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HomeMy WebLinkAboutOrdinance #2089 - redevelopment agreement between the City of Canton and Ipava State Bank CITY OF CANTON, FULTON, ILLINOIS ORDINANCE NO. ~D 1 CANTON 1- DOWNTOWN/5TH AVENUE TAX INCREMENT FINANCING (TIF) DISTRICT AN ORDINANCE APPROVING AND AUTHORIZING THE EXECUTION OF A REDEVELOPMENT AGREEMENT by and between THE CITY OF CANTON and IPAVA STATE BANK ADOPTED BY THE CORPORATE AUTHORITIES OF THE CITY OF CANTON, FULT N COUNTY, ILLINOIS, ON THE ~ DAY OF , 2012. CI'TY OF CANTON, ILLINOIS: ORDINANCE NO. o~ CANTON 1- DOWNTOWN/5TH AVENUE TAX INCREMENT FINANCING (TIF) DISTRICT AN ORDINANCE APPROVING AND AUTHORIZING THE EXECUTION OF A REDEVELOPMENT AGREEMENT BY AND BETWEEN THE CITY OF CANTON AND IPAVA STATE BANK BE IT ORDAINED BY THE CITY OF CANTON THAT: SECTION ONE: The Redevelopment Agreement with Ipava State Bank (Exhibit A attached) is hereby approved. SECTION TWO: The Mayor is hereby authorized and directed to enter into and execute on behalf of the Ciry said Redevelopment Agreement and the Ciry Clerk of the City of Canton is hereby authorized and directed to attest such execution. SECTION THREE: The Redevelopment Agreement shall be effective the date of its approval on the day of Y , 2012. SECTION FOUR: This Ordinance shall be in full force and effect from and after its passage and approval as required by law. [Balance ofpage i.r intentionally blank.] -2- PASSED, APPROVED AND ADOPTED by the Corporate Authorities of the Ciry of Canton, Fulton Counry, Illinois, on the 3 day of , A.D., 2012, and deposited and filed in the Office of the Ciry Clerk of said Ciry on that date. MAYOR & ALDERMEN AYE VOTE NAY VOTE ABSTAIN / ABSENT Ald. David Pickel Ald. James Hartford Ald. Jeffrey Fxitz x Ald. Craig West X Ald. Gerald Ellis X Ald. Justin Nelson Ald. Eric Schenck Ald. Jeremy Pasley Hon. Kevin Meade, Mayor TOTAL VOTES % APPROVED: ~'y , Date I / ~ / 2012 H n. Kevin eade, Ma or, Ci of Canton ATTEST , Date: ~ / 2012 'ana Pavley, City Clerk ity of Canton ATTACF~M~NTS: EXHIBIT A: REDEVELOPMFN'1' AGR~EMLNT BY ANll BG'1'WEEN THE CITY OP CANTON AND IPAVA STATE BANK -3- EXHIBIT A REDEVELOPMENT AGREEMENT by and between CITY OF CANTON and IPAVA STATE BANK CANTON 1- DOWNTOWN/5TH AVENUE TAX INCREMENT FINANCING (TIF) DISTRICT -4- CANTON 1- DOWNTOWN/5TH AVENUE TAX INCREMENT FINANCING DISTRICT TIF REDEVELOPMENT AGREEMENT by and between THE CITY OF CANTON, FULTON COUNTY, ILLINOIS and IPAVA STATE BANK JUNE 2012 TIF REDEVELOPMENT AGREEMENT by and between CITY OF CANTON and IPAVA STATE BANK '~c l~ THIS AGREEMENT (including Exhibit 1) is entered into this ~ day of~e, 2012, by and between the CI1"I' OF CANTON ("City"), an Illinois Municipal Corporation, Fulton Counry, Illinois; and IPAVA STATE BANK ("Developer"), an Illinois Corporation. PREAMBLE 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 properry 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 ,req., as amended (the "Act"), the City has the authoriry to provide incentives to owners ox pxospective 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 (j); and WHEREAS, the City, recognizing the need to foster the development, expansion and revitalization of certain pxoperties which are vacant, underutilized or obsolete or a combination thereof, adopted Tax Increment Financing and created a Tax Increment Allocation Redevelopment Area under the Act known as the Canton International Harvester Site Project Area TIF District (the "Canton IH TIF District" currendy known as the "Canton 1- Downtown/5th Avenue TIF District") on July 6, 2004 by Ordinance No. 1807; and WHEREAS, pursuant TIF Act, the City approved the First Amendment to the Canton IH TIF District on November 22, 2011 by Ordinance No. 2052; and WHEREAS, included in the Redevelopment Project Area is a property acquired by the Developer in 2011, located at 123 East Pine, Canton, Illinois, real estate tax property identification number 09-08- 27-436-007 (the "Property"); and WHEREAS, based on incentives offered by the City, the Developer intends to redevelop said Property by renovating the existing building and making site improvements for the operarion of a banking facility (the "Project"); and 1 WHEREAS, the Developer anticipates the Project will require a total projected investment of $350,000 and will result in a ininimum of eight (8) full-time or Full-Time Equivalent ("FT'E") jobs in connection with the operation of the facility during the term of this Agreement; and 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 Tax Increment Financing District; and WHEREAS, the Developer's Project is consistent with the land uses of the City as adopted; 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 11-74.4-4(j); and WHEREAS, the Ciry has determined that this Developer's Project requires the incentives requested as set forth in Exhibit 1 and that said Developer's Project will, as part of the Plan, promote the health, safery and welfare of the City and its citizens by attracting private investment to prevent blight and deterioration and to provide employment for its citizens and generally to enhance the economy of the City; and WHEREAS, the City and Developer (the "Parties") have agreed to segregate within the Canton 1- Downtown/5th Avenue Special Tax Increment Redevelopment Fund the following: Twenty-five percent (25%) of the incremental increases in real estate taxes derived from this Developer's Project through the life of the TIF District, tax year 2027 payable 2028, up to a total reimbursement not to exceed $150,000.00 of the Developer's TIF Eligible Project Costs (see Exhibit 1). The Cirywill establish a separate account within the Special Tax Allocarion Fund for the TIF District designated as the "IPAVA State Bank Special Account" ("Special Account"). All monies deposited to this Special Account shall be used exclusively by the City for the purposes set forth in this Agreement; and WHEREAS, the Parties agree that the Ciry shall reimburse the Developer $5,300 for the cost of replacing the Pine Street sidewalk (approx. 95 ft.) adjacent to the new banking facility on the Property located at 123 East Pine, Canton, Illinois (real estate tax property identification number 09-08-27-436-007), per the invoice dated May 25, 2012 and attached hereto as F.xhibit 2; and WHEREAS, the Parties agree that the Ciry shall also remove and replace a total of 102.5 ft. of sidewalk (i.e., the Pine Street sidewalk (approx. 69 ft.) and the First Avenue sidewalk (approx. 33.5 ft.)), for which both sections of sidewalk are adjacent to the former banking facility located on the Developer's properry at 74 E. Pine Street, Canton, Illinois (real estate tax properry identification number 09-OS-27-420-013). 2 WHEREAS, in consideration of the execution of this Agreement, the Developer shall proceed with completing said Project as set forth herein and agrees to create and maintain a minimum of eight (8) full-time or FTE jobs during the term of this Agreement; and WHEREAS, the City is entering into this Agxeement having encouraged and induced the Developer to redevelop the Property. AGREEMENTS NOW, THEREFORE, in consideration of the mutual promises contained herein and other good and valuable consideration, the receipt of which is hereby acknowledged, the Parties agree as follows: A. PRELIMINARY STATEMENTS 1. The Parties agree that the matters set forth in the recitals above are true and correct and form a part of this Agreement. 2. Any terms which are not defined in this Agreement shall have the same meaning as they do in the Act, unless indicated to the contrary. 3. The City is extending incentives for the Developer's Project in anticipation of the expected completion of the Project as set foxth herein. 4. Each of the Parties represents that it has taken all actions necessary to authorize its representatives to execute this Agreement. B. ADOPTION OF TAX INCREMENT FINANCING The Ciry has created the TIF District which includes Developer's Property. The Ciry has previously assisted certain Redevelopment Projects using tax increment financing incentives and now intends to provide such assistance to the Developer's Project. C. INCENTIVES In consideration for the Developer having purchased the Properry and completing the Project substantially as set forth herein, the City agrees to extend to the Developer the following incentives to assist Developer's Project: 1. Twenty-five percent (25%) of the incremental increases in real estate taxes derived from this Developer's Project for the life of the TIF District, through tax year 2027 payable 2028, up to 3 a total reimbursement not to exceed $150,000.00 of the Developer's TIF Eligible Project Costs (see Exhibit The City will establish a separate account within the Special Tax Allocation Fund for the TIF District designated as the "IPAYA StateBat~kSpecialAccount"("Special Account"). All monies deposited to this Special Account shall be used exclusively by the City for the purposes set forth in this Agreement. a. The Developer hereby certifies that the Project will require a minimum of eight (8) full- time or Full-Time Equivalent ("FTE") employees in connection with the operation of the facility during the term of this Agreement. b. Each full-time or FTE employee created in connection with the operation of the facility during the term of this Agreement shall receive wages which are commensurate with the skill and educational level required for the position. For purposes of this Agreement, a full-tune or FTE job is defined as: A full-time equivalent (FTE) is the number of hours that represent what a full time employee works during a twelve (12) month period. Assuming the IPAVA State Bank operates 52 weeks each year and a normal work week is 40 hours, then there is a total of 2,080 hours allocated to one full-time employee per year. One person working 40 hours per week would be one full-time equivalent (FTE). However, if there are two employees that both work 20 hours in a week, that total is also 40 hours per week or 2,080 hours annually, and this also represents one FTE. 2. The Ciry agrees to reimburse the Developer $5,300 for the cost of replacing the Pine Street sidewalk (approx. 95 ft.) adjacent to the new banking facility on the Properry located at 123 East Pine, Canton, Illinois (real estate tax property identification number 09-08-27-436-007), per the invoice dated May 25, 2012 and attached hereto as Exhibit 2. 3. The City also agrees to remove and replace the Pine Street sidewalk (approx. 69 ft.) and the First Avenue sidewalk (approx. 335 ft.), for which both sections of sidewalk axe adjacent to the former banking facility located on the Developer's property at 74 E. Pine Street, Canton, Illinois (real estate tax property identification number 09-08-27-420-013) D. LIMITATION OF INCENTIVES TO DEVELOPER 1. Eligible Project Costs of the Developer shall not exceed in total $150,000.00. 2. The Developer shall be reimbursed by the City for all Eligible Project Costs permitted by the Act (subject to a limitation of $150,000.00) as set forth herein, but only as set forth above and only from the Property included in this Project and currendy owned by the Developer at that location. 4 3. It shall be the sole responsibiliry of the Developer to provide to the City as requested the following: a. Copies of all PAID real estate tax bills, annually, for the Properry included in this Project. b. Verification of TIF eligible project costs as required by Section E below. c. Following completion of the Project and prior to requesting annual reimbursement of TIF Eligible Project Costs during the term of this Agreement, the Developer shall certify to the City the number of full-time or FTE employees continuously employed in the operation of the faciliry from the date the faciliry opened for business or during the previous twelve (12) months, whichever period is shorter. Continuous, full-time or FTE employment shall mean the position has been occupied or open for hire at the faciliry since the faciliry was originally opened and occupied or during the previous twelve (12) months, whichever period is shorter. The form, content and scheduled reporting dates of the employment information that is to be supplied by the Developer shall consist of appropriate payroll records, independent verification by Developer's accountant or tax preparer or a sworn affidavit attesting to the number of full-time or FTE jobs maintained from the date the faciliry was originally constructed and occupied or during the previous twelve (12) months, whichever period is shoxter. E. PAYMENT OF ELIGIBLE PROJECT COSTS 1. A request for payment to the Developer for TIF Eligible Project Costs as set forth by the Act shall be made by a Requisition for Payment of Private Development Redevelopment Costs (the "Requisition") as hereto attached as Exhibit 3 and submitted by Developer to the City's TIF Administrator Jacob & Klein, Ltd. and The Economic Development Group, Ltd. (collectively the "TIF Administrator") or a successive TIF Administrator upon written notification from the Ciry. 2. The Requisition must be accompanied by verified bills or statements of suppliers, contractors, or professionals relating to the Pxoject, together with Mechanic's Lien Waivers, cancelled checks or other acceptable proof of payment by the Developer as required by the City's TIF Administrator. 3. The Developer shall use such sums as reimbursements for eligible expenses only to the extent permitted by law and the Act. 4. The TIF Administrator shall approve or disapprove the Requisition by written receipt to the 5 Developer within thirty (30) business days after receipt of the Requisition. Approval of the Requisition will not be unreasonably withheld. If the Requisition is disapproved by the TIF Administrator (or subsequendy by the Illinois Department of Revenue), the reasons for disallowance will be set forth in writing and the Developer may resubmit the Requisition with such additional information as may be required and the same procedures set foxth herein shall apply to such re-submittals. 5. The Parties acknowledge that the determination of TIF Eligible Project Costs, and, therefore, qualification for reimbursement hereunder are subject to changes or interpretation made by amendments to the Act, administrative rules or judicial interpretation during the term of this Agreement. 6. TIF Eligible Project Costs are broadly defined in the Redevelopment Plan to include all costs defined in the Act as Redevelopment Project Costs. 7. The Developer may submit for prior approval by the City as TIF Eligible Project Costs under the Act estimates of costs before they are incurred subject to later confirmation by actual bills. F. LIMITED OBLIGATION The Ciry's obligation hereunder is to pay Developer for TIF Eligible Project Costs limited to $150,000.00 as set forth above. Said obligation does not now and shall never constitute an indebtedness of the Ciry within the meaning of any State of Illinois Constitutional or Statutory provision, and shall not constitute or give rise to a pecuniary liability of the Ciry or a charge or lien against the Ciry's general credit or ta~ng power. G. LIMITED LIABILITY OF CITY TO OTHERS FOR DEVELOPER'S EXPENSES There shall be no obligation by the City to make any payments to any person other than Developer, nor shall the City be obligated to make direct payments to any other contractor, subcontractor, mechanic or materialman providing services or materials to Developer for the Developer's Project. H. DEFAULT; CURE; REMEDIES In the event of a default under this Redevelopment Agreement by any Party hereto (the "Defaulting Party"), which default is not cured within the cure period provided for below, then the other Party (the "Non-defaulting Party") shall have an action for damages, or in the event damages would not fairly compensate the Non-defaulting Party's for the Defaulting Party's breach of this Redevelopment Agreement, the Non-defaulting Parry shall have such other equiry rights and remedies as are available 6 to them at law or in equiry. Any damages payable by the Ciry hereunder shall be limited to the real estate tax increment payable to the Developer under the terms of this Agreement. In the event a Defaulting Party shall fail to perform a monetary covenant which it is required to perform under this Redevelopment Agreement, it shall not be deemed to be in default under this Redevelopment Agreement unless it shall have failed to perform such monetary covenant within thirry (30) days of its receipt of a notice from a Non-defaulting Party specifying that it has failed to perform such monetary covenant. In the event a Defaulting Parry fails to perform any nonmonetary covenant as and when it is required to under this Redevelopment Agreement, it shall not be deemed to be in default if it shall have cured such default within thirty (30) days of its receipt of a notice from a Non- defaulting Parry specifying the nature of the default, provided, however, with respect to those nonmonetary defaults which are not capable of being cured within such thirty (30) day period, it shall not be deemed to be in default if it commences curing within such thirry (30) days period, and thereafter diligendy and continuously prosecutes the cure of such default until the same has been cured. I. TIME; FORCE MAJEURE For this Agreement, time is of the essence; provided however, the Developer and City shall not be deemed in default with respect to any obligations of this Agreement on its part to be performed if either 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 and wet soil conditions, failure or interruptions of power, restrictive governmental laws and regulations, condemnation, riots, insurrections, war, fuel shortages, accidents, casualties, Acts of God, acts caused direcdy or indirecdy by the Ciry (or Ciry's agents, employees or invitees) when applicable to Developer or third parties, or any other cause beyond the reasonable control of Developer or Ciry. J. ASSIGNMENT The rights and obligations of the Developer under this Agreement shall not be transferable or assignable. K. WAIVER Any Party to this Agreement may elect to waive any remedy it may enjoy hereunder, provided that no such waiver shall be deemed to exist unless the Party waiving such right of remedy does so in writing. No such waiver shall obligate such Party to waive any right of remedy hereunder, or shall be deemed to constitute a waiver of other rights and remedies provided said Parry pursuant to this Agreement. 7 L. SEVERABILITY If any section, subsection, term or provision of this Agreement or the application thereof to any Party or circumstance shall, to any extent, be invalid or unenforceable, the remainder of said section, subsection, term or provision of this Agreement or the application of same to Parties or circumstances other than those to which it is held invalid or unenforceable, shall not be affected thereby. M. NOTICES 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 Parry or an officer, agent or attorney of the Parry, and shall be deemed to have been effective as of the date of actual delivery, if delivered personally, or as of the third (3`d) day from and including the date of posting, if mailed by xegistered or certified mail, return receipt requested, with postage prepaid addressed as follows: CITY DEVELOPER City of Canton Ipava State Bank % City Administrator Attn: Trevor Hiel 2 N. Main St. 123 E. Pine St. Canton, IL 61520 Canton, IL 61520 PH: (309) 647-0065 PH: (309) 224-3143 FAX: (309) 647-2348 With copy to: With capy to: Thomas N. Jacob & Associates, Ltd and Andrewe W. Johnson The Economic Development Group, Ltd. Johnson & Johnson, P.C. 1701 Clearwater Avenue 171 W. Lincoln Avenue Bloomington, IL 61704 Lewistown, IL 61542 PH: (309) 664-7777 PH: (309) 547-7433 FAX: (309) 664-7878 EMAIL: awj~jlaw[a~,axt.net N. SUCCESSORS IN INTEREST Subject to the Provisions of Paragraph J, above, this Agxeement shall be binding upon and inure to the benefit of the Parties hereto and their respective successors. O. NO JOINT VENTURE, AGENCY, OR PARTNERSHIP CREATED Neither anything in this Agreement nor any acts of the Parties to this Agreement shall be construed by the Parties or any third person to create the relationship of a partnership, agency, or joint venture between or among such Parties. 8 P. INDEMNIFICATION OF CITY Developer acknowledges that it is responsible for compliance with the Illinois Prevailing Wage Act, to the extent such is applicable. Applicability is to be determined by Developer and Developer shall indemnify and hold harmless the Ciry, and all City elected or appointed officials, officers, employees, agents, representatives, engineers, consultants and attorneys (collectively, the "Indemnified Parties"), from any and all claims that may be asserted against the Indemnified Parties or one or more of them, in connection with the applicability, determination, and/or payments made under the Illinois Prevailing Wage Act (820ILCS 130/0.01 et..req.), the Iltinois Procurement Code, and/or any similar State or Federal law or regulation. This obligation to indemnify and hold harmless obligates Developer to defend any such claim and/or action, pay any liabilities and/or penalties imposed, and pay all defense costs of City, including but not limited to the reasonable attorney fees of City. Q. TERM OF THE AGREEMENT This Agreement shall terminate upon the Developer ceasing operation at the facility located on the Properry, sale/transfer of ownership of the facility, bankruptcy, reimbursement of all of the Developer's TIF Eligible Project Costs as provided in Section C, or the termination of the TIF District (tax year 2027 payable 2028), whichever occurs first. R. WARRANTY OF SIGNATORIES The signatories of Developer warrant full authority to both execute this Agreement and to bind the entiry to which they are signing on behalf of. ~balance of thi.r page i.r intentionally blankJ 9 IN WITNESS WHEREOF the Ciry of Canton and IPAVA State Bank have caused this Agreement to be executed by their duly authorized officers on the above date at Canton, Illinois. CITY DEVELOPER CITY OF CANTON, an Illinois Municipal IPAVA STATE BANK, an Illinois Corporation Corporation: ~ ~ , BY: BY: ayor, Ci o anton ; ~ c o~ /~v~ ATTEST: ' 1 Tide Clerk, City of Canton (;~.`.,t :~"li1fJ`.i.i.."It)fdll)r~;~V'1't}s:~.i~t~l~i-~L'~:~I.h?,LI ~'tg;r~auc.¢t~.lp~i~a.r:t~e~i.tnk -~.mo;il.._t).v:~..~sit...i:Are~tll,_P~Ai-:1I.1)..F,NtiI;,~;~~i7.ir~}"d 1~ EXHIBIT 1 SUMMARY OF ESTIMATED TIF ELIGIBLE PROJECT COSTS IPAVA State Bank Project Canton 1- Downtown/5th Avenue TIF District in the City of Canton, Fulton County, Illinois Project Description: Developer is proceeding with plans to prepare the site and renovate the e~sting building for a new banking facility to be located at 123 East Pine, Canton, Illinois. PIN#: 09-08-27-436-007 Estimated Eligible Project Costs: Land and buildings (acquisition costs) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $200,000.00 Site Preparation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $25,000.00 Demolition ...............................................................$15,000.00 Professional Fees (planning, engineering, architectural, legal, other) . . . . . . . . . . . . . . . . . . $27,500.00 Rehab/Renovation Costs ....................................................$60,000.00 Misc .....................................................................$22,500.00 Total Estimated TIF Eligible Project Costs' . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $350,000.00 ~ NOTE: Cumulative Total Reimbursements of TIF Eligible Project Costs to Developer shall not exceed $150,000.00. 11 EXHIBIT 2 INVOICE DATED MAY 25, 2012 FOR PINE STREET SIDEWALK 12 K~i?~E~ co~sr~~cr~o~ 86 N PARx pRIVE canrrON, lt sis2o ~ f~1 F~lN: 2frf242784 invoice Name:------ _ ~B/S~tjr~i Canton RroJes~Bese~ip~ieR- .-rerrjovaVreplacemer~tfor_ _ ~ ~ . Address: . : tnvoice Number: ~ 129 E. Pine ~ . . . . . . . . . . . City, State Zip Code: ~Term: . . . . . Date: : 5/2S/12 ~ ~ ~ Material: ~ ' ~ . . . . Remove 95' x A' sidewalk, remove tree trunk ~ ~ . ; . . grind stump below gr~de , ~ ~ ~ 4~ ~ . ' . . _ . . . _ . . . . - . ~ . . . . . . . . . form and pou~ 95' x 6' new sidewaik ~ . 15 ton CA6 tor fill, 1 ~oll reinlorced mesh ~ r . . ~ . . 1 detectabte installed at e~st erid . . ' . .-~---_._......._.___w..__ install 5' of curb and fU! with black di~t : ; ~ . . _ _ _ _ . , . . . . ~ . . . . , . . . . . ~ : . . . . . - . . . . ~ Subtotal Matariai . $0.00 Other: . . . . . . . . . . . : . . . . , . . . . . . . . . . . _ . . . . . . . . ~ . . . . ~.ooi . : : ~a.oa ( . . , : . . ._..___...._~o.oo ~ ~ Subtotai Other ~ $O.OU , ~ . . . . Labor. .......M.. . . . ; . . _ . Hou~s: ~ . . ; . ..$0.00 . . . . . _ . . . ~ . . . ~ . .i. i Total 55,300.00 EXHIBIT 3 PRIVATE PROJECT REQUEST FOR REIMBURSEMENT 13 CITY OF CANTON, ILLINOIS CANTON 1 - DOWNTOWN/5TH AVENUE TAX INCREMENT FINANCING DISTRICT PRIVATE PROJECT REQUEST FOR REIMBURSEMENT BY IPAVA STATE BANK Date Attention: City Administrator, City of Canton Re: TIF Redevelopment Agreement, dated by and between the City of Canton, Illinois, and IPAVA State Bank (the "Developer") The City of Canton is hereby requested to disburse funds from the Special Tax Allocation Fund pursuant to the Redevelopment Agreement described above in the amount(s), to IPAVA State Bank and for the purpose(s) set forth in this Request for Reimbursement. The terms used in this Request for Reimbursement shall have the meanings given to those terms in the Redevelopment Agreement. 1. REQUEST FOR REIMBURSEMENT NO. 2. PAYMENT DUE TO: Ipava State Bank, Developer 3. AMOUNTS REQUESTED TO BE DISBURSED: Description of TIF Eligible Project Cost Amount Total 4. The amount requested to be disbursed pursuant to this Request for Reimbursement will be used to reimburse the Developer for Redevelopment Project Costs for the Project detailed in "Exhibit 1" of the Redevelopment Agreement. 5. The undersigned certifies that: (i) the amounts included in (3) above were made or incurred or financed and were necessary for the Project and were made or incurred in accordance with the construction contracts, plans and specifications heretofore in effect; and (ii) the amounts paid or to be paid, as set forth in this Request for Reimbursement, represent a part of the funds due and payable for TIF Eligible Redevelopment Project Costs; and (iii) the expenditures for which amounts are requested represent proper Redevelopment Project Costs as identified in the "Limitation of Incentives to Developer" described in Section D of the Redevelopment Agreement, have not been included in any previous Request for Reimbursement, have been properly recorded on the Developer's books and are set forth with invoices attached for all sums for which reimbursement is requested, and proof of payment of the invoices; and (iv) the amounts requested are not greater than those necessary to meet obligations due and payable or to reimburse the Developer for its funds actually advanced for Redevelopment Project Costs; and (v) the Developer is not in default under the Redevelopment Agreement and nothing has occurred to the knowledge of the Developer that would prevent the performance of its obligations under the Redevelopment Agreement. 6. Attached to this Request for Reimbursement is Exhibit 1 of the Redevelopment Agreement, together with copies of invoices, proof of payment of the invoices, and Mechanic's Lien Waivers relating to all items for which reimbursement is being requested. BY: ~C~~'`~ (Developer) TITLE: C ,~EU iP APPROVED' ITY CANTON, ILLINOI BY: TITLE: ^ DATE: ~ (~~/Z-