HomeMy WebLinkAboutPacket - 12/17/2019 - Economic Development CommissionECONOMIC DEVELOPMENT COMMISSION
MEETING NOTICE
DATE: Tuesday, December 17, 2019
TIME: 4:00 p.m.
PLACE: McHenry Municipal Center, 333 S. Green St.
(City Council Chambers as Main Entrance)
333 South Green Street, McHenry, IL 60050
AGENDA
1. Call to Order
2. Pledge of Allegiance
3. Roll Call
4. Approval of Meeting Minutes dated September 24, 2019
5. Public Input - (five minutes total)
6. New Business Updates — Director of Economic Development
7. Small Business Grant Discussion
8. Committee Reports:
a. Business Recognition Committee (Mrachek, Wolf)
b. Outreach and Engagement (Bremer, Tenuto, Martin)
c. Relationship Building (Schaefer, Pfeifer)
d. Development Committee (Jessup, Bionda)- New Commission Member needed
9. Partner Committee Reports
a. Riverwall< Foundation
b. Chamber of Commerce
c. Downtown Business Association
d. Special Events Committee
e. Landmark Commission
f. Planning & Zoning Commission
10. Discussion and Approval of 2020 Meeting Schedule
11. Adjourn
The City of McHenry is dedicated to providing the citizens, businesses and visitors of McHenry with the highest
quality of programs and services in acustomer-oriented, efficient and fiscally responsible manner.
City of McHenry
Economic Development Commission
Meeting Minutes
September 24, 2019
Chairman Jessup called the September 24, 2019 regular meeting of the City of McHenry Economic
Development Commission to order at 4:00 p.m. In attendance were the following: Bremer, Jessup,
IArachek, Pfeifer, Tenuto and Mayor Jett. Absent: Bionda, Alderman Schaefer. Also in attendance
were: Director of Economic Development Martin and Economic Development Coordinator Wolf.
Public Comment: There was nobody in attendance who wished to address the Commission.
Approval of Minutes
Motion by Tenuto, seconded by Mrachek, to approve the June 25, 2019 Special Meeting minutes of
the Economic Development Commission, as presented:
Voting Aye: Bremer, Jessup, Mrachel<, and Tenuto.
Voting Nay: None.
Not Voting: None.
Abstaining: Jett, Pfeifer.
Absent: Bionda and Schaefer.
Motion carried 4-0.
Business Recognition -Mr. Don's Cleaners
Director Martin congratulated Rich Wimmer and Mr. Don's Cleaners on 50 years of business in the
City of McHenry, gave some of the histor y behind the bus11less and presented them with an award of
recognition. Mr. Wimmer thanked the Commission for the recognition.
New Business Updates
Director Martin gave an update on new businesses recently opened or opening soon including: Above
the Barre Dance Academy 5308 W. Elm St./Rt. 120; Unicorn Details 3980 Albany; City Electric Supply
4030 Main St.; Val's Salon 3402 Elm St./Rt. 120; and Pink Nails 1226 Green St., Brake Parts Research
and Development Facility, Starbucks on Elm St./Route 120, Jersey Mike's and Popeye's Chicken on
Route 31 North, Trio gas station at Bull Valley and Crystal Lake Rd, Ignite Skilled Nursing Facility at
Ridgeview and Bull Valley Road, and Pineapple X'Pressed on Green Street (River Place building) and
Hidden Pearl Cafe (also on Green St.), and Don's Submarine and CE Nail Salon and Spa in the Fountain
Shoppes on Front St./Rt 31 South.
There was discussion on how the Economic Development Commission can help in the upward trend
due to increasing housing, growth of the schools, Northwestern Medical and the efforts of the City
and the Economic Development Team. Commissioner Pfeifer suggested forming a mentor program
to help new business -owners or entrepreneurs on how to connect and be a part of the community.
Economic Development Commission
September 24, 2019
Page 2
Small Business Grant Discussion/Recommendation
Coordinator Wolf gave an overview of the City of Crystal Lake's Retailer Fagade and Commercial
Tenant Improvement Program and Matching Grant Application, brought to her attention by a small
business owner who was looking to open a second location in McHenry. The business owner stated
this grant was instrumental in allowing her with help needed to open her business and inquired if
McHenry had a similar program.
Coordinator Wolf explained the City of Crystal Lal<e's program is entirely funded by the sales tax
generated by the new business. It is paid out at the end of the year by the Finance Department after
$150,000 in sales tax is generated as reported by the Illinois Department of Revenue. The City of
Crystal Lake budgets for 8 grants issued per year and have stated they have never had an issue with
limiting to this number. Discussion on the many benefits of implementing a similar program in
McHenry ensued.
Commissioner Jessup asked for a motion to recommend the City of McHenry implement a grant for
small businesses similar to the City of Crystal Lake Retailer Fagade and Commercial Tenant
Improvement Program and Matching Grant Application.
Motion by Mrachek seconded by Bremer to recommend the City of McHenry implement a grant for
small businesses similar to the City of Crystal Lake Retailer Fagade and Commercial Tenant
Improvement Program and Matching Grant Application and submit it for consideration by City
Council.
Voting Aye: Bremer, Jessup, Mrachek, Pfeifer, and Jett.
Voting Nay: None.
Not Voting: None.
Abstaining: None.
Absent: Bionda, Schaefer.
Motion carried 5-0.
Committee Reports
Business Recognition Committee Mrachek, Wolf
(Length of Years in City and/or Significant Civic or Community Contributions to the City)
The following additional businesses are known to have business anniversaries in 2019.
Commissioner Mrachek and Coordinator Wolf will work on a strategy along with collaboration with
the Chamber to reach out and get information and plan award presentations for them.
Chas Herdrich — 86 years
Rietesel Boat — 80 years
Morrie & Sons Auto — 60 years
Tony's Family Tailor — 30 years
OrthoGro Physical Therapy — 30 years
Joule Technologies — 20 years
Economic Development Commission
September 24, 2019
Page 3
Outreach and Engagement Committee Bremer, Tenuto, Martin
(Business Attraction, Retention Survey, Branding, Marketing, Video Distribution)
The committee met twice and will take direction from today's meeting in working on a local business
campaign, a mentoring aspect, and developing a social media policy. They have been updated on
vacant property/building opportunities in the City and want to highlight what makes McHenry a
destination City, and determine how and frequency to property showcase the City through visits,
ribbon cuttings, videos, signage, and links to McHenry MarketPulse on social media, as well as the
Economic Development and Business pages of the City's website. They will be working on having a
consistent plan approach and having measurable action items. They will work on showcasing
McHenry throughout the County and the border towns and how to recognize businesses of tenure
vs. new businesses in town.
Relationship Building Committee Pfeifer, Schaefer
(Other City Committees/Associations, Businesses and Chamber Members, Tours)
This committee will be meeting in the very near future.
Development Committee Jessup and Bionda
(Recruiting a Full, Engaged Commission Membership)
Commissioner Jessup stated they have obtained several tools to use as resources in recruiting other
members in order to get a fully functioning and fully staffed commission. He asked Mayor Jett to
work with them to set up a meeting with him in order to clarify their direction to help fill vacant seats
to be in compliance with the ordinance. They will reach out to the other committees regarding getting
new members. There is currently one vacancy on the Commission.
Strategic Economic Development Plan
Commissioners Jessup and Mrachek asked Mayor Jett what his vision is for the Economic
Development Commission. Mayor Jett replied he would like them to help fill vacant storefronts,
spread the word, hit businesses outside a 10 mile radius and see if they're willing to open a location
in McHenry. His number one vision is business attraction — bringing more businesses into McHenry
It was suggested to get an invitation type post card printed with contact information for the Economic
Development Commission, similar to a sales brochure, for everyone to leave with potential businesses
they speak with to help promote the City.
Partner Committee Reports:
Reports were given by respective member of the commission. Director Martin invited everyone to
attend the MTI Expo this Thursday 9/26 from 6:00-8:00 p.m. Chairman Jessup concluded asking all
members to focus on moving forward in the direction given at tonight's meeting.
Staff Report
The next Economic Development Commission is scheduled for Tuesday November 26, 2019. Due to
the Thanksgiving holiday it was voted to change the date of the next regularly scheduled meeting to
Economic Development Commission
September 24, 2019
Page 4
November 12, 2019, it was also agreed by all to change the set up of the meeting to a more informal
setting.
Motion to Adjourn by Pfeifer; Seconded by Tenuto
All members in favor. Meeting adjourned at 5:15 p.m.
Respectfully submitted,
Rob Jessup, Chairman
Economic Development Commission
CITv of McHenry
Commercial Tenant
Incentive Program
MATCHING GRANT APPLICATION FORM
ADMINISTERED BY:
CITY OF McHENRY
ECONOMIC DEVELOPMENT DEPT
333 S. GREEN ST
McHENRY, IL 60050
815-363-2110
City of McHenry
Commercial Tenant Incentive Grant
CITY OF MCHENRY
Commercial Tenant Incentive
Grant Program
In its continuing effort to support the development of the business community and ourworkforce,
the City of McHenry has created a Commercial Tenant Incentive Grant Program for new and
existing retail business owners. This Program is comprised of the New Retailer Incentive
Program and the Existing Retailer Incentive Program. The City Council will review
applications and award grant funds to eligible new and existing retail businesses who complete
fagade or building improvements or purchase furniture, fixtures and equipment.
This bool�let is intended to provide general information regarding these programs. For more
information, please contact the Economic Development Department at (815) 3 63 -21 10 or 815-
363-2175.
Program descriptions and eligibilit,�quirements:
New Retailer Incentive Program
ELIGIBILITY'
MAX AWARD
AWARD CALCULATION
Applicant must occupy vacant commercial
$10,000
50% match for fagade or building
space within McHenry, Illinois., or construct a
improvements,
new building in the City;
50% match for furniture, fixtures
Applicant's business must be new to the City
and equipment (FFE) installed in
limits of McHenry;
the space.
Applicant's business must meet a minimum
annual taxable sales threshold of at least
$150,000/year;
Applicant must file an application prior to
commencing improvements (except where prior
arrangements have been made with them)
1 See detailed eligibility criteria below.
Ciro oFMCHENRY— Economic Development Department
333 S Green Street, MCHENRY, IL 60050
815.363.2110 or 815.363.2175 — www.CityofMcHenry.org
City of McHenry
Commercial Tenant Incentive Grant
NEW RETAILER INCENTIVE PROGRAM ELIGIBILITY CRITERIA
(i) The program is open to any new sales -tax revenue generating business that will occupy
vacant retail space or a building or that will construct a new building for its business.
(ii) Applicant must meet minimum annual taxable sales threshold of $150,000 and sustain or
exceed that amount for five years.
(iii) Applicant's business must provide a stocked retail showroom for retail products.
(iv) Applicant must provide written proof of fagade or building construction costs and/or FFE
costs.
(v) Applicant applying for funds for facade or building improvements must pay prevailing wages.
(vi) Applicant must file and have approval for grant funding prior to commencing
improvements (except where prior arrangements have been made with them).
(vii) Grant recipient may apply after 5 years from the date of recipient's previous award forthe
Existing Retailer Incentive Program.
(viii) Applicant's business must be new to McHenry city limits; in4own relocations are
ineligible without prior staff approval based on location.
(ix) Applicants are required to complete and submit an Illinois Department of Labor
Authorization to Release Sales Tax Information form to City Staff as part of the required
application documentation.
(x) Award calculations may include both fagade, building construction and FFE costs, up to
maximum award amount.
(xi) Eligible FFE includes, but is not limited to, shelving, racks, tables, chairs, point -of -sale
systems, fixed computer equipment used in business operation, office furniture, and
appliances.
(xii) Fagade and building improvements must comply with all applicable codes and ordinances.
(xiii) Eligible fagade and building improvements include, but are not limited to; exterior brick
cleaning; exterior tuck pointing; exterior painting; wall fagade construction, repair, and
treatments original exterior architectural features repair or replacement; interior/exterior
demolition; and renovation to interior/exterior.
(xiv) Approved applicants shall be required to maintain their improvements and the FFE for the
duration of the Grant Agreement with the City of McHenry, which shall be five years
from the date the funds are received by the applicant.
Ciro of MCHENRY— Economic Development Department
333 5 Green Street, MCHENRY, IL 60050
815.363.2110 or 815.363.2175 — www.CityofMcHenry.org
City of McHenry
Commercial Tenant Incentive Grant
Existing Retailer Expansion and Relocation Program
ELIGIBILITY'
MAX AWARD
AWARD
CALCULATION
Annual Taxable
Maximum
50% match for exterior fagade
Applicant must expand its business into
Sales
Grant Award
or interior building
vacant commercial space by at least 20% in
improvements.
gross leasable floor area, or relocate its
business to vacant space that is 20% larger
$150K—$2.49M
$5,000
0
match for furniture,
than its current location. (not required for
fires and equipment (FFE)
fixtures
businesses generating over $7,500,000 in
installed in the space.
annual taxable sales);
$2.5M - $4.99M
$10,000
Applicants applying for fagade or building
improvement funds are not required to
expand or relocate.
$5M - $7.49M
$15,000
Applicant's business must meet a minimum
annual taxable sales threshold of at least
$150,000/year;
$7.5M+
$205000
Applicant must file an application prior to
commencing improvements (except where
prior arrangements have been made with
them).
' See detailed eligibility criteria below.
EXISTING RETAILER INCENTIVE PROGRAM ELIGIBILITY CRITERIA
(i) The program is open to any existing McHenry sales -tax revenue generating business that
will:
a. Expand its current location into vacant space by at least 20% in gross leasable
floor area (not required for businesses generating over $7, 500, 000 in annual
taxable sales), or
b. Relocate to vacant space that is 20% larger than its current location, in a new
building or into a different existing building not within the same shopping center
(not required for businesses generating over $7,500, 000 in annual taxable sales),
or
c. Complete facade or building improvements to the existing space.
CiTv of MCHENRY— Economic Development Department
333 S Green Street, MCHENRY, IL 60050
815.363.2110 or 815.363.2175 — www.CityofMcHenry.org
City of McHenry Commercial Tenant Incentive Grant
(ii) Applicants must meet a minimum annual taxable sales threshold of at least $150,000 over
the previous 12-month period prior to the date of application.
(iii) Applicant's business must provide a stocked retail showroom for products.
(iv) Applicant must provide written proof of fagade or building construction costs and/ or FFE
costs.
(v) Applicants applying for funds for fagade or building improvements must pay prevailing
wages.
(vi) The grant award amount cannot exceed 50% of the applicant's expenditures on eligible
furniture, fixtures, and equipment.
(vii) Applicant must file an application for grant funding prior to commencing improvements
(except where prior arrangements have been made with them).
(viii) Grant recipient may re -apply after 10 years from the date of recipient's previous award.
(ix) Award calculation may include both fagade or building construction and FFE costs, up
to maximum award amount.
(x) Eligible FFE includes, but is not limited to; shelving, racks, tables, chairs, point -of --sale
systems, fixed computer equipment used in business operation, office furniture, and
appliances.
(xi) Fagade and building improvements must comply with all applicable codes and ordinances.
(xii) Eligible fagade improvements include, but are not limited to; exterior brick cleaning;
exterior tuck pointing; exterior painting; wall fagade construction, repair, and treatments
original exterior architectural features repair or replacements interior/exterior demolitions
and building renovation to interior/exterior.
(xiii) Approved applicants shall be required to maintain their improvements and the FFE for
the duration of the Grant Agreement with the City of McHenry, which shall be at least
five years after receiving the funding.
Eligible Properties and Applicants
All retail -operated, sales tax revenue -generating businesses in the City of McHenry are eligible
for the Commercial Tenant Incentive Programs. Applicants who apply for funding after
commencing the improvements are ineligible (except where prior arrangements have been made
with them.) Retailers who apply for grant funding must provide a retail show -room open to the
public and cash-and-carry retail services to their customers.
Businesses filing applications must meet a minimum annual taxable sales threshold of $150,000
to be eligible for grant funding. New business applicants shall provide sales projections withtheir
applications. The City of McHenry will verify minimum taxable sales thresholds are met using
Illinois Department of Revenue reports. The sales data can be verified approximately fifteen
months after the business opens.
CITtrOF MCHENRY— Economic Development Department
333 S Green Street, MCHENRY, IL 60050
815.363.2110 or 815.363.2175 — www.CityofMcHenry.orq
City of McHenry
Commercial Tenant Incentive Grant
Any building with a zoning, building code, or fire/safety code violation is not eligible for the
program. Any commercial building owner, or business owner (tenant) with building owner
authorization (a lease or other agreement), may apply for the grant. Grant recipients can re -file a
subsequent grant application no sooner than 10 years from the original grant approval date.
Ineligible Projects
The Commercial Tenant Incentive Grant Program will not provide funds for working capital,
debt refinancing, inventory acquisition, application fees, permit fees, legal fees, or signage.
Grant Agreement
As a condition of the award of grant funds, eligible and approved applicants will be required to
enter into an agreement with the City in a form to be approved by the City. The Agreement will
contain terms and conditions of any grant award which would be made, including a requirement
that the applicant repay some or all of the grant money in the event that the business for which
the grant was approved does not remain in continuous operation for at least five years. The
sample form of Grant Agreement attached to this application form contains sample provisions of
the Grant Agreement and is for reference only, please do not file this document with your
application, as it is only a sample. In the event that it is determined that you are eligible for a grant
award, an original form of Grant Agreement will be provided to you by the City.
Administration
Applicants are encouraged to submit complete applications to City Hall in person or via e-mail.
Applications for the City's grant programs will be accepted on a first -come, first -served basis.
Only completed applications that include all required submittal documents and information will
be accepted. The City's Finance and Personnel Committee will review the application for
accuracy and will determine if it meets the requirements for funding.
If the application is determined to meet the requirements of the program, the application will be
forwarded to City Council for review. If the application receives City Council approval, the
applicant must enter into an agreement with the City. Matching grant funds will only be
disseminated to the applicant after the following items are completed:
A) Documented proof regarding the payment of the construction costs for materials and
labor for facade or building improvements and that prevailing wages were paid is
submitted;
B) The furniture, fixtures, and equipment have been purchased and implemented within the
business;
C) Receipts and cancelled checks or credit card statements for the purchase of the approved
furniture, fixtures, and equipment are submitted;
D) The applicant has received a final certificate of occupancy and is open for business.
E) One-year of sales tax data has been collected, verified and reported to the State of Illinois.
If grant funding for a current funding cycle is completely distributed, applicants may be placed
on a waiting list to be considered for a grant when funds become available.
Ciry of MCHENRY— Economic Qevelopment Department
333 S Green Street, MCHENRY, IL 60050
815.363.2110 or 815.363.2175 — www.Citj.W M enry.org
City of McHenry
Commercial Tenant Incentive Grant
lZuestions
k grant application and submittal requirements are included with this packet. If you have further
questions regarding the Incentive Programs, please contact the City of McHenry Economic
Development Department.
CiTv of MCHENRY— Economic Development Department
333 S Green Street, MCHENRY, IL 60050
815.363.2110 or 815.363.2175 — www.CityofMcHenry.org
CITY OF MCHENRY
Commercial Tenant Incentive
GrantApplication
Please completely frll out this application and retzn•n it to the Cit}� ofMcHenry with the items listed in the
checklist on page 2.
Applicant
Information
Name
one
Mailing Address
Fax
Email
Federal Tax ID#
Property
Information
Address for building for which grant is sought:
Property Identification Number(s)
Phone
Check one:
New business occupying vacant retail space
❑ Existing retail business malting improvements to my building or tenant space
Description of finniture, frrinres, and equipf�ient to be utilized:
Continued on the next page
CITVOF MCHENRY—Economic Development Department,
333 S Green Street, MCHENRY, IL 60050
PH 815.363.2110 or 815.363.2175 — vdww.CityofMcHenry.Org
Application Checklist
The following items must be submitted with the Incentive Application form (Page 1):
Completed and signed McHenry Incentive Grant Application;
Written estimates for the furniture, fixtures, and equipment to be purchased;
Written estimates for the fagade or building improvements,
A floor plan, illustrating the locations for the furniture, fixtures, and equipment (drawings
do not have to be architectural renderings, but should be to scale so that the City can
understand the scope of the proposed project);
Written description of the scope of the proposed project (letter to the Mayor and City
Council);
Taxable sales records and/or projections.
I agree to comply with the guidelines and standards of the City of McHenry Commercial Tenant
Incentive Program and I understand that this is a voluntary program, under which the City has
the right to approve or deny any project or proposal or portions thereof.
Applicants) Signature
Cinr of MCHENRY—Economic Development Department
333 S Green Street, McHenry IL 60050
PH 815.363.2110 or 815.363.2175 www.CityOfMcnenry,org
Date
CITY OF MCHENRY
Commercial Tenant
Incentive Grant Agreement
THIS AGREEMENT, entered into this day of ,
between the City of McHenry, an Illinois Municipal Corporation (hereinafter referred to as
"CITY") and , the following designated
business owner, (hereinafter referred to as "OWNER"), to witness.
Business Owner's Name:
Name of Business:
Federal Tax ID#:
Address of Property where the business will be located:
PIN Number(s):
WITNESSETH:
WHEREAS, the City of McHenry ("the City") has created grant programs, malting
certain grant funding available for new and existing retail businesses in the City (the "Grant
Program"); and
WHEREAS, the Grant Program is administered by the City and is funded by the general
fund for the purpose of enhancing economic development opportunities in the City; and
WHEREAS, the Grant Program was created for the purpose of reimbursing business
owners who occupy vacant retail space, construct new bungs, or make improvements to their
existing space within the City limits of McHenry, subject to eligibility requirements and grant
parameters and limitations set forth in the Grant Program; and
WHEREAS, the Owner operates a (new/existing) retail business within the corporate
limits of the City, commonly known as
he "Retail Business") and located at , McHenry,
Illinois (the "Property");
WHEREAS, the Owner has applied fora (New Retailer Incentive Grant/Existing
Retailer Incentive Program Grant) (the "Grant"); and
WHEREAS, the City has determined that the Owner is eligible for the Grant, subject to
the conditions and limitations set forth in the Grant Program and this Agreement;
NOW THEREFORE, in consideration of the mutual covenants and agreements obtained
herein, the CITY and the OWNER do hereby agree as follows:
CITY OF MCHENRY -Economic Development Department,
333 S Green Street, MCHENRY, IL 60050
PH 815036362110 or 815.363.2175 -
WWW.CITYOFMCHENRY.ORG
Incentive Grant Agreement
Page 2
The City shall reimburse the Owner at a rate of fifty percent (50%) for the cost of eligible
FFE or fagade or building improvement expenses incurred by the Owner for use in the Owner's
Business.
The total amount of all reimbursements paid by the City pursuant to this Agreement shall not
exceed $
SECTION 2
The City approval of a grant shall not be construed as permission to commence
construction on the subject property. No improvements or construction shall be undertaken by
the Owner on the location of their business until applications for Building Permits and
Occupancy have been submitted to the Community Development Department and approved by
the City. Following approval, the Owner shall occupy the subject property and commence full-
time business operations within one hundred eighty days (180) from the date of City Council
approval. The Owner may request a ninety -day (90) extension provided there is a demonstrated
hardship.
SECTION 3
Upon completion of the improvements and upon their final inspection and approval by
the Community Development Department, the Owner shall submit to the City properly executed
documentation, including, receipts and cancelled checks for the purchase of the approved FIFE,
proof of payment for the fagade or building improvements including labor and materials with
wages paid and a copy of a final Certificate of Occupancy for the business. The City shall, after
having received one year of sales tax data from the State of Illinois, issue a check to the Owner
as reimbursement for one-half of the expenses approved by the City for reimbursement, subject
to the limitations set forth in Section 1 hereof.
SECTION 4
If the Owner fails to purchase furniture, fixtures, or equipment or complete the facade
or building improvements consistent with the conditions of the approval by the Mayor and City
Council, then upon written notice being given by the City to the Owner, by certified mail to the
address listed above, this Agreement shall terminate and the financial obligation on the part of
the City shall cease and become null and void.
SECTION 5
Upon completion of the improvements, Owner shall be responsible for properly
maintaining the FFE or facade without change or alteration thereto, as provided in this
Agreement for a period of five (5) years following completion of the construction and/or
business commencement.
SECTION 6
This Agreement shall be binding upon the CITY and upon the OWNER and its
successors, to said property for a period of four (4) years from the date the check has been
issued to the applicant. It shall be the responsibility of the OWNER to inform subsequent
ONERS) of the provi Wsions of this Agreement.
CITY OF MCHENRY— Economic Development Dept.
333 S Green Street, MCHENRY, IL 60050
PH 815.363.2110 or 815.363.2175 -
WWW.CITYOFMCHENRV.ORG
Incentive Grant Agreement
Page 3
In the event that at any time, subsequent to the reimbursement payment required by this
Agreement have been paid by the City, the Owner abandons, closes, transfers, sells or terminates
the Retail Business Owner's business upon the Property during the four (4) year term of this
Agreement (hereinafter collectively referred to as the "Terminating Event"), the Owner shall,
within thirty (30) days from the date of the Terminating Event or such later date as the City may
agree to in writing (hereinafter, the "Refund Payment Due Date"), refund to the City a portion of
the Grant received from the City prior to the Terminating Event, in accordance with the
following schedule (hereinafter, the "Refund Payment"):
Date of Terminating Event % of the Total Grant Payment to be Refunded
Within one year of the agreement date 75%
Within two years of the agreement date 50%
Within three years of the agreement date 25%
Such Refund Payment shall be paid to the City within thirty (30) days from the date of the
Terminating Event (hereinafter, the "Refund Payment Due Date").
Owner agrees on its own behalf and on behalf of its heirs, successors, and assigns that the City's
right to the Refund Payment pursuant to this paragraph shall constitute both a personal obligation
of the Owner and a lien against the Property and Owner agrees that the City may record this
Agreement with the McHenry County Recorder of Deeds. To further secure the repayment of
Reimbursement Payments pursuant to this paragraph, Owner agrees to execute and deliver to the
City a UCC financing statement, in a form acceptable to the City Attorney, pledging inventory,
accounts held at financial institutions, accounts receivables, and such other assets of the Owner
as the parties may agree to in writing, and Owner further consents to the filing and/or recording
of such fmancing statements as may be appropriate under the laws of the State of Illinois. Such
I statement shall be delivered to the City upon request.
SECTION 7
The Owner releases the City from, and covenants and agrees that the City shall not be
liable for, and covenants and agrees to indemnify and hold harmless the City and its officials,
officers, employees, and agents from and against any and all losses, claims, damages, liabilities,
or expenses, of every conceivable kind, character and nature whatsoever arising out of, resulting
from or in any way connected directly or indirectly with the furniture, fixtures, and equipment,
and/or employees hired for the Retail Business. The Owner further covenants and agrees to pay
for or reimburse the City and its officials, officers, employees, and agents for any and all costs,
reasonable attorney's fees, liabilities, or expenses incurred in connection with investigating,
defending against or otherwise in connection with any such losses, claims, damages, liabilities,
or causes of action. The City shall have the right to select legal counsel and to approve any
settlement in connection with such losses, claims, damages, liabilities, or causes of action.
IN WITNESS THEREOF, the parties hereto have executed this Agreement on the date first
appearing above.
CITY OF MCHENRY— Economic Development Dept.
333 S Green Street, MCHENRY, IL 60050
PH 815.363.2110 or 815.363.2175 -
WWW.CITYOFMCHENRY.ORG
Improvement Grant Agreement
OWNER
CITY OF MCHENRY
ATTEST:
CITY OF MCHENRY-Economic Development Dept.
333 S Green Street, MCHENRY, IL 60050
PH 815.363.2110 or 815.363.2175
WWW.CITYOFMCHENRY.ORG
CITY OF MCHENRY
ECONOMIC DEVELOPMENT COMMISSION
2020 SCHEDULE OF REGULAR MEETINGS
4:00 p.m. Tuesday
City Council Chambers
333 S Green Street
January 28, 2020
March 24, 2020
May 26, 2020
July 28, 2020
September 22, 2020
November 17, 2020
Rob Jessup, Chailinan,
Economic Development Commission
The City of McHenry is dedicated to providing the citizens, businesses and visitors of McHenry with the highest quality of
programs and services in acustomer-oriented, efficient and fiscally responsible manner.