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HomeMy WebLinkAboutOrdinance #4425 - TIF Redevelopment Agreement by and between the City of Canton and Ipava State Bank 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 17TH DAY OF SEPTEMBER, 2024 ADOPTED ORDINANCE NO. 4425, A TRUE AND CORRECT COPY OF WHICH IS CONTAINED IN THIS PAMPHLET. GIVEN UNDER MY HAND AND SEAL THIS 17TH DAY OF SEPTEMBER,2024. - - F (SEAL) /Z"2 wm'.4 ,Cl #ND �1- REA SMITH-WALTERS ITY CLERK CITY OF CANTON,ILLINOIS ORDINANCE NO. 4425 AN ORDINANCE APPROVING AND AUTHORIZING THE EXECUTION OF A FIRST AMENDMENT TO THE TIF REDEVELOPMENT AGREEMENT BY AND BETWEEN THE CITY OF CANTON,FULTON COUNTY,ILLINOIS AND IPAVA STATE BANK PASSED BY THE CITY COUNCIL OF THE CITY OF CANTON,FULTON COUNTY,ILLINOIS, ON THE 17TH DAY OF SEPTEMBER,2024. PUBLISHED IN PAMPHLET FORM BY AUTHORITY OF THE CITY COUNCIL OF THE CITY OF CANTON,FULTON COUNTY,ILLINOIS, THIS 17TH DAY OF SEPTEMBER,2024. EFFECTIVE: SEPTEMBER 17, 2024 CITY OF CANTON,ILLINOIS: ORDINANCE NO. 4425 CANTON 1—DOWNTOWN/5TH AVENUE TAX INCREMENT FINANCING(TIF) DISTRICT AN ORDINANCE APPROVING AND AUTHORIZING THE EXECUTION OF A FIRST AMENDMENT TO THE TIF REDEVELOPMENT AGREEMENT by and between THE CITY OF CANTON and IPAVA STATE BANK BE IT ORDAINED BY THE CITY OF CANTON,FULTON COUNTY,ILLINOIS THAT: 1. The First Amendment to the TIF Redevelopment Agreement with Ipava State Bank (Exhibit A) attached hereto 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 TIF 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 TIF Redevelopment Agreement shall be effective the date of its approval on the 17`' day of September,2024. 4. This Ordinance shall be in full force and effect from and after its passage and approval as required by law. [the remainder of thispage is intentionally blank] PASSED, APPROVED AND ADOPTED by the Corporate Authorities of the City of Canton, Fulton County,Illinois,on the 17'day of September,2024 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 Andra Chamberlain Patrick Ketchum Ralph Grimm Greg Gossett Justin Nelson John Lovell Angela Hale Kent A.McDowell,Mayor TOTAL VOTES 8 APPROVED: Date: / /2024 Kent A.McDowell, ATTEST: 4;�V, , Date:_9 / !7/2024 KnZreandrea Smith-Walters, City Clerk ATTACHMENTS: EXHIBIT A. FIRST AMENDMENT TO TIF REDEVELOPMENT AGREEMENT BY AND BETWEEN THE CITY OF CANTON AND IPAVA STATE BANK i i CITY OF CANTON CANTON 1 - DOWNTOWN/5TH AVENUE TAX INCREMENT FINANCING DISTRICT FIRST AMENDMENT TO THE TIF REDEVELOPMENT AGREEMENT by and between THE CITY OF CANTON, FULTON COUNTY, ILLINOIS and IPAVA STATE BANK SEPTEMBER 17, 2024 CITY OF CANTON CANTON 1-DOWNTOWN/5TH AVENUE TAX INCREMENT FINANCING (TIF) DISTRICT FIRST AMENDMENT TO THE TIF REDEVELOPMENT AGREEMENT by and between CITY OF CANTON and IPAVA STATE BANK THIS FIRST AMENDMENT TO THE TIF REDEVELOPMENT AGREEMENT is entered into this 17th day of September,2024,by and between the CITY OF CANTON (the"City"), an Illinois Municipal Corporation, Fulton County, Illinois; and IPAVA STATE BANK (the "Developer"). PREAMBLE i WHEREAS, the City has the authority to promote the health, safety,and welfare of the City and its citizens, and to prevent the spread of blight and deterioration and inadequate public facilities, by promoting the development of private investment property thereby increasing the tax base of the City and providing employment for its citizens;and WHEREAS,pursuant to the Tax Increment Allocation Redevelopment Act, 65 ILCS 5/11-74.4 et seq.,as amended(the"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 owner for certain costs from resulting increases in real estate tax revenues and enter into contracts with developers necessary or incidental to the implementation of its redevelopment plan pursuant to 65 ILCS 5/11-74.4-4(b) and 0);and WHEREAS, pursuant to 65 ILCS 5/8-1-2.5 the City is authorized to appropriate and expend funds for economic development purposes,including,without limitation,the making of grants to any other governmental entity or commercial enterprise that are deemed necessary or desirable for the promotion of economic development within the municipality;and WHEREAS, on July 6, 2004, recognizing the need to foster the development, expansion and revitalization of certain properties which are vacant,underutilized or obsolete or a combination thereof, the City approved a Redevelopment Plan and Projects,designated a Redevelopment Project Area and adopted Tax Increment Financing under the Act for the Canton International Harvestor Site Project Area,(currently-known as the Canton-1 Downtown/5th Avenue TIF District) (the"TIF District"); and WHEREAS,on July 3,2012,the Parties entered into a Redevelopment Agreement(the"Original Agreement"),wherein the City agreed to extend incentives to provide reimbursement of certain TIF eligible project costs for property located at 123 E Pine St,Canton,Illinois(PIN 09-08-27-436-007)the "Property");and WHEREAS,the Developer proceeded with plans to renovate the existing building located thereon and make site improvements for the operation of a baking facility on the Property(the"Project"),based upon incentives made available by the City; and 1 WHEREAS,it is the intent of the City to encourage economic development which will increase the real estate and municipal tax bases of the City and the tax bases of other taxing bodies, which increased incremental taxes will be used,in part,to finance incentives to assist redevelopment projects undertaken within the TIF District;and WHEREAS, the City has the authority under the Act to incur Redevelopment Project Costs ("Eligible Project Costs")and to reimburse Developer for such costs pursuant to 65 ILCS 11-74.4-40); and WHEREAS,the Parties agree to Amend the terms of the Original Agreement as set forth below. i FIRST AMENDMENT A.AMENDED DEFINITION OF THE "PROPERTY" The definition of the `Propery'; as defined in the Original Agreement, shall be amended to include property owned by the Developer at 74 E. Pine Street, Canton, Illinois, real estate tax identification number 09-08-27-420-013. i B.AMENDED DEFINITION OF THE "PROJECT" I The definition of the `Pr ject'; as defined in the Original Agreement, shall be amended to include the Developer renovating and rehabilitating the parking lots and sidewalks for the Property located at 74 E.Pine Street and 123 E.Pine Street,as well as repair a portion of South 1't Avenue that is adjacent to the bank's drive-up facility at 74 E.Pine St. C.AMENDED "C. INCENTIVES" Section C of the Original Agreement shall be amended to include the following paragraph 4: 4. Upon completion of the Project and verification of the eligible project costs related to the parking lots and sidewalks on the Property pursuant to Section E below, the City agrees to reimburse the Developer as follows from the Canton TIF District 1 Special Tax Allocation Fund: a. The City shall reimburse the Developer$5,000.00 on or before December 31,2024;and b. The City shall reimburse the Developer$5,000.00 per year on or before December 31't of the following 4 consecutive years, through and including December 31,2028. C. The total amount paid to the Developer under this section shall not exceed$25,000.00. D. PRIOR AGREEMENT TERMS APPLY All terms of the Original Agreement shall apply to this FirstAmendment and remain effective unless specifically modified by this First Amendment to the Redevelopment Agreement. 2 IN WITNESS WHEREOF the Parties hereto have caused this First Amendment to the Redevelopment Agreement to be executed by their duly authorized officers on the above date at Canton, Illinois. CITY DEVELOPER CITY OF CANTON, IPAVA STATE BANK, an Illinois an Illinois Municipal Corporation: Corporation: i BY: Mayor Title: ATTEST: Ci Clerk f I' i 3