93-225 Resolution No. 93-225
RESOLUTION
AUTHORIZING FIRE PROTECTION SERVICE AGREEMENT WITH
LEE WARDS CREATIVE CRAFTS, INC.
WHEREAS, Lee Wards Creative Crafts, Inc. , a corporation,
is the owner of certain property located outside the corporate
limits of the City of Elgin; and
WHEREAS, said owner has requested the City of Elgin to
furnish fire protection services for said property on the
terms set forth on the attached agreement.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF ELGIN, ILLINOIS, that Larry L. Rice, City Manager, and
Dolonna Mecum, City Clerk, be and are hereby respectively
authorized and directed to execute an agreement on behalf of
the City of Elgin with Lee Wards Creative Crafts, Inc. for
fire protection service, a copy of which is attached hereto
and made a part hereof by reference.
s/ George VanDeVoorde
George VanDeVoorde, Mayor
Presented: August 11, 1993
Adopted: August 11, 1993
Vote: Yeas 5 Nays 0
Recorded:
Attest:
s/ Dolonna Mecum
Dolonna Mecum, City Clerk
FIRE PROTECTION AGREEMENT
WHEREAS, Lee Wards Creative Crafts, Inc. hereinafter
referred to as "Company" is the owner of certain property
located south of the corporate limits of the City of Elgin on
Illinois Route 25 in Elgin Township, Kane County, Illinois,
which property and improvements located thereon are outside
the corporate limits of any municipality; and
WHEREAS, Company has requested the City of Elgin,
hereinafter referred to as "City" to furnish fire protection
service for said property; and
WHEREAS, City has agreed to provide said fire
protection service on the terms and conditions hereinafter
stated.
NOW, THEREFORE, in consideration of the mutual
promises of the parties hereto and the covenants hereinafter
contained, it is agreed as follows :
1 . That City shall furnish fire protection service
to Company for a period of one ( 1) year commencing January 1,
1993 and terminating on December 31, 1993 . Fire protection
service shall consist of extending to the Company the regular
fire fighting facilities of the City in case of a fire upon
the Company' s premises in the same manner as if said property
were situated within the corporate limits . In addition to the
regular fire protection services, City shall furnish ambulance
service as is generally available to residents of the City of
Elgin. As a condition of the furnishing of fire protection
services, Company agrees to permit City to make inspections to
determine compliance with the fire code of the City of Elgin
and agrees to comply with same. Failure to do so shall
constitute grounds for termination of this agreement.
2 . That in consideration of said fire protection
service, Company agrees to pay to City the sum of Twenty-One
Thousand Four Hundred Dollars ($21,400.00) . Said payment
shall be paid no later than September 10, 1993 .
3 . That the right, title and interest of the said
Company under this agreement may from time to time be assigned
with respect to all of the above described premises or
portions thereof . Written notice of such assignment shall be
given to City with thirty (30) days .
IN WITNESS WHEREOF the City Manager and City Clerk
have executed this agreement for and on behalf of the City of
Elgin and Lee Wards Creative Crafts, Inc. have executed this
agreement for and on behalf of said Company and each have
caused their respective corporate seals to be affixed.
CITY OF ELGI
BY r._4∎.
City Ma"N
Attest:
City Clerk (SEAL)
LEE WARDS CREATIVE
CRAFTS, INC.
By ,./!
Its Presi ent 1/
Attest:
Secretary (SEAL)
Elm n
s = 1
X
Agenda Item No.
July 21, 1993
TO: Mayor and City Council
FROM: City Manager
SUBJECT: Fire Protection Contracts
PURPOSE: The purpose of this memorandum is to review the fire
protection charges to five (5) properties located outside the
city limits and to seek approval of those contracts.
BACKGROUND: The City first offered fire protection contracts
in 1962 to Illinois Tool Works, Chicago Rawhide, Leewards
(State Street) and McGraw Edison (St. Charles Street) . This
charge was in lieu of fees for services when requested, however
the fee that was charged did not recover the cost associated
elk with providing the service.
In 1967, the fire protection contracts established a tax rate
based on real estate and personal property assessed valuations.
The tax rate only included operating costs and capital
expenditures. Insurance costs, depreciation and pension
contributions were added to the formula in 1976. The overall
goal in establishing the fire protection charges was to make it
economically beneficial for each business to annex into the City
of Elgin. In the recent past there has been some interest on
the part of some of the businesses to annex into the city. The
following table highlights the fire protection charges for 1991
and 1992 as well as the recommended charges for 1993.
1992
Assessed % 1991 1992 1993
Valuations Total Charges Charges Totals
Leewards $1,018,730 35.0 $23,700 $20,460 $21,400
ITW 1,204,501 41.4 22,150 23,000 25,300
DeSoto 573 ,636 19.7 8,200 8,900 12,050
Hintz
Trucking 50,087 1.7 1,360 1,375 1,050
Eagles Club 65,257 2.2 1,290 1,265 1,370
$2,912,211 100.0 $56,700 $55,000 $61,170
The projected 1993 fire protection charges increase by
approximately $6,000. This is due in large part to the overall
tow increase in assessed valuation to $2,912,211 from $2,630,750.
Specifically, Leewards, ITW, and DeSoto realized increases in
their assessed valuations of nearly $73 ,000, $86,000, and
$133,000 respectively.
FINANCIAL IMPACT: Total fire protection charges would equal
$61,170 and would finance the 1993 expenditures.
RECOMMENDATION: To approve the 1993 Fire Protection charges
for those five properties located outside the city limits.
Ps.
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