HomeMy WebLinkAboutOrdinance #4409 - Redevlopment Agreement between The City of Canton and Michael Hulvey (35 S. Main St) 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 16TH DAY OF JULY, 2024 ADOPTED ORDINANCE NO. 4409, A TRUE AND
CORRECT COPY OF WHICH IS CONTAINED IN THIS PAMPHLET.
GIVEN UNDER MY HAND AND SEAL THIS 16"DAY OF JULY,2024.
(SEAL)
EA .SMITH-WALTERS
CITY CLERK
CITY OF CANTON, ILLINOIS
I.
u
ORDINANCE NO. 4 4 0 9
AN ORDINANCE APPROVING AND AUTHORIZING THE EXECUTION OF A i
SECOND AMENDMENT TO THE REDEVELOPMENT AGREEMENT
BY AND BETWEEN
THE CITY OF CANTON,FULTON COUNTY,ILLINOIS
AND
MICHAEL HULVEY
(35 S. MAIN STREET)
PASSED BY THE CITY COUNCIL
OF THE CITY OF CANTON,FULTON COUNTY,ILLINOIS,
ON THE 16TH DAY OF JULY, 2024.
PUBLISHED IN PAMPHLET FORM BY AUTHORITY OF THE CITY
COUNCIL OF THE CITY OF CANTON,FULTON COUNTY,ILLINOIS,
THIS 16TH DAY OF JULY,2024.
EFFECTIVE:JULY 16,2024
2
ORDINANCE NO. 4409
CITY OF CANTON,ILLINOIS
AN ORDINANCE APPROVING AND AUTHORIZING
THE EXECUTION OF A SECOND AMENDMENT TO THE
BUSINESS DEVELOPMENT DISTRICT NO.1
REDEVELOPMENT AGREEMENT
by and between
THE CITY OF CANTON
and
MICHAEL HULVEY
(35 S. Main Street)
WHEREAS, the Mayor and City Council of the City of Canton, Fulton County, Illinois (the
"City"), have hereby determined that the Second Amendment to the Business Development District
No. 1 Redevelopment Agreement by and between the City of Canton and Michael Hulvey (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 Council of the City of Canton,
Illinois,in the County of Fulton,as follows:
1. The Second Amendment to the Business Development District No. 1 (the "Business
District") 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 Second Amendment to the Business District Redevelopment Agreement and the City
Clerk of the City of Canton is hereby authorized and directed to attest such execution.
3. The Second Amendment to the Business District Redevelopment Agreement shall be effective
the date of its approval on the 16t'day of July,2024.
4. This Ordinance shall be in full force and effect from and after its passage and approval as
required by law.
3
PASSED APPROVED AND ADOPTED by the Mayor and City Council of the City of
Canton this 16'' day of July,2024.
MAYOR&ALDERMEN AYE VOTE NAY VOTE ABSTAIN/ABSENT
Angie Lingenfelter
Andra Chamberlain
Patrick Ketcham
Ralph Grimm
Greg Gossett
Justin Nelson
John Lovell
Angela Hale
Kent A.McDowell,Mayor
TOTAL VOTES 7
APPROVED: Date / /2024
Mayor, City of Canton
Z1
ATTEST: Date: 1 F /2024
ity Clerk, , ity of Canton
ATTACHMENTS:
1. EXHIBIT A. Second Amendment to the Business Development District No. 1
Redevelopment Agreement by and between the City of Canton and Michael Hulvey.
4
EXHIBIT A
CITY OF CANTON, ILLINOIS
SECOND AMENDMENT TO THE
BUSINESS DEVELOPMENT DISTRICT NO. 1
REDEVELOPMENT AGREEMENT
by and between
CITY OF CANTON, ILLINOIS
and
MICHAEL HULVEY
(35 S. Main Street)
JULY 16, 2024
5
CITY OF CANTON, ILLINOIS
SECOND AMENDMENT TO THE BUSINESS DEVELOPMENT DISTRICT NO. 1
REDEVELOPMENT AGREEMENT
by and between
CITY OF CANTON, ILLINOIS
and
MICHAEL HULVEY
(35 S. Main Street)
THIS SECOND AMENDMENT (including Exhibits, hereinafter referred to as the
"Second Amendment") is entered into this 16`h day of July,2024,by the City of Canton (the"City"),
an Illinois Municipal Corporation, Fulton County, Illinois, and Michael Hulvey, individually (the
"Developer").
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 the Illinois Business District Development and Redevelopment Act
(65 ILCS 5/11-74.3-1 et seg.), as amended (the "Act"), the City established the Canton Business
Development District No. 1 (the "Business District" or `BDD") on March 15, 2022, by approving
Ordinance No. 4281;and
WHEREAS,on September 30,2022,the City approved the First Amendment to the Business
District by approving Ordinance No. 4307 and further ratified the First Amendment on October 5,
2022 by approving Ordinance No. 4315; and
WHEREAS, on July 3, 2023, the Parties entered into a Business Development District No.
1 Redevelopment Agreement (the "Original Agreement") for a redevelopment project located at 35
S. Main Street, Canton, Illinois (PIN 09-08-27-415-010, the "Property"), which Agreement was
amended on March 5, 2024 (the "First Amendment"); and
WHEREAS, based in part on incentives made available by the City, the Developer has
proceeded with plans to purchase the property and repair/replace an exterior window as well as
renovate and rehabilitate the commercial building located on the Property at a total estimated cost of
$10,000 for the operation of a professional law office (the"Project"); and
WHEREAS, pursuant to Illinois Statute 65 ILCS 5/8-1-2.5, the City has the authority to
appropriate and expend funds for economic development purposes;and
WHEREAS,pursuant to the 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, the Developer's proposed Project is consistent with the land uses of the City
and the Business District Plan as adopted; and
6
WHEREAS, the City has determined that this Project requires the incentives requested and
that said Project will promote the health, safety and welfare of the City and its citizens by attracting
private investment to redevelop under-utilized property, to provide employment for its citizens, and
generally to enhance the local economy; and
WHEREAS,the Parties have agreed to amend the Original Agreement and First Amendment
as set forth below.
SECOND AMENDMENT
A. AMENDED "PREAMBLE"
The 6`'Paragraph in the Preamble in the Original Agreement shall be deleted in its entirety and replaced
with the following:
WHEREAS,the Developer owns property located within the Business District at 35 S.Main
Street (PIN 09-08-27-415-010),which is hereinafter referred to as the "Property"; and based in part
on incentives made available by the City, the Developer shall proceed with plans to purchase the
Property and repair/replace an exterior window as well as renovate and rehabilitate the commercial
building at a total estimated cost of $10,000 for the operation of a professional law office (the
"Project"); and
B. AMENDED "A. PRELIMINARY STATEMENTS"
Section A(3)in the Original Agreement shall be deleted in its entirety and replaced with the following:
3. The Developer agrees to complete the Project and verify eligible project costs as required in
Section "E"below on or before September 30,2024, subject to exception of Force Majeure
as described in Section "I"below.
C. AMENDED "E. PAYMENT OF ELIGIBLE PROJECT COSTS"
Section E(1) and E(2)in the Original Agreement shall be deleted in its entirety and replaced with the
following:
1. To receive the incentives set forth in Section `B" above, the Developer must submit
documentation evidencing all Business District Eligible Project Costs incurred by it with
respect to the Project on or before September 30, 2024. Satisfactory evidence of such costs
shall include verified bills or statements of suppliers, contractors, or professionals together
with mechanic's lien waivers (whether partial or full),cancelled checks,statements or invoices
marked paid from each of the parties entitled to payment with respect to work done for the
Project, or other proofs payment for such bills, statements, or invoices for such costs.
2. Absent the City's written consent for an extension provided to the Developer, any costs
submitted after September 30, 2024,will not be eligible for reimbursement.
7
D. AMENDED "I.TIME; FORCE MAJEURE"
Section I in the Original Agreement shall be deleted in its entirety and replaced with the following:
For this Agreement, time is of the essence. The Developer agrees to complete the Project on
or before September 30, 2024, subject to extension due to Force Majeure (defined below). Failure
to do so shall be cause for the City to declare the Developer in default and unilaterally terminate the
Agreement after notice and the opportunity to cure as provided in Section H. However,the Developer
and the City shall not be deemed in default with respect to any obligations of this Agreement on its
part to be performed if the Developer or the City fails to timely perform the same and such failure is
due in whole, or in part, to any strike,lock-out,labor trouble (whether legal or illegal), civil disorder,
inability to procure materials, weather conditions, wet soil conditions, failure or interruptions of
power, restrictive governmental laws and regulations, condemnation, riots, insurrections, war, fuel
shortages, accidents, casualties,Acts of God or any other cause beyond the reasonable control of the
Developer or the City.
E. AMENDED "R. TERM OF THE AGREEMENT"
I.
Section R in the Original Agreement shall be deleted in its entirety and replaced with the following:
Notwithstanding anything in this Agreement to the contrary, this Agreement shall expire on
September 30, 2024, or upon the Developer receiving the incentives provided for in Section `B"
above. The Agreement shall expire sooner upon default by the Developer of this Agreement after
applicable notice and cure periods.
F. AMENDED "EXHIBIT 1"
Exhibit 1 of the Original Agreement shall be deleted in its entirety and replaced with the attached
Amended Exhibit 1.
G. PRIOR AGREEMENT TERMS APPLY
All terms of the Original Agreement and First Amendment shall apply to this Second Amendment
and remain effective unless specifically modified by this Second Amendment to the Redevelopment
Agreement.
8
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 Second Amendment to the
Business Development District Redevelopment 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 MICHAEL HULVEY
Municipal Corporation
BY• 4IM)) BY: ;���� X
ayor Michael Hulvey
Date: 7 Date: 7lz-gl2 q
ATTESTED BY:
ity Clerk
Date: oir
EXHIBIT:
Amended Exhibit 1. Estimated BDD Eligible Project Costs
9
AMENDED EXHIBIT 1
ESTIMATED BDD ELIGIBLE PROJECT COSTS
Michael Hulvey
City of Canton, Fulton County, Illinois / Canton BDD No. 1
Project Description: Developer shall acquire the Property and repair/replace an exterior
window as well as renovate and rehabilitate the commercial building
located on the Property for the operation of a professional law office.
Location: 35 S. Main Street, Canton,Illinois
Parcel Number: 09-08-27-415-010
Estimated BDD Eligible Project Costs:
ProfessionalFees..................................................................................................................................... $2,132
Exterior repairs,renovation&rehabilitation of structures
and window replacement (materials&contracted labor).........................................................................$7,868
Total Estimated BDD Eligible Project Costs l.....................................................
1 The total,cumulative reimbursement of BDD Funds for BDD Eligible Project Costs payable by the City to the Developer
shall not exceed 25% of verified BDD eligible project costs incurred by the Developer not to exceed$2,500.00,as set
forth in this Redevelopment Agreement.
10