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HomeMy WebLinkAbout#4119 Redevelopment Agreement Betw City & Diane Bell • CERTIFICATE THE UNDERSIGNED CERTIFIES THAT SHE IS THE CITY CLERK FOR THE CITY OF CANTON,ILLINOIS,AND THAT THE CITY COUNCIL AT A REGULARLY CONSTITUTED MEETING OF SAID CITY COUNCIL OF THE CITY OF CANTON ON THE 20TH DAY OF NOVEMBER,2018 ADOPTED ORDINANCE NO. 4119,A TRUE AND CORRECT COPY OF WHICH IS CONTAINED IN THIS PAMPHLET. GIVEN UNDER MY HAND AND SEAL THIS Of() DAY OF NOVEMBER, 2018. (SEAL) DI NA PAVLEY-R CITY CLERK CITY OF CANTON, ILLINOIS ORDINANCE NO. 4119 AN ORDINANCE APPROVING AND AUTHORIZING THE EXECUTION OF A TIF REDEVELOPMENT AGREEMENT BY AND BETWEEN THE CITY OF CANTON,FULTON COUNTY, ILLINOIS AND DIANE BELL D/B/A DI'S BOUTIQUE PASSED BY THE CITY COUNCIL OF THE CITY OF CANTON, FULTON COUNTY, ILLINOIS, ON THE 20TH DAY OF NOVEMBER, 2018 PUBLISHED IN PAMPHLET FORM BY AUTHORITY OF THE CITY COUNCIL OF THE CITY OF CANTON, FULTON COUNTY, ILLINOIS, THIS 20TH DAY OF NOVEMBER, 2018 EFFECTIVE: NOVEMBER 20, 2018 CITY OF CANTON FULTON COUNTY, ILLINOIS ORDINANCE NO. 4119 CANTON 1- DOWNTOWN/5TH AVENUE TAX INCREMENT FINANCING DISTRICT AN ORDINANCE APPROVING AND AUTHORIZING THE EXECUTION OF A TIF REDEVELOPMENT AGREEMENT by and between THE CITY OF CANTON and DIANE BELL D/B/A DI'S BOUTIQUE ADOPTED BY THE CORPORATE AUTHORITIES OF THE CITY OF CANTON, FULTON COUNTY, ILLINOIS ON THE 20TH DAY OF NOVEMBER,2018. CITY OF CANTON, FULTON COUNTY, ILLINOIS ORDINANCE NO. 4119 CANTON 1-DOWNTOWN/5TH AVENUE TAX INCREMENT FINANCING DISTRICT AN ORDINANCE APPROVING AND AUTHORIZING THE EXECUTION OF A TIF REDEVELOPMENT AGREEMENT by and between THE CITY OF CANTON and DIANE BELL D/B/A DI'S BOUTIQUE NOW THEREFORE BE IT ORDAINED BY THE CITY OF CANTON,FULTON COUNTY, ILLINOIS THAT: 1. The TIF Redevelopment Agreement by and between the City of Canton, Fulton County, Illinois and Diane Bell, attached hereto as Exhibit A is hereby approved. 2. The Mayor is hereby authorized and directed to enter into and execute on behalf of the City said TIF Redevelopment Agreement and the City Clerk of the City of Canton is hereby authorized and directed to attest such execution. 3. The TIF Redevelopment Agreement shall be effective the date of its approval on the 20th day of November,A.D., 2018. 4. 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 is intentionally blank.) Page 1 PASSED, APPROVED AND ADOPTED by the Corporate Authorities of the City of Canton, Fulton County, Illinois, on the 20`h day of November,A.D.,2018,and deposited and filed in the Office of the City Clerk of said City on that date. CORPORATE AUTHORITIES AYE NAY ABSENT/ABSTAIN Ryan Mahew X Angie Lingenfelter X Craig West X Tad Putrich X ABSTAIN Quinn Mayhew X Justin Nelson X John Lovell X Angela Hale X Kent A. McDowell,Mayor Total Votes: 7 0 1 APPROVED: yV �✓�- \-A---Q3,Date: /(�)/ 2018 . JI /r aATTEST: _ �' D t : II / 6/ 2018 Ci V4 ATTACHMENT: EXHIBIT A: TIF Redevelopment Agreement by and between the City of Canton,Fulton County, Illinois and Diane Bell d/b/a Di's Boutique Page 2 CANTON 1- DOWNTOWN/5TH AVENUE TAX INCREMENT FINANCING DISTRICT TIF REDEVELOPMENT AGREEMENT by and between THE CITY OF CANTON, FULTON COUNTY, ILLINOIS and DIANE BELL D/B/A DI'S BOUTIQUE NOVEMBER 2018 CITY OF CANTON, FULTON COUNTY, ILLINOIS CANTON 1 - DOWNTOWN/5TH AVENUE TIF DISTRICT TIF REDEVELOPMENT AGREEMENT by and between THE CITY OF CANTON and DIANE BELL D/B/A DI'S BOUTIQUE THIS AGREEMENT (including Exhibits) is entered into this 20`h day of November 2018, by the City of Canton ("City"), an Illinois Municipal Corporation, Fulton County, Illinois; and Diane Bell ("Developer"),individually,d/b/a Di's Boutique. 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 property 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 appropriate and expend funds for economic development purposes, including without limitation for commercial enterprises that are deemed necessary or desirable for the promotion of economic development within the community; and WHEREAS, pursuant to the Tax Increment Allocation Redevelopment Act, 65 ILCS 5/11- 74.4 et seq., as amended (the "Act"), the City has the authority to provide incentives to owners or prospective owners of real property to develop, redevelop, and rehabilitate such property by reimbursing the owner for certain costs from resulting increases in real estate tax revenues and enter into contracts with developers necessary or incidental to the implementation of its redevelopment plan pursuant to 65 ILCS 5/11-74.4-4(b) and (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 Allocation Redevelopment Area under the Act known as the Canton International Harvester Site Project Area TIF District (the "Canton IH TIF District" is currently known as the "Canton 1 - Downtown/5th Avenue TIF District") on July 6,2004 by Ordinance No. 1805,Ordinance No. 1806 and Ordinance No. 1807 and hereinafter referred to as the "TIF District";and WHEREAS,pursuant to the TIF Act,the City approved the First Amendment to the Canton IH TIF District on November 22, 2011 by Ordinance No. 2052; and WHEREAS, pursuant to the TIF Act, the City approved the Second Amendment to the Canton IH TIF District on February 6, 2012 by Ordinance No. 2071; and Canton TIF District 1 /Diane Bell d/b/a Di's Boutique Redevelopment Agreement 1 WHEREAS, pursuant to the TIF Act, the City approved the Third Amendment to the Canton IH TIF District on April 5,2017 by Ordinance No.4068,Ordinance No.4069 and Ordinance No. 4070; and WHEREAS, included in the TIF District is a building located at 50 E. Elm Street, Canton, Illinois (PIN 09-08-27-218-006) (the "Property"),which the Developer is leasing for the operation of Di's Boutique; and WHEREAS, the Developer is proceeding with plans to undertake repairs and renovations to the front of the building on the Property,including but not limited to, the removal of old panels and an old sign and installation of new panels above the windows and a new sign (the "Project");and WHEREAS,the Developer is requesting tax increment financing assistance from the City for the reimbursement of TIF eligible project costs relating to the Project; and WHEREAS, it is the intent of the City to encourage economic development which will increase the real estate tax base of the City and the tax base of other taxing 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 City has the authority under the Act to incur Redevelopment Project Costs ("Eligible Project Costs") described in Exhibit 1 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 TIF District Redevelopment Plan, promote the health, safety and welfare of the City and its citizens by attracting new private investment to prevent further blight and deterioration, provide employment for its citizens and to generally enhance the economy of the City; and WHEREAS,the City and the Developer("Parties") have agreed that the City shall provide a forgivable loan to the Developer for reimbursement of a portion of the Developer's TIF Eligible Project Costs (as set forth in Exhibit 1 attached hereto) an amount equal to Fifty Percent (50%) of the verified TIF Eligible Project Costs, up to One Thousand One Hundred Seventy-Seven and 50/100 Dollars ($1,177.50) to be paid from the Canton 1 - Downtown/5th Avenue TIF District Special Tax Allocation Fund as specified below in Section C; and WHEREAS, said reimbursement shall be for TIF eligible project costs that are incurred and verified by the Developer for the Project;and WHEREAS, the Developer shall make a good faith effort to complete the Project in conformance with the City's Downtown Streetscape Plan; and Canton TIF District 1 /Diane Bell d/b/a Di's Boutique Redevelopment Agreement 2 WHEREAS, in consideration of the execution of this Agreement, the Developer has proceeded with his Project as set forth herein; and WHEREAS, the City is entering into this Agreement having encouraged and induced the Developer to complete the Project on said 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 incentives to the Developer in anticipation of the expected completion of the 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. B.ADOPTION OF TAX INCREMENT FINANCING The City has created a Tax Increment Financing District, currently known as "Canton 1 - Downtown/5th Avenue TIF District" which includes the Property. The City has assisted certain Redevelopment Projects within the TIF District through incentives, including the types described in Exhibit 1 for the Developer's Project. C. INCENTIVES In consideration for the Developer completing the Project as set forth herein, the City agrees to extend the Developer the following incentives to assist the Developer's Project: 1. In exchange for a Promissory Note to be issued by the Developer to the City as set forth in Exhibit 2 attached hereto, the City agrees to loan the Developer (the "Borrower") an amount equal to Fifty Percent (50%) of the Developer's verified TIF Eligible Project Costs, up to One Thousand One Hundred Seventy-Seven and 50/100 Dollars ($1,177.50) from the Canton 1 - Downtown/5th Avenue TIF District Special Tax Allocation Fund.The terms and conditions of the loan shall be as follows: a. The full Loan amount not to exceed$1,177.50 shall be paid to the Developer from the Canton TIF District 1 Special Tax Allocation Fund within thirty (30) days following the execution of this Agreement, or upon verification of a minimum of Canton TIF District 1 /Diane Bell d/b/a Di's Boutique Redevelopment Agreement 3 $2,355.00 of TIF Eligible Project Costs pursuant to Section E below,whichever occurs later. b. A separate Promissory Note is attached hereto as Exhibit 2 c. The interest rate for the note shall be Three Percent (3%) per annum and shall begin to accrue on the date the loan funds are disbursed to the Developer. d. The term of the note shall expire on the third (3`d) anniversary of the date the loan funds are disbursed to the Developer hereunder. e. One-third (1/3) of the principal of the loan amount, plus any accrued interest thereon, shall be forgiven annually by the City commencing one (1) year from the date the loan funds are disbursed to the Developer and continuing on said date of each year thereafter for the term of the loan, provided the Developer has been at all times in full compliance with every term of this Agreement, including the following: i. The Developer shall maintain constant and continuous operation of Di's Boutique located on the Property from the time the Project is complete and continuing for the term of this Agreement. ii. The Developer shall annually provide verification of the payment of the real estate taxes for the property during the term of this Agreement. iii. The Developer does not file for bankruptcy or otherwise become insolvent during the term of this Agreement. iv. The Property is not the subject of foreclosure proceedings during the term of this Agreement. D. LIMITATION OF INCENTIVES TO DEVELOPER In no event shall the maximum cumulative reimbursements for the Developer's TIF Eligible Project Costs pursuant to Section C(1) above exceed One Thousand One Hundred Seventy- Seven and 50/100 Dollars ($1,177.50) as set forth herein. E. PAYMENT OF ELIGIBLE PROJECT COSTS 1. A request for payment to the Developer for Eligible Project Costs as set forth by the Act,shall be made by a Requisition for Payment of Private Development Redevelopment Costs (Exhibit.3)in an amount equal to or exceeding Two Thousand Three Hundred Fifty-Five and 00/100 Dollars ($2,355.00), submitted by Developer to Jacob & Klein, Ltd. and The Economic Development Group (collectively the "Administrator") and subject to their approval of the costs and availability of funds in the Special Account. 2. All Requisitions must be accompanied by verified bills or statements of suppliers,contractors, or professionals together with Mechanic's Lien Waivers (partial or full) as required by the City's Administrator or Clerk. 3. The Developer shall use such sums as reimbursements for eligible expenses only to the extent permitted by law and the Act. 4. The Administrator shall approve or disapprove the Requisition 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 subsequently 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 forth herein shall apply to such re-submittals. 5. All TIF Eligible Project Costs approved shall then be paid by the City pursuant to the terms set forth in Section C above. 6. The Parties acknowledge that the determination of 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.The City has no obligation to the Developer to attempt to modify those decisions but will reasonably assist the Developer in every respect to obtain approval of Eligible 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 City's obligation hereunder is to pay Developer for Eligible Project Costs,limited to One Thousand One Hundred Seventy-Seven and 50/100 Dollars ($1,177.50) to be paid solely from the TIF District Special Tax Allocation Fund. 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 liability of the City or a charge or lien against the City's general credit or taxing 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 the Developer, nor shall the City be obligated to make direct payments to any other contractor, subcontractor, mechanic or materialman providing services or materials to the Developer for the Developer's Project. This Agreement shall not create any third-party rights and the Developer shall indemnify and hold the City harmless on any claims arising out of the Developer's construction activities. H. COOPERATION OF THE PARTIES The City and the Developer agree to cooperate fully with each other when requested to do so concerning the development of the Developer's Redevelopment Project. This includes without Canton TIF District 1 /Diane Bell d/b/a Di's Boutique Redevelopment Agreement 5 limitation the City assisting or sponsoring the Developer, or agreeing to jointly apply with the Developer, for any grant, award, subsidy or additional funding which may be available from other governmental sources as the result of the Developer's or City's activities. This also includes without limitation the Developer assisting or sponsoring the City, or agreeing to jointly apply with the City, for any grant, award, or subsidy which may be available as the result of the City's or the Developer's activities. I. 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 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 notice from a Non-defaulting 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 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 Party 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 thirty (30) days period, and thereafter diligently and continuously prosecutes the cure of such default until the same has been cured. J. TIME;FORCE MAJEURE For this Agreement, time is of the essence. The Developer agrees to complete the Project on or before December 31,2018. Failure to do so shall be cause for the City to declare the Developer in default and unilaterally terminate the Agreement. However, the Developer and the City shall not be deemed in default with respect to any obligations of this Agreement on its part to be performed if the Developer or City 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 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 directly or indirectly by the City (or the City's agents, employees or invitees) when applicable to Developer or third parties, or any other cause beyond the reasonable control of Developer or the City. K.ASSIGNMENT The rights (including, but not limited to, the right to payments contemplated by Section Cof this Agreement) and obligations of the Developer under this Agreement shall not be assignable. Canton TIF District 1 / Diane Bell d/b/a Di's Boutique Redevelopment Agreement 6 L. 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 Party pursuant to this Agreement. M. 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. N. 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 party or an officer,agent or attorney of the Party, 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 registered or certified mail,return receipt requested,with postage prepaid addressed as follows: To Developer: To City: Diane Bell City Clerk 50 E. Elm Street City of Canton Canton,IL 61520 2 N. Main Street Ph: (309) 647-0600 Canton,Illinois 61520 With copy to City TIF Administrator: Jacob & Klein,Ltd. The Economic Development Group,Ltd. 1701 Clearwater Avenue Bloomington, Illinois 61704 O. SUCCESSORS IN INTEREST Subject to the provisions of Section X above, this Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns. P. 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. Canton TIF District 1 /Diane Bell d/b/a Di's Boutique Redevelopment Agreement 7 Q. INDEMNIFICATION OF CITY It is the understanding of the Parties that the position of the Illinois Department of Labor is that the Illinois Prevailing Wage Act does not apply to TIF increment received by developers as reimbursement for private TIF Eligible Project Costs. This position of the Department of Labor is stated as an answer to a FAQ on its web site at: https://www.illinois.gov/idol/FAQs/Pages/prevailing-wage-faq.aspx. The Developer shall indemnify and hold harmless the City, 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 (820 ILCS 130/0.01 et. seq.), the Illinois Procurement Code, and/or any similar State or Federal law or regulation. In addition, the Developer agrees to indemnify and hold harmless the City for any claim asserted against the City arising from the Developer's Project and/or this Agreement or any challenge to the eligibility of project costs reimbursed to the Developer hereunder. 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. R. TITLES OF PARAGRAPHS Titles of the several parts,paragraphs, sections or articles of this Agreement are inserted for convenience of reference only and shall be disregarded in construing or interpreting any provisions hereof. S. 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. T. TERM OF THE AGREEMENT This Agreement shall expire on the date that is three (3) years from the date the loan funds provided for in Section C above are disbursed to the Developer. The Agreement shall expire sooner if the Developer files for bankruptcy or otherwise becomes insolvent, the Property becomes subject of foreclosure proceedings or up on any other default by the Developer of the Agreement. Canton TIF District 1 /Diane Bell d/b/a Di's Boutique Redevelopment Agreement 8 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 OF CANTON, an Illinois DEVELOPER Municipal Corporation By: _ .� k :� � AA Mayor / Date Diane Bell Date ATTEST: .#4,,(40101 �^ City C er Date Canton TIF District 1 /Diane Bell d/b/a Di's Boutique Redevelopment Agreement 9 EXHIBIT 1 SUMMARY OF ESTIMATED TIF ELIGIBLE PROJECT COSTS Diane Bell d/b/a Di's Boutique Canton 1 -Downtown/5th Avenue TIF District City of Canton, Fulton County, Illinois Project Description: The Developer is proceeding with plans to undertake repairs and renovations to the front of the building on the Property, including but not limited to, the removal of old panels and an old sign and installation of new panels above the windows and a new sign and is requesting TIF incentives for the same. Street Location: 50 E. Elm Street, Canton, Illinois Estimated Eligible Project Costs: Repairs and renovations to front of building for Removal&Replacement of Panels &Sign $2,355.00 Total Estimated TIF Eligible Project Costs' $2,355.00 1 Although the Developer's TIF Eligible Project Costs for the Project may exceed $1,177.50, the City's reimbursement to the Developer shall not in any event exceed$1,177.50. Canton TIF District 1 /Diane Bell d/b/a Di's Boutique Redevelopment Agreement 10 EXHIBIT 2 PROMISSORY NOTE FOR VALUE RECEIVED,Diane Bell(the"Borrower"),promises to pay the City of Canton, Fulton County, Illinois, an Illinois Municipal Corporation ("Lender") the principal sum of up to One Thousand One Hundred Seventy-Seven Dollars and 50/100 ($1,177.50)with interest accruing on the unpaid principal at the rate of three percent (3%) per annum. The aforementioned principal sum represents monies loaned by the Lender to the Borrower for the reimbursement of Borrower's TIF Eligible Project Costs, specifically redevelopment project costs, incurred as a result of a Redevelopment Project located at 50 E. Elm Street, Canton, Illinois (Parcel Identification # 09-08- 27-218-006) (the "Property"),within the Redevelopment Project Area and that is the subject of a Tax Increment Financing District Redevelopment Agreement between the City of Canton and Diane Bell (the "Redevelopment Agreement") entered into the 20`h day of November, 2018. The term of this Promissory Note shall commence on the date the reimbursements provided for in Section C of the Redevelopment Agreement are disbursed to the Borrower and end on the date that is three (3) years from the date of such disbursement. Provided that the Borrower is at all times in compliance with the Redevelopment Agreement and this Promissory Note, One-Third (1/3) of the principal balance of up to $1,177.50, plus any accrued interest thereon,shall be forgiven by the Lender each year during the term of this Promissory Note, with the first date of forgiveness being the date that is one (1) year from the date of the disbursement set forth in Section C of the Redevelopment Agreement and continuing on said date of each year thereafter for the term of this Promissory Note. Provided that the Borrower does not Default or otherwise breach this Promissory Note or the Redevelopment Agreement,the full principal amount of this Promissory Note,plus any accrued interest thereon,shall be forgiven on the expiration of this Promissory Note. The Borrower shall be deemed in Default of this Promissory Note,if the Borrower: 1) Fails to maintain constant and continuous operation of Di's Boutique located on the Property for the Term of the Promissory Note; 2) Files for bankruptcy or otherwise becomes insolvent during the term of this Promissory Note; 3) Fails to provide annual verification that the ad valorem real estate taxes for the subject Property have been paid; 4) If the Property becomes the subject of foreclosure proceedings. In the event the Borrower is in Default under the terms of this Promissory Note or the Redevelopment Agreement and does not cure said default or breach on or before the thirtieth (30`h) day after Lender gives Borrower written notice of Default thereof by personal delivery or certified mailing, the outstanding principal amount, plus any accrued interest thereon, is immediately due to the Lender and the Lender shall be entitled to all remedies permitted by law. Notice shall be deemed given on the date of personal delivery or date of mailing, whichever applies. No delay or failure in giving notice of said Default or breach shall constitute a waiver of the right of the Lender to exercise said right in the event of a subsequent or continuing Default or breach. Furthermore,in the event of such Default or breach, Borrower promises to reimburse Lender for all collection and/or litigation Canton TIF District 1 /Diane Bell d/b/a Di's Boutique Redevelopment Agreement 11 costs incurred by the City, including reasonable attorney fees and court costs, whether judgment is rendered or not. This Promissory Note has been entered into and shall be performed in the City of Canton, Fulton County, Illinois, and shall be construed in accordance with the laws of Illinois and any applicable federal statutes or regulations of the United States. Any claims or disputes concerning this Note shall, at the sole election of the Lender,be adjudicated in Fulton County,Illinois. BORROWER: LENDER: BY:'l '_,A A •[Mt t \, / Diane Bell ' Mayor,C • •f .nt• DATE: ATTEST: 4_ City er,City of Canton DATE: Canton TIF District 1 /Diane Bell d/b/a Di's Boutique Redevelopment Agreement 12 EXHIBIT 3 CITY OF CANTON, ILLINOIS CANTON 1 -DOWNTOWN/5TH AVENUE TAX INCREMENT FINANCING DISTRICT PRIVATE PROJECT REQUEST FOR REIMBURSEMENT by DIANE BELL D/B/A DI'S BOUTIQUE Date Attention: City TIF Administrator,City of Canton Re: TIF Redevelopment Agreement,dated November 20,2018 by and between the City of Canton, Illinois, and Diane Bell (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 the Developer 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: Diane Bell 3. AMOUNTS REQUESTED TO BE DISBURSED: Description of TIF Eligible Project Cost Amount Total Canton TIF District 1 /Diane Bell d/b/a Di's Boutique Redevelopment Agreement 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 Request 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 Waivers relating to all items for which the Developer's Loan Funds will be used to pay. BY: (Developer) TITLE: APPRO D BY CITY OF CANTON,ILLI OIS ...rep BY: Vw` (,� TITLE: M4Ay'o IL- DATE: REVIEWED BY JACOB&KLEIN,LTD.&THE ECONOMIC DEVELOPMENT GROUP,LTD. BY: TITLE: DATE: Canton TIF District 1 /Diane Bell d/b/a Di's Boutique Redevelopment Agreement 14 CANTON 1- DOWNTOWN/5TH AVENUE TAX INCREMENT FINANCING DISTRICT TIF REDEVELOPMENT AGREEMENT by and between THE CITY OF CANTON, FULTON COUNTY, ILLINOIS and DIANE BELL D/B/A DI'S BOUTIQUE NOVEMBER 2018 CITY OF CANTON, FULTON COUNTY, ILLINOIS CANTON 1 -DOWNTOWN/5TH AVENUE TIF DISTRICT TIF REDEVELOPMENT AGREEMENT by and between THE CITY OF CANTON and DIANE BELL D/B/A DI'S BOUTIQUE THIS AGREEMENT (including_Exthibrts) is entered into this 20`'day of November 2018, by the City of Canton ("City"), an Illinois Municipal Corporation, Fulton County, Illinois; and Diane Bell ("Developer"),individually,d/b/a Di's Boutique. 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 property 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 appropriate and expend funds for economic development purposes, including without limitation for commercial enterprises that are deemed necessary or desirable for the promotion of economic development within the community; and WHEREAS, pursuant to the Tax Increment Allocation Redevelopment Act, 65 ILCS 5/11- 74.4 et seq., as amended (the "Act"), the City has the authority to provide incentives to owners or prospective owners of real property to develop, redevelop, and rehabilitate such property by reimbursing the owner for certain costs from resulting increases in real estate tax revenues and enter into contracts with developers necessary or incidental to the implementation of its redevelopment plan pursuant to 65 ILCS 5/11-74.4-4(b) and (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 Allocation Redevelopment Area under the Act known as the Canton International Harvester Site Project Area`IIF District (the "Canton IH TIF District" is currently known as the "Canton 1 - Downtown/5th Avenue TIF District") on July 6,2004 by Ordinance No. 1805,Ordinance No. 1806 and Ordinance No. 1807 and hereinafter referred to as the "TIF District"; and WHEREAS,pursuant to the TIF Act,the City approved the First Amendment to the Canton Il-I TIF District on November 22, 2011 by Ordinance No. 2052;and WHIEREAS, pursuant to the TCF Act, the City approved the Second Amendment to the Canton Ill TIF District on February 6, 2012 by Ordinance No. 2071; and Canton'h F District 1 / Diane Bell cl h/a Di's Boutique Redevelopment Agreement WHEREAS, pursuant to the TIP Act, the City approved the Third Amendment to the Canton IH TIF District on April 5,2017 by Ordinance No.4068,Ordinance No. 4069 and Ordinance No. 4070; and WHEREAS, included in the TIF District is a building located at 50 E. Elm Street, Canton, Illinois (PIN 09-08-27-218-006) (the "Property"),which the Developer is leasing for the operation of Di's Boutique; and WHEREAS, the Developer is proceeding with plans to undertake repairs and renovations to the front of the building on the Property,including but not limited to, the removal of old panels and an old sign and installation of new panels above the windows and a new sign (the "Project");and WHEREAS, the Developer is requesting tax increment financing assistance from the City for the reimbursement of TIF eligible project costs relating to the Project; and WHEREAS, it is the intent of the City to encourage economic development which will increase the real estate tax base of the City and the tax base of other taxing 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 City has the authority under the Act to incur Redevelopment Project Costs ("Eligible Project Costs") described in Exhibit 1 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 TIF District Redevelopment Plan, promote the health, safety and welfare of the City and its citizens by attracting new private investment to prevent further blight and deterioration, provide employment for its citizens and to generally enhance the economy of the City; and WHEREAS, the City and the Developer ("Parties") have agreed that the City shall provide a forgivable loan to the Developer for reimbursement of a portion of the Developer's TIF Eligible Project Costs (as set forth in Exhibit 1 attached hereto) an amount equal to Fifty Percent (50%) of the verified TIP Eligible Project Costs, up to One Thousand One Hundred Seventy-Seven and 50/100 Dollars ($1,177.50) to be paid from the Canton 1 - Downtown/5th Avenue TIF District Special Tax Allocation Fund as specified below in Section C; and WHEREAS, said reimbursement shall be for T1F eligible project costs that are incurred and verified by the Developer for the Project; and WHEREAS, the Developer shall make a good faith effort to complete the Project in conformance with the City's Downtown Streetscape Plan; and Canton TIP District I / Diane Bell d/h/a Di's Boutique Redevelopment Agreement 2 WHEREAS, in consideration of the execution of this Agreement, the Developer has proceeded with his Project as set forth herein; and WHEREAS, the City is entering into this Agreement having encouraged and induced the Developer to complete the Project on said 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 incentives to the Developer in anticipation of the expected completion of the 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. B. ADOPTION OF TAX INCREMENT FINANCING The City has created a Tax Increment Financing District, currently known as "Canton 1 - Downtown/5th Avenue TIF District" which includes the Property. The City has assisted certain Redevelopment Projects within the TIF District through incentives, including the types described in Exhibit 1 for the Developer's Project. C. INCENTIVES In consideration for. the Developer completing the Project as set forth herein, the City agrees to extend the Developer the following incentives to assist the Developer's Project: 1. In exchange for a Promissory Note to be issued by the Developer to the City as set forth in Exhibit 2 attached hereto, the City agrees to loan the Developer (the "Borrower") an amount equal to Fifty Percent (50%) of the Developer's verified TIF Eligible Project Costs, up to One Thousand One Hundred. Seventy-Seven and 50/100 Dollars ($1,177.50) from the Canton 1 Downtown/5th Avenue TIF District Special Tax Allocation Fund. The terms and conditions of the loan shall be as follows: a. The full Loan amount not to exceed$1,177.50 shall be paid to the Developer from the Canton TIF District 1 Special Tax Allocation Fund within thirty (30) days following the execution of this Agreement, or upon verification of a minimum of Canton TI,F District 1 / Diane Bell d/b/a L7i's Boutique Redevelopment Agreement 3 $2,355.00 of TIE Eligible Project Costs pursuant to Section Ebelow,whichever occurs later. b. A separate Promissory Note is attached hereto as Exhibit 2. c. The interest rate for the note shall he Three Percent (39/o) per annum and shall begin to accrue on the date the loan funds are disbursed to the Developer. d. The term of the note shall expire on the third (3rd) anniversary of the date the loan funds are disbursed to the Developer hereunder. e. One-third (1/3) of the principal of the loan amount, plus any accrued interest thereon, shall be forgiven annually by the City commencing one (1) year from the date the loan funds are disbursed to the Developer and continuing on said date of each year thereafter for the term of the loan, provided the Developer has been at all times in full compliance with every term of this Agreement, including the following: i. The Developer shall maintain constant and continuous operation of Di's Boutique located on the Property from the time the Project is complete and continuing for the term of this Agreement. ii. The Developer shall annually provide verification of the payment of the real estate taxes for the property during the term of this Agreement. iii. The Developer does not file for bankruptcy or otherwise become insolvent during the term of this Agreement. iv. The Property is not the subject of foreclosure proceedings during the term of this Agreement. D. LIMITATION OF INCENTIVES TO DEVELOPER In no event shall the maximum cumulative reimbursements for the Developer's TIF Eligible Project Costs pursuant to Section C(1) above exceed One Thousand One Hundred Seventy- Seven and 50/100 Dollars ($1,177.50) as set forth herein. E. PAYMENT OF ELIGIBLE PROJECT COSTS 1. A request for payment to the Developer for Eligible Project Costs as set forth by the Act,shall be made by a Requisition for Payment of Private Development Redevelopment Costs (Exhibit 3) in an amount equal to or exceeding Two Thousand Three Hundred Fifty-Five and 00/100 Dollars ($2,355.00), submitted by Developer to Jacob & Klein, Ltd. and. The Economic Development Group (collectively the "Administrator") and subject to their approval of the costs and availability of funds in the Special Account. 2. All Requisitions must be accompanied by verified bills or statements of suppliers, contractors, or professionals together with Mechanic's Lien Waivers (partial or full) as required by the City's Administrator or Clerk. 3. The Developer shall use such sums as reimbursements for eligible expenses only to the extent permitted by law and the Act. 4. The Administrator shall approve or disapprove the Requisition 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 subsequently 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 forth herein shall apply to such re-submittals. 5. All TIF Eligible Project Costs approved shall then be paid by the City pursuant to the terms set forth in Section C above. 6. The Parties acknowledge that the determination of 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.The City has no obligation to the Developer to attempt to modify those decisions but will reasonably assist the Developer in every respect to obtain approval of Eligible 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 City's obligation hereunder is to pay Developer for Eligible Project Costs,limited to One Thousand One Hundred Seventy-Seven and 50/100 Dollars ($1,177.50) to be paid solely from the TIF.District Special Tax Allocation Fund. 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 liability of the City or a charge or lien against the City's general credit or taxing power. G. LIMITED LIABILITY OF CITY TO OTHERS FOR DEVELOPER'S EXPENSES There shall he no obligation by the City to make any payments to any person other than the Developer, nor shall the City be obligated to make direct payments to any other contractor, subcontractor, mechanic or materialman providing services or materials to the Developer for the Developer's Project. This Agreement shall not create any third-party rights and the Developer shall indemnify and hold the City harmless on any claims arising out of the Developer's construction activities. H. COOPERATION OF THE PARTIES The City and the Developer agree to cooperate fully with each other when requested to do so concerning the development of the Developer's Redevelopment Project. This includes without Canton TIP District 1 /Diane Bell d/b/a Di's Boutique Redevelopment Anrreement 5 limitation the City assisting or sponsoring the Developer, or agreeing to jointly apply with the Developer, for any grant, award, subsidy or additional funding which may be available from other governmental sources as the result of the Developer's or. City's activities. This also includes without limitation the Developer assisting or sponsoring the City, or agreeing to jointly apply with the City, for any grant, award, or subsidy which may be available as the result of the City's or the Developer's activities. I. 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 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 notice from a Non-defaulting 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 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 Party 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 thirty (30) days period, and thereafter diligently and continuously prosecutes the cure of such default until the same has been cured. J. TIME; FORCE MAJEURE For this Agreement, time is of the essence. The Developer agrees to complete the Project on or before December 31, 2018. Failure to do so shall be cause for the City to declare the Developer in default and unilaterally terminate the Agreement. However, the Developer and the City shall not be deemed in default with respect to any obligations of this Agreement on its part to be performed if the Developer or. City 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 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 directly or indirectly by the City (or the City's agents, employees or invitees) when applicable to Developer or third parties, or any other cause beyond the reasonable control of Developer or the City. K.ASSIGNMENT The rights (including, but not limited to, the right to payments contemplated by Section Cof this Agreement) and obligations of the Developer under this Agreement shall not be assignable. Canton"i'IF District I / Diane Bell d/b/a Di's Boutique Redevelopment Agreement 6 L. 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 Party pursuant to this Agreement. M. 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. N. 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 party or an officer,agent or attorney of the Party, 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 Developer: To City: Diane Bell City Clerk 50 E. Elm Street City of Canton Canton, IL 61520 2 N. Main Street Ph: (309) 647-0600 Canton, Illinois 61520 With copy to City TIF.Administrator Jacob & Klein, Ltd. The Economic Development Group,Ltd. 1701 Clearwater Avenue Bloomington, Illinois 61704 O. SUCCESSORS IN INTEREST Subject to the provisions of Section X above, this Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns. P. 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. Canton TIF District 1 / Diane Bell d/b/a Di's Boutique Redevelopment Agreement Q. INDEMNIFICATION OF CITY It is the understanding of the Parties that the position of the Illinois Department of Labor is that the Illinois Prevailing Wage Act does not apply to TIF increment received by developers as reimbursement for private TIF Eligible Project Costs. This position of the Department of Labor is stated as an answer to a FAQ on its website at: lutp`:u/www.tll;ineus,},ttv/i /I:AQ iPagGs/pre vaill�t;rt� t � f;e ;i, o'. The Developer shall indemnify and hold harmless the City, and all City elected or appointed officials, officers, employees, agents, representatives, engineers, consultants and attorneys (collectively, the Indemnified Parties), from any and al.l 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 (820 ILCS 130/0.01 et. seg.), the Illinois Procurement Code, and/or any similar State or Federal law or regulation. In addition,the Developer agrees to indemnify and hold harmless the City for any claim asserted against the City arising from the Developer's Project and/or this Agreement or any chttllznge to the eligibility of project costs reimbursed to die Developer hereunder. 'I'his obligation to indemnify and hold harmless oblig nes 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. R. TITLES OF PARAGRAPHS Titles of the several parts, paragraphs, sections or articles of this Agreement are inserted for convenience of reference only and shall be disregarded in construing or interpreting any provisions hereof. S. 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. T. TERM OF THE AGREEMENT This Agreement shall expire on the date that is three (3) years from the date the loan funds provided for in Section C above are disbursed to the Developer. The Agreement shall expire sooner if the Developer files for bankruptcy or otherwise becomes insolvent, the Property becomes subject of foreclosure proceedings or up on any other default by the Developer of the Agreement. Canton T'IF'District 1 / Diane Bell d/b/a Di's Boutique Redevelopment Agreement 8 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 OF CANTON, an Illinois DEVELOPER Municipal Corporation Byjef " Vci? /J8 Ma'or Date ag/�� Diane Bell Da 01" ATTEST: / - City r erk Date Canton TIT District '1 / Diane Bell d/b/a Di's Boutique Redevelopment Agreement 9 EXHIBIT 1 SUMMARY OF ESTIMATED TIF ELIGIBLE PROJECT COSTS Diane Bell d/b/a Di's Boutique Canton 1 -Downtown/5th Avenue TIF District City of Canton,Fulton County,Illinois Project Description: The Developer is proceeding with plans to undertake repairs and renovations to the front of the building on the Property, including but not limited to, the removal of old panels and an old sign and installation of new panels above the windows and a new sign and is requesting TIF incentives for the same. Street Location: 50 E. Elm Street,Canton,Illinois Estimated Eligible Project Costs: Repairs and renovations to front of building for Removal&Replacement of Panels&Sign $2.355.00 Total Estimated TIF Eligible Project Costs' $2,355.00 1 Although the Developer's TIF Eligible Project Costs for the Project may exceed $1,177.50, the City's reimbursement to the Developer shall not in any event exceed$1,177.50. Canton TIF District 1 /Diane Bell d/b/a Di's Boutique Redevelopment Agreement 10 EXHIBIT 2 PROMISSORY NOTE FOR VALUE RECEIVED,Diane Bell(the`Borrower"),promises to pay the City of Canton, Fulton County, Illinois,an Illinois Municipal Corporation ("Lender") the principal sum of up to One Thousand One Hundred Seventy-Seven Dollars and 50/100 ($1,177.50)with interest accruing on the unpaid principal at the rate of three percent (3%) per annum. The aforementioned principal sum represents monies loaned by the Lender to the Borrower for the reimbursement of Borrower's TIF Eligible Project Costs, specifically redevelopment project costs, incurred as a result of a Redevelopment Project located at 50 E. Elm Street, Canton, Illinois (Parcel Identification # 09-08- 27-218-006) (the "Property"),within the Redevelopment Project Area and that is the subject of a Tax Increment Financing District Redevelopment Agreement between the City of Canton and Diane Bell (the"Redevelopment Agreement") entered into the 20th day of November,2018. The term of this Promissory Note shall commence on the date the reimbursements provided for in Section C of the Redevelopment Agreement are disbursed to the Borrower and end on the date that is three (3) years from the date of such disbursement. Provided that the Borrower is at all times in compliance with the Redevelopment Agreement and this Promissory Note, One-Third (1/3) of the principal balance of up to $1,177.50, plus any accrued interest thereon,shall be forgiven by the Lender each year during the term of this Promissory Note, with the first date of forgiveness being the date that is one (1) year from the date of the disbursement set forth in Section C of the Redevelopment Agreement and continuing on said date of each year thereafter for the term of this Promissory Note. Provided that the Borrower does not Default or otherwise breach this Promissory Note or the Redevelopment Agreement,the full principal amount of this Promissory Note,plus any accrued interest thereon,shall be forgiven on the expiration of this Promissory Note. The Borrower shall be deemed in Default of this Promissory Note,if the Borrower: 1) Fails to maintain constant and continuous operation of Di's Boutique located on the Property for the Term of the Promissory Note; 2) Files for bankruptcy or otherwise becomes insolvent during the term of this Promissory Note; 3) Fails to provide annual verification that the ad valorem real estate taxes for the subject Property have been paid; 4) If the Property becomes the subject of foreclosure proceedings. In the event the Borrower is in Default under the terms of this Promissory Note or the Redevelopment Agreement and does not cure said default or breach on or before the thirtieth (30`h) day after Lender gives Borrower written notice of Default thereof by personal delivery or certified mailing, the outstanding principal amount, plus any accrued interest thereon, is immediately due to the Lender and the Lender shall be entitled to all remedies permitted by law. Notice shall be deemed given on the date of personal delivery or date of mailing, whichever applies. No delay or failure in giving notice of said Default or breach shall constitute a waiver of the right of the Lender to exercise said right in the event of a subsequent or continuing Default or breach. Furthermore,in the event of such Default or breach, Borrower promises to reimburse Lender for all collection and/or litigation Canton TIF District 1 /Diane Bell d/b/a Di's Boutique Redevelopment Agreement 11 costs incurred by the City, including reasonable attorney fees and court costs, whether judgment is rendered or not. This Promissory Note has been entered into and shall be performed in the City of Canton, Fulton County, Illinois, and shall be construed in accordance with the laws of Illinois and any applicable federal statutes or regulations of the United States. Any claims or disputes concerning this Note shall,at the sole election of the Lender,be adjudicated in Fulton County, Illinois. BORROWER: LENDER; ` 1.911 BY:4 L. 4 -WA •Diane Bell Mayor, '- •f :n DATE: 8—A 1?--1 s ATTEST: Cyt t►� City lerk, City of Canton DATE: f /�� ZS�� Canton TIF District 1 /Diane Bell d/b/a Di's Boutique Redevelopment Agreement 12 JXHIBIT 3 CITY OF CANTON,ILLINOIS CANTON 1-DOWNTOWN/5TH AVENUE TAX INCREMENT FINANCING DISTRICT PRIVATE PROJECT REQUEST FOR REIMBURSEMENT by DIANE BELL D/B/A DI'S BOUTIQUE Date ii- 8>03) Attention: City TIF Administrator,City of Canton Re: TIF Redevelopment Agreement,dated November 20,2018 by and between the City of Canton,Illinois,and Diane Bell (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 the Developer 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: Diane Bell 3. AMOUNTS REQUESTED TO BE DISBURSED: Description of TIF Eligible Project Cost Amount Total Canton TIF District 1 / Diane Bell d/b/a Di's Boutique Redevelopment Agreement 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 I 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 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 ' ers relating to all items for which the Developer's Loan Funds will be used to pay. BY: �_.C_SZ'l t.`0* c. k��� (Developer) TITLE: aL.A.-2--)'''‘.--g-)-0 APPRO D Y CITY OF TON,ILL OIS BY: iti_ t IMI. TITLE: //1/P VO DATE.: // 2g'-/g/ REVIEWED BY JACOB&KLEIN,LTD.&THE ECONOMIC DEVELOPMENT GROUP,LTD. BY: TITLE: DATE: Canton TIF District 1 / Diane Bell d/b/a Di's Boutique Redevelopment Agreement 14 Sr'°`""'�'" iOS Inc. Estimate25599 E. Middle Lake Rd. --dial"- rZ•. to, Canton, IL 61520 (309)647-0569 contact@snowmanstudios.corn SNOWMAN STUDIOS 1NC. http://www.snowmanstudios.com Diane Bell Di's Boutique Canton, IL 61520 E'sTIMAFE# CA'tlTti 1085 10/18/2018 Sign 1 600.00 600.00 Replacement panels in burgandy for front of building above windows. Removal of old panels and installation of new. Sign 1 1,785.00 1,785.00 4'x18'Marquee Sign in Alupanel-painted burgandy to match panels above window with white letters and two accent colors.Two-sided. City Sign Permit, removal of old sign and installation of new. This estimate is good for 30 days.All designs remain property of TOTAL $2,385.00 Snowman Studios Inc.until final payment is made.50%payment is required to begin project.Remaining 50%due upon completion.PLEASE NOTE:Starting January 1,2016-All invoice payments made by �`) 14 15 . 0°5 , 0° credit/debit card will be accessed an additional 3%to cover processing �c charges. Accepted By Accepted Date