The City of Monticello, Iowa
RESOLUTION # 2023-153
Appropriating funds necessary to meet the City’s Obligation to Orbis Manufacturing, a subsidiary of Menasha Corporation per Development Agreement dated April 3, 2017, as amended by Resolution #19-27, dated April 15, 2019
WHEREAS, The Council approved a Development Agreement with Orbis Manufacturing, a subsidiary of Menasha Corporation by Resolution #17-35 dated April 3, 2017, and amended agreement by Resolution #19-27 dated April 15, 2019, and
WHEREAS, The agreement provides for property tax rebates on the improvements over a period of ten (10) years at percentages set forth in the agreement, and was amended to include four (4) additional Grant payments over a period of four (4) years for water main installation, and
WHEREAS, The City has by Resolution #19-90, appropriated one grant payment to Boomerang, on behalf of Orbis in the amount of $50,703.16, related to the installation of a water main, as was approved by Resolution #19-90, in lieu of the four (4) additional Grant payments totaling $79,342.00 over a period of four (4) years for water main installation, which is a savings of $28,638.84 as approved by Resolution #19-27 dated April 15, 2019, and
WHEREAS, The City, by way of Resolution #2022-136, appropriated $57,924 to meet the City’s obligations under fourth year tax rebate provisions, for FY ’24, as set forth within the Development Agreement, said amount being based upon estimated valuations, and
WHEREAS, After final assessments and payment of taxes, the fourth year rebate came in at $58,324 resulting in the City’s appropriation being short in the amount of $400, this Resolution correcting the estimate to match the actual rebate, increasing the appropriation from $57,924 to $58,324, and
WHEREAS, The Council finds that funds should be appropriated for FY ’25 in the amount necessary to rebate fifth year estimated taxes amount of $54,680 as set forth in the Development Agreement, calculated at the rate of 75% of those taxes determined eligible to be rebated according to the terms of the Development Agreement, said estimate being based upon the FY ’23 valuation and consolidated tax rates, with the exact rebate to be determined after the receipt of final assessment numbers and tax payments by the developer.
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 the fifth year, FY ’25, of rebate payments to Orbis in the estimated amount of $54,680 and hereby acknowledges the correction of the FY ’24 total rebate by increasing the estimated sum of $57,924 to the actual amount of $58,324.
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 6th day of November, 2023.
David Goedken, Mayor
Attest:
Sally Hinrichsen, City Clerk/Treasurer