HomeMy WebLinkAboutOrdinance #3001 - redevelopment agreement between the City of Canton and Canton Harvester Inn CITY OF CANTON,
FULTON, ILLINOIS
ORDINANCE NO. 7
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
CANTON HARVESTER INN, LLC
ADOPTED BY THE CORPORATE AUTHORITIES
OF THE CITY OF CANTON, FULTON COUNTY, ILLINOIS,
ON THE ~ DAY OF OCTOBER, 2012.
CITY OF CANTON, ILLINOIS: ORDINANCE NO. C7
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
CANTON HARVESTER INN, LLC
BE IT ORDAINED BY THE CITY OF CANTON THAT:
SECTION ONE: The Redevelopment Agreement with Canton Harvester Inn, LLC (F.xl~ibit
attached) is hereby approved.
SECTION TWO: The Ma~or is hereby authorized and directed to enter into and execute on behalf
of the City said Redevelopment r~greement and the City Clerk of the Ciry of Canton is hereby
authorized and direcred to attest such eYecution.
SECTION THREE: The Redevelopment 1~grecment shall bc eftecti~-e the datc of its approval on
the day of October, 2Q12.
SECTION FOUR: 'I'his Ordinance shall be in full force and effect from and atter its passage and
approval as required by law.
[Balance ofpa~e zr irztejrtionully bla~a,~.~
PASSED, APPROVED AND ADOPTED b~~ the Corporate 1~uthorities of the Cit~~ of Canton,
Fulton County, Illinois, on the daj~ of October, ~l.D., 2012, and deposited and filed in the Office
of the CitS~ Clerk of said City on that date.
MAYOR & ALDERMEN AYE VOTE NAY VOTE ABSTAIN / ABSENT
~ld. Da~rid Pickel ~
~ld. James Hartford x
Ald. Jeffre}~ Fritz X
~ld. CYaig West
~11d. Gerald H llis
r11d. Justin Nelson
~ld. Fric Schenck
~ld. Jeremp Pasle~~
t~Ion. Kevin i~leade, i~Ia~-or
TOTAL VOTES
~
APPROVED: , Date ~ / 2U12
tTon. ILev~ ~Ieade, Ma~~or, C~t~~ of Canton
ATTEST: ~ , Date: ~ / 2012
D`~ ti Pavley, Cin~ Clerk, ,it~~ of Canton
V'1°1'ACI I~I1~;NCti: EXHIBIT A: ltl~:l)I~;~'I?].O1'~lll?N'l' :AGltl(I?~II?N"1' I~I~`l'~~I?1?N'1'I~11~: CI"CY OI~ C,AN'1'UN :ANll C;AN'1'ON
I LUZ~'(?517?R INN, I.].C
-3-
EXHIBIT A
REDEVELOPMENT AGREEMENT
by and beriveen
CITY OF CANTON
and
CANTON HARVESTER INN, LLC
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
CANTON HARVESTER INN, LLC
OCTOBER 2012
TIF REDEVELOPMENT AGREEMENT
by and between
CITY OF CANTON
and
CANTON HARVESTER, LLC
CANTON 1- DOWNTOWN/5T'' AVENUE TIF DISTRICT
THIS AGREEMENT (including ExbiGrt.c) is entered into this da}~ of October, 2012, by and
between the CITY OF CANTON (the "City"), an Illinois Municipal Corporation, 1~'ulton County,
Illinois; and CANTON HARVESTER INN, LLC, an Indiana Limitcd I_iabiliry Company, authorized
to transact business in the State of Illinois (the "lleveloper").
PREAMBLE
WHEREAS, the City has the authorit~~ to promote the health, safety, and welfare of the City and
its citizens, and to prevent the spYead of blight and deterioration and inadequate public facilities,
including sanitary sewer, by promoting the development of private investmei~t in the marketability of
propert~~ thereby increasing the tat base of the CitS~ and providing employment for its citizens; and
WHEREAS, pursuant to the Ta.r- Increment .~llocation Rede~-clopment .Act, 65 II_CS 5/11-7~.4
e~ seq., as amended (the "1~ct"), the Cin~ has thc authorin~ to provide incenti~~es to o~vneis or prospective
owners of real propern~ to ac9uire, rede~-elop, and rehabilitate and/or u~~grade such propert~~ by
reimbursing such o~uner(s) for certain costs incurred in connection ~vith the acquisition, rcdevelopment,
r'ehab and/or upgrades from increases in real estate ta.r- re~-enues (`°l,a~ I ncrement") resulting therefroin
or from other City re~renues to the estent specified and agreed herein; and
WHEREAS, recognizing the need to foster the dc~relopment, expansion and revitalization of
certain properties which are vacant, underutilized or obsolete or a combination thereof, adopted 'Tax
Increment Financing and cYeated a Tax Ineremcnt ~~llocation Rede~relopment l~rea under the l~ct
known as the Canton International Harvester Site Project ~~rea "1TF District (the "Canton IH "I'IF
llistrict" currentl3~ known as the "Canton 1- Downtown/5th Avenue TIF Distriet") on 1uly 6, 2004
by Ordinance No. 1807; and
WHEREAS, pursuant TIF r1ct, the Cit~~ approved the Tirst l~mendment to the Canton IH TIF
District on November 22, 2011 by Ordinance No. 2052; and
WHEREAS, on such property in the Redevelopment Project ~~rea consists of propert5~ owned by
the Developer, which property is located at Main and Locusts Street, Canton, Illinois(the "Properry")
and legally described on E~hibit "A" attached hereto; and
WHEREAS, the Developer acquired and intends to complete iinprovements to the Property to
provide for the operation of a hotel on and from the Property (the "Use") and complete certain
1
improvements to the Propert~~ (the "Developer's Redevelopment Project"); and
WHEREAS, it is the intent of the Ciry to encourage economic development ~vhich will increase
the real estate base of the Cit~~, which increased ta~ base will be used, in part, to finance incentives to
assist development within tl~e Kede~-clopment Project r~rea; and
WHEREAS, the Developer's Rede~relopment Project is consistent with the Canton 2-
Downtown/5`~' ~~eenue TIF Rede~>elopment Plan for the Redevelopmcnt Project ~~rea (the
"Redevelopment Plan") and further conforms to the current land uses of the City as of the date of this
l~greement; and
WHEREAS, pursuant to Section 5/11-74.~-4(b) of the r1ct, the City ma~~ make and enter into all
contracts with property owners, developers, tenants, overlapping ta~ng bodies, and others necessary
or incidental to the implementation and furtherance of the Redevelopment Project ~1rea; and
WHEREAS, pursuant to Section 5/11-7=~.4-4(j) of the Act, the Citv may incur redevelopment
project costs and reimburse de~-elopers who incur redevelopmcnt project costs authorized b~~ a
redevelopinent agrcement and further detlned in Section 5/11-74.-~-3(c~ of the l~ct, including those
Esdmated TIF ~:ligible Project Costs as herein listed in the attached E~hibit `B" of this Rede~-elopment
.~greement; and
WHEREAS, the Developer as a condition to acquiring and performirig those certain impro~rcments
to the Propern~ that are conteinplated in connection with the Developer's Redevelopment Project,
required that incentiees for the Developer's Rede~relopment Project be provided to the Cit~~; and
WHEREAS, thc Cin~ deterinined that the llevcloper's Redevelopment Project required the
incenrives set forth herein and the Developer's Redevelopment Project will, as part of the ~
Redevelopment Project rlrea, promote thc health, safet~~ and welfaYe of the Ciry and its citizcns by
attracting private investinent to pre~rent blight and deterioration and to provide emplo~~ment for its
citizens and generall~~ to enhance the econoin~~ of the City~; and
WHEREAS, the Parties have agreed that the City will reimburse a sum not to exceed Two
Hundred Fifty Thousand and 00/100 Dollars ($250,000.00) subject to the terms statcd herein from
that certain fund created by the Cit~~ pursuant to the tlct (hereinaftez the "Special Tax Allocation Fund")
of the Developer's Estimated TIF Eligible Project Costs as identified on EYhibit "B" attached hereto;
and
WHEREAS, in consideration of the execution of this Agreement, the Developer ~vill, subject to
the terms of this ~3greement, complete the Pioject for the Use; and
~
WHEREAS, on March 1, 2011, the Cit~~ approved Ordinance 2027 rlpproving and ~uthorizing
the Execution of a TIF Pre-development Agreement between the Parties for the proposed Canton
Route 9~Chestnut Street TIF District; and
WHEREAS, the Developer's Propert~~ was not included in the tinal Canton 2- Route 9
Redevelopinent Project ~~rea and remained in the Canton 1- Do~vntown/~`~' .~venue Redevelopment
Project ~rea; and
WHEREAS, this ~~greement supercedes and replaces in its entiren~ the TIF Pre-development
~~greement approved b~~ the Ciry by Ordinance 2027 on I~larch 1, 2011; and
WHEREAS, this r~greement has been submitted to the I~1a5~or and Ciry Council of the City
(collectively, the "Corporate Authorities") for consideration and review, the Corpoxate rluthorities have
taken all actions Yequired to be taken prior to the e~ecution of this ~greement in order to make the same
binding upon the City according to the tertns hereof, and any and all actions of the CoYporate
l~uthorities of the Ciry precedent to the etecution of this rlgreement h~ve been undertaken and
performed in the manner required by la~v.
NOW, THEREFORE, the Parties, for ~ood anci ~~aluable considcration, the receipt of ~vhich is
ackno~vledged and agreed as follo~vs: in consideration oE the mutual promises contained hercin and
other good and valuable consideiation, the receipt of ~~hich is hereb~- ackno~vled~cd, the Parries agree
as follows: ~
A. STATEMENTS AND INCENTIVES
1. The City represents that the matters set forth iu the recitals above arc true and correct and are
incorporated into this r~greement.
2. The Parties acknowledge and agree that the Properry is located at Main and Locust Street,
Canton, Illinois, and has been assigned PIN No(s).09-08-27-409-001; 09-08-27-409-002; 09-09-
27-409-003; 09-09-27-409-004; 09-09-27-409-005.
3. r~ny terms which are not defined in this 1~greement shall have the same meaning as they do in
the Act, unless indicated to the contrary.
4. Provided that the terms of this ~~greement are materially complied with, the City agrees to
Yeimburse Developer for Developer's Estimated "TIF Eligible Project Costs as more specifically
set forth in this r~greement based upon the Developer's representations herein and completion
of the Developer's Redevelopment PYOject as set forth in this ~gYeement.
3
B. ADOPTION OF TAX INCREMENT FINANCING
'1 he Cit~~ has created a Tax Increment Financing District currently known as "Canton 1-
Do~vnto~~n/5`~' ~~venue 'I'IF District" ~vhich includes the Developer's Propcrt~~, and certain
Redevelopment Project Costs in the Redevelopment Plan, including those set forth in Fshibit `B", for
the Developer's Redevelopment Project 'I'he Cih~ agrecs that it will not revoke or amend the
Rede~relopment Project ,~rea or anv ot the ordinanccs adopted b~~ the Cin~ relating to the
Redevelopment Project l~rea, the Developer's Kede~relopment Project or this l~greement if such
revocation or amendment would pre~rent or materiall~~ itnpair the development of the lle~~eloper's
Redevelopment Project bj- the Developer or interfere with the reimbursement by the Cit~~ of the
Developer's Estimated TIF Eligible Project Costs in accordance with this ~greement.
C. INCENTIVES
In consideration for the Developer ha~~ing purchased the Properry and in anticipation of compleuon
of the Developer's Rede~~elopment Project, the Cin~ agrees to e~tend to the Developer the follo~ving
incenti~res to assist the De~-eloper's completion of the Developer's Redevelopment Projecr.
1. Fifty percent (50°/~) ot the net incremental ii~creases in real estate tahes generated over the 13ase
1'ear (as detlned below) amount b~- thc l~e~~eloper's Redevelopmcnt Project durin~ the
remaining life of the Redceelopmeizt Pr~~jcct.~rea, includin~ any legislnti~-c eteensions, c~r upon
the De~reloper obtaining the maYimum reitnbursement amount oti $250,000.00 as set torth in
Exhibit `B". "l~he Developer's share of the real estate tat increment shall be allocated to, and
when collected shall be paid to, the Cit~~ "1'reasurer for deposit in a separate account within the
Special Ta~ ~Allocaaon F~und for the Canton 1- Do~untown/~`~' l~venue TIF Distiict designated
as the "Developer's Special rlccount" (the "Special ~lecount"). ~11 monics deposited in the
Special :~ccount shall bc used e~clusivel~~ b}~ the City~ for the purposes set forth in this
~greement.
2. "Net Incrcment" is defined as increases in annual real estate taY increment derived from the
Developer's Redevelopment Project as described in Section C.L above after payment for a
proportionate amount of administrative fees and costs and payments pursuant to
Intergovernmental t~greements, if any.
3. Notwithstanding anything contained herein to the contrary, any payment to the Developer
heYeunder is contingent upon no challenge to the establishment or administration of the 'I'IF
District.
~
D. LIMITATION OF INCENTIVES TO DEVELOPER
1. The Developer shall not be entitled to an~~ other reimburseinent bv the Cin~ for other Fligible
Project Costs beyond the ma~cimum rciinbursement of $250,000.00 set torth herein.
2. '1'he Cit~~ is not obligated to use an~~ of its proportionate share (i.e., the balance of increment
available after the reimbursement of the Devcloper as required b}~ the terms stated herein) of
the monies for an~~ of the De~~eloper's Eligible Project Costs but, rather, the City shall use its
sum for any purpose under the rlct as it may in its sole discretion detcrmine.
E. PAYMENT OF ELIGIBLE PROJECT COSTS
1. Payment to the Developer for Eligible Project Costs as set forth b5~ the l~ct shall be made by
a Requisition for Payment of Yrivate llevclopment Redevelopment Costs ("Requisition")
submitted from time to time by the lleveloper to the CitS~'s TIF rldministrator, Jacob & Klein,
Ltd., with a copy to The Economic De~~elopment Group, Ltd. (collectively the
".~dministrator"), atld subject to the,~dministrator's ~ppro~~21 of the costs. 'Tl~e De~~eloper may
submit verification of costs and rec~uest reitnbursement at one time, or as ]~?ligible Projcct Costs,
as listed in Ftihibit `B", are incurred.
.~~11 Rec~uisitions must be accompanicd b~• ~~eritied bills ~>r statements of suppliers, contractors,
or professionals together ~vith mechanic's lien w~i~~ers (~vhether parrial or fiill) from each of the
parties entitled to a pa~~ment that is the subject of thc Requisition as reyuired bv the Ciry.
3. The Developer shall use such sums as rcimburseincnt for cligible eYpenses onle to the ettent
permitted by the law and t~~e rlct and ma~~ allocate such funds for an~~ purpose during the term
of this rlgreement of the terms of the Redezrelopment Project ~Area, whichever is longer.
4. The ~dministrator shall approve or disappro~~e a Requisition by ~vritten receipt to the Developer
within thirty (30) business daj~s after receipt of the Kequisition. :~pproval of the Requisition
shall not be unieasonably withheld. If a Requisition is disapproved by the ~dministrator, the
reasons for ciisapproval will be set forth in ~uriting and the Developer may resubmit the
Requisition with such additional information as may be reasonably required and the same
procedures set forth herein shall apply to such re-submittals.
5. ~ll Eligible Project Costs approved shall then be paid b5~ the City from the Special Account to
the DevelopeY, or to others as directed by the Developer, pursuant to the Redevelopment Plan
and as allowed by Illinois law. City shall pav such approved eligible pYOject costs annually,
provided thc lleveloper has sausfied the terms of this l~greement and costs which exceed the
amount available to pay~ the Developer shall cari~~ for~vard, until paid, without further action of
5
the Developer. Pa~~ment shall be inade within thirry (30) days after approval subject to the terms
of dlis ~~greement and after rcceipt of the increment generated by the Developet's
Redevelopment Projecr fi~om F'ulton Counry.
6. The Parties ackno~vledge that the derermination of ~.ligible Project costs, and therefore,
qualification for reimbursement hereunder, are subject to changes or interpretation made b~~
amendments to the l~ct, admiizistrative rules or judicial interpretation during the term of this
rlgreement "T'he Cin~ has no obligation to the Developer to attempt to modif~~ those decisions,
but will assist the Developer in evei-~> respect as to obtaining approval of Fligible Project Costs.
7. Eligible Project Costs shall be broadl~~ defined in the Redevelopment Plan to include all costs
defined in the 11ct as Redevelopment Project Costs.
8. The Developer ma}~ submit for prior approval by the City as estimares of cost eligible eYpenses
under the l~ct before the~~ are incurred subject to later confirmauon by actual bills.
F. VERIFICATION OF TAX INCREMENT
1. It shall be the sole responsibilit~- of the De~~eloper or its designee to pio~~ide to the Cit~-, ns
requcsted in ~vriting, copies of all P.AID real estate bills, annuall~~ tior the Piopern-.
2. 'I'he failure of thc lleeeloper to provide an~~ intormation required herein aftcr ~vritten noticc
from the Cin~, and then continued failure to provide such information within thirn~ (30) da~~s
after such notice, shall be considered a matcrial breach of this l~grecment and shall be cause for
the Cin~ to den~~ pavments hereunder to the De~reloper, ~vhich pa~rments are conditional upon
receipt of thc forcgoing information.
G. LIMITED OBLIGATION
There shall be no obligation bv the Cin~ to make any payments to an~~ person other than the
Developer, or its authorized designce, nor shall the City be obligated to make direct payments to anv
other contractor, subcontractor, mechanic or materialman providing services or matcrials to a Developer
for the Project.
H. CITY PUBLIC PROJECTS
The Ciry intends to use part or all of the Ciry's share of the Developer's Redevelopment Project real
estate taY increment for other public projects within the Redevelopment Project r~rea or otherwise as
allowed by law. The Ciry shall be eligible for reimbursement of the costs of doing so, as well as other
eligible project costs incurred bj~ the City in the~ "1Tf~ District.
6
I. LIMITED LIABILITY OF CITY TO OTHERS FOR DEVELOPER'S EXPENSES
There shall be no obligation b~~ the Cit~~ to make an5~ pa~~ments to an~~ person other than the
Devcloper, or its authorizcd designee, nor shall the Cih~ be obligated to make direct pa~~ments to an~~
other contractor, subcontractor, mechanic, or materialman pioviding sen-ices or materials to the
Developer for the Project.
J. COOPERATION OF THE PARTIES
1. The City and the Developer agree to cooperate fullj~ with cach other ~vhen requested to do so
concerning the development of the Developer's Redevelopment Project 'I'his includes ~vithout
limitation the City assisting or sponsoring the Deeeloper, or agreeing to joind~~ appl~~ with the
Developer, for any grant, award, subsidy or addiuonal funding which may be available from other
governmental sources as the result of thc Developer's or Cit~~'s activities. This also includes without
limitation the Developer assisting or sponsoring the City, or agreeing to joindy apply with the City,
for any grant, award, or subsidy ~vhich mae be available as the result ot the Cin~'s or the lle~reloper's
activities.
2. "I'he Parties agrec to take such actions, including the e~ecution and deli~rei-~~ of such documents,
instruments, petitions, and certifications (~nd, in the Cin-'s case, the adoption of such ordinances
and resolutions), as inay be necessar~~ or ~ppropriare, from time to time, to carrv out the terms,
pro~risions, and intent of this 1~greement and to aid ar~d assist each other in carrying out said terms,
provisions, and intent.
3. 1'he Parties shall cooperate full~~ ~vith each od~er in seeking from an}~ or all appropriate
go~rernmental bodies all appro~~als (~vhetlicr federal, state, counn~ or local) required or useful for the
construction or improvement of propern- and facilities in and on the Properry or for the provision
of services to the Propert~~, including, without limitation, wctland mitigation, gas, telephone, and
electric utility services, roads, high~va~~s, and right-of-~vav, ~vater and sanitar~~ se~vage facilities, and
storm water disposal faciliries.
K. DEFAULT; CURE; REMEDIES
In the event of a default under this Redevelopment clgreement by any parry hereto (the "Defaulting
Party"), which default is not cured within the cure period provided below, then the other party (the
"Non-defaulting Party"), shall have an action for dama~;es, or in the event damages would not fairly
compensate the Non-defaulting Party for the Defaulting Party's breach of this Kedevelopment
Agreement, the Non-defaulting Party shall have such other equit~~ rights and remedies as available to
them at law or in equity. r~ny damages pa5~able b~~ the Cit}~ hereunder shall be limited to the real estate
tax increment payable to the Developer under the terms of this l~greement.
~
In the event a Detaulting Parn~ shall fail to perform a monetar5~ covenant which it is re9uired to
perform under this Redevelopment ~lgreement, it shall not be deeined to be in default under this
Redevelopment r~greement unless it shall have failed to perform such monetai-~~ covenant within thirry
(30) days of its receipt of a notice form a Non-defaulting Parry specifying that it has failed to perform
such monetary coeenant In the event a Defaulting Party tails to perform anj~ nonmonetar}~ co~renant
as and ~vhen it is required to undcr this Redevelopment ~greement, it shall not be deeined to be in
default if it shall have cured such default ~vithin thirt~~ (30) days of its receipt of a notice from a Non-
defaulung parn~ specif~~ing the nature of thc default, pro~-ided, however, ~vith respect to those
nonmonetar~~ defaults which are not capable of being cured within such thirry (30) da}' period, a
Defaulting Part~~ shall not be deemed to be in default if it commences curing within such thirt~~ (30) da~~
period, and thereafter diligently and continuousl5~ prosecutes the cure of such default until the same has
been cured.
L. TIME; FORCE MAJEURE
For this rlgreement, time is of the essence; provided, ho~vever, the Developer and the Cin~ shall not
be deemed in default with respect to anj~ obligations of this ~Agrcement on its part to be performed if
the Developer or Cin- fails to timele perform the same and such failure is due in ~vhole, or in part, to
anj~ strike, locl:-out, ci~~il disorder, inabilit~~ tc~ procUre inaterials, ~veather conditioi~s, ~vct soil conditions,
failure or interruptions of po~ver, condcmi~arion, riots, insurreetions, war, fuel sliortages, ~1cts of God,
acts caused direcdti- or ine~irectl~~ b~~ the Cin~ (<>r Cin~'s agents, employees or invitces) when applicable
to the Dcveloper or third parties, or an~- othcr cause beyond the reasonable control of the lle~-eloper
or the Cin~.
M. ASSIGNMENT
The righrs (including, but not limited to, the right to payments contemplated by~ Section C of this
r~greemcnt), and obligations (or eithcr of them) of the Developer under this rlgreement shall be fully
assignable by the Developer bv means ot ~~ritren notice to the City, provided that (i) no such assignment
shall be deemed to release the assignor of its obligations to the City under this ~lgreement unless the
consent of the Cit~~ to the release of the rlssignor's obligauons is first obtained and (ii) the nature of the
Developer's Redevelopment Project is not substantially changed.
N. WAIVER
~~ny Parry to this r~greement may elect to waive any remedy it may enjo~ hereunder, provided that
no such ~vaiver shall be deemed to e~st unlcss 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 Party pursuant to this rlgYeement.
8
O. SEVERABILITY
If any section, subsection, term or pro~~ision of this ~lgreement or the application thereof to any
Part~~ or circumstance shall, to an~~ e~rent, be invalid or unenforceable, the remainder of said section,
subsection, term or pronision ot this 1~greemcnt or the application of same to Parties or circumstances
other than those to which it is held invalid or unenforccable, shall not be atfected thereby.
P. NOTICES
,~11 notices, demands, requests, consents, approi~als or other instrumcnts required or permitted by
this l~greement shall be in writing and shall be e~ecuted 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 deli~rery, if delivered
personally, or as of the third (3"~) day fiom and including the date of posting, if mailed by registered or
certified mail, return receipt requested, with postage prepaid addressed as follows:
TO CITY: TO DEVELOPER:
Cin~ Clerk, Cin~ of Canton Canton FIai-~~cster Inn, LLC
2 North Main Street .Attenrion: Roberr Santa, `l'reasurer
Canton, IL G1520 87G~ Statc Road 5G
"I'elephone: (309)G~7-006~ F~rench l,ielc, IN -~7-~32
l~a.r-: (309) G~47-23-~8 "1'clcphone: (8~12) 331-1U?~
l~~itL Copy To: lk' ltl~ Co~y 7'0:
Jacob & ILlein, Ltd. 1?d~vin Brocckcr
'1'he f~:conoinic Development Group Taft Stcttinius & IIollister, I.I,P
1701 Clear~vatei l~venue One Indiana Syuare, Suite 3500
Bloomington, IL 61704 Indianapolis, IN =~6204
Telephone: (309)664-7777 Telephone: (317) 713-3~461
,~lrt~J•
Chrissie L. Peterson, Ciry r~ttoYney
2 N. Main Street
Canton, IL 61520
Telephone: (309) 647-2738
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Q. SUCCESSORS IN INTEREST
Subject to the provisions of Paragraph M above, this c~greement shall be binding upon and inure
to the benefit of the Parties hereto and rheir respective successors and assigns.
R. NO JOINT VENTURE, AGENCY, OR PARTNERSHIP CREATED
Neithcr an~~thing in this rlgreement nor anj~ acts of the Parties to this 1~greement shall be construed
by the Partics or an~~ third person to create the relationship of a partnership, agencv or joint venture
between or among such Parties.
S. TERM OF THE AGREEMENT
This l~greement shall terminate upon e~piration of the Redevelopment Plan or upon the
Developer's receipt of the incentives totaling $250,000.00 as provided herein, whichever occurs first.
T. SALES/HOTEL/MOTEL TAX
1\s a condition of rcceij~t of tlle reimbursement herein, the De~~eloper agrces to cause an~- sales
and/or hotel/motel rencll reccipts occurrin~; at, arising from, and/or generated at the Propcrn° subject
to this i\greement (P.I.Ns: 09-O9-27--409-1101; 09-08-27--~~)-002; 09-09-27--~09-0O3; 09-09-27--~09-00=~;
O9-09-27--~09-005) as Citv of Canton sales and/or hotel/motel ta~ receipts, so that an~~ municipal sales ~
tax and/or municipal hotel/motel tal receipts collccted are ciedited to the Cin' of Canton. "I'he
Deeeloper agrees to e~ecute am~ and all documcnts necessar~~ to effectuate this provision and to provide
satisfactor~~ cvidence of compliance to the Cin~ ot Canton upon request by the Cin~.
U. DOWNTOWN BEAUTIFICATION INITIATIVE
The Developer agrees to use its best efEorts to cooperate in the implementation of the City's
Downtown Beautification Initiative (othei~ise known as the "Streetscape" Master Plan, 200)-2011),
with public projects proposed and funded bv the City. The Developer will consider the plans provided
by the "Streetscape" Master Plan when designing facades, parking areas and landscaping enhancements
to its property.
V. WARRANTY OF SIGNATORIES
The signatories of the Developer warrant full authority to both execute this r~gxeement and to bind
the entity in ~uhich thej~ are signing on behalf of.
10
W. INDEMNIFICATION OF THE CITY
The Developer acknowledges that it is responsible for compliance with the Illinois Prevailing Wage
Act, to the extent such is applicable. The Developer shall indemnify and hold harmless the Ciry, and
all City elected or appointed officials, officers, employees, agents, representarives, engineers, consultants
and attorneys (collectively, the "indemnified Parries"), from any and all claims that may be asserted
against the Indemnified Parries or one or more of them, in connecrion with the applicability,
determinarion, and/or payments made under the Illinois Prevailing Wage Act (820 ILCS 130/0.01 et
.req.), the Illinois Procurement Code, and /or any similar State or Federal law or regulation. This
obligation to indemnify and hold harmless obligates the Developer to defend any such claim and/or
action, pay any liabiliries and/or penalries imposed, and pay all defense costs of the City, including but
not limited to the reasonable attorney fees of the City.
IN WITNESS THEREOF, the Parties hereto have caused this Agreement to be executed by their
duly authorized officers on the above date at Canton, Illinois.
CITY OF CANTON DEVELOPER:
An Illinois Mu~iei a1 oration Canton Harve fnr~;'~.LC,
~ - An Indiana 'te ~I.iability C any
By: _ _ 2
Mayor, Ci of C ton By:
Manager
ATTEST: /l2~
Ci lerk ~r ~ P~~t N L, ~E~2Gcis''onI
Printed Name
!I~~(~."~.I(~'i~.i:. .~(~,`~.:Il>~i~~`.;~fis~ ,(11_`. ..ll(i-il , .:-6il ~._.i.~..~ I ~i ~il,.A l. il~.i.< <.,.~:II`.:..'~.!.R.I)A~c~~l
11
EXHIBIT A
LEGAL DESCRIPTION
Lot 9~ of the Original "To~vn ~~ddition to the Cit~~ of Canton, as recorded in Fulton Cour7ty, Illinois:
PIN No(s): 09-08-27-4O9-001
09-08-27-409-002
09-08-?7-~09-003
09-08-27-~09-004
09-08-27--~09-005
12
EXHIBIT B
SUMMARY OF ESTIMATED TIF ELIGIBLE PROiECT COSTS
Canton Haivester Ini~, LLC
Canton 1-Downtown~5th l~venue TIF District in the Citv of Caiiton, Fulton Count~~, Illinois
Project Description: lleveloper has constructed a ne~v hotel.
PIN#s: 09-08-27-409-001; 09-08-27-409-002; 09-08-27-~09-003; 09-08-27-409-004;
and 09-08-27-~F09-005
Street Location: Main and Locust Street, Canton, Illinois.
Estimated TIF Eligible Project Costs:
Land and Building ~-~cquisition Costs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $238,500.00
Site Preparation/Clearing/Grading . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $155,830.00
Demolition ............................................................~87,785.00
Planning, Engineering & ,~rchitcctural . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $125,500.00
LegalFees ..............................................................$3,800.00
.~ccounting, Finar~cial 1~ees, Professional I~ees . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ~1-~,700.00
Rehabilitation or Renotration (Esisting 13uildings) . . . . . . . . . . . . . . . . . . . . . . . . . . ~
Construction Interest . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ~
1.1riC~SC1~111~
SoilBoring ~
~ob Tr~ning ............................................................515,000.00
RCIOC1Y10I1~,OStS ~J
Long-Term Interest ~
Public Infrastructute Improvements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $92,638.00
Urilit~~ Extension . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $42,200.00
Total Estimated TIF Eligible Project Costs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $775,953.00*
*Kcimburscmcu~ of I?li},riblc Vrojcct Co,ts to llcvclopcr i, c.ippcc] at $250,000.00
13
EXHIBIT C
PRIVATE PROIECT REQUEST FOR REIMBURSEMENT
14
CITY OF CANTON, ILLINOIS
CANTON 1 - DOWNTOWN/5TH AVENUE
TAX INCREMENT FINANCING DISTRICT
PRIVATE PROJECT
REQUEST FOR REIMBURSEMENT
BY
CANTON HARVESTER INN, LLC
Date
Attention: City Administrator, City of Canton
Re: TIF Redevelopment Agreement, dated
by and between the City of Canton, Illinois, and
Canton Harvester Inn, LLC (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 Canton Harvester Inn, LLC 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: Canton Harvester Inn, LLC, Developer
3. AMOUNTS REQUESTED TO BE DISBURSED:
Description of TIF Eligible Project Cost Amount
Tota I
4. The amount requested to be disbursed pursuantto this Requestfor Reimbursementwill
be used to reimburse the Developer for Redevelopment Project Costs for the Project
detailed in "Exhibit B" 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 o~!igations under the Redevelopment Agreement.
6. Attached to this Request for Reimbursement is Exhibit B 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~ (Developer)
TITLE:
APPRO G9:-~ VY CAf~T N, I IS
% ~
BY:
TITLE: DATE: