request for council action

REQUEST FOR COUNCIL ACTION
fA
ITYOF
j~,gOn n
To :
Honorable Mayor and Members of the City Council
From :
Charles Randy Oliver
City Manager
-AGENDA DATE REQUESTED : August 9, 2005
ACTION REQUESTED : APPROVAL OF THE DEVELOPMENT AGREEMENT BETWEEN THE CITY OF
PEORIA AND THE SUDS FAMILY LIMITED PARTNERSHIP FOR THE CONSTRUCTION OF A SUDS
AUTO DEALERSHIP AND AUTHORIZATION FOR THE CITY MANAGER TO EXECUTE THE
NECESSARY DOCUMENTS.
BACKGROUND : The SUD Family Limited Partnership (SUDs) has been working with the City of Peoria
for the past 18 months to locate a SUDs Auto Dealership within the City's boundaries . The Development
Agreement is the culmination of the collaboration between the SUD"Family and the City. The SUDs
property (40 .982 acres) is located in the City's Targeted Growth Cell at the intersection of Allen Road and
Route 6. The proposed dealership encompasses the southeast corner of the subject property.
The subject property is within the City's Enterprise Zone boundaries and is eligible for Zone benefits as a
retail use .
SUDs intends to build an auto dealership selling new Volkswagen, Mercedes, Porsche, and Audi cars.
This dealership project will result in the private investment of, approximately $7 million to $8 million in the
City's Targeted Growth Cell, which will in turn generate new sales and property tax revenue for the City
and continue the development within the growth cell.
Under the Development Agreement, SUDs will be obligated to construct and open an auto dealership on
or before September 1, 2007 . Furthermore, SUDs will participate in the installation and completion of a
new signalized intersection at Allen Road. Such participation will be with the City of Peoria and
owner/developer the LFH-100, L .L.C (Hundman) of a parcel of land lying to the west of Allen Road and to
the northwest of the SUD property. The City, SUDs, and LFH-100, L.L.C., (Hundman) will enter into a
separate Intersection Development Agreement. If SUDs fails to open the auto dealership on or before
September 1, 2007, then SUDs share of the advancement of funds for the Intersection Development
Agreement shall immediately be subject to an interest rate 3% points above the interest rate set forth in
Intersection Development Agreement, until such time SUDs opens the auto dealership.
FINANCIAL IMPACT : Private Investment- $7 million to $8 million
NEIGHBORHOOD CONCERNS : None were expressed .
IMPACT IF APPROVED: The project will move forward within the described timeframes and provisions of
the agreement .
IMPACT IF DENIED: The project site will not be developed and the anticipated $7 million to $8 million of
private investment will not occur.
ALTERNATIVES : None are recommended .
EEO CERTIFICATION NUMBER : N/A
SUDS/ CITY OF PEORIA DEVELOPMENT AGREEMENT
This Development Agreement ("Development Agreement") dated as of
2005, by and among the City of Peoria, Illinois, an Illinois municipal corporation, (the "City") and
SUD Family Limited Partnership, a Wisconsin Limited Partnership, ("SUDs") .
RECITALS
WHEREAS, SUDs is the owner of the real estate, consisting of approximately 40.945 acres,
described on Exhibit A attached hereto and made a part hereof (the "Property") ; and
WHEREAS, it is anticipated that SUDs will develop an approximate eight (8) acre portion
of the Property nearest Allen Road . The plat attached hereto and made a part hereof as Exhibit B
(the "Project") ; and
WHEREAS, certain public improvements are required in order for the Project and adjacent
land in the City's growth cell to be developed ; and
NOW, THEREFORE, in consideration of the mutual covenants and agreements contained in
this Development Agreement, the parties agree as follows:
l . SUDS OBLIGATIONS
1 .1
Project. SUDs is obligated to develop and/or construct the Project including,
without limitation (i) construct a SUDs Auto Dealership on the Property, including
but not limited to new Mercedes-Benz, Audi, Porsche, and Volkswagen cars and (ii)
open to the public a SUDs auto dealership on the Property on or before September 1,
2007 .
1 .2
Compliance . SUDs will comply with all Federal, State, and City statues and
ordinances as they relate to the Project and/or Property.
1 .3
Infrastructure Improvements . SUDs shall participate in the installation and
completion of a new signalized intersection of such curb public right of way and
Allen Road . Such participation shall be with the City and owner/developer (i.e. the
LFH-100, L.L.C ., an Illinois limited liability company and Ronald L. Garmer and
Hazel A. Brown) of a parcel of land lying to the west of Allen Road and to the
northwest of the Property. SUDs shall be pursuant to the terms and conditions of an
Intersection Development Agreement by and among the three parties as per attached
as Exhibit C and made apart hereto of. The foregoing referenced intersection
improvements to be connected pursuant to the Intersection Development Agreement
are sometimes referred to as the "Allen Road Intersection Improvements" .
1 .4
Deadline for Opening. Notwithstanding any provisions of the Intersection
Development Agreement or Section 4.5 below, if SUDs fails to open an auto
dealership, including but not limited to new Mercedes-Benz, Audi, Porsche, and
Volkswagen cars, on or before September 1, 2007; then SUDs share of the City
advancement of funds for the Intersection Development Agreement shall
1
immediately be subject to an interest rate 3% points above the interest rate set forth
in Intersection Development Agreement, until such time SUDs opens the auto
dealership .
2. CITY OBLIGATIONS
2.1
Enterprise Zone. City agrees to not revoke the Enterprise Zone status of the Project
and/or Property.
2.2
Compliance . City agrees to comply with all terms and conditions of the Intersection
Development Agreement.
3 . NOTICES
Any written notice or demand hereunder from any party to another party shall be in writing
and shall be served by (a) personal delivery, (b) telefax with confirmation by first-class mail
or (c) certified mail, return receipt requested at the following addresses:
to the City at:
with a copy to:
City Clerk
City of Peoria
419 Fulton Street, Room 401
Peoria, IL 61602
Director of Economic Development
City of Peoria
419 Fulton Street, Room 403
Peoria, IL 61602
and to SUDs at:
and with copy to :
Sud Family Limited Partnership
C/O Dr. Gian C . Sud
1430 Ft . Jesse Road
Normal, IL 61761
Ms. Suniti R. Sud
2350 North Eighth Street
Pekin, IL 61554
or to the last know address of any party or to the address provided by an assignee if such
address is given in writing. Any party may change its address by providing notice in
accordance with this provision. In the event said notice is mailed, the date of service shall be
deemed to be two (2) business days after the date of delivery of said notice to the United
States Post Office .
4 . GENERAL PROVISIONS
4 .1 Governing Law and Forum. This Development Agreement and the rights of the parties
hereto shall be interpreted, construed, and enforced in accordance with the laws of the State
of Illinois. Any litigation concerning this Development Agreement must be commenced and
maintained in Peoria County, Illinois.
4 .2 Complete Agreement; Amendments . This Agreement sets forth all the promises,
inducements, agreements, conditions, and understandings between the parties hereto relative
to the subject matter thereof, and there are no promises, agreements, conditions, or
2
understandings, either oral or written, expressed or implied, between them, other than as
herein set forth. Except as herein otherwise provided, no subsequent alteration, amendment,
change, or addition to this Development Agreement shall be binding upon the parties hereto
unless authorized in accordance with law and reduced in writing and signed by them.
4.3 Severability . If any section, subsection, sentence, clause, phrase, or portion of this
Development Agreement is for any reason held invalid or unconstitutional by any court of
competent jurisdiction, such portion shall be deemed a separate and distinct and independent
provision and such holding shall not affect the validity of the remaining portions thereof.
4 .4 No Wavier. Neither party shall be excused from complying with any of the terms and
conditions of this Agreement by any failure of the other party upon one or more occasion to
insist upon or seek compliance with any such terms or conditions .
4 .5 Default. Upon a breach of this Development Agreement, any party, in any court of
competent jurisdiction, by an action or proceeding at law or in equity, may secure the
specific performance of the covenants and agreements herein contained, may be awarded
damages for failure of performance or both, or may obtain rescission for repudiation or
material failure of performance. Notwithstanding the foregoing, before the failure of any
party to perform its obligations under this Development Agreement shall be deemed to be a
breach of this Development Agreement, the party claiming such failure shall notify, in
writing, the party alleged to have failed to perform of the alleged failure and shall demand
performance. No breach of this Agreement may be found to have occurred if performance
has commended to the reasonable satisfaction of the complaining party within thirty (30)
days of receipt of such notice .
If performance of any covenant to be performed hereunder by any party is delayed as a
result of circumstances which are beyond the reasonable control of such party, which
circumstances may include acts of God, war, acts of civil disobedience, strikes, or similar
acts, the time for such performance shall be extended by the amount of time of such delay.
4.6 Binding on Successors and Assigns. This Development Agreement shall inure to the
benefit of and be binding upon the parties hereto and their respective heirs, executors,
administrators, successors, grantees, and assigns.
4.7 Counterparts . This Development Agreement may be executed in counterparts, each of
which shall be deemed an original, all of which shall constitute one document .
3
IN WITNESS WHEREOF, the parties have executed this Development Agreement on the
first date set forth above.
THE CITY OF PEORIA,
an Illinois municipal corporation
By:
By:
Its City Manager
Attest :
By:
SUD FAMILY LIMITED PARTNERSHIP
Print Name :
Title:
Its City Clerk
ACCEPTED AS TO FORM :
Legal Department
By:
ACCEPTED AS TO CONTENT:
Economic Development
By:
EXHIBITS :
EXHIBIT A - LEGAL DESCRIPTION
EXHIBIT B - PLAT
EXHIBIT C - INTERSECTION DEVELOPMENT AGREEMENT
4
EXHIBIT- A
LEGAL DESCRIPTION
Combined Description of the Tract to be recorded as "Sud Business Park Subdivision" as
Recorded in Documents 04-23838 and 04-23842 at the Peoria County Recorder's Office
(Part of P .I.N . 09-31-400-016)
A tract of land being part of the Southeast Quarter of Section 31, Township 10 North,
Range 8 East of the Fourth Principal Meridian, Peoria County, Illinois, being more
particularly described as follows:
Commencing at the northwest corner of said Southeast Quarter; thence North 89 degrees
16 minutes 06 seconds East (bearings are for descriptive purposes only and are based on
the north line of the Southeast Quarter of Section 31 as shown on document 77-15000,
recorded in Tract Survey Book 12, page 29 at the Peoria County Recorder's Office),
along the north line of said Southeast Quarter, a distance of 114.67 feet to a point being
on the easterly right of way line of Allen Road (SBI 174), as the Point of Beginning:
Thence continuing North 89 degrees 16 minutes 06 seconds East, along said north line of
said Southeast Quarter, a distance of 1102.03 feet to a point being on the northerly right
of way line of Illinois Route 6 (F .A.P . 405), said right of way line also being the former
southwesterly right of way line of the Chicago, Rock Island and Pacific Railroad; (the
following 5 courses are along said northerly right of way line of Illinois Route 6) thence
in a southeasterly direction along a curve to the right having a radius of 11409.16 feet and
an arc length of 1014.80 feet and being subtended by a chord bearing South 38 degrees
16 minutes 57 seconds East, 1014 .46 feet; thence South 35 degrees 44 minutes 12
seconds East, a distance of 87.30 feet; thence South 65 degrees 21 minutes 50 seconds
West, a distance of 651 .12 feet; thence in a southwesterly direction along a curve to the
right having a radius of 2665 .30 feet and an arc length of 907 .98 feet and being subtended
by a chord bearing South 80 degrees 24 minutes 41 seconds West, 903 .60 feet; thence
North 81 degrees 12 minutes 15 seconds West, a distance of 302.06 feet to a point being
on said easterly right of way line of said Allen Road (SBI 174) ; thence North 00 degrees
00 minutes 16 seconds West, along said easterly right of way line, a distance of 1228 .85
feet to the Point of Beginning, containing 40.945 acres, more or less, being subject to
any covenants, restrictions, reservations and right of way of record.
EXHIBIT- B
PLAT
(
FINAL PLAT OF "SUD BUSINESS PARK SUBDIVISION"
`°w""e° °°rl°"OfME"ATTTOKRECORDED ASrAS
COHDNCNG AT THE NGRTHWEST COARER OF SAO SOUTEAST DUARTVe THENCE NORTH M DEGREES 1e ~XS a SECOROS EAST (NAmxcs
ARE FOR DESCRIPUK
S ONLY AND ARE BASED OR THE WHIR u+E a THE SOUTHEAST QUARTER OF SECTION 71 AS SHOIPI OR
Docv wt n-tsouo, RECORDED N mAcT "Kr som is PACE r AT THE MMA coUITY RECmws ~~ ALONG THE NORM LH m
SAD SOUTHEAST QUARTER . A DISTANCE R 114.x7 FEET TO A POINT WHO OH ME EASTERLY RIGHT OF HAY CANE OF AUII1 ROAD (5T n4). AS
THE PGTHT 6 -
LOT 1 AREA P 28 .394 ACRESE
LOT 2 AREA . 10 .111 ACRES.
PROPOSED ROW AREA a 2440 ACRES:
TOTAL AREA R 40.945 ACRES:
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INTERSECTION
DEVELOPMENT AGREEMENT
Peoria County
THIS DOCUMENT PREPARED
BY:
Nathan R. Miller
Miller, Hall & Triggs
416 Main Street, Suite 1125
Peoria, IL 61602-1161
AFTER RECORDING MAIL TO :
Nathan R. Miller
Miller, Hall & Triggs
416 Main Street, Suite 1125
Peoria, IL 61602-1161
EXHIBIT -C
INTERSECTION DEVELOPMENT AGREEMENT
This Intersection Development Agreement ("Agreement") dated this
day of
2005, by and among LFH-100, L .L .C., an Illinois Limited Liability Company
("LFH") ; SUD FAMILY LIMITED PARTNERSHIP, a Wisconsin Limited Partnership ("SUD") ; and the
CITY OF PEORIA, a municipal corporation ("City").
WITNESSETH:
WHEREAS, LFH is the owner of, or has entered into a Real Estate Purchase Agreement to
acquire, that property legally described on the attached Exhibit A ("LFH Parcel"); and
WHEREAS, SUD is the owner of that property legally described on the attached Exhibit B
("SUD Parcel") ; and
WHEREAS, LFH and SUD each intend to develop and improve their respective parcels ; and
WHEREAS, to facilitate the development, improvement, and use of the respective parcels and
for the interests of the public, it is agreed by the parties that LFH and SUD shall install and complete (or
cause to be installed and completed) a new signalized intersection on Allen Road at its intersection with a
State of Illinois right-of-way extending along the southerly boundary of the LFH Parcel, which
intersection would provide public access to the LFH Parcel and the SUD Parcel (the signalized
intersection and related improvements and the work appurtenant thereto collectively referred to as "Allen
Road Intersection Improvements") ; and
WHEREAS, the cost of the Allen Road Intersection Improvements is to be paid equally by LFH
and SUD, and the City has agreed to provide financing for such cost.
Page 1 of 12
1.
Upon the commencement of the development and improvement of either the LFH Parcel
or the SUD Parcel, LFH and SUD shall use due diligence to install and complete (or cause to be installed
and completed) the Allen Road Intersection Improvements consistent with this Agreement and in
accordance with the requirements and conditions of the particular entity or authority having jurisdiction
over the intersection.
2.
LFH and SUD, through their joint representative, shall solicit and obtain bids from not
less than two reputable contractors to perform the Allen Road Intersection Improvements. LFH and SUD
shall mutually agree upon the acceptable bid(s) and contractor(s) to perform the Allen Road Intersection
Improvements (and in the absence of a mutual agreement, the lowest bid submitted shall be accepted),
and shall submit the names of the contractor(s) and such contractor's(s') bid(s) to the Public Works
Department of the City for review and approval. If any such contractor(s) or bids are not approved, the
City shall specify the reasons for the withholding of such approval whereupon LFH and SUD can
seek to modify same and continue to resubmit same to the City for further review until the City
approves a previously rejected submittal . In the event the City fails to notify LFH and SUD of a
rejection of any submittal within five (5) business days after the City's receipt of any such submittal
from LFH and SUD, the submittal shall be deemed to have been approved. Upon the City's approval
of the contractor(s) and bid(s), the performance of the Allen Road Intersection Improvements shall
proceed with due diligence and promptness.
3.
The total cost for the Allen Road Intersection Improvements shall be shared and paid
equally by LFH and SUD . The City hereby agrees to provide financing (up to, but not exceeding, an
amount equal to Six Hundred Fifty Thousand Dollars [$650,000]) said financing to be shared equally by
LFH, SUD, or both, for the cost of the Allen Road Intersection Improvements (either by way of a loan to
LFH and/or SUD to be used for payment of such cost, or, at the election of the party requesting the
financing, a payment by the City directly for such cost on behalf of the party), at such time or times as
may be requested by the respective parties ; provided, however, the total financing to, or on behalf of, each
party shall be construed to be a loan to that party which shall not exceed one-half the total cost for the
Allen Road Intersection Improvements. It is recognized by the parties that LFH or SUD may be required
to obtain interim financing from sources other than the City for portions or all of the Allen Road
Intersection Improvements and that the financing from the City may be used for repayment of such
interim financing . The City will finance the amounts hereunder through the issuance of general
obligation instruments (which may be a private placement bond) and any financing provided by the City
to, or on behalf of, a party hereunder shall be at an interest rate equivalent to the lowest interest rate
available to the City on such general obligation instruments issued by the City in connection with this
financing . Any and all costs in connection with the establishment of such financing arrangements and/or
the issuance of any bond or bonds with respect thereto shall be paid when due by LFH and SUD (each of
LFH and SUD to pay one-half thereof). Such financed amounts to each of LFH and SUD as set forth
above shall be repaid to the City together with interest from the date of such financing, amortized over a
ten-year period, in annual installments, commencing one year from the later of (i) the date of completion
of the Allen Road Intersection Improvements, or (ii) the date of the last financing payment made by the
City, and continuing on the same date in subsequent years unless otherwise agreed by the parties .
4.
To secure the obligation of LFH to make its payments hereunder, if any, LFH hereby
gives and grants to the City a lien upon the LFH Parcel, which lien may, in the event of non-payment by
LFH, be foreclosed as a mortgage lien under the Illinois Mortgage Foreclosure Law as the same may be
amended from time to time.
5.
To secure the obligation of SUD to make its payments required hereunder, if any, SUD
hereby gives and grants to the City a lien upon the SUD Parcel, which lien may, in the event of non-
Page 2 of 12
payment by SUD, be foreclosed as a mortgage lien under the Illinois Mortgage Foreclosure Law as the
same may be amended from time to time.
6.
The liens granted to the City hereunder shall be superior to any other lien against the
parcels (other than for general real estate taxes), and the obligations of the City hereunder are conditioned
upon LFH and SUD, respectively, demonstrating to the City's reasonable satisfaction that such liens are
superior, including where appropriate and applicable, by an agreement of subordination from any existing
mortgage lender(s) of a parcel to the effect that such lender(s) shall subordinate its lien to the lien rights
of the City hereunder . The City shall be under no obligation to finance the Allen Road Intersection
Improvements unless and until LFH and SUD respectively have satisfied the foregoing condition .
7.
Upon full payment of the indebtedness by LFH or its successors and assigns, the City
shall release the above-referenced lien against the LFH Parcel.
8.
Upon full payment of the indebtedness by SUD or its successors and assigns, the City
shall release the above-referenced lien against the SUD Parcel.
9.
It is acknowledged by the City that the development of the respective parcels by LFH and
SUD will involve the subdivision of the parcels into smaller lots or tracts, and the City agrees, upon
reasonable terms and conditions, to release its lien against such lots or tracts upon the sale or other
transfer of a lot or tract. For example, if the remainder of the respective parcel owned by each of LFH
and SUD can then be reasonably expected to be more than 150% of the balance then owed to the City
with respect to such parcel, then the City shall partially release its lien rights as to the lot or tract sold or
transferred .
10.
In the event that the design, construction, and installation of the Allen Road Intersection
Improvements requires additional right of way from either the LFH Parcel or the SUD Parcel, the
respective owner shall provide and convey same to the appropriate entity or authority upon written
request of such entity or authority, without compensation or consideration therefor .
11.
The relevant provisions of the Annexation Agreement among the City, LFH and Ronald
L. Garmer and Hazel A. Brown dated June 22, 2005, as applicable to the Allen Road Intersection
Improvements are incorporated herein to the extent they are not inconsistent with the provisions of this
Agreement .
12.
If the Allen Road Intersection Improvements are not commenced within two years after
the date hereof and completed within one year after the commencement of construction, then the City
shall provide written notice to LFH and SUD, and if the Allen Road Intersection Improvements are not
commenced or completed (as the applicable case may be) within the foregoing provided times, then the
City may, at its option, elect to complete the Allen Road Intersection Improvements and charge all cost
equally to LFH and SUD.
13.
Upon completion of the Allen Road Intersection Improvements pursuant to this
Agreement, the City shall (upon the transfer of its jurisdiction from the State of Illinois) agree to accept
the Allen Road Intersection Improvements and shall thereafter maintain the Allen Road Intersection
Improvements.
14 .
To the extent that the Allen Road Intersection Improvements require the approval(s)
of the City and/or IDOT, LFH and SUD shall be responsible for securing and obtaining such
approval(s) in the manner proscribed therefor by the City and/or IDOT as the applicable case may be.
Page 3 of 12
15.
Wherever in this Agreement the approval or consent of a party is required before any
action can be undertaken by the other party, such party's consent or approval shall not be
unreasonably withheld, conditioned or delayed .
16.
Each of the parties hereby agrees to mutually assist and cooperate with the other in
the effectuation of the intent hereof. In connection with the foregoing, the parties acknowledge that
certain utility equipment may need to be relocated as a result of or as a part of the Allen Road
Intersection Improvements. To the extent that such equipment is located within any right of way
over or for which the City has jurisdiction, and to the extent that the City has the right or ability to
require the utility company(ies) to relocate such equipment to areas outside such right of way or to
other areas within such right of way, then the City agrees that it shall make such request and demand
of such utility company(ies) and diligently pursue such action(s) to assure that such relocation is
completed by such utility company(ies) consistent and timely with the completion of the Allen Road
Intersection Improvements.
17.
If, for any reason, either LFH or SUD is, in connection with the Allen Road Intersection
Improvements, required to pay more than one-half of the cost of such Allen Road Intersection
Improvements, the paying party shall be entitled to recover from the other (non-paying) party the excess
amount (i.e., the amount exceeding one-half of the total cost), together with interest thereon at the rate of
ten percent (10%) per annum, from the date of payment until fully repaid by the non-paying party, plus
attorney's fees and costs of collection.
18.
The obligations of LFH under this Agreement are contingent upon the closing of the
purchase by LFH of the LFH Parcel and if such closing does not occur, this Agreement shall be null and
void.
This Agreement shall be binding upon all of the parties hereto and their respective
19.
successors and assigns and all other successors in interest and the obligations of each of LFH and SUD
shall be covenants that "run with the land"; and in this regard, this Agreement shall be binding on LFH
and SUD (and their successors in interest) only for such period as LFH and SUD (and their successors in
interest) maintain a direct ownership interest in their respective parcels, or parts thereof (excluding, for
example, an interest therein solely as a creditor or mortgagee), and only with respect to such direct
ownership interest in the parcel or part thereof. The City will release any lien in accordance to the
procedure established in Paragraph 9.
20.
Time is of the essence of this Agreement and in the event of a default by any party
hereto, or any successors to such party, such party or successor shall, upon written notice from a nondefaulting party, take immediate action to cure or remedy such default within sixty (60) days after receipt
of such notice. If, such action is not taken or not diligently pursued, or if the default shall not be cured or
remedied within a reasonable time, the aggrieved party may institute such proceedings as may be
necessary or desirable in its opinion to cure or remedy default, including, but not limited to, proceedings
to compel specific performance by the party in default of its obligations . In the event that any party shall
find it necessary to retain an attorney for the enforcement of any of the provisions hereunder occasioned
by the fault of the other party or of another party, the party not in default shall be entitled to recover for
reasonable attorney's fees and court costs incurred, whether said attorney's fees are incurred for the
purpose of negotiation, trial, appellate, or other legal services .
21.
If any provision of this Agreement is held to be invalid, the remainder of this Agreement
shall not be affected thereby . This Agreement shall be construed under, and governed by, the laws of the
State of Illinois .
Page 4 of 12
22.
The covenants of LFH and/or SUD contained in this Agreement shall NOT be joint and
several obligations of each, and LFH and/or SUD (as the applicable case may be) shall only be burdened
with and obligated to perform covenants and obligations with respect to that party and that party's
particular parcel (or portion thereof) . In this respect, the failure of either LFH or SUD to perform a
covenant or condition as may be defined herein, shall not constitute a default of the other party .
23.
All notices, requests, communications and demands hereunder shall be in writing and
shall be deemed to have been duly given and received upon delivery in person or on the third day
after being sent by registered or certified mail, postage prepaid, or upon that day which a fax
transmittal is sent (together with a depositing of same for first class mailing in the United States mail)
to the other party as follows:
LFH:
LFH-100, L.L.C .
c/o Larry Hundman
405 N. Hershey
Bloomington, IL 61704
With Copy to:
SUD:
Robert C. Hall, Attorney at Law
416 Main Street, Suite 1125
Peoria, IL 61602
Sud Family Limited Partnership
C/O Dr. Gian C. Sud
1430 Ft . Jesse Road
Normal, IL 61761
With Copy to:
Ms. Suniti R. Sud
2350 North Eighth Street
Pekin, IL 61554
City of Peoria, Illinois
Department of Public Works
419 Fulton Street
Peoria, IL 61602
City:
With Copy to:
Randall Ray, Esq.
Corporation Counsel
City of Peoria
419 Fulton Street
Peoria, IL 61602-1270
24.
Each of the signatories who have signed this Agreement on behalf of a party hereby
warrants and represents that such signatory has the full authority and is duly authorized to execute this
Agreement on behalf of such party for whom such signatory has signed.
25.
This Agreement may be executed in counterparts and, in such case, each counterpart shall
serve as an original.
Page 5 of 12
26.
All construction contracts with respect to the Allen Road Public Improvements will abide
by the following :
(a)
Non-Discrimination . The contractor will not discriminate against any employee
or applicant for employment on the basis of race, color, religion, sex or national origin. The
contractor will take affirmative action to insure that applicants are employed, and that employees
are treated during employment, without regard to their race, color, religion, sex or national origin .
Such action shall include but not be limited to the following : employment, upgrading, demotion,
transfer, retirement, recruitment, advertising, layoff termination, rate of pay or other forms of
compensation, and selection for training, including apprenticeship . The contractor shall agree to
post in conspicuous places, available to employees and applicants for employment, notices to be
provided by the City setting forth the provisions of this non-discrimination clause.
(b)
Advertising . The contractor will, in all solicitations or advertisements for
employees placed by or on behalf of the contractor, state that all qualified applicants will receive
consideration for employment without regard to race, color, religion, sex of national origin .
(c)
Terms and Conditions .
The contractor shall comply with the terms and
conditions set forth on Exhibit C, Equal Employment Opportunity, attached hereto and made a
part hereof.
27.
Any contract(s) for the Allen Road Public Improvements shall provide for compliance
with the Illinois Prevailing Wage Act, 820 ILCS 1301/1 et seq., and for a performance bond and a labor
and material payment bond for such work from a surety company licensed to do business in the State of
Illinois with a general rating of A- or better and a financial size category of Class X in Best's Insurance
Guide, each in the penal sum of the contract price ; or in the alternative a standby letter of credit (in a form
reasonably acceptable to the City) from a reputable financial institution in the amount of the contract price
generally providing security for the payment for such work.
IN WITNESS WHEREOF, the parties have set their hands and seals the day and year first
above written .
[SIGNATURE PAGE FOLLOWS]
Page 6 of 12
LFH-100, L.L.C., an Illinois Limited
Partnership
Limited
SUD FAMILY LIMITED
PARTNERSHIP, a Wisconsin
Partnership
By
By
Its
Its
CITY OF PEORIA, a Municipal Corporation
By
Its
ATTEST :
By
Its
STATE OF ILLINOIS
)
COUNTY OF PEORIA
)
SS
I, the undersigned Notary Public, do hereby certify that
, personally known to me to be the
person whose name is subscribed to the foregoing instrument, appeared before me in person and acknowledged that, as the
described officer, and being duly authorized, he/she signed, sealed and delivered the foregoing instrument as his/her and the
company's free and voluntary act for the uses and purposes therein set forth.
Dated this
day of
, 2005 .
STATE OF ILLINOIS
)
COUNTY OF PEORIA
)
Notary Public
SS
I, the undersigned Notary Public, do hereby certify that
, personally known to me to be the
person whose name is subscribed to the foregoing instrument, appeared before me in person and acknowledged that, as the
described officer, and being duly authorized, he/she signed, sealed and delivered the foregoing instrument as his/her and the
company's free and voluntary act for the uses and purposes therein set forth.
Dated this
day of
, 2005 .
STATE OF ILLINOIS
)
COUNTY OF PEORIA
)
Notary Public
SS
I, the undersigned Notary Public, do hereby certify that
, personally known to me to be the
person whose name is subscribed to the foregoing instrument, appeared before me in person and acknowledged that, as the
described officer, and being duly authorized, he/she signed, sealed and delivered the foregoing instrument as his/her and the
company's free and voluntary act for the uses and purposes therein set forth.
Dated this
day of
, 2005 .
Page 7 of 12
Notary Public
EXHIBIT A
LEGAL DESCRIPTION
Parcel I: (PIN: 09-31-151-002)
The Southwest Quarter of the Northwest Quarter of Section 31, Township 10 North, Range 8
East of the Fourth Principal Meridian, County of Peoria, State of Illinois; and
Parcel 11: (PIN: 09-31-176-002)
The Southeast Quarter of the Northwest Quarter of Section 31, Township 10 North, Range 8 East
of the Fourth Principal Meridian, County of Peoria, State of Illinois, EXCLUDING all public
rights of way, and EXCLUDING part of the South Half of the Northwest Quarter of Section 31,
Township 10 North, Range 8 East of the Fourth Principal Meridian, Peoria County, Illinois, more
particularly described as follows : Commencing at the Southeast corner of the South half of the
Northwest Quarter of Section 31, thence North 89 degrees 08 minutes, 27 seconds West along
the South line of the South half of the Northwest Quarter of Section 31, as established by H. W.
McFadden, Peoria County Surveyor on July 5, 1843, 85.22 feet to the intersection of said South
line with the Proposed Westerly Right-of-Way line of F. A. P. 405 ; said intersection to be the
Point of Beginning of the tract to be described: From the Point of Beginning, thence North 4
degrees 13 minutes 28 seconds East along the Proposed Westerly Right-of-Way line of F. A. P.
405, said Proposed Right-of-Way line being parallel with and 100.00 feet measured
perpendicular West of the Centerline of Illinois Route 174, 46.93 feet; thence North 12 degrees,
10 minutes 36 seconds East along the Proposed Westerly Right-of-Way line of F. A. P. 405,
442 .29 feet to the intersection of said Proposed Right-of-Way line with the East line of the South
Half of the Northwest Quarter of Section 31, thence North 1 degree, 22 minutes, 47 seconds East
along the East line of the South half of the Northwest Quarter of Section 31, 119.24 feet ; thence
North 89 degrees, 08 minutes, 27 seconds West, parallel with the South line of the South Half of
the Northwest Quarter of Section 31, as established by H. W. McFadden, Peoria County
Surveyor on July 5, 1843, 599 .50 feet ; thence South 1 degrees, 22 minutes, 47 seconds West
parallel with the East line of the South Half of the Northwest Quarter of Section 31, 600 .00 feet
to the intersection of said parallel line with the South line of the South Half of the Northwest
Quarter of Section 31 as established by H. W. McFadden, Peoria County Surveyor on July 5,
1843 ; thence the South 89 degrees, 08 minutes, 27 seconds East along said South line, 514.28
feet to the Point of Beginning, containing 7.74 acres, more or less.
Property Address :
vacant land
Peoria, Illinois
Page 8 of 12
EXHIBIT B
LEGAL DESCRIPTION
Parcel I : (PIN : 09-31-400-016)
Combined Description of the Tract to be recorded as "Sud Business Park Subdivision" as
Recorded in Documents 04-23838 and 04-23842 at the Peoria County Recorder's Office
A tract of land being part of the Southeast Quarter of Section 31, Township 10 North, Range 8
East of the Fourth Principal Meridian, Peoria County, Illinois, being more particularly described
as follows :
Commencing at the northwest corner of said Southeast Quarter; thence North 89 degrees 16
minutes 06 seconds East (bearings are for descriptive purposes only and are based on the north
line of the Southeast Quarter of Section 31 as shown on document 77-15000, recorded in Tract
Survey Book 12, page 29 at the Peoria County Recorder's Office), along the north line of said
Southeast Quarter, a distance of 114.67 feet to a point being on the easterly right of way line of
Allen Road (SBI 174), as the Point of Beginning:
Thence continuing North 89 degrees 16 minutes 06 seconds East, along said north line of said
Southeast Quarter, a distance of 1102.03 feet to a point being on the northerly right of way line
of Illinois Route 6 (F .A.P. 405), said right of way line also being the former southwesterly right
of way line of the Chicago, Rock Island and Pacific Railroad; (the following 5 courses are along
said northerly right of way line of Illinois Route 6) thence in a southeasterly direction along a
curve to the right having a radius of 11409.16 feet and an arc length of 1014.80 feet and being
subtended by a chord bearing South 38 degrees 16 minutes 57 seconds East, 1014 .46 feet ; thence
South 35 degrees 44 minutes 12 seconds East, a distance of 87.30 feet; thence South 65 degrees
21 minutes 50 seconds West, a distance of 651 .12 feet; thence in a southwesterly direction along
a curve to the right having a radius of 2665 .30 feet and an arc length of 907.98 feet and being
subtended by a chord bearing South 80 degrees 24 minutes 41 seconds West, 903 .60 feet; thence
North 81 degrees 12 minutes 15 seconds West, a distance of 302.06 feet to a point being on said
easterly right of way line of said Allen Road (SBI 174); thence North 00 degrees 00 minutes 16
seconds West, along said easterly right of way line, a distance of 1228.85 feet to the Point of
Beginning, containing 40 .945 acres, more or less, being subject to any covenants, restrictions,
reservations and right of way of record.
Property Address :
vacant land
Peoria, Illinois
Page 9 of 12
EXHIBIT C
EEO CONTRACT COMPLIANCE CLAUSE
It is hereby declared to be the public policy of the City of Peoria, that it will not execute a
contract for goods and/or services with any individual, business enterprise, supplier/vendor;
maintain a financial relationship with any financial institution ; or use the services of any labor
organization or member thereof found to be in violation of the provisions of the City Code for
the City of Peoria, Chapter 17, Article III, Division 4, Section 17-118 .
This clause covers contractors, vendors, suppliers, borrowers and/or recipients of city resources,
purchasers and/or developers of city owned property, and any other individuals or entities
providing goods and/or services to the City of Peoria; and are hereinafter referred to as
"Contractor".
If any Contractor conducting business with the City of Peoria fails to comply with the fair
employment and affirmative action provisions of Chapter 17, Article III, Division 4 of the City
Code (hereinafter Chapter 17), the city, at its option, may do any or all of the following:
(1)
Cancel, terminate, or suspend the contract in whole or in part;
(2)
Declare the contractor ineligible for further contracts for one calendar year ;
(3)
The Fair Employment and Housing Commission (hereinafter FEHC), in
accordance with its rules and regulations, shall have the power to impose a
penalty upon any Contractor failing to comply with Chapter 17 in an amount
not less than $50.00; nor more than as provided in Chapter 1, Section 1-5 of
the municipal code, for each day that the Contractor fails to comply, upon a
specific finding of such violation. The FEHC may order a Contractor found
guilty of failure to comply with the provisions of Chapter 17 to pay all or a
portion of the legal costs incurred by the city as a result of prosecution of
such violations . Penalties assessed under this clause may be recovered from
the Contractor by setoff against unpaid portion of the contract price ; and
(4)
Such other sanctions as may be imposed by the FEHC pursuant to the
provisions of Chapter 17 and other applicable ordinance provisions of the
City Code .
During the performance of this contract, the Contractor agrees :
(a)
That it will not discriminate against any employee or applicant for
employment because of race, color, religion, sex, sexual harassment,
ancestry, national origin, place of birth, age, or a physical and/or mental
disability which would not interfere with the efficient performance of the
job in question.
The contractor/vendor will take affirmative action to
Page 10 of 12
comply with the provisions of Peoria City Code, Chapter 17 and will require
any subcontractor to submit to the City of Peoria a written commitment to
comply with this division . The Contractor will distribute copies of this
commitment to all persons who participate in recruitment, screening,
referral, and selection of job applicants, prospective job applicants,
members, or prospective contractors.
"The Contractor agrees that the provision of Chapter 17, of
the City Code of the City of Peoria is hereby incorporated by
reference, as if set out verbatim ."
(b)
That it will examine each one of its workforce job classifications to
determine if minorities and/or females are underutilized; and it will take
appropriate affirmative action steps to rectify such identified
underutilization .
(c)
That if it hires additional employees in order to perform this contract or any
portion thereof, it will determine the availability of minority and females in
the area(s) from which it may reasonably recruit; and every good faith effort
will be made in its selection process to minimize or eliminate identified
areas of minority and/or female underutilization for each job classification
for which there are employment opportunities.
(d)
That during the performance of this contract, the Contractor will maintain its
"eligibility" status to conduct business with the City of Peoria under the
provisions of the EEO certification registration program.
(e)
That in all solicitations or advertisements for employees placed by it or on
its behalf, it will state that all applicants will be afforded equal opportunity
without discrimination because of race, color, sex, religion, national origin,
age, or physical and/or mental disability.
(f)
That it will send to each labor organization or representative of workers with
which it has or is bound by a collective bargaining agreement or
understanding, a notice advising such labor organization or representative of
the Contractor's obligations under Chapter 17 .
If any such labor
organization or representative fails or refuses to cooperate with the
Contractor in its efforts to comply with Chapter 17, the Contractor will
promptly so notify the Equal Opportunity Office (hereinafter EOO) and/or
the FEHC for the City of Peoria.
(g)
That it will submit reports as required and furnish all relevant information as
may from time to time be requested by the EOO and/or the FEHC .
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(h)
That it will permit access to all relevant books, records, accounts and work
sites by EOO staff members for purposes of investigation to ascertain
compliance with Chapter 17 .
(i)
That it will include verbatim or by reference the provisions of Section 17120 of Chapter 17 so that such provisions will be binding in the same
manner as with other provisions of this contract . The Contractor will be
liable for compliance with applicable provisions of this clause by all its
subcontractors ; and further, it will promptly notify the EOO and/or FEHC in
the event any subcontractor fails or refuses to comply therewith. In
addition, no Contractor will utilize any subcontractor declared by the EOO
and/or FEHC to be non-responsive and therefore, ineligible for contracts or
subcontracts with the City of Peoria.
(j)
That during the performance of this contract, the Contractor agrees : that it
will have written sexual harassment policies that shall include, at a
minimum, the following information: (i) the illegality of sexual harassment ;
(ii) the definition of sexual harassment under state law; (iii) a description of
sexual harassment utilizing examples ; (iv) the contractor's internal
complaint process including penalties; (v) the legal recourse, investigative
and complaint process available through the Illinois Department of Human
Rights and the Human Rights Commission; (vi) directions on how to contact
the Department of Human Rights and the Commission ; and (vii) protection
against retaliation as provided by Section 6-101 of the Act (Public Act 871257). A copy of the policies shall be provided to the Illinois Department of
Human Rights or the City of Peoria upon request.
(k)
That during the performance of this contract, the Contractor agrees that it
does not and will not maintain or provide for their employees, any
segregated facilities at any of their establishments, or permit employees to
perform their services at any location under its control where segregated
facilities are maintained .
As used in this document, the term "segregated facilities" means any
waiting rooms, work areas, rest rooms and wash rooms, and other storage or
dressing areas, parking lots, drinking fountains, recreation or entertainment
areas, transportation, housing facilities provided for employees which are
segregated by explicit directive or are in fact segregated on the basis of race,
religion, color, national origin, because of habit, local custom, or otherwise .
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