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HomeMy WebLinkAboutOrdinance #2055 i i CITY OF CANTON, FULTON, ILLINOIS ORDINANCE NO. ~ U ~ ~ CANTON 4-A TAX INCREMENT FINANCING (TIF) DISTRICT AN ORDINANCE APPROVING AND AUTHORIZING THE EXECUTION OF A REDEVELOPMENT AGREEMENT by and between THE CITY OF CANTON and BYRON TINDALL (D/B/A ~~BT INTERIORS") ADOPTED BY THE CORPORATE AUTHORITIES OF THE CITY OF CANTON, FULTON COUNTY, ILLINOIS, ON THE 2 Z DAY OF NOVEMBER, 2011. ti CIT"Y OF CANTON, ILLINOIS: ORDINANCE NO. CANTON 4-A TAX INCREMENT FINANCING (TIF) DISTRICT AN ORDINANCE APPROVING AND AUTHORIZING THE EXECUTION OF A REDEVELOPMENT AGREEMENT BY AND BETWEEN THE CITY OF CANTON AND BYRON TINDALL (D/B/A ~~BT INTERIORS") BE IT ORDAINED BY THE CITY OF CANTON THAT: SECTION ONE: The Redevelopment Agreement with BS~ron Tindall (D/B/A `BT Interiors") (ExhiGitA attached) is hereby approved. SECTION TWO: The MayoY is hereb~ autho~ized and directed to enter into and execute on behalf of the City said Redevelopment Agreement and the City Clerk of the City of Canton is hereby authorized and directed to attest such execution. SECTION THREE: The Redevelopment Agreement shall be effective the date of its approval on the v~a-day of November, 20ll. SECTION FOUR: This Ordinance shall be in full force and effect from and after its passage and approval as required by law. [Balance ofpqge is intentionql/y hlaJZk.] PASSED, APPROVED AND ADOPTED by~ the Corporate Authorities of the Ciry of Canton, Fulton County, Illinois, on the ~~day of November, r~.D., 2011, 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 Ald. David Pickel Ald. James Haxtford Ald. Jeffrey Fritz Ald. Cxaig West ~ Ald. Gerald Ellis ~ld. Justin Nelson r~ld. Eric Schenck Ald. Jeremy Pasle~ Hon. Kevin Meade, Mayor TOTAL VOTES ~ , = ~ /w ~ /i APPROVED: , Date / / 2011 Hon. Ke~-in Meade, Mayor, Cit~~ of Canton ATTEST: , Date: o~~-/ 2011 Diana Tu , City Clerk, Cit~~ of Canton r17"1';A(:( Ii~4I?N'1'S: EXHIBIT A: ltl?DI?V'I?LOPh91?N'1' :1GRI?i?~fl?N'I' B1:1'V~%I?I?N ']'I II? Cl'1'Y OI~' C~1N'1'ON ANll HYRON 1'INll.11.1, (ll/B/:~ `B'f IN'1'l~?]ZIORS") -3- EXHIBIT A REDEVELOPMENT AGREEMENT by and between CITY OF CANTON and BYRON TINDALL (D/B/A ~~BT INTERIORS") CANTON 4-A TAX INCREMENT FINANCING (TIF) DISTRICT TAX INCREMENT FINANCING DISTRICT REDEVELOPMENT AGREEMENT by and between CITY OF CANTON, FULTON COUNTY, ILLINOIS and BYRON TINDALL (D/B/A "BT INTERIORS") CANTON 4-A TAX INCREMENT FINANCING DISTRICT NOVEMBER 2011 REDEVELOPMENT AGREEMENT CITY OF CANTON & BYRON TINDALL (D/B/A "BT INTERIORS") CANTON 4-A TIF DISTRICT THIS REDEVELOPMENT AGREEMENT (including I~.xhibits) ("Agreement") is entered into this ~.day of November, 2011, b~ the City of Canton (the "City"), an Illinois Municipal Corporation, Fulton Count~~, Illinois, and Byron Tindall (D/B/A `BT Interiors") (the "Developer"), an Illinois Corporation. PREAMBLE WHEREAS, the City has the authoriry to promote the health, safety, and welfaYe 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 propert~~ thereby increasing the tax base of the City and providing employment foY its citizens; and WHEREAS, pursuant to the Tax Increment Allocation Redevelopment Act, 65 ILCS 5/11-74.4.4 et seq, as amended (the "Act"), the Cit~ has the authoriry to provide incentives to owners or pYOSpective owners of real property to develop, redevelop, and rehabilitate such properry by Yeimbursing the owners for certain costs from resulting increases in real estate tax revenues; and WHEREAS, on December 31, 1)87, recognizing the need to foster the de~relopment, expansion and rcvitalization of certain properties which are vacant, underutilizcd or undeveloped, the Cit~~ adopted Tax Increment Financing under the Act, approved a Redevelopment Plan and designated a Redevelopment Area, pursuant to the Act, known as Canton 4-A Tax Increment Financing District ( the "TIF District"); and WHEREAS, the Developer is the owner of propert~~ within tl~e boundaries TIF District at 1 Enterprise Lane, Canton, Illinois ("Propert~~"); and WHEREAS, the Developer is the owner of a business located on said Property and is constructing stoYage units, based upon the availabilitp of incentives by the Cit~~; and WHEREAS, the Cit~~ has the authorit~~ under the r~ct to incur Redevelopment Project Costs ("Eligible Project Costs") and to reimburse De~reloper for such costs; and WHEREAS, the Developer requests that incentives for the development be provided b~~ the Ciry and that such incentives include the reimbursement of a portion of the De~reloper's Eligible Project Costs; and WHEREAS, the Ciry has deterinined that this Project requires the incentives requested and that said Project will, as a part of the Plan, promotc the health, safet~~ and ~velfare of the Cit~~ and its citizens by attracting pYivate uivesmient to prevent bligl~t and deterioration, to develop underutilized propertp, and Byrnr7 Tirtdall. - Ca~~loi~ -1-A TIF Dis~rict Puge 2 of 9 to provide employment foY its citizens and generall~r to enhance the economy of the City; and WHEREAS, the City shall pay to the Developer a one-time lump sum payment in the amount of Three Thousand Seven Hundred Thirty-Seven Dollars and Eleven Cents ($3,737.11) from the TIF District's Special Tax Allocation Fund for the reimbursement of Eligible Project Costs, which shall be paid upon verification of the Developer's Eligible Pxoject Costs as set forth in Sectio~a F_; and WHEREAS, the Cit~~ is entering into this r~greement to induce the Developer to construct storage units on said Propert~~; and WHEREAS, in consideration of the execution of this Agreement and in reliance thereon, the Developer has proceed with its plans to complete the Project as set foxth herein. AGREEMENTS NOW, THEREFORE, for good and valuable consideration, the receipt of which is acknowledged, the Parties agree as follows: A. PRELIMINARY STATEMENTS 1. The Parties agree that the matters set forth in the recitals above aYe ttue and correct and form a part of this Agreement, and are to be construed as binding statements of this Agreement. 2. Any ternls ~vhich are not defined in this Agreement shall ha~re the same meaning as they do in the Act, unless indicated to the contrar5~. 3. The City in extending incentives for this Project is rel~~ing on the representation of the Developer contained herein to substanriall5~ complete the Project as set forth herein. 4. Each of the Parues YepYesents that it has taken all actions necessar5~ to authorize its repYesentatives to execute this Agreement. B. ADOPTION OF TAX INCREMENT FINANCING 'I'he City has created a Tax Increment I~inancing District known as the "Canton 4-A TIF District" which includes the Developer's Property~. The City has approved certain Redevelopment Project Costs in its Redevelopment Plan, inclUding the t}~pes described in Exhibit 4 for the Developer's Project which shall be hereafter known as the `Byron Tindall Project" (the "Project"). C. INCENTIVES In consideration for the De~reloper complering its Project as set forth herein, the Cit~~ agrees to extend to Det~eloper the follo~ving incenrives to assist Developer's Project: Bp~•on Tindall. - Canton 4-A T/F Uistrict Page 3 of 9 1. the City shall pay to the Developer a one-time lump sum payment in the amount of Three Thousand Seven Hundred Thirty-Seven Dollars and Eleven Cents ($3,737.11) from the TIF District's Special Tax Allocarion Fund for the reimbursement of the Developer's Eligible Project Costs (see F_xhibit 1), which shall be paid upon verification of the Eligible Project Costs as set forth in Section E. D. LIMITATION OF INCENTIVES TO DEVELOPER 1. The Developer shall be reimbursed by the Cin~ only for rligible Project Costs permitted by the Act and incurred as a result of the Project, not to exceed Three Thousand Seven Hundred Thirty-Seven Dollars and Eleven Cents ($3,737.11), from the TIF District's Special Tax r~llocation Fund. E. PAYMENT OF ELIGIBLE PROJECT COSTS 1. Payment to the Developer for Fligible Project Costs as set forth by the Act shall be made by a Requisition for Payment of Private Development Redevelopment Costs ("Requisition") submitted to Jacob & Klein, Ltd. and the Economic Development Group, Ltd. ( collecrively the "Administrator") and subject to their approval of the costs. 2. The Requisition must be accompanied by verified bills or statements of suppliers, contractors, or professionals together with Mechanic's Lien Waivers as required b5~ the City. 3. The Administrator shall approve or disapprove the Requisition by written receipt to the Developer within thirt~~ (30) business da~~s after receipt of the Requisition. Approval of the Requisition will not be unreasonabl~~ withheld. If the Requisition is disapproved by the Administrator, the reasons for disallowance will be set forth in wYiting and the Developex may resubmit the Requisition with such additional informarion as ma~~ be re9uired and the same procedures set forth herein shall appl5~ to such re-submittal. 4. The sum approved shall then be paid from the TIF District's Special Tax rlllocation Fund to the Developer as soon as sums are available. Pa3~ment shall be made within thirt~ (30) days after approval. 5. The Parties acknowledge that thc dctermination of Eligible PYOject Costs, and, therefore, qualification for reimbursement heYeunder are subject to changes or interpretation made b5~ amendments to the Act, administratiee rules or judicial interpretarion during the term of this Agreement The Cit}~ has no obligation to the Developer to attempt to modif~ those decisions, but will reasonabl~~ assist the Developer in every respect to obtain approval of Eligible Project Costs. 6. Eligible Project Costs shall be broadly defined in the Redevelopment Plan to include all costs defined in the Act as Redevelopment Projcct Costs. By~~on Tir~dall. - Caitton 4-A TIF Dist~•ict Page 4 of 9 F. LIMITED OBLIGATION The City's obligation heYeunder to pay the Developer for Eligible Project Costs is a limited obligarion to be paid solely as set forth herein. Said obligation does not now and shall neveY constitute an indebtedness of the Citp within the meaning of any State of Illinois constiturional or statutory provision, and shall not constitute or give rise to a pecuniar}~ liability of the Cit~~ or a charge or lien against the Cit~~'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 peYSOn otheY than the Developer, nor shall the City be obligated to make direct payments to an~~ other contractor, subcontractor, mechanic or materialman providing services or materials to the Developer for the 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 Project. I. DEFAULT; CURE; REMEDIES In the event of a default under this Agreement b5~ any part~~ hereto (the "Defaulting Part~~"), 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 fairl~~ compensate the Non- defaulting Part~~'s for the Defaulting Party's breach of this r~greement, the Non-defaulting Party shall have such other equity rights and remedies as are available to them at law or in equit~~. Any damages pa}~able by the Cit~~ hereunder shall be limited to the real estate taa increment payable to the Devcloper undeY the terms of this AgYeement. In the cvcnt a Defaulting Part~~ shall fail to perform a rnonetar}~ coeenant which it is required to perform under this Agreement, it shall not be deemed to be in default under this r~greement unless it shall have failed to perform such monetar5~ covenant within thirty (30) da~~s of its receipt of a notice from a Non- defaulung PaYty specifying that it has failed to perforin such monetary co~renant. In the event a Defaulung Party fails to perform any non-monetary co~renant as and when it is required to under this Agreement, it shall not be deemed to be in default if it shall have cured such default ~vithin thirt~~ (30) da}~s of its xeceipt of a notice from a Non-defaulting Part~~ specif~~ing the nature of the default, provided, however, ~vith respect to those non-monetar}~ 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 diligend5~ and continuousl~~ prosecutes thc cuYe of such default until the same has been cured. l3t~r•ora Tir7da11. -('antai ;t-.4 TIF Dis1~•ict Yage 5 0~ 9 J. ASSIGNMENT The rights and obligations of the Developer under this ~greement shall be fully assignable b3~ means of written notice to the City. The City shall not unreasonabl5~ withhold its consent provided that the nature of the Project is not substantially changed. No such assignment shall be deemed to release the Developer of its obligations to the Cit~~ under this Agreement unless the specific consent of the City to release the Developer's obligations is first obtained in wriring. K. WAIVER Any party to this Agreement may elect to waive any remedy it ma~ enjoy heYeunder, 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 paYty to waive an~ right of remedy hereunder, oY shall be deemed to constitute a waiver of other rights and remedies provided said part~~ pursuant to this Agreement. L. SEVERABILITY If any section, subsection, term or provision of this rlgreement or the application thereof to any part~~ or circumstance shall, to any extent, be invalid or unenforceable, the remainder of said section, subsecuon, term or provision of this Agreement oY the application of same to parties or ciYCUmstances other than those to which it is held invalid or unenforceable, shall not be affected thereby. M. NOTICES All notices, demands, requests, consents, appro~rals or other instruments required or permitted by this rlgreement shall be in writing and shall be executed b~~ 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 deliverp, if delivered personally, or as of the third (3'~`~) da~ from and including the date of posting, if mailed b~~ registered or certified mail, return receipt requested, with postage prepaid addressed as follows: To Developer: To City: Bj~xon Tindall Cit}~ Clexk, 1 Entexprise Lane City I-Iall Canton, IL 61520 2 Main Stseet Canton, IL 61520 1 Flith ~•opy to: Jacob & Klein, Ltd. I~conomic Development Uroup, Ltd. 1?01 Clearwatex ~venue Blooinington, Illinois 61704 'Tclephone: (309)664-7777 /3vror~ Ti~adall. - Car~tor~ -~-A 7/F Disfrict Page 6 of 9 N. SUCCESSORS IN INTEREST Subject to the Provisions of Paragraph L abo~=e, this rlgreement shall be binding upon and inure to the benefit of the Parties hereto and their respective successors and assigns. O. NO JOINT VENTURE, AGENCY, OR PARTNERSHIP CREATED Neither anything in this Agreement no any acts of the Parties to this Agreement shall be constYUed by the Parties or any thiYd person to create the relationship of a partneYShip, agency, or joint venture between or among such Parties. P. INDEMNIFICATION OF CITY Developer acknowledges that it is responsible foY compliance with the Illinois Prevailing Wage Act, to the extent such is applicable. Applicabiliry is to be determined by Developer and DevelopeY shall indemnify and hold harmless the Cit~~, and all Cit~~ elected or appointed officials, officers, employees~ agents, representarives, engineers, consultants and attoYne~~s (collectively, the Indemnified Parties), from any and all claims that may be asseYted against the Indemnified Parties or one or more of them, in connection with the applicability, determination, and/or pa`~ments made under the Illinois Prevailing Wage Act (820 ILCS 130/0.01 et.se9.), the Illinois Procurement Code, and/or any similar State or Federal law or regulation. This obligarion to indemnify and hold harmless obligates Developer to defend any such claim and/or action, pay any liabilities and/oY penalties imposed, and pay all defense costs of Ciry, including but not limited to the reasonablc attorney fees of City. Q. WARRANTY OF SIGNATORIES '1'he signatories of Developer warrant full authorit~~ to both caecute this Agreement and to bind the entity in which the}' are signing on behalf of. R. TERM OF THE AGREEMENT This Agrecment shall expire upon the e~piration of the Redevelopment Plan adopted by the Ciry or sooneY if the Developer has received all incentives included hexein. (The halqrrce of this page i.r i~zte~ltionally l~laT~k.) Bvron l~i~~dnll. -('arilon 4-.9 T!F Dish•icl Page 7 q f 9 IN WITNESS WHEREOF the Parties hereto have caused this Agreement to be executed by their duly authorized officeYS on the above date at Canton, Illinois. CITY OF CANTON, ILLINOIS l ~ By: ~ Mayor ATTEST: c~ry r DEVELOPER: BYRON TINDALL Bpron Tindall. - Canton 4-A TlF Distric! Page 8 of 9 EXHIBIT 1 SUMMARY OF ESTIMATED TIF ELIGIBLE PROTECT COSTS Byron Tindall Project (D~B~A "BT Interiors"~ Canton 4-A TIF District in the Cit~~ of Canton, Fulton County, Illinois Project Description: The Developer is constructing storage units on said Property. Eligible Project Costs: Site Preparation/Site Work . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $2,400.00 Professional Fees . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $3,139.00 Total Estimated Eligible Project Costs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $5,539.00 The City agrees to reimburse the Developer for Eligible Projects incurred in the amount of $3,737.11 as set forth in the A.greement, and shall not be obligated to reimburse the Developer for any Eligible Project Costs exceeding $3,737.11. Bvron Trnda!l. - Ca:rton 4-A 7/F District Page 9 of 9