HomeMy WebLinkAbout93-176 Resolution No. 93-176
RESOLUTION
AUTHORIZING EXECUTION OF AN AMENDMENT TO DEVELOPMENT AGREEMENT
WITH ELGIN RIVERBOAT RESORT
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN,
ILLINOIS, that George VanDeVoorde, Mayor, and Dolonna Mecum,
City Clerk, be and are hereby authorized and directed to
execute an Amendment to Development Agreement on behalf of the
City of Elgin with Elgin Riverboat Resort providing for an
assignment of an easement over and upon property located
between National Street and Lake Street, a copy of which is
attached hereto and made a part hereof by reference.
s/ George VanDeVoorde
George VanDeVoorde, Mayor
Presented: June 23, 1993
Adopted: June 23, 1993
Vote: Yeas 7 Nays 0
Recorded:
Attest:
s/ Dolonna Mecum
Dolonna Mecum, City Clerk
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January 10, 1994
MEMORANDUM
TO: Loni Mecum, City Clerk
FROM: William A. Cogley, Assistant Corporation Counsel
SUBJECT: Amendment to Development Agreement with Elgin
Riverboat Resort
Attached find an originally executed copy of the June 12, 1993,
Amendment to the Development Agreement with Elgin Riverboat
Resort.
WAC
mg
Attachment
,
RAGREE/AMDEVAGR.FP
AMENDMENT TO DEVELOPMENT AGREEMENT
THIS AGREEMENT is made and entered into as of
June 23, 1993, by and between the City of Elgin, a municipal
corporation, (hereinafter referred to as the "City" ) , and
Elgin Riverboat Resort, an Illinois partnership, (hereinafter
referred to as "Developer" ) ;
WHEREAS, the City and Developer entered into a
Development Agreement on June 24, 1992, for the establishment
of a riverboat gaming facility on the Fox River within the
corporate limits of the City; and
WHEREAS, said Development Agreement provides for the
Developer and the City to work jointly with the Kane County
Forest Preserve District to obtain an easement for access
between the pavilion and the riverboat to be located on the
Fox River; and
WHEREAS, the City has entered into a certain
Easement Agreement as Grantee with the Kane County Forest
Preserve as Grantor for an easement over Forest Preserve
District property located between National Street and Lake
Street along the eastern boundary of the Fox River in Elgin,
Kane County, Illinois;
WHEREAS, the City desires to assign and the
Developer desires to assume the rights, duties, obligations
and liabilities of the City as Grantee under said Easement
Agreement; and
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WHEREAS, in order to accomplish the assignment of
said easement agreement the parties desire to amend the
subject development agreement by amending the ground lease
agreement which is attached to the development agreement as
Exhibit 1 .
NOW, THEREFORE, in consideration of the recitals set
forth above, and the mutual promises and covenants contained
in the original Development Agreement and as contained herein,
and other good and valuable consideration, the receipt and
sufficiency of which is hereby acknowledged, the parties
hereto agree as follows :
1 . That this amendment agreement is hereby
incorporated into and amends the development agreement between
the City and Developer dated June 24 , 1992 .
2 . That the original form of ground lease agreement
attached to the subject development agreement as Exhibit 1 is
hereby amended by adding the following new section 38 at the
end of said lease agreement:
"38. Assignment of Easement Agreement with
Kane County Forest Preserve District
A. That subject to the terms, covenants,
conditions and provisions of the subject
Easement Agreement attached hereto as Exhibit D,
the landlord hereby transfers and assigns to the
tenant all of its right, title and interest as
it may have lawfully acquired as Grantee in, to
and under the subject Easement Agreement.
B. That the tenant hereby accepts the
Assignment from the landlord and assumes all
rights, duties, obligations and liabilities of
the Grantee under the subject Easement Agreement
and shall perform, discharge, fulfill and
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observe all terms, obligations, covenants,
conditions and provisions of the subject
easement agreement accruing from and after the
date hereof under the subject easement agreement
with the same force and effect as if the tenant
were the original Grantee under the subject
Easement Agreement.
C. That the Developer covenants and agrees to
protect, defend, indemnify, and hold harmless
the landlord and the Kane County Forest Preserve
District from and against any and all
liabilities, losses, expenses, costs, suits,
judgments, claims and demands whatsoever in law
or in equity, incurred or suffered by the
landlord and/or the Kane County Forest Preserve
District that may arise in connection with the
subject Easement Agreement from and after the
date hereof.
D. That at all times during the use and
occupancy of the easement premises by the
tenant, the tenant will maintain general
comprehensive public liability insurance against
claims for bodily injury, death or property
damage occurring on, in, or about the easement
premises and the adjoining streets, sidewalks,
and passageways as set forth in the preceding
section 11 . In addition to the requirements for
insurance under Section 11, such insurance shall
name as the insured parties thereunder, the
tenant or its assigns, the landlord and the Kane
County Forest Preserve District. Tenant shall
deliver to the landlord promptly after the
execution of this lease the original or
duplicate policies or certificates of insurance,
including certificates evidencing the naming of
the landlord and the Kane County Forest Preserve
District as additional insured, satisfactory to
the landlord evidencing all the insurance which
is then required to be maintained by the tenant
hereunder.
E. That tenant further agrees that any and all
costs associated with any bike path relocation
during construction by the tenant and any and
all costs which might be incurred by the
landlord associated with the possible relocation
of the bike path under National Street shall be
paid for by the tenant.
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F. That this Assignment is further subject to
the condition and becomes effective upon the
preliminary finding of suitability by the
Illinois Gaming Board of Tenant 's application
for a gaming license.
G. That tenant shall occupy and use the
easement premises described in the attached
easement agreement subject to the terms of the
easement agreement and subject to the terms and
requirements of this ground lease.
H. That this Assignment shall be binding upon
and enure to the benefit of the landlord, the
tenant and the respective legal representatives,
heirs, successors and assigns . "
IN WITNESS WHEREOF, the parties have executed or
have caused this Agreement to be executed on the day and year
first written above.
CITY OF ELGIN, a municipal ELGIN RIVERBOAT RESORT,
corpor ion an Illinois partnership
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By �� - /4tz Brits eneral Partner
George/ anDeVoorde, Mayor
Attest:
1
Oliff
14/ ,� I IC 1+AKbi L. Sc N u-__2 E.
Do onna Mecum, City Clerk Name
VICE- p`c.V' l
Title
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Elm
elk ;�� Agenda Item No.
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June 17, 1993
MEMORANDUM
TO: Mayor and Members of City Council
FROM: Larry Rice, -City Manager
SUBJECT: Approval of Agreements Relating to a Grant of
Easement from the Kane County Forest Preserve
District
PURPOSE: Approval is requested of (1) an intergovernmental
agreement with the Kane County Forest Preserve District,
(2) an easement agreement with the Kane County Forest Preserve
District, (3) an amendment to the development agreement with
Elgin Riverboat Resort, and (4) a trust agreement with the
Kane County Forest Preserve District and Elgin Riverboat
b4 Resort.
BACKGROUND: On June 24, 1992, the city entered into a
development agreement with Elgin Riverboat Resort for the
establishment of a riverboat gaming facility. The development
agreement provides for the developer and the city to work
jointly with the Kane County Forest Preserve District to
obtain an easement for access between the pavilion and the
riverboat to be located on the Fox River. On June 8, 1993,
the Kane County Forest Preserve District approved an
intergovernmental agreement and an easement agreement with the
city and a trust agreement with the city and Elgin Riverboat
Resort. The agreements provide the city with an easement over
Forest Preserve District property located between National
Street and Lake Street along the eastern boundary of the Fox
River. In order to allow developer access between the
proposed pavilion and riverboat, it will be necessary for the
city to approve the intergovernmental agreement and easement
agreement and to assign the easement agreement to the
developer. The assignment of the easement agreement is
proposed to be accomplished through amending the current
development agreement by incorporating the assignment into the
proposed ground lease. Finally, as consideration for the
grant of easement by the Kane County Forest Preserve District,
the Forest Preserve District has prepared and approved a Fox
River Trust Agreement between Elgin Riverboat Resort, the City
and the Kane County Forest Preserve District. The Trust
Mayor and Members of City Council
June 17, 1993
Page 2
Agreement requires Elgin Riverboat Resort to make annual
payments of $500,000 into the trust for the next 12 years.
These monies will be held in trust by the Kane County Forest
Preserve District and utilized for improvements to the Fox
River. There are no obligations of the City to make any
payments under this trust agreement.
FINANCIAL IMPACT: There are no additional costs or liabilities
to the city as a result of the proposed agreements. The
proposed amendment to the development agreement specifically
provides for indemnification and substantial insurance
requirements on the part of the developer and for the
developer to pay all costs associated with any potential bike
path relocation. The developer is also the only party
required to make payments under the trust agreement with the
Forest Preserve District.
RECOMMENDATION: It is recommended that the City Council
approve the intergovernmental agreement and easement agreement
with the Kane County Forest Preserve District, approve the
proposed amendment to the development agreement with Elgin
Riverboat Resort and approve the proposed Fox River Trust
Agreement with Elgin Riverboat Resort and the Kane County
Forest Pres: -ve—D strict.
rArer
Lar" r"'ice, City Manager
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