Record #: O2014-55   
Type: Ordinance Status: Passed
Intro date: 1/15/2014 Current Controlling Legislative Body:
Final action: 2/5/2014
Title: First amendment to intergovernmental agreement with Public Building Commission of Chicago regarding provision of Tax Increment Financing (TIF) assistance for construction of Chinatown Branch Library
Sponsors: Emanuel, Rahm
Topic: AGREEMENTS - Intergovernmental
Attachments: 1. O2014-55.pdf
OFFICE OF THE MAYOR
CITY OF CHICAGO
RAHM EMANUEL
MAYOR
 
 
January 15, 2014
 
 
 
 
 
 
 
 
 
 
TO THE HONORABLE, THE CITY COUNCIL OF THE CITY OF CHICAGO
 
 
Ladies and Gentlemen:
 
At the request of the Commissioner of Planning and Development, I transmit herewith ordinance amending an intergovernmental agreement with the Public Building Commission.
 
Your favorable consideration of this ordinance will be appreciated.
 
Very truly yours,
 
Mayor
 
S:\SHARED\Finance\Gaynor New\Housing & Econ Dev\Chinatown LibraryUst Amendmenttord & iga 2.doc
ORDINANCE
WHEREAS, the City of Chicago (the "City") is a home rule unit of local government under the 1970 Constitution of the State of Illinois and has the authority to promote the health, safety and welfare of its inhabitants, to furnish essential governmental services through its various departments and agencies and to enter into contractual agreements with units of local government for the purpose of achieving the aforesaid objectives; and
WHEREAS, on March 18, 1956, the City Council ofthe City (the "City Council") created the Public Building Commission of Chicago (the "Commission"), an Illinois municipal corporation, pursuant to the Public Building Commission Act ofthe State of Illinois (the "Act") for the purpose of facilitating the funding, acquiring and constructing of public buildings, improvements and facilities for use by local public agencies in the furnishing of essential governmental services; and
WHEREAS, the Commission is authorized and empowered by the Act to acquire fee simple title to real property, including easements and reversionary interests in streets, alleys and other public places, by purchase or the exercise of eminent domain, for public improvements in an area or areas that have been selected, located and approved by the governing bodies ofthe City and the Commission; and
WHEREAS, the Commission has heretofore undertaken the acquisition, construction, alteration, repair, renovation, rehabilitation and equipping of buildings and facilities for use by various public bodies including the City, the Board of Education of the City of Chicago, the Chicago Park District, and the Board of Trustees of Community College District No. 508, County of Cook and State of Illinois; and
WHEREAS, pursuant to an ordinance adopted by the City Council on February 13, 2013 (the "Ordinance"), on April 25, 2013 the City and the Commission entered into that certain Intergovernmental Agreement (the "Agreement") for the for acquisition and construction
 
 
1
 
 
(including the development of the scope, schedule, budget and conceptual design drawings) of a branch library and ancillary improvements (the "Project") at the property commonly known as 2101-15 South Archer Avenue and 2100-24 South Wentworth Avenue, Chicago, Illinois (the "Site"); and
WHEREAS, the City is authorized under the provisions of the Tax Increment Allocation Redevelopment Act, 65 ILCS 5/1-74.4-1 et seq., as amended from time to time (the "TIF Act"), to finance projects that eradicate blight conditions and conservation factors that could lead to blight through the use of tax increment allocation financing for redevelopment projects; and
WHEREAS, to induce certain redevelopment pursuant to the TIF Act, in accordance with the provisions of the TIF Act, pursuant to ordinances adopted on July 21, 1999 and February 16, 2000, the City Council: (1) approved and adopted a redevelopment plan for the 24th/Michigan Redevelopment Project Area ("Redevelopment Plan"); (2) designated the 24th/Michigan Redevelopment Project Area (the "Redevelopment Area") as a "redevelopment project area" pursuant to the Tax Increment Allocation Redevelopment Act; and (3) adopted tax increment allocation financing for the 24th/Michigan Redevelopment Project Area (the "TIF Adoption Ordinance") (items(1)-(3) collectively referred to herein as the "TIF Ordinances"); and
WHEREAS, the Site lies wholly within the boundaries of the Redevelopment Area; and
WHEREAS, under the TIF Act, such incremental ad valorem taxes which pursuant to the TIF Act have been collected and are allocated to pay redevelopment project costs and obligations incurred in the payment thereof ("Increment") may be used, among other purposes, to pay the cost of public works and improvements as well as to acquire and construct public facilities, as contemplated in a redevelopment plan, and obligations relating thereto; and
WHEREAS, pursuant to the Ordinance and the Agreement, the City made available to the Commission a portion of the Increment from the Redevelopment Area in an amount not to exceed $3,600,000 for the purpose of providing a portion of the funds required for the acquisition of the Site; and
 
2
 
 
WHEREAS, the Redevelopment Plan contemplates that tax increment financing assistance would be provided for the acquisition of real property for, and the construction thereon of public improvements, such as the Project, within the boundaries of the Redevelopment Area; and
WHEREAS, since the execution of the Agreement the amount of funds required for the acquisition ofthe Site has increased; and
WHEREAS, the City has determined that it is necessary, desirable and in the public interest to enter into an amendment to the Agreement with the Commission in substantially the form attached hereto as an exhibit (the "Amendment") pursuant to the Intergovernmental Cooperation Act of the State of Illinois in order to increase the amount of Increment from the Redevelopment Area available to the Commission for the purpose of acquiring the Site to not to exceed $6,800,000; now, therefore,
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CHICAGO: Section 1. The recitals of this ordinance are hereby incorporated into this text as if set out herein in full.
Section 2. The Commissioner of the Department of Planning and Development (the "DPD Commissioner"), the Commissioner of the Library (the "Library Commissioner"), the Commissioner of 2FM (the "2FM Commissioner") and the Budget Director, along with the City Comptroller, are each hereby authorized to execute, subject to the review of the Corporation Counsel as to form and legality, the Amendment and such other documents as are necessary, between the City and the Commission, which may contain such other terms as are deemed necessary or appropriate by the parties executing the same on the part of the City.
Section 3. The DPD Commissioner, the Library Commissioner, the Budget Director, and the 2FM Commissioner and their respective designees, along with the City Comptroller, are each authorized to execute such additional documents, information, assurances and certifications and to take such additional actions in connection with the Project as may be
 
3
 
 
necessary or required pursuant to the Amendment as contemplated therein.
Section 4. To the extent that any ordinance, resolution, rule, order or provision of the Municipal Code of Chicago, or part thereof, is in conflict with the provisions of this ordinance, the provisions of this ordinance shall be controlling. If any section, paragraph, clause or provision of this ordinance shall be held invalid, the invalidity of such section, paragraph, clause or provision shall not affect any of the other provisions of this ordinance.
 
Section 5. This ordinance shall take effect upon its passage and approval.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
4
 
 
EXHIBIT
 
FIRST AMENDMENT TO INTERGOVERNMENTAL AGREEMENT BETWEEN THE CITY OF CHICAGO AND THE PUBLIC BUILDING COMMISSION OF CHICAGO
(CHINATOWN BRANCH LIBRARY)
This First Amendment to Intergovernmental Agreement (the "Amendment"), dated as of
      , 2014 is made by and between the City of Chicago, an Illinois
municipal corporation, having its principal offices at City Hall, 121 North LaSalle Street,
Chicago, Illinois 60602 (the "City"), and the Public Building Commission of Chicago, an Illinois
municipal corporation, having its offices at the Richard J. Daley Center, Room 200, Chicago,
Illinois 60602 (the "Commission").
RECITALS
WHEREAS, the City of Chicago (the "City") is a home rule unit of local government under the 1970 Constitution of the State of Illinois and has the authority to promote the health, safety and welfare of its inhabitants, to furnish essential governmental services through its various departments and agencies and to enter into contractual agreements with units of local government for the purpose of achieving the aforesaid objectives; and
WHEREAS, on March 18, 1956, the City Council of the City (the "City Council") created the Public Building Commission of Chicago (the "Commission"), an Illinois municipal corporation, pursuant to the Public Building Commission Act of the State of Illinois (the "Act") for the purpose of facilitating the funding, acquiring and constructing of public buildings, improvements and facilities for use by local public agencies in the furnishing of essential governmental services; and
WHEREAS, the Commission is authorized and empowered by the Act to acquire fee simple title to real property, including easements and reversionary interests in streets, alleys and other public places, by purchase or the exercise of eminent domain, for public improvements in an area or areas that have been selected, located and approved by the governing bodies ofthe City and the Commission; and
 
5
 
 
WHEREAS, the Commission has heretofore undertaken the acquisition, construction, alteration, repair, renovation, rehabilitation and equipping of buildings and facilities for use by various public bodies including the City, the Board of Education of the City of Chicago, the Chicago Park District, and the Board of Trustees of Community College District No. 508, County of Cook and State of Illinois; and
WHEREAS, pursuant to an ordinance adopted by the City Council on February 13, 2013 (the "Ordinance"), on April 25, 2013 the City and the Commission entered into that certain Intergovernmental Agreement (the "Agreement") for the for acquisition and construction (including the development of the scope, schedule, budget and conceptual design drawings) of a branch library and ancillary improvements (the "Project") at the property commonly known as 2101-15 South Archer Avenue and 2100-24 South Wentworth Avenue, Chicago, Illinois (the "Site"); and
WHEREAS, the City is authorized under the provisions of the Tax Increment Allocation Redevelopment Act, 65 ILCS 5/1-74.4-1 er seg., as amended from time to time (the "TIF Act"), to finance projects that eradicate blight conditions and conservation factors that could lead to blight through the use of tax increment allocation financing for redevelopment projects; and
WHEREAS, to induce certain redevelopment pursuant to the TIF Act, in accordance with the provisions of the TIF Act, pursuant to ordinances adopted on July 21, 1999 and February 16, 2000, the City Council: (1) approved and adopted a redevelopment plan for the 24th/Michigan Redevelopment Project Area ("Redevelopment Plan"); (2) designated the 24th/Michigan Redevelopment Project Area (the "Redevelopment Area") as a "redevelopment project area" pursuant to the Tax Increment Allocation Redevelopment Act; and (3) adopted tax increment allocation financing for the 24th/Michigan Redevelopment Project Area (the "TIF Adoption Ordinance") (items(1)-(3) collectively referred to herein as the "TIF Ordinances"); and
WHEREAS, the Site lies wholly within the boundaries of the Redevelopment Area; and
 
 
 
6
 
 
WHEREAS, under the TIF Act, such incremental ad valorem taxes which pursuant to the TIF Act have been collected and are allocated to pay redevelopment project costs and obligations incurred in the payment thereof ("Increment") may be used, among other purposes, to pay the cost of public works and improvements as well as to acquire and construct public facilities, as contemplated in a redevelopment plan, and obligations relating thereto; and
WHEREAS, pursuant to the Ordinance and the Agreement, the City made available to the Commission a portion of the Increment from the Redevelopment Area in an amount not to exceed $3,600,000 for the purpose of providing a portion of the funds required for the acquisition of the Site; and
WHEREAS, the Redevelopment Plan contemplates that tax increment financing assistance would be provided for the acquisition of real property for, and the construction thereon of public improvements, such as the Project, within the boundaries of the Redevelopment Area; and
WHEREAS, since the execution of the Agreement the amount of funds required for the acquisition of the Site has increased; and
WHEREAS, the parties have determined that it is necessary, desirable and in the public interest to enter into this Amendment to the Agreement pursuant to the Intergovernmental Cooperation Act of the State of Illinois in order to increase the amount of Increment from the Redevelopment Area available to the Commission for the purpose of acquiring the Site to not to exceed $6,800,000; now, therefore,
NOW, THEREFORE, in consideration of the mutual covenants and agreements contained herein, the parties hereby agree as follows:
 
 
 
 
 
 
 
 
 
 
7
 
 
DEFINITIONS
All references in the Agreement to the "Department of Housing and Economic Development" are hereby amended to the Department of Planning and Development, and all references to "DHED" are hereby amended to DPD. Otherwise, for purposes of this Amendment all capitalized terms shall have the meanings assigned in the Agreement.
SECTION I
INCORPORATION OF RECITALS AND DEFINITIONS
The recitations and definitions set forth above constitute an integral part of the
Amendment and are hereby incorporated herein by this reference with the same force and
effect as if set forth herein as agreements of the parties.
SECTION II AMENDMENTS TO AGREEMENT
2.1.    The amount of Increment from the Redevelopment Area available to the
Commission for the purpose of acquiring the Site is hereby increased by $3,200,000 from not to
exceed $3,600,000 to not to exceed $6,800,000.
  1. Exhibit B to the Agreement is hereby deleted in its entirety and replaced with Amended Exhibit B attached hereto and hereby incorporated herein.
  2. Except as amended hereby the Agreement remains in full force and effect.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
8
 
 
IN WITNESS WHEREOF, the parties hereto have executed or caused this First
Amendment to Intergovernmental Agreement between the City of Chicago and the Public
Building Commission of Chicago regarding the Chinatown Branch Library to be executed, all as
of the date first written above.
CITY OF CHICAGO .
By:      
City Comptroller
 
By:      
Commissioner Chicago Public Library
 
By:      
Commissioner
Department of Planning and Development
 
By:      
Commissioner
Department of Fleet and Facility Management
 
By:      
Budget Director
Office of Budget and Management
 
 
PUBLIC BUILDING COMMISSION OF CHICAGO
 
By:      
Executive Director
 
 
Approved as to form and legality for the Public Building Commission of Chicago:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
9
 
 
AMENDED EXHIBIT B AMENDED PROJECT BUDGET (Chinatown Branch Library)
 
(See Attachment)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
1
 
 
PRELIMINARY PROJECT BUDGET
 
'ublic Building Commission of Chicago • Richard J. Daley Center • 50 West Washington, Room 200 • Chicago, Illinois 60602 • Tel: 312-744-3090 • Fax:312-744-800
 
Division: Chicago Public Libraries Project:   Chinatown Library Address: 2100-2110SWentworth Ward/Aid.: 25th / Solis
Project Number: 08150
Date: 12/30/2013 PM: Edward Bark
 
 
Cost Codes
GL Code
Group Headings
Original Undertaking (Submitted as rollup 10/31/12)
Revised Undertaking ($6.8M Land Acq. & Other Related Costs)
Comments
 
 
Building Square Footaqe
20,064
16,000
 
I
 
Planning
 
 
 
 
 
Sub-Total
$47,900
$23,245
Phase I Environmental Evaluation, LEED Registration, Traffic Study, Site Survey
II
 
Land Acquisition & Site Control
 
 
 
 
 
Sub-Total
$4,228,049
$7,027,500
 
III
 
Environmental and Site Preparation
 
 
 
 
 
Sub-Total
$1,004,825
$203,950
Phase II Environmental, Geotechnical Testing, Environmental Remediation & Site preparation
IV
 
Design "■■
 
 
 
 
 
Sub-Total
$768,000
$274,610
Design Architect Fees, AOR Basic Services Fees, Commissioning Agent, Storm Water Review, Zoning Review
V
 
Project Implementation
 
 
 
 
 
Sub-Total
$1,337,201
$1,067,180
Project Management, Pre-Bid Advertising, Document Reproductiion, Affirmative Action Consulting, PBC Administration
VI
 
Construction
 
 
 
 
 
Sub-Total
$8,214,026
$10,203,514
Testing and Inspection, General Construction, Allowances, Contract Contingency, Construction Contingency
 
 
 
 
 
 
IX
 
User Agency Budget
 
 
 
 
 
Sub-Total
$346,153
$346,153
Client Art, Client FF+E, Client Telecom, Library Relocation
 
 
 
 
 
 
 
$    3,600,000 1 $ 6,800,000
USES:
Land Acq. & Other Related Costs
 
All Other Costs $ 12,000,001   $ 12,000,000
 
SOURCES:
Original TIF $  15,600,000      $      15,600,000
Additional TIF _$      1      $      3,200,000
TOTAL TIF $  15,600,001      $      18,800,000
 
 
 
 
 
 
Dale Printed-1/9/2014 10 38 AM
File Code Here BGT_PBC_EHB_08150 ChinatownLibraryBudgetRollup_20131231 xlsx      1 of 1