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Record #: O2021-2175   
Type: Ordinance Status: Passed
Intro date: 5/26/2021 Current Controlling Legislative Body: Committee on Finance
Final action: 6/25/2021
Title: Intergovernmental agreement with Chicago Park District to provide tax incremental financing (TIF) funds for development of pocket park at Park 594 at 3159 S Halsted St
Sponsors: Lightfoot, Lori E.
Topic: AGREEMENTS - Intergovernmental
Attachments: 1. O2021-2175.pdf
OFFICE OF THE MAYOR
CITY Ol CHICAGO
LOR! 17 IJG1ITFOOT MAYOR
May 26. 2021










TO THE HONORABLE, THE CITY COUNCIL OF THE CITY OF CHICAGO


Ladies and Gentlemen:

At the request ofthe Commissioner ol'Planning and Development, 1 transmit herewith ordinances authorizing the execution of intergovernmental agreements with the Chicago Park District to provide TIF funding for various park improvements.

Your favorable consideration of these ordinances will be appreciated.

ORDINANCE

WHEREAS, the City of Chicago (the "City"), is a home rule unit of government under Ar­ticle VII, Section 6(a) of the 1970 Constitution of the State of Illinois, and as such may exercise any power and perform any function pertaining to its government and affairs; and
WHEREAS, the Chicago Park District (the "Park District"), is an Illinois municipal corpo­ration and a unit of local government under Article VII, Section 1 of the 1970 Constitution of the State of Illinois, and as such is authorized to exercise control over and supervise the operation of all parks within the corporate limits of the City; and
WHEREAS, the City is authorized under the provisions of the Tax Increment Allocation Redevelopment Act, 65 ILCS 5/11-74.4-1 et seq., as amended from time to time (the "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, under 65 ILCS 5/11-74.4-3(q)(7), incremental ad valorem taxes, which pur­suant to the Act, have been collected and are allocated to pay redevelopment project costs and obligations incurred in the payment thereof ("Increment") may be used to pay all or a portion of a taxing district's capital costs resulting from a redevelopment project necessarily incurred or to be incurred in furtherance of the objectives of a redevelopment plan and project, to the extent the municipality by written agreement accepts and approves such costs; and
WHEREAS, the Park District is a taxing district under the Act; and
WHEREAS, the Park District is engaged in an ongoing program of construction and ren­ovation projects at its parks and other Park District facilities ("Park Projects"); and
WHEREAS, pursuant to an ordinance adopted by the City Council of the City (the "City Council") on February 24, 2021, and published in the Journal of Proceedings for the City Council for such date at pages 27586 through 27604, the City Council approved a form of an intergovernmental agreement attached thereto for a project at Donovan Park (the "Form Agreement"); and
WHEREAS, the Park District owns a park identified in Exhibit A (the "Park") located on the property identified in Exhibit A (the "Property"); and
WHEREAS, the Park District desires to undertake certain improvements to the Park as identified in Exhibit A (the "Project"); and
WHEREAS, the Property lies wholly within the boundaries of the Redevelopment Area (as hereinafter defined); and
WHEREAS, in accordance with the provisions of the Act, the City Council: (i) approved and adopted a redevelopment plan and project (the "Plan") for a portion of the City identified on Exhibit A (the "Redevelopment Area"); (ii) designated the Redevelopment Area as a "redevel­opment project area"; and (iii) adopted tax increment allocation financing for the Redevelopment Area, pursuant to ordinances (collectively, the "TIF Ordinances") adopted on the date (or dates, if subsequently amended) and published in the Journal for such date(s), identified on Exhibit A:

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and
WHEREAS, Increment collected from the Redevelopment Area shall be known as the "Redevelopment Area Increment"; and
WHEREAS, the Department of Planning and Development of the City desires to use a portion of the Redevelopment Area Increment in an amount not to exceed the amount identified in Exhibit A for the purpose of wholly or partially funding certain costs of the Project (the "TIF-Funded Improvements") to the extent and in the manner provided in this ordinance and the Agreement (as hereinafter defined); and
WHEREAS, a detailed budget for the Project (the "Project Budget") and an itemized list ofthe TIF-Funded Improvements are each incorporated into Exhibit A; and
WHEREAS, the Plan contemplates that tax increment financing assistance would be provided for public improvements, such as the Project, within the boundaries of the Redevelop­ment Area; and
WHEREAS, in accordance with the Act, the TIF-Funded Improvements shall include such of the Park District's capital costs necessarily incurred or to be incurred in furtherance of the objectives of the Plan, and the City has found that the TIF-Funded Improvements consist of the cost of the Park District's capital improvements that are necessary and directly result from the redevelopment project constituting the Project and, therefore, constitute "taxing districts' capital costs" as defined in Section 5/11-74.4-3(u) of the Act; and
WHEREAS, the City and the Park District wish to enter into an intergovernmental agreement in substantially similar form to the Form Agreement, substituting the Project-specific terms with the information contained in Exhibit A. whereby the City shall pay for or reimburse the Park District for the TIF-Funded Improvements related to the Project (the "Agreement"); now, therefore,
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CHICAGO:
SECTION 1. The above recitals are expressly incorporated in and made a part of this ordinance as though fully set forth herein.
SECTION 2. The City hereby finds that the TIF-Funded Improvements, among other eligible redevelopment project costs under the Act approved by the City, consist of the cost of the Park District's capital improvements that are necessary and directly result from the redevel­opment project constituting the Project and, therefore, constitute "taxing districts' capital costs" as defined in Section 5/11-74.4-3(u) of the Act.
SECTION 3. The Commissioner of Planning and Development and a designee are each hereby authorized, subject to approval by the City's Corporation Counsel, to negotiate, execute and deliver the Agreement and such other documents as may be necessary to carry out and comply with the provisions of the Agreement, with such changes, deletions and insertions as shall be approved by the persons executing the Agreement on behalf of the City.
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 control. If any section, paragraph, clause or provision of
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this ordinance shall be held invalid, the invalidity of such section, paragraph, clause or provision shall not affect any other provisions of this ordinance.
SECTION 5. This ordinance shall be in full force and effect from and after the date of its passage and approval.
EXHIBIT A
Park: Park 594
Property Address: 3159 S. Halsted Street, Chicago, Illinois 60608
Project: The Chicago Park District is seeking to develop the property into a small pocket park. TIF investment will provide funds to develop the site with landscap­ing, lighting, and seating. Improvements may also include a dog friendly area should this be supported and approved by the community planning process.
Amount of Redevelopment Area Increment: Not to exceed $350,000
Project Budget:
Sources
35th/Halsted TIF Total
Amount
$350,000 $350,000



Amount
Park development to include site perimeter fencing, benches, landscaping and site lighting
$350,000
Redevelopment Area: 35th/Halsted Redevelopment Project Area
Date of adoption and Journal page numbers of TIF Ordinances (including any amendments): Under ordinances adopted on January 14,1997, and published in
the Journal of Proceedings (the "Journal") for the City Council of the City (the
"City Council") for such date at pages 36945 to 37322, the City Council: (i) ap­proved a redevelopment plan and project (the "35th/Halsted Plan") for the 35th/ Halsted Redevelopment Project Area; (ii) designated the 35,h/Halsted Redevel­opment Project Area as a "redevelopment project area" within the requirements of the Act; and; and (iii) adopted tax increment financing for the 35th/Halsted Re­development Project Area, as amended on May 5, 2004, and published in the Journal for such date at pages 22456 to 22468.




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