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Home My Public Portal AboutResolutions-2016-072 (3) DocuSign Envelope ID:2229A71F-OC3E-472D-A9DE-E33376BE2379 Tiffin/436989-16/Dev.Agmt-Hold Hrg HOLD HEARING ON AND APPROVE DEVELOPMENT AGREEMENT AND TAX INCREMENT PAYMENTS (TAT, LLC) 436989-16 Tiffin, Iowa November 29, 2016 A meeting of the City Council of the City of Tiffin, Iowa, was held at 6:00 p.m., on November 29, 2016, at the City Hall Council Chambers, Tiffin, Iowa,pursuant to the rules of the Council. The Mayor presided and the roll was called, showing members present and absent as follows: Present: Peggy Upton, Jim Bartels, Al Havens, Jo Kahler. Absent: Mike Ryan. The City Council investigated and found that notice of the intention of the City Council to conduct a public hearing on a Development Agreement between the City and TAT, LLC, had been published according to law and as directed by the City Council and that this is the time and place at which the City Council shall receive oral or written objections from any resident or property owner of the City. All written objections, statements, and evidence heretofore filed were reported to the City Council, and all oral objections, statements, and all other exhibits presented were considered. The following named persons presented oral objections, statements, or evidence as summarized below; filed written objections or statements, copies of which are attached hereto; or presented other exhibits, copies of which are attached hereto: (Here list all persons presenting written or oral statements or evidence and summarize each presentation.) NONE. There being no further objections or comments, the Mayor announced that the hearing was closed. -1- DORSEY&WHITNEY LLP,ATTORNEYS,DES MOINES,IOWA DocuSign Envelope ID:2229A71F-OC3E-472D-A9DE-E33376BE2379 Tiffin/436989-16/Dev.Agmt-Hold Hrg Council Member Upton introduced the resolution next hereinafter set out and moved its adoption, seconded by Council Member Kahler; and after due consideration thereof by the Council, the Mayor put the question upon the adoption of said resolution, and the roll being called, the following named Council Members voted: Ayes: Upton, Bartels, Havens, Kahler. Nays: None. Whereupon, the Mayor declared said resolution duly adopted, as follows: -2- DORSEY&WHITNEY LLP,ATTORNEYS,DES MOINES,IOWA DocuSign Envelope ID:2229A71F-OC3E-472D-A9DE-E33376BE2379 Tiffin/436989-16/Dev.Agmt-Hold Hrg RESOLUTION 2016-072 Resolution Approving Development Agreement with TAT, LLC, Authorizing Annual Appropriation Tax Increment Payments and Pledging Certain Tax Increment Revenues to the Payment of the Agreement WHEREAS, the City of Tiffin, Iowa (the "City"), pursuant to and in strict compliance with all laws applicable to the City, and in particular the provisions of Chapter 403 of the Code of Iowa, has adopted an Urban Renewal Plan for the Tiffin Urban Renewal Area (the "Urban Renewal Area"); and WHEREAS, this City Council has adopted an ordinance providing for the division of taxes levied on taxable property in the Urban Renewal Area pursuant to Section 403.19 of the Code of Iowa and establishing the fund referred to in Subsection 2 of Section 403.19 of the Code of Iowa (the "Urban Renewal Tax Revenue Fund"), which fund and the portion of taxes referred to in that subsection may be irrevocably pledged by the City for the payment of the principal and interest on indebtedness incurred under the authority of Section 403.9 of the Code of Iowa to finance or refinance in whole or in part projects in the Urban Renewal Area; and WHEREAS, a certain development agreement (the "Agreement") between the City and TAT, LLC (the "Developer") has been prepared in connection with an urban renewal project (the "Project") (i) the preliminary infrastructure engineering and land use planning associated with the Park Place development project, which is anticipated to include the extension of Forevergreen Road and Oakdale Boulevard and the realignment of Park Road; and (ii) site preparation for the realignment of Park Road in the Urban Renewal Area; and WHEREAS, under the Agreement, the City would provide annual appropriation tax increment payments to the Developer in a total amount not exceeding $500,000; and WHEREAS, this City Council, pursuant to Section 403.9 of the Code of Iowa, has published notice, has held a public hearing on the Agreement on November 29, 2016, and has otherwise complied with statutory requirements for the approval of the Agreement; and WHEREAS, Chapter 15A of the Code of Iowa ("Chapter 15A") declares that economic development is a public purpose for which a City may provide grants, loans, tax incentives, guarantees and other financial assistance to or for the benefit of private persons; and WHEREAS, Chapter 15A requires that before public funds are used for grants, loans, tax incentives or other financial assistance, a City Council must determine that a public purpose will reasonably be accomplished by the spending or use of those funds; and WHEREAS, Chapter 15A requires that in determining whether funds should be spent, a City Council must consider any or all of a series of factors; NOW, THEREFORE, It Is Resolved by the City Council of the City of Tiffin, Iowa, as follows: Section 1. Pursuant to the factors listed in Chapter 15A, the City Council hereby finds that: (a) The Project will add diversity and generate new opportunities for the Tiffin and Iowa economies; -3- DORSEY&WHITNEY LLP,ATTORNEYS,DES MOINES,IOWA DocuSign Envelope ID:2229A71F-OC3E-472D-A9DE-E33376BE2379 Tiffin/436989-16/Dev.Agmt-Hold Hrg (b) The Project will generate public gains and benefits, particularly in the creation of new jobs, which are warranted in comparison to the amount of the proposed financial incentives. Section 2. The City Council further finds that a public purpose will reasonably be accomplished by entering into the Agreement and providing the incremental property tax payments to the Developer. Section 3. The Agreement is hereby approved and the Mayor and City Clerk are hereby authorized and directed to execute and deliver the Agreement on behalf of the City, in substantially the form and content in which the Agreement has been presented to this City Council, and such officers are also authorized to make such changes, modifications, additions or deletions as they, with the advice of bond counsel, may believe to be necessary, and to take such actions as may be necessary to carry out the provisions of the Agreement with Council approval. Section 4. Some or all of the payments by the City under the Agreement may be subject to annual appropriation by the City Council, in the manner set out in the Agreement. As provided and required by Chapter 403 of the Code of Iowa, the City's obligations under the Agreement shall be payable solely from the income and proceeds of the Urban Renewal Tax Revenue Fund attributable to property taxes derived from the taxable property in the Urban Renewal Area. Section 5. The City hereby pledges to the payment of the Agreement the Urban Renewal Tax Fund and the taxes referred to in Subsection 2 of Section 403.19 of the Code of Iowa to be paid into such Fund, provided, however, that no payment will be made under the Agreement unless and until monies from the Urban Renewal Tax Fund are appropriated for such purpose by the City Council. Section 6. After its adoption, a copy of this resolution shall be filed in the office of the County Auditor of Johnson County to evidence the continuing pledging of Urban Renewal Tax Fund and the portion of taxes to be paid into such Fund and, pursuant to the direction of Section 403.19 of the Code of Iowa, the Auditor shall allocate the taxes in accordance therewith and in accordance with the tax allocation ordinance referred to in the preamble hereof. Section 7. All resolutions or parts thereof in conflict herewith are hereby repealed. Passed and approved this 29th day of November 2016. Sfwl. Mayor Attest: City Clerk -4- DORSEY&WHITNEY LLP,ATTORNEYS,DES MOINES,IOWA DocuSign Envelope ID:2229A71F-OC3E-472D-A9DE-E33376BE2379 Tiffin/436989-16/Dev.Agmt-Hold Hrg On motion and vote the meeting adjourned. Sfc. Mayor Attest: City Clerk -5- DORSEY&WHITNEY LLP,ATTORNEYS,DES MOINES,IOWA DocuSign Envelope ID:2229A71F-OC3E-472D-A9DE-E33376BE2379 Tiffin/436989-16/Dev.Agmt-Hold Hrg STATE OF IOWA COUNTY OF JOHNSON SS: CITY OF TIFFIN I, the undersigned, Clerk of the City of Tiffin, hereby certify that the foregoing is a true and correct copy of the minutes of the Council of the City relating to holding a public hearing and adopting a resolution to approve a Development Agreement. WITNESS MY HAND this day of 2016. City Clerk -6- DORSEY&WHITNEY LLP,ATTORNEYS,DES MOINES,IOWA DocuSign Envelope ID:2229A71F-OC3E-472D-A9DE-E33376BE2379 Tiffin/436989-16/Dev.Agmt-Hold Hrg STATE OF IOWA SS: COUNTY OF JOHNSON I, the undersigned, County Auditor of Johnson County, in the State of Iowa, do hereby certify that on the 30th day of November 2016, the City Clerk of the City of Tiffin filed in my office a certified copy of a resolution of the City shown to have been adopted by the City Council and approved by the Mayor thereof on November 29, 2016, entitled: "Resolution Approving Development Agreement with TAT, LLC, Authorizing Annual Appropriation Tax Increment Payments and Pledging Certain Tax Increment Revenues to the Payment of the Agreement", and that I have duly placed the copy of the resolution on file in my records. WITNESS MY HAND this day of 2016. County Auditor -7- DORSEY&WHITNEY LLP,ATTORNEYS,DES MOINES,IOWA DocuSign Envelope ID:2229A71F-OC3E-472D-A9DE-E33376BE2379 � OORSBY C: 0 S f `l E. W H I M I`I f '`! LL F, November 23, 2016 VIA EMAIL Doug Boldt City Administrator/City Hall Tiffin, IA Re: TAT, LLC Development Agreement File No. 436989-16 Dear Doug: Attached please find copies of proceedings covering the City Council's November 29, 2016 public hearing on the proposed Development Agreement with TAT, LLC, followed by a resolution approving the Agreement and pledging certain incremental property tax revenues to the payment of the Agreement. A copy of the Resolution must be filed with the Johnson County Auditor. Please print extra copies of the Resolution for that purpose. We would appreciate receiving one fully-executed copy of these proceedings. Please call John Danos or me with questions. Kind regards, Amy Bjork Attachments cc: Ashley Jay-Platz DOIFSE'EY & W11-111-1 NEY LLP ' W"v"v" ,IDOIfiSE`f,COM , T b 1 5.283, 1 Q.b00 , F r:i'1 r'i' 283.'1060 801 GRAND SUITE 4 I0() DES M()MII .1', I()WA 503()9-8002 USA OANAC�>A EUPZOF�E ASIA