G-2, I-2 - Resolution 2022-087 - PH and Approval of Development Agreement - Iowa Development Group - Dentist

3. Property Tax Payment Certification. Furthermore, the Developer agrees to certify to the City by no later than October 15 of each year during the Term (as hereinafter defined), commencing October 15, 2024, an amount (the “Developer’s Estimate”) equal to the estimated Incremental Property Tax Revenues (as hereinafter defined) anticipated to be paid by the Dental Clinic in the fiscal year immediately following such certification with respect to the taxable valuation of the Property. In submitting each such Developer’s Estimate, the Developer will complete and submit the worksheet attached hereto as Exhibit B. The City reserves the right to review and request revisions to each such Developer’s Estimate to ensure the accuracy of the figures submitted. For purposes of this Agreement, Incremental Property Tax Revenues are calculated by: (1) determining the consolidated property tax levy (city, county, school, etc.) then in effect with respect to taxation of the Property; (2) subtracting (a) the debt service levies of all taxing jurisdictions, (b) the school district instructional support and physical plant and equipment levies and (c) any other levies which may be exempted from such calculation by action of the Iowa General Assembly; (3) multiplying the resulting modified consolidated levy rate times any incremental growth in the taxable valuation of the Property, as shown on the property tax rolls of Johnson County, above and beyond that of the Base Valuation; and (4) deducting any property tax credits which shall be available with respect to the incremental valuation of the Property. Upon request, the City staff shall provide reasonable assistance to the Developer in completing the worksheet(s) required under this Section A.3. 4. Default Provisions. A. Events of Default. The following shall be “Events of Default” under this Agreement, and the term “Event of Default” shall mean, whenever it is used in this Agreement (unless otherwise provided), any one or more of the following events: (i) Failure by the Developer to sell the Property to the Dental Clinic pursuant to the terms and conditions of this Agreement. (ii) Failure by the Developer to comply with Section A.3 of this Agreement. (iii) Failure by the Developer to observe or perform any other material covenant on its part, to be observed or performed hereunder. B. Notice and Remedies. Whenever any Event of Default described in this Agreement occurs, the City shall provide written notice to the Developer describing the cause of the default and the steps that must be taken by the Developer in order to cure the default. The Developer shall have sixty (60) days after receipt of the notice to cure the default or to provide assurances satisfactory to City that the default will be cured as soon as reasonably possible. If the Developer fails to cure the default or provide assurances, the City shall then have the right to: (i) Pursue any action available to it, at law or in equity, in order to enforce the terms of this Agreement. (ii) Withhold the future Payments provided for under Section B.1 below.