The City of Monticello, Iowa
IN THE NAME AND BY THE AUTHORITY OF THE CITY OF MONTICELLO, IOWA
RESOLUTION # 12-112
Resolution to approve the proposed Tax Abatement schedule and to direct the
City Administrator to create a Developer’s Agreement between City
of Monticello and Tom Bagge encompassing said abatement agreement.
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WHEREAS, The City of Monticello and Tom Bagge previously entered into a Development Agreement at the construction of a new building by Tom Bagge in the Welter Addition Commercial Park, same bearing the date of October 20, 2009 and approved by Resolution #09-138 of the City Council, and
WHEREAS, The City is pursuing the buy-out of the Oak Street building site located on Oak Street as part of the pending flood buy-out, resulting in the need for Oak Street operations at the Oak Street site to relocate, and
WHEREAS, Tom Bagge is proposing to construct a new facility adjacent to the new facility built in approximately 2009, said new facility to be approximately 45,000 sf, and
WHEREAS, The Developer has requested that the City approve a tax abatement schedule consistent with the abatement schedule provided at the construction of the new building in 2009, providing for the abatement of taxes in the following percentages over ten (10) years, as follows:
Year 1: 100% Year 2: 90% Year 3: 85% Year 4: 80%
Year 5: 75% Year 6: 70% Year 7: 65% Year 8: 60%
Year 9: 60% Year 10: 60%
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WHEREAS, The City Council finds that the construction of a new facility by Oak Street and the tax base and jobs to be maintained by said growth justifies the tax abatement requested and that the abatement should therefore be approved with the City Administrator being directed to prepare a Developer’s Agreement setting out the details of the above project and abatement schedule, and
WHEREAS, The City Council further finds that the Developer needs to be in a position to rely on the above abatement schedule, and, therefore, asserts its’ obligation to follow through with the creation of the proposed Developer’s Agreement and to be bound by this Resolution, and to have a signed and approved Developer’s Agreement incorporating the terms of this Resolution before the completion of the new facility as proposed.
NOW, THEREFORE, BE IT RESOLVED, that the City Council of Monticello, Iowa does hereby approve of the tax abatement on the building as proposed at the rates set forth previously herein and directs the City Administrator to prepare said Developer’s Agreement consistent herewith for approval by the parties prior to the completion of construction of the new facility.
IN TESTIMONY WHEREOF, I have hereunto subscribed my name and caused the Great Seal of the City of Monticello, Iowa to be affixed hereto. Done this 20th day of August, 2012.
Dena Himes, Mayor
Attest:
Sally Hinrichsen, Monticello City Clerk