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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 -2- 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. -3- 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. -4- 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 -5- 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 -6- 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 -7- Attachment A 1-page Proposal from A.Master Rooter 2 Inc. dated October 31, 2024 -8- 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