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HomeMy WebLinkAbout99-318 Resolution No. 99-318 RESOLUTION AUTHORIZING EXECUTION OF A FACADE IMPROVEMENT PROGRAM AGREEMENT (113-117 W. Chicago Street) BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS, that Joyce A. Parker, City Manager, and , Dolonna Mecum, City Clerk, be and are hereby authorized and directed to execute a facade improvement program agreement on behalf of the City of Elgin with Joseph Connella for the property commonly known as 113-117 W. Chicago Street, a copy of which is attached hereto and made a part hereof by reference . s/ Ed Schock Ed Schock, Mayor Presented: December 15 , 1999 Adopted: December 15, 1999 Omnibus Vote : Yeas 7 Nays 0 Attest : s/ Dolonna Mecum Dolonna Mecum, City Clerk CITY OF ELGIN FACADE IMPROVEMENT PROGRAM AGREEMENT STATE STREET FACADE PROGRAM THIS AGREEMENT is made and entered into this l,Ivv day of December, 1999 , by and between the City of Elgin, Illinois, a municipal corporation (hereinafter referred to as "City") , and Joseph Connella, (hereinafter referred to as "Owner") . WHEREAS, City has established a facade improvement program (hereinafter referred to as "Program") for application within certain areas of the corporate limits of City designated by City as appropriate for such application (hereinafter referred to as "Rehabilitation Areas") ; and WHEREAS, Program is administered and funded solely by City for purposes of the control and prevention of blight, dilapidation and deterioration of Rehabilitation Areas; and WHEREAS, pursuant to Program, City has undertaken to share the cost of facade improvements to certain structures within Rehabilitation Area, pursuant to the criteria set forth herein; and WHEREAS, Owner owns at least 50% of a commercial building (s) , or is the tenant of a commercial building (s) located within a Rehabilitation Area, and owner desires to participate in Program pursuant to the terms and provisions of this Agreement . NOW, THEREFORE, in consideration of the mutual promises and covenants contained herein, the sufficiency of .which is hereby acknowledged, the parties hereto hereby agree f llows : Sec 1 on . City shall pa7 to Owner a sum not to exceed $50, 000 for facade improvements approved pursuant to the provisions of this Agreement (hereinafter referred to as "Eligible Costs") for the Structure referred to at Section 17 herein (hereinafter referred to as "Structure") . The project shall be confined to approved improvements made to that part of the Structure fronting on State Street . All parties hereto agree that all payments from the City provided for herein shall be made to Joseph Connella, who shall provide the City with a full release upon receipt . Section 2 . Eligible costs shall include labor, material and equipment costs, and such other costs as may be reasonably necessary for the execution and completion of the facade improvement hereby provided for (hereinafter referred to as the "Work") , as designated from the design drawings and specifications approved by the Project Review Team pursuant to the provisions of Section 3 . Section 3 . No Work shall be undertaken or shall be considered to constitute the basis for an Eligible Cost until the design for such Work has been submitted to and approved in writing by the Project Review Team, consisting of the City' s Director of Business Services and Properties, City' s Historic Preservation Specialist, and City' s Rehabilitation Specialist . Such design shall include, but not be limited to, a date certain by which the Work shall be completed. In no event shall such work be completed more than one - hundred eighty (180) days from the date of this Agreement withou the written consent of the Application Review Team. Section 4 . Notwithstanding anything to the contrary provided in this agreement, it is understood by the parties that the project activities include exploratory demolition on the east elevation which may disclose required facade improvements in addition to the work contemplated in this agreement . In such an event, it is understood that the owner may pursue an amended application to the City for further improvements to be included within the facade improvement program for the subject property and further participation by the City. Any such further participation by the City shall be at the sole and exclusive discretion of the City and shall require a written amendment to this agreement executed by the parties . Section 5 . The Project Review Team shall be permitted access to Structure to periodically review the progress of the Work. Such review shall not be in lieu of any other inspections which may otherwise by required by law or by City. Any and all portions of the work which do not, in the sole discretion of the Project Review Team, conform to the Plans or other applicable terms of this Agreement, shall be made to conform to the Plans and other applicable .. Terms of this Agreement upon written notice of the existence of such non-conforming portions . Section 6 . Upon completion of the Work, and upon final inspection and written approval by the Project Review Team and such other final inspections and approvals as may be required by law, Owner shall submit to City: (1) an executed, notarized itemized contractor statement reflecting the total cost of the Work and each portion thereof, including, but not limited to, the cost of labor (whether provided by any contractor or subcontractor) , materials and equipment; (2) copies of all bids, contracts and invoices submitted, executed or incurred pursuant to the Work; and (3) reasonable proof of payment of all costs incurred pursuant to the Work. Section 7 . City shall pay to Owner the sum provided for at Section 1 herein within thirty (30) days of owner' s compliance with the provisions of Section 6 herein. In no event shall the amount paid to Owner exceed the amount specified in this Agreement or in the contractor statement . 2 Section 8 . In the event Owner fails to complete the Work in accordance with the terms of this Agreement, or otherwise breaches the terms of this Agreement, City may terminate this Agreement upon written notice of breach and termination to Owner, and any and all financial or other obligations on the part of City shall cease and become null and void. Section 9 . Upon completion of the Work, and for a period of five (5) years thereafter, Owner shall properly maintain the Work in its finished form, without alteration or change thereto, and shall not enter into any agreement, or take any other steps to alter, change or remove such Work, or to create or undertake any other work which may constitute a deviation from the Plans, without prior written approval from the Project Review Team in its sole discretion. Section 10 . Nothing herein is intended to limit, restrict or prohibit the Owner from undertaking any other work in or about the subject premises which is unrelated to the facade improvement provided for in this Agreement . Section 11 . This Agreement shall be binding upon City and its successors, and upon Owner, Owner ' s successors and assigns for a period of five (5) years from and after the date of completion and approval of the work. Owner shall provide subsequent Owner (s) of Structure with a copy of this Agreement . This Agreement shall run with the land underlying Structure . Section 12 . If Owner does not own the underlying property for which work is being done, Owner warrants and represents to City that Owner has a lease at the location for which the work is proposed for a term of at least six (6) years . Owner further warrants and represents that he has received authorization from all owners of the property for which work is to be done to accept funds under this program and to undertake the work. Further, such owner (s) of the property for which work is to be done hereby acknowledges that he is aware of this Agreement and authorized the work which is to be made to the Structure . Said owner (s) of the property for which improvements are to be made further acknowledge that, as owner of the property, he is a party to this Agreement and is bound by the provisions of this Agreement specifically, but not limited to, the provisions of Section 6 of this Agreement . Each "Owner" signature hereto hereby warrants and represents that there are no other entities having an ownership interest in the Structure, which have not executed this Agreement . Section 13 . Owner hereby holds harmless and indemnifies City from and against any and all causes of action, suits, claims for damages, and any and all other liability, which may arise out of or in connection with Owner ' s or Owner' s agents, employees and assigns ' negligent performance of any of the terms of this Agreement . 3 Section 14 . This Agreement shall not be construed to create a partnership, joint venture or employment relationship between the parties hereto . Section 15 . This Agreement shall be subject to and governed by the laws of the State of Illinois . The parties hereto hereby agree that venue for any and all actions which may be brought by each and either of them to enforce the provisions of this Agreement shall be in the Circuit Court of Kane County, Illinois . Section 16 . The terms of this Agreement shall be severable . In the event that any of the terms or provisions of this Agreement are deemed to be void or otherwise unenforceable for any reason, the remainder of this Agreement shall remain in full force and effect . Section 17 . Owner ' s Name : Joseph Connella Address : 4257 S . Archer Avenue City: Chicago State : IL Zip Code : 60632 Telephone Number: Property Location: 113/117 W Chicago Street Ownership Interest : Owner Contact Person: Joseph Connella Owner' s Name : Address : City: State : IL Zip Code : Telephone Number: Property Location Ownership Interest : Owner: Owner ' s Name : Address : City: State : IL Zip Code : Telephone Number: Property Location Ownership Interest : Tenant : Owner' s Name : Address : City: State : IL Zip Code : Telephone Number: Property Location Ownership Interest : Section 18 . Prior to the Installation of "brick-look" dryvit material on the east & south elevations of the buildings, the City shall approve in writing the material chosen by the owner. 4 IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the date first appearing above . OWNER CITY CY ELGIN By Joseph Connellla Joyce . , arker, City Manager OWNER ATTEST: Dolonna Mecum, tity Clerk Owner Owner Owner 5 - H Agenda Item No. City of Elgin October 15, 1999 TO: Mayor and Members of the City Council FROM: Joyce A. Parker, City Manager SUBJECT: Request for Funding Under State Street Facade Improvement Program, 113 and 117 West Chicago Street PURPOSE The purpose of this memorandum is to present to the Mayor and members of the City Council a request for funding projects at 113 and 117 West Chicago Street (Beauty School) under the State Street Facade Program. BACKGROUND The owner of 113 and 117 West Chicago Street, Joe Cannella, has submitted an application for participation under the State Street Facade Program (attached) . The project proposed by Mr. Cannella would involve the following scope of work: 1 . Remove the existing purple metal on 117 West Chicago Street, and install new aluminum frame store fronts . 2 . Clean existing bricks and install new bulk heads in front of both buildings. 3 . On the east side of 113 West Chicago Street and the rear of z ` both buildings, install red brick-style dryvit . 4 . Remove the existing glass blocks on 2nd floor of 117 West Chicago Street and install aluminum double hung windows . The key elements to these properties are the restoration of the north facades of both buildings. Store fronts will be returned to a more traditional look, brick will be cleaned and windows replaced. The east and south facade of 113 and 117 West Chicago Street presents a challenge in terms of restoration. The surface is a common brick that has been painted and is deteriorating. Any attempt to clean and wash the wall would result in further deterioration of the surface brick. The owner has proposed the use of a "brick look" dryvit panel on the east and south walls. Staff, including the Historic Preservation Specialist, has reviewed the request and concurs with the proposed "brick look" dryvit option. Facade Improvement for 113/117 West Chicago Street October 15, 1999 Page 2 Two quotes were obtained for the proposed work: Fraz Artech 1 . 113 West Chicago Street $ 65, 000 $ 60, 000 2 . 117 West Chicago Street 51 . 000 60 , 000 $116, 000 $120, 000 Based on the low bids estimate for both buildings, the owner is eligible for a maximum grant amount of $25, 000 for each structure . COMMUNITY GROUPS/INTERESTED PERSONS CONTACTED New Century Partnership and Downtown Neighborhood Association are familiar with the proposed project . FINANCIAL IMPACT Approval of the proposed work would result in a rebate to Mr. Cannella of up to $50, 000 ($25, 000 per each address) . The funding request is being considered as two separate projects. 113 and 117 West Chicago Street are two distinct buildings that have been modified to allow for a common area on the first floor. The total budget in the State Street Facade Improvement Program is $120, 000 and all expenses would be charged to account number 275- 0000-791 . 78-99 . To date, $44 , 000 has been paid or committed on four State Street facade projects. WV LEGAL IMPACT None. ALTERNATIVES 1 . Approve the request from Mr. Cannella for up to $25, 000 to pay for costs associated with the project at 113 West Chicago Street and approve the request for up to $25, 000 to pay for costs associated with the project at 117 West Chicago Street . 2 . Reject the request to fund the facade project . Facade Improvement for 113/117 West Chicago Street October 15, 1999 Page 3 RECOMMENDATION It is recommended that the request for participation in the State Street Facade Program be approved and a rebate of up to $50, 000 be obligated for payment upon approved completion of the facade improvements . 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O }. r }e Ira. ti r<IaA'!s,�a�•.. t• _ a�;s A' 7t1°iM��y�z h Joe Connalla (owner) 113 & 115 Chicago Street Elgin, IL. 773-523-7211 We will furnish all the required materials, which we guarantee will be as specified, and we will perform all the labor required for the completion of the renovation of the buildings commonly known as 113 (building 1 ) and 115 (building 2) W. Chicago Street, Elgin, IL. Proposal as follows 1 ) Remove the existing purple metal on Building 2 and install new aluminum frame store :Fronts. 2) Clean existing bricks and install new bulk heads in front of Buildings 1 & 2 . 3 ) on the east side of Building 1 and rear of Building 1 & 2 install dryvit as per sample approved-.by owner. 4) Remove the existing glass blocks on 2nd floor of Building 2 and install aluminum double hung windows- The attached drawings by Antonio Fanizza shall be a guide to the undersigned performance_ The above work to be performed in accordance with the drawings and specifications submitted Cor above work and completed in a workmanlike manner. Upon completion of Building ! Contractor to be paid $650000.00 and upon completion of Builsing 2 Contractor to be paid $51,000.00. Changes in the above specifications may be made only upon written agreemei and extra charges will be made. All agreements are contingent upon strike: accidents or delays beyond our control. You are to carry fire, tornado and other necessary insurance upon above work. Our workers are fully covered by workmen's Cbmpensation and Public Liability Insurance. This This proposal may be withdrawn by us at any time before acceptance. fRespectfully submitted }'L�6�D, F Assac. Per J Donato Fr olone Acceptance ARTECH A DEVELOPMENT CO. Mr. Joe Connel.la Chicago, Illinois October 13, 1999 Re: 113 & 115 Chicago Street Elgin, Illinois Dear Mr. Connella, The undersigned agrees to provide at my expense all the materials necessary and to remove and complete in a good substantial and workmanlike manner for the subject property in comforts i ty rd th the drawings by Antonio rsnizaa Assocta cca LTD viz, , A) Clean bricks and install new bulk heads in .front of buildings 113 & 115. D) Install new aluminum frame in front of 115 building and remove existing purple porcelain metal. C) Install dryvit on the east side of 113 and at the rear of both buildings 113 & 115. D) Remove the existing glass blocks on the 2nd floor of building 115 and install aluminum double hung windows. The Owner agrees to pay the undersigned the sum of $120,000.00. in the following manner; $25,000.00 upon commencement of work and the balance shall be paid upon completion of the work at buildings 113 & 115 Chicago Street, Elgin, I1. Very Trul Yours,