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First Amendment to Grant Agreement with JTM Properties, L.L.C.City of Dubuque City Council Meeting Consent Items # 5. Copyrighted May 2, 2022 ITEM TITLE: First Amendment to Grant Agreement between the Cityof Dubuque, Iowa, and JTM Properties, L.L.C. SUMMARY: City Manager recommending City Council adopt a resolution approving the First Amendment to Grant Agreement between the City of Dubuque, Iowa, and JTM Properties, L.L.C. for the rehabilitation of 1043-1053 Main Street. RESOLUTION Approving the FirstAmendmentto Grant Agreement between the City of Dubuque, Iowa and JTM Properties, L.L.C. SUGGESTED Suggested Disposition: Receive and File; Adopt Resolution(s) DISPOSITION: ATTACHMENTS: Description Type First Amendment to Grant Agreement with JTM Properties, LLC for Rehabilitation of 1043-1053 Main City Manager Memo Street-MVM Memo Staff Memo Resolution First Amendment Staff Memo Resolutions Supporting Documentation THE C Dubuque DUjIBQTE WAWca 914 Masterpiece on the Mississippi YP pp aoo�•o 13 zai7*20*�oi9 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: First Amendment to Grant Agreement between the City of Dubuque, Iowa, and JTM Properties, L.L.C. DATE: April 28, 2022 Economic Development Director Jill Connors is recommending City Council adopt a resolution approving the First Amendment to Grant Agreement between the City of Dubuque, Iowa, and JTM Properties, L.L.C. for the rehabilitation of 1043-1053 Main Street. I concur with the recommendation and respectfully request Mayor and City Council approval. v Mic ael C. Van Milligen MCVM:sv Attachment cc: Crenna Brumwell, City Attorney Cori Burbach, Assistant City Manager Jill Connors, Economic Development Director THE CITY OF DUB E Masterpiece on the Mississippi Dubuque Economic Development Department 1300 Main Street All-Me1*109ft Dubuque, Iowa 52001-4763 kxv,�. av�ccrvar 1 Office (563) 589-4393 I I TTY (563) 690-6678 ® http://www.cityofdubuque.org 2007*2012.2013 2017*2019 TO: Michael C. Van Milligen, City Manager FROM: Jill M. Connors, Economic Development Director SUBJECT: First Amendment to Grant Agreement between the City of Dubuque, Iowa, and JTM Properties, L.L.C. DATE: April 12, 2022 INTRODUCTION This memorandum presents for City Council review and approval a resolution approving a First Amendment to Grant Agreement between the City of Dubuque, Iowa, and JTM Properties, L.L.C. BACKGROUND On March 15, 2021 the City of Dubuque entered into a Grant Agreement with JTM Properties, L.L.C. by Resolution No. 69-21 for the redevelopment of 1043-1053 Main Street. The Building Owner, JTM Properties, L.L.C., agreed to create two second floor apartment units and rehabilitate the first -floor commercial space. The Grant Agreement awards up to $20,000 for the creation of the two new rental units, $10,000 for fagade materials and improvements, and $10,000 for planning and design costs. DISCUSSION JTM Properties, L.L.C. wishes to make modifications to the design materials agreed upon in the original Design Letter attached to the Grant Agreement. Modifications include full- size third floor windows and new cornices to increase fagade wall height, replacement of granite bulkhead and architectural metal panels with synthetic stucco, and a wood rain screen to above -storefront large panel. Planning Services has determined these modifications to be consistent with the City's architectural guidelines. Additionally, the First Amendment will extend the completion date to June 1, 2022. Due to material shortages and supply chain issues brought on by the pandemic, the project requires additional time for completion. This is consistent with what we are seeing across numerous projects. RECOMMENDATION / ACTION STEP I recommend that the City Council adopt the attached resolution approving the First Amendment to Grant Agreement between the City of Dubuque, Iowa, and JTM Properties, L.L.C. for the rehabilitation of 1043-1053 Main Street. 2 Prepared by: Jill Connors, Economic Development, 50 W. 131' Street, Dubuque IA 52001, 563 589-4393 Return to: Jill Connors, Economic Development, 50 W. 13� Street, Dubuque IA 52001, 563 589-4393 RESOLUTION NO. 165-22 APPROVING THE FIRST AMENDMENT TO GRANT AGREEMENT BETWEEN THE CITY OF DUBUQUE, IOWA AND JTM PROPERTIES, L.L.C. WHEREAS, the City of Dubuque (City) and JTM Properties, L.L.C. (Grant Recipient) previously entered into a Grant Agreement dated March 15, 2021 for the redevelopment of 1043-1053 Main Street in the City of Dubuque, Iowa (the Project); and WHEREAS, City and Grant Recipient desire to amend the Grant Agreement as set forth in the attached First Amendment to Grant Agreement. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA: Section 1. That the First Amendment to Grant Agreement between the City of Dubuque, Iowa and JTM Properties, L.L.C., a copy of which is attached hereto, is hereby approved. Section 2. That the Mayor is hereby authorized and directed to execute the First Amendment to Grant Agreement on behalf of the City of Dubuque and the City Clerk is authorized and directed to attest to his signature. Section 3. That the City Manager is authorized to take such actions as are necessary to comply with the terms of the First Amendment to Grant Agreement as herein approved. Passed, approved and adopted this 2nd day of May, 2022. Attest: Adrienne N. Breitfelder, City Clerk FIRST AMENDMENT TO GRANT AGREEMENT BETWEEN THE CITY OF DUBUQUE, IOWA AND JTM PROPERTIES, L.L.C. This First Amendment to Development Agreement, dated for reference purposes the 7=`1 day of (c 2022. is made and entered into by the City of Dubuque, Iowa, a municipality (City), established pursuant to the Iowa Code and acting under authorization of Iowa Code Chapter 403, as amended (the Urban Renewal Act), and JTM Properties, L.L.C. (Grant Recipient). Whereas, City and Grant Recipient previously entered into a Grant Agreement dated March 15, 2021 (the Grant Agreement); and Whereas, City and Grant Recipient desire to amend the Grant Agreement as set forth herein. NOW THEREFORE, in consideration of the mutual terms and covenants contained herein, City and Grant Recipient agree as follows: Section 1.1 of the Grant Agreement is hereby amended to read as follows: 1.1 Required Minimum Improvements. Grant Recipient shall improve the Development Property as follows: Facade improvements including rehabilitation of doors and windows (the "Minimum Improvements"). The Minimum Improvements shall be completed in substantial conformity with the scope and scale described in Grant Recipient's application to the program, and the Amended Design Letter attached hereto. 2. Section 1.2 of the Grant Agreement is hereby amended to read as follows: 1.2 Timing of Improvements. Grant Recipient shall begin construction of the Minimum Improvements by May 1, 2021 and complete construction of the Minimum Improvements by June 1, 2022. City shall determine in its sole discretion, following an inspection by City's Construction and Inspection Services Department and/or Planning Department, when the Minimum Improvements have been completed. In order to be considered completed, the Minimum Improvements must be constructed in accordance with the terms of this Agreement, in compliance with the regulations of the Program, and in substantial conformity with Grant Recipient's Application Design Letter, as amended attached hereto as Exhibit A. 3. Except as modified herein, the Grant Agreement shall remain in full force and effect. CITY OF DUBUQUE, IOWA By: / Brad M. 4Ganagh, Mayor JTM PROPERTIES, L.L.C. ulie McDermott, Managing Member