HomeMy WebLinkAbout24-280 Resolution No. 24-280
RESOLUTION
AUTHORIZING EXECUTION OF A BUILDING IMPROVEMENT PROGRAM
AGREEMENT WITH RRIA PROPERTIES I, LLC TO PROVIDE FINANCIAL
ASSISTANCE FOR THE REPLACEMENT OF GREASE INTERCEPTORS
(51 S. Grove Avenue, Dream Hall)
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 Building Improvement Program Agreement on behalf of the
City of Elgin with RRIA Properties I, LLC, to provide financial assistance by replacing two, 500-
pound grease interceptors at 51 S. Grove Avenue(Dream Hall),a copy of which is attached hereto
and made a part hereof by reference.
s/David J. Kaptain
David J. Kaptain, Mayor
Presented: December 18, 2024
Adopted: December 18, 2024
Omnibus Vote: Yeas: 9 Nays: 0
Attest:
s/Kimberly Dewis
Kimberly Dewis, City Clerk
CITY OF ELGIN
BUILDING IMPROVEMENT PROGRAM AGREEMENT
(51 S. Grove Avenue)
THIS AGREEMENT is made and entered into this 18 day of December , 2024,
by and between the CITY OF ELGIN, an Illinois municipal corporation (hereinafter referred to as
"City")and RRIA PROPERTIES I,LLC,an Illinois limited liability company(hereinafter referred
to as the"Owner').The City and Owner may be referred to collectively herein as the"parties"and
individually as a"party."
WHEREAS, the City Council of the City of Elgin (hereinafter referred to as the "City
Council") has adopted Ordinance Nos. S6-99, S1-02, S2-02, S3-02, and S4-02 proposing,
approving,and creating the Elgin Central Area Tax Increment Financing Redevelopment Plan and
Project (hereinafter referred to as the "ECA TIF District") pursuant to the Tax Increment
Allocation Redevelopment Act at 65 ILCS 5/11-74.4-1, et seq.; and
WHEREAS, the ECA TIF District was established on April 10, 2002, and will continue
for twenty-three(23) years thereafter; and
WHEREAS, the Owner is the owner of the property identified by Kane County PIN 06-
14-435-001, more commonly known as 51 S. Grove Avenue, Elgin, Illinois (hereinafter referred
to as the "Subject Property"); and
WHEREAS, the Subject Property is located within the area commonly referred to as
Downtown Elgin; and
WHEREAS, the Subject Property is located within the ECA TIF District; and
WHEREAS, the Owner intends to improve the building located upon the Subject Property
by replacing two 500-pound grease interceptors that leak and emit odors with two new 500-pound
grease interceptors; and
WHEREAS, the City Council has determined and hereby finds that the new grease
interceptors as herein described will further the goals and objectives of the Elgin Central Area TIF
Increment Financing Redevelopment Plan and Project and assist the City in its objective to create
a more economically viable and sustainable downtown business district, all of which are hereby
declared by the City to be a valid public purpose of the City; and
WHEREAS, the new grease interceptors will enhance the value of the Subject Property
and increase the City's tax revenues; and
WHEREAS, in order to incent and facilitate continued investment in the Subject Property
as herein described which will further the goal and objectives of the Elgin Central Area Tax
Increment Finance and Redevelopment Plan and Project, the City has agreed to provide certain
development assistance as hereinafter described;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, this Building Improvement Program Agreement, resulting in furthering and
achieving the goals and objectives of the Elgin Central Area Tax Increment Finance and
Redevelopment Plan and Project,and resulting in the benefits the City has hereinabove stated,are
matters within the government affairs of the City; and
WHEREAS, the continued investment in the Subject Property will strengthen the
commercial sector of the downtown in the City; and
WHEREAS,the continued investment in the Subject Property will enhance the tax base of
the City; and
WHEREAS, the continued reinvestment in the Subject Property will serve to further the
development of adjacent areas; and
WHEREAS, the Owner is a long-standing member of Downtown Elgin and meets high
standards of credit worthiness and financial strengths; and
WHEREAS,this Agreement is made in the best interests of the City.
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 further investment in the Subject Property
by replacing the two existing 500-pound grease interceptors with two new 500-pound grease
interceptors in the manner depicted in the 1-page proposal from A.Master Rooter 2 Inc. dated
October 31,2024,which is attached hereto as Attachment A and made a part hereof(such two new
500-pound grease interceptors on the Subject Property are hereinafter referred to as the "Subject
Building Improvements"or alternatively as the "Work").
Section 3. The total, maximum approved project costs for the Subject Building
Improvements shall be thirty-three thousand, five hundred dollars and no cents($33,500.00)as set
forth in Attachment A (such total approved project costs for the Subject Building Improvements
are hereinafter referred to as "Eligible Costs"). The City shall pay the Owner a sum not to exceed
thirty-three thousand,five hundred dollars and no cents($33,500.00)toward the Eligible Costs for
the Subject Building Improvements approved pursuant to the provisions of this Agreement unless,
upon receipt and review of those items stipulated within Section 7 of this Agreement, it is found
that the total cost of the Subject Building Improvements were less than the Eligible Costs estimated
within Attachment A, then the maximum amount that the City shall pay to the Owner shall be
reduced to the lesser, actual cost of the Subject Building Improvements. The City also agrees to
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waive any costs for permits,plan reviews,and inspections that are associated with the construction
and installation of the Subject Building Improvements.
Section 4. 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 Subject
Building Improvements hereby provided for as established by the construction specifications and
construction estimate as set forth in Attachment A.
Section 5. No work shall be undertaken or shall be considered to constitute the basis
for an Eligible Cost until the Owner submits the plans for the Subject Building Improvements to
the City and receives all necessary permits from the City for the Subject Building Improvements.
The Owner shall submit the requisite permit application and associated plans necessary to receive
a permit within ninety (90) days of this Agreement. The Owner shall cause the Subject Building
Improvements to commence within one hundred and twenty (120) days of the issuance of all
necessary permits by the City. For the purpose of this Section 5 of the Agreement, "commence"
shall mean that both grease interceptors have been delivered to the Subject Property. All the Work
related to the Subject Building Improvements shall be performed in compliance with all
requirements of law, including, any applicable codes and ordinances. The Subject Building
Improvements shall be completed within sixty (60) days from the date work commences. For the
purpose of this Section 5 of this Agreement, "completed" shall mean that the Subject Building
Improvements have received all approvals and passed all inspections required by law.
Section 6. The City shall be permitted access to the Subject Property 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 City, conform to the Subject Building Improvements or other applicable
terms of this Agreement, shall be made to conform to the Subject Building Improvements and
other applicable terms of this Agreement upon written notice of the existence of such non-
conforming portions.
Section 7. Upon completion of the Work, and upon final inspection 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; (3) reasonable proof of payment of all costs incurred
pursuant to the Work; and (4) a release of lien from any contractor that received payment for the
Work.
Section 8. City shall pay to the Owner the Eligible Costs provided for at Section 3
herein within thirty (30) days of Owner's completion of the Work and compliance with the
provisions of Section 7 herein. In no event shall the amount paid to the Owner exceed the lesser
of the amount specified in Section 3 of this Agreement or in the contractor statement required by
Section 7 of this Agreement.
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Section 9. 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 10. 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 Subject
Building Improvements, without prior written approval from the City's Director of Community
Development in his or her sole discretion. It is not intended that acts by a third party that may
affect the Subject Building Improvements constitute a breach of the provisions of this Section by
the Owner.
Section 11. Nothing herein is intended to limit, restrict or prohibit the Owner from
undertaking any other work in or about the Subject Property that is unrelated to the Subject
Building Improvements provided for in this Agreement.
Section 12. 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 the Subject
Property with a copy of this Agreement. This Agreement shall run with the Subject Property. 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 9, 14, and 21
herein shall survive the expiration, completion, and/or termination of this Agreement.
Section 13. INTENTIONALLY OMITTED.
Section 14. 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 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.
Section 15. This Agreement shall not be construed to create a partnership,joint venture
or employment relationship between the parties hereto.
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Section 16. 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 17. 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 18. 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: Pedro Echevarria, Manager
RRIA Properties I, LLC
9N656 Beckman Trail
Elgin, IL 60124-8442
Section 19. INTENTIONALLY OMITTED.
Section 20. 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 21. 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 3 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
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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 22. 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 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 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 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. INTENTIONALLY OMITTED.
Section 27. Notwithstanding any other provisions of this Agreement, it is agreed and
understood that the Owner shall comply with all federal, state, city,and other requirements of law
that are applicable to the Owner in connection with the performance of this Agreement.
Section 28. Time is of the essence of this Agreement.
Section 29. This Agreement may be executed in counterparts,each of which shall be an
original and all of which shall constitute one and the same agreement. This Agreement may be
executed electronically, and any signed copy of this Agreement transmitted by facsimile machine,
email, or other electronic means shall be treated in all manners and respects as an original
document. The signature of any party on a copy of this Agreement transmitted by facsimile
machine, email, or other electronic means shall be considered for these purposes an original
signature and shall have the same legal effect as an original signature.
SIGNATURE PAGE FOLLOWS
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IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the date
first appearing above.
CITY OF ELGIN: ATTEST:
B i��2'---'
Richard G. Kozal Kim Dewis, City Clerk
City Manager
OWN :
By:
Name: Pedro Echevarria
Manager
RRIA Properties I, LLC
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Attachment A
1-page Proposal from A.Master Rooter 2 Inc. dated October 31, 2024
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AiIMASTER ROOTER 2 IBC. Plumbing Service OAM Cf ''
Sewer Drain Service f �[ �4`�_ CHICA60 WEST
'` Sewer 8c Drain Service Toiletstbs •auc t Installation Sink I [ 1
t- Bathtubs -Faucet f
0 45W170 Berner Rd. Floor Drains Pipe Work
"^ T�"''c"v`�"'"''�
Hampshire IL, 60140 Install Water Heaters
&CRAM El PUMPNO El
847-840-6179 // 847-532-5571 Sump Pumps SEWERO � � maw iits 0
'CUSTOMER NAME 7-• 1 L — -
NAMECUSTOMER NO. CUSTOMER CLASS
KrL i LID L iIt& v e • 1tf 1 Cti 0 RISICENTIAL COMMERCIAL
BOLLIMO ADDRESS APT Nl MSER
CON iSTA/PROVINCE 1DP/POSTAL CUSTOMER PHONE NO.
ADORERS PP TWIN ADOt SER CrTY STATFJPFrOrtm.CE MPJPpST/1L
REPAIR CODE ESTIMATE AND DESCRIPTION OF WOR TO BE PERFORMED(The , atartktp dale le 1 And the approximate
oontpMlon dale la -Neither date Is guaranteed.Unexpected taondi urns or plobeerns could Cause delays.)
t-- - - ' - S U U :f V<Gm S€ I A><-e </ e psac ; :AMOUNT
/ .
/1 --iI a r-ir. '-( Ntt/t+ IA)kirre Ll,ti 4-X , Si-,n9 9rrese +vgps L'- c c-
TTak to 4 a rl S 5 t,In i If'D 1'1i a);+let (C' UT !'.✓► tJ rick',
WORK ORDER AUTHORIZATION I en etprtte the s.iU pee above and agree to pay the amounts Indicated I MVO Raid and gee to the tertr,s including M»
Marts on MGR Ranting neoon tiny specified in those tam».
(SK.NATURE (PRINT NAME_--
Send plumbing ape.DrodueVeeiviese
4E-MAIL 1110finelion end crayons vie smell
ADJUSTMENTS/CHANGES IN WORK TO E3E PERFORMED AND/OR REPAIR ESTIMATE(S)AS NOTED ON COURTESY PLUMBING INSPECTION
s.
Customer inttWs for eddltfon&v./wpm
i RESIDENTIAL GUARANTEE COMMERCIAL GUARANTEE PAYMENT
LABOR LABOR ❑CASH ❑ CHECK NO. - FOR_
• El Main/Branch Gearing 6 months ❑Main/Branch Cleaning 30 drys
❑Toilet Auger 7 drys 0 Toilet Auger 24 ham
CREDIT CARD NO. EXP DATE PARTS S 22/
❑Plumbing Repair 8 torAtit 0 Plumbing Repair 90 drys I I 11 I I I I PRODUCTS S
❑Plubiq Replacement 1 yew ❑Plumbing Replacement 90 drys ❑ NET 10 DAYS AUTH 11_ OTHER S
0 Extended Guarantee t year p OWES 30 DAYS..LATE CHARGE OF I 1/2%MR MONTh
mown__rro GUnnANTEE •In Ors evert Check Is Winged.0 s COMPANY all charge TAX S yn1
eie CUSTOMER a$25.00 preceeakrg lee. ,33,S()
INVOICE TOTALS.
COMPLETER I acknowledge completion Of the above described worts which has been done to my complete satisfaction