The City of Monticello, Iowa
IN THE NAME AND BY THE AUTHORITY OF THE CITY OF MONTICELLO, IOWA
RESOLUTION #19-169
Resolution Appropriating funds necessary to meet the City’s
Obligation to Njs LLC, successor owner of 218 West First Street, Suite “C” per Development Agreement dated October 2, 2017
WHEREAS, The Council approved a Development Agreement with B & J Hauling and Excavation by Resolution #17-111 dated October 2, 2017, and
WHEREAS, The agreement provided for two (2) Grant payments totaling of $20,000 to the developer to demolish the building; in addition to property tax rebates on the improvements totaling $37,500 over a period of ten (10) years, at percentages set forth in the agreement, and
WHEREAS, The City has appropriated the grant payments totaling $20,000 to the developer pursuant to the terms of the Development Agreement, and
WHEREAS, The City has not, prior hereto, appropriated any property tax rebates to the developer and/or successor owners of the three storefronts. The City has agreed to appropriate property tax rebates in an aggregated total of $37,500, pursuant to the terms of the Development Agreement, and
WHEREAS, Based upon the completion dates of the B & J Hauling and Excavation’s three unit storefront building, same being the subject of the Development Agreement, that tax rebates will begin in FY ‘21, as the first tax rebate is to be made after the property has been fully valued and assessed, and
WHEREAS, The Council finds that funds should be appropriated in the amount necessary to rebate first year taxes in the amount of $1,786, as set forth in the Development Agreement for 218 West First Street, Suite “C” owned by Njs LLC, successor owner of the storefront, for FY ’21 calculated at the rate of 85% of those taxes determined eligible to be rebated according to the terms of the Development Agreement, in the estimated total amount of $1,786, said estimate being based upon the FY ’19 valuation and consolidated tax rates, with the exact rebate to be determined after the receipt of final assessment numbers and tax payments by the owner.
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 property tax rebate payments to Njs LLC owner of 218 W First Street, Suite “C”, that will be due under the Development Agreement in the amount of $1,786.
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 18th day of November, 2019.
Brian Wolken, Mayor
Attest:
Sally Hinrichsen, Monticello City Clerk