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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 R 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 I 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 -2- ' •j 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. -3- • 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 1, .1 7-66i L 4.4'444d P4-11"*/ 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 -4- f � Elm elk ;�� Agenda Item No. r 9�oq 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 r