Public Hearing on Approving a Development Agreement with Iowa Development Group, Inc., Including Annual Appropriation Tax Increment Payments — G.1

documentation as the City may reasonably request in connection with its review of the certification under this Section A.4. 5. 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 complete construction of the Project pursuant to the terms and conditions of this Agreement. ii. Failure by the Developer to comply with the Business Operations Requirement. iii. Failure by the Developer to fully and timely remit payment of property taxes when due and owing. iv. Failure by the Developer to comply with Sections A.3 and A.4 of this Agreement. v. 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 thirty (30) days after receipt of such 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 Payments provided for under Section B.1 below. iii. Terminate this Agreement. 6. Legal Fees. The Developer hereby acknowledges that the City will cover the initial payment of legal fees and administrative costs (the “Actual Admin Costs”) incurred by the City in connection with the drafting, negotiation and authorization of this Agreement, including the necessary amendment to the Urban Renewal Plan for the Urban Renewal Area. During the first two (2) years in which Payments (as defined in Section B.1 of this Agreement) are payable, and prior to disbursing any such Payments to the Developer, the City shall withhold from the Incremental Property Tax Revenues an amount (the “Admin Withholding Amount”) equal to the lesser of (1) $10,000 or (2) the Actual Admin Costs. Once an amount equal to the Admin Withholding Amount has been withheld by the City, the Payments shall thereafter be made as hereinafter set forth. -3- 4899-0541-8130\2