Adams Company Development Agreement_HearingMEMORANDUM
May 14, 2003
TO:The Honorable Mayor and City Council Members
FROM:Michael C. Van Milligen, City Manager
SUBJECT:Development Agreement by and between the City and the Adams
Company
Economic Development Director Bill Baum is recommending City Council approval of
the Development Agreement with the Adams Company, which provides:
1. The City purchase the Adams Company property for $2,407,500, based upon the
appraised value.
2. The Company perform a Phase II Assessment of their property, and if acceptable
to the City, the City agrees to cap City costs for mitigation at $500,000.
3. The City provides land in the Dubuque Industrial Center West to the Company
through an "acquisition grant" to the Company.
4. The City provides an Economic Development grant to the Company to assist in
the construction of a new manufacturing facility. This amount will be the
difference between the purchase price of the Company's existing building, and
the cost of the new facility, currently estimated to be $2, 800,000.
5. The City provide relocation assistance to the Company, as required by the
federal regulations governing the EDA grant, as well as down time of the
manufacturing facility.
6. The total payment to the Company for #1, #4, and #5 will not exceed $3,500,000.
7. The Agreement is subject to the City's ability to finance the deal through the
issuance of Tax Increment Financing Bonds or Notes prior to closing.
Be executing the Agreement, the City is committing to pay the costs of a Phase II
Environmental Assessment ($12,900) for the existing site, and the cost of the
services of a design engineer ($50,000) for the new facility. Therefore, if for
some reason the deal falls apart, the City will have invested $62,900 in this
agreement.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
Michael C. Van Milligen
MCVM/jh
Attachment
cc: Barry Lindahl, Corporation Counsel
Cindy Steinhauser, Assistant City Manager
William Baum, Economic Development Director
CITY OF DUBUQUE, IOWA
MEMORANDUM
May 9, 2003
TO:Michael Van Milligen, City Manager
FROM:William Baum, Economic Development Director
SUBJECT:Development Agreement by and between the City and the Adams
Company
INTRODUCTION
This memorandum presents for City Council consideration a Resolution approving a
Development Agreement by and between the City and the Adams Company.
BACKGROUND
On May 5, 2003, the City Council was presented with the attached memorandum
recommending that a public hearing be set for May 19 on a proposed Development
Agreement between the City and the Adams Company.
The Adams Company's attomey, Allan Carew, and City Corporate Counsel, Barry
Lindahl, have now finalized the terms and conditions of a Development Agreement.
DISCUSSION
The Agreement, which is attached, proposes:
1. The City purchase the Adams Company property for $2,407,500, based upon the
appraised value.
2. The Company perform a Phase II Assessment of their property, and if acceptable
to the City, the City agrees to cap City costs for mitigation at $500,000.
3. The City provides land in the Dubuque Industrial Center West to the Company
through an "acquisition grant" to the Company.
4. The City provides an Economic Development grant to the Company to assist in
the construction of a new manufacturing facility. This amount will be the
difference between the pumhase price of the Company's existing building, and
the cost of the new facility, currently estimated to be $2, 800,000.
5. The City provide relocation assistance to the Company, as required by the
federal regulations governing the EDA grant, as well as down time of the
manufacturing facility.
6. The total payment to the Company for #1, #4, and #5 will not exceed $3,500,000.
7. The Agreement is subject to the City's ability to finance the deal through the
issuance of Tax Increment Financing Bonds or Notes prior to closing.
8. By executing the Agreement, the City is committing to pay the costs of a Phase II
Environmental Assessment ($12,900) for the existing site, and the cost of the
services of a design engineer ($50,000) for the new facility. Therefore, if for
some reason the deal falls apart, the City will have invested $62,900 in this
agreement.
The City has received a grant award of $2,000,000 from the Economic Development
Administration to assist in the acquisition of the Adams Company property, and
relocation of the company to the Dubuque Industrial Center West.
RECOMMENDATION
I recommend that the City Council approve the Development Agreement with the
Adams Company. This action is consistent with the Master Plan for the redevelopment
of the Port of Dubuque.
ACTION STEP
The action step for the City Council is to adopt the attached Resolution.
F:\USERS\WBaum~EDA APPLICATION FOR ADAMS COMPANY~EDA APPLICATION FOR ADAMS COMPANYYfinal.memo.doc
MEMORANDUM
May14,2003
TO:
The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: Development Agreement by and between the City and the Adams
Company
Economic Development Director Bill Baum is recommending City Council approval of
the Development Agreement with the Adams Company, which provides:
1. The City purchase the Adams Company property for $2,407,500, based upon the
appraised value.
2. The Company perform a Phase II Assessment of their property, and if acceptable
to the City, the City agrees to cap City costs for mitigation at $500,000.
3. The City provides land in the Dubuque Industrial Center West to the Company
through an "acquisition grant" to the Company.
The City provides an Economic Development grant to the Company to assist in
the construction of a new manufacturing facility. This amount will be the
difference between the purchase pdce of the Company's existing building, and
the cost of the new facility, currently estimated to be $2, 800,000.
The City provide relocation assistance to the Company, as required by the
federal regulations governing the EDA grant, as well as down time of the
manufacturing facility.
6. The total payment to the Company for #1, #4, and #5 will not exceed $3,500,000.
7. The Agreement is subject to the City's ability to finance the deal through the
issuance of Tax Increment Financing Bonds or Notes prior to closing.
Be executing the Agreement, the City is committing to pay the costs of a Phase II
Environmental Assessment ($12,900) for the existing site, and the cost of the
services of a design engineer ($50,000) for the new facility. Therefore, if for
some reason the deal falls apart, the City will have invested $62,900 in this
agreement.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
Michael C. Van Milligen ~.
MCVM/jh
Attachment
cc: Barry Lindahl, Corporation Counsel
Cindy Steinhauser, Assistant City Manager
William Baum, Economic Development Director
CITY OF DUBUQUE, IOWA
MEMORANDUM
May 9, 2003
TO:
FROM:
SUBJECT:
Michael Van Milligen, City Manager
William Baum, Economic Development Director ~
Development Agreement by and between the City and the Adams
Company
INTRODUCTION
This memorandum presents for City Council consideration a Resolution approving a
Development Agreement by and between the City and the Adams Company.
BACKGROUND
On May 5, 2003, the City Council was presented with the attached memorandum
recommending that a public hearing be set for May 19 on a proposed Development
Agreement between the City and the Adams Company.
The Adams Company's attorney, Allan Carew, and City Corporate Counsel, Barry
Lindahl, have now finalized the terms and conditions of a Development Agreement.
DISCUSSION
The Agreement, which is attached, proposes:
1. The City purchase the Adams Company property for $2,407,500, based upon the
appraised value.
2. The Company perform a Phase II Assessment of their property, and if acceptable
to the City, the City agrees to cap City costs for mitigation at $500,000.
3. The City provides land in the Dubuque Industrial Center West to the Company
through an "acquisition grant" to the Company.
The City provides an Economic Development grant to the Company to assist in
the construction of a new manufacturing facility. This amount will be the
difference between the purchase pdce of the Company's existing building, and
the cost of the new facility, currently estimated to be $2, 800,000.
The City provide relocation assistance to the Company, as required by the
federal regulations goveming the EDA grant, as well as down time of the
manufacturing facility.
6. The total payment to the Company for #1, ~4, and #5 will not exceed $3,500,000.
7. The Agreement is subject to the City's ability to finance the deal through the
issuance of Tax Increment Financing Bonds or Notes prior to closing.
8. By executing the Agreement, the City is committing to pay the costs of a Phase II
Environmental Assessment ($12,900) for the existing site, and the cost of the
services of a design engineer ($50,000) for the new facility. Therefore, if for
some reason the deal falls apart, the City will have invested $62,900 in this
agreement.
The City has received a grant award of $2,000,000 from the Economic Development
Administration to assist in the acquisition of the Adams Company property, and
relocation of the company to the Dubuque Industrial Center West.
RECOMMENDATION
I recommend that the City Council approve the Development Agreement with the
Adams Company. This action is consistent with the Master Plan for the redevelopment
of the Port of Dubuque.
ACTION STEP
The action step for the City Council is to adopt the attached Resolution.
F:\USERS\WBaum~EDA APPLICATION FOP, ADAMS COMPANY~EDA APPLICATION FOR ADAMS COMPANY~finaLmemo.doc
Prepared by Bill Baum, Economic Development Director, 50 West 13th, 589-4393
RESOLUTION NO. 175-03
AUTHORIZING THE EXECUTION OF A DEVELOPMENT AGREEMENT WITH THE ADAMS
COMPANY
Whereas, the City Council of the City of Dubuque, Iowa, after public headng, duly adopted an
Urban Renewal Plan (the Plan) for the Dubuque Industrial Center Economic Development District; and
Whereas, the Plan provides that the City may undertake special financing activities, including
loans or grants to private developers, to meet the objectives of the Plan and to encourage the
development of the District; and
Whereas, the City Council has determined, in accordance with Section 15A.1 of the Iowa Code,
that the Adams Company is qualified to receive such loan or grant assistance to assist with the
relocation and expansion of its facility in the District; and
Whereas, pursuant to published notice, the City Council has held a public hearing on a
proposed Development Agreement with the Company; and
Whereas, a Development Agreement, is attached hereto and by this reference made a part
hereof;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE,
IOWA:
Section 1. That the form of Development Agreement by and between the City of Dubuque and the
Adams Company, attached hereto, is hereby approved.
Section 2. That the Mayor and City Clerk are hereby authorized and directed to execute, on behalf
of the City of Dubuque, Iowa, said Development Agreement.
Attest:
Passed, approved and adopted this 19th day of May 2003.
Terrance M. Duggan, Mayor
Jeanne F. Schneider, City Clerk
EXHIBIT "A"
LEGAL DESCRIPTION OF DEMISED PREMISES
Lot I Adams Company's 2nd Addition in the City of
Dubuque, Iowa
INSURANCE SCHEDULE
During the term of this Lease, Lessee intends to continue to carry the insurance
A,, .~..,..:~- .~; ........ required hereunder with its current carrier which has a
ratin,q ofA ..k... ~.~ ..~,k ..,. ~ ......... ......;.,.,~ ,.. ,~,. k,,~; .... ;.., ..... A,, ~
.k..,, k ....... *~"" v ........... In the current A.M. Best Rating Guide.
All policies of insurance required hereunder shall be endorsed to provide a thirty
(30) day advanced notice to the City of Dubuque of any cancellation of the policy
pdor to its expiration date. This endorsement supersedes the standard
cancellation statement on the Certificate of Insurance.
Lessee shall furnish Certificates of Insurance to the City of Dubuque, Iowa for
the coverage required in Paragraph 7. Such certificates shall include copies of
the endorsements set forth in Paragraphs 2 and 5 to evidence inclusion in the
policy.
Each Certificate of Insurance shall be submitted to the Finance Department of
the City of Dubuque, Iowa prior to commencement of work/service.
All policies of insurance required in Paragraph 7 of this Schedule shall include
the City of Dubuque, Iowa under the attached Additional Insured Endorsement
(CG2011__~) and the attached Governmental Immunities Endorsement.
Failure to provide minimum coverage shall not be deemed a waiver of these
requirements by the City of Dubuque. Failure to obtain or maintain the insurance
required herein shall be considered a material breach of this agreement.
Lessee shall be required to carry the following minimum insurance coverages or
greater if required by law or other legal agreement:
COMMERCIAL GENERAL LIABILITY:
Products-Completed Operation Aggregate Limit
$
$
$
$
Each Occurrence Limit
Fire Damage Limit (any one occurrence)
Medical Payments
Commercial general liability shall be written on an occurrence form, not a claims
made form. Coverage to include premises-operation-products-completed
operations, independent contractors coverage, contractual liability, broad form
property damage, and personal injury.
1,000,000
1,000,000
50,000
5,000
12
CITY OF DUBUQUE, IOWA
Nonwaiver of Governmental Immunity. The insurance carrier expressly
agrees and states that the pumhase of this policy and the including of
the City of Dubuque, Iowa as an Additional Insured does not waive any
of the defenses of governmental immunity available to the City of
Dubuque, Iowa under Code of Iowa Section 670.4 as it is now exists
and as it may be amended form time to time.
Claims Covera,qe. The insurance carrier further agrees that this policy of insurance
shall cover only those claims not subject to the defense of governmental immunity
under the Code of Iowa Section 670.4 as it now exists and as it may be amended
from time to time. Those claims not subject to Code of Iowa Section 670.4 shall be
covered by the terms and conditions of this insurance policy.
=
Assertion of Government Immunity. The City of Dubuque, Iowa shall be responsible
for asserting any defense of governmental immunity, and may do so at any time and
shall do so upon the timely written request of the insurance carder.
Non-Denial of Coverage. The insurance carrier shall not deny coverage under this
policy and the insurance carder shall not deny any of the dghts and benefits
accruing to the City of Dubuque, Iowa under this policy for reasons of governmental
immunity unless and until a court of competent jurisdiction has ruled in favor of the
defense(s) of governmental immunity asserted by the City of Dubuque, Iowa.
No Other Chanqe in Policy. The above preservation of governmental immunities shall not otherwise change or
alter the coverage available under the policy.
]3
POLICY NUMBER COMMERCIAL GENERAL LIABILITY
THiS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
ORGANIZATION
This endorsement modifies insurance provided under the following:
COMMERCIAL GENERAL LIABILITY COVERAGE PART.
SCHEDULE
Name of Person Or Organization:
The City of Dubuque, including all its elected and appointed officials, all its employees and volunteers, all its
boards, commissions and/or authorities and their board members, employees, and volunteers.
(If no entry appears above, information required to complete this endorsement will be shown in the
Declarations as applicable to this endorsement_)
WHO IS AN INSURED (Section II) is amended to include as an insured the person or organization shown in
the Schedule as an insured but only with respect to liability adsing out of your operations or premises
owned by or rented to you.
CoowiQht. Insurance Sen~ices Office. Inc. 1994
CG2026 11 85
]4
r,
'2§185'
f Y
71103 OCT 29 APR I0: 12
ATHY FLYNN 11" UliLo'`«'t
COUNTY RECORDER
DUBUQUE CO,.f0'WA FEE
Prepared by: 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, The Adams Company, an Iowa corporation, was
made regarding the following described premises:
Lots 4 and 5 of Dubuque Industrial Center West 2nd Addition in the City of
Dubuque, Iowa
The Development Agreement was signed on the 19th day of May, 2003, and
contained 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 28th day of October, 2003
THE ADAMS COMPANY
Hendry, President
CITY OF DUBUQUE, IOWA
B(g
Jeanne F. Schneider, City Clerk
STATE OF IOWA
: ss:
DUBUQUE COUNTY
On this 28th day of October, 2003, before me, the undersigned, a Notary Public
in and for the State of Iowa, personally appeared John C. Hendry, to me personally known,
who, being by me duly sworn, did say that he is the President of The Adams Company
executing the foregoing instrument; that the instrument was signed on behalf of the
corporation by authority of its Board of Directors; and John C. Hendry acknowledged the
execution of the instrument to be the voluntary act and deed of The Adams Company by it
voluntarily executed.
Notary ' Ic, Sta e of 'Iowa
-
STATE OF IOWA
. ss:
DUBUQUE COUNTY
ALLAN J. CAREW
COMMISSION NO. 5475
MY COMMISSION EXPIRES
FEBRUARY 18, 2005
On this7`L day of October, 2003, before me, a Notary Public in and for the
State of Iowa, in and for said county, personally appeared Terrance M. Duggan and
Jeanne F. Schneider, 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 it, City Council and said Ma or and City Clerk acknowledged said instrument to be the
free act and deed .of said M is t> : I Corporation by it voluntarily executed.
Notary Public, State'of Iowa
Prepared by Barry Lindahl Coproation Counsel 300 Main Street Dubuque IA 52001
5894113
DEVELOPMENT AGREEMENT
BETWEEN
THE CITY OF DUBUQUE IOWA
AND
THE ADAMS COMPANY
This Development Agreement the Agreement made and entered into as of the
f day of May 2003 by and between The Adams Company an Iowa corporation
Developer and the City of Dubuque Iowa an Iowa municipal corporation City
RECITALS
WHEREAS Developer is the owner of the following described real property
Lot 1 Adams Companys 2nd Addition in the City of
Dubuque Iowa herein referred to as DevelopersProperty
located on the Fourth Street Peninsula in the City of Dubuque Iowa and
WHEREAS City is in the process of acquiring by eminent domain or threat of
eminent domain parcels of property on the Fourth Street Peninsula in the City of
Dubuque Iowa There are substantial current developments in the Fourth Street
Peninsula area amounting to approximately 20000000000 and
WHEREAS Developer has been notified that DevelopersProperty is essential to
Citys continued development plans and City has threatened to take Developers
Property by eminent domain proceedings as authorized by Iowa law if City is unable to
acquire DevelopersProperty through negotiations The words eminent domain may
sometimes be referred to herein as condemnation and
WHEREAS in furtherance of the objectives of the Iowa Urban Renewal Act City
has undertaken an Urban Renewal project the Project to advance the communitys
ongoing economic development efforts and
WHEREAS the Project is located within the Dubuque Industrial Center
Economic Development District Project Area and
WHEREAS as of the date of this Agreement there has been prepared and approved by
City an Urban Renewal Plan for the Project Area consisting of the Urban
RenewalPlanfortheDubuqueIndustrialCenterEconomicDevelopmentDistrictapprovedbyCityCouncilofCityonMay21988andassubsequentlyamendedthroughandincludingthedatehereofattachedheretoasExhibitAUrbanRenewalPlanandWHEREASacopyoftheUrbanRenewalPlanasconstitutedonthedateofthisAgreementandintheformattachedheretohasbeenrecordedamongthelandrecordsintheofficeoftheRecorderofDubuqueCountyIowaandWHEREASDeveloperbecauseofthethreatofcondemnationandthenecessitytorelocateitsmanufacturingfacilityhasrequestedthatCityselltoDeveloperapproximately1048acresmoreorlessidentifiedasLots4and5ofDubuqueIndustrialCenterWest2dAdditionintheCityofDubuqueIowatheCityPropertysothatDevelopermaydevelopCityPropertylocatedintheProjectAreafortheconstructionuseandoccupancyofanindustrialfacilitywhichtheCityhasdeterminedandrepresentedtoDeveloperisinaccordancewiththeusesspecifiedintheUrbanRenewalPlanandinaccordancewiththisAgreementandWHEREASCitybelievesthatthedevelopmentofCityPropertypursuanttothisAgreementandthefulfillmentgenerallyofthisAgreementareinthevitalandbestinterestsofCityandinaccordwiththepublicpurposesandprovisionsoftheapplicablefederalstateandlocallawsandtherequirementsunderwhichtheProjecthasbeenundertakenandisbeingassistedTHEREFOREITISAGREEDBYANDBETWEENTHEPARTIESASFOLLOWS1CondemnationCityhasthepowerunderIowalawtoacquirepropertybyeminentdomainCityhasthreatenedtotakeDevelopersPropertypursuanttotheIowalawofeminentdomainifCityisunabletonegotiateapurchaseofsuchpropertywithDeveloperDeveloperhasagreedtoenterintothisAgreementsolelybecauseofthethreatofcondemnationbyCity2ActionsinLieuofCondemnationThefollowingactionsarebeingtakenandthefollowingpaymentsarebeingacceptedbyDeveloperbecauseofthethreatofcondemnationbytheCityaSaleofDevelopersPropertyUnderAThreatofCondemnationSubjecttoallofthetermsandconditionsofthisAgreementandunderthreatofcondemnationDeveloperagreestosellandCityagreestopurchasetheDevelopersPropertyincludingtherealestateandtheimprovementslocatedthereonexclusivehoweverofmachineryequipmentandpersonalpropertyfor2407500thePurchasePrice2
Developersappraisedvalue1200persqfootofDevelopersPropertybasedupontheMarch122002appraisalofKaneAppraisalandRealEstateAtclosingtheDevelopersPropertywillbefreeandclearofallliensandencumbrancesandDeveloperwilldeliveraWarrantyDeedtoCityfortheDevelopersPropertyinexchangeforpaymentofthePurchasePricebGroundforRelocatedFacilityCityagreestoselltoDeveloperatfairmarketvalueof79000peracrethefollowingdescribedpropertyLots4and5ofDubuqueIndustrialCenterWest2ndAdditionintheCityofDubuqueIowahereafterreferredtoastheCityPropertyCitywilldelivertoDeveloperattheclosingaSpecialWarrantyDeedtotheCityPropertyintheformattachedheretoCitywillprovideutilitiestoDevelopersrelocatedmanufacturingfacilityincludingstormsewersanitarysewerwaterandelectricalconnectionsTheCityPropertywillbeifreeandclearofanyenvironmentaldeficiencieswhichrequirestateorfederalremediationiimeetcurrentzoningrequirementstoaccommodateDevelopersmanufacturingfacilityandiiiofsatisfactorycompactiontoaccommodateDevelopersmanufacturingfacilitycAcquisitionGranttoCompanyForandinconsiderationofDevelopersintentiontoacquirelandandconstructamanufacturingfacilitytoreplacethemanufacturingfacilityacquiredunderparagraph2aandtomaintainmanufacturingoperationsintheCityofDubuquetheCityagreestomakeanAcquisitionGranttoDeveloperfortheCityPropertyontheClosingDateorsuchotherdateasthepartiesshallmutuallyagreeuponinwritingintheamountofSeventyNineThousandDollars7900000peracreDeveloperintendstomaintaincurrentemploymentlevelsattherelocatedfacilityThepartiesagreethattheAcquisitionGrantshallbepayableintheformofacreditfavoringDeveloperatthetimeofclosingwiththeeffectofdirectlyoffsettingthepurchasepriceobligationofDeveloperTheAcquisitionGrantwillbeacceptedbytheDeveloperonlybecauseoftheCitysthreatofcondemnationandnecessitytorelocateitsmanufacturingfacilityTheCitywillnotreceiveanydirectgoodsorservicesastheresultoftheissuanceoftheAcquisitionGrantdEconomicDevelopmentGranttoCompanyForandinconsiderationofDevelopersintentiontoacquirelandandconstructamanufacturingfacilitytoreplacethemanufacturingfacilityacquiredunderparagraph2aandtomaintainmanufacturingoperationsintheCityofDubuquetheCityofDubuqueagreessubjecttotheconditionssetforthinthisSectiontomakeanEconomicDevelopmentGranttoDeveloperontheClosingDateorsuchotherdateasthepartiesshallmutuallyagree3
uponinwritingDeveloperintendstomaintaincurrentemploymentlevelsattherelocatedfacilityDeveloperacknowledgesthatCityintendstofinanceallofitscostsassociatedwiththeProjectincludingthefundingoftheEconomicDevelopmentGrantthroughtheissuanceofUrbanRenewalTaxIncrementRevenueBondsorNotestobeissuedbyCityundertheprovisionsofIowaCodeSection4039andthisSectionsuchobligationbeingreferredtoasNotesTheNotesaretobeissuedandsoldpriortotheclosingIftheNotesarenotissuedandsoldpriortotheclosingneithertheCityorDeveloperareobligatedtoperformunderthisAgreementTheEconomicDevelopmentGrantshallbeintheestimatedtotalamountofThreeHundredNinetyThreeThousandDollars39300000andshallbepayablesolelyandonlyfromthesaleofUrbanRenewalTaxIncrementRevenueBondsorNotesbyCityTheexactamountoftheEconomicDevelopmentGranttotheCompanywillbeequaltothedifferencebetweenthePurchasePriceforDevelopersPropertyandthecostoftherelocatedmanufacturingfacilityontheCityPropertyThecurrentestimatedcostoftherelocatedmanufacturingfacilityexclusiveofgroundis2800000howeveradditionalstudiesmustbeconductedbyaprofessionalengineeringfirmandfirmbidsreceivedbythegeneralcontractorinordertodeterminethefinalcostsoftherelocatedfacilityandtheestimatedcostmaybeadjustedprovidedhoweverthattheadjustedaggregatecostshallnotexceedtheamountsetforthinSection4ofthisAgreementThecurrentestimateofthecostofservicesofaprofessionalengineerisapproximately50000whichamountwillbepaidbytheCityinatimelymanneruponreceiptofaninvoicefromDeveloperTheEconomicDevelopmentGrantwillbeacceptedbytheDeveloperonlybecauseoftheCitysthreatofcondemnationandnecessitytorelocateitsmanufacturingfacilityTheCitywillnotreceiveanydirectgoodsorservicesastheresultoftheissuanceoftheEconomicDevelopmentGranteRelocationExpenseIngeneralCitywillpaytheexpenseoftherelocationofDevelopersmanufacturingfacilitytoDubuqueIndustrialCenterWestTherelocationexpenseincludesbutisnotlimitedtoexpensesofaqualifiedmovingcompanyselectedbyDevelopertomovethemachineryequipmentandotherpersonalpropertyfromtheDevelopersPropertytotherelocatedmanufacturingfacilityrecordingfeesabstractfeesthecostofinsurancerequiredbySection5eofthisAgreementDevelopersemployeeexpensesrelatedtotherelocationdowntimeofthemanufacturingbusinessduringthetimeoftherelocationapproximately25000andanyotherexpensesrelatingdirectlytotherelocationofthemanufacturingfacilityDevelopershallhoweverberesponsibleforthefeesforitslegalservicesinconnectionwiththisAgreementThecurrentestimatedrelocationexpenseis500000to700000DeveloperwillprovidedocumentationtoCitytosupporttherelocationexpenseinaformreasonablysatisfactorytoCityTherelocationexpensewillbereimbursedtoDeveloperwithinfifteen15daysaftersubmissionofdocumentationIfthereisadisputeonany4
particularitemtheundisputeditemswillbereimbursedAnydisputeditemswillberesolvedbynegotiationorifthepartiesareunabletoresolveanyexpenseitemsbynegotiationthensameshallberesolvedbybindingarbitrationinaccordancewiththerulesoftheAmericanArbitrationAssociationTherelocationassistanceshallbeprovidedinaccordancewithapplicablestateandfederallawsandregulationsassetforthintheRelocationAssistancePoliciesandProceduresManualJanuary2002oftheIowaDepartmentofTransportationandshallincludeanyitemsallowablethereunderinadditiontothespecificitemslistedaboveAcopyoftheManualisattachedtothisAgreement3EnvironmentalMattersaCityandDeveloperacknowledgethataPhaseIEnvironmentalSiteAssessmentESAwasconductedforthePropertybyIIWEngineersSurveyorsPCandareportdatedSeptember2002hasbeensubmittedtoCitybDeveloperagreestocauseaPhaseIIESAtobeconductedforthePropertybyaqualifiedenvironmentalconsultantatCityssoleexpenseDeveloperhasprovidedCitytheopportunitytoreviewandcommentonthescopeofworkforthePhaseIIESAaspreparedbyPrestonEngineeringIncandagreestothescopeoftheworksetforththereincDevelopershalldetermineinDeveloperssolediscretionwhethertoprovideCitywithacopyofthereportofthePhaseIIESAIfDeveloperdoesnotprovideacopyofthereporttoCitybySeptember12003neitherCitynorDevelopershallhaveanyfurtherobligationunderthisagreementandthisAgreementshallterminateIfDevelopershallprovideCitywithacopyoftheReportDevelopershallalsoauthorizethequalifiedenvironmentalconsultantwhoconductedthePhaseIIESAtorespondtoinquiriesaboutsamebyrepresentativesofCityinthepresenceofDevelopersrepresentativesdCityshallbeobligatedtopurchasetheDevelopersPropertyandotherwiseperformunderthisAgreementONLYifoneofthefollowingoccurs1ThePhaseIIESAreportinaformacceptabletoCityandinCitysreasonablejudgmentbaseduponthereportofPrestonEngineeringIncindicatesthattherearenoenvironmentalconcernsregardingthePropertyor2IfthePhaseIIESAreportinaformacceptabletoCityindicatesthatfurtherinvestigationmonitoringcorrectiveactionremediationorother5
environmentalresponsecollectivelyEnvironmentalResponsemaybenecessaryandbothCityandDeveloperconcludebaseduponestimatesfromtheirrespectiveconsultantsthatCitycanundertakeandsatisfactorilycompletesuchEnvironmentalResponsesufficienttoobtainformalorinformalnofurtheractionstatusorlikeclassificationforthePropertyasPrestonEngineeringIncdeterminesnecessaryandappropriatefornomorethan50000000InnoeventshallCitybeobligatedtoperformunderthisAgreementshoulditreasonablyconcludeafterdiscussionswithPrestonEngineeringIncthattheEnvironmentalResponsemayexceed50000000eTotheextentpermittedbylawtheReportshallbekeptconfidentialbyCityandshallnotbereproduceddiscloseddistributedorcommunicateddirectlyorindirectlyinwholeorinparttoanyotherPersonasdefinedbelowexceptthatCitymaydisclosetheReportorportionsthereoftothosepersonsorentitieswhoinitsjudgmentarereasonablyrequiredtoreviewtheReportincludingbutnotlimitedtoitsrespectiveiofficersattorneysandemployeesandiirepresentativesagentsconsultantsadvisorslendersprofessionalsinsurersandotherpersonsorentitieswhohaveacknowledgedanobligationofconfidentialityinanagreementtobeboundbythetermsandconditionsofthisparagraphandiiitheEconomicDevelopmentAdministrationthepersonsinclausesiandiitowhomsuchdisclosureispermissiblebeingcollectivelycalledRepresentativesIntheeventthatarequestismadeoranylegalproceedingsarecommencedbyanyotherpersonfordisclosureoftheReportoranyofitscontentsCityshallpromptlygivenoticeofsuchrequestoractiontoDeveloperandDevelopershalltakesuchactionasitdeemsappropriatetorespondtosuchrequestoractionCityshallhavenofurtherobligationtorespondtosuchrequestoractionfCityagreesthatitwillinformeachofitsrespectiveRepresentativeswhohaveorwillhaveaccesstoanyoralloftheReportoftheexistenceandcontentofthisparagraphandwilltakeallreasonableactionnecessarytocausesuchRepresentativestoobservetheconfidentialityrequirementsofthisparagraphgNotwithstandinganythingtothecontraryinthisparagraphthetermConfidentialInformationshallnotincludeanyinformationwhichiatthetimeofdisclosureorthereafterisgenerallyavailabletoorknownbythepublicotherthanthroughadisclosuredirectlyorindirectlyresultingfromaviolationhereunderiiatthetimeofdisclosurewasalreadyknownonanonconfidentialbasisorhadbeenindependentlydevelopedbyCityasevidencedbyitsbusinessrecordsoriiiwasavailabletoCityonanonconfidentialbasisfromasourceotherthanpursuanttothisparagraphthatisnotandwasnotboundbyaconfidentialityagreementorotherwise6
ThispagerevisedMondayAugust252003prohibitedfromtransmittingtheinformationtoCityonanonconfidentialbasisbyacontractuallegalorfiduciaryobligationhUponclosingCitywillreleaseDeveloperandagreetoindemnifyandholdharmlessDeveloperwithrespecttoanyenvironmentalclaimorclaimscleanuporremediationimposedorthreatenedbytheStateofIowathefederalgovernmentaloranyothergovernmentalagencyorentityoranyprivatepersonarisingoutoforrelatedtotheDevelopersPropertyTheaforesaidreleaseindemnityandholdharmless3provisionsshallsurvivetheclosingofthetransactionsreferredtoherein03oal4TotalaymentbyCitytoDeveloperforPurchasePricCostoConstructNowManufacturingFacilityacidRelocationExponsasCitytotalobllgationtoDeveloperforthepaymentsdescribedinPars1abtffSidtmadebecauseoftheCitysthreatofcondemnationofDevelopersPropertyshallnotexceed3500OOd005DevelopmentActivitiesaRequiredMinimumImprovementsDeveloperherebyagreestoconstructontheCityPropertyanindustrialfacilitythatwillconsistofabuildingofapproximately50000squarefeetincludingofficeandfactorywhichisthesamenumberofsquarefeetcurrentlyutilizedbyDeveloperforitsmanufacturingfacilityat100E4thStreetandtherelocatedfacilitywillbefunctionallysimilartotheexistingfacilityat100E4thStreetbPlansforConstructionofMinimumImprovementsPlansandspecificationswithrespecttothedevelopmentofCityPropertyandtheconstructionofMinimumImprovementsthereonConstructionPlansshallbeinconformitywiththeUrbanRenewalPlanthisAgreementandallapplicableStateandlocallawsandregulationsincludingbutnotlimitedtotheDeclarationofCovenantsConditionsRestrictionsReservationsEasementsLiensandChargesrecordedasInstrumentNo799002recordsofDubuqueCountyIowaDevelopershallsubmittoCityforapprovalbyCityplansdrawingsspecificationsandrelateddocumentswithrespecttotheMinimumImprovementstobeconstructedbyDeveloperontheCityPropertyAllworkwithrespecttotheMinimumImprovementsshallbeinsubstantialconformitywiththeConstructionPlansapprovedbyCitycTimingofImprovementsDeveloperherebyagreesthatconstructionofMinimumImprovementsontheCityPropertyshallbesubstantiallycompletedbyeighteenmonthsfromtheClosingDateThetimefortheperformanceofthisobligationshallbesuspendedduetounavoidabledelaysmeaningdelaysoutsidethecontrolofthepartyclaimingitsoccurrenceingoodfaithwhicharethedirectresultofstrikesotherlabortroublesunusualshortagesofmaterialsorlaborunusuallysevereor
prolongedbadweatheractsofGodfireorothercasualtytotheMinimumImprovementslitigationcommencedbythirdpartieswhichbyinjunctionorothersimilarjudicialactionorbytheexerciseofreasonablediscretiondirectlyresultsindelaysoractsofanyfederalstateorlocalgovernmentwhichdirectlyresultinextraordinarydelaysThetimeforperformanceofsuchobligationshallbeextendedonlyfortheperiodofsuchdelaydCertificateofCompletionPromptlyfollowingtherequestofDeveloperanduponcompletionofMinimumImprovementsCityshallfurnishDeveloperwithanappropriateinstrumentsocertifyingSuchcertificationCertificateofCompletionshallbeinrecordableformandshallbeaconclusivedeterminationofthesatisfactionandterminationoftheagreementsandcovenantsinthisAgreementandintheDeedwithrespecttotheobligationsofDevelopertoconstructMinimumImprovementsTheCertificateofCompletionshallwaiveallrightsofrevestmentoftitleinCityasprovidedinSection13andtheCertificateofCompletionshallsostateeInsuranceRequirements1DevelopershallprovideandmaintainorcausetobemaintainedatalltimesduringtheprocessofconstructingMinimumImprovementsandfromtimetotimeattherequestofCityfurnishCitywithproofofinsuranceintheformofacertificateofinsuranceforeachinsurancepolicyaAllriskbuildersriskinsurancewrittenonaCompletedValueForminanamountequaltoonehundredpercent100ofthereplacementvaluewhenconstructioniscompletedbCommercialgeneralliabilityinsurancecoveringtheCitysPropertyandDevelopersoperationsincludingoperationsofsubcontractorscompletedoperationsandcontractualliabilityinsurancewithlimitsofliabilityofnotlessthan2000000foreachoccurrenceandintheaggregateanumbrellaorexcessliabilitypolicymaybeusedbodilyinjuryandpropertydamageandcStatutoryworkerscompensationinsurancecoverageandemployersliabilityinsuranceintheamountof10000006PossessionDateofClosingTheclosingofthetransactionsreferredtohereinshalloccuratamutuallyagreeabletimeortimesinordertoenableDevelopertocommenceconstructionofitsrelocatedfacilitynotlaterthanNovember12003theDateofClosingDeveloperwillrequiretitletotheCityPropertyinordertocommenceconstructions
CitywilltakepossessionoftheDevelopersPropertyatsuchtimeastherelocationofthemanufacturingfacilityiscompletedwhichshallbenotlaterthaneighteenmonthsfromtheDateofClosingThetransferoftitletotheDevelopersPropertywilloccurattheDateofClosingprovidedhoweverthatDevelopershallretainpossessionofthePropertypursuanttotheLeaseAgreementattachedheretountiltherelocatedfacilityisinfulloperationwhichshallbenotlaterthaneighteenmonthsfromtheDateofClosing7RealEstateTaxesDevelopershallberesponsibleforrealestatetaxesifanyaftertheclosingontheDevelopersPropertyfortheperiodsetforthintheLeaseAgreementbetweentheCityandtheDeveloperTheCityshallberesponsibleforrealestatetaxesifanyaftertheclosingontheCityPropertyuntilDeveloperreceivesthecertificateofcompletionfromtheCityRealestatetaxesontheDevelopersPropertyshallbeproratedtothedateofterminationoftheLeaseAgreementbetweentheCityandtheDeveloperandontheCityPropertyuntilDeveloperreceivestheCertificateofCompletionNotwithstandingtheforegoingprovisionstheCityshallberesponsibleforanyspecialassessmentsagainstDevelopersPropertyatanytimeafterthedateofthisAgreement8SpecialAssessmentsThepartiesacknowledgethattherearenospecialassessmentsagainsttheDevelopersPropertyortheCityProperty9CareandMaintenanceTheDevelopersPropertyshallbepreservedinitspresentconditionanddeliveredintactatthetimepossessionisdeliveredtoCityordinaryandreasonablewearandtearexcepted10AbstractofTitleDeveloperatCitysexpenseshallpromptlyobtainanabstractoftitletotheDevelopersPropertycontinuedthroughthedateofthisAgreementwhichshallshowmerchantabletitleinDeveloperinconformitywiththetitlestandardsoftheIowaStateBarAssociation11AssignmentDevelopermayassignsomeorallofthisAgreementtoarelatedthirdpartyonlyuponthepriorwrittenconsentofCitywhichconsentshallnotbeunreasonablywithheld12TimeisoftheEssenceTimeisoftheessenceinthiscontract13EventsofDefaultandRemedies9
aEventsofDefaultDefinedThefollowingshallbeEventsofDefaultunderthisAgreementandthetermEventofDefaultshallmeanwheneveritisusedinthisAgreementanyoneormoreofthefollowingevents1FailurebyDevelopertocausetheconstructionofMinimumImprovementstobecompletedpursuanttothetermsconditionsandlimitationsofthisAgreement2FailurebyDeveloperorCitytosubstantiallyobserveorperformanyothermaterialrepresentationconditionobligationoragreementonitsparttobeobservedorperformedunderthisAgreementbRemediesonDefaultbyDeveloperWheneveranyEventofDefaultreferredtoinSection13aofthisAgreementoccursandiscontinuingCityasspecifiedbelowmaytakeanyoneormoreofthefollowingactionsafterthegivingofwrittennoticebyCitytoDeveloperoftheEventofDefaultbutonlyiftheEventofDefaulthasnotbeencuredwithinsixty60daysfollowingsuchnoticeoriftheEventofDefaultcannotbecuredwithinsixty60daysandDeveloperdoesnotprovideassurancestoCitythattheEventofDefaultwillbecuredassoonasreasonablypossiblethereafter1CitymaysuspenditsperformanceunderthisAgreementuntilitreceivesassurancesfromtheDeveloperdeemedadequatebyCitythattheDeveloperwillcureitsdefaultandcontinueitsperformanceunderthisAgreement2UntiltheDateofClosingCitymaycancelandrescindthisAgreement3CitymaywithholdtheCertificateofCompletion4CitymaytakeanyactionincludinglegalequitableoradministrativeactionwhichmayappearnecessaryordesirabletocollectanypaymentsdueunderthisAgreementortoenforceperformanceandobservanceofanyrepresentationobligationagreementorcovenantunderthisAgreementor5CitymaytakeanyactionwhichmayappearnecessaryordesirabletocollectanypaymentmadetoDeveloperunderthisAgreementincludingbutnotlimitedtotheAcquisitionGranttheEconomicDevelopmentGrantandRelationsExpensesio
cRevestingTitleintheCityUponHappeningofEventSubsequenttoConveyancetoDeveloperIntheeventthatsubsequenttoconveyanceofCitysPropertytoDeveloperbyCityandpriortoreceiptbyDeveloperoftheCertificateofCompletionanEventofDefaultunderSection13aofthisAgreementoccursandisnotcuredwithinthetimesspecifiedinSection13bthenCityshallhavetherighttoreenterandtakepossessionofCityPropertyandanyportionofMinimumImprovementsthereonandtoterminateandrevestinCitypursuanttotheprovisionsofthisSection13ctheestateconveyedbytheCitytoDeveloperitbeingtheintentofthisprovisiontogetherwithotherprovisionsofthisAgreementthattheconveyanceofCityPropertytoDevelopershallbemadeupontheconditionthatandtheDeedshallcontainaconditionsubsequenttotheeffectthatintheeventofdefaultunderSection13aonthepartofDeveloperandfailureonthepartofDevelopertocuresuchdefaultwithintheperiodandinthemannerstatedhereinCitymaydeclareaterminationinfavorofCityofthetitleandofallDevelopersrightsandinterestsinandtoCitysPropertyconveyedtoDeveloperandthatsuchtitleandallrightsandinterestsofDeveloperandanyassignsorsuccessorsininterestsofDeveloperandanyassignsorsuccessorsininteresttoandinCitysPropertyshallreverttoCitybutonlyiftheeventsstatedinSection13aofthisAgreementhavenotbeencuredwithinthetimeperiodprovidedaboveoriftheeventscannotbecuredwithinsuchtimeperiodsDeveloperdoesnotprovideassurancetoCityreasonablysatisfactorytoCitythattheeventswillbecuredassoonasreasonablypossibleIftitletotheCityPropertyisrevestedintheCitypursuanttotheforegoingprovisionstitletoDevelopersPropertyatDevelopersoptionanduponpaymentofthePurchasePricetotheCitywillrevestinDeveloperdResaleofReacquiredPropertyDispositionofProceedsUpontherevestinginCityoftitletoCitysPropertyasprovidedinSection13cfthisAgreementCityshallpursuanttoitsresponsibilityunderlawuseitsbesteffortstoresellCitysPropertyorpartthereofassoonandinsuchmannerasCityshallfindfeasibleandconsistentwiththeobjectivesofsuchlawandoftheUrbanRenewalPlantoaqualifiedandresponsiblepartyorpartiesasdeterminedbyCityinitssolediscretionwhowillassumetheobligationofmakingorcompletingMinimumImprovementsorsuchotherimprovementsintheirsteadasshallbesatisfactorytoCityandinaccordancewiththeusesspecifiedforsuchPropertyorpartthereofintheUrbanRenewalPlanTheproceedsthereofshallbeapplied1ToreimburseCityforallallocablecostsandexpensesincurredbyCityincludingbutnotlimitedtosalariesofpersonnelinconnectionwiththerecapturemanagementandresaleofpropertyorpartthereofbutlessanyincomederivedbyCityfromthepropertyorpartthereofinconnectionwithsuchmanagementanypaymentsmadeornecessarytobemadetodischargeanyli
encumbrancesorliensexistingontheCityPropertyorpartthereofatthetimeofrevestingoftitletheretoinCityortodischargeorpreventfromattachingorbringmadeanysubsequentencumbrancesorliensduetoobligationsdefaultoractsofDeveloperitssuccessorsortransfereesexceptwithrespecttosuchmortgagesanyexpendituresmadeorobligationsincurredwithrespecttothemakingorcompletionofMinimumImprovementsoranypartthereofonPropertyorpartthereofandanyamountsotherwiseowingtoCityincludingwaterandsewerchargesbyDeveloperanditssuccessorsortransfereesand2ToreimburseCityfortheEconomicDevelopmentGranttotheDeveloperprovidedtotheDeveloperreferencedinSection2dandtheRelocationExpensepaidtotheDeveloperasreferencedinSection2e3ToreimburseDeveloperuptotheamountequaltothecashactuallyinvestedbyDeveloperinmakingtheMinimumImprovementsontheCityPropertylessanygainsorincomewithdrawnormadebysuchpartyfromthisAgreementorCitysProperty14RemediesofthePartiesCityandDevelopershallbeentitledtoutilizeanyandallremediesoractionsatlaworinequityavailabletothemandshallbeentitledtoobtainjudgmentforcostsandattorneysfeesaspermittedbylawThepartiesspecificallyagreethateachofthemshallhavetheremedyofspecificperformanceinequitynotwithstandinganyotherprovisionhereinorbylawtothecontrary15RecordingCostsCityshallberesponsibleforallrecordingcostsabstractingchargesandtransfertaxesinconnectionwiththetransferoftheDevelopersPropertyandtheCityProperty16DismissalofLegalActionAttheclosingDevelopershalldelivertoCityanexecuteddismissalwithprejudiceofthependinglegalactionEQVC093006TheAdamsCompanyvtheCityofDubuqueIowaandtheCityCounciloftheCityofDubuqueIowaIowaDistrictCourtforDubuqueCounty17TerminationDateThisAgreementandtherightsandobligationsofthepartieshereundershallterminateupontheissuanceoftheCertificateofCompletionbyCitytoDevelopertheTerminationDateexceptfortheobligationsoftheCitytoindemnifyandholdharmlesstheDeveloperunderSection3hofthisAgreementwhichobligationsshallsurvivetheclosingsofthetransactionsreferredtohereinINWITNESSWHEREOFthepartieshaveexecutedthisAgreementasofthedayandyearfirstabovewritten12
THEADAMSCOMPANYohnCHendryPresidenTHECITYOFDUBUQUEIOWA
AMENDED and RESTATED
URBAN RENEWAL PLAN
Dubuque Industrial Center Economic Development District
City of Dubuque, Iowa
This Amended and Restated Urban Renewal Plan provides for the
further expansion of the Dubuque Industrial Center Economic
Development District, originally established by Resolution 130-88 of
the City Council of the City of Dubuque, Iowa on May 2, 1988 and
thereafter amended and restated by Resolution 484-90 on December
17, 1990, Resolution 142-97 on April 7, 1997 and Resolution 478-97
on November 17, 1997.
Prepared by the Community and Economic Development Department.
November 1997
TABLE OF CONTENTS
B.
C.
D.
E.
F.
H.
I.
J.
K.
' C.
INTRODUCTION
OBJECTIVES
DISTRICT BOUNDARIES
PUBLIC PURPOSE ACTIVITIES
DEVELOPMENT AND REDEVELOPMENT REQUIREMENTS
LAND ACQUISITION AND DISPOSITION
FINANCING ACTIVITIES
STATE AND LOCAL REQUIREMENTS
DURATION OF APPROVED URBAN RENEWAL PLAN
SEVERABILITY
AMENDMENT OF APPROVED URBAN RENEWAL PLAN
ATTACHMENTS
Page 1
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AMENDED and RESTATED
DUBUQUE INDUSTRIAL CENTER ECONOMIC DEVELOPMENT DISTRICT
URBAN RENEWAL PLAN
City of Dubuque, Iowa
A. INTRODUCTION
This AMENDED and RESTATED URBAN RENEWAL PLAN (the "Plan") has been prepared to
provide for the expansion and further development and redevelopment of the DUBUQUE
INDUSTRIAL CENTER ECONOMIC DEVELOPMENT DISTRICT (the "District") first
established by the City of Dubuque on Ma~, 2, 1988. Its intent is to stimulate economic development
activities within the expanded Dis~ict through the commitment of public actions as specified herein.
To achieve tkis objective, the City of Dubuque shalI undertake the urban renewal actions specified
in this Plan, pursuant to the powers granted to it under Chapter 403 of the Iowa :Code, Urban
Renewal Law.
This Plan is an mnendment and restatement of the Dubuque Industrial Center Economic
Development District Urban Renewal Plan adopted by Resolution 130-88 of the City Council of the
City of Dubuque, Iowa on May 2, 1988 and subsequently mended by Resolution 484-90 on
December 17, 1990 and Resolution 142-97 on April 7, 1997. This Plan shall serve as a new urban
renewal plan for the expanded District described herein.
The division of taxation authorized by Section 403.19 and the separation of incremental taxes as
defined in Section 403.19(2) have been implemented in the existing area of the District (hereinafter
referred to as "Subarea A"). Under the terms of this Amended and Restated Plan, the tax increment .--~rt_~--
mechanism shall be continued and implemented within the proposed expansion area of the District
(hereinafter referred to as "Subarea B") as well. The expanded District shall be subject to the
provisions of a revised ordinance of the City of Dubuque with respect to the division of taxes levied
and collected within each of Subarea A and Subarea B of the District. Incremental taxes shall be
determined separately with respect to each of the Subareas comprising the expanded District, and
when collected shall be applied, subject to such liens and priorities as may exist or be f~om time to
time provided, with respect to the Amended and Restated Dubuque Industrial Center Economic
Development District, as so an~ended.
B. OBJECTIVES OF THE PLAN
The primary objectives of the Plan are the development and redevelopment of the expanded District
for economic development activities, primarily industrial park development, tkrough:
Provision of marketable industrial development sites for the purpose o f job-creating
economic development activities;
Provision of public infi:astmcture improvements, including smtitary sewer, water and
stormwater detention, supportive of full development of the District;
Provision of a safe, efficient and attractive circulation system;
Establishment of design standards which will assure cohesive and compatible
development and redevelopment of the District;
Provision of public amenities that provide an aesthetically appealing enviromnent,
including open space, buffering, landscaping, water features, signage and lighting to
create a distinctive and attractive setting;
Creation of financial incentives necessary to encourage new and existing
businesses to invest in the District; and
7. Expansion of the property tax base of the District.
C. DISTRICT BOUNDARIES
The District is located within the City of Dubuque, County of Dubuque, State of Iowa. The City of
pubuque believes that the objectives of the Plan can best be accomplished by defining the real
property included within the District as two separate areas so as to distinguish the existing DistriCt
(Subarea A) from the proposed expansion area (Subarea B).
Subarea A of the District shall consist of the real property legally described as follows:
All of the Dubuque Industrial Center First, Second, Third, Fourth, Fifth, Sixth, Seventh,
Eighth, Ninth, Tenth and Eleventh Additions and the adjoining public right-of-way, all in the
City of Dubuque, Dubuque County, Iowa.
Subarea B of the District shall consist of the real property legally described as follows:
White's Addition, Lots 1 through 9 and 18 through 26 and 35 through 43 and 52
through 60, also known as the Northwest Quarter 0NW 1/4) of the Southeast Quarter
(SE 1/4), the Northeast Quarter (NE 1/4) of the Southeast Quarter (SE 1/4), Lot 1 of the
Subdivision of th'e Southeast Quarter (SE 1/4) of the Southeast Quarter (SE 1/4) and
Lot 1 of the Subdivision of the Southwest Quarter (SW 1/4) of the Southeast Quarter
(SE 1/4) and any adjoining public right-of-way, all in Section 30, T89N, R2E of the 5th
P.M., Dubuque County, Iowa; also, Lot 1-1 of the NW I/4 of the NE 1/4, the West 3/4 of
the NE I/4 of the NW 1/4, the East 1/4 of the NE 1/4 of the NW 1/4 of Lot 1, Lot 2-1 of the
SE 1/4 of the NW t/4, Lot 1-1 of the SE 1/4 of the NW 1/4, and the SW 1/4 of the NE 1/4
and any adjoining public right-of-way, ail in Section 30,:T89N, R2E~ 5th P.M., Dubuque
County, Iowa; also, the NW 1/4 of the SW 1/4, the NE 1/4 of the SW 1/4, Lot 1 of the SE
t/4 of the SW 1/4, a~d Lot 1 of the SW 1/4 of the SW 1/4 and any adjoining public right-of-
way, all in Section 30, T89N, R2E, of the 5th P.M., in Dubuque County, Iowa; and all that
part ora 100-foot-wide strip of the Chicago Central Pacific Raikoad right-of-way lying in
the SE 1/4 of Section 30, the SE 1/4 of the SW 1/4 of Section 30, the NW 1/4 of Section 31,
and the NE 1/4 of Section 31 all in T89N, R2E, of the 5th P~M: Dubuque County, Iowa, the
centerline of which is more particularly described as follows: beginning at a point of
intersection with the easterly line of the SE 1/4 of Section 30, TggN, R2E, of the 5th P.M.,
thence southwesterly along the centerline of said railroad 2,700 feet, more or less a point of
intersection with the westerly line of the SE 1/4 of said Section 30; thance southwesterly
continuing along said centerline 845 feet, more or less, to a point where the raikoad right-of-
way widens to 200 feet, said point being the terminus of this des§ription; also, Lot 1 of the
NE 1/4 of the SE 1/4 of Section 25, T89N, R1E, of the 5th P.M., Dubuque County, Iowa, and
a part of Lot 1-1-1 of the SE 1/4 of the SE 1/4 of Section 25, T89N, R1E, of the 5th P.M.,
Dubuque County, Iowa, described as follows: beginning at the NE comer of said Lot 1-1-1;
thence S 00 degrees, 15' 43" W 562.15 feet along the east line of said Lot l-lq; thence N
89 degrees 05' 38" W 1,336.86 feet along the northerly line of Lot 2-1-1- of the SE 1/4 of the
SE 1/4 of said Section 25 and extension thereof to a point of intersectiun with the west line
of said Lot 1-1-i; thence N 00 degrees 34' 17" E 528.75 feet along said west line; thence N
89 degrees 28' 22" E 1,334.04 feet along the north line of said Lot 1-1-1 to thc point of
beginning, and any adjoining public right-of-way.
boundaries of the District are delineated on the URBAN RENEWAL DISTRICT map
(Attaclxment A).
The City of Dubuque reserves the right to modify the boundaries of the District at some future date.
Any amendments to the Plan will be completed in accordance with Chapter 403 of the Iowa Code,
Urban Renewal Law.
D. PUBLIC PURPOSE ACTIVITIES
To meet the OBJECTIVES of this Plan, the City of Dubuque is prepared to initiate and support
development and redevelopment of the District through, among other things, the following PUBLIC
PURPOSE ACTIVITIES:
3
1. Acquisition of property for public improvements and private development;
Demolition and removal of buildings and improvements not compatible with or
necessary for industrial park development and all site preparation and grading
required in connection with such development;
Improvement, installation, construction and reconstruction of streets, utilities and
other improvements and rights-of-ways including hut not lhnited to the relocation of
overhead utility lines, street lights, constmctinn of railroad spur tracks, appropriate
landscaping and buffers, open space and signage; '
Disposition of any property acquired in the District, including sale, initial leasing or
retention by the City itself, at its fair value;
Preparation of property for development and redevelopment purposes including but
not limited to activities such as appraisals and architectural and engineering studies;
Use of tax increment financing, loans, grants and other appropriate financial tools in
support of eligible public and private development and redevelopment efforts;
7. Enforcement of applicable local, state and federal laws, codes and regulations;
8. Enforcement of established design standards in furtherance Of quality development;
10.
Development and implementation of a marketing prog[am for the purpose of
promoting the purchase and development of industrial sites by private developers;
Coordination and cooperation with the improvement of Seippel Road as it affects
Subarea B's accessibility to U.S. Highway 20.
Public purpose activities are limited to those areas delineated on the PUBLIC PURPOSE
ACTIVITY AREA map (Attachment B).
All public purpose activities shall be conditioned upon and shall meet the restrictions and limitations
placed upon the District by the Plan.
E. DEVELOPMENT AND REDEVELOPMENT REQUIREMENTS
The LAND USE and PLANNiNG AND DESIGN CRITERIA set forth herein shall apply to any and
all District properties the development and/or the redevelopment of which is assisted by the City
through any of the PUBLIC PURPOSE ACTIVITIES listed above.
1. Land Use
Subarea A shall continue to be developed under the regulations of the existing
Dubuque Industrial Center Planned Industrial District. The allowed uses provide for
a mix of commercial and industrial land use activities.
LAND USE maps (Attachments CI and C2) identify the existing and the propoSed
land uses within Subarea A.
Subarea B is intended to be an expansion of the Dubuque Industrial Center and will
provide additional land for commercial and industrial land uses within a quality
industrial tJark setting.
LAND USE maps (Attachments C1 and C2) identify the existing and the proposed
land uses within Subarea B.
Planning and Design Criteria
The planning criteria to be used to guide the physical development of both Subarea A and
Subarea B are those standards and guidelines contained within the City of Dubuque's Zoning
Ordinance and other applicable local, state and federal codes and ordinances.
Subarea A development will continue to be additionally governed by the Conditions
of Development and Operation Documents of the DUbuque Industrial Center Planned
Industrial District as muended from time to time.
Subarea B will develop under a new PI Planned Industrial District ordinance as
required by Section 3-5.5 of the City of Dubuque Zoning Ordinance. 'Development
within Subarea B will follow the Planned Unit Development regulations which
require a conceptual development plan and specific design and performance..~-~
standards to be approved by ordinance.
F. LAND ACQUISITION AND DISPOSITION
The City of Dubuque is prepared to acquire and dispose of property in support of the development
and redevelopment of the District within the parameters set forth below.
1. Land Acquisition
The City intends to negotiate the purclmse of Subarea B, excluding the railroad right-of-way,
tkrough contractual agreement. However, the City will acquire, through eminent domain,
any property for public or private development and redevelopment purposes should it be
unable to acquire land through negotiated purchase.
The City also reserves the right to acquire, by negotiation or eminent domain, property rights
required for the construction or reconstruction of streets and public utilities, or any other
public facility or improvement.
Land Disposition
Publicly held land will be sold for the development of viable uses consistent with this Plan
and not for purposes of speculation.
Land will be disposed of in accordance with the requiremants set forth in Chapter 403 of the
Iowa Code, Urban Renewal Law. Developers will be selected on the basis of the quality of
their proposals and their ability to carry out such proposals while complying with the
requirements of this Plan.
Developers will be required by contractual agreement to observe the Land Use Requirements
and Planning and Design Criteria of this Plan. The contract and other disposition documents
will set forth the provisions, standards and criteria for achieving the objectives and
requirements outlined in this Plan.
Relocation Requirements
No relocation is anticipated at this time.
G. FINANCING ACTIVITIES
To meet the OBJECTIVES of this Plan and to encourage the development of the District and private
investment therein, the City of Dubuque is prepared to provide financial assistance to qualified ~_~.,
industries and businesses through the making of loans or grants under Chapter 15A ?fthe Iowa Code .
and through the use of tax increment fmancing nnder Chapter 403 of the Iowa Code.
1. Chapter 1SA Loan or Grant
The City of Dubuque has determined that the making of loans or grants ofpublic funds to
qualified industries and businesses is necessary to aid in the planning, undertaking and
completion of urban renewal projects authorized under this Plan within the meaning of
Section 384.24(3)(q) of the Iowa Code. Accordingly, in furtherance of the objectives of this
Plan, the City of Dubuque may determine to issue bonds or loan agreements, in reliance upon
the authority of Section 384.24A, Section 384.24(3)(q), Section 403.12 (general obligation
bonds) or Section 403.9 (tax increment bonds), for the purpose of making loans or grants o~'
public funds to qualified businesses. Alternatively, the City may determine to use available
funds for the making of such leans or grants. In determining qualifications of recipients and
whether to make any such individual loans or ~ants, the City of Dubuque shall consider one
or more of the factors set forth in Section 15A.1 of the Iowa Code on a case-by-case basis:
Tax Increment Financing
The City of Dubuque is prepared to utilize tax increment financing as a means of financing
eligible costs incurred to implement the Public Purpose Activities identified in Part D of this
Plan. Bond~or loan agreements may be issued by the City under the authority of Section
403.9 of the Iowa Code (tax increment bonds) or Section 384.24A, Section 384.24(3)(q) and
Section 403.12 (general obligation bonds).
The City acknowledges that the use of tax increment revenues delays the ability of other
local taxing bodies to realize irmnediately the direct tax benefits of new development in the
District. The City believes, however, that the use of tax increment revenues to finance the
development of new industrial land and to promote private investment in the District is
necessary in the public interest to achieve the OBJECTIVES of this Plan. Without the use
of this special financing tool, new investment may not otherwise occur or may occur witkin
another jurisdiction. If new development does not take place in Dubuque, property values
could stagnate and the City, County and School District may receive less taxes during the
duration of this Plan than they would have if this Plan were not implemented.
Tax increment financing will provide a long-term payback in overall increased tax base for
the City, County and School District. The initial public investment required to generate new
private investment will ultimately }ncrease the taxable value of the District well beyond its
existing base value.
Tax increment reimbursement may be sought for, among other things, the following costs
to the extent they are incurred by the City:
a. Planning and administration of the Plan;
Construction of public infrastructure improvements and facilities w/thin the
District;
Acquisition, installation, maintenance and replacement of public investments
throughout the District including but not limited to street lights, landscaping and
buffers, signage and appropriate amenities;
Acquisition of land and/or buildings and preparation of same for sale or lease to
private developers, including any "write down" of the sale price of the land and/or
building; :.'
Preservation, conservation, development or redevelopment of buildings or
facilities within the District to be sold or leased to qualified businesses;
Loans or grants to qualified businesses under Chapter 15A of the Iowa Code,
including debt service payments on any bonds isstled to finance such loans or
grants, for purposes of expanding the business or activity, or other qualifying loan
progrmus established in support of the Plan; and
Providing the matching share for a variety of local, state and federal grants and
lOanS~
Proposed Amount of Indebtedness
At this time, the extent of improvements and new development within the District is only
generally known. As such, the amount and duration for use of the tax increment revemtes
for public improvements and/or private development can only be estimated; however, the
actual use and amount of tax increment revenues to be used by the City for District
activities will be determined at the time specific development is proposed.
It is anticipated that the maximum amount of indebtedness which will qualify for tax
increment revenue reimbursement during the duration of this Plan, including acquisition,
public improvements and private development assistance, will not exceed $1 °o,¢OO,~0¢
$25,000,000.
At the time of adoption of this Plan, the City of Dubuque's current general obligation debt
is $I 1,755,000 (a list of obligations is found as Attachment D) and the applicable
constitutional debt limit is $93,141,973.
H. STATE AND LOCAL REQUIREMENTS
All provisions necessary to conform with state and local laws have been complied with by the City
of Dubuque in the implementation of this Plan and its supporting documents.
I. DURATION OF APPROVED URBAN RENEWAL PLAN
Subarea A
This Plan shall continue in effect until terminated by action of the City Council, but in no
event before the City of Dubuque has received full reimbursement from all incremental taxes
of its advances and principal and interest payable on all Tax Increment Financing or general
obligations issued to carry out the OBJECTIVE8 of the Plan.
2. Subarea
Tiffs Plan shall continue in effect until terminated by the City Council; provided, however,
that the collection of tax increment revenues from properties located in Subarea B shall be
limited to twenty (20) years from the calendar year following the calendar year in which the
City first certifies to the-County Auditor the amount of any loans, advances, indebtedness
or bonds which qualify for payment from the division of tax increment revenue provided for
in Section 403.19 (tax increment financing) of the Iowa Code.
The DEVELOPMENT AND REDEVELOPMENT REQUIREMENTS established, or as amended
from time to time by the City of Dubuque Zoning Ordinance, shall remain in effect in perpetuity.
J. SEVERABILITY
In the event one or more provisions contained in this Plan shall be held for any reason to be invalid,
illegal, unauthorized or unenforceable in any respect, such invalidity, illegality, unauthofization or
unenforceab~hty shall not affect any other provmmn of thru Plan and this Urban Renewal Plan shall
be construed and implemented as if such. provision had never been contained herein.
K. AMENDMENT OF APPROVED URBAN RENEWAL PLAN
This Plan may be amended from time to time to respond to development oppommitie~. Any such
amendment shall conform to the requirements of Chapter 403 of the Iowa Code. Any change
effecting any property or contractual fight can be effectuated only in accordance with applicable state
.and local law.
L. ATTACHMENTS
A
B
C
D
Urban Renewal District Map
Public Purpose Activity Area Map
Land Use Maps
C1 Existing Land Use
C2 P~bposed Land Use
List of General Obligations
00000000000 0
O0000 O00000 0
00000000000 0
O0000 O00000 0
00000 O00000 0
00000000000 ~
' NOTICE OF A MEETING
AND PUBLIC BEING
Cr THE CITY COUNCIL
'OF THE CITY OF
-DUBUQUE IOWA, ON
THEMATT± OF THE
PDOPOSED EXEOtrTION
,A1F A DEVELOPMENT
'AGREEMENT RELATING
THERETO WITH.THE
ADAMS'COMPANY t
PUBLIC NOTICE Is herr
by given that the City.
Council of the City 'of
[Dubuque, love, wilt hold"..
public hearing cn the lath„
day of May, 2003, at 6:30i
p.m. in the Carilegle-Stout:;
Public Library Auditorium,
360 West 1 ith Street;
Dubuque, lows, at which
proposesttotake
ction on
the executionof a
Development Agreement
with the Adams Companya.
and
5ndIn he sale of DubuqueLots Ind4rial -.
Center West,part of the
Dubuque Industrial Center.
' Economic Development<
District. The City is propos-
ing to. acquire Adams
Company properly in the
Port of Dubuque, provide'.
relocation aseistanoe' to
the Company, and provide
an acquisition grant and an
economic development
grant to the Company. - I
At the meeting, the City
Council will receive oral
I
and written objections from
any resident, or property
owner of said City to the
above /action. Attar all
obiectlons have been'.
received andconsidered,
the city Council may at this
meeting or et any adjourn-
ment thereot, fake addi-
tional action on the pro-
posal to enter Into the
Development Agreement,'
By order of the City
Council;, said hearingand
appeals therefrom shall be.
held in accordancewith
and governed by the provi-
sions of OhaPter 403 of the
Code of IrIve.
Dated this 9th day of May,
2003.
/s/Jeanne F. Schneider,
CMC, City Clerk.
It 5/9
STATE OF IOWA {SS:
DUBUQUE COUNTY
CERTIFICATION OF PUBLICATION
I, Sherri A. Yutzy, a Billing Clerk for Woodward Communications, Inc., an Iowa
corporation, publisher of the Telegraph Herald,a newspaper of general circulation
published in the City of Dubuque, County of Dubuque and State of Iowa; hereby
certify that the attached notice was published in said newspaper on the following
dates: May 9, 2003, and for which the charge is $15.67.
Subscribed to before me, a Notary Public in and for Dubuque County, Iowa,
this /a �c day of '—,. , 20 b 3
Notary Public in and for Dubuque County, Iowa.
MARY K. WESTERMEYER
Commission Number 154885
My Comm. Exp. FEB. 1, 2005
City Manager's Office
50 West 13th Street
Dubuque, Iowa 52001-4864
(563) 5894110 office
(563) 5894149 fax
ctymgr@cityofdubuque.org
May 6, 2003
John Hendry
The Adams Company
100 East 4th Street
Dubuque, Iowa 52001
RE: DICW Maintenance Assessments
Dear John:
I am responding to your request for a summary of our discussion regarding the
requirements in the Dubuque Industrial Center West Covenants for payment of a
Maintenance Assessment for the maintenance and repair of the Public Areas in the
DICW, and, more specifically, the possible establishment of a capital improvements
reserve fund for such purposes.
The covenants, Article IV, Section 1, state:
"City shall levy against the Properties in each assessment year an annual
assessment for the purpose of paying fifty percent (50%) of the actual costs of
City's maintenance and repair of the Public Areas and the actual costs
associated with maintaining and lighting the park entrance signs. Said
assessment may also include the establishment of a capital improvements
reserve fund for such purposes, Upon establishment of such assessment levy,
each Owner shall pay to City a pro rata share (as hereinafter defined) of such
assessment levy."
This same language is found in the Dubuque Technology Park covenants; however,
the property owners in that industrial park pay 100% of the assessment since the
Public Areas are more remote and less visible and accessible to the general public.
The Technology Park does not include a fishing lake.
The capital improvements reserve fund would pay for those eligible expenditures for
maintenance and repair only. A reserve fund allows the City to anticipate big-ticket
maintenance/repair costs and budget for them over time rather than face a single
year with a large assessment. If there is some excess from year to year in
Service People L~tegrtiy Responsibility Innovation Teamwork
assessments/collections, the overage could be placed in the reserve fund to earn
interest and cover the upcoming year's expenses. Or, the reserve fund would allow
the City to "bill ahead" and not have a year's worth of carrying charges. The reserve
fund is not a fund for sewer, water, street or other capital improvements in the park.
I hope this has answered your questions and concerns about the City's intentions
regarding the Maintenance Assessments and the ability to use a reserve fund to
plan for and anticipate maintenance and repair expenses associated with the Public
Areas.
Sincerely,
Michael C. Van Milligen
City Manager
cc: Barry Lindahl, Corporation Counsel
Bill Baum, Economic Development Director
F:\USERS\Prnyhre\WPDOCS~_OANDOC\adarns\hend fy. Itt. doc