HomeMy WebLinkAbout21-191 Resolution No. 21-191
RESOLUTION
AUTHORIZING EXECUTION OF A FIRE SPRINKLER ASSISTANCE FOR RESIDENTIAL
CONVERSIONS GRANT PROGRAM AGREEMENT WITH EXCEL MARKET
SOLUTIONS, LLC FOR CONSTRUCTION OF A NEW FIRE SPRINKLER SYSTEM
(13 N. State Street)
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 Fire Sprinkler Assistance for Residential Conversions Grant
Program Agreement with Excel Market Solutions, LLC, for construction of a new fire sprinkler
system at 13 N. State Street, a copy of which is attached hereto and made a part hereof by
reference.
s/David J. Ka�tain
David J. Kaptain, Mayor
Presented: December 15, 2021
Adopted: December 15, 2021
Omnibus Vote: Yeas: 9 Nays: 0
Attest:
s/Kimberly Dewis
Kimberly Dewis, City Clerk -
CITY OF ELGIN
FIRE SPRINKLER ASSISTANCE FOR RESIDENTIAL CONVERSIONS GRANT
PROGRAM AGREEMENT
(13 N. State Street)
THIS AGREEMENT is made and entered into this 15 day of C ,2021,
by and between the City of Elgin, Illinois, a municipal corporation (hereinafter referred to as
"City"), Excel Market Solutions, LLC, an Illinois limited liability company(hereinafter referred
to as"Owner").
WHEREAS, the City has established a fire sprinkler assistance program whereby owners
of property or businesses located within the downtown who create residential upper floor dwelling
units in existing buildings and who complete a new fire sprinkler installation or a code-required
upgrade to an existing fire sprinkler system in connection with the creation of the residential upper
floor dwelling units may receive a grant from the City to reimburse the owner for the equipment
and installation costs of an approved fire sprinkler system in an amount not to exceed$4 per square
foot of protected building floor area (hereinafter referred to as the "Sprinkler Assistance for
Residential Conversions Grant'); and
WHEREAS, the purposes of the Fire Sprinkler Assistance for Residential Conversions
Grant are to provide an incentive for property owners to add residential dwelling units in the
downtown,which in turn will improve the economic viability of those properties,promote greater
utilization of currently vacant or underutilized buildings, and help enrich the downtown by
providing more potential customers to revenue-generating nonresidential establishments, such as
retail shops and restaurants;and
WHEREAS,the Owner is the owner of the subject 3,420-square-foot commercial building
and of the property commonly known as 13 N. State Street,Elgin,Illinois(hereinafter referred to
as the"Subject Property");and
WHEREAS, the Owner has proposed creating two new residential upper floor dwelling
units and installing a new fire sprinkler system for the entire, existing building on the Subject
Property as hereinafter described;and
WHEREAS, the Subject Property is located within the downtown area identified
specifically within Exhibit A;and
WHEREAS,the Subject Property is located within the Central Area TIF District;and
WHEREAS, the Owner-proposed project -- improving and rehabilitating the Subject
Property including the creation of two new residential upper floor dwelling units and providing for
the installation of a fire sprinkler system for the entire,existing building on the Subject Property
as hereinafter described--will further the goals and objectives of the Fire Sprinkler Assistance for
Residential Conversions Grant program and of the Elgin Central Area TIF District;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 Fire Sprinkler Assistance for Residential Conversions Grant and its
intended purposes stated within the above recitations are matters pertaining to the governmental
affairs of the City;and
WHEREAS,Owner has requested a Fire Sprinkler Assistance for Residential Conversions
Grant from the City for the Subject Property by submitting a written application.
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. The above recitals are incorporated into and made a part of this agreement.
Section 2. The Owner shall provide for the creation and completion of two new residential
upper floor dwelling units in the existing building on the Subject Property in accordance with the
floor plans dated July 29, 2019, depicting two residential dwelling units with one bedroom and
one bathroom each, attached hereto as Exhibit B, and pursuant to plans to be submitted therefor
for permit and approved by the City. In the event of any conflict between the floor plans July 29,
2019 and the plans approved by the City, the plans approved by the City shall supersede and
control.The inclusion of the floor plans dated July 29,2019 within this Agreement is not and shall
not otherwise be construed as either an approval by the City that said plans comply with the Elgin
Municipal Code, 1976 as amended,or as an authorization to begin work.
Section 3. The Owner shall also provide for the installation of a fire sprinkler system for
the entire building on the Subject Property as set forth in the proposals of A&A Sprinkler
Company,Inc.dated August 2,2021 and Mosele&Associates,Inc.dated August 10,2021,which
are attached hereto as Exhibit C, and pursuant to plans to be submitted therefor for permit and
approved by the City. In the event of any conflict between such proposal and the plans approved
by the City, the plans approved by the City shall supersede and control. The inclusion of the
proposals by A&A Sprinkler Company, Inc.dated August 2,2021 and Mosele&Associates, Inc.
dated August 10,2021 within this Agreement is not and shall not otherwise be construed as either
an approval by the City that said proposal complies with the Elgin Municipal Code, 1976 as
amended, or as an authorization to begin work. (The installation of the new fire sprinkler system
for the entire building on the Subject Property is hereinafter referred to as the "Fire Sprinkler
System Work", and the creation of the two new residential upper floor dwelling units in the
existing building on the Subject Property and the installation of the new fire sprinkler system for
the entire building on the Subject Property is hereinafter collectively referred to as the"Project").
Section 4. The total approved costs for the Fire Sprinkler System Work installation for the
entire building on the Subject Property shall be 16Q.,925 as set forth in Exhibit C attached hereto
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and made a part hereof(such total approved costs for Fire Sprinkler System Work is hereinafter
referred to as the"Eligible Costs"and such building is hereinafter referred to as the"Structure").
The City shall pay the Owner a sum not to exceed $13,680 of the Eligible Costs, that sum being
$4 per square foot for the 3,420-square-foot area protected by the Fire Sprinkler System Work
approved pursuant to the provisions of this Agreement. 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 Project.
Section 5. 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 Fire Sprinkler
System Work installation hereby provided for and as designated upon the design drawings,
specifications, and/or scope of work as set forth in Exhibit C attached hereto made a part hereof,
and the Plans approved by the Project Review Team pursuant to the provisions of Section 6
(hereinafter referred to as"Plans"). Eligible Costs shall not include costs associated with drywall,
paint,and other interior repairs associated with installing or concealing the Fire Sprinkler System.
Section 6. No Fire Sprinkler System Work shall be undertaken or shall be considered to
constitute the basis as Eligible Costs until the detailed Plans for such Fire Sprinkler System Work
and the Project has been submitted to and approved in writing by the City's Project Review Team
(hereinafter referred to as"Project Review Team")consisting of the City's Director of Community
Development,Fire Chief,Historic Preservation Planner, and any other member designated on the
Project Review Team.The Plans shall also include design drawings,specifications,a cost estimate,
and a schedule and date of completion for the Fire Sprinkler System Work and the Project, and
among other things, all of which shall detail the greater effort by the Owner to add the residential
dwelling units at the Subject Property and for which the Fire Sprinkler System Work and the
Project are required. The Fire Sprinkler System Work and the Project shall be completed within
three hundred and sixty five (365) days from the date of this Agreement, unless written consent
for an extension is provided by the Project Review Team. All work relating to the Project on the
Subject Property, and all other renovation and rehabilitation work on the Subject Property, shall
be performed in accordance with final plans and permits therefor approved by the City and in
accordance with all applicable city ordinances and other requirements of law.
Section 7. The Project Review Team shall be permitted access to the Structure to
periodically review the progress of the Project. 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
Project 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 8. Upon completion of the Project,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 Fire Sprinkler System Work and each portion thereof,including,but
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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 Fire Sprinkler System Work; and (3) reasonable proof of payment of all costs
incurred pursuant to the Fire Sprinkler System Work.
Section 9. City shall pay to Owner the total approved Eligible Costs for the Fire Sprinkler
System Work provided for at Section 4 herein within thirty (30) days of Owner's completion of
the Fire Sprinkler System Work and the Project and the Owner's compliance with the provisions
of this Agreement. In no event shall the amount paid to Owner exceed the lesser of amount
specified in this Agreement or in the contractor statement for the Fire Sprinkler System Work.
Section 10. In the event Owner fails to complete the Project 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 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 11. Upon completion of the Project, and for a period of five (5)years thereafter,
Owner and Owner shall properly maintain the Project 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 the Project, or to create or undertake any other Project which may constitute a deviation
from the Plans,without prior written approval from the Project Review Team in its sole discretion.
Section 12. Nothing herein is intended to limit, restrict or prohibit the Owner or Owner
from undertaking any other work in or about the Subject Property that is unrelated to the Project
provided for in this Agreement.
Section 13. This Agreement shall be binding upon City and its successors,and upon Owner
and their successors and assigns for a period of five(5)years from and after the date of completion
and approval of the Project. Owner shall provide subsequent owner(s)of the 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.Notwithstanding the
aforementioned five(5)-year period,the provisions of Sections 10, 15 and 22 herein shall survive
the expiration,completion and/or termination of this Agreement.
Section 14. The failure by a party to enforce any provisions of this Agreement against the
other party shall not be deemed a waiver of the right to do so thereafter.
Section 15. To the fullest extent permitted 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 this Agreement,the Project,the Fire Sprinkler System Work to be performed
and/or negligent acts or omissions of the Owner in connection herewith, including negligence or
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omissions of contractors, subcontractors, employees or agents of the Owner, arising out of the
performance of this Agreement,the Project and/or the Fire Sprinkler System 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.
Section 16. This Agreement shall not be construed to create a partnership,joint venture or
employment relationship between the parties hereto.
Section 17. 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 18. 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 19. 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: Leonard David Kruse and Jeffrey W. Olyniec
Excel Market Solutions,LLC
25 S. Grove Avenue, Unit 506
Elgin,IL 60120
With a copy of any
such notices to: Robert Bruce Ridley,Manager
Excel Market Solutions,LLC
25 S.Grove Avenue,Unit 506
Elgin,IL 60120
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Section 20. No official,director,officer, agent,attorney 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 21. 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
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 22. 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 4 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 claimed 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(50 ILCS 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 Owner 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 23. 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 24. This Agreement is and shall be deemed and construed to be a joint and
collective work product of the City, and the Owner and as such, this Agreement shall not be
construed against any 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 25. This Agreement and the obligations herein may not be assigned by the Owner
without the express written consent of the City, which consent may be withheld at the sole
discretion of the City.
Section 26. 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 Fire Sprinkler Assistance for Residential
Conversions Grant 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 Owner's employees and/or agents who will be providing products and/or services
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with respect to this Agreement shall be legal residents of the United States. Owner shall also at
his or her expense secure all permits and licenses,pay all charges and fees,except for those charges
and fees waived by Section 4 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 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. Owner shall pay any and all costs of such audit.
Section 27. Time is of the essence of this Agreement.
Section 28. The parties agree that facsimile and/or e-mail signatures are acceptable to make
the Agreement binding and fully enforceable.
Section 29. This Agreement may be executed in counterparts. Signatures transmitted by
facsimile or email have the same legal effect as an original signature.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the date
first appearing above.
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CITY OF ELGIN: ATTEST:
By:
Richard G. Kozal Kim Dewis, City Clerk
City Manager
OWNER: Excel Market Solutions, LLC,
an Illinois limited liability company
By: y:
e: eo �%e- Name: � � (-/A(- ( 1<L
Leonard David Kruse Jeffrey W. O yniec
Box\Plannine Neiehborhood Srvs\Fire Sprinkler GRANT PROGRAM\STATE N 13 KRUSE\DAVID KRUSE\GRANT AGR-FIRE
SPRINKLER-EXCEL MARKET SOLUTIONS-13 N STATE ST-12-03-21.DOCX
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EXHIBIT A
Map of Downtown Area Eligible for
Sprinkler Assistance for Residential Conversions Grants
-9-
Kimball St
Downtown n
XX
Exhibit A
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EXHIBIT B
Project consisting of the following attached(1)page:
Floor Plans(Dated July 29,2019),depicting two new residential upper floor dwelling units.
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EXHIBIT B-FLOOR PLANS
PAGE 1 OF 1
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EXHIBIT C
Fire Sprinkler System Work, consisting of the following attached two pages(2)pages:
Budget Proposal by A&A Sprinkler Company,Inc.dated August 2,2021 (sprinklers)and Proposal
by Mosele&Associates,Inc. Dated August 10, 2021 (new water and fire service).
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EXHIBIT C - SPRINKLER SYSTEM WORK -
COST ESTIMATES
PAGE 1 OF 2
A& A
SPRINKLER COMPANY, INC.
Fire Protection Systems
August 2 ,2021
Barbara Lewis
13 N.State St.
Elgin, IL.
barbmiewlslOgmc com
RE: FIRE PROTECTION
13 N.State St.
Elgin IL.
We are pleased to submit our quotation to you in the amount of$26,125.00 for the installation
of a Wet Pipe Sprinkler system. Our price includes all Labor,Material,Taxes,Engineering,
Fabrication and GL/U/WC/A Insurance.
OUR PROPOSAL IS BASED ON INSTALLING THE FOLLOWING ITEMS:
Al Approximately 13 Concealer Residential Sidewall Sprinkler Heads, (RELIABLE)
B) Approximately 26 Brass upright Sprinklers, (RELIABLE)
C) Approximately 5 Horizontal Sprinklers, (RELIABLE)
D) Approximately 1 Chrome Semi-Recessed Sprinklers, (RELIABLE)
E) 1-4"RPZ Valve W/OS&Y Valves,
F) 1 Main Drain,2 inspector's Test Connection,Auxiliary drains as required per NFPA#13,
G) 1 Check valve and Ball drip,
H) Audible Strobe Light, (No wiring)
1) Flush F.D.Connection,
J) Fire Caulk, Strike Plates,
K) 1 NICET Stamp,
L) 1-Flow Switch, T-Flow Switch, (No wiring)
M) Necessary pipe,fittings and hangers per NFPA#13 requirement,
N) Spare head cabinet&signs per NFPA #13 requirement,
O) 200-PSI pressure test for 2 hours Per NFPA Standard.
Our base price does not include local alarm wiring,central alarms,fire extinguisher or cabinets,
performance bonds,plan review fees,permit fees,city taps,fire hose stations,underground pipe,
excavation,access panel,flushing or testing underground,electrical wiring,Deluge valves,Antifreeze
systems,fire pump,jockey pump,overtime labor,any removal and/or replacement of any types of
ceilings,Ansul systems,adequate water supply,prime/painting of sprinkler pipe,central alarm panels,
sprinklers in combustible blind spaces,fire hydrants,patching,P.E.Stamp,PE technical submittal or
galvanized pipe.
If you have any questions regarding this quotation,please contact the writer. All prices are subject to
increase if not accepted in 45 days.
Sincerely,
A b A SPRINKLER Co.,Inc.
-tr
obe I L.Wer
Sales Representative
(13 N STATE S1 ELGIN IL 8-3-211
782 CHURCH RD ELGIN, IL 60123 (847)426-9473 FAX (847)426-9476
NFPA a a_sprinkler@yahoo.com NFPA
EXHIBIT C - SPRINKLER SYSTEM WORK -
COST ESTIMATES
PAGE 2OF2
/ tI
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_1��1C�SH: LE & ASSOC�I��TES, INC.
C:orrtrat•tc►rw
34523 worth Wilson Road • Ingleside. ;iltnois 60NI • (847) 546-4164 Fax a'84"1 546-01,5
August 10. 2021
Barbara Lewis
13 N. State Street
Elgin. IL 60123
Project: Underground Water Service& Fire Main Installation
Subject: Proposal
Barbara.
Mosele& Associates. Inc. is pleased to quote the above mentioned prcaject.
Our price for this work is$34,800.00.
We have included the following:
1. Installation of new 6"combination Domestic Water Service and Fire Service into building
2. Standard connection of existing Domestic Water Service to new water supply- Backtlow Device
not included
3. Disconnection of old Water Service if old service is w ithin the old excavation
4. Backfill area with granular fill
S. Pressure test and chlorination of new service line
6. Seal foundation wall
7. Restoration of area in-kind
8. Haul excess material(s)off site
9. Tax on material installed
NOTE: Approximately 7 Parking Stalls will be blocked during construction.
We have not included the following:
I. Permits. Bonds and/or Fees
Location of Private utilities
3. Removal and/or replacement of underground obstructions
a. PE Drawings and/or approvals
S. Construction in frost conditions
Please contact us w ith atty questions or concerns.
1 l�tnk t��i
a oselc
President