HomeMy WebLinkAbout2001-08-06-Resolutions 01-136_Downing Dev - Development AgrRESOLUTION 01-136 IApprovingDevelopmentAgreementwithDowningDevelopment,Ltd.,
Authorizing Tax Increment Rebates and pledging certain tax increment revenues
to the payment of the Agreement
WHEREAS,the City of Waukee,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 Enterprise
Business Park Urban Renewal Area (the "Urban Renewal Area");and
WHEREAS,this 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,on May 20,1996,the City issued its Urban Renewal Tax Increment
Revenue Bond (the "TIP Bond")to Downing Development,Ltd.(the "Company")in
consideration for the Company's costs related to infrastructure and other development
costs incurred in the Urban Renewal Area;and ]
WHEREAS,the TIP Bond was in the original principal amount of $816,623 and
was made payable from the incremental property taxes to be produced within the Urban
Renewal Area;and
WHEREAS;in order to re-establish a portion of the City's constitutional debt-
incurring capacity which is currently applied to the TIP Bond,the City has requested that
the Company enter into a development agreement which will provide tax increment
rebate payments to the Company,as a substitute for the payments required to be made
under the TIP Bond;and
WHEREAS,an agreement between the City and Company has been prepared (the
"Agreement"),pursuant to which the Company has agreed to surrender the TIP Bond to
the City,in exchange for the City's commitment pursuant to the Agreement to make tax
increment payments to the Company in a manner and amount sufficiently identical to
those required to be made under the TIP Bond;
NOW,THEREFORE,It Is Resolved by the City Council of the City of Waukee,
Iowa,as follows:
Section 1.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,I
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.
Section 2.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 referred to in the preamble of this
resolution.
Section 3.The City hereby pledges to the payment of the Agreement the
Urban Renewal Tax Revenue Fund and the taxes referred to in Subsection 2 of Section
403.19 of the Code of Iowa to be paid into such Fund.
Section 4.After its adoption,a copy of this resolution shall be filed in the
office of the County Auditor of Dallas County to evidence the continuing pledging of the
Urban Renewal Tax Revenue 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 5.
repealed.
All resolutions or parts thereof in conflict herewith are hereby
Passed and approved this August 6,2001.~~*Donald L.Bailey,Jr.,ayor
AYE NAY ABSENT
Nicholas C.Gruber
Marvin Berger
Bill Peard
Mike Watts
Wayne Johnson
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