The City of Monticello, Iowa
IN THE NAME AND BY THE AUTHORITY OF THE CITY OF MONTICELLO, IOWA
RESOLUTION #15-108
Resolution Appropriating funds necessary to meet the City’s
Obligation to Boulders Inn Monticello per Development Agreement
approved by Resolution #15-86 dated October 5, 2015
WHEREAS, The Council approved a Development Agreement with Boulders Inn Monticello by Resolution #15-86 dated October 5, 2015, and
WHEREAS, The agreement provides for two Grant payments of $18,400 each related to the land purchase and grant payments related to Hotel/Motel Tax Receipts, payable over ten (10) years, at percentages set forth in the agreement; in addition to property tax rebates on the improvements over a period of ten (10) years at percentages set forth in the agreement, and
WHEREAS, The City has not, prior hereto, appropriated any sums or made any payments to the developer pursuant to the terms of the Development Agreement, and
WHEREAS, Based upon estimated completion dates of the Hotel, same being the subject of the Development Agreement, that tax rebates will not begin until FY’ 19, as the first tax rebate is to be made after the property has been fully valued and assessed, and
WHEREAS, It is anticipated that the first year of grant payments related to Hotel/Motel Tax Receipts , payable over ten (10) years at percentages set forth in the agreement, will begin in FY ’18, and
WHEREAS, The Council finds that funds should be appropriated in the amount of $36,800 to meet the City’s obligations to make the required grant payments, the 1st anticipated to be made on or about May 1, 2015 and the second to be made on or about May 1, 2016
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Monticello does hereby formally appropriate funds necessary to meet the City’s obligation to pay both grant payments that will be due under the Development Agreement in the amount of $36,800.
IN TESTIMONY WHEREOF, I have hereunto subscribed my name and caused the Great Seal of the City of Monticello, Iowa to be affixed hereto. Done this 16th day of November, 2015.
Dena Himes, Mayor
Attest:
Sally Hinrichsen, Monticello City Clerk