HomeMy WebLinkAbout11- 2LT, LLC and NSURB for demolition funding at 654 N. 7th Ave.PARTICIPATION AGREEMENT BETWEEN 2I,T, LLC AND NSURB FOR DEMOLTION FUNDING
AT 654 N. 7" AVENUE
This Development Agreement is executed by and between 2LT, LLC, 706 N. 7"' Avenue, Bozeman, Montana
59715, hereinafter referred to as "APPLICANT'', the City of Bozeman, hereinafter referred to as "City' and the
N. 7"' Urban Renewal Board, hereafter referred to as the "NSURB ".
WITNESSETH:
WHEREAS the NSURB, in accordance with provisions of Montana Urban Renewal Law (Title 7,
Chapter 15, Parts 42 and 43, M.C.A.) and under the authority vested in it through Bozeman City
Commission approval of Resolution 44307, has approved N. 7"' Redevelopment Incentive Program
(Hereinafter referred to as "N7Rehab ") in order to redevelop and rehabilitate blighted areas within the N.
7 "' Urban Renewal District (hereinafter referred to as "NSURD "); and
WHEREAS, the APPLICANT is the owner of the property located at 654 N. 7 "' Avenue and said property
is located within the boundary of NSURD; and
WHEREAS, the APPLICANT plans to demolish existing foundation and related concrete material in
order to prepare the lot for redevelopment (Planning file number Z- 10324) at this address (hereinafter
referred to as the "Project "); and
WHEREAS, the APPLICANT desires to participate in the N7Rehab and has fulfilled all necessary
N7Rehab application requirements; and
WHEREAS, NSURB has detennined that 50% of the eligible demolition costs, not to exceed $17,500, is
the maximum grant amount allowable within the N7Reliab guidelines and application; and
WHEREAS, the NSURB approved the APPLICANT's N7Rehab request on April 7, 2411 for the project.
NOW, THEREFORE, for and in consideration of the promises and agreements contained herein, the
parties do mutually stipulate and agree as follows;
Article I. APPLICANT Responsibilities
Section 1. APPLICANT agrees to undertake rehabilitation of the commercial property at 654 M 7 "'
Avenue, legally described as lots 6 R 7, Block 1, North 7 ° ' Addition, City of Bozeman, Gallatin
County, Montana pursuant to the Project as described in the N7Rehab application received and
approved by the NSURB, a copy of which is on file at the NSURB staff offices and incorporated
herein by reference, The APPLICANT certifies that the representations, statements, and other
matters contained in the N7Rehab application are true and complete in all material respects as of
the date of submission.
Section 2. APPLICANT agrees to construct the Project in accordance with the Project proposal
(Final Site Plan #Z- 10329) and application as presented to and approved by the NSURB and in
accordance with all applicable ordinances, regnzlations and codes. Further, APPLICANT agrees to
NSURB Padicipation Agreement between
The CITY. NSURB and 2LT, LLC
Page 1
obtain all other pen approvals, and licenses as may be required by local, state or federal law,
ordinance, or regulation.
Section 3. APPLICANT agrees that grant funds are for removal of concrete foundation and related
asphalt and debris, and funds shall not be expended for partial demolition, site grading, or for
removal or disposal of contaminated soils, debris or materials.
Section 4. APPLICANT agrees to undertake the Project using only contractors and subcontractors
who are licensed and bonded to do business in the City of Bozeman.
Section 5. APPLICANT agrees that grant funds shall not be paid until project completion. In
addition, APPLICANT agrees to complete construction of the Project by December 31, 2011, in
accordance with the plans and materials submitted within the N7Rehab application pursuant to the
aforementioned design plan as presented to the NSURB. In addition, APPLICANT agrees that any
incomplete landscaping improvements must be financially guaranteed as outlined by the
Improvements Agreement with the City of Bozeman and must be installed by September 30, 2012
or by the due date specified by the Improvements Agreement, whichever comes first. In addition,
APPLICANT agrees that they may not use N7Rehab grant as financial guarantee for any
outstanding site improvements for which the Improvements Agreement is entered.
Section 6. In the event that the Project is not completed in its entirety by September 30th, 2012, . in
compliance with the terms of this agreement and the Tax Increment (N7Rehab) Application., the
Developer and its individual partners understand the responsibility for, and by the execution of this
Agreement, hereby guarantee both jointly and severally complete repayment to the NSURB of all
those Tax Increment monies expended on the project described herein within thirty (30) days of
written demand for payment plus any court costs, attorney fees and collection fees expended by
NSURB to secure repayment of said monies.
Section 7. APPLICANT agrees to indemnify and hold NSURB and the City of Bozeman harmless
from any and all legal .liability, claims or actions resulting from any occurrence arising out of, or
related to, the Project including, but not limited to, hazardous materials contamination of the air,
soil, or groundwater. Hazardous materials shall include asbestos, petroleum products, and any
other material or chemical that has been found to be hazardous to humans, animals, or plants by the
State of Montana or the United States Environmental Protection Agency,
Section 8 . The APPLICANT will not discriminate on the basis of race, color, religion, creed,
political ideas, sex, age, marital status, national origin or disability in employment or provision of
services. The APPLICANT shall be subject to and comply with Title 'VI of the Civil Rights Act of
1964, Section 140 Title 2, United States Code, and all regulations promulgated thereunder.
Section 9. Upon completion of Project construction, the APPLICANT shall timely provide the
NSURB with copies of paid invoices for labor and materials used on the Project. In addition, the
APPLICANT shall inspect and approve the work and notify the NSURB by submitting a Request
for Funds which states that the project is satisfactorily completed and compliant with all terms and
NSURB Participation Agreement between
The CITY, NSURB and 2LT, LLC
Page 2
conditions of the participation agreement, said Request incorporated herein and attached to this
Agreement,
Article II. CITY and NSURB "s Responsibilities
Section 1. The CITY and NSURB has received the APPLICANT's N7Rehab application and
determined certain rehabilitation activities to be in compliance with the N7Rehab objectives and
eligible for an N7Rehab grant.
Section 2, The CITY and NSURB will monitor the Project to ensure compliance with the N7Rehab
objectives,
Section 3, Upon receipt of all Project labor and material paid invoices and receipt of Request for
Funds from the APPLICANT, the CITY and NSURB shall undertake a final inspection of the
Project to determine compliance with the N7Rehab objectives.
Section 4. Within 30 days after NSURB determines compliance with the N7Rehab objectives and
receipt of evidence of paid invoices, if acceptable to the CITY and NSURB, the CITY shall process
a claim with the City Finance Office in an amount not to exceed 50% of the total eligible
demolition costs up to Seventeen thousand five hundred dollars (S17,500), as authorized for the
Project by the NSURB Board on April 27, 2010, for release of funds as an N7Rehab reimbursement
to the APPLICANT,
Section 5. Upon the release of said funds, the CITY and NSURB will close out the N7Rehab
application and be absolved of any further responsibility to this Agreement.
Article III. General Conditions
Section 1. This Agreement may be amended in writing if any of the conditions herein stated are
altered, subject to the review and written approval of all parties hereto.
Section 3. The project must undergo and pass a] I required and necessary inspections by the City of
Bozeman and any other applicable federal, state and local agency in addition to any other
inspections required by law to be completed prior to completion of the Project and before the
N7Rehab grant is dispersed.
Section 4. The NSURB and the City of Bozeman shall have no civil liability whatsoever for any of
the APPLICANT's actions, omissions, or undertakings related to t his project. APPLICANT
accepts and agrees to be responsible to ensure all contractor or sub - contractors have adequate
liability, worker's compensation, and property insurance for any work performed on the Project.
Section 5. This Participation Agreement is executed n two (2) identical original copies
NSURB Participation Agreement between
The CITY, NSURB and 2LT, LLB'
page 3
IN WITNESS WHEREOF, the undersigned representatives of the participating parties have hereunto
executed this Agreement.
APPLICANT
21-T, LLC
NSURB
N. 7 TH AVENUE URBAN RENEWAI, BOARD
Hillard O. Thornton, 2LT, LI-C is ie 6 o e - NSURB Board (Chairman
CITY OF BOZEMAN
STATE OF MONTANA)
) ss,
County of Gallatin
'y XAA I
Chris Kukulski, City Manager
On this day of 2011, before me the undersigned, a Notary Public for the
State of Montana, personally appeared B 'FHORNTON of 21,T, LLC, known to me to be the person
whose name is subscribed to the within instrument and acknowledged to me that lie executed the same,
IN WITNESS WHEREOF, I have hereunto set my hand and affixed my Notarial Sea], the day and year
first above written.
(Sea])
TARIA
SFAL.-
STATE OF MONTANA)
) ss.
NSURB Participation Agreement between
The CITY, NSURB and 21-T, LLC
page 4
County of Gallatin
Oil this day of 201 before me the undersigned, a Notary Public for the
State of Montana, personally appeared MICHELLE WOLFE known to me to be the person whose name is
subscribed to the within instrument and acknowledged to me that he executed the same.
IN WITNESS WHERE-OF, I have hereunto set my hand and affixed my Notarial Sea], the day and year
first above written.
(Sea])
z
SOL.
2,
STATE OF MONTANA)
) ss.
County of Gallatin
I k'.Q
(Signature)
a'c 0'-
(Print Name)
Notary Public for the State of Montana
Residing at 1�� Wnft"
My commission expires -
On this day of 201 before me the undersigned, a Notary Public for the
State of Montana, personally appeared CH41S KUKULSKI known to me to be the person whose name is
subscribed to the within instrument and acknowledged to me that he executed the same,
IN WITNESS WHEREOF, I have hereunto seti hand and affixed my Notarial Seal, the day and year
first above written,
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NSURB Participation Agreement between
The CITY, NSURB and 21-T, LLC
Page 5
Notary Public for the State of Montana
Residing at T, I Ak. � I
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My commission ' i
4:: �u
URBAN RENEWAL BOARD
Project Name:
Date Submitted:
APPLICANT
APPLICANT
Property Address:
ATTACHMENT" "A" N7REHAB PROGRAM
REQUEST FOR FUNDS
This is to advise the N. 7` Avenue Urban Renewal Board (NSURB) that all improvements included in the
N7Rchab Participation Agreement dated the day of , 2011 have been completed in
accordance with the plans, design and materials as reviews and approved by the NSURB and the City of
Bozeman. The following; permits are applicable to the project hand have passed final inspection.
Permit
Date Received
I certify compliance with all terms and conditions within the N7Rehab Participation Agreement, and request
reimbursement from the NSURB for the authorized N7Rehab funds.
APPLICANT Signature
APPLICANT Signature
Date
Date
NSURB Pailicipation Agreement between
The CITY. NSURB and 21.T, LLC
Page 6