Monday, June 3, 2013 6:00 pm
City of Rochelle Council Chambers 420 N 6th Street, Rochelle, IL 61068
I. CALL TO ORDER:
• Pledge to the Flag
• Prayer
II. ROLL CALL:
III. PROCLAMATIONS, COMMENDATIONS, ETC:
IV. REPORTS AND COMMUNICATIONS:
• Mayor
• Council Members
V. PUBLIC COMMENTARY:
VI. BUSINESS ITEMS:
1) Development Agreement and related Easement Agreement for Sawicki Motors Redevelopment Project
VII. DISCUSSION ITEMS:
VIII. EXECUTIVE SESSION
IX. ADJOURNMENT
Agenda Item #1 - Development Agreement and related Easement Agreement for Sawicki Motors Redevelopment Project
References:
default Stormwater Drainage Easement
default Ordinance Approving Development Agreement and Easement
Recommended Action:
Consider Development Agreement and related Easement Agreement for Sawicki Motors Redevelopment Project
History and Fact:
The City continues to spur development and redevelopment by offering a variety of incentive options including: real estate tax abatements, sales tax rebates and waiving and/or reducing specific City fees. Providing incentives, when appropriate, is important when attracting and maintaining both industrial and commercial/retail facilities in our community.
Discussion: Sawicki Motor Company, located at 1260 North 7th Street, has been in business since 1953. The owner intends to redevelop the automobile dealership by demolishing an existing showroom facility and constructing a new showroom facility with completion no later than December 31, 2014. Once renovated, the facility will employ a minimum of 25 full-time employees.
Based on the redevelopment of the property as outlined, and the anticipated economic impact, the following incentives are proposed:
• Real Estate Tax Abatement – Abatement of the City's real estate taxes attributed to any new improvements over five years as follows: 90%, 75%, 60%, 45% and 30%.
• Sales Tax Rebate – Rebate of ½ of the 1% portion of the Operator's Retail Occupation Tax attributable to sales and services rendered at the new showroom/repair facility for a period of three years. (Findings listed in the ordinance support the ability to offer this incentive.) This rebate will be extended for an additional two years if local contractors provide 50% of the total contracted cost of the development.
• Stormwater – Construction of storm water facilities on easements provided by Sawicki will be paid for and maintained by the City. In addition the City agrees to waive all storm water management fees that may result from the development.
• Building Permit Fees – Waiver of building permit fees for new construction and renovations for one year.
• Codes – Un-renovated portions of the facility will remain subject to the codes that were in affect at the time of construction, providing it was in compliance at that time.
Recommendation:
Authorize an Ordinance Approving Development Agreement and related Easement Agreement for Sawicki Motors Redevelopment Project
