IBM First Amendment to Incentives Agreement 5 1 09THE CITY OF DUBUQUE
Masterpiece on the Mississippi
MEMORANDUM
BARRY LINDAHL
CITY ATTORNEY
TO: Mayor Roy D. Buol and
Members of the City Council
DATE: April 30, 2009
RE: City of Dubuque - IBM First Amendment to Incentives Agreement
On February 16, 2009, the City and International Business Machines Corporation (IBM)
entered into an Incentives Agreement with respect to the Roshek Building Project. The
Agreement is subject to, among other things, the condition that IBM may terminate the
Agreement at any time on or before May 1, 2009 in the event that IBM determines that
the financial assistance agreement with the State of Iowa Department of Economic
Development (IDED) is unsatisfactory to IBM.
I have been advised by IBM representatives that the agreement for financial assistance
between IDED and IBM has not been finalized. IBM has requested that the Incentives
Agreement be amended to extend the deadline for finalizing the IDED assistance
agreement to July 1, 2009.
Attached is a First Amendment to the Incentives Agreement, as well as a Resolution
Approving the First Amendment to Incentives Agreement, which extends the deadline
for finalizing the IDED assistance agreement to July 1, 2009.
I recommend City Council consideration and approval of the First Amendment to
Incentives Agreement.
BAL:tIs
Attachment
cc: Michael C. Van Milligen, City Manager
Dave Heiar, Economic Development Director
Preparers harry A. Lindahl Suite 330 Harbor View Place Dubuque, IA 52001 (563) 583-4113
RESOLUTION NO. 136 -09
APPROVING THE FIRST AMENDMENT TO INCENTIVES AGREEMENT
BETWEEN THE CITY OF DUBUQUE, IOWA, AND INTERNATIONAL
BUSINESS MACHINES CORPORATION
Whereas, the City of Dubuque, Iowa (City) and International Business
Machines Corporation (Employer) have entered into an Incentives Agreement
(the Agreement) dated February 16, 2009; and
Whereas, the Agreement is subject to the condition that Employer may
terminate the Agreement at any time on or before May 1, 2009 in the event
Employer determines that financial assistance with the State of Iowa Department
of Economic Development (the IDED Assistance) is unsatisfactory to Employer;
and
Whereas, documentation for the IDED Assistance has not been finalized
by Employer and IDED; and
Whereas, City and Employer desire to amend the Incentives Agreement to
extend the termination date to July 1, 2009.
NOW, THEREFORE, B IT RESOLVED Y THE CITY COUNCIL OF
THE CITY OF DUBUQUE, IOWA AS FOLLOWS:
Section 1. The First Amendment attached hereto is hereby approved.
Passed, approved and adopted this 1st day of May, 2009.
Roy D. Buol, Mayor
Attest:
Jeanne F. Schneider, City Clerk
This First Amendment to Incentives Agreement between the City of
Dubuque, Iowa, and International Business Machines Corporation, dated for
reference purposes the 30th day of April, 2009
Whereas, the City of Dubuque, Iowa {City) and International Business
Machines Corporation {Employer) have entered into an Incentives Agreement
(the Agreement} dated February 16, 2009; and
Whereas, the Agreement is subject to the condition that Employer may
terminate the Agreement at any time on or before May 1, 2009 in the event
Employer determines that financial assistance with the State of Iowa Department
of Economic Development (the IDED Assistance} is unsatisfactory to Employer;
and
Whereas, documentation for the IDED Assistance has not been finalized
by Employer and IDED; and
Whereas, City and Employer desired to amend to Incentives Agreement to
extend the termination date to July 1, 2009.
NOW, THEREFORE, IT IS AGREEMENT BY AND BETWEEN THE
PARTIES AS FOLLOWS:
1. Par. 1.1 of the Incentives Agreement is amended to read as
follows:
1.1 This Agreement becomes effective when the Employer executes an
agreement (inclusive of all other agreements and all related documentation) for
financial assistance with the State of Iowa Department of Economic Development
on such terms and conditions as Employer in its sole, absolute and unfettered
discretion deems to be satisfactory {the "IDED Assistance"} {Employer will
provide written notice to the City if and when the IDED Assistance has been
obtained; such notice being a condition precedent to the Effective Date actually
occurring, notwithstanding any other provision to the contrary} and (ii) the City
Council of the City of Dubuque, Iowa, in its sole, absolute and unfettered
discretion, having approved a Development Agreement between City and
Developer (the "Development Agreement" or "DA")) by not later than February
19, 2009 in form and substance satisfactory to Employer (City shall deliver to
Employer (i) for review and comment each draft of the DA at such time as any
such draft is delivered to Develaper and (ii} the final, executed farm of the ~A
within five (5} days of its execution}. Employer may terminate this Agreement at
any time on ar before July 1, 20139 (by delivering written native thereof to the
City} in the event Employer determines that the iL~ED Assistance is
unsatisfactory to Employer.
2. All other fierms and conditions of the incentives Agreement shall
remain in full force and effect.
CITY OF DUBUQUE
By: Roy D. Buol, Mayor
By: Jeanne F. Schneider, City Clerk
INTERNATIONAL BUSINESS MACHINES CORPORATION
By:
Name:
Title: