Downtown Rehab Loan AgreeMEMORANDUM
October 30, 2002
TO:The Honorable Mayor and City Council Members
FROM:Michael C. Van Milligen, City Manager
SUBJECT:Second Amendment to Downtown Rehabilitation Loan Agreements for
Guy Gard (356 Main Street) and Ellen Willis (372 Main Street)
Finance Director Ken TeKippe is recommending City Council approval of a second
amendment to the Downtown Rehabilitation Loan Agreements for Guy Gard (356 Main
Street) and Ellen Willis (372 Main Street) by extending the timeframe to allow additional
loans to those property owners for the costs of temporary shoring of their buildings until
May 1, 2003.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
MCVM/jh
Attachment
cc: Barry Lindahl, Corporation Counsel
Cindy Steinhauser, Assistant City Manager
Ken TeKippe, Finance Director
CITY OF DUBUQUE, IOWA
MEMORANDUM
TO:Michael C. Van Milligen, City Manager
FROM:Ken T eKippe, Finance Director
SUBJECT:Second Amendment to Downtown Rehabilitation Loan Agreements for
Guy Gard (356 Main Street) and Ellen Willis (372 Main Street).
DATE:October 30, 2002
Introduction
The purpose of this memorandum is to request City Council approval of a second
amendment to the Downtown Rehabilitation Loan Agreements for Guy Gard (356 Main
Street) and Ellen Willis (372 Main Street) by extending the timeframe to allow additional
loans to those property owners for the costs of temporary shoring of their buildings.
Background
The City Council of the City of Dubuque, Iowa has created a Downtown Rehabilitation
Loan Program for the purpose of stimulating reinvestment in the Downtown Dubuque
Urban Renewal District. The City Council amended this loan program to assist business
and property owners affected by construction of the Third Street Parking Ramp.
Applications by Guy Gard and Ellen Willis met the requirements set forth by the City
Council. Since the trial date has been moved from November, 2002 to May 6, 2003, it
is recommended we continue temporary shoring loan payments until May 1, 2003.
Discussion
Corporation Counsel Barry Lindahl and Attorney Les Reddick recommend that we
amend the existing loan agreements so that the owners can extend the timeframe to
obtain funds for temporary shoring. All sums owing for temporary shoring will be due
and payable within 30 days of the settlement, dismissal or judgment in the property
owners' lawsuit, but no later than July 1, 2003. An additional $8,000 of loan funds for
Ellen Willis ($43,000 total) and $8,000 of loan funds for Guy Gard ($31,500 total) are
necessary to extend the timeframe for shoring payments. The source of funding will
continue to be the UDAG Program.
Recommendation
I recommend that the City Council adopt the attached resolution approving a second
amendment to the Downtown Loan Agreements for Guy Gard and Ellen Willis and
authorizing City staff to prepare and execute the necessary amendments to the loan
documents. The resolution directs the City Manager to prepare and execute the final
documents according to the terms and conditions of the amended Loan Agreements.
Action
The requested action is for the City Council to adopt the attached resolution.
KT/jg
CC:Barry Lindahl, Corporation Counsel
Cindy Steinhauser, Assistant City Manager
Z:'t 12$DATA\FINSEC'~Ken~Downtown Rehab Loa ns'tP.~olu~ons\Second Amendment Memo DT Rehab Loan.doc
RESOLUTION NO. 589-02
APPROVING A SECOND AMENDMENT TO THE DOWNTOWN
REHABILITATION LOAN AGREEMENTS FOR GUY GARD (356 Main Street)
AND ELLEN WILLIS (372 Main Street).
Whereas, the City Council of the City of Dubuque, Iowa, has created a
Downtown Rehabilitation Loan Program for the purpose of stimulating reinvestment in
the Downtown Dubuque Urban Renewal District; and
Whereas, the City Council amended this loan program on March 19, 2001, to
assist business and property owners effected by construction of the Third Street Parking
Ramp with operating expenses for their businesses; and
Whereas, some of the property owners requested additional funds for temporary
shoring of the buildings on Main Street; and
Whereas, the City Council amended the Loan Agreements on March 4, 2002 for
such purpose as appropriate; and
Whereas, the City Council has determined that a second amendment to the Loan
Agreements for the purpose of extending the time frame for providin~ temporary shoring
loan funds is appropriate.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF DUBUQUE, IOWA:
Section 1. That the Downtown Rehabilitation Loan Agreements for Guy Gard
(356 Main Street) and Ellen Willis (372 Main Street) may be amended to include the
costs of temporary shoring of their buildings.
Section 2. That the City Manager is hereby authorized to execute, on behalf of
the City of Dubuque, Iowa, all necessary loan documents and is further authorized to
disburse additional loan funds from the Downtown Rehabilitation Loan Program, in
accordance with the terms and conditions of the executed amended loan documents.
Passed, approved and adopted this 4th day of November, 2002.
Terrance M. Duggan, Mayor
Attest:
Karen M. Chesterman, Deputy City Clerk
Karen H. Chestermau, Deputy City Clerk
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