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HomeMy WebLinkAbout2000-06-29 Resolution Prepared by Marian K. Karr, City Clerk, 410 E. Washington St., Iowa City, IA 52240 (319) 356-5041 RESOLUTION NO. 00-230 RESOLUTION TO ISSUE CIGARE'R'E PERMITS WHEREAS, the following firms and persons have made application and paid the mulct tax required by law for the sale of cigarettes, therefore BE IT RESOLVED BY THE CITY COUNCIL OF IOWA CITY, IOWA, that the applications be granted and the City Clerk is hereby directed to issue a permit to the following named persons and firms to sell cigarettes: Tobacco Bowl - 111S. Dubuque Street Glass Lodge Pipe Emporium - 13 S. Linn Street Passed and approved this 29th day of Jun ,20 00 Approved by City Attorneys Office It was moved by 0' Donnel 1 and seconded by Pfab the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: x Champion X Kanner X Lehman X O'Donnell × Pfab X Vanderhoef × Wilburn cler~Ves~cigperm.doc 6/29/00 Prepared by: Kadn Franklin, POD, 410 E. Washington St., Iowa City, [A 52240 (319) 356-5232 RESOLUTION NO. 00-231 RESOLUTION APPROVING THE PENINSULA NEIGHBORHOOD DEVELOPMENT AGREEMENT BETWEEN THE CITY OF IOWA CITY AND 'TERRY L. STAMPER HOLDINGS, L.L.C. WHEREAS, the City of Iowa City owns a large parcel of land known as the Peninsula; and WHEREAS, approximately 82 acres of this land has been deemed an appropriate site for a residential development project; and WHEREAS, the City has undertaken a lengthy planning process to envision with the community the most appropriate type of development for this land; and WHEREAS, the City Council has adopted the Peninsula plan and has rezoned 82.1 acres to enable implementation of this plan; and WHEREAS, after requesting proposals and interviewing prospective developers, the City Council has selected Terry L. Stamper Holdings, L.L.C. as the preferred developer; and WHEREAS, an agreement has been drafted setting forth the dghts and responsibilities of the City and Terry L. Stamper Holdings, L.LC. for the development of this 82.1 acre tract addressing such issues as zoning, platting, phasing of development, responsibilities for infrastructure, environmental considerations, affordable housing, payment for the land, procedures and schedules for performance. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: 1. The Mayor is authorized to sign and the City Clerk to attest the Peninsula Neighborhood Agreement between the City and Terry L. Stamper Holdings, L.L.C. 2. The City Clerk is hereby directed to record said agreement upon passage of this resolution. Passed and approved this 29th day of June ,20 00 r~e',d by orne _ ppddir/res/peninsula.doc Resolution No. 00-231 Page 2 It was moved by Vanderhoef and seconded by ~/i ] burn the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner X Lehman X O'Donnell X Pfab X Vanderhoef X Wilbum City of Iowa City MEMORANDUM Date: June 22, 2000 ~ To: City Manager and City Council / From: Karin Franklin, Director, ~~t Re: Peninsula Development Agreement Enclosed is a copy of the Development Agreement we have negotiated with Terry L. Stamper Holdings, L.L.C. (TLS), the preferred developer for the Peninsula Neighborhood. This is on your agenda for the special meeting set for 8:00 am, Thursday, June 29, 2000. Listed below are the salient points of the Agreement. · The Peninsula Plan and Guidelines (a.k.a. Dover-Kohl plan) adopted by the Council in the OPDH-5 zoning of the property is the concept against which the plats, the codebook for the property, and the performance of the developer will be measured. It is understood that this is a concept, the details of which may be changed over time to respond to market demands so long as the overall concept of the Peninsula Plan is retained. · TLS will submit an OPDH/Regulating Plan and Codebook that will include a preliminary plat of the entire 82 acre parcel, transferring the density from the wooded slopes and any other environmentally sensitive areas, to other portions of the property. The Codebook will outline dimensional requirements for building on the site, design and architectural standards, building materials and approval procedures. There will be a Peninsula Neighborhood Design Review Board with at least one City representative, but not a majority of City representation. · The Regulating Plan will set forth a phasing plan that will identify sub-areas of the property and an order in which the phases will be developed. The City agrees to convey these phases to TLS upon final plat approval and provided TLS adheres to the approved plans and the Peninsula Plan in the first and all successive phases thereafter. The first phase must have at least three or more housing types in close proximity to each other and must include a town green or similar open space as a focal point. · The agreement further sets out the infrastructure responsibilities of the City and TLS. The City has fulfilled its responsibilities by extending water, sewer and Foster Road to the property line. · The preliminary plat must comply with the Sensitive Areas Ordinance. Restrictions, similar to those placed upon the Elks, for the use of chemicals on all properties are to be required through restrictive covenants. · TLS agrees to work with non-profit housing corporations to design dwelling units or lots, which meet the needs of and are affordable to the housing corporations. Up to 41 units, or 10% of the total dwelling units, will be constructed for or marketed to these corporations. TLS will provide a 10% discount on the market value of lots for sale to any local Iowa City non-profit housing corporations. · TLS will purchase the 82.1 acres for no less than $1,300,000 and will purchase the properties by phase as the final plats are approved. After the purchase of Phase I, subsequent phases will include 6.5% interest compounded annually on the remaining balance of the $1,300,000. · A timeline and procedure has been set up to initiate the OPDH/Regulating Plan, the preliminary plat, the Peninsula Code, the final plat of Phase I and subsequent phases, and the conveyance of the property and site development. · The City has the right to take possession of any of the properties conveyed, under certain conditions, should TLS not perform according to the Agreement or in a timely manner. Please feel free to call me if you have any questions about the agreement you would like clarified before the meeting; 356-5232. Cc Bob Miklo Eleanor Dilkes PENINSULA NEIGHBORHOOD DEVELOPMENT AGREEMENT A. INTRODUCTION This Development Agreement is hereby made and executed by, between and among the City of Iowa City (hereinafter "City"), 410 E. Washington Street, Iowa City, Iowa 52240, and Terry L. Stamper Holdings, L.L.C. (hereinafter "TLS" and/or "Developer"), 6399 Norton Street, Troy, Michigan 48098. The City is a municipal corporation organized under the laws of the State of Iowa, and TLS is a Limited Liability Corporation organized under the laws of the State of Michigan. This agreement outlines the terms and conditions, and the relative rights and responsibilities of the City, as owner, and TLS, as developer, for the development of The Peninsula Neighborhood (hereina~er "The Peninsula"), an 82.1-acre site owned in fee by the City. For and in consideration of the mutual promises set forth herein, the parties hereby agree as follows: B. PENINSULA PLAN AND GUIDELINES The City has prepared The Peninsula Plan and Guidelines as approved by City Council on July 28, 1998, by Resolution No. 98-253, to serve as a concept plan for the development of the Peninsula Neighborhood· The Peninsula Plan shows the layout of streets, blocks and alleys, and their relationship to public spaces and existing views. The Guidelines recommend a range of building types but do not specify their location or quantity· The Guidelines and Plan are intended to provide direction to TLS in the design and development of the Peninsula, but the City retains the flexibility to deviate from said Plan and Guidelines and finalize the site design in collaboration with TLS. While the parties hereto acknowledge the adoption of the Peninsula Plan and Guidelines, they are intended as guidelines, and the parties shall have flexibility in designing the development so that the project may be adjusted to changing market demands during realization without losing the overall concept of the Peninsula Plan· C. ZONING/OPDH PLAN ("REGULATING PLAN") TLS shall prepare a preliminary Planned Development Housing Overlay (OPDH) plan and a preliminary subdivision plat (hereinafter collectively entitled "OPDH/Regulating Plan) for the entire 82 acre parcel based on the Peninsula Plan and Guidelines. The OPDH/Regulating Plan and subdivision may vary from the Peninsula Plan to address site conditions, but should conform to the general principles of the plan. The City shall initiate applications for submission of the OPDH/Regulating Plan and the preliminary subdivision plat to the Iowa City Plan and Zoning Commission and City Council for review and approval. However, the City shall retain the right to refuse to support any substantial and material deviations from the general principles of the Peninsula Plan and Guidelines contained within the proposed OPDH/Regulating Plan. The proposed OPDH/Regulating Plan's gross density of dwelling units for the subject property shall not exceed 5 units per acre. For purposes of density calculations, accessory units shall not be counted as individual dwelling units. Dwelling unit density may be transferred from the environmentally sensitive areas, such as the steep slopes and woodlands, to other portions of the property in accordance with the Sensitive Areas Ordinance. Based on the Peninsula Plan, the City and TLS anticipate that up to 410 dwelling units may be built on the 82 acre property. The maximum number of units may be increased if additional land is added to the Peninsula development property or development rights are purchased from other property or properties that require street access to Foster Road. The Peninsula Neighborhood may also contain commercial and civic uses, such as retail shops, offices and child care facilities, within the proposed preliminary OPDH/Regulating Plan. 1 Potential locations for non-residential land uses shall be identified on the preliminary OPDH/Regulating Plan. The proposed preliminary OPDH/Regulating Plan to be submitted by TLS shall include, but not be limited to, proposed land uses and combinations, a preliminary layout of development parcels, public rights-of-way, easements and open space areas. This initial OPDH/Regulating Plan submission shall also include a Codebook (hereinafter entitled, "The Peninsula Code"). The Peninsula Code shall outline, but not be limited to, dimensional requirements such as side- yards and setbacks, design and architectural standards, acceptable building material usage, and review/approval procedures within the Development. The legal description of the 82-acre property is as follows: That part of Auditor's Parcel No. 95080 and all of Auditor's Parcel No. 97099, Iowa City, Johnson County, Iowa described as follows: Commencing as a point of reference at the South quarter-corner of Section 4, Township 79 North, Range 6 West of the 5th P.M.; thence North 1°39'04" West 1317.54 feet along the East line of the Southwest Quarter of said Section 4 (assumed bearing for this description only); thence South 89°43'51'' West 563.04 feet along the South line of Government Lot 5 of said Section 4, to a Northeasterly corner of said Auditor's Parcel No. 97099 and the point of beginning; thence South 0°16'09'' East 159.36 feet along an Easterly line of said Auditor's Parcel No. 97099; thence South 45°57'40'' West 191.63 feet along a Southeasterly line of said Auditor's Parcel No. 97099; thence South 85°52'55'' West 170.28 feet along a Southeasterly line of said Auditor's Parcel No. 97099; thence South 42°17'10'' West 607.44 feet along a Southeasterly line of said Auditor's Parcel No. 97099; thence South 81 °42'52" West 978.15 feet along a Southeasterly line of said Auditor's Parcel No. 97099; thence North 49°44'00'' West 704.00 feet; thence North 15°34'30'' West 615.50 feet; thence North 1°14'00'' West 372.58 feet; Thence North 8012'00'' East 329.35 feet to a point of intersection with the Easterly bank of the Iowa River and a Westerly line of said Auditor's Parcel No. 95080; thence North 57°04'00'' East 772.76 along a Northwesterly line of said Auditor's Parcel No. 95080; thence South 65°32'14'' East 972.25 feet along a Northeasterly line of said Auditor's Parcel No. 95080; thence North 76°18'18'' East 468.47 feet along a Northerly line of said Auditor's Parcel No. 95080; thence South 1°39'04'' East 981.65 feet along an Easterly line of said Auditor's Parcel No. 95080 and an Easterly line of said Auditor's Parcel No. 97099; thence North 89°43'51'' East 330.00 feet along a Northerly line of said Auditor's Parcel No. 97099 to the point of beginning and containing an area of 82.1 acres more or less. D. PLANNING AND DEVELOPMENT PHASING The proposed OPDH/Regulating Plan to be submitted by TLS shall include a phasing plan which will identify sub-areas of the property (hereina~er "phases") and the order in which these phases or portions thereof will be purchased and developed by TLS. TLS shall prepare a legal description to describe each phase, and said phase legal descriptions shall be submitted as part of the OPDH/Regulating Plan and preliminary plat. Upon completion of approvals of final plats for each phase or portion thereof, the City will transfer the ownership of said phases or portions thereof to TLS according to a phasing schedule to be approved by both parties in accordance with Section J of this agreement. Such transfers shall occur in successive order provided that TLS adheres to the approved OPDH/Regulating Plan and final plat, and maintains performance standards found in the Peninsula Plan and Guidelines. Alteration of the phasing schedule and configuration of the phases may be amended with the mutual consent of both parties. To convey the community quality envisioned for the Peninsula Neighborhood, the first phase shall include three or more housing types in close proximity to one another. Further, the first phase shall include a town green or similar open space as a focal point of the development. E. INFRASTRUCTURE TLS shall extend, construct and/or install all necessary infrastructure improvements for development within the Peninsula, including: All streets, sidewalks and alleys within the Peninsula Neighborhood; 2 All utilities (The parties acknowledge that gas, electricity, telephone and cable are currently on the EIk's property to the east and will need to be extended to the Peninsula property by TLS); City water and sanitary sewer lines; A sanitary sewer lift station; A system for conveying storm water to the Iowa River. The parties acknowledge that due to the proximity of the river, on-site storm water storage will not be required. However, filtration techniques shall be used to treat storm water within the system prior to outlet into the Iowa River, and said system shall comply with any applicable State, local and/or Federal standards. The City shall extend, construct, and/or install the following extrinsic infrastructure to serve and support the Peninsula: Foster Road, a 28 foot wide street meeting City design standards, shall be extended by City to the eastern property line of the development site. A 12" sanitary sewer line, 8' to 10' deep at the property line where Foster Road enters the property; A 12" water line, 5' to 6' deep at the property line where Foster Road enters the property. The Peninsula Design Guidelines shall supersede the "Iowa City Municipal Design Standards" for infrastructure where the two conflict and are irreconcilable. F. ENVIRONMENTAL CONSIDERATIONS Portions of the 82 acre property contain wooded ravines and slopes, as outlined and depicted on the diagram attached hereto as Exhibit "A". These features shall be subject to the provisions of the Sensitive Areas Ordinance and shall be preserved to the extent possible. The OPDH/Regulating Plan shall provide for the protection of areas that are identified for preservation during construction of the neighborhood and such areas shall be protected in perpetuity through an appropriate conservation easement and/or dedication of the affected land to a land conservancy or the City. The lower-Peninsula, a City owned property located adjacent to the Peninsula development site, contains City water wells. As the lower-Peninsula is also being designed as a passive park, and the parties acknowledge that it is anticipated the area will undergo ecological restoration to become a self-sustaining native landscape, and further, due to the proximity of the Peninsula Neighborhood to City water-supply wells, restrictive covenants shall be executed to place limitations on the use of chemicals on all properties within the Peninsula. These covenants shall be part of legal papers to be approved during the final plat stage of development. G. AFFORDABLE HOUSING The City and TLS acknowledge their collective intent to develop the Peninsula Neighborhood with a mixture of housing types and a range of property values. To assure that a minimum percentage of the constructed dwelling units are affordable and remain affordable over time, 10% of the total number of dwelling units shall be constructed for and/or marketed to non-profit housing organizations ("non-profit housing organizations" includes the Iowa City Housing Authority). The number or percentage of affordable units to be included in each phase or portion thereof shall be determined during the OPDH/Regulating Plan and Preliminary Plat approval stage and prior to the transfer of ownership. The City shall provide the number and type of affordable units needed within the entire Peninsula Neighborhood within 14 business days of approval of this Agreement. Any modifications in the siting or type of affordable units shall be mutually agreed upon by TLS and the City. To meet the goal of providing affordable housing within the Peninsula Neighborhood, TLS agrees that it will consult with non-profit housing organizations to design dwelling units or lots which are suitable for the needs of and are affordable to said non-profit housing organizations. TLS also agrees to discount the market value of lots by 10% for any lots sold to a local Iowa City non-profit housing organization. H. PAYMENT FOR LAND It is the parties' intent that the 82.1 acre property will be sold to TLS for a minimum sum of $1,300,000 plus 6.5% interest compounded annually beginning with the date of closing/transfer of the Phase One property or portion thereof to TLS. As the total number of units established for the property is 410, this yields a base price of $3171.00 per unit, not including interest as calculated above. At closing for Phase One or any portion thereof, TLS shall pay the City a price equal to this per-unit base price multiplied by the total number of final site-plan approved units. At closing on portions of the property beyond the end of Phase One, the price shall consist of the per-unit base price multiplied by the total number of final site-plan approved units plus 6.5% interest on the outstanding balance remaining upon closing of the preceding phase. Therefore, the parties acknowledge that successive phases may result in higher per unit land prices as necessary to meet the minimum cost plus interest as outlined above. Upon transfer/closing of the final phase, a final reconciliation shall be performed to establish the price necessary to meet the minimum cost of $1,300,000 plus 6.5 % interest compounded annually from the date of closing/transfer of the Phase One property or portion thereof to TLS. I. PROCEDURE The following procedures will be followed by the City and TLS in submitting development plans for approval by the Iowa City Plan and Zoning Commission and the City Council: 1. The City shall apply to rezone the Peninsula Property to an OPDH-5 designation in accordance with the Peninsula Plan. 2. Within 120 days after the later of execution of this Development Agreement by all parties or approval of OPDH-5 rezoning by the City, TLS shall submit to City a preliminary OPDH/Regulating Plan, Preliminary Plat and Peninsula Code. Within 14 days of submittal, City staff shall make recommendations for modifications to the documents. Any changes made shall be upon mutual agreement of TLS and the City. After review of any modifications, City shall transmit a written communication indicating acceptance of the submittal to TLS. 3. Within 30 days of acceptance of the above submittals, the City staff shall initiate amendments to the City zoning regulations to incorporate the Peninsula Code and shall initiate review of the OPDH/Regulating Plan and Preliminary Plat under the City's subdivision and zoning regulations. It is agreed between the Parties that the City shall initiate simultaneous applications for approval of the OPDH/Regulating Plan and Preliminary Plat within 90 days of acceptance of the submittals referenced in Paragraph 2. 4. After approval of the above applications by City Council and prior to closing on any portion of the property, TLS may commence installation of the required infrastructure outlined in Section E, provided TLS obtains insurance of amounts and types acceptable to City, provides certificates of insurance and executes an indemnification agreement, acceptable to City, holding City harmless from all claims and damages resulting from said activity. 4 5. Within 60 days of City Council approval of the above applications, TLS shall submit a final plat and the City shall make application for at least a portion of the identified Phase One area shown on the Preliminary Plat, which final plat shall include, at minimum, three or more housing types in close proximity and a town green or similar open space as the focal point of the development. In the same timeframe, TLS, in consultation with the City, shall create a Peninsula Neighborhood Design Review Board in accordance with the Peninsula Code. The City shall have at least one representative on said Board and shall not have a majority membership on said board. 6. In accordance with ordinances and procedures, within 45 days of submittal, the Plan and Zoning commission will review the identified Final Plat application and make a recommendation to the City Council. Within 60 days of recommendation by the Plan and Zoning Commission, the City Council shall render a decision on the identified Final Plat application. 7. Within 30 days of City Council approval of the identified Final Plat, TLS and the City shall proceed to closing on the property subject to the approved Final Plat. 8. Within 180 days of closing, TLS shall initiate the installation of infrastructure in accordance with specifications shown in the approved Final Plat. 9. After closing on any portion of the Peninsula Property and upon issuance of all necessary permits and approvals as required, TLS will diligently undertake to install and construct the infrastructure outlined in Section E and their related appurtenances. The construction of the infrastructure will be substantially completed 18 months after commencement. If such infrastructure construction is not substantially completed within 18 months after commencement, subject to the property rights of any secured lender to TLS, which has financed acquisition of all or any portion of the Property, development and/or home construction, City shall, after providing TLS with a 30-day written notice to cure, have the right to take possession of the property and any infrastructure thereon and TLS shall, upon demand by City, convey said property by warranty deed to City, flee and clear of all liens except those of any lender which has financed acquisition of all or any portion of the property, development, and/or home construction. TLS shall have no right to any equity in said property and City shall retain all sums paid by TLS for said property. City may enforce TLS' obligation to convey said property to City in an action for specific performance. TLS shall pay the City's reasonable attorney's fees and costs incurred in enforcing said obligation. City's right to take possession and title as set forth herein is non-exclusive and City shall have all other remedies available by law, including, but not limited to, termination of the agreement and recovery of damages. For delays beyond control of TLS, the 18-month period will be extended in an amount equal to the time lost due to such delay. 10. Upon approval of the final plat, the Peninsula Neighborhood Design Review Board and the City shall commence review of permit applications for proposed structures within the approved Final Plat. No permits may be issued until completion and certified inspection of the infrastructure. The City will issue building permits for dwellings and any approved non-residential buildings that conform to the approved final OPDH/Regulating Plan and Final Plat in accordance with any agreements and/or contingencies and all pertinent City Codes. 11. The Parties agree to follow these procedures in successive phases. 5 J. CLOSING. 1, The City shall, at its expense, obtain an abstract of title to the property and deliver it to TLS for examination at least ten days before the scheduled date of closing, which shall show merchantable title in City in conformance with Iowa laws and title standards of the Iowa State Bar Association. If TLS notes title objections based on said abstract City shall have ten business days to cure said objections and the date of closing shall be rescheduled accordingly. 2. The closing shall be held at the Iowa City Civic Center unless the City designates some other location within the City of Iowa City. 3. As the City owns all the parcels, there are no taxes to be prorated. 4. City shall pay all special assessments which are a lien on the property as of the day of closing. 5. The contemplated transfers are exempt from Iowa real estate transfer tax. 6. TLS shall pay the costs of recording the transfer documents. 7. Upon payment of the Purchase Price plus all other sums due to the City under this Agreement and any subsequent written Agreements, the City shall convey the property to TLS by warranty deed subject to existing building and use restrictions and easements of record and applicable zoning requirements, and subject to the restrictive covenants on the use of chemicals in accordance with Paragraph "F" hereof. Upon the completion of closing, any objections to title shall be deemed to have been waived. 8. As-Is Sale. TLS acknowledges and agrees that the City has not made and does not hereby make any representations, warranties or covenants of any kind or character whatever, expressed or implied, with respect to the quality, integrity, nature of, use or condition of any of the parcels or any improvements, fixtures and personal property located on or used in connection with any of the parcels. As of the closing, TLS shall be conclusively deemed to have accepted the land on an "as is, where is" basis. Notwithstanding the above, within 120 days of the later of execution of this Development Agreement by all parties or approval of OPH-5 rezoning by the City, the City shall verify the environmental status of the property via an ASTM Phase I Environmental Site Assessment showing the site is free of known contaminants and suitable for residential development. 9. TLS shall have possession upon completion of the closing. K. NOTICES All notices, requests, demands and other communications that are required or permitted to be given under this Agreement will be in writing and will be deemed to have been sufficiently given for all purposes hereunder if (a) delivered personally to the party to whom the same is directed, or (b) sent by certified mail, postage prepaid, return receipt requested, at the addresses identified below; or to such other party at such other address as shall been given in writing in accordance herewith. 6 If the City or City Authorities, to: City of Iowa City 410 East Washington Street Iowa City, Iowa 52240 Attention: Steve Atkins, City Manager With copies to: Eleanor Dilkes, City Attorney Karin Franklin, Director of Planning and Community Development If Terry L. Stamper Holdings, to: Terry L. Stamper Holdings, L.L.C. 6399 Norton Street Troy, Michigan 48098 Attention: Terry L. Stamper, President With copies to: James Tischler, AICP 309 Bentley Drive Monroe, MI 48162-3224 Barry Kemper Progressive Construction Mgmt. 43300 W. Nine Mile Rd. Novi, MI 48375 L. MISCELLANEOUS 1. Successors and Assigns; Assignments. This Agreement will be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns; however, TLS will not assign this Agreement without the City's prior written consent, except that, without the City's prior written consent, TLS may assign: (a) its rights under this Agreement, as security for financing provided by a lender for the Peninsula Development; and (b) its rights and obligations under this Agreement, to a commonly-owned corporate affiliate of which expressly assumes all of the duties of TLS hereunder, it being agreed, nevertheless, that TLS will remain responsible for their performance. 2. In the event that Terry L. Stareper ceases to own a controlling ownership interest in either TL8 or a company which direstly or indirectly owns a majority of the common stock of TL8 (hereinafter, "Parent Company"), such event shall constitute a "Change in Control" and TLS promptly shall deliver to the City administration written notice thereof and identify the names and addresses of all of the direct and indirect owners in any way related to the Peninsula Development. 3. Upon the occurrence of a Change in Control, at the City's option exercised by its Council and communicated in writing to TLS within thirty (30) days after the City's administration receives written notification of the Change in Control and the information identifying the new owners, the City may terminate this Agreement. 4. Building Code Applicable. All homes erected by TLS upon the Property shall be constructed in compliance with the City of Iowa City Building Code, as adopted by the City and in effect on the date of the City Council's approval of each final site plan for any portion of the Property, notwithstanding that the City at any time after such site plan 7 approval may amend, add to or replace the building code in effect at the time of such final site plan approval. 5. Entire Agreement; Amendment; No Other Intended Beneficiaries. This Agreement represents the entire agreement as it exists at the time of the signing of this Agreement between the parties. The parties hereto acknowledge that this Agreement provides for additional agreements including, but not limited to, a Subdivider's Agreement and Easement Agreements for each phase of the development, to be approved and entered into and that other City ordinances including, but not limited to, the zoning and subdivision control ordinances and building and construction codes may require additional permits and agreements. This Agreement may not be amended, altered or modified unless the party against whom enforcement of any waiver, modification or discharge is sought does so in writing. No person not a party hereto is intended to be a beneficiary of or to have the right to enforce this Agreement. 6. Issues Beyond Agreement Scope, The parties hereby acknowledge that, in the course of diligently implementing the terms of this agreement and the Peninsula Plan, issues may arise which lie outside the scope of the agreement terms but require resolution in order to proceed with successful development of the project. Whenever such an issue is identified by either party, formal notice shall be made and the parties hereby mutually agree to enter into good faith negotiations for the purpose of resolving said identified issue, and may include executing additional agreements to cover such issue. 7. Delays Beyond the Control of TLS. Delays beyond the control of TLS will include, but may not be limited to: (a) acts of the City not related to the regulatory function of the City or neglect of the City; (b) acts or neglect of utility owners (unless the result of any inaction of TLS or any act of TLS which is inconsistent with the timely performance of its responsibilities hereunder); (c) economic impracticality; (d) fire; (e) flood; (f) epidemic; (g) war; (h) abnormal weather conditions; and (i) acts of God. "Economic impracticality" means and includes (1) an economic depression, as determined by the United States government; (2) an increase of more than four percent (4%) in the Standard Federal Bank 30-year residential mortgage secured interest rate offered to borrowers of less than $200,000 paying two (2) discount points and making a 20% down payment; or (3) the unavailability of skilled housing construction labor, or the unavailability of any building material, but only in each case if (i) unavailability does not result from TLS or any affiliate preferring the construction of any other building site which competes with the Project for such resource and (ii) the City is unable to identify a suitable substitute resource which is available to TLS at a comparable cost. The parties agree that any disagreement between them as to whether a delay is beyond the control of TLS will be resolved by them as promptly as possible utilizing the dispute resolution procedures identified elsewhere in this agreement. Any delay beyond the control of TLS shall extend the time for performance by TLS as required by this Agreement for so long as the condition continues to exist but in no event for a period longer than two (2) calendar years. 8. Choice of Law. This Agreement will be governed by and construed in accordance with the laws of the State of Iowa. The invalidation of one or more of the terms of this Agreement will not affect the validity of the remaining terms. The parties acknowledge that the proper venue of any court action is in Johnson County, Iowa. 9. Joint Drafting. The City and TLS have engaged in extensive discussions and negotiations over the terms of this Agreement and neither party has acted as the exclusive drafter of the language of these agreements and no inference or presumption or application of a rule of contract construction should be made based upon the premise that one party acted more than the other party as the draftsperson of these agreements. 10. Termination. The terms and conditions of this Agreement will survive closing and delivery of a warranty deed on any particular parcel. 11. Effective Date. This Agreement will become effective when approved and executed by TLS and the Iowa City City Council. P Marian \ ~ Approved by: ,ce - 5-O:~D 9 EXHIBIT A '.if-~' THE PENINSULA d' z;;' ' A New Neighborhood in v" :::::::::~::" ';''; ';'.. '~7: ~'. t"." '}' ' '" """", !:."' 'z. .... ~,/ .';'~ ,.~ ;.. ,/ ... ..~, ,~ ~ . ~ ~ .,? ",," ; ... 4F'.. ,.: :,:..., ,.: .:..;; ~ .X47' ......,,... .., . ........;..' :::::~::: .. /' ',K · . .. XN ,~ j ,. , ' , ,'...' " '/ '... :: / 'L ....... ~::~- ,Z~/ / - ~ :.:.:.:.~.:.:-:-:.:-:.~t , '. ~ ..... i_--, i ~ -:-:.: ...... .,j X, X x.~, ""' ~1 /~ ............~ ~:':':"':':"'Y':':"""""":::" ' ":: A / ~ X { x, ~ I ~ .... f '~ ' :::::::::::::::::::::: x , ::::::::::::::::::::::::: / ..... :,:,' .............. --',~ :::::::::::::::::::::::'ZXL ........., "'.., · ;~':-I~ ........... :.::.:. "::':::4"~/ .... ~ /' :/' :': :.:.:.:':':.:.:-:{-: :::::::::::::::::::::: Legend ...... :.:::::':::::::: ..... ~ PFotected slopes ,~ ~"-, :~ / town planning Prepared by: Scott Kugler, Associate Planner 410 E. Washington St., Iowa City, IA 52240 (319) 356-5243 RESOLUTION NO. 00-232 RESOLUTION APPROVING THE EXTRATERRITORIAL FINAL PLAT OF WOODLAND RIDGE, PART THREE, JOHNSON COUNTY, IOWA. WHEREAS, the owners, Jeff and Jennifer Maxwell, filed with the City Clerk the final plat of Woodland Ridge, Part Three, Johnson County, Iowa; and WHEREAS, said subdivision is located on the following-described real estate in Johnson County, Iowa, to wit: '~ Outlot "D" of Woodland Ridge Subdivision - Part One, to Johnson County, Iowa, in accordance with the Plat thereof Recorded in Plat 37, at Page 299, of the Records of the Johnson County Recorder's Office. Said Outlot "D" contains 22.32 acres, more or less, and is subject to easements and restrictions of record. WHEREAS, the Department of Planning and Community Development and the Public Works Department examined the proposed final plat and subdivision, and recommended approval; and WHEREAS, the Planning and Zoning Commission examined the final plat and subdivision and recommended that said final plat and subdivision be accepted and approved; and WHEREAS, a conditional dedication has been made to the public, and the subdivision has been made with the free consent and in accordance with the desires of the owners and proprietors; and WHEREAS, said final plat and subdivision are found to conform with Chapter 354, Code of Iowa (1999) and all other state and local requirements. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: 1. The said final plat and subdivision located on the above-described real estate be and the same are hereby approved. 2. The City accepts the conditional dedication of the streets, easements as provided by agreement and by law. 3. The Mayor and City Clerk of the City of Iowa City, Iowa, are hereby authorized and directed, upon approval by the City Attorney, to execute all legal documents relating to said subdivision, and to certify a copy of this resolution, which shall be affixed to the final plat after passage and appl'8~rby law. The City Clerk shall record the legal documents and the plat at the office of the County Recorder of Johnson County, Iowa at the expense of the owner/subdivider. Resolution No. 00-232 Page 2 Passed and approved this 29th day of ~lune ,2000. Cityr~ve r~ ~/~ ATTEST: C~LERK ~ It was moved by 0 ' Donne] ] and seconded by Pfab the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X Champion X Kanner X Lehman X O'Donnell X Pfab X Vanderhoef X Wilburn ppdadmin/res/woodland.doc Whereupon, the Mayor declared said Resolution duly adopted as follows: Resolution ~1o. 00-~'33 RESOLUTION AUTHORIZING AND PROVIDING FOR THE I S SUANCE OF $14,310,000 GENERAL OBLIGATION BOND S AND LEVYING A TAX TO PAY SAID BONDS WHEREAS, the Issuer is duly incorporated, organized and exists under and by virtue of the laws and Constitution of the State of Iowa; and WHEREAS, the Issuer is in need of funds to pay costs of the construction, reconstruction, and repairing of improvements to streets, sidewalks and public ways and of facilities useful for the collection and disposal of surface waters and streams; the rehabilitation, improvement and equipping of existing city parks; the reconstruction, extension and improvement of the Municipal Airport; and the improvement of real estate for cemeteries and the construction and reconstruction of other cemetery facilities and the equipping of the Fire Department, essential corporate purposes, and it is deemed necessary and advisable that General Obligation Bonds in the amount of $12,000,000 be issued for said purpose; and WHEREAS, pursuant to notice published as required by Section 384.25 of said Code, this Council has held a public meeting and hearing upon the proposal to institute proceedings for the issuance of said Bonds, and the Council is therefore now authorized to proceed with the issuance of said Bonds; and WHEREAS, the Issuer is in need of funds to pay costs of the development, construction, improvement and equipping of new or undeveloped city parks; roof repair, improvements to the Civic Center; the purchase of computer equipment for City buildings; the acquisition of art for public buildings, general corporate purposes, and it is deemed necessary and advisable that its General Obligation Bonds in the amount of $580,000 be issued for said purpose; and WHEREAS, the Issuer is in need of funds to pay costs of the acquisition, enlargement, improvement and equipping of a Public Works Complex, a general corporate purpose, and it is deemed necessary and advisable that its General Obligation Bonds in the amount of $700,000 be issued for said purpose; and WHEREAS, the Issuer is in need of funds to pay costs of the enlargement, improvement and equipping of a Parks Maintenance Facility, a general corporate -3- purpose, and it is deemed necessary and advisable that its General Obligation Bonds in the amount of $330,000 be issued for said purpose; and WHEREAS, the Issuer is in need of funds to pay costs of the construction of an addition to the Civic Center and renovation of existing portions thereof, a general corporate purpose, and it is deemed necessary and advisable that its General Obligation Bonds in the amount of $700,000 be issued for said purpose; and WHEREAS, the City has a population of more than 5,000 but not more than 75,000; and WHEREAS, pursuant to notice published as required by Section 384.26 of said Code, the Council of the City has held public meetings and hearings upon the proposal to institute proceedings for the issuance of bonds for general corporate purposes in the amounts as above set forth, and, no petition for referendum having been received, the Council is therefore now authorized to proceed with the issuance thereof; and WHEREAS, pursuant to Section 384.28 of the City Code of Iowa, it is hereby found and determined that the various general obligation bonds authorized as hereinabove described shall be combined for the purpose of issuance in a single issue of Corporate Purpose Bonds as hereinafter set forth; and WHEREAS, pursuant to the provisions of Chapter 75 of the Code of Iowa, the above mentioned bonds were heretofore sold at public sale and action should now be taken to issue said bonds conforming to the terms and conditions of the best bid received at the advertised public sale: NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF IOWA CITY, IOWA: Section 1. Definitions. The following terms shall have the following meanings in this Resolution unless the text expressly or by necessary implication requires otherwise: "Authorized Denominations" shall mean $5,000 or any integral multiple thereof. · "Beneficial Owner" shall mean the person in whose name such Bond is recorded as the beneficial owner of a Bond by a Participant on the records of such Participant or such person's subrogee. -4- "Bonds" shall mean $14,310,000 General Obligation Bonds, authorized to be issued by this Resolution. "Cede & Co." shall mean Cede & Co., the nominee of DTC, and any successor nominee of DTC with respect to the Bonds. "Continuing Disclosure Certificate" shall mean that certain Continuing Disclosure Certificate executed by the Issuer and dated the date of issuance and delivery of the Bonds, as originally executed and as it may be mended from time to time in accordance with the terms thereof. "Depository Bonds" shall mean the Bonds as issued in the form of one global certificate for each maturity, registered in the Registration Books maintained by the Registrar in the name of DTC or its nominee. "DTC" shall mean The Depository Trust Company, New York, New York, a limited purpose trust company, or any successor book-entry securities depository appointed for the Bonds. "Issuer" and "City" shall mean the City of Iowa City, Iowa. , "Participants" shall mean those broker-dealers, banks and other financial institutions for which DTC holds Bonds as securities depository. "Paying Agent" shall mean the City Controller, or such successor as may be approved by Issuer as provided herein and who shall carry out the duties prescribed herein as Issuer's agent to provide for the payment of principal of and interest on the Bonds as the same shall become due. "Project Fund" shall mean the fund required to be established by this Resolution for the deposit of the proceeds of the Bonds. "Rebate Fund" shall mean the fund so defined in and established pursuant to the Tax Exemption Certificate. , "Registrar" shall mean the City Controller of Iowa City, Iowa, or such successor as may be approved by Issuer as provided herein and who shall carry out the duties prescribed herein with respect to maintaining a register of the owners of the Bonds. Unless otherwise specified, the Registrar shall also act as Transfer Agent for the Bonds. -5- . "Representation Letter" shall mean the Blanket Issuer Letter of Representations executed and delivered by the Issuer to DTC. "Tax Exemption Certificate" shall mean the Tax Exemption Certificate executed by the Treasurer and delivered at the time of issuance and delivery of the Bonds. "Treasurer" shall mean the City Treasurer or such other officer as shall succeed to the same duties and responsibilities with respect to the recording and payment of the Bonds issued hereunder. Section 2. Levy and Certification of Annual Tax; Other Funds to be Used. (a) Levy of Annual Tax. That for the purpose of providing funds to pay the principal and interest of the Bonds hereinafter authorized to be issued, there is hereby levied for each future year the following direct annual tax on all of the taxable property in Iowa City, Iowa, to-wit: FISCAL YEAR (JULY 1 TO JUNE 30) AMOUNT YEAR OF COLLECTION: $1,383,194 2000/2001 * $1,114,597 2001/2002 $1,084,098 2002/2003 $1,244,097 2003/2004 $1,245,098 2004/2005 $1,244,597 2005/2006 $1,247,597 2006/2007 $1,248,847 2007/2008 $1,248,348 2008/2009 $1,251,097 2009/2010 $1,256,063 2010/2011 $1,253,732 2011/2012 $1,259,363 2012/2013 $1,261,982 2013/2014 $1,266,058 2014/2015 $1,266,733 2015/2016 $1,273,953 2016/2017 $1,276,550 2017/2018 * If not collected from previously budgeted funds to be added to succeeding year. -6- (NOTE: For example the levy to be made and certified against the taxable valuations of January 1, 1999, will be collected during the fiscal year commencing July 1, 2000). (b) Resolution to be Filed With County Auditor. A certified copy of this Resolution should be filed with the County Auditor of Johnson County, Iowa, and said Auditor is hereby instructed in and for each of the years as provided, to levy and assess the tax hereby authorized in Section 2 of this Resolution, in like manner as other taxes are levied and assessed, and such taxes so levied in and for each of the years aforesaid be collected in like manner as other taxes of the City are collected, and when collected be used for the purpose of paying principal and interest on said Bonds issued in anticipation of said tax, and for no other purpose whatsoever. (c) Additional City Funds Available. Principal and interest coming due at any time when the proceeds of said tax on hand shall be insufficient to pay the same shall be promptly paid when due from current funds of the City available for that purpose and reimbursement shall be made from such special fund in the amounts thus advanced. Section 3. Bond Fund. Said tax shall be collected each year at the same time and in the same manner as, and in addition to, all other taxes in and for the City, and when collected they shall be converted into a special fund within the Debt Service Fund to be known as the "GENERAL OBLIGATION BOND FUND 2000 NO. 1" (the "Bond Fund"), which is hereby pledged for and shall be used only for the payment of the principal of and interest on the Bonds hereinafter authorized to be issued; and also there shall be apportioned to said fund its proportion of taxes received by the City from railway, express, telephone and telegraph companies and other taxes assessed by the Iowa State Department of Revenue. Section 4. Application of Bond Proceeds. Proceeds of the Bonds other than accrued interest except as may be provided below shall be credited to the Project Fund and expended therefrom for the purposes of issuance. Any amounts on hand in the Project Fund shall be available for the payment of the principal of or interest on the Bonds at any time that other funds shall be insufficient to the purpose, in which event such funds shall be repaid to the Project Fund at the earliest opportunity. Any balance on hand in the Project Fund and not immediately required for its purposes may be invested not inconsistent with limitations provided by law or this Resolution. Accrued interest, if any, shall be deposited in the Bond Fund. -7- Section 5. Investments of Bond Fund Proceeds. All moneys held in the Bond Fund, provided for by Section 3 of this Resolution shall be invested in investments permitted by Chapter 12B, Code of Iowa, 1999 (formerly Chapter 452, Code of Iowa, as amended) or deposited in financial institutions which are members of the Federal Deposit Insurance Corporation and the deposits in which are insured thereby and all such deposits exceeding the maximum amount insured from time to time by FDIC or its equivalent successor in any one financial institution shall be continuously secured in compliance with the State Sinking Fund provided under Chapter 12C of the Code of Iowa, 1999, as amended or otherwise by a valid pledge of direct obligations of the United States Govemment having an equivalent market value. All such interim investments shall mature before the date on which the moneys are required for payment of principal of or interest on the Bonds as herein provided. Section 6. Bond Details. Execution and Redemption. (a) Bond Details. General Obligation Bonds of the City in the amount of $14,310,000, shall be issued pursuant to the provisions of Section 384.28 of the City Code of Iowa for the aforesaid purposes. The Bonds shall be designated "GENERAL OBLIGATION BOND", be dated July 1, 2000, and bear interest from the date thereof, until payment thereof, at the office of the Paying Agent, said interest payable on December 1, 2000, and semiannually thereafter on the Ist day of June and December in each year until maturity at the rates hereinafter provided. The Bonds shall be executed by the manual or facsimile signature of the Mayor and attested by the manual or facsimile signature of the Clerk, and impressed or printed with the seal of the City and shall be fully registered as to both principal and interest as provided in this Resolution; principal, interest and premium, if any, shall be payable at the office of the Paying Agent by mailing of a check to the registered owner of the Bond. The Bonds shall be in the denomination of $5,000 or multiples thereof. The Bonds shall mature and bear interest as follows: -8- Interest Principal Maturity Rate Amount June 1st 5.00% $ 705,000 2001 5.00% 410,000 2002 5.00% 400,000 2003 5.00% 580,000 2004 5.00% 610,000 2005 5.00% 640,000 2006 5.00% 675,000 2007 5.00% 710,000 2008 5.00% 745,000 2009 5.10% 785,000 2010 5.10% 830,000 2011 5.10% 870,000 2012 5.15% 920,000 2013 5.25% 970,000 2014 5.30% 1,025,000 2015 5.35% 1,080,000 2016 5.45% 1,145,000 2017 5.50% 1,210,000 2018 (b) Redemption. Bonds maturing after June 1, 2008, may be called for redemption by the Issuer and paid before maturity on said date or any date thereafter, from any funds regardless of source, in whole or from time to time in part, in any order of maturity and within an annual maturity by lot. The terms of redemption shall be par, plus accrued interest to date of call. Thirty days' notice of redemption shall be given by ordinary mail to the registered owner of the Bond. Failure to give such notice by mail to any registered owner of the Bonds or any defect therein shall not affect the validity of any proceedings for the redemption of the Bonds. All bonds or portions thereof called for redemption will cease to bear interest after the specified redemption date, provided funds for their redemption are on deposit at the place of payment. If selection by lot within a maturity is required, the Registrar shall designate the bonds to be redeemed by random selection of the names of the registered owners of the entire annual maturity until the total amount of bonds to be called has been reached. -9- Section 7. Issuance of Bonds in Book-Entry Form: Replacement Bonds. (a) Notwithstanding the other provisions of this Resolution regarding registration, ownership, transfer, payment and exchange of the Bonds, unless the Issuer determines to permit the exchange of Depository Bonds for Bonds in the Authorized Denominations, the Bonds shall be issued as Depository Bonds in denominations of the entire principal amount of each maturity of Bonds (or, if a portion of said principal amount is prepaid, said principal amount less the prepaid amount); and such Depository Bonds shall be registered in the name of Cede & Co., as nominee of DTC. Payment of semi-annual interest for any Depository Bond shall be made by wire transfer or New York Clearing House or equivalent next day funds to the account of Cede & Co. on the interest payment date for the Bonds at the address indicated in or pursuant to the Representation Letter. (b) With respect to Depository Bonds, neither the Issuer nor the Paying Agent shall have any responsibility or obligation to any Participant or to any Beneficial Owner. Without limiting the immediately preceding sentence, neither the Issuer nor the Paying Agent shall have any responsibility or obligation with respect to (i) the accuracy of the records of DTC or its nominee or of any Participant with respect to any ownership interest in the Bonds, (ii) the delivery to any Participant, any Beneficial Owner or any other person, other than DTC or its nominee, of any notice with respect to the Bonds, (iii) the payment to any Participant, any Beneficial Owner or any other person, other than DTC or its nominee, of any amount with respect to the principal of, premium, if any, or interest on the Bonds, or (iv) the failure of DTC to provide any information or notification on behalf of any Participant or Beneficial Owner. The Issuer and the Paying Agent may treat DTC or its nominee as, and deem DTC or its nominee to be, the absolute owner of each Bond for the purpose of payment of the principal of, premium, if any, and interest on such Bond, for the purpose of all other matters with respect to such Bond, for the purpose of registering transfers with respect to such Bonds, and for all other purposes whatsoever (except for the giving of certain Bondholder consents, in accordance with the practices and procedures of DTC as may be applicable thereto). The Paying Agent shall pay all principal of, premium, if any, and interest on the Bonds only to or upon the order of the Bondholders as shown on the Registration Books, and all such payments shall be valid and effective to fully satisfy and discharge the Issuer's obligations with respect to the principal of, premium, if any, and interest on the Bonds to the extent so paid. Notwithstanding the provisions of this Resolution to the contrary (including without limitation those provisions relating to the surrender of Bonds, registration thereof, and issuance in Authorized Denominations), as long as the Bonds are Depository Bonds, full effect shall be given to the Representation -10- Letter and the procedures and practices of DTC thereunder, and the Paying Agent shall comply therewith. (c) Upon (i) a determination by the Issuer that DTC is no longer able to carry out its functions or is otherwise determined unsatisfactory, or (ii) a determination by DTC that the Bonds are no longer eligible for its depository services or (iii) a determination by the Paying Agent that DTC has resigned or discontinued its services for the Bonds, the Issuer shall (A) designate a satisfactory substitute depository as set forth below or, if a satisfactory substitute is not found, (B) provide for the exchange of Depository Bonds for replacement Bonds in Authorized Denominations. (d) If the Issuer determines to provide for the exchange of Depository Bonds for Bonds in Authorized Denominations, the Issuer shall so notify the Paying Agent and shall provide the Registrar with a supply of executed unauthenticated Bonds to be so exchanged. The Registrar shall thereupon notify the owners of the Bonds and provide for such exchange, and to the extent that the Beneficial Owners are designated as the transferee by the owners, the Bonds will be delivered in appropriate form, content and Authorized Denominations to the Beneficial Owners, as their interests appear. (e) Any substitute depository shall be designated in writing by the Issuer to the Paying Agent. Any such substitute depository shall be a qualified and registered "clearing agency" as provided in Section 17A of the Securities Exchange Act of 1934, as amended. The substitute depository shall provide for (i) immobilization of the Depository Bonds, (ii) registration and transfer of interests in Depository Bonds by book entries made on records of the depository or its nominee and (iii) payment of principal of, premium, if any, and interest on the Bonds in accordance with and as such interests may appear with respect to such book entries. Section 8. Registration of Bonds; Appointment of Registrar; Transfer; Ownership; Delivery: and Cancellation. (a) Registration. The ownership of Bonds may be transferred only by the making of an entry upon the books kept for the registration and transfer of ownership of the Bonds, and in no other way. The City Controller is hereby appointed as Bond Registrar under the terms of this Resolution. Registrar shall maintain the books of the Issuer for the registration of ownership of the Bonds for the payment of principal of and interest on the Bonds as provided in this Resolution. All Bonds shall be negotiable as provided in Article 8 of the Uniform Commercial Code and Section 384.31 of the Code of Iowa, subject to the -11- provisions for registration and transfer contained in the Bonds and in this Resolution. (b) Transfer. The ownership of any Bond may be transferred only upon the Registration Books kept for the registration and transfer of Bonds and only upon surrender thereof at the office of the Registrar together with an assignment duly executed by the holder or his duly authorized attorney in fact in such form as shall be satisfactory to the Registrar, along with the address and social security number or federal employer identification number of such transferee (or, if registration is to be made in the name of multiple individuals, of all such transferees). In the event that the address of the registered owner of a Bond (other than a registered owner which is the nominee of the broker or dealer in question) is that of a broker or dealer, there must be disclosed on the Registration Books the information pertaining to the registered owner required above. Upon the transfer of any such Bond, a new fully registered Bond, of any denomination or denominations permitted by this Resolution in aggregate principal amount equal to the unmatured and unredeemed principal amount of such transferred fully registered Bond, and bearing interest at the same rate and maturing on the same date or dates shall be delivered by the Registrar. (c) Registration of Transferred Bonds. In all cases of the transfer of the Bonds, the Registrar shall register, at the earliest practicable time, on the Registration Books, the Bonds, in accordance with the provisions of this Resolution. (d) Ownership. As to any Bond, the person in whose name the ownership of the same shall be registered on the Registration Books of the Registrar shall be deemed and regarded as the absolute owner thereof for all purposes, and payment of or on account of the principal of any such Bonds and the premium, if any, and interest thereon shall be made only to or upon the order of the registered owner thereof or his legal representative. All such payments shall be valid and effectual to satisfy and discharge the liability upon such Bond, including the interest thereon, to the extent of the sum or sums so paid. (e) Cancellation. All Bonds which have been redeemed shall not be reissued but shall be cancelled by the Registrar. All Bonds which are cancelled by the Registrar shall be destroyed and a certificate of the destruction thereof shall be furnished promptly to the Issuer; provided that if the Issuer shall so direct, the Registrar shall forward the cancelled Bonds to the Issuer. -12- (f) Non-Presentment of Bonds. In the event any payment check representing payment of principal of or interest on the Bonds is returned to the Paying Agent or if any bond is not presented for payment of principal at the maturity or redemption date, if funds sufficient to pay such principal of or interest on Bonds shall have been made available to the Paying Agent for the benefit of the owner thereof, all liability of the Issuer to the owner thereof for such interest or payment of such Bonds shall forthwith cease, terminate and be completely discharged, and thereupon it shall be the duty of the Paying Agent to hold such funds, without liability for interest thereon, for the benefit of the owner of such Bonds who shall thereafter be restricted exclusively to such funds for any claim of whatever nature on his part under this Resolution or on, or with respect to, such interest or Bonds. The Paying Agent's obligation to hold such funds shall continue for a period equal to two years and six months following the date on which such interest or principal became due, whether at maturity, or at the date fixed for redemption thereof, or otherwise, at which time the Paying Agent, shall surrender any remaining funds so held to the Issuer, whereupon any claim under this Resolution by the Owners of such interest or Bonds of whatever nature shall be made upon the Issuer. (g) Registration and Transfer Fees. The Registrar may furnish to each owner, at the Issuer's expense, one bond for each annual maturity. The Registrar shall fumish additional bonds in lesser denominations (but not less than the minimum denomination) to an owner who so requests. Section 9. Reissuance of Mutilated. Destroyed. Stolen or Lost Bonds. In case any outstanding Bond shall become mutilated or be destroyed, stolen or lost, the Issuer shall at the request of Registrar authenticate and deliver a new Bond of like tenor and amount as the Bond so mutilated, destroyed, stolen or lost, in exchange and substitution for such mutilated Bond to Registrar, upon surrender of such mutilated Bond, or in lieu of and substitution for the Bond destroyed, stolen or lost, upon filing with the Registrar evidence satisfactory to the Registrar and Issuer that such Bond has been destroyed, stolen or lost and proof of ownership thereof, and upon fumishing the Registrar and Issuer with satisfactory indemnity and complying with such other reasonable regulations as the Issuer or its agent may prescribe and paying such expenses as the Issuer may incur in connection therewith. Section 10. Record Date. Payments of principal and interest, otherwise than upon full redemption, made in respect of any Bond, shall be made to the registered holder thereof or to their designated agent as the same appear on the books of the Registrar on the 15th day preceding the payment date. All such payments shall fully discharge the -13- obligations of the Issuer in respect of such Bonds to the extent of the payments so made. Payment of principal shall only be made upon surrender of the Bond to the Paying Agent. Section 11. Execution. Authentication and Delivery of the Bonds. Upon the adoption of this Resolution, the Mayor and Clerk shall execute and deliver the Bonds to the Registrar, who shall authenticate the Bonds and deliver the same to or upon order of the Purchaser. No Bond shall be valid or obligatory for any purpose or shall be entitled to any right or benefit hereunder unless the Registrar shall duly endorse and execute on such Bond a Certificate of Authentication substantially in the form of the Certificate herein set forth. Such Certificate upon any Bond executed on behalf of the Issuer shall be conclusive evidence that the Bond so authenticated has been duly issued under this Resolution and that the holder thereof is entitled to the benefits of this Resolution. Section 12. Right to Name Substitute Paying Agent or Registrar. Issuer reserves the right to name a substitute, successor Registrar or Paying Agent upon giving prompt written notice to each registered bondholder. -14- Section 13. Form of Bond. Bonds shall be printed in substantial compliance with standards proposed by the American Standards Institute substantially in the form as follows: I c7~ I I c8~ I (1) I c2~ I I {3~ II {4> II c5~ I (9) I (9a) I (10) (Continued on the back of this Bond) (11)(12)(13) [ I (14) [ I (15) FIGURE 1 (Front) -15- (lo) (16) (Continued) FIGURE 2 (Back) -16- The text of the Bonds to be located thereon at the item numbers shown shall be as follows: Item 1, figure 1 = "STATE OF IOWA" "COUNTY OF JOHNSON" "CITY OF IOWA CITY" "GENERAL OBLIGATION BOND" "CORPORATE PURPOSE" Item 2, figure 1 = Rate: Item 3, figure 1= Maturity: Item 4, figure 1= Bond Date: July 1, 2000 Item 5, figure 1= Cusip No.: Item 6, figure 1= "Registered" Item 7, figure 1= Certificate No. Item 8, figure 1= Principal Amount: $ Item 9, figure 1 = The City of Iowa City, Iowa, a municipal corporation organized and existing under and by virtue of the Constitution and laws of the State of Iowa (the "Issuer"), for value received, promises to pay from the source and as hereinaf~er provided, on the maturity date indicated above, to Item 9A, figure 1 = (Registration panel to be completed by Registrar or Printer with name of Registered Owner). Item 10, figure 1 = or registered assigns, the principal sum of (principal amount written out) THOUSAND DOLLARS in lawful money of the United States of America, on the maturity date shown above, only upon presentation and surrender hereof at the office of the City Controller, Paying Agent of this issue, or its successor, with interest on said sum from the date hereof until paid at the rate per annum specified above, payable on December 1, 2000, and semiannually thereafter on the 1st day of June and December in each year. Interest and principal shall be paid to the registered holder of the Bond as shown on the records of ownership maintained by the Registrar as of the 15th day preceding such interest payment date. Interest shall be computed on the basis of a 360-day year of twelve 30-day months. This Bond is issued pursuant to the provisions of Section 384.28 of the City Code of Iowa, for the purpose of paying costs of the construction, reconstruction, and repairing -17- of improvements to streets, sidewalks and public ways and of facilities useful for the collection and disposal of surface waters and streams; the rehabilitation, improvement and equipping of existing city parks; the reconstruction, extension and improvement of the Municipal Airport; the improvement of real estate for cemeteries and the construction and reconstruction of other cemetery facilities; the equipping of the Fire Department; the development, construction, improvement and equipping of new or undeveloped city parks; roof repair, improvements to the Civic Center; the purchase of computer equipment for City buildings; the acquisition of art for public buildings; the acquisition, enlargement, improvement and equipping of a Public Works Complex; the enlargement, improvement and equipping of a Parks Maintenance Facility; and the construction of an addition to the Civic Center and renovation of existing portions thereof, in conformity to a Resolution of the Council of said City duly passed and approved. Unless this certificate is presented by an authorized representative of The Depository Trust Company, a limited purpose trust company CDTC"), to the Issuer or its agent for registration of transfer, exchange or payment, and any certificate issued is registered in the name of Cede & Co. or such other name as requested by an authorized representative of DTC (and any payment is made to Cede & Co. or to such other entity as is requested by an authorized representative of DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL inasmuch as the registered owner hereof, Cede & Co., has an interest herein. Bonds maturing after June 1, 2008, may be called for redemption by the Issuer and paid before maturity on said date or any date thereafter, from any funds regardless of source, in whole or from time to time in part, in any order of maturity and within an annual maturity by lot. The terms of redemption shall be par, plus accrued interest to date of call. Thirty days' notice of redemption shall be given by ordinary mail to the registered owner of the Bond. Failure to give such notice by mail to any registered owner of the Bonds or any defect therein shall not affect the validity of any proceedings for the redemption of the Bonds. All bonds or portions thereof called for redemption will cease to bear interest after the specified redemption date, provided funds for their redemption are on deposit at the place of payment. If selection by lot within a maturity is required, the Registrar shall designate the bonds to be redeemed by random selection of the names of the registered owners of the entire annual maturity until the total amount of bonds to be called has been reached. -18- Ownership of this Bond may be transferred only by transfer upon the books kept for such purpose by the City Controller, the Registrar. Such transfer on the books shall occur only upon presentation and surrender of this Bond at the office of the Registrar as designated below, together with an assignment duly executed by the owner hereof or his duly authorized attorney in the form as shall be satisfactory to the Registrar. Issuer reserves the fight to substitute the Registrar and Paying Agent but shall, however, promptly give notice to registered bondholders of such change. All bonds shall be negotiable as provided in Article 8 of the Uniform Commercial Code and Section 384.31 of the Code of Iowa, subject to the provisions for registration and transfer contained in the Bond Resolution. And it is hereby represented and certified that all acts, conditions and things requisite, according to the laws and Constitution of the State of Iowa, to exist, to be had, to be done, or to be performed precedent to the lawful issue of this Bond, have been existent, had, done and performed as required by law; that provision has been made for the levy of a sufficient continuing annual tax on all the taxable property within the territory of the Issuer for the payment of the principal and interest of this Bond as the same will respectively become due; that the faith, credit, revenues and resources and all the real and personal property of the Issuer are irrevocably pledged for the prompt payment hereof, both principal and interest; and the total indebtedness of the Issuer including this Bond, does not exceed the constitutional or statutory limitations. IN TESTIMONY WHEREOF, the Issuer by its Council, has caused this Bond to be signed by the manual signature of its Mayor and attested by the manual signature of its City Clerk, with the seal of said City impressed hereon, and to be authenticated by the manual signature of an authorized representative of the Registrar, the City Controller, Iowa City, Iowa. Item 11, figure 1 = Date ofauthentication: Item 12, figure 1 = This is one of the Bonds described in the within mentioned Resolution, as registered by the City Controller. CITY CONTROLLER, Registrar By: Authorized Signature Item 13, figure 1 = Registrar and Transfer Agent: City Controller Paying Agent: City Controller -19- SEE REVERSE FOR CERTAIN DEFINITIONS Item 14, figure 1 = (Seal) Item 15, figure 1 = [Signature Block] CITY OF IOWA CITY, IOWA By: (manual signature) Mayor ATTEST: By: (manual signature) City Clerk Item 16, figure 2 = [Assignment Block] [Information Required for Registration] ASSIGNMENT For value received, the undersigned hereby sells, assigns and transfers unto (Social Security or Tax Identification No. ) the within Bond and does hereby irrevocably constitute and appoint attorney in fact to transfer the said Bond on the books kept for registration of the within Bond, with full power of substitution in the premises. Dated (Person(s) executing this Assignment sign(s) here) SIGNATURE ) GUARANTEED) -20- IMPORTANT - READ CAREFULLY The signature(s) to this Power must correspond with the name(s) as written upon the face of the certificate(s) or bond(s) in every particular without alteration or enlargement or any change whatever. Signature guarantee must be provided in accordance with the prevailing standards and procedures of the Registrar and Transfer Agent. Such standards and procedures may require signature to be guaranteed by certain eligible guarantor institutions that participate in a recognized signature guarantee program. INFORMATION REQUIRED FOR REGISTRATION OF TRANSFER Name of Transferee(s) Address of Transferee(s) Social Security or Tax Identification Number of Transferee(s) Transferee is a(n):Individual* Corporation Partnership Trust *If the Bond is to be registered in the names of multiple individual owners, the names of all such owners and one address and social security number must be provided. The following abbreviations, when used in the inscription on the face of this Bond, shall be construed as though written out in full according to applicable laws or regulations: TEN COM - as tenants in common TEN ENT - as tenants by the entireties JT TEN - as joint tenants with right of survivorship and not as tenants in tommoil IA UNIF TRANS MIN ACT - . ...........Custodian ............ (Cust) (Minor) under Iowa Uniform Transfers to Minors Act ................... (State) ADDITIONAL ABBREVIATIONS MAY ALSO BE USED THOUGH NOT IN THE ABOVE LIST -21- Section 14. Contract Between Issuer and Purchaser. This Resolution constitutes a contract between said City and the purchaser of the Bonds. Section 15. Non-Arbitrage Covenants. The Issuer reasonably expects and covenants that no use will be made of the proceeds from the issuance and sale of the Bonds issued hereunder which will cause any of the Bonds to be classified as arbitrage bonds within the meaning of Sections 148(a) and (b) of the Internal Revenue Code of the United States, as amended, and that throughout the term of the Bonds it will comply with the requirements of statutes and regulations issued thereunder. To the best knowledge and belief of the Issuer, there are no facts or circumstances that would materially change the foregoing statements or the conclusion that it is not expected that the proceeds of the Bonds will be used in a manner that would cause the Bonds to be arbitrage bonds. Without limiting the generality of the foregoing, the Issuer hereby agrees to comply with the provisions of the Tax Exemption Certificate and the provisions of the Tax Exemption Certificate are hereby incorporated by reference as part of this Resolution. The Treasurer is hereby directed to make and insert all calculations and determinations necessary to complete the Tax Exemption Certificate in all respects and to execute and deliver the Tax Exemption Certificate at issuance of the Bonds to certify as to the reasonable expectations and covenants of the Issuer at that date. Section 16. Severability Clause. If any section, paragraph, clause or provision of this Resolution be held invalid, such invalidity shall not affect any of the remaining provisions hereof, and this Resolution shall become effective immediately upon its passage and approval. Section 17. Continuing Disclosure. The Issuer hereby covenants and agrees that it will comply with and carry out all of the provisions of the Continuing Disclosure Certificate, and the provisions of the Continuing Disclosure Certificate are hereby incorporated by reference as part of this Resolution and made a part hereof. Notwithstanding any other provision of this Resolution, failure of the Issuer to comply with the Continuing Disclosure Certificate shall not be considered an event of default under this Resolution; however, any holder of the Bonds or Beneficial Owner may take such actions as may be necessary and appropriate, including seeking specific performance by court order, to cause the Issuer to comply with its obligations under the Continuing Disclosure Certificate. For purposes of this section, "Beneficial Owner" means any person which (a) has the power, directly or indirectly, to vote or consent with respect to, or to dispose of ownership of, any Bond (including persons holding Bonds through nominees, depositories or other intermediaries), or (b) is treated as the owner of any Bonds for federal income tax purposes. Section 18. Additional Covenants. Representations and Warranties of the Issuer. The Issuer certifies and covenants with the purchasers and holders of the Bonds from time to time outstanding that the Issuer through its officers, (a) will make such further specific covenants, representations and assurances as may be necessary or advisable; (b) comply with all representations, covenants and assurances contained in the Tax Exemption Certificate, which Tax Exemption Certificate shall constitute a part of the contract between the Issuer and the owners of the Bonds; (c) consult with bond counsel (as defined in the Tax Exemption Certificate); (d) pay to the United States, as necessary, such sums of money representing required rebates of excess arbitrage profits relating to the Bonds; (e) file such forms, statements and supporting documents as may be required and in a timely manner; and (f) if deemed necessary or advisable by its officers, to employ and pay fiscal agents, financial advisors, attorneys and other persons to assist the Issuer in such compliance. Section 19. Amendment of Resolution to Maintain Tax Exemption. This Resolution may be amended without the consent of any owner of the Bonds if, in the opinion of bond counsel, such amendment is necessary to maintain tax exemption with respect to the Bonds under applicable Federal law or regulations. Section 20. Repeal of Conflicting Resolutions or Ordinances. That all ordinances and resolutions and parts of ordinances and resolutions in conflict herewith are hereby repealed. PASSED AND APPROVED this 291hday of June .2000. ATTEST: PGOODRICHX238682\1 \10714056 -23 - 06/22/00 THU 09:11 FAX 515 243 2149 AItLERS LAW FIRM ~004 6/29/00 Council Member moved that the form of Tax Exemption Certificate bc placed on file and approve& Council Member seconded the motion. ?he roll was called and the vote was, AYES: / NAYS: ' Council Member. that the form of Continuing Disclosure C~ificate be plac~d on ffie and Council Member s~Conded the motion. The called and the vote was, AYES: \ \ NAYS: Council Member introduced the following Resolution entitled "RESOLUTION AND PROVIDING FOR THE ISSUANCE OF $14,310,000 OBL] BONDS AND LEVYING A. TAX TO PAY SAID BONDS" that it be Council Member s the motion to adopt, an~ the roll being called thereon, the vote was as follows: \ \ \, AYES: \ : / NAYS: ~ _ -2-