The City of Monticello, Iowa
IN THE NAME AND BY THE AUTHORITY OF THE CITY OF MONTICELLO, IOWA
RESOLUTION #19-161
Resolution Appropriating funds necessary to meet the City’s Obligation to Mike Beck and Ken McDermott, known as Royal Flush Truck Wash, Inc per Development Agreement, dated March 17, 2014, and as amended, dated June 3, 2019
WHEREAS, The Council approved a Development Agreement with Mike Beck and Ken McDermott, known as Royal Flush Truck Wash, Inc Resolution #17-35 dated March 17, 2014, and amended by Resolution #19-77, dated June 3, 2019.
WHEREAS, The agreement provided for seven (7) Grant payments of $20,000 each, in addition to property tax rebates on the improvements over a period of ten (10) years, at percentages set forth in the agreement, and
WHEREAS, The City did not appropriate or make any rebates to the Developer during FY ’19 due to the fact that the property was not substantially completed or assessed at that time. Council finds that funds should be appropriated in the amount necessary to make the first and second grant payments for FY ’20 and FY ’21 due to Royal Flush Truck Wash Inc., in the amount of $20,000 each, totaling $40,000.
WHEREAS, The City finds that the improvements were deemed substantially complete on or about November 01, 2019, same being the subject of the Development Agreement, that tax rebates will not commence until FY’ 22, as the first tax rebate is to be made after the property has been fully valued and assessed for tax purposes near 100%, and
WHEREAS, The City has not, prior hereto, appropriated any sums or made any payments to the developer pursuant to the terms of the Development Agreement, and
WHEREAS, The Council finds that funds should be appropriated in the amount necessary to make the first and second grant payments of $20,000 each, and
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Monticello does hereby formally appropriate funds necessary to meet the City’s obligation to pay the first two grant payments as set out above due under the Development Agreement in the amount of $40,000.
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 18th day of November, 2019.
Brian Wolken, Mayor
Attest:
Sally Hinrichsen, Monticello City Clerk