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210 Jones Street, LLC Development Agreement_Initiate Copyrighted June 5, 2017 City of Dubuque Items to be set for Public Hearing # 3. ITEM TITLE: 210 Jones Street Development Agreement SUMMARY: City Manager recommending that the City Council set a public hearing for June 19, 2017 regarding a Development Agreement for the property located at 210 Jones Street. RESOLUTION Fixing the date for a public hearing of the City Council of the City of Dubuque, Iowa on the proposed issuance of Urban Renewal Tax Increment Revenue Obligations and the execution of a Development Agreement relating thereto with 210 Jones, LLC., and providing for the publication of notice thereof SUGGESTED DISPOSITION: Suggested Disposition: Receive and File; Adopt Resolution(s), Set Public Hearing for June 19, 2017. ATTACHMENTS: Description Type 210 Jones Street Development Agreement-MVM Memo City Manager Memo Staff Memo Staff Memo Development Agreement Supporting Documentation Notice of Hearing Supporting Documentation Resolution Setting Hearing Resolutions THE CITY OF Dubuque fta B E I 11p y Masterpiece 012 the Mississippi 2007.2012«2013 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Development Agreement with 210 Jones, LLC to Redevelop Property at 210 Jones Street DATE: May 31, 2017 Economic Development Director Maurice Jones requests the City Council set a public hearing for June 19, 2017 regarding a Development Agreement for the property located at 210 Jones Street. The proposed Development Agreement provides for several incentives to encourage the $2.6 million redevelopment of the property, including the addition of adjacent parking stalls. The key elements are: 1. Fagade, Design & Planning, and Financial Consultant grants totaling up to a maximum of$35,000. 2. 10 years of Tax Increment Finance (TIF) rebates of property tax increases in amounts equal to 90% of the actual amount of tax increment revenues collected by City. I concur with the recommendation and respectfully request Mayor and City Council approval. Mic ael C. Van Milligen MCVM:jh Attachment cc: Crenna Brumwell, City Attorney Teri Goodmann, Assistant City Manager Maurice Jones, Economic Development Director Dubuque Economic Development Department THE CITY OF 50 West 131h Street All-AmericaCitY Dubuque,Iowa 52001-4864 DUB3 E1 I Office(563)589-4393 TTY(563)690-6678 ® http://www.cityofdubuque.org Masterpiece on the Mississippi 200.2012.2013 TO: Michael Van Milligen, City Manager FROM: Maurice Jones, Economic Development Director SUBJECT: Development Agreement with 210 Jones, LLC to redevelop property at 210 Jones Street DATE: May 31, 2017 INTRODUCTION This memorandum is to request the City Council to set a public hearing on June 19, 2017 for approval of a Development Agreement for the property located at 210 Jones Street. BACKGROUND The building at 210 Jones Street has sat vacant for several years. Chris Miller approached City staff in 2016 to begin discussions on the possible redevelopment of this property, located adjacent to the intersection of Highways 20, 61, and 151 in downtown Dubuque. DISCUSSION The proposed Development Agreement provides for several incentives to encourage the $2.6 million redevelopment of the property, including the addition of adjacent parking stalls. The key elements are as follows: 1. Fagade, Design & Planning, and Financial Consultant grants totaling up to a maximum of$35,000. 2. 10 years of Tax Increment Finance (TIF) rebates of property tax increases in amounts equal to 90% of the actual amount of tax increment revenues collected by City. Additional terms and conditions of the disposition of the property are included within the attached Development Agreement. BUDGET IMPACT The $35,000 in grants will be funded from CIP 2411942 (Downtown Rehabilitation Grant), which after a budget transfer in the FY18 Budget Amendment process will have a balance of$35,000 to cover this commitment. RECOMMENDATION/ ACTION STEP Based on the highly visible location of this currently boarded-up building, I recommend the City Council adopt the attached resolution to set a public hearing on the attached Development Agreement with 210 Jones, LLC. Prepared by/Return to: Jill Connors, Economic Development. 50 W. 13th Street, Dubuque IA 52001, 563 589-4393 RESOLUTION NO. 197-17 FIXING THE DATE FOR A PUBLIC HEARING OF THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA ON THE PROPOSED ISSUANCE OF URBAN RENEWAL TAX INCREMENT REVENUE OBLIGATIONS AND THE EXECUTION OF A DEVELOPMENT AGREEMENT RELATING THERETO WITH 210 JONES, LLC., AND PROVIDING FOR THE PUBLICATION OF NOTICE THEREOF WHEREAS, City and 210 Jones, LLC. have entered into a Development Agreement, subject to the approval of the City Council, a copy of which is now on file at the Office of the City Clerk, City Hall, 50 W. 13th Street, Dubuque, Iowa; and WHEREAS, the City Council has tentatively determined that it would be in the best interests of the City to approve the Development Agreement, with 210 Jones, LLC.; and WHEREAS, it is deemed necessary and advisable that City should enter into the Development Agreement relating thereto for the purpose of carrying out the rehabilitation of property located at 210 Jones Street as hereinafter described, including the authorization of Urban Renewal Tax Increment Revenue obligations, as provided by Chapter 403 of the Code of Iowa; and WHEREAS, before said obligations may be approved, Chapter 403 of the Code of Iowa requires that the City Clerk publish a notice of the proposal and of the time and place of the meeting at which the City Council proposes to take action thereon and at which meeting the City Council shall receive oral and/or written objections from any resident or property owner of said City to such proposed action, NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA: Section 1. The City Clerk is hereby authorized and directed to cause a notice to be published as prescribed by Iowa Code Section 403.9 of a public hearing on the City's intent to authorize Urban Renewal Tax Increment Revenue obligations, to be held on the 19th day of June, 2017, at 6:00 o'clock p.m. in the City Council Chambers at the Historic Federal Building, 350 W. 6th St., Dubuque, Iowa. Section 2. The City Council will meet at said time and place for the purpose of taking action on the approval of the Development Agreement with 210 Jones, LLC., including the authorization of Urban Renewal Tax Increment Revenue obligations, the proceeds of which obligations will be used to carry out certain of the special financing activities described in the Amended and Restated Urban Renewal Plan for the Greater Downtown Urban Renewal District, consisting of the funding of economic developments grants to 210 Jones, LLC. pursuant to the Development Agreement. It is expected that the aggregate amount of the Tax Increment Revenue obligations to be issued will be approximately $310,000. Section 3. The Clerk is hereby directed to cause at least one publication to be made of a notice of said meeting, in a newspaper, printed wholly in the English language, published at least once weekly, and having general circulation in said City, said publication to be not Tess than four days nor more than twenty days before the date of said meeting on the issuance of said obligations. Section 4. That the notice of the proposed action to issue said obligations shall be in substantially the form attached hereto. Passed, approved and adopted this 5th day of ne, 2017. /. ayor Attest: Kevin S. irnstahl, City CIerk Roy D. Buo DEVELOPMENT AGREEMENT BY AND BETWEEN THE CITY OF DUBUQUE, IOWA AND 210 JONES, LLC. THIS DEVELOPMENT AGREEMENT(Agreement)dated for reference purposesthe day of 2017 is made and entered into by and between the City of Dubuque, Iowa (City), and 210 Jones, LLC. (Developer). WHEREAS, Developer is the owner of the following described real estate (the Property): LOT 1 OF CITY LOT 541, LOT 2 OF CITY LOT 541, CITY LOT 542, LOT 1 OF LOT 2 OF CITY LOT 543, LOT 2 OF LOT 2 OF CITY LOT 543, LOT "A" OF "VACATED SHIELDS STREET", AND, LOT 2 OF LOT "D" OF "VACATED SHIELDS STREET", IN THE CITY OF DUBUQUE, IOWA, ACCORDING TO THE UNITED STATES COMMISSIONERS' MAP OF THE SURVEY OF THE TOWN OF DUBUQUE, IOWA, AND THE RECORDED PLATS OF SAID RESPECTIVE SUBDIVISIONS locally known as 210 Jones Street in the City of Dubuque; and WHEREAS, the Property is located in the Greater Downtown Urban Renewal District (the District) which has been so designated by City Council Resolution 372-15 as a slum and blighted area (the Project Area) defined by Iowa Code Chapter 403 (the Urban Renewal Law); and WHEREAS, Developer has undertaken the redevelopment of a vacant building located on the Property and will be operating the same during the term of this Agreement; and WHEREAS, Developer will make an additional capital investment in building improvements, equipment, furniture and fixtures in the Property (Project); and WHEREAS, the Property is historic and it is in the City's best interest to preserve the Property; and WHEREAS, pursuant to Iowa Code Section 403.6(1), and in conformance with the Urban Renewal Plan forthe Project Area adopted on May 18, 1967, as amended, and last amended on March 6, 2017, City has the authority to enter into contracts and agreements to implement the Urban Renewal Plan, as amended; and WHEREAS, the Dubuque City Council believes it is in the best interests of the City to encourage Developer in the development of the Property by providing certain incentives as set forth herein. 052517bal NOW, THEREFORE, the parties to this Development Agreement, in consideration of the promises, covenants and agreements made by each other, do hereby agree as follows: SECTION 1. REPRESENTATIONS AND WARRANTIES 1 .1 Representations and Warranties of City. In order to induce Developer to enter into this Agreement, City hereby represents and warrants to Developer that to the best of City's knowledge: (1) City has duly obtained all necessary approvals and consents for its execution, delivery and performance of this Agreement and that it has full power and authority to execute, deliver and perform its obligations under this Agreement. City's attorney shall issue a legal opinion to Developer at time of closing confirming the representation contained herein, in the form attached hereto as Exhibit A. (2) City shall exercise its best efforts to cooperate with Developer in the development process. (3) City shall exercise its best efforts to resolve any disputes arising during the development process in a reasonable and prompt fashion. (4) The execution and delivery of this Agreement, the consummation of the transactions contemplated hereby, and the fulfillment of or compliance with the terms and conditions of this Agreement are not prevented by, limited by, in conflict with, or result in a violation or breach of, the terms, conditions or provisions of the charter of City, any evidence of indebtedness, agreement or instrument of whatever nature to which City is now a party or by which it or its property is bound, or constitute a default under any of the foregoing. (5) There are no actions, suits or proceedings pending or threatened against or affecting City in any court or before any arbitrator or before or by any governmental body in which there is a reasonable possibility of an adverse decision which could materially adversely affect the financial position or operations of City or which affects the validity of the Agreement or City's ability to perform its obligations under this Agreement. (6) No ordinance or hearing is now before any local governmental body that either contemplates or authorizes any public improvements orspecial tax levies,the cost of which may be assessed against the Property. To the best of City's knowledge, there are no plans or efforts by any government agency to widen, modify, or re-align any street or highway providing access to the Property and there are no pending or intended public improvements or special assessments affecting the Property which will result in any charge or lien be levied or assessed against the Property. 2 (7) The representations and warranties contained in this article shall be correct in all respects on and as of the Closing Date with the same force and effect as if such representations and warranties had been made on and as of the Closing Date which representations and warranties shall continue and survive the Closing Date. 1 .2 Representations and Warranties of Developer. The Developer makes the following representations and warranties: (1) Developer is a limited liability company duly organized and validly existing under the laws of the State of Iowa, is the owner of the Property, and has all requisite power and authority to own and operate its properties, to carry on its business as now conducted and as presently proposed to be conducted, and to enter into and perform its obligations under the Agreement. (2) This Agreement has been duly authorized, executed and delivered by Developer and, assuming due authorization, execution and delivery by the City, is in full force and effect and is a valid and legally binding instrument of Developer enforceable in accordance with its terms, except as the same may be limited by bankruptcy, insolvency, reorganization or other laws relating to or affecting creditors' rights generally. Developer's counsel shall issue a legal opinion to the City, at time of closing, confirming the representations contained herein, in the form attached hereto as Exhibit C. (3) The execution and delivery of this Agreement, the consummation of the transactions contemplated hereby, and the fulfillment of or compliance with the terms and conditions of this Agreement are not prevented by, limited by, in conflict with, or result in a violation or breach of, the terms, conditions or provisions of the articles of organization or the operating agreement of Developer or any contractual restriction, evidence of indebtedness, agreement or instrument of whatever nature to which Developer is now a party or by which it or its property is bound, or constitute a default under any of the foregoing. (4) There are no actions, suits or proceedings pending or threatened against or affecting Developer in any court or before any arbitrator or before or by any governmental body in which there is a reasonable possibility of an adverse decision which could materially adversely affect the business, financial position or result of operations of Developer or which affects the validity of the Agreement or Developer's ability to perform its obligations under this Agreement. (5) Developer will perform its obligations under this Agreement in accordance with the material terms of this Agreement, the Urban Renewal Plan and all local, State and federal laws and regulations. (6) Developer will use its best efforts to obtain, or cause to be obtained, in a timely manner, all material requirements of all applicable local, state, and federal 3 laws and regulations which must be obtained or met. (7) Developer has firm commitments for permanent financing for the Project in an amount sufficient, together with equity commitments, to successfully complete the requirements of this Agreement and shall provide evidence thereof to City prior to the Closing Date. 1 .3 Closing. The closing shall take place on the Closing Date which shall be the 23rd day of June, 2017, or such other date as the parties shall agree in writing but in no event shall the Closing Date be later than the 30th day of June, 2017. Consummation of the closing shall be deemed an agreement of the parties to this Agreement that the conditions of closing shall have been satisfied or waived. 1 .4 Conditions to Closing. The closing of the transaction contemplated by this Agreement and all the obligations of Developer under this Agreement are subject to fulfillment, on or before the Closing Date, of the following conditions: (1) The representations and warranties made by City in Section 1 .1 shall be correct as of the Closing Date with the same force and effect as if such representations were made at such time. At the closing, City shall deliver a certificate to that effect in the form of Exhibit B. (2) Developer shall have the right to terminate this Agreement at any time prior to the consummation of the closing on the Closing Date if Developer determines in its sole discretion that conditions necessary for the successful completion of the Project contemplated herein have not been satisfied in Developer's sole discretion. Upon the giving of notice of termination by Developer to City, this Agreement shall be deemed null and void. (3) Developer and City shall be in material compliance with all the terms and provisions of this Agreement. (4) Developer shall have furnished City with evidence, in a form satisfactory to City (such as a letter of commitment from a bank or other lending institution), that Developer has firm financial commitments in an amount sufficient, together with equity commitments, to complete the Minimum Improvements(as defined herein) in conformance with the Construction Plans (as defined herein), or City shall have received such other evidence of Developer's financial ability as the reasonable judgment of the City requires. (5) Developer's counsel shall issue a legal opinion to the City confirming the representations contained herein in the form attached hereto as Exhibit C. 1 .5 City's Obligations at Closing. At or prior to the Closing Date, City shall deliver to Developer such other documents as may be required by this Agreement, all in a form satisfactory to Developer. 4 SECTION 2. DEVELOPMENT ACTIVITIES 2.1 Required Minimum Improvements. Developer must make a capital investment of not less than two million six hundred thousand dollars ($2,600,000.00) to purchase and improve the Property (the Minimum Improvements). These Minimum Improvements include creating Ten Thousand (10,000) square feet of commercial space and an additional Twelve Thousand (12,000) square feet of climate controlled storage. Developer must also construct twelve (12) parking spaces (the Parking Spaces) which will be owned and managed by City, as provided in Section 2.2. 2.2 Parking Lot. (1) Construction of Improvements. (a) Upon receipt of necessary variances, permits and approvals described in subsection (b) below, Developer shall, within 36 months after Closing, construct a twelve-stall public parking lot (the Parking Lot) as shown on Exhibit E, including all pavement markings, signage, and associated landscaping, lighting, and irrigation, which shall be subject to review and approval at the City's sole discretion (the Parking Improvements). Developer hereby agrees that construction of the Parking Improvements shall be substantially completed by July 31 , 2020. (b) Developer shall be responsible for obtaining all necessary variances, permits and approvals to construct the Parking Improvements. City shall cooperate with Developer to obtain any needed variances, permits and approvals to construct the Improvements. If the necessary variances, permits and approvals cannot be obtained, then Developer shall have no obligation to construct the Improvements. Developer shall design the Parking Improvements to all applicable state and city standards and shall submit the plans to City for prior approval prior to commencement of any construction. Parking Lot plans, including grades and elevations, must be designed to work in conjunction with existing public street improvements to the satisfaction of City Engineer in the City Engineer's sole discretion. (c) City will own the Parking Improvements after the Parking Improvements are inspected and accepted by the City Council. (d) Developer will be responsible for any and all construction inspection and materials testing as deemed necessary by the City Engineer in the City Engineer's sole discretion, including but not limited to concrete cylinder testing and base material compaction testing. (e) Developer will maintain all landscaping and irrigation for one year after acceptance of the Parking Improvements by the City. 5 (f) Developer will provide any and all bonding and insurance for the Parking Improvements as deemed necessary by the City Engineer. (2) Operation of Parking Lot. (a) City agrees to operate and maintain the Parking Lot after acceptance of the Parking Improvements by the City Council. (b) City intends to rent or meter the 12 parking stalls in the Parking Lot at market rent as determined by City from 8 a.m. to 5 p.m. on weekdays and Saturdays. City intends to operate the 12 parking stalls as a public parking lot, with restrictions determined at City discretion. (c) Upon completion of construction and prior to the initial renting or metering of the parking stalls, City shall provide written notice to Developer, and Developer shall have the option, upon written notice to City of the exercise of the option delivered to City within thirty days after the date of City's notice, to rent up to 3 stalls from City at a rate established by the City Council and adjusted annually if necessary during the budget process. If Developer fails to exercise the option to rent any spaces within such period of time, City may but shall have no obligation to rent available spaces to Developer. 2.3 Plans for Construction of Minimum Improvements. Plans and specifications with respect to the development of the Property and the construction of the Minimum Improvements thereon (the Construction Plans) shall be in conformity with Urban Renewal Plan, this Agreement, and all applicable state and local laws and regulations, including but not limited to any covenants, conditions, restrictions, reservations, easements, liens and charges, recorded in the records of Dubuque County, Iowa. Developer shall submit to City, for approval by City, plans, drawings, specifications, and related documents with respect to the improvements to be constructed by Developer on the Property. All work with respect to the Minimum Improvements shall be in substantial conformity with the Construction Plans approved by City. 2.4 Timing of Improvements. Developer hereby agrees that construction of the Minimum Improvements on the Property shall be commenced within thirty (30) days after the Closing Date, and shall be substantially completed by December 31 , 2017. The time frames for the performance of these obligations shall be suspended due to unavoidable delays meaning delays, outside the control of the party claiming its occurrence in good faith, which are the direct result of strikes, other labor troubles, unusual shortages of materials or labor, unusually severe or prolonged bad weather, acts of God, fire or other casualty to the Minimum Improvements, litigation commenced by third parties which, by injunction or other similarjudicial action or by the exercise of reasonable discretion directly results in delays, or acts of any federal, state or local government which directly result in 6 extraordinary delays. The time for performance of such obligations shall be extended only for the period of such delay. 2.5 Certificate of Completion. Promptly following the request of Developer upon completion of the Minimum Improvements and the Parking Improvements, the City Manager shall furnish Developerwith the Certificate of Completion in recordable form and shall be a conclusive determination of the satisfaction and termination of the agreements and covenants in this Agreement. The Certificate of Completion is in the form attached hereto as Exhibit F SECTION 3. CITY PARTICIPATION 3.1 Downtown Rehabilitation Grants (1) Planning and Design Grant. City agrees to provide a matching (1 :1)grant not to exceed Ten Thousand Dollars ($10,000)to reimburse Developer for documented predevelopment costs, architectural and engineering fees and other authorized soft costs associated with the rehabilitation of the Property on the terms and conditions set forth in Exhibit G. Prior to the release of any grant funds, City must determine to its satisfaction that the Project is substantially complete and meets the conditions of this Agreement. (2) Facade Grant. City agrees to provide a matching (1 :1) grant not to exceed Ten Thousand Dollars ($10,000) to reimburse Developer for documented costs for front or rear facade renovations to the Property to eliminate inappropriate additions or alterations and to restore the facade to its historic appearance, or to rehabilitate the facade to include new windows, paint, signage, awnings, etc., to improve the overall appearance of the Property, and the costs of landscaping or screening with fencing or retaining walls if such landscaping or screening improves the Property adjacent to the public right-of-way, on the terms and conditions set forth in Exhibit H. (3) Financial Consultant Grant. City agrees to provide a matching (1 :1)grant not to exceed Fifteen Thousand Dollars ($15,000) to reimburse Developer for documented costs related to hiring a financial consultant to evaluate the Project's feasibility on the terms and conditions set forth in Exhibit I. Such funds will be disbursed only on completion of the Minimum Improvements, documentation of costs and an inspection of the completed Project. (4) Written requests for payment of grant funds must be submitted to the Economic Development Department together with all required documentation. 3.2 Economic Development Grants. (1) For and in consideration of Developer's obligations hereunder, and in furtherance of the goals and objectives of the Urban Renewal Plan for the Project 7 Area and the Urban Renewal Law, City agrees, subject to Developer being and remaining in compliance with the terms of this Agreement, to make twenty (20) consecutive semi-annual payments(such payments being referred to collectively as the Economic Development Grants) to Developer, as follows: November 1 , 2020 May 1 , 2021 November 1 , 2021 May 1 , 2022 November 1 , 2022 May 1 , 2023 November 1 , 2023 May 1 , 2024 November 1 , 2024 May 1 , 2025 November 1 , 2025 May 1 , 2026 November 1 , 2026 May 1 , 2027 November 1 , 2027 May 1 , 2028 November 1 , 2028 May 1 , 2029 November 1 , 2029 May 1 , 2030 pursuant to Iowa Code Section 403.9 of the Urban Renewal Law, in amounts equal to ninety percent (90%) of the actual amount of tax increment revenues collected by City under Iowa Code Section 403.19 (without regard to any averaging that may otherwise be utilized under Iowa Code Section 403.19 and excluding any interest that may accrue thereon prior to payment to Developer) during the preceding six- month period in respect of the Property and Minimum Improvements constructed by Developer (this 90% share of the collected tax increment revenue being referred to herein as the Pledged Developer Tax Increments). Developer recognizes and agrees that the Economic Development Grants shall be paid solely and only from the incremental taxes collected by City in respect to the Property and Minimum Improvements, which does not include property taxes collected for the payment of bonds and interest of each taxing district, and taxes for the regular and voter- approved physical plant and equipment levy, instructional support levy, and any other portion required to be excluded by Iowa law, and thus such incremental taxes will not include all amounts paid by Developer as regular property taxes. (2) To fund the Economic Development Grants, City shall certify to the County prior to December 1 of each year, commencing December 1 , 2019, its request for the available Pledged Developer Tax Increments, resulting from the assessments imposed by the County as of January 1 of that year, to be collected by City as taxes are paid during the following fiscal year and which shall thereafter be disbursed to Developer on November 1 and May 1 of that fiscal year. (Example: If City so certifies by December 1 , 2019, the Economic Development Grants in respect thereof would be paid to Developer on November 1 , 2020, and May 1 , 2021 .) (3) The Economic Development Grants shall be payable from and secured solely and only by the Pledged Developer Tax Increments paid to City that, upon receipt, shall be deposited and held in a special account created for such purpose and designated as the 210 Jones, LLC TIF Account of City. City hereby covenants and agrees to maintain its TIF ordinance in force during the term and to apply the 8 incremental taxes collected in respect of the Property and Minimum Improvements and allocated to the 210 Jones, LLC TIF Account to pay the Economic Development Grants, as and to the extent set forth in Section 3.2(1) hereof. The Economic Development Grants shall not be payable in any manner by other tax increments revenues or by general taxation or from any other City funds. City makes no representation with respect to the amounts that may be paid to Developer as the Economic Development Grants in any one year and under no circumstances shall City in any manner be liable to Developer so long as City timely applies the Pledged Developer Tax Increments actually collected and held in the 210 Jones, LLC TIF Account (regardless of the amounts thereof) to the payment of the Economic Development Grants to Developer as and to the extent described in this Section. (4) City shall be free to use any and all tax increment revenues collected in respect of other properties within the Project Area, or any available Pledged Developer Tax Increments resulting from the termination of the annual Economic Development Grants under Section 3.2 hereof, for any purpose for which such tax increment revenues may lawfully be used pursuant to the provisions of the Urban Renewal Law, and City shall have no obligations to Developer with respect to the use thereof. (5) All of City's obligations under this Agreement, including but not limited to City's obligation to pay the Economic Development Grants to Developer, shall be subject to City having completed all hearings and other procedures required to amend the Urban Renewal Plan to describe the Urban Renewal Project being undertaken in accordance with this Agreement. SECTION 4. NON-APPROPRIATION / LIMITED SOURCE OF FUNDING. 4.1 Non-Appropriation. Notwithstanding anything in this Agreement to the contrary,the obligation of City to pay any installment of the Economic Development Grants from the pledged tax increment revenues shall be an obligation limited to currently budgeted funds, and not a general obligation or other indebtedness of City or a pledge of its full faith and credit within the meaning of any constitutional or statutory debt limitation, and shall be subject in all respects to the right of non-appropriation by the City Council of City as provided in this Section. City may exercise its right of non-appropriation as to the amount of the installments to be paid during any fiscal year during the term of this Agreement without causing a termination of this Agreement. The right of non-appropriation shall be exercised only by resolution affirmatively declaring City's election to non-appropriate funds otherwise required to be paid in the next fiscal year under this Agreement. In the event the City Council of City elects to not appropriate sufficient funds in the budget for any future fiscal year for the payment in full of the installments on the Economic Development Grants due and payable in that future fiscal year, then City shall have no further obligation to Developer for the payment of any installments due in that future fiscal year which cannot be paid with the funds then appropriated for that purpose. 9 4.2 The right of non-appropriation reserved to City in this Section is intended by the parties, and shall be construed at all times, so as to ensure that City's obligation to pay future installments on the Economic Development Grants shall not constitute a legal indebtedness of City within the meaning of any applicable constitutional or statutory debt limitation prior to the adoption of a budget which appropriates funds for the payment of that installment or amount. In the event that any of the provisions of this Agreement are determined by a court of competent jurisdiction to create, or result in the creation of, such a legal indebtedness of City, the enforcement of the said provision shall be suspended, and the Agreement shall at all times be construed and applied in such a manner as will preserve the foregoing intent of the parties, and no event of default shall be deemed to have occurred as a result thereof. If any provision of this Agreement or the application thereof to any circumstance is so suspended, the suspension shall not affect other provisions of this Agreement which can be given effect without the suspended provision, and to this end the provisions of this Agreement are severable. SECTION 5. COVENANTS OF DEVELOPER 5.1 The Minimum Improvements to the Property shall conform to City of Dubuque Architectural Guidelines and the Design Letter, Exhibit J. 5.2 This section intentionally left blank. 5.3 Books and Records. During the term of this Agreement, Developer shall keep at all times and make available to City upon reasonable request proper books of record and account in which full, true and correct entries will be made of all dealings and transactions of or in relation to the business and affairs of Developer in accordance with generally accepted accounting principles consistently applied throughout the period involved, and Developer shall provide reasonable protection against loss or damage to such books of record and account. 5.4 Real Property Taxes. Developer shall pay or cause to be paid, when due, all real property taxes and assessments payable with respect to all and any parts of the Property unless Developer's obligations have been assumed by another person pursuant to the provisions of this Agreement. 5.5 No Other Exemptions. During the term of this Agreement, Developer agrees not to apply for any state or local property tax exemptions which are available with respect to the Development Property or the Minimum Improvements located thereon that may now be, or hereafter become, available under state law or city ordinance during the term of this Agreement, including those that arise under Iowa Code Chapters 404 and 427, as amended. 5.6 Insurance Requirements. (1) Developer shall provide and maintain or cause to be maintained at all times during the process of constructing the Minimum Improvements and at its sole cost 10 and expense builder's risk insurance, written on a Completed Value Form in an amount equal to one hundred percent (100%) of the building (including Minimum Improvements) replacement value when construction is completed. Coverage shall include the "special perils" form and developer shall furnish City with proof of insurance in the form of a certificate of insurance. (2) Upon completion of construction of the Minimum Improvements and up to the Termination Date, Developer shall maintain, or cause to be maintained, at its cost and expense property insurance against loss and/or damage to the building (including the Minimum Improvements) under an insurance policy written with the "special perils" form and in an amount not less than the full insurable replacement value of the building (including the Minimum Improvements). Developer shall furnish to City proof of insurance in the form of a certificate of insurance. The term "replacement value" shall mean the actual replacement cost of the building with Minimum Improvements (excluding foundation and excavation costs and costs of underground flues, pipes, drains and other uninsurable items) and equipment, and shall be reasonably determined from time to time at the request of City, but not more frequently than once every three (3) years. (3) Developer shall notify City immediately in the case of damage exceeding $50,000 in amount to, or destruction of, the Minimum Improvements or any portion thereof resulting from fire or other casualty. Net proceeds of any such insurance (Net Proceeds), shall be paid directly to Developer as its interests may appear, and Developer shall forthwith repair, reconstruct and restore the Minimum Improvements to substantially the same or an improved condition or value as they existed prior to the event causing such damage and, to the extent necessary to accomplish such repair, reconstruction and restoration, Developer shall apply the Net Proceeds of any insurance relating to such damage received by Developer to the payment or reimbursement of the costs thereof, subject, however, to the terms of any mortgage encumbering title to the Property (as its interests may appear). Developer shall complete the repair, reconstruction and restoration of Minimum Improvements whether or not the Net Proceeds of insurance received by Developer for such purposes are sufficient. 5.7 Preservation of Property. During the term of this Agreement, Developer shall maintain, preserve and keep, or cause others to maintain, preserve and keep, the Minimum Improvements in good repair and working order, ordinary wear and tear accepted, and from time to time shall make all necessary repairs, replacements, renewals and additions. 5.8 Non-Discrimination. In carrying out the project, Developer shall not discriminate against any employee or applicant for employment because of race, religion, color, sex, sexual orientation, gender identity, national origin, age or disability. 11 5.9 Conflict of Interest. Developer agrees that no member, officer or employee of City, or its designees or agents, nor any consultant or member of the governing body of City, and no other public official of City who exercises or has exercised any functions or responsibilities with respect to the project during his or hertenure, orwho is in a position to participate in a decision-making process or gain insider information with regard to the project, shall have any interest, direct or indirect, in any contract or subcontract, or the proceeds thereof, for work to be performed in connection with the project, or in any activity, or benefit therefrom, which is part of this project at any time during or after such person's tenure. In connection with this obligation, Developer shall have the right to rely upon the representations of any party with whom it does business and shall not be obligated to perform any further examination into such party's background. 5.10 Non-Transferability. During the Term of this Agreement, this Agreement may not be assigned by Developer nor may any portion of the Property be sold or otherwise transferred by Developer without the prior written consent of City in City's sole discretion. City has no obligation to consent to any assignment or sale. 5.11 Restrictions on Use. Developer agrees for itself, and its successors and assigns, and every successor in interest to the Property or any part thereof that they, and their respective successors and assigns, shall: (1) Devote the Property to, and only to and in accordance with, the uses specified in the Urban Renewal Plan (and City represents and agrees that use of the Property as commercial and storage space, is in full compliance with the Urban Renewal Plan) (however, Developer shall not have any liability to City to the extent that a successor in interest shall breach this covenant and City shall seek enforcement of this covenant directly against the party in breach of same); and (2) Not discriminate upon the basis of race, religion, color, sex, sexual orientation, gender identity, national origin, age or disability in the sale, lease, rental, use or occupancy of the Property or any improvements erected or to be erected thereon, or any part thereof(however, Developer shall not have any liability to City to the extent that a successor in interest shall breach this covenant and City shall seek enforcement of this covenant directly against the party in breach of same). 5.12 Compliance with Laws. Developer shall comply with all laws, rules and regulations relating to its businesses, other than laws, rules and regulations the failure to comply with or the sanctions and penalties resulting therefrom, would not have a material adverse effect on the business, property, operations, financial or otherwise, of Developer. SECTION 6. EVENTS OF DEFAULT AND REMEDIES. 6.1 Events of Default Defined. The following shall be Events of Default under this Agreement and the term Event of Default shall mean, whenever it is used in this Agreement, any one or more of the following events: 12 (1) Failure by Developer to pay or cause to be paid, before delinquency, all real property taxes assessed with respect to the Minimum Improvements and the Property. (2) Failure by Developer to cause the construction of the Minimum Improvements or the Parking Improvements to be commenced and completed pursuant to the terms, conditions and limitations of this Agreement. (3) Transfer of any interest by Developer of the Property in violation of the provisions of this Agreement prior to the issuance of the final Certificate of Completion. (4) Failure by Developer or City to substantially observe or perform any other material covenant, condition, obligation or agreement on its part to be observed or performed under this Agreement. 6.2. Remedies on Default by Developer. Whenever any Event of Default referred to in Section 6.1 of this Agreement occurs and is continuing, City, as specified below, may take any one or more of the following actions after the giving of written notice by City to Developer (and the holder of any mortgage encumbering any interest in the Property of which City has been notified of in writing) of the Event of Default, but only if the Event of Default has not been cured within sixty (60) days following such notice, or if the Event of Default cannot be cured within sixty (60) days and Developer does not provide assurances to City that the Event of Default will be cured as soon as reasonably possible thereafter: (1) City may suspend its performance under this Agreement until it receives assurances from the Developer deemed adequate by City, that the Developer will cure its default and continue its performance under this Agreement; (2) Until the Closing Date, City may cancel and rescind this Agreement; (3) City shall be entitled to recover from Developer the sum of all amounts expended by City in connection with the funding of the Downtown Rehab Loan/Grant or Economic Development Grant and Loan to Developer and City may take any action, including any legal action it deems necessary, to recover such amounts from the Developer; (4) City may withhold the Certificate of Completion; or (5) City may take any action, including legal, equitable or administrative action, which may appear necessary or desirable to collect any payments due under this Agreement or to enforce performance and observance of any obligation, agreement, or covenant under this Agreement. 6.3 No Remedy Exclusive. No remedy herein conferred upon or reserved to City is intended to be exclusive of any other available remedy or remedies, but each and every 13 such remedy shall be cumulative and shall be in addition to every other remedy given under this Agreement or now or hereafter existing at law or in equity or by statute. No delay or omission to exercise any right or power accruing upon any default shall impairany such right or power or shall be construed to be a waiver thereof, but any such right and power may be exercised from time to time and as often as may be deemed expedient. 6.4 No Implied Waiver. In the event any agreement contained in this Agreement should be breached by any party and thereafter waived by any other party, such waiver shall be limited to the particular breach so waived and shall not be deemed to waive any other concurrent, previous or subsequent breach hereunder. 6.5 Agreement to Pay Attorneys' Fees and Expenses. If any action at law or in equity, including an action for declaratory relief or arbitration, is brought to enforce or interpret the provisions of this Agreement, the prevailing party shall be entitled to recover reasonable attorneys' fees and costs of litigation from the other party. Such fees and costs of litigation may be set by the court in the trial of such action or by the arbitrator, as the case may be, or may be enforced in a separate action brought for that purpose. Such fees and costs of litigation shall be in addition to any other relief that may be awarded. 6.6 Remedies on Default by City. If City defaults in the performance of this Agreement, Developer may take any action, including legal, equitable or administrative action that may appear necessary or desirable to collect any payments due under this Agreement, to recover expenses of Developer, or to enforce performance and observance of any obligation, agreement, or covenant of City under this Agreement. Developer may suspend their performance under this Agreement until they receive assurances from City, deemed adequate by Developer, that City will cure its default and continue its performance under this Agreement. SECTION 7. GENERAL TERMS AND PROVISIONS 7.1 Notices and Demands. Whenever this Agreement requires or permits any notice or written request by one party to another, it shall be deemed to have been properly given if and when delivered in person or three (3) business days after having been deposited in any U.S. Postal Service and sent by registered or certified mail, postage prepaid, addressed as follows: If to Developer: Chris Miller 210 Jones, LLC. 3211 North Cedar Court Dubuque IA 52003 With copy to: Attorney Flint Drake 300 Main Street, Suite 323 Dubuque, Iowa 52001 (563) 582-2000 14 If to City: City Manager 50 W. 13th Street Dubuque, Iowa 52001 Phone: (563) 589-4110 Fax: (563) 589-4149 With copy to: City Attorney City Hall 50 W. 13th Street Dubuque IA 52001 Or at such other address with respect to either party as that party may, from time to time designate in writing and forward to the other as provided in this Section. 7.2 Bindinq Effect. This Agreement shall be binding upon and shall inure to the benefit of City and Developer and their respective successors and assigns. 7.3 Termination Date. This Agreement and the rights and obligations of the parties hereunder shall terminate on June 1 , 2030 (the Termination Date). 7.4 Execution By Facsimile. The parties agree that this Agreement may be transmitted between them by facsimile machine. The parties intend that the faxed signatures constitute original signatures and that a faxed Agreement containing the signatures (original or faxed) of all the parties is binding on the parties. 7.5 Memorandum of Development Agreement. Developer shall promptly record a Memorandum of Development Agreement in the form attached hereto as Exhibit D in the office of the Recorder of Dubuque County, Iowa. Developer shall pay the costs for so recording. IN WITNESS WHEREOF, City has caused this Agreement to be duly executed in its name and behalf by its Mayor and attested to by its City Clerk and Developer has caused this Agreement to be duly executed on or as of the first above written. CITY OF DUBUQUE, IOWA 210 JONES, LLC By By Roy D. Buol, Mayor Chris Miller, President Attest: Kevin S. Firnstahl, 15 City Clerk (City Seal) STATE OF IOWA ) SS COUNTY OF DUBUQUE ) On this day of 20_, before me the undersigned, a Notary Public in and for the said County and State, personally appeared Roy D. Buol and Kevin S. Firnstahl, to me personally known, who, being by me duly sworn, did say that they are the Mayor and City Clerk, respectively, of the City of Dubuque, Iowa, a municipal corporation executing the instrument to which this is attached; that the seal affixed hereto is the seal of said municipal corporation; that said instrument was signed and sealed on behalf of the City of Dubuque, Iowa, by authority of its City Council; and that said Mayor and City Clerk acknowledged the execution of said instrument to be the voluntary act and deed of said City, by it and by them voluntarily executed. Notary Public STATE OF IOWA ) SS COUNTY OF DUBUQUE ) On this day of 20—, before me the undersigned, a Notary Public in and for the State of Iowa, personally appeared Chris Miller, to me personally known, who, being by me duly sworn, did say that he is the President of 210 Jones, LLC., the corporation executing the instrument to which this is attached and that as said President of 210 Jones, LLC. acknowledges the execution of said instrument to be the voluntary act and deed of said company, by it and by him, an individual, voluntarily executed. Notary Public 16 LIST OF EXHIBITS EXHIBIT A — City Attorney Certificate EXHIBIT B — City Certificate EXHIBIT C — Opinion of Developer Counsel EXHIBIT D — Memorandum of Development Agreement EXHIBIT E — Parking Improvements EXHIBIT F — Certificate of Completion EXHIBIT G — Planning and Design Grant EXHIBIT H — Fagade Grant EXHIBIT I — Financial Consultant Grant EXHIBIT J — Design Letter INSURANCE SCHEDULE 17 EXHIBIT A CITY ATTORNEY'S CERTIFICATE 18 BARRY A. L I N D A H L, E s Q. THE CITY OF CITY ATTORNEY DUB E (DATE) RE: Dear I have acted as counsel for the City of Dubuque, Iowa, in connection with the execution and delivery of a certain Development Agreement between (Developer) and the City of Dubuque, Iowa (City) dated for reference purposes the day of 20_ The City has duly obtained all necessary approvals and consents for its execution, delivery and performance of this Agreement and has full power and authority to execute, deliver and perform its obligations under this Agreement, and to the best of my knowledge, the representations of the City Manager in his letter dated the day of , 20_, are correct. Very sincerely, Barry A. Lindahl, Esq. City Attorney BAL:tIs 19 EXHIBIT B CITY CERTIFICATE 20 T CITY OP DUB E City Manager's Office " /A 50 West 13th Street �✓Y+(/'�-`�- Dubuque,Iowa 52001-4864 (563)589-4110 phone (563)589-4149 fax ctymgl@cityofdubuque.org (DATE) Dear I am the City Manager of the City of Dubuque, Iowa and have acted in that capacity in connection with the execution and delivery of a certain Development Agreement between (Developer) and the City of Dubuque, Iowa (City) dated for reference purposes the _ day of 20_. On behalf of the City of Dubuque, I hereby represent and warrant to Developer that: (1) City has duly obtained all necessary approvals and consents for its execution, delivery and performance of this Agreement and that it has full power and authority to execute, deliver and perform its obligations under this Agreement. City's attorney shall issue a legal opinion to Developer at time of closing confirming the representation contained herein, in the form attached hereto as Exhibit B. (2) City shall exercise its best efforts to cooperate with Developer in the development process. (3) City shall exercise its best efforts to resolve any disputes arising during the development process in a reasonable and prompt fashion. (4) The execution and delivery of this Agreement, the consummation of the transactions contemplated hereby, and the fulfillment of or compliance with the terms and conditions of this Agreement are not prevented by, limited by, in conflict with, or result in a violation or breach of, the terms, conditions or provisions of the charter of City, any evidence of indebtedness, agreement or instrument of whatever nature to which City is now a party or by which it or its property is bound, or constitute a default under any of the foregoing. (5) There are no actions, suits or proceedings pending orthreatened against or affecting City in any court or before any arbitrator or before or by any governmental body in which there is a reasonable possibility of an adverse decision which could 21 materially adversely affect the financial position or operations of City or which affects the validity of the Agreement or City's ability to perform its obligations under this Agreement. (6) The representations and warranties contained in this article shall be correct in all respects on and as of the Closing Date with the same force and effect as if such representations and warranties had been made on and as of the Closing Date which representations and warranties shall continue and survive the Closing Date. Sincerely, Michael C. Van Milligen City Manager MCVM:jh 22 EXHIBIT C OPINION OF DEVELOPER'S COUNSEL 23 Mayor and City Councilmembers City Hall 13th and Central Avenue Dubuque IA 52001 Re: Development Agreement Between the City of Dubuque, Iowa and Dear Mayor and City Councilmembers: We have acted as counsel for (Developer) in connection with the execution and delivery of a certain Development Agreement (Development Agreement) between Developer and the City of Dubuque, Iowa ("City") dated for reference purposes the day of 20_. We have examined the original certified copy, or copies otherwise identified to our satisfaction as being true copies, of the Development Agreement and such other documents and records as we have deemed relevant and necessary as a basis for the opinions set forth herein. Based on the pertinent law, the foregoing examination and such other inquiries as we have deemed appropriate, we are of the opinion that: 1 . Developer is a limited liability company organized and existing under the laws of the State of Iowa and has full power and authority to execute, deliver and perform in full Development Agreement. The Development Agreement has been duly and validly authorized, executed and delivered by Developer and, assuming due authorization, execution and delivery by City, is in full force and effect and is valid and legally binding instrument of Developer enforceable in accordance with its terms, except as the same may be limited by bankruptcy, insolvency, reorganization or other laws relating to or affecting creditors' rights generally. 2. The execution, delivery and performance by Developer of the Development Agreement and the carrying out of the terms thereof, will not result in violation of any provision of, or in default under, the articles of incorporation and bylaws of Developer, any indenture, mortgage, deed of trust, indebtedness, agreement, judgment, decree, order, statute, rule, regulation or restriction to which Developer is a party or by which Developer's property is bound or subject. 3. There are no actions, suits or proceedings pending or threatened against or affecting Developer in any court or before any arbitrator or before or by any governmental body in which there is a reasonable possibility of an adverse decision which could materially adversely affect the business (present or prospective), financial position or results of operations of Developer or which in any manner raises any questions affecting the validity of the Agreement or the Developer's ability to perform Developer's obligations 24 thereunder. Very truly yours, 25 EXHIBIT D MEMORANDUM OF DEVELOPMENT AGREEMENT 26 Prepared by: Barry A. Lindahl 300 Main Street Suite 330 Dubuque IA 52001 563 583-4113 Return to: Barry A. Lindahl 300 Main Street Suite 330 Dubuque IA 52001 563 583-4113 MEMORANDUM OF DEVELOPMENT AGREEMENT A Development Agreement by and among the City of Dubuque, Iowa, an Iowa municipal corporation, of Dubuque, Iowa, and 210 Jones, LLC. was made regarding the following described premises: LOT 1 OF CITY LOT 541, LOT 2 OF CITY LOT 541, CITY LOT 542, LOT 1 OF LOT 2 OF CITY LOT 543, LOT 2 OF LOT 2 OF CITY LOT 543, LOT "A" OF "VACATED SHIELDS STREET", AND, LOT 2 OF LOT "D" OF "VACATED SHIELDS STREET", IN THE CITY OF DUBUQUE, IOWA, ACCORDING TO THE UNITED STATES COMMISSIONERS' MAP OF THE SURVEY OF THE TOWN OF DUBUQUE, IOWA, AND THE RECORDED PLATS OF SAID RESPECTIVE SUBDIVISIONS The Development Agreement is dated for reference purposes the day of 2017, and contains covenants, conditions, and restrictions concerning the sale and use of said premises. This Memorandum of Development Agreement is recorded for the purpose of constructive notice. In the event of any conflict between the provisions of this Memorandum and the Development Agreement itself, executed by the parties, the terms and provisions of the Development Agreement shall prevail. A complete counterpart of the Development Agreement, together with any amendments thereto, is in the possession of the City of Dubuque and may be examined at its offices as above provided. Dated this day of , 2017. CITY OF DUBUQUE, IOWA 27 By: Roy D. Buol, Mayor By: Kevin S. Firnstahl, City Clerk 28 STATE OF IOWA ) SS COUNTY OF DUBUQUE ) On this _day of , 20_, before me, a Notary Public in and for the State of Iowa, in and for said county, personally appeared Roy D. Buol and Kevin S. Firnstahl, to me personally known, who being by me duly sworn did say that they are the Mayor and City Clerk, respectively of the City of Dubuque, a Municipal Corporation, created and existing under the laws of the State of Iowa, and that the seal affixed to said instrument is the seal of said Municipal Corporation and that said instrument was signed and sealed on behalf of said Municipal corporation by authority and resolution of its City Council and said Mayor and City Clerk acknowledged said instrument to be the free act and deed of said Municipal Corporation by it voluntarily executed. Notary Public, State of Iowa STATE OF IOWA ) SS COUNTY OF DUBUQUE ) On this day of 20_, before me, a Notary Public in and for the State of Iowa, in and for said county, personally appeared Chris Miller to me personally known, who being by me duly sworn did say that he is the President of 210 Jones, LLC. and that said instrument was signed on behalf of said company by authority of its members and that he acknowledged the execution of this instrument to be the voluntary act and deed of said company by it voluntarily executed. Notary Public, State of Iowa 29 EXHIBIT E PARKING IMPROVEMENTS 30 (\\(\\(\\ N C O In ;N Nom.>��0101 N � co _T N N (O(O W 3I C U C N N ss S O)O C N O LU 0 LL � U ffl N N N ' Q C d p U' a � l O �. _• W Z ' z (n co Y LU a' S 2 : f W > W 1 LL O z Y 0 co 0 (Y) O - LO N r 0 M IS NOSIUdVH �- o= -E ry� N 04 E o W - o O v Qs o N z�� o� G xEu o " 31 EXHIBIT F CERTIFICATE OF COMPLETION 32 Prepared By: Barry A. Lindahl, 300 Main Street, Suite 330, Dubuque, IA 52001 (563) 583-4113 Return to: Barry A. Lindahl, 300 Main Street, Suite 330, Dubuque, IA 52001 (563) 583-4113 CERTIFICATE OF COMPLETION WHEREAS, the City of Dubuque, Iowa, a municipal corporation (City) and 210 Jones, LLC (Developer) entered into a Development Agreement dated for reference purposes , 2017, relating to certain real property located within the Greater Downtown Urban Renewal District of the City of Dubuque and as more particularly described as follows: LOT 1 OF CITY LOT 541 , LOT 2 OF CITY LOT 541 , CITY LOT 542, LOT 1 OF LOT 2 OF CITY LOT 543, LOT 2 OF LOT 2 OF CITY LOT 543, LOT "A" OF "VACATED SHIELDS STREET', AND, LOT 2 OF LOT"D" OF "VACATED SHIELDS STREET', IN THE CITY OF DUBUQUE, IOWA, ACCORDING TO THE UNITED STATES COMMISSIONERS' MAP OF THE SURVEY OF THE TOWN OF DUBUQUE, IOWA, AND THE RECORDED PLATS OF SAID RESPECTIVE SUBDIVISIONS (the Property); and WHEREAS, said Agreement incorporated and contained certain covenants and conditions with respect to the development of the Property, and obligated Developer to construct certain Minimum Improvements in accordance with the Agreement; and WHEREAS, Developer has to the present date performed said covenants and conditions insofar as they relate to the construction of the Minimum Improvements on the Property in a manner deemed sufficient by City to permit the execution and recording of this certification. NOW, THEREFORE, pursuant to Section 2.4 of the Agreement, this is to certify that all covenants and conditions of the Agreement with respect to the obligations of Developer, and its successors and assigns, to construct the Minimum Improvements on the Property have been completed and performed by Developer to the satisfaction of City and such covenants and conditions are hereby satisfied. The Recorder of Dubuque County is hereby authorized to accept for recording and to record the filing of this instrument, to be a conclusive determination of the satisfaction of the covenants and conditions of said Agreement, as amended, and that said Agreement shall otherwise remain in full force and effect. CITY OF DUBUQUE, IOWA By: 33 Michael C. Van Milligen, City Manager STATE OF IOWA ) SS COUNTY OF DUBUQUE ) On this_day of 20 , before me, the undersigned, a Notary Public in and for the State of Iowa, personally appeared Michael C. Van Milligen, to me personally known, who, being by me duly sworn, did say that he is the City Manager of the City of Dubuque, Iowa, a municipal corporation, and that the instrument was signed on behalf of the corporation, and Michael C. Van Milligen acknowledged the execution of the instrument to be his voluntary act and deed. Notary Public in and for said State 34 EXHIBIT G PLANNING & DESIGN GRANT 35 PLANNING & DESIGN GRANT INFORMATION dile ping ram provides crane in the Greater om'mrown utan deal banner for from aaLaMs,engineers or other proRealmm services used poor to construction_ Janounl01 Grant: 111 maeNrg grant norm exceed ran uauaand dollars($10,000) be awaNed 0v the CM to Mail manse to oDart Ne astral preoevelopment cocelGvmpe alMine prost costs adult rerelve .tri gram wished 0y Ua 50 in pevale mnOlWLba $20 WO or greater come pro" eve world receive the maumnm $10,000 gram.) Grant speemc Commands • Reimbursement is for armaecWrzl and engineering year feasibility studies, • Reienvironmental assessments or other related soft costs. mbursable axpenelWres must be documented. . OwnerI developerlees are not damaged as relmbursame expenditures . The grant Mall not exceed tan percent(10%)of project costs • Grans vau be disbursed spm eoaryl¢term of Me project at a sta of50 for each $100 of surged ants Fppoval Process: 1. Design review by the Cry Planning Department anchor Methat Preservalun Commission Is redid red to r eade aur carry an the proRct- 2. Grant applandons vall be decreaed by Cary Slag Review Ganged and approved by Me cy manager. 3. Funding vau be d¢aursee open and review of documented expenditures and Inspection ora completed broad. 36 EXHIBIT H FAQADE GRANT 37 FACADE GRANT INFORMATION Tits pregram crossed grams In Me Greater Downtown uNai Recall Distruct Mr lord or mor have renovation to r¢tore this hale to by tl9wlc appearance a lmgore thea overall appearance. Amount of Gram: 1:1 mmrnlog gram not to¢aces ter Madrid dollars($10,000) shall be awarded W the M to quarrying protects eased on moral mylele project ram (Eeampla R 500 in eligible direct costs would resolve a 54,250 gram matches by as 250 in private ¢nNWmq 52],0.0" or greater eligible project stale would drove the recall$10,000 gram.) Grant specific CogphM via: HelmWrsenem is tar labor and demand cats a orated with hpade Improvements,IrmdOg but not limited to.versional ss Improving wmdreay tl sgmgel or awnings to enhance overall appearance. • taMScapsg orscreenlogwoh produce orrehsng were may the a relmouosaole adverse it a mechanical Is made Nx prrery in Improved ashcem to public rigmatway • In singer to recelverelmWrseinenterrepoONog,a mohar analysts sample may [e u¢t Mreache4ademmwllloerepolnted. The ardcant must where toMeresults dNatanalyss In their rehaolllraor work as pit mtMtrapprrved gmetl plan. Toe City may request vedhcadm that Me new molar mmcli¢ the revlls of the m mar among. • largo# from tM Nmlrrol Pam Service Termini Raemikn Serees hbms tray to attached as a condition for a building Iwrund IF the applicant cMMm a pedant mpolntlng on the project • Restaurant winendlwr¢munbe documented. • Grams art be disbursed union completion of was m a one of s M to each $100 of qualified seat Apuwal procress 1. Demn review by the Cry ground Department shown the Hlslomal Preservation Commands Is moubed for caterer work on the project z GvdappocaOrs val iia reviewed by Cry gram Review Crmmmee and approved by the Cthy Manager. 3 Funding; wit be asbursed urn staff resew of documented expenditures and rycmon ma compared patted. 38 EXHIBIT I FINANCIAL CONSULTANT GRANT 39 FINANCIAL CONSULTANT GRANT INFORMATION This real prowl at In the arealerOmmWvm uNn Renewal olstrinlornlmg a financial consuant b analyee Me basicity of pmfe[h Mould of Gram: 1:1 marching gram not to exceed !mean upusard eemrs (t15 neo) shall me awarded to auxlylrg pmlects based on total eligible pi msts (E)xampl $QSoo in ergNk praect costs would grand a 3II.25 gram mxWe by f<.LFo in where mnNbamn $30,000 a greater eligible costs wore excess Me maximum $15,000 gam! Grant sceang handsome: Relmbuaenem Is for leas assocaled wM Meng a pmf¢slmal Mar l consultant. Relmbaaaae eyemltaber mambe doamemee. Teganl5nallnrexceedlen co eIDfofeFlgoRticosts . Tibefun ltanm Wolectmostmmppleiend raNe Ehawlal CorsultamGml tomsm d_ . $100 of ranteddown arca canplHlom rxvX xa alers50 for ham $1 000lgaalmee men. Approval Process: 1. Cesgn revmw by the Cny Planning Oceasnenl arWa the Hlslorcal Preservation Commission s begun red to r ends bar very on the pmRtl- 2 Green appllrmans wllla revlewad by ON met Review Canmltlee am ypmred by the Cly Manager. 3. Funding wll be discussed urea such review of documented evpenrmres and research of a commands pmrem. 40 EXHIBIT J DESIGN LETTER 41 �Il_ meoy DJ TO A ,Emmic�A CmOnim FROM: OaM.Mmvwr,Ac56Gd Flaw�`� waMCT: syn Rstiaw-noamesum OPTF: Wd B mw ilisnemvrammlawarastlede9m resiwbenaim Anpmarnn:b3103aaw 9rmlilie0faynrenm'e�gpaabflpapwr�gmn�eryca�maR i[P�aa �mrenllameprmaly il'eprq�ls WAa1 n Re Greamr Wanlwn Oman Re¢wl RSEN.taptle Wanbxi Omyn O�Metina Mea FAenm aMrdms re[rw9 dl'emiMo ae si4aT b M1ST rtmex am aanoral.Tle Cdy IX Prbmue Mliae W M OVM9ng Mly m tlrs P4� o.: Tces�edMha 9nrenewb�ma�m�te adaladiaedaa�9.ihep4o� anera�mauve yaw wrmwz am am:m he mraea b eam�a Om+ma.TIe prym s,m�ef m��enao:m aemiea WW��6n+rmmsameama.mN t. merxawwAmmzmusreeMiamminm ma¢x¢avm mlMYesames�, dope,amsym a%memyAm»Rmos T�emaaam wa�a�w+hove aoMms s a¢a+aeie.Mama nwm re mmm m m aleaor d ne da.�. i. meriwamaror®iam�.mmearear vaaesaaianav oe dm¢wane m nom.m¢ma d m ame,.mawa am ay mm dma ao�dime e��aa�o..g siouo e¢a�e m�m.mn ire a mepged cameo eaanniaice vAhneappwm gasanlwmams.w6n 4ure cm d aiwme armem.ai c�iamro:.TM mma y aw.or.rod he awaa na mm approval am mmaursaomine¢ssaNvmin¢�nosadanaam:aamnn pmesmed mawm HatmeTa.craMadeds. aFaaaainmmipm Flame Ta.crmaareganrm w me m�4 a is MpM ree¢omenaea ue wwaN avna mien wrM me smm Fldatc Pr�'Mm CRa pv m mniwimg xwX. ¢ To1 Car.&Ran95nam Mai J® 42 ■amid � _ � lil� � � 43 ■amid � _ � iil� � � ® � � ® !� !� INSURANCE SCHEDULE AA 45 For m Dubuque Insurance Requirements for Lesseres d eM Property,and Rich of way INSURANCE SCHEDULE AA I shall bunch a signed debate T insurance to e Ory of of coverage required in Exhibit I mor to the lease,Ignored or mandit commencement All larmaer of Con propeM and right of way licensees or marminces shoul submit an consul Sapp tor the Iowa Insurance Branch or an equal Such courtifficate shall include a statement Under Discharge not Overations,as to why the,corrosion has signed ED Protect a or are,of prem I at_m con strusecor a or no ho of way performed! I...ton and description 2 All preacce,of Insurance handed!theyounderstrall be wit an insurer damaged to do address in a ad IT onsure, have a such; the current A M Best s Bases a_ �n senidnre wei be legal b them n w eenermoepemnent of the Con off DubuqueGuide The Image whearm,or mmi shall the required to does The minimum coverag�limft,an aorange I Sol by law order legal agreement InEilhourl Failure do minimum mm As um mvere shall ndeemed a waiver such requirements by me Cre providethof Deduced 5 From,to of or mandom the required insurance shad be command!a all goal more e_ All becmreesendonsimeenm shall In muchad mxniersk. 7 Whenever dograffs,ISO to"is converted me current murder come mor most to used unless an legal farm is apg ryme Finance Drector The deemed Tennesseeor cemdiee must amtiry aha mn all of awarons and exclusions and me iso mm. 8 If even IF Increase or mannumers;him in of I nmry are as thim,me mi , Americans,or pi tee s I In to shall be Few domain ant s rag urred li mas legal...Schedule and shall obtain officruse,from....may all such sue,mal and ,noncommercial Fmarydificenesee semiconductor aid ungrammatical to obta,and marman such coverage M~y s The C fragment a whad of so ch commands,from me all li caused or coverage, Pall t m4 ssxeuk na beam Of City coeM:of Of way Licences or Precius npm 2017 46 City of Dubuque Insurance Rectuarmsents Mr Lessens d Clry PmpeM and Right of Way ,mmi or Permittee, INSURANCE SCHEDULE AA (CONTINUED) A) COMMERCIAL GENERAL IABILm Shall Aggregate Limit y3,W0,W0 Aggregate used STIME IG Personal and ng Injury name 11,00000 Error 000000 Fire Damage madam one occurrence) OR GET Medical Payments $5i 000 11 dlry Coverage0 hatcher form CG 0001,or Busmers owneubrm BP 0003,shall be tlmdy 2) Include ISO em,hoemention, CG 25 W'Ovyneml mmmnlal General 3) Include endorsement indeating that coverree in ammy and non Spontaneous At Include Peer,amin of Gwemmenlal Immunes procurement(Sample acNem 5) Include wr encampment had Money any hall employe exclusion. 6) Include ddc,,n,l memo emeriti R, The er of Dubuque including all as elected and appointed ciffil Al TV employees and vagabond all D,scards,commissions anclor accuracy,and par nv�om(Ongoing radiar nteers. Use ISO form CG IDID ]I orr parmdlee Ndrres TEves or dagways In Ne conduct of bu,ne,s,,,Iud,am endorsement refflaceing Met Ease Commercial General Liabilitycoverage_ house vehicles are CIN becomes! BI WONKERSCOMPENSATION 6 EM PLOYENS LIABILITY theareffity covered all employees induced an Ne ryi by a¢tlent or disease as przsmeed glow&Came CLester85 as amended Coverage A ubry�—Sbate of may Coverage B Employed Liability 1W W0 Each Employee Disease 1W W0 Policy Limit isease 450001 all include Waiver of Right to Recover firmin��economical Pascal generator onWorkarreCompensation w Employers UabnlMCoiaegeunderlowa Cable W, 87 SO —War —functional IT ENVIRONMENTAL IMPAIRMENT LUBIutt OR POLLUMN LIABILITY Orwervanderesperand _OW _no Paget ma Se ule AALessees OtCTyPmf "y gMaW yLea mPmnmea AM1201T 47 City of Dubuque Insurance Recusencentin for Lessens d cry Property and Right of way resonance or Persuaded INSURANCE SCHEDULE AA (Continued) Pollution liability coverage shall Y,required I be lessee contracting reM, or commerce has any poluden expersure,far abatement of reductions or conlarminated molecule including,bid net limited to concern products Me removal of land asbestos or PCB, Centel roduct and leted eradcons ppEach p coverage E2.004000 Pdiry PggregeN S4dXUwO verage be 01 n nm . � . n 31 n Pet vi�den,,mao.e,agep5 need after completion ofpmKn DI PROPERTY INSURANCE REQUIRED BY LEASE,LICENSE,OR PERMIT deal opmfeM coverage provider!: _yo Page 3 m4 Sncduie AA Learn Of Cry Prgedy:wailw way L,m ,or Pmmnev Agent 3017 48 City m Dubuque lmuranee Requirements for Lesseence d cry exprM and Right of way Languages or measured PRESERVATION OF GOVERNMENTAL IMMUNITIES ENDORSEMENT 1p�y luggers,and!mus,drift Me prigrome of Me pa¢v Me City of deal less&as an overall swung does me warm,any of Me defenses of governmental unge mcrym Dubuque immunder(odedlowni Seems 6704 in it,,now exists and as it may be amended from time to barss. onrymme 2 (finger The insurer number improver; licy of insurance shall cover burns,not sublect 0 date We of mordernmentin unity nnt the m May luta and of it Days benol hung Me b time Tend d not actual m Cade of6foods Seton 6704 mall be covered by the forma eM eagNons of Mis mnderce pelay. 3 comertme of Government local The CTy,at Dubuge, loan Mail W separate far imerring am defense of remembered immune ,em may do to many once and anal do so upon the may xmmen 4 Non Der of Than insurvar mall me morrearage under my youscor and Me and me data any of the yCltym Me pee made reunTy ung ban mled in rewrm Me detmfar ept m gwemmentmmmunity veered by Me city of Dubuque, lown No faster C hanse 11 does The metals andmicrown of governmental munnurnmers shall nart offierwase change or affiter the cremme available under Me goes SPECIMEN Force 4m, Scheme are undeeaOff ClyPmpedy:agb,wWay fl�,orannualApal,Df7 49 NOTICE OF A PUBLIC HEARING OF THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA, ON THE MATTER OF THE PROPOSED AUTHORIZATION OF URBAN RENEWAL TAX INCREMENT REVENUE OBLIGATIONS AND THE APPROVAL OF THE DEVELOPMENT AGREEMENT RELATING THERETO WITH 210 JONES, LLC. PUBLIC NOTICE is hereby given that the City Council of the City of Dubuque, Iowa, will hold a public hearing on the 19th day of June, 2017, at 6:00 p.m. in the City Council Chambers at the Historic Federal Building, 350 W. 6th St., Dubuque, Iowa, at which meeting the City Council proposes to take action on the authorization and execution of the Development Agreement, and on the issuance of economic development grants (Urban Renewal Tax Increment Revenue Grant Obligations) described therein in order to carry out the purposes and objectives of the Urban Renewal Plan for the Greater Downtown Urban Renewal District, consisting of the funding of economic development grants to 210 Jones, LLC., under the terms and conditions of said Development Agreement and the Urban Renewal Plan for the Greater Downtown Urban Renewal District. The aggregate amount of the Urban Renewal Tax Increment Revenue Grant Obligations cannot be determined at the present time, but is not expected to exceed $310,000. At the meeting, the City Council will receive oral and written objections from any resident or property owner of said City to the above action. After all objections have been received and considered, the City Council may at this meeting or at any adjournment thereof, approve the Development Agreement, and authorize such Tax Increment Revenue Grant Obligations or abandon the proposal. By order of the City Council said hearing and appeals therefrom shall be held in accordance with and governed by the provisions of Section 403.9 of the Code of Iowa. This notice is given by order of the City Council of the City of Dubuque, Iowa, as provided by Chapter 403 of the Code of Iowa. Dated this day of 2017. Kevin S. Firnstahl City Clerk of Dubuque, Iowa