No. 2394 approving a Development Agreement with Douglas Road Retail Partners L.P., Douglas Road Partners L.P. and the City of South Bend, Indiana and other related matters

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• F. Douglas Road Economic Development Area. The entire Area has been designed as an allocation area under Indiana Code §36-7-14-39 for purposes of collecting TIF Revenues. The Commission will pledge to the repayment of the Bonds and the other uses provided in Section II(G) hereof the TIF Revenues of the Area, as currently constituted and as expanded in the future, at the request of the Developer, to include the parcels depicted at Exhibit A and any property annexed into the City and made a part of the Area that is west of the current Area, east of State Road 23, south of the northern boundary line of the current Area if it were extended to State Road 23, and north of the southern boundary of the current Area if it were extended to State Road 23, as also depicted on Exhibit A (collectively, the "Maximum Allocation Area"). To the extent the Area is amended to include property not within the aforementioned described Maximum Allocation Area, the Commission may, but is not obligated to, pledge any tax increment revenues from those parcels to the payment of the Bonds or the City Obligation. The Commission may only pledge TIF Revenues from parcels in the Area to the extent they are annexed into the City and added to the Area. While it is the intent of the Commission to expand the Area to include the Maximum Allocation Area to the extent they are voluntarily annexed and scheduled for development, the addition of the property to the Area is subject to the Commission's completion of the procedures required under Indiana Code § 36-7- 14 and the City's completion of its annexation procedures and of its expansion procedures for economic development area, which are subject to the approval of the South Bend Common Council. The Developer and DRP hereby consents and agrees to the City's annexation of any property they own or may own in the Maximum Allocation and to the Commission's expansion of the Area to include said property. The Developer and DRP further commit to work with the City and the Commission to add said property to the Area in a manner that will maximize the TIF Revenues of the Area. The Commission will not approve an application for tax abatement in the Area as it currently exists or as it is proposed to be expanded as depicted at Exhibit A, without the prior consent of the Developer. G. Excess TIF Revenues. Available TIF Revenues in excess of those necessary to meet the Commission's obligations with respect to the Bonds as set forth in the Bond Resolution shall be deposited into the debt service reserve fund of the Bonds to reduce the Debt Service Obligation. In reducing the Debt Service Obligation, the face value of the security acting as the debt service reserve shall be reduced by the amount of TIF Revenues deposited or any funds placed on deposit in the debt service reserve by the Developer (or the security provider in the Developer's stead) shall be refunded to the Developer without interest. Any available TIF Revenues in excess of those necessary to fulfill all of the foregoing shall be used first to pay debt service payments on the City Obligation due and owing and then to reimburse the Developer or • 8