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Kerper Bl PIAP Loan AgreeMEMORANDUM September 26, 2001 TO: FROM: SUBJECT: The Honorable Mayor and City Council Members Michael C. Van Milligen, City Manager Physical Infrastructure Assistance Program (PIAP) Kerper Boulevard Industrial Park 00-PIAP-01-98 Acting Economic Development Director Pam Myhre is recommending execution of a PIAP Loan Agreement of $1,184,000 to support the City's Kerper Boulevard Industrial Park project. I concur with the recommendation and respectfully request Mayor and City Council approval. Michael C. Van Milligen MCVM/jjh Attachment cc: Barry Lindahl, Corporation Counsel Cindy Steinhauser, Assistant City Manager Pamela Myhre, Acting Economic Development Director CITY OF DUBUQUE, IOWA MEMORANDUM September 26, 2001 TO: FROM: SUBJECT: Michael Van Milligen, City Manager Pamela Myhre, Acting Economic Development Director Physical Infrastructure Assistance Program (PIAP) Kerper Boulevard Industrial Park 00-PIAP-01-98 INTRODUCTION This memorandum presents for City Council review and approval a Resolution relating to an award of $1,184,000 to assist in the development of the Kerper Boulevard Industrial Park. The Resolution authorizes the execution of a PIAP Loan Agreement by and between the Iowa Department of Economic Development and the City of Dubuque. The agreement is attached to this memorandum. BACKGROUND In 1996, the City made application to the State for Physical Infrastructure Assistance Program funds to develop 49 acres of distressed and underutilized industrial property located along Kerper Boulevard at a key gateway to the community. The application reflected the opportunity to relocate Eagle Window & Door to this new industrial site, thereby assisting them with their expansion plans and goal of hiring at least 168 new employees. The application was subsequently updated in 1999 to reflect actual purchase of the former railroad property from CMC Heartland and to alter the development schedule. DISCUSSION This PIAP award is a forgivable loan with proceeds to assist in the development costs of the Kerper Boulevard Industrial Park. The funds can be used by the City to pay for costs associated with the environmental assessment, remediation, monitoring and fill of the industrial park. The agreement also requires the City to provide Eagle Window & Door a forgivable loan of at least $684,000 to assist its expansion. The City's approved Development Agreement with Eagle Window & Door specified a number of financial assistance loans to the company. One of those loans was a $692,000 forgivable loan to the company. Closing on the loans to the company are awaiting a pending sale of Eagle Window that resulted from their parent company's Chapter 11 bankruptcy. RECOMMENDATION I recommend that the City Council adopt the attached Resolution authorizing the execution of a PIAP Loan Agreement of $1,184,000 to support the City's Kerper Boulevard Industrial Park project. ACTION STEP The Action Step for the City Council is to adopt the attached Resolution. attachments F:\USERS~Pmyhre\WPDOCS\UR~KERPER~piapcon~act,mem.doc RESOLUTION NO. 439-01 A RESOLUTION AUTHORIZING THE EXECUTION OF A PHYSICAL INFRASTRUCTURE ASSISTANCE PROGRAM (PIAP) LOAN AGREEMENT FOR ONE MILLION ONE HUNDRED EIGHTY-FOUR THOUSAND DOLLARS ($1,184,000) WITH THE IOWA DEPARTMENT OF ECONOMIC DEVELOPMENT. Whereas, the Physical Infrastructure Assistance Program (PIAP) program has been created by the Iowa Department of Economic Development to assist in the economic development efforts of local jurisdictions; and Whereas, on April 22, 1998, the City of Dubuque, Iowa was awarded a one million one hundred eighty-four thousand dollar ($1,184,000) forgivable loan from the PIAP program by the Iowa Department of Economic Development; and Whereas, the City of Dubuque, Iowa desires to assist Eagle Window & Door Company in its efforts to expand its operations in Dubuque and create new, permanent employment opportunities for local citizens; and Whereas, a PIAP Loan Agreement, hereto attached and by this reference made a part hereof, is to be executed between the Iowa Department of Economic Development and the City of Dubuque, Iowa. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA: Section 1. That the Mayor be and he is hereby authorized and directed to endorse, on behalf of the City Council of the City of Dubuque, Iowa, the attached PIAP Loan Agreement. Passed, approved and adopted this 1st day of October, 2001. Attest: Jeanne F. Schneider City Clerk Terrance M. Duggan, Mayor F:\USERS~Pmyhre\WPDOCS\UR\KERPER~piapcontract. res.doc IOWA DEPARTMENT OF ECONOMIC DEVELOPMENT PIAP LOAN AGREEMENT PIAP LOAN NUMBER: 00-PIAP-01-98 AWARD DATE: April 22, 1998 KIND OF AWARD: FORGIVABLE LOAN AWARD AMOUNT: $1,184,000 AGREEMENT EXPIRATION DATE: March 31, 2003 THIS PHYSICAL INFRASTRUCTURE ASSISTANCE PROGRAM ("PIAP") AGREEMENT is made by and between the IOWA DEPARTMENT OF ECONOMIC DEVELOPMENT, 200 East Grand Avenue, Des Moines, Iowa 50309 ("Department" or "IDED"), and the City of Dubuque, 50 West 13~h Street, Dubuque, Iowa 52001(hereafter referred to as the "City"). The Department desires to make a forgivable loan to the City and the City desires to accept this forgivable loan, all upon the terms and conditions set forth in this Agreement. THEREFORE, in consideration of the mutual promises contained in this Agreement and other good and valuable consideration, it is agreed as follows: ARTICLE ~ DEFINITIONS As used in this Agreement, the following terms shall apply: 1.1 AGREEMENT EXPIRATION DATE. "Agreement Expiration Date" means the date the Agreement ceases to be in force and effect. The Agreement expires upon the occurrence of one of the following: a) the Loan is repaid in full or required part, including accrued interest, court costs and any penalties; b) the Agreement is terminated by the Department due to any default under Article X; c) no disbursement of PIAP funds has occurred within the forty-eight months immediately following the Award Date; or d) if the Agreement includes only a Forgivable Loan, at the Project Completion Date: 1.2 AWARD DATE. "Award Date" means April 22, 1998. 1.3 FORGIVABLE LOAN. "Forgivable loan" means an award made by the Department to the Business for which repayment is eliminated in part or entirely if the Business satisfies the terms of this Agreement. Contract Number 00-PIAP-01-98 City of Dubuque/Kerper Industrial Park Page 2 of 12 1.4 LOAN. "Loan" means funds advanced by the Department to the City of which full repayment is expected. 1.5 LOAN AGREEMENT or AGREEMENT. "Loan Agreement" or "Agreement" means this document, the Project budget and all of the notes, leases, assignments, mortgages, and similar documents referred to in this document and all other instruments or documents executed by the City or otherwise required in connection with this document, including but not limited to the following: a. Exhibit "A", "PIAP Application" dated April 24, 1997, updated April 8, 1999 b. Exhibit "B", "Commitment Letter" dated July 7, 2000 c. Exhibit "C", "Program Description and Budget" dated April, 1999 1.6 PROJECT. "Project" means the detailed description of the work, services, and other obligations to be performed or accomplished by the City as described in the Agreement, Exhibit C - Program Description and Budget, and the PIAP application approved by the Department. 1.7 PROJECT COMPLETION DATE. "Project Completion Date" means March 31, 2003 and is the date by which the Project tasks shall have been fully accomplished. ARTICLE II FUNDING 2.1 FUNDING SOURCE. The source of funding for the Loan is an appropriation by the State legislature for the PIAP Program established under Iowa Code Section 15E.175. 2.2 RECEIPT OF FUNDS. All payments under this Agreement are subject to receipt by the Department of sufficient State funds for the PIAP program. Any termination, reduction or delay of PIAP funds to the Department shall, at the option of the Department, result in the termination, reduction or delay of PIAP funds to the City. 2.3 PRIOR COSTS. No expenditures made pdor to the Award Date may be included as Project costs for the purposes of this Agreement. 2.4 DISBURSEMENT OF LESS THAN THE TOTAL AWARD AMOUNT. If substantial progress toward work activities as specified in the Agreement, Exhibits "A", and "C" of this Agreement has not been made within the period of this Agreement, then the Department shall be under no obligation for further disbursement. The City shall be obligated to the extent of Loan proceeds received. Contract Number 00-PIAP-01-98 City of Dubuque/Kerper Industrial Park Page 3 of 12 ARTICLE Ill TERMS OF LOAN Not Applicable ARTICLE IV TERMS OF FORGIVABLE LOAN 4.1 FORGIVABLE LOAN. The Department agrees to award a Forgivable Loan in the amount of $1,184,000 (one million one hundred eighty four thousand dollars} to assist in the financing of the Project. 4.20THERTERMS. a). Funds will be used by the City for environmental assessment, remediation, monitoring, and fill on the Kerper Boulevard Industrial Park in preparation of Eagle Window and Door's 350,000 square foot facility being built on the site. b). Eagle Window and Door will expend at least $15,500,000 for building, machinery and equipment in the project. c). Eagle Window and Door will retain 475 employees and create 168 new positions within five years. d). The City of Dubuque will provide, in the form of an forgivable loan, to Eagle Window and Door at least $684,000 of direct monetary assistance for its expansion. 4.4 FORGIVABLE LOAN AMORTIZATION. If the award includes a Forgivable loan the Department will, in its sole discretion, determine if the City has satisfied the terms of this Agreement by the Project'Completion Date. If the Department determines that the City has satisfied said terms as of the Project Completion Date, then repayment of the Forgivable loan shall be permanently waived. Should the Department determine that the City has not satisfied the terms of this Agreement, or has operated in a manner substantially inconsistent with the Application under which the terms of the award was made, the City may be required to repay all or part of the Forgivable loan funds. ARTICLE V CONDITIONS TO DISBURSEMENT OF FUNDS Unless and until the following conditions have been satisfied, the Department shall be under no obligation to disburse to the City any amounts under this Agreement: Contract Number 00-PIAP-01-98 City of Dubuque/Kerper Industrial Park Page 4 of 12 5.1 AUTHORITY. The City shall have submitted the following documents to the Department: Certificate of Good Standing of the Corporation from Eagle Window and Door Executed Developer's Agreement between the City of Dubuque and Eagle Window and Door. Documentation of the City of Dubuque's direct monetary assistance to Eagle Window and Door in an amount of not less than a $684,000 forgivable loan. Vefificafion of a minimum investment in the infrastructure activityin the same ratio of leveraged funds to PIAP funds as described in this Agreement, Exhibit "A" and Exhibit "C". 5.2 LOAN AGREEMENT EXECUTED. The Loan Agreement shall have been properly executed and, where required, acknowledged. 5.3 RECORDING. If required, the City shall have paid the fees necessary to properly record in the appropriate office of the Recorder of Deeds and/or the Secretary of State any mortgage, security agreement, financing statement or similar document required by the Department under the Agreement. ARTICLE VI REPRESENTATIONS AND WARRANTIES OF CITY To induce the Department to make the Loan and/or Forgivable Loan referred to in this Agreement, the City represents, covenants and warrants that: 6.1 AUTHORITY. The City is a corporation duly organized and validly existing under the laws of the state of incorporation and is in good standing, and has complied with all applicable laws of the State of Iowa. The City is duly authorized and empowered to execute and deliver the Agreement. All action on the City' part, such as appropriate resolution of its Board of Directors for the execution and delivery of the Agreement, has been effectively taken. 6.2 FINANCIAL INFORMATION. All financial statements and related materials concerning the City and the Project provided to the Department are true and correct in all material respects and completely and accurately represent the subject matter thereof as of the effective date of the statements and related materials, and no matedal adverse change has occurred since that date. 6.3 APPLICATION. The contents ofthe application/business plan submitted bythe City to the Department for PIAP funding is a complete and accurate representation of the City and the Project as of the date of submission and there has been no material adverse change in the organization, operation, business prospects, fixed properties, key personnel or project plan of the City since the date the City submitted its PIAP application to the Department. 6.4 CLAIMS AND PROCEEDINGS. There are no actions, lawsuits or proceedings pending or, to the knowledge of the City, threatened against the City affecting in any manner Contract Number 00-PIAP-01-98 City of Dubuque/Kerper Industrial Park Page 5 of '12 whatsoever its right to execute the Agreement or the ability of the City to make the payments required under the agreement, or to otherwise comply with the obligations of the City contained under the Agreement. There are no actions, lawsuits or proceedings at law or in equity, or before any governmental or administrative authority pending or, to the knowledge of the City, threatened against or affecting the City or any property or collateral pledged as security for the Loan. 6.5 EFFECTIVE DATE. The covenants, warranties and representations of this Article are made as of the date of this Agreement and shall be deemed to be renewed and restated by the City at the time of each advance or request for disbursement of funds. ARTICLE VII COVENANTS OF CITY 7.1 AFFIRMATIVE COVENANTS. Until payment in full of the Loan or until the Forgivable Loan is forgiven, and satisfaction of terms of this Agreement, the City covenants to IDED that: (a) PROJECT WORK AND SERVICES. The City shall complete the work and services detailed in its PIAP application, Section 4.2 of this Agreement, and "Exhibit C" by the Project Completion Date. (b) RECORDS AND ACCOUNTS. The City shall maintain books, records, documents and other evidence pertaining to all costs and expenses incurred and revenues received under this Agreement concerning the project, in sufficient detail to reflect all costs, direct and indirect, of labor, materials, equipment, supplies, services and other costs and expenses of whatever nature, for which payment is claimed under this Agreement. The City shall retain all records for a pedod of three (3) years from the Agreement Expiration Date. (c) ACCESS TO RECORDS/INSPECTIONS. The City shall, without prior notice and at any time (during normal business hours), permit the Department, its representatives or the State Auditor to examine, audit and/or copy (I) any plans and work details per[aining to the Project, (ii) all of the City' s books, records and accounts, and (iii) all other documentation or materials related to this Agreement; the City shall provide proper facilities for making such examination and/or inspection. (d) USE OF LOAN FUNDS. The City shall expend funds received under the Loan and/or Forgivable Loan only for the purposes and activities described in its PIAP Application, Section 4.2 of this Agreement, Exhibit "C", and approved by the Department. (e) DOCUMENTATION. The City shall deliver to the IDED, upon request, (I) copies of all contracts or agreements relating to the Project, (ii) invoices, receipts, statements or vouchers relating to the Project, (iii) a list of all unpaid bills for labor and materials in connection with the Project, (iv) budgets and revisions showing estimated Project costs and funds required at any given time to complete and pay for the Project, and (v) current and year-to-date operating statements, including but not limited to a Profit and Loss and Balance Sheet. Contract Number 00-PIAP-01-98 City of Dubuque/Kerper Industrial Park Page 6 of 12 (f) NOTICE OF PROCEEDINGS. The City shall promptly notify IDED of the initiation of any claims, lawsuits, bankruptcy proceedings or other proceedings brought against the City which would adversely impact the project, including, but not limited to, any proceedings to assert or enforce liens against collateral securing the Loan. (g) REPORTS. The City shall prepare, sign and submit the following reports to the Department when required: 1). Annual financial statements. Year-end statements must be compiled by a Certified Public Accountant (CPA) and must be received by the Department within ninety (90) days following the completion of the audit. (h) NOTICE OF BUSINESS CHANGES. The City shall provide prompt advance notice to the Department of any proposed change in the ownership, structure or control of Eagle Window and Door, which would materially affect the Project. (i) MAINTENANCE OF PROJECT PROPERTY AND INSURANCE. The City shall maintain the Project property in good repair and condition, ordinary wear and tear excepted; and shall not suffer or commit waste or damage upon the Project property. At the Department's request, the City shall pay for and maintain insurance against loss or damage by fire, tornado, and other hazards, casualties, and contingencies and all risks from time to time included under "extended coverage" policies. This insurance shall be in an amount not less than the full insurable value of the Project property. The City shall name the Department as a mortgagee and/or an additional loss payee as appropriate and submit copies of the policies to the Depa[tment. (j) INDEMNIFICATION. The City shall indemnify and hold harmless the Department, its officers and employees, from and against any and all losses, except those losses incurred by the Department resulting from willful misconduct or negligence on its or their part. (k) PROJECT FEES. The City shall promptly pay all appraisal, survey, recording, title, license, permit and other fees and expenses incurred incident to the Loan/Forgivable Loan. (I) INTEREST AND SURPLUS PROCEEDS. The City shall return all unexpended Loan/Forgivable Loan proceeds and interest accrued on Loan/Forgivable Loan proceeds to the Department within thirty (30) days after the Project Completion Date. 7.2 NEGATIVE COVENANTS. So long as the City is indebted to IDED, the City shall not, without prior written disclosure to IDED and prior written consent of IDED (unless IDED prior approval is expressly waived below), directly or indirectly: (a) CITY'S INTEREST. Assign, waive or transfer any of City's rightsl powers, duties or obligations under this Agreement. Contract Number 00-PIAP-01-98 City of Dubuque/Kerper Industrial Park Page 7 of 12 ARTICLE VIII SECURITY 8.1 SECURITY INSTRUMENTS. The City shall execute in favor of the Department all security agreements, financing statements, mortgages, personal and/or corporate guarantees (hereafter, "Security Instruments") as required by the Department. The following Security Instruments shall be executed by the City: This Forgivable Loan is unsecured. ARTICLE IX DEFAULT AND REMEDIES 9.1 EVENTS OF DEFAULT. Each of the following shall constitute an Event of Default under this Agreement: (a) MATERIAL MISREPRESENTATION. If at any time any representation, warranty or statement made or furnished to the Department by, or on behalf of, the City in connection with this Agreement or to induce the Department to make a loan/Forgivable Loan to the City shall be determined by the Department to be incorrect, false, misleading or erroneous in any material respect when made or furnished and shall not have been remedied to the Department's satisfaction within thirty (30) days after written notice by the Department is given to the City. (b) NON-PAYMENT. If the City fails to make a payment when due under the terms of this Agreement within thirty (30) days following written notice of such overdue payment is given to the City by the Department. (c) NONCOMPLIANCE. If there is a failure by the City to comply with any of the covenants, terms or conditions contained in this Agreement or Security Instruments executed pursuant to this Agreement. (d) CROSS DEFAULT. The Department may elect to terminate this Agreement and demand repayment of PIAP funds, up to the full amount of this Agreement, and levy apprepdate penalties if the City should fait to satisfy obligations under any state financial assistance program(s) identified below: none (e) PROJECT COMPLETION DATE. If the Project, in the sole judgment of the Department, is not completed on or before the Project Completion Date. (f) MISSPENDING. If the City expends Loan/Forgivable Loan proceeds for purposes not described in the PIAP application or authorized by the Department. (g) INSURANCE. If loss, theE, damage or destruction of any substantial portion of the property of the City occurs for which there is either no insurance coverage or for which, in the opinion of the Department, there is insufficient insurance coverage. Contract Number 00-PIAP-01-98 City of Dubuque/Kerper Industrial Park Page 8 of 12 (h) INSECURITY. If the Department shall deem itself insecure in good faith and reasonably believes, after consideration of all the facts and circumstances then existing, that the prospect of payment and satisfaction of the obligations under this Agreement, or the performance of or observance of the covenants in this Agreement, or the value of its collateral is or will be materially impaired. 9.2 NOTICE OF DEFAULT. The Department shall issue a written notice of default providing therein a thirty (30) day pedod in which the City shall have an opportunity to cure, provided that cure is possible and feasible. 9.3 REMEDIES UPON DEFAULT. Upon the happening of any Event of Default, the Department shall have the right, in addition to any rights and remedies available to it under any of the Secudty Instruments, to require immediate repayment of the full amount of funds disbursed to the City under the Agreement plus interest without presentment, demand, protest, notice of protest, notice of intention to accelerate or other notice of any kind, all of which are expressly waived by the City. ARTICLE X DISBURSEMENT PROCEDURES 10.1 REQUEST FOR REIMBURSEMENT. All disbursements of proceeds shall be subject to receipt by the Department of requests for disbursement submitted by the City. Requests for disbursement shall be in form and content acceptable to the Department. ARTICLE Xl GENERAL TERMS AND PROVISIONS 11.1 BINDING EFFECT. This Agreement shall be binding upon and shall inure to the benefit of the Department and City and their respective heirs, successors, legal representatives and assigns. The obligations, covenants, warranties, acknowledgments, waivers, agreements, terms, provisions and conditions of this Agreement shall be jointly and severally enforceable against the parties to this Agreement. 11.2 COMPLIANCE WITH LAWS AND REGULATIONS. The City shall comply with all applicable State and federal laws, rules, ordinances, regulations and orders. 11.3 TERMINATION FOR CONVENIENCE. In addition to termination due to an Event of Default or nonappropdation of PIAP funds, this Agreement may be terminated in whole, or in part, when the Department and the City agree that the continuation of the Project would not produce beneficial results commensurate with the future disbursement of Loan/Forgivable Loan funds. The Department and the City shall agree upon the termination conditions. The City shall not incur new obligations after the effective date of the termination and shall cancel as many outstanding obligations as is reasonably possible. Contract Number 00-PIAP-01-98 City of Dubuque/Kerper Industrial Park Page 9 of 12 11.4 PROCEDURE UPON TERMINATION. If the Agreement is terminated for convenience, an Event of Default or nonappropriation of PIAP funds, disbursements shall be allowed for costs up to the date of termination determined by the Department to be in compliance with this Agreement. The City shall return to the Department all unencumbered Loan/Forgivable Loan proceeds within one (1) week of receipt of Notice of Termination. Any costs previously paid by the Department which are subsequently determined to be unallowable through audit procedures shall be returned to the Department within thirty (30) days of the disallowance. 11.5 SURVIVAL OF AGREEMENT. If any portion of this Agreement is held to be invalid or unenforceable, the remainder shall be valid and enforceable. The provisions of this Agreement shall survive the execution of all instruments herein mentioned and shall continue in full force until the Loan is paid in full and the terms of the Forgivable Loan have been satisfied. 11.6 GOVERNING LAW. This Agreement and all Security Instruments shall be interpreted in accordance with the law of the State of Iowa, and any action relating to the Agreement shall only be commenced in the Iowa Distdct Court for Polka County or the United States District Court for the Southern Distdct of iowa. 11,7 MODIFICATION. Neither this Agreement nor any provision of the Security Instruments executed in connection with this Agreement may be changed, waived, discharged or terminated orally, but only by a written document signed by the party against whom enforcement of the change, waiver, discharge or termination is sought. 11.8 NOTICES. VVhenever this Agreement requires or permits any notice or written request by one party to another, it shall be in writing, enclosed in an envelope, addressed to the party to be notified at the address heretofore stated (or at such other address as may have been designated by written notice), properly stamped, sealed and deposited in the United States Mail. Any such notice given hereunder shall be deemed delivered upon the earlier of actual receipt or two (2) business days after posting. The Department may rely on the address of the City set forth heretofore, as modified from time to time, as being the address of the City. 11.9 INVESTMENT OF LOAN/FORGIVABLE LOAN FUNDS. Temporarily idle Loan/Forgivable Loan proceeds held by the City may be invested provided such investments shall be in accordance with State law, shall be controlled by the City, and any interest accrued shall be credited to and expended on the Project prior to the expenditure of other Loan/Forgivable Loan proceeds. Alt proceeds remaining, including accrued interest, after all allowable Project costs have been paid or obligated shall be returned to the Department within thirty (30) days after the Project Completion Date. 11.10 RESOLUTION OF DISAGREEMENT. In the event of any disagreement between the parties to this Agreement retating to the technical competence of the work and services being performed and its conformity to the requirements of this Agreement, the Department shatl resolve the disagreement. The decision of the Department shall be binding on the City. 11.11 WAIVERS. No waiver by the Department of any default hereunder shall operate as a waiver of any other default or of the same default on any future occasion. No delay on the Contract Number 00-PIAP-01-98 City of Dubuque/Kerper Industrial Park Page 10 of 12 part of the Department in exercising any right or remedy hereunder shall operate as a waiver thereof. No single or partial exercise of any right or remedy by the Department shall preclude future exercise thereof or the exercise of any other right or remedy. 11.12 LIMITATION. It is agreed by the City that the Department shall not, under any circumstances, be obligated financially under this Agreement except to disburse funds according to the terms of the Agreement. 11.13 ENFORCEMENT EXPENSES. The City shall pay upon demand any and ail reasonable fees and expenses relating to this project of the Department, including the fees and expenses of their attorneys, experts and agents, in connection with the exercise or enforcement of any of the rights of the Department under the Agreement. 11.14 HEADINGS. The headings in this Agreement are intended solely for convenience of reference and shall be given no effect in the construction and interpretation of this Agreement. 11.15 FINAL AUTHORITY. The Department shall have the final authority to assess whether the City has complied with the terms of this Agreement. 11.16 INTEGRATION. This Agreement contains the entire understanding between the City and the Department and any representations that may have been made before or after the signing of this Agreement, which are not contained herein, are nonbinding, void and of no effect. None of the parties have relied on any such prior representation in entering into this Agreement. 11.17 COUNTERPARTS. This Agreement may be executed in any number of counterparts, each of which shall be deemed to be an original, but all of which together shall constitute but one and the same instrument. IN WITNESS WHEREOF. the parties have executed this Agreement effective as of the Award Date first stated. IOWA DEPARTMENT OF ECONOMIC DEVELOPMENT: BY: Tom Grau, Division Administrator Business Development CITY OF DUBUQUE BY: Mayor, City of Dubuque July 7, 2000 IOWA ECONOMIC DEVELOPMENT The Honorable Terry Duggan Mayor, City of Dubuque City Hall 1305 Central Avenue Dubuque, IA 52001 RE: Kerper Boulevard Industrial Park/Eagle Window and Door 00-PIAP-01 Dear Mayor Duggan: We are pleased to learn of Eagle Window and Door's decision to proceed with its relocation/expansion at the Kerper Blvd. site. With the finalizing of the development agreement, the Department as cited in the April 22, 1998 letter signed by David J. Lyons, has awarded the City of Dubuque an one million one hundred eighty-four thousand dollar ($1,184,000)'forgivable loan. This award has been made to assist [he costs associated with the necessary remediation of the site to allow Eagle Window [o expand. As a result of the assistance, Eagle Window will invest at least $15.5 million dollars n equipment purchases and in the construction of a 350,000 square foot facility as cited in the April, 1999 updated application. This relocation and expansion of the Eagle Window and Door facilities will allow for the retention of 475 employees and the creation of an additional 200 positions in the Dubuque operation within 5 years. The effective date of the contract is April 22, 1998, which will allow the City to draw funds for eligible costs incurred in the remediation of the Kerper Blvd. site[ Should you have questions regarding this award, please do not hesitate to contact Mike Fastenau at 515/242-4831 Sincerely, Director Cc: Jim Burke, City of Dubuque Rick Dickinson, Dubuque C.C. ~ File THOMAS J, VII.SACK. GOVERNOR SALLY J. PEDER$ON, LT. GOVEI:UqOK C. J. Nile~, Director · 200 E~t Grand A~nue · Dm Moines. Iowa 503094827 · 515.242.4700 ° Fax: 515.242.4809 PHYSICAL INFRASTRUCTURE ASSISTANCE PROGRAM Name of Business: Qity 9f Dubuaue/Eaqle Window and Door Contract #: 00-PIAP-01-98 PROGRAM DESCRIPTION AND BUDGET ATTACHMENT C Provide an one million one hundred eighty-four thousand dollar ($1,184,000) forgivable loan to the City of Dubuque to assist in the environmental assessment, remediation, monitoring and fill of the Kerper Blvd. Industrial Park. As a result of this assistance, the City of Dubuque will provide a 49 acre site to Eagle Window and Door for the construction of a.350,000 square foot manufacturing facility. Eagle Window and Door will retain 475 employees and create an additional 168 positions at its Dubuque operation. ACTIVITY PRIVATE CITY OTHER I PIAP INVESTMENT INVESTMENT FUNDSI FUNDS TOTAL Site Acquisition $450,000 $450,000 Assessment/Remediation/ Monitiorin~ $822,000 $522,000 Fill $478,000 $582,000 $1,140,000 Utilities $283,000 $283,000 Street $800,000 $180,000 $480,000 Rail Spur Relocation $166,400 $166,400 Construction/Equipment $15,500,000 $16,500,000 ACTIVITY TOTAL ......................... ::iJ?:iiii?:ii~[~e~!:::: ?:~::i[ii=:~ii~ii~!i::i ::iiiiiiiiiiii!i;iiii~[;'~r-;~'-;.r'-;.'"'; .................. i~::::=:~[ ~ i~i $0 $0 i'OTAL ALL FUNDS $'15,500,000 $'1,677,400 $130,000 $'1,'184,000 $'181491,400 Prepared 4/99