City of Monticello, Iowa
RESOLUTION #2025-144
Appropriating funds necessary to meet the City’s Obligation to Mike Beck and Ken McDermott, known as Royal Flush Truck Wash, Inc per Development Agreement, dated March 17, 2014, and as amended, dated June 3, 2019
WHEREAS, The Council approved a Development Agreement with Mike Beck and Ken McDermott, known as Royal Flush Truck Wash, Inc Resolution #17-35 dated March 17, 2014, and amended by Resolution #19-77, dated June 3, 2019 and by Resolution #2020-74, dated June 15, 2020
WHEREAS, The agreement provided for seven (7) Grant payments of $20,000 each, 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, by way of Resolution #2024-165, appropriated $56,970 to meet the City’s obligations for seventh and final grant payment, and fifth year tax rebate payment in FY ‘26, and
WHEREAS, After final assessments and payment of taxes, the fifth-year rebate came in at $36,688, resulting in the City’s appropriation being long in the amount of $282, this Resolution correcting the estimate to match the actual fifth year tax rebate, decreasing the rebate appropriation from $36,970 to $36,688, thus decreasing the total appropriation for the seventh and final grant payment, and fifth year tax rebate payment for FY ’26 from $56,970 to $56,688, and
WHEREAS, The Council finds that funds should be appropriated for FY ‘27 in the amount necessary to meet rebate obligations consistent with the Development Agreement in the following estimated amounts:
- $39,942 to be rebated according to the terms of the Development Agreement for sixth year property tax rebate, calculated at the rate of 70% of those taxes determined eligible for rebate in FY ‘27, said estimate being based upon the FY ’25 valuation and consolidated tax rates, with the exact rebate to be determined after the receipt of final assessment numbers and tax payments made 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 sixth year of rebate payments for FY ’27 to Royal Flush Truck Wash Inc. in the estimated amount of $39,942 and hereby acknowledges the correction of the total appropriation for the seventh and final grant payment, and fifth year tax rebate payment for FY ’26 by decreasing the previously estimated sum of $56,970 to the actual payment of $56,688.
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 3rd day of November, 2025
Wayne Peach, Mayor
Attest:
Sally Hinrichsen, City Clerk/Treasurer