HomeMy WebLinkAboutOrdinance #3039 - redevelopment agreement between the City of Canton and Fuller's Jewelry CITY OF CANTON
ORDINANCE NO. 3039
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
FULLER'S JEWELRY, INC.
ADOPTED BY THE CORPORATE AUTHORITIES
OF THE CITY OF CANTON, FULTON COUNT`Y, ILLINOIS,
ON THE 3'�DAY OF DECEMBER, 2013.
-
CITY OF CANTON, ILLINOIS: ORDINANCE NO. 3039
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
FULLER'S JEWELRY, INC.
BE IT ORDAINED BY THE CITY OF CANTON, FULTON COUNTY, ILLINOIS
THAT:
SECTION ONE:The Redevelopment Agreement with Fuller's Jewelry, Inc. (F.xhibit� 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 Ciry 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 3"�day of December, 2013.
SECTION FOUR: This Ordinance shall be in full force and effect from and after its passage and
approval as required by law.
[the remainder of this page i.r intentionally blank]
PASSED, APPROVED AND ADOPTED by the Corporate Authorities of the City of Canton,
Fulton Counry,Illinois,on the 3"�day of December,A.D.,2013,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
Aldertnan Pasley X
Alderman Lovell X
Alderman Ellis ABSTAIN
Alderman Justin Nelson ABSENT
Alderman Pickel X
Alderman Jim Nelson X
Alderman Putrich ABSTAIN
Alderman West X
TOTAL VOTES 5 0 3
/,� �' �
APPROVED: ,Date �f--�f�01�
Hon.Jef re A. F � , ayor,Ciry of Canton
%� �;, -
ATTEST: - �- �'�- ��C�C ,Date:�/ 3 / 2013
D a Pavley-Rock, ity Clerk,City of Canton
ATTACHMENTS:
EXHIBIT A. REDEVELOP�IENT AGREE:�IENT BY AND BETWEEN THE CITY OF
CANTON AND FULLER'S JEWELRY,INC.
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EXHIBIT A
REDEVELOPMENT AGREEMENT
by and between
CITY OF CANTON
and
FULLER'S JEWELRY, INC.
CANTON 1-DOWNTOWN / 5TH AVENUE
TAX INCREMENT FINANCING (TIF) DISTRICT
CANTON 1- DOWNTOWN/5TH AVENUE
TAX INCREMENT FINANCING DISTRICT
TIF REDEVELOPMENT AGREEMENT
by and between
THE CITY OF CANTON, FULTON COUNTY, ILLINOIS
and
FULLER'S JEWELRY, INC.
DECEMBER 2013
REDEVELOPMENT AGREEMENT
by and between
CITY OF CANTON
and
FULLER'S JEWELRY, INC.
CANTON 1-DOWNTOWN/5TH AVENUE TIF DISTRICT
THIS AGREEMENT (including Exhibit 1)is entered into this day of December,2013,by the
City of Canton("City"),an Illinois Municipal Corporation,Fulton County,Illinois;and Fuller's Jewelry,
Inc. ("Developer"),individually.
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
promoring the development of private investment properry thereby increasing the tax base of the City
and providing employment for its citizens;and
WHEREAS, pursuant to 65 ILCS 5/8-1-2.5 a municipality may expend funds for economic
development purposes to commercial enterprises that are necessary or desirable for the promotion of
economic development within the municipaliry; 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 properry 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 properties which are vacant,underutilized or obsolete or a combination thereof,adopted Tax
Increment Financing and created a Tax Increment Allocarion 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 Area is a properry located at 46 N.Main Street,Canton,
Illinois(PIN 09-08-27-412-012,herein defined as the"Property")forwhich the Developer is the current
owner;and
WHEREAS, the Developer is requesting a loan from the City to finance the contracted labor and
materials necessary to proceed with replacing an exterior load-bearing support wall of a building located
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on the Property,because it has deteriorated and is no longer structurally sound (the"Project");and
WHEREAS, it is the intent of the Ciry to encourage economic development which will increase the
real estate tax base of the Ciry and the tax base of other ta�ng bodies,which increased incremental taxes
will be used,in part, to finance incentives to assist development 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 Ciry 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 City has determined that this Developer's Project requires the incentives requested
herein and that said Developer's Project would, as part of the Plan, promote the health, safety and
welfare of the Ciry 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 Ciry;and
WHEREAS,the City and the Developer("Parries") have agreed that the City will loan the Developer
$22,000 from the Canton 1 - Downtown/5th Avenue TIF District Special Tax Allocation Fund as
specified below in Section C, Incentives to assist in the financing of the Developer's TIF Eligible Project
Costs (see Exhibrt�;and
WHEREAS,in consideration of the execution of this Agreement, the Developer shall proceed with
the Project as set forth herein;and
WHEREAS, the Ciry is entering into this Agreement having encouraged and induced the Developer
to replace an exterior load-bearing support wall of a building located on the Property.
AGREEMENTS
NOW, THEREFORE, the Parties, for good and valuable consideration, the receipt of which is
acknowledged,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 incenrives for Developer's Project in anticipation of the expected
completion of the Developer's Project as set forth herein.
4. Each of the Parties represents that it has taken all actions necessary to authorize its representatives
to execute this Agreement.
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B.ADOPTION OF TAX INCREMENT FINANCING
The City has created a Tax Increment Financing District, currendy known as "Canton 1 -
Downtown/5`h Avenue TIF District" which includes the Developer's Property. The City has
previously assisted certain Redevelopment Projects through TIF incentives, similar to the incentives
provided herein for this Developer's Project.
C. INCENTIVES
In consideration for the Developer completing the Project as set forth herein,the Ciry agrees to assist
the Developer as follows:
1. The City agrees to loan the Developer Twenty-two Thousand Dollars ($22,000.00) from the
Canton 1 -Downtown/5th Avenue TIF District Special Tax Allocation Fund for Eligible Project
Costs (see Exhibit�incurred as a result of the Developer's Project("Developer's Loan"). The
conditions for the Developer's Loan shall be as follows:
a) The interest rate for the loan shall be 3%;and
b) The default rate for the loan shall be the Prime Rate plus 1/2%;and
c) The Developer's Loan shall amortize over five(5)years and shall mature five(5)years from
the date of the loan closing;and
d) The Developer shall make monthly loan payments of principal and interest,beginning one
(1) month after the date of the closing on the loan (see Exhibit2J. Interest shall begin to
accrue on disbursements as they are made to the Developer. The Developer shall pay all
interest accrued to date on the date which is one month from the loan closing;and
e) The City shall take as collateral for the loan a lien a second or higher priority mortgage on
the real estate commonly known as 46 N.Main Street,Canton,IL with Parcel Identification
Number 09-08-27-412-012; and
� The loan proceeds shall be disbursed as Developer shall from time to time request,upon
Developer's submission to the Ciry and the Ciry's approval of,paid invoices for services and
materials furnished to construct or provide Developer's Project. Disbursements shall be
made until the earlier of six months from the date of loan closing, or the cumulative sum
of$22,000 has been fu11y disbursed;and
g) The Developer shall complete the Project for which the Developer's Loan is made within
six (6) months from the date of the loan closing.
2. The "term of the loan" is defined as the earlier of the date on which the Developer sells the
Property, the date on which the City accelerates the indebtedness under the Note based on a
default under the Note or under a collateral document,or the date on which the Developer's Loan
matures.
3. A separate promissory note as well as any necessary collateral documents shall be prepared in
concurrence with this Agreement and attached as an Exhibit (see Exhrbit.�.
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D. LIMITATION OF INCENTIVES TO DEVELOPER
1. The Developer's Loan shall not exceed $22,000.00 and shall only be for contracted labor and
materials related to the Project and as set forth herein.
2. In the event the Developer sells the Properry that is the subject of the Developer's Loan,the
entire outstanding balance of the Developer's Loan shall become due upon the date the
Property is transferred to a new owner.
3. The loan disbursements must be used for reimbursement of the Developer's Eligible Project
Costs and the Developer shall provide the Ciry with verified invoices or statements of the
Eligible Project Costs.
E. VERIFICATION OF TAX INCREMENT
AND TIF ELIGIBLE PROJECT COSTS
1. It shall be the sole responsibility of the Developer to provide to the City as requested the
following:
a) Copies of all PAID real estate tax bills, annually, for the Property included
in this Project.
2. The failure of the Developer to provide any information required herein after notice from the
City,and the continued failure to provide such information within 30 days after such notice
shall be considered a material breach of this Agreement and shall be cause for the City to deny
payments hereunder to the Developer,which payments are conditional upon receipt of the
foregoing information.
3. A request(s) for payment to the Developer for TIF Eligible Project Costs as set forth by the Act,
shall be made on or before loan closing by a Requisition (see Exhibit� for Payment of Private
Development Redevelopment Costs(Requisition)in an amount equal to or exceeding$22,000.00,
submitted by Developer to the Ciry's TIF Administrator,Jacob&Klein,Ltd.and The Economic
Development Group (collectively the "Administrator").
4. The Requisition(s) may initially include actual bid(s) for the improvements to be undertaken and
subsequendy verified within 30 days of completion of the Project with verified bills or statements
of suppliers,contractors,or professionals together with Mechanic's Lien Waivers as required by
the City's Administrator or Clerk.
5. The Developer shall use such loan proceeds as reimbursements for eligible expenses only to the
extent permitted by law and the Act.
6. The Administrator shall approve or disapprove the Requisition(s) by written receipt to the
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
Administrator (or subsequendy by the Illinois Department of Revenue), the reasons for
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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 forth herein shall apply
to such re-submittals.
7. The Parties acknowledge that the determination of Eligible Project Costs, and, therefore,
qualification for reimbursement hereunder are subject to changes or interpretarion made by
amendments to the Act, administrative rules or judicial interpretation during the term of this
Agreement.
8. Eligible Project Costs are broadly defined in the Redevelopment Plan to include all costs defined
in the Act as Redevelopment Project Costs.
9. All payments and reimbursements of TIF eligible project costs during the term of this agreement
are herein subject to the Developer obtaining applicable building permits and complying with all
Ciry of Canton Building and Zoning Codes as may be related to the Project. The Developer and
related contractors shall consult with Ciry Staff to receive direcrions regarding zoning,utilities,fire
safery and building code requirements prior to commencing with the Project and shall meet with
City Staff upon request of the City or as deemed necessary during the construction period to
review any revised plans to construct, enlarge, alter, repair, move, demolish or change the
occupancy or use of a building or structure or to erect install, enlarge, alter, repair, remove,
convert or replace any electrical,gas,mechanical or plumbing system.
F. LIMITED OBLIGATION
The City's obligation hereunder is to loan Developer up to $22,000 for TIF Eligible Project Costs as
described in Section C above. Said obligation does not now and shall never constitute an indebtedness
of the City within the meaning of any State of Illinois Constitutional or Statutory provision,and shall
not constitute or give rise to a pecuniary liabiliry of the City or a charge or lien against the City's general
credit or ta�ng power
G. DEFAULT; CURE; REMEDIES
In the event of a default under this Redevelopment Agreement by any party hereto (the "Defaulting
Parry"),which default is not cured within the cure period provided for below,then the other party(the
"Non-defaulting Parry") shall have an action for damages, or in the event damages would not fairly
compensate the Non-defaulting Party's for the Defaulting Parry's breach of this Redevelopment
Agreement, the Non-defaulting Party shall have such other equity rights and remedies as are available
to them at law or in equity. Any damages payable by the City 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 thirty(30) days of its
receipt of a norice from a Non-defaulring Party specifying that it has failed to perform such monetary
covenant. In the event a Defaulting Party fails to perform any nonmonetary covenant as and when it
5
is required to under this Redevelopment Agreement,it shall not be deemed to be in default if it shall
have cured such default within thirry (30) days of its receipt of a norice from a Non-defaulting Party
specifying the nature of the default, provided, however,with respect to those nonmonetary defaults
which are not capable of being cured within such thirry(30) day period,it shall not be deemed to be in
default if it commences curing within such thirty (30) days period, and thereafter diligendy and
conrinuously prosecutes the cure of such default until the same has been cured.
H. 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 obligarions 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 condirions and
wet soil conditions, failure or interruprions of power, restrictive governmental laws and regulations,
condemnarion,riots,insurrecrions,war, fuel shortages,accidents,casualties,Acts of God,acts caused
direcdy or indirecdy by the Ciry(or City's agents,employees or invitees)when applicable to Developer
or third parries,or any other cause beyond the reasonable control of Developer or City.
I. WAIVER
Any Parry to this Agreement may elect to waive any remedy it may enjoy hereunder,provided that no
such waiver shall be deemed to e�st unless the Parry waiving such right of remedy does so in writing.
No such waiver shall obligate such Parry 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.
J. SEVERABILITY
If any section,subsection,term or provision of this Agreement or the application thereof to any parry
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.
[the remainder of thi,r page is intentianally blankJ
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K. 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"�) day from 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
Ciry Clerk Fuller's Jewelry, Inc.
2 N. Main Street %David Fuller, Owner
Ciry of Canton 46 N. Main Street
Canton,IL 61520 Canton,IL 61520
With copy to Admini.rtrator.•
Jacob&HIein,Ltd.
The Economic Development Group,Ltd.
1701 Clearwater Avenue
Bloomington, Illinois 61704
L. 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.
M. ASSIGNMENT
The rights and obligations of the Developer under this Agreement shall be fully assignable by means
of written notice to the Ciry,provided that no such assignment shall be deemed to release the
assignor of its obligations to the City under this Agreement unless the prior written consent of
the City to the release of the assignor's obligations is first obtained. Consent shall not be
unreasonably withheld provided that the nature of the Project is not substantially changed.
N. 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.seq.),the Illinois Procurement Code,and/or any similar State or Federal
law or regulation. This obligation to indemnify and hold harmless obligates Developer to defend any
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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.
O. SUCCESSORS IN INTEREST
Subject to the provisions of Paragraph M,above,this Agreement shall be binding upon and inure to the
benefit of the parries hereto and their respective successors and assigns. This agreement is a covenant
running with the land legally described herein.
P. WARRANTY OF SIGNATORIES
The signatories of Developer warrant full authority to both execute this Agreement and to bind the
entity in which they are signing on behalf of.
Q. TERM OF THE AGREEMENT
This Agreement shall expire upon the expiration of the Developer's Loan (see Exhibit 3,
Promissory Note).
IN WITNESS WHEREOF the Parties hereto 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 FULLER'S JEWELRY, INC., an Illinois
Corporation: corporari
BY: �..���-� BY: -
Mayo�City o on Owner
r
ATTEST: ��-�' %� � ATTEST:��hx����\��w.�_
Clerk,Ciry of Canton
Tide: ` �
�i�r����V��i�S�.
EXHIBITS ARE ATTACHED AS FOLLOWS:
Exhibit 1. Summary of Estimated TIF Eligible Project Costs.
Exhibit 2. Loan Amortization Schedule.
Exhibit 3. Promissory Note.
Exhibit 4. Developer Requisirion Form.
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8
EXHIBIT 1
SUMMARY OF ESTIMATED TIF ELIGIBLE PROJECT COSTS
Fuller's Jewelry, Inc.
Canton 1 -Downtown/5`h Avenue TIF District
City of Canton,Fulton County, Illinois
Project Descri tion:
Fuller's Jewelry, Inc. requested a loan from the City's Canton 1 -Downtown/5th Avenue TIF
District to finance the contracted labor and materials necessary to proceed with replacing an
exterior load-bearing support wall of a building located on the Properry,because it has
deteriorated and is no longer structurally sound.
Street Location: 46 N. Main Street, Canton, Illinois (PIN 09-08-27-412-012)
Estimated Eligible Proiect Costs:
Contracted labor and materials for replacing exterior load-bearing support wall . . . . . . . . 41 596.00
Total Estimated TIF Eligible Project Costs' . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $41,596.00
1 Although the Developer's TIF Eligible Project Costs may exceed$22,000.00,the Developer's Loan shall not
exceed$22,000.00 pursuant to the terms and condition contained herein.
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Loan Amortization Schedule - Fuller's Jeweiry, Inc.
Enter values Loan summary
Loan amount $ 22,000.00 Scheduled payment $ 395.31
Annual interest rate 3.00 � Scheduled number of payments 60
Loan period in years 5 Actual number of payments 60
Number of payments per year 12 Total early payments $ -
Start date of loan 12/18/2013 Total interest $ 1,718.67
Optional extra payments $ -
Lender name:ICity of Canton,TIF 1 Special Tax Allocation F�nd
Pmt Beginning Scheduled Extra Ending Cumulative
No. Payment Date Balance Payment Payment Total Payment Principal Interest Balance Interest
1 1/18/2014 $ 22,000.00 $ 395.31 $ - $ 395.31 $ 340.31 $ 55.00 $ 21,659.69 $ 55.00
2 2/18/2014 21,659.69 395.31 - 395.31 341.16 54.15 21,318.53 109.15
3 3/18/2014 21,318.53 395.31 - 395.31 342.01 53.30 20,976.51 162.45
4 4/18/2014 20,976.51 395.31 - 395.31 342.87 52.44 20,633.64 214.89
5 5/18/2014 20,633.64 395.31 - 395.31 343.73 51.58 20,289.91 266.47
6 6/18/2014 20,289.91 395.31 - 395.31 344.59 50.72 19,945.33 317.20
7 7/18/2014 19,945.33 395.31 - 395.31 345.45 49.86 19,599.88 367.06
8 8/18/2014 19,599.88 395.31 - 395.31 346.31 49.00 19,253.57 416.06
9 9/18/2014 19,253.57 395.31 - 395.31 347.18 48.13 18,906.39 464.19
10 10/18/2014 18,906.39 395.31 - 395.31 348.05 47.27 18,558.35 511.46
11 11/18/2014 18,558.35 395.31 - 395.31 348.92 46.40 18,209.43 557.85
12 12/18/2014 18,209.43 395.31 - 395.31 349.79 45.52 17,859.64 603.38
13 1/18/2015 17,859.64 395.31 - 395.31 350.66 44.65 17,508.98 648.03
14 2/18/2015 17,508.98 395.31 - 395.31 351.54 43.77 17,157.44 691.80
15 3/18/2015 17,157.44 395.31 - 395.31 352.42 42.89 16,805.03 734.69
16 4/18/2015 16,805.03 395.31 - 395.31 353.30 42.01 16,451.73 776.71
17 5/18/2015 16,451.73 395.31 - 395.31 354.18 41.13 16,097.54 817.84
18 6/18/2015 16,097.54 395.31 - 395.31 355.07 40.24 15,742.48 858.08
19 7/18/2015 15,742.48 395.31 - 395.31 355.96 39.36 15,386.52 897.44
20 8/18/2015 15,386.52 395.31 - 395.31 356.84 38.47 15,029.68 935.90
21 9/18/2015 15,029.68 395.31 - 395.31 357.74 37.57 14,671.94 973.48
22 10/18/2015 14,671.94 395.31 - 395.31 358.63 36.68 14,313.31 1,010.16
23 11/18/2015 14,313.31 395.31 - 395.31 359.53 35.78 13,953.78 1,045.94
24 12/18/2015 13,953.78 395.31 - 395.31 360.43 34.88 13,593.35 1,080.82
25 1/18/2016 13,593.35 395.31 - 395.31 361.33 33.98 13,232.03 1,114.81
26 2/18/2016 13,232.03 395.31 - 395.31 36223 33.08 12,869.80 1,147.89
27 3/18/2016 12,869.80 395.31 - 395.31 363.14 32.17 12,506.66 1,180.06
28 4/18/2016 12,506.66 395.31 - 395.31 364.04 31.27 12,142.61 1,211.33
29 5/18/2016 12,142.61 395.31 - 395.31 364.95 30.36 11,777.66 1,241.68
30 6/18/2016 11,777.66 395.31 - 395.31 365.87 29.44 11,411.79 1,271.13
31 7/18/2016 11,411.79 395.31 - 395.31 366.78 28.53 11,045.01 1,299.66
32 8/18/2016 11,045.01 395.31 - 395.31 367.70 27.61 10,677.31 1,327.27
33 9/18/2016 10,677.31 395.31 - 395.31 368.62 26.69 10,308.69 1,353.96
34 10/18/2016 10,308.69 395.31 - 395.31 369.54 25.77 9,939.15 1,379.74
35 11/18/2016 9,939.15 395.31 - 395.31 370.46 24.85 9,568.69 1,404.58
36 12/18/2016 9,568.69 395.31 - 395.31 371.39 23.92 9,197.30 1,428.51
Pmt Beginning Scheduled Extra Ending Cumulative
No. Payment Date Balance Payment Payment Total Payment Principal Interest Balance Interest
37 1l18/2017 9,197.30 395.31 - 395.31 372.32 22.99 8,824.98 1,451.50
38 2/18/2017 8,824.98 395.31 - 395.31 37325 22.06 8,451.74 1,473.56
39 3/18/2017 8,451.74 395.31 - 395.31 374.18 21.13 8,077.55 1,494.69
40 4/18/2017 8,077.55 395.31 - 395.31 375.12 20.19 7,702.44 1,514.88
41 5/18/2017 7,702.44 395.31 - 395.31 376.06 19.26 7,326.38 1,534.14
42 6/18/2017 7,326.38 395.31 - 395.31 377.00 18.32 6,949.39 1,552.46
43 7/18/2017 6,949.39 395.31 - 395.31 377.94 17.37 6,571.45 1,569.83
44 8/18/2017 6,571.45 395.31 - 395.31 378.88 16.43 6,192.57 1,586.26
45 9/18/2017 6,192.57 395.31 - 395.31 379.83 15.48 5,812.74 1,601.74
46 10l18/2017 5,812.74 395.31 - 395.31 380.78 14.53 5,431.96 1,616.27
47 11/18/2017 5,431.96 395.31 - 395.31 381.73 13.58 5,05023 1,629.85
48 12/18/2017 5,050.23 395.31 - 395.31 382.69 12.63 4,667.54 1,642.48
49 1/18/2018 4,667.54 395.31 - 395.31 383.64 11.67 4,283.90 1,654.15
50 2/18/2018 4,283.90 395.31 - 395.31 384.60 10.71 3,899.30 1,664.86
51 3/18/2018 3,899.30 395.31 - 395.31 385.56 9.75 3,513.73 1,674.60
52 4/18/2018 3,513.73 395.31 - 395.31 386.53 8.78 3,127.21 1,683.39
53 5/18/2018 3,127.21 395.31 - 395.31 387.49 7.82 2,739.71 1,691.21
54 6/18/2018 2,739.71 395.31 - 395.31 388.46 6.85 2,351.25 1,698.06
55 7/18/2018 2,35125 395.31 - 395.31 389.43 5.88 1,961.82 1,703.93
56 8/18/2018 1,961.82 395.31 - 395.31 390.41 4.90 1,571.41 1,708.84
57 9/18/2018 1,571.41 395.31 - 395.31 391.38 3.93 1,180.03 1,712.77
58 10/18/2018 1,180.03 395.31 - 395.31 392.36 2.95 787.67 1,715.72
59 11/18/2018 787.67 395.31 - 395.31 393.34 1.97 394.33 1,717.69
60 12/18/2018 394.33 395.31 - 394.33 393.34 0.99 0.00 1,718.67
Promissory Installme�t Note
1. RECITATIONS:
Date: December 18, 2013
Borrowers: Fuller's Jewelry, Inc.
Borrowers' Addresses: Agent:
Dan Fuller
46 North Main St.
Canton, IL 61520
Lender: City of Canton
Place for Payment: 2 North Main Street, Canton, Illinois 61520
Principal Amount: $22,000.00
Term: Sixty (60) monthly payments of principal and interest beginning
one (1) month after the date of loan closing. Interest shall begin to
accrue on disbursements as they are made (see attached
Amortization Schedule)
Monthly Payments: $395.31 beginning January 18, 2014
Maturity: December 18, 2018
2. PROMISE TO PAY. Borrower promises to pay lender, or order, any lawful money of
the United States of America,the principal amount of twenty two thousand($22,000.00)together
with interest at the rate of 3% per annum on the unpaid principal balance from the date of the
first disbursement of monies, until paid in full. Borrower promises to pay Lender payments of
principal and interest from January 18, 2014 to December 18, 2018.
3. INTEREST RATE. Annual interest rate on matured, unpaid amounts shall be at the rate
of three percent(3%).
4. PAYMENT TERMS. Borrower will pay this loan in sixty (60) payments of three
hundred ninety five dollars and thirty-one cents ($395.31) each payment, subject to the
amortization schedule attached hereto and incorporated herein by reference. Borrower's first
payment is due January 18, 2014, and all subsequent payments are due on the same day of each
month thereafter. Borrower's final payment will be due on December 18, 201 S, and will be for
all principal and accrued interest not yet paid. Payments include principal and interest. Unless
otherwise agreed or required by applicable law, payments will be applied first to any accrued
unpaid interest; then to principal; then to any unpaid collection costs; and then to any late
Promissory Installment Note Page 1 of 5
charges. The annual interest rate for this promissory installment note is computed on a 365/360
basis; that is, by applying the ratio of the annual interest rate over a year of 360 days, multiplied
by the outstanding principal balance, multiplied by the actual number of days the principal
balance is outstanding.
5. PRE-PAYMENT. Borrower may pay without penalty all or a portion of the amount
owed earlier than it is due. Early payments will not, unless agreed to by lender in writing,
relieve Borrower of obligation to continue to make payments under the amortization schedule.
Rather, early payments will reduce the principal balance due and may result in Borrower making
fewer payments. Borrower agrees not to send Lender's payments marked "paid in full,"
"without recourse," or similar language. If Borrower sends such a payment, Lender may accept
it without losing any of Lender's rights under this note, and Borrower will remain obligated to
pay any further amount owed to Lender. All written communications concerning disputes
amounts, including any check or payment instrument that indicates that the payment constitutes
"payment in full" of the amount owed where that is tendered with other conditions or limitations
or as full satisfaction of the disputed amount must be made or delivered to "City of Canton, 2 N.
Main Street, Canton, IL 61520".
6. PLACE FOR PAYMENT. Borrower will pay Lender at Lender's address shown above
or at such other place as Lender may designate in writing.
7. DEFAULT AND ACCELERATION CLAUSE. If Borrower defaults in the payment
of this note or in the performance of any obligation, including, but not limited to those noted
below, and the default continues after Lender gives Borrower notice of the default and the time
in which it must be cured, as may be required by law or written agreement, then the Lender may
declare the unpaid principal balance on this promissory installment note immediately due.
Borrower and each surety, endorser, and guarantor waive all demands for payment, presentation
for payment, notices of intentions to accelerate maturity, notices of acceleration of maturity,
protests and notices of protest,to the extent permitted by law.
Each of the following shall constitute an event of default under this note:
a. Payment default: Borrower fails to make any payment when due under this note.
b. Other defaults: Borrower fails to comply with or to perform any other term,
obligation, covenant or condition contained in this note, or in any of their related
contained in any other agreement between Lender and Borrower.
c. Default in favor of third parties: Borrower or any guarantor defaults under any
loan, extension of credit, security agreement, purchase for sales agreement, or any
other agreement, in favor of any other creditor or person that may materially affect
any of the Borrower's property or Borrower's ability to repay this note or perform
Borrower's obligation under this note or any other related documents.
d. False statements: Any warranty, representation or statement made or furnished to
Lender by Borrower or on Borrower's behalf under this note or the related documents
Promissory Installment Note Page 2 of 5
as false or misleading in any material respect, either now or at the time made or
furnished or becomes false or misleading at any time thereafter.
e. Insolvency: The dissolution or termination of Borrower's existence as a business, the
insolvency of Borrower, the appointment of a receiver for any part of Borrower's
property, any assignment for the benefit of creditors, any type of creditor workout, or
the commencement of any preceding under any bankruptcy or insolvency laws by or
against Borrower.
f. Change in ownership: Any change in ownership of twenty-five percent or more of
the common stock of Borrower.
g. Adverse change: A material adverse change occurs in Borrower's financial condition,
or Lender believes the prospect of payment or performance of this note is impaired.
h. Insecurity: Lender in good faith believes itself insecure.
8. INTEREST ON PAST DUE INSTALLMENTS AND CHARGES. All past due
installments of principal and/or interest and/or all other past-due incurred charges shall bear
interest after maturity at the maximum amount of interest permitted by the Laws of the State of
Illinois until paid in full. Failure by Borrower to remit any payment by the tenth (lOth) day
following the date that such payment is due entitles the Lender hereof to declare the entire
principal and accrued interest immediately due and payable. The Lender's forbearance in
enforcing a right or remedy as set forth herein shall not be deemed a waiver of said right or
remedy for a subsequent cause, breach or default of the Borrower's obligations herein.
9. INTEREST. Interest on this debt evidenced by this Note shall not exceed the maximum
amount of non-usurious interest that may be contracted for, taken, reserved, charged, or received
under law; any interest in excess of the maximum shall be credited on the principal of the debt
or, if that has been paid, refunded. On any acceleration or reyuired or permitted prepayment, any
such excess shall be canceled automatically as of the acceleration or prepayment or, if already
paid, credited on the principal of the debt or, if the principal of the debt has been paid, refunded.
10. FORM OF PAYMENT. Any check, draft, money order, or other instrument given in
payment of all or any portion hereof may be accepted by the holder and handled in collection in
the customary manner, but the same shall not constitute payment hereunder or diminish any
rights of the holder hereof except to the extent that actual cash proceeds of such instruments are
unconditionally received by the Lender and applied to this indebtedness in the manner elsewhere
herein provided.
11. JOINT AND SEVERAL LIABILITY. For good and valuable consideration, on the
date set out above, the Borrower herein identified in this instrument jointly and severally,
guarantees the payment of the Promissory Installment Note. Borrower acknowledges that the
Lender does not have any obligation to first demand payment from Fuller's Jewelry, Inc.
Borrower further acknowledges that by attesting their signatures to this document, the Lender
Promissory Installment Note Page 3 of 5
can demand payment from any and /or all of the Borrowers regardless of the financial or legal
status of Fuller's Jewelry Inc.
� /�—
l��J��, (date)
Daniel Fuller
12. ATTORNEY'S FEES; EXPENSES. If this Note is given to an attorney, including any
attorney within the employ of the City of Canton, for collection or enforcement, or if suit is
brought for collection or enforcement, or if it is collected or enforced through probate,
bankruptcy, or other judicial proceeding, then Borrower shall pay the Lender all costs of
collection and enforcement, including reasonable attorney's fees and expenses in addition to
other amounts due.
13. CONFESSION OF JUDGEMENT. Borrower hereby irrevocably authorizes and
empowers any attorney at law to appear in any court of record and to confess judgment against
Borrower for the unpaid amount of this Note as evidenced by an affidavit signed by an officer or
elected official of the Lender setting forth the amount then due, attorney's fee plus cost of suit, to
release all errors, and waive all rights of appeal. If a copy of this Note, verified by an affidavit,
shall have been filed in the preceding, it will not be necessary to file the ariginal as a warrant of
attorney. Borrower waives the right to any stay of execution and the benefit of all exemption
laws now or hereafter in effect. No single exercise of the forgoing warrant in power to confess
judgment will be deemed to exhaust the power, whether or not any such exercise shall be held by
any court to be invalid, violable, or void; but the power will continue undiminished and may be
exercised from time to time as the Lender may elect until all amounts owed on this Note have
been paid in full. Borrower hereby waives and releases any and all claims or causes of action
which Borrower might have against any attorney acting under the terms of authority which
Borrower has granted herein arising out of or connected with the confession of judgment
hereunder.
14. SEVERABILITY. If any provision of this Note or the application thereof shall, for any
reason and to any extent, be invalid or unenforceable, neither the remainder of this Note nor the
application of the provision to other persons, entities or circumstances shall be affected thereby,
but instead shall be enforce to the maximum extent permitted by law.
15. BINDING EFFECT. The covenants, obligations and conditions herein contained shall
be binding on and inure to the benefit of the heirs, legal representatives, and assigns of the
parties hereto.
16. DESCRIPTIVE HEADINGS. The descriptive headings used herein are for
convenience of reference only and they are not intended to have any affect whatsoever in
determining the rights or obligations under this Note.
17. CONSTRUCTION. The pronouns used herein shall include, where appropriate, either
gender or both, singular or plural.
Promissory Installment Note Page 4 of 5
18. GOVERNING LAW. This Note shall be governed, construed and interpreted by,
through and under the Laws of the State of Illinois.
PRIOR TO SIGNING THIS NOTE, BORROWER READ AND UNDERSTOOD ALL THE
PROVISIONS OF THIS NOTE. BORROWER AGREES TO THE TERMS OF THIS NOTE.
BORROWER ACKNOWLEDGES RECEIPT OF A COMPLETED COPY OF THIS
PROMISSORY NOTE.
,.1 ti%
EXECUTED this � day of December, 2013.
B WER(
r
Fuller's Jewelry, Inc.
An Illinois Corporation, by its President,
Daniel Fuller
Attest: , ���n
�����`�
It's Secretary
Pursuant to the terms of Section 11 noted above(JOINT & SEVERAL LIABILITY) the
undersigned,jointly and severally,guarantee payment of the Promissory Note as set forth
herein,as Borrowers.
� ���
�s
aniel Fuller Date
Promissory Installment Note Page 5 of 5
Loan Amortization Schedule - Fuller's Jewelry, Inc.
Enter values Loan summary
Loan amount $ 22,000.00 Scheduled payment $ 395.31
Annual interest rate 3.00 % Scheduled number of payments 60
Loan period in years 5 Actual number of payments 60
Number of payments per year 12 Total early payments $ -
Start date of loan 12/18/2013 Total interest $ 1,718.67
Optional extra payments $ -
Lender name:ICity of Canton,TIF 1 Special Tax Allocation Fund
Pmt Beginning Scheduled 6ctra Ending Cumulative
No. Payment Date Balance Payment Payment Total Payment Principal Interest Balance Interest
1 1/18/2014 $ 22,000.00 $ 395.31 $ - $ 395.31 $ 340.31 $ 55.00 $ 21,659.69 $ 55.00
2 2/18/2014 21,659.69 395.31 - 395.31 341.16 54.15 21,318.53 109.15
3 3/18/2014 21,318.53 395.31 - 395.31 342.01 53.30 20,976.51 162.45
4 4/18/2014 20,976.51 395.31 - 395.31 342.87 52.44 20,633.64 214.89
5 5/18/2014 20,633.64 395.31 - 395.31 343.73 51.58 20,289.91 266.47
6 6/18/2014 20,289.91 395.31 - 395.31 344.59 50.72 19,945.33 317.20
7 7/18/2014 19,945.33 395.31 - 395.31 345.45 49.86 19,599.88 367.06
8 8/18/2014 19,599.88 395.31 - 395.31 346.31 49.00 19,253.57 416.06
9 9/18/2014 19,253.57 395.31 - 395.31 347.18 48.13 18,906.39 464.19
10 10/18/2014 18,906.39 395.31 - 395.31 348.05 47.27 18,558.35 511.46
11 11/18/2014 18,558.35 395.31 - 395.31 348.92 46.40 18,209.43 557.85
12 12/18/2014 18,209.43 395.31 - 395.31 349.79 45.52 17,859.64 603.38
13 1/18/2015 17,859.64 395.31 - 395.31 350.66 44.65 17,508.98 648.03
14 2/18/2015 17,508.98 395.31 - 395.31 351.54 43.77 17,157.44 691.80
15 3/18/2015 17,157.44 395.31 - 395.31 352.42 42.89 16,805.03 734.69
16 4/18/2015 16,805.03 395.31 - 395.31 353.30 42.01 16,451.73 776.71
17 5/18/2015 16,451.73 395.31 - 395.31 354.18 41.13 16,097.54 817.84
18 6/18/2015 16,097.54 395.31 - 395.31 355.07 40.24 15,742.48 858.08
19 7/18/2015 15,742.48 395.31 - 395.31 355.96 39.36 15,386.52 897.44
20 8/18/2015 15,386.52 395.31 - 395.31 356.84 38.47 15,029.68 935.90
21 9/18/2015 15,029.68 395.31 - 395.31 357.74 37.57 14,671.94 973.48
22 10/18/2015 14,671.94 395.31 - 395.31 358.63 36.68 14,313.31 1,010.16
23 11/18/2015 14,313.31 395.31 - 395.31 359.53 3578 13,953.78 1,045.94 '
24 12/18/2015 13,953.78 395.31 - 395.31 360.43 34.88 13,593.35 1,080.82
25 1l18/2016 13,593.35 395.31 - 395.31 361.33 33.98 13,232.03 1,114.81
26 2/18/2016 13,232.03 395.31 - 395.31 362.23 33.08 12,869.80 1,147.89
27 3/18/2016 12,869.80 395.31 - 395.31 363.14 32.17 12,506.66 1,180.06
28 4/18/2016 12,506.66 395.31 - 395.31 364.04 31.27 12,142.61 1,211.33
29 5/18/2016 12,142.61 395.31 - 395.31 364.95 30.36 11,777.66 1,241.68
30 6/18/2016 11,777.66 395.31 - 395.31 365.87 29.44 11,411.79 1,271.13
31 7/18/2016 11,411.79 395.31 - 395.31 366.78 28.53 11,045.01 1,299.66
32 8/18/2016 11,045.01 395.31 - 395.31 367.70 27.61 10,677.31 1,327.27
33 9/18l2016 10,677.31 395.31 - 395.31 368.62 26.69 10,308.69 1,353.96
34 10/18/2016 10,308.69 395.31 - 395.31 369.54 25.77 9,939.15 1,379.74
35 11/18/2016 9,939.15 395.31 - 395.31 370.46 24.85 9,568.69 1,404.58
36 12/18/2016 9,568.69 395.31 - 395.31 371.39 23.92 9,197.30 1,428.51
Pmt Beginning Scheduled Extra Ending Cumulative
No. Payment Date Balance Payment PaymeM Total Payment Principal Interest Balance Interest
37 1/18/2017 9,197.30 395.31 - 395.31 372.32 22.99 8,824.98 1,451.50
38 2/18/2017 8,824.98 395.31 - 395.31 373.25 22.06 8,451.74 1,473.56
39 3/18/2017 8,451.74 395.31 - 395.31 374.18 21.13 8,077.55 1,494.69
40 4/18/2017 8,077.55 395.31 - 395.31 375.12 20.19 7,702.44 1,514.88
41 5/18/2017 7,702.44 395.31 - 395.31 376.06 19.26 7,326.38 1,534.14
42 6/18/2017 7,326.38 395.31 - 395.31 377.00 18.32 6,949.39 1,552.46
43 7/18/2017 6,949.39 395.31 - 395.31 377.94 17.37 6,571.45 1,569.83
44 8/18/2017 6,571.45 395.31 - 395.31 378.88 16.43 6,192.57 1,586.26
45 9/18/2017 6,192.57 395.31 - 395.31 379.83 15.48 5,812.74 1,601.74
46 10/18/2017 5,812.74 395.31 - 395.31 380.78 14.53 5,431.96 1,616.27
47 11l18/2017 5,431.96 395.31 - 395.31 381.73 13.58 5,050.23 1,629.85
48 12/18/2017 5,050.23 395.31 - 395.31 382.69 12.63 4,667.54 1,642.48
49 1/18/2018 4,667.54 395.31 - 395.31 383.64 11.67 4,283.90 1,654.15
50 2/18/2018 4,283.90 395.31 - 395.31 384.60 10.71 3,899.30 1,664.86
51 3/18/2018 3,899.30 395.31 - 395.31 385.56 9.75 3,513.73 1,674.60
52 4/18/2018 3,513.73 395.31 - 395.31 386.53 8.78 3,127.21 1,683.39
53 5/18/2018 3,12721 395.31 - 395.31 387.49 7.82 2,739.71 1,691.21
54 6/18/2018 2,739.71 395.31 - 395.31 388.46 6.85 2,351.25 1,698.06
55 7/18/2018 2,351.25 395.31 - 395.31 389.43 5.88 1,961.82 1,703.93
56 8/18/2018 1,961.82 395.31 - 395.31 390.41 4.90 1,571.41 1,708.84
57 9/18/2018 1,571.41 395.31 - 395.31 391.38 3.93 1,180.03 1,712.77
58 10/18/2018 1,180.03 395.31 - 395.31 392.36 2.95 787.67 1,715.72
59 11/18/2018 787.67 395.31 - 395.31 393.34 1.97 394.33 1,717.69
60 12/18/2018 394.33 395.31 - 394.33 393.34 0.99 0.00 1,718.67
CITY OF CANTON,ILLINOIS
CANTON 1 -DOWNTOWN/STH AVENUE
TAX INCREMENT FINANCING DISTRICT
PRIVATE PROJECT
REQUEST FOR REIMBURSEMENT
BY
FULLER'S JEWELRY,INC.
Date
Attention: City TIF Administrator, City of Canton
Re: TIF Redevelopment Agreement, dated
by and between the City of Canton, Illinois, and
Fuller's Jewelry, Inc. (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 Fuller's
Jewelry, Inc. 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: Fuller's Jewelry, Inc., Developer
3. AMOUNTS REQUESTED TO BE DISBURSED:
Description of TIF Eligible Project Cost Amount
Total
13
4. The amount requested to be disbursed pursuant to this Request for Reimbursement will be
used to verify TIF Eligible 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
Reyuest for Reimbursement, have been properly recorded on the Developer's books and
are set forth with invoices attached for all sums for which Developer's Loan Funds are
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 bids, invoices, proof of payment of the invoices, and Mechanic's Lien
Waive relati to 1 ite s for which the Developer's Loan Funds will be used to pay.
BY: (Developer)
TITLE: ��t,�/t
APPROVED: CITY OF CANTON, ILLINOIS
BY: /�_l��
TITLE: M��ie DATE: ��l���d��
14