6.2. SR 12-18-2006 - Laserfiche WebLink

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ARTICLE III UNDERTAKINGS BY DEVELOPER AND CITY Section 3.1 Construction ofProiect and Reimbursement of Tax Abatement. (1) (2) Developer. The Developer shall complete the Project by January 1, 2009. The costs of the acquisition and construction of the Project shall be paid by the (3) Upon submission to the City of paid invoices and receipts for Project costs, including the cost of the Tax Abatement Property, actually incurred and paid by the Developer, the City shall reimburse the Developer for the Project costs actually incurred in an amount not to exceed the lesser of$850,000 or 5% of the assessed market value of the Tax Abatement Property as determined by the County Assessor for 2009 assessment and taxes payable in 2010 (the "Reimbursement Amount") pursuant to the Abatement Program as provided in Section 3.9. Section 3.2 Limitations on Undertaking of the City. Notwithstanding the provisions of Section 3.1, the City shall have no obligation to reimburse the Developer for the Proj ect costs in any amount, if the City, at the time or times such payment is to be made, is entitled under Section 4.2 to exercise any of the remedies set forth therein as a result of an Event of Default which has not been cured. Section 3.3 Operation and Maintenance ofProiect. The Developer further agrees that, at all times prior to the termination of this Agreement, it will operate and maintain, preserve and keep the Project or cause the Project to be maintained, preserved and kept with the appurtenances and every part and parcel thereof, in good repair and condition. Section 3.4 Damage and Destruction. In the event of damage or destruction of the Project the Developer shall repair or rebuild the Project. Section 3.5 Change in Use ofProiect. The City's obligations pursuant to this Agreement shall be subject to the continued operation ofthe Project by the Developer. Section 3.6 Prohibition Against Transfer of Proiect and Assignment of Agreement. The Developer represents and agrees that prior to the termination date of this Agreement the Developer shall not transfer the Project or any part thereof or any interest therein, without the prior written approval of the City. The City shall be entitled to require as conditions to any such approval that: (1) Any proposed transferee shall have the qualifications and financial responsibility, in the reasonable judgment of the City, necessary and adequate to fulfill the obligations undertaken in this Agreement by the Developer. 1970792v3 5