18-42 Modifying and Reconfirming Resolution for Historic JMS Building

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MEMORANDUM OF AGREEMENT This Memorandum of Agreement (Agreement) dated as of the 3rd day of June, 2015, serves as confirmation of a commitment by Historic JMS Building, LLC (the "Applicant"), pending a June 22, 2015 public hearing, to comply with the project description,job creation and retention (and associated wage rates and salaries) figures contained in its petition, Statement of Benefits, and attachments and this Agreement(Commitments). 1. Commitments of City and Applicant. Subject to the adoption of a Declaratory Resolution and a Confirmatory Resolution by the South Bend Common Council (the "SBCC"), the City of South Bend, Indiana (the "City") commits to providing a (10) ten-year real property tax abatement for the Applicant, based on the Applicant's commitment set forth in Commitments regarding the renovation and repositioning of a building located on property identified as 106- 110 North Main St., South Bend, IN 46601 approved as part of the Commitments. The Applicant commits to a capital expenditure (from all sources of funds) of$7,600,000 to renovate and reposition an existing building. This project will create 8 jobs in the first 5 years. 2. Potential Impact of State of Indiana Circuit Breaker Law: The parties note that the calculations regarding the affect of the tax abatement in question are based on the State of Indiana's tax rates currently in effect at the time of entering into this Memorandum of Agreement. The complete impact of the State of Indiana's Circuit Breaker law on the City's property tax revenues is unknown at this time. To assure that the City receives the projected amount of property tax revenues, which amount was calculated at the time of granting the tax abatement for the Applicant, the parties to this Memorandum of Agreement agree to adjust the length of the abatement and/or the percentage of deduction if the tax revenues due under the Circuit Breaker Law are less than what was initially projected and represented to the Common Council, as evidenced by the supporting documentation submitted to the Council with the Applicant's tax abatement petition. However, in no case will the adjustments cause the property taxes to be paid to exceed the tax payments as initially projected and represented to the Common Council by the aforementioned supporting documentation. 3. Applicant's Compliance with City and State Laws. During the term of the abatement, the Applicant shall comply with Chapter 2, Article 6 of the South Bend Municipal