HomeMy WebLinkAbout2022-12-19 Resolution 2022-536_Development Agreement, The Quarter at Waukee LLCRESOLUTION NO. 2022-536
RESOLUTION APPROVING AND AUTIIORIZING
EXECUTION OF A DEVELOPMENT AGREEMENT BY AND
BETWEEN TI IE CffY OF WAUKI;E AND THE QUARTER AT
WAUKEE, L.L.C.
WHEREAS, by Resolution No. 2022-535, adopted December 19, 2022, this Council found
and determined that certain areas located within the City are eligible and should be designated as
an urban renewal area under Iowa law, and approved and adopted The Quarter Commercial Urban
Renewal Plan (the "Plan" or "Urban Renewal Plan") for The Quarter Commercial Urban Renewal
Area (the "Area" or "Urban Renewal Area") described therein, which Plan will be placed on file
in the office of the Recorder of Dallas County: and
WHEREAS, it is desirable that properties within the Area be redeveloped as part of the
overall redevelopment area covered by said Plan, and
WHEREAS, the City and The Quarter at Waukee, L.L.C. (the "Developer") previously
entered into a Second Amended and Restated Agreement for Private Development dated January
3, 2022 (the "Second Amended and Restated Agreement') and a minimum assessment agreement
also dated January 3, 2022 (the "Prior Minimum Assessment Agreement'), regarding certain
development activities on property then -located within the Waukee Consolidated Urban Renewal
Area (the "Development Property"), and
WHEREAS, the Development Property will be removed from the Waukee Consolidated
Urban Renewal Area and instead included in the Urban Renewal Area, and
WHEREAS, the City and the Developer desire to terminate the Second Amended and
Restated Agreement and the Prior Minimum Assessment Agreement, and replace those prior
agreements with a proposed Agreement for Private Development by and between the City and
Developer (the "Agreement'), which Agreement has been authorized as an urban renewal project
in the Urban Renewal Plan; and
WHEREAS, the Agreement would provide restated terms for the Developer's proposed
project and would reflect updates and changes to the project, including changes to the description
of the "Development Property" and "Minimum Improvements" (as those terms are defined in the
Agreement), and changes to the terms for construction, assessed value, and operation of the
Minimum Improvements on the Development Property, and
WHEREAS, pursuant to the Agreement, the City and the Developer would execute a new
minimum assessment agreement to set minimum assessed values on the commercial buildings and
the surface parking lot to be included in the Minimum Improvements, as set forth in the
Agreement; and
WHEREAS, pursuant to the terms of the Agreement, the City would make payments of
Economic Development Grants to Developer, with the payment amounts to be calculated based on
the Tax Increment generated by the various commercial buildings and the surface parking lot
included in the Minimum Improvements and collected by the City under Iowa Code Section
403.19, under the formulas and schedules for the separate buildings set forth in the Agreement,
which provide for payments for each building using varying percentages of "fax Increment over a
period of twelve (12), sixteen (16) or twenty (20) years, subject to the terms and conditions of the
Agreement, including annual maximum payment amounts, with the cumulative maximum amount
of all Economic Development Grants under the Agreement not to exceed $34,002,798; and
WHEREAS, Chapters 15A and 403, Code of Iowa, authorize cities to make grants for
economic development in furtherance of the objectives of an urban renewal project and to
appropriate such funds and make such expenditures as may be necessary to carry out the purposes
of said Chapters, and to levy taxes and assessments for such purposes; and
WHEREAS, the Council has determined that the Agreement is in the best interests of the
City and the residents thereof and that the performance by the City of its obligations thereunder is
a public undertaking and purpose and in furtherance of the Plan and the Urban Renewal L,aw and,
further, that the Agreement and the City's performance thereunder is in furtherance of appropriate
economic development activities and objectives of the City within the meaning of Chapters 15A
and 403, Code of Iowa, taking into account any or all of the factors set forth in Chapter 15A, Code
of Iowa, to wit:
a. Businesses that add diversity to or generate new opportunities for the Iowa
economy should be favored over those that do not.
b. Development policies in the dispensing of the funds should attract, retain, or expand
businesses that produce exports or import substitutes, or which generate tourism -
related activities.
C. Development policies in the dispensing or use of the funds should be targeted
toward businesses that generate public gains and benefits, which gains and benefits
are warranted in comparison to the amount of the funds dispensed.
d. Development policies in dispensing the funds should not be used to attract a
business presently located within the state to relocate to another portion of the state
unless the business is considering in good faith to relocate outside the state or unless
the relocation is related to an expansion which will generate significant new job
creation. ,lobs created as a result of other jobs in similar Iowa businesses being
displaced shall not be considered direct jobs for the purpose of dispensing funds;
and
WHEREAS, pursuant to notice published as required by law, this Council has held a public
meeting and hearing upon the proposal to approve and authorize execution of the Agreement and
has considered the extent of objections received from residents or property owners as to said
proposed Agreement; and, accordingly the following action is now considered to be in the best
interests of the City and residents thereof.
NOW THEREFORE, BE IT RESOLVED, 13Y THE CITY COUNCIL OF THE CITY OF
WAUKEE IN THE STATE OF IOWA:
Section 1. That the performance by the City of its obligations under the Agreement,
including but not limited to making of grants to the Developer in connection with the development
of the Development Property under the terms set forth in the Agreement, be and is hereby declared
to be a public undertaking and purpose and in furtherance of the Plan and the Urban Renewal Law
and, further, that the Agreement and the City's performance thereunder is in furtherance of
appropriate economic development activities and objectives of the City within the meaning of
Chapters 15A and 403, Code of Iowa, taking into account the factors set forth therein.
Section 2. That the form and content of the Agreement, the provisions of which are
incorporated herein by reference, be and the same hereby are in all respects authorized, approved
and confirmed, and the Mayor and the City Clerk be and they hereby are authorized, empowered
and directed to execute, attest, seal and deliver the Agreement for and on behalf of the City in
substantially the form and content now before this meeting, but with such changes, modifications,
additions or deletions therein as shall be approved by such officers, and that from and after the
execution and delivery of the Agreement, the Mayor and the City Clerk are hereby authorized,
empowered and directed to do all such acts and things and to execute all such documents as may
be necessary to carry out and comply with the provisions of the Agreement as executed.
PASSED AND APPROVED this 19`h day of December, 2022.
ATTEST:
taxtt" 0. &Altl�
City Clerk
RESULTS OF VOTE:
AYE
Anna Bergman Pierce
X
R. Charles Bottenberg
X
Chris Crone
X
Larry R. Lyon
X
Ben Sinclair
X
Mayor Pro Tem
NAY ABSENT ABSTAIN