Source: https://chicago.legistar.com/LegislationDetail.aspx?ID=3980666&GUID=D7544671-7EEE-4FA0-B4C5-90C0A3280AA0&Options=&Search=&FullText=1
Timestamp: 2020-02-23 21:33:56
Document Index: 502511825

Matched Legal Cases: ['§ 9601', '§ 6901', '§ 5101', '§ 1251', '§ 7401', '§2601', '§ 136', '§ 651', 'art 742', '§15', '§23', 'art 742', 'art 60']

WHEREAS, The appraised value of the Property as of April 30, 2019 is $260,000 ("Appraised Value"); and
WHEREAS, Franklin Holdings, LLC - Twenty-Eighth Series, an Illinois limited liability company ("Developer"), has offered to purchase the Property from the City for $254,345.63 ("Purchase Price", which is the Appraised Value less closing credits of $5,654.37 for Developer's payment of a title commitment, appraisals and environmental Phase I and Phase II) and to build a 6-unit residential building ("Building) on the Property (the "Project"); and
WHEREAS, By Resolution No. 19-015-21, adopted on March 21, 2019, the Chicago Plan Commission approved the sale of the Property to the Developer; and
WHEREAS, By Resolution No. 19-CDC-10, adopted on March 12, 2019, the CDC authorized the City through its Department of Housing ("DOH") to advertise its intent to negotiate a sale with the Developer and to request alternative proposals for the redevelopment of the Property,
and recommended the sale of the Property to the Developer if no responsive alternative proposals were received at the conclusion of the advertising period, or, if alternative proposals were received, if DOH determined in its sole discretion that it was in the best interest of the City to proceed with the Developer's proposal; and
|1010|EXHIBIT A LEGAL DESCRIPTION OF PROPERTY
LOTS 8 AND 9 IN THE SUBDIVISION OF JARIUS WILCOX OF THE NORTH HALF OF BLOCK 60 IN THE CANAL TRUSTEES' SUBDIVISION OF SECTION 7, TOWNSHIP 39 NORTH, RANGE 14, EAST OF THE THIRD PRINCIPAL MERIDIAN, IN COOK COUNTY, ILLINOIS.
PIN: 17-07-327-009
Commonly known as: 2021-2023 West Washington Boulevard, Chicago, Illinois 60612
an Illinois municipal corporation ("City"), acting by and through its Department of Housing ("DOH"), having its principal offices at City Hall, 121 North LaSalle Street, Chicago, Illinois 60602, and FRANKLIN HOLDINGS, LLC - TWENTY-EIGHTH SERIES, an Illinois limited liability company ("Developer"), having its principal offices at 9462 Franklin Avenue, Franklin Park, Illinois 60131.
WHEREAS, the City owns that certain property commonly known as 2021-2023 West Washington, Chicago, Illinois, as legally described on Exhibit A attached hereto (the "Property"); and
WHEREAS, the Developer desires to purchase the Property from the City in order to construct a 6-unit residential building ("Building") on the Property ("Project"); and
WHEREAS, the appraised value of the Property as of as of April 30, 2019 is $260,000.00 (the "Appraised Value"); and
WHEREAS, the City has agreed to sell the Property to the Developer for $254,345.63 ("Purchase Price", which is the Appraised Value less closing credits of $5,654.37 for Developer's payment of a title commitment, appraisals and environmental Phase I and Phase II) in consideration of the Developer's obligations to construct the Project in accordance with the terms and conditions of this Agreement; and
WHEREAS, the estimated cost of the Project is $1,900,000, as set forth in the preliminary budget attached hereto as Exhibit C; and
WHEREAS, as security for the Developer's completion of construction ofthe Project and compliance with the use restrictions set forth herein, the Developer has agreed to execute a reconveyance deed in a form acceptable to the City (the "Reconveyance Deed"); and
"Affiliate(s)" when used to indicate a relationship with a specified person or entity, means a person or entity that, directly or indirectly, through one or more intermediaries, controls, is controlled by or is under common control with such specified person or entity; and a person or entity shall be deemed to be controlled by another person or entity, if controlled in any manner whatsoever that results in control in fact by that other person or entity (or that other person or entity and any person or entities with whom that other person or entity is acting jointly or in concert), whether directly or indirectly and whether through share ownership, a trust, a contract or otherwise.
"Architect" means Hanna Architects.
"Budget" is defined in Section 9. "Bundle" is defined in Section 27.7(a).
"Certificate of Completion" is defined in Section 14. "City" is defined in the Preamble to the Recitals. "City Contract" is defined in Section 24.1(i).
"Environmental Laws" means any and all Laws relating to the regulation and protection of human health, safety, the environment and natural resources now or hereafter in effect, as amended or supplemented from time to time, including, without limitation, the Comprehensive Environmental Response, Compensation and Liability Act, 42 U.S.C. § 9601 et seq., the Resource Conservation and Recovery Act, 42 U.S.C. § 6901 et seg., the Hazardous Materials Transportation Act, 49 U.S.C. § 5101 et seq., the Federal Water Pollution Control Act, 33 U.S.C. § 1251 et seg, the Clean Air Act, 42 U.S.C. § 7401 et seg., the Toxic Substances Control Act, 15 U.S.C. §2601 et seg., the Federal Insecticide, Fungicide, and Rodenticide Act, 7 U.S.C. § 136 et seg., the Occupational Safety and Health Act, 29 U.S.C. § 651 et seq any and all regulations promulgated under such Laws, and all analogous state and local counterparts or equivalents of such Laws, including, without limitation, the Illinois Environmental Protection Act, 415 ILCS 5/1 et seq., and the common law, including, without limitation, trespass and nuisance.
"Equity" means funds of the Developer (other than funds derived from any Lender Financing) irrevocably available for the Project, and unencumbered by any other obligation.
"Final NFR Letter" means a final comprehensive "No Further Remediation" letter issued by the IEPA approving the use of the Property for the construction, development and operation of the Project in accordance with the site plan approved by the City and the terms and conditions of the SRP Documents, as amended or supplemented from time to time. The Final NFR Letter shall state that the Property meets TACO Tier 1 remediation objectives for residential properties and the construction worker exposure route as set forth in 35 III. Adm.
Code Part 742, but may be reasonably conditioned upon use and maintenance of engineered barriers and other institutional or engineering controls acceptable to the IEPA.
"General Contractor" means NL Development.
"Lender Financing" means any funds borrowed by the Developer from Lenders, available to pay for the costs of the Project (or any portion thereof).
"Outside Closing Date" is defined in Section 5. "Owners" is defined in Section 27.1. "Partv(ies)" means the City and the Developer.
"Project" means a high-end masonry, residential building consisting of 6 2-bedroom units
each approximately 1,300 square feet to be sold at a price of approximately $300,000 per unit
or rented at a monthly rental rate of approximately $	/month.
"Reconveyance Deed(s)" is defined in the Recitals.
"Survey" means a Class A plat of survey in the most recently revised form of ALTA/ACSM urban survey of the Property dated within 45 days prior to the Closing Date, acceptable in form and content to the City and the Title Company, prepared by a surveyor registered in the State of Illinois, certified to the City and the Title Company, and indicating whether the Property is in a flood hazard area as identified by the United States Federal Emergency Management Agency (and updates thereof to reflect improvements to the Property in connection with the construction of the Project as required by the City or any Lender(s) providing Lender Financing.
(a) The terms defined in this Section 2 and elsewhere in this Agreement include the plural as well as the singular.
The Closing shall take place at the downtown offices of the Title Company within seven (7) Business Days after the Developer has satisfied all conditions precedent set forth in Section 10 hereof, unless DOH, in its sole discretion, waives such conditions (the "Closing Date"V,
provided, however, in no event shall the Closing Date occur any later than	, 201 _
(the "Outside Closing Date"), unless the Commissioner of DOH, in his or her sole discretion, extends such Outside Closing Date. On or before the Closing Date, the City shall deliver to the Title Company the Deed, all necessary state, county and municipal real estate transfer tax declarations, and an ALTA statement.
6.1	Form of City Deed. The City shall convey the Property to the Developer by
quitclaim deed ("Deed"), subject to the terms of this Agreement and, without limiting the
quitclaim nature ofthe deed, the following:
the Redevelopment Plan for the Redevelopment Area;
6.2	Recording. At the Closing, the Developer shall pay to record the Deed, this
Agreement, and any other documents incident to the conveyance of the Property to the
Developer. This Agreement shall be recorded prior to any mortgage made in connection with any Lender Financing. Upon recording, the Developer shall immediately transmit to the City an executed original of this Agreement showing the date and recording number.
6.3 Reconveyance Deed. On the Closing Date, the Developer shall execute and deliver a Reconveyance Deed to the City to be held in trust. The Developer acknowledges and agrees that the City shall have the right to record the Reconveyance Deed and revest title to the Property and all improvements thereon in the City in accordance with Section 19 hereof.
The Developer has furnished to DOH, and DOH has approved, a preliminary budget showing total costs for construction of the Project in the amount of $1,900,000. The Developer hereby certifies to the City that the preliminary budget for the Project attached hereto as Exhibit C is true, correct and complete in all material respects. Not less than seven (7) Business Days prior to the Closing Date, the Developer shall submit to DOH for approval a final budget for the Project (the "Budget") and Proof of Financing. The Developer shall promptly deliver to DOH
certified copies of any Change Orders with respect to the Budget for approval pursuant to Section 11.2 hereof.
Proof of Financing: Simultaneous Loan Closing. The Developer has submitted to DOH, and DOH has approved, the Proof of Financing for'the Project in accordance with the provisions of Section 9 hereof. On the Closing Date, the Developer shall simultaneously close any Lender Financing approved pursuant to Section 9.
Title. On the Closing Date, the Developer shall furnish the City with a copy of the pro forma Title Policy for the Property,, certified by the Title Company, showing the Developer as the named insured. The Title Policy shall be dated as of the Closing Date and shall evidence the recording of this Agreement. The Title Policy shall also contain such endorsements as the Corporation Counsel shall request, including, but not limited to, an owner's comprehensive endorsement and satisfactory endorsements regarding contiguity, location, access and survey.
Affirmation of Reporting Requirements. The Developer has provided to the Corporation Counsel an Affirmation of Reporting Requirements in the City's then current form, dated as of the Closing Date.
MBEA/VBE and City Residency Hiring Compliance Plan. The Developer and the Developer's General Contractor and all major subcontractors have met with staff from DOH regarding compliance with the MBEAA/BE, city residency hiring and other requirements set forth in Section 23, and DOH has approved the Developer's compliance plan in accordance with Section 23.4.
11.1 Plans and PermitsError! Bookmark not defined The Developer shall construct the Project on the Property in accordance with the drawings and specifications prepared by the Architect, and attached hereto as Exhibit B ("Preliminary Drawings") and the Final Plans. No material deviation from the Preliminary Drawings may be made without the prior written approval of DOH. The Preliminary Drawings and the Final Plans shall at all times conform to the Redevelopment Plan and all applicable Laws. If the Developer submits and DOH approves revised drawings and specifications after the Effective Date, the term "Preliminary Drawings" as
used herein shall refer to the revised drawing and specifications upon DOH's written approval of the same The Developer shall submit all necessary documents to the City's Building Department, Department of Transportation and such other City departments or governmental authorities as may be necessary to acquire Governmental Approvals for the Project.
Employment Opportunity; Progress Reports. The Developer covenants and agrees to abide by, and contractually obligate and cause the General Contractor and each subcontractor to abide by the terms set forth in Section 23.2 (City Resident Construction Worker Employment Requirement) and Section 23.3 (MBEA/VBE Commitment) of this Agreement. The Developer shall deliver to the City written progress reports detailing compliance with such requirements on a quarterly basis. If any such reports indicate a shortfall in compliance, the Developer shall also deliver a plan to DOH which shall outline, to DOH's satisfaction, the manner in which the Developer shall correct any shortfall.
City's Right to Inspect Property. For the period commencing on the Closing Date and continuing through the date the City issues the Certificate of Completion, any authorized representative of the City shall have access to the relevant portions of the Project and the Property at all reasonable times for the purpose of determining whether the Developer is constructing the Project in accordance with the terms of this Agreement, the Plans and Specifications, the Budget, and all applicable Laws and covenants and restrictions of record.
Barricades and Signs. The Developer shall, at its sole cost and expense, erect and maintain such signs as the City may reasonably require during the Project, identifying the site as a City redevelopment project. The City reserves the right to include the name, photograph, artistic rendering of the Project and other pertinent information regarding the
Any approval given by DOH pursuant to this Agreement is for the purpose of this Agreement only and does not constitute the approval required by the City's Department of Buildings or any other City department, nor does such approval constitute an approval of the quality, structural soundness or safety of any improvements located or to be located on the Property, or the compliance of said improvements with any Laws, private covenants, restrictions of record, or any agreement affecting the Property or any part thereof.
may extend the construction commencement and completion dates by up to six (6) months each (or twelve (12) months in the aggregate). The Developer shall construct the Project in accordance with this Agreement, the Plans and Specifications, the Budget, and all applicable Laws and covenants and restrictions of record.
Final NFR Letter. The Developer shall comply with all land use restrictions, institutional controls and other terms and conditions contained in the Final NFR Letter, if any, for the Property.
Prior to the issuance of the Certificate of Completion for the Project, the Developer may not, without the prior written consent of DOH, which consent shall be in DOH's sole discretion: (a) directly or indirectly sell, transfer, convey, lease or otherwise dispose of all or any portion of the Property or the Project or any interest therein; or (b) directly or indirectly assign this Agreement (other than to a lender for collateral assignment purposes as permitted under Section 17). The Developer acknowledges and agrees that DOH may withhold its consent under (a) or (b) above if, among other reasons, the proposed purchaser, transferee or assignee (or
such entity's principal officers or directors) is in violation of any Laws, or if the Developer fails to submit sufficient evidence of the financial responsibility, business background and reputation of the proposed purchaser, transferee or assignee.
Limitation upon Encumbrance of Project Site. Prior to the issuance of the Certificate of Completion, the Developer may not, without the prior written consent of DOH, which consent shall be in DOH's sole discretion, engage in any financing or other transaction which would create an encumbrance or lien on the Property, except for any Lender Financing approved pursuant to Section 9, which shall be limited to funds necessary to construct the Project.
Mortgagees Not Obligated to Construct. Notwithstanding any other provision of this Agreement or of the Deed, the holder of any mortgage authorized by this Agreement (or any affiliate of such holder) shall not itself be obligated to construct or complete the Project, or to guarantee such construction or completion, but shall be bound by the other covenants running with the land specified in Section 18 and, at the Closing, shall execute a subordination agreement in accordance with Section 10.14. If any such mortgagee or its affiliate succeeds to the Developer's interest in the Property (or any portion thereof) prior to the issuance of the Certificate of Completion, whether by foreclosure, deed-in-lieu of foreclosure or otherwise, and thereafter transfers its interest in the Property (or any portion thereof) to another party, such transferee shall be obligated to complete the Project (or such portion of the Project located on the land so transferred), and shall also be bound by the other covenants running with the land specified in Section 18.
§15.2	NFR Requirements	In accordance with terms of any Final NFR Letter
§23.4 1 Environmental Release [ No limitation as to time
the occurrence of an event of default under any Lender Financing, which default is not cured within any applicable cure period.
Default Prior to the Issuance of Certificate. If an Event of Default occurs prior to the issuance of the Certificate of Completion, and the default is not cured in the time period provided for in Section 19.3 above, the City may terminate this Agreement and pursue and secure any available remedy against the Developer in any court of competent jurisdiction by any action or proceeding at law or in equity, including, but not limited to, damages, injunctive relief, the specific performance of the agreements contained herein, and the right to revest title to the Property in the City pursuant to the Reconveyance Deed, provided, however, that the recording of the Reconveyance Deed shall not defeat, render invalid, or limit in any way, the lien of any mortgage authorized by this Agreement. If the Reconveyance Deed is recorded by the City, the Developer shall be responsible for all real estate taxes and assessments which accrued during the period the Property was owned by the Developer, and the Developer shall cause the release
of all unpermitted liens or encumbrances placed on the Property during the period of time the Property was owned by the Developer. The Developer will cooperate with the City to ensure that if the City records the Reconveyance Deed such recording is effective for purposes of transferring title to the Property to the City.
Disposition of Resale Proceeds. If the City sells the Property as provided for in Section 19.5. the net proceeds from the sale, after payment of all amounts owed under any mortgage liens authorized by this Agreement in order of lien priority, shall be utilized to reimburse the City for:
The Developer represents and warrants that no agent, official or employee of the City has or shall have any personal interest, direct or indirect, in the Developer, this Agreement, the Property or the Project, nor shall any such agent, official or employee participate in any decision relating to this Agreement which affects his or her personal interests or the interests of any corporation, partnership, association or other entity in which he or she is directly or indirectly interested. No agent, official, director, officer, trustee or employee of the City or the Developer shall be personally liable in the event of any default under or breach of this Agreement or for
any amount which may become due with respect to any commitment or obligation under the terms of this Agreement.
The Developer agrees to indemnify, pay, defend and hold the City, and its elected and appointed officials, employees and agents (individually, an "Indemnitee," and collectively the "Indemnitees") harmless from and against any and all Losses in connection with any investigative, administrative or judicial proceeding commenced or threatened, whether or not such Indemnitees shall be designated a party thereto, that may be imposed on, suffered, incurred by or asserted against the Indemnitees in any manner relating to or arising out of: (a) the failure of the Developer to comply with any of the terms, covenants and conditions applicable to the Developer and contained within this Agreement; (b) the failure of the Developer or any Agent of the Developer to pay contractors, subcontractors or material suppliers undisputed amounts owed in connection with the construction and management of the Project; (c) the existence of any material misrepresentation or omission in this Agreement or any other document related to this Agreement that is the result of information supplied or omitted by the Developer or any Agent or Affiliate of the Developer; (d) the Developer's failure to cure any material misrepresentation in this Agreement or any other document relating hereto; and (e) any activity undertaken by the Developer or any Agent or Affiliate of the Developer on the Property prior to or after the Closing. Notwithstanding the foregoing, no Indemnitee, shall be indemnified for claims to the extent arising out of such Indemnitee's breach of this Agreement or gross negligence or willful misconduct. This indemnification shall survive the Closing and any termination of this Agreement (regardless ofthe reason for such termination).
Release and Indemnification. The Developer, on behalf of itself and its officers, directors, employees, successors, assigns and anyone claiming by, through or under them (collectively, the "Developer Parties"), hereby releases, relinquishes and forever discharges the City, its officers, agents and employees (collectively, the "Indemnified Parties"), from and against any and all Losses which the Developer ever had, now have, or hereafter may have,
whether grounded in tort or contract or otherwise, in any and all courts or other forums, of whatever kind or nature, whether known or unknown, foreseen or unforeseen, now existing or occurring after the Closing Date, based upon, arising out of or in any way connected with, directly or indirectly (i) any environmental contamination, pollution or hazards associated with the Property or any improvements, facilities or operations located or formerly located thereon, including, without limitation, any release, emission, discharge, generation, transportation, treatment, storage or disposal of Hazardous Materials, or threatened release, emission or discharge of Hazardous Materials; (ii) the structural, physical or environmental condition of the Property, including, without limitation, the presence or suspected presence of Hazardous Materials in, on, under or about the Property or the migration of Hazardous Materials from or to other Property; (iii) any violation of, compliance with, enforcement of or liability under any Environmental Laws, including, without limitation, any governmental or regulatory body response costs, natural resource damages or Losses arising under CERCLA; and (iv) any investigation, cleanup, monitoring, remedial, removal or restoration work required by any federal, state or local governmental agency or political subdivision or other third party in connection or associated with the Property or any improvements, facilities or operations located or formerly located thereon (collectively, "Released Claims"): provided, however, the foregoing release shall not apply to the extent such Losses are proximately caused by the gross negligence or willful misconduct of the City following the Closing Date. Furthermore, the Developer shall indemnify, defend (through an attorney reasonably acceptable to the City) and hold the Indemnified Parties harmless from and against any and all Losses which may be made or asserted by any third parties (including, without limitation, any of the Developer Parties) arising out of or in any way connected with, directly or indirectly, any of the Released Claims, except as provided in the immediately preceding sentence for the City's gross negligence or willful misconduct following the Closing Date. The Developer Parties waive their rights of contribution and subrogation against the Indemnified Parties.
(a) The Developer has provided the City with a Phase I Environmental Site Assessment ("Phase I ESA") compliant with ASTM E-1527-13 and a Phase II Environmental Site Assessment ("Phase II ESA") for the Property prior to the conveyance of the Property. The Phase I ESA for the Property identified Recognized Environmental Conditions ("RECs") and the Developer performed a Phase II ESA to ascertain the presence of any environmental impacts that may be associated with the
RECs. The Phase II ESA did not identify contamination above residential remediation objectives as determined by Title 35 ofthe Illinois Administrative Code ("IAC") Part 742.
The Developer and each Employer shall comply with all federal, state and local equal employment and affirmative action statutes, rules and regulations, including,
without limitation, the Human Rights Ordinance and the Illinois Human Rights Act, 775 ILCS 5/1-101 et seq. (1993), both as amended from time to time, and any regulations promulgated thereunder.
The Developer and the Employers shall submit weekly certified payroll reports (U.S. Department of Labor Form WH-347 or equivalent) to DOH in triplicate, which shall identify clearly the actual residence of every employee on each submitted certified payroll. The first time that an employee's name appears on a payroll, the date
that the Developer or Employer hired the employee should be written in after the employee's name.
Good faith efforts on the part of the Developer and the Employers to provide work for actual Chicago residents (but not sufficient for the granting of a waiver request as provided for in the standards and procedures developed by the chief procurement officer) shall not suffice to replace the actual, verified achievement ofthe requirements of this Section 23.2 concerning the worker hours performed by actual Chicago residents.
Consistent with the findings which support, as applicable, (i) the Minority-Owned and Women-Owned Business Enterprise Procurement Program, Section 2-92-420 et seg., Municipal Code (the "Procurement Program"), and (ii) the Minority- and Women-Owned Business Enterprise Construction Program, Section 2-92-650 et seg Municipal Code (the "Construction Program." and collectively with the Procurement Program, the "MBEAA/BE Program"), and in reliance upon the provisions of the MBEAA/BE Program to the extent contained in, and as qualified by, the provisions of this Section 23.3. during the course of construction of the Project, at least 26% of the aggregate hard construction costs shall be expended for contract participation by minority-owned businesses and at least 6% of the aggregate hard construction costs shall be expended for contract participation by women-owned businesses.
The Developer shall deliver quarterly reports to the City's monitoring staff during the construction of the Project describing its efforts to achieve compliance with this MBEA/VBE commitment. Such reports shall include, inter alia, the name and business address of each MBE and WBE solicited by the Developer or the General Contractor to work on the Project, and the responses received from such solicitation, the name and business address of each MBE or WBE actually involved in the construction of the Project, a description of the work performed or products or services supplied, the date and amount of such work, product or service, and such other information as may assist the City's monitoring staff in determining the Developer's compliance with this MBEAA/BE commitment. The Developer shall maintain records of all relevant data with respect to the utilization of MBEs and WBEs in connection with the construction of the Project for at least five (5) years after completion of the Project, and the City's monitoring staff shall have access to all such records maintained by the Developer, on prior notice of at least five (5) Business Days, to allow the City to review the Developer's compliance with its commitment to MBEAA/BE participation and the status of any MBE or WBE performing any portion of the construction of the Project.
23.4 Pre-Construction Conference and Post-Closing Compliance Requirements. Not less than seven (7) Business Days prior to the Closing Date, the Developer and the Developer's General Contractor and all major subcontractors shall meet with DOH monitoring staff regarding compliance with all Section 23 requirements. During this pre-construction meeting, the Developer shall present its plan to achieve its obligations under this Section 23, the sufficiency of which the City's monitoring staff shall approve as a precondition to the Closing. During the construction of the Project, the Developer shall submit all documentation required by this Section 23 to the City's monitoring staff, including, without limitation, the following: (a) subcontractor's activity report; (b) contractor's certification concerning labor standards and prevailing wage requirements (if applicable); (c) contractor letter of understanding; (d) monthly utilization report; (e) authorization for payroll agent; (f) certified payroll; (g) evidence that MBEAA/BE contractor associations have been informed of the Project via written notice and hearings; and (h) evidence of compliance with job creation/job retention requirements (if any). Failure to submit such documentation on a timely basis, or a determination by the City's monitoring staff, upon analysis of the documentation, that the Developer is not complying with its obligations under this Section 23, shall, upon the delivery of written notice to the Developer, be deemed an Event of Default. Upon the occurrence of any such Event of Default, in addition to any other remedies provided in this Agreement, the City may: (x) issue a written demand to the Developer to halt construction of the Project, (y) withhold any further payment of any City funds to the Developer or the General Contractor (if applicable), or (z) seek any other remedies against the Developer available at law or in equity.
The Developer is an Illinois limited liability company duly organized, validly existing, and in good standing under the laws of the State of Illinois, with full power and authority to acquire, own and redevelop the Property, and the person signing this Agreement on behalf of the Developer has the authority to do so.
City agency ("City Contract") as an inducement for the City to enter into this Agreement or any City Contract with the Developer in violation of Chapter 2-156-120 of the Municipal Code of the City.
(j) Neither the Developer nor any Affiliate of the Developer is listed on any of the following lists maintained by the Office of Foreign Assets Control of the U.S. Department of the Treasury, the Bureau of Industry and Security of the U.S. Department of Commerce or their successors, or on any other list of persons or entities with which the City may not do business under any applicable Laws: the Specially Designated Nationals List, the Denied Persons List, the Unverified List, the Entity List and the Debarred List.
If to the Developer:	Franklin Holdings, LLC - Twenty-Eighth Series
9462 Franklin Avenue Franklin Park, Illinois 60131 Attn: Anthony J. Gonka
With a copy to:	Newman, Boyer & Statham, Ltd.
20 North Clark, Suite 800 Chicago, Illinois 60602 Attn: Arnold S. Newman
The Developer acknowledges (a) receipt of a copy of Section 2-156-030 (b) of the Municipal Code, (b) that it has read such provision and understands that pursuant to such Section 2-156-030 (b) it is illegal for any elected official of the City, or any person acting at the direction of such official, to contact, either orally or in writing, any other City official or employee with respect to any matter involving any person with whom the elected City official or employee has a "Business Relationship" (as defined in Section 2-156-080 ofthe Municipal Code), or to participate in any discussion in any City Council committee hearing or in any City Council meeting or to vote on any matter involving the person with whom an elected official has a Business Relationship, and (c) notwithstanding anything to the contrary contained in this Agreement, that a violation of Section 2-156-030 (b) by an elected official, or any person acting at the direction of such official, with respect to any transaction contemplated by this Agreement shall be grounds for termination of this Agreement and the transactions contemplated hereby. The Developer hereby represents and warrants that no violation of Section 2-145-030 (b) has occurred with respect to this Agreement or the transactions contemplated hereby.
SECTION 27. PATRIOT ACT CERTIFICATION.
SECTION 28. PROHIBITION ON CERTAIN CONTRIBUTIONS PURSUANT TO MAYORAL EXECUTIVE ORDER NO. 2011-4.
28.1 The Developer agrees that it, any person or entity who directly or indirectly has an ownership or beneficial interest in it of more than 7.5 percent ("Owners"), spouses and domestic partners of such Owners, its contractors (i.e., any person or entity in direct contractual privity with the Developer regarding the subject matter of this Agreement) ("Contractors"), any person or entity who directly or indirectly has an ownership or beneficial interest in any Contractor of more than 7.5 percent ("Sub-owners") and spouses and domestic partners of such Sub-owners (such Owners and all other preceding classes of persons and entities, collectively
the "Identified Parties"), shall not make a contribution of any amount to the Mayor of the City of Chicago or to his political fundraising committee (a) after execution of this Agreement by the Developer, (b) while this Agreement or any Other Contract (as hereinafter defined) is executory, (c) during the term of this Agreement or any Other Contract, or (d) during any period while an extension of this Agreement or any Other Contract is being sought or negotiated. This provision shall not apply to contributions made prior to May 16, 2011, the effective date of Executive Order 2011-4.
SECTION 29. INSPECTOR GENERAL AND LEGISLATIVE INSPECTOR GENERAL.
SECTION 30. WASTE ORDINANCE PROVISIONS.
In accordance with Section 11-4-1600(e) ofthe Municipal Code, the Developer warrants and represents that it, and to the best of its knowledge, its contractors and subcontractors, have not violated and are not in violation of any provisions of Section 7-28 or Section 11-4 of the Municipal Code (the "Waste Sections"). During the period while this Agreement is executory,
any violation of the Waste Sections by the Developer, its General Contractor or any subcontractor, whether or not relating to the performance of this Agreement, constitutes a breach of and an event of default under this Agreement, for which the opportunity to cure, if curable, will be granted only at the sole discretion of the Commissioner of DOH. Such breach and default entitles the City to all remedies under this Agreement, at law or in equity. This section does not limit the duty of the Developer, the General Contractor and any subcontractors to comply with all applicable Laws, in effect now or later, and whether or not they appear in this Agreement. Non-compliance with these terms and conditions may be used by the City as grounds for the termination of this Agreement, and may further affect the Developer's eligibility for future contract awards.
SECTION 31. 2014 CITY HIRING PLAN
SECTION 32. FAILURE TO MAINTAIN ELIGIBILITY TO DO BUSINESS WITH THE CITY.
Exhibits. All exhibits referred to herein and attached hereto shall be deemed part of this Agreement:
City of Chicago Law Department Real Estate and Land Use Division 121 North LaSalle Street, Suite 600 Chicago, Illinois 60602 (312) 744-1041
FRANKLIN HOLDINGS, LLC - TWENTY-EIGHTH SERIES, an Illinois limited liability company
hereby certify that	, the	of Franklin Holdings, LLC -
Twenty-Eighth Series, an Illinois limited liability company, personally known to me to be the same person whose name is subscribed to the foregoing instrument, appeared before me this day in person and, being first duly sworn by me, acknowledged that s/he signed and delivered the foregoing instrument pursuant to authority given by the Company, as her/his free and voluntary act and as the free and voluntary act and deed of the Company, for the uses and purposes therein set forth.
EXHIBIT B PRELIMINARY DRAWINGS
rraniclin fielding LLC. - <&rfg_s
1.	M"the Applicant
3.	[ ] a legal entity with a direct or indirect right of control of the Applicant (see Section 11(B)(1))
Business address ofthe Disclosing Party:	9	FfQ fl M'rt A\'L
Ffunkiim l>c,riL JL Lci3Telephone: frW • 1 - % 850 Fax:	j-Q #0,3 EmaiKy& $ jrfhnfli ndiSk) hfltoCjOJ
Name of contact person: Ailfhony J (^0A)<?0	<BR>Federal Employer Identification No. (if you have one):	-
Brief description of the Matter to which this EDS pertains, (Include project number and location of property, if applicable):
Thi?. pOfdrvnSg. o{ dLCQI-nL*> V\J WcuShinCjTDft "Bfxid
Which City agency or department is requesting this EDS? fopQr4fy\»ftt c£ ftoQSlflO^
If the Matter is a contract being handled by the City's Department of Procurement Services, please
-eomplete-th&-fol-lowing4
[	] Person	[)$	Limited liability company
[	j Publicly registered business corporation	{ J	Limited liability partnership
[	J Privately held business corporation	[ ]	Joint venture
[	] Sole proprietorship	[ j	Not-for-profit corporation
For legal entities, the state (or foreign country) of incorporation or organization, if*applicable:
iDlinois
[ ] Yes	[ ] No	j^Organized in Illinois
1. List below the full names and titles, if applicable, of: (i) all executive officers and all directors of the entity; (ii) for not-for-profit corporations, all members, if any, which are legal entities (if there are no such members, write "no members which are legal entities"); (iii) for trusts, estates or other similar entities, the trustee, executor, administrator, or similarly situated party,- (iv) for general or limited partnerships, limited liability companies, limited liability partnerships or joint ventures, each general partner, managing member, manager or any other person or legal entity that directly or indirectly controls the day-to-day management of the Applicant.
Name-. /,	Title _m_<~
KcrfYDJd ' u- 6of\r
2. Please provide the following information concerning each person or legal entity having a direct or indirect, current or prospective (i.e. within 6 months after City action) beneficial interest (including ownership) in excess of 7.5% of the Applicant. Examples of such an interest include shares in a —coniorationrparmership^^
Name	^	Business Address	Percentage Interest in the Applicants
12-month period preceding the date of this EDS?	[ ] Yes 1^0 No
Does the Disclosing Party reasonably expect to provide any income or compensation to any City elected official during the 12-month period following the date of this EDS? [ ] Yes K] No
[ ] Yes	fyQ No
If "yes," please identify below the name(s) of such City elected offlcial(s) and/or spouse(s)/domestic partners) and describe the financial interest(s).
lobbyist (as defined in MCC Chapter 2-156), accountant, consultant and any other person or entity
whom the Disclosing Party has retained or expects to retain in connection with the Matter, as well as
the nature of the relationship, and the total amount of the fees paid or estimated to be paid. The
Disclosing Party is not required to disclose employees who are paid solely through the Disclosing
Party's regular payroll. If the Disclosing Party is uncertain whether a disclosure is required under this
Section, the Disclosing Party must either ask the City whether disclosure is required or make the
disclosure:"	: '¦"
Page 3 of IS
retained or anticipated Address	(subcontractor, attorney.	paid or estimated.) NOTE:
to be retained)	lobbyist, etc.)	"hourly rate" or "t.b.d." is ...	not an acceptable response,
A.	COURT-ORDERED CHILD SUPPORT COMPLIANCE
[ ] Yes f<) No [ ] No person directly or indirectly owns 10% or more of the Disclosing Party.
[ j Yes No
B.	FURTHER CERTIFICATIONS
[This paragraph I applies only if the Matter is a contract being handled by the City's Department of Procurement Services.] In the 5-year period preceding the date of this EDS, neither the Disclosing Party nor any Affiliated Entity [see definition in (5) below] has engaged, in connection with the performance of any public contract, the services of an integrity monitor, independent private sector inspector general, or integrity compliance consultant (i.e., an individual or entity with legal, auditing, investigative, or other similar skills, designated by a public agency to help the agency monitor the activity of specified agency vendors as well as help the vendors reform their business practices so they can be considered for agency contracts in the future, or continue with a contract in progress).
The Disclosing Party and its Affiliated Entities are not delinquent in the payment of any fine, fee, tax or other source of indebtedness owed to the City of Chicago, including, but not limited to, water and sewer charges, license fees, parking tickets, property taxes and sales taxes, nor is the Disclosing
Party delinquent in the payment of any tax adrmnisjered bXt^-gijl'59jj-j?gP^nient of Revenue.
have not, during the 5 years before the date of this EDS, been convicted of a criminal offense, adjudged guilty, or had a civil judgment rendered against them in connection with: obtaining, attempting to obtain, or performing a public (federal, state or local) transaction or contract under a " public transaction; a violation of federal or state antitrust statutes; fraud; embezzlement; theft; forgery; bribery; falsification or destruction of records; making false statements; or receiving stolen property;
any "Contractor" (meaning any contractor or subcontractor used by the Disclosing Party in connection with the Matter, including but not limited to all persons or legal entities disclosed under Section IV, "Disclosure of Subcontractors and Other Retained Parties"):
any responsible official of the Disclosing Party, any Contractor or any Affiliated Entity or any other official, agent or employee of the Disclosing Party, any Contractor or any Affiliated Entity.
• acting pursuant to the direction or authorization of a responsible official of the Disclosing Party,
aT^XcntracWoi^yA
Neither the Disclosing Party, nor any Affiliated Entity or Contractor, or any of their employees, officials, agents or partners, is barred from contracting with any unit of state or local government as a result of engaging in or being convicted of (1) bid-rigging in violation of 720 ELCS 5/33E-3; (2) bid-rotating in violation of 720 ILCS 5/33E-4; or (3) any similar offense of any state or of the United States of America that contains the same elements as the offense of bid-rigging or bid-rotating.
[FOR APPLICANT ONLY] (i) Neither the Applicant nor any "controlling person" [see MCC Chapter 1-23, Article I for applicability and defined terms] of the Applicant is currently indicted or charged with, or has admitted guilt of, or has ever been convicted of, or placed under supervision for, any criminal offense involving actual, attempted, or conspiracy to commit bribery, theft, fraud, forgery, perjury, dishonesty or deceit against an officer or employee of the City or any "sister agency"; and (ii) the Applicant understands and acknowledges that compliance with Article I is a continuing requirement
' for doing business with the City. NOTE: If MCC Chapter 1-23, Article I applies to the Applicant, that Article's permanent compliance timeframe supersedes 5-year compliance timeframes in this Section V.
'I5rtd'''b'e~h^	those in
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13, To the best of the Disclosing Party's knowledge after reasonable inquiry, the following is a
Q&TJL
[ ] is	$ is not
.If the Disclosing Party IS a financial institution, then the Disclosing Party pledges:
"We are not and will not become a predatory lender as defined in MCC Chapter 2-32. We further pledge that none of our "affiliates is, and none of them will become, a predatory lender as defined in
MCC Chapter 2j^.JJ^underj^^
predatory lender may result in the loss ofthe privilege of doing business with the City."
r\QPC
Any words or terms defmed in MCC Chapter 2-156 have the same meanings if used in this Part D.
[ ] Yes	rxf No
' Yes	[ ] No
If you checked "Yes" to Item D(l), provide the names and business "addresses ofthe City officials or employees having such financial interest and identify the nature of the financial interest:
4;~-The~Disdc«tngH? wuTbe acquired by any City official or employee.
E. CERTIFICATION REGARDING SLAVERY ERA. BUSINESS
ft L The Disclosing Party verifies that the Disclosing Party has searched any and all records of the Disclosing Party and any and all predecessor entities regarding records of investments or profits from slavery or slaveholder insurance policies during the slavery era (including insurance policies issued to slaveholders that provided coverage for damage to or injury or death of their slaves), and the Disclosing Party has found no such records.
NOTE: If the Matter is federally funded, complete this Section VI. If the Matter is not ¦ federally funded, proceed to Section VII. For purposes of this Section VI, tax credits allocated by the City and proceeds of debt obligations of the City are not federal funding.
I. List below the names of all persons or entities registered under the federal Lobbying Disclosure Act of 1995, as amended, who have made lobbying contacts on behalf ofthe Disclosing Party with resoect to the Matter (Add sheets if necessary):
.any4>ersonj^
The Disclosing Party will submit an updated certification at the end of each calendar quarter in which there occurs any event that materially affects the accuracy ofthe statements and information set forth in paragraphs A(i) and A(2) above.
Is the Disclosing Party the Applicant? [ ] Yes ^o
Have you deveioped and do you have on file affirmative action programs pursuant to applicable federal regulations? (See 41 CFR Part 60-2.)
[ ] Yes	[ ] No [3 Reports not required
[ 3 Yes	[3 No
If you" checked "No"'to'question (1) or (2)'abdve. please provide an explanation:
The City's Governmental Ethics Ordinance, MCC Chapter 2-156, imposes certain duties and obligations on persons or entities seeking City contracts, work, business, or transactions. The full text of this ordinance and a training program is available on line at www.cityofchicago.org/Ethics > and may also be obtained from the City's Board pf Ethics, 740 N. Sedgwick St., Suite 500, Chicago, IL 60610, (312} 744-9660. The Disclosing Party must comply fully with this ordinance.
The information provided in this EDS must be kept current. In the event of changes, the Disclosing Party must supplement this EDS up to the time the City takes action on the Matter. If the Matter is a contract being handled by the City's Department of Procurement Services, the Disclosing Party must update this EDS as the contract requires. NOTE: With respect to Matters subject to MCC Chapter 1-23, Article I (imposing PERMANENT INELIGIBILITY for certain specified offenses), the infonnation provided herein regarding eligibility must be kept current for a longer period, as required by MCC Chapter 1-23 and Section 2-154-020.
Ver,20!8-!
ant or type exact legal narrre of Disclosing Party)
/Whom/ 3 (go(\\icK.
(Print or type title of person signing) '
KKMIN/V WALLACE
Official Seal Notary Public-State of Illinois
My Commission expires Jul 23,20^
Signed and sworn to before me on (date) OS.~ Ofl - &L€>\ C$ at (LOOK County, _TTHjng)iS (state).
ii ii a " ~ ¦—¦
Notary Public Commission expires: Or)-33'ol0c3- /
This Appendix is to be completed only by (a) the Applicant, and
Under MCC Section 2-154-015, the Disclosing Party must disclose whether such Disclosing Party or any "Applicable Party" or any Spouse or Domestic Parmer thereof currently has a "familial relationship" with any elected city official or department head. A "familial relationship" exists if, as of the date this EDS is signed, the Disclosing Party or any "Applicable Party" or any Spouse or Domestic Partner thereof is related to the mayor, any alderman, the city clerk, the city treasurer or any city department head as spouse or domestic partner or as any of the following, whether by blood or adoption: parent, child, brother or sister, aunt or uncle, niece or nephew, grandparent, grandchild, father-in-law, mother-in-law, son-in-law, daughter-in-law, stepfather or stepmother, stepson or stepdaughter, stepbrother or stepsister or half-brother or half-sister.
"Applicable Party" means (1) all executive officers of the Disclosing Party listed in Section II.B.I.a., if the Disclosing Party is a corporation; all partners of the Disclosing Party, if the Disclosing Party is. a general partnership; all general partners and limited partners of the Disclosing Party, if the Disclosing Party is a limited partnership; all managers, managing members and members ofthe Disclosing Party, if the Disclosing Party is a limited liability company; (2) all principal officers of the Disclosing Party; and (3) any person having more than a 7.5% ownership interest in the Disclosing Party, "Principal officers" means the president, chief operating officer, executive director, chief financial officer, treasurer or secretary of a legal entity or any person exercising similar authority.
[ ] Yes	^ No
[ ] Yes	ffi No
[ J Yes	[ ] No	The Applicant is not publicly traded on any exchange.
¦¦[ JNo