HomeMy WebLinkAbout08-238 Resolution No. 08-238
RESOLUTION
AUTHORIZING EXECUTION OF A BUSINESS IMPROVEMENT
PROGRAM GRANT AGREEMENT WITH BIGGERS MAZDA
(1320 East Chicago Street)
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN,ILLINOIS,that
Olufemi Folarin,City Manager,and Diane Robertson,City Clerk,be and are hereby authorized and
directed to execute a Business Improvement Program Grant Program Agreement on behalf of the
City of Elgin with Biggers Mazda,Inc. for the property located at 1320 East Chicago Street,a copy
of which is attached hereto and made a part hereof by reference.
s/Ed Schock
Ed Schock, Mayor
Presented: October 22, 2008
Adopted: October 22, 2008
Omnibus Vote: Yeas: 6 Nays: 0
Attest:
s/Diane Robertson
Diane Robertson, City Clerk
CITY OF ELGIN
BUSINESS IMPROVEMENT PROGRAM AGREEMENT
THIS AGREEMENT is made and entered into this AVA0i.day of
October , 2008, by and between the City of Elgin, Illinois, a
municipal corporation (hereinafter referred to as "City") , and
Biggers Mazda Inc. , an Illinois Corporation (hereinafter referred
to as "Owner") .
WHEREAS, City has established a Business Improvement Program
(hereinafter referred to as "Program") for application within all
entry corridors within the City designated by City as appropriate
for such application (hereinafter referred to as "Business Areas") ;
and
WHEREAS, Program is administered and funded by the City for
purposes of the control and prevention of blight, dilapidation and
deterioration of Business Areas; and
WHEREAS, pursuant to the Program, City has undertaken to share
the cost of certain exterior improvements to structures within the
Business Areas, pursuant to the criteria of the Program and as set
forth herein; and
WHEREAS, Owner owns at least 50% of a building (s) , or is the
tenant of a business related building(s) located within a Business
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
mutually acknowledged, the parties hereto hereby agree as follows:
Section 1. City shall pay to Owner $25, 000 or fifty percent
(50%) of the cost of services identified in Owner' s application for
-participation in the Program, whichever is less.
All parties hereto agree that all payments from the City provided
1
for herein shall be made to Owner, which 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 exterior
improvements to the structure hereby provided for (hereinafter
referred to as the "Work") , as designated from the proposal
approved by the Project Review Team pursuant to the provisions of
Section 3 herein.
Section 3 . No Work shall be undertaken or shall be considered
to constitute the basis for an Eligible Cost until the Proposal for
such Work has been submitted to and approved in writing by the
Project Review Team, consisting of the City's Director of Economic
Development and Business Services, the City' s Manager of Property
Maintenance and a City Code Enforcement Officer. Such proposals
shall include, but not be limited to, a date certain by which the
Work shall be completed. All work relating to the exterior
Improvements to the Structure shall be completed within 180 days
from the date of the Agreement, unless Owner obtains 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 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 within such time
deadlines as may be established by the Project Review Team. Owner
shall be solely liable for any and all costs resulting from
additional work or materials of any kind which may be required to
conform to the provisions of the written notice provided for in
this paragraph.
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
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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. Notwithstanding anything to the contrary, the City shall be
entitled to withhold any payments pending the submission of partial
or full waivers of lien and/or certifications verifying the receipt
of payment for all work performed by the contractor and/or all
subcontractors up to the date of application for partial or final
payment in the City' s sole discretion. Concurrent with all
applications for payment, City shall be provided sworn
certification of all work performed by contractor and subcontractor
and amounts paid to all contractors and subcontractors as of the
date of application.
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 maximum amount specified in this Agreement
or the amount of the applicable aforementioned contractor' s
statement, whichever is less. City shall not be liable for the
payment of any amount in excess of such aforementioned contractor's
statement without the written agreement of the City, which may be
provided in the City's sole discretion.
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. If the City terminates the Agreement for a
breach of the Agreement by the Owner, the Owner shall within thirty
(30) days of such termination repay the City all money paid to the
Owner pursuant to this Agreement.
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 without prior written approval
from this 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 exterior improvement
provided for in this Agreement.
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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. The City may record this
Agreement with the Kane County Recorder of Deeds.
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 five(5) 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. To the fullest extent permitted by law, the Owner
agrees to and shall indemnify, defend and hold harmless the City
and its officers, employees, boards and commissions from and
against any and all claims, suits, judgments, costs, attorneys'
fees, damages or any and all other relief or liability arising out
of or resulting from or through or alleged to arise out of any acts
or negligent acts or omissions of City or City' s officers,
employees, or agents in the performance of this agreement or
arising out of or in connection with litigation based on any
mechanics' lien or other claims, suits, judgments, and or demands
by contractors and/or subcontractors. In the event of any action
against the City, its officers, employees, agents, boards and
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 and cost to the Owner. The provision of this
paragraph shall survive any expiration and/or termination of this
agreement.
Section 13. This Agreement shall not be construed to create a
partnership, joint venture or employment relationship between the
4
parties hereto. No entity and/or person shall have any rights or
obligations created by this agreement and specifically no entity
and/or person shall be in any way construed to be a third party
beneficiary under this agreement.
Section 14 . This Agreement shall be subject to and governed.
by the laws of the State of Illinois. Venue for the resolution of
any disputes or the enforcement of any rights arising out of or in
connection with 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: James Leichter
Address: 5 Kaleigh Ct.
City: S . Barrington State: IL Zip Code:
60010
Telephone Number: (847) 628-6000
Property Location of Structure:
1320 E. Chicago St.
Elgin, Illinois.
Ownership Interest: Owner
Contact Person: James Leichter
Owner' s Name:
Address:
City: State: Zip Code:
Telephone Number:
Property Location:
Ownership Interest: Owner:
Owner' s Name:
Address:
City: State: Zip Code:
Telephone Number:
Property Location:
Ownership Interest: Tenant:
Owner' s Name:
Address:
City: State: Zip Code:
5
•
Telephone Number:
Property Location:
Ownership Interest:
Section 17 . The City of Elgin Business Improvement Grant
Program Guidelines dated July 13, 2005, as amended from time to
time by the City, are hereby incorporated by reference into this
Agreement.
Section 18. Notwithstanding any other provision of this
Agreement, it is expressly agreed and understood in connection with
the performance of this Agreement that the Owner shall comply with
all applicable Federal, State, City and other requirements of law,
including, but not limited to, any applicable requirements
regarding prevailing wages, minimum wage, workplace safety and
legal status of employees . Without limiting the foregoing, Owner
hereby certifies, represents and warrants to the City that all
Owner' s employees and/or agents who will be providing products
and/or services with respect to this Agreement shall be legal
residents of the United States. Owner shall also at its expense
secure all permits and licenses, pay all charges and fees and give
all notices necessary and incident to the due and lawful
prosecution of the work, and/or the products and/or services to be
provided for in this Agreement. The City shall have the right to
audit any records in the possession or control of the Owner to
determine Owner' s compliance with the provisions of this section.
In the event the City proceeds with such an audit the Owner shall
make available to the City the Owner' s relevant records at no cost
to the City.
IN WITNESS WHEREOF, the parties hereto have executed this
Agreement on the date first appearing above.
OWNER CITY OF ELGIN
BY /47-7--.-- �.4By: Olufemi olarin ��ames
Leichter City Mana er
Biggers' Mazda Inc. -
ATTEST: \T-- --._.L A,N4.s,_- \-5.-ta-k,
City Clerk
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CITY OF ELGIN
BUSINESS IMPROVEMENT GRANT PROGRAM
Application Foini
Applicant infoiniation
Name: YCmes Le 1 c L-ce-r
Home address: S i C ate 19 Ca' - S. `3 c'st`^S -- L o c G
Phone: 1-_? oa.- gor'o Fax: ` 7- 7 a-- tot 74
2.Business information(the building or establishment for which the grant is sought)
Name: i g 9 eta' 44 a 2-of a
Address: I3d," -€. CL.ica5 e`' SI .
Phone: 2 l- I'2-i- c, o a o Fax: `Y'k`7 to-X Y- a r3
Applicant is:Owner X Tenant If tenant,term of lease:
Is this location a commercial building or a commercial business?Yes X No
Facade to be improved: . Front Side Rear
3.Addresses of additional storefronts,if any:
Total number of storefronts: Total number of stories:
4. Proposed use of program:
0"1`i I b. d betc;.use o„tiy I
Canopy/awning X Signage cd .-,e a„ evb tiC ir-s' s r *D r 4' z cA
Windows/doors Exterior lighting
Painting/tuckpointing Restoration of architectural feature
Brick cleaning Landscaping
Exterior ADA accessibility Street furniture and fixtures
X Other(please specify - Lb k e(0A I r-s
5. Statement of Understanding:
A. The applicant (undersigned)agrees to comply with the guidelines and procedures of
the Business Improvement Grant(BIG)Program and the conceptual design and outline
specifications as agreed to by the applicant and the application review team.
B. The applicant understands that the applicant must submit detailed cost documentation,
copies of building permits,bids,contracts and invoices and contractor's-final waivers of
lien upon completion of th pproved improvements.
Applicant's signature: a'T+a G-c � Date: 7--'6 —°P
If the applicant is other than the owner,the following line must be completed:
I certify that I,the owner of the property
at
Revised July 201)5
do authorize the applicant to apply for a rebate under the Neighborhood Business
Improvement Grant Program and to undertake the approved improvements.
Lease beginning date: Lease ending date:
Owner's signature: Date:
Return completed application form to:Raymond H.Moller,Director Economic
Development and Business Services
City of Elgin 150 Dexter Court Elgin,IL 60120
FOR OFFICE USE ONLY
Date application received: Zoning:
Minimum of two cost estimates obtained for each work item:Yes No
Ineligible improvements,if any:
Grant Approved Date: Grant Denied Date: •
Total estimated project cost: $ Reason:
Percent applied for grant:
Total amount of grant:$
Program Coordinator:
Raymond H.Moller
Revised July 2005 •
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7/
A PREFERRED PAVING COMPANY
P 0 BOX 8494, ROLLING MEADOWS, ILLINOIS 60008
847-870-PAVE
FAX 847-870-8331 E-Mail Apreferredpaving@calncast.net
MEMBER "BETTER BUSINESS BUREAU" •
Hereby submits the following:
PROPOSAL/CONTRACT
Submitted to: Jim Leichter Work Location:
Name: Biggers Mazda
Address: 1320 E Chicago SAME
City, State,Zip: Elgin, IL 60120
Phone: 847-628-6000 jleichter@biggerschevy.com
We propose to furnish the materials and perform the labor necessary for the completion of:
•
SAWCUT AND PATCH—Totaling approximately 8,721 square feet
A. Sawcut asphalt perimeter of predetermined areas.
. B. Removing up to 3 inches of asphalt from sawcut areas,hauling away and disposing of properly.
C. Furnish and install CA-6 graveI if needed.
D. Grade and compact stone base.
E. Prime vertical edges.
F Pave with 3 inches of surface bituminous asphalt and roll to compaction for even transition of surfaces.
G. Clean and broom sweep area with barricades in place for newly paved surface.
A PREFERRED PAVING COMPANY WILL MAKE EVERY EFFORT TO MEET OR BEAT ANY QUALIFIED WRITTEN BID
All material is guaranteed for a period of two years from any defects resulting from workmanship and/or material. All material is
guaranteed to be of the best quality available in your area and the above work is to be performed in accordance with the drawings and
specifications submitted for the above project to be completed in a workman like manner
for the sum of: $17,500.00 (Seventeen Thousand Five Hundred)
With Payment Due As Follows: Due Upon Completion of Work;
(Any amounts due after completion of work shall be considered overdue and in addition to A Preferred Paving Companies other remedies,A Preferred Paving
Company may levy a late payment charge equal to one percent(1%)per month on any overdue amounts)(All returned checks will incur a$25.00 fee)
Any alterations or deviations from specifications involving extra costs will be executed upon written or verbal order and will become a charge over and above this
proposed estimate. All agreements contingent on strikes,accidents or delays beyond our control. Asphalt/concrete is subject to soil and temperature conditions.
Expansion and contraction cracks are unavoidable in Northern climates where weather conditions are extreme. Due to the properties and finishing process of
bituminous asphalt,small depressions may occur. Power steering marks may occur and will traffic out with use. A Preferred Paving Company is protected by liability,
auto insurance and workman compensation. Written certification will be forwarded upon request Permit or bond,if necessary,is to be obtained by Property Owner.
This proposal may be withdrawn by A Preferred Paving Company if not accepted within thirty(30)days. A Preferred Paving reserves the right to charge a cancellation
fee of$500.00 if signed contract is cancelled by property owner.
Respectfully Submitted by: A PREFERRED PAVING COMPANY
Per: - As Agent Date: June 25,2008
ACCEPTANCE OF PROPOSAL
The above prices,specifications and conditions are satisfactory and are hereby accepted. A Preferred Paving Company is authorized to do the work as specified.
Payment will be made as on ve.•PlinsP sign and return one original copy of this quotation which shall become a contract upon,but not before accepted by A
Preferred Paving Compan
Signature: Date:
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Aspfa/t alit/Soa/coat%nf; Inc.
ESL 1986
P.O. Box9207, NapoMile,II 60567-9207 P1115301420-8765 Fax 16301922-3871
DATE: April 23,2008
CUSTOMER CONTACT:•
Ron Liszka
Biggers Mazda
1320 E.Chicago St.
Elgin,IL 60120
PH: 847-628-6000 Fax: 847-628-6716 Email:rliszka@biggersmazda.com
COMMERCIAL PROPERTY LOCATION: 1320 East Chicago St,Elgin,IL
Description of Commercial Parking Area Maintenance:
Remove and Replace:Main Parking Lot:Remove specified square footage(grind or Tear out).Per Site
Plan/Detail Listed Below.Depth of removal 3.00".Apply 1.50"binder surface courses. Apply 1.50"
surface course. Roll to compaction.
GRAND TOTAL SQUARE FOOTAGE: 7,748
We propose to furnish material and labor in accordance with above specifications,for the sum of:
$21,694.40
TERMS: Payment in full due upon completion of work,unless terms have been agreed upon and made part of this contract in
writing.
ACCEPTANCE: If this proposal meets with your approval and you desire to enter in a contract with us,please
sign and return a copy. The terms and provisions on the front and backside of this proposal are part and parcel of
this proposal being made. Acceptance of this proposal constitutes full acceptance to be bound by the terms and
provisions set forth on the backside of this proposal as part of this agreement of the parties.
ACCEPTED BY: BY:
OWNER/AUTHORIZED SIGNATURE MAUL ASPHALT AND SEALCOATING
401
;..':'fix .(R�•
September 19,2008
!: ;3 st
K NoRTi-IWEsT _]
TO: Mayor and Members of the City Council 1-Y°
FROM: Olufemi Folarin, City Manager "� c
Raymond H. Moller, Director of Economic Development (60.GI,will a„i
&Business Services I)iversir Tine Base
SUBJECT:CT: Business Improvement Grant—Biggers Mazda at 1320 East Chicago Street
PURPOSE
The purpose of this memorandum is to provide the Mayor and members of the City Council with
information to approve a business improvement grant with Biggers Mazda for parking lot and
signage improvements at 1320 East Chicago Street.
RECOMMENDATION
It is recommended that the City Council approve a business improvement grant with Biggers
Mazda,Inc. for parking lot and signage improvements in the amount of$25,000.
BACKGROUND
On July 27, 2005, the City Council approved changes to the Neighborhood Business
Improvement Grant Program that established guidelines for the implementation of assistance for
certain businesses. The implemented changes are:
1. Change the name of the grant program to Business Improvement Program;
1 Amend the target areas to include all businesses within the City's corridors;
3. Amend the guidelines to give priority to Route 31, Route 25, and Villa Street from
January 1 —July 1, after which the grant would be available to businesses.along any of
the City's corridors; and
4. Increase the maximum City contribution from $15,000 to $25,000 in order to encourage
more extensive improvements to the participating properties.
The grant application submitted indicates improvements to the sign at the site. The owner has
provided the following estimates for the exterior work:
•
•
Business Improvement Grant—Biggers Mazda Inc., 1320 E. Chicago Street
September 19,2008
Page 2
Improvements
Parking Lot Signage
1. Preferred Paving Co. $17,500
2. Maul Asphalt and Seal Coating $21.695
3. Architectural Graphics Inc. $34,500
The supplier for the sign is a sole source vendor which is designated by Mazda Corporate.
Due to the extensive deterioration of portions of the parking lot, the owner of the dealership felt
that they had to proceed with the repairs to the asphalt parking surface. Ownership was
concerned that the deteriorated surface presented a safety hazard for customers and employees.
While the grant guidelines prohibits funding for work performed prior to grant approval, they are
requesting that this requirement be waived due to the reasons stated above.
The grant program provides that the property owner can receive matching funds equal to 50% of
the project cost,up to a total City contribution of$25,000 per location.
COMMUNITY GROUPS/INTERESTED PERSONS CONTACTED
None
FINANCIAL IMPACT
The grant award to Biggers Mazda Inc. would total $25,000. There is $727,460 budgeted and
$259,801 available in the Riverboat Lease Fund, account number 276-0000-791.80-27,
"Economic Development Incentives," project number 17711S for the Business Improvement
Grant Program. Following the approval of this project,$234,801 is available.
LEGAL IMPACT
None
ALTERNATIVES
1. Authorize a Business Improvement Grant Agreement with Biggers Mazda, Inc. in the
amount of$25,000.
2. Choose not to enter into a Business Improvement Grant Agreement with Biggers Mazda,
Inc.
Business Improvement Grant—Biggers Mazda Inc., 1320 E. Chicago Street
September 19,2008
Page 3
Respectfully submitted for Council consideration.
RHM/jr
Attachment