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99-39 Resolution No. 99-39 RESOLUTION AUTHORIZING EXECUTION OF A FACADE IMPROVEMENT PROGRAM AGREEMENT ( 6 N. State Street) BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS, that Joyce A. Parker, City Manager, and Dolonna Mecum, City Clerk, be and are hereby authorized and directed to execute a facade improvement program agreement on behalf of the City of Elgin with Ben Henrikson for the property commonly known as 6 North State Street, a copy of which is attached hereto and made a part hereof by reference. s/ Kevin Kelly Kevin Kelly, Mayor Presented: February 10, 1999 Adopted: February 10, 1999 Omnibus Vote: Yeas 6 Nays 0 Attest: s/ Dolonna Mecum Dolonna Mecum, City Clerk CITY OF ELGIN FACADE IMPROVEMENT PROGRAM AGREEMENT STATE STREET FACADE PROGRAM THIS AGREEMENT is made and entered into this day of SPA , , 19cf-(, by and between the City of Elgin, iTlinois, a municipal corporation (hereinafter referred to as "City" ) , and Ben Henrikson, (hereinafter referred to as "Owner" ) . WHEREAS, City has established a facade improvement program (hereinafter referred to as "Program" ) for application within certain areas of the corporate limits of City designated by City as appropriate for such application (hereinafter referred to as "Rehabilitation Areas" ) ; and WHEREAS, Program is administered and funded solely by City for purposes of the control and prevention of blight, dilapidation and deterioration of Rehabilitation Areas; and WHEREAS, pursuant to Program, City has undertaken to share the cost of facade improvements to certain structures within Rehabilitation Areas, pursuant to the criteria set forth herein; and WHEREAS, Owner owns at least 500 of a commercial building (s) , or is the tenant of a commercial building (s) located within a Rehabilitation Area, and Owner desires to participate in Program pursuant to the terms and provisions of this agreement . NOW, THEREFORE, in consideration of the mutual promises and covenants contained herein, the sufficiency of which is hereby acknowledged, the parties hereto hereby agree as follows : Section 1 . City shall pay to Owner a sum not to exceed $11, 3 or -facade improvements approved pursuant to the provisions of this agreement (hereinafter referred to as "Eligible Costs" ) for the structure referred to at Section 16 herein (hereinafter referred to as "Structure") . The projec shall be confined to approved improvements made to that part of the Structure fronting on State Street. All parties hereto agree that all payments from the City provided for herein shall be made to Ben Henrikson, who shall provide the City with a full release upon receipt . 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 "Work" ) as designated from the design drawings and specifications approved by the Project Review Team pursuant to the provisions of Section 3 . Section 3 . No Work shall be undertaken or shall be considered to—constitute the basis for an Eligible Cost until the design for such Work has been submitted to and approved in writing by the Project Review Team, consisting of the City' s Director of Business Services and Properties, City' s Historic Preservation Specialist, and City' s Rehabilitation Specialist . 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 one hundred eighty (180) days from the date of this agreement, without the written consent of the Application Review Team. Section 4 . Notwithstanding anything to the contrary provided in is agreement, it is understood by the parties that the project activities include exploratory demolition on the east elevation which may disclose required facade improvements in addition to the work contemplated in this agreement . In such an event, it is understood that the owner may pursue an amended application to the City for further improvements to be included within the facade improvement program for the subject property and further participation by the City. Any such further participation by the City shall be at the sole and exclusive discretion of the City and shall require a written amendment to this agreement executed by the parties . Section 5 . The Project Review Team shall be permitted access to ructure to periodically review the progress of the Work. Such review shall not be in lieu of any other inspections which may otherwise be required by law or by 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 other applicable terms of this agreement upon written notice of the existence of such non-conforming portions . Section 6 . Upon completion of the Work, and upon final inspection an 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 7 . City shall pay to Owner the sum provided for at Section herein within thirty (30) days of Owner ' s compliance with the provisions of Section 5 herein. In no event shall the amount paid to Owner exceed the amount specified in this agreement or in the contractor statement . -2- Section 8 . 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 Owner, and any and all financial or other obligations on the part of City shall cease and become null and void. Section 9 . Upon completion of the Work, and for a period of five 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, without prior written approval from the Project Review Team in its sole discretion. Section 10 . Nothing herein is intended to limit, restrict or pronibit Owner from undertaking any other work in or about the subject premises which is unrelated to the facade improvement provided for in this Agreement . Section 11 . This Agreement shall be binding upon City and its successors, and upon Owner, Owner ' s 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 . Section 12 . If Owner does not own the underlying property for whIcK work is being done, Owner warrants and represents to City that Owner has a lease at the location for which the work is proposed for a term of at least six (6) years . Owner further warrants and represents that he has received authorization from all owners of the property for which work is to be done to accept funds under this program and to undertake the work. Further, such owner (s) of the property for which work is to be done hereby acknowledges that he is aware of this Agreement and authorizes the work which is to be made to the structure . Said owner (s) of the property for which improvements are to be made further acknowledge, that, as owner of the property, he is a party to this Agreement and is bound by the provisions. of this Agreement specifically, but not limited to, the provisions of Section 6 of this Agreement . Each "Owner" signature hereto hereby y warrants and represents that there are no other entities having an ownership interest in the structure, which have not executed this agreement . Section 13 . Owner hereby holds harmless and indemnifies City from and against any and all causes of action, suits, claims for damages, and any and all other liability which may arise out of or in connection with Owner ' s or Owner ' s agents, employees and assigns ' negligent performance of any of the terms of this Agreement . -3- Section 14 . This agreement shall not be construed to create a partnership, joint venture or employment relationship between the parties hereto. Section 15 . This agreement shall be subject to and governed y e laws of the State of Illinois . The parties hereto hereby agree that venue for any and all actions which may be brought by each and either of them to enforce the provisions of this agreement shall be in Kane County, Illinois . Section 16 . The terms of this Agreement shall be severa e . n e 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 17 . Owner ' s Name : Ben Henrikson Address : PO Box City: Elgin_ state : IL state: Zip Code : 60121_ Telephone Number: 7ql-0001 Property Location: 6 Ownership Interest : olo Contact Person: , Owner ' s Name : Address : City: State : Zip Code : Telephone Number: Property Location: Ownership Interest : Owner Owner ' s Name : Address : City: Elgin State : IL_ Zip Code : Telephone Number: Property Location: Ownership Interest : tenant Owner' s Name : Address : City: State : Zip Code : Telephone Number: Property Location: Ownership Interest : -4- IN WITNESS WHEREOF, the parties hereto have executed this agreement on the date first appearing above . OWNER CITY ELGIN � By. JoyVe Vrker l� Ci Manager OWNER ATTEST: /� Dolonna Mecum, City Clerk OWNER OWNER OWNER FACIMP .HEN/COWMEMO. 99/JAN27 -5- EXHIBIT "A" WORK TO BE COMPLETED UNDER STATE STREET FACADE PROGRAM The project scope of work shall be limited to : 1) Storefront to be treated wood stops, insulated glass and spandrel security glass at transoms . 2) Front door to be commercial grade, six panel with commercial hardware . 3) Windows are Crestline Colonial double hung alum clad tilt type . Fixed units above tilt windows to be provided. 4) Decorative panel to be as specified. Stoop included. 5) Demolition and debris removal . -6- � City of Elgin Agenda Item No. January 15, 1999 TO: Mayor and Members of the City Council FROM: Joyce A. Parker, City Manager SUBJECT: Request for Funding Under State Street Facade Improvement Program, 6 North State Street PURPOSE The purpose of this memorandum is to present to the Mayor and members of the City Council a request for funding a project at 6 North State Street under the State Street Facade Program. BACKGROUND The owner of 6 North State Street, Ben Henrikson, has submit- ted an application for participation under the State Street Facade Program (attached) . The project proposed by Mr. Henrikson would involve removal of the first floor front facade storefront, window/door replacement, painting, awnings, lighting, and tuck pointing. The work having the most impact would be the removal of the existing lower level facade and restoring the original look storefront . There is no indica- tion as to the condition of the underlying facade . Thus, a provision is included in the proposed facade improvement agreement that would allow Mr. Henrikson to apply for addi- tional funds if the cost of his project exceeds the estimated $19, 600 . COMMUNITY GROUPS/INTERESTED PERSONS CONTACTED New Century Partnership and Downtown Neighborhood Association are familiar with the proposed project . UP—FINANCIAL IMPACT Approval of the proposed work would result in a rebate to Mr. Henrikson of up to $11, 300 . The rebate estimate of $11, 300 is . based on a total project cost of $19, 600 and includes the $3 , 000 one-time facade improvement grant, plus 500 of the remaining project costs, or $8, 300 . The total budget in the Facade Program is $120, 000, and all expenses would be charged to account number 275-0000-791 . 78-99 . To date, $7, 709 has been paid out on two State Street facade projects . Facade Improvement Program - 6 North State Street January 15, 1999 Page 2 LEGAL IMPACT None . ALTERNATIVES 1) Approve the request from Mr. Henrikson for up to $11, 300 to pay for costs associated with a project at 6 North State Street . 2) Reject the request to fund the facade project . RECOMMENDATION It is recommended that the request for participation in the State Street Facade Program be approved and a rebate of up to $11, 300 be obligated for payment upon approved completion of the facade improvement . s ectfully sub/m�i ed, Jo ce Parker City Manager amp Attachments . • / , I f CITY OF ELGIN FACADE IMPROVEMENT PROGRAM APPLICATION FORM A non-refundable fee of $50 . 00 must accompany this application. Checks should be made payable to "City of Elgin - Facade Improve- ment Program" . 1 . Applicant L>EN Nyw ot,) - (Name) L Home Address lk:�> F=0 -7'4 7 :�- F L&_�N &U1Z 0x)7-Crila (Street) (City/State/Zip) (Phone) Business Address (UCX� tom; 11 yC ► _ (Street) (City/State/Zip) (Phone) 2 . Building or establishment for which the rebate is sought. G ki . -zz>��N -->,r- (Street address) Applicant is : Lwner Tenant If tenant, what is term of lease? NOTE: A tenant applicant must have, at minimum, a five-year lease at the location in order to apply. 3 . Total number of storefronts Addresses of storefronts 6­5 Total number of stories Facade to be improved Front ZSide Rear 4 . Proposed use of program: XrSignage V Canopy/Awning t/ Windows/Doors ZExterior lighting Painting/Tuck I/ Restoration of architec- pointing tural features t Brick cleaning Other (please specify) 5. Statement of-Understanding. A. The applicant (undersigned) agrees to comply with the guidelines and procedures of the Facade Im- provement Program and the conceptual design and outline specifications as agreed to by the appli- cant and the application review team. B. The applicant understands that the" applicant must submit detailed cost documentation,;, copies of building permits, bids, contracts and- invoices and contractor' s final waivers of lien `upon com- pletion of the approved improvements. ' Signature Applicant Signature If the applicant is other than the..'owner, the following line must be completed: I certify that I, the owner of the property.-at do authorize the applicant to apply for a rebate under the Fa- cade Improvement Program and undertake the approved improvements. Owner Signature Date For Office Use Only: Date Application Received: Application Fee Paid: Yes No If Yes Check Cash Application I .D. Number ' d 03 9/a 01/1471999 10:37 7087421882 ' HOOVER BURNIDGE PAGE 02 02/0; Jan 14, 1998 Ben Henrikson Re.-6 N. State St. Dear Ben, After review of your specific requirements, be advised that we propose to perform work as follows f-or the total of $19,600. 1. Storefront to be treated wood stops, insulated glass and spandxel security glass at transoms. 2. Front door to be Commercial grade, hardware. six panel with commercial 3. Windows are Crestline Colonial double hung alum clad tilt type. Fixed units above tilt windows to be provided. 4 . Decorative panel to be as specified. Stoop included. S. Demolition and debris removal of $2,300 included in bid. It foundations are required, add $31000. Sinc , Carl Anderson C-J, ANDERSON CONSTRUCTION INC. 40 DuPag4�Court . Suite 401 . Elgin, I! 60120 . Tel 847/4RA.ndRC .