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Home My WebLink About20-59 Resolution No. 20-59 RESOLUTION AUTHORIZING EXECUTION OF A FACADE IMPROVEMENT PROGRAM AGREEMENT WITH PATRICK O'NEIL PROPERTY GROUP, LLC-GROVE (11-13 N. Grove Avenue and 15 N. Grove Avenue) BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS, that Richard G. Kozal, City Manager, and Kimberly A. Dewis, City Clerk, be and are hereby authorized and directed to execute a Facade Improvement Program Agreement on behalf of the City of Elgin with Patrick O'Neil Property Group,LLC-Grove for the properties commonly known as 11-13 N. Grove Avenue and 15 N. Grove Avenue, a copy of which is attached hereto and made a part hereof by reference. s/David J. Kaptain David J. Kaptain, Mayor Presented: May 13, 2020 Adopted: May 13, 2020 Omnibus Vote: Yeas: 9 Nays: 0 Attest: s/Kimberly Dewis Kimberly Dewis, City Clerk CITY OF ELGIN FACADE IMPROVEMENT PROGRAM AGREEMENT (1 1-13 N. Grove Avenue and 15 N. Grove Avenue) THIS AGREEMENT is made and entered into this 13th day of May ,2020, by and between the City of Elgin, Illinois,a municipal corporation(hereinafter referred to as"City"), and Patrick O'Neil Property Group, LLC-Grove (hereinafter referred to as"Owner"). WHEREAS, the City has established a facade improvement program whereby owners of property or businesses located within the center city district and specified nearby areas(hereinafter referred to as"Rehabilitation Areas")who complete facade improvements may receive a grant from the City for a portion of the cost thereof(hereinafter referred to as the "City Facade Improvement Program"); and WHEREAS, the purposes of the City Facade Improvement Program are to control and prevent blight, dilapidation and deterioration of the Rehabilitation Areas, to encourage further investment and redevelopment in the Rehabilitation Areas and to increase property values within the Rehabilitation Areas; and WHEREAS, the Owner is the owner of the subject commercial buildings and of the properties commonly known as 11-13 N. Grove Avenue and 15 N. Grove Avenue, Elgin, Illinois (hereinafter referred to as the "Subject Properties"); and WHEREAS,the Subject Properties are located within the Rehabilitation Areas identified in the City Facade Improvement Program; and WHEREAS,the City of Elgin is a home rule unit and may exercise any power and perform any function pertaining to its governmental affairs; and WHEREAS,the City Facade Improvement Program,which will control and prevent blight, dilapidation and deterioration of the Rehabilitation Areas, encourage further investment and redevelopment within the Rehabilitation Areas and increase property values within the Rehabilitation Areas, are matters pertaining to the governmental affairs of the City; and WHEREAS, the Owner has requested to the City to participate in the City Facade Improvement Program for the Subject Properties. NOW, THEREFORE, in consideration of the mutual promises and coverants contained herein,the sufficiency of which is hereby mutually acknowledged,the parties hereto hereby agree as follows: Section 1. The above recitals are incorporated into and made a part of this agreement. The total approved project costs for the facade improvements for the structures on the Subject Properties shall be $146,300 as set forth in Attachment A attached hereto made a part hereof (such total approved project costs for facade improvements are hereinafter referred to as"Eligible Costs"and such structures are hereinafter referred to as the"Structures"). The City shall pay the Owner a sum not to exceed $51,205, being thirty-five percent (35%) of the total Eligible Costs, for facade improvements to the Structures approved pursuant to the provisions of this Agreement. The project shall be confined to approved improvements made to that part of the Structures visible from any public right-of-way. All parties hereto agree that all payments from the City provided for herein shall be made to the Owner,who shall provide the City with a full release concurrently with receipt. The City also agrees to waive all building permit,plan review, inspection,and/or utility and tap fees associated with the construction and installation of the fagade improvements to the Structures. 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 established by the fagade rendering, specifications,and/or construction estimate as set forth in Attachment B attached hereto and made a part hereof,and to be approved by the Project Review Team pursuant to the provisions of Section 3 herein (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 Owner submits the design for such Work to, and receives written approval from,the City's Project Review Team(hereinafter referred to as"Project Review Team")consisting of the City's Director of Community Development and the City's Historic Preservation 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 three hundred and sixty five (365) days from the date of this Agreement without the written consent of the Project Review Team. The City's Project Review Team will reasonably consider and not withhold approval of minor modifications to Plans when such modifications are in response to the needs of a first-floor tenant(e.g.the location of doors and/or the operation of windows). Section 4. The Project Review Team shall be permitted access to the Structures to periodically review the progress of the Work. Such review shall not be in lieu of any other inspections that may otherwise be required by law or by the 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 otherapplicable 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 the 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 -2- amount paid to the Owner exceed the lesser of the amount specified in Section 1 of 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 the 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 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 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, including the installation of signage, 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 that 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, Owners' 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 a memorandum of this Agreement against title to the Subject Property. Notw'thstanding the aforementioned five(5)-year period,the provisions of Sections 7, 12 and 19 herein shall survive the expiration, completion and/or termination of this Agreement. Section 11. INTENTIONALLY OMITTED. Section 12. To the fullest extent pennitted by law, Owner agrees to and shall indemnify, defend and hold harmless, the City, its officials, officers, employees,agents,attorneys,boards and commissions from and against any and all claims,suits,judgments,costs,attorneys'fees,damages or other relief, including,but not limited to,workers' compensation claims, in any way resulting from or arising out of the Work to be performed and/or negligent acts or omissions of the Owner in connection herewith,including negligence or omissions of contractors,subcontractors,employees or agents of the Owner,arising out of the performance of this Agreement and/or the Work. In the event of any action against the City, its officers, employees, agents, attorneys, 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. The provisions of this Section shall survive any expiration, completion and/or termination of this Agreement. -3- 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 that 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. All notices, reports and documents required under this Agreement shall be in writing and shall be mailed by first-class mail, postage prepaid, addressed as follow: As to the City: City of Elgin 150 Dexter Court Elgin, IL 60120-5555 Attn: Community Development Director With a copy of any such notices to: City of Elgin 150 Dexter Court Elgin, IL 60120-5555 Attn: Corporation Counsel As to the Owner: Patrick G. Sakolari c/o Patrick O'Neil Property Group, LLC-Grove 221 E. Chicago Street Elgin, IL 60120 With a copy of any such notices to: Patrick G. Sakolari 38W714 Brindlewood Lane Elgin, IL 60124 Section 17. No official, director, officer, agent or employee of the City shall be charged personally or held contractually liable under any term or provision of this Agreement or because of their execution, approval or attempted execution of this Agreement. Section 18. In all hiring or employment made possible or resulting from this Agreement, there shall be no discrimination against any employee or applicant for employment because of sex, age, race, color, creed, national origin, marital status, of the presence of any sensory, mental or physical handicap, unless based upon a bona fide occupational qualification, and this requirement -4- shall apply to, but not be limited to, the following: employment advertising, layoff or termination, rates of pay or other forms of compensation and selection for training, including apprenticeship. Section 19. Notwithstanding anything to the contrary in this Agreement, with the sole exception of an action to recover the monies the City has agreed to pay to the Owner pursuant to Section 1 hereof, no action shall be commenced by the Owner against the City for monetary damages. Owner hereby further waives any and all claims to interest on money cl,imed to be due pursuant to this Agreement and waives any and all such rights to interest which it claims it may otherwise be entitled to pursuant to law, including,but not limited to,the Local Government Prompt Payment Act(501LCS 501/1,et seq.), as amended,or the Illinois Interest Act(815 ILCS 205/1,et seq.),as amended. The parties hereto further agree that any action by the Owners arising out of this Agreement must be filed within one(1)year of the date the alleged cause of action arose or the same will be time-barred. Section 20. No official, officer, agent, employee or attorney of the City shall be charged personally or held contractually liable under any term or provision of this Agreement or because of their execution, approval, attempted execution or enforcement of this Agreement. Section 21. This Agreement and its attachments constitutes the entire agreement of the parties hereto and the subject matter hereof and may not be changed, modified, discharged or extended except by written amendment duly executed by the parties. Each party agrees that no representations or warranties shall be binding upon the other party unless expressed in writing herein or in a duly executed amendment hereof. Section 22. This Agreement is and shall be deemed and construed to be a joint and collective work product of the City and the Owners,and as such,this Agreement shall not be construed against the other party,as the otherwise purported drafter of same,by any court of competent jurisdiction in order to resolve any inconsistency, ambiguity, vagueness or conflict, if any, of the terms and provisions contained herein. Section 23. This Agreement and the obligations herein may not be assigned by the Owners without the express written consent of the City,which consent may be withheld at the sole discretion of the City. Section 24. The Owner shall also complete the Project identified in the Fire Sprinkler Assistance for Residential Conversions Grant Program Agreement with the City within 365 days from the date of this Agreement. Section 25. Notwithstanding any other provision of this Agreement, it is expressly agreed and understood that in connection with the performance of this Agreement,the Owner shall comply with all applicable federal,state,city and other requirements of law, including,but not limited to,any applicable requirements regarding the City Facade Improvement Program, 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 Owners'employees and/or agents who will be providing products and/or services with respect to this Agreement shall be legal -5- residents of the United States. Owner shall also at his expense secure all permits and licenses,pay all charges and fees,except for those charges and fees waived by Section I of this Agreement,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 Owners 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. Owner shall pay any and all costs of such audit. Section 26. Time is of the essence of this Agreement. IN WITNESS WHEREOF,the parties hereto have executed this Agreement on the date first appearing above. CITY OF ELGIN: ATTEST: By: Richard G. ozal e*!��Kim Dewis, City Clerk City Manager OWNE By: Name: Patrick G. Sakolari Sole Member, Patrick O'Neil Property Group, LLC-Grove -6- i Attachment A Downtown Facade Improvement Program Eligible Cost Comparison 11-13 N. Grove Avenue and 15 N. Grove Avenue Patrick O'Neil Property Group, LLC-Grove Scope of Work Bid #1 Lower Estimate Bid#2 Contractor Contractor name Amount name Amount Petra Northwest Facade Renovation, Development Contractors, Labor& Materials Group Inc. $146,300 Inc. $195,500 Total Eligible Cost Based on Lowest Estimate $146,300 City's Participation at 35% $51,205 Total Recommended Facade Improvement Program Allocation $51,205 -7- Attachment B Consisting of the following attached four (4) pages: Construction Estimate for 11-15 N. Grove Fagade from Petra Development Group, Inc. (Dated February 8, 2019); and Color photo simulation of facade renovation (undated). -8- Petra Development Group Inc 11-15 N Grove Facade 221 E Chicago St Date Estimate # Elgin IL 60120 847-343-2541 2/8/2019 1115 Customer Job Facade Customer Information Patrick O'Neil Property Group LLC - Grove 11 - 15 N Grove Ave Elgin, IL 60120 Description Qty Rate Amount Project: 11-15 N Grove Facade Upper 2nd Floor Cornice Restoration. Sanding, priming and 3 color-pattern, include minor tin repair and patch. 1 Ea Windows/Triple Hung /1-stationary top lite total replacement 10 windows. west elevation, demo existing brick fill, restore window opening to original size. All window product to meet energy code requirements. 1 Ea Tuckpointing: Re-point existing brick as needed/point limestone. 1 Ea Commercial 1st Floor Window/Store Front Replacement. 1 in. glazing, aluminum store front doors with. 14 in. architectural kick plate additions. 1 Ea Lower Level Storefront Carpentry per Architectural Approved Print Early 1900 Elevation Fenestrations Demo all 1970 awning and brick. 1 Ea Lighting-install Early 1900 Type Goose Neck Style Model GN1 LED13NAC11 B 14 Total Units. (2 at restaurant signage). 1 Ea Project subcontract Subcontract, per job 1 146.300.00 146,300.00 Page 1 Petra Development Group Inc 11 -15 N Grove Facade 221 E Chicago St Date Estimate# Elgin IL 60120 847-343-2541 2/8/2019 1115 Customer Job Facade Description Qty Rate Amount "Project Subtotal 146.300.00 `Project Total 146,300.00 Total 146,300.00 Page 2 i Construction Estimate Page 1 File Name: 11-15 N Grove Facade Final.est Qty Craft@Hours Unit Material Labor Equipment Total Project: 11-15 N Grove Facade Upper 2nd Floor Cornice Restoration Sanding, priming and 3 color-pattern, include minor tin repair and patch. 1.00 P1@.0000 Ea 0.00 0.00 0.00 17,800.00 Windows/Triple Hung /1-stationary top lite total replacement 10 windows west elevation, demo existing brick fill, restore window opening to original size. All window product to meet energy code requirements. 1.00 P1@.0000 Ea 0.00 0.00 0.00 29,900.00 Tuckpointing: Re-point existing brick as needed/point limestone. 1.00 P1 @.0000 Ea 0.00 0.00 0.00 24,300.00 Commercial 1st Floor Window/Store Front Replacement. 1" glazing, aluminum store front doors with 14" architectural kick plate additions. 1.00 P1@.0000 Ea 0.00 0.00 0.00 37,800.00 Lower Level Storefront Carpentry per Architectural Approved Print Early 1900 Elevation Fenestrations. Demo all 1970 awning and brick. 1.00 P1@.0000 Ea 0.00 0.00 0.00 23,700.00 Lighting-install Early 1900 Type Goose Neck Style Model GN1LED13NAC11B 14 Total Units (2 at restaurant signage). 1.00 P1@.0000 Ea 0.00 0.00 0.00 12,800.00 Total Only (Subcontract) Costs: 146,300.00 Subtotal: 146,300.00 Estimate Total: 146,300.00 .. , ... �� ,, :� .�� :: �'. .r _ - c.� ._ .. 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