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HomeMy WebLinkAbout03-290 G oc,J � � &J �,,_ Resolution No. 03-290 �-y- RESOLUTION '71V' �-,CUTION OF A FACADE IMPROVEMENT PROGRAM AGREEMENT WITH ADOLFO BELLO (9 N. State Street) BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS, that David M. Dorgan, 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 Adolfo Bello for the property commonly known as 9 N. State Street, a copy of which is attached hereto and made a part hereof by reference . s/ Ed Schock Ed Schock, Mayor Presented: October 22 , 2003 Adopted: October 22 , 2003 Omnibus Vote : Yeas : 6 Nays : 0 Recorded: October 23 , 2003 Attest : s/ Dolonna Mecum Dolonna Mecum, City Clerk r CITY OF ELGIN FACADE IMPROVEMENT PROGRAM AGREEMENT 9 N. STATE STREET THIS AGREEMENT is made and entered into this q,9" day of O C 0 Q F- r� , 2003, by and between the City of Elgin, Illinois, a municipal corporation (hereinafter referred to as "City") , and Adolfo Bello, the property owner, (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 500 of subject commercial building (s) , or is the tenant of commercial buildings) located within Rehabilitation Area, with owner having provided the owner' s consent and authority 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 as follows : Section 1 . The total approved project costs for facade improvements for the structure referred to at Section 16 herein shall be $44,875.00, as set forth in Attachment A attached hereto (such total approved project costs for facade improvements are hereinafter referred to as "Eligible Costs" and such structure is hereinafter .referred to as the "Structure" ) . The City shall pay the Owner a sum not to exceed $22, 437 . 00, being 500 of the total Eligible Costs, for facade improvements to the structure approved pursuant to the provisions of this Agreement. The project shall be confined to approved improvements made to that part of the Structure visible from any public right-of- way. All parties hereto agree that all payments from the City provided for herein shall be made to Adolfo Bello, 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 1 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 herein and prepared by Consultant (hereinafter referred to as "Plans") . 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 Urban Design and Preservation Specialist and City' s Principal Planner, and any other member designated on the Project Review Team. 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, without the written consent of the Project Review Team. Section 4 . 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 be 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 5. 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 6 . 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 5 herein. In no event shall the amount paid to Owner exceed the amount specified in this Agreement or in the contractor statement . Section 7 . 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. Additionally, Owner shall refund to City, all money paid to Owner by City pursuant to this agreement upon thirty (30) days written 2 r demand. This provision shall not constitute a restriction on City to pursue any and all other rights to which it may be entitled by law. Section B. 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 9 . 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 10 . 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. Notwithstanding the aforementioned five (5) year period, the provisions of Sections 7 and 12 herein shall survive the termination of this agreement . Section 11. 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 12 . 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 . In the event the indemnification provisions of this Agreement are invoked so as to require legal defense of City, counsel for such defense shall be of City' s choosing. 3 f Section 13 . This Agreement shall not be construed to create a partnership, joint venture or employment relationship between the parties hereto. Section 14 . 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 15 . 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 16 . Owner' s Name: Adolfo Bello Address : 1425 Gilbert Ave City: Crystal Lake, IL 60014 Telephone Number: (847) 888-0161 Property Location: 9 N State Street Ownership Interest: property owner Contact Person: Adolfo Bello, property owner Donato Frozolone, contractor (630) 766-9136 . IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the date first appearing above. As to CITY OF ELGIN As to OWNER: err` 4 By: + By: David Dorgan dolfo City Manager Property Owner ATTEST: G' A-j2,,rAL4 Dolonna Mecu ity Clerk 4 r Attachment A Property Total project cost City allocation Contractor 1 Contractor 2 (D. Fraz) (Master Gen) FAdolfo. State Street $44, 875 . 00 $64, 000 . 00 $22, 437 .50 e Dominguez State Street $44 , 875 . 00 $64 , 000 . 00 $22 , 437 . 50 Bello als $89, 750 . 00 $128, 000 . 00 $44 , 875 . 00 5 � z & ��� Adolfo Bello Jr- 9 N. State Street Elgin, IL. 60120 847-888-0161 Work to be performed at; 9 N. State Street Elgin, iL. 60120 We will furnish all the required materials, which we guarantee XV111 be as specified, and we will perform all the labor required for the completion of the front facade of building 9 N. State Street Elgin. Clean brick and tuekpoint. Install new windows on 2' floor. New store front first level- 3 light fixtures in front of building. Permit fees by owner. The above work to be performed in accordance with the drawings and specifications submitted for above work and completed in a workmanlike manner for the sw-n of-Forty-four thousand eight hundred seventy-five ($44,875.00)with payments to be made as follows: $12,600.00 down and balance as work progresses. Changes in the above specifications may be made only upon written agreement, and extra charges will be made. All agreements are contingent upon strikes, accidents or delays beyond our control. You are to carry fire, tornado and other necessary insurance on above work_ Our workers are fully covered by Workmen's Compensation and Public Liability L-rsurance. This proposal may be withdrawn by us at any time before acceptance_ Respectful' bmitted Per Acceptar<ce The above prices, specifications and conditions are accepted_ Payments will be made as set forth above. Accepted Signed Bate Signed DNw rf- rvtic e�� �O cA-4- FOR w� r aA �. K1111F�ts=S --71- - - - „ I NSW Ut<tm�l� ,, f 02 r7f1F� !mot rJUM.�2hM�5 � � / ' rlf0�'-RCNT l.ra� u� rvrrti _ —• � a- � ¢R•Ic.1< A tl i s G °� /A No1E: t0�kt OF 3 N�LoT�rf'R�*7C 70 �1trHR5 C J kwNiN(os- I ove-e l or fZ Up VESTI®U €l�t� PRUMA { E - c ,n'D FL FARO P�t�,necw�t pcun N� whu-70 CIS It- ELI �IAN Resolution No. 03-233 RESOLUTION AUTHORIZING EXECUTION OF A THIRD AMENDED FACADE IMPROVEMENT PROGRAM AGREEMENT WITH THE BEN G. CORN TRUST (53-63 Douglas Avenue) BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS, that David M. Dorgan, City Manager, and Dolonna Mecum, City Clerk, be and are hereby authorized and directed to execute a Third Amended Facade Improvement Program Agreement on behalf of the City of Elgin with the Ben G. Corn Trust for the property commonly known as 53-63 Douglas Avenue, a copy of which is attached hereto and made a part hereof by reference . s/ Ed Schock Ed Schock, Mayor Presented: August 27, 2003 Adopted: August 27, 2003 Omnibus Vote : Yeas : 6 Nays : 0 Attest : s/ Dolonna Mecum Dolonna Mecum, City Clerk THIRD AMENDED FACADE IMPROVEMENT PROGRAM AGREEMENT THIS AGREEMENT is made and entered into this day of 2003, by and between the City of Elgin, Illinois, a muni pal corporation (hereinafter referred to as "City") , and Ben G Corn Trust, dated May 1, 1995, the property owner, (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 500 of subject commercial building(s) , or is the tenant of commercial buildings) located within Rehabilitation Area, with Owner having provided the Owner' s consent and authority to participate in Program pursuant to the terms and provisions of this Agreement; and WHEREAS, the parties hereto have previously entered into a Facade Improvement Program Agreement, dated May 28, 2002, and a First Amended Facade Improvement Program Agreement, dated October 30, 2002, and a Second Amended Facade Improvement Program Agreement, dated January 28, 2003, (hereinafter referred to as the "Subject Facade Improvement Program Agreement") ; and WHEREAS, the parties hereto wish to further amend the Subject Facade Improvement Program Agreement to reflect revised costs and scope of work. NOW, THEREFORE, in consideration of the mutual promises and covenants contained herein, the sufficiency of which is hereby acknowledged, the parties hereto hereby agree as follows : Section 1 . The project work and costs thereof for the structure referred to at Section 16 herein shall be in three phases, as set forth in Attachment A hereto. Owner shall not be required to utilize the contractors listed in Attachment A. The City has paid the Owner the sum of $26, 738 . 95 for facade reimbursement for Phase 1 and $29, 837 . 50 for facade reimbursement for Phase II such amounts being 35% of the total eligible costs . The City shall pay the Owner the sum of $15, 774 . 90 for facade reimbursement for Phase III being 35% of the total eligible costs of $45, 071. 13 for Phase III facade improvements. The project shall be confined to approved improvements made to that part of the structure visible from any public right-of-way. All parties hereto agree that all payments from the City provided for herein shall be made to Owner, 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 herein and prepared by Consultant (hereinafter referred to as "Plans" ) . 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 Urban Design and Preservation Specialist and City' s Principal Planner, and any other member designated on the Project Review Team. 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, without the written consent of the Project Review Team. Section 4 . 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 be 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 5 . 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. All work shall be completed within a reasonable time as determined by City in City' s sole discretion. City may provide partial payments upon the completion of discrete items of work in each phase in City' s sole discretion as determined by City' s Urban Design & Preservation Specialist upon such terms as required. Section 6 . 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 5 herein. In no event shall the amount paid to Owner exceed the amount specified in this Agreement or in the contractor statement . 2 Section 7 . 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 8. 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 9. 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 10 . 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 11 . 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 12 . 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 . To the fullest extent permitted by law, Owner agrees to indemnify, defend and hold harmless the City, its officers, employees, boards and commissions 3 from and against any and all claims, suits, judgments, costs, attorney' s fees, damages or other relief arising out of or resulting from or through or alleged to arise out of any reckless or negligent acts or omissions of Owner, Owner' s employees or agents in the performance of this Agreement . In the event of any action against the City, its officers, employees, agents, boards or commissions covered by the foregoing duty to indemnify, defend and hold harmless, such action shall be defended by legal counsel of the City' s choosing. Section 13 . This Agreement shall not be construed to create a partnership, joint venture, employment or other agency relationship of any kind between the parties hereto. Section 14 . 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 15. 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 16 . Owner' s Name: Ben G. Corn Trust, Dated May 1, 1995 Address: 103-N Jan ve j 1-5 �„wvn���� • City: � '�' Telephone Number: (847) 888-3414 Property Location: 53-63 Douglas Avenue Ownership Interest : Property owner Contact Person(s) : Bruce Corn, Diane Stredde Section 17 . The parties further recognize and agree that the subject structure is a prominent structure in the downtown area and that the subject structure retains many original ornate and intricate architectural features which require specialized labor and substantial renovations . The original cost estimate for the restoration of the fagade of the subject structure was in the amount of $391, 500 . The parties further recognize that an appropriate restoration of the subject structure is difficult and burdensome on the Owner notwithstanding the reimbursement pursuant to the City' s facade improvement program. In recognition of these unique circumstances and conditions regarding the subject structure the City has agreed to provide the additional economic development assistance to the Owner as set forth in this paragraph to be used by the Owner for costs associated with the redevelopment of the subject structure referred to in Section 16 herein. In addition to the fagade improvement program assistance to be provided by the City to the Owner pursuant to this Agreement, and in order to further assist the Owner with the 4 redevelopment of Owner' s property at 53-63 Douglas Avenue, the City agrees to provide the Owner with the development assistance as follows: (1) In connection with the Owner' s renovation and build-out of the Quizno' s lease space on the subject property the City shall pay the Owner a development incentive in the total amount of $19, 839 . 60 . Such payment by the City to Owner shall be made upon completion of the work for the Quizno' s build-out, upon final inspection and written approval by the Project Review Team and such other final inspections or approvals as may be required by law, and upon Owner submitting to the City reasonable proof of payment of all costs incurred for the Quizno' s build-out and upon Quizno' s occupying and commencing operations at the property. The Owner hereby acknowledges that the payment of such total amount of $19, 839 . 60 has been made by the City to the Owner. (2) The City agrees to provide an additional development incentive to the Owner in the total amount of $11, 168 . 11 to be utilized by the Owner for eligible costs for the facade improvement Work at the subject structure through Phase III of the Fagade Improvement Program Project. The City shall pay to the Owner the sum provided for in this paragraph according to the provisions of Section 6 of this Agreement. Section 18 . This Agreement shall amend and supersede the previous Subject Facade Improvement Program Agreement between the parties hereto in all respects . IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the date first appearing above. As to CITY OF ELGIN: As to OWNER: Da David - M. Dorgan Ben G. Corn Trust, City Manager Dated May 1, 1995 Trustee/Property Owner ATTEST: A&A2, Dolonna Mecum, City Clerk F:\Legal Dept\Agreement\FacadeimprovementProgram-53-63 Douglas-Corn 3rd Amendment.doc 5 Attachment A Work Item Contractor#1 Contractor#2 Contractor#3 Contractor#4 Phase I amended Removal of Asset Recovery 12,593.00 American 18,250. Contracting, Demolition Exterior LLC Corporation Aluminum New window Pella Windows 37,168.71 David Wayne 46,300.00 Woodland 63,804.00 Seigle's 72,12 installation. and doors(does Carpenter Windows and not include contractors(does doors installation) not meet material specification) 76,397.00 Total City's Participation: 50%as originally agreed upon: $38,198.50 Phase II ro osed Cinder block Applewood 4,650.00 Maninger 4,715.00 Walter 18,000.00 removal Construction Grzebieniak, Building Maintenance Inc7Inc. Exterior Seyller's 36,800.00 Applewood 43,090.00 Walter masonry Tuckpointing and Construction Grzebieniak, cleaning& Masonry (cleaning) and Building tuckpointing Maninger Maintenance tuc ointin Cornice and Albert J.Wagner 43,800.00 Bay repair &Son, Sheet metal contractors total 85,250.00 City's Participation: Option 1 at 35%: 29,837.50(recommended by staff) Option 2 at 50%:42,625.00 ATTACHMENT A — Page 1 53-63 Douglas Avenue Phase'III 2003 —Facade Improvement Project Work item Contractor#1 Contractor#2 Contractor#3 North elevation Seyller's 10,400.00 Walter Grzebieniak 19,500.00 Masonry cleaning and tuckpointing Tuckpointing and Buyilding Masonry Maintenance,Inc. Masonry Change order Seyller's 1,762.29 Tuckpointing and Masonry South window replacment Seyller's 645.00 Tuckpointing and Mason 12,807.29 19,500.00 Total ".:..' 'Iliiii Entrance framing,and storefront Ian Lamp Standard 14,344.00 Hargrave Builders 15,200.00 rehabilitation Estimate report Glass for storefront Joe's Quality Glass 10,400.00 Gateway,Inc. 16,150.00 Handicap Access for storefront Tee Jay Svc. Co. 3,655.00 Schindler 4,657.00 Electronics Exterior li htin Sunshine Li htin 3,145.10 Li ht Options 4,104.04 31,544.10 40,111.04 Total - 515.44 Temporary work(Boards for Home Depot storefront Painting temporary boards Pittsbur h aint 204.30 719.74 Total Grand Total 45,071.13 59,611.04 City's Participation 35%of total project cost: $15,774.90 ATTACHMENT A_— Page 2 Committee of the Whole April 23 , 2003 Page 3 Consideration to Approve the Amendments to the 1997, 1999, and 2002 Community Development Block Grant Annual Action Plans Councilmember Walters made a motion, seconded by Councilmember Gilliam, to approve the reallocation of the remaining budgeted funds in the YWCA fire alarm, American Little League, Fair Housing Advocacy and the Literacy Institute projects to the YWCA Facility improvement and Residential Rehabilitation program projects as outlined in the April 18 , 2003 agenda memorandum. Upon a roll call vote : Yeas : Councilmembers Figueroa, Gilliam, Rodgers, Sandor, Walters and Mayor Schock. Nays : None . Consideration to Approve a Fagade Improvement Project for 53-63 Douglas Avenue Councilmember Sandor made a motion, seconded by Councilmember Walters, to approve Phase III of the project at 35 percent per the program guidelines in the amount of $15, 774 . 90 for a total City participation on the project amounting to $83 , 810 . 90 . Upon a roll call vote : Yeas : Councilmembers Figueroa, Gilliam, Rodgers, Sandor, Walters and Mayor Schock. Nays : None . The Council requested that City Manager Dorgan review the project and bring back a recommendation regarding the requested additional 15 percent . Consideration to Approve the Grant Recipient Eligibility List for the Large Project Fund of the Neighborhood Improvement Grant Program Councilmember Walters made a motion, seconded by Councilmember Figueroa, to approve the proposed Grant Recipient Eligibility List . Upon a roll call vote : Yeas : Councilmembers Figueroa, Gilliam, Rodgers, Sandor, Walters and Mayor Schock. Nays : None . Consideration of a Purchase of Service Agreement with the Outdoor Exhibition Group for RibFest Councilmember Sandor made a motion, seconded by Councilmember Walters, to enter into a Purchase of Service Agreement providing financial participation by the City in an amount not to exceed $3 , 000 of in-kind services . Upon a roll call vote : Yeas : Councilmembers Figueroa, Gilliam, Rodgers, Sandor, Walters and Mayor Schock. Nays : None . Consideration of Parking Restrictions on Crystal Street Councilmember Figueroa made a motion, seconded by Councilmember Gilliam, to approve the recommendation of the Neighborhood Services Committee that the parking restrictions on Crystal Street, between South Street and West Chicago Street, be changed to provide for an area of unlimited parking and an area expanding April 18 , 2003 ECONOMIC GROWTH TO: Mayor and Members of the City Council FROM: David Dorgan, City Manager Sarosh Saher, Urban Design & Preservation Specialist SUBJECT: 53-63 Douglas Avenue - Facade Improvement Project Approval of Phase III of the project PURPOSE The purpose of this memorandum is to provide the Mayor and members of the City Council with information to consider approval of Phase III of the facade improvement project at the above property. BACKGROUND In 1999, the architectural firm of Dahlquist and Lutzow was contacted by the City to draw up the plans for the project . The architect provided drawings and a probable estimate for the removal of the non-original aluminum cladding as well as restoration of the entire west facade . The total cost of the entire project was estimated at $391 , 500 . 00 . Due to the magnitude of the project, the property owners proposed to complete it in phases . Phase I (April 2002) In April 2002 , the property owner approached the Elgin City Council with a request for funds to begin restoration of the facade . Work included the following: 1 . removal of the non-original aluminum facade 2 . install new windows . Funding had been provided in the form of a 35 percent facade improvement grant ($17 , 882 . 55) with an additional 15 percent economic development incentive ($7 , 663 . 95) contingent upon the property owner signing a lease agreement with Quiznos . The Facade Improvement Phase III Funding - 53-63 Douglas April 18, 2003 Page 2 property owner was informed that the 50 percent funding assistance, for a total of $25 , 546 . 50, would only be for the first phase of the project . All future funding to the Corn Family for the facade would be at 35 percent . Phase II (August 2002) In August, 2002 , the City Council approved funding under phase II to be carried out on the building. The work included the following: 1 . Removal of the cinderblock from the window openings on the upper stories of the facade to allow for the reinstallation of the new windows . 2 . Exterior chemical cleaning and tuckpointing of the brick and stone masonry on the west facade . This work is currently being completed on the west facade . 3 . Repair of decorative metal molding on the cornice and bay windows . Phase III (Current request) The property owners are currently requesting approval of work under Phase III of the project . The work for which funding is requested is as follows : 1 . North elevation: masonry cleaning and tuckpointing 2 . South elevation: window replacement 3 . Storefront rehabilitation: a. Complete storefront rehabilitation of the two northern bays which include entrance to the upper floors and Quiznos restaurant . Both storefronts were made handicap accessible . b. Rebuilding the sign bands above remaining storefront, and install new exterior lighting on building. This phase is also being submitted with a large part of the work being retroactively requested for funding. The property owners were aware that a minimum of two bids for all work was required to be submitted before any determination on the cost could be made. However, they encountered difficulty in obtaining a second bid on some items of work. In the meantime, as previously reported to the City Council , construction crews were set up on site and work was in progress . In order not to interrupt the Facade Improvement Phase III Funding - 53-63 Douglas April 18 , 2003 Page 3 momentum of the project, staff recommended that the ongoing work be allowed to continue rather than be halted until consideration by the Elgin City Council . Throughout the process, staff had been in discussion with the property owner and the architects to ensure that the ongoing work on the fagade was in keeping with the guidelines of the program. The total cost of the current phase as outlined above is $45, 071 . 13 . The City' s allocation at 35 percent would amount to $15, 774 . 90 . The following is the total allocation of funding to date by phases : Phase I (complete) $38 , 198 . 50 Phase II (complete) $29, 837 . 50 Phase III (currently requested) $15, 774 . 90 Total $83 , 810 . 90 The total allocations of phase I , II and III (as recommended by staff) is within the total amount that the City could potentially participate in this project . The Facade Improvement Program guidelines allow a maximum participation by the City not to exceed $150, 000 . 00 per project . As we previously reported, it is anticipated that the property owner will continue to request the City' s participation in the program for future phases of the project . This property owner, the Corn Land Trust, has also received $8 , 380 . 05 from the Economic Development Incentive Program. COMMUNITY GROUPS/INTERESTED PERSONS CONTACTED Downtown Neighborhood Association (DNA) . FINANCIAL IMPACT Approval of phase III at 35 percent, per the program guidelines, would amount to $15, 774 . 90 . The total budget in the Center City Facade Improvement Program, Account Number 350-0000-795 . 78-99, project number 079817, is $50 , 000 . There is sufficient funding available to fund Phase III , since no funding has been Facade Improvement Phase III Funding - 53-63 Douglas April 18, 2003 Page 4 encumbered in this account to date . LEGAL IMPACT A revised agreement between the property owner, Ben G. Corn Trust, and the City of Elgin will need to be prepared. ALTERNATIVES 1 . Approve Phase III of the project at 35 percent per the program guidelines, in the amount of $15 , 774 . 90 , for a total City participation to date on the project amounting to $83 , 810 . 90 . 2 . Reject the request to fund Phase III as recommended by staff . RECOMMENDATION It is recommended that the City Council approve Alternative 1 - to approve Phase III of the project at 35 percent per the program guidelines, in the amount of $15, 774 . 90 , for a total City participation on the project amounting to $83 , 810 . 90 . Respectfully submitted for Council consideration. SBS/sr Attachments