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Home My WebLink AboutOrdinances - 23-46 - 08/21/2023 - Agreement - 3918 Main LLC, Kuzniewski CITY OF MCHENRY MCHENRY COUNTY STATE OF ILLINOIS Ordinance 23-46 AN ORDINANCE AUTHORIZING THE MAYOR'S EXECUTION OF A REVOCABLE AND NON-EXCLUSIVE LICENSE AGREEMENT BETWEEN THE CITY OF MCHENRY AND 3918 MAIN LLC AND KUZNIEWSKI HOLDINGS LLC Passed by the Mayor and City Council Of the City of McHenry McHenry County State of Illinois August 21, 2023 Published in pamphlet form by authority of the Mayor and City Council of the City of McHenry, McHenry County, Illinois this 22"d day of August 2023 ORDINANCE NO. 23-46 AN ORDINANCE AUTHORIZING THE MAYOR'S EXECUTION OF A REVOCABLE AND NON-EXCLUSIVE LICENSE AGREEMENT BETWEEN THE CITY OF MCHENRY AND 3918 MAIN LLC AND KUZNIEWSKI HOLDINGS LLC WHEREAS the City of McHenry, McHenry County, Illinois, is a home rule municipality as contemplated under Article VII, Section 6, of the Constitution of the State of Illinois, and the passage of this Ordinance constitutes an exercise of the City's home rule powers and functions as granted in the Constitution of the State of Illinois. NOW, THEREFORE, BE IT ORDAINED by the CITY COUNCIL of the CITY OF MCHENRY, McHenry County, Illinois, as follows: SECTION 1: The Revocable and Non-Exclusive License Agreement between the City of McHenry and 3918 Main LLC and Kuzniewski Holdings LLC dated August 21, 2023 ,and the same is hereby approved. A complete and accurate copy of the said license, labeled "Revocable and Non-Exclusive License Agreement between the City of McHenry and 3918 Main LLC and Kuzniewski Holdings LLC" is attached to this ordinance and incorporated herein by reference as Exhibit "A". SECTION 2: The Mayor and City Clerk are hereby authorized to affix their signatures as Mayor and City Clerk to said Revocable and Non-Exclusive License Agreement between the City of McHenry and 3918 Main LLC and Kuzniewski Holdings LLC for the uses and purposes therein set forth. SECTICtN 3: All Ordinance or parts thereof in conflict with the terms and provisions hereof are hereby repealed to the extent of such conflict. SECTION 4: This Ordinance shall be published in pamphlet form by and under the authority of the corporate authorities of the City of McHenry, McHenry County, Illinois. SECTION 5: This Ordinance shall be in full force and effect from and after its passage, approval, and publication in pamphlet form as provided by law. PASSED THIS 21st DAY OF August, 2023 AYES: Santi, McClatchey, Strach, Bassi, Miller NAYS: Glab, Koch ABSTAINED: none ABSENT: none NOT VOTING: none /r MAYOR ATTEST: / �� a • �-n.d�e.� CITY CLERK Revocable and Non-Exclusive License Agreement between the City of McHenry and 3918 Main LLC and Kuzniewski Holdin�s LLC This Revocable and Non-Exclusive License Agreement("Agreement") is made and entered into this June 19, 2023 ("Effective Date"), by and between the City of McHenry, 333 S. Green Street, McHE�nry County, Illinois, an Illinois home rule municipality (the "City"), and 3918 Main LLC ("3918") and Kuzniewski Holdings LLC ("KH"). 3918 and KH are hereinafter collectively referred to as "Licensees"). Recitals A. 3918 owns the building located at 3918 Main Street and KH owns the building located at 3922 Main Street, both in McHenry, Illinois (collectively the "Benefitted Properties"). Private parking for the Benefitted Properties is located at the rear of the Benefitted Properties. B. The Benefitted Properties are separated by an alley which is public right-of-way. C. Pursuant to a separate agreement between the Licensees, 3918 intends to temporarily use the alley separating the Benefitted Properties as an outdoor patio, for use by patrons of 3918 (the "Patron Use"). This Patron Use will block Licensees from accessing the private parking in the rear of their buildings for their Benefitted Properties. D. The City owns the parking lot with PIN 09-26-354-019 located to the west of the Benefitted Properties (the "City Parking Lot"). The City Parking Lot abuts the private parking for the Benefitted Properties. E. To facilitate the proposed Patron Use of the alley, the Licensees desire to use a portion of the City Parking Lot consisting of two (2) public parking spaces (approximately 12 feet in width) as depicted with an arrow on Exhibit A and adjacent, on the west, to the "tie-in" reference on Exhibit B (the "Licensed Premises")for the purpose of accessing the private parking in the rear of the Benefitted Properties area on a revocable and non-exclusive basis, pursuant to the terms outlined herein. F. The City Council has determined that execution of this Agreement is in the best interests of the City. 1 Now, therefore, in consideration of the promises and agreements made herein, the adequacy and sufficiency of which is acknowledged as being received by both parties, it is agreed as follows: 1. License. The City hereby issues a revocable and non-exclusive license to the Licensees to construct, maintain,and use the Licensed Premises in substantial conformance with the conceptual site plan attached hereto as Exhibit B ("Site Improvements"). No legal title or leasehold interest in the Licensed Premises shall be deemed or construed to have been created or vested in the Licensees by anything contained in this Agreement. During the term of this Agreement, the two parking spaces within the Licensed Premises will no longer be permitted to be utilized for parking and this area shall be kept open for vehicular ingress and egress to and from the Benefitted Properties through the City Parking Lot to Main Street pursuant to the terms of this Agreement. 2. Term and Termination. The term of this Agreement shall be indefinite and may be terminated by either party, for any reason or no reason at all, upon 90 days' written notice to the non-terminating party. Provided, however, Licensees agree to only exercise their option to terminate jointly and not individually, and the City agrees not to exercise its right to terminate prior to October 31, 2033, unless the Patron Use by 3918 is abandoned. Abandonment of the Patron Area shall be deemed to occur when the alley is not used to serve patrons of 3918 for any 90 consecutive day timeframe between the months of April and November of any year as determined by the City Administrator. Written notice of termination shall be sent to the non- terminating party prior to its effective date. 3. Site Improvements. Prior to the commencement of construction of any Site Improvements on the Licensed Premises, Licensees shall provide final plans and specifications for approval by the City Administrator. All construction costs shall be paid by 3918. Any additional improvements of any kind within the Licensed Premises shall be strictly prohibited, except as otherwise approved in writing by the City Administrator. During the term of this Agreement, Licensees shall maintain the Site Improvements. 4. Removal of Site Improvements. Upon termination of this Agreement, Licensees shall, at their own cost and expense, remove all Site Improvements and fully restore the Licensed 2 Premises to its original condition. Licensees shall comply with all necessary building codes and all other rules, regulations and ordinances in doing so. In the event Licensees default on their obligation to fully remove the Site Improvements and restore the Licensed Premises, the City reserves the right, but not the obligation, to remove the same along with any miscellaneous property left behind and fully restore the Licensed Premises to its original condition. The Licensees shall reimburse the City for all commercially reasonable expenses incurred in removing Site Improvements and restoring the Licensed Premises. In the event the City files a lawsuit against the Licensees to recover the incurred costs of removal and restoration,the Licensees shall be further obligated to reimburse the City for all costs, including but not limited to reasonable attorneys'fees, incurred in the prosecution of said lawsuit. 5. Indemnification. The Licensees hereby agrees to indemnify, defend, and hold harmless the City, its elected officials, its duly appointed officials, agents, employees, and representatives,from and against any and all claims,suits, settlements,actions, losses, expenses, damages, injuries, judgments, and demands arising out of this Agreement or their use of the Licensed Premises and use by their patrons, guests, licensees, or permittees. 6. Successors and Assi�ns. This Agreement is not assignable by Licensees and does not run with the land. 7. Public Consumption. There shall be no alcoholic beverages served and/or consumed within the Licensed Premises from the Benefitted Properties. 8. Insurance. The Licensees, or their tenants shall provide and keep in force for the benefit of the City,an insurance policy protecting the City and its employees against all claims for bodily injury or death occurring on or in the Licensed Premises for not less than $1,000,000 with respect to bodily injury,death to any one person or damage to property. Such policy of insurance shall be delivered to the City prior to any use of the Licensed Premises by the Licensees and their invitees all such policies shall contain an agreement by the insurers that the policy shall not be cancelled without at least thirty (30) days prior written notice to the City. 9. Notice. Any notices required or contemplated by this Agreement shall be sent by certified mail or via a nationally recognized private carrier(such as Fed Ex or UPS), as follows: If to 3918: Dan and Heidi Jorudd 3 3918 Main, LLC P.O, Box 285 McHenry, IL 60051 If to I<H Denise Kuzniewski 39Z2 Main Street ' McHenry, IL 60050 If to the City: City of McHenry 333 S. Green Street McHenry, IL 60050 Attention: City Administrator With a copy to: David W. McArdle Zukowski, Rogers, Flood & McArdle 50 Virginia Street Crystal Lake, Iilinois 60014 10. Conflicts of Law and Venue. This Agreement shall be governed by Illinois law without regard to its rules regarding conflicts of faw. Any action to enforce this Agreement shall only be filed in the Twenty-Second Judicial Circuit, McHenry County, Illinois, 11. Entire A�reement. This Agreement sets forth all the promises, inducements, agreements, conditions and understandings between the Licensees and the City and there are no other promises, agreements, conditions, or understandings, oral or written, express or implied, between them relative thereto. This Agreement may only be amended by way of a written instrument that is signed by all Parties. City of McHenry Licensees By: ,�� g�2�!�� By: 8/2/2023 Wayn Jett, Mayor Date 3918 Main, LL Date By:'�.vrt`°�' � 08/OZ/23 Kuzniews i Holdings, LLC Date Z:\M\McHenryCityof�LicenseAgrmt 3918 LLC and Kuzniewski Hldgs LLC.docx 4 Exhibit A LICENSED PREMISES � � � ��'�, �� ;�;1 �� al , .1 � ,,,f �- � - �� /�' �, '` ."i., �� :��'� Y �� " ` � v+�' � � 1�, � ;, `�� , � � ,� / `�u�" •'.� . �< ►w j 1 l;�..� �� v�c. : � • 5 Exhibit B SITE IMPROVEMENTS , - �.,� , �v�G �o a� ,; �,�Q�� t--- _ ---- �,�{ � +. __ __ ,.� �-P''�'`''9 _ �_ ______ � , -! 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