2026-014 Ordinance - Laserfiche WebLink

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Section 5.1 Creation of TIF Incentives. The City and Developer acknowledge and agree that the parties are contemplating tax increment financing for the Development to fund construction costs of certain improvements to the Development Site by and through the 5709.41 TIF Statutes. The City and Developer agree to use their best efforts to pursue the adoption by the City Council of the Conveyance Ordinance and TIF Ordinance (as defined and as described in this Article V) in order to implement tax increment financing for all of the Development Site. The City and the Developer will make their best efforts to cause the City Council to consider the Conveyance Ordinance no later than r I and the TIF Ordinances no later than 1 1. The City and Developer shall agree upon the form of the TIF Ordinance. The Service Payments collected pursuant to the TIF Ordinance shall be applied in accordance with this Agreement, and any Tax Increment Financing Agreement, which shall be consistent with the terms of this Agreement. Section 5.2 TIF Ordinance. The City will pursue, as required by the 5709.41 TIF Statutes, (a) the adoption of an ordinance by the City Council authorizing the City to take title to the TIF Property pursuant to the City's urban redevelopment activities and then to re -convey the TIF Property to or at the direction of Developer (the "Conveyance Ordinance"), and (b) the adoption of an ordinance by the City Council that creates tax increment financing incentives pursuant to Ohio Revised Code Section 5709.41 with respect to the TIF Property (the "TIF Ordinance"). Neither the City nor Developer will permit third parties to access the TIF Property during the City's period of ownership. After adoption of the Conveyance Ordinance, and prior to the adoption of the TIF Ordinance, and subject to the Developer's indemnification of the City, Developer and the City will enter into a mutually acceptable agreement to convey, or cause the conveyance of, title to the TIF Property to the City and the City will re -convey title to the TIF Property to or at the direction of Developer by quitclaim deed for the further development of the Development Site in accordance with this Agreement. The City will cause the TIF Ordinance to (i) declare one hundred percent (100%) of the increase in the assessed value of the TIF Property subsequent to the acquisition of the TIF Property by the City (the "Improvements") to be a public purpose and exempt from taxation for a period of up to thirty (30) years in accordance with the TIF Statutes, and (ii) specify that payments in lieu of taxes provided for in Ohio Revised Code Section 5709.42 shall be paid to the School District in the amount of the taxes that would have been payable to the School District if the Improvements had not been exempted from taxation. The exemption provided for under the TIF Ordinance shall not take effect as to the Improvements for each parcel included within the TIF Ordinance until the first tax year an Improvement to such parcel attributable to a new structure appears on the tax list and duplicate for such parcel. Section 5.3 Covenants to Make Pavments in Lieu of Taxes with Respect to the Provertv. (a) For the period that all or part of the Improvements are exempt from real property taxation (the "Exemption Period") pursuant to the TIF Statutes, and pursuant to the TIF Ordinance, the owner of any portion of the TIF Property shall make semiannual Service Payments. Such Service Payments shall be made semiannually to the Cuyahoga County Fiscal Officer (or to his or her designated agent for collection of the Service Payments) on or before the date on which real property taxes would otherwise be due and payable for the Improvements. Any late Service Payments shall bear interest and shall be subject to penalties at the same rate and in the same amount and payable at the same time as delinquent taxes. Each semiannual -7- 19575939-4