Resolutions-2026-017

repair and working order, ordinary wear and tear excepted, and from time to time will make all necessary repairs, replacements, renewals, and additions. The Developer agrees to maintain compliance with local zoning, land use, building and safety codes and regulations throughout the Term of this Agreement. 2. Property Taxes. The Developer agrees to make timely payment of all property taxes as they come due with respect to the Property with the completed Project thereon throughout the Term and to submit a receipt or cancelled check in evidence of each such payment. 3. Property Tax Payment Certification. The Developer agrees to certify to the City by no later than October 15 of each year, commencing October 15, 2027, an amount (the "Developer's Estimate") equal to the estimated Incremental Property Tax Revenues (as hereinafter defined) anticipated to be paid in the fiscal year immediately following such certification with respect to the taxable valuation of the Property factored by fifty percent (50%) (the "Annual Percentage"). In submitting each such Developer's Estimate, the Developer will complete and submit the worksheet attached hereto as Exhibit C. 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 the Base Valuation (as hereinafter defined); and (4) deducting any property tax credits which shall be available with respect to the taxable incremental valuation of the Property. The "Base Valuation" of the Property for purposes of calculating Incremental Property Tax Revenues under this Agreement and Section 403.19 of the Code of Iowa shall be the assessed taxable valuation of the Property as of January 1, 2026. Upon request, the City staff shall provide reasonable assistance to the Developer in completing the worksheet required under this Section A.3. 4. Annual Certification. Upon request by the City, and to assist the City in monitoring the performance of the Developer under this Agreement, a duly authorized officer of the Developer shall certify to the City to the best of the Developer's knowledge (a) that all taxes owed on the Property have been timely paid; (b) that the Developer is not in material violation of this Agreement; and (c) that the Developer is in compliance with the Business Operations Requirement. The Developer's certification pursuant to this Section A.4 shall be in substantially the form set forth on Exhibit D attached hereto and shall be submitted to the City within thirty (30) days of the City's written request. The Developer shall provide such supporting