Laserfiche WebLink
WHEREAS, the Tax Increment Financing Plan for the TIF District provides for the <br />Developer to be reimbursed, in an amount up to a maximum total assistance sum of Thirty-Five <br />Thousand and No/100 Dollars ($35,000.00), upon evidencing payment of annual real estate <br />taxes; and <br /> <br /> WHEREAS, the 1998 real estate tax year is the first year Developer is eligible for a <br />reimbursement payment, based on the January 2, 1997, value of the Project; <br /> <br /> NOW, THEREFORE, BE IT RESOLVED that the City, the EDA and the Developer <br />agree on the following terms and conditions for reimbursement of the Land Write Down: <br /> <br />The EDA hereby pledges the Tax Increment it receives from the TIF District to <br />the City of Elk River to enable the City to reimburse Developer for the Land <br />Write Down identified in the TIF Plan. <br /> <br />Payments shall be made by the City to Developer, in a total amount not to exceed <br />the Land Write Down, pursuant to the terms of the Note attached as Exhibit A <br />to this Agreement (the "Note"). <br /> <br />The sole source of funds for payment of the City's obligations under the Note <br />shall be the tax increment generated by the TIF District. If taxes are not paid, <br />or taxes paid are not sufficient to generate tax increment, no payment on the Note <br />shall be due from the City. <br /> <br />If Developer fails to make real estate tax payments prior to the date when said <br />taxes are due to Sherburne County, an Event of Default under this Agreement <br />shall exist. No payments shall be made to Developer under the terms of the Note <br />if an Event of Default occurs, and payments shall not be resumed until the <br />Default is remedied. The Default shall be deemed remedied upon evidence of <br />receipt of payment in full for real estate taxes from Sherburne County. <br /> <br />After reimbursing Developer for the principal sum of the Land Write Down, no <br />further payments shall be due under this Agreement and the City shall request that <br />Sherburne County decertify the TIF District. <br /> <br />Developer shall complete construction and shall occupy all or a substantial portion <br />of the Project by December 31, 1996. Failure to complete construction and <br />achieve occupancy of the Project by this date shall be an Event of Default under <br />tiffs Agreement and City and EDA shall have the right to terminate this <br />Agreement and their obligations hereunder. <br /> <br />Developer shall, prior to January 2, 1997, provide City with evidence acceptable <br />to City of Developer's expenditures for Development Site acquisition costs. <br /> <br />PXB 123191 2 <br /> <br /> <br />