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Horizon Development Group, LLC/CarteGraph Systems Disposition of Dubuque Technology Park . . . RESOLUTION NO. 29 -99 A RESOLUTION DETERMINING THAT THE PROPOSAL OF HORIZON DEVELOPMENT GROUP, L.L.C., AND CARTEGRAPH SYSTEMS, INC., IS IN COMPLIANCE WITH THE TERMS OF OFFERING FOR DISPOSITION OF LOT 10 AND LOT 11, BLOCK 2, DUBUQUE TECHNOLOGY PARK Whereas, this Council, by Resolution No. 587-98 dated December 15, 1998, nominated the City Clerk as agent of the City of Dubuque, Iowa, to receive and open on January 18, 1999, at 10:00 a.m. proposals in competition to the proposal of Horizon Development Group, L.L.C., CarteGraph Systems, Inc., referred to in said resolution for the sale of Lot 10 and Lot 11, Block 2 of Dubuque Technology Park for development only in accordance with the terms and conditions set forth in said resolution; and Whereas, the City Clerk has reported to this Council that no qualified, competing proposal was submitted. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA: Section 1. That the report of the City Clerk that no qualified competing proposal was submitted by 10:00 a.m. on January 18, 1999, for the development of Lot 10 and Lot 11, Block 2 of Dubuque Technology Park be received, filed and adopted. Section 2. That it is hereby determined that the proposal of Horizon Development Group, L.L.C., and CarteGraph Systems, Inc., for development of said property is the only proposal which satisfies the terms and conditions of the offering set forth in Resolution No. 587-98 adopted by this Council on December 15, 1998. Passed, approved and adopted this 18th day of January ,1999. ., . i' ,/\ .'_ u I / ,/ ,) " v' /' _ / " ( lA..'~i_.V /" ./' './ Terrance M. Duggan, Mayo,~ Attest: ;' F:\USERS\JBURKE\BURKE\DOCS\ECDEV\CARTEGRA\COMPETE.RES , ", . CITY OF DUBUQUE, IOWA MEMORANDUM January 14, 1999 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Disposition of Dubuque Technology Park Site Horizon Development Group, LLC for CarteGraph Systems, Inc. . In the fall of 1996, the City Council authorized the development of an industrial/technology park on property located on US 61/1 51 at Lake Eleanor Road. The purpose of the development is to provide development-ready sites for new and expanding businesses. CarteGraph Systems, Inc. has outgrown its leased facilities in the Dubuque Corporate Center and has announced plans to locate and expand in the Dubuque Technology Park. CarteGraph currently has 90 employees and plans to increase their employment to 200 by January of 2002. They are working with Horizon Development Group to build and lease approximately 30,000 square feet of corporate office space to accommodate the company's planned expansion on Lot 11. By leasing from Horizon rather than building itself, CarteGraph is able to use its cash flow to finance internal growth and market expansion. Community and Economic Development Director Jim Burke is recommending approval of a development agreement with CarteGraph that includes: 1) The purchase price of Lot 11 is $76,230 per acre based on buildable acres. With a buildable area of 2.86 acres, the purchase price is $218,000. 2) The property will be conveyed by special warranty deed after January 18, 1999. . 3) The City will provide an Acquisition Grant of $112,000 for Lot 11 to write down the purchase price to $37,000 per buildable acre. Final purchase price will be $106,000. " . . . 4) Horizon must construct a building of not less than 30,000 square feet on Lot 11 for CarteGraph Systems. 5) Horizon must begin the project within six months of closing and complete it within seven months of the start of construction. 6) An option for Horizon to purchase Lot 10, Block 2 is a condition of the Development Agreement, The terms of the option require payment of $5,000 by Horizon to secure a five year option, all of which will be credited to the purchase price if the option is exercised. The purchase price of the property will be determined at time of closing. An Acquisition Grant will be provided to write down the purchase price to $37,000 per buildable acre or $123,950. Horizon has also asked to use tax increment financing (TIF) to support the up-front financing of this project. The Agreement indicates the City's intention to provide an economic development grant for such purpose. Based on a minimum assessed value of $1.9 million, approximately $250,000 in tax increment debt could be financed. This loan would be paid back over a ten year period by new property taxes. I respectfully request Mayor and City Council approval of the Development Agreement. I would like to commend the work of Greater Dubuque Development Corporation Executive Director Rick Dickinson on this project and compliment CarteGraph President Scott Taylor on his plans for growth. ) fi /) ~/ / / 1'1{~t '~f/17;/1 { '7 Michael C. Van Milligen ,/ MCVM/j Attachment cc: Barry Lindahl, Corporation Counsel Tim Moerman, Assistant City Manager Jim Burke, Community and Economic Development Director Rick Dickinson, GDDC, Executive Director ~, . . . . . CITY OF DUBUQUE, IOWA MEMORANDUM January 12, 1999 TO: FROM: SUBJ: Resolutions Approving Horizon Development Group / CarteGraph Agreement INTRODUCTION This memorandum presents for City Council adoption a pair of resolutions approving the Horizon Development Group, L.L.C. / CarteGraph Systems, Inc., Development Agreement with the City of Dubuque. The Agreement provides for the purchase and development of Lot 10 and Lot 11 of Block 2 of Dubuque Technology Park. DISCUSSION On December 15, the City Council adopted Resolution 587-98 which established terms and conditions of an offering of urban renewal land and set a special public hearing on the proposal of Horizon Development and CarteGraph Systems to acquire and develop two lots in Dubuque Technology Park. The hearing is set for Monday, January 18. Following the December 15 meeting, the full text of the Council's resolution was published in the Telegraph Herald to fulfill the requirement that disposition of urban renewal land follow a reasonable competitive procedure. The resolution states that the City has received a proposal from Horizon and Carte Graph and intends to approve it unless another qualified, competing proposal is submitted by January 18. The requirements for proposals and a procedure for selection are set out in the resolution. Presuming that the Horizon / Carte Graph proposal will be the only qualified proposal to be submitted, we have prepared two resolutions for consideration by the City Council at the hearing. The first resolution finds that no qualified, competing proposal was submitted and that the Horizon / Carte Graph proposal satisfies the terms of the offering. The second resolution approves the Development Agreement among the City, Horizon and CarteGraph and authorizes its execution and implementation. RECOMMENDATION I recommend that the City Council adopt the attached resolutions approving the sale of land in the Dubuque Technology Park to Horizon Group, L.L.C.. In the unlikely event that another qualified proposal is submitted, the Council should follow the procedure described in Sections 18 through 20 of Resolution 587-98. ~ ~ CITY OF DUBUQUE, IOWA MEMORANDUM January 18, 1999 TO: Honorable Mayor and City Council Members FROM: Mary A. Davis, City Clerk SUBJECT: Report on Competing Proposals Disposition of Lots 10 and 11, Block 2 of Dubuque Technology Park The City Council, By Resolution No; 587::98, nominated the City Clerk, to receive and open on January 18, 1999, at 10.:00 a.m. proposals in competition to the proposal of Horizon Development Group, LLC and Carte Graph Systems, Inc. for the purchase and development of Lot 10 and Lot 11, Block 2, Dubuque Technology Park. By this memorandum, I am reporting to the City Council that no competing proposal was submitted by the deadline for submission set forth by Resolution No. 587-98. Respectfully submitted, Mary A. Davis CMC City Clerk cc: Michael Van Milligen, City Manager Barry Lindahl, Corporation Counsel Jim Burke, Community/Economic Development Director /7/ ! / I-~ ,. / I' . / -b :.;.c ,-,'- /! CITY OF DUBUQUE, IOWA MEMORANDUM January 18, 1999 TO: Honorable Mayor and City Council Members FROM: Mary A. Davis, City Clerk SUBJ: Report on Competing Proposals Disposition of Lots 10 and 11, Block 2 of Dubuque Technology Park The City Council, by Resolution No. 587-98, nominated the City Clerk, to receive and open on January 18, 1999, at 10:00 a.m. proposals in competition to the proposal of Horizon Development Group, L.C., for the purchase and development of Lots 10 and 11, Block 2 of Dubuque Technology Park. By this memorandum, I am reporting to the City Council that no competing proposal was submitted by the deadline for submission set forth by Resolution No. 587-98. Respectfully submitted, hdAUd~ / ~:;;; Davis City Clerk cc: Michael Van Milligen, City Manager Barry Lindahl, Corporation Counsel / p' ,,';> RESOLUTION NO. 587 -98 RESOLUTION (1) APPROVING THE MINIMUM REQUIREMENTS, COMPETITIVE CRITERIA, OFFERING PROCEDURES FOR DISPOSITION OF CERTAIN URBAN RENEWAL PROPERTY; (2) DETERMINING THAT THE PROPOSAL SUBMITTED BY HORIZON DEVELOPMENT GROUP, LLC SATISFIES THE OFFERING REQUIREMENTS AND DECLARING THE INTENT OF THE CITY TO ENTER INTO THE DEVELOPMENT AGREEMENT WITH HORIZON DEVELOPMENT GROUP, LLC AND CARTE GRAPH SYSTEMS, INC. IN THE EVENT THAT NO COMPETING PROPOSALS ARE SUBMITTED; AND (3) SOLICITING COMPETING PROPOSALS. Whereas, the City of Dubuque, Iowa, did on April 7, 1997, adopt an Urban Renewal Project known as the Dubuque Industrial Center South Economic Development District (the "Plan") for the urban renewal area described therein; and Whereas, such Plan provides for, among other things, the disposition of properties for private development purposes as a proposed renewal action; and Whereas, Horizon Development Group, LLC ("Developer") and Carte Graph Systems, Inc. ("Employer") have submitted to the City a specific proposal for the acquisition of certain property hereinafter described for the development of a corporate office, together with the request that this property be made available for disposition as rapidly as possible; and Whereas, in order to establish reasonably competitive bidding procedures for disposition of the property in accordance with the statutory requirements of Chapter 403, Code ofIowa. 1997, particularly Section 403.8, and to assure that the City extends a full and fair opportunity to all developers interested in submitting a proposal, a summary of submission requirements and minimum requirements and competitive criteria for the property offering has been prepared and is attached hereto as Exhibit "A" and by this reference is made a part hereof, which sets out the minimum requirements each proposal must satisfy in order to qualify for consideration with respect to the competitive criteria, the information and documents which must be submitted, and the schedule for submission and competitive bid-off procedures; and Whereas, said Developer and Employer have tendered a Development Agreement with the City, attached hereto as Exhibit "B", which proposes the development of a corporate office on this property; and Whereas, to both recognize the firm proposal for disposition of the property already received by the City, as described above, and to give full and fair opportunity to other developers interested in submitting a proposal for development of the property, this Council should by this Resolution: 1 1) Set the Fair Market Value of the parcel as determined by an independent appraiser for uses in accordance with the Urban Renewal Plan; 2) Approve the Guidelines for Developers for the Dubuque Industrial Center South Economic Development District Urban Renewal Plan Area for submission of proposals for the purchase and development of the property and the minimum requirements and competitive criteria attached hereto as Exhibit "A"; 3) Approve as to form the Developer's and Employer's proposed Development Agreement attached hereto as Exhibit "B"; 4) Set a date for receipt of competing proposals and the opening thereof; establish a procedure for each proponent to better its proposal and set a cutoff time for such modification; and provide for review of such proposals with recommendations to this Council in accordance with established procedures; 5) Declare that the proposal submitted by Developer and Employer satisfies the requirements of the offering, and that in the event no other qualified proposal is timely submitted that the City intends to accept such proposal and enter into the Development Agreement and direct publication of notice of said intent; 6) Approve and direct publication of a notice to advise any would be competitors of the opportunity to compete for purchase of the property for development on the terms and conditions set out above; 7) Declare that in the event another qualified proposal is timely submitted and accepted, another and future notice will be published on the intent of the City to enter into the resulting contract, as required by law; and Whereas, this Council believes it is in the best interest of the City and the Plan to act as expeditiously as possible to offer this property for development as set forth herein. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA: Section 1. That the following described property shall be offered for development in accordance with the terms and conditions contained in this Resolution, to wit: Lots 10 and 11 of Block 2 of Dubuque Technology Park, in the City of Dubuque, Dubuque County, Iowa. Section 2. That the current Fair Market Value of Lot 11, Block 2 of Dubuque Technology Park shall be $76,230 per buildable acre. The Fair Market Value of Lot 10, Block 2 of 2 Dubuque Technology Park, the option parcel, shall be determined by appraisal at or about the time of closing on that parcel. Section 3. That it is hereby determined that in order to qualify for consideration for selection each Developer must submit a proposal which meets these minimum requirements: a) Contains an agreement to acquire Lot 11, Block 2 at not less than the Fair Market Value and an option on Lot 10, Block 2 both for use in accordance with the Plan; b) Is for the development of the property for use by an actual expanding or new business in conformance with the Plan and is not for speculative development; c) Includes a construction schedule in which the construction of approximately 30,000 square feet of building space on Lot 11, Block 2 is substantially complete on or before thirteen months from a closing date; d) Sets out or provides through other means acceptable to the City the proposed developer's experience in working with other development projects and with construction; and e) Sets out or provides through other means acceptable to the City the experience of the principals and key staff who are directly engaged in performance of contract obligations in carrying out projects of similar scale and character. Section 4. That it is hereby determined that each proposal which satisfies the minimum requirements as determined by the City, shall be reviewed on the basis of the strength of such proposal as judged by the following competitive criteria: a) Quality of the proposal 1) The overall cost of the project; and 2) The types of materials shown for construction of the structure. b) Architectural design of the proposed development 1) Compatibility of the design with surrounding structures, vistas, vehicular activities and future development of adjacent property; 2) The functional design ofthe site, structure and all public spaces; and 3) The aesthetic quality of the development. 3 c) Economic feasibility of the proposed development 1) The economic return to the community provided by the proposed development including, but not limited to, the property and sales tax generated, the number of jobs provided and the encouragement of similar and related development in the urban renewal district; and 2) The ability of the prospective developer to finance and complete the project as proposed. Section 5. That the proposed Development Agreement by and among the City, Developer and Employer, be and is hereby approved as to form for the purposes hereinafter stated. Section 6. That for the purpose of defining the offering of the property for development, said Development Agreement shall be deemed to be illustrative of the terms acceptable to the City with respect to: a) Purchase price; b) Conveyance of property and option; c) Required minimum improvements; d) Timing of improvements; e) City participation; f) Covenants; g) Events of Default and Remedies; and h) General terms and provisions; provided, however, that each competing proposal and contract shall be permitted to: a) Devise and report its own design for development so long as the minimum requirements set out in Exhibit "A" are met; b) Devise and report its own method and sources of financing, so long as such proposal is sufficient to assure financing of the project in a timely manner; and c) Allow taking possession of the property to be delayed for up to six (6) months after the execution of the contract. 4 No other substantive deviations will be permitted. Section 7. That the proposed Development Agreement submitted by the Developer and Employer satisfies the requirements of the offering and, in the event that no other qualified proposals are timely submitted, that the City enter into said Agreement is hereby accepted and approved. Section 8. That it is hereby determined that the Developer possesses the qualifications, financial resources and legal ability necessary to acquire and develop the property in the manner proposed by this offering in accordance with the Plan. Section 9. That it is hereby determined that the disposition price for the property offered to the Developer shall be in the amount of the Fair Market Value as established by this Council for uses in accordance with the Plan. Section 10. That the City Clerk shall receive and retain for public examination the attached Development Agreement submitted by the Developer and Employer and, in the event no other qualified proposals are timely submitted, shall resubmit the same to this Council for final approval and execution upon expiration of the notice hereinafter prescribed. Section 11. That the action of this Council be considered to be and does hereby constitute notice to all concerned of the intention of this Council, in the event that no other qualified proposals are timely submitted, to accept the proposal of the Developer and Employer to acquire and develop the property and to enter into the Development Agreement by and among the City, Developer and Employer. Section 12. That the official notice of this offering and of the intent of the City, in the event no other qualified proposals are timely submitted, to enter into said Development Agreement, shall be a true copy of this Resolution, but without the attachments referred to herein. Section 13. That the City Clerk is authorized and directed to secure immediate publication of said official notice in the Telegraph Herald, a newspaper having a general circulation in the community, by publication of the text of this Resolution without attachments on or before the 18th day of December, 1998. Section 14. That written proposals for the sale and development of the property will be received by the City Clerk at or before 10:00 a.m., January 18, 1999, in the Office of the City Clerk, located on the first floor at City Hall, Dubuque, Iowa 52001. Each proposal will be opened at the hour of 10:00 a.m. in City Hall, Dubuque, Iowa on January 18, 1999. Said proposals will then be presented to the City Council at 7:00 p.m., January 18, 1999, at a meeting to be held in the Auditorium of the Carnegie Stout Public Library, Dubuque, Iowa. 5 Section 15. That such offering shall be in substantial conformance with the provisions of Section 403.8, Code oflowa, requiring "reasonable competitive bidding procedures" as are hereby prescribed which method is hereby determined to be the appropriate method for making the Property available for development. Section 16. That the required documents for the submission of a proposal shall be in substantial conformity with the provisions of this Resolution. Section 17. That the City Clerk is hereby nominated and appointed as the agent of the City of Dubuque, Iowa to receive proposals for the sale of the property at the date and according to the procedure hereinabove specified for receipt of such proposals and to proceed at such time to formally acknowledge receipt of each of such proposals by noting the receipt of same in the Minutes of the Council; that the City Manager is hereby authorized and directed to make preliminary analysis of each such proposal for compliance with the minimum requirements established by this Council hereinabove. For each proposal which satisfies these requirements, the Council shall judge the strength of the proposal by the competitive criteria established hereinabove. The Council shall then make the final evaluation and selection of the proposals. Section 18. That following receipt of competing proposals, the Developer shall have until 10:00 a.m. on January 25, 1999, to amend its proposal in response and to deliver same to the City Clerk. Section 19. That if, and only if, competing proposals are received and determined by the Council to meet the minimum requirements of this Resolution, and the Developer amends its proposal in response thereto, such Council shall forthwith schedule a meeting within seven (7) days after January 25, 1999, at which meeting there shall be a bid-off, each proposal against the other, seriatim starting with the second proposal received until such time as each proponent for the sale of the property shall decline to improve its bid in response to the last bid of the other bidder or bidders. The period of time to be allowed for such bid-off shall not be in excess of three consecutive hours on said date. The rules of such bid-off shall be as informally determined by the Council at or before such bid-off period and shall be absolute. Section 20. That in the event another qualified proposal is timely submitted and accepted by the City, another and further notice shall be published of the intent of the City of Dubuque, Iowa, to enter into the resulting contract, as required by law. Passed, approved and adopted this 15thday of December, 1998. Terrance M. Duggan Mayor 6 . Attest: <~t1 ~~ Ma ~. Davis City Clerk 7 loandoc\horizon.res .. 00- 00- '-y-J ~ ~~ 00 ~u ~~ o~ ~g ~= H~ OO-~ ~~~J J = ~ ~.... .... .... ... = = -= Cj::= Cj = ";l =... ... ~ ... ~ ~ of '" ~ .... c::l.t ~ Y ~ S ~ ... = ~oo "-' = ....'" 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(OFFICIAL PUIILICATlON) R~SOLunoNM~ 58~H RESOLUTION (1) A"PROY- INQ tHE MINIMUM AE- QUIREMEtlTS, eOMPITI. TlVE ORITeRIA. OFFERING PROCliDURES FOR DISPO- SITION OF ellRTAIN URBAN RI'NeYlAL PROPERTY; (2) DETERMINING THAT THE PROPOSAL SUBMITTED BY HohlZON DEVELOflMIiNT GROUP, LLO SATl8F1ES 'nil!! o"'IlRING REQUIREMENlll AND DEOLARINQ THe IN- TENT OF tHE CITY TO !tl- TeR INTO THE DEVELOP- MENT AGRt!lMlim WITH HORI%ON DEVELOPMENt GROUP, UO AND CARTE- GRAPH SYSTEMS, INC. IN THE EVENT THAt Mo COM- PETlNQ PROPOSALS ARI! SUbMITTED; At-Il'J l:J) so- LICITING COMPETING PROfl06ALS. Whuruas. the Cily 0' Du- bllq,II:, Iowa. did on April 7. 1\197, ndopl ;an Urbtlr'l j:\e- neW.I! Projc:cl known <IS me DlJbllt'JU':: IndutilriOlI Cenler Soulh Ecollornic Devolopm9ll1 Dj~\rict (lh" "Pion") for the urban renew,)1 (l{u~ doscribQd lhvrem; and Wllvroils, J;1Ir.h PI.1I1 providu for. among OIlIer things. lhe Lfi~posilion of propvrlies for privulo dovelol'lmMI purposes a^> 0 proposl'ld rencwulllction: :lIId WhCMI3, Horilon Dov,;lop. m\~nl Group, LLC ("Dcv~lopur") Dlld C;>.rleGr:lph SYI;tl11n$. Inc. ('Employer') h.Wfl r.lliJmillud 10 Ills Clly 0- spociflo ptor.>Os<l1 for Ihe <10- quisition of ccrtuin prop\lrty IlIlrein*or dc:~c:rrbcd for the duvclopmont 01 (1 corporllle O[Ii'.:I). (OOOlhBf with thll re- qlj~\lt Ihllt this prop(:rly be m~rltl :Mlililblo fer di~po';iljon M I npidly a.! po~sib'~; and Whe,u~~. in ordAr to O:ltub- h~h f(mSonably COlT1pClilivc birtdin() procodures for di:fIJO- Sil;O 11 01 lhe proplrTy In ~CCOr' d.1l1c:e Wil~ tho Iit<lll.llOIY ro- Cll.lil'P,mllnlG of eh~plt:or 403, 9.PJiL.!Lhiwn. JQ~Z. porticu- l<1rly S.lCtlon ~03.8, nnd to nr.~lIre Ilmttho Cily extel1ds Q full anrl f"ir opportunity Iv nil llcvelopor! i/'lr'''':~lcd in sub- 11111111,!} a ~roposal, ~ t.,ll'llrmvy of sllbml~~ion rQ'1l1jrel'l1ef1t~ lI1ld minlmlJl" roquirement$ :Ind compelillve C,ilerla for tile prC)purty offering IHIS been l'wn,mted and IS nlt'lchcd horel.:> Q~ EJIhibit "A" llnd by IIlis rerorenc:e I~ made a r~lt 1\.;(OOf, which ~e!~ out the minimurn roqul/'Glllent$ euch PI'Qllo~,,1 musl satisfy In order 10 <111(\1111' lor conftlclerution wHh ~ftpeclto the eoml'>f.!tilive criLol;:\. U1C information (mcl dOCUm4lnts whioh must be subrnilted, and lhe schedull fl\r ~ubmj"iol1 11l1d competi- tive bid-off prooedllres; and Whurcas. slid Develop/:!' and EllllJloyer have tllnclered tl Dl'lveloplllcnt Agreemlll)t WiUl lhe City, allQehed hereto (13 !;~I'libH "13", which propOSI:$ tll.., clevulopment of 8 corpo" mle offiCe on this property: l'Inc:l Whllre:v., 10 both recognize thlP OnTl propos:11 for diapc:>sl- lion of Itll'l property all'el1dy rocelved by the CI ty. n de- (;Cribod ebove, llnd to giv~ full Md Pllir opport\lnity to other dcvclopllrs infert-sted In sub- 1T111lill!;! II proposal fer devul- oPlnC/1I1 of the prorerty. this Co,mcil should by this R1.l301u- II.m: 1) SuLtho Fllit MMKet Vulue 1)1 the ".l/'cel as dll.nnjn~d by IIn i11Utpcndcnt appraitflr for IJ.~es hl accordane" with Ihc Utb:An Roncw;l,J PIlln; 2) Approve Ihe Guidelines for D\lvelopera- for thl D1lbuque Ind(J~triCl! Centor Soulh Eco- nomic DEoVllllJpmenl Oi~rlcl Urbiln ReMW31 F>lan Arsa for uubmission of proll03ol3 for ule purchallll and dtwolopment of Iho property and 1110 mini- murn rcqu1rem"l'lts and com- petilive criteria llll~ched herato o.G Exhibit "A"; 3) Approve as 10 form Ih" DtYolopor's and Employor's /'lrC1poliCd Developmenl Aorc:.-erncnt allaehed herolo ilS exhlbll'D"; 4) Sel II dille far receipL of CQ01P6ting propos.'lls and the opining Il1erool; establish 0. pl'ooed~jre for ouch proponent Lo belllir ils prOr.>Oslll and 8;\1 ft culoff time for slJch modlflCll- tieH; and provi(!;\ for roview of slJOh proposal. wltl1 rocom- mOlnll allonl 10 Ihis Council in accordanco with S$lahli~hcd procodurb3: Sl D~claro that tha prOpo~1ll sllbmillutJ by Developer .nd frnrloy~r satilfj.~ dle re- qlJiremllnll of thl offering, ~nd tJ1~t In lho event no other l:Ill:llified propoaal Is tirrKlly submitted thut the City lillellds to Accepl ~uch prclp(>s(l1 nnd ent!!r Into the Dllvelopmunt Agrlllilmllnl Lind dirlcl publicn- lion of nOlicl! of said intant; 6) ^t.prove and clirt1lCI publica- tion of 0. notice to advlStl any would bc Competitor! of the opportunity to complrte f,'r purchilSQ of Ihe property for d.\Yelopment on the 1~'rI'nl and oond;llor1S eet out above; 7) DeclAre 11\;11 in Ihe evenL .\nothor qualified propolal Is timely subrnilllld and 110- cePtl:\i. Qnother 3nd ruture notice will be publlshfld on the in lent of thu Clly to enter into the resullin~ oontract. as FAX NO. 3195885782 6~q Ofqo req'lired by ILlw; and Wher"M, thie COllncil be- lieves it Is in the beal interosl of the City LInd the PI<ln 10 aCL lla exptt(liliOll~ly III pOllslnl$ 10 ort~r lhj.~ rropcrly for dlvel- opment as lIel forth herein. NOW, THEReFORE, BE IT RESOLveD BY THE Oljy eOUNCI~ OF THE CI'TY OF DUBUQUE, IOWA: Sectiol1 1, rhu[ tho followin!J described r>roperty ~11;l,n bA ollarcd for <Iflvolopmant ill accordance Wil111ho lerms ;and cMdilions oontr,lned in this Resol'ILlon. to wit: ~(Jls 10 and 11 of Block 2 of DqblJqtlC Teohnology Pork, in the City or DubuqUG. Dul111quo COUI1Iy, 10WLt. Seclion 2. That the curront Fair M.'rkvt Value of Lol 11. Block 2 or Dubuque Tf)Cl1nol" ogy rMk shUll be $76,230 ~ur buildllblll acro. The Fair Mnr- ket V:\lue 01 Lot 10, BJl)ck 2 or Dub\l<1110 T~'ChnoJogy PQrk. thc option porcul, ~hall b~ lloll.or- mined by rlpprui$a1 al or .1bO\IL thll tlmEl of closing on 111:11 parcel. Seclion 3. ThQt it iG hereby deterrnincd that In Order to (11Jnlily for eonr.idMI~on for $Illection Qach DevAlopor tTlull Rllbl'l'lil !I propos:,1 which mRet~ thesa minlmllrn rc- qulremenls: a) Conminii iIn agreEll'l'lorlL (0 IlCCluir\!l LOL 11. Blook 2 (It nol IIU tllM tho Fair Merket VlIluo and an option on Lot 10, Block 2 bolh for USa in llccord:mce wittllhe Pion: b) Is for the devEllopl'l'lerlt of the pI'OP\\rty for use by nn lIelu.i exp::lndin9 or new I>ll~i- rle~3 in oonfr'lmance with Ihe F>lM Md Is nOI tor srJeculllbva o"vclopmI1Jnt; c) Includes a oOllslruclion seh"rl"le In which the Con- ~tn.Jclion IJf approxirn.'Jtuly 30.000 squ,lrc fset of building .pane Orl Lol 11, I3lock 2 is Rubsl:\I1li::llly eomplll1e on or before thlrl~'Cn monlhs frem a eJo~in!) du!c; d) eels oul or provides lhm\l!Jh other meQrlS :Accept- able to 1110 elly the rropoucd developer's experience in workln!) with other devolop- mel11 prolc:cl3 IInd will1 con- SlrLlcllon; BnQ e) Sets oul or providet U lrough othllr mOtllls 1l0Clp~,ble 10 the City the e~perionOQ of Ul0 prlnoiplllt find ke,y staff who (Ire dirl3c~y angaocd in per- fOrrnCUlell of contr,1cl obliga- lions In Carl)'ing pul projuctl of similar wQle nnd oh/ltaelcr. SQelion 4, Tllnl it Ja hereby d6turmin4ld lhal etlch propos,,1 which IDHsf1" the minimum requlrcmontl as doLGrroinsd by lho) City. shall be reviewed on the bQsls of ll1e strength 01 suoh prol>ouul III judged l1y the following competitive orit.r!:,; a) Quality of the propo~RI 1) The oVClrall cosl of the proj- ect; ;and 2) ThCl type~ ot mllleri31s shown for consb'lJclion of lhe ~ [ructura. b) ArohitACt\ir~1 dosign of the proposed development 1) Compatibllily of the de!ltjn w;U, surrounrllna ~lruoiureR, viSl.lS. whicular activilice lIrId frHtlt'c dcvlllopmllnl of lIdja- Cflnl PlOpurly; 2) The lunoLonal de~iDII of ~1e liite, $\ruclurc llnd IlII Pllblic spacli~; ond 3) Tl1e o~s!hc:\ic quality of tile dev810PI1'lC::lll. cJ Economic ICQsibility of tho propO~lld l~cvelopment 1) Thll economic retllrn to lhe commUl1ity provided by Ihu proposed developmenl In- eludinn, but not limit.,d to, tho property t1nd sales ~'lx llenc:r- alad. tM nllmber of jol;i~ pro- vided llnd Ihe cncournOo'llTl6nL 01 ~imiJar f111(J rclnlcd dlvel- oprnent in ~\e urban ronewill dl~tlict: LInd ?) The tlbility of lho prospoc- live developer 10 fin(lncc and completo Ihe projfle! 0.$ pro- posed. s\!Ction 5. That the prOI)OSod Developrl1l:rlt Agrlemltnl by and arn<>n9 Lhe Cily, Devul- oper 11l1d unptoy;r, be and la hlt.by <lPl>o'ov"d as to form for tha purposes herelnalter slAted, Section 6. Thllt for d\,) pur- pose of delonlng the offarinU of tho prOPllrly lor dBvelnpl'nI.:nL :;uld Developmun I Agreem<<nt f,hllll be deem"d It' bu iIIullra- tiv6 or the terror. (lcc'Jp1..1ble to the Cily wilh reSll<lm to: a) PIli CI)(\1$8 price; b) Conveyance of I1roplltly and opti,,": c) Requirod minllTlIII'n jm- provemor'lle; d) Timing of Improvem~~llll; el City purticipalionj I) Covenunls; g) EvellLs of Def:AlJlt i1nd RltrnedillU: i1nd h) GenulUl 1"'1'111$ nnd provi- sions: provided, however. thilt each con'lIlJtinljl pl'OPOB!~1 and contract shnll b.: permitled 10: a) Davise Bnd rA!'>'),1 ils own design lor dIVelo~)I'I1e'\L ~ long Q$l 111.:: minimum rl'lquire" menls III Olll in EXhibit "A" aru mG~ bl DoviSQ and rl'port its own I'lY.lU,od lInd snurces of fl- n..nell1f/, so long a~ suoh prop051\1Is surnci.n~ 10 aSl;uro f.nanclng of Lhe project 111 a timely manner. and c) Allow L'kll1~ bosses. ion of the pro piny 10 bo delaYed for up Lo six (Ei) monU,s after lhe p, 01 () .~ , II '--, ,/' " .~;' , ~,t (i {fG V ~ I' fj;v ,--(itV't i Ii J t 1 fJ u ~v ] ,!L (i f l/ , I ,,) V ;~ ~~-c DEC-15-88 TUE 03:32 PM ~~(lcull()n of 1110 corll,,\ct. No othAr s\lb~t.lIlliva dGlvia- liona willlle p~rl~lilled. Seetioll 7. Th.11 U~a propolOed Oavolopm$nt Agraemunt submiU\ld hy the O<JValop;r clnd Emr1oyl)( ~nll:lfie1 lIIo mqlllromonls of lhll Orrtlrirl!) I:llld, In U'U evai'll thill no o~,er (jlwlifiod propos<l11 II'e limilly :luhrnHled, lIIlll the Oily er'll$r into r,ald Agreulnonl is herllhy lIccertorl ilnd approved. SacUon 6. TIlill it is horeby delurminGd IMI the Developor PO:lSUliSeS thll lllJalilicuUons, fini.\ncl<1l ro'Ourcl/s (1m! logllJ tliJilily noces":lry 10 (lCtlUirG Md dGvelop tho property in Iho m3nner proposed by tIlis offerinO III accordllnce with 1I1e PI:ln, Seclio'1 g, Tllat il is hereby dmfll1nined 11 ,at lIIo dispo.~i- lion prlco fur the propeny o(("l'flrl to tho Ouvcloper shall bo in tho (l1Tl~1UI1l or lIIe Fair Mmkol Vslufl (I~ c~lnblished by Ihis CO\Jncil for \lues in l\ccordOlllce with tho Phlrl. SI;Clion 10. nlal lh<> Cily Clark :;hilll rGcsive and rel"ln for ~11lblic o~lIminlltion ~ Ie nltac:hod De~lopmanl A\Jfoemon! submitted by the DP,v"lopur Wtd Employ.r Md. in th~ eV~~lt no othor qualified prOpOtoill:l o'ro limely ~ubmil- 11\0, !.I':lll re~ubmjt the Iolanl'l 10 thl!. OOlmcl1 ror linlll approval ancllll(,)cuUon upon eJ<pir~tion of tho notice horolnilflllr pre- scribed. See lion 1 t. TI1~1 the :lClion or this Council be CO!)f.kJlfred to be nnd doos hereby consUMe o<>tic"" 10 nil concerned or lhe lntantion 01 !his Counoil, ir) lhe Covel'll tho'll 110 othor qualifiecJ pfopo~nh, me timely liubmit- led. 10 occllDl Ihl: propoiil of lilt) Davllloper and E.nploycr to Dcqulre llnd devolop tho prop- erly .nd 10 enler into Ihe De- volopmlinl A!lreVl'l1cllt by IInd l1monD Ihll Cily. Developer IInd Employ~r. Soclion 12. "lla! the official noliclD of thl$ offering Md of 1l1C inte!)t of the City. in the ovun I no olher qllllliflcd pro- po:;~ls ore tim~1y tlubrnltted. 10 (:nl\:r into Mid Development A.l)ruOInont. Ihnll be 0 true cvpy of lIIia RIlsolu1ion, but willl1lll1 Iho <ll!achment~ re- rorrod 10 hflrr.,ln. Su<,;tion 13. Thm lII'J Clly Clerk is aulhari~ll(j al1d di. rr.c.t"d 10 ~ccura immerJioll: pulJIiC<1hon of $(tid offioial t1olico in th!) ll.1!r:illrn.l11J:1or.ill~. :. tl....w.papAr "$vina CA Q.murlll ol!cul(lticm In Ihe commulllly, by Pul>liculion of the tel(t ot lIIi~ Re~ol\lliOn willlout :11- \.lchmonls (In or tJCroro the 1 0 III d;IY of Doclmb!lr, , 998. $";,liOn t4. Thill writlcll rropO$"I~ for the $.91e (HId TELEGRAPH HERALD d$velopmont of the property will be rcceivod by Ihe City Clerk llt or hulaN 10:00 ~,m.. Jllnu~ry 10, 1999. In the Offioe of 111e CIty CI~'fk. lecited on !/Ie fir$t f100t III Cily HIlII, Dubuque. (ow:. :52001. Each propolal will ~ opened allho huur of 10:00 a.m. in City Hall, O\.lbuquo. Iowa on Jnnumy 18, 1999. Said propo~ls will lIl()n bo pr055nled to Ihe Cily C~l(JI1cil lit 7:00 p.m., JanutlJy 1 a, 1999. lit 11 meeting 10 be h.ld In tJle Audilorium of the Cllmflgle SIOU! Publlo UbrAl')l, Dubuque, lowo, Seclion 1 S. Thut such offer- ing ~hllll be In lub~tanli.:ll oonformuncu witll the provl- tk~M or Soclion 403.8, ("..(lOCI !2!..I!I.IItIJ, requiring "rel1~onable compelitivo bidding proco- c:turc:l" 115 !lI'e hereby pre- scribed whioh mfl1hod 1$ hereby determined 10 be ~IC (lPl'lro~,riOll) mothod for lTh"lkino the Proporly available for dflvelopmolll. Section t6. Thot tha reqtJil'Eld document, for lho lubminion of a propollalllhnll be in 5ub- slunlill conformity WIUh the ~'rOvj5iens of lhill Resolulion. Secllon 17. Thai lhe City Clurk ili horeby nomin..,lecJ and nppoinlod illl the f1(lenl of lIIcl City of Dubuque. Iowa to tecuiVCl proposals for tl10 ~tllo of Ule property at 1he d:Jle and QOcorl1irlg to the proceduro hereinrlbova spQCified for receipl of such proposals ~nd to proC:lled nt ,uch Ume to forrmlly lIoknowledgc receipt of oaoh of such p~opolials by noling Ihl recelt)t of sam a in Ihe Minutes of the Council: thi.'l! lhe Cily MQ03Qer is hU(<.lby Iluthorized llnd dl- reeled to make preliminary ftflnlysis of cllCh such pr<lpot-31 for compllunce witl'l the Illi!li- mum r&:t;uircmenta e~tabllshl>d by lhi~ Council hereinabove, FCif c:\ch propoR(ll which Mlislio~ the~e req\liremcnLli. tlll1 Council lI1all j1Jclo~ tnc strenglh of the propoMI by HIC complllitiva crileria 6slub- Ii shed hereinabove. Till> Cmlnell $hall then make the fiM! evnluatfon lInd lelaCllOI\ of Ine proposals. Sao!ioo 18, That followin(] rccoip1 of Com,)t:ling propos- 0.1>;, lIIo Developer ~I\(\II havo until 10:00 a.m. on Jamlary 2~. 1>)99, to anl$(ld its proposal In re.ponse and to duliver same tn It.", City Clerk. Section 19. That if. and only if. competing propoeals are fltCoived Md deltlrmln;d I:>y lho Council 10 meel Iho mini- IllUITI ruquiromer)lp. of lhis Rll,oluliOll, lInd Ihe Developer amends il$ propoud in re- spon30 therelo. such Council snail forthwith Gchecfule /I FAX NO. 3185885782 p, 02 mooting witl1in seven (7) days uflor JllnulllY ~5, 19DO. at wllich meeting ~''''re SI\(III bs a bid-off. flach propoMI ug.tin51 tho olllor. sQria~n) &lo"tino willi tllo socond propositi recelvcd unli1 Slid, lime liS SHCt, propO' nent for lhe ~ulc ef the prop- srty ahall cl,x:llne 10 improve iT~ bid in re~l'IOn$c 10 thGl laBt bid ef !he o1l1er biddcr or bidd~r~. Ths period of tlm~ to be 111- lowed for slldl bid orr aha!1 not be in SXCl/SS e f !hroo con- $ecutivo hour!! on suid dllla. Tile rules of suoh bid-oH shall be Il:l infermally dfltMllinud by lhe COuncil al or bf:folO such bid-oil psriod :md shall be abselute. Seellon 110. Th::.t I" lIIo event anothsr qualified propoSCII ill timely submitted Md IIccepled by the City, Molller and fur- ther notice shull be publishe,j of the inTill1t o[ Ute City of Oubu~.. I"W,.. 10 entor inlo the Msulling CC>t1lruct. !IS required by law. f'u5sed, apPloved and ac.lop led this 16th doy of De- cember, 1908. Terrl1nco M. Duggan, MnYQr Allest: M:\ry A. Davis, Cily CllIlr~ PubllRhed Olliciillly in tI,e TllegrAph Ilct~ld nelWspllper this 18th <1:\)' of D;eemPilr, 1998. M:>>y A. Dnvi~. CMC, Oity Clerk 1112/18 DEC-15-98 TUE 01:18 PM (' " , / . \ btJJ ) l ~ (OFFICIAL PUBLICATION) RESOLUTION NO. 587-118 n~r,OLUT10N (1) APPROVING THl: MINIMUM REQUIRE- MeN"rS, COMPETITIVE ORI- TSRl", OFFCRING PROCE- DURES FOR CISPOSITION OF CERTAIN URBAN FIe!- NEWAL PflOPS'ITY; (2) DE- 1'EI1MINING THAT THE PRO- POSAL SUBMITTED BY HO- f11Z0N DEVELOPMENT GFlOUP, LLG SATISFIES THE Orrl!FlING F1i=QuIRf;Mf::NTS AND DECLARING THE IN- TE:NT OF TI"l!: CITY TO ENTER IN1'O THE DEVELOPMeNT AGREEMENT WJTH HORIZON bEVELOPMENT GROUP, LLC AND CARTEGRAPH SyS- TEMS, INC. IN THE ~NT THAT NO COMPETING PRO- POSA~S ARE SUBMI1TED; AND (3) SOLICITING COM- PETING PROPOSALS. WhcrCa:l. tho City of Oll- buque, low~. did on Apdl 1, HI!)T, ~dopt IIn Urb:J11 Re- 11111'11'.11 Projoct known II~ the t)\lfJllquo Indusb'illl CenW South Economic Dovelollm~m Ditilril:l (Iho "PI.lll") for the Wt.;U1 roncwOlI ar'Q:J dGlaoriQAd lh"mll1; .Ind WI1Arer.I$, $uch Plw1 provides far, omono oU ler Ihing3. the dispoRilinn or jJrOrJurLie3 for priv:\t~ clllVelotllnOlll pllrpOSOIO III II pmnor.t.d tcnoWlllaeUon: .md Whorao~, HorizClIl Develop. ment al'OllP, LLC ("Developor") llncl CortcQmph Sy~toml, Ino. ('Employer') hllVIl "unmilled to the City a speCific llrOpo~(I) for lhe !\C- quisition of cort,lin TJroptlrty hllroinnft~r dc~crilioc.l lor U,e dovelopmllnl of II corpcrale cllrico. IO!lfllhl'lr with me ru- quest 111M Ihi~ [)rOporlY be made lIVailllblil for dlf.,po/;illon .IU rapidly De po~~ible: IVld WherodS, ill ord~r to El$t,~b- li",h rlli!lr.on:lbly compfllitive lJiddlno procodunl.l for din po- Siliol1 01 tl10 property in nccn(- (jl'lllCe wllh tho statutory rc- qlj1rC11101l1~ of Chapter ~03, 9orl.~ (,I lown 1 !lflZ, !,Micu- larly S~ctl(lI) 403,0, ulld to assur3 that the City e)(tcl\l.l~ II rull ond f:lir opportunity to 1111 dl.'wlopen inll'lrMted in sub- milling II propor.nl, a $lm"n(lry 01 :il.lbmission requirQn1..nt~ llI1d mirll,,)urn requirements lInd coml'letillve criteria lor 1~10 rJrol'orty offarin\) h,,~ been (.Hcp,rrcd E1nd is lllt~r)'l/i1d her"I" M Exhibit "A" and by tills r~II'>rcllce 13 mud, 13 p3rt hClrer,'. which $';(S out tho mirlll1tum raquirl'lll1(":n!') ea~b prop'\Sul must ialisfy in orallr 10 qU.111fy lor C(lt1sideration witll re~I'JOCt to mo cornpeUtivo C(iT$ril;\, tl1", InrOrrrlution and rlocIJl11.mlS which mus\ be ~1J~Jll1illod, alld the schedule TELEGRAPH HERALD fe,r $ubmisoion !lnd comp!!ti- tive bid .orr procedurll; and WherllO$. $l\ld Developer and Employ~r hllvo Iondered a Development Agreement with the Oity, al~,(;h0d hercto Ell! exhibit "B". whloh proposes tM dellll!opmllllt of II cnrpo- Me omco on Ihi. propllrty: ~nd Wherllos, Lo both rQOogni7.e rho firm proposal for dillllosi- liOll of Lho properiy Illre~dy recolved by lhe City, lIll de- scribed IIbove. III1d to give f\IIl and fllir opportunity to otlu,r (./,)vclopcrl lnterl$ted in sl,b- rnlllin~ a proposal for devel- o/JfTlunt of the property, tills C(luncil should by this Resolu- tion: 1) Sst the Folr Mmket Vlllu. of the pl\rCAlllS d(:termincd by an independent ~r\pr.lisor for U3e$ In accordllnca with Ille UrlJun Ronewill Pllln; 2) Approllo tho Guidelille, for Dovolop<:r~ lor tho DUbll'lUe IndllOtriw Center So[~th Eco- nomic DovEllopmenl Di!ltrlct U,bun Rr.:ncwlIl Plan Aru for slll>'l1inion 01 propos~l, for Ihe pllrctmso ;and developrnflnt of ~le proporly and the mini- mum requlmrncnls and com- p!!titivtl oriterl<:Il\Ltuchcd hereto a$ E;xhibit "N': 3) Approve:l~ to form the ClIvelopfJlr's nnd Erllployer' e proposed Dtlvelopmllnt A(lreement 3tr;,chod hereto all Exhibit "S'" 4) Set II 'dlIte for receipt of comp~tin9 propo&..~I$ ond the opininG thereof; e~l.lblish a procedure n1r e<:Ich proponent to bettllr its proposalMd lot II culoff time for such rnodincll- tion; "IncJ provl<Je for roview ef luch proposllls wiU, leoom- mondations to this Counoil in accordance Witll established ptoeoduro:s; 5) Ceclare ihlat the proposal submitted by Developer :\nd EI~II)loyer uti.fies the re- ql.lire/llullta of lI1e offering. and Ihat in Iho ovant no cnher '1llnlil1etJ proposal is timely submjtt"d dlnlllle Cily intond:s 10 1I0cepl sqch prOPO$ul nnd enler into the Development Agreement ancl direct Plli.Jlicu- lien of nolice of s~ld intent: 6) Approve and di~cl publico. Liofl of 01 notice to adviee any woulcl be cornpulilcrs of Ihe OPPO"Unity to compete ror purchn.e of 1I1e property for development on Ih13 lllrm~ Md condition:; ~ut oul above; 7) oA,:I,\(<) Ulut In lhe eVlnt anolher (]II.,hfiod proponl is Umely eubmitted and LIe. c~r>tl;d. !\nothor and Mure notic~ will be publi~hcd on the inlent of the City to cn\ar Into 1111 rlsullinO contraeL. as required by L'iwj Md Whl'lro:\~. this Council bo- FAX NO. 3195885782 lieves it i~ in lhe best interest of the CI~Y and the Plan to act :IS expcdiUously ag p02ejb1e to ollltr Uds properly for MVl'!I- OPll1r'llt (l$ set forth herein. NOW, THEIie:rORE. BE IT RESOLVED av THi: CITY COUNCIL OF THE CITY of! DUOUaUE, IOWA: Section 1. That Ihe followlll(l dl'!$Cribcd properly shall be offored for development In accor~uncl with Ihe terms :lJld condition; contained in this Ae:;olulicn. to wit Lota 10 lIlld '1 of Block 2 of Oubuquo Teol1nology I'iltk, in lhe City of Dubull'le. Dubuque County, 101'111. Section 2. That the CllrrltIll F"lr M"rket Vulue of Lot 11, Block 2 of Olll1uque Tcchnol- ogy Park r.hcll be $76.230 per buildable acre. Tho Fnir Mar- kot Value of Lot 10, BI()ck 2 of Oubuquc Taohnology P(Uk, HIe option purccl. shall be deter- mined by appraisal at or aboul ttl~ limo of CIORina on lh~lt puree!. 5ilCUon 3. That it i~ Mr<)by delcrminlld that in order to q~I(\lIly for conslde",tion lor selection \;uch Dcveloper mljst $\Ibmlt :l proposal I'IIhiC',h meel$ the~e minimum r~- qLJirfll'r1ll1'lt': a) Conmlns (In t1grCElment to acquire Lot 11. Block 2 at not less tMn tllo flair MurltGt Value and lII'1 olltloll 01' Lot 10. Biock 2 botll for U$e in tlceordanCll with the Plan: b) Is for Ihe dc.;vcloprnent of the propetty for un by an lIetu~1 expanding or nlll'll busj. neS$ In conronntlnCO w~h tile PI~n llnd Is not for spaeuls~ve developmont; 0) Includes c OonstnJc~on sehedule In wh ich the con- struotioll of nl'tJrOl<imlltely 30,000 Iquare fef.![ of building rpllee on Lot 11, Block 2 is ~ubst;an~.lIy cnlTlrlCllO on or beroro thirteen n'n(\lh$ from II c1o~intl dato; d) Set~ out or IIrovlde~ 111roll!)h olher means aCOAPt- able 10 ~le City lho proposed developer'(I eXI'Cr;u!lec in working wllh o~,er tlcvclop- ment projecl(l and wilh con- slrucUon; ancj 0) SO~5 out or provides through oHler matins IIcceptable to tM Oity Ihe experience of Ihl principals .~Ild key stuff who arc direcLly ellg~o"'d In per- fOnTIunco of contraol obli!lQ' tlon$ln ciltrying out projects of $1I'I\llar so(dc lInd character. Seclion 4. ,o/l.,t it is hQreby determined thllt eaoll propos:J! Which satlsfjas U,e lTIinimllln rlquirt,ment.; o. dolermined by Ths City, shull be reviewed on the ba$ls 01 the strength of "ueh NOpos,,1 ,1~ judged by the follllWil1g competitive crlLcria: t1) Quality of the llropo~,ll 1) The ovorllll cOIl of the proj- ect; Md 2) Tile types of rn.,\teri,lb Ehown fot COrl~lruolion of the stnJcture. b) Arohilectur~1 dl~slon of tho proposed davQIQIII'I\E:m 1) Compllllblllly of tl16 de~ign wilh .urrollnrtin!J slructure., vistas. VQhicul(\r (lClilllUes iII1d future develorment of Ddja- cGlnt properly; 2) The funCllon.,1 du:;ign of 1he site, Etl'\lotllfe und all public spaces: and 3) Tho aesth"tic quullly of the dllvclopmQnt. cj Economie feasibilitY of ~l(; pr\lpO$cd development 1) The c:conomle retum to thl! COmmllf'llty PIQllidod by the propo~ed c1ov~lopmont in- cluding, but nOlllrnllcd 10, tho propGlrty IInd sales I(ll( gener- !:lIed. the number of join pro- vidcd ancl the encourugement or similllJ' ~ncl rel:\ted devel- opment in 11111 UtbCln tellOwDI district; and 2) The ability of the pro~pec- tlv~ dl~valoper 10 fif'lllnce Clrld complele 111" projecl as pro. po~od. ~ectkln S. Th~t the IIrOI'lOSOd Dl\Vvluprnl.'I1t Asrelillnl'!nt by lInli :unclng ths CIty, O~Yel. (lp"r ttnd Employer, tle al1d is hereby apptoved l1S to fOIl'l\ for the pl.lrpO~e3 hereiMII~r stilted. Section 15. That for ~le pur. rJOSO of denninbl the olfelino of the properly for develorment, said Dcvr.:lopm!!nt Aareemellt SllOIl bo deom.d to be iIIuslm. tive ollho lerms accent.:lblllIO the Cily wilh relSpect to; II) Put(;Ii~:;o priCll; b) OonveYMcc or properly IInd option; e) Re<lulred mirumum 1m. prov,lI11llnttl: d) TIminG of Improv~~tICnts: c) City pQr1iOip~tIOI1; f) Covcn.mts; nl EvenL5 of Delnull und Remcu;()s: and h) Gent:ml lcrms Ind prov!- siona: proviuod, however, that each cOml1etillQ proposal and contraot r.hl.lll be purrni\tod to: a) Cevise Md rellorl its; own dc.ign for deveh1prm>nl /;0 IC'll(1 ~:; lhe minimum requlre,- m.'1t~ set Ollt in Exhibit "A" ura mlit; b) D~vise and rel'lort its own rnclhod and sources of Ii. nUlloing. so lot'll] liS such prol>Otml ill sufficient to al)$llrc: finanoing of the projcct In s limoly manner; anll c) Mow taking posr.esr.lon 01 tll. tlrOperLy lc be deJayecl lor up to six (5) month. after the execution 01 tho oon lracto N,) oUler substantive clAvin- p, 01/02 ~ '6 g..S60/ S~(oJ\ DEe-15-98 TUE 01:19 PM .. : tion'!l will bo pemlillod. SQotion 7, Thllt Ihe proposad OeVolClpll1enl Agroament submitted by UlO Developer ofl<1 Ernf\lilyor Gn~IIiGls the reQllirement$ of Lho offering and. in ~le evtlllllhilt no other qWllified pl'opo~",I~ ilrll timo!y submitted, lImt the City enter illlo silid Agrel'fl"l1Eon t is hereby ,,,,cupled and Ilpproved. S'Jclion 8, Thl't it is huruby determinod Ih:1t the Developer f'OS~u:;:oca tho quolificollioi'ls, fil'Klnck,1 ru:;ourcos aM leO'l1 nblli I)' nccossmy to nCQulre o'lnd cluvulop tho property In the mmln<.'I' proposed by this onol'log In lIccordancG with tho Plun. Scclion 9, Thnt it is heroby dutorminod IMl ~lA diopo:;!- lioll price for the property orru,,::d 10 tho Devllloper ~h,,11 b~ In the omounl er the Forr Mnrkilt V"klo as Qstablishlld by Thir. COllflCil for US9S in occord"ncG willi tho Plnn. Suction 10, Tho'll Ihu CiLy Clerk 8hall recoiv", nnd reluln for public lIxalllinC\U(l11 lho mtnchud Developm'lnl AOrol'"\Onl tlubn,itled by Hlo Devdupor and Employer ~nl1, in the: eVllnl no other ql./.,htied propoG:lls :!TO limely !luhrnit- Ir.d, sl RIll tu$ubmit Ihe ~.:'m" to 1111s Council lor fiM/ llpnrov,ll and cxcc~,llon upon axpir~ltion of U ,I) no lice hereinr.fter prQ- sC'"!iho.ld. $AI:lI'1I111. That the action (If this Council bu considllfGd to bo and (l<"msl)l;ruby constltule noHoll to all CQoccmed of th. inlention of tl,is Council. in the "vunl thnt fl(I olhl!l( qualified propos..ls ~I'll limcly submit- luy. 10 .:lcoept the propo:;al d' Iho D~vllloper ~nd Employ<.'I' 10 acqlllro ilnd dElv~lop dIe prop. orly Md to _nt.r Into the Du- vdoprncnl Agreement by :md ('hlOng thm C,ly, Developer Elnd Employor, 6c",li~'n 12. Th:!t Ihe orficll.ll 1101ieo of Ihi:; of~rln~ m"J 01 ~IU Inlont of thll Oiry, In Ihe OVllllt nu olher qualified pro- pO~:llf. ,lrll timely Gllbmilte<1, to onler Inlo $Illd Oevelopment AgroGlment, &1'1.:\11 bu a true cOpy of Ih i~ Rcsolu~on. but without Ih('l (lUfJCIl11l0nl, r.- (erred to herein. $')Clion 13. Th3t Ihl) Cily Olurk )'; authorized ~nd cli- rAQ1n,1 10 Secure immedil)t(l publiC3f1on of ~ilid olfieial rlo~c;o in Ihil I!llMmnh HIl(alel. ., I \I:w:;papor having ::l general clrelllr,tion in \he com~niIY, by publicl\lion 01 Iho text of lhie R08Dlutien wiU IOU I lit- 1,lchments on ('I' Duforo the 1 flll1 dtly 01 DDcelllber. I ggo. Sr,r,I;Oll 14. Thai wrilhm proposale for 11'11 sillu and dtlVeloprnont of Tha !,roperLy will IJ'J rlJCuived by Ihe City TELEGRAPH HERALD FAX NO. 3195885782 p, 02/02 CI,;rk t\l or bGfore 10:00 <l.I"I1., which meeting ~'efO :;holl be a J:!n~jmy 11.1, 1999. in Ih. Office bid' oil, each PrQrO$<l1 aguinlt of the Cily Clerk. located on the olher. ~ri:'ltiln starling with the firsl floor ilt City H(lll, \ho seconcl p""'po,)al roceived Dubuque, Iowa 52001. Each unlllluch time lIS e:lch prope- propoc:l1 will ba opened at ~\e nunt for the slIIe of UIO prop- hOllr of 10:00 a.m. in Oiry H(lll. orty;hall dRcllne to h!'1provolls Pubuqllu, IOWa on January 18, bid in response to U Ie 11IsI bid 1999. S."d proponl$ will thAn of UIO other bidder 01' biddol'll, be pl't"nted Ie tho Cily The pl;riod of time to be .11- Council lit 7:00 p.m., JiUluary lowltd for such bid-off sh'lll not 18. t999, llt a meeting to be be 'n exec.s of three con. hald in the Auditorium of the Il!CU~V& hOur:l on ssid dllte. Cumegie SteuT Public Librury, The rulllt 01 sueh bid-off $~~II DubuqulI, low~. be DS infnl11lally yelermlnsd by Section Hi. Thai such oflur- the Council 01 or beror. luoh Ing Shall b. in $UbstlV\liw bid-off period lInd Ih<lll be cOn(OrmiUlce with 1118 provl- absolut.. sion3 of SeoliOl1 403.e. Y.9.\.'l..9. S.C1ion 20. "h~1 in th9 Qvent eUowa, I'Qqulrin!) "rOO$Onable anomer qUCllillod propo~BI Is compe~liv. blddil\g proDe- timely submiltud and accepted duru" II are hereby pre- by tl,e CII)'. ;nolher IInd fur- Icriblld which melhod is thef nollce shull bQ publi~h"'d ~." .... huroby deterrninotl to be tho of the intel\t of the Cily of , ~Irpropri..te m9thod for I'llt.Ikil1Q Dubuque, Iowa, to onler Inlo " i' the Property availllble for U1C riaullino COnlr:lcL, as. ollvolopmont. ruquirod by law. PI ., Section 13. iIl;t the required F'''S~od. BpprOVA(1 llnd . ''10 {' Iv L I doeurnRnte for Iho submission edoptcd thi3 15th dllY Dr Dc- /i.'.'.' . 7/-K,.'L/i-... of a propo,~:,1 sh:lll be in sub- cRmber, 1908. '7 1/2/ 'v ( . rye L, 7 shmtial oonformity wilh the ~-- , '1 rl ;; !.[ [. V provision. of Ihis Rusolution. AtMst: Mar)' A. Davi~, City ji I veP Section 17. ThClt thu Cily Clflrk Clerk fs her.by nominutud Bnd Publi3hed officlCllly appointed as Ihe (loent of tho in the Tele~)rilph Herald nf,lW$- Cily of Dubuq~It'l. tOlvil to paper thb 1131h day of 0.011111- rllcuive proposals for \llll ~ille b9r, 1996. of Ihtl property at the dutc and, according to the procedure hereinabove ~I,.ciliod for rllOculpt of lUoh proposals and to f:'l'oCIIlld al such limo 10 fOrr'n(dly neknowledge receipt of e.:\ch of ~uch propo~li~ by nOTino U,,~ rocoipl of lI8ITle In the Mlmlles or the Council; that Ihe City MlII1ag.r is hBlllny olllhori~od lII1d di- reclo'ld to make preliminary anaryei~ of e.,ch such propol\o~1 rer compli3nce wiLh Iho mini- mum rsqtliremcnls ~'SllIbhlhed by thi.9 Council herein.bov.. For BISch Pf~)PO!;a/ which sali.fies these tOquiremenb. Ih _ Council sh;!lll ju dgQ th9 strength of the prOpo:lal by the competltiv9 criteria ostab- 1i:;ll0d hereinl\bove. Th. Council ~hiln tI1en make the finrd oVOllualion and Sell!JClion of th~ proposals. Secllon 1 B. Thilt following r4loelpt of competing prOpOs- als, the D~v/jloper shall h(lv$ until 10:00 :I.rn. on January 25, 111!l9, 10 amend Its lJrOpo5a1 in rl>liponse ancl to deliver !;.lTT1i to 11101 City Clork. S(.C1lon 19. That if, and 0111y if. competill!l proposals sre ror;civlJd and detftlrrlined by lh~ COUncil to rn..t the lIi1ni- mum rC()llitum,,"ls of this R.~olllll(lh. ilnd the Develotler amend. its propo~al in r9- Sponea thereTo, ~uch Council sh.,n forll1wilt1 scl,edLJIe II meeting wilhln Stlvun (7) days arLcr JOlnLJ~ry 25, 1 'Jill!. at ~ .,!) {{ tf?7i:V/; d/ / 1111Tfa'\ IrY'iLh, \.- \ 1:\ J \ t.{>tL~J /' /t/( ( / - ~\j'J 1,. v~ ..... . i' .1 '''. . f, / I ,'[; l/ " 1 Lt.~ t& Ivjv- '-, (OFFICIAL PUBLICATION) RESOLUTION NO. 587-98 RESOLUTION (1) APPROVING THE MINIMUM REQUIREMENTS, COMPETITIVE CRITERIA, OFFERING PROCEDURES FOR DISPOSITION OF CERTAIN URBAN RENEWAL PROPERTY; (2) DETERMINING THAT THE PROPOSAL SUBMITTED BY HORIZON DEVELOPMENT GROUP, LLC SATISFIES THE OFFERING REQUIREMENTS AND DECLARING THE INTENT OF THE CITY TO ENTER INTO THE DEVELOPMENT AGREEMENT WITH HORIZON DEVELOPMENT GROUP, LLC AND CARTEGRAPH SYSTEMS, INC. IN THE EVENT THAT NO COMPETING PROPOSALS ARE SUBMITTED; AND (3) SOLICITING COMPETING PROPOSALS. Whereas, the City of Dubuque, Iowa, did on April 7, 1997, adopt an Urban Renewal Project known as the Dubuque Industrial Center South Economic Development District (the "Plan") for the urban renewal area described therein; and Whereas, such Plan provides for, among other things, the disposition of properties for private development purposes as a proposed renewal action; and Whereas, Horizon Development Group, LLC ("Developer") and Carte Graph Systems, Inc. ("Employer") have submitted to the City a specific proposal for the acquisition of certain property hereinafter described for the development of a corporate office, together with the request that this property be made available for disposition as rapidly as possible; and Whereas, in order to establish reasonably competitive bidding procedures for disposition of the property in accordance with the statutory requirements of Chapter 403, Code of Iowa. 1997. particularly Section 403,8, and to assure that the City extends a full and fair opportunity to all developers interested in submitting a proposal, a summary of submission requirements and minimum requirements and competitive criteria for the property offering has been prepared and is attached hereto as Exhibit "A" and by this reference is made a part hereof, which sets out the minimum requirements each proposal must satisfy in order to qualify for consideration with respect to the competitive criteria, the information and documents which must be submitted, and the schedule for submission and competitive bid-off procedures; and Whereas, said Developer and Employer have tendered a Development Agreement with the City, attached hereto as Exhibit "B", which proposes the development of a corporate office on this property; and Whereas, to both recognize the firm proposal for disposition of the property already received by the City, as described above, and to give full and fair opportunity to other developers interested in submitting a proposal for development of the property, this Council should by this Resolution: 1) Set the Fair Market Value of the parcel as determined by an independent appraiser for uses in accordance with the Urban Renewal Plan; 2) Approve the Guidelines for Developers for the Dubuque Industrial Center South Economic Development District Urban Renewal Plan Area for submission of proposals for the purchase and development of the property and the minimum requirements and competitive criteria attached hereto as Exhibit "A"; 3) Approve as to form the Developer's and Employer's proposed Development Agreement attached hereto as Exhibit "B"; 4) Set a date for receipt of competing proposals and the opening thereof; establish a '. procedure for each proponent to better its proposal and set a cutoff time for such modification; and provide for review of such proposals with recommendations to this Council in accordance with established procedures; 5) Declare that the proposal submitted by Developer and Employer satisfies the requirements of the offering, and that in the event no other qualified proposal is timely submitted that the City intends to accept such proposal and enter into the Development Agreement and direct publication of notice of said intent; 6) Approve and direct publication of a notice to advise any would be competitors of the opportunity to compete for purchase of the property for development on the terms and conditions set out above; 7) Declare that in the event another qualified proposal is timely submitted and accepted, another and future notice will be published on the intent of the City to enter into the resulting contract, as required by law; and Whereas, this Council believes it is in the best interest of the City and the Plan to act as expeditiously as possible to offer this property for development as set forth herein. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA: Section 1. That the following described property shall be offered for development in accordance with the terms and conditions contained in this Resolution, to wit: Lots 10 and 11 of Block 2 of Dubuque Technology Park, in the City of Dubuque, Dubuque County, Iowa. Section 2. That the current Fair Market Value of Lot 11, Block 2 of Dubuque Technology Park shall be $76,230 per buildable acre. The Fair Market Value of Lot 10, Block 2 of Dubuque Technology Park, the option parcel, shall be determined by appraisal at or about the time of closing on that parcel. Section 3. That it is hereby determined that in order to qualify for consideration for selection each Developer must submit a proposal which meets these minimum requirements: a) Contains an agreement to acquire Lot 11, Block 2 at not less than the Fair Market Value and an option on Lot 10, Block 2 both for use in accordance with the Plan; b) Is for the development of the property for use by an actual expanding or new business in conformance with the Plan and is not for speculative development; c) Includes a construction schedule in which the construction of approximately 30,000 square feet of building space on Lot 11, Block 2 is substantially complete on or before thirteen months from a closing date; d) Sets out or provides through other means acceptable to the City the proposed developer's experience in working with other development projects and with construction; and e) Sets out or provides through other means acceptable to the City the experience of the principals and key staff who are directly engaged in performance of contract obligations in carrying out projects of similar scale and character. Section 4. That it is hereby determined that each proposal which satisfies the minimum requirements as determined by the City, shall be reviewed on the basis of the strength of such proposal as judged by the following competitive criteria: a) Quality of the proposal 1) The overall cost of the project; and " 2) The types of materials shown for construction of the structure. b) Architectural design of the proposed development 1) Compatibility of the design with surrounding structures, vistas, vehicular activities and future development of adjacent property; 2) The functional design of the site, structure and all public spaces; and 3) The aesthetic quality of the development. c) Economic feasibility of the proposed development 1) The economic return to the community provided by the proposed development including, but not limited to, the property and sales tax generated, the number of jobs provided and the encouragement of similar and related development in the urban renewal district; and 2) The ability of the prospective developer to finance and complete the project as proposed. Section 5. That the proposed Development Agreement by and among the City, Developer and Employer, be and is hereby approved as to form for the purposes hereinafter stated. Section 6. That for the purpose of defining the offering of the property for development, said Development Agreement shall be deemed to be illustrative of the terms acceptable to the City with respect to: a) Purchase price; b) Conveyance of property and option; c) Required minimum improvements; d) Timing of improvements; e) City participation; f) Covenants; g) Events of Default and Remedies; and h) General terms and provisions; provided, however, that each competing proposal and contract shall be permitted to: a) Devise and report its own design for development so long as the minimum requirements set out in Exhibit "A" are met; b) Devise and report its own method and sources of financing, so long as such proposal is sufficient to assure financing of the project in a timely manner; and c) Allow taking possession of the property to be delayed for up to six (6) months after the execution of the contract. No other substantive deviations will be permitted. Section 7. That the proposed Development Agreement submitted by the Developer and Employer satisfies the requirements of the offering and, in the event that no other qualified proposals are timely submitted, that the City enter into said Agreement is hereby accepted and approved. Section 8. That it is hereby determined that the Developer possesses the qualifications, financial resources and legal ability necessary to acquire and develop the property in the manner proposed by this offering in accordance with the Plan. Section 9. That it is hereby determined that the disposition price for the property offered to the Developer shall be in the amount of the Pair Market Value as established by this Council for uses in accordance with the Plan. Section 10. That the City Clerk shall receive and retain for public examination the attached Development Agreement submitted by the Developer and Employer and, in the '. event no other qualified proposals are timely submitted, shall resubmit the same to this Council for final approval and execution upon expiration of the notice hereinafter prescribed. Section 11. That the action of this Council be considered to be and does hereby constitute notice to all concerned of the intention of this Council, in the event that no other qualified proposals are timely submitted, to accept the proposal of the Developer and Employer to acquire and develop the property and to enter into the Development Agreement by and among the City, Developer and Employer. Section 12. That the official notice of this offering and of the intent of the City, in the event no other qualified proposals are timely submitted, to enter into said Development Agreement, shall be a true copy of this Resolution, but without the attachments referred to herein. Section 13. That the City Clerk is authorized and directed to secure immediate publication of said official notice in the Tele~raph Herald. a newspaper having a general circulation in the community, by publication of the text of this Resolution without attachments on or before the 18th day of December, 1998. Section 14. That written proposals for the sale and development of the property will be received by the City Clerk at or before 10:00 a.m., January 18, 1999, in the Office of the City Clerk, located on the first floor at City Hall, Dubuque, Iowa 52001. Each proposal will be opened at the hour of 10:00 a.m. in City Hall, Dubuque, Iowa on January 18, 1999. Said proposals will then be presented to the City Council at 7:00 p.m., January 18, 1999, at a meeting to be held in the Auditorium of the Carnegie Stout Public Library, Dubuque, Iowa. Section 15. That such offering shall be in substantial conformance with the provisions of Section 403.8, Code of Iowa. requiring "reasonable competitive bidding procedures" as are hereby prescribed which method is hereby determined to be the appropriate method for making the Property available for development. Section 16. That the required documents for the submission of a proposal shall be in substantial conformity with the provisions of this Resolution. Section 17. That the City Clerk is hereby nominated and appointed as the agent of the City of Dubuque, Iowa to receive proposals for the sale of the property at the date and according to the procedure hereinabove specified for receipt of such proposals and to proceed at such time to formally acknowledge receipt of each of such proposals by noting the receipt of same in the Minutes of the Council; that the City Manager is hereby authorized and directed to make preliminary analysis of each such proposal for compliance with the minimum requirements established by this Council hereinabove. For each proposal which satisfies these requirements, the Council shall judge the strength of the proposal by the competitive criteria established hereinabove. The Council shall then make the final evaluation and selection of the proposals. Section 18. That following receipt of competing proposals, the Developer shall have until 10:00 a.m. on January 25, 1999, to amend its proposal in response and to deliver same to the City Clerk. Section 19. That if, and only if, competing proposals are received and determined by the Council to meet the minimum requirements of this Resolution, and the Developer amends its proposal in response thereto, such Council shall forthwith schedule a meeting within seven (7) days after January 25, 1999, at which meeting there shall be a bid-off, ., , each proposal against the other, seriatim starting with the second proposal received until such time as each proponent for the sale of the property shall decline to improve its bid in response to the last bid of the other bidder or bidders. The period of time to be allowed for such bid-off shall not be in excess of three consecutive hours on said date. The rules of such bid-off shall be as informally determined by the Council at or before such bid-off period and shall be absolute. Section 20. That in the event another qualified proposal is timely submitted and accepted by the City, another and further notice shall be published of the intent of the City of Dubuque, Iowa, to enter into the resulting contract, as required by law. Passed, approved and adopted this 15th day of Decemb , -------~_____ Terrance M. Duggan, Mayor . _./ Attest: Mary A. Davis, City Clerk ----- -_____H__________ Published officially in the Telegraph Herald newspaper this .18th day of December, 1998. Mary A. Davis CMC, City Clerk It 12/18 , . , ,.,;." . .. CITY OF DUBUQUE, IOWA MEMORANDUM December 11, 1998 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Disposition of Dubuque Technology Park Site Horizon Development Group, LLC for CarteGraph Systems, Inc. Community and Economic Development Director Jim Burke is recommending initiation of the process to dispose of a lot in the Dubuque Technology Park to Horizon Development for the CarteGraph project, with a public hearing on January 18, 1999. I concur with the recommendation and respectfully request Mayor and City Council approval. ddl/d~4~ /' Mi ael C. Van Milligen MCVM/j Attachment cc: Barry Lindahl, Corporation Counsel Tim Moerman, Assistant City Manager Jim Burke, Community and Economic Development Director CITY OF DUBUQUE, IOWA MEMORANDUM December 11, 1998 TO: FROM: SUBJECT: DIsposition of Dubuque Technology Park Site Horizon Development Group, LLC for CarteGraph Systems, Inc. INTRODUCTION This memorandum presents for City Council consideration a Resolution initiating disposition of two lots in the Dubuque Technology Park to Horizon Development Group. Horizon has been selected by CarteGraph Systems, Inc. to be the developer and owner of this property. The Resolution establishes the minimum development requirements of the site, accepts the development proposal submitted by Horizon, and solicits competitive proposals from other developers. Unless competing proposals are received, the Council will act on this request at its January 18, 1999 meeting. BACKGROUND In the fall of 1996, the City Council authorized the development of an industrial/technology park on property located on US 61/151 at Lake Eleanor Road. The purpose of the development is to provide development-ready sites for new and expanding businesses. Carte Graph Systems, Inc. has outgrown its leased facilities in the Dubuque Corporate Center and has announced plans to locate and expand in the Dubuque Technology Park. They are working with Horizon Development Group to build and lease approximately 30,000 square feet of corporate office space to accommodate the company's planned expansion on Lot 11. An option to purchase Lot 10 is also part of the Development Agreement attached. This proposed five year option will allow for the future expansion by CarteGraph within a defined window. By leasing from Horizon rather than building itself, Carte Graph is able to use its cash flow to finance internal growth and market expansion. As the property requested by Horizon is located in an urban renewal district, the City must follow urban renewal disposition rules. In general, the law requires that the City may sell or lease property to private persons only under reasonably competitive bidding procedures. These include an invitation for competing proposals and a thirty-day public notice of the City's intent to execute any land sale or lease contract. Additionally, the City must dispose of the property at its fair market value for uses in accordance with the urban renewal plan. DISCUSSION Disposition Resolution Accompanying this memorandum is a Resolution which initiates the proceedings required for disposing of property within the Dubuque Industrial Center South Economic Development District (Dubuque Technology Park) to Horizon Development Group. In brief, it: 1) establishes the fair market value for the property; 2) approves guidelines for submission of proposals for the purchase and development of the property; 3) approves the form of development agreement with Horizon; 4) sets a schedule and procedure for receipt and review of competing proposals; 5) declares that the Horizon proposal satisfies the offering requirements and that the City intends to execute the development agreement if no other qualified proposal is submitted; and, 6) directs the publication of notice of the opportunity to compete for the purchase and development of the site. The Resolution sets the disposition price for the property at $218,000 for Lot 11, Block 2 ($76,230 per buildable acre). This is based on recent appraisals of the market value of the lots. The disposition price for the option property, Lot 10, Block 2, will be determined by appraisal at time of closing. Development Agreement/Option to Purchase The Development Agreement incorporated within the Resolution establishes the terms of the sale of the property to Horizon. The key elements of the Agreement include the following: 1) The purchase price of Lot 11 is $76,230 per acre based on buildable acres. With a buildable area of2.86 acres, the purchase price is $218,000. 2) The property will be conveyed by special warranty deed after January 18, 1999. 3) The City will provide an Acquisition Grant of$112,000 for Lot 11 to write down the purchase price to $37,000 per buildable acre. Final purchase price will be $106,000. 4) Horizon must construct a building of not less than 30,000 square feet on Lot 11 for Carte Graph Systems 5) Horizon must begin the project within 6 month of closing and complete it within 7 months of the start of construction. 6) An option for Horizon to purchase Lot 10, Block 2 is a condition of the Development Agreement. The terms of the option require payment of$5,000 by Horizon to secure a five year option, all of which will be credited to the purchase price if the option is exercised. The purchase price of the property will be determined at time of closing. An Acquisition Grant will be provided to write down the purchase price to $37,000 per buildable acre or $123,950. Tax Increment Financing Horizon has also asked to use tax increment financing (TIF) to support the up-front financing of this project. The Agreement indicates the City's intention to provide an economic development grant for such purpose. Based on a minimum assessed value of $1.9 million, approximately $250,000 in tax increment debt could be financed. This loan would be paid back over a ten year period by new property taxes. After the Development Agreement is approved, staff will present the complete TIF documents for City Council review and approval. Additional terms and conditions of the disposition of the site are included within the attached Development Agreement and accompanying exhibits. Although Horizon has executed the Agreement, the City may not sign it at this time. Urban renewal law requires that other qualified parties must be given an opportunity to submit competing proposals. The above described Resolution provides for that procedural requirement with the result that the City may not sign the Agreement before January 18, 1999. RECOMMENDATION I recommend that the City Council initiate the procedures required for the disposition of Lots 10 and 11, Block 2 in the Dubuque Technology Park to Horizon Development Group. This action is consistent with and flows from the Council's purpose for developing the Dubuque Technology Park project and the request of CarteGraph Systems, Inc. for a site to accommodate its present and future growth within the City. ACTION STEP The action step for the City Council is to adopt the attached Resolution. attachments loandoc\\horizon.mem Exhibit "A" GUIDELINES FOR DEVELOPERS FOR THE DUBUQUE INDUSTRIAL CENTER SOUTH ECONOMIC DEVELOPMENT DISTRICT URBAN RENEWAL PLAN AREA Dubuque Technology Park Lots 10 and 11, Block 2 A. General The following information is for the guidance of Developers who are preparing a development proposal. This is not all inclusive, and Developers are responsible for investigation of all matters which they take into consideration in preparing a development proposal. In addition, these Guidelines contain certain items which the Developer is required to submit, and which the City will need to enable it to evaluate each proposal. Development proposals are to be in accordance with all relevant federal, state and local laws and regulations, including, but not limited to, the City of Dubuque zoning ordinance and building codes, and must be in keeping with the surrounding development. Proposals are also to be in accordance with the"Dubuque Industrial Center South Economic Development District" Urban Renewal Plan of the City of Dubuque, Iowa, as adopted by the City Council of Dubuque, Iowa on April 7, 1997, and as amended from time to time. B. Description of the Project 1. Delineation of the Area Lots 10 and 11, Block 2 of Dubuque Technology Park, City of Dubuque, Dubuque County, Iowa. 2. Ownership The City currently owns the Property, and will make the Property available for development as provided herein. 1 3. Proposed Development and Objectives Project proposals shall include a complete development project for the construction of an office building with a minimum of 30,000 square feet of space including off-street parking and site improvements on Lot 11. 4. Proposed Land Use Land Use is intended to be for those uses as listed in the Plan and Planned Industrial District Ordinance. 5. Land Acquisition The Developer's proposal should specifically provide for the Developer's acquisition of the Property. 6. Statement of Developer's Qualifications The Developer must provide adequate evidence, information and data to the City of its financial ability to construct and complete the project proposal, and must provide such further information as required or requested by the City from time to time. The right is reserved for the City to reject any proposal where an investigation of the available evidence or information does not satisfy the City that the Developer is qualified to properly carry out the development. 7. Knowledge of the Disposition Tract and Documents Each Developer should visit the project site and become fully acquainted and informed regarding the existing conditions and the difficulties, if any, and restrictions affecting development of the tract. The Developer should thoroughly examine, and become familiar with all parts of the documents affecting same. The Developer, by execution of the eventual development agreement, shall in no way be relieved of any of its obligations due to failure to receive or to examine any form of legal instrument, or failure to visit the tracts to examine existing conditions. The City will be justified in rejecting any claim based on facts which the Developer should have noted or become aware of. 8. Land Conveyance The City will sell or otherwise transfer Lot 11, Block 2 and provide an option to buy Lot 10, Block 2 to the approved Developer, and will enter 2 into contracts for such purposes, provided the uses, private or public, proposed by the Developer are consistent with the Plan. Such contracts shall be subject to the approval of City and to such covenants, conditions and restrictions including covenants running with the land, as may deemed to be necessary or desirable by the City pursuant to the purposes of the Urban Renewal Law and the Plan. The ultimate purchasers and their successors and assigns shall be obligated to devote such Property only to the uses specified in the Plan. The Property will be conveyed as rapidly as feasible in the public interest, consistent with carrying out the provisions for the Plan. The Developer must submit to the City as part of its proposal a contract or contracts for any such sale or transfer of real property or interest therein deemed essential to the development. Not less than thirty (30) days after the City indicates its intention to accept the proposal of a Developer pursuant to the Urban Renewal Law, the City will execute such contract and deliver deeds or other instruments and take all other steps necessary to effectuate such contract or contracts. 9. Land Price The Property sold or otherwise transferred, by the City pursuant to the proposal of the Developer, will be done so at not less than its Fair Market Value for uses in accordance with the Plan. In determining the Fair Market Value of real property for uses in accordance with the Plan, the City shall take into account and give consideration to the following: The uses provided in the Plan; the restrictions upon, and the covenants, conditions and obligations assumed by the purchaser; and the objectives of the Plan for economic development purposes. The Fair Market Value of Lot 11, Block 2 as established by City Council is $76,230 per developable acre. The Fair Market Value of the option parcel, Lot 10, Block 2, shall be determined by appraisal at or about the time of closing on that parcel. C. Submission Requirements Developers will be required to submit, in form and manner acceptable to the City, the following materials or other evidence of same: 1. Statement containing the Developer's name, address, telephone number, and the name of person(s) authorized to represent the development team. 2. Statement describing the development team's experience, background and accomplishments pertinent to the proposal. 3 3. Brief project description including steps required by the City and Developer to implement the project. 4. Site plan at an approximate scale of 1"=50' showing limits of the Property, approximate building dimensions, parking layout, ingress and egress to the site, loading areas, landscaped areas, and adjoining streets. 5. Architectural drawings adequate to convey the character and design of the project. 6. Firm financial commitment for construction and permanent financing or demonstration of ability to timely finance the project. 7. Schedule of land acquisition and conveyance. D. Reservation The City reserves the right to make recommendations for changes in any proposal submitted and may, in the process of this recommendation, allow the Developer to make such recommended changes in his or her proposals. The City reserves the right to require additional information from the Developer, financial or otherwise, and to hold meetings with any Developer to review the offer and development proposal. E. Selection of Developer A development agreement will be accepted from the Developer submitting an acceptable development proposal as the City deems to be in the public interest, and for the best development of this portion of the Urban Renewal Area. The City will also take into account, among other factors, the quality of proposed development as reflected in the proposal and conformity with the enclosed documents, including these guidelines. The following are among the criteria the City may apply in reviewing any proposals: 1. Site Plan 2. Quality of Architectural Design 3. Building Materials 4. Compatibility with the Total Area to be Developed 5. Use Commitments 6. Legal Ability of the Developer to Implement the Project 7. Caliber and Experience of the Development Team 4 . 8. Method, Source and Level of Financing Commitments. The successful Developer will be notified by the City. F. Assignment of Interest No Developer shall assign or transfer to any other person of corporation, any interest in his or her proposal prior to the award of a contract for private development without the express written authorization of the City. After award of such contract and until the proposed development has been certified by the City to be complete, no interest in the contract may be assigned or transferred without the written consent of the City, and the City reserves the right without qualifications, to require of any proposed assignee the same qualifications and financial responsibility and such other requirements made of the original Developer pursuant to the instructions herein contained. G. Development Plan The contract documents with the Developer will conform with applicable local, state and federal statutes, ordinances and regulations referred to in Paragraph I hereof, and in furtherance of the Urban Renewal Plan as approved and adopted. The City has established that it wishes to encourage development of the property as a technology park and has prepared an Urban Renewal Plan that is compatible with such intent. H. Subsoil Investigations A Phase I Environmental Assessment and test borings of the Property are available upon request. The City makes no guarantees or representations as to the suitability of the subsoil conditions, or concerning the environmental conditions that may be present thereon. I. Development Pursuant to Federal, State and Local Laws These Guidelines for Developers and all dispositions procedures are subject to all provisions of applicable statutes of the United States of America, the Iowa Urban Renewal Statute, Chapter 403 Code of Iowa, and applicable laws, codes and ordinances of the City of Dubuque, Iowa, including but not limited to zoning, building, health and housing. F:\USERS\PAMMG\WPDOCS\LOANDOC\HORIZON\HORIZON.GDL 5 Recelved: 12/11/98 1~:34; d08 2/4 4847 .> Glr\ U~ DUBUQUE; Page 3 FROM :GRIFFIN LRW OFFICE 608 274 4847 1998,12-11 14'19 ~827 P.03/25 ~ CITY OF DUBUQUE, IOWA DEVELOPMENT AGREEMENT AGREEMENT, made on or as of the _ day of December, 1998, by and among the City of Dubuque, Iowa, a municipality ("City"), established pursuant to the Code of Iowa of the State of Iowa and acting under authorization of Chapter 403 of the Code of Iowa, as amended ("Urban Renewal Act"), Horizon Development Group, LLC, a Wisconsin limited liability company with i1s principal place of business in Madison, Wisconsin ("Developer"), and CarteGraph Systems, Inc., an Iowa corporation with its pnnclpal place of business in Dubuque, Iowa ("Employer"). WITN ESSETH : WHEREAS, in furtherance of the objectives oftha Urban Renewal Act, City has undertaken an Urban Renewal project ("Project") to advance the community's ongoing economic development efforts; and WHEREAS, Project is located within the Dubuque Industrial Center/South 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 Renewal Plan approved by City Council of City on the 7th of April, 1997, (attached hereto as ExhIbit A) ("Urban Renewal Plan"); and WHEREAS, a copy of the Urban Renewal Plan, as constituted on the date of this Agreement, has been recorded among the land records in the office of the Recorder of Dubuque County, Iowa; and WHEREAS, Employer has determined that it requires new office space to maintain and expand its operations and employment and has reached an agreement with Developer to provide that space in Project Area; and WHEREAS, Developer has requested that City sell to Developer Lot 11, Block 2 of Dubuque TeChnology Park, in the City of Dubuque, Dubuque County, Iowa, ("Property") so that Developer may develop said Property, located in the Project Area, for.and in accordance with the uses specified in the Urban Renewal Plan and in accordance with this Agreement; and WHEREAS. City believes that the development of Property pursuant to this Agreement, and the fulfillment generally of this Agreement, are in the vital and best interests of City and in accord with the public purposes and provisions of the applicable federal, state and local laws and the requirements under Which the Project has been undertaken and is being assisted. NOW THEREFORE, in consideration of the premises and the mutual obligations of the parties hereto, each of them does hereby covenant and agree with the others as follows: SEC-nON 1. CONVEYANCE OF PROPERTY TO oeVELOPER 1.1 Purchase Price. The purchase plice for the Property ("Purchase Price") shall be the sum of Two Hundred Eighteen Thousand Dollars ($218,OOO,OO), which shall be due and payable on January--, 1999 ("Closing Date.)- v.......C,) ,,_ i -+ ~O"+ / +.> Gl. I 'y Ur' UU!:::)UUUE ~ Page 4 FROM :GRIFFIN LRW OFFICE 508 274 4847 1998,12-11 14:19 #827 P.04/2S . 1.2 Title To Be Delivered. City shall convey title to Property to Developer by Special Warranty Deed ("Deed") in recordable form, substantially in the form attached hereto as Exhibit B, free and dear of all liens and encumbrances, except such easements and restrictiof1S of record as may be approved in writing by Developer and the conditions, covenants and restrictions contained in the Urban Renewai Plan and this Agreement (1) City at its sole cost and expense shall deliver to Developer an abstract of title to Property continued through the date of this Agreement reflecting merchantable title in City in conformity with this Agreement, and applicable State law. The abstract shall become the property of Developer when Purchase Price is paid In full. (2) Developer shall have thirty (30) days after receipt of the abstract of title to render objections to title, including any easements or other encumbrances not satisfactory to Developer, in writing to City. City shall have thirty (30) days from the date it receives such objections to have the same removed or satisfied. If City shall fail to have such objections removed within that time, Developer may, at its sole discretion, either (a) terminate this Agreement without any liability on its part, and any sums previously paid to City by Developer (or paid into escrow for City's benefit) shall be returned to Developer with interest, or (b) take title subject to such objections. City agrees to use its best reasonable efforts to promptly satisfy any such objections. 1.3 Ri9~ts of Inspection. Testin9 and Review. Developer. its counsel, accountants, agents and other representatives, shall have full and continuing access to Property and all parts thereof, upon reasonable notice to City. Developer and its agent and representatives shall also have the right to enter upon Property at any time after the execution and delivery hereof for any purpose whatsoever, including inspecting, surveying, engineering, test boring, performance of environmental tests and such other work as Developer shall consider appropriate, provided that Developer shall hold City harmless and fully indemnify City against any damage, daim, liability or cause of action arising from or caused by the actions of Developer, its agents, or representatives upon Property, and shall have the further right to make such inquiries of governmental agencies and utility companies, etc., and to make such feasibility studies and analyses as it considers appropriate. 1.4 Conditions Precedent to Conveyance of Proper::t;'. City's obligation to convey title and possession of Property to Developer shall be subject to satisfaction of the following 'conditions precedent on Closing Date: (1) Developer shall be in material compliance with all the terms and provisions of this Agreement; (2) Developer and Employer shall have executed a lease agreement pursuant to Section 4.1 of this Agreement; (3) Developer shall have furnished City with evidence, in a form satisfactory to City (such as a letter of . commitment from a bank or other lending institution), that Developer has firm commitments for construction or acquisition financing for Minimum Improvements (a.s defined herein) in an amount sufficient, together with equity commitments, to complete Minimum Improvements in conformance with Construction Plans (as defined herein), or City shall have received such other evidence of Developer's financial ability as in the reasonable judgment of City is required; (4) City, Developer and City Assessor shall have executed an AsseS5ment Agreement (as defined herein) pursuant to Section 4.2 of this Agreement; (5) Developer shall have furnished City an opinion of counsel to Developer in the form attached hereto as Exhibit C; and (6) Employer shall have furr:ished City and opinion of counsel to Employer in the form attached hereto as Exhibit D. Page 2 n i::H,,; t;l' -L. V '='1.....1 ~ I C::::/ t 1,:::;10 '--' .J;:J. FROM :GRIFFIN L~W OFFICE 608 274 4847 1'3'38,12-11 14:20 #827 P.05/25 1.5 ~onditions Precedent to Developer's Obli9ation to Close. Developer's obligation to purchase the Property from City shall be subject to and conditioned upon the satisfaction (or Developer's waiver) of each of the following conditions on or before the Closing Date: (1) City shall be in material compliance with all the terms and provisions ofthis Agreement; (2) Developer and Employer shall have executed a lease agreement pursuant to Section 4.1 of this Agreement, and Developer shall have received evidence of tt1e City's approval thereof; (3) City shall grant to Developer the sole and exclusive option to purchase a certain parcel of real estate which lies adjacent to the Property upon tl1e terms and conditions enumerated in the Grant of option which is attached hereto and labe:ed "Exhibit F"; (4) Developer shall have obtained the commitment for financing, contemplated by Section 1.4 (3), above, and received evidence of the City's approval thereof. (5) City, Developer and City Assessor shall have executed an Assessment Agreement (as defined herein) pursuant to Section 4.2 of this Agreement; (6) If submitted by Developer prior to the Closing, City's approval of the Construction Plans, as required by Section 2.2 hereof; (7) Developers receipt of the Acquisition Grant of $112,000.00, as required by Section 3.1 hereof; (8) Developer's satisfaction with the condition of the Property, induding, without limitation, soils, environmental matters, survey matters, access, and the condition of title in and to the property; and (9) There shall have been no event, occurrence or change in the City's financial condition which materially lessens or impairs the likelihood that (a) the City will issue the Notes described in Section 3.3 (b) SClid Notes can be sold, or (c) the City will provide the Economic Development Grant to Developer, as described in Section 3.2. 1.6 Closing. The closing of the purchase and sale of Property shall take place on Closing Date. possession of Property shall be delivered on the Closing Date. By Closing on the purchase of Property in accordance with this Agreement, Developer accepts Property in its condition at the time of closing and for itself and its successors and assigns, does hereby waive and relirquish any claim it might otherwise have against City by reason of the condition of Property. 1.7 City's Obliaations at Closing. At or prior to Closing Date, City shall: (1) Deliver to Developer fully executed Deed; (2) Deliver to Developer the Abstract of Title to Property; (3) Deliver to Developer all documents and evidence required by or in accordance with clauses (2) through (7) and clause (9) of Section 1.5; and (4) Deliver to Developer such other documents as may be required by this Agreement, all in a form satisfactory to Developer. Page 3 uvu <:::,...... "+0"+/ ~ ~ l.,..;.l J Y Ur UU~UUUE; Page 6 FROM :GRIFFIN L~W OFFICE 61213 274 4847 1998,12-11 14:2121 #827 P.05/25 1.8 Delivery of Purchase Plice' Oblioations At Closing. At c1osi'1g, and subject to the terms, conditions, and provisions hereof and the performance by City of its obligations as set forth herein, Developer shall pay Purchase Price to City pursuant to Section 1.1 hereof. 1.9 Closinc;l Costs. The following costs and expenses shari be paid in connection with the closing: (1) City shall pay: (a) The transfer fee imposed on the conveyance. (b) A pro.rata portion of all taxes as provided in Section 1.9. (c) All special assessments whether levied, pending or assessed. (d) City's attorney's fees. (e) City's broker and/or real estate commissions and fees, if any. (f) The cost of recording the satisfaction of any existing mortgage and any other document necessary to make title marketable. (2) Developer shall pay the following costs in connection with the closing: (a) The documentary fee necessary to record the Deed. (b) A pro-rata portion of all taxes as provided in Section 1.9. (c) Developer's attorneys fees. (d) Developer's broker and/or real estate commissions and fees, ifany. 1.10 Beal Estate Taxes. City shall pay all real estate taxes for all fiscal years which end prior to Closing Date. Real estate taxes for the fiscal year in Which Closing Date occurs shall be prorated between City and Developer to Closing Date on the basis of a 365 day calendar year. Developer shali pay all real estate mes due in subsequent fiscal . years. SECTION 2. DEVELOPMENT ACTIVITIES 2.1 ~equired Minimum Improvements, Developer hereby agrees to construct on Property an offICe building of not less than thirty thousand (30,000) SQuare feet of floor space together with required off-street parking facilities costing (or having an appraised value) of not less than_$1,900,OOO ("Minimum Improvements"). 2.2 Plans for Construction of Minimum Improvements. Plans and speclficstions with respect to the development of Property and the construction of Minimum Improvements thereon shall be in conformity with Urban Renewal Plan. this Agreement, and all applicable State and local laws and regulations. Developer shall submit to City, for approval by City, plans, drawings, specifications, and related documents with respect to the improvements to be constructed by Developer on Property rConstruction Plans"). All work with respect to the Minimum Improvements shall be in conformity with the Construction Plans approved by City. 2.3 TtminliJ of Il'I)Qrovements. Developer hereby agrees that construction of Minimum Improvements on Property shall be commenced within six (6) months after Closing Date, and shall be substantially completed within seven (7) months after the commencement of construction. 2.4 Certificate of Completion. Promptly upon completion of Minimum Improvements in accordance with those provisions of this Agreement relating solely to the obligations of Developer to construct Minimum Improvements (includIng the dates for beginning and completion thereof), City shall fumish Developer with an appropriate instrument, prepared and executed in recordable fonn so certifying ("Certificate of Completion"). Such Certificate Page 4 uuu ~,-+ "'+0......,( -.> C1 TY UF: DUBUQUE; Page 7 FROM 'GRIFFIN L~W OFFICE 508 274 4847 1998.12-11 14'21 #827 P. 07/25 of Completion shall be a conclusive determination of the satisfaction and termination of the agreements and covenants in this Agreement and in the Deed with respect to the obligations of Developer to construct Minimum Improvements. SECTION 3. CITY PARTICIPATION 3.1 ~auisition Grant to Developer. For and in consideration of Developer's obligations to construct Minimum Improvements and to lease them to Employer as provided herein, City agrees to make an Acquisition Grant to Developer on the Closing Date. The Acquisition Grant shall be in the amount of One Hundred Twelve Thousand Dollars ($112,000.00). The parties agree that the Acquisition Grant shall be payable solely and only from the funds representing the Purchase Price paid to City by Developer on the Closing Date and not from any other source. 3.2 Economic Develooment Grant to oevelooer. For and in consideration of Employer's obligations to undertake the empfoyment commitments as provided herein, City agrees (subject to the conditions set forth in this Section) to make an Economic Development Grant to Developer on April 1, 1999, or such other date as the perties shall mutually agree upon in writing. The Economic Development Grant shall be in the total amount not to exceed Two Hundred Fifty Thousand Dollars ($250,000.00) and shall be payable SOlely and only from the proceeds of the sale of urban renewal tax increment revenue bonds or notes by City as described in Section 3.3 hereof, and not from any other source. 3.3 Issuance of Notes. The Developer acknowledges and agrees that City intends to finance all of its costs associated with Project (including the funding of the Economic Development Grant to Developer) through the . issuance of urban renewal tax increment revenue bonds or notes to be issued by City under the provisions of Section 403.9 of the Iowa Code, the Urban Renewal Act and this Section (such obligation being referred to herein as "Notes"). Developer further aCknowledges and agrees that it shall identify for City a purchaser for the Notes. Developer further acknowledges and agrees that the Notes shall be sold on such terms and conditions, bear such interest rates, mature at such times and in such amounts as City, reasonably, shall determine to be acceptable to it and shall be payable from arid secured solely and only by a pledge of the tax increment revenues collected by City in respect of the Property and the Minimum Improvements located thereon for a period not to exceed ten (10) years or as City shall otherwise determine. City shall have no obligation to fund any of its obligations hereunder from any source other than the proceeds of the Notes.. City's obligation to issue the Notes and undertake its obligations hereunder shall be subject in all respects to unavoidable delays, the provisions of this Section, and to the satisfaction of all conditions required {in the judgment of bond counsel for City} by Chapter 403 of the Code of Iowa, as amended, with respect to the issuance of the Notes. 3.4 Limitations on Financial Undertakings of City Notwithstanding any other provisions of this Agreement, City shall hav~ no obligation to Developer under this Agreement to issue the Notes or to fund the Economic Development Grant to Developer if any of the following conditions exist: (1) City is unable to complete the sale of the Notes on such terms and conditions as it shall deem reasonably acceptable to it in accordance with the requirements of Section 3.3 above; or (2) City is entitled (cr, with the passage of time or giving of notice, or both, would be entitled) under Section 6 of this Agreement to exercise any remedies set forth therein as a result of any Event of Default; or (3) There has been, orthere occurs, a materia! change in the financing commitments secured by Developer for construction and operation of Minimum Improvements during the term hereof, which change(s) make it sub$tantially more likely, in the reasonable judgment of City, that Developer will be unable to fulfill its covenants and obligations under this Agreement 3.5 Use of Tax Increments. Developer recognizes that City intends to utilize the tax increment revenues collected in respect of Minimum ImprOl/ements to pay debt service including without limitations the principal and accrued interest on the Notes. After the payment of required debt service, City shall be free to use all tax increment Page 5 LJUClUUWc:., rcl'0~ 0 FROM :GRIFFIN L~W OFFICE 60:3 274 4847 1998,12-11 14:21 #827 P.08/25 revenues collected in respect of Minimum Improvements or other properties within Project Area for any purpose for which the tax increment revenues may lawfully be used pursuant to the provisions of the Urban Renewal Act, and City shall have nO obligation to Developer with r~pect to use thereof. SECTION 4. COVENANTS OF DEVELOPER 4.1 E!ecution of Lease Agreement with Employer. Developer shall agree to, and with Employer shall execute, an agreement in a form reasonably satisfactory to City and Employer for the lease of the Minimum Improvements for a term of not less than ten (10) years. 4.2 Execution of Assessment Agreement. Developer shall agree to, and with City shaH execute, as soon as the plans and specifications for Minimum Improvements are prepared but no later than Closing Date, an Assessment Agreement substantially in the form attached hereto as Exhibit E ("Assessment Agreement") pursuant to the provisions of Section 403.6(19) of the Code of Iowa specifying the Assessor's Minimum Actual Value for Property and Minimum Improvements for calculation of real property taxes. Specifically, Developer shall agree to a minimum actual value for Property and Minimum Improvements which will result in a minimum actual value as of January 1, 2000 of not less than One Million Nine Hundred Thousand Dollars (S1,900,OOO.OO) (such minimum actual value at the time applicable is herein referred to as the "Assessor's Minimum Actual Value"). Nothing in the Assessment Agreement shall limit the discretion of the Assessor to assign an actual value to Property in excess of such Assessor's Minimum Actual Value nor prohibit Developer from seeking through the exercise of legal or administrative remedies a reduction in such ach.ml value for property tax purposes; provided, however, that Developer shall not seek a reduction of such actual value below Assessor's Minimum Actual Value in any year so long as Assessment Agreement shall remain in effect Assessment Agreement shall remain in effect until January 31, 2012 (the "Termination Date"). Assessment Agreement shall be certified by the Assessor for City as provided in Iowa Code Section 403.6(19) and shall be filed for record in the office of the County Recorder of Dubuque County, and such filing shall constitute notice to any subsequent encumbrancer or purchaser of Property (or part thereof), whether voluntary or involuntary, and such Assessment Agreement shall be binding and enforceable in its entirety against any such subsequent purchaser or encumbrancer. 4.3 Real PropertY' Taxes. Developer shall pay, when due. all real property taxes and assessments payable with respect to all and any parts of Property pursuant to the provisions of Assessment Agreement and until Developer's obligations have been assumed by any other person pursuant to the provisions of this Agreement: Developeragrees that prior to the Termination Date: {1} It will not seek administrative review or judicial review af the applicability or constitutionality of any tax statute relating to the taxation of property contained on Property determined by any laX official to be apprlCable to Property, Minimum Improvements or Developer or raise the inapplicabUity or constitutionality of any such tax statute as a defense in any proceedi~gs, including delinquent tax proceedings; and (2) It will not seek any tax deferral or abatement, either presently or prospectively authorized under Iowa Code Chapter 403 or 404, or any other State or federal law, of the taxation of real property contained in Property between the date of execution of this Agreement and the Tenninatian Date. 4-4 lflsurance Reauirements. Developer shall maintain insurance as follows: (1) Developer will provide and maintain or cause to be maintained at all timeS during the process of constructing Minimum Improvements (and, from time to time at the request of City, furnish City with proof of payment of premiums on): (a) Builder's risk insurance, written on the Special PerilS Fonn in an amount equal to one hundred percent (100%) of the replacement value of Minimum Improvements at the date of completion; Page 6 Recelved: 12/11/98 15:37; 608 214 4847 -> CIT~ O~ DUBUQUE; Page 9 FROM :GRIFFIN LRW OFFICE 503 274 4847 1998,12-11 14:22 #827 P.09/25 (b) Commercial general liability insurance (including operations, contingent "ability, operations of subcontractors. completed operations and contractual liability insurance) together with an Owner's Contractor's Policy wil1limits against bodily injury and property damage of not less than $2,000,000 for each occurrence (to accomplish the above-required limits, an umbrella excess liability policy may be used);and (c) Worker's compensation insurance, with statutory coverage. (2) Upon completion of construction of Minimum ImprOllements and prior to the Termination Date, Developer shall maintain, or cause to be maintained, at its cost and expense (and from time to time at the request of City shall furnish proof of the payment of premiums on) insurance as follows: (a) Property insurance against loss and/or damage to Minimum Improvements under an insurance policy written on the Special Perils Form in an amount not less than the full insurable replacement value of Minimum Improvements, but any such policy may have a deductible amount of not more than $50,000. No policy of insurance shall be so written tI1atthe proceeds thereof will produce less than the minimum coverage required by the preceding sentence, by reason of co-insurance provisions or otherwise, without the prior consent thereto in writing by City. The term -replacement value- shall mean the actual replacement cost of Minimum Improvements (excluding foundation and excavation costs and costs of underground flues, pipes, drains and other uninsurable items) and equipment, and shall be determined from time to time at the request of City, but not more frequently than once every three years, and paid for by Developer; (b) Commercial general liability insurance, includ:ng personal injury liability for injuries to persons and/or property, in the minimum amount for each occurren<;e and for each year of $2,000,000; (c) Automobile liability insurance with a minimum limit per occurrence of $1,000,000; and (d) Workers compensation insurance respecting all employees of Developer, provided that Developer may be self-insured with respect to all or any part of its liability for worker's compensation. (3) All insurance required by this Section shall be taken out and maintained in responsible insurance . companies selected by Developer wt1ich are authorized under the laws of the State to assume ttle risks covered thereby. Developer shall deposit annually with City copies of policies evidencing all such insurance, or a certificate or certificates or binders of the respective insurers stating that such insurance is in force and effect Unless otherwise provided in this Section, each pollcy shall contain CI provision that the insurer shall . not cancel or modify it without giving written notice to Developer and City at least thirty (30) days before the cancellation or modification becomes effective. Developer shall furnish City evidence satisfactory to City that the policy has been renewed or replaced by another policy conforming to the provisions of this Section, or that there is no necessity therefor under the terms hereof. In lieu of separate policies, Developer may maintain a single policy, or blanket or umbrella policies, or a combination thereof, which provide the total coverage required herein, in which event Developer shall depOsit with City a certificate or certificates of the respective Insurers as to the amount of coverage in force upon Minimum Improvements, provided, however, the specific limit shall not be impaired. (4) Developer agrees to notify City immediately in the case of damage exceeding $25,000 in amount to, or destruction of, Minimum Improvements or any portion thereof resulting from fire or other casualty. Net proceeds of any such insurance ("Net Proceeds.) shall be paid directly to Developer or to the holder of the First Mortgage on the Property. and Developer shall forthwith repair, reconstruct and restore Minimum Page 7 '''-' , , ,='-' ,_-' _.......W J U00 .-:::./~ "+041 -.> 01.J'i Ur-- OUBUOUE; . Page 10 FROM :GRIFFIN L~W OFFICE 608 274 4847 1998,12-11 14:23 #827 P.10/25 Improvements to substantially the same or an improved condition or value as they existed prior to the event causing such damage and, to the extent necessary to accomplish such re~ir, reconstruction and restoration. Developer shall apply the Net Proceeds of any insurance relating to such damage received by Developer to the payment or reimbursement of the costs thereof. (5) Developer shall complete tt1e repair, reconstruction and restoration of Minimum Improvements, whether or not the Net Proceeds of insurance received by Developer for such purposes are sufficient. 4.5 Preservation of Property. Developer shall maintain, preserve and keep Minimum Improvements in good repair and working order, ordinary wear and tear accepted, and from time to time shall make all necessary repairs, replacements, renewals and additions. 4.6 Non-Discrimination. In carr/ing out the Project. Developer shall not discriminate against any employee or applicant for employment because of race, religion, color, sex, national origin, age or disability. 4.7 Conflict of Interest. Developer agrees that nO member, officer or employee of City, or its designees or agents, nor any consultant or member of the goveming body of City, and nO other public official of City who exercises I?r has exercised any functions or responsibilities with respect to the project during his or her tenure, 01' who is in a position to participate in a decision-making process or gain insider information with regard to the project, shall have any interest. direct or indirect, in any contract or subcontract, or the proceeds thereof, for work to be performed in connection with the project, or in any activity, or benefit therefrom, which is part of this project at any time during or after such person's tenure. 4.8 Transferability. Developer shall be permitted to transfer, conveyor assign its rights and obligations under this Agreement, as well as title in and to the Property and the Minimum Improvements. at any time without the approval or consent of the City; provided, however, that no such transfer, conveyance or assignment shall release or discharge Developer from its obliga:ion hereunder to complete the Minimum Improvements. In the event such a transfer, conveyance or assignment by the Developer, the issuance of t.,e Certificate of Completion by the City shan constitute the automatic release of the Developer from all obligations under this agreement. 4.9 Restrictions on Use. Developer agrees for itself, and its successors and assigns, and every successor in interest to Property Or any part thereof that Developer and such successors and assigns, shall: (1) Devote Property to. and only to and in accordance with, the uses specified in the Urban Renewal Plan; and (2) Not discriminate upon the basis of race, religion, color, sex, national origin, age or disability in the sale, lease, rental, use or occupancy of Property or any improvements erected or to be erected thereon, or any part thereof. 4.10 Belease and Indemnification Covenants. (1) Developer releases City and the governing body members, officers, agents, servants and employees thereof (hereinafter, for purposes 01 this Section 4.10, the "indemnified parties") from, covenants and agrees that the indemnified parties shall not be liable for, and agrees to indemnify, defend and hold harmless the indemnified parties against, &ny loss Dr damage to property or any injury to or death of any person occurring at or about or resulting from any defect in Minimum Improvements. (2) Except for any willful misrepresentation or any willful or wanton misconduct or any unlawful act of the indemnified parties. Developer agrees to protect and defend the indemnified parties, now or forever, and further agrees to hold the indemnified parties harmless, from any claim, demand, suit, action or other Page 8 r\t;:'t...:~..J..V~U~ I'::::; 1 t l'::1U I:.J.JO, UUO LI'+ ......0...' -.... v.L" ur UWOUUUc:., '-=l'8<;:::'" FROM 'GRIFFIN L~W OFFICE 608 274 4847 1998,12-11 14'23 #827 P.11/25 proceedings whatsoever by any person or entity whatsoever arising or purportedly arising from (i) any violation by Developer of any provision or condition of this Agreement (except with respect to any suit, action, demand or other proceeding brought by Developer against City to enforce its rights under this Agreement), or (ii) construction, installation, ownership, and operation of Minimum Improvements, or ~iO the condition of Property and any hazardous substance or environmental contamination located in or on Property the existence of which did not predate the conveyance of title by the City to the Developer or its assignee. (3) The indemnified parties shall not be liable for any damage or injury to the persons or property of Developer or its officers, agents, servants or employees or any other person who may be about Minimum Improvements due to any act of negligence of any person, other than any act of negligence on the part of any such indemnified party or its officers, agents, servants or employees. (4) All covenants, stipulations, promises, agreements and obligations of City contained herein shall be deemed to be the covenants, stipulations, promises, agreements and obligations of City, and not of any governing body member, officer, agent, servant or employee of City in the individual capacity thereof. (5) The provisions of this Section 4.10 shall survive the termination of this Agreement. 4.11 Comoliance with Laws. Developer will comply with all laws, rules and regulations relating to its businesses, other than laws, rules and regulations the failure to comply with which or the sanctions and penalties resulting therefrom, would not have a material adverse effect on the business, property, operations, financial or otherwise, of the Developer. SECTION 5. COVENANTS OF EMPLOYER. 5.1 Job Creation. Employer shall employ two hundred (200) permanent full-time (2080 hours per year) (FTE) positions in Dubuque, Iowa, by January 1, 2002 and shall maintain that number of positions through December 31, 2005. Employer agrees to refund to City a portion of the acquisition grant made to Developer equal to one thousand three hundred dollars ($1,300.00) for each permanent full-time equivalent position not employed as required by this Agreement The refund shall be paid to City within sixty (60) days of written demand by City. 5.2 Annual Certificatiofl. To assist City in monitoring the performance of Employer hereunder, a duly authorized officer of Employer shall annually certify to City (a) the number of Full Time Employment Units employed at Prop~rty as of the anniversary of the Commencement Date {date of Certificate of Completion) and as of the first day of each ofthe preceding eleven (1 1) months, and (b) to t'le effect that such officer has re-examined the terms and provisions of this Agreement and that at the date of such certificate, and during the preceding twelve (12) months, Employer is no~ or was not, in default in the fulfillment of any of the terms and conditions of this Agreement and that nO Event of Default (or event which, with the lapse of time or the giving of notice, or both, would become an Event of Default) is occurring or has occurred as of the date of such certificate or during such period, or if the signer is aware of any such default. event or Event of Default, said officer shall disclose in such statement the nature thereof, its period of existence and what action, if any, has been taken or is proposed to be taken with respect thereto. Such certificate shall be provided not later than January 15 of each year, commencing January 15,2000 and ending on January 15. 2006 both dates Inclusive. 5_3 Books and Record!;i. Employer shall keep at all times proper books of record and account in Which full. true and correct entries shall be made of all dealings and transactions of or in relation to the business and affairs of Employer in accordance with generally accepted accounting principles, consistently applied throughout the period involved, and Employer shall provide reasonable protection against loss or damage to such books of record and account. Page 9 ''-'......;>=, uuo ~/~ ~04/ -> CLI~ u~ DUBUQUE; Page 12 FROM 'GRIFFIN LRW OFFICE 60:3 274 4847 1998,12-11 14'24 #827 P.12/25 5.4 ~on-Discrimination. In carrying out the project, Employer shall not discriminate against any employee or applicant for employment because of race, religion, color, sex, national origin, age or disability. 5.5 COnflid of Interest Employer agrees that no member, officer or employee of City, or its designees or agents, .' ,nor any consultant or member of the governing body of City, and no other public official of City who exercises or has .,exercised any functions or responsibilities with respect to the project during his or her tenure, or who is in a position to participate in a decision-making process or gain insider infonnation with regard to the project, shall have any interest, direct or indirect, in any contract or subcontract, or the proceeds thereof, for won< to be performed in connection with the project, or in any activity, or benefit therefrom, which is part of this project at any time during or after such person's tenure. 5.6 Non-transferability. Until such time as the job creation obligations are completed, this Agreement may not be assigned by Employer without the prior written consent of City, which consent shall not be unreasonably withheld. - 5.7 CQmpliance with I,..aws. Employer shall comply with all laws, rules and regulations relating to its businesses, other than laws, rules and regulations the failure to comply with which or the sanctions and penalties resulting therefrom, would not have a material adverse effect On the business, property, operations, financial or otherwise, of the Employer. SECTION 6. EVENTS OF DEFAULT AND REMEDIES 6.1 t;vents of Default Defined. The following shall be 'Events of Default" under this Agreement and the term "Event of Default" shall mean, whenever it is used in this Agreement, anyone or more of the foRowing events: (1) Failure by Developer to pay, before delinquency, all real property taxes assessed with respect to Minimum Improvements and Property. (2) Failure by Developer to cause the construction of Minimum Improvements to be commenced and completed pursuant to the terms, conditions and limitations of this Agreement (3) Failure by Developer to cause Minimum Improvements to be reconstructed when required pursuant to this Agreement. (4) Transfer of any interest by Developer of Minimum Improvements in Violation of the provisions of this Agreement. (5) FaUure by Developer or City to substantially observe or perform any other covenant. condition, obligation or agreement on its part to be observed or performed under this Agreement (6) Commencement of foreclosure proceedings by the holder of any mortgage on Property, or any improvements thereon, or any portion thereof, as a result of any default under the applicable mortgage documents. . (7) Developer shall: (a) file any petition in bankruptcy or for any reorganization, arrangement, composition, readjustment, liquidation. dissolution, or similar relief under the United States Bankruptcy Act of 1978, as amended, or under any similar federal or state law and such petition or answer shall not be discharged or denied within ninety (00) days after the filil1g thereof; or (b) make an assignment for the benefit of its creditors; or Page 10 .-,c........c.........v'=''-'_ ILi 1 I i~U '--'-""'>.:::::1J uvu .:::.., -T ......U......., - -- L-J.. 11 ........, WUOUUUc. J rCI'0l:::;1 I""'> FROM :GRIFFIN L~W OFFICE 503 274 4847 1998.12-11 14:24 ~827 P.13/25 (c) admit in writing its inability to pay its debts generally as they become due; or (d) be adjudicated a bankrupt or insolvent; or if a petition or answer proposing the adjudication of Developer as a bankrupt or its reorganization under any present Or future federal bankruptcy act or any similar federal or state law shall be filed in any court and such petition or answer shall not be discharged or denied wittlin ninety (gO) days after the filing thereof, or a receiver, trustee or liquidator of Developer or of Minimum Improvements. or part thereof, shall be appointed in any proceedings brought against Developer. and shall not be discharged within ninety (90) days after such appointmen~ or if Developer shall consent to or acquiesce in such appointment. 6.2. Remedies on Default bv Develow. Except in the case of an Event of Default under subsection (7) of said Section 6.1, whenever any Event of Default referred to in Section 6.1 of this Agreement occurs and is continuing, City, as specified below, may take anyone or more of the following actions after the first giving thirty (30) davs' written notice by City to Developer of the Eve"1t of Default but only if the Event of Default has not been cured within said thirty (30) days, or if the Event of Default cannot be cured with:n thirty (30) days and the Developer does not provide assurances to City reasonably satisfactory to City that the Event of Default will be cured as soon as reasonably poSSible: (1) City may suspend its performance under this Agreement until it receives assurances from Developer, deemed adequate by City. that Developer will cure its default and continue its performance under this Agreement; (2) City may cancel and rescind this Agreement; (3) City shall be entitled to recover from Developer the sum of all amounts expended by City in connection with (I) the acquisition and preparation of Property for transfer to Developer, (ii) the funding of the ACQuisition Grant to the Developer and (iii) the funding of the Economic Development Grant to Developer, and City may take any action, including any legal action it deems necessary. to recover such amounts from Developer; (4) Ci~ may withhold the Certificate of Completion; or (5) City may take any action, including legal, equitable or administrative action, which may appear necessary or desirable to collect any payments due under this Agreement or to enforce performance and observance of any obligation, agreement, or covenant of Developer under this Agreement The City hereby expressly acknowledges and agrees that no default or failure by or of the Employer under this Agreement, il1Cluding. without limitation, the provisions of Section 5, shall constitute, be constructed as or deemed to constitute an Event of Default by Developer under or in accordance with Section 6.1; and upon the occurrence of such event, the City's recourse. shall be limited to any and all remedies, It may have under this Agreement or otherwise at law or in equity against the Employer, and the City shall be without recourse against ttJe Developer, the Property or the Minimum Improvements. 6.3 Revesting Title in the City Uoon HaoDenin~ of F\(eot Subseauent to Conveypnce to Develooer. In the event that subsequent to conveyance of Property to Developer by City and prior to receipt by Developer of the Certificate of Completion, and subject to the terms of any mortgage granted by Developer to secure any loan obtained by Developer from a commercial lender or other financial institution to fund the acquisition of Property or construction of Minimum Improvements or any refinancing thereof ("First Mortgage"), an Event of Default under Section 6.1 of this Agreement occurs and is not cured within the times specified in Section 6.2, then City shall have the right to re- enter and take possession of Property and any portion of Minimum Improvements thereon and to terminate (and revest in City pursuant to the provisions of this Section 6.3 subject only to any superior rights in any holder of the First Mortgage) the estate conveyed by the Deed to Developer. it being the intent of this provision, together with Page 11 Hece..l..vea: l~/ll/~b 1~:4U; OUb ~/'4 4d4/ -> CilY U~ UU~UUU~; ~agd 14 FROM :GRIFFIN LRW OFFICE 603 274 4847 1998,12-11 14:25 #827 P.14/25 other provisions of this Agreement, that the conveyance of Property to Developer shall be made upon the condition that (and the Deed shall contain a condition SUbsequent to the effect that), in the event of any default under this Section 6.3 on the part of Developer and failure on the part of Developer to cure such default within the period and in the manner stated in such Section, City may declare a termination in favor of City of the title and of all Developer's rights and interests in and to Property conveyed to Developer, and that such title and all rignts and interests of Developer, and any assigns or successors in interests of Developer, and any assigns or successors in interest to and in Property other than the hokier of the First Mortgage, shall revert to City (subject to the provisions of Section 6.4 of this Agreement), but only if the events stated in Section 6.1 of this Agreement have not been cured within the time period provided above, or, if the events cannot be cured within such time periods, Developer does not provide assurance to City, satisfactory to City, that the events will be cured as soon as reasonably possible. 6.4. Resale of Reacauired Prooertv: Disposition of Proceeds. Upon the revesting in City of title to Property as provided in Section 6.3 of this Agreement, City shall, pursuant to its responsibility under law, use its best efforts. subject to any rights or interests in such property or resale granted 10 any holder of the First Mortgage, to resell Property or part thereof as soon and in such manner as City shall find feasible and consistent with the objectives of such law and of the Urban Renewal Plan to a qualified and responsible party or parties (as detennined by City in its sole discretion) who will assume the obligation of making or completing Minimum Improvements or such other improvements in their stead as shall be satisfactory to City and in accordance with the uses specified for such Property or part thereof in the Urban Renewal Plan. Subject to any rights or interests in such property or proceeds granted to any holder of a First Mortgage pursuant to this Agreement upon such resale of Property the proceeds thereof shall be applied: (1) First, to pay and discharge any liens and encumbrances which are prior to the mortgagees) previously acquiesced in by City pursuant to this Agreement (2) Second. to pay the principal and interest on the First Mortgage and on such additional mortgagees) created on Property, or any portion thereof, or any improvements thereon, previously acquiesced in by City pursuant to this Agreement. If more than one mortgage on the Property, or any portion thereof, or any improvements thereon, has been previously acquiesced in by City pursuant to this Agreement, and insufficient proceeds of the resale exist to pay the principal of, and interest on, each such mortgage in full, then such proceeds of the resale as are available shall be used to pay the principal of and interest on each such mortgage in their order of priority, or by mutual agreement of all contending parties including Developer, or by operation of law; (3) Third, to reimburse City for aH allocable costs and expenses incurred by City, including but not limited to reasonably appropriate prorated portions of salaries of personnel, in connection with the recapture, management and resale of property or part thereof (but less any income. derived by City from the property or part thereof in connection with such management); any payments made or necessary to be made to discharge any encumbrances or liens (except for the First Mortgage and any other mortgagees) previously acquiesced in by City) existing on Property or part thereof at the time of revesting of title thereto in City or to discharge or prevent from attaching or being made any subsequent encumbrances or liens due to obligations, defaults or acts of Developer, its successors or transferees (except with respect to such mortgage(s)); any expenditures made or obligations incurred wi1h respect to the making or completion of Minimum Improvements or any part thereof on Property or part thereof; and any amounts otherwise owing to City (including water and sewer charges) by Developer and its successors or transferees; and (4) Fourth, to reimburse Developer up to the amount equal to (i) the sum of the Purchase Price paid to City for Property and the cash actually invested by Developer in maKing any of the Minimum Improvements on Property, less ~i) any gains or income withdrawn or made by Developer from this Agreement or Property. 6.5. No Remedy Exclusive. No remedy herein conferred upon or reserved to City is intended to be exclusive of Page 12 Rece.l.ved: 12/11/98 18:40; QUB c' ,'4 4847 - > el1 ~ Uf- DUBUQUE; Page 15 FROM : GRIFFIN Li=lIJ OFFICE 50.::; 274 4847 1998,12-11 14:26 #827 P.15/25 any other available remedy or remedies, but each and every such remedy shall be cumulative and shall be in addition to every other remedy giv~n under this Agreement or now or hereafter existing at law or in equity or by statute. No delay or omission to exercise any right or power accruing upon any default shall impair any such right or power Of' shall be construed to be a waiver thereof, but any such right and power may be exercised from time to time and as often as may be deemed expedient 6.6. No Imolied Waiver. In the event any agreement contained in this Agreement should be breached by any party and thereafter waived by any other party, such waiver shall be limited to the particular breach so waived and shaH not be deemed to waive any other concurren~ previous or subsequent breach hereunder. 6.7. A9reement to Pav Attorneys' Fees ard Expenses. VVhenever any Event of Default occurs and City shall employ attorneys or incur other expenses for the collf:!ction of payments due or to become due or for the enforcement or performance or observance of any obligation or agreement on the part of Developer herein contained, Developer agrees that it shall, on demand therefor, pay to City the reasonab~ 1ees of such attomeys and such other expenses so Incurred by City. 6.8 ~medies on Default by City. If City defaults in the performance of this Agreement, Developer may take any action, including legal, equitable or administrative action, which may appear necessary or desirable to collect any payments due under this Agreement or to enforce performance and observance of any obligation, agr~ment, or covenant of the City under this Agreement In addition, the Developer, in its discretion, may: (1) suspend its performance under this Agreement until it receives assurances from the City, deemed adequate by Developer, that the City will cure its default and continue its performance under this Agreement, (2) cancel and rescind this Agreement; (3) recover from the City the sum of all damages incurred by Developer in connection with the City's breach. including, without limitation, reasonable fees of counsel; and (4) exercise any other available remedy or remedies, each and every one of which shall be cumulative and shall be in addition ta every other remedy given under this Agreement ar now or thereafter existing at law or in equity or by staMe. SECTION 7. GENeRAL TERMS AND PROVlSIONS 7.1 ~otices and Demands. VVhenever 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 ~ays after having been deposited in any U.S. Postal Service and sent by registered or certified mail, postage prepaid, addressed as follows: (1) If to Developer. Horizon Development Group, LLC 49 Kessel Court, Suite 211 Madison, W1 53711 (2) If to Employer: CarteGraph Systems, Inc. (2) If ta City: City Manager City Hall 50 W 13th Street DubUQue, IA 52001 Page 13 . c::...J , . J =....; . _'. '"T' J UU0 .<:_._ -+Okt-I .---- l....-..lll 0'- UUbUUUt::; r~d'd~ 10 FROM :GRIFFIN L~W OFFICE 50::;; 274 4847 1998,12-11 14:26 #827 P.16/25 or at such other address with respect to any party as that party may, from time to time designate in writing and forward to the others in the manner provided in this Section. 7.2 Binding Effect This Agreement shall be binding upon and shall inure to the benefit of City 1 Employer and Developer and their respective successors and assigns. IN WITNESS WHEREOF, City has caused this Agreement to be duly executed in its name and behalf by its Mayor and attested by its City CierI<, Developer has caused this Agreement to be duly executed in its name and behalf by its authorized member(s),and Employer has caused this Agreement to be duly executes in its name and behalf by its President and attested by its Secretary as of the day first above written. By: Terrance M. Duggan, Mayor HORlZO~iVElOPMENT GROUP. llC By: LL~~ Charles V. Heath, Member CITY OF DUBUQUE, IOWA By: Mary A. Davis, City Cieri< By: . ~l"v, IL ~rp- {/ John K. Faust, Member BY~~ ~emb~ CARTEGRAPH SYSTEMS, INC. By: Title: Attest: Title: Page 14 URBAN RENEWAL PLAN DUBUQUE INDUSTRIAL CENTER/SOUTH ECONOMIC DEVELOPMENT DISTRICT Adopted: APRIL 7, 1997 EXHIBIT A URBAN RENEWAL PLAN Dubuque Industrial Center/South Economic Development District (previously known as Site F Economic Development District) City of Dubuque, Iowa This Urban Renewal Plan provides for the development of the Dubuque Industrial Center/South Economic Development District (previously known as Site F Economic Development District). Its preparation was authorized by Resolution 46-97 of the City Council of the City of Dubuque, Iowa on January 20, 1997. The City Council adopted the Plan by Resolution 141-97 on April 7, 1997. Prepared by the Community and Economic Development Department. TABLE OF CONTENTS A. INTRODUCTION Page 1 B. OBJECTIVES Page 1 C. DISTRICT BOUNDARIES Page 2 D. PUBLIC PURPOSE ACTIVITIES Page 2 E. DEVELOPMENT AND REDEVELOPMENT REQUIREMENTS Page 3 F. LAND ACQUISITION AND DISPOSITION Page 4 G. FINANCING ACTIVITIES Page 5 H. STATE AND LOCAL REQUIREMENTS Page 7 1. DURATION OF APPROVED URBAN RENEWAL PLAN Page 7 J. SEVERABILITY Page 7 K. AMENDMENT OF APPROVED URBAN RENEWAL PLAN Page 8 L. A IT ACHMENTS Page 8 URBAN RENEWAL PLAN Dubuque Industrial Center/South Economic Development District (Previously known as Site F Economic Development District) City of Dubuque, Iowa A. INTRODUCTION This URBAN RENEWAL PLAN (the "Plan") has been prepared to provide for the development and redevelopment of the DUBUQUE INDUSTRIAL CENTER/SOUTH ECONOMIC DEVELOPMENT DISTRICT, previously known as the Site F Economic Development District (the "District") as authorized by Resolution 46-97 of the City Council of the City of Dubuque on January 20, 1997. Its intent is to stimulate economic development activities within the District through the commitment of public actions as specified herein. To achieve this objective, the City of Dubuque shall 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. B. OBJECTIVES OF THE PLAN The primary objectives of the Plan are the development and redevelopment of the District for economic development activities, primarily industrial park development, through: 1. Provision of marketable industrial development sites for the purpose of job-creating economic development activities; 2. Provision of public infrastructure improvements, including sanitary sewer, water and stormwater detention, supportive of full development of the District; 3. Provision of a safe, efficient and attractive circulation system; 4. Establishment of design standards which will assure cohesive and compatible development and redevelopment of the District; 5. Provision of public amenities that provide an aesthetically appealing environment, 1 including open space, buffering, landscaping, water features, signage and lighting to create a distinctive and attractive setting; 6. 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 District shall consist of the real property legally described as follows: Lot 2-1-1 of the NE 1/4 of the SW 1/4, Lot 2 of the NE 1/4 of the SW 1/4, Lot 1-1-1 of the NE 1/4 of the SW 1/4, Lot 1-1-8 of the SE 1/4, and the SE 1/4 of the SW 1/4, all in Section 12, Township 88 North, Range 2 East, Fifth Principal Meridian, in Dubuque County, Iowa and any adjoining public right-of-way. The boundaries of the District are delineated on the URBAN RENEWAL DISTRICT map (Attachment 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: 1. Acquisition of property for public improvements and private development; 2. Demolition and clearance of improvements not compatible with or necessary for industrial park development and all site preparation and grading required in connection with such development; 3. Improvement, installation, construction and reconstruction of streets, utilities and 2 other improvements and rights-of-ways including but not limited to the relocation of overhead utility lines, street lights, appropriate landscaping and buffers, open space and signage; 4. Disposition of any property acquired in the District, including sale, initial leasing or retention by the City itself, at its fair value; 5. Preparation of property for development and redevelopment purposes including but not limited to activities such as appraisals and architectural and engineering studies; 6. 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; 9. Development and implementation of a marketing program for the purpose of promoting the purchase and development of industrial sites by private businesses; 10. Coordination of the improvement of U.S. Highway 61/151 as it affects the District's access to that roadway. 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 The intent of this Plan is to promote the development of commercial and industrial land uses within a quality industrial park setting. All uses shall be regulated by the zoning district established for the property. 3 LAND USE maps (Attachments CI and C2) identify the existing and the proposed land uses within the District. " 2. Planning and Design Criteria The planning criteria to be used to guide the physical development of the District are those standards and guidelines contained within the City of Dubuque's Zoning Ordinance and other applicable local, state and federal codes and ordinances. The proposed zoning designation will be PI Planned Industrial District as required by Section 3-5.5 of the City of Dubuque Zoning Ordinance. Development within the District 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 has acquired, through contractual agreement, all property within the District for private development purposes. 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. 2. 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 requirements 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. 4 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. 3. Relocation Requirements The land is currently vacant; no relocation is anticipated. 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 ofloans or grants under Chapter 15A of the Iowa Code and through the use of tax increment financing under Chapter 403 of the Iowa Code. 1. Chapter 15A Loan or Grant The City of Dubuque has determined that the making of loans or grants of public 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 of public funds to qualified businesses. Alternatively, the City may determine to use available funds for the making of such loans or grants. In determining qualifications of recipients and whether to make any such individual loans or grants, the City of Dubuque shall consider one or more of the factors set forth in Section 15A.l of the Iowa Code on a case-by-case basis. 2. 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. Bonds 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 immediately the direct tax benefits of new development in the 5 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 within 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 fmancing 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 increase 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; b. Construction of public infrastructure improvements and facilities within the District; c. 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; d. Acquisition of land and/or buildings and preparation of same for sale to private developers, including any "write down" of the sale price of the land and/or building; e. Preservation, conservation, development or redevelopment of buildings or facilities within the District to be sold or leased to qualified businesses; f. Loans or grants to qualified businesses under Chapter 15A of the Iowa Code, including debt service payments on any bonds issued to finance such loans or grants, for purposes of expanding the business or activity, or other qualifying loan programs established in support of the Plan; and g. Providing the matching share for a variety of local, state and federal grants and loans. 6 3. 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 revenues 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 improvrnents and private development assistance, will not exceed $6,000,000. At the time of adoption of this Plan, the City of Dubuque's current general obligation debt is $14,200,000 (a list of obligations is found as Attachment D) and the applicable constitutional debt limit is $91,286,810. 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 This Plan shall continue in effect until terminated by the City Council; provided, however, that the collection of tax increment revenues from properties located in the District 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, unauthorization or unenforceability shall not affect any other provision of this Plan and this Urban Renewal Plan shall be construed and implemented as if such provision had never been contained herein. 7 K. AMENDMENT OF APPROVED URBAN RENEWAL PLAN This Plan may be amended from time to time to respond to development opportunities. Any such amendment shall conform to the requirements of Chapter 403 of the Iowa Code. Any change effecting any property or contractual right can be effectuated only in accordance with applicable state and local law. L. ATTACHMENTS A Urban Renewal District Map B Public Purpose Activity Area Map C Land Use Maps Cl Existing Land Use C2 Proposed Land Use D List of General Obligations 8 -"" ATTACHMENT A URBAN RENEWAL DISTRICT MAP Dubuque Industrial Center/South Economic Development District t; I _I ~I :/ \,!) I ~I ~I G I J II I : I I J I I - .,_ _1- _ _ _ _ _ _ _ _ ___ _ ...,.... _ _ _ _ I . I I . I I I : I I I : I I I I I I I : I I I : I -" H( I/~-Sll' '/~ ~ ~ SE 7/1 Lor 1-1-8 IN Sf I/~ $ $( I/~-sw I/~ ~oo lCAlC '"~ IIU )'.'l~.o.c If'. CttIIlOOtS I.,." lor 7-1-6 IN S( '/~ Prepared by the Community and Economic Development Department City of Dubuque, Iowa February 1997 ATTACHMENT B PUBLIC PURPOSE ACTIVITY AREA MAP Dubuque Industrial Center/South Economic Development District --.. .....'W'N.J ....w.....'...'............................ .1............ Ilfill1ill.l'f.'I.I))lllliiIIIIIIJI111ttl~::: .'i1w.r .............. ............................... .,l""".................... ~ ~ ~ SE 7/1 $ o '0;)'00 "00 t-w---; lCAl.C .. III I )ltII.SI..IIII.o-c w. c.....OOts I-I-t7 lor 7-1-0 IN Sf: 1/~ IMi!!1M11i1i1 PUBLIC PURPOSE ACTIVITY AREA Prepared by the Community and Economic Development Department City of Dubuque, Iowa February 1997 ---.. ATTACHMENT Cl EXISTING LAND USE MAP Dubuque Industrial Center/South Economic Development District ~ ~ ~ Sf" 7/1 t1j. · IN JOO 400 ,..-.....; Sc....t( ., '11. )1t'"~o...e w. C'''C(Jt1 1-4-91 lor 7-1-0 IN SC 1/1 M.............. }}({:): VACANT Prepared by the Community and Economic Development Department City of Dubuque, Iowa February 1997 ATTACHMENT C2 PROPOSED LAND USE MAP Dubuque Industrial Center/South Economic Development District -., ~ ~ ~ SE 1/1 tJj. 1/1 " 1(10 too _00 ,..--; w:....c ..1(11 31U\'k-' 0-.:: w. c'~oc.ns 1...'-t1 cor 7-1-0 IN S( 1/1 tmmrmrml COMMERCIALIINDUSTRIAL Prepared by the Community and Economic Development Department City of Dubuque, Iowa February 1997 ATTACHMENT D SUMMARY OF 80NOEO INDEBTEDNESS. FISCAL YEAR 1997 DATE NET AMOUNT PRINCIPAL PRINCIPAL INTEREST PRINCIPAL YEAR OF OF INTEREST OF OUTSTANDING DUE 7.1.96 DUE 7.1.96 OUTSTANDING FINAL o SCRIPTION ISSUE RATE ISSUE JULY 1 1996 TO 7.1.97 TO 7.1.97 JU Y 1 1997 PAYMENT G.,..,.I Obliae.ton 8Oftd. ESSent.al Carpal "I PUlpal. 3.1.87 5.4 786 4.000.000 2.475.000 400.000 136.050 2.075.000 2001 Ess.nll.1 Corporilte Purpose 6.1.89 6.7092 2.650.000 898.175 190.615 59.600 705.500 2000 Recr..tlon Pool Rlconstruc,tOn 6.1.89 6.7092 1.500.000 678.825 144.385 45.145 534.440 1999 Essentlll CorpO'...1 Purpose 5.\5.90 6.6736 220.000 94.500 22.500 6.266 72.000 2000 Recf..llon Pool Reconstruction 5.15.90 6.6736 1.745.000 850.500 202.500 56.392 202.500 2000 Essenl.lt Corpor..1 Purpose 5.1.91 6.0943 2.500.000 1.705.000 200.000 102.545 1.505.000 2002 Essenu.1 Corporate P1.Itpos. 6.1.93 4.1747 4.615.000 3.090.000 945.000 124.575 2.145.000 2004 Essen...' Corpo,.t. Purpose 10$1.) 5.1.94 5.0000 \.300.000 900.000 100.000 43.864 800.000 2004 Essenll.1 Corpor..e Purpou.. lesl.) 5.1.94 5.0000 1.300.000 1.150.000 140.000 56.536 1.020.000 2004 Essenlll' Corpor... PufClos.-.. 5.1.94 4.9444 500.000 450.000 50.000 21.932 400.000 2004 Essent.11 Corpor..e PUlpas, 5.1.95 5.5000 2 000 000 1 900 000 50 000 87 065 1 850000 2005 To'-' G_ol Oblige,;"" -. '22.330.000 s 14.200.000 '2.445.000 s 739.969 S 11.755.000 City of Dubuque, Iowa February 1997 EXHIBIT B SPECIAL WARRANTY DEED KNOW ALL MEN BY THESE PRESENTS: that the City of Dubuque, Iowa, a municipal corporation of the State of Iowa (hereinafter "Grantor"), in consideration of the Grantee named below undertaking the obligations of the Developer under the Agreement described below and the sum of and no/100 Dollars ($ ) in hand paid, and other good and valuable consideration, and pursuant to the authority of Chapter 403, Code of Iowa, does hereby GRANT, SELL AND CONVEY unto Horizon Development Group, LLC (herein "Grantee"), the following described parcel(s) situated in the County of Dubuque, State of Iowa, to-wit: Lot 11, Block 2 of Dubuque Technology Park, in the City of Dubuque, Dubuque County, Iowa This Deed is being delivered in partial fulfillment of the Grantor's obligations under and is subject to all the terms, provisions, covenants, conditions and restrictions contained in that certain Development Agreement executed by the City and Grantee herein, dated , 1999, (hereinafter the "Agreement"), a memorandum of which was recorded on , 1999, in the records of the Recorder of Dubuque County, Iowa, Instrument Number Promptly after completion of the improvements in accordance with the provisions of the Agreement, the Grantor will furnish the Grantee with a Certificate of Completion in the form set forth in the Agreement. Such certification by the Grantor shall be (and the certification itself shall so state) a conclusive determination of satisfaction and termination of the agreements and covenants of the Agreement and of this Deed with respect to the obligation of the Grantee, and its successors and assigns, to construct improvements and the dates for the beginning and completion thereof, it being the intention of the parties that upon the granting and filing of the Certificate of Completion that all restrictions and reservations of title contained in this Deed be forever released and terminated and that any remaining obligations of the Grantee pursuant to the Agreement shall be personal only. All certifications provided for herein shall be in such form as will enable them to be recorded with the County Recorder of Dubuque County, Iowa. If the Grantor shall refuse or fail to provide any such certification in accordance with the provisions of the Agreement and this Deed, the Grantor shall, within fourteen days after written request by the Grantee, provide the Grantee with a written statement indicating in adequate detail in what respects the Grantee has failed to complete the improvements in accordance with the provisions of the Agreement or is otherwise in default, and what measures or acts will be necessary, in the opinion of the Grantor, for the Grantee to take or perform in order to obtain such certification. In the event that an Event of Default occurs under Section 6.1 of the Agreement and the Grantee herein shall fail to cure such default within the period and in the manner stated in Section 6.2 of the Agreement, then the Grantor, subject to any "First Mortgage" (as such term is defined in Section 6.3 of the Agreement) which encumbers said property, shall have the right to re-enter and take possession of the property and to terminate and revest in the Grantor the estate conveyed by this Deed to the Grantee, its assigns and successors in interest, in accordance with the terms of the Agreement. None of the provisions of the Agreement shall be deemed merged in, affected or impaired by this Deed. The City hereby covenants to warrant and defend the said premises against the lawful claims of all persons whomsoever claiming by, through and under it. Dated this day of , 1999, at Dubuque, Iowa. CITY OF DUBUQUE IOWA ATTEST: By: Terrance M. Duggan, Mayor By: Mary A. Davis, City Clerk STATE OF IOWA SS COUNTY OF DUBUQUE On this day of , 1999, before me a Notary Public in and for said County, personally appeared and to me personally known, who being duly sworn, did say that they are the Mayor and City Clerk, respectively of the City of Dubuque, Iowa, a Municipal Corporation, created and existing under the laws of the State of Iowa, and that the seal affixed to the foregoing instrument is the seal of said Municipal Corporation, and that said instrument was signed and sealed on behalf of said Municipal Corporation by authority and resolution of its City Council and said Mayor and City Clerk acknowledged said instrument to be the free act and deed of said Municipal Corporation by it voluntarily executed. Notary Public in and for Dubuque County, Iowa L;_,-,O~ :..J '-' 0 ...::: l~" -..,:) -+ I -~ GJ.I y U~ UUbUUU~; I-'age !:::::j FROM :GRIFFIN ~W OFFICE 60=: 274 4847 1998,12-11 14:53 #828 P.08/21 EXHIBIT C FORM OF lEGAl OPINION OF DEVELOPER'S COUNSEL ,199_ The City of Dubuque RE: Develop!!:lent Agreement dated December _' 1998 (the "Development Agreementn) executed by and among The Ciry of Dubuque, Iowa (the ~City"), Horizon Developtn~nt Group, LLC (the -Developer") md Cartegraph Systems, Inc- (the "Employer") ~ntlemen: We have served as cO\l11sd for the Developer in connection with the negotiation of the above-Tuerenced Development Agreement. This opinion is required by you and is delivered as an inducement to the City to consummate the trmsactions contemplated by the Development Agreement. All capitalized terms used and not otherwise defined herein shill have the same meanings as are assigned to them in the Development Agreement. In connection therewith, we have reviewed [he following: (i) photocopy of the Development Agreement, executed by ;md :unong the City, the Developer and the Employer, and cerufied by the Developer or one Or more of its members to be a trUe :Uld complete photocopy thereof; Cli) fuctual Cenificates provided by and! or on behalf of Developer and executed by one or more of its members; CUi) Anicles of Organization and Operating Agreement of Deyeloper, certified by one or more of its mem~rs; ::md (Iv) resolutions adopted on behalf of the Developer by its Members, certified by one or ID-ore of itS members. In connection with our examination of the above-referenced documents and iostroments, we have assumed, and the opinions e.xpressed herein therefore are expressly conditioned upon -and subject 1:0; (a) the authority md Ol.p:l.city of all pa-sons si~ing documents on behalf of the City or any p:trty other thm the Developer; (b) the genuineness of :111 sign.rures; (c) the authenticity of all documents submitted to us as originals; (d) the conformity of;ill documents submitted to the undersigned :is cenified or photoStated copies to the originals thereofj (e) the l1ccur.lcy of ill ~tes; (1) ~e :accuncy of :illmform:ation contained in f.tcnul certificates executed by one or more of the members of the Developer; (rJ the due delivery of the Devdopment Agreement and adequacy of consider.non therefor; (h) the legJ.! c:apaclt? of each natu.r.1.l person; (i) the power and authority of each parry other 'l'.b;tn the Developer; G) the City's compliance v.rith all laws rod regulations perr2ining or applicable to it in connection wiLh the De\'dopmcnt Agreement or the tranSactions contemplated thereby; (k) the acCU1"2cy of e2c.h m.teroent of b.et conuined in d certi.fic~r,. i.oisued by a government office and its continuing a.ccur:lcy 011 the . "-' , , ).::::J'-' I LJ. ....... U J ouo Li4 4~4/ -> C11~ Uf: DUBUQUE; Page 10 FROM 'GRIFFIN LRW OFFICE 508 274 4847 1998,12-11 14'53 1*828 P.10/21 The City of Dubuque ,199_ Page 2 date hereof; Q) the parties' satisfuuon of or compliance with procedural requirements or other legal prerequimes to the enforcement of or entitlement to relief under the Development Agreement, such as service of process or qualifica.tion to tr:msact business; (m) that there are no other agreements or underStandings among the parties (:and 2S of the date hereof, we h::l.ve no knowledge of the existence thereof) clur. would modify the terms of the Development Agreement or me respective rights or obligations of the parties thereto; and (n) that with respect TO me Development Agreement, there has been no mutual mistake of fact and there exisr.s no fraud or duress. In addirion, we have assumed th.a.c a reviewing COUlL may impose certain standards of condUCt upon the City as conditions to or requirements for the enforceability of the Development Agreement (including, without limitation, the requirement th<lt the City act re:a.son:ably, in good faith, in a. commercially reasonable manner, or otherwise in compli~ce wirll ~pplic~ble law and! or equitable principles). Accordingly, the opinions expressed. herein :ue conditioned upon, limited and qualified by the foregoing. as well as the provisions of applicable bankruptcy, insolvency, moratorium, reorganization and other laws of general appliC:ltion affecting creditors' rights. As. expressly lllnited by the foregoing and such other matters as hereinafter are specific:illy enumerated, we are of the opinion that: 1. The Developer is a limited liability company, duly formed and validly existing under the laws of the State of Wisconsin. 2. The Development Agreement has been duly authorized, executed and delivered by, in the name of and on behalf of tbe Developer by its duly authorized member(s). 3. The member(s) of the Developer executing the Development Agreement in the name and on behili of the Developer, is (are) authorized to execute the same in the name and on behalf of the Developer. 4. The Developer has the full power and aurhority to (i) execute md deliver the Development Agreement and (il) perform all its obligations under and pursuant to, and to consummate the transactions contemplated by, said Development Agreement. 5. The execution and delivery by Developer of the Development Agreement and the performance by Developer of its obligations thereunder will not violate any provision of or constitute a breach or default under the Articles of Org:mization or the Operating Agreement of the Developer; and to our knowledge, based solely upon the statements :md represent~tions contained in factual certi.ficates of one or more of the members of the Developer, and without independem invesrigacion by us, the same aCts will not cause Developer to be in default under, Or conflict with or result in a breach of any provision of any agreement, instrwnent or obligation to which Developer may be subject or by which Developer or its property may be bound. 5. To our knowledge, based solely upon the st3.remems and representations r;ontained in faCtwU certificates executed by one or more of the members of the Developer, and without: independent investig.nion by us, c.here are no ~cr.ions, suits or proceedings pending or threatened against or affecting the Developer in any court or b~ore any arbitrator o. before or by my governmental body in which there is a reasooable possibility of an adverse decision which could mate~2l1y adversely affect the business (present or prospective), financial position or results of operauons of me Developer, or which may :d!ecr1he validity of the Agreement or the Developer's ability to observe or perform itS obliga.cions thereunder. KeCe..Lv,,=,,~. ~ t ..:::: / I I ;' ':::;10 t U ~ >..../':::;1 j FROM :GRIFFIN LRW OFFICE 60::=: 274 4847 1998,12-11 14.54 #828 P.11/21 The City of Dubuque , 199_ Page 3 The opinions contained in paragraphs numbered 1 through 5, above, are strictly limited to the m2tters expressed therein and no further opinion is implied or may be inferred beyond such matters. In particular, we do not provide and expressly disclaim any opinion wha.tsoever concerning the validity or enforceability of the De-velopment Agreement under the h.ws of Iow:l or wy other jurisdiction, the statuS of zoning matters. environmen1:al matters. matters regulated by federal or SUIe securities b.ws, title wd priority matt~rs, including, without limitation, the status of Litle to any real property Or any personal property of the Developer and the priority of the liens or security interests, if any, created by or in accordance with the Development Agreement. As to all such maners, we understand that you are relying upon the opinions which are to be funllihed by counsel for the City. The opinions expressed herein are pro\--idcd in accordance with and pursuant to your request :rnd are given subject to the express limitations reserved herein. The opinions are based upon facts, information, statutes, h.ws1 ordin:mces, rules and regulations effective and generally available ;J.S of the date he.eof and are given .....-ithou! :any undertaking or obligation on Our part to :1dvise you of any chmges, events or occurrences which may come to our attention subsequent to the delivery hereof. Such opinions as ;u-e expressed herein are pro.-ided as :an inducement to the City to consummate the transactions contemplated by the Development Agreement. Said opinions are not intended to benefit or to be relied upon by any party other than the City :and may nOt be furnished to or relied upon in any manner by any person or entity ether than said City. Very truly yours, by: Exhibit D FORM OF LEGAL OPINION OF EMPLOYER'S COUNSEL CITY OF DUBUQUE IOWA RE: DEVELOPMENT AGREEMENT BY AND AMONG THE CITY OF DUBUQUE IOWA, HORIZON DEVELOPMENT GROUP, LLC, AND CARTEGRAPH SYSTEMS, INC. Gentlemen: We have acted as counsel for CarteGraph Systems, Inc. ("Employer"), in connection with the execution and delivery of a certain Development Agreement ("Development Agreement") among Employer, Horizon Development Group, LLC ("Developer") and the City of Dubuque, Iowa ("City") dated as of , 1999. We have examined the original certified copy, or copies otherwise identified to our satisfaction as being true copies, of the Development Agreement and such other documents and records as we have deemed relevant and necessary as a basis for the opinions set forth herein. Based on the pertinent law, the foregoing examination and such other inquiries as we have deemed appropriate, we are of the opinion that: 1. Employer is a corporation organized and existing under the laws of the State of and has full power and authority to execute, deliver and perform in full Development Agreement. Development Agreement has been duly and validly authorized, executed and delivered by Employer and, assuming due authorization, execution and delivery by City and Developer, is in full force and effect and is valid and legally binding instrument of Employer enforceable in accordance with its terms, except as the same may be limited by bankruptcy, insolvency, reorganization or other laws relating to or affecting creditors' rights generally. 2. The execution, delivery and performance by the Employer of the Development Agreement and the carrying out of the terms thereof, will not result in violation of any provision of, or in default under, the articles of incorporation and bylaws of Employer, any indenture, mortgage, deed of trust, indebtedness, agreement, judgment, decree, order, statute, rule, regulation or restriction to which the Employer is a party or by which Employer's property is bound or subject. 3. There are no actions, suits or proceedings pending or threatened against or affecting the Employer in any court or before any arbitrator or before or by any governmental body in which there is a reasonable possibility of an adverse decision which could materially adversely affect the business (present or prospective), financial position or results of operations of the Employer or which in any manner raises any questions affecting the validity of the Agreement or the Employer's ability to perform Employer's obligations thereunder. Very truly yours, EXHIBIT E MINIMUM ASSESSMENT AGREEMENT THIS MINIMUM ASSESSMENT AGREEMENT, dated as of this _ day of , 1999, by and among the CITY OF DUBUQUE, IOWA, (the "City"), , its successors and assigns, (the "Developer"), and the CITY ASSESSOR for the City of Dubuque, Iowa (the "Assessor"). WITNESSETH: WHEREAS, on or before the date hereof the City and Developer have entered into a Development Agreement as of , 1999 (the "Agreement") regarding certain real property located in the City legally described as follows: (the "Development Property"); and WHEREAS, it is contemplated that pursuant to said Agreement, the Developer will undertake the development of the Development Property, which is within the Dubuque Industrial Center/South Economic Development District established under Urban Renewal Plan adopted by Resolution No. 141-97 on April 7,1997; and WHEREAS, pursuant to Section 403.6 of the 1997 Code of Iowa, as amended, the City and the Developer desire to establish a minimum actual value for Development Property, facilities and the equipment thereon to be constructed by the Developer pursuant to the Agreement (defined therein as the "Minimum Improvements"); and WHEREAS, the City and the Assessor have reviewed the preliminary plans and specifications for the Minimum Improvements which it is contemplated will be erected. NOW, THEREFORE, the parties to this Minimum Assessment Agreement, in consideration of the promises, covenants and agreements made by each other, do hereby agree as follows: 1. Upon substantial completion of construction of the above-referenced Minimum Improvements by the Developer, but no later than January 1, _, the minimum actual taxable value which shall be fixed for assessment purposes for the Development Property and Minimum Improvements to be constructed thereon by the Developer shall be not less than , ($ ), (hereafter referred to as the "Minimum Actual Value") until termination of this Minimum Assessment Agreement. The parties hereto expect that the construction of the above- referenced Minimum Improvements will be completed on or before January 31, Nothing herein shall be deemed to waive the Developer's rights under Iowa Code 0' Section 403.6(19) to contest that portion of any actual value assignment made by the Assessor in excess of the Minimum Actual Value established herein. In no event, however, shall the Developer seek to reduce the actual value assigned below the Minimum Actual Value established herein during the term of this Agreement. 2. The Minimum Actual Value herein established shall be of no further force and effect and this Minimum Assessment Agreement shall terminate on January 31, 3. This Minimum Assessment Agreement shall be promptly recorded by the Developer with the Recorder of Dubuque County, Iowa. The Developer shall pay all costs of recording. 4. Neither the preambles nor proVIsions of this Minimum Assessment Agreement are intended to, or shall be construed as, modifying the terms of the Agreement between the City and the Developer. 5. This Minimum Assessment Agreement shall inure to the benefit of and be binding upon the successors and assigns of the parties, and all holders of mortgages upon or security interests in the Development Property or Minimum Improvements granted prior to the date hereof, to secure any loans with respect to the Development Property or Minimum Improvements, that execute the consent attached hereto. THE CITY OF DUBUQUE, IOWA By: Terrance M. Duggan, Mayor ATTEST: By: Mary A. Davis, City Clerk DEVELOPER By: By: CONSENT The undersigned, a holder of a mortgage granted prior to the date hereof to secure a loan made with respect to the Development Property or Minimum Improvements, hereby consents to the execution and recording of the foregoing Minimum Assessment Agreement and agrees to be bound thereby. By: (Name) (Title) STATE OF IOWA ) ) SS COUNTY OF DUBUQUE ) On this day of ,1999, before me a Notary Public in and for said County, personally appeared to me personally known, who being duly sworn, did say that they are the Mayor and City Clerk, respectively of the City of Dubuque, Iowa, a Municipal Corporation, created and existing under the laws of the State of Iowa, and that the seal affixed to the foregoing instrument is the seal of said Municipal Corporation, and that said instrument was signed and sealed on behalf of said Municipal Corporation by authority and resolution of its City Council and said Mayor and City Clerk acknowledged said instrument to be the free act and deed of said Municipal Corporation by it voluntarily executed. Notary Public in and for Dubuque County, Iowa STATE OF IOWA ) ) SS COUNTY OF DUBUQUE ) On this day of , 1999, before me a Notary Public in and for said County, personally appeared to me personally known, who being duly sworn, did say that they are the individuals who executed the foregoing instrument; and acknowledged the execution of said instrument to be effected in the name and on behalf of Developer therein identified, as the voluntary act of said entity. Notary Public in and for Dubuque County, Iowa CERTIFICATION OF ASSESSOR The undersigned, having reviewed the plans and specifications for the Minimum Improvements to be constructed and the market value assigned to the land upon which the Minimum Improvements are to be constructed, and being of the opinion that the minimum market value contained in the foregoing Minimum Assessment Agreement appears reasonable, hereby certifies as follows: The undersigned Assessor, being legally responsible for the assessment of the property described in the foregoing Minimum Assessment Agreement, upon completion of Minimum Improvements to be made on it and in accordance with the Minimum Assessment Agreement, certifies that the actual value assigned to such land, building and equipment upon completion shall not be less than Dollars ($ ), until termination of this Minimum Assessment Agreement pursuant to the terms hereof. Dubuque City Assessor for the City of Dubuque. Iowa Date STATE OF IOWA ) ) SS COUNTY OF DUBUQUE ) Subscribed and sworn to before me by of Dubuque, Iowa. , City Assessor for the City Notary Public in and for Dubuque County, Iowa Date F:IUSERS\JBURKEIBURKEIDOCSIECDEVlCARTEGRAIMIN-ASSE.AGR ..-----..~-.. '''-1''1='-' "-'_II, Qua c_~/4 4ts4/ -> Cl..Jy 01-:: DUBUQUE; Page 17 FROM :GRIFFIN L~W CFFICE 60'::' 274 4847 1998.12-11 14:56 #828 P.17/21 EXHIBIT F Prepa1'ed by: A.J. Griffin ill, Esq., Griffin Law Office, S.C., 49 Kessel Court, Suite 211, Madison, WISconsin 53711, (608) 27+-+495. SPACE ABOVE THIS LI:-l'E FOR RECORDER OPTION TO PURCHASE THIS OPTION IS A LEGAllY ENFORCEA1U.E CONTRACT. BOTH PARTIES SHOULD READ THIS DOCOM:El\/"'T CAREFULLY.AND UNDERSTAND IT BEFORE SIGNING. The City Of Dubuque, Iowa (the "Seller") hereby grants to Horizon Development Group, LtC or its assigns (together, the "Buyer") an option to purchase :l.pproximately 5.58 :l.cres of real estate located at Digital Drive, Dubuque Technology Park, in the City of Dubuque, Dubuque County, State of Iowa;lfid more p:1rricularly described as: Lot 10, Block 2 of Dubuque Technology Park (the .Property), at a price which shall be equal to the fair market value of the Property, as determined by :l.ppraisal prepared by an appraiser who is mutually accepuble to the parries. Said purchase price shill be paid at Closing, in the manner hereinafter provided. Buyer agrees that unless otherwise specified, Buyer, in good f:uth, will pay all costs of securing :my financing to the extent permined by law, and will perform all acts necessary to expedite such flOmcing. l1ME IS OF lHE ESSENCE AS TO: PAYMENT OF OPTION FEE AND EXTENSION FEE, EXERCISE OF OPTION, LEGAL POSSESSION, OCCUPANCY, DATE OF CLOSING, AND All DATES INSERTED IN 'ffiIS OPTION. The option fee shall be $5,000.00, the receipt and sufficiency of which is hereby acknowledged by Seller. Said option fee shall not be refunchble if the Oprion is not exercised. If the option is exercised, the entire option fee shall be credited against the purchase price at Closing. This Option may be exercised in ",'riring at any tune on or before December 31, 2003, by the mailing of a notice by cenified mail, return receipt requested, or by commercial delivery service, and addressed to Seller at City Hall, 50 W. 13m Strut, Dubuque, Iow;.l. 52001, Attn. City Manager, or by personal delivery thereot The option fee shall be non-refunda:Sle except in the event Seller is unable to convey title to the Property in me condition hereinafter requi.red. The Closing of this mnsaction shill rake place On a date which shall be mu.tual.ly acceptable to the parties within 45 days after the date of exercise of the Oprion by Buyer, at the office of Buyer's mortgagee, if any, or at such other time and place as ma.y be agreed in writing by Buyer and Seller (the "Closing"). Rece~ved: 12/11/ge 16:11; 608 2/4 484/ -> CITy Or DUBUQUE; Page 18 FROM 'GRIFFIN LRW OFFICE 50:=:274 4847 1'398, 12-11 14'56 #828 P.18/21 PERSONAL PROPERTI' INCLUDED IN THE SALE: None. ITEMS NOT INCLUDED IN THE SALE: Buyer is purchasing the hnd only and Seller shill remove any and all f1Xtures, debris and items of personal property, if any, prior to Closing. Seller, upon payment of me purch:iSt' price, shill convey The Property by Warr:mty Deed, free and clear of :ill liens and encumbrances, excepting: municip:al and zoning ordinances, recorded easements for public utilities servicing the Property, recorded building and use reStrictions and covel1antS, net gener2l taxes for the year of Closing, which will be pronted to chtte of possession; provided none of the foregoing prohibit or render impracticable, as determined by Buyer in its sole discretion, the development and use of the Property proposed by Buyer. Seller shall coro.plete, execute and deliver to Buyer at the time of Closing the documents necessary to record the conveyance which is contemplated hereby. This Option may be recorded. This Option is assignable. The Property is not homestead. Legal possession of the Property shall be delivered to Buyer on the date of Closing. It is understood the Property is nO'9.' vacant. The following items (to the extent applica.ble) shall be prorated :is of ili~ day of Closing: real estate taxes, rentS, w:arer and sewer use ch:lI'ges, property owners' association a$sessments, and fuel. Any income, wetS, or expenses through the date of Closing accrue to Seller. All real estate taxes shall be prorated at the time of Closing On the following basis: Seller's prorated sruu-e of the net general real estate t:axes, if any, for the year of Closing shall be determined by multiplying the net general taxeS for the most recently concluded tax year by a fraction, the denolninator of which shall be 365 and the numerator of which shall be the number of d2.Ys from the beginning of the current we year through the date of Closing. The resulting product will be credited to Buyer in ~duction of the purchase price at the Closmg and Buyer, alene, shall be responsible for the payment of:ill ~ estate taxes aCCruing during or with respect to the year of Closing. Special assessments, if any, for work on site actually commenced, le'vied prior to the d:l.te of Closing or for which a notice of proposed levy is given prior to me dace of dosing shall be paid by Seller. All other specUl assessments shall be paid by Buyer. Seller warrants the Property is not located in a flood plain. Seller represents that the Property is zoned PUD with a PI designation. Seller warrants and represents to Buyer that Seller has nO notice or knowledge of any: a) planned or commenced public improvements which may result in special assessments or otherwise materially affea: the Property; b) governmem: agency or court order requiring repair, alteration, or correction of any existing condition; and c) wetlwd and shoreland regulations affec:wg the Prcpc!rty_ The above warranties and representations are made as of the cbte of the granting of this Option and are true and accurate to the best of Seller's kno~'ledge and belief. If any warranty or representation changes prior to Closing, Seller must notify Buyer. In the absence of such notification, the above "W'atT3Ilues and represe.nutions shall be deemed to continue unchanged until the Closing h;L'i occurred. Page 2 Hece..l.Vea: Ioc./ll/':::H:j 10:1.:::.; ClUO <::::'1"'+ ~O_f --- ..........J...I T ur- UUClU"'--'IUC, r-<.::~'dC"= FROM :GRIFFIN L~W OFFICE 60:3 274 4847 1998,12-11 14:57 #828 P.19/21 EXCEPTIONS TO WARR.ANTIEs AND REPRESENTATIONS STATED ABOVE: None. The Buyer shall have reasoJl:1ble access to the Property from the time this Option is executed until rhe time of Closing for the pUlpose of inspection and resting. . :,' Seller shall provide to Buyer at Seller's expense at least 15 business days before Closing: An :l.bstract of title prepued by an abstract company showing title to the Property (as of:1 dat"e no more than 10 days before such title proof is provided to Buyer) to be in me condition called for in this Option, :and further subject only to liens which will be paid OUt of the proceeds of the Closing and stand:u-d AbstI":1ct certifiCAte 1im.itations, as appropriate. Buyer shall notify Seller of :my valid objection to tide in wririog by the time of Closing. Seller shall have a reasonable time, but not exceeding 15 days thereafter, in which to remove rhe objections, and Closing shall be extended as necessary for this purpose, H the Property is damaged by fire or elements prior to time of Closing in an amount of not more than five percent of the sellin~ price, Seller shall be obligated to repair rhe Property and reStore it to the Same condition that ic was on the date of this Option. If the damage shall e.'(Cl~ed such amount, this agr~ement may be canceled at the option of Buyer. Should Buyer elect to carry out this agreement despite such dmlage, Buyer shall be entitled to the insunmce proceeds relating to such danuge to the Property. SPECIAL PROVISIONS: 1. Seller agrt!es to provide to Buyer a [rue and complete photocopy of each :lOd every environmental report in Seller's possession or prepared at the request or for the benefit of Seller and pernUning to the Property, promptly within five days of the execution of this Option; and Seller further agrees to provide to Buyer true and comple~ photocopies of each and every subsequent upchte, supplement or continuation thereof, and any new or additional environmental report or audit of the Property conduCted by or for the benefit of Seller from time to time b~een the date hereof :and the date of closing hereunder, promptly within five days of Seller's receipt thereof. 2. For 30 days after the Option is exercised, Buyer may obtain or cause to be performed an enviromnental audit Df the Property at Buyer's sole discretion and expense. If the results of said 3.udit disclose the existence or threat of contamiog.tion or liability for: 'contamination to be \.l.02cceptable to Buyer, Buyer, upon notice to Seller within 10 days of Buyer's receipt of said audit, may declare this Option to be null and void. in such event the option fee shall be retained by Seller. 3. Unless expressly agreed to the contr:U")" by Buyer, all risk of loss and all income and expense associated with the Property shall remain with Seller through tbe date of Closing. 4. :w me event this Option is e:xercised by Buyer, Seller, subject to each of the conditions specified in this Special Provision no. 4, -agrees to provide to or for the benefit of Buyer, its successors :and assigns (and Buye~'s obligation to C:On.summg.te the purchase of the Propeny pursuant to this Option is subject to Buyer's receipt ot) :m Acquisition Grant in:an amount sufficient to reduce Buyer's actual payment o~ligation at tbe Closing hereunder to $123,950,00. Said Acquisition Grant shall be provided by Seller and shall be paid and/or applied in reduction of me purchase price of the Property at the time of Closing. Said Acquisition Gr.ult shall be provided upon the condirion that Buyer shall cause the Beneficiary or such other tena.nt, occupant or user of the Property to enter into an agreement with the Seller, pursuant to which said parry contracting with the Seller shall a.gree to create no fewer than 30 new full time equivalent permanent positions within 24 months of completion and occupancy of the building to be constructed upon the Property, as contemplated by Special Provision no. 5, bel 0'9.'. 5. As 3 condition precedent to Closing, Buyer shall enter into an agreement with Seller which obligates Buyer to complete development and construction of ;m office building on the Property which contains at le2St: 30,000 square feet of space, together with related parking lot and site improvemeOIS, within U months . after the date of Closing. 6. Buyer acknowledges and a~rees that as a condition of this Option Buyer first shall offer to develop the Property for the benefit of the owner, ten:mt or occupant of the buildin, constructed on Lot 11, Block 2 of Dubuque Technology Park (the "Beneficiary") and only after receiving written evidence of the rejection of such offer by Beneficiary (and after furnishing a copy thereof to Seller) may the Buyer Construct the building :lOd improvements contempl:ated by Speci:ti Provision no. 5, above, for the use or occupancy of a party other ili:an s.ud Beneficiary, 7. In the event that the agreements and/or notices contemplated in Speci:1l Provisions nos -t-t., above, :u-e not fully c011SUn1Ulated, .executed and delivered prior to or :rl: me time of Closing, the Seller shall have no obligation to convey the Property to Buyer as prD'vided herem. Page 3 , "-' , , 1.cJ'-' 'j.' .::.. J 1--+ -..Q...... I - ~ L.,..... Ir ur uutjUUUI::. j t-'age:cu FROM :GRIFFIN LRW OFFICE 50:3 274 4847 1'398,12-11 14:58 #828 P.20/21 . Seller and Buyer agree to act in good fairh and to use diligence in completing the terms of this agreemenr. This agreement binds and inures to the benefit of the parties hereto and their respective successors and 3S$igns. mE WA.R.RANTIES AND REPRESENTATIONS MADE HERUN ARE INTENDED TO CONl1NlT.E UNTIL lHE CLOSING HAS BEEN CONSUMMATED. THE UNDERSIGNED SElLER HEREBY AGREES TO SELL AND CONVEY ~ ABOVE-DESCRIBED PROPERTY ON THE. TERMS AND CONDmONS AS SET FORTH ABOVE AND ACKNOWlEDGES RECEIPT OF A COpy OF TInS OPTION. IN WITNESS WHEREOF, the Buyer md Seller have caused this instrument to be executed by their respective duly authorized representatives as of this day of I 199_ Sdkr.: lhq.e:r.: CITY OF DUBUQUE. lOW A HORIZON DEVELOPMENT GROUP, llC Federal Taxpayer Identification No.: Federal Taxpayer Identification No.: 39-1861225 by: by: tide: Charles V. Heath, Authorized Member attest: title: ACKNOWLEDGMENT STATE OF IOWA ) ) 55. DUBUQUE COUNTY ) On this day of , 199_, before me, the undersigned, a Notary' Public in and for the Srate of Iowa, personally appeared and to me knO'Wll, who being by me duly sworn, did say that they are the and respectively, of the municipal corporation executing the within :wd foregoing instrument to which this acknowledgment is attached, that said instrument Was signed (and sealed) on behalf of th~ municipal corporation and that they, as officen, acknowledged the execmion of the foregoing mstruml!nt to be the voluntary net and deed of s.ud municipal corporation, by it and by them voluntarily executed, Notary Public in and for the SUte of Iowa My Commission Expires; Pa.ge -4 Hece~vea: l~/II/~O It..,): I...); UwO ...'- "-t -+~"""I - -~ ,--,-L If "-JI LJUULJ'--'UL, r-<':l-_l<:::' '- I FROM : GRIFFIN LRlJ OFFICE 50:::: 2'""4 4:347 1998,12-11 14:58 #828 P.21/21 ACKNOWLEDGMENT STATE OF WISCONSIN ) ) S.9. DA:NECOUNTY ) On this day of , 199 _' before me, the undersigned, a Notary Public in and for the State of Wisconsin, personally a.ppe:u-ed Charles V. Heath, to me known, who being by me duly sworn, did say that he is the Authorized Member of Hamon Development Group, LiC, a Wi~comin limited liability comp:mYt that the foregoing instmment W:l.S signed (and sealed) on behalf of said entity by authority of its members and that he, as the Authorized Member, acknowledged the execution of the foregoing instrument to be the voluntary act and deed of said entity, by it and by him voluntarily executed. Notary Public in and for the State of Wisconsin My Commission Expires: EXERCISE OF OPTION The undersigned Buyer hereby exercises the above option. Dated: ~ORIZON DEVELOPMENT GROUP, LLC by: Charles V. Heath, Authorized Member Page 5 CITY OF DUBUQUE, IOWA PUBLIC NOTICE OF MEETING Government Body: CITY COUNCIL Time: 5:00 O'CLOCK P.M. Date: TUESDAY, DECEMBER 15r 1998 Place of Meeting: PUBLIC LIBRARY AUDITORIUM NOTICE IS HEREBY GIVEN that the above identified governmental body will meet at the time, date and place as set forth above. The TENTATIVE AGENDA for the meeting is as follows: SPECIAL MEETING ITEM TO BE SET FOR PUBLIC HEARING 1. City Manager requesting public hearing be set for 1-18-99 to consider disposing of property in Dubuque Technology Park. Establishing minimum development requirements for Lots 10 & 11, Block 2 Dubuque Technology Park; Accepting the proposal submitted by Horizon Development Group, LLC for CarteGraph Systems, Inc.; and soliciting competitive proposals from other developers. CLOSED SESSION - In accordance with Chapter 21.5 1 m To discuss the purchase of particular real estate where premature disclosure could be reasonably expected to increase the price the governmental body would have to pay for that property. This notice is given pursuant to Chapter 21, Code of Iowa, 1997, as amended, and applicable local regulations of the City of Dubuque, Iowa and/or governmental body holding the meeting. ~A41~ , City Clerk ANY VISUAL OR HEARING IMPAIRED PERSONS NEEDING SPECIAL ASSISTANCE OR PERSONS WITH SPECIAL ACCESSIBILITY NEEDS SHOULD CONTACT THE CITY CLERK'S OFFICE AT (319) 589-4120 OR TDD (319) 589-4193 IN THE HUMAN RIGHTS DEPARTMENT AT LEAST 48 HOURS PRIOR TO THE MEETING. CITY OF DUBUQUE, IOWA PUBLIC NOTICE OF MEETING Government Body: CITY COUNCIL Time: 5:00 O'CLOCK P.M. Date: TUESDAY, DECEMBER 15,1998 Place of Meeting: PUBLIC LIBRARY AUDITORIUM NOTICE IS HEREBY GIVEN that the above identified governmental body will meet at the time, date and place as set forth above. The TENTATIVE AGENDA for the meeting is as follows: ITEM TO BE SET FOR PUBLIC HEARING 1. City Manager requesting public hearing be set for 1-18-99 to consider disposing of property in Dubuque Technology Park. Establishing minimum development requirements for Lots 10 & 11, Block 2 Dubuque Technology Park; Accepting the proposal submitted by Horizon Development Group, LJ,,,C-forCarteGraph SystemstlJlc.; and soliciting competit~~_~_9r.oposals from other developers.- ~__, ,,..,,,..-"" /~...._~. . CLOSED SESSION -In accordance with Chapter 21.5 1(j) To discuss tti / purchase of particular real estate where premature disclosure could be reasonably expected to increase the price the governmental body would! have to pay for that property. ! / This notice is given pursuant to Chapter 21, Code of Iowa, 1997, as / ended, and applicable local regulations of the City of Dubuque, Iowa ancJIor overnmental body holding the meeting.// ..,/' -~._- --.._-----~. ----. .- -_// ....".....,......."'. Mary t\....~rs CMC .._____ .----- --- - ------City CI erk ANY VISUAL OR HEARING IMPAIRED PERSONS NEEDING SPECIAL ASSISTANCE OR PERSONS WITH SPECIAL ACCESSIBILITY NEEDS SHOULD CONTACT THE CITY CLERK'S OFFICE AT (319) 589-4120 OR TOO (319) 589-4193 IN THE HUMAN RIGHTS DEPARTMENT AT LEAST 48 HOURS PRIOR TO THE MEETING. CITY OF DUBUQUE, IOWA MEMORANDUM November 9, 1998 FROM: Michael Van Milligen, City Manager ~ ~--"--- r/tJ 6- JametyUrke, Comrrtuniti &"ECQ'00 IC Development Director f~~ Disposition of Dubuque Technology Park Site I /' Horizon Development Group, LLC for CarteGraph Systems, Inc. '/ j ? (#4 If-- ,d4--..( TO: SUBJECT: INTRODUCTION This memorandum presents for City Council consideration a Resolution initiating disposition of a lot in the Dubuque Technology Park to Horizon Development Group. Horizon has been selected by CarteGraph Systems to be the developer and owner of this property. The Resolution establishes the minimum development requirements of the site, accepts the development proposal submitted by Horizon, and solicits competitive proposals from other developers. Unless competing proposals are received, the Council will act on this request at its December 21, 1998 meeting. BACKGROUND In the fall of 1996, the City Council authorized the development of an industrial/ technology park on property located on US 61/151 at Lake Eleanor Road. The purpose of the development is to provide development-ready sites for new and expanding businesses. CarteGraph Systems, Inc. has outgrown its leased facilities in the Dubuque Corporate Center and has announced plans to locate and expand in the Dubuque Technology Park. They are working with Horizon Development Group to build and lease approximately 30,000 square feet of corporate office space to accommodate the company's planned expansion. The lease arrangement allows the company to use its cash flow to finance internal growth and market expansion versus investment in j ,)\y"" ;~' \ ",'" \. \ ,'~\'.~:l/ V/~\ t...l \ \ 'itf~l ,/ ::.,../ \ '"' s located in an urban renewal district, the City must :neral, the law requires that the City may sell or lease lably competitive bidding procedures. These include hirty-day public notice of the City's intent to execute the City must dispose of the property at its fair market 'enewal plan. \, \.)'" ; ".//" .. /' ~. /S;--/?J/ --- ~- ~:I~ ---" '> -=~ ~) ~/ @ C7t-<-v~#~" _#~~__J ~-,~~1f:i; ch~.~...~;!~ .' ~.~-' @r~.~ ~~;f: E~.j,.<---:--e1~..d. & ~ L-/ ;: //-. 1/ cJ/~' ~ ,) /~ - ?~:~~~>~~h:~> / ~dUh'~7" ,/,,-/ ~~.~ ~~~JC'. ~..d~.,::~-~.. ~ A..~ .' ", ,/' .; .c ~ // / . 1 ,~.. ~.(y. ; .., ~/.it1~"'./.iF~~P>LZ~.'.--<. ."'. ,/. 'UP~.'.:L'.!.o_;~kO~.~ ,10~.J-- / . ~ / I #' /%!;~ ' ,- '~'~1 P~:/~!:&:j,YIb (/7/c j-d~-:>kJ'~ " ~j' "r"~-~'" /L0~T/ ~.. ~ ~",j' c:t. :;~/~//~'~C' ~ ,?~:Zc' ), r/r.....~.. /l'.Li...-/. r?~~~ --- /i~~ h V /" J i / ~ . ' ~ ';I ---'7/ ~ - "c-4.7./ '. .y----z~_<f"~-c-?"~ v .'," ~47r7~'f~ C>'- ' . . '.'. If /J A .,. n - ~.vU ~- J?T1/ "f... () / /),0, :/0 I pF ~- 6t/U }) i~ .~- \ . v.: / // ~ Y~6 \ \~ I (" !p\ J ~ ~~, //~/ /..... ~ , c7IJ 7 s- o-CJ /' df~ ~tJ ~l ~ _. ~~7 Y" ~D ~ 6,0 ? ~ 1 p j3~ ~_1~1 ' _877 & J- 171 CITY OF DUBUQUE, IOWA PUBLIC NOTICE OF MEETING Government Body: CITY COUNCIL Time: 5:00 O'CLOCK P.M. Date: TUESDAY. DECEMBER 15. 1998 Place of Meeting: PUBLIC LIBRARY AUDITORIUM NOTICE IS HEREBY GIVEN that the above identified governmental body will meet at the time, date and place as set forth above. The TENTATIVE AGENDA for the meeting is as follows: SPECIAL MEETING ITEM TO BE SET FOR PUBLIC HEARING 1. City Manager requesting public hearing be set for 1-18-99 to consider disposing of property in Dubuque Technology Park. Establishing minimum development requirements for Lots 10 & 11, Block 2 Dubuque Technology Park; Accepting the proposal submitted by Horizon Development Group, LLC for CarteGraph Systems, Inc.; and soliciting competitive proposals from other developers. CLOSED SESSION -In accordance with Chapter 21.5 1(j) To discuss the purchase of particular real estate where premature disclosure could be reasonably expected to increase the price the governmental body would have to pay for that property. This notice is given pursuant to Chapter 21, Code of Iowa, 1997, as amended, and applicable local regulations of the City of Dubuque, Iowa and/or governmental body holding the meeting. ~(l~ Mary. . Davis CMC ity Clerk ANY VISUAL OR HEARING IMPAIRED PERSONS NEEDING SPECIAL ASSISTANCE OR PERSONS WITH SPECIAL ACCESSIBILITY NEEDS SHOULD CONTACT THE CITY CLERK'S OFFICE AT (319) 589-4120 OR TOO (319) 589-4193 IN THE HUMAN RIGHTS DEPARTMENT AT LEAST 48 HOURS PRIOR TO THE MEETING. CITY OF DUBUQUE, IOWA PUBLIC NOTICE OF MEETING Government Body: CITY COUNCIL Time: 5:00 O'CLOCK P.M. Date: TUESDAY. DECEMBER 15r 1998 Place of Meeting: PUBLIC LIBRARY AUDITORIUM NOTICE IS HEREBY GIVEN that the above identified governmental body will meet at the time, date and place as set forth above. The TENTATIVE AGENDA for the meeting is as follows: SPECIAL MEETING ITEM TO BE SET FOR PUBLIC HEARING 1. City Manager requesting public hearing be set for 1-18-99 to consider disposing of property in Dubuque Technology Park. Establishing minimum development requirements for Lots 10 & 11, Block 2 Dubuque Technology Park; Accepting the proposal submitted by Horizon Development Group, LLC for CarteGraph Systems, Inc.; and soliciting competitive proposals from other developers. CLOSED SESSION - In accordance with Chapter 21.5 1 U) To discuss the purchase of particular real estate where premature disclosure could be reasonably expected to increase the price the governmental body would have to pay for that property. This notice is given pursuant to Chapter 21, Code of Iowa, 1997, as amended, and applicable local regulations of the City of Dubuque, Iowa and/or governmental body holding the meeting. ~u-~ Mary. . Davis CMC ity Clerk ANY VISUAL OR HEARING IMPAIRED PERSONS NEEDING SPECIAL ASSISTANCE OR PERSONS WITH SPECIAL ACCESSIBILITY NEEDS SHOULD CONTACT THE CITY CLERK'S OFFICE AT (319) 589-4120 OR TOO (319) 589-4193 IN THE HUMAN RIGHTS DEPARTMENT AT LEAST 48 HOURS PRIOR TO THE MEETING. **************************************************************************************************** * P,01 * * TRANSACTION REPORT * * DEC-14-98 MON 12:42 PM * * * * BROADCAST * * * * DATE START RECEIVER TX TIME PAGES TYPE NOTE M# DP * * * * DEC-14 12:38 PM FOX 40 41" 1 SEND OK 216 * * 12: 39 PM TH 28" 1 SEND OK 216 * * 12:40 PM KDTH 35" 1 SEND OK 216 * * 12: 41 PM WDBQ 28" 1 SEND OK 216 * * * * TOTAL : 2M 12S PAGES: 4 * * * **************************************************************************************************** CITY OF DUBUQUE, IOWA PUBLIC NOTICE OF MEETING Government Body: CITY COUNCIL Time: 5:00 O'CLOCK P.M. Date: nJeSDAY, DECEMBER 15,1998 Place of Meeting: PUBLIC LIBRARY AUDITORIUM · 4 NOTICE IS HEREBY GIVEN that the above identified governmental body will meet at the time, date and place as set forth above. The TENTATIVE AGENDA for the meeting is as follows: SPECIAL MEETING ITEM TO Bt: SET FOR PUBLIC HEARING 1. City Manager requesting public hearing be set for 1-18-99 to consider disposing of property in Dubuque Technology Park. Establishing minimum development requirements for Lots 10 & 11, Block 2 Dubuque Technology Park; Accepting the proposal submitted by Horizon Development Group, LLC for CarteGraph Systems, Inc.; and soliciting comDetitive proposals from other developers.