I-2 - Resolution 2025-065 - Approval of Amended Development Agreement with 80-380 - Village Drive

Tiffin/436989-50/App Amend Dev Agmt AA RESOLUTION NO. 2025-065 A Resolution Approving an Amended Development Agreement with 80/380, LLC, Authorizing Tax Increment Payments and Pledging Certain Tax Increment Revenues to the Payment of the Agreement WHEREAS, the City of Tiffin, Iowa (the “City”), pursuant to and in strict compliance with all laws applicable to the City, and in particular the provisions of Chapter 403 of the Code of Iowa, has adopted an Urban Renewal Plan for the Tiffin Urban Renewal Area (the “Urban Renewal Area”); and WHEREAS, this Council has adopted an ordinance providing for the division of taxes levied on taxable property in the Urban Renewal Area pursuant to Section 403.19 of the Code of Iowa and establishing the fund referred to in Subsection 2 of Section 403.19 of the Code of Iowa, which fund and the portion of taxes referred to in that subsection may be irrevocably pledged by the City for the payment of the principal of and interest on indebtedness incurred under the authority of Section 403.9 of the Code of Iowa to finance or refinance in whole or in part projects in the Urban Renewal Area; and WHEREAS, the City has entered into a certain development agreement dated August 1, 2027 (the “Original Agreement”) with 80/380, LLC (the “Developer”) pursuant to which the City agreed to construct certain public infrastructure improvements (the “Public Improvements Project”) necessary to support commercial development being undertaken in the Urban Renewal Area, and the Developer agreed to reimburse the City for certain costs incurred by the City in undertaking the Public Improvements Project; and WHEREAS, under the Original Agreement the City agreed to provide annual appropriation incremental property tax payments (the “Payments”) to the Developer; and WHEREAS, the City and the Developer now propose to amend the Original Agreement in order to modify certain terms with respect to the Payments; and WHEREAS, an amended development agreement (the “Amended Agreement”) has been prepared to set forth the new understanding between the City and the Developer; and WHEREAS, Chapter 15A of the Code of Iowa (“Chapter 15A”) declares that economic development is a public purpose for which a City may provide grants, loans, tax incentives, guarantees and other financial assistance to or for the benefit of private persons; and WHEREAS, Chapter 15A requires that before public funds are used for grants, loans, tax incentives or other financial assistance, a City Council must determine that a public purpose will reasonably be accomplished by the spending or use of those funds; and WHEREAS, Chapter 15A requires that in determining whether funds should be spent, a City Council must consider any or all of a series of factors; -3- DORSEY & WHITNEY LLP, ATTORNEYS, DES MOINES, IOWA 4906-4627-7454\1