton,Illinois 61520 Canton,IL 61520 Ph: (309) 647-0020 Ph: (309) 333-0616 W N copy to City BDD Administrator.- Jedediah Rhoades Jacob &Klein,Ltd. and 26089 N. County Hwy 22 The Economic Development Group,Ltd. Canton,IL 61520 1701 Clearwater Avenue Ph: (309) 333-0616 Bloomington,Illinois 61704 Ph: (309) 664-7777 Max Kumer 23271 N. Seneca Ct. Cuba,IL 61427 Spoon River Rentals,LLC `/o Max Kumer,Manager 130 N.Main St. Canton,Illinois 61520 D. PRIOR AGREEMENT TERMS APPLY All terms of the Original Redevelopment Agreement and any Exhibits attached thereto shall apply to this First Amendment and remain effective unless specifically modified by this First Amendment to the Redevelopment Agreement. The undersigned signatories hereby warrant full authority to both execute this First Amendment to the Redevelopment Agreement and to bind the entity in which they are signing on behalf of. This First Amendment to the Redevelopment Agreement may be executed in counterparts, which when taken together shall constitute a single signed original as though all Parties had executed the same page. 4 a THIS AGREEMENT IS INTENDED TO BE A LEGAL DOCUMENT. AN ATTORNEY AT LAW SHOULD BE CONSULTED PRIOR TO THE EXECUTION OF THIS DOCUMENT. IN WITNESS WHEREOF the Parties hereto have caused this Agreement to be executed by their duly authorized officers on the above date at the City of Canton,Illinois. CITY DEVELOPER CITY OF CANTON,ILLINOIS,an Illinois 309 DEVELOPMENTS,LLC, an Illinois Municipal Corporation Limited C o, do BY: i�jg BY: Mayor Je e ah Rhoades,Manager Date: 6�s ?id�i3 Date: JEDEDIAH RHOADES,individually ATTESTED BY: BY: Jed ' h Rhoades 1 Clerk Date: Date: �Z D MAX KUMER,individually BY:4MaKumeer — Date: /` —G 2 SPOON RIVER RENTALS, LLC,an Illinois Limited Liability Company BY: Max umer,Manager Date: 6 ' 23 5