Agenda - Council - 11/28/1995 - Laserfiche WebLink

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Draft 11/24/95 TAX INCREMENT FINANCING. The City will provide the following financial assistance to thc Developer of the Development Property. This assistance ~ be a total of Ninety-nine Thousand Dollars ($99,000.00). The financial assistance from the City shall be based upon the following calculafons: Site Acquisition and Infrasm~ctum $ 79,000.00 Site Improvements $ 20.000.00 Total $ 99,000.00 In exchange for the above participation, the City wilI place a special assessment against the property in the amount of $70,000 over ten years at 8.25%. This assessment would be levied in 1996 with the first payment in May, 1997. In addition to the above, the City is proposing to participate in the financing of a submersible wire EDM machine, utilizing its equipment loan fund. Prior to doing so, however, the City requires satisfaction of the FirSt National Palletizing and SAWNA CAD leases. This participation is proposed .to be in the form of equity for the EDM machine not to exceed 25% of a $250,000 purchase. This participation will be available thc later of October 30, 1996 or three months after the Certificate of Occupancy is issued for the facility. FINANCIAL ASSISTANCE. The City shall be responsible to provide payment of the financial assistance listed in Paragraph 8 at the time that a Certificate of Occupancy is issued or as otherwise stated in Section 2.2 of the development agreement. The payment for the Site Improvements shall be made at the time a Certificate of Occupancy for the development property is issued. 'These payments will be made only if all property taxes, City fees and charges on the property are current. 10. REQUIREMENTS FOR BUILDING' PERMIT. No building permit for the Site will be issued until the Permittee has signed and returned this Development Permit, At the time of building permit issuance all plan check fees state surcharges, permit fees and sewer and water access.charges shall be paid in full. No Certificate of Occupancy for occupancy of the structure will be issued until the Required Improvements are accepted by the City. 11. IMPROVEMENT CONSTRUCTION SCHEDULE. The Required Improvements shall be completed before July 1, 1996. I2. ESCROW. The City and Permittee herein agree that the standard forms of financial guarantee to ensure the installation of the Required Improvements are hereby waived. The Permittee herein agrees that the tax increment payments from the City to the Perrrfittee described in Paragraph 8 of this Permit shall serve as financial guarantee that the Required Improvements will be installed in accordance with City specifications and in a timely manner. In the event the Perrnittee fails to construct and install the Required Improvements as required herein, the City may complete the Required Improvements with City day labor and/or by letting contracts for said completion and deduct the cost of same from the payment to the Permittee described in Paragraphs 8 and 9 of this Agreement. 13. RECOGNITION OF LOCATION. As a continuance of the economic development efforts expended between the City and the Permittee in conjunction with the development of this site, the Permit-tee herein ,agrees to recognize Ramsey as the City of location on all forms of advertising and business correspondence whenever possible. Automated EDM Incorporated, hereby acknowledges receiPt of this permit and that they have reviewed the conditions of and have agreed that they will comply with the terms of this permit. Page 25 I I I I i I I i I I I I i I I I I I I