Merge Urban Development - 2nd Amendment to Development_Initiate Copyrighted
November 2, 2020
City of Dubuque Items to be set for Public Hearing # 1.
City Council Meeting
ITEM TITLE: Merge Urban Development-2nd Amendment to Development
Agreement
SUM MARY: City Manager recommending approval of a Second Amendment to
Development Agreement with Port of Dubuque LLC.
RESOLUTION Fixing the date for a public hearing of the City Council of
the City of Dubuque, lowa on the Second Amendment to Development
Agreement between the City of Dubuque, lowa and Port of Dubuque
LLC which provided for the proposed issuance of Urban Renewal Tax
I ncrement Revenue Grant Obligations by increasing the number of such
grants, and providing for the publication of notice thereof
SUGGESTED Receive and File;Adopt Resolution, Set Public Hearing for November
DISPOSITION: 16, 2020Suggested Disposition:
ATTACHMENTS:
Description Type
2nd Amendment to Development Agreement-MVM City Manager Memo
Memo
Staff Memo Staff Memo
2nd Amendment to DA Supporting Documentation
Notice of Hearing Supporting Documentation
Resolution Setting Public Hearing Resolutions
Dubuque
THE CITY OF �
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TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: Resolution Setting a Public Hearing for the Second Amendment to
Development Agreement Between the City of Dubuque and Port of
Dubuque LLC
DATE: October 28, 2020
Economic Development Director Jill Connors recommends approval of a Second
Amendment to Development Agreement with Port of Dubuque LLC.
The Second Amendment to Development Agreement provides for the following
modifications to the Development Agreement terms:
1. The conditions of closing now accommodate for the Developer having received
an award for additional funding from Workforce Housing Tax Credits and
Brownfield/Grayfield Tax Credits from the State of lowa in 2021 or 2022.
2. The closing date has been extended to June 30, 2021, or such other date as the
parties agree in writing but in no event shall the Closing take place later than
December 31, 2022.
3. Economic Development Grants have been increased from 10 years at 75%
allowable to 15 years at 75% allowable.
4. The first Economic Development Grant will be paid in 2023 instead of 2022.
5. The first job creation certification will take place on January 1, 2024 instead of
January 1, 2023.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
v
Mic ael C. Van Milligen
MCVM:jh
Attachment
cc: Crenna Brumwell, City Attorney
Cori Burbach, Assistant City Manager
Jill M. Connors, Economic Development Director
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Dubuque Economic Development
Department
THE CITY OF � 1300 Main Street
All•America Eity Dubuque,lowa 52001-4763
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TO: Michael C. Van Milligen, City Manager
FROM: Jill M. Connors, Economic Development Director
SUBJECT: Resolution Setting a Public Hearing for the Second Amendment to
Development Agreement Between the City of Dubuque and Port of
Dubuque LLC
DATE: October 26, 2020
INTRODUCTION
This memorandum presents for review and approval a Second Amendment to
Development Agreement with Port of Dubuque LLC
BACKGROUND
In early 2019, Merge Urban Development (Developer) brought a formal proposal to City
staff for a mixed-use development (the Project) to be located in the Port of Dubuque. The
$18 Million Project will include 187 residential units and approximately twenty-three
thousand (23,000) total square feet of commercial/retail space. The Project will be
located along the corner of Fifth and Bell Streets, west of the Flexsteel corporate office
building.
This mixed-use Project fulfills the planned use of the Port of Dubuque area, the objectives
of which call for the creation of a thriving central business district, riverFront district, and
downtown neighborhoods with a compatible mix of viable commercial/retail, office,
financial, residential, cultural, recreational, and educational activities; including the
creation and development of additional housing units and residential opportunities in the
Port of Dubuque.
The Project also addresses a blighting condition in the area by developing a small linear
lot layout in relation to the size, adequacy and usefulness of the lot.
This Project is the first in the City of Dubuque to utilize the Opportunity Zone (OZ) program
as part of the Project funding. The OZ program has drawn particular interest from the
Environmental Protection Agency (EPA) staff who are excited to see the program's ability
to pair with EPA grant funds to help redevelop previous brownfield sites, as is the case
for this Project. Because OZ funds can be invested, not just in physical improvements,
but also in the support of businesses, this Development Agreement allows the Developer
to include entrepreneurs located on site as part of the Developer's job reporting
requirements.
This Project creates a quantity and type of housing unit that has been identified as a need
in our community. Both newcomers and college students have shared their desire for
small, modern, downtown, market-rate rental units. The Merge Project delivers this
product and meets employers' need to attract and retain a workforce. Recent housing
studies have also shown that Dubuque lacks an inventory of housing options at all income
levels. By creating housing attainable for young professionals, the Project allows for other
lower-rent options to be freed up for those households that could benefit from those lower
rents.
On November 18, 2019, City Council approved a Development which requires and
provides for the following:
1. The Developer is required to construct a building with 187 residential units and
approximately twenty-three thousand (23,000) total square feet of
commercial/retail space.
2. Urban Renewal Tax Increment Revenue Grant Obligations for 10 years of Tax
Increment Finance (TIF) rebates at a rate of 75% of the amount allowable by lowa
Code.
3. A land acquisition grant of approximately $485,036.60, with the final amount to be
determined based on the acreage of the parcel once it is platted.
4. The Developer must accept applications from prospective tenants with housing
choice vouchers (issued under the U.S. HUD's Section 8 voucher program or a
similar program) that are otherwise qualified prospective tenants.
5. A minimum of 10 full-time jobs must be created at the Property. If the job creation
requirement has not been met at the end of the Term of the Development
Agreement, the Developer is required to pay back a pro rata amount of the
acquisition grant.
6. The Developer may construct pedestrian connections to the Port of Dubuque
Public Parking Facility at each level of the building. Developer's business invitees
and guests of Developer's residents may park in this Parking Facility.
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7. Tenants, residents, and the invitees and guests of tenants and residents of the
Project shall have the right to park in the SurFace Parking Lot.
8. Developer will have the option to construct and maintain solar parking canopies in
the surface parking lot across 5th Street.
The Development Agreement provided for an April 2020 closing. Upon request from the
Developer, on April 6, 2020, the City Council approved a First Amendment to
Development Agreement to delay the closing to October 1, 2020.
DISCUSSION
The Developer has made a lot of progress on the Project (since named "The Stacks") in
the Port of Dubuque, despite the pandemic. To date, they have invested nearly $500,000
in the project. This investment has brought architectural plans to the design development
phase along with a Phase I, Phase II, and geotechnical survey on the site. Preliminary
budgets indicate that this project will near $36M in hard construction costs.
Due to COVID-19, the Developer has encountered setbacks. In late March, U.S. Bank,
their long-time lender turned off all new commercial loans nationwide without exception.
In April, several other lenders followed suit, and in June the IRS issued Notice 2020-39
offering additional time for investors to deploy capital gains and make investment
decisions on Opportunity Zone projects until June 2021. Given these events, the
Developer found it prudent to delay The Stacks project while they reassess the project's
risks and wait for the capital markets to return to normal. Their team reports that their
shovel-ready projects have secured alternative financing options, albeit on far less
competitive terms, and at least four Merge projects will break ground in 2020. This has
not come without the support and willingness of cities to adapt to the economic
environment.
On August 10, 2020, City staff received a request from the Developer to modify details of
the Development Agreement including a postponement of the sale of City property, and
change of several milestone dates, and an increase in incentives. I have attached their
proposal.
The attached Second Amendment to Development Agreement provides for the following
modifications to the Development Agreement terms:
1. The conditions of closing now accommodate for the Developer's having received
an award for additional funding from Workforce Housing Tax Credits and
Brownfield/Grayfield Tax Credits from the State of lowa in 2021 or 2022.
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2. The closing date has been extended to June 30, 2021, or such other date as the
parties agree in writing but in no event shall the Closing take place later than
December 31, 2022.
3. Economic Development Grants have been increased from 10 years at 75%
allowable to 15 years at 75% allowable.
4. The first Economic Development Grant will be paid in 2023 instead of 2022.
5. The first job creation certification will take place on January 1, 2024 instead of
January 1, 2023.
RECOMMENDATION/ ACTION STEP
Based on this project's alignment with the City Council's goal of having a Robust Local
Economy and Livable Neighborhoods and Housing, I recommend the City Council adopt
the attached resolution to set a public hearing on November 16, 2020 on the attached
Second Amendment to Development Agreement.
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SECOND AMENDMENT
TO
DEVELOPMENT AGREEMENT
BY AND BETWEEN
THE CITY OF DUBUQUE, IOWA
AND
PORT OF DUBUQUE LLC
THIS SECOND AMENDMENT TO DEVELOPMENT AGREEMENT (the "Second
Amendment"), dated for reference purposes the day of , 2020, is
made and entered by and between the CITY OF DUBUQUE, IOWA, a municipality("City")
and PORT OF DUBUQUE LLC, a Delaware limited liability company, ("Developer") (City
and Developer are hereinafter sometimes collectively referred to as the "parties").
WHEREAS, City and Merge, LLC, an lowa limited liability company doing business
as Merge Urban Development Group, entered into that certain Development Agreement
dated November 18, 2019 (the "Agreement")with respect to the matters specified therein,
as amended by the First Amendment dated April 6, 2020; and,
WHEREAS, on February 13, 2020, pursuant to an Assignment of Development
Agreement (the "Assignment"), Merge LLC, as Assignor assigned all of its right, title, and
interest in, to, and under the Assignment to Port of Dubuque LLC as Assignee, and
Assignee accepted, assumed, and agreed to perform all of the obligations and liabilities
of Assignor as Developer under the Assignment as if it were the original Developer to the
Agreement; and,
WHEREAS, the parties desire to further modify the Agreement as hereinafter
provided.
NOW, THEREFORE, in consideration of the mutual covenants contained herein,
the receipt and sufficiency of which are acknowledged by the parties, the parties agree
as follows:
1. Section 4 of the Development Agreement is hereby amended to read as
follows:
SECTION 4. CONDITIONS TO CLOSING. The Closing (as defined in Section 5 of 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:
4.1 The representations and warranties made by City in Section 2 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, in the form of Exhibit D, to
that effect.
4.2 Title to the Property shall be in the condition warranted in Section 2.
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4.3 Developer shall obtain at its sole expense any and all necessary governmental
approvals, including without limitations building permits, approval of zoning, subdivision
or platting which might be necessary or desirable in connection with the sale and transfer
and development of the Property. Any conditions imposed as a part of the zoning, platting
or subdivision must be satisfactory to Developer, in its sole opinion. City shall cooperate
with Developer in attempting to obtain any such approvals and shall execute any
documents necessary for this purpose, provided that City shall bear no out-of-pocket
expense in connection therewith. In connection therewith, City agrees (1) to review all of
Developer's plans and specifications for the Project and to either reject or approve the
same in a prompt and timely fashion, but in no event more than thirty (30) days ; (2) to
issue a written notification to Developer, promptly following City's approval of same,
indicating that City has approved such plans and specifications, and that the same are in
compliance with the Urban Renewal Plan and the Port of Dubuque Master Plan including
the Port of Dubuque Design Standards (as defined in Section 10.2 of this Agreement)
and/or that the appropriate waivers have been obtained, this Agreement and any other
applicable City or affiliated agency requirements, with the understanding that Developer
and its lenders shall have the right to rely upon the same in proceeding with the Project;
(3) to identify in writing as soon as practicable after submission of said plans and
specifications, any and all permits, approvals and consents that are legally required for
the acquisition of the Property by Developer, and the construction, use and occupancy of
the Project with the intent and understanding that Developer and its lenders and attorneys
will rely upon same in establishing their agreement and time frames for construction, use
and occupancy, lending on the Project and issuing legal opinions in connection therewith;
and (4) to cooperate fully with Developer to facilitate the obtaining of such permits,
approvals and consents.
4.4 City has completed all required notice to or prior approval, consent or permission
of any federal, state or municipal or local governmental agency, body, board or official to
the sale of the Property; and consummation of the Closing by City shall be deemed a
representation and warranty that it has obtained the same.
4.5 Developer shall be in material compliance with all the terms and provisions of this
Agreement.
4.6 Developer shall have received all necessary loan approvals and commitments that
Developer, in its sole and absolute discretion, determines necessary or appropriate in
connection with Developer's development of the Project so that Developer can comply
with its obligations hereunder and Developer has confirmed to City that Developer has
firm financial commitments in an amount sufficient, together with equity commitments, to
complete the Minimum Improvements (as defined herein), as the case may be, in
conformance with applicable Construction Plans (as defined herein), or City shall have
received such other evidence of such party's financial ability as in the reasonable
judgment of City is required.
4.7 Developer shall have received an lowa Economic Development Authority (IEDA)
Workforce Housing Tax Credit Award in form and amounts reasonably satisfactory to
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Developer. Developer shall apply for IEDA Workforce Housing Tax Credits in 2021. If the
2021 application is not awarded, Developer may elect to reapply in 2022.
4.8 Developer shall have received an lowa Redevelopment Tax Credit Award for
Brownfield or Grayfield Sites in form and amounts reasonably satisfactory to Developer.
Developer shall apply for Brownfield or Grayfield Tax Credits in 2021. If the 2021
application is not awarded, Developer may elect to reapply in 2022.
4.9 Receipt of an opinion of counsel to Developer in the form attached hereto as
Exhibit E, which such opinions shall be subject to customary exceptions, exclusions and
limitations.
4.10 Developer shall have prepared and shall be prepared to record at Closing a plat of
survey of Property acceptable to Developer (the "Plat"), including location and depiction
of all applicable easements and other substantial improvements.
4.11 Developer shall have the right to terminate this Agreement, for any reason or for
no reason, at any time prior to the Closing. Upon the giving of notice of termination by
Developer to City to this Agreement, this Agreement shall be deemed null and void.
4.12 Developer shall have otherwise satisfied itself with all other aspects of proceeding
with this transaction and the development of the Project as contemplated herein,
including, without limitation in any way, the financial viability of developing the Project, the
costs and expenses to be incurred in connection therewith, and all other aspects of the
planning, designing, development, construction and completion of the Project, all as
determined necessary or appropriate by Developer in its sole discretion.
2. Section 5 of the Development Agreement is hereby amended to read as
follows:
SECTION 5. CLOSING. The closing of the purchase and sale of the Property (the
"Closing") shall take place on June 30, 2021, or such other date as the parties shall agree
in writing but in no event shall the Closing take place later than December 31, 2022 (the
date on which the Closing occurs shall be defined in this Agreement as the "Closing
Date"). Exclusive possession of the Property shall be delivered on the Closing Date, in
current condition and in compliance with this Agreement. All of City's representations and
warranties regarding the Property in Section 2 shall survive the Closing.
3. Section 11.2 of the Development Agreement is hereby amended to read as
follows:
11.2 Economic Develoqment Grants.
(1) Minimum Improvements. 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 Area and the Urban Renewal Law, City agrees, so
long as no Event of Default exists under this Agreement, to make thirty (30)
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consecutive semi-annual payments (such payments being referred to collectively
as the "Economic Development Grants") to the Developer on the following dates:
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
November 1, 2030 May 1, 2031
November 1, 2031 May 1, 2032
November 1, 2032 May 1, 2033
November 1, 2033 May 1, 2034
November 1, 2034 May 1, 2035
November 1, 2035 May 1, 2036
November 1, 2036 May 1, 2037
November 1, 2037 May 1, 2038
(2) Each payment shall be equal to 75% of the actual amount of tax increment
revenues collected by City under lowa Code Section 403.19 (without regard to any
averaging that may otherwise be utilized under lowa 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, the Minimum
Improvements constructed by Developer (the "Developer Tax Increments"). The
Developer Tax Increments shall not include (i) any property taxes collected for the
payment of bonds and interest of each taxing district, (ii) any taxes for the regular
and voter-approved physical plant and equipment levy and instructional support
levy, and (iii) any other portion required to be excluded by lowa law, and thus such
incremental taxes will not include all amounts paid by Developer as regular
property taxes. Notwithstanding the foregoing, however, no tax increment
revenues collected by City with respect to a hotel constructed by Developer on the
Property shall be included in the calculation of payments in this Section 11.2(1)
(3) To fund the Economic Development Grants, City shall certify to the County
prior to December 1 of each year, commencing December 1, 2022, its request for
75% of the available 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 in December 2022, the Economic Development Grants in respect
thereof would be paid to the Developer on November 1, 2023, and May 1, 2024).
(4) The Economic Development Grants shall be payable from and secured
solely and only by the Developer Tax Increments (which, upon receipt, shall be
deposited and held in a special account created for such purpose and designated
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as the "Merge Project TIF AccounY' of City. City hereby covenants and agrees to
maintain its TIF ordinance in force during the term hereof and to apply the
incremental taxes collected in respect of the Minimum Improvements and allocated
to the Merge Project TIF Account to pay the Economic Development Grants, as
and to the extent set forth in Section 11.2(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 Developer Tax
Increments actually collected and held in the Merge Project TIF Account
(regardless of the amounts thereof) to the payment of the Economic Development
Grants to Developer as and to the extent described in Section 11.2(3).
(5) City shall be free to use any and all tax increment revenues collected in
respect to other properties within the Project Area, or any of the available
Developer Tax Increments resulting from the termination of the annual Economic
Development Grants under Section 11.2(1) 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. City shall also be free to use for any lawful purpose the actual
tax increment revenues collected by the City and not required to be paid to
Developer in respect of the Minimum Improvements.
4. Sections 12.1 and 12.2 of the Development Agreement are hereby
amended to read as follows:
12.1 Job Creation.
(1) The development of the Property (including, without limitation in any way,
the ownership, operation, maintenance and management of the Minimum
Improvements and the operation, maintenance and management of the Surface
Parking Lot) shall result in a minimum of ten (10) full-time equivalent ("FTE")
employees in Dubuque, lowa which such FTE employees shall be contracted for,
employed or otherwise engaged on or prior to January 1, 2024 and shall be
maintained at or with respect to the Property during the term of this Agreement. It
is agreed by the parties that Developer has no FTE employees in Dubuque, lowa,
as of January 1, 2019. FTE employees shall be calculated by adding together all
hours worked by direct or indirect employees related to the Property including,
without limitation in any way, all full-time employees, part-time employees,
employees of Developer's commercial tenants (for purposes of clarification,
employees, self-employed business owners, independent contractors and other
self-employed individuals using the Property as their primary place of service
rendered, including, without limitation in any way those individuals working in
shared spaces or co-working space configurations shall be included in the
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calculation of FTEs,) and shall be calculated on the basis of 2080 hours per year
as one FTE employee. In the event that the certificate provided to City under
Section 12.2 hereof on January 1, 2038 (the "FTE Date") discloses that the
Property has not as of the FTE Date resulted in at least 10 FTE employees as
provided hereinabove, Developer shall pay to City, promptly upon written demand
therefor, an amount calculated by dividing the Acquisition Grant by 10 (the required
number of FTE employees) and multiplying that product by the number of FTE
employee positions that do not exist as of the FTE Date. For example, if only 8
FTE employee positions exist as of the FTE Date, the amount calculated above
shall equal the amount calculated by (1) taking $485,036.60 (subject to adjustment
under Section 11.1 above), (2) dividing $485,036.60 by 10 for a result of
$48,503.66 and (3) multiplying that result ($48,503.66) by 2 (which is the number
of FTE positions absent as of the FTE Date) for a total payment obligation of
$97,007.32.
The foregoing payment and reduction of the Acquisition Grants shall be the City's
sole remedies for the failure of Developer to meet the job creation requirements of
this Section 12.1.
(2) City retains the right to begin escrowing amounts in anticipation of
Developer's obligation to refund a portion of the Acquisition Grant under
subsection 12.1(1) above by withholding a portion of the semi-annual Economic
Development Grant payable under Section 12.1(1) of this Agreement beginning
February 1, 2036 if the certificate provided to City under Section 12.2 hereof on
January 1, 2036 discloses that Developer as of that date has not created and
maintained, as of the date of such certificate, the FTE employees required by
Section 12.1(1). City shall not withhold any amount in excess of the amount
calculated in Section 12.1(1). In the event that the certificate provided to City under
Section 12.2 hereof on the FTE Date discloses that Developer does have, as of
the FTE Date, at least the required FTE employees as provided in subsection
12.1(1) of this Agreement, City shall release to Developer the amount of the
Economic Development Grants withheld under this subsection 12.1(2) of this
Agreement.
(3) Operation of Propertv; Housing Vouchers. For and in consideration of the
Grant offered under this Agreement, during the operation of the Property, including
the Building, as a rental residential property, Developer shall accept, or cause to
be accepted, applications from prospective tenants with housing vouchers (issued
under the U.S. HUD's Section 8 voucher program or a similar program) that are
otherwise qualified prospective tenants.
12.2 Certification. To assist City in monitoring the creation and maintenance of FTE
employees resulting from the ownership, operation management and maintenance of the
Property hereunder, not later than January 15, 2024, and not later than January 15 of
each year thereafter during the term of this Agreement, a duly authorized officer of
Developer shall certify to City in a form acceptable to City the number of FTE employees
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employed on January 1, 2024 and on January 1 of each year thereafter calculated by
adding together all hours worked by direct or indirect employees related to the Property
including, without limitation in any way, all full-time employees, part-time employees,
employees of Developer's commercial tenants (for purposes of clarification, employees,
self-employed business owners, independent contractors and other self-employed
individuals using the Property as their primary place of service rendered, including,
without limitation in any way those individuals working in shared spaces or co-working
space configurations FTEs) at the Property in Dubuque, lowa on the first day of each of
the preceding 12 months determined based on the terms set forth in Section 12.1.
5. Section 18.1 and 18.3 of the Development Agreement are hereby amended
to read as follows:
18.1 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: Port of Dubuque, LLC
c/o Merge, LLC
Attn: Brent Dahlstrom, Partner & Manager
604 Clay Street
Cedar Falls, IA 50613
Phone: (319) 505-3609
With a copy to: Merge, LLC
Attn: Joy Hannemann
811 E. Washington Avenue, Suite 400
Madison, WI 53703
With a copy to: Squire Patton & Boggs (US) LLP
Attention: Steven F. Mount
41 South High Street, Suite 2000
Columbus, OH 43215
Email: steven.mount@squirepb.com
If to City: City Manager
City Hall
50 W. 13t" Street
Dubuque, lA 52001
Phone: (563) 589-4110 Fax: (563) 589-4149
With a copy to: City Attorney
City Hall
50 W. 13th Street
Dubuque, lA 52001
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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 18.1.
18.3 Termination Date. Unless terminated sooner under the terms of this Agreement,
this Agreement and the rights and obligations of the parties hereunder shall terminate on
June 1, 2038 (the "Termination Date"), unless otherwise extended as provided herein.
6. All other terms of the Development Agreement, as amended, shall remain
in full force and effect.
CITY OF DUBUQUE, IOWA PORT OF DUBUQUE LLC
��
By: By: �� --
Roy D. Buol, Mayor Brent Dahlstrom, Manager
ATTEST:
Adrienne N. Breitfelder, City Clerk
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CITY OF DUBUQUE, IOWA
OFFICIAL NOTICE
PUBLIC NOTICE is hereby given that the City Council of the City of Dubuque, lowa, will
hold a public hearing on the 16t" day of November, 2020, at 6:30 p.m. Due to the ongoing
COVID-19 pandemic, the City Council will meet virtually through GoToMeeting. The
official agenda will be posted on Friday, November 13, 2020 and will contain listening,
viewing, and public input options. The City Council agenda can be accessed at
https://cityofdubuque.novusagenda.com/AgendaPublic/ or by contacting the City Clerk's
Office at 563-589-4100, ctyclerk@cityofdubuque.org.
At said meeting the City Council proposes to take action on the approval of the Second
Amendment to Development Agreement between the City of Dubuque, lowa and Port of
Dubuque LLC, as amended, which provided for the issuance of 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 powntown Urban Renewal
District, consisting of the funding of economic development grants to Port of Dubuque,
LLC. The Second Amendment increases the number of Urban Renewal Tax Increment
Revenue Grant Obligations. 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 $2,770,000.
At the above meeting, the City Council will receive oral and written comments from any
resident or property owner of said City to the above action.
Any visual or hearing-impaired persons needing special assistance or persons with
special accessibility needs should contact the City Clerk's Office at (563) 589-4120 or
TTY (563) 690-6678 at least 48 hours prior to the meeting.
Published by order of the City Council given on the 2nd day of November, 2020.
Adrienne N. Breitfelder, City Clerk
Prepared by: Jill Connors, Economic Development, 1300 Main Street, Dubuque IA 52001, 563 589-4393
Return to: Jill Connors, Economic Development, 1300 Main Street, Dubuque IA 52001, 563 589-4393
RESOLUTION NO. 334-20
FIXING THE DATE FOR A PUBLIC HEARING OF THE CITY COUNCIL OF THE CITY
OF DUBUQUE, IOWA ON THE SECOND AMENDMENT TO DEVELOPMENT
AGREEMENT BETWEEN THE CITY OF DUBUQUE, IOWA AND PORT OF DUBUQUE
LLC WHICH PROVIDED FOR THE PROPOSED ISSUANCE OF URBAN RENEWAL
TAX INCREMENT REVENUE GRANT OBLIGATIONS BY INCREASING THE
NUMBER OF SUCH GRANTS, AND PROVIDING FOR THE PUBLICATION OF
NOTICE THEREOF
Whereas, the City of Dubuque, Iowa (City) and Merge, LLC entered into a
Development Agreement dated the 18th day of November, 2019, as amended by First
Amendment dated the 6th day of April, 2020, which provided among other things for the
issuance of urban renewal tax increment revenue grant obligations (the Grants); and
Whereas, Merge, LLC assigned the Development Agreement to Port of Dubuque, LLC
on the 13th day of February, 2020, with the consent of City; and
Whereas, City and Port of Dubuque, LLC. now desire to further amend the
Development Agreement as set forth in the attached Second Amendment, subject to the
approval of the City Council; and
Whereas, the Second Amendment provides for an increase in the number of Grants; and
Whereas, the City Council has tentatively determined that it would be in the best
interests of City to approve the Second Amendment to Development Agreement; and
Whereas, before said Second Amendment 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 THAT:
Section 1. The City Clerk is hereby authorized and directed to cause a notice to be
published as prescribed by Iowa Code Section 364.7 of a public hearing on the City's intent
to approve the Second Amendment, to be held on the 16th day of November, 2020 in the
form attached hereto.
Section 2. The City Council will meet at said time and place for the purpose of taking
action on the matter of approval of the Second Amendment to Development Agreement,
increasing the number of Tax Increment Revenue Obligations Revenue Grant Obligations,
102720bal
the proceeds of which obligations will be used to carry out certain of the special financing
activities described in the Urban Renewal Plan for the Greater Downtown Urban Renewal
District, under the terms and conditions of said Urban Renewal Plan. It is expected that the
aggregate amount of the Tax Increment Revenue Grant Obligations will be approximately
$2,770,000.
Section 3. The City 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 less than four days nor more than twenty days before the date of
said meeting on the disposal of the City's interest in the Property and the issuance of said
obligations.
Section 4. That the notice of the proposed action shall be in substantially the form
attached hereto.
Passed, approved and adopted this 2nd day of November, 2020.
4 x'/
Roy D. Buol, Mayor
Attest:
dv, ,
Adrienne N. Breitfelder, 6ity Clerk
STATE OF IOWA SS:
DUBUQUE COUNTY
CERTIFICATE OF PUBLICATION
I, Kathy Goetzinger, 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:
11/06/2020
and for which the charge is 37.32
Subscribed o efore me, a Notary P is in and for
Dubuque County, Iowa,
this 6th day of November, 2020
Nota ublic in and for Dubuque ounty, Iowa.
•4'•5• a°�, JANET K, PAPE
Commission Number 19980
-' jAy Comm. Exp. DEC 11, 2022
Ad text : CITY OF DUBUQUE, IOWA
OFFICIAL NOTICE
PUBLIC NOTICE is hereby given that the City Council of the
City of Dubuque, Iowa, will hold a public hearing on the 16th
day of November, 2020, at 6:30 p.m. Due to the ongoing
COVID-19 pandemic, the City Council will meet virtually
through GoToMeeting. The official agenda will be posted on
Friday, November 13, 2020 and will contain listening, viewing,
and public input options. The City Council agenda can be
accessed at
https://cityofdubuque.novusagenda.com/AgendaPublic/ or by
contacting the City Clerk's Office at 563-589-4100,
ctyclerk@ cityofdubuque. org.
At said meeting the City Council proposes to take action on
the approval of the Second Amendment to Development Agreement
between the City of Dubuque, Iowa and Port of Dubuque LLC, as
amended, which provided for the issuance of 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
Port of Dubuque, LLC. The Second Amendment increases the
number of Urban Renewal Tax Increment Revenue Grant
Obligations. 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 $2,770,000.
Copies of supporting documents for the public hearing are on
file in the City Clerk's Office, City Hall, 50 W. 13th St.,
Dubuque, Iowa, and may be viewed during normal working hours.
Agendas can be accessed at
https://www.cityofdubuque.org/Agendas.
Written comments regarding the above public hearing should
be submitted to the City Clerk's Office, 50 W. 13th St.,
Dubuque, IA 52001, etyclerk@cityofdubuque.org, on or before
said time of public hearing. At said time and place of public
hearings all interested citizens and parties will be given an
opportunity to be heard for or against said proposal.
Individuals with limited English proficiency, vision,
hearing or speech impairments or requiring special assistance
should contact the City Clerk's Office at (563) 589-4100,
TDD/TTY (563) 690-6678, ctyclerk@cityofdubuque.org as soon as
feasible. Deaf or hard -of -hearing individuals can use Relay
Iowa by dialing 711 or (800) 735-2942.
Published by order of the City Council given on the 2nd day
of November 2020.
Adrienne N. Breitfelder, City Clerk ciry ok
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