HomeMy WebLinkAboutOrdinance #4519 - TIF&BDD Redeveloplement Agreement with 309 Developments/Jedediah Rhoades/Max Kumer 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 DECEMBER,2025,ADOPTED ORDINANCE NO. 4519 , A TRUE AND
CORRECT COPY OF WHICH IS CONTAINED IN THIS PAMPHLET.
GIVEN UNDER MY HAND AND SEAL THIS 16TH DAY OF DECEMBER,2025.
(SEAL)
/,,v, A 2.v-// � -)
4NDI SMITH-WALTERS
ITY CLERK
CITY OF CANTON,ILLINOIS
ORDINANCE NO. 4519
AN ORDINANCE APPROVING AND AUTHORIZING
THE EXECUTION OF THE SECOND AMENDMENT TO THE
TIF&BDD REDEVELOPMENT AGREEMENT
BY AND BETWEEN
THE CITY OF CANTON,FULTON COUNTY,ILLINOIS
AND
309 DEVELOPMENTS,LLC
AND
JEDEDIAH RHOADES
AND
MAX KUMER
PASSED BY THE CITY COUNCIL
OF THE CITY OF CANTON,FULTON COUNTY,ILLINOIS,
ON THE 16`"' DAY OF DECEMBER, 2025.
PUBLISHED IN PAMPHLET FORM BY AUTHORITY OF THE CITY
COUNCIL OF THE CITY OF CANTON,FULTON COUNTY,ILLINOIS,
THIS 16r" DAY OF DECEMBER, 2025.
EFFECTIVE: DECEMBER 16,2025
ORDINANCE NO. 4519
CITY OF CANTON,ILLINOIS
AN ORDINANCE APPROVING AND AUTHORIZING
THE EXECUTION OF THE SECOND AMENDMENT TO THE
TIF & BDD REDEVELOPMENT AGREEMENT
by and between
CITY OF CANTON
and
309 DEVELOPMENTS,LLC
and
JEDEDIAH RHOADES
and
MAX KUMER
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 Second Amendment
to the TIF & BDD Redevelopment Agreement by and between the City of Canton and 309
Developments, LLC, an Illinois Limited Liability Company, and Jedediah Rhoades and Max
Kumer (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 Second Amendment to the Canton TIF&BDD Redevelopment Agreement(the"Second
Amendment") 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 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 Redevelopment Agreement shall be effective the date of its
approval on the 16`'day of December, 2025.
4. This Ordinance shall be in full force and effect from and after its passage and approval as
required by law.
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PASSED, APPROVED AND ADOPTED by the Corporate Authorities of the City of Canton,
Fulton County, Illinois, on the 16`h day of December, 2025, 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
X
Andra Chamberlin
X
Angela Hale
X
Dave Pickel
X
Greg Gossett
X
John Lovell
X
Justin Nelson
X
Patrick Ketcham
X
Ralph Grimm
x
Kent A.McDowell,Mayor
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TOTAL VOTES
APPROVED: , Date: /&/2025
Kent A. McDowell,Mayor
ATTEST: cm);lAl- , Date: Z /—/�/2025
ndi Smith-Walters,City Clerk
ATTACHMENT:
EXHIBIT A. Second Amendment to the Canton TIF&BDD Redevelopment Agreement by and
between the City of Canton and 309 Developments,LLC,and Jedediah Rhoades and Max Kumer.
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EXHIBIT A
CITY OF CANTON, ILLINOIS
SECOND AMENDMENT TO THE
CANTON TIF & BDD
REDEVELOPMENT AGREEMENT
by and between
CITY OF CANTON, ILLINOIS
and
309 DEVELOPMENTS, LLC
and
JEDEDIAH RHOADES
and
MAX KUMER
DECEMBER 16, 2025
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CITY OF CANTON, ILLINOIS
SECOND AMENDMENT TO THE
CANTON TIF& BDD
REDEVELOPMENT AGREEMENT
by and between
CITY OF CANTON
and
309 DEVELOPMENTS,LLC
and
JEDEDIAH RHOADES
and
MAX KUMER
THIS SECOND AMENDMENT TO THE CANTON TIF & BDD
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(collectively
the Developer") is entered into this 16' day of December, 2025. 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 July 6,2004,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 1 — Downtown/5t6 Avenue TIF District" and
hereinafter referred to as the"TIF District");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
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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
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 December 3, 2024, the City approved Ordinance No. 4437 and the Parties
entered into a Redevelopment Agreement (the "Original 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 109 & 120 N Main
Street and 90 E Locust Street, Canton, Illinois, (PIN 09-08-27-410-003, 09-08-27-410-004 & 09-08-
27-410-026, the"Property");and
WHEREAS, the Developer has proceeded to acquire the Property and renovate and
rehabilitate the buildings and parking lots at a total estimated cost of $2,282,500 and make the
properties available to lease to commercial tenants (the "Project");and
WHEREAS, the Parties executed a First Amendment to the Original Redevelopment
Agreement on May 20,2025 (the "First Amendment';and
WHEREAS,the Parties agree to Amend the terms of the Original Redevelopment Agreement
and the First Amendment as set forth below.
SECOND AMENDMENT
NOW, THEREFORE, for good and valuable consideration, the receipt of which is
acknowledged, the Parties agree to amend the terms of the Original Agreement as follows:
A. AMENDED "C. INCENTIVES"
Section C(1)(e)(i)of the Original Agreement shall be amended by replacing it,in its entirety,with the
following.
i. The Developer does not sell or otherwise convey any portion of the Property, other
than by commercial lease, for the term of the Loan. Notwithstanding anything
contained herein to the contrary, the Developer may sell that portion of the property
comprising of the former JC Penney building and part of the parking lot to Graham
Hospital Foundation.
a. In the event the Developer sells the JC Penney building and part of the parking lot
to Graham Hospital Foundation, the Developer may delegate its obligations
related to the Loan and the Mortgage to Graham Hospital Foundation provided
that Graham Hospital Foundation agrees to the following:
i. A portion of the former JC Penney building shall be developed as an event
center space and open for business to the public;and
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ii. Graham Hospital Foundation agrees to use its best efforts to develop a
part of the former JC Penney building or other portion of the Property it
acquires from the Developer as commercial retail space to be leased to a
commercial retail tenant, and agrees to use its best efforts to attract a
commercial tenant thereto.
b. In the event the Developer delegates the obligations of the Loan set forth herein
to Graham Hospital Foundation, the City agrees to release the Mortgage granted
by the Developer against the Property only upon Graham Hospital Foundation
granting the City a mortgage against the portion of the Property it acquires from
the Developer as security for the Loan.
B. AMENDED "J. ASSIGNMENT"
Section J of the Original Redevelopment Agreement is hereby amended by adding the
following paragraph thereto:
Notwithstanding anything contained herein to the contrary, the Developer may delegate any
of its obligations pertaining to the Loan and Mortgage set forth in Section C to Graham Hospital
Foundation upon written authorization of the Mayor. The Mayor's written authorization shall not be
unreasonably withheld, provided that pursuant to such assignment and/or delegation agreement,
Graham Hospital Foundation agrees to all of the provisions set forth in this Agreement and the
provisions set forth in C(1)(e)(i) in particular. Furthermore, any such assignment and/or delegation
shall not be effective unless and until Graham Hospital Foundation has granted a mortgage to the City
against the portion of the Property it acquires from the Developer pursuant to the terms set forth in
Section C above.
C. PRIOR AGREEMENT TERMS APPLY
All terms of the Original Redevelopment Agreement and First Amendment and any Exhibits
thereof shall apply to this Second Amendment and remain effective unless specifically modified by
this Second Amendment to the Redevelopment Agreement.
The undersigned signatories hereby warrant full authority to both execute this Second
Amendment to the Redevelopment Agreement and to bind the entity in which they are signing on
behalf of.
This Second 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.
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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
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 309 DEVELOPMENTS,LLC,an Illinois
Municipal Corporation Limit0'ahRhoades,Manager
d Ctin
BY: C
Mayo BY:
J
Date: `'ola�'�
Date:
ATTESTED BY: JEDEDIAH RHOADES,individually
C
OL
BY:
its-Clerk J " ed ah Rhoades
Date: � o Date: �2114 LS
MAX KUMER,individually
Max Kumer 11
Date: 1 L)l 9!ZS
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