Document:

Exhibit 10.4

 

ANNEXATION AGREEMENT

 

 

PARTIES:

 

CITY OF ROCHELLE

 

AND

 

DP
INDUSTRIAL, LLC

 

 

CONSENTING PARTIES:

 

YESAC FARMS, L.P.; MARIE
ANNETTE BARTH AND JOYCE STOCKING AS

TRUSTEES UNDER THE STOCKING FAMILY TRUST NO. 4-96 UNDER TRUST

AGREEMENT DATED JUNE 18, 1996; MARK STOCKING, and 

NOGGLE FAMILY LIMITED PARTNERSHIP

 

 

INDEX

 

	
  RECITALS

  	
   

  	
   

  
	
  SECTION 1

  	
  INCORPORATION
  OF RECITALS

  	
   

  
	
  SECTION 2

  	
  ANNEXATION
  OF SUBJECT PROPERTY TO CITY

  	
   

  
	
  SECTION 3

  	
  ZONING

  	
   

  
	
  SECTION 4

  	
  COMPREHENSIVE PLAN

  	
   

  
	
  SECTION 5

  	
  PRELIMINARY
  PLAN OF DEVELOPMENT

  	
   

  
	
  SECTION 6

  	
  WATER
  SUPPLY; WATER MAIN CONSTRUCTION

  	
   

  
	
  SECTION 7

  	
  SEWER FACILITIES

  	
   

  
	
  SECTION 8

  	
  PUBLIC ROAD
  CONSTRUCTION

  	
   

  
	
  SECTION 9

  	
  STORM WATER
  MANAGEMENT

  	
   

  
	
  SECTION 10

  	
  ELECTRICAL SERVICE

  	
   

  
	
  SECTION 11

  	
  FIBER
  OPTIC LINE INSTALLATION

  	
   

  
	
  SECTION 12

  	
  RAIL SERVICE

  	
   

  
	
  SECTION 13

  	
  PERFORMANCE OF
  WORK

  	
   

  
	
  SECTION 14

  	
  DEDICATIONS
  AND EASEMENTS

  	
   

  
	
  SECTION 15

  	
  APPLICABLE
  MUNICIPAL ORDINANCES

  	
   

  
	
  SECTION 16

  	
  EXISTING
  WATER AND SEPTIC FACILITIES

  	
   

  
	
  SECTION 17

  	
  RECAPTURE

  	
   

  
	
  SECTION 18

  	
  EXISTING
  AND NONCONFORMING USES

  	
   

  
	
  SECTION 19

  	
  PROPERTY TAX
  ABATEMENT

  	
   

  
	
  SECTION 20

  	
  FEES;
  DEVELOPMENT CODES; LIMITATION ON SPECIAL SERVICE AREA CREATION; CHANGES TO
  CODES

  	
   

  
	
  SECTION 21

  	
  EFFECTIVE
  DATE; RECORDATION OF CERTAIN DOCUMENTS

  	
   

  
	
  SECTION 22

  	
  AMENDMENT

  	
   

  
	
  SECTION 23

  	
  AUTHORIZATION
  TO EXECUTE

  	
   

  
	
  SECTION 24

  	
  ASSIGNABILITY;
  RESPONSIBILITY; CONTINUANCE OF OBLIGATIONS

  	
   

  
	
  SECTION 25

  	
  TERM

  	
   

  
	
  SECTION 26

  	
  NOTICES

  	
   

  

 

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  SECTION 27

  	
  FOREIGN
  TRADE ZONE AND ENTERPRISE ZONE

  	
   

  
	
  SECTION 28

  	
  RECORDATION.

  	
   

  
	
  SECTION 29

  	
  TIME PERIODS

  	
   

  
	
  SECTION 30

  	
  STOP ORDERS

  	
   

  
	
  SECTION 31

  	
  LEGAL FORMALITIES

  	
   

  
	
  SECTION 32

  	
  STATUS CERTIFICATE

  	
   

  
	
  SECTION 33

  	
  CERTIFICATE
  OF OCCUPANCY

  	
   

  
	
  SECTION 34

  	
  ASSURANCES BY CITY

  	
   

  
	
  SECTION 35

  	
  CONDITIONS

  	
   

  
	
  SECTION 36

  	
  DEFAULT/REMEDIES.

  	
   

  
	
  SECTION 37

  	
  MISCELLANEOUS

  	
   

  
	
  SECTION 38

  	
  OWNER
  CONSTRUCTION COMMITMENT

  	
   

  

 

ii

 

INDEX

 

	
  EXHIBIT
  A - 1 — Legal Description of the Yesac Property

  
	
  EXHIBIT
  A - 2 — Legal Description of the Barth Property

  
	
  EXHIBIT
  A - 3 — Legal Description of the Noggle Property

  
	
  EXHIBIT
  B — Copy of Annexation Petition

  
	
  EXHIBIT
  C-1 — Variances

  
	
  EXHIBIT
  C-2 — Variances

  
	
  EXHIBIT
  C-3 — Variances

  
	
  EXHIBIT
  D — Proposed City of Rochelle Storm Water Management Ordinance

  
	
  EXHIBIT
  E — Preliminary Plan and Depiction of Rights-of-Way to be Dedicated by Owner

  
	
  EXHIBIT
  F-1 — Capacities of Water Facilities

  
	
  EXHIBIT
  F-2.1 — Depiction of Water Facilities

  
	
  EXHIBIT
  F-2.2 — Specifications and Cost Breakdown for Water Facilities

  
	
  EXHIBIT
  F-3 — Water Facilities Connection Charges

  
	
  EXHIBIT
  F-4 — Depiction of IRE Land

  
	
  EXHIBIT
  G-1 — Capacities of Sewer Facilities

  
	
  EXHIBIT
  G-2.1 — Depiction of Sewer Facilities

  
	
  EXHIBIT
  G-2.2 — Specifications and Cost Breakdown for Sewer Facilities

  
	
  EXHIBIT
  G-3 — Sewer Facilities Connection Charges

  
	
  EXHIBIT
  H-1 — Layout and Cost Sharing Breakdown for Road Improvements

  
	
  EXHIBIT I — Capacities of Electrical Facilities

  
	
  EXHIBIT
  J-1 — Rail Drawings

  

 

 

ANNEXATION AGREEMENT

 

This Annexation Agreement
(this “Agreement”) is entered into as of this      day
of July, 2003, by and between the City of Rochelle, Ogle County, Illinois (the
“City”) and DP Industrial, LLC, a Delaware limited liability company (“Owner”),
Yesac Farms, L.P., a limited partnership of Rochelle, Illinois (“Yesac”); Marie
Annette Barth and Joyce Stocking as Trustees under The Stocking Family Trust
No. 4-96 under Trust Agreement dated June 18, 1996 (collectively,
“Barth”); and the Noggle Family Limited Partnership (“Noggle”).  Yesac, Barth and Noggle may hereinafter be
collectively referred to in this Agreement as the “Consenting Parties”.

 

RECITALS

 

1.                                                       Yesac is the Owner of Record of
certain property legally described on Exhibit A-1 attached hereto and
made a part hereof (the “Yesac Property”). 
Barth is the Owner of Record of certain property legally described on Exhibit
A-2 attached hereto and made a part hereof (the “Barth Property”).  Noggle is the Owner of Record of certain
property legally described on Exhibit A-3 attached hereto and made a
part hereof (the “Noggle Property”). 
The sole beneficiaries of The Stocking Family Trust No. 4-96 under Trust
Agreement dated June 18, 1996 are Ronald Stocking and Timothy Stocking.  The Yesac Property, the Barth Property and
the Noggle Property may hereinafter be collectively referred to in this
Agreement as the “Subject Property”.

 

2.                                                       Owner is the contract purchaser
of the Yesac Property and therefore the holder of equitable title, pursuant to
that certain Real Estate Sale and Option Agreement dated as of January 14,
2003 between Yesac and Owner (the “Yesac Contract”).

 

3.                                                       Owner is the contract purchaser
of the Barth Property and therefore the holder of equitable title, pursuant to
that certain Option Agreement dated as of October 31, 2002

 

 

between Barth and the
predecessor-in -interest of Owner, Greater Rochelle Economic Development
Corporation (the “Barth Contract”).

 

4.                                                       Owner is the contract purchaser
of the Noggle Property and therefore the holder of equitable title, pursuant to
that certain Agreement of Purchase and Sale dated as of March 3, 2003,
between Noggle and Owner (the “Noggle Contract”).

 

5.                                                       The Subject Property is located
in Ogle County, Illinois and consists of approximately 300.28 acres, which is
comprised of approximately 114.98 acres contained in the Barth Property,
approximately 153 acres contained in the Yesac Property, and approximately 32.3
acres contained in the Noggle Property. 
The Barth Property and the Noggle Property are contiguous to the City
and the Yesac Property will be contiguous to the City upon the annexation of
either the Barth Property or the Noggle Property or upon the future annexation
of other real property currently owned by third parties and not the subject of
this Agreement.

 

6.                                                       There are no electors residing
on the Subject Property other than Mark Stocking, who is a tenant occupying the
residence located on the Barth Farm.

 

7.                                                       The Owner and the Consenting
Parties have duly filed a Petition to annex the Subject Property to the City, subject
to the terms and conditions of this Agreement.

 

8.                                                       Pursuant to all legal
requirements, including notice, the City’s Planning Commission has conducted a
public hearing with respect to the proposed zoning of the Subject Property, and
has forwarded its report and recommendations to the  City Council of the City.

 

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9.                                                       Pursuant to 65 ILCS 5/11-15.1-1,
et seq., the  City Council of the City
has conducted a public hearing on this Agreement.  Notice of hearing was published on June 1, 2003, in the
Rochelle News-Leader, being a newspaper of general circulation within the City
and the Subject Property.  In addition,
the City Planning Commission has held a public hearing on the proposed zoning
of the Subject Property, including all matters set forth in Section 2
below.  Notice of the Planning
Commission public hearing was published on May 4, 2003, in the Rochelle
News-Leader, being a newspaper of general circulation within the City and the
Subject Property.

 

10.                                                 The City has provided all
applicable notices to governmental bodies of this contemplated Annexation
Agreement as are required by law.  In
particular, notice of the proposed annexation has been issued to Dement Township
Highway Commissioner and to the Ogle-Lee Fire Protection District as required
by law and since the City does not provide a public library or public library
services and the Subject Property will continue to be served by the
Flagg-Rochelle Public Library District notwithstanding its annexation into the
City, notice to such Library District is not required by applicable law.

 

11.                                                 Owner anticipates that it will
develop the Subject Property with up to approximately five million square feet
of industrial space used for, among other things, warehousing, distribution,
assembly, and light manufacturing with related ancillary office use.

 

12.                                                 The City has determined that it
is in the best interests of the City, and in furtherance of the public health,
safety, comfort, morals and welfare, that the Subject Property be annexed to
the City; and that upon annexation, the Subject Property be rezoned and that
certain other provisions be made with the commitment, cooperation and agreement
of the

 

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City for the future
ownership, development, operation and use of the Subject Property as more fully
set forth below in this Agreement.

 

13.                                                 The parties desire to enter into
a binding agreement with respect to the annexation of the Subject Property,
amendment of the Comprehensive Plan if necessary to permit I-2 zoning on the
Subject Property, rezoning provisions and other related matters, pursuant to 65
ILCS 5/1-1-1, et seq., upon the terms and provisions set forth in this
Agreement.

 

14.                                                 The corporate authorities of the
City have been properly authorized to execute and deliver this Agreement on
behalf of the City and thereby bind the City.

 

NOW, THEREFORE, it is
hereby agreed by and between the parties hereto, as follows:

 

SECTION 1                               INCORPORATION
OF RECITALS.

 

The Recitals
set forth above are incorporated herein by this reference.

 

SECTION 2                               ANNEXATION
OF SUBJECT PROPERTY TO CITY.

 

(a)                                  The
Owner and the Consenting Parties have filed with the City a duly executed
petition (“Annexation Petition”) to annex to the City the Subject Property,
subject to the terms and conditions set forth in this Agreement.  A copy of the Annexation Petition is shown
on Exhibit B, attached hereto and made a part hereof.

 

(b)                                 The
City represents and warrants that prior to the execution and delivery of this
Agreement, the Planning Commission, the Board of Zoning Appeals, the City
Council of the City and all other necessary governmental bodies have each
properly conducted and concluded all

 

3

 

public hearings upon this
Agreement required pursuant to and in the manner required by law,  and that prior to all such hearings all
notices required by law to be given and all public hearings required by law to
be held before any annexation, any amendment to the Comprehensive Plan, any
rezoning or subdivision, the execution and delivery of this Agreement, or the
performance of the obligations set forth herein by the City have been properly
given and held, as applicable.

 

(c)                                  Promptly
upon the execution of this Agreement and after satisfaction of the Condition
Precedent (as defined below in Section 36), the City shall by proper
ordinance cause the Subject Property to be annexed to the City.  Such annexation shall be subject to the
terms and conditions of this Agreement, for the benefit of the Owner and the
Subject Property.  In addition,
contemporaneously with annexation, the City shall promptly adopt such
ordinances respecting zoning, the Comprehensive Plan, if necessary, and the use
and development of the Subject Property as provided below in this Agreement.

 

SECTION 3                               ZONING.

 

(a)                                  Promptly
upon the execution of this Agreement and satisfaction of the Condition
Precedent, the City shall adopt an ordinance zoning the Subject Property into
the I-2 classification, pursuant to the City Zoning Ordinance.  Subject to Federal and State Law, the City
represents and warrants that the I-2 zoning classification will permit the
operation of the Subject Property

 

4

 

for its anticipated use
24 hours per day, seven days a week without any time limits or restrictions on
such operations.  Any existing
improvements and presently lawful uses on the Subject Property, including but
not limited to the house and agricultural property, shall be considered legal
nonconforming uses during the term of this Agreement.

 

(b)                                 Simultaneously
with the adoption of the zoning ordinance set forth in Section 3(a) above,
the City shall also approve the variances and relief from City ordinances as
described on Exhibit C-1, Exhibit C-2, and Exhibit C-3,  attached hereto and made a part hereof.

 

(c)                                  In
addition to those uses listed as permitted in the I-2 Zoning District, the
following uses shall be permitted uses within the Subject Property as ancillary
to the I-2 uses; provided that such uses are not retail in nature:

 

Blueprint and Photocopying

Business Services

Cellular Communications Tower

Light Assembly

Photographic Studio

 

SECTION 4                               COMPREHENSIVE
PLAN.

 

The City represents that
it has amended its Comprehensive Plan to reflect the zoning and uses for the
Subject Property provided for hereinabove in order to comply with 65 ILCS
5/11-12-7.

 

5

 

SECTION 5                               PRELIMINARY
PLAN OF DEVELOPMENT.

 

(a)                                  Owner
presently intends to configure the Subject Property in general conformity with
the Preliminary Plan of Development as shown on Exhibit E attached
hereto and made a part hereof (the “Preliminary Plan”).  The City represents and warrants that the
improvements to be constructed by Owner as detailed on the Preliminary Plan are
permitted under the I-2 zoning district regulations of the Rochelle Municipal
Zoning Code without any special use, conditional permit or variance being
required.  Specific uses, locations and
sizes of improvements on the Preliminary Plan may be changed by Owner provided
that the changes comply with the I-2 zoning district regulations in effect as
of the date hereof.  Notwithstanding
anything contained in this Agreement to the contrary, signs, fences, rail
tracks (and appurtenant loading platforms), equipment, sidewalks, utilities,
overhead transmission lines (and appurtenant facilities) and distribution lines
are permitted within the setback areas required by the I-2 zoning district
regulations in effect as of the date hereof.  
The City acknowledges and agrees that the grading and building permits
for the equipment and improvements which comply with the two preceding
sentences can be obtained without the need for planned development, special
use, conditional use, site plan (except in conjunction with customary City
building permit reviews), appearance review, subdivision or variation
approvals, notwithstanding anything contained in the City ordinances to the
contrary (including without limitation Titles 15, 16 or 17 of the Municipal
Code) provided that variation approvals shall be required if

 

7

 

relief is sought from the
I-2 zoning district regulations except as otherwise permitted by this
Agreement.

 

(b)                                 Owner
currently has no specific development plans with respect to the Subject
Property except as set forth on Exhibit E attached hereto and made a
part hereof, which plans may change from time to time at the election of
Owner.  Owner may develop the Subject
Property in phases and may prepare individual Plats of Subdivision,
Resubdivision or Planned Unit Development Plats for such purpose.  City will approve all such Subdivision,
Resubdivision or Planned Unit Developments, which conform to the ordinances of
the City existing on the date of this Agreement and which comply with the terms
of this Agreement.

 

SECTION 6                               WATER
SUPPLY; WATER MAIN CONSTRUCTION.

 

(a)                                  The
City represents and warrants that a supply of potable water to the Subject
Property through the City system is available north of the Subject Property at
Caron Road and I-88.  In connection with
the annexation and development of the Subject Property, the City shall
construct sufficient water lines, pipes, mains, pumping stations, storage
reservoirs and other facilities along Caron and Steward Roads in order to bring
water service to the Subject Property sufficient to service the Subject
Property for both domestic use and fire protection in accordance with City
standards, and the City shall install such facilities along the Subject
Property (the “Water Facilities”) as shown on Exhibit F-2.1.  Subject to events of Force Majeure 

 

8

 

(as defined below), the
City shall complete the Water Facilities to (i) the east boundary of the Barth
Property and (ii) the Ogle County line along the east boundary of the
Yesac Property on or before the date that is six months after the date that
Owner has submitted to the City (1) an application for a grading permit for a
primary building on any portion of the Subject Property, and (2) an application
for approval of Owner’s storm water management plan for applicable portion of
the Subject Property, and (3) all fees required in connection with such
applications.  Owner shall submit such
applications and pay such fees no later than 12 months after Owner purchases
any portion of the Yesac Property. 
Owner acknowledges that the City’s obligation to complete the Water
Facilities by such date is subject to Force Majeure (as defined in
Section 37(c)) and City obtaining the easements required to install the
Water Facilities.  Owner shall reimburse
the City for a portion of the costs of the installation of the Water Facilities
as set forth herein.  Such Water
Facilities shall be constructed either within existing easements or in
currently dedicated rights-of-way and to the extent that such easements and
rights-of-way are not currently in existence, the City shall obtain such
easements and rights-of-way at the Owner’s cost pursuant to Section 14,
subject to the following terms and conditions: 
(x) if IRE (as defined in Section 6(c)) or IRE’s designee or
assignee enters into an annexation agreement with the City relating to the IRE
Land (as defined in Section 6(c)) and acquires the IRE Land, Owner shall
not be required to pay for any easements that may be

 

9

 

required on the IRE Land,
(y) the City shall consult with Owner and obtain Owner’s approval (which shall
not be unreasonably withheld) before acquiring any easements relating to Water
Facilities that will be at Owner’s cost, and (z) if Owner is required to pay
for such easements pursuant to this Section, Owner shall have the right to
recapture 100% of such easement costs from the owner of the applicable portion
of the IRE Land at the time the owner of such property taps into the Water
Facilities.  Owner acknowledges that any
easements on the Subject Property that are reasonably deemed by the City to be
necessary to install such facilities to the Subject Property shall be provided
by Owner at no cost to the City.  Except
for the connection charges set forth on Exhibit F-3 attached hereto and
made a part hereof which shall be in effect for five years after the annexation
of the Subject Property, Owner shall be permitted to connect to the water main
of the Water Facilities on the Subject Property at no charge in locations as
Owner selects in its sole discretion, provided Owner’s improvement plans
conform to all applicable City ordinances in effect as of the date of this
Agreement.

 

(b)                                 The
City represents and warrants that its water supply, as well as the Water
Facilities currently in place or to be constructed as provided for in this
Section 6, are of sufficient capacity to serve the current and anticipated
development of the Subject Property in the capacities shown on Exhibit F-1,
and shall be available to the Subject Property for such anticipated usage, with
no cost to Owner other than usual and customary

 

10

 

fees, charges and rates
for supply based upon volumes consumed that are of general applicability in the
City.   The City agrees to provide
service to the Subject Property based on the estimated capacities shown on Exhibit
F-1 as and when such service is needed for the Subject Property.  Attached hereto as Exhibit F-2.1 and Exhibit
F-2.2 and made a part hereof are the specifications, layout and cost
breakdown for the Water Facilities.  The
City shall be responsible for 100% of the cost of extending the water extension
from its current location along Caron Road to the intersection of Caron
Road and Steward Road and then east along Steward Road to the west boundary of
the Barth Property.  For extensions from
the west boundary of the Barth Property to (i) the east boundary of the Barth
Property and (ii) the south property line of the Yesac Property, Owner shall
pay the City prior to construction 110% of the estimated costs of the
installation of the Water Facilities beyond such point (based on the lowest
qualified bid received (“Owner’s 110% Water Improvement Payment”)); provided,
however, in the event that the actual costs exceed Owner’s 110%  Water Improvement Payment, City shall be
responsible for such excess costs without any reimbursement from Owner, and if
the actual costs are less than Owner’s 110% Water Improvement Payment, City
shall be entitled to retain such savings . 
Owner shall have the right to recapture the costs incurred pursuant to
the preceding sentence as follows:  (i)
Owner shall have the right to recapture 50% of the costs of that portion of the
Water Facilities that lies adjacent to the land currently owned by the Boyle 

 

11

 

family located adjacent
to the south boundary of the Barth Property no further than the east boundary
of the Barth Property at the time the owner of such property taps into the
Water Facilities, and (ii) Owner shall have the right to recapture 50% of the
costs of that portion of the Water Facilities that lies adjacent to the land
currently owned by the Boyle family located adjacent to the east boundary of
the Yesac Property at the time the owner of such property taps into the Water
Facilities.

 

(c)                                  The
City and Owner acknowledge that Illinois River Energy, LLC (“IRE”) currently
intends to acquire and develop the land located adjacent to Steward Road and
Caron Road and depicted on Exhibit F-4 attached hereto and made a part
hereof (the “IRE Land”).  The City also
acknowledges that IRE and Owner may exchange properties, pursuant to which
Owner may become the owner of the IRE Land and IRE may become the owner of a
portion of the Subject Property.  If IRE
or IRE’s designee or assignee acquires the IRE Land and does not exchange
properties with Owner, IRE and the City have agreed to share the costs of
extending the water line along Caron Road and Steward Road to the west boundary
of the Barth Property (at no cost to Owner). 
The City acknowledges that no portion of the City’s or IRE’s costs
relating to water improvements and associated easement costs shall be subject
to recapture relating to the Subject Property. 
The City and Owner acknowledge and agree that if IRE or an assignee or
designee of IRE does not acquire the IRE Land, or if IRE or an assignee or
designee of IRE acquires any

 

12

 

portion of the IRE Land
and either does not enter into an annexation agreement with the City, or enters
into an annexation agreement but fails to commence construction of an ethanol
production facility by December 31, 2003 (if such failure releases IRE or
IRE’s assignee or designee from IRE’s or IRE’s assignee’s or designee’s
obligation to pay for IRE’s portion of the water improvement costs pursuant to
the terms of any annexation agreement between the City and IRE), (i) the cost
of extending the water extension from its current location to the south right
of way line of Illinois Tollway Authority Interstate Highway 88 along Caron
Road shall be at the City’s sole cost, (ii) the cost of extending the water
extension from the south right of way line of Illinois Tollway Authority
Interstate Highway 88 along Caron Road 
to Steward Road shall be shared equally between the City and Owner (with
Owner having the right to recapture all of Owner’s costs from the owner of the
portion of the IRE Land currently owned by the Noggle Family Limited
Partnership at the time the owner of such property taps into the Water
Facilities, and City having no right to recapture its costs), and (iii) the
cost of extending the water extension from the intersection of Caron Road
and Steward Road east to the west boundary of the Barth Property shall be
shared between the City and Owner as follows: 
the City shall pay 75% of such costs and Owner shall pay 25% of such
costs (with the City having the right to recapture all of the City’s costs from
the portion of the IRE Land owned by Henry A. Knetsch, Jr., as Trustee Under a
Certain Trust Agreement Dated July 21,

 

13

 

1988, and Owner having no
right to recapture its costs); provided, however, that if Owner becomes the
owner of the IRE Land pursuant to a means other than an exchange of properties
with IRE, then Owner shall bear all of the costs of extending the water improvements
from the intersection of Caron Road and Steward Road east to the west
boundary of the Barth Property.

 

(d)                                 At
the written request of Owner, the City shall install a second set of Water
Facilities (the “Additional Water Facilities”) integrated with the original
Water Facilities for a redundant supply of water to the Subject Property.  Such Water Facilities shall be constructed
either within existing easements or in currently dedicated right-of-way and, to
the extent that such easements and rights-of-way are not currently in
existence, the City shall obtain such easements and rights-of-way.  The specifications and cost sharing, if any,
for the Additional Water Facilities will be mutually agreed by the City and Owner
at the time that Owner provides its request to have the Additional Water
Facilities installed by the City.

 

(e)                                  The
City shall assist Owner in securing applicable grants to defray the costs of
extending the Water Facilities from the west boundary of the Barth Property to
(i) the Ogle County line along the east boundary of the Yesac Property and
(ii) the east boundary of the Barth Property.

 

(f)                                    Notwithstanding
anything herein to the contrary, in the event IRE or IRE’s designee or assignee
does not enter into an annexation agreement with the

 

14

 

City or otherwise does
not grant the anticipated easements or rights-of-way required to construct the
Water Facilities in the locations described in this Agreement in a timely
manner, the City shall construct the Water Facilities along Caron Road within
the existing City right-of-way between the west boundary of the IRE Land and
the BNSF Rail Line (as defined in Section 8(c) of this Agreement) south to
the intersection of Caron Road and Steward Road, and then east along the
south side of Steward Road to the east boundary of the Barth Property and the
south property line of the Yesac Property. 
In such event, Owner and the City shall reasonably cooperate to agree
upon the final plans relating to the location of such Water Facilities.

 

SECTION 7                               SEWER
FACILITIES.

 

(a)                                  City
represents and warrants that sewer service through the City system is available
to the Subject Property at a location north of the Subject Property at Caron
Road and I-88.  In connection with the
annexation and development of the Subject Property, the City shall construct
sufficient sewer pipes, lines, lift stations and other facilities in order to
bring sewer service to the Subject Property sufficient to service the Subject
Property for its anticipated use and in accordance with City standards, and the
City shall install such facilities along the Subject Property (collectively,
“Sewer Facilities”) as shown on Exhibit G-2.1.  Subject to events of Force Majeure (as defined below), the City
shall complete the Sewer Facilities to (i) the east boundary of the Barth
Property and (ii) the Ogle County line

 

15

 

along the east boundary
of the Yesac Property on or before the date that is six months after the date
that Owner has submitted to the City (1) an application for a grading permit
for a primary building on any portion of the Subject Property, and (2) an
application for approval of Owner’s storm water management plan for applicable
portion of the Subject Property, and (3) all fees required in connection with
such applications.  Owner shall submit
such applications and pay such fees within 12 months after Owner purchases any
portion of the Yesac Property.  Owner
acknowledges that the City’s obligation to complete the Sewer Facilities by
such date is subject to Force Majeure (as defined in Section 37(c)) and
City obtaining the easements required to install the Sewer Facilities.  Owner shall reimburse the City for the costs
of the installation of the Sewer Facilities as set forth herein.  Such Sewer Facilities shall be constructed
either within existing easements or in currently dedicated right-of-way and to
the extent that such easements and rights-of-way are not currently in
existence, the City shall obtain such easements and rights-of-way at Owner’s
sole cost pursuant to Section 14, subject to the following:  (x) if IRE (as defined in Section 6(c))
or IRE’s designee or assignee enters into an annexation agreement with the City
relating to the IRE Land (as defined in Section 6(c)) and acquires the IRE
Land, Owner shall not be required to pay for any easements that may be required
on the IRE Land, (y) the City shall consult with Owner and obtain Owner’s
approval (which shall not be unreasonably withheld) before acquiring any
easements

 

16

 

relating to Sewer
Facilities that will be at Owner’s cost, and (z) if Owner is required to pay
for such easements pursuant to this Section, Owner shall have the right to recapture
100% of such easement costs from the owner of the applicable portion of the IRE
Land at the time the owner of such property taps into the Sewer
Facilities.  Owner acknowledges that any
easements on the Subject Property that are reasonably deemed by the City to be
necessary to install such facilities to the Subject Property shall be provided
by Owner at no cost to the City.  Except
for the connection charges set forth on Exhibit G-3 attached hereto and
made a part hereof which shall be in effect for five years after the annexation
of the Subject Property, Owner shall be permitted to connect to the Sewer
Facilities at no cost in locations that Owner selects in its sole discretion,
provided Owner’s improvement plans conform to all applicable City ordinances in
effect as of the date of this Agreement.

 

(b)                                 The
City represents that its sewer treatment facilities, as well as the
improvements to be constructed as provided for herein, are currently of
sufficient capacity to serve the current and anticipated development of the
Subject Property in the capacities shown on Exhibit G-1 with no
additional cost to Owner other than usual and customary fees, charges and rates
of general applicability in the City. 
The City agrees to provide service to the Subject Property based on the
estimated capacities shown on Exhibit G-1 as and when such service is
needed for the Subject Property. 
Attached hereto as Exhibit G-2.1 and Exhibit G-2.2 and
made a part

 

17

 

hereof are the
specifications, layout cost breakdown for the Sewer Facilities.  The City shall be responsible for 100% of
the cost of extending the sewer extension from its current location along Caron
Road to the intersection of Caron Road and Steward Road and then east
along Steward Road to the west boundary of the Barth Property.  For extensions from the west boundary of the
Barth Property to (i) the east boundary of the Barth Property and (ii) the
south property line of the Yesac Property, Owner shall pay the City for prior
to construction 110% of the estimated costs of the installation of the Sewer
Facilities beyond such point (based on the lowest qualified bid received
(“Owner’s 110% Sewer Improvement Payment”)); provided, however, in the event
that the actual costs exceed Owner’s 110% Sewer Improvement Payment, City shall
be responsible for such excess costs without any reimbursement from Owner, and
if the actual costs are less than Owner’s 110% Sewer Improvement Payment, City
shall be entitled to retain such savings. 
Owner shall have the right to recapture the costs incurred pursuant to
the preceding sentence as follows: (i) Owner shall have the right to recapture
50% of the costs of that portion of the Sewer Facilities that lies adjacent to
the land currently owned by the Boyle family located adjacent to the south
boundary of the Barth Property no further than the east boundary of the Barth
Property at the time the owner of such property taps into the Sewer Facilities,
and (ii) Owner shall have the right to recapture 50% of the costs of that
portion of the Sewer Facilities that lies adjacent to the land currently owned
by the Boyle

 

18

 

 

family located adjacent
to the east boundary of the Yesac Property at the time the owner of such
property taps into the Sewer Facilities.

 

(c)                                  As
stated in Section 6(c), if IRE acquires the IRE Land and does not exchange
properties with Owner, IRE and the City have agreed to share the costs of
extending the sewer line along Caron Road and Steward Road to the west boundary
of the Barth Property (at no cost to Owner). 
The City acknowledges that no portion of the City’s or IRE’s costs
relating to the sewer improvements and associated easement costs shall be
subject to recapture relating to the Subject Property.  The City and Owner acknowledge and agree
that if IRE or IRE’s assignee or designee does not acquire the IRE Land, or if
IRE or IRE’s designee or assignee acquires any portion of the IRE Land and
either does not enter into an annexation agreement with the City, or enters
into an annexation agreement but fails to commence construction of an ethanol
production facility by December 31, 2003 (if such failure releases IRE or
IRE’s assignee or designee from IRE’s or IRE’s assignee’s or designee’s
obligation to pay for IRE’s portion of the water improvement costs pursuant to
the terms of any annexation agreement between the City and IRE), (i) the cost
of extending the sewer extension from its current location to the south right
of way line of Illinois Tollway Authority Interstate Highway 88 along Caron
Road shall be at the City’s sole cost, (ii) the cost of extending the sewer
extension from the south right of way line of Illinois Tollway Authority
Interstate Highway 88 along Caron Road to Steward Road shall be shared equally
between the

 

19

 

City and Owner (with
Owner having the right to recapture all of such Owner’s costs from the owner of
the portion of the IRE Land currently owned by the Noggle Family Limited
Partnership at the time the owner of such property taps into the Sewer
Facilities, and City having no right to recapture its costs), and (iii) the
cost of extending the sewer extension from the intersection of Caron Road
and Steward Road east to the west boundary of the Barth Property shall be
shared between the City and Owner as follows: 
the City shall pay 75% of such costs and Owner shall pay 25% of such
costs (with the City having the right to recapture all of the City’s costs from
the portion of the IRE Land owned by Henry A. Knetsch, Jr., as Trustee Under a
Certain Trust Agreement Dated July 21, 1988, and Owner having no right to
recapture its costs); provided, however, that if Owner becomes the owner of the
IRE Land pursuant to a means other than an exchange of properties with IRE,
then Owner shall bear all of the costs of extending the sewer improvements from
the intersection of Caron Road and Steward Road east to the west boundary
of the Barth Property.

 

(d)                                 The
City shall assist Owner in securing applicable grants to defray the costs of
extending the Sewer Facilities from the west boundary of the Barth Property to
(i) Ogle County line along the east boundary of the Yesac Property and
(ii) the east boundary of the Barth Property.

 

(e)                                  The
City shall pay $30,000 for the incremental cost of materials required to upsize
the sanitary sewer line from 12 inches to 21 inches from the west

 

20

 

boundary of the Barth
Property to the Ogle County line along the east boundary of the Yesac Property.

 

(f)                                    Notwithstanding
anything herein to the contrary, in the event IRE or IRE’s designee or assignee
does not enter into an annexation agreement with the City or otherwise does not
grant the anticipated easements or rights-of-way required to construct the
Sewer Facilities in the locations described in this Agreement in a timely
manner, the City shall construct the Sewer Facilities along Caron Road within
the existing City right-of-way between the west boundary of the IRE Land and
the BNSF Rail Line (as defined in Section 8(c) of this Agreement) south to
the intersection of Caron Road and Steward Road, and then east along the
south side of Steward Road to the east boundary of the Barth Property and the
south property line of the Yesac Property. 
In such event, Owner and the City shall reasonably cooperate to agree
upon the final plans relating to the location of such Sewer Facilities.

 

SECTION 8                               PUBLIC
ROAD CONSTRUCTION.

 

(a)                                  The
City shall make or cause to be made by July 1, 2004 certain public road
improvements to Caron Road from the point north of the north right of way line
of Illinois Tollway Authority Interstate Highway 88 where Caron Road is not
able to support the travel of vehicle of up to 80,000 pounds each to Steward
Road so as to permit the travel of vehicles of up to 80,000 pounds each,
without any limitations on time or frequency of

 

21

 

travel; provided,
however, if IRE or IRE’s assignee or designee does not enter into an annexation
agreement with the City (and grant the required right-of-way required to
improve Caron Road), the City shall not be required to improve Caron Road until
the City receives the required right-of-way to perform such work (provided that
the City shall continue to use best efforts to obtain such right-of-way to
enable the City to perform such work). 
The parties anticipate that Ogle County shall make or cause to be made
by December 15, 2003 certain public road improvements to Steward Road from
Highway 251 to the south property line of the Yesac Property (approximately
13,130 lineal feet) so as to permit the travel of vehicles of up to 80,000
pounds each, without any limitations on time or frequency of travel.  Owner shall reimburse the City for a portion
of the costs of the installation of the road improvements as set forth on Exhibit H-1.  Attached hereto as Exhibit H-1
and made a part hereof is the layout and cost sharing breakdown for road
improvements.  In the event that grants
received by the City plus contributions made by Owner exceed the actual amount
paid by the City for such improvements, any excess shall be applied to any cost
that Owner may incur with respect to the future roadway improvements in the
area of the intersection of Ritchie Road and Steward Road as contemplated
by Ogle County.  The City hereby
represents that the cost to perform such Steward road improvements has been
estimated by Ogle County to be $633,000 (plus engineering design and inspection
costs) and the following grant applications have been made

 

22

 

with respect to such road
improvements:  (i) a Federal Urban Aid
grant in the amount of $400,000 and (ii) a TARP grant in the amount of
$148,000.  As set forth in Exhibit
H-1, the total estimated cost of the roadway improvements is $633,000 (as
currently estimated by the Ogle County), therefore, Owner’s contribution
towards the cost of such improvements will be $172,550, plus engineering design
and inspection costs.

 

(b)                                 The
portion of Ritchie Road that abuts the Barth Property shall also be improved by
Owner, at Owner’s cost, so as to permit the travel of vehicles of up to 80,000
pounds each, without any limitations on time or frequency of travel.  The City shall cause 50% of the costs
incurred by Owner in improving such portion of Ritchie Road to be paid to Owner
by the land owners adjoining Ritchie Road (collectively commonly known as the
“Boyle Property”) at the time each owner receives the right to access Ritchie
Road from such property pursuant to a separate recapture agreement entered into
between the City and Owner.

 

(c)                                  At
the time the applicable portion of the Subject Property is annexed to the City,
Owner shall convey and dedicate by quit claim deed to Ogle County, Owner’s fee
interest in a 40 foot right of way from the center of Steward Road along such
portion of the Subject Property (subject to restrictions of record as of the
date hereof).  In addition, at the time
the City or Ogle County reasonably requires such hereinafter described land to
be deeded to Ogle County for purposes of obtaining funding to construct an
overpass for Steward Road over Caron Road and the Burlington Northern Santa Fe

 

23

 

(“BNSF”) Railway line
along Caron Road (the “BNSF Rail Line”), Owner shall convey and dedicate by
quit claim deed to Ogle County, Owner’s fee interest in an additional 70 foot
right-of-way (that tapers down to 40 feet) from the 40 feet of previously conveyed
right-of-way on the south side of Steward Road from the west boundary line of
the Noggle Property to a point that is approximately 1,400 feet east of the
west boundary line of the Noggle Property (subject to restrictions of record as
of the date hereof).  Such right-of-way
shall be used solely for the purpose of constructing and maintaining such
overpass and related improvements. 
Prior to the time that Owner is required to convey such 70 foot
right-of-way, Owner shall be permitted to construct improvements on such
parcel, provided that Owner removes such improvements at Owner’s cost at the
time of conveyance to the extent required by Ogle County.

 

(d)                                 The
City and Owner acknowledge and agree that if IRE or IRE’s designee or assignee
does not acquire the IRE Land, the cost of the road improvements for Caron Road
described herein (including, without limitation, costs of acquisition,
engineering and other professional costs, and design inspection and
construction costs) shall be shared equally between the City and Owner (with
Owner having the right to recapture all of Owner’s costs from the owner of the
portion of the IRE Land currently owned by the Noggle Family Limited
Partnership (when the owner of such land receives the right to access Caron
Road from such property), and City having no right to recapture its costs).

 

24

 

(e)                                  At
the same time that Owner dedicates the 70 foot right-of-way described in
Section 8(c), Owner shall dedicate to the City by quit claim deed Owner’s
fee interest in a 50 to 60 foot right-of-way as shown on Exhibit E
attached hereto.  In addition, at the
time construction of the overpass described in Section 8(c) is completed,
Owner shall construct or cause to be constructed roadway improvements equal to
those described in Section 8(a) for the extension of Caron Road from the
north boundary of the overpass under the overpass and through the Noggle
Property and the Yesac Property to the future South Logistics Way and out to
Steward Road, as depicted on Exhibit E attached hereto.

 

(f)                                    Owner
agrees to convey and dedicate to Ogle County, in a form reasonably acceptable
to Ogle County, additional right-of-way on the south side of Steward Road near
the curve at Ritchie Road, and also south on Steward Road from the curve as
shown on the Willett Hoffman drawings included in the Willett Hoffman
“Geometric Report Steward Road, Ogle County, Illinois” dated December 13,
2002 (and specifically the drawings entitled “Steward Road Geometric Study 2003,
sheet 3 of 4, and sheet 4 of 4”), subject to the following:  (i) Owner shall dedicate such land if Owner
actually owns such portion of the Subject Property at the time the dedication
is required to be made, and (ii) Owner shall dedicate such land at the time
Ogle County commences construction of certain road improvements to be performed
by Ogle County at the intersection of Steward Road and Ritchie Road.

 

25

 

(g)                                 The
City acknowledges that no portion of the City’s or IRE’s costs relating to road
improvements shall be subject to recapture relating to the Subject Property.

 

SECTION 9                               STORM
WATER MANAGEMENT.

 

(a)                                  Storm
water run-off emanating from the Subject Property shall be retained or detained
as requested by the City in accordance with the proposed City storm water
management ordinance attached to this Agreement as Exhibit D (in lieu of
the current City ordinance), as modified by the variances set forth on Exhibit
C-3, and in accordance with a storm water management system for the Subject
Property to be designed in the future. 
Owner shall pay the City the permit and review fees established by the
City with respect to storm water management to the extent such fees are of general
applicability to all other owners of industrial property in the City.  Such system shall include all storm water
management facilities, including on-site and off-site storm sewers, if
necessary, and the construction of temporary storm water detention facilities
and ditches if needed for portions of the Subject Property, all in accordance
with final engineering plans approved by the City.  The City shall approve such plans which conform to the ordinances
of the City existing on the date of this Agreement (provided that with respect
to storm water management Owner shall comply with the proposed City storm water
management ordinance attached to this Agreement as Exhibit D in lieu of
the existing City storm

 

26

 

water management
ordinance, as described above) and which otherwise comply with the terms of
this Agreement.

 

(b)                                 The
City and the Owner acknowledge and agree that storm water detention/retention
areas as and to the extent provided in this Section 9 will be required on
the Subject Property as a part of the overall contemplated development of the
Subject Property.  There presently
exists insufficient information, both concerning the drainage and engineering
requirements of the Subject Property and concerning the proposed design and
development of future improvements to the Subject Property, for the City and
the Owner to currently specify the size, capacity or location for future
detention/retention areas, nor can the City and Owner specify at what time, or
in connection with which specific portion of the Subject Property or phase of
future development such detention/retention areas (a) will be necessary to the
development of such specific portion of the Subject Property, or (b) while not
necessary, may be designed and constructed by Owner voluntarily at its
election.  Notwithstanding the
foregoing, the City agrees that its requirements for detention and/or retention
shall not exceed the requirements in effect as of the date of this Agreement.  Notwithstanding anything contained in this
Section 9 to the contrary, however, the City shall not require, nor shall
Owner be compelled to design or construct, off-site detention/retention areas
as a condition to approval of improvements to any parcel of the Subject
Property.

 

27

 

(c)                                  The
City acknowledges that the natural flow of runoff water from the Barth Property
flows into an Illinois Tollway Authority pipe and then discharges into a
detention pond located north of Interstate 88 owned by the Flagg-Rochelle
Community Park District.  The parties
acknowledge that a portion of the Subject Property south of Steward Road
currently drains south into Steward Creek through drainage provided within the
BNSF right-of-way within which the BNSF Rail Line is located (the “BNSF
Right-of-Way”).  The City shall use its
best efforts to acquire prior to the commencement of the City Rail Work (as
defined in Section 12) a 100 foot wide tract of land, currently owned by
the Brossman family, located along the east boundary of the BNSF Right-of-Way
from the south boundary of the Yesac Property to beyond the south boundary of
Steward Creek (the “City/Brossman Right-of-Way”), to permit (i) the City to
construct an extension of the City Rail Line (as defined in the
Section 12) in the City/Brossman Right-of-Way (by the deadlines set forth
in Section 12), and (ii) such portions of the Subject Property to drain
into the drainage ditch that will be located in the City/Brossman
Right-of-Way.  The City and Owner shall
reasonably cooperate to obtain from Lee County, the Brush Grove Drainage
District or any other applicable governmental authority any permits or
agreements that may be necessary to permit the Subject Property to drain into
the City/Brossman Right-of-Way and then into Steward Creek.  At Owner’s request, the City shall grant
Owner a commercially reasonable easement in recordable form to

 

28

 

carry out the intent of
this Section.  Owner shall have the
right to record such easement against the City/Brossman Right-of-Way.

 

(d)                                 Owner
has agreed to contribute $215,000 to the City in connection with the City’s
efforts to accomplish certain regional drainage and offsite detention
objectives (the “Detention Contribution”). 
Owner shall pay the Detention Contribution to the City promptly after
City’s issuance of a full building permit for the construction of Owner’s
initial warehouse facility.

 

SECTION 10                        ELECTRICAL
SERVICE.

 

(a)                                  City
represents and warrants that electrical service through the City system is
available to the Subject Property at a location along Steward Road.  To the extent that secondary transformers
are needed to provide electrical service to the Subject Property or any
individual structure on the Subject Property, the City shall promptly install
such transformers at its sole expense. 
Owner shall be permitted to connect to the electrical facilities at no
cost in locations that Owner select in their sole discretion, provided Owner’
improvement plans conform to all applicable City ordinances in effect as of the
date of this Agreement.  The City agrees
to distribute the electrical service overhead throughout the Subject Property
per the City’s current requirements, and, if requested in writing by Owner and
if technologically feasible and in compliance with applicable law, agrees to
bury the electrical lines on the Subject Property at the incremental cost of
Owner.

 

29

 

(b)                                 The
City represents that its electrical transmission and substation facilities are
of sufficient capacity to serve the current and anticipated development of the
Subject Property as set forth on Exhibit I, and shall be available to
the Subject Property for such anticipated usage, with no additional cost to
Owner other than usual and customary fees, charges and rates of general
applicability in the City.  The City
agrees to provide such electrical service to the Subject Property as and when
such service is needed for the Subject Property.  The City agrees that any electrical rates that are applicable to
users similar to Owner with comparable levels shall also be available to Owner.

 

SECTION 11                        FIBER
OPTIC LINE INSTALLATION.

 

City
represents and warrants that fiber optic service through the City system is
available along Caron Road north of Interstate 88.  In connection with the annexation and development of the Subject
Property, the City shall construct sufficient fiber optic lines and capacity
(collectively, “Fiber Facilities”) in order to bring fiber optic service to the
Subject Property sufficient to service the Subject Property for its anticipated
use and in accordance with City standards. 
In addition, the City, per the City’s current requirements, shall
install the Fiber Facilities on the Subject Property in order to distribute
such facilities to the improvements on the Subject Property and if requested by
Owner and if technologically feasible and in compliance with applicable law,
City agrees to bury the fiber optic lines at the Subject property at the
incremental cost of Owner.  Such Fiber
Facilities shall be constructed either within existing easements or in
currently dedicated right-of-way and to the extent that such easements and
rights-of-way are not currently in existence, the City shall obtain such
easements and rights-of-

 

30

 

way at Owner’s sole cost pursuant to Section 14,
subject to the following:  (x) if IRE
(as defined in Section 6(c)) or IRE’s designee or assignee enters into an
annexation agreement with the City relating to the IRE Land (as defined in
Section 6(c)) and acquires the IRE Land, Owner shall not be required to
pay for any easements that may be required on the IRE Land, (y) the City shall
consult with Owner and obtain Owner’s approval (which shall not be unreasonably
withheld) before acquiring any such easements, and (z) Owner shall have the
right to recapture 100% of such easement costs from the owner of the IRE Land
at the time the owner of such property taps into the Fiber Facilities.  Owner shall be permitted to connect  to the Fiber Facilities at the standard
connection fee and in locations that Owner selects in its sole discretion,
provided Owner’s improvement plans conform to all applicable City ordinances in
effect as of the date of this Agreement. 
If Owner has an identified user for the Fiber Facilities, the City shall
install the Fiber Facilities to the applicable portion of the Subject Property
as soon as reasonably practicable after the Owner’s request (at the City’s
cost), provided that such installation is economically feasible in the City’s
reasonable discretion, taking into consideration the anticipated use of the
Fiber Facilities by such identified user. 
If Owner does not have an identified user for the Fiber Facilities but
desires the City to extend the Fiber Facilities to the Subject Property, the
City shall extend the Fiber Facilities to the portion of the Subject Property
requested by Owner as soon as reasonably practicable and Owner shall reimburse
the City for the costs of installation. 
If Owner incurs $10,000.00 or more in costs in causing the City to
install the Fiber Facilities, all of Owner’s costs shall be recaptured from
properties located adjacent to the Fiber Facilities extended to the Subject
Property.  Owner shall recover such
costs at the time the applicable owner taps into the Fiber Facilities.  If Owner incurs less than $10,000.00 in
costs

 

31

 

in causing the Fiber Facilities to be installed, Owner
shall not have the right to recapture such costs.

 

SECTION 12                        RAIL
SERVICE.

 

(a)                                  The
City shall, at the City’s sole cost, construct an extension of the existing
City railroad track (the “City Rail Line”) from its current termination point
north of the north right of way line of Illinois Tollway Authority Interstate
Highway 88 to the south right of way line of Illinois Tollway Authority
Interstate Highway 88 within the dedicated right-of-way shown on the
Preliminary Plan of Development and identified thereon as “City Rail Line”.  The City shall then, at its sole cost,
construct an extension of the City Rail Line to the south boundary of the Yesac
Property within the dedicated right-of-way shown on the Preliminary Plan of
Development and identified thereon as “City Rail Line”.  Upon acquisition of the City/Brossman
Right-of-Way, the City shall then, at its sole cost, construct an extension of
the City Rail Line from the south boundary of the Yesac Property to the point
that is approximately 500 lineal feet south of the south boundary of the Yesac
Property, within the City/Brossman Right-of-Way shown on the Preliminary Plan
of Development and identified thereon on “City Rail Line.”  The City’s work described in this
Section shall be described as the “City’s Rail Work”.  The scope of the City’s Rail Work is
described on Exhibit J-1 attached hereto and made a part hereof (the
“Rail Drawings”).  The City agrees that
it shall perform the City Rail Work extending the City Rail Line to the point
that 

 

32

 

is approximately 500
lineal feet south of the south boundary line of the Yesac Property, and subject
to Force Majeure, shall use its best efforts to complete the City Rail Work on
or before December 15, 2003.  As
part of the City’s Rail Work the City shall install switches as set forth on
the Rail Drawings.  The City represents
that the City has requested donations of certain rail equipment from Union
Pacific Corporation, including switches. 
To the extent the City receives a sufficient number of switches to
install the switches shown on Exhibit J-1, the City shall install such
switches at Owner’s request and, in such event, Owner shall pay the City
$10,000 per switch plus reasonable installation costs.  If the City does not receive a sufficient
number of switches, or if Owner elects not to acquire the City’s switches,
Owner shall be responsible for acquiring the remaining required switches and
upon such acquisition the City shall install such switches.  Notwithstanding the foregoing, the City
acknowledges that the City shall be responsible for acquiring and installing,
at the City’s cost, the switch located north of Steward Road shown on Exhibit
J-1.  Except for the switch north of
Steward Road (which shall be owned by the City), upon installation of such
switches Owner shall be deemed to be the owner of such switches.  Upon completion of plans and specifications
for the City Rail Work, the City shall deliver such plans and specifications to
Owner, for Owner’s review and approval of the switches set forth therein.  Owner shall reimburse the

 

33

 

City for all reasonable
installation costs incurred by the City in installing certain switches for the
City Rail Line as set forth on Exhibit J-1.

 

(b)                                 The
City represents and warrants that provided that IRE or IRE’s designee or
assignee has acquired the IRE Land, as of the date of annexation of the Subject
Property, it will have secured all rights of way necessary to perform the
City’s Rail Work and operate the extension of the City Rail Line upon
completion thereof.  To the extent that
IRE or IRE’s designee or assignee has not purchased such property as of the
date of annexation of the Subject Property, the City shall use all reasonable
efforts to obtain such rights of way to perform the City’s Rail Work and to
operate the extension of the City Rail Line upon completion thereof.  With respect to the portion of the City Rail
Line that shall cross the IRE Land along the northern boundary of the IRE Land
to provide rail access to the Barth Property (the “Barth Rail Line Extension”),
if IRE or IRE’s assignee or designee acquires the IRE Land and enters into an
annexation agreement with the City, the City shall obtain at the Owner’s cost
(without the right to recapture such costs from the owner of the IRE Land if
the owner of the IRE Land commences construction of an ethanol production
facility on the IRE Land by December 31, 2003) such right-of-way that is
necessary to install and maintain the Barth Rail Line Extension, subject to the
following: (i) the City shall consult with Owner and obtain Owner’s approval
(which shall not be unreasonably withheld) before acquiring any such
right-of-way, (ii) Owner shall not be required to pay for such right-

 

34

 

of-way unless the City
acquires the right-of-way in connection with Owner’s acquisition and
development of the Barth Property, and (iii) if the owner of the IRE Land fails
to commence construction of an ethanol production facility on the IRE Land by
December 31, 2003, Owner shall have the right to recapture 100% of such
right-of-way costs from the owner of the IRE Land at the time the owner of such
property causes a switch to be installed on the Barth Rail Line Extension.  If IRE or IRE’s assignee or designee does
not acquire the IRE Land or if IRE or IRE’s designee or assignee acquires any
portion of the IRE Land and does not enter into an annexation agreement with
the City, the City shall remain obligated to obtain at the Owner’s cost such
right-of-way that is necessary to install and maintain the Barth Rail Line
Extension, subject to the following: 
(x) the City shall consult with Owner and obtain Owner’s approval (which
shall not be unreasonably withheld) before acquiring any such right-of-way, (y)
Owner shall not be required to pay for such right-of-way unless the City
acquires the right-of-way in connection with Owner’s acquisition and
development of the Barth Property, and (z) Owner shall have the right to recapture
100% of such right-of-way costs from the owner of the applicable portion of the
IRE Land at the time the owner of such property causes a switch to be installed
on the Barth Rail Line Extension.

 

(c)                                  Except
for Owner’s payments with respect to the “Industrial Track” as defined in the
Industrial Track Agreement to be entered into between the

 

35

 

parties as described in
Section 12(d) below, the City agrees not to impose any fee, tax,
assessment or charge of any kind or type as against Owner that is connected
with, or in any way related to:  (i)
Owner’s right to connect to, (ii) Owner’s right to use, or (iii) Owner’s use
of, the City Rail Line.  The terms of
this Section 12 are expressly made binding upon the successors, assigns
and transferees of the City whether such successors receive their interest in
the City Rail Line by sale, lease, operating agreement or other transfer of any
right, title or interest in or to the City Rail Line.  The City agrees to execute a recordable memorandum sufficient to
give record notice of the agreements set forth in this Section.

 

(d)                                 Within
thirty (30) days after the Effective Date, the City and Owner will enter into
an Industrial Track Agreement, containing customary terms, provisions and
conditions which are reasonably acceptable to Owner (“Track Agreement”).  Among other things, the Track Agreement will
permit Owner, its successors and assigns, and their respective tenants and
licensees, to send and receive rail cars utilizing the City Rail Line.  During the term of this Agreement, neither
the City, nor its successors and assigns or their respective tenants and
licensees may charge Owner, its successors and assigns, or their respective
tenants and licensees for such service.  At the request of Owner from time to time, the City shall enter
into separate Track Agreements with Owner’s tenants and licensees for such
service.

 

36

 

SECTION 13                        PERFORMANCE
OF WORK.

 

(a)                                  The
City’s obligations set forth in Sections 6 through 12 may hereinafter be
collectively referred to as the “City’s Work”. 
The City shall perform the City’s Work in a good and workmanlike and
diligent manner and in accordance with the requirements and plans and specifications
set forth in this Agreement and in accordance with all applicable laws,
statutes, ordinances, rules and regulations. 
The City shall immediately notify Owner if the City becomes aware of any
circumstances that the City anticipates may prevent it from completing the
City’s Work by the applicable completion dates set forth in this
Agreement.  At the written request of
Owner (no more than monthly) the City shall provide Owner with written status
reports with respect to the City’s Work and the estimated completion date of
the Work.  In addition, upon Owner’s
request, the City shall meet with Owner and any tenants or prospective tenants
of Owner to discuss the status and estimated completion dates of the City’s
Work.

 

(b)                                 In
the event City fails to meet the completion dates set forth in this Agreement
for the City’s Work, Owner may provide five days’ written notice to the City
that it intends to exercise self-help rights and if the City does not cure such
default within such five day period, Owner may proceed to cure such
default.  Within 30 days after the
receipt of invoices from Owner for the cost of such work, the City shall
reimburse Owner for all costs expended by Owner in connection with performing
such work and in the event that the City does not promptly reimburse Owner such

 

37

 

amounts owed shall bear
interest at the rate of 5% per annum after said 30-day period, and Owner may
set-off such amounts owed against amounts it owes the City under this Agreement
or otherwise.

 

SECTION 14                        DEDICATIONS
AND EASEMENTS.

 

(a)                                  At
the time of recordation of a final subdivision plat approval of any phase of
the development, the Owner shall grant to the City, at no cost to the City,
easements reasonably necessary for the construction and maintenance of sanitary
and storm sewers, and construction and maintenance of water or other utilities
within the Subject Property at locations designated by the Owner, as approved
by the City in its reasonable discretion. 
At the time of each subsequent subdivision phase approval, Owner shall
dedicate street right-of-way to the City at such locations as the City
reasonably approves consistent with the Owner’s development plans for the
Subject Property.  The City shall
review, inspect and accept the construction of streets, utilities and other
public improvements in accordance with the City subdivision regulations in
effect on the date of this Agreement. 
No land donations other than those specified within this Agreement and
this Section 14 shall be required of Owner.

 

(b)                                 Owner
shall cause to be granted to the City, at no cost to the City, a 25 foot
easement along (i) the north side of the 40 feet of to be conveyed right-of-way
on the north side of Steward Road from the west boundary of

 

38

 

the Barth Property to the
intersection of Steward Road and Ritchie Road and, if reasonably required
by the City, from such intersection to the east boundary of the Barth
Property, and (ii) the west side of the 40 feet of to be conveyed right-of-way
on the west side of Steward Road from the northeast corner of the Yesac
Property to the south boundary of the Yesac Property (collectively, the
“Utility Easement Area”).  The Utility
Easement Area shall be used by the City solely to install and maintain the City
utility facilities placed therein.  In
addition, Owner shall cause to be granted to the City, at no cost to the City,
a temporary 50 foot construction easement along (i) the north side of the 25
foot wide Utility Easement Area described in the previous sentence on the north
side of Steward Road from the west boundary of the Barth Property to  the intersection of Steward Road and
Ritchie Road and, if reasonably required by the City, from such
intersection to the east boundary of the Barth Property, and (ii) the west
side of the 25 foot wide Utility Easement Area described in the previous
sentence on the west side of Steward Road from the northeast corner of the
Yesac Property to the south boundary of the Yesac Property (collectively, the
“Construction Easement Area”).  The
Construction Easement Area shall be used by the City solely to construct the
Sewer Facilities as described in this Agreement.

 

(c)                                  Owner
shall cause the easements relating to the Utility Easement Area and the
Construction Easement Area to be granted to the City at the time that the City
reasonably requires such land to construct the Sewer Facilities.

 

39

 

(d)                                 Owner
shall be entitled to take into account the Utility Easement Area in
establishing Owner’s set back and green space requirements under the applicable
portions of the City Municipal Code (as modified by Exhibit C-1 and Exhibit
C-2 to this Agreement).  In
addition, Owner shall be permitted to use the Utility Easement Area for all
purposes that are not inconsistent with the rights granted herein.  Without limiting the foregoing, the Owner
shall be permitted to install landscaping, berms and pavement over such areas
(provided such improvements shall not materially interfere with the operation
of the City’s utilities located in such area).

 

(e)                                  Prior
to causing the easement or easements relating to the Utility Easement Area and
the Construction Easement Area to be granted to the City, the owner of the
applicable portion of the Subject Property and the City shall enter into a
commercially reasonable easement agreement governing the City’s use of such
areas.

 

(f)                                    The
installation, use, maintenance, repair and removal of improvements by the City in
the Utility Easement Area and the Construction Easement Area shall be subject
to the following terms and conditions (in addition to the terms and conditions
to be set forth in the applicable easement agreements):

 

(i)                                     The
plans and specifications of any work to be performed in the Utility Easement
Area and Construction Easement Area shall be

 

40

 

subject to the applicable
owner’s approval, which shall not be unreasonably withheld.

 

(ii)                                  Prior
to commencing any work in the Utility Easement Area and the Construction
Easement Area, the City shall notify the applicable owner and coordinate such
work with such owner so as to minimize interference with such owner’s use and
occupancy of the Utility Easement Area and the Construction Easement Area.

 

(iii)                               The
City shall use best efforts not to interfere with the applicable owner’s use
and occupancy of the Subject Property in connection with the use, maintenance,
repair and removal of improvements in the Utility Easement Areas and the
Construction Easement Area by the City.

 

(iv)                              The
City shall, at its sole cost and expense, replace any landscaping or asphalt or
concrete pavement on the Subject Property, the Utility Easement Area or the
Construction Easement Area that the City removes, displaces or damages in the
exercise of its easement rights in accordance with the terms of this Agreement,
with like quality improvements, and shall otherwise restore the Subject
Property, the Utility Easement Area and the Construction Easement Area to
substantially the same condition as existed prior to any easement related
maintenance or repair work that the City may perform in the exercise of its
easement rights.

 

41

 

(v)                                 The
City shall perform all work relating to the Utility Easement Areas and the
Construction Easement Area in a good and workmanlike manner.

 

(vi)                              In
addition, if the City causes any damage to the Utility Easement Area or any
other portion of the Subject Property, the City shall promptly repair such
damage.  The applicable owner shall have
the right to repair any such damage to the Utility Easement Area or the
applicable portion of the Subject Property after reasonable advance notice to
the City (except in the case of an emergency, in which event no advance notice
shall be required) and charge the City for such repairs.  The City shall pay any such repair charges
promptly

 

(g)                                 The
City agrees to indemnify and save the applicable owner harmless from and
against any and all suits, claims, liabilities, and expenses (including,
without limitation, reasonable attorneys’ fees) relating to accidents,
injuries, loss, or damage of or to any person or property arising from or in
any manner relating to the use by the City of the Utility Easement Area or the
Construction Easement Area or any other portion of the Subject Property.

 

(h)                                 It
is hereby expressly agreed that the granting of the Utility Easement Area and
the Construction Easement Area shall be of easements only and that fee simple
title to the Subject Property, the Utility Easement Area and the

 

42

 

Construction Easement
Area shall and does remain in the applicable owner.

 

SECTION 15                        APPLICABLE
MUNICIPAL ORDINANCES

 

(a)                                  Notwithstanding
anything to the contrary set forth in this Agreement, all presently existing
ordinances, regulations and codes of the City relating to subdivision controls,
zoning subdivision, landscaping and screening, signs, street graphics,
appearance, grading, placement of buildings and other structures and
improvements, as modified and varied by the terms of this Annexation Agreement,
shall apply to Subject Property for a period of ten years from the date of this
Agreement.  All presently existing
ordinances, regulations and codes of the City and the proposed City storm water
management ordinance attached to this Agreement as Exhibit D relating to
storm water drainage and detention, stream and wetland protection, soil erosion
and sediment control, flood way, flood plain and flood fringe protection, and
to the building code, health code, safety code, and fire codes, as modified and
varied by the terms of this Annexation Agreement, shall apply to the Subject
Property for a period of seven years from the date of this Agreement unless
amendment to the aforesaid is mandated by controlling authorities such as the
State of Illinois or the Federal Government that pre-empts the authority of the
City or are modifications of the national codes previously adopted by the City.

 

43

 

(b)                                 If,
during the term of this Agreement, any existing, amended, modified or new
ordinances, codes or regulations affecting the topics described in
Section 15(a), are amended or modified in a manner to impose less
restrictive requirements on development of, construction upon, properties
within the City, then the benefit of such less restrictive requirements shall
inure to the benefit of the Owner and, anything to the contrary herein
notwithstanding, Owner may elect to proceed pursuant to the less restrictive or
modification applicable generally to all properties zoned I-2 within the City.

 

(c)                                  Subsequent
to the expiration of the ten year period described in Section 15(A), the
City shall not amend its ordinances, regulations, and codes relating to storm
water management, storm water drainage and detention, erosion and sediment
control, floodway, flood plain and flood fringe protection or to the building
code, health code, safety code and fire code in a manner which treats the
Subject Property differently than other property located in I-2 zoning
districts or which treats property zoned I-2 substantially differently than
other property located in the City zoned I-l or I-3.

 

SECTION 16                        EXISTING
WATER AND SEPTIC FACILITIES.

 

Owner shall be permitted
for a period of five years from the date of annexation to utilize the existing
private well water supply and septic sewer arrangement on the Subject Property
(to the extent permitted by applicable law) for purposes of (a) domestic
service to the existing 

 

44

 

residential structure on
the Subject Property; (b) irrigation of the Subject Property for agricultural
and landscaping purposes; and (c) to provide water to any on-site
detention/retention pond.

 

SECTION 17                        RECAPTURE.

 

(a)                                  Owner
will incur costs with respect to the construction of water facilities, sewer
facilities and public roads as provided by the terms of this Agreement in
excess of what Owner would have incurred to solely serve the Subject
Property.  To the extent that any party
that does not own a portion of the Subject Property wishes to connect to any of
such facilities after the point where such facilities first cross the Subject
Property, the City shall charge such parties for such connection and Owner
shall receive a recapture fee to reimburse Owner for its excess costs in the
amounts and as calculated on the applicable exhibits to this Agreement for the
particular facilities and pursuant to a separate recapture agreement to be
entered into within 30 days after the date of this Agreement between the City
and Owner substantially in the form of the recapture agreement previously
delivered to Owner by the City.

 

(b)                                 Notwithstanding
anything to the contrary contained within this Agreement, if only a portion of
the Yesac Property is acquired by Owner, Yesac shall not be required to pay for
any “recapture fee” or other fee as compensation to Owner for extending the
utilities through the Yesac Property or improving Steward Road around the Yesac
Property.

 

45

 

SECTION 18                        EXISTING
AND NONCONFORMING USES.

 

For a period of five
years from the date of annexation, any existing or nonconforming uses of the
Subject Property will be permitted to continue until that portion of the
Subject Property is developed.  Such
uses may not be expanded.  If such uses
become nonconforming subsequent to the date of this Agreement, such uses may
continue until that portion of the Subject Property is developed but not longer
than a period of five years from the date such use becomes nonconforming.  The existing farm structure and house on the
Subject Property may remain on the Subject Property, notwithstanding any
structures that are nonconforming to the ordinances of the City, and Owner
shall have the right to coordinate construction and development of the Subject
Property from such structures in lieu of, or in addition to, installing a
construction trailer on the Subject Property. 
Owner shall maintain such properties in accordance with all applicable
City ordinances relating to public health, safety and welfare.

 

SECTION 19                        PROPERTY
TAX ABATEMENT.

 

Once any portion of the
Subject Property is developed and occupied by a third party tenant for its
business operations (the “Trigger Date”), in the event that such development
creates ten or more jobs and otherwise qualifies for tax abatement under
Illinois law then all real estate taxes levied against such areas of the
Subject Property by the City shall be abated in the amount of 90% of such tax
in the first full year after the Trigger Date and in the amount of 75% for the
second full year after the Trigger Date.

 

SECTION 20                        FEES;
DEVELOPMENT CODES; LIMITATION ON SPECIAL SERVICE AREA CREATION; CHANGES TO
CODES.

 

46

 

(a)                                  For
a period of five years, there will be no increases in the City’s current fees
for building permits, plan review, water and sewer tap-ons and similar
fees.  Thereafter, Owner shall pay such
fees as are in existence at the time of any development, provided such fees are
of general applicability to all other owners of industrial property in the
City.

 

(b)                                 Without
the consent of the Owner, City shall take no action to designate any portion of
the Subject Property remaining undeveloped or in its current state of
development as a Special Service Area for purposes of financing public
improvements.  Other than as normally
levied against all other property in the City, the City acknowledges that it
shall assess no additional fees to the Subject Property for the provision of
police and fire protection services.  No
impact fees are or will be due and owing as to the development of the Subject
Property.

 

(c)                                  The
City agrees that after the date of this Annexation Agreement it shall take no
action without the consent of the Owner of the applicable property (which may
be withheld in such Owner’s sole discretion) to amend the zoning of the Subject
Property, the Comprehensive Plan or the subdivision plan or to otherwise to
take any action that would materially reduce the benefits and rights granted to
the Owner under this Agreement.

 

(d)                                 The
City acknowledges and agrees that no portion of the City’s or IRE’s costs
relating to road or utility improvements shall be subject to recapture relating
to the Subject Property.

 

47

 

SECTION 21                        EFFECTIVE
DATE; RECORDATION OF CERTAIN DOCUMENTS.

 

This Agreement shall be
in full force and effect upon the date first appearing above.  Upon execution of this Agreement, City shall
be authorized to record this Agreement or a Memorandum hereof, along with the
Authorizing Ordinance and Plat of Annexation, and any other documents necessary
to effect the annexation of the Subject Property to the City.

 

SECTION 22                        AMENDMENT.

 

This Agreement sets forth
all the promises, inducements, agreements, conditions and understandings
between the parties relative to the subject matter thereof, and there are no
promises, inducements, agreements, conditions or understandings, either oral or
written, express or implied, between them other than are herein set forth.  Except as otherwise provided herein, no
subsequent alteration, amendment, change or addition to this Agreement shall be
binding upon the parties hereto unless authorized in accordance with law and
reduced in writing as signed by them.

 

SECTION 23                        AUTHORIZATION
TO EXECUTE.

 

Owner represents and
warrants that it is lawfully authorized to execute this Agreement.  The City Mayor and Clerk of the City hereby
warrant that they have been lawfully authorized by the City Council of the City
to execute this Agreement.  The Owner
and City shall deliver upon request to each other copies of all by-laws,
partnership agreements, resolutions, ordinances or other documents required to
legally evidence the authority to so execute this Agreement on behalf of the
respective parties.

 

48

 

SECTION 24                        ASSIGNABILITY;
RESPONSIBILITY; CONTINUANCE OF OBLIGATIONS.

 

This Agreement is binding
on the parties, their successors and assigns. 
In the event a portion of the Subject Property is sold or conveyed at
any time during the term of this Agreement, all of the obligations and responsibilities
of Owner as set forth herein shall devolve upon and be assumed by such
purchaser, grantee or other assignee, and all of the rights and benefits of
this Agreement shall inure to such purchaser or grantee with respect to such
portion of the Subject Property.  Owner
shall be released from all owner obligations that relate to that portion of the
Subject Property being sold or conveyed. 
Without limiting the foregoing, prior to the annexation of the Subject
Property to the City, Owner shall have the right, without the City’s, Barth’s
or Yesac’s approval, to assign all of its obligations, rights and
responsibilities under this Agreement to another person or entity in connection
with an assignment of the Yesac Contract (with respect to the Yesac Property)
or the Barth Contract (with respect to the Barth Property).

 

SECTION 25                        TERM.

 

This Agreement shall run
for a full statutory term of 20 years from the date of annexation of any
portion of the Subject Property.  Until
the expiration of the term of this Agreement, the City shall not terminate, modify,
alter or effect the annexation, zoning or other land use approval made pursuant
to this Agreement.

 

SECTION 26                        NOTICES.

 

Unless otherwise notified
in writing, all notices, requests and demands shall be in writing and shall be
personally delivered to or mailed by certified mail, postage prepaid, return
receipt requested, as follows:

 

	
  For the City:

  	
  City Manager  

  420 North 6th Street

  Rochelle, Illinois 61068  

  

 

49

 

	
  With copies to:

  	
  City Attorney

  420 North 6th Street

  Rochelle, Illinois 61068  

  
	
   

  	
   

  
	
  For Yesac:   

  	
  Larry and Patricia Casey

  12514 Flagg Road

  Rochelle, Illinois 61068  

  
	
   

  	
   

  
	
  With Copy to:  

  	
  Charles P. Cole, Jr., Esq.

  Attorney at Law

  104 Oak Court

  P.O. Box 24

  Rochelle, Illinois 61068

  
	
   

  	
   

  
	
  For Barth:

  	
  Ms. Marie Annette Barth

  9165 Rt. 38 West

  Rochelle, Illinois 61068

  
	
   

  	
   

  
	
   

  	
  Ms. Joyce Stocking

  3968 E. Pine Rock Road

  Oregon, Illinois 61061

  
	
   

  	
   

  
	
  With copy to:

  	
  Charles P. Cole, Jr., Esq.

  Attorney at Law

  104 Oak Court

  P.O. Box 24

  Rochelle, Illinois 61068

  
	
   

  	
   

  
	
  For Noggle:

  	
  Noggle Family Limited Partnership

  Attn:  Robert Noggle

  25862 West Hafen Richter Road

  Plainfield, Illinois 60554  

  
	
   

  	
   

  
	
  With copy to:

  	
  Goldsmith, Thelin, Dickson & Brown

  Attn: Frederick Dickson, Esq.

  2000 W. Galena, Suite 200

  Aurora, Illinois 60506  

  

 

50

 

	
  For DP Partners:

  	
  DP Industrial LLC

  1200 Financial Boulevard

  Reno, Nevada 89502

  Attn: Aaron Paris, Chief Operating Officer 
  

  
	
   

  	
   

  
	
  With copy to:

  	
  Jones Day

  77 West Wacker Dr. Suite 3500

  Chicago, IL 60601-1692

  Attn: Brian L. Sedlak

  

 

or such other addresses
that any party hereto may designate in writing to the other parties, pursuant
to the provisions of this section.

 

SECTION 27                        FOREIGN
TRADE ZONE AND ENTERPRISE ZONE.

 

The City shall cooperate
with Owner and use all reasonable efforts to assist Owner in obtaining Foreign
Trade Zone and Enterprise Zone status for the Subject Property prior to the
date of annexation of the Subject Property. 
Such efforts shall include, without limitation, authorizing and filing
all necessary applications and nominations with the applicable governmental
authorities in order to obtain Foreign Trade Zone and Enterprise Zone status.

 

SECTION 28                        RECORDATION.

 

Immediately after the
annexation of the Subject Property, the City shall cause to be recorded all
documents necessary to effect such annexation fully in the manner required by
law.  Owner shall cooperate with the
City as may be reasonably necessary to affect such recording.  In addition, at any time after the execution
and delivery of this Agreement, Owner may record this Agreement or a memorandum
of this Agreement.  In the event that
Owner desires to record a memorandum of this Agreement, the City shall promptly
sign any accurate memorandum submitted by Owner.

 

51

 

SECTION 29                        TIME
PERIODS.

 

In the event that any
time period for review or approval is reduced by the City on a City-wide basis
or with respect to any property within the City to a shorter time period than
set forth herein or normally required by City ordinance, said reduced time
period shall be deemed to be the time period for approval or review as the case
may be for any approval required by the Owner.

 

SECTION 30                        STOP
ORDERS.

 

The City will issue no
stop order directing work stoppage on buildings or other development on the
Subject Property without first setting forth the Section of the building
regulations allegedly violated by the Owner or their developers, agents,
employees or vendors, and the Owner or their developers, agents, employees or
vendors may forthwith proceed to correct such violations as may exist and
continue with the construction of the buildings or development.

 

SECTION 31                        LEGAL
FORMALITIES.

 

At the time of the
execution and delivery of this Agreement by each of the parties hereto and from
time to time thereafter when requested by the Owner, the City shall cause to be
executed and delivered on the City’s behalf such certificates and other
evidence (addressed to the Owner and such other addresses as the Owner may
request), in form and substance reasonably satisfactory to the Owner, as the
Owner may request to represent and evidence further, that all necessary actions
have been taken and all measures and procedures required by applicable state
and local laws, statutes, ordinances, codes and other requirements have been
satisfied in order to authorize the execution and delivery of this Agreement by
the City and the performance of the City of the obligations imposed upon the
City hereunder and that this Agreement is the valid and binding obligations of
the City, enforceable in accordance with its terms.

 

52

 

SECTION 32                        STATUS
CERTIFICATE.

 

Upon the request of Owner
from time to time during the term of this Agreement, the City shall execute and
deliver to the Owner (or addressed to such other party or parties as Owner may
request) a statement in form and substance reasonably satisfactory to the Owner
and such other addressees, to the effect that (a) this Agreement continues in
full force and effect, unmodified, in accordance with its terms, and
(b) no default, or any event of circumstances which with the passage of
time or giving of notice would become a default, exists with respect to any
party under this Agreement.

 

SECTION 33                        CERTIFICATE
OF OCCUPANCY.

 

(a)                                  The
City agrees to issue certificates of occupancy for any structures on the
Subject Property within five business days of request for final inspection or
issue a letter of denial within said period of time informing Owner
specifically as to what corrections are necessary as a condition to the
issuance of a certificate of occupancy and quoting the section of the
building regulations relied on by the City in its request for correction.  If, after final inspection or reinspection,
the City’s inspector does not request correction of any items, immediate
occupancy of the premises will be allowed, it being understood that the staff
processing of the certificate may take up to five business days.  Temporary occupancy permits may be issued
when adverse weather conditions do not permit outside painting, landscaping,
sidewalks, driveways, or final grading for commercial buildings.  Final surfacing of driveways also may be
deferred for weather conditions.  Such
painting, landscaping, sidewalks, grading, and driveway

 

53

 

construction shall be
accomplished or installed as soon as weather permits.  Such additional temporary permits that may be required due to
adverse weather conditions shall not be unreasonably withheld or delayed.

 

(b)                                 At
the request of Owner, with respect to each applicable structure on the Subject
Property the City shall issue a temporary certificate of occupancy for the
applicable structure evidencing that the shell of the structure has been
completed in accordance with City ordinances. 
In addition, subject to the satisfaction of all life-safety
requirements, upon the completion of the shell of any structure, the City all
allow perspective tenants to access the structure in order to install tenant
improvements and equipment and in order to perform systems testing.

 

SECTION 34                        ASSURANCES
BY CITY.

 

(a)                                  In
consideration of the Owner entering into this Agreement, expending substantial
time and funds in the study and implementation of a concept development plan
for the Subject Property, and as an inducement for the Owner to proceed to
develop the Property, the City represents and warrants to the Owner that:

 

(i)                                     the
copies of the ordinances, codes, maps and other City laws, regulations and
requirements previously furnished to Owner’s attorneys from the City Manager’s
office are true, correct and complete in all respects and constitute such
ordinances, codes, maps and other laws, regulations and requirements as presently
in

 

54

 

effect in the City,
except as they may be amended by or pursuant to this Agreement with respect to
the Subject Property as provided herein. 
Defined terms used in this Agreement with respect to certain of said
ordinances, codes, maps and other City laws, regulations and requirements shall
have the meanings ascribed to them on said schedule or as the case may be,
in said ordinances, codes, maps and other City laws, regulations and
requirements;

 

(ii)                                  none
of the Subject Property is presently bounded or the subject of any other
annexation agreement (or application for annexation), or other Agreement with
the City or, to the best knowledge of the City, any other governmental entity
with respect to the ownership, use, operation, development or taxation or
assessment thereof, any construction hereon, or any infrastructure or public
improvements or services with respect thereto;

 

(iii)                               the
City has presently in effect or pending no special assessments, charges, levies
or other taxes or any recapture or chargeback agreements or other arrangements
for the payment of utility, infrastructure or other costs of improvements or
other municipal or governmental costs, expenditures or investments to which the
Subject Property or any part thereof or its owners are subject or bound that
does not generally relate to the City;

 

55

 

(iv)                              all
staff reviews, public notices, public hearings and votes required by the
provisions of the Illinois Constitution, the Illinois Municipal Code, City
municipal code, the City zoning ordinance and City development code have been
or will be properly performed, given, held or taken as the case may be in order
to execute this Agreement or any agreement or amendment contemplated by this
Agreement; and

 

(v)                                 the
City boundaries are each presently physically contiguous to the Subject
Property and the Subject Property is not presently within the corporate limits
of any other municipality.

 

SECTION 35                        CONDITIONS.

 

(a)                                  This
Agreement is subject to the following conditions: (i) annexation of the Subject
Property pursuant to Section 2; (ii) rezoning of the Subject Property
pursuant to Section 3, and (iii) amendment of the Comprehensive Plan
pursuant to Section 4 if necessary, (each a “Condition” and collectively,
the “Conditions”).  Each Condition may
be waived in writing in whole or in part only by Owner in its sole and absolute
discretion.

 

(b)                                 The
parties agree that this Agreement is effective upon the date of this Agreement
but that the annexation of the Subject Property shall not take place until
Owner purchases the particular property; if such property meets the
requirements of annexation pursuant to 65 ILCS 5/11-15.1-1 et seq at such time
(“Condition Precedent”).  In the event
that such portion of the

 

56

 

Subject Property does not
meet the requirements of annexation at the time of such purchase, the
annexation shall occur when such property does meet the requirement of
annexation.  To the extent that Owner
purchases less than the entire portion of the Subject Property but at least a
total of 100 acres this Annexation Agreement and the obligations of the parties
shall only apply to the portion of the Subject Property so purchased and
annexed.  The Owner acknowledges that
this Agreement is being entered into at the request of Owner as a condition of
Owner purchasing any portion of the Subject Property, and, as such, all of the
rights and benefits of this Agreement shall be solely for Owner.  The Consenting Parties agree that they shall
not bring any action under this Agreement (for enforcement, termination or
otherwise) without the written consent of Owner, which may be withheld in its
sole discretion.  The Owner further
agrees that this Agreement runs with the land and upon the purchase of a
portion of the Subject Property by Owner (or its successors and assigns), the
owner of such portion of the Subject Property from whom Owner acquired title
shall have no rights under this Agreement.

 

SECTION 36                        DEFAULT/REMEDIES.

 

If either of the parties
shall default under this Agreement or fail to perform or keep any term or
condition required to be performed or kept by such party, such party shall,
upon written notice from the other party, proceed to cure or remedy such
default or breach within 30 days after receipt of such notice, provided,
however, that in the event such default is not reasonably curable within such
30 day period and the defaulting party commences to cure the default within

 

57

 

said 30 day period and
proceeds with due diligence to cure the same, such party shall not be deemed to
be in default under this Agreement.  In
case such action is not taken or not diligently pursued or the default or
breach shall not be cured or remedied within the above period, the aggrieved
party may institute such proceedings as may be necessary or desirable in its
opinion to cure and remedy such default or breach including, but not limited
to, proceedings to compel specific performance by the party in default or
breach of its obligation.  The rights
and remedies of the parties, whether provided in law or by this Agreement,
shall be cumulative and the exercise by either party by any one or more of such
remedies shall not preclude the exercise by it at the same time or different
times.  Any delay by any party in
instituting or prosecuting any action or proceeding shall not operate as a
waiver of such right in any way.  Owner
waive any right to seek disconnection of all or any portion of the Subject
Property during the term of this Agreement. 
The parties will cooperate with each other and shall perform all
reasonable efforts to remedy any default, act or omission that affects the validity
of this Agreement.

 

SECTION 37                        MISCELLANEOUS.

 

(a)                                  Waiver.  No waiver of any condition or provision of
this Agreement by any party shall be valid unless in writing signed by such
party.  No such waiver shall be deemed
or construed as a waiver of any other or similar provision or of any future
event, act, or default.

 

(b)                                 Computation
of Time.  In the computation of any
period of time provided for in this Agreement or by law, the day of the act or
event from which such period of time runs shall be excluded, and the last day
of such period shall be included, unless it is a Saturday, Sunday, or legal
holiday, in

 

58

 

which case the
period shall be deemed to run until the end of the next business day.

 

(c)                                  Force
Majeure.  The term “Force Majeure”
as used in this Agreement shall mean any delay in the completion of any
obligation of a party under this Agreement which is attributable to any: (1)
actual delay or failure to perform attributable to any strike, lockout or other
labor or industrial disturbance (whether or not on the part of the employees of
either party hereto), civil disturbance, future order claiming jurisdiction,
act of a public enemy, war, riot, sabotage, blockade, embargo, inability to
secure customary construction materials, supplies or labor in a timely manner;
and; (2) delay attributable to lightning, earthquake, fire, storm, hurricane,
tornado, flood, washout,  explosion,
inclement weather (including, without limitation, frozen ground and precipitation)
that prohibits any work or obligations to be performed in a commercially
reasonable manner pursuant to customary industry standards and techniques, or
any other similar cause beyond the reasonable control of the party from whom
performance is required, or any of its contractors or other
representatives.  Any prevention, delay
or stoppage due to any Force Majeure shall excuse the performance of the party
affected for a period of time equal to any such prevention, delay or stoppage
(except the obligations of either party to pay money); provided that the party
seeking to benefit from Force Majeure provides written notice to the other
party within five days after

 

59

 

the event of Force
Majeure which sets forth the nature and the estimated duration of the delay.

 

(d)                                 Headings.  Headings of articles and sections herein are
for convenience of reference only and shall not be construed as part of this
Agreement.

 

(e)                                  Illinois
Law.  This Agreement shall be governed
by and construed in accordance with the laws of the State of Illinois.  Jurisdiction and venue shall be exclusively
in the Circuit Court of Ogle County, Illinois or the United States District
Court for the Northern District of Illinois (Western Division) (if such Federal
court has appropriate jurisdiction and venue).

 

(f)                                    Fees.  In the event any dispute arises hereunder,
and litigation or arbitration proceedings are commenced, the prevailing party
shall be entitled to recover from the other party all costs and expenses
incurred in connection with such proceedings, including but not limited to
reasonable attorneys’ fees and costs.

 

(g)                                 No
Interpretation Against the Drafter. 
In no event shall this Agreement be construed more strongly against any
one person solely because such person or its representative acted as draftsman
hereof, it being acknowledged by the parties hereto that both have been
represented by competent legal counsel, that this Agreement has been subject to
substantial negotiation, and that all parties have contributed substantially to
the preparation of this Agreement.

 

60

 

(h)                                 Severability.  If any provision of this Agreement is held
invalid by a court of competent jurisdiction, or in the event such court shall
determine that the City does not have the power to perform any such provision,
such provision shall be deemed to be excised here from and the invalidity
thereof shall not affect any of the other provisions contained herein, and such
judgment or decree shall relieve the respective party from performance under
such invalid provision of this Agreement.

 

(i)                                     Counterparts.  This Agreement may be executed in two or
more counterparts, each of which taken together shall constitute one and the
same instrument.

 

(j)                                     Consenting
Parties.  Notwithstanding anything
to the contrary contained herein, the parties hereto acknowledge and agree that
the Consenting Parties are executing this Agreement for convenience only and to
comply with applicable law.  The parties
hereto acknowledge and agree that (i) the Consenting Parties shall have no
obligations whatsoever with respect to this Agreement, and (ii) no portion of
the Subject Property shall be burdened in any way whatsoever by this Agreement
unless and until Owner purchases any portion of the Subject Property (at which
time the portion of the Subject Property purchased by Owner shall be subject to
the terms and conditions of this Agreement).

 

61

 

SECTION 38                        OWNER
CONSTRUCTION COMMITMENT

 

Owner intends to
construct industrial warehouses on the Subject Property containing a total of
approximately 5,000,000 square feet. 
Owner intends to commence construction of its initial industrial
warehouse, consisting of between approximately 520,000 to 570,000 square feet,
at approximately the midpoint of the eastern boundary of the Yesac Property
adjacent  to Steward Road.  Construction for Owner’s initial facility
shall commence sometime in August 2003, subject to the following three
conditions:  (i) the applicable portion
of the Subject Property being annexed to the City, (ii) Owner acquires the
Noggle Property and the Yesac Property by August 5, 2003, and (iii) the
City is prompt in issuance of such grading, storm water management, foundation
and building permits required for Owner to commence such applicable portions of
work, after Owner makes such permit submissions to City, in order for Owner to
complete construction of the shell of such building and secure a certificate of
occupancy for such work  by
March 1, 2004.  In all events,
Owner’s commitment to commence construction is conditioned upon its closing on
the applicable property under Owner’s existing purchase option agreements.  If annexation does not occur prior to the
expiration of Owner’s purchase and option contracts, Owner does not currently
have the ability to extend the deadlines as set forth in these agreements.

 

[SIGNATURE PAGE FOLLOWS]

 

62

 

IN WITNESS WHEREOF, the parties hereto have set their
hands and seals as of the date and year first written.

 

	
   

  	
  CITY OF ROCHELLE

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Chet Olson

  
	
   

  	
  Name:

  	
  Chet Olson

  
	
   

  	
  Its:

  	
  Mayor

  
	
   

  	
  Date:

  	
  7-29-03

  
	
   

  	
   

  
	
   

  	
  DP INDUSTRIAL, LLC

  
	
   

  	
   

  
	
   

  	
  DP INDUSTRIAL, LLC

  
	
   

  	
  a Delaware limited liability company

  
	
   

  	
   

  
	
   

  	
  By:  DP
  Venture Co. LLC,

  
	
   

  	
  a Delaware limited liability company

  
	
   

  	
  Its:  Manager

  
	
   

  	
   

  
	
   

  	
  By:  DP
  Promote Co. LLC,

  
	
   

  	
  a Delaware limited liability company

  
	
   

  	
  Its:Managing Member

  
	
   

  	
   

  
	
   

  	
  By:

  	
    /s/ Michael
  Dermody

  
	
   

  	
  Name:

  	
  Michael Dermody

  
	
   

  	
  Title:

  	
  Managing Member

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  YESAC FARMS, L.P.

  
	
   

  	
   

  
	
   

  	
  By:

  	
   
  /s/ Larry F. Casey

  
	
   

  	
  Name:

  	
  Larry F. Casey

  
	
   

  	
  Its:

  	
   

  
	
   

  	
  Date:

  	
  7-14-03

  
	
   

  	
   

  
	
   

  	
  By::

  	
   
  /s/ Patricia E. Casey

  
	
   

  	
  Name:

  	
   
  Patricia E. Casey

  
	
   

  	
  Its:

  	
   

  
	
   

  	
  Date:

  	
   
  7-14-03

  
	
   

  	
   

  
	
  (signatures
  continue on next page)

  
													

 

63

 

	
   

  	
  MARIE BARTH

  
	
   

  	
   

  
	
   

  	
   
  /s/ Marie Barth

  
	
   

  	
  Date:

  	
   
  7-14-03

  
	
   

  	
   

  
	
   

  	
  JOYCE STOCKING AS TRUSTEE UNDER

  THE STOCKING FAMILY TRUST NO. 4-96

  UNDER TRUST AGREEMENT DATED JUNE

  18, 1996

  
	
   

  	
   

  
	
   

  	
  By:

  	
   
  /s/ Joyce Stocking

  
	
   

  	
  Name:

  	
  Joyce Stocking

  
	
   

  	
  Its:

  	
  Owner & Trustee

  
	
   

  	
  Date:

  	
  7-14-03

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  NOGGLE FAMILY LIMITED PARTNERSHIP

  
	
   

  	
   

  
	
   

  	
  By:

  	
   
  /s/ Robert O. Nogle

  
	
   

  	
  Name:

  	
   Robert O. Nogle

  
	
   

  	
  Its:

  	
   General Partner

  
	
   

  	
  Date:

  	
   7-29-03

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  ELECTOR:

  
	
   

  	
   

  
	
   

  	
  MARK STOCKING

  
	
   

  	
   

  
	
   

  	
   
  /s/ Mark Stocking

  
	
   

  	
  Date:

  	
  7-14-03

  
									

 

64

 

	
  STATE OF ILLINOIS

  	
   

  
	
   

  	
  SS

  
	
  COUNTY OF OGLE

  	
   

  

 

I, the undersigned, a
Notary Public in and for the County and State Aforesaid, do hereby certify that
Chet Olson personally known to me to be Mayor of THE CITY OF ROCHELLE, ILLINOIS,
and 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
acknowledged that he signed and delivered such instrument, in his capacity as
Mayor of THE
CITY OF ROCHELLE, ILLINOIS, as his free and voluntary act and as the
free and voluntary act and deed of such corporation, for the uses and purposes
therein set forth.

 

Given
under my hand and official seal this 29 day of July, 2003.

 

	
   

  	
    /s/ Alan H.
  Cooper

  
	
   

  	
  Notary
  Public

  

 

65

 

	
  STATE OF NEVADA

  	
   

  
	
   

  	
  SS

  
	
  COUNTY OF WASHOE

  	
   

  

 

I, the undersigned, a
Notary Public in and for the County and State Aforesaid, do hereby  certify that Michael C. Dermody personally
known to me to be Managing Member of DP INDUSTRIAL, LLC, and 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 acknowledged that he signed and
delivered such instrument, in his capacity as Managing Member of such
corporation, as his free and voluntary act and as the free and voluntary act
and deed of such corporation, for the uses and purposes therein set forth.

 

Given
under my hand and official seal this 25th day of July, 2003.

 

	
   

  	
    /s/ Sharon R. Mills

  
	
   

  	
  Notary
  Public

  

 

66

 

	
  STATE OF ILLINOIS

  	
   

  
	
   

  	
  SS

  
	
  COUNTY OF OGLE

  	
   

  

 

I, the undersigned, a
Notary Public in and for the County and State Aforesaid, do hereby certify that
MARIE
ANNETTE BARTH, 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 acknowledged that she signed and delivered such instrument, as her
free and voluntary act, for the uses and purposes therein set forth.

 

Given
under my hand and official seal this 14 day of July, 2003.

 

	
   

  	
    /s/ Bonnie J. Moore

  
	
   

  	
  Notary
  Public

  

 

	
  STATE OF ILLINOIS

  	
   

  
	
   

  	
  SS

  
	
  COUNTY OF OGLE

  	
   

  

 

I, the undersigned, a
Notary Public in and for the County and State Aforesaid, do hereby  certify that JOYCE M. STOCKING personally
known to me to be TRUSTEE UNDER THE PROVISIONS OF A TRUST AGREEMENT
DATED THE 18TH DAY OF JUNE, 1996 AND KNOWN AS THE STOCKING FAMILY TRUST NO.
4-96, and 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 acknowledged that she signed and delivered such instrument, in her capacity
as Trustee of such Trust, as her free and voluntary act and as the free and
voluntary act and deed of such Trust, for the uses and purposes therein set
forth.

 

Given
under my hand and official seal this 14th day of July, 2003.

 

	
   

  	
    /s/ Bonnie J. Moore

  
	
   

  	
  Notary
  Public

  

 

67

 

	
  STATE OF ILLINOIS

  	
   

  
	
   

  	
  SS

  
	
  COUNTY OF OGLE

  	
   

  

 

I, the undersigned, a
Notary Public in and for the County and State Aforesaid, do hereby  certify that LARRY F. CASEY personally
known to me to be partner in YESAC FARMS, L.P., and 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 acknowledged that he signed and
delivered such instrument, in his capacity as partner of such limited
partnership, as his free and voluntary act and as the free and voluntary act
and deed of such limited partnership, for the uses and purposes therein set
forth.

 

Given
under my hand and official seal this 14 day of July, 2003.

 

	
   

  	
    /s/ Charles P. Cole Jr.

  
	
   

  	
  Notary
  Public

  

 

	
  STATE OF ILLINOIS

  	
   

  
	
   

  	
  SS

  
	
  COUNTY OF OGLE

  	
   

  

 

I, the undersigned, a
Notary Public in and for the County and State Aforesaid, do hereby  certify that PATRICIA E. CASEY personally
known to me to be partner in YESAC FARMS, L.P., and 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 acknowledged that she signed and
delivered such instrument, in her capacity as partner of such limited
partnership, as her free and voluntary act and as the free and voluntary act
and deed of such limited partnership, for the uses and purposes therein set
forth.

 

Given
under my hand and official seal this 14 day of July, 2003.

 

	
   

  	
    /s/ Charles P. Cole Jr.

  
	
   

  	
  Notary
  Public

  

 

68

 

	
  STATE OF ILLINOIS

  	
   

  
	
   

  	
  SS

  
	
  COUNTY OF KANE

  	
   

  

 

I, the undersigned, a
Notary Public in and for the County and State Aforesaid, do hereby certify that
Robert Noggle personally known to me to be General Partner of THE
NOGGLE
FAMILY LIMITED PARTNERSHIP, and 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 acknowledged that he/she signed and delivered
such instrument, in his/her capacity as General Partner of THE NOGGLE FAMILY LIMITED PARTNERSHIP,
as his/her free and voluntary act and as the free and voluntary act and deed of
THE
NOGGLE FAMILY LIMITED PARTNERSHIP, for the uses and purposes therein
set forth.

 

Given
under my hand and official seal this 27 day of July, 2003.

 

	
   

  	
    /s/ David E. Do

  
	
   

  	
  Notary
  Public

  

 

 

	
  STATE OF ILLINOIS

  	
   

  
	
   

  	
  SS

  
	
  COUNTY OF OGLE

  	
   

  

 

I, the undersigned, a
Notary Public in and for the County and State Aforesaid, do hereby  certify that MARK STOCKING, 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 acknowledged that he
signed and delivered such instrument, as his free and voluntary act, for the
uses and purposes therein set forth.

 

Given
under my hand and official seal this 14 day of July, 2003.

 

	
   

  	
    /s/ Bonnie J. Moore

  
	
   

  	
  Notary
  Public

  

 

69

 

EXHIBIT A-1

 

Legal Description of the Yesac Property

 

THE
SOUTHWEST QUARTER SECTION 32, IN TOWNSHIP 40 NORTH, RANGE 2 EAST OF THE THIRD
PRINCIPAL MERIDIAN, IN OGLE COUNTY, ILLINOIS, EXCEPTING THE FOLLOWING DESCRIBED
TRACT OF LAND: COMMENCING AT THE NORTHWEST CORNER OF SAID SOUTHWEST QUARTER;
THENCE EAST ALONG THE NORTH LINE OF SAID SOUTHWEST QUARTER. 1331.40 FEET TO THE
POINT OF BEGINNING OF THE HEREINAFTER DESCRIBED TRACT OF LAND; THENCE
CONTINUING EAST ALONG SAID NORTH LINE, 317.06 FEET; THENCE SOUTH 264.00 FEET;
THENCE WEST PARALLEL WITH SAID NORTH LINE, 317.06 FEET; THENCE NORTH 264.00
FEET TO THE POINT OF BEGINNING. ALSO EXCEPTING THE FOLLOWING DESCRIBED TRACT OF
LAND: COMMENCING AT THE NORTHWEST CORNER OF SAID SOUTHWEST QUARTER; THENCE EAST
ALONG THE NORTH LINE OF SAID SOUTHWEST QUARTER, 1648.46 FEET TO THE POINT OF
BEGINNING OF THE HEREINAFTER DESCRIBED TRACT OF LAND; THENCE CONTINUING EAST
ALONG SAID NORTH LINE, 189.23 FEET; THENCE SOUTH 409.00 FEET; THENCE WEST
PARALLEL WITH SAID NORTH LINE, 189.23 FEET; THENCE NORTH 409.00 FEET TO THE
POINT OF BEGINNING, ALL SITUATED IN OGLE COUNTY, ILLINOIS.

 

 

EXHIBIT A-2

 

Legal Description of the Barth Property

 

That part of the East 1⁄2
of the Northwest 1⁄4, and the West 1⁄2 of the Northeast 1⁄4 of Section 32, in
Township 40 North, Range 2 East of the 3rd P.M., in Ogle County,
Illinois, lying Southerly of the highway known as the East-West Tollway Extension,
EXCEPT 2 tracts described as:

 

TRACT 1:

 

Commencing at the
Southwest corner of the Northeast Quarter of the Northeast Quarter of Section
32; thence Northerly on the East line of the West Half of the Northeast Quarter
of Section 32, a distance of 322.57 feet, more or less, to the point of
beginning of the hereinafter described parcel of land, said point right of and
110.00 feet perpendicularly distant from the survey line for the public road
designated Illinois Tollway Ramp “F”; thence Northwesterly on a line at an
angle of 240 degrees 29 minutes 16 seconds as measured counterclockwise from
the last described course, a distance of 381.89 feet, more or less, to a point
right of and 110.00 feet perpendicularly distant from Station 15+00 on the
survey line for said Tollway Ramp “F”; thence Northwesterly on a line at an
angle of 176 degrees 30 minutes 04 seconds as measured counterclockwise from
the last described course, a distance of 386.35 feet, more or less, to a point
right of and 75.00 feet radially distant with Station 11+00 on the survey line
for said Tollway Ramp “F”; thence Westerly on a line at an angle of 206 degrees
41 minutes 36 seconds as measured counterclockwise from the last described
course, a distance of 304.03 feet, more or less, to a point right of and 75.00
feet perpendicularly distant from Station 7+60.08 on the survey line for said
Tollway Ramp “F”; thence Westerly on a line at an angle of 193 degrees 40
minutes 26 seconds as measured counterclockwise from the last described course,
a distance of 900.70 feet, more or less, to a point right of and 135.00 feet
perpendicularly distant from Station 4135+50 on the survey line for a public
road designated Illinois Tollway; thence Westerly on a line at an angle of 176
degrees 24 minutes 00 seconds as measured counterclockwise from the last
described course, a distance of 100.50 feet, more or less, to a point in the
existing South right of way line of said Tollway, said point right of an on a
line perpendicular to Station 4134+50 on the survey line for said Tollway;
thence Easterly on the existing South right of way line to a point in the East
line of the West Half of the Northeast Quarter of Section 32; thence Southerly
on East line of the West Half of the Northwest Quarter of Section 32, a distance
of 635.65 feet, more or less, to the point of beginning.

 

 

TRACT 2:

 

Beginning at a point
being the center of Section 32; thence Easterly on the South line of the West
Half of the Northeast quarter of Section 32, at a distance of 1318.25 feet,
more or less, to a point of being the Southwest corner of the Southeast Quarter
of the Northeast Quarter of Section 32; thence Northerly on the East line of
the West Half of the Northeast Quarter of Section 32 at an angle of 89 degrees
38 minutes 38 seconds as measured clockwise from the last described course, at
a distance of 60.00 feet, more or less, to a point left of and 59.74 feet
perpendicularly distant from the survey line for a public road designated TR
389 (Ritchie Road); thence Westerly on a line at an angle of 90 degrees 33
minutes 35 seconds as measured clockwise from the last described course, at a
distance of 108.59 feet, more or less, to a point left of and 60.00 feet
perpendicularly distant from Station 80+00 on the survey line for said TR 389;
thence Westerly on a line at an angle of 178 degrees 16 minutes 54 seconds as
measured clockwise from the last described course, a distance of 500.22 feet,
more or less, to appoint left of and 45.00 feet perpendicularly distant from
Station 75+00 on the survey line for said TR 389; thence Westerly on a line at
an angle of 181 degrees 43 minutes 06 seconds as measured clockwise from the
last described course, distance of 716.03 feet, more or less, to a point left
of and 45.00 feet perpendicularly distant from Station 67+84.34 (back tangent)
on the survey line for said TR 389; thence Westerly on a line at an angle of
179 degrees 31 minutes 45 seconds as measured clockwise from the last described
course, at a distance of 384.34 feet, more or less, to a point left of and
50.00 feet perpendicularly distant from Station 64+00 on the survey line for
said TR 389; thence Westerly on a line at an angle of 173 degrees 09 minutes 26
seconds as measured clockwise from the last described course, at a distance of
100.72 feet, more or less, to a point in the existing North right of way line
of said TR 389; said point left of an on a line perpendicular to Station 63+00
on the survey line for said TR 389; thence Southerly on a line at an angle of
96 degrees 50 minutes 34 seconds as measured clockwise from the last described
course, at a distance of 35.18 feet; more or less, to a point in the South line
of the East Half of the Northwest Quarter of Section 32; thence Easterly with
the South line of the East Half of the Northwest Quarter of Section 32, a
distance of 490.90 feet, more or less, the point of beginning.

 

 

EXHIBIT A-3

 

Legal Description of the Noggle Property

 

PART OF THE SOUTHEAST QUARTER OF SECTION 31 IN
TOWNSHIP 40 NORTH, RANGE 2 EAST OF THE THIRD PRINCIPLE MERIDIAN, DESCRIBED AS
FOLLOWS: BEGINNING AT THE NORTHEAST CORNER OF THE SOUTHEAST QUARTER OF SAID
SECTION 31; THENCE SOUTH 1 DEGREE 01 MINUTES 33 SECONDS EAST ALONG THE EAST
LINE OF SAID SOUTHEAST QUARTER, A DISTANCE OF 2651.19 FEET TO THE SOUTHEAST
CORNER OF SAID SOUTHEAST QUARTER; THENCE SOUTH 88 DEGREES 43 MINUTES 25 SECONDS
WEST ALONG THE SOUTH LINE OF SAID SOUTHEAST QUARTER, A DISTANCE OF 268.57 FEET
TO THE EASTERLY RIGHT OF WAY LINE OF THE BURLINGTON NORTHERN RAILROAD; THENCE
NORTH 16 DEGREES 21 MINUTES 46 SECONDS WEST ALONG SAID EASTERLY RIGHT OF WAY
LINE, A DISTANCE OF 2697.35 FEET TO THE BEGINNING OF A SPIRAL CURVE; THENCE
NORTH 16 DEGREES 40 MINUTES 21 SECONDS WEST ALONG THE CORD OF THE SAID SPIRAL
CURVE, A DISTANCE OF 47.98 FEET TO THE NORTH LINE OF SAID SOUTHEAST QUARTER;
THENCE NORTH 88 DEGREES 41 MINUTES 37 SECONDS EAST ALONG SAID NORTH LINE, A
DISTANCE OF 994.96 FEET TO THE POINT OF BEGINNING. (EXCEPT THE WESTERLY 100.00
FEET THEREOF), ALL IN DEMENT TOWNSHIP, OGLE COUNTY, ILLINOIS.

 

 

EXHIBIT B

 

Copy of Annexation Petition

 

 

See attached.

 

 

CITY OF ROCHELLE

Petition for Annexation

 

	
  Petitioner(s):

  	
   

  	
  DP Industrial, LLC

  	
   

  	
  Telephone:

  	
   

  	
  630-613-7049

  
	
  Mailing Address:

  	
   

  	
  One Lincoln Center, 15th Floor

  	
   

  	
  Fax:

  	
   

  	
  630-613-7001

  
	
   

  	
   

  	
  18W140 Butterfield Road

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Oakbrook Terrace, IL 60181

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Attn:  Dennis Shaw

  	
   

  	
   

  	
   

  	
   

  
	
  Petitioner’s Representative:

  	
   

  	
  Brian L. Sedlak, Esq.

  	
   

  	
  Telephone:

  	
   

  	
  312-269-4334

  
	
  Mailing Address:

  	
   

  	
  Jones Day

  	
   

  	
  Fax:

  	
   

  	
  312-782-8585

  
	
   

  	
   

  	
  77 W. Wacker, Suite 3500

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Chicago, IL 60601

  	
   

  	
   

  	
   

  	
   

  

 

1.             The
Petitioner hereby petitions the City of Rochelle for annexation of the
following property:

 

a.                                       Legal
Description (attach the full legal
description on 8-1/2 x 11 separate sheet of paper type written) (the
“Property”).

Proposed Subdivision
Name:                                                                                                              

 

Property Tax ID No. 25-32-200-006; 25-32-100-004; 25-32-300-004;
25-32-300-005; 25-32-300-006

 

b.                                      Street Address or
Common Location: Near intersection of Steward Road and Caron Road in Dement
Township

 

c.                                       Describe reason
for request/annexation:  Petitioner has
entered into purchase and sale agreements to acquire the Property.  The purchase and sale agreements grant
Petitioner the right to file this petition on behalf of the owners of the  Property (provided that the annexation does
not occur until Petitioner acquires the Property).  The Property is to be annexed to City of Rochelle pursuant to
annexation agreement to be entered into between Petitioner and the City of Rochelle.  Zoning must be changed to accommodate
Petitioner’s intended use of the Property (for manufacturing, industrial
warehouse and distribution and related uses). 
Any change in zoning shall be subject to the Property being annexed to
the City of Rochelle and petitioner acquiring the Property. 
Petitioner hereby states that the following persons and entities
are the fee owners of record:  (1)
Noggle Family Limited Partnership, (2) Yesac Farms, L.P., and (3) Marie
Annette Barth and Joyce M. Stocking as Trustee Under the Provisions of a Trust
Agreement Dated the 18th day of June, 1996 and known as the Stocking
Family Trust No. 4-96.  The Property is
not situated within the limits of any municipality.  There are no electors residing on the Property except as
described on the signature page hereof.

 

d.                                      Property to be
annexed is ý is not o
contiguous to the existing corporation limits of the City of Rochelle.

 

e.                                       Size of Lot
(square feet or acres):  Approximately
302 acres

 

f.                                         Existing
Zoning District:  Agricultural

 

g.                                      Property is o
is not ý located in a flood plain or flood way.

 

h.                                      Is the proposed
use in conformance with the city’s Comprehensive Plan  ý Yes o No.

 

i.                                          How will the
proposed use impact existing and future land uses  Proposed use will positively impact existing and future  land uses. 
Pursuant to the annexation agreement between the City and Petitioner,
utilities will be brought to the site and adjacent parcels and existing roads
will be improved.

 

j.                                          How will the proposed use impact adjacent property
values  Proposed use should
increase values from farm land value to industrial property value.  In addition, proposed use will positively
impact adjacent properties due to utility and road upgrades to be accomplished
pursuant to annexation agreement.

 

k.                                       The property
will o will not ý
negatively impact the general public health, safety and welfare.  If yes, please explain.

 

 

l.                                          Will the
change conflict with existing conditions or public improvements such as
schools, sewer systems, parks, roads, traffic patterns, etc.  ý No  o Yes.  If yes, please
explain.                                         

 

2.                                       The petitioner
has read and completed all of the above information and affirms that it is true
and correct.

 

	
  Petitioner:

  	
  /s/ Dennis Shaw

  	
   

  	
  Date

  	
  April 29, 2003

  
	
   

  	
  By:  Dennis Shaw, authorized
  representative

  of DP Industrial, LLC

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Petitioner:

  	
   

  	
   

  	
  Date

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Subscribed and sworn to before me

  This 29th day of April 2003.

  	
  [Seal]

  
	
   

  	
   

  	
   

  	
   

  
	
  /s/ Marilyn H. Orlich

  	
   

  	
   

  	
   

  
	
  Notary Public

  	
   

  	
   

  
								

 

3.                                       I hereby affirm
that I am the legal owner (or authorized agent or representative – proof
attached) of the subject property and authorize the petitioner to pursue this
petition as described above.

 

	
  Owner’s Signature:

  	
   

  	
   

  	
  Date

  	
   

  
	
   

  	
   

  	
   

  
	
  Owner’s Signature:

  	
   

  	
   

  	
  Date

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Subscribed and sworn to before me

  This          day of
                                 .

  	
  Seal

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Notary Public

  	
   

  	
   

  	
   

  
						

 

4.                                       I hereby affirm
that I am an elector residing on a portion of the of the subject property and
authorize the petitioner to pursue this petition as described above.

 

	
  Elector’s Signature:

  	
  /s/ Mark Stocking

  	
   

  	
  Date

  	
  4/29/03

  
	
   

  	
   

  	
   

  
	
  Subscribed and sworn to before me

  This 29th day of April 2003.

  	
  [Seal]

  
	
   

  	
   

  	
   

  	
   

  
	
  /s/ Judith A. Schermerhorn

  	
   

  	
   

  	
   

  
	
  Notary Public

  	
   

  	
   

  	
   

  
							

 

5.                                       I hereby affirm
that I am the legal owner (or authorized agent or representative – proof
attached) of a portion of the subject property and authorize the petitioner to
pursue this petition as described above.

 

	
  Owner’s Signature:

  	
   

  	
   

  	
  Date

  	
  April 30, 2003

  
	
   

  	
   

  	
   

  
	
  NOGGLE FAMILY LIMITED PARTNERSHIP

  	
   

  
	
  BY:

  	
  /s/ Robert O. Noggle, General Partner

  	
   

  	
   

  	
   

  
							

 

 

 

	
  NAME:

  	
  Robert O. Noggle, General Partner

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Subscribed and sworn to before me

  This 30th day of April 2003.

  	
  [Seal]

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  /s/ Pamela D. Carver

  	
   

  	
   

  	
   

  
	
  Notary Public

  	
   

  	
   

  	
   

  
								

 

6.                                       I hereby affirm
that I am the legal owner (or authorized agent or representative – proof
attached) of a portion of the subject property and authorize the petitioner to
pursue this petition as described above.

 

	
  Owner’s Signature:

  	
   

  	
   

  	
  Date

  	
  4/30/03

  
	
   

  	
   

  	
   

  
	
  YESAC FARMS, L.P.

  	
   

  	
   

  
	
  BY:

  	
    Larry Casey – Partner

  	
   

  	
   

  	
   

  
	
  NAME:

  	
    /s/ Larry Casey

  	
   

  	
   

  	
   

  
	
  BY:

  	
    Patricia Casey – Partner

  	
   

  	
   

  	
   

  
	
  NAME:

  	
    /s/ Patricia Casey

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Subscribed and sworn to before me

  This 30th day of April 2003.

  	
   

  	
  [Seal]

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  /s/ Charles P. Cole, Jr.

  	
   

  	
   

  	
   

  
	
  Notary Public

  	
   

  	
   

  	
   

  
										

 

7.                                       I hereby affirm
that I am the legal owner (or authorized agent or representative – proof
attached) of a portion of the subject property and authorize the petitioner to
pursue this petition as described above.

 

	
  Owner’s signature:

  	
   

  	
   

  	
  Date

  	
  05/01/03

  
	
  /s/ Marie Annette Barth

  	
   

  	
   

  	
   

  
	
  MARIE ANNETTE BARTH

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  JOYCE M. STOCKING AS TRUSTEE UNDER

  	
   

  	
  Date

  	
   

  
	
  THE PROVISIONS OF A TRUST AGREEMENT DATED
  THE 18TH DAY OF JUNE, 1996 AND KNOWN AS THE STOCKING FAMILY TRUST
  NO. 4-96

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  By:

  	
  /s/ Joyce M. Stocking

  	
   

  	
   

  	
   

  
	
  Name:

  	
  Joyce M. Stocking

  	
   

  	
   

  	
   

  
	
  Title: 

  	
  Trustee

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Subscribed and sworn to before me 

  This 1st day of May.

  	
   

  	
  [Seal]

  
	
   

  	
   

  	
   

  	
   

  
	
  /s/ 
  Janet L. Harvey

  	
   

  	
   

  	
   

  
	
  Notary Public

  	
   

  	
   

  	
   

  
										

 

 

	
  Subscribed and sworn to before me 

  This 1st day of May 2003.

  	
   

  	
  [Seal]

  
	
   

  	
   

  	
   

  	
   

  
	
  /s/ 
  Nancy L. Guth

  	
   

  	
   

  	
   

  
	
  Notary Public

  	
   

  	
   

  	
   

  

 

 

July 11, 2003

 

EXHIBIT C.1

 

Variances to City Code

 

1.             Section 15.60.080
Performance Standards, Paragraph B.2

 

Bypass
drainage shall be sized as described in Exhibit C.3 #11.

 

2.             Section 15.60.080
Performance Standards, Paragraph D.2

 

Manholes
can be located more than 400-feet apart; base tees and tee connections shall be
allowed in lieu of manholes, when the main trunk storm sewer diameter equals or
exceeds 54-inches in diameter; as determined by Public Works Director.

 

3.             Section 15.60.080
Performance Standards. Paragraph E

 

Catch
basins, inlets, and manholes shall be located at all low points and there shall
not be any limit to the size of the contributing drainage area, as long as the
capacity of the structure is adequate to handle the proposed flow.

 

4.             Section 16.16.040
Proposed subdivision design features, Paragraph B.1

 

The
maximum lengths of blocks shall not apply.

 

5.             Section 16.16 Table 1
URBAN SECTION STREET STANDARDS

 

Sidewalks
shall not be required.

 

6.             Section 16.20.020
Easements, Paragraph A

 

Easements
will not necessarily be established at the rear or front of each lot, only
where required; as determined by Public Works Director.

 

7.             Section 16.20.040
Sewers, Paragraph C

 

Inlets
can be spaced greater than 350-feet; as determined by Public Works Director.

 

8.             Section 16.20.060
Street improvements, Paragraph C

 

Concrete
curb and gutter shall be B6.12 for private streets and drives and B6.18 for
public streets.

 

9.             Section 16.20.060
Street improvements, Paragraph E

 

Public
streets shall be designed with a minimum width of 31-foot back to back and the
structural number shall be based on the amount of traffic. Private streets and
drives shall have a minimum width of 25-feet (back to back) and shall be
3-inches of asphalt on 8-inches of stone for light duty

 

1

 

and
4-inches on 10-inches of stone for heavy duty; or a section equivalent in
structural number. Intersections shall be designed to accommodate WB-65
vehicles.

 

10.           Section 16.44.050 City
streets, Paragraph B

 

City
shall allow Owner to place binder and surface course at the same time, without
waiting a year.

 

11.           Section 16.44.050 City
streets, Paragraph C

 

City
shall allow Owner to install High Density Polyethylene pipe or A2000 pipe for
storm sewer in lieu of reinforced concrete pipe, except for storm sewer in
public right-of-ways.

 

12.           Section 16.44.050 City
streets, Paragraph D

 

Inlets
can be spaced greater than 350-feet as
determined by Public Works Director.

 

13.           Section 16.44.050 City
streets, Paragraph H

 

See
#8.

 

14.

 

Deleted.

 

15.           Section 17.12.020 Site
restrictions, Paragraph A.1

 

Suitability
of land for construction shall be determined solely by Owner, subject to Owner
complying with all other applicable local, state, and federal codes.

 

16.           Section 17.12.020 Site
restrictions, Paragraph B

 

All
lots shall have access directly to a public street or indirectly through
private ingress and egress easements, but shall not necessarily abut upon a
public street.

 

17.           Section 17.12.020 Site
restrictions, Paragraph C

 

Lots
shall be allowed to have partial frontage on a public street.

 

18.           through 35.

 

Landscape
related items. See Exhibit C.2.

 

36.           Section 17.68.060
Off-street parking — Use of facilities, Paragraph B

 

Driveways wider than 25-feet shall be allowed, to accommodate truck
traffic and truck turning movements.

 

2

 

28 MAY 2003

 

EXHIBIT C.2

 

Site Development Guidelines

 

Barth, Casey And Noggle Properties

Rochelle, Illinois

 

Introduction:

 

These Development
Guidelines have been established to serve as a practical reference regarding
various aspects of planning and landscape improvements within the Park. The
Guidelines are intended to allow for the efficient function of the Park while
maintaining an attractive, unified appearance for the Owners and Occupants. The
Guidelines are intended to replace
the standards set forth in Sections 17.44.070, 17.44.090, 17.46, 17.68.130,
17.68.150, and 17.68.160 of the City of Rochelle Zoning Ordinances.

 

1.     Interior Parkway (Front
Yards):

Per Ordinances...... “Interior parkway planting is required of developments
in order to achieve two (2) goals: 1) to screen vehicles which may be viewed
from the public rights of way, and 2) to enhance the image and character of the
City along roadway corridors.”

 

Our Guidelines identify two (2) primary roadway crossections:

 

A)           Main Park Collector
Road: (Logistics Way North & South)

•                  25’ Setback for
Parking

•                  50’ Setback for
Buildings

Note:                   If the road is private, all dimensions are measured from
the BC 

If the road is public there shall
be a 60’ ROW, and all dimensions are measured from the edge of the ROW.

Sidewalks will not be required.

•                  Parkway trees
shall be 2 1⁄2” caliper and planted at 30’ on center.

•                  Parkway trees
shall be planted parallel to the roadway and within 15’ from BC.

•                  Within the
setback area a continuous 36” high landscaped berm shall be provided (except
where cross-drainage or overflow routes exist). On the backside of this berm a
continuous hedge shall be planted (installed at 24” and maintained at 36”)
parallel to the Collector Rd.

•                  The setback area
shall be fully seeded or sodded, except where otherwise planted.

 

[Drawing of Main Park Collector Road]

 

 

B)           Secondary Park
Perimeter Drive: (Distribution Way and Supply Chain Dr)

•                  15’ Setback for
Parking

•                  35’ Setback for
Buildings

Note:                   If the road is private, all dimensions are measured from
the BC 

If the road is public there shall
be a 60’ ROW, and all dimensions are measured from the edge of the ROW.
Sidewalks will not be required.

•                  Parkway trees
shall be 2 1⁄2” caliper and planted at 50’ on center.

•                  Parkway trees
shall be planted parallel to the roadway and within 10’ from BC

•                  Within the
setback area a continuous 24” high landscaped berm shall be provided (except
where cross-drainage or overflow routes exist).

•                  Security fencing
is allowed within the setback area provided it is located at least 10’ from the
roadway, and supplemental landscaping is provided.

•                  The setback area
shall be fully seeded or sodded, except where otherwise planted.

•                  Where a
Secondary Park Perimeter Drive is immediately adjacent to a perimeter buffer
there shall be no setback (15’ buffer) required on the perimeter side.

 

 

[Drawing of Secondary Park Perimeter Drive]

 

 

2.              Buffer Yards (Overall
Site Perimeters):

Per Ordinance...... “All developments shall create a substantial buffer
between land uses promoting a sense of privacy and security. Buffers may be
composed of landscape plantings, earth berming and screen fencing as required
for intended land use.”

 

Our Guidelines identify three (3) buffer yard types:

 

A)           Residential Buffer:

•                  50’ Wide
Landscape Buffer – Bermed 6’

•                  A continuous 6’
tall wood fence (75% opaque) shall be installed along the ridgeline of the
berm.

•                  There shall be
three (3)– 2 1⁄2” caliper trees provided for every 100 LF of the buffer. Spacing
of the trees may vary based on design intent.

•                  Up to 50% of
these trees may be ornamental or evergreen

•                  There shall be
ten (10) – 30” shrubs provided for every 100 LF of the buffer.

•                  A majority of all required plantings are
required to be placed on the residential side
of the fence.

 

2

 

A)           Residential Buffer
(continued):

 

 

[Drawing of Residential Buffer]

 

 

B)           Primary Buffer:

(These buffers are used along 1-88, Steward and Ritchie Roads)

 

•                  Landscaped
Buffer’s shall have an average width of 50’ — Bermed 5’ — 8’ high; average
width to be determined by measuring the buffer area and dividing by the length
of the buffer.

Exceptions:

a.               Adjacent to the Steward Rd. overpass,
the buffer shall begin at the right-of-way line (40 feet from the centerline)
and part or all of the buffer area may consist of embankment for the overpass.

b.              Adjacent to the 1-88 ROW, the buffer
shall have an average width of 40’ and a minimum width of 20’.

•                  1 Shade Tree, 2
1⁄2” caliper per 70 L.F. of buffer

•                  In lieu of shade
trees, 3 ornamental or evergreen trees, 6’ tall may be substituted for every 70
L.F. of buffer (plantings may be linear or grouped to achieve design intent)

 

 

[Drawing of Primary Buffer]

 

3

 

C)           Secondary Buffer:

(These buffers are used along detention basins)

 

•                  Landscaped
Buffer’s shall have an average width of 30’, measured from the property line or
right-of-way line to the normal water line.

•                  1 Shade Tree, 2
1⁄2” caliper per 100 L.F. of buffer

•                  In lieu of shade
trees, 2 ornamental or evergreen trees, 6’ tall may be substituted for every
100 L.F. of buffer (plantings may be linear or grouped to achieve design
intent)

•                  Note: In areas
where required buffers overlap, the most restrictive requirement shall be used.
These requirements are not cumulative.

 

3.              Parking Lots:

Per Ordinance......  “Off-street
parking areas shall not be allowed to dominate the image of any development.
Parking lots servicing all districts shall be lighted and landscaped. Parking
lot plantings are intended to provide screening, shade, subdivide space, and
reduce glare and heat from pavement surfaces by meeting the following standards:”

•                  Landscaping
shall be provided within all parking lots containing 20 or more spaces.

•                  Each parking
row, regardless of its length, shall have a landscaped island at each end.
Islands may be omitted to the extent necessary to ensure conformance with the
required number of off street parking spaces.

•                  All parking lots
require 1 island per 20 spaces

•                  Islands shall be
contained by concrete curbs and fully constructed of topsoil

•                  Islands shall
have a minimum width of 7’ back to back and a length equal to the length of the
parking stall.

•                  All islands
shall be crowned 18” and planted with turf or other plantings

•                  Each island
shall be planted with one, 3” caliper shade tree

•                  Overall, there
shall be a minimum total quantity of one, 3” caliper shade tree for every (10)
parking spaces.

•                  Areas used
primarily for truck loading, trailer parking or rail function shall be exempt
from the requirements of this section.

•                  Parking lot
setbacks: Except as previously stated for the main park collector road and
secondary park perimeter drive, parking lot setbacks shall be 10’ from any side
yard or rear yard property line (except where a shared-use condition exists).

•                  Shared-use
conditions: There shall be no setback required for shared-use conditions such
as common truck courts, rail lines or shares access driveways, including truck
courts which are separated by a security fence. In addition, no setback shall
be required for a parking lot, truck court, or driveway when adjacent to a
stormwater retention or detention facility.

•                  Parking will be
provided based on the total area of the building as follows:

Office:  4-spaces for every 1,000 square feet of
floor area.

Warehousing/Manufacturing:  1-space for every 8,000 square feet of floor
area. Up to 50% of the required parking may be landbanked.

 

4

 

4.              Site Interior
(Foundation Plantings):

Per Ordinance...... “Site interior landscaping shall utilize plant
materials, earth berming and other elements to screen and aesthetically enhance
the site and building(s).”

 

•                  A minimum five
(5’) foot wide landscape area shall be provided along one hundred percent
(100%) of building walls (excluding driveways, loading docks, entrance areas,
patios and decks). This landscape area shall be planted or turf.

•                  Adjacent to all office areas, one hundred percent (100%) of
this landscape area shall be planted with a mixture of ornamental and evergreen
trees, shrubs, groundcover and turf.

•                  Recognizing that
shrubbery or other low plantings are ineffective in softening large, long wall
sections the following shall apply to non-office
wall landscape areas:

Three (3) columnar shade trees, 2 1⁄2” caliper or five (5) upright
ornamental trees, 6’ in tightly planted groups every 150 L.F. 

(Species selection based on orientation and exposure)

 

 

[Drawing of Site Interior]

 

 

5.              Mechanical Equipment
Screening:

•                  All ground
level; external mechanical equipment shall be screened when visible from a
primary or secondary road.

 

6.              Detention Basins and
Retention Ponds:

•                  Basin shall be
landscaped with shade, ornamental, and evergreen trees. Trees shall be planted
in groupings to break up the mass, expanse and long slopes of the basins.
Shrubs and perennials may be used where appropriate. All materials selected
must withstand the moisture levels or inundation periods anticipated.

 

5

 

7.              Park Signage:

 

A)           Main Park Monument
Signs (Optional):

(Located at main park collector road entrances at I-88 and Steward
Road)

 

This sign would be a large and architecturally significant entity which
identifies and creates character for the park. 
The area around the sign will serve as a gateway to the park and be
extensively landscaped.

 

 

[Drawing of Main Park Monument Signs]

 

 

7.              Park Signage (continued):

 

B)           Secondary Entrance and
Directional Signs:

 

Consistent with the style and character of the main park monument
signs, but smaller in size and scale. The Secondary Entrance signs would
provide identity, orientation and direction. Landscaping around these signs
would be clean and consistent – featuring a few large trees with low evergreen
and perennial plantings.

 

 

[Drawing of Secondary Entrance and
Directional Signs]

 

6

 

8.              Open Space:

 

The overall minimum open space for the park shall be 15%, including any
stormwater retention and detention areas. The minimum open space requirement
for an individual lot shall be 7.5%.

 

9.              Tree Preservation:

 

A tree preservation plan indicating existing trees on the property
shall be submitted to the City, however developer will have no obligation to
replace any existing trees which cannot be preserved.

 

* End of Development Guidelines *

 

7

 

Conceptual Site Plan

Site Development Guidelines Exhibit

 

 

[Drawing of Site Plan]

 

 

July 11, 2003

 

EXHIBIT C.3

 

Variances to

Proposed Comprehensive Stormwater Management Ordinance

City of Rochelle, Illinois

 

1.             Section 400.0
Drainage Permit Requirements (Ogle County Ordinance)

 

Variance request withdrawn. Advanced Drainage Plan submittal requirements shall
not apply to this development.

 

2.             Section 500.0
Minimization of Increases in Runoff Volumes and Rates (Ogle County Ordinance)

 

Variance request withdrawn. Drainage plan submittals will not include an
evaluation of site design features 1, 2, 3, and 4.

 

3.             Section 600.0 Water
Quality and Multiple Uses (Ogle County Ordinance) or Section 201 c.3 (City of
Rochelle Ordinance)

 

Variance request withdrawn. Retention and infiltration of stormwater will not be
incorporated into the property’s drainage system.

 

4.             Section 703.1 Design
Methodologies (Ogle County Ordinance)

 

Variance request withdrawn. Runoff hydrograph methods will only be used for any
property in a Flood Prone Area (located in a 100-year floodplain as defined on
a Flood Insurance Rate Map) and for detention basin design.

 

5.             Section 705.1 Wet
Basin Depths (Ogle County Ordinance)

 

Variance request withdrawn. Wet basins shall be allowed to have a minimum depth
of 6 to 12 inches to support wetland vegetation.

 

There
shall be no restriction on the depth measured from the normal water level to
the high water level.

 

Pipe
inverts below the normal water level shall be allowed.

 

1

 

6.             Section 705.2 Wet
Basin Shoreline Slopes (Ogle County Ordinance)

 

Variance request withdrawn. Wet basins shall be allowed to have side slopes
above the normal pool elevation of 4 to 1 (horizontal to vertical).

 

7.             Section 710.1 Streets
(Ogle County Ordinance) or Section 202 d.9 (City of Rochelle Ordinance)

 

Variance request withdrawn. Ponding depths shall be allowed up to 1-inch over
top of curb.

 

8.             Section 710.2 Parking
Lots (Ogle County Ordinance) or Section 202 d.10 (City of Rochelle Ordinance)

 

Ponding
depths shall be allowed up to 12-inches maximum.

 

9.             Section 711.0
Infiltration Practices (Ogle County Ordinance) or Section 201 c.6 (City of
Rochelle Ordinance)

 

Variance request withdrawn. This section shall not apply to this development.

 

10.           Section 711.1 Vegetated
Filter Strips and Swales (Ogle County Ordinance) or Section 201 c.6 (City of
Rochelle Ordinance)

 

Variance request withdrawn. This section shall not apply to this development.

 

11.           Section 800.0
Accommodating Flows From Upstream Tributary Areas (Ogle County Ordinance) or
Section 204 (City of Rochelle Ordinance)

 

Owner
will provide stormwater detention storage volume for their property only. Any
areas tributary to the development shall provide stormwater detention storage
in accordance with the applicable ordinance. Tributary flows calculated at 0.2
cfs per acre of tributary area will be conveyed through the development’s storm
sewer system and detention basins.

 

2

 

EXHIBIT D

Proposed City Of Rochelle Storm Water
Management Ordinance

 

 

COMPREHENSIVE

 

STORMWATER

 

MANAGEMENT

 

ORDINANCE

 

 

City of Rochelle, Illinois

 

 

TABLE OF CONTENTS

 

	
  ARTICLE 1 – AUTHORITY, PURPOSE, AND
  DEFINITIONS

  	
   

  
	
  100.

  	
  Statutory
  authority

  	
   

  
	
  101.

  	
  Purposes of this ordinance

  	
   

  
	
  102.

  	
  Definitions

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE
  2 – REQUIREMENTS FOR STORMWATER MANAGEMENT

  	
   

  
	
  200.

  	
  General
  Information

  	
   

  
	
  201.

  	
  General stormwater
  requirements

  	
   

  
	
  202.

  	
  Site
  runoff requirements.

  	
   

  
	
  203.

  	
  Site runoff storage
  requirements (detention/retention)

  	
   

  
	
  204.

  	
  Accommodating
  flows from upstream tributary areas

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE 3 –
  EROSION AND SEDIMENT CONTROL

  	
   

  
	
  300.

  	
  Erosion
  and Sediment Control

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE
  4 – PROTECTION OF SPECIAL MANAGEMENT AREAS

  	
   

  
	
  400.

  	
  Disclaimer

  	
   

  
	
  401.

  	
  Statewide
  and regional permits

  	
   

  
	
  402.

  	
  Floodplain
  Management

  	
   

  
	
  403.

  	
  Wetlands and
  depressional storage areas

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE
  5 – REQUIRED SUBMITTALS FOR STORM WATER MANAGEMENT PERMITS

  	
   

  
	
  500.

  	
  General
  requirements

  	
   

  
	
  501.

  	
  Duration and revision
  of permits

  	
   

  
	
  502.

  	
  Application and
  project overview

  	
   

  
	
  503.

  	
  Required
  submittals

  	
   

  
	
  504.

  	
  Stormwater
  submittal

  	
   

  
	
  505.

  	
  Floodplain
  submittal

  	
   

  
	
  506.

  	
  Wetland submittal

  	
   

  
	
  507.

  	
  Record drawings

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE 6 – LONG TERM
  MAINTENANCE

  	
   

  
	
  600.

  	
  Long term maintenance

  	
   

  
	
  601.

  	
  Transfer
  to permitting authority or other public entity

  	
   

  
	
  602.

  	
  Transfer
  to homeowner’s of similar association

  	
   

  
	
  603.

  	
  Conveyance to one or
  more persons

  	
   

  
	
  604.

  	
  Maintenance
  agreement

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE 7 –
  ENFORCEMENT AND PENALTIES

  	
   

  
	
  700.

  	
  Inspection and
  maintenance authority

  	
   

  
	
  701.

  	
  Required
  inspections

  	
   

  
	
  702.

  	
  Offenses

  	
   

  
	
  703.

  	
  Offenses
  – penalties; remedies

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE 8 – GENERAL
  PROVISIONS

  	
   

  

 

2

 

	
  800.

  	
  Scope of
  regulation

  	
   

  
	
  801.

  	
  Exemptions

  	
   

  
	
  802.

  	
  Interpretation

  	
   

  
	
  803.

  	
  Warning
  and disclaimer of liability

  	
   

  
	
  804.

  	
  Severability

  	
   

  
	
  805.

  	
  Effective Date

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE 9 – ADMINISTRATION

  	
   

  
	
  900.

  	
  Enforcement

  	
   

  
	
  901.

  	
  Inspections

  	
   

  
	
  902.

  	
  Service

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE 10 –
  SECURITIES AND FEES

  	
   

  
	
  1000.

  	
  General security
  requirements

  	
   

  
	
  1001.

  	
  Plan review fee

  	
   

  
	
  1002.

  	
  Development
  security

  	
   

  
	
  1003.

  	
  Construction Inspection Fee

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE
  11 FEE-IN-LIEU OF SITE RUNOFF STORAGE

  	
   

  
	
  1100.

  	
  Fee-in-lieu of site
  runoff storage

  	
   

  

 

3

 

ARTICLE
1 – AUTHORITY, PURPOSE, AND DEFINITIONS

100.        Statutory authority

 

(a)                                  This
ordinance shall be known and may be cited, as the City of Rochelle Stormwater
Management Ordinance.

 

(b)                                 The
City of Rochelle City Council adopts this ordinance pursuant to its authority
to regulate stormwater management and govern the location, width, course, and
release rate of all stormwater runoff channels, conduits, streams, and basins
in the City. This ordinance is enacted pursuant to the police powers granted to
the City of Rochelle by the Illinois Compiled Statutes (Chapter 55, Sections
5/5-1041).

 

101.        Purposes of this ordinance

 

(a)                                  The
principal purpose of this ordinance is to promote effective, equitable,
acceptable, and legal stormwater management measures by establishing reasonable
rules and regulations for development. Other purpose of this ordinance include—

 

(1)                                  managing
and mitigating the effects of urbanization on stormwater drainage throughout
the City of Rochelle through planning, appropriate engineering practices, and
proper maintenance;

 

(2)                                  protecting
the public health safety and reducing the potential for loss of human life and
property from flood damage;

 

(3)                                  protecting
the public from degradation of water quality;

 

(4)                                  controlling
sediment and erosion in and from stormwater facilities, development, and
construction sites and reducing and repairing streambank erosion;

 

(5)                                  requiring
planning for new development to provide for water resource management, taking
into account natural features such as vegetation, wildlife, waterways,
wetlands, and topography in order to reduce the probability that new
development will create unstable conditions susceptible to erosion or degrade
the quality of ground and surface waters;

 

(6)                                  reduce
flood damage by requiring appropriate and adequate provisions for site runoff
control, especially when the land is developed with a large amount of
impervious surface;

 

(7)                                  encouraging
the use of stormwater storage and infiltration of stormwater in preference to
stormwater conveyance;

 

(8)                                  lessening
the taxpayer’s burden for flood-related disasters, repairs to flood-damaged
public facilities and utilities, and flood rescue and relief operations caused
by increased stormwater runoff quantities from new development and
redevelopment,

 

(9)                                  protecting
and improving surface water quality and promoting beneficial uses of ponds,
lakes, wetlands, and streams by reducing point source and non-point source
discharges of pollutants;

 

(10)                            requiring
regular, planned maintenance of stormwater management facilities;

 

4

 

(11)                            requiring
control of stormwater quality at the most site-specific level and preventing
unauthorized or unmitigated discharge of flow offsite; and

 

(12)                            requiring
strict compliance with and enforcement of this ordinance.

 

102.        Definitions

 

In this ordinance–

 

(a)                                  Administrator means the person designated
by the City of Rochelle to administer and enforce this ordinance, typically the
Director of Public Works or his duly authorized representative;

 

(b)                                 agricultural land means land predominantly
used for agricultural purposes;

 

(c)                                  allowable peak discharge means the rate of
flow allowed to escape beyond the confines of the property;

 

(d)                                 applicable engineering practice means
procedures, methods, or materials recommended in standard engineering textbooks
or references as suitable for the intended purpose;

 

(e)                                  applicant means any person who submits an
application under this ordinance;

 

(f)                                    base flood means the flood having a
one-percent probability of being equaled or exceeded in a given year (100-year
event);

 

(g)                                 BFE or base
flood elevation means the highest water surface elevation that can
be expected during the base flood;

 

(h)                                 BMP or best
management practices means a measure used to control the adverse
stormwater related effects of development, and includes structural devices (for
example, swales. Filter strips, infiltration trenches, and site runoff storage
basins), designed to remove pollutants, reduce runoff rates and volumes, and
protect aquatic habitats, and nonstructural approaches, such as public
education efforts to prevent the dumping of household chemicals into storm
drams;

 

(i)                                     building means a structure that is
principally aboveground and is enclosed by walls and a roof; a building
includes a gas or liquid storage tank, a manufactured home, or prefabricated
building;

 

(j)                                     buffer means an area of predominantly
deeply rooted native vegetative land adjacent to channels, wetlands, lakes,
ponds, rivers, or streams for the purpose of stabilizing banks, reducing
contaminants, including sediments, in stormwater that flows to such areas;

 

(k)                                  Bulletin 71 means Rainfall Frequency Atlas of the Midwest,
by Floyd A.. Huff and James R. Angel of the Illinois State Water Survey (1992);

 

(l)                                     channel means any river, stream, creek, brook,
branch, natural or artificial depression, ponded area, flowage, slough, ditch,
conduit, culvert, gully, ravine, wash, or natural or manmade drainageway which
has a definite bad and bank or shoreline, in or onto which surface,
groundwater, effluent, or industrial discharges flow;

 

(m)                               channel modification means alteration of a
channel by changing the physical dimensions or materials of its beds or banks,
and includes damming, rip-rapping (or

 

5

 

other armoring),
widening, deepening, straightening, relocating, lining, and significant removal
of bottom or woody rooted vegetation, but does not include clearing of debris
or removal of trash or dredging to previously documented elevations and
sideslopes;

 

(n)                                 City means the City of Rochelle, Illinois
or its representatives;

 

(o)                                 compensatory storage means an excavated,
hydrologically and hydraulically equivalent volume of storage created to offset
the loss of existing flood storage;

 

(p)                                 control structure means a structure
designed to control the rate of flow that passes through the structure given a
specific upstream and downstream water surface elevation,

 

(q)                                 critical duration means the duration of a
storm event that results in the greatest peak runoff;

 

(r)                                    dam means any obstruction, wall embankment,
or barrier, together with any abutments and appurtenant works, constructed to
store or divert water or to create a pool (not including underground water
storage tanks);

 

(s)                                  depressional storage means the volume contained
below a closed contour on a one-foot contour interval topographical map, the
upper elevation of which is determined by the invert of a surface gravity
outlet;

 

(t)                                    detention facility means a facility which
stores stormwater runoff with a gravity release;

 

(u)                                 developer means a person who creates or
causes a development;

 

(v)                                 development means any manmade change to the
land and includes—

 

(1)                                  preparation
of a plat of subdivision for three (3) or more parcels;

 

(2)                                  the
construction, reconstruction, repair, or replacement of a building or an
addition to a building;

 

(3)                                  redevelopment
of a site for commercial and/or industrial purposes;

 

(4)                                  the
installation of utilities, construction of roads, bridges, or similar projects;

 

(5)                                  drilling
and mining;

 

(6)                                  the
construction of levees, walls, fences, dams, or culverts;

 

(7)                                  channel
modifications, filling, dredging, grading, excavating, paving, or other
nonagricultural alterations of the ground surface;

 

(8)                                  the
storage of materials and the deposit of solid or liquid waste;

 

(9)                                  any
wetland impact; and

 

(10)                            any
other activity of man that might change the direction, height, or velocity of
flood or surface waters, including the extensive removal of vegetation;

 

development, however, does not include–

 

6

 

(11)                            maintenance
of existing buildings and facilities, such as re-roofing or resurfacing of
roads where there is no increase in elevation;

 

(12)                            for
agricultural uses, maintenance of existing drainage systems for the limited
purpose of maintaining cultivated areas and crop production; or

 

(13)                            for
agricultural uses, improvements undertaken pursuant to a written NRCS
conservation plan;

 

(w)                               drainage area means the land area above a
given point that may contribute runoff flow at the point from rainfall;

 

(x)                                   erosion means the process whereby soil is
detached by the action of water or wind;

 

(y)                                 flood means a general and temporary
condition of partial or complete inundation or normally dry land areas from
overflow or inland or tidal ways or the unusual and rapid accumulation of
runoff or surface waters from any source;

 

(z)                                   flood frequency means a frequency normally
expressed as a period of years, based upon a percent chance of occurrence in
any given year from statistical analysis, during which a flood of a stated
magnitude may be expected to be equaled or exceeded, as in the two-year flood
frequency has a 50% chance of occurrence in any given year and the 100-year
flood frequency has a 1% chance of occurrence in any given year;

 

(aa)                            flood fringe means that portion of the
floodplain outside of the designated floodway;

 

(bb)                          floodplain means that land typically
adjacent to a body of water with ground surface elevations at or below the base
flood or the 100-year frequency flood elevation;

 

(cc)                            floodway or designated floodway means the channel, on-stream lakes and
that portion of the floodplain adjacent to a stream or channel which is needed
to store and convey the critical duration 100-year frequency flood discharge
with no more than a 0.1 foot increase in flood stage due to the loss of flood
conveyance or storage, and no more than a 10% increase in velocities;

 

(dd)                          floodway conveyance means the measure of
the flow carrying capacity of the floodway section;

 

(ee)                            freeboard means the increment of height
added to the 100-year design water surface elevation to provide a factor of
safety for uncertainties in calculations, unknown local conditions, wave
action, and unpredictable effects such as those caused by ice or debris jams;

 

(ff)                                hydrology means the science of the behavior
of water, including its dynamics, composition, and distribution in the
atmosphere, on the surface of the earth, and underground;

 

(gg)                          hydrograph means the graph produced by a
table of ordinates showing the flow rate, or discharge, with respect to time
for a given location in a drainage area;

 

(hh)                          IDNR-OWR means the Illinois Department of
Natural Resources, Office of Water Resources, or its duly authorized designee;

 

7

 

(ii)                                  IEPA means the Illinois Environmental
Protection Agency, or its duly authorized designee.

 

(jj)                                  infiltration means the passage or movement
of water into the soil surfaces;

 

(kk)                            major stormwater facility means that
portion of a stormwater facility needed to store and convey flows beyond the
capacity of the minor stormwater system;

 

(ll)                                  mass grading means development in which the
primary activity is a change in topography affected by the movement of earth
materials;

 

(mm)                      minor stormwater facility means all
infrastructure including curb, gutter, culverts, conduits, roadside ditches and
swales, storm sewers, and subsurface drainage systems intended to convey
stormwater runoff at less than a 10-year frequency;

 

(nn)                          mitigation means measures taken to offset
negative impacts from development and includes those measures necessary to
minimize the negative effects that stormwater drainage, as a result of
development activities, has on the public health, safety, and welfare;

 

(oo)                          on-stream storage facilities means site
runoff storage facilities located within the floodway;

 

(pp)                          overland flow path means a design feature
of the major stormwater system which carries flows in excess of the minor
stormwater system design capacity in an open channel or swale, or as sheet flow
or weir flow over a feature designed to withstand the particular erosive forces
involved;

 

(qq)                          peak flow means the maximum rate of flow of
water at a given point in a channel or conduit;

 

(rr)                                positive drainage means provision for
overland paths for all areas of a property including depressional areas that
may also be drained by storm sewer;

 

(ss)                            professional land surveyor means a land
surveyor registered in the State of Illinois under the Illinois Land Surveyors
Act;

 

(tt)                                professional engineer means an engineer
registered in the State of Illinois under the Professional Engineering Act;

 

(uu)                          record drawings means drawings prepared,
signed, and sealed by a professional engineer or professional land surveyor
representing the final record of the actual in-place elevations, locations of
structures and topography of proposed improvements;

 

(vv)                          regional storage facility means a site
runoff storage facility that stores stormwater from multiple parcels of land;

 

(ww)                      regulatory floodplain means the floodplain
depicted on maps recognized by IDNR-OWR for regulatory purposes;

 

(xx)                              regulatory floodway means the floodway
depicted on maps recognized by IDNR-OWR for regulatory purposes;

 

(yy)                          retention facility means a facility which
stores stormwater runoff without a gravity release;

 

8

 

(zz)                              runoff means the waters derived from
melting snow or rain falling within a tributary drainage basin that exceeds the
infiltration capacity of the soils of that basin;

 

(aaa)                      sedimentation means the process that
deposits hydraulically moved soils, debris, and other materials on other ground
surfaces or in bodies of water or stormwater drainage systems;

 

(bbb)                   site means all of the land contemplated to
be part of a coordinated development of one or more parcels;

 

(ccc)                      site runoff storage facility or storage facility means a manmade structure
for the temporary storage of stormwater runoff with a controlled release rate;

 

(ddd)                   special management area means a floodplain,
regulatory floodplain, wetland, wetlands mitigation area, stream, river, or
other water body;

 

(eee)                      stormwater facility means all ditches,
channels, conduits, bridges, culverts, levees, ponds, natural and manmade
impoundments, wetlands, riparian environments, tiles, swales, sewers, or other
natural or artificial structures or measures which serve as a means of draining
surface water and ground water from land;

 

(fff)                            time of concentration means the elapsed
time for stormwater to flow from the most hydraulically remote point in a
drainage basin to a particular point of interest in that watershed;

 

(ggg)                   tributary watershed means all of the land
surface area that contributes runoff to a given point;

 

(hhh)                   USACE means the U.S. Army Corps of Engineers;

 

(iii)                               watershed means all land drained by, or
contributing to, the same stream, lake, stormwater facility, or draining to a
point;

 

9

 

ARTICLE
2 – REQUIREMENTS FOR
STORMWATER MANAGEMENT

 

200.        General Information

 

(a)                                  No
person, firm, corporation, or governmental body not exempted by state law shall
commence any development, as defined herein, without first obtaining a
stormwater management permit from the City of Rochelle. The City shall not
issue a permit if the proposed development does not meet the requirements
contained herein.

 

(b)                                 Every
application for a stormwater management permit shall be accompanied by a
drainage plan as required herein and such other information as may be required
by the City for the proper enforcement of this ordinance. Each applicant shall
submit the following information, depending on development size to ensure that
the provisions of this ordinance are met. The submittal shall include
sufficient information to evaluate the environmental characteristics of the
property, the potential adverse impacts of the development on water resources
both on-site and downstream, and the effectiveness of the proposed drainage
plan in managing stormwater runoff. The applicant shall certify on the drawings
that all clearing, grading, drainage, and construction shall be accomplished in
strict conformance with the drainage plan.

 

201.        General stormwater requirements

 

(a)                                  No
development shall increase flood elevations or decrease flood conveyance capacity
upstream or downstream of the site.

 

(b)                                 Stormwater
facilities shall be functional, where practicable, before any other
construction begins on a site.

 

(c)                                  The
design of any development shall incorporate the following specific planning
principles, where practicable:

 

(1)                                  Impervious
surfaces are the minimum necessary to satisfy the needs of the project and the
current zoning regulations.

 

(2)                                  Where
feasible, allow sufficient right-of-way and easement widths so that stormwater
runoff can be conveyed in vegetated swales. Storm sewers may be used for
conveyance of nuisance flows and where conveyance in vegetated swales is
impractical.

 

(3)                                  Retention
and infiltration of stormwater runoff should be used as much to the extent
practicable to reduce the volume of stormwater runoff and the quantity of
runoff pollutants.

 

(4)                                  If
retention facilities are impractical or are not used, then detention facilities
shall be provided.

 

(5)                                  Best
management practices have been used in the drainage plan.

 

(6)                                  To
effectively filter stormwater pollutants and promote infiltration of runoff,
sites should be designed to maximize the use of vegetated filter strips and
swales. Wherever practicable, runoff from impervious surfaces should be
directed onto vegetated filter strips and swales before being routed to a storm
sewer or site runoff storage facility.

 

10

 

202.        Site runoff requirements

 

(a)                                  Stormwater
facilities shall be required and designed so that runoff exits the site at the
point where it exited prior to development (unless a change is required and
approved in writing by the Administrator) and in a manner so as not to increase
flood damage downstream. Concentrated discharges from new developments must
enter conveyance systems capable of carrying the design flow without increasing
flood damage, erosion, or maintenance costs downstream.

 

(b)                                 Major
and minor stormwater facilities shall be sized to convey runoff from the
tributary watershed under fully developed conditions.

 

(c)                                  Major
stormwater facilities shall be sized to convey the base flood without causing
additional flood damage.

 

(d)                                 Stormwater
facilities shall properly incorporate and be compatible with existing
subsurface and surface drainage systems. Designs shall not cause damage to
existing drainage systems or to existing adjacent or tributary land uses. The
flowing principles and requirements shall be observed in the design:

 

(1)                                  Offsite
outfall: Existing subsurface and surface drainage systems shall be evaluated
with regard to their capacity and capability to properly convey site runoff
storage facility release without damage to downstream structures and land uses.
If the outfall drain tile and surface drainage systems prove to be inadequate,
it will be necessary to modify the existing systems or construct new facilities
which will not conflict with the existing systems and will not impact existing
land uses.

 

(2)                                  Onsite:
Existing agricultural drainage systems shall be mapped to the extent
practicable. If any existing agricultural drainage tiles continue to upland
watersheds, the developer must maintain drainage service so as not to impede
the flow of water from the existing drainage tile. The existing upstream
agricultural drainage tile may be connected into the proposed on-site drainage
system if the invert of the existing drainage tile is higher than the proposed
100-year high water elevation of the stormwater facilities. The proposed
stormwater facilities shall not discharge into existing agricultural drainage
systems.

 

(3)                                  The
stormwater facilities shall be designed to control the peak rate of discharge
from the property for the 2-year, 24-hour and 100-year, 24-hour events to
levels which will not cause an increase in flooding or channel instability
downstream when considered in aggregate with other developed properties and
downstream drainage capacities. The allowable peak discharge from events less
than or equal to the 2-year, 24-hour event shall not be greater than 0.04 cfs
per acre of property drained. The allowable peak discharge from events less
than or equal to the 100-year, 24-hour event shall not be greater than 0.20 cfs
per acre of property drained.

 

(4)                                  The
allowable peak discharges for both design storms shall take into consideration
undetainable areas. If areas of the property can not be detained because of
site limitations, the undetained discharge shall be subtracted from 

 

11

 

the allowable peak
discharge to determine the allowable peak discharge from the detention or
retention facility.

 

(5)                                  Design
runoff rates shall be determined using event hydrograph methods. Acceptable
event hydrograph methods are HEC-HMS, HEC-l (SCS runoff method), TR-20, or
TR-55. Design runoff rates for minor conveyance systems may be calculated using
the Rational Method.

 

(6)                                  All
design runoff calculations shall utilize Bulletin 71 rainfall amounts for given
storm frequencies. All design runoff calculations, except TR-55, shall utilize
Bulletin 71 median time distributions for given storm frequencies. If TR-55 is
used, the SCS Type II time distribution shall be used.

 

(7)                                  All
design runoff calculations shall assume a conservative wet antecedent moisture
condition.

 

(8)                                  The
minor stormwater system shall be designed to safely pass the 10-year peak flow.
The developer shall provide an overland flow route to pass storms greater than
a 10-year frequency. All areas of the property must provide an overland flow
route that will pass the runoff from the 100-year event at a stage at least
one-foot below the lowest foundation grade in the vicinity of the flow path.
Overland flow paths designed to handle flows in excess of the minor drainage
system capacity shall provide drainage easements.

 

(9)                                  If
streets are to be used as part of the major or minor stormwater systems,
ponding depths shall not be greater than the elevation of the top of curbs and
shall not remain flooded for more than eight hours for any event less than or
equal to the 100-year event.

 

(10)                            The
maximum stormwater ponding depth in any parking lot shall not exceed six inches
for more than four hours.

 

(11)                            Culvert
crossings shall be designed according to this ordinance, unless stricter
requirements apply from other governmental agencies. Sizing of culvert
crossings shall consider entrance and exit losses as well as headwater and
tailwater conditions on the culvert.

 

(12)                            Transfers
of waters between watersheds (diversions) shall be prohibited except when such
transfers will not violate the provisions of Section 201 (a) and otherwise
lawful.

 

(13)                            All
developments shall incorporate all best management practices required under the
Clean Water Act and as required under Article 3 of this ordinance. The
developer is responsible for obtaining an N.P.D.E.S. permit from the IEPA if
the development meets the requirements of this regulation.

 

203.        Site runoff storage requirements
(detention/retention)

 

(a)                                  Event
hydrograph routing methods such as HEC-l, HEC-HMS, TR-20, or TR-55 using SCS
curve number methodology shall be used to calculate design runoff volumes for
all site runoff storage facilities. Event methods shall incorporate the
following assumptions:

 

12

 

(1)                                  a
conservative wet antecedent moisture condition shall be assumed as a minimum;

 

(2)                                  appropriate
rainfall distributions from Bulletin 71 shall be utilized except that SCS Type
II distribution is acceptable with TR-55 only;

 

(3)                                  24-hour
duration storm with a 50% probability (2-Year) of occurrence in any one year as
specified by Bulletin 71 sectional rainfall statistics; and

 

(4)                                  24-hours
duration storm with a 1% probability (100-Year) of occurrence in any one year
as specified by Bulletin 71 sectional rainfall statistics.

 

(b)                                 The
design maximum storage to be provided in a site runoff storage facility shall
be based on the runoff from the 100-year, 24-hour event and reservoir routing
(also called level pool).

 

(c)                                  Hydraulic
computations for the release structure must assume appropriate backwater and
tailwater conditions considering the likelihood of concurrent flood events on
the site and receiving stream.

 

(d)                                 Storage
facilities shall be designed and constructed with the following
characteristics:

 

(1)                                  Water
surface depths two feet above the base flood elevation will not damage the
storage facility or other site improvements.

 

(2)                                  The
storage facilities shall be accessible and easily maintained.

 

(3)                                  All
design site runoff storage volume shall be provided above the seasonal high
groundwater table or the invert elevation of the groundwater control system.

 

(4)                                  Storage
facilities shall facilitate sedimentation and catchment of floating material.
Unless specifically approved by the Administrator, concrete lined low flow
channels shall not be used in the site runoff storage basins.

 

(5)                                  Storage
facilities shall minimize impacts of stormwater runoff on water quality by
incorporating best management practices.

 

(6)                                  Storage
facilities shall maximize the distance between site runoff storage inlets and
outlets to the maximum extent possible.

 

(7)                                  Storage
facilities with single pipe outlets shall have a minimum inside diameter of
twelve inches. If design release rates necessitate a smaller outlet, structures
such as perforated risers or flow control orifices shall be used. Orifices
shall have a minimum diameter of three inches.

 

(8)                                  Detention
facilities shall be designed to remove stormwater pollutants, to be safe, to be
aesthetically pleasing and, as much as feasible, and to be available for
multiple uses.

 

(9)                                  Detention
facilities shall incorporate velocity dissipation devices to minimize erosion
at inlets and outlets and to minimize resuspension of pollutants.

 

(10)                            Detention
facilities shall be designed such that the portion of the bottom area which is
intended to be dry shall have standing water no longer than forty-eight (48)
hours for any runoff event less than the 100-year event. 

 

13

 

Underdrains directed to
the outlet may be used to accomplish this requirement Grading plans shall
clearly distinguish the wet portion of the basin bottom from the dry portion.
Ground slopes in the bottom of dry detention facilities shall be 1.5% or
steeper.

 

(e)                                  Storage
facilities located within the regulated floodplain shall comply with all state
and federal regulations and shall store the required amount of site runoff to
meet the release rate requirement under all streamflow and backwater conditions
up to the ten-year flood elevation on the adjacent receiving watercourse.

 

(f)                                    Storage
facilities located within the regulated floodway shall comply with all stale
and federal regulations and shall be evaluated by performing detailed
hydrologic and hydraulic analysis and shall provide a net watershed benefit.

 

(g)                                 Site
runoff facilities may be located offsite if the offsite storage facility meets
all of the requirements of the ordinance, adequate storage capacity in the
offsite facility is dedicated to the development, and the development includes
means to convey stormwater runoff to the offsite storage facility.

 

(h)                                 Retention
facilities shall be designed and constructed with the following
characteristics:

 

(1)                                  Retention
facilities shall be designed to remove stormwater pollutants, to be safe, and
to be aesthetically pleasing.

 

(2)                                  The
minimum depth shall be at least five feet deep, excluding near shore banks and
safety ledges. If fish habitat is to be provided, the minimum depth shall be at
least ten feet deep over 25% of the bottom area to prevent winter freeze-out.

 

(3)                                  Above
the normal pool elevation, the sideslopes shall be no steeper than 5 to 1
(horizontal to vertical).

 

(4)                                  At
normal depth, permanent pool volume shall be equal to or greater than the
runoff volume from its watershed for the 2-year event.

 

(5)                                  A
mechanically opened outlet to draw down the permanent pool or retention area
for maintenance purposes to the lowest available invert at the site boundary
shall be provided.

 

(6)                                  Safety
ledges shall be provided at least four feet in width at 2 1⁄2 to 3 feet below the
normal water depth.

 

(7)                                  Subsurface
drainage systems may be designed as a component of the retention facility to
assist in infiltration in accordance with the following criteria:

 

(A)                              The
retention volume shall be discharged at a rate no greater than that required to
empty the calculated retention volume within five days of the storm event.

 

(B)                                No
such subsurface drainage pipe shall be located within ten feet of drainage
pipes directly connected to the retention facility.

 

14

 

(i)                                     The
stormwater facilities shall be designed to protect the safety and well-being of
all children and adults coming in contact with the system during storm runoff
events.

 

(j)                                     The
side slopes at 100-year capacity shall be as level as practicable to prevent
accidental falls into the basin and for stability and ease of maintenance. Side
slopes of detention facilities and open channels shall not be steeper than four
to one (horizontal to vertical).

 

(k)                                  All
detention or retention facilities shall be provided with an overflow structure
capable of safely passing excess flows at a stage at least two-feet above the
base flood elevation. The design flow rate of the overflow structure shall be
equivalent to the 100-year inflow rate.

 

(l)                                     Velocities
throughout the stormwater facilities shall be controlled to safe and
non-erosive levels taking into consideration rates and depths of flow.

 

(m)                               The
stormwater facilities shall be designed to minimize and facilitate maintenance.

 

(n)                                 To
effectively reduce runoff volumes, infiltration practices including basins and
trenches may be utilized according to the following practices:

 

(1)                                  Infiltration
practices should be located on soils in hydrologic soil groups “A” or “B” as
designated by the U.S. Natural Resources Conservation Service.

 

(2)                                  Infiltration
basins and trenches designed to recharge groundwater shall not be located
within seventy-five (75) feet of a water supply well or a building foundation.

 

(3)                                  A
sediment settling basin shall be provided to remove coarse sediment from
stormwater flows before they reach the infiltration basins or trenches.
Stormwater shall not be allowed to stand more than forty-eight (48) hours over
eight percent (80%) of a dry basin’s bottom area for the maximum design event
to be ex-filtrated. The bottom of infiltration facilities shall be a minimum of
four feet above seasonally high groundwater and bedrock.

 

204.        Accommodating flows from upstream
tributary areas

 

(a)                                  Stormwater
runoff from areas tributary to the property shall be considered in the design
of the property’s stormwater facilities. Whenever practicable, flows from
upstream areas that are not to be detained should be routed around the basin
being provided for the site being developed.

 

(b)                                 When
there are upstream tributary areas not meeting the storage and release rates of
this ordinance, regional detention on the applicant’s property shall be
explored by the applicant by following the following steps:

 

(1)                                  Compute
the storage volume needed for the applicant’s property using the release rates,
the property area, and the procedures described in this ordinance.

 

(2)                                  Identify
the upstream areas tributary to the applicant’s property that do not meet the
storage and release requirements of this ordinance.

 

(3)                                  Compute
the storage volume needed for the applicant’s property plus the upstream
tributary area. If tributary areas are not developed, then a reasonable

 

15

 

fully developed
land cover, based on local zoning, shall be assumed for the purposes of
computing storage.

 

(4)                                  Once
the necessary storage is computed, the City may choose to pay for oversizing
the applicant’s site runoff storage facility to bring the upstream areas into
compliance, thereby making the applicant’s site runoff storage facility a
regional storage facility.

 

(5)                                  If
regional storage is selected by the City, then the storage facility shall be
designed according to the combined property area. The applicant’s
responsibility shall be limited to the storage volume computed for his property
only. If regional storage is not selected by the City, then the storage
facility shall be designed according to just the applicant’s property and all
flows from the upstream area shall be routed around the applicant’s storage
facility. If the applicant must route flows from the upstream tributary area
through his storage facility and the upstream tributary areas exceed one-square
mile in size, the storage facility shall be considered as an on-stream storage
facility.

 

(c)                                  When
there are upstream tributary areas meeting the storage and release rates of
this ordinance, the upstream flows shall be bypassed around the applicant’s
storage facility, or be routed through the applicant’s storage facility if it
is the only practicable alternative. The required storage for the applicant’s property
shall be computed in accordance with this ordinance. However, if the City
decides to route upstream tributary flows through the applicant’s storage
facility, the final design of the storage facility shall be based on the
combined total of the applicant’s property plus the tributary areas draining
through it. The applicant shall demonstrate using hydrologic and hydraulic
modeling that at no time will the release rate from the applicant’s property
exceed the allowable release rate for his property alone.

 

16

 

ARTICLE
3 – EROSION AND SEDIMENT CONTROL

 

300.        Erosion
and Sediment Control

 

(a)                                  Erosion
and sediment control planning shall be part of the initial site planning
process. In planning the development of the site, the applicant shall consider
the sensitivity of existing soils to erosion and topographical features such as
steep slopes, stream corridors, and special management areas which must be
protected to reduce the amount of erosion and sedimentation which occurs. Where
appropriate, existing vegetation shall be protected from disturbance during
construction by fencing or other means. In the planning process, the applicant
shall also address the following:

 

(1)                                  For
projects that involve phased construction, existing land cover for those areas
not under current development shall be addressed. If existing land cover does
not consist of appropriate dense vegetation then those phases shall be planted
temporarily to reduce erosion from idle land.

 

(2)                                  In
planning the erosion and sediment control strategy, preference shall be given
to reducing erosion rather than controlling sediment. In order to accomplish
this, the plan must carefully consider the construction sequence of the phases
so that the amount of land area exposed to erosive forces is the minimum
consistent with completing construction.

 

(b)                                 Standards
and specifications for erosion and sediment control measures shall be in
accordance with the Illinois Urban Manual
(latest edition).

 

(c)                                  The
runoff from disturbed areas shall not leave the site without first passing
through sediment control measures or devices. This requirement shall apply to
all phases of construction and shall include an ongoing process of
implementation of measures and maintenance of those measures during both the
construction season and any construction shutdown periods.

 

(d)                                 The
condition of the construction site for winter shutdown shall be addressed early
in the fail growing season so that slopes and other bare earth areas may be
stabilized with temporary and/or permanent vegetative cover for proper erosion
and sediment control. All open areas that are to remain idle throughout the
winter shall receive temporary erosion control measures including temporary
seeding, mulching, and/or erosion control blanket prior to the end of the fall
growing season. The areas to be worked beyond the end of the growing season
must incorporate soil stabilization measures that do not rely on vegetative
cover such as erosion control blanket and heavy mulching.

 

(e)                                  In
the hydraulic and hydrologic design of major erosion control measures (Those
whose tributary drainage area is greater than five acres) such as sediment
basins and traps, diversions and the like, the design frequency shall be
commensurate with the risk of the design event being exceeded. The following
design frequencies shall be regarded as minimum design frequencies for the
construction period:

 

(1)                                  If
development is estimated to be completed in less than six months, the storm
event having a 50% chance (2-year event) of being exceeded in any year shall be
used for design purposes.

 

17

 

(2)                                  If
development is estimated to be completed in more than six months but less than
one year, the design frequency for major sediment basins shall be a rainfall
event with a 20% (5-year event) chance of being exceeded in any one year.

 

(3)                                  If
development is estimated to take more than one year to complete, the design
frequency for major sediment basins shall be a rainfall event with a 10%
(10-year event) chance of being exceeded in any one year.

 

(4)                                  All
sediment basins shall be designed for a minimum residence time of ten hours for
detained runoff and shall include a volume for sediment storage reflective of the
clean out schedule for the basin. Appropriate notes shall be included in the
plans with instructions to the Contractor to maintain the sediment basin at the
designated interval.

 

(f)                                    The
erosion and sediment control plan shall designate a series of practices which
shall be implemented either at the direction of the applicant or the
applicant’s representative onsite or at the direction of the Administrator
should an inspection of the site indicate a deficiency in soil erosion and
sediment control measures. At a minimum, those measures shall include
sedimentation basins, sediment traps, ditch checks, diversion swales, silt
fences, temporary seeding, mulching, and erosion control blankets.

 

(g)                                 The
area of disturbance onsite at any one time shall be limited to 20 acres. An
additional 20 acres (a maximum of 40 acres of disturbance at any one time) may
be disturbed if necessary to balance cut and fill onsite. The Administrator may
approve a larger area of disturbance pursuant to a plan for phased construction
or after development has begun, if the developer adequately demonstrates the
need and the Administrator finds that adequate temporary and permanent erosion
and sediment control measures can be maintained and that the developer is
proposing an area of disturbance which at any one time is the smallest
practical area consistent with the intent to limit disturbed area and minimize
the risk of sediment being introduced into site runoff and being carried
offsite. No additional area may be disturbed without the permission of the
Administrator until previously disturbed areas have been temporarily or
permanently stabilized. All disturbed areas shall be stabilized within 14 days
of final grading or when left idle for more than seven (7) days. Maintained
haul roads and the area of sediment basins, site runoff facilities, utility
corridors having a maximum width of twenty (20) feet, and any permanently
stabilized areas are excluded from this limitation.

 

(h)                                 Erosion
and sediment control plans shall be in accordance with Article 5 and shall
include the following:

 

(1)                                  Detailed
construction phasing plan identifying erosion and sediment control measures to
be in place for each phase shall be submitted.

 

(2)                                  Erosion
and sediment control measures to be installed initially prior to stripping
existing vegetation or mass grading shall be indicated on the plans.

 

(3)                                  Permanent
stabilization measures shall be indicated on a separate plan.

 

18

 

(4)                                  The
expected two-year and ten-year runoff rates from all offsite areas draining
into the site shall be identified on the plan.

 

(5)                                  Methods
for conveying flows through the site during construction shall be indicated.
These methods must include the temporary and permanent stabilization measures
to be used to reduce velocity and erosion from flow through the construction
zone.

 

(6)                                  A
maintenance schedule of each measure used shall be indicated on the plan. As a
minimum, all erosion and sediment control measures onsite shall be inspected
weekly or after a one-half inch or greater rainfall event and any required
repairs shall be made to keep these measures functional as designed.

 

(7)                                  A
temporary stilling/sedimentation basin should be constructed at each major
inlet to a detention or retention facility. The volume of the basins should be
at least 500 cubic feet per acre of impervious surface in the drainage area.
Side slopes of the basins shall be no steeper than 3 to 1 (horizontal to
vertical) and basin depths should be at least three (3) feet deep to minimize
resuspension of accumulated sediment. A detention facility may be utilized as a
temporary stilling/sedimentation basin for its tributary drainage area, as long
as the basin is over excavated to provide the additional volume. The required
detention volume must be maintained at all times.

 

(i)                                     To
the extent practicable, proposed ditches and waterways which are to convey
offsite flows through the site shall be stabilized upon construction. Where new
waterways are constructed, they shall be stabilized to the extent practicable
prior to their use to convey flood flows.

 

(j)                                     Stockpiles
of soil and other building materials (sand, limestone, gravel, etc.) shall not
be located in special management areas or required buffers. If a stockpile is
to remain in place for more than three days, erosion and sediment control shall
be provided.

 

(k)                                  Storm
sewer inlets shall be protected with sediment trapping and/or filter control
devices during construction.

 

(l)                                     Water
pumped or which is otherwise discharged from the site during construction
dewatering shall be filtered and a means provided to reduce erosion.

 

(m)                               Graveled
roads, access drives, parking areas of sufficient width and length, and vehicle
wash-down facilities, if necessary, shall be provided to prevent soil from
being tracked onto public or private roadways. Any soil tracked onto a public
or private roadway shall be removed before the end of each workday or sooner as
directed by the City of Rochelle. Fines may be levied according to Article 7 if
tracked soil is not cleared from public or private roadways.

 

19

 

ARTICLE
4 – PROTECTION OF SPECIAL MANAGEMENT AREAS

 

400.        Disclaimer

 

Nothing in this ordinance purports to alter or affect the regulatory
program administered by the IDNR-OWR. Anything in this ordinance to the
contrary notwithstanding, if under the rules and regulations administered by
IDNR-OWR a submittal need not be made to IDNR-OWR, or a review, approval, or
permit from IDNR-OWR need not be obtained, then nothing in this ordinance shall
be construed to impose a requirement that such a submittal be made or such a
review, approval, or permit be obtained from IDNR-OWR. Similarly, if IDNR-OWR
has delegated its regulatory authority to another entity, then anything in this
ordinance to the contrary notwithstanding, of required by such entity, such
submittal shall be made or such review, approval, or permit shall be obtained
from such entity.

 

401.        Statewide and regional permits

 

Developments that qualify for any of the self-issuing statewide or
regional permits administered by IDNR-OWR (Statewide Permits Nos. 1 through 14
and Regional Permit No. 3), are similarly permitted under this Article. The
developer need only submit to the Administrator such information as shall show
the Administrator that the development qualifies for the particular statewide
or regional permit in question under the regulations established by IDNR-OWR
for such permit and no further submittal need be made wider this Article. All
other provisions of this ordinance applicable to this development, however,
continue to apply.

 

402.        Floodplain Management

 

(a)                                  The
placement of site runoff storage facilities within the floodplain is strongly
discouraged due to unreliable operation during flood events. However, the site
runoff storage requirements of this ordinance may be fulfilled by providing
site runoff storage within flood fringe areas on the project site provided the
following provisions are met:

 

(1)                                  The
placement of a site runoff storage facility in a flood fringe area shall
require compensatory storage for 1.5 times the volume below the base flood
elevation occupied by the site runoff storage facility including any berms. The
release from the storage facility shall still be controlled in accordance with
this ordinance. The operation of the site runoff storage facility during
rainfall events and periods of high streamflow and backwater events shall be
considered in the design of the storage facility. The applicant shall submit
the necessary hydraulic and hydrologic calculations demonstrating the proper
operation of the storage facility for all streamflow and floodplain backwater
conditions.

 

(2)                                  Excavations
for compensatory storage along watercourses shall be opposite or adjacent to
the area occupied by detention. All floodplain storage lost below the ten-year
flood elevation shall be replaced below the ten-year flood elevation. All
floodplain storage lost above the ten-year flood elevation shall be replaced
above the ten-year flood elevation. All compensatory storage excavations shall
be designed and constructed to have positive drainage and drain freely and
openly to the watercourse.

 

20

 

(b)                                 Site
runoff storage facilities shall only be placed in the floodway provided the
following provisions are met:

 

(1)                                  On-stream
storage facilities are discouraged but are allowable if they provide regional
public benefits and if they meet the other provisions of this ordinance with
respect to water quality and control of the two-year and 100-year, 24-hour
events from the property. If on-stream storage facilities are used for
watershed greater than 1 square mile, then the applicant shall use dynamic
modeling to demonstrate that the design will not increase the water surface
elevation of any properties upstream or downstream of the property.

 

(2)                                  Impoundment
of the stream as part of on-stream storage shall meet the following provisions:

 

(A)                              The
migration of indigenous fish species which require access to upstream areas as
part of their life cycle, such as for spawning, shall not be prevented.

 

(B)                                The
on-stream storage facility shall not cause or contribute to the degradation of
water quality or stream aquatic habitat.

 

(C)                                The
design shall include gradual bank slopes, appropriate bank stabilization
measures, and a sediment control basin placed upstream of the storage facility.

 

(D)                               The
design shall not involve any stream channelization or the filling of wetlands.

 

(E)                                 The
design shall include the implementation of an effective non-point source
management program throughout the upstream watershed which shall include, as a
minimum, runoff reduction best management practices, a permanent sediment
control basin for all development sized to hold the volume of the two-year,
24-hour event, and a program to control non-point sources at the source for
prior development constructed without appropriate stormwater best management
practices.

 

(F)                                 The
storage facility shall not be located downstream of a wastewater discharge.

 

(G)                                The
storage facility shall comply with 92 Illinois Administrative Code Parts 702
and 708.

 

403.        Wetlands and depressional storage
areas

 

Wetlands and other depressional storage areas shall be protected from
damaging modifications and adverse changes in runoff quality and quantity
associated with land developments. In addition to the other requirements of
this ordinance, the following requirements shall be met for all developments
whose drainage flows into wetlands and other depressional storage areas (as
appropriate):

 

(1)                                  Existing
wetlands shall not be modified for the purposes of stormwater detention unless
it is demonstrated that the existing wetland is low in quality

 

21

 

and the proposed
modifications will maintain or improve its habitat and ability to perform
beneficial functions.

 

(2)                                  Existing
storage and release rate characteristics of wetlands and other depressional
storage areas shall be maintained and the volume of detention storage provided
to meet the requirements of the ordinance shall be in addition to this existing
storage.

 

(3)                                  The
existing wetland shall not be filled and shall be protected from soil erosion
and sedimentation during construction.

 

(4)                                  Site
drainage patterns shall not be altered to substantially decrease or increase
the existing area tributary to the wetland.

 

(5)                                  All
runoff from the development shall be routed through a permanent sedimentation
basin designed to capture the volume of the two-year, 24-hour storm event and
hold it for a minimum of 24 hours before being discharged to the wetlands. This
basin shall be constructed before property grading begins. Design and
construction of the site shall incorporate the principles listed in Section
201. (c) of this ordinance to minimize runoff volumes and rates being
discharged to the wetlands.

 

(6)                                  A
buffer strip of at least 25 feet in width, vegetated with native plant species,
shall be restored and/or maintained around the periphery of the wetlands. No
development, with the exception of recreational trails, shall take place within
the buffer strip.

 

22

 

ARTICLE
5 – REQUIRED SUBMITTALS FOR STORMWATER MANAGEMENT PERMITS

 

500.        General requirements

 

(a)                                  A
stormwater management permit is required if:

 

(1)                                  the
project requires a building permit, is not a residential building, and
impervious area is increased on the site; or

 

(2)                                  the
project requires the approval of a Plat of Subdivision.

 

(b)                                 All
appropriate stormwater management related approvals and permits, including,
without limitation, an IDNR-OWR Floodway/Floodplain Construction Permit, a U.S.
Army Corps of Engineers 404 Permit, and an ISNR-OWR Dam Safety Permit, if
required, shall be obtained from all federal, state, and regional authorities
prior to the issuance of a stormwater management permit.

 

(c)                                  All
permit fees shall be paid prior to the issuance of a stormwater management
permit.

 

(d)                                 The
design of stormwater management facilities, calculations for the determination
of the regulatory floodplain and calculations of the impact of development
shall meet the standards of this ordinance and shall be prepared by or under
the direction of, signed, and sealed by a professional engineer. The signature
and seal of such professional engineer shall stand as his or her opinion that
the submittals which accompany the permit application meet the requirements of
this ordinance.

 

(1)                                  For
projects which include earth embankments which are subject to a differential
water pressure, the submittal shall include evidence that the embankment design
and construction specifications and adequate for the design conditions. This
review shall include consideration of the existing foundation soils for the
embankment, the materials. from which embankment is to be constructed,
compaction requirements for the embankment, and protection of the embankment
from failure due to overtopping. Specifications for the construction and
materials for all such embankments shall be included in the submittal. When
directed by the Administrator, or when the impounded water pressure
differential exceeds three feet or when appropriate considering the volume of
impounded water, and water surface elevation differential to which the
embankment is subjected, these calculations may be required to be reviewed,
signed, and sealed by a qualified geotechnical or registered structural
engineer.

 

(2)                                  For
structures (not including earth embankments) that are subject to differential
water pressure greater than three feet, the submittal shall, at a minimum, be
reviewed by a professional engineer. Such reviews shall include stability of
the structure under design conditions considering the protection of downstream
life and property in the event of a failure. When directed by the
Administrator, the calculations submitted for such structures shall be
reviewed, signed, and sealed by a registered structural engineer.

 

23

 

(3)                                  A
topographical map of the site, record drawings, and other required drawings
shall be prepared, signed, and sealed by a professional land surveyor or
professional engineer, and referenced to the National Geodetic Vertical Datum,
1929 adjustment, and any FEMA benchmarks. Plats for new subdivisions more than
10 acres in size shall be submitted to the Administrator in one of the
electronic formats designated by the City.

 

501.        Duration and revision of permits

 

(a)                                  If
construction has not started within twelve (12) months after the date of
issuance, the permit shall become null and void. If construction starts within
twelve (12) months of the date of issuance, the permit expires on
December 31 of the second year following the date of their issuance.

 

(b)                                 If
the permitted activity has begun but is not complete by the expiration, date of
the permit, the permittee may submit a written request for an extension to the
Administrator. Upon receipt of such request, the Administrator may extend the
expiration date of the permit for up to two (2) years for permitted activities
outside special management areas. Expiration dates for permitted activities
within special management areas may also be extended for up to two (2) years
provided that the activity is in compliance with the then current requirements
of this ordinance. A permittee may apply for only two extensions before
reapplication is required.

 

(c)                                  If
the permittee revises the approved plans after issuance of the permit, the
permittee shall submit the revised plans to the Administrator along with a
written request for approval. If the Administrator determines that the revised
plans are in compliance with the then current requirements of this ordinance,
an amended permit may be issued.

 

502.        Application and project overview

 

(a)                                  The
applicant shall, at a minimum, provide the following information on the
approved forms or in a format approved by the Administrator:

 

(1)                                  the
names and legal addresses of all owners of the site;

 

(2)                                  the
names and legal addresses of the developer or developers responsible for
completing the development according to the plans submitted, the terms and
conditions of the permit, and the requirements of this ordinance;

 

(3)                                  the
common address, legal description, and parcel identification number (PIN) of
all parcels which comprise the site;

 

(4)                                  the
name of the project, area of the site in acres, and the type of development,

 

(5)                                  a
general narrative description of the development, existing, and proposed
conditions and the project planning principles considered, including best
management practices used;

 

(6)                                  copies
of all other permits or permit applications as required;

 

(7)                                  a
subsurface drainage investigation report; and

 

24

 

(8)                                  an
engineer’s estimate of probable construction cost of the stormwater facilities
and the installation and maintenance of soil erosion and sediment control
measures.

 

(b)                                 The
application shall be signed by all owners and developers identified in (a) (1)
and (2) above and shall contain their attestation that they have read and
understand the provisions of this ordinance and agree to bind themselves to the
permitting authority to comply therewith. If any time prior to completion and
final inspection and approval of the development, the identity of the persons
required to be disclosed in (a) (1) and (2) above changes, an amended
application containing the current information shall be filed and the permit
shall be amended accordingly.

 

503.        Required submittals

 

All applicants for a stormwater permit shall provide the following
basic plan exhibits: Site Topographical Map, General Plan View Drawing,
Sediment/Erosion Control Plan, and a Vicinity Topographical Map. Each exhibit
may be on more than one drawing for clarity. The specific information to be
included on each exhibit shall be as noted below.

 

(a)                                  Site
Topographical Map;

 

(1)                                  map
scales as 1 inch = 100 feet (or less) and accurate to +/- 1.0 foot;

 

(2)                                  existing
and proposed contours onsite (maximum contour interval is two feet) and within
100 feet of the site (one foot contour interval may be required if deemed
necessary by the Administrator);

 

(3)                                  existing
and proposed drainage patterns and watershed boundaries;

 

(4)                                  delineation
of pre-development regulatory floodplain and floodway limits;

 

(5)                                  delineation
of post-development regulatory floodplain and floodway limits;

 

(6)                                  location
of cross-sections and any other hydrologic or hydraulic computer modeled
features;

 

(7)                                  location
of all onsite drain tiles;

 

(8)                                  boundaries
of all wetlands, lakes, ponds, etc. with normal water elevations noted; (show
areas of wetlands to be impacted under permit or otherwise if a permit is not
required);

 

(9)                                  location
of all existing buildings and those to remain on the site noted;

 

(10)                            nearest
base flood elevations;

 

(11)                            FEMA
and reference benchmarks used; and

 

(12)                            All
contours used in the calculation of depressional storage highlighted.

 

(b)                                 General
Plan View Drawing:

 

(1)                                  drawing
at the same scale as the Site Topographical Map;

 

(2)                                  existing
major and minor stormwater systems;

 

(3)                                  proposed
major and minor stormwater systems;

 

25

 

(4)                                  design
details for stormwater facilities (i.e. structure and outlet detail drawings,
etc.);

 

(5)                                  scheduled
maintenance program for permanent stormwater facilities including BMP;

 

(6)                                  planned
maintenance tasks and schedule;

 

(7)                                  identification
of persons responsible for maintenance;

 

(8)                                  proposed
regulatory floodplain and floodway location (with the base flood elevation
noted);

 

(9)                                  existing
wetlands and required buffers;

 

(10)                            all
plan areas at elevations below the 100-year high water elevation of site runoff
storage facilities highlighted; and

 

(11)                            where
a 500-year regulatory floodplain is available, the plan limit of the 500-year
floodplain.

 

(c)                                  Sediment
and Erosion Control Plan:

 

(1)                                  drawings
at the same scale as the Site Topographical Map;

 

(2)                                  erosion
and sediment control installation measures and schedule;

 

(3)                                  existing
and proposed roadways, structures, parking lots, driveways, sidewalks, and
other impervious surfaces;

 

(4)                                  limits
of clearing and grading;

 

(5)                                  special
management areas and proposed buffer locations located on the plan;

 

(6)                                  existing
soil types, vegetation and land cover conditions;

 

(7)                                  list
of maintenance tasks and schedule for erosion and sediment control measures;
and

 

(8)                                  the
name, address, and phone number of the person or persons responsible for
erosion and sediment control.

 

(d)                                 Vicinity
Topographical Map:

 

(1)                                  identify
all offsite areas draining into the development and downstream to the receiving
stream; (a two-foot contour map is preferred at a scale readable by the
reviewer but a USGS Quadrangle map is acceptable);

 

(2)                                  identify
the watershed boundaries for areas draining through or from the development;

 

(3)                                  identify
the soil types related to hydrologic soils group, vegetation, and land cover
affecting runoff upstream of the site for any area draining through the site;

 

(4)                                  identify
the location of the site within the major watershed(s); and

 

(5)                                  show
the overland flow path from the downstream end of the development to the
receiving stream.

 

26

 

504.        Stormwater submittal

 

The stormwater submittal shall include a narrative discussion and
calculations to support a finding by the qualified review specialist that the
proposed development complies with the technical requirements of this
ordinance. The submittal shall consist, at a minimum, of the following
material:

 

(a)                                  a
narrative description of the existing and proposed site drainage patterns and
conditions; include description of offsite conditions which help to identify
stormwater issues considered in the design;

 

(b)                                 a
schedule for implementation of the site stormwater plan;

 

(c)                                  onsite
and offsite runoff calculations which address the following:

 

(1)                                  documentation
of the procedures and assumptions used to calculate the hydrologic and
hydraulic conditions for sizing major and minor stormwater systems;

 

(2)                                  cross-section
data for open channels, along with calculated depths of flow and velocities in
the channels; and

 

(3)                                  the
hydraulic grade line calculations may be required for the design flow and base
flood flow conditions, if requested by the Administrator.

 

(d)                                 site
runoff storage calculations, which address the following:

 

(1)                                  documentation
of the procedures and assumptions used to calculate the hydrologic and
hydraulic conditions for the site runoff storage facility;

 

(2)                                  calculations
for the time of concentration and a drawing showing the location of calculated
time of concentration path;

 

(3)                                  calculations
for the allowable release rate for the required storm events;

 

(4)                                  calculations
for the generation of the inflow hydrographs for the required storm events;

 

(5)                                  calculations
for the routing of the inflow hydrographs through the storage facility;

 

(6)                                  hydraulic
and hydrologic computer model input and output;

 

(7)                                  elevation-area-storage
data and calculations;

 

(8)                                  elevation-discharge
data and calculations specifically related to the outlet control structure
depicted in the plans; and

 

(9)                                  calculations
for the overflow structure capacity.

 

505.        Floodplain submittal

 

The applicant shall obtain approval from IDNR-OWR and FEMA, when
required, for all new base flood and floodway determinations or as required by
these agencies. Documentation showing evidence of approval by or application to
these agencies shall be submitted with the application. At a minimum, the
following material shall be submitted for approval with the application:

 

27

 

(a)                                  regulatory
floodplain determination;

 

(1)                                  provide
source of flood profile information; and

 

(2)                                  provide
all hydrologic and hydraulic study information for site-specific floodplain
studies and floodplain map revisions;

 

(b)                                 floodway
hydrologic and hydraulic analyses for the following conditions:

 

(1)                                  existing
conditions;

 

(2)                                  proposed
conditions;

 

(3)                                  tabular
summary of 100-year flood elevations and discharges for existing and proposed
conditions;

 

(4)                                  calculations
used for development of the hydraulic model; and

 

(5)                                  hydraulic
and hydrologic computer model input and output;

 

(c)                                  floodplain
fill and compensatory storage calculations for below and above the ten-year
flood elevation up to the base flood elevation:

 

(1)                                  tabular
summary for below and above the ten-year flood elevation of fill and compensatory
storage in the plan; and

 

(2)                                  flood
easements when required by this ordinance;

 

(d)                                 statewide
and regional self-issuing permits (Statewide Permits Nos. 1 through 14 and
Regional Permit No. 3):

 

(1)                                  such
information as shall show that the development qualifies for the particular
permit in question under the regulations established by IDNR-OWR.

 

506.        Wetland submittal

 

(a)                                  The
applicant shall obtain a permit for all regulated activities involving Waters
of the U.S. from the appropriate federal and state agencies. For any activities
which will directly impact onsite Water of the U.S. but are not regulated by
federal authorities, a narrative description of the wetland size and quality
shall be provided to the Administrator, accompanied by a written Opinion from a
qualified wetlands specialist on the applicability of current federal permits
and noting any special procedures which must be followed in connection with the
proposed activities. The applicant shall indicate on the plan set the location
of any onsite wetland mitigation required by a USACE permit and, in narrative
form, the location of all offsite mitigation.

 

(b)                                 A
wetland submittal in accordance with the requirements of this ordinance shall
be required. In general, the submittal will consist of the following material:

 

(1)                                  wetland
delineation report (USACE format);

 

(2)                                  calculation
of required buffer (including size and quality when calculated); and

 

(3)                                  Wetland
Delineation Plan drawing showing:

 

(A)                              all
existing and proposed impacted or undisturbed onsite wetlands;

 

28

 

(B)                                location
of buffers;

 

(C)                                planting
plan for buffers; and

 

(D)                               identify
all required wetland management activities.

 

(4)                                  For
all stream modifications, the following shall be submitted:

 

(A)                              a
plan and profile of the existing and proposed channel; and

 

(B)                                supporting
calculations for channel width, depth, sinuosity, riffle locations, etc.

 

(c)                                  If
the development will have a wetland impact, the requirements of Article 4 shall
be met.

 

507.        Record
drawings

 

The permittee is required to submit record drawings of all permitted
stormwater facilities. The record drawings shall be signed and sealed by a
professional engineer or professional land surveyor who shall state that the
project as constructed is substantially in conformance with the development as
permitted. Record drawings shall also be submitted electronically in Autocad
format.

 

29

 

ARTICLE
6 – LONG TERM MAINTENANCE

 

600.        Long term
maintenance

 

Unless maintenance responsibility has been delegated to and accepted by
another person under this section, the owner shall maintain that portion of the
stormwater drainage system, including any special management areas, located
upon his land. With the approval of the Administrator, the stormwater drainage
system and special management areas, or specified portions thereof, may be –

 

(a)                                  dedicated
or otherwise transferred to and accepted by the permitting authority or other
public entity; or

 

(b)                                 conveyed
or otherwise transferred to and accepted by a homeowner’s association, or
similar entity, the members of which are to be the owners of all the lots or
parcels comprising the development; or

 

(c)                                  conveyed
to one or more persons or in one or more undivided interests to one or more
persons.

 

601.        Transfer to permitting authority or other public
entity

 

If any portion of the stormwater drainage system r special management
areas are to be dedicated or otherwise transferred to the permitting authority
or other public entity under Section 600 of Article 6, appropriate easements
for ingress and egress to and maintenance of such portions shall be reserved
for the benefit of such entity on the final plat.

 

602.        Transfer to homeowner’s of similar association

 

If any portion of the stormwater drainage system or special management
areas are to be conveyed or otherwise transferred to a homeowner’s or similar
association under Section 600 of Article 6, then –

 

(a)                                  appropriate
easements for ingress and egress to and maintenance of such portions shall be
reserved for the benefit of such association and the permitting authority on
the final plat;

 

(b)                                 the
association shall be duly incorporated and a copy of the Certificate of
Incorporation, duly recorded, and by laws, and any amendment to either of them,
shall be delivered to the Administrator;

 

(c)                                  the
bylaws of the association shall, at a minimum, contain –

 

(1)                                  a
provision acknowledging and accepting the association’s obligation to maintain
those portions of the stormwater drainage system and special management areas
conveyed or otherwise transferred to it under this ordinance;

 

(2)                                  a
mechanism for imposing an assessment upon the owners of all of the lots or
parcels comprising the development sufficient, at a minimum, to provide for the
maintenance of those portions of the stormwater drainage system and special
management areas conveyed or otherwise transferred to it under this ordinance;
and the payment of all taxed levied thereon;

 

30

 

(3)                                  a
provision adopting the plan of long term maintenance set forth in the
application for a stormwater management permit, with approved amendments;

 

(4)                                  a
provision identifying the officer of the association responsible for carrying
out the obligations imposed upon the association under this ordinance;

 

(5)                                  a
provision requiring the consent of the permitting authority to any amendment of
the bylaws changing any of the provisions of the bylaws required by this
ordinance; and

 

(6)                                  a
provision requiring the consent of the permitting authority to the dissolution
of the association; and

 

(d)                                 any
conveyance or other instrument of transfer delivered under Section 600 (b) of
Article 6 shall include a covenant affirmatively imposing upon the association
the obligations set forth in this section and the association’s affirmative
acceptance thereof.

 

603.        Conveyance to one or more persons

 

If any portion of the stormwater drainage system or special management
areas are to be conveyed to one or more persons under Section 600 (c) of
Article 6, then –

 

(a)                                  appropriate
easements for ingress and egress to and maintenance of such portions shall be
reserved for the benefit of the permitting authority on the final plat;

 

(b)                                 the
final plat shall contain a legend imposing the maintenance obligations of this
section upon the grantee and his successors in interest as a covenant running
with the land and incorporating by reference the plan of long term maintenance
set forth in the application for a stormwater management permit, with approved
amendments;

 

(c)                                  the
final plat shall contain a legend reserving the right of the permitting
authority to enter the land to perform the maintenance required in this section
if the owner does not do so and to place a lien against the land for the cost
thereof; and

 

(d)                                 any
conveyance delivered under Section 600 (c) of Article 6, and any subsequent
conveyance, shall include a covenant affirmatively imposing upon the grantee
the obligations, restrictions, and provisions set forth in this section and the
grantee’s affirmative acceptance thereof.

 

604.        Maintenance agreement

 

Maintenance of stormwater facilities located on private property shall
be the responsibility of the owner of that property. Before any security is
released according to Article 10, the applicant shall execute a maintenance
agreement with the City in accordance with the following provisions:

 

(a)                                  The
maintenance agreement shall guarantee that the applicant and all future owners
of the property will maintain its stormwater facilities, sediment control
system, and special management areas.

 

(b)                                 The
maintenance agreement shall also specifically authorize representatives of the
City to enter onto the property for the purpose of inspections and maintenance
of the stormwater facilities, sediment control system, and special management
areas.

 

31

 

(c)                                  The
maintenance agreement shall be recorded with the Ogle County Recorder.

 

(d)                                 The
maintenance agreement shall include a schedule for regular maintenance of each
aspect of the property’s stormwater facilities, sediment control system, and
special management areas and shall provide for access to the system for
inspection of authorized personnel of the City or their representatives.

 

(e)                                  The
maintenance agreement shall stipulate that if the City notifies the property
owner in writing of maintenance problems which require correction, the property
owner shall make such corrections within thirty (30) calendar days of such
notification.  If the corrections are
not made within this time period, the City will have the necessary work
completed and assess the cost to the property owner.

 

(f)                                    The
City has the option of requiring a bond to be filed by the property owner for
maintenance of the stormwater facilities, sedimentation control system, and
special management areas.

 

(g)                                 Since
the volume of the storage facilities must be maintained in order to be an
effective tool in regulating stormwater runoff quantity, upon written request
by the City, the applicant shall be responsible for verifying that the volume
of the pond meets the permitted volume. Storage facility volume verification
shall be performed, signed, and sealed by a professional land surveyor or
professional engineer. The City has the right to request storage volume
verification at any time after the construction is complete.

 

Maintenance of stormwater facilities located on public property, or
upon easements dedicated to a public authority, shall be the responsibility of
the owner of that public property or public agency to whom the easement is
dedicated. Before any security is released, the applicant shall deposit an
amount equal to 100% of an approved estimated probable cost to complete the
construction of the stormwater facilities, sediment control system, or special
management areas that lie within the public property or dedicated easement,
into an escrow account administered by the City to be utilized by that public
property owner or public agency for the future maintenance of the stormwater
facilities, sediment control system, or special management areas.

 

32

 

ARTICLE
7 – ENFORCEMENT AND PENALTIES

 

700.        Inspection
and maintenance authority

 

Pursuant to the authority granted by 55 ILCS 5/5-1104 and 5-1062, the
City may, upon 30 days notice to the owner or occupant, enter upon any lands or
waters within the City for the purpose of inspecting and/or maintaining any
stormwater facilities or causing the removal of any obstruction to an affected
watercourse.

 

701.        Required inspections

 

Any development constructed pursuant to a stormwater permit may be
periodically inspected by the Administrator or his representative to ensure its
conformity with this ordinance and the terms and conditions of its permit.

 

702.        Offenses

 

(a)                                  Any
person who violates, disobeys, omits, neglects, refuses to comply with, or
resists the enforcement of any provision of this ordinance (ordinance
violation), or any requirement or condition in any permit issued pursuant to
this ordinance (permit violation), and, in case of a permit violation, fails to
correct such violation, omission, neglect, or cease such disobedience,
refusal,, or resistance after notice and reinspection as provided below, shall
be guilty of an offense under this ordinance.

 

(b)                                 Whenever
the Administrator determines that a permit violation exists, he shall serve
notice of the violation in the manner prescribed in Section 902 of Article 9 to
the permittee. Such notice shall state the nature of the violation and fix a
date not less than 10 days after the date of the notice when the site will be
reinspected.

 

703.        Offenses
— penalties; remedies

 

(a)                                  Any
person found guilty of an offense under this ordinance shall pay a civil fine
in an amount not more than $500.00. Each week the violation continues to exist
shall constitute a separate offense.

 

(b)                                 In
addition to any fine imposed under this section, the Administrator may revoke
any stormwater management permit issued to such person.

 

(c)                                  In
addition to any fine imposed or permit revocation undertaken pursuant to this
section, the Administrator may issue an order requiring the suspension of any
further work on the site. Such stop-work order shall be in writing, shall
indicate the reason for its issuance, and shall specify the action, if any,
required to be taken in order to resume work. One copy of the stop-work order
shall be posted on the site in a conspicuous place and one copy shall be served
in the manner prescribed in Section 902 of Article 9 upon the permittee, if
any, or if none, upon the person in whose name the site was last assessed for
taxes as disclosed by the records of the Supervisor of Assessments.

 

(d)                                 In
addition to any fine imposed under this section, the Administrator may recover
all costs or expenses, including reasonable attorney’s fees, incurred in the
enforcement of this ordinance.

 

33

 

(e)                                  In
the enforcement of this ordinance, the Administrator may bring any action,
legal or equitable, including an action for injunctive relief, as they deem
necessary.

 

34

 

ARTICLE
8 – GENERAL PROVISIONS

 

800.        Scope
of regulation

 

This ordinance applies to all developments within the Corporate Limits
of the City or seeking annexation into the City. When a development to which
this ordinance applies occurs within an area that is subject to another
governmental entity’s jurisdiction and that governmental entity has a
stormwater management ordinance or regulation, the more restrictive shall
apply.

 

801.        Exemptions

 

This ordinance does not apply to developments that have been permitted

 

802.        Interpretation

 

(a)                                  This
ordinance shall be liberally construed to protect the health, welfare, safety,
and the environment of the residents of the City of Rochelle and to effectuate
the purposes of this ordinance and the enabling legislation.

 

(b)                                 Nothing
in this ordinance shall be deemed to consent to, license, permit to locate,
construct, or maintain any structure, site, facility, or operation, or to carry
on any trade, industry, occupation, or activity.

 

(c)                                  When
provisions of this ordinance differ from any other applicable law, statute,
ordinance, rule, or regulation, the more stringent provision shall apply.

 

(d)                                 The
provisions of this ordinance are cumulative of all other laws, statutes,
ordinances, rules, and regulations which relate to the subject matter hereof
and, except as otherwise expressly provided herein, nothing in this ordinance
shall be construed as a limitation upon the application or enforcement of any
such law, statute, ordinance, rule, or regulation. To the greatest extent
possible, the provisions of this ordinance shall be construed to be consistent
with the provisions of such other laws, statutes, ordinances, rules, or
regulations, and with each other, to the end that all such provisions may be
given their fullest application.

 

803.        Warning and disclaimer of liability

 

(a)                                  The
degree of flood protection provided by this ordinance is considered reasonable
for regulatory purposes and is based upon engineering experience and scientific
methods of study. Increased flooding may result -from causes beyond the control
of any governmental authority. This ordinance does not, therefore, guarantee
that areas outside the floodplain or permitted land uses within the floodplain
will be free from flooding and associated damages.

 

(b)                                 Nothing
in this ordinance shall be construed or applied in any manner to create
liability on the part of or a cause of action against the City, or any elected
official, or any officer, agent, r employee of any of the foregoing, or any
qualified engineer review specialist or qualified wetland specialist for any
flood damage resulting from reliance on the provision of this ordinance.

 

804.        Severability

 

The provisions of this ordinance shall be severable in accordance with
the following rules:

 

35

 

(a)                                  If
any court of competent jurisdiction shall adjudge any provision of this
ordinance to be invalid, such judgment shall not affect any other provision of
this ordinance.

 

(b)                                 If
any court of competent jurisdiction shall adjudge to be invalid the application
of any provision of this ordinance to a particular parcel of land, a particular
structure, or a particular development, such judgment shall not affect the
application of said provision to any other land, structure, or development.

 

805.        Effective
Date

 

After its passage, approval, and publication according to law, this
ordinance shall take effect on July 1,2003.

 

36

 

ARTICLE
9 – ADMINISTRATION

 

900.        Enforcement

 

The administration and enforcement of this ordinance shall be the
responsibility of the Administrator or his duly authorized representative.

 

901.        Inspections

 

(a)                                  General
site grading shall not begin until the Administrator or his duly authorized
representative has certified in writing to the applicant that any necessary
site runoff storage facilities are in place and operational. The Administrator
or his duly authorized representative will also conduct periodic inspections of
the work in progress to be certain that the stormwater facilities are being
constructed as designed. If any violations of the provisions or requirements of
this ordinance are noted during such inspections, the Administrator shall
notify the applicant in writing of the items needing correction. The applicant
shall have ten (10) calendar days to make such corrections unless given a
specific extension of time in writing by the Administrator. Failure to complete
such corrections within the specified time period shall constitute a violation
of this ordinance and the applicant shall be considered in default of any
performance surety in place with the City of Rochelle.

 

(b)                                 Upon
notification by the applicant that the stormwater systems are completed, the
Administrator or his duly authorized representative shall conduct a final
inspection, if the stormwater facilities are found to contain deficiencies
which require correction, the Administrator or his duly authorized
representative shall notify the applicant in writing of the necessary
corrections. The applicant shall correct such deficiencies within ten (10)
calendar days unless given a specific extension of time in writing by the
Administrator or his duly authorized representative. Failure to complete such
corrections within the specified time period shall constitute a violation of
this ordinance. Upon finding that the stormwater facilities meet the provisions
and requirements of this ordinance the Administrator or his duly authorized
representative shall issue in writing a notice of stormwater systems completion
to the applicant.

 

(c)                                  All
privately owned stormwater facilities may be inspected by representatives of
the Public Works Department no less than once per year. A written report shall
be filed of the results of any inspection and a copy sent to the property owner
detailing any problems which need correction.

 

902.        Service

 

Unless otherwise provided herein, service of any notice or other
instrument under this ordinance may be made upon any person –

 

(a)                                  by
first class mail, postage prepaid, addressed to address then on file for such
person, if any, or if none, to such person’s last known address; or

 

(b)                                 by
any method prescribed under the Illinois Code of Civil Procedure.

 

37

 

ARTICLE
10 – SECURITIES AND FEES

 

1000.      General security requirements

 

(a)                                  To
secure the performance of the developer’s obligation to complete the
construction of the stormwater facilities required by the stormwater management
permit, and to pay all costs, fees, and charges due under this ordinance, and
to fully and faithfully comply with all of the provisions of this ordinance,
the applicant shall, prior to the issuance of a stormwater management permit –

 

(1)                                  post
the security provided in Section 1001; and

 

(2)                                  post
the security provided in Section 1002 if an erosion and sediment control plan
is required under this ordinance.

 

(b)                                 The
applicant shall bear the full cost and responsibility of obtaining and
maintaining the security required by this ordinance.

 

1001.      Plan
review fee

 

The applicant shall be responsible for paying a plan review fee
established under separate resolution by City Council in a form acceptable to
the Administrator.

 

1002.      Development
security

 

(a)                                  In
all cases, the applicant shall post –

 

(1)                                  a
schedule, agreed upon by the applicant and the Administrator, for the
completion of the stormwater facilities and the erosion and sediment control
systems required by the permit;

 

(2)                                  a
statement of the estimated probable cost to complete the construction of any
stormwater facilities required by the permit, which statement is subject to the
approval of the Administrator;

 

(3)                                  a
statement of the estimated probable cost to complete the construction of any
erosion and sediment control systems required by the permit, which statement is
subject to the approval of the Administrator;

 

(4)                                  a
surety, in a form acceptable to the City in an amount equal to 110% of the
approved estimated probable cost to complete the construction of the stormwater
facilities and erosion and sediment control systems.

 

(b)                                 Upon
completion of the stormwater facilities, the security may be reduced by 90% of
the amount of the estimated probable cost to complete the construction of the
stormwater facilities.

 

(c)                                  The
Administrator may approve periodic reductions in the amount of the security
based upon the progress of construction. At no time, however, shall more than
90% of the total security be released prior to approval of record drawings and
final inspection. The security required by this section shall be maintained by
the applicant in favor of the permitting authority until construction has been
completed, vegetation has been established, sediment has been removed from all
stormwater facilities, record drawings are received, and the final inspection
has been performed on the development and approved by the Administrator, at
which time it shall be reduced. A

 

38

 

minimum of 10% of the original amount of the security shall be retained
for a period of one year after completion of all required stormwater facilities
and erosion and sediment control systems.

 

1003.      Construction Inspection Fee

 

Prior to issuance of the stormwater management permit, the applicant
shall post a security in the amount equal to 4% of the approved estimated
probable cost to complete the construction of the stormwater facilities and the
erosion and sediment control system. The security shall be posted in a form
acceptable to the City.  This fee shall
serve to offset the cost of inspections performed in association with this
ordinance.

 

39

 

ARTICLE
11 FEE-IN-LIEU OF SITE RUNOFF STORAGE

 

1100.      Fee-in-lieu of site runoff storage

 

This section to be determined at a later date.

 

40

 

EXHIBIT
E

 

Preliminary Plan of Development

 

 

[Drawing of Preliminary Plan of Development]

 

 

EXHIBIT F-1

 

Capacity and Hydrant Flow for Water Main
Extensions

 

City shall provide Owners
the greater of:

 

1)             1,500 gallons per
minute (gpm) at a minimum residual pressure of 35 pounds per square inch (psi)
for the entire Subject Property; or

 

2)             the minimum flow and
residual pressure required by the City of Rochelle Fire Department.

 

 

EXHIBIT
F-2.1

 

 

Water Main Extension Plan And Specification

 

[Drawing of Water Main Extension Plan and
Specification]

 

 

EXHIBIT
F – 2.2

 

Cost Breakdown for Water Main Improvements

 

Barth Parcel

 

	
  Item No.

  	
   

  	
  Description

  	
   

  	
  Quantity

  	
   

  	
  Unit

  	
   

  	
  Price

  	
   

  	
  Amount

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Water Main

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  1

  	
   

  	
  12-inch
  diameter Water Main

  	
   

  	
  2,800

  	
   

  	
  LF

  	
   

  	
  $

  	
  30.00

  	
   

  	
  $

  	
  84,000.00

  	
   

  
	
  2

  	
   

  	
  20-inch
  diameter Steel Casing Pipe

  	
   

  	
  50

  	
   

  	
  LF

  	
   

  	
  $

  	
  170.00

  	
   

  	
  $

  	
  8,500.00

  	
   

  
	
  3

  	
   

  	
  Fire
  Hydrant, complete

  	
   

  	
  7

  	
   

  	
  Each

  	
   

  	
  $

  	
  3,100.00

  	
   

  	
  $

  	
  21,700.00

  	
   

  
	
  4

  	
   

  	
  12-inch
  diameter Gate Valve

  	
   

  	
  5

  	
   

  	
  Each

  	
   

  	
  $

  	
  1,700.00

  	
   

  	
  $

  	
  8,500.00

  	
   

  
	
  5

  	
   

  	
  Ductile Iron
  Fittings

  	
   

  	
  300

  	
   

  	
  LBS

  	
   

  	
  $

  	
  5.00

  	
   

  	
  $

  	
  1,500.00

  	
   

  
	
  6

  	
   

  	
  Granular
  Backfill

  	
   

  	
  1,000

  	
   

  	
  CY

  	
   

  	
  $

  	
  17.00

  	
   

  	
  $

  	
  17,000.00

  	
   

  
	
  7

  	
   

  	
  Seeding and
  Fertilizing

  	
   

  	
  2,800

  	
   

  	
  LF

  	
   

  	
  $

  	
  3.00

  	
   

  	
  $

  	
  8,400.00

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Subtotal

  	
   

  	
  $

  	
  149,600.00

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Contingency

  	
   

  	
  $

  	
  14,400.00

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Engineering

  	
   

  	
  $

  	
  21,000.00

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  WATER MAIN TOTAL – BARTH

  	
   

  	
  $

  	
  185,000.00

  	
   

  

 

Casey Parcel

 

	
  Item No.

  	
   

  	
  Description

  	
   

  	
  Quantity

  	
   

  	
  Unit

  	
   

  	
  Price

  	
   

  	
  Amount

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Water Main

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  1

  	
   

  	
  12-inch
  diameter Water Main

  	
   

  	
  2,700

  	
   

  	
  LF

  	
   

  	
  $

  	
  30.00

  	
   

  	
  $

  	
  81,000.00

  	
   

  
	
  2

  	
   

  	
  Fire
  Hydrant, complete

  	
   

  	
  7

  	
   

  	
  Each

  	
   

  	
  $

  	
  3,100.00

  	
   

  	
  $

  	
  21,700.00

  	
   

  
	
  3

  	
   

  	
  12-inch diameter
  Gate Valve

  	
   

  	
  2

  	
   

  	
  Each

  	
   

  	
  $

  	
  1,700.00

  	
   

  	
  $

  	
  3,400.00

  	
   

  
	
  4

  	
   

  	
  Ductile Iron
  Fittings

  	
   

  	
  200

  	
   

  	
  LBS

  	
   

  	
  $

  	
  5.00

  	
   

  	
  $

  	
  1,000.00

  	
   

  
	
  5

  	
   

  	
  Granular
  Backfill

  	
   

  	
  1,000

  	
   

  	
  CY

  	
   

  	
  $

  	
  17.00

  	
   

  	
  $

  	
  17,000.00

  	
   

  
	
  6

  	
   

  	
  Seeding and
  Fertilizing

  	
   

  	
  2,200

  	
   

  	
  LF

  	
   

  	
  $

  	
  3.00

  	
   

  	
  $

  	
  8,100.00

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Subtotal

  	
   

  	
  $

  	
  132,200.00

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Contingency

  	
   

  	
  $

  	
  13,800.00

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Engineering

  	
   

  	
  $

  	
  20,000.00

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  WATER MAIN TOTAL – YESAC

  	
   

  	
  $

  	
  166,000.00

  	
   

  

 

 

EXHIBIT F-3

 

City of Rochelle Water Connection Fees

 

WATER

 

	
  Rochelle
  Municipal Utilities

  	
   

  	
  Effective Date May 1, 2000

  
	
  City of
  Rochelle

  	
   

  	
  Reformatted

  
	
  Water Rates

  	
   

  	
  Effective January 1, 2003

  
	
   

  	
   

  	
  Sheet 8

  

 

 

INDUSTRIAL SERVICE WATER RATE #440

General Information

 

Industrial Service
Water Rate is for Industrial water customers that have a monthly usage of
500,000 cubic feet (3,740,000 gallons) during the current billing month or in
any of the previous 11 billing months. 
The variable charge is based on the higher of the current billing
months’ usage or 40% of the highest usage recorded in the previous 11 billing
months.  Customers outside the Rochelle
City corporate boundaries will be charged two times the charges.

 

Fixed Charge

 

	
  Meter Size

  	
   

  	
  Charges

  	
   

  
	
  < 12”

  	
   

  	
  $

  	
  207.00

  	
   

  
	
  =or> 12”

  	
   

  	
  $

  	
  261.00

  	
   

  

 

 

Variable Charge (User Rate)

 

	
   

  	
   

  	
  Charges

  	
   

  
	
  per cubic foot

  	
   

  	
  $

  	
  0.0137

  	
   

  
	
  First 100,000

  	
   

  	
  $

  	
  0.0103

  	
   

  
	
  Next 1,400,000

  	
   

  	
  $

  	
  0.0013

  	
   

  
	
  Next 2,500,000

  	
   

  	
  $

  	
  0.0013

  	
   

  
	
  Additional

  	
   

  	
  $

  	
  0.0052

  	
   

  

 

	
  or

  

 

	
  per gallon

  	
   

  	
   

  	
   

  
	
  First 748,000

  	
   

  	
  $

  	
  0.00183

  	
   

  
	
  Next 10,472,000

  	
   

  	
  $

  	
  0.00138

  	
   

  
	
  Next 18,700,000

  	
   

  	
  $

  	
  0.00017

  	
   

  
	
  Additional

  	
   

  	
  $

  	
  0.00070

  	
   

  

 

 

EXHIBIT
F-4

 

IRE Property Map

 

 

[Property Map]

 

 

EXHIBIT G-1

 

Capacity of the Sanitary Sewer System

 

 

[Rochelle
Municipal Utilities letterhead]

 

20 December 2002

 

Mr. Jeffrey H. Jacob P.E.

Jacob & Hefner Associates,
P.C.

739 Roosevelt Road, Suite 100

Glen Ellyn, IL 60137

 

Dear Mr. Jacob:

 

We have the estimated sewage
flow from the Barth and Casey parcels that you provided us.  The Rochelle Municipal Utility wastewater
treatment plan and the associated lift stations and sanitary sewer lines are of
adequate size to handle the volumes you estimated.

 

If you have any other questions
about RMU sewer services, please contact our office at 562-4155.  We hope we can be of service to you.

 

Sincerely,

 

 

	
  /s/ Ken
  Alberts

  	
   

  
	
   

  
	
  Ken Alberts

  
	
  Director of
  Utilities

  
	
   

  
	
  KDA/jmp

  

 

 

Sewage Flow Calculation

DP Partners

Rochelle, Illinois

12/18/02

 

	
  Assumptions:

  	
   

  	
  15% office
  and 4.5 employees per 1,000 SF of office

  
	
   

  	
   

  	
  1 employee
  per 1,500 SF of warehouse

  
	
   

  	
   

  	
  15 gallons
  per day per person (from IEPA)

  

 

Barth

 

	
  Lot

  	
   

  	
  Total SF

  	
   

  	
  Office SF

  	
   

  	
  Warehouse
  SF

  	
   

  	
  Office

  Employees

  	
   

  	
  Warehouse

  Employees

  	
   

  	
  Total

  Employees

  	
   

  
	
  1

  	
   

  	
  500,000

  	
   

  	
  75000

  	
   

  	
  425,000

  	
   

  	
  338

  	
   

  	
  283

  	
   

  	
  621

  	
   

  
	
  2

  	
   

  	
  500,000

  	
   

  	
  75000

  	
   

  	
  425,000

  	
   

  	
  338

  	
   

  	
  283

  	
   

  	
  621

  	
   

  
	
  3

  	
   

  	
  500,000

  	
   

  	
  75000

  	
   

  	
  425,000

  	
   

  	
  338

  	
   

  	
  283

  	
   

  	
  621

  	
   

  
	
  4

  	
   

  	
  500,000

  	
   

  	
  75000

  	
   

  	
  425,000

  	
   

  	
  338

  	
   

  	
  283

  	
   

  	
  621

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  2,483

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  15

  	
   gpd

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  37,250

  	
   gpd

  

 

Casey

 

	
  Lot

  	
   

  	
  Total SF

  	
   

  	
  Office SF

  	
   

  	
  Warehouse
  SF

  	
   

  	
  Office

  Employees

  	
   

  	
  Warehouse

  Employees

  	
   

  	
  Total

  Employees

  	
   

  
	
  1

  	
   

  	
  500,000

  	
   

  	
  75000

  	
   

  	
  425,000

  	
   

  	
  338

  	
   

  	
  283

  	
   

  	
  621

  	
   

  
	
  2

  	
   

  	
  500,000

  	
   

  	
  75000

  	
   

  	
  425,000

  	
   

  	
  338

  	
   

  	
  283

  	
   

  	
  621

  	
   

  
	
  3

  	
   

  	
  500,000

  	
   

  	
  75000

  	
   

  	
  425,000

  	
   

  	
  338

  	
   

  	
  283

  	
   

  	
  621

  	
   

  
	
  4

  	
   

  	
  500,000

  	
   

  	
  75000

  	
   

  	
  425,000

  	
   

  	
  338

  	
   

  	
  283

  	
   

  	
  621

  	
   

  
	
  5

  	
   

  	
  500,000

  	
   

  	
  75000

  	
   

  	
  425,000

  	
   

  	
  338

  	
   

  	
  283

  	
   

  	
  621

  	
   

  
	
  6

  	
   

  	
  500,000

  	
   

  	
  75000

  	
   

  	
  425,000

  	
   

  	
  338

  	
   

  	
  283

  	
   

  	
  621

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  3,725

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  15

  	
   gpd

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  55,875

  	
   gpd

  

 

SUMMARY

 

	
  Total Employees

  	
   

  	
  6,208

  	
   

  
	
  Total Daily Flow

  	
   

  	
  92,125

  	
   gpd

  
	
  Total P.E.

  	
   

  	
  931

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Peaking Factor

  	
   

  	
  3.16

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Total Peak Flow

  	
   

  	
  204

  	
   gpm

  

 

 

EXHIBIT
G–2.1

 

Sanitary Sewer Extension Plan And
Specification

 

 

[Drawing of Sanitary Sewer Extension Plan and Specifications]

 

 

EXHIBIT G–2.2

 

Cost Breakdown for Sanitary Sewer
Improvements

 

Barth Parcel

 

	
  Item No.

  	
   

  	
  Description

  	
   

  	
  Quantity

  	
   

  	
  Unit

  	
   

  	
  Price

  	
   

  	
  Amount

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Sanitary Sewer

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  1

  	
   

  	
  21-inch
  diameter Sanitary Sewer

  	
   

  	
  1,400

  	
   

  	
  LF

  	
   

  	
  $

  	
  70.00

  	
   

  	
  $

  	
  98,000.00

  	
   

  
	
  2

  	
   

  	
  12-inch
  diameter Sanitary Sewer

  	
   

  	
  1,400

  	
   

  	
  LF

  	
   

  	
  $

  	
  40.00

  	
   

  	
  $

  	
  56,000.00

  	
   

  
	
  3

  	
   

  	
  5-foot
  diameter Manhole

  	
   

  	
  3

  	
   

  	
  Each

  	
   

  	
  $

  	
  3,500.00

  	
   

  	
  $

  	
  10,500.00

  	
   

  
	
  4

  	
   

  	
  4-foot
  diameter Manhole

  	
   

  	
  4

  	
   

  	
  Each

  	
   

  	
  $

  	
  3,000.00

  	
   

  	
  $

  	
  12,000.00

  	
   

  
	
  5

  	
   

  	
  Granular
  Backfill

  	
   

  	
  1,300

  	
   

  	
  CY

  	
   

  	
  $

  	
  17.00

  	
   

  	
  $

  	
  22,100.00

  	
   

  
	
  6

  	
   

  	
  Seeding and
  Fertilizing

  	
   

  	
  2,800

  	
   

  	
  LF

  	
   

  	
  $

  	
  3.00

  	
   

  	
  $

  	
  8,400.00

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Subtotal

  	
   

  	
  $

  	
  207,000.00

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Contingency

  	
   

  	
  $

  	
  20,000.00

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Engineering

  	
   

  	
  $

  	
  30,000.00

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  SANITARY SEWER TOTAL – BARTH

  	
   

  	
  $

  	
  257,000.00

  	
   

  

 

 

Casey Parcel

 

	
  Item No.

  	
   

  	
  Description

  	
   

  	
  Quantity

  	
   

  	
  Unit

  	
   

  	
  Price

  	
   

  	
  Amount

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Water Main

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  1

  	
   

  	
  21-inch
  diameter Sanitary Sewer

  	
   

  	
  2,700

  	
   

  	
  LF

  	
   

  	
  $

  	
  70.00

  	
   

  	
  $

  	
  189,000.00

  	
   

  
	
  2

  	
   

  	
  36-inch
  diameter Steel Casing Pipe

  	
   

  	
  50

  	
   

  	
  LF

  	
   

  	
  $

  	
  400.00

  	
   

  	
  $

  	
  20,000.00

  	
   

  
	
  3

  	
   

  	
  5-foot
  diameter Manhole

  	
   

  	
  6

  	
   

  	
  Each

  	
   

  	
  $

  	
  3,500.00

  	
   

  	
  $

  	
  21,000.00

  	
   

  
	
  4

  	
   

  	
  Granular
  Backfill

  	
   

  	
  1,400

  	
   

  	
  CY

  	
   

  	
  $

  	
  17.00

  	
   

  	
  $

  	
  23,800.00

  	
   

  
	
  5

  	
   

  	
  Seeding and
  Fertilizing

  	
   

  	
  2,700

  	
   

  	
  LF

  	
   

  	
  $

  	
  3.00

  	
   

  	
  $

  	
  8,100.00

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Subtotal

  	
   

  	
  $

  	
  261,900.00

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Contingency

  	
   

  	
  $

  	
  26,100.00

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Engineering

  	
   

  	
  $

  	
  37,000.00

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  WATER MAIN TOTAL – YESAC

  	
   

  	
  $

  	
  325,000.00

  	
   

  

 

 

EXHIBIT
G-3

 

City of Rochelle Sanitary Sewer Connection
Fees

 

PRICE SCHEDULE OF UTILITY CHARGES AND RATES

FOR SANITARY SEWERAGE AND WASTE WATER TREATMENT

(EFFECTIVE JANUARY 1, 2003)

 

Pursuant to Chapter 11.02 of
the City Code, this Price Schedule provides user charges and rates for sanitary
sewerage and wastewater treatment and replaces and supersedes those charges and
rates previously established.

 

SECTION 1:           Residential, Commercial
and Minor Industrial

 

A.            Residential,
commercial, and minor industrial sewage which is primarily domestic in nature
shall be charged the following rates:

 

	
  Rate Component

  	
   

  	
  Residential,
  Commercial. Minor Industrial Customers

  
	
   

  	
   

  	
   

  
	
  Fixed Charge

  	
   

  	
  $ 4.06 per
  month

  
	
  Basic User
  Rate

  	
   

  	
  $ 1.28 per
  100 Cubic Feet (748 Gallons)

  
	
  IEPA
  Replacement

  	
   

  	
  $ 0.12 per
  100 Cubic Feet (748 Gallons)

  
	
  Non-Debt
  Funded Projects

  	
   

  	
  $ 0.26 per
  100 Cubic Feet (748 Gallons)

  
	
  Capital
  Recovery

  	
   

  	
  $ 1.60 per
  100 Cubic Feet (748 Gallons)

  

 

B.            All wastewater
discharged into the city sewerage system shall comply with Rochelle City
Ordinance 2663. Residential, commercial, and minor industrial customers with
wastewater characteristics which exceed domestic sewage characteristics shall
be charged an additional surcharge rate in accordance with Section 3 below.

 

C.            If sewage is shown to
be other than characteristic of normal domestic sewage, it shall be subject to
the charges associated for the entire group and as stated in this Price
Schedule.

 

D.            Residential Summer
Sewer Rates. For the purpose of calculating sewer charges for Residential Class
Water customers during the summer months, not more than 125% of the Customer’ s
Basic Cubic Feet usage shall be used to calculate the volume sewer charge for
monthly billing in July, August, September and October.

 

E.             For the purposes
hereof a Customer’s Base Cubic Feet Usage shall be the cubic feet of water use
during the monthly billing period with an ending meter reading date on or after
June 1 of the billing year. If there is no cubic feet usage during the base
period, the customer base will be 600 cubic feet.

 

 

SECTION 2:           Major Industrial
Customers

 

A.            Major industrial
customers (MIC) are those customers that discharge more than 200,000 gallons of
wastewater per working day in 1990 when construction began on Phase I of the
new wastewater treatment plant. Also included in this class are those customers
currently discharging more than 200,000 gallons of wastewater per working day.
Based upon the concentrations of Biochemical Oxygen Demand (BOD) and Total
Suspended Solids (TSS), the wastewater of some major industrial customers may
require pretreatment at the City of Rochelle wastewater treatment plant.

 

B.            MIC Category I
includes customers with wastewater which is processed through the city owned
and operated pretreatment facility for the purpose of reducing BOD and TSS.

 

C.            MIC Category II
includes customers whose wastewater does not require pretreatment at the city
owned arid operated wastewater plant.

 

D.            The rates of charge
for MIC Category I and II shall be as follows:

 

	
   

  	
   

  	
  MIC Category I

  	
   

  	
  MIC Category II

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Fixed Charge

  	
   

  	
  $4.06/month

  	
   

  	
  $4.06/month

  
	
  Basic User Rate

  	
   

  	
  $1.09/HCF

  	
   

  	
  $0,73/HCF

  
	
  IEPA
  Replacement

  	
   

  	
  $0.22/HCF

  	
   

  	
  $0.13/HCF

  
	
  Non-debt
  Projects

  	
   

  	
  $0.06/HCF

  	
   

  	
  $0.06/HCF

  
	
  Capital
  Recovery

  	
   

  	
  $25,132/month

  	
   

  	
  $11,326/month

  

 

E.             The City of Rochelle
at its discretion may agree to enter into a separate contract for wastewater
pretreatment and/or treatment with a MIC. Any contract entered into shall be
based on the cost of wastewater treatment, capital recovery, and associated
costs of the total wastewater plant and system. If no contract is entered into,
the MIC customer shall be charged in accordance with this Price Schedule.

 

SECTION 3:           Surcharges

 

A.            A surcharge shall be
charged to those users who discharge wastewater into the treatment facilities
with pollutant concentrations in excess of 250 mg/i of Biochemical Oxygen Demand
(BOD) and 300 mg/I of Total Suspended Solids (TSS).

 

B.            The rates of surcharge
for BOD and TSS shall be as follows:

 

	
   

  	
   

  	
  Effective 1/1/03

  	
   

  	
  Effective 5/1/03

  
	
  BOD:

  	
   

  	
  $

  	
  0.13/lb

  	
   

  	
  $

  	
  0.17/lb

  
	
  TSS:

  	
   

  	
  $

  	
  0.18/lb

  	
   

  	
  $

  	
  0.25/lb

  

 

C.            Computation of
Surcharge: The concentration of wastes used for computing surcharges shall be
established by waste sampling. Waste sampling shall be performed as often as
may be deemed necessary by the City and shall be binding as a basis for
surcharges.

 

 

	
  BOD:

  	
   

  	
  Flow (MOD) x B x 8.34 x BC = CS

  
	
  where

  	
   

  	
  B = BOD concentration - 250 mg/1

  
	
   

  	
   

  	
  BC = $0.13/lb BOD OR
  $0.17/lb BOD

  
	
   

  	
   

  	
  CS = Amount of Surcharge

  

 

	
  TSS:

  	
   

  	
  Flow (MGD) x
  S x 8.34 x SC = CS

  
	
  where

  	
   

  	
  S = TSS
  concentration - 300 mg/1

  
	
   

  	
   

  	
  SC =
  $0.18/lb Suspended Solids OR
  $0.25/lb Suspended Solids

  
	
   

  	
   

  	
  CS = Amount
  of Surcharge

  

 

SECTION 4:           Sewer Connection
Charge: The sewer connection charge is based on population equivalents (PE) as
stated by the Illinois Recommended Standards for Sewage Works.

 

	
  A.

  	
   

  	
  Residential

  	
   

  	
  PB

  	
   

  	
  Charge

  
	
   

  	
   

  	
  Single family dwelling

  	
   

  	
  3.5

  	
   

  	
  $

  	
  700

  
	
   

  	
   

  	
  Apartments or multifamily dwelling
  Efficiency or Studio

  	
   

  	
  1.0

  	
   

  	
  $

  	
  200

  
	
   

  	
   

  	
  1 bedroom

  	
   

  	
  1.5

  	
   

  	
  $

  	
  300

  
	
   

  	
   

  	
  2 bedrooms

  	
   

  	
  3.0

  	
   

  	
  $

  	
  600

  
	
   

  	
   

  	
  3 bedrooms

  	
   

  	
  3.0

  	
   

  	
  $

  	
  600

  

 

B.            Commercial

Based on PE
from IEPA connection permit at rate of $200 per PE, but not less than the
single family dwelling charge in effect.

 

C.            Industrial

Based on flow
and PE from IEPA connection permit at rate of $200 per PE, but not less than
the single family dwelling charge in effect. Charges for flow will be based on
impacts the industry has to system.

 

D.            In the event a
commercial or industrial customer is granted an increase in their Illinois
Environmental Protection Agency (IEPA) approved PE then they shall pay a
connection fee equal to the amount of the increased PE.

 

E.             The City Council may
grant an exemption of all or a portion of the sewer connection charge to units
of government.

 

F.             Existing commercial
or industrial customers which construct new connections to the City’s sewer
system would receive a credit in an amount equal to the projected PE reduction
from their previous sewer connection.

 

 

EXHIBIT
H-1

 

Monetary Contributions By

Owners For Road Improvements

 

 

[Site Map and Description of Monetary Contributions]

 

 

EXHIBIT
J.1

 

Rail Plans And Specifications

 

 

[Drawing of Rail Plans and Specifications]Exhibit 10.5

 

RIDER TO DP INDUSTRIAL ANNEXATION AGREEMENT

 

THIS RIDER (this “Rider”) is attached to and made a part of that
certain Annexation Agreement dated of even date herewith (the “Annexation
Agreement”) by and between (i) The City Of Rochelle, an Illinois municipal
corporation (the “City”), (ii) DP Industrial, LLC, a Delaware limited liability
company (“Owner” or “DP Industrial”), (iii) Yesac Farms, L.P., a limited
partnership of Rochelle, Illinois (“Yesac”); (iv) Marie Annette Barth and Joyce
Stocking as Trustees under The Stocking Family Trust No. 4-96 under Trust
Agreement dated June 18, 1996 (collectively, “Barth”); and (v) the Noggle
Family Limited Partnership (“Noggle”)

 

Background

 

A.            The City, DP
Industrial and the Consenting Parties (as defined in the Annexation Agreement)
are entering into the Annexation Agreement relating to the Subject Property
contemporaneously herewith.

 

B.            The City, Illinois
River Energy, LLC, a Delaware limited liability company (“IRE”), Noggle, Henry
A. Knetsch, Jr., as Trustee Under a Certain Trust Agreement Dated July 21,
1988 (“Knetsch”), Carl Pohlad (“Pohlad”) and James D. Carmichael are entering
into an annexation agreement contemporaneously herewith (the “IRE Annexation
Agreement”).  The property subject to
the IRE Annexation Agreement shall be referred to herein as the “IRE Property”
and is more particularly described in the IRE Annexation Agreement.

 

C.            DP Industrial and
IRE have entered that certain Real Estate Exchange Agreement dated as of
April 29, 2003 pursuant to which DP Industrial agreed to transfer to IRE
its interest in an 81.1 acre portion of the Subject Property (the “Exchange
Property”), as described and depicted on Schedule 1-A and Schedule 1-B
attached hereto and made a part hereof, subject to certain

 

Rider to DP Industrial Annexation Agreement,

 

1

 

conditions described in the Exchange Agreement, and IRE agreed to
transfer to DP Industrial its interest in the IRE Property subject to certain
conditions described in the Exchange Agreement.

 

D.            With this Rider the
City, DP Industrial and the Consenting Parties desire to describe the terms and
conditions of the Annexation Agreement that shall be deleted or modified and
the terms and conditions that shall be added to the Annexation Agreement if IRE
or an Affiliate of IRE (as hereinafter defined) acquires the Exchange Property.

 

Terms

 

NOW, THEREFORE, it is hereby agreed by and between the parties hereto,
as follows:

 

I.  MODIFICATIONS TO
ANNEXATION AGREEMENT UPON ACQUISITION OF THE EXCHANGE PROPERTY BY IRE OR AN
AFFILIATE OF IRE.  

 

If IRE
or an Affiliate of IRE acquires the Exchange Property, immediately upon
acquiring the Exchange Property the following modifications to the Annexation
Agreement shall be effective with respect to the Exchange Property without any
further action by the City or any other party to the provisions:

 

1.             References to DP Industrial and IRE.  If IRE or an Affiliate of IRE acquires the
Exchange Property, such entity shall promptly provide the City with notice of
such acquisition.  IRE shall be the
successor-in-interest to DP Industrial with respect to the Exchange Property
and, as such, the provisions of the Annexation Agreement relating to the
Exchange Property shall inure to the benefit of IRE.  As used herein, the term “IRE” shall mean IRE (as defined above)
or the Affiliate of IRE that acquires the Exchange Property, as the case may
be, and any entity or person that is the successor in title to IRE or the
Affiliate of IRE, as the case may be. 
The terms and provisions of this Rider shall not affect any portion of
the Subject Property other than the

 

2

 

Exchange Property. 
Notwithstanding anything to the contrary contained within this
Agreement, nothing contained herein shall be deemed to obligate IRE to assume
DP Industrial’s monetary obligations described in the Annexation Agreement or
this Rider with respect to infrastructure improvements to water, sewer and
electrical facilities and the roads relating to the Exchange Property or the
Subject Property to the extent such costs are the obligations of DP Industrial
as set forth in the Annexation Agreement.

 

2.             Anticipated Development.  IRE anticipates that it will develop the
Exchange Property with an Ethanol Production Facility, or other industrial uses
related to ethanol production, including without limitation, CO2 Purification
and or Bottling, CO2 conversion to dry ice (separately and collectively
hereinafter sometimes referred to as a “CO2 Production Facility”), and any
other ethanol production, co-product or by-product, that becomes commercially
viable in the future (all such uses are collectively referred to herein as an
“Ethanol Production Facility”).  Solely
with respect to the Exchange Property, references in the Annexation Agreement
to DP Industrial’s intended use of the Subject Property for warehousing,
distribution, assembly, and light manufacturing (collectively, an “Industrial
Facility”) and similar references shall be deemed to refer to IRE’s intended
use of the Exchange Property as an Ethanol Production Facility.

 

3.             Zoning Classification.  Subject to Federal and State law, the City
represents and warrants that the I-2 zoning classification will permit the
operation of the Exchange Property for IRE’s anticipated use 24 hours per day,
seven days a week without any time limits or restrictions on such
operations.  The City acknowledges that
the development of the Exchange Property, which is located in a rural part of
the City in Dement Township, will or may, involve the sale or

 

3

 

lease of the Exchange Property, or some part thereof,
from the Consenting Parties to IRE and possibly from IRE to third parties as or
for an Ethanol Production Facility, or other industrial uses related to ethanol
production, including without limitation, CO2 Production Facility and any other
ethanol production, co-product or by-product, that becomes commercially viable
in the future.  The City agrees to
permit any use of the Exchange Property that is permitted within an I-2 zoning
district.  Notwithstanding anything
contained in any City Ordinance or this Rider to the contrary, in order to
expedite the development of a part of the Exchange Property as a CO2 Production
Facility the City agrees that neither a lease of a part of the Exchange
Property for a CO2 Production Facility that is otherwise exempt from
subdivision requirements under the terms of the Illinois Plat Act or other
state law, nor the construction of buildings or improvements on land which is
so leased and which is otherwise exempt from subdivision requirements under the
terms of the Illinois Plat Act or other state law, shall require subdivision
approval from the City of Rochelle, including, without limiting the generality
of the foregoing any subdivision approvals or reviews under Titles 15, 16
and/or 17 of the Rochelle Municipal Code as now enacted, or as hereafter
amended or superseded by any future ordinance, rule or regulation.

 

4.             Development of Exchange Property.

 

(a)           IRE presently intends to
configure the Exchange Property in general conformity with the Preliminary Plan
as shown on Schedule 2 attached hereto and made a part hereof.  References to the “Preliminary Plan” or the
“Plan of Development” in the Annexation Agreement or this Rider shall be deemed
to refer to the Preliminary Plan attached to this Rider as Schedule 2.

 

4

 

(b)           The legend on the Preliminary
Plan has or may have, certain details and specifications for some of the
buildings, equipment and improvements contemplated to be constructed by
IRE.  The City represents and warrants
that the buildings, equipment and improvements to be constructed by IRE as
detailed in the legend on the Preliminary Plan, are permitted under the
provisions of Rochelle Municipal Code including, without limitation, the I-2
zoning district regulations without any special use, conditional permit or
variance being required. 
Notwithstanding anything to the contrary contained within this Rider or
the Annexation Agreement, the City agrees that, pursuant to Title 17 Chapter
17.76 Section 17.76010B, the following items are exempt from the maximum
height limits of the Rochelle Municipal Code and as such no variance is or will
be required: thermal oxidizer; CO2 scrubber stack; grain storage/bins; grain
bin; dryer; feed bin; fermenter; beer well; distillation column and load out
flare.  The City further agrees, that
specific uses, locations and sizes of equipment, buildings and structures on Schedule 2
within the Exchange Property may be changed by IRE, provided that the changes
comply with the I-2 zoning district regulations. The City represents and
warrants that all I-2 zoning district regulations are set forth within Title 17
of the Rochelle Municipal Code and further that true and correct copies of the
current version of said Titles of the Rochelle Municipal Code have been
provided to IRE.  The City further
agrees, notwithstanding anything contained herein or in the Rochelle Municipal
Code to the contrary, that signs, fences, driveways, sidewalks, utilities,
overhead transmission lines, distribution lines and appurtenant facilities,
railroad tracks and appurtenant facilities, belonging to either the IRE or the City
are specifically permitted within the building setback rules or regulations of
the City. The parties understand that the Exchange Property may be developed in
phases, over time, depending on market conditions. The City acknowledges and
agrees that the grading and building permits for

 

5

 

the Ethanol Production Facility improvements which
comply with the two preceding sentences can be obtained without the need for
planned development, special use, conditional use, site plan (except in
conjunction with customary City building permit reviews), appearance review,
subdivision or variation approvals, notwithstanding anything contained in City
ordinances to the contrary, provided that variation approvals shall be required
if relief is sought from the I-2 zoning district regulations.  IRE will, pursuant to the terms of the
Rochelle Municipal Code, submit a landscape improvement plan.  The City agrees not to unreasonably withhold
approval of the landscape improvement plan.

 

(c)           The City agrees to
expeditiously process demolition, grading, building permit and related permits
and approvals respecting the Ethanol Production Facility improvements on the
Exchange Property or which serve the Exchange Property (including without
limitation permits to perform work which are off-site within public highways,
roads and right-of-way) with said approval not to be unreasonably withheld or
unduly delayed, and utilize best efforts to approve the same within ten
business days after the date of application. 
In the event any application for City permits cannot be approved, the
City will state its reasons to IRE in writing within the aforesaid period and
allow IRE to resubmit its applications. 
In the event either Ogle County, the Illinois Department of
Transportation or other governmental entity having any authority in the
particular matter has issued a permit or has advised IRE that no permit is
required, respecting grading, storm-water drainage, storm-water compensatory
storage, storm-water detention retention, and other work and IRE has expended
sums of money in reliance on such permits or advice that no permit is required
at the time the Exchange Property is annexed into the City of Rochelle, work
authorized under the aforesaid County, State or other governmental entity

 

6

 

permits or advice that no permit is required, may
proceed uninterrupted to its conclusion without the need for City permits or
conditional use approvals pertaining to these items.

 

(d)           The City agrees to initiate,
enact and adopt any ordinances and/or issue any permits granting a conditional
use of and for the Exchange Property which shall allow for the use of the
Exchange Property within an I-2 zoning district as an Ethanol Production
Facility, meaning and intending to include all related uses.

 

5.             Roads. 

 

(a)           The City shall
complete the road construction work described in Section 8 of the
Annexation Agreement in accordance with the terms and conditions of the Annexation
Agreement.  Notwithstanding anything to
the contrary contained in the Annexation Agreement or this Rider, subject to
events of Force Majeure as defined in the Annexation agreement, the City shall
cooperate with Ogle County as needed in connection with Ogle County’s road
construction from Hwy. 251 on the west to the south boundary of Ogle County
along Steward Road on or  before
March 1, 2004.

 

(b)           To
the extent permitted by law, except to the extent attributable to the negligent
acts or omissions of IRE, its directors, employees, agents and contractors the
City shall indemnify and hold harmless the Exchange Property and IRE, its and
their successors and assigns, from all claims, suits, threats of suit, loss,
costs (including attorneys fees and costs of suit), injury (including personal
injury), or damage or liens arising from the City’s construction of the roads
described in the Annexation Agreement with City’s performance of its
obligations under this paragraph to survive the expiration or termination of this
Rider.  Prior to commencing any
construction of such roads, the City will cause its general contractor or
contractors to provide

 

7

 

IRE with evidence that there is in place commercially
reasonable insurance respecting the construction of such roads naming IRE as an
additional insured on such general liability policy or policies.  To the extent permitted by law, except to
the extent attributable to the negligent acts or omissions of the City, its
directors, employees, agents and contractors IRE shall indemnify and hold
harmless the City, its successors and assigns, from all claims, suits, threats
of suit, loss, costs (including attorneys fees and costs of suit), injury
(including personal injury), or damage or liens arising from IRE’s construction
of the Ethanol Production Facility with IRE’s performance of its obligations
under this paragraph to survive the expiration or termination of this Rider.
Prior to commencing any construction of the Ethanol Production Facility, IRE
will cause its general contractor or contractors to provide the City with
evidence that there is in place commercially reasonable insurance respecting
the construction of the Ethanol Production Facility naming the City as an
additional insured on such general liability policy or policies.

 

(c)           Notwithstanding
anything to the contrary contained in the Annexation Agreement, if IRE acquires
the Exchange Property, DP Industrial shall continue to be responsible for
paying the costs of the roadway improvements as described in Section 8 of
the Annexation Agreement and IRE shall not be responsible for any such costs.

 

6.             Utilities Specifications.

 

(a)           The City acknowledges that the
specifications relating to Water Facilities, Sewer Facilities and electrical
service described on Exhibits F-1, F-2, G-1, G-2, and I attached to the
Annexation Agreement shall be deemed to be apply to the Exchange Property.

 

(b)           The City shall perform the
work described in the Annexation Agreement relating to the Water Facilities,
the Sewer Facilities and the electrical facilities, and provide the services

 

8

 

relating thereto, in accordance with the Annexation
Agreement and this Rider. To the extent permitted by law, except to the extent
attributable to the negligent acts or omissions of IRE, its directors,
employees, agents and contractors the City shall indemnify and hold harmless
the Exchange Property and IRE, its and their successors and assigns, from all
claims, suits, threats of suit, loss, costs (including attorneys fees and costs
of suit), injury (including personal injury), or damage or liens arising from
the City’s construction of the water and sewer lines (collectively, the
“Utilities System”) and the extension of the electrical service with City’s
performance of its obligations under this paragraph to survive the expiration
or termination of this Rider.  Prior to
commencing any construction of the Utilities System or the extension of the
electrical service, the City will cause its general contractor or contractors
to provide IRE with evidence that there is in place commercially reasonable
insurance respecting the construction of the Utilities System and the extension
of the electrical service naming IRE as an additional insured on such general
liability policy or policies.

 

(c)           The City shall complete the
performance of its obligations to provide utilities under this Rider and the
Annexation Agreement in a manner that does not cause any mechanics liens to be
imposed upon the Exchange Property. 
Once installed by the City provided herein, the City’s charges for
sewer, water, and electrical service to the Exchange Property shall be at least
as favorable as that provided other customers in a similar rate class.  To the extent permitted by law and except to
the extent attributable to the negligent acts or omissions of IRE, its
directors, employees, agents, or contractors, the City shall indemnify and hold
harmless the Exchange Property and IRE, its officers, directors, employees,
agents and its and their successors and assigns, from all claims, suits,
threats of suit, loss, cost (including attorney’s fees and costs of suit),
injury, personal injury, damage or liens arising from the City’s performance of
its

 

9

 

obligations with respect to Utility Systems with said
obligation to survive the expiration or termination of this Rider.  Prior to commencing any construction with
respect to the Exchange Property pursuant to this Section or Sections 6, 7
or 10 of the Annexation Agreement, the City will cause its general contractor
or contractors to provide IRE with evidence that there is in place commercially
reasonable insurance respecting the construction on such general liability policy
or policies.

 

(d)           Once installed by the City at
the City’s cost as provided herein, the City’s charges for sewer, water, and
electrical service to the Exchange Property shall be at least as favorable as
that provided other customers in a similar rate class.

 

(e)           Notwithstanding anything to
the contrary contained in the Annexation Agreement, if IRE acquires the
Exchange Property, DP Industrial shall continue to be responsible for paying
the costs of the installation of the Water Facilities as described in
Section 7 of the Annexation Agreement and IRE shall not be responsible for
any such costs.

 

7.                                       Water Facilities.  

 

(a)           In connection with the City’s
Utilities Systems work described in the Annexation Agreement, the City shall
construct sufficient Water Facilities in order to bring water service to the
Exchange Property sufficient to service the Exchange Property in accordance
with City standards.  The City shall
complete the Water Facilities work described in the Annexation Agreement in
accordance with the following schedule: 
(i) subject to events of Force Majeure (as defined in the Annexation
Agreement) and notwithstanding anything to the contrary contained in the
Annexation Agreement or this Rider the Water Facilities shall be extended,
meaning and intending to include, initiating and completing construction of the
same, to the west boundary of

 

10

 

the Barth Property on or before
December 15, 2003, and (ii) subject to events of Force Majeure (as defined in
the Annexation Agreement), the Water Facilities shall be extended, meaning and
intending to include, initiating and completing construction of the same, to
(A) the east boundary of the Barth Property and (B) the Ogle County line along
the east boundary of the Yesac Property on or before May 1, 2004.  Except for the connection charges set forth
on Exhibit F-3 attached to the Annexation Agreement which shall be in effect
for five years after the annexation of the Exchange Property, IRE shall be
permitted to connect to the water main of the Water Facilities on the Exchange
Property at no charge in locations as IRE selects in its sole discretion,
provided IRE’s improvement plans conform to all applicable City ordinances in
effect as of the date of the Annexation Agreement.

 

(b)           The City represents and
warrants that its water supply, as well as the Water Facilities currently in
place or to be constructed as provided for in the Annexation Agreement, are of
sufficient capacity to serve the current and anticipated development of the
Subject Property in the capacities shown on Exhibit F-1 to the
Annexation Agreement, and shall be available to the Exchange Property for such
anticipated usage, with no cost to IRE other than usual and customary fees,
charges and rates for supply based upon volumes consumed that are of general
applicability in the City.

 

(c)           At the written request of IRE,
the City shall install a second set of Water Facilities (the “Additional Water
Facilities”) integrated with the original Water Facilities for a redundant
supply of water to the Exchange Property. 
The specifications and cost sharing for the Additional Water Facilities
will be mutually agreed by the City and IRE at the time that IRE provides its
request to have the Additional Water Facilities installed by the City.

 

11

 

(d)           Notwithstanding anything to
the contrary contained in the Annexation Agreement, if IRE acquires the
Exchange Property, DP Industrial shall continue to be responsible for paying
the costs of the installation of the Water Facilities as described in
Section 6 of the Annexation Agreement and IRE shall not be responsible for
any such costs.

 

8.                                       Sewer Facilities.  

 

(a)           In connection with the City’s
Utilities Systems work described in the Annexation Agreement, the City shall
construct sufficient Sewer Facilities in order to bring sewer service to the
Exchange Property sufficient to service the Exchange Property for IRE’s
anticipated use and in accordance with City standards.  The
City shall complete the Sewer Facilities work described in the Annexation
Agreement in accordance with the following schedule:  (i) subject to events of Force Majeure (as defined in the
Annexation Agreement) the Sewer Facilities shall be extended, meaning and
intending to include, initiating and completing construction of the same, to
the west boundary of the Barth Property on or before December 15, 2003,
and (ii) subject to events of Force Majeure (as defined in the Annexation
Agreement), the Sewer Facilities shall be extended, meaning and intending to
include, initiating and completing construction of the same, to (A) the
east boundary of the Barth Property and (B) the Ogle County line along the
east boundary of the Yesac Property on or before May 1, 2004.  Except for the connection charges set forth
on Exhibit F-3 attached to the Annexation Agreement and made a part
hereof which shall be in effect for five years after the annexation of the
Exchange Property, IRE shall be permitted to connect to the Sewer Facilities at
no cost in locations that IRE selects in its sole discretion, provided IRE’s
improvement plans conform to all applicable City ordinances in effect as of the
date of the Annexation Agreement.

 

12

 

(b)           The City represents that its
sewer treatment facilities, as well as the improvements to be constructed as
provided for herein, are currently of sufficient capacity to serve the current
and anticipated development of the Exchange Property in the capacities shown on
Exhibit G-1 attached to the Annexation Agreement, with no additional
cost to IRE other than usual and customary fees, charges and rates of general
applicability in the City.

 

(c)           Notwithstanding anything to
the contrary contained in the Annexation Agreement, if IRE acquires the
Exchange Property, DP Industrial shall continue to be responsible for paying
the costs of the installation of the Sewer Facilities as described in
Section 7 of the Annexation Agreement and IRE shall not be responsible for
any such costs.

 

9.                                       Electrical Service Facilities. 

 

(a)           The City shall perform the
electrical service work described in Section 10 of the Annexation
Agreement.  The City shall complete the
electrical service work described in the Annexation Agreement in accordance
with the following schedule:  (i)
subject to events of Force Majeure (as defined in the Annexation Agreement) the
electrical service shall be extended, meaning and intending to include,
initiating and completing construction of the same, to the west boundary of the
Barth Property on or before December 15, 2003, and (ii) subject to events
of Force Majeure (as defined in the Annexation Agreement), the electrical
service shall be extended, meaning and intending to include, initiating and completing
construction of the same, to (A) the east boundary of the Barth Property
and (B) the Ogle County line along the east boundary of the Yesac Property
on or before June  1, 2004.  To the
extent that secondary transformers are needed to provide electrical service to
the Exchange Property or any individual structure on the Exchange Property, the
City shall promptly install such transformers at its sole

 

13

 

expense.  IRE
shall be permitted to connect to the electrical facilities at no cost in
locations that IRE selects in its sole discretion, provided IRE’s improvement
plans conform to all applicable City ordinances in effect as of the date of
this Rider.  The City agrees to
distribute the electrical service throughout the Exchange Property per the
City’s current requirements, and, if requested in writing by IRE and if
technologically feasible and in compliance with applicable law, agrees to bury
the electrical lines on the Exchange Property at  the sole cost of IRE.

 

(b)           The City represents that its
electrical facilities are of sufficient capacity to serve the current and
anticipated development of the Exchange Property as set forth on Schedule 2
attached hereto, and shall be available to the Exchange Property for such
anticipated usage, with no additional cost to IRE other than usual and
customary fees, charges and rates of general applicability in the City.  The City agrees to provide service to the
Exchange Property based on the estimated capacities shown on Exhibit I attached
to the Annexation Agreement as and when such service is needed for the Exchange
Property.  The City agrees that any
electrical rates that are applicable to users similar to IRE with comparable
levels shall also be available to IRE.

 

(c)           The City
agrees that it shall not charge any rates for electricity at the Exchange
Property in excess of the lowest rate that it charges for similar users with
comparable volumes.

 

(d)           Notwithstanding
anything to the contrary contained in this Rider, IRE shall be and remain
responsible for the difference between the cost of an underground electric
distribution line and overhead electric distribution line on the Exchange
Property and the difference between the cost of an underground fibre optic line
and an overhead fibre optic line should IRE elect to install such an
underground distribution line or an underground fibre optic line on the
Exchange Property.

 

14

 

(e)           To the extent
permitted by law, except to the extent attributable to the negligent acts or
omissions of the City, its directors, employees, agents and contractors IRE
shall indemnify and hold harmless the City, its successors and assigns, from
all claims, suits, threats of suit, loss, costs (including attorneys fees and
costs of suit), injury (including personal injury), or damage or liens arising
from IRE’s construction of the Ethanol Production Facility with IRE’s
performance of its obligations under this paragraph to survive the expiration
or termination of this Rider. Prior to commencing any construction of the
Ethanol Production Facility, IRE will cause its general contractor or
contractors to provide the City with evidence that there is in place
commercially reasonable insurance respecting the construction of the Ethanol
Production Facility naming the City as an additional insured on such general
liability policy or policies.

 

(f)            The City
shall complete the performance of its obligations to provide utilities under
this Section in a manner that does not cause any mechanics liens to be
imposed upon the Exchange Property. To the extent permitted by law and except
to the extent attributable to the negligent acts or omissions of IRE, its
directors, employees, agents, or contractors, the City shall indemnify and hold
harmless the Exchange Property and IRE, its officers, directors, employees,
agents and its and their successors and assigns, from all claims, suits,
threats of suit, loss, cost (including attorney’s fees and costs of suit),
injury, personal injury, damage or liens arising from the City’s performance of
its obligations under this Section with said obligation to survive the
expiration or termination of this Rider. Prior to commencing any construction
pursuant to this Section, the City will cause its general contractor or
contractors to provide IRE with evidence that there is in place commercially
reasonable insurance respecting the construction on such general liability
policy or policies.

 

15

 

10.                                 Storm Water Retention / Detention.

 

(a)           IRE shall submit a storm water
management plan to the City in compliance with the proposed City Storm Water
Management Ordinance, which the City envisions adopting on or about
July 14, 2003.  The City represents
that a true and correct copy of the proposed City Storm Water Management
Ordinance has been delivered to IRE. The City agrees that it will promptly
review the Stormwater Management Plan and that its review thereof will not be
unreasonably withheld.   The City agrees
IRE shall not be required to provide for any compensatory storm water storage
by reason of the development of the Exchange Property as contemplated under
this Rider.  The City further agrees
that the IRE may, in the case of fire or other similar emergency, use the storm
water retention/detention as and for a supplemental supply of water.  The City acknowledges that the Exchange
Property shall be permitted to drain into the City/Brossman Right-of-Way and
then into Steward Creek as described in Section 9 of the Annexation
Agreement.  IRE has agreed to contribute
$36,000.00 to the City in connection with the City’s efforts to accomplish
certain regional drainage and offsite detention objectives (the “Detention Contribution”).  Owner shall pay the Detention Contribution
to the City promptly after City’s issuance of a building permit for the
construction of the Ethanol Production Facility.

 

(b)           IRE shall have no obligation
to pay any portion of the Detention Contribution described in Section 9(d)
of the Annexation Agreement and such obligation shall continue to be DP
Industrial’s responsibility.

 

(c)           The City further agrees to
provide for, and maintain, at the City’s sole cost and expense, a reasonably
sufficient lawful storm water retention/detention outlet for the release of
IRE’s storm water retention/detention basins.

 

16

 

11.           Fiber Optic Line Installation.  In connection with the annexation and
development of the Exchange Property, the City shall construct sufficient Fiber
Facilities in accordance with Section 11 of the Annexation Agreement in
order to bring fiber optic service to the Exchange Property sufficient to
service the Exchange Property for its anticipated use and in accordance with
City standards.  In addition, the City,
at it sole cost, shall install the Fiber Facilities on the Exchange Property in
order to distribute such facilities to the improvements on the Exchange
Property.  Subject to events of Force
Majeure (as defined in the Annexation Agreement), the City shall extend, at the
City’s cost, the Fiber Facilities to the Exchange Property on or before
July 1, 2004.  Neither DP
Industrial nor IRE shall be required to contribute to the cost of such extension.  IRE shall be permitted to connect to the
Fiber Facilities at the standard connection fee in locations that IRE select in
its sole discretion, provided IRE’s improvement plans conform to all applicable
City ordinances in effect as of the date of this Rider. 

 

12.           Lead Track.  Section 12 of the Annexation Agreement is hereby deleted in
its entirety and replaced with the following:

 

(a)           Existing Lead Track.   The City of Rochelle owns certain
industrial trackage (the “City Lead Track”) over which railroad cars operate
and which connects to trackage owned and operated by the Burlington
Northern/Santa Fe Railroad Company and the Union Pacific Railroad Company
(“UP”) (collectively the “Connecting Carriers”).

 

(b)           Extension. The City shall, at
the City’s sole cost and expense, construct an extension of the City Lead Track
from its current termination point north of the north right of way line of
Illinois Tollway Authority Interstate Highway 88 within the right-of-way shown
on the Preliminary Plan of Development and/or the Rail Drawings and identified
thereon as “City Lead Track”.  The
initial extension of the City Lead Track will extend south to a point that is
2160 feet south of the north Lee County line (“Phase 1 of the City Lead Track”)
and will be completed, subject to events of Force Majeure, on or before
June 1, 2004.   The second
extension of the City Lead Track will extend to a point that is

 

17

 

2160 feet south of the termination point of Phase 1 of
the City lead Track (“Phase 2 of the City Lead Track”).  The City’s work as to Phase 1 of the City
Lead Track described in this Section shall be described as the “City’s
Rail Work”.  The scope of the City’s
Rail Work is also described on Exhibit “O” attached hereto and made a part
hereof (the “Rail Drawings”).   The City
represents that the City has requested donations of certain rail equipment from
others, including switches.  To the
extent the City receives a sufficient number of switch to install the
switch(es) shown on Exhibit O, the City shall install such switch(es) at IRE’s
request and, in such event, IRE shall pay the City $10,000 per switch plus
reasonable installation costs.  If the
City does not receive a sufficient number of switch(es), or if IRE elects not
to acquire the City’s switch(es), IRE shall be responsible for acquiring the
remaining required switch(es), if any, and upon such acquisition the City shall
install such switch(es), at IRE’s expense. 
Notwithstanding the provisions of the preceding sentence, as part of the
City’s Rail Work the City shall install switch(es) as set forth on the Rail
Drawings provided, however, switch(es) that serve IRE’s trackage shall be
installed by the City at IRE’s expense. Upon completion of plans and
specifications for the City Rail Work, the City shall deliver such plans and
specifications to IRE, for IRE’s review and approval of the switch(es) set
forth therein.  The City agrees not to
impose any fee, tax, assessment or charge of any kind or type as against IRE that
is connected with, or in any way related to: (i) IRE’s right to connect to,
(ii) IRE’s right to use, or (iii) IRE’s use of, the City Lead Track.  The terms of this Article 12 are
expressly made binding upon the successors, assigns and transferees of the City
whether such successors receive their interest in the City Lead Track by sale,
lease, operating agreement or other transfer of any right, title or interest in
or to the City Lead Track.  The City
agrees to execute a recordable memorandum sufficient to give record notice of
the agreements set forth in this Section.

 

(c).          The City and IRE will, or have,
entered into an Industrial Track Agreement, containing customary terms,
provisions and conditions that are reasonably acceptable to IRE (“Rail
Agreement”).  Among other things, the Track
Agreement will permit IRE, its successors and assigns, and their respective
tenants and licensees, to send and receive

 

18

 

rail cars utilizing the City Lead Track.  During the term of this Agreement, so long
as Class 1 railroads continue to absorb the cost of switching fees, the City
shall not charge IRE, its successors and assigns, or their respective tenants
and licensees for such service.  

 

(d)           IRE has represented to the City that
it expects to ship approximately thirteen (13) railroad cars per day over the
City Lead Track upon completion of Phase I of the Ethanol Production Facility,
and approximately twenty-five (25) cars per day upon completion of Phase II of
the Ethanol Production Facility. The City has represented to IRE that the City
receives income from the use of the City Lead Track at the current rate of $42
per car. Accordingly, the parties have projected the anticipated revenue to the
City from IRE’s use of the City Lead Track to be $200,000.00 per year during
Phase I of the Ethanol Production Facility, and an additional similar amount
during Phase II of the Ethanol Production Facility. Until completion of Phase
II of the Ethanol Production Facility, the income to the City resulting from
use of the City Lead Track by the Ethanol Production Facility shall be retained
by the City. After completion of Phase II of the Ethanol Production Facility,
and until the City has recaptured all of its costs for the construction of
Phase 2 of the City Lead Track (including without limitation all indebtedness
and interest thereon) the income to the City resulting from use of the City
Lead Track by the Ethanol Production Facility shall be allocated on a yearly
basis as follows: (i) all income from the first 4589 rail cars used per year
(i.e., 13 cars per day for 353 days) shall be deemed attributable to Phase I of
the Ethanol Production Facility and shall be retained by the City (“Phase 1
Income”); (ii) all additional income from rail cars beyond Phase I Income at
the rate of $42.00 per car, shall be deemed to be attributable to Phase II of
the Ethanol Production Facility and shall be applied to City’s indebtedness for
the construction of Phase 2 of the City Lead Track (“Phase 2 Income”). After
City has recaptured all of its costs for the construction of Phase 2 of the
City Lead Track (including without limitation all indebtedness and interest
thereon) the income to the City resulting from use of the City Lead Track by
the Ethanol Production Facility shall be retained by the City.

 

(e)           In the event IRE decides to build
Phase II of the Ethanol Production Facility the City agrees to take all actions
that are reasonably necessary to design and construct Phase 2 of the City Lead
Track, subject to events of Force Majeure, on or before the date (the
“Construction Date”) that is twelve (12) months after the date IRE both: (i)
gives the City written notice that it

 

19

 

will construct Phase II of the Ethanol Production
Facility; and (ii) deposits with the City One Hundred Thousand Dollars
($100,000.00) (the “Engineering Deposit”). 
The City’s obligation to construct Phase 2 of the City Lead Track
includes, but is not limited to, acquisition of any necessary real estate, the
acquisition of all necessary governmental permits, the development of all
necessary designs and plans for Phase 2 of the City Lead Track (including
bridges) and the physical construction of Phase 2 of the City Lead Track,
including any necessary bridges and switches (collectively the “Construction of
Phase 2 of the City Lead Track”). In the event the City, through no fault of
its own, is unable to obtain all governmental permits or is unable to make such
connections to the Class 1 railroad mainlines as are necessary to construct
Phase 2 of the City Lead Track by the Construction Date, the Construction Date
shall be extended by the amount of time so required to obtain the necessary
governmental permit or permits or the connections to the Class 1 railroad
mainlines.  Upon completion of plans and
specifications for Phase 2 of the City Lead Track, the City shall deliver such
plans and specifications to IRE, and IRE shall have the right to review and
approve the same, with such review and approval not to be unreasonably delayed
or withheld.  Except as hereinafter
expressly provided, the Construction of Phase 2 of the City Lead Track shall be
at the City’s sole cost and expense (the “Phase 2 Costs”).  On the first day of the first full calendar
year following the date the City has completed the Construction of Phase 2 of
the City Lead Track (the “First Year”), and on the same day of each succeeding
calendar year, provided that, that year’s Phase 2 Income is less than Two
Hundred Thousand ($200,000.00) Dollars, IRE agrees to pay to the City the
difference between that year’s Phase 2 Income and Two Hundred Thousand Dollars
($200,000.00) (the “Shortfall”) until the City has recaptured all Phase 2 Costs
less the Engineering Deposit, meaning and intending to include any
indebtedness, and the interest thereon, incurred by the City in the
Construction of Phase 2 of the City Lead Track.   Notwithstanding anything to the contrary contained in the
Annexation Agreement or this Rider, in the event Phase 2 Income exceeds Two
Hundred Thousand Dollars ($200,000.00) during the First Year, and/or any
calendar year thereafter, (the “Excess Income”), the Excess Income shall
accumulate and shall be credited against a future Shortfall, or Shortfalls,
owed by IRE to the City, if any. Notwithstanding anything to the contrary
contained 

 

20

 

in the Annexation Agreement or this Rider, the City
agrees to use and apply the Phase 2 Income, the Shortfall payments and the
Excess Income, if any to the Phase 2 Costs until the Phase 2 Costs are
completely paid.  Notwithstanding
anything to the contrary contained in the Annexation Agreement or this Rider,
the City agrees that the cost of any real estate that may be required for Phase
2 of the City Lead Track shall not be included in the Phase 2 Costs.  In addition, in the event the City extends
the City Lead Track, prior to IRE’s written notice and Engineering Deposit as
set forth herein, for reasons other than Phase II of the Ethanol Production
Facility, IRE shall not have any obligation to pay for all or any part of any
such extension.  Notwithstanding anything to the contrary contained in
the preceding sentence, or this Rider, the Phase 2 Costs shall not include, or
be deemed to include, any costs or expenses that are not necessary and directly
related to the construction of Phase 2 of the City Lead Track for the benefit
of, and the construction of, Phase II of the Ethanol Production Facility.  Notwithstanding anything to the contrary
contained in the Annexation Agreement or this Rider, the City will have no
obligation to commence construction of Phase 2 of the City Lead Track until IRE
has commenced actual construction of Phase II of the Ethanol Production
Facility.

 

(f)            Indemnities; Insurance. The
City shall complete the performance of its obligations to extend the aforesaid
City Rail Line under this Section in a manner that does not cause any
mechanics liens to be imposed upon the Exchange Property. To the extent
permitted by law and except to the extent attributable to the negligent acts or
omissions of IRE, its directors, employees, agents, or contractors, the City
shall indemnify and hold harmless the Exchange Property and IRE, its officers,
directors, employees, agents and its and their successors and assigns, from all
claims, suits, threats of suit, loss, cost (including attorney’s fees and costs
of suit), injury, personal injury, damage or liens arising from the City’s
performance of its obligations under this Section with said obligation to
survive the expiration or termination of the Annexation Agreement.  Prior to commencing any construction
pursuant to this Section, the City will cause its general contractor or
contractors to provide IRE with evidence that there is in place commercially
reasonable insurance respecting the construction on such general liability
policy or policies.  Once extended by
the City at the City’s cost as provided herein, the City’s shall not charge IRE
for any of IRE’s use or uses, from time to time, of the City Rail Line.

 

21

 

13.           Performance of Work.  Section 12(b) of the Annexation
Agreement shall not apply to the Exchange Property and IRE shall not be
entitled to exercise the rights set forth in Section 12(b).

 

14.           Infrastructure.  Except
as expressly set forth in this Rider or in the Annexation Agreement, IRE shall
not be required to construct any on-site or off-site public infrastructure or
perform any other construction, maintenance, repairs, replacements or
alterations in connection with the development and use of the Exchange
Property.  The City represents and
warrants that it has no knowledge of, or reason to know of, any on-site or
off-site City infrastructure improvements or the need for repairs, replacements
or alterations to any City infrastructure improvements which must or should be
made in connection with the development and use of the Exchange Property as
contemplated under this Rider, except as is expressly set forth in this
Rider.  If necessary in conjunction with
the City’s performance of its obligations under this Rider, IRE agrees to
expedite any necessary IRE reviews of proposed City construction activity on or
about IRE’s Property and to waive any IRE-imposed review fees.  In conjunction with the City’s performance
of its obligations under this Rider, the City agrees to improve its
infrastructure, from time to time, so that the City shall maintain an
infrastructure with sufficient capacity to serve the needs of the Ethanol
Production Facility from time to time, including, without limitation, all
infrastructure reasonably necessary so that the City shall be able to provide
sufficient water, sewer, electric and rail service to the Ethanol Production
Facility.  More specifically, the City
agrees that it will maintain or improve its infrastructure, from time to time,
such that the City will at all times, have the capability of supplying not less
than one million two

 

22

 

hundred and fifty eight thousand eight hundred and
fifty (1,258,850) gallons of water per day water, of the same quality that the
City is currently capable of providing, to the Ethanol Production
Facility.  The City also agrees that it
will maintain or improve its City Rail Line, from time to time, such that it
will, at all reasonable times, have the capability of handling IRE’s
contemplated future shipment of 25 railroad cars each day of every calendar
year hereafter without undue delay or undue expense. The terms of the preceding
sentence shall be deemed to include an agreement on the part of the City to
provide a sufficient amount of rail siding and switching capability, from time
to time, such that the City Rail Line can, at all times, be used by IRE for
aforesaid quantity of shipments without undue delay by reason of the use of the
City Rail Line by others whether such use by others now exists or arises in the
future. In no event shall the City’s obligations hereunder require the City to
maintain water capacity in excess of 1,258,850 gallons per day, or rail capacity
in excess of  thirteen (1) railroad cars
per day for Phase I of the Ethanol Production facility and twenty-five (25)
railroad cars per day for Phase II of the Ethanol Production facility.

 

15.           Recapture.  Section 17 of the Annexation Agreement shall not apply to
the Exchange Property and IRE shall not be entitled to (i) any recapture fees
or (ii) exercise any rights set forth in Section 17.

 

16.           Fees.  The City
hereby represents to IRE, based upon the information and drawings provided by
IRE to the City Building official, that Schedule 4, attached hereto
and made a part hereof, consists of a reasonably accurate list of all the
City’s taxes, charges and fees required to be paid by IRE to the City in
connection with the Annexation Agreement, including this Rider, meaning and
intending to include the construction of the Ethanol Production Facility

 

23

 

and the costs thereof.  IRE acknowledges that there are, or may be, fees or other costs
that are required to be paid by IRE to the City in connection with the
construction of the Ethanol Prodcution Facility that are not included in
Schedule 4 and the City represents that it has given IRE schedules of the
major fees or costs.  IRE acknowledges
that there are, or may be fees for certain professionals, including engineering
fees or other consultant fees (“Outside Professionals”), that may be engaged by
the City for reviewing IRE’s plans (including the storm-water management plan)
drawings and specifications that are not listed in Schedule 4 and
that the City will seek reimbursement for the cost thereof from the IRE.
Notwithstanding anything contained to the contrary within this Rider, the City
represents, warrants and agrees that the City has not, and shall not enter into
any agreement with any third party, whereby the Exchange Property, or any part
thereof (meaning and intending to include the Ethanol Production Facility) is
made subject to the terms of any recapture agreement or other instrument
designed to, or including any provisions providing for, the recapture of costs
or expenses relating to any public improvement of any kind or type.  The City further represents and warrants
that the Exchange Property is not, and shall not, be made subject to any City
ordinance, special assessment or other City rule that is designed to, or
includes any provisions providing for, the recapture of costs or expenses
relating to any public improvement of any kind or type.

 

17.           Property Tax Abatement. 
Section 19 of the Annexation Agreement is hereby deleted in its
entirety and replace with the following:

 

“The
City agrees to cause the Exchange Property to enjoy the standard tax abatement
plan provided by the City to other industries which plan is described on Schedule 5,
attached hereto and made a part hereof. 
The City further agrees to work with IRE and utilize its

 

24

 

best efforts to obtain approval of the abatements
described on Schedule 5 from other taxing districts not already a
part of the plan, if any.  The tax
abatement plan shall commence upon the first day of the first full calendar
year following completion of the Ethanol Production Facility and the
commencement of Ethanol Production. The provisions of the preceding sentence are
intended to permit IRE to receive the full benefit of the abatement by
deferring any abatement until the first day of the first calendar year
following completion of the Ethanol Production Facility.”

 

18.           Concurrent Annexation. 
The City represents and warrants that the City is the sole owner of the
real estate described on Schedule 6 attached hereto (the “City
Property”).  Concurrently with the
annexation of the IRE Land (as defined in the Annexation Agreement) the City
agrees to annex the City Property.

 

19.           Conflicts.  In the
event of a conflict between the Annexation Agreement and this Rider, the terms
and provisions of this Rider shall prevail.

 

20.           Full Force and Effect. 
Except as modified by this Rider, the Annexation Agreement shall remain
in full force and effect.

 

21.           Affiliate
of IRE.  As used in this
Rider, an “Affiliate of IRE” shall mean (1) any entity resulting from a merger
or consolidation with IRE or any organization purchasing substantially all of
IRE’s assets, (2) any subsidiary, affiliate or parent of IRE, (3) any entity
controlling, controlled by or under common control with IRE, (4) any entity
related to IRE, and (5) any joint venture partner of IRE.

 

25

 

22.           Recapture.  
Notwithstanding anything to the contrary contained within: (i) the IRE
Annexation Agreement, including any Rider thereto; (ii) the Annexation
Agreement, including this Rider; (iii) any recapture agreement; (iv) or any
statute, ordinance, regulation or other rule of law, neither the City nor DP
Industrial, including, without limitation, their successors, affiliates or
assigns, shall have the right to recapture any costs for any of the real
estate, easements or infrastructure improvements contemplated to be acquired
and/or made under the above mentioned annexation agreements, including, without
limitation, the construction, improvement or extension of water facilities,
sewer facilities, electric, fiber optics, roads or railroad lines from any
current or future owner or lessee of all or any part of the Yesac Property or
the Exchange Property, or the Yesac Property or the Exchange Property
themselves.  The City expressly waives
the provisions of any ordinance or agreement, whether now or hereafter
existing, which gives, or purports to give, the City any right to recapture any
one or more of the costs mentioned in the preceding sentence.

 

23.           Dedication and Easements. 
Simultaneous with IRE’s acquisition of the Exchange Property, IRE shall
dedicate and convey to Ogle County the 40-foot right-of-way described in
Section 8(c) of the Annexation Agreement. 
In addition, simultaneous with IRE’s acquisition of the Subject
Property, IRE shall grant the easements for the Utility Easement Area and the
Construction Easement Area on the Exchange Property, as described in
Section 14(b) of the Annexation Agreement.

 

24.           Contingencies.     Subject
to IRE’s successful completion of its public offering for the sale of stock,
IRE agrees to begin construction of the Ethanol Production Facility on or before
February 1, 2004. Subject to the provisions of Article XXIII of the
IRE Annexation

 

26

 

Agreement, notwithstanding anything to the contrary
contained herein, City’s obligations set forth in this Rider shall be
contingent upon Owner building an Ethanol Facility on the Exchange Property,
with construction of the same commencing on or before February 1, 2004,
failing which IRE or the City may declare this Rider terminated upon written
notice to the other party. Upon termination as set forth in the preceding
sentence, neither party shall have any further obligations to the other party
under this Agreement, except that the following obligations shall survive such
termination: (i) IRE’s obligation to convey and/or dedicate the 40’
right-of-way on Steward Road and (ii) IRE’s obligation to grant the easements
for the Utility Easement Area and the Construction Easement Area on the
Exchange Property as described in Section 23 of this Rider.  Nothing contained in this Section shall
affect the City’s obligations to DP Industrial under the Annexation
Agreement.  

 

II.  MISCELLANEOUS
PROVISIONS

 

The
following terms and provisions shall become effective immediately upon the full
execution and delivery of the Annexation Agreement and this Rider:

 

25.           Third Party Beneficiary.  IRE shall be deemed to be a third party
beneficiary to the Annexation Agreement and this Rider.

 

26.           Amendment.  The Annexation Agreement, this Rider and all exhibits and
schedules attached to the Annexation Agreement and the Rider set forth all the
promises, inducements, agreements, conditions and understandings between the
parties relative to the subject matter thereof, and there are no promises,
inducements, agreements, conditions or understandings, either oral or written,
express or implied, between them other than are herein set forth.  Except as otherwise provided herein, no
subsequent alteration, amendment, change or

 

27

 

addition to the Annexation Agreement or this Rider
shall be binding upon the parties hereto unless authorized in accordance with
law and reduced in writing as signed by them. 
Any amendment to the Annexation Agreement or this Rider shall be subject
to IRE’s review and approval (until the Exchange Agreement terminates, at which
time neither IRE’s review nor approval shall be required).

 

27.           Assignability. 
Prior to the annexation of the Exchange Property to the City, DP
Industrial shall have the right, without the City’s or the Consenting Parties’
approval, to assign all of its obligations, rights and responsibilities under
the Annexation Agreement and this Rider to IRE or an Affiliate of IRE in
connection with an assignment of the purchase option agreements described in
the recitals of the Annexation Agreement.

 

28.           Waiver.  No waiver
of any condition or provision of the Annexation Agreement or this Rider by any
party shall be valid unless in writing signed by such party.  No such waiver shall be deemed or construed
as a waiver of any other or similar provision or of any future event, act, or
default.

 

29.           Computation of Time. 
In the computation of any period of time provided for in the Annexation
Agreement or this Rider or by law, the day of the act or event from which such
period of time runs shall be excluded, and the last day of such period shall be
included, unless it is a Saturday, Sunday, or legal holiday, in which case the
period shall be deemed to run until the end of the next business day.

 

30.           Headings.  Headings
of articles and sections herein are for convenience of reference only and shall
not be construed as part of the Annexation Agreement or this Rider.

 

28

 

31.           Illinois Law.  The
Annexation Agreement and this Rider shall be governed by and construed in
accordance with the laws of the State of Illinois.

 

32.           Fees.  In the event
any dispute arises hereunder, and litigation or arbitration proceedings are
commenced, the prevailing party shall be entitled to recover from the other
party all costs and expenses incurred in connection with such proceedings,
including but not limited to reasonable attorneys’ fees and costs.

 

33.           No Interpretation Against the Drafter.  In no event shall the Annexation Agreement
or this Rider be construed more strongly against any one person solely because
such person or its representative acted as draftsman hereof, it being
acknowledged by the parties hereto that both have been represented by competent
legal counsel, that the Annexation Agreement and this Rider have been subject
to substantial negotiation, and that all parties have contributed substantially
to the preparation of the Annexation Agreement and this Rider.

 

34.           Severability.  If
any provision of the Annexation Agreement or this Rider is held invalid by a
court of competent jurisdiction, or in the event such court shall determine
that the City does not have the power to perform any such provision, such
provision shall be deemed to be excised here from and the invalidity thereof
shall not affect any of the other provisions contained herein, and such
judgment or decree shall relieve the respective party from performance under
such invalid provision of the Annexation Agreement or this Rider.

 

35.           Counterparts.  The
Annexation Agreement and this Rider may be executed in two or more
counterparts, each of which taken together shall constitute one and the same
instrument.

 

29

 

36.           Definitions.   All
terms not defined in this Rider shall have the meanings ascribed to such terms
in the Annexation Agreement.

 

37.           Consenting
Parties.  Notwithstanding
anything to the contrary contained herein, the parties hereto acknowledge and
agree that: (i) the Consenting Parties shall have no obligations whatsoever
with respect to this Rider, and  (ii) no
portion of the Subject Property shall be burdened in any way whatsoever by this
Rider unless and until IRE purchases the Exchange Property at which time the
Exchange Property purchased by IRE shall be subject to the terms and conditions
of this Rider.  

 

[Signature Page Follows]

 

30

 

IN WITNESS WHEREOF, the parties hereto have executed this Rider as of
the date and year of the Annexation Agreement.

 

	
   

  	
  CITY OF ROCHELLE

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   
  /s/ Chet Olson

  
	
   

  	
  Name:

  	
   
  Chet Olson

  
	
   

  	
  Its:

  	
   
  Mayor

  
	
   

  	
  Date:

  	
   
  7-29-03

  
							

 

31

 

	
   

  	
  DP INDUSTRIAL, LLC

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  DP INDUSTRIAL, LLC

  
	
   

  	
  a Delaware limited liability company

  
	
   

  	
   

  
	
   

  	
  By:  DP
  Venture Co. LLC,

  
	
   

  	
  a Delaware limited liability company

  
	
   

  	
  Its:  Manager

  
	
   

  	
   

  
	
   

  	
  By:  DP
  Promote Co. LLC,

  
	
   

  	
  a Delaware limited liability company

  
	
   

  	
  Its: 
  Managing Member

  
	
   

  	
   

  
	
   

  	
  By:

  	
    /s/ Michael
  Dermody

  
	
   

  	
  Name:

  	
  Michael Dermody

  
	
   

  	
  Title:

  	
  Managing Member

  
				

 

32

 

	
   

  	
  YESAC FARMS, L.P.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   
  /s/ Larry F. Casey

  
	
   

  	
  Name:

  	
   
  Larry F. Casey

  
	
   

  	
  Its:

  	
   

  
	
   

  	
  Date:

  	
   
  7-14-03

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   
  /s/ Patricia E. Casey

  
	
   

  	
  Name:

  	
   
  Patricia E. Casey

  
	
   

  	
  Its:

  	
   

  
	
   

  	
  Date:

  	
   
  7-14-03

  
							

 

33

 

	
   

  	
  MARIE BARTH

  
	
   

  	
   

  
	
   

  	
   
  /s/  Marie Barth

  
	
   

  	
   

  
	
   

  	
  Date:

  	
   
  7-14-03

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  JOYCE STOCKING AS TRUSTEES UNDER THE
  STOCKING FAMILY TRUST NO. 4-96 UNDER TRUST AGREEMENT DATED JUNE 18, 1996

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   
  /s/ Joyce Stocking

  
	
   

  	
  Name:

  	
   
  Joyce Stocking

  
	
   

  	
  Its:

  	
   
  Owner & Trustee

  
	
   

  	
  Date:

  	
   
  7-14-03

  
	
   

  	
   

  
	
   

  	
  NOGGLE FAMILY LIMITED PARTNERSHIP

  
	
   

  	
   

  
	
   

  	
  By:

  	
   
  /s/ Robert O. Nogle

  
	
   

  	
  Name:

  	
   

  
	
   

  	
  Its:

  	
   
  General Partner

  
	
   

  	
  Date:

  	
   
  7-29-03

  
	
   

  	
   

  
								

 

34

 

	
  STATE OF

  	
  Illinois

  	
   

  
	
   

  	
   

  	
  SS

  
	
  COUNTY OF

  	
  Ogle

  	
   

  

 

I, the
undersigned, a Notary Public in and for the County and State Aforesaid, do
hereby certify that     Chet Olson   personally known to me to be   
Mayor    of THE CITY OF ROCHELLE, ILLINOIS, and
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 acknowledged
that he signed and delivered such instrument, in his capacity as    Mayor   
of THE CITY OF ROCHELLE, ILLINOIS,
as his free and voluntary act and as the free and voluntary act and deed of
such corporation, for the uses and purposes therein set forth.

 

Given under my
hand and official seal this   29    day of  
July   , 2003.

 

	
   

  	
     /s/
  Alan H. Cooper

  
	
   

  	
  Notary
  Public

  

 

[seal]

 

	
  STATE OF

  	
  Nevada

  	
   

  
	
   

  	
   

  	
  SS

  
	
  COUNTY OF

  	
  Washoe

  	
   

  

 

I, the
undersigned, a Notary Public in and for the County and State Aforesaid, do
hereby certify that   Michael C.
Dermody   personally known to me to be   Managing Member   of DP INDUSTRIAL, LLC,
and 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
acknowledged that he signed and delivered such instrument, in his capacity
as   Managing Member   of such corporation, as his free and
voluntary act and as the free and voluntary act and deed of such corporation,
for the uses and purposes therein set forth.

 

Given under my
hand and official seal this   25th   day of  
July  , 2003.

 

	
   

  	
     /s/ Sharon R. Mills

  
	
   

  	
  Notary
  Public

  

 

[seal]

 

35

 

	
  STATE OF

  	
  Illinois

  	
   

  
	
   

  	
   

  	
  SS

  
	
  COUNTY OF

  	
  Ogle

  	
   

  

 

I, the
undersigned, a Notary Public in and for the County and State Aforesaid, do
hereby certify that LARRY F. CASEY
personally known to me to be partner in YESAC
FARMS, L.P., and 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 acknowledged that he signed and delivered such instrument, in his
capacity as partner of such limited partnership, as his free and voluntary act
and as the free and voluntary act and deed of such limited partnership, for the
uses and purposes therein set forth.

 

Given under my hand and official seal this   14   day of   July  , 2003.

 

	
   

  	
     /s/ Charles P. Cole, Jr.

  
	
   

  	
  Notary
  Public

  

 

[seal]

 

36

 

	
  STATE OF

  	
  Illinois

  	
   

  
	
   

  	
   

  	
  SS

  
	
  COUNTY OF

  	
  Ogle

  	
   

  

 

 

I, the undersigned, a Notary Public in and
for the County and State Aforesaid, do hereby certify that PATRICIA E. CASEY personally known to me to
be partner in YESAC FARMS, L.P.,
and 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
acknowledged that she signed and delivered such instrument, in her capacity as
partner of such limited partnership, as her free and voluntary act and as the
free and voluntary act and deed of such limited partnership, for the uses and
purposes therein set forth.

 

Given under my hand and official seal this   14   day of   July  , 2003.

 

	
   

  	
    
  /s/ Charles P. Cole, Jr.

  
	
   

  	
  Notary
  Public

  

 

[seal]

 

37

 

	
  STATE OF

  	
  Illinois

  	
   

  
	
   

  	
   

  	
  SS

  
	
  COUNTY OF

  	
  Ogle

  	
   

  

 

I, the
undersigned, a Notary Public in and for the County and State Aforesaid, do
hereby certify that JOYCE M. STOCKING
personally known to me to be TRUSTEE UNDER
THE PROVISIONS OF A TRUST AGREEMENT DATED THE 18TH DAY OF JUNE, 1996 AND KNOWN
AS THE STOCKING FAMILY TRUST NO. 4-96, and 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 acknowledged that she signed and
delivered such instrument, in her capacity as Trustee of such Trust, as her
free and voluntary act and as the free and voluntary act and deed of such
Trust, for the uses and purposes therein set forth.

 

Given under my hand and official seal this   14   day of   July  , 2003.

 

	
   

  	
     /s/ Bonnie J. Moore

  
	
   

  	
  Notary
  Public

  

 

[seal]

 

	
  STATE OF

  	
  Illinois

  	
   

  
	
   

  	
   

  	
  SS

  
	
  COUNTY OF

  	
  Ogle

  	
   

  

 

I, the
undersigned, a Notary Public in and for the County and State Aforesaid, do
hereby certify that MARIE ANNETTE BARTH,
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 acknowledged
that she signed and delivered such instrument, as her free and voluntary act,
for the uses and purposes therein set forth.

 

	
   

  	
     /s/ Bonnie J. Moore

  
	
   

  	
  Notary
  Public

  

 

[seal]

 

38

 

	
  STATE OF

  	
  Illinois

  	
   

  
	
   

  	
   

  	
  SS

  
	
  COUNTY OF

  	
  Kane

  	
   

  

 

I, the undersigned,
a Notary Public in and for the County and State Aforesaid, do hereby certify
that   Robert Noggle   is personally known to me to be   General Partner   of THE NOGGLE FAMILY LIMITED
PARTNERSHIP, and 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 acknowledged that he/she signed and delivered such instrument, in
his/her capacity as   General Partner   of THE NOGGLE FAMILY LIMITED
PARTNERSHIP, as his/her free and voluntary act and as the free and
voluntary act and deed of THE NOGGLE FAMILY
LIMITED PARTNERSHIP, for the uses and purposes therein set forth.

 

	
   

  	
      /s/ David E. Do

  
	
   

  	
  Notary
  Public

  

 

[seal]

 

39

 

Schedules to Rider

 

Schedule 1-A:       Description
of Exchange Property

 

Schedule 1-B:        Depiction
of Exchange Property

 

Schedule 2:            Preliminary
Plan

 

Schedule 3:            Rail
Drawings

 

Schedule 4:            Fees

 

Schedule 5:            Property
Tax Abatement

 

Schedule 6:            City
Property

 

40

 

SCHEDULE 1-A:  DESCRIPTION OF EXCHANGE PROPERTY

 

THAT PART OF THE SOUTHEAST QUARTER OF SECTION 31 AND PART OF THE
SOUTHWEST QUARTER OF SECTION 32 , ALL IN TOWNSHIP 40 NORTH, RANGE 2 EAST
OF THE THIRD PRINCIPAL MERIDIAN, COUNTY OF OGLE, ILLINOIS, DESCRIBED AS
FOLLOWS:

 

COMMENCING AT THE SOUTHEAST CORNER OF THE SOUTHWEST QUARTER OF SAID
SECTION 32;

THENCE SOUTH 88 DEGREES 31 MINUTES 33 SECONDS WEST ALONG THE SOUTH LINE OF SAID
SOUTHWEST QUARTER, 40.00 FEET TO A LINE 40.00 FEET WEST OF AND PARALLEL WITH
THE EAST LINE OF SAID SOUTHWEST QUARTER TO THE POINT OF BEGINNING;

THENCE CONTINUING SOUTH 88 DEGREES 31 MINUTES 33 SECONDS WEST ALONG THE SOUTH
LINE OF SAID SOUTHWEST QUARTER, 2,612.09 FEET TO THE SOUTHEAST CORNER OF SAID
SOUTHEAST QUARTER OF SECTION 31;

THENCE SOUTH 88 DEGREES 19 MINUTES 19 SECONDS WEST ALONG THE SOUTH LINE OF SAID
SOUTHEAST QUARTER, 164.71 FEET TO A LINE 100.00 FEET EAST OF AND PARALLEL WITH
THE EASTERLY RIGHT OF WAY LINE OF BURLINGTON NORTHERN RAILROAD;

THENCE NORTH 16 DEGREES 46 MINUTES 55 SECONDS WEST ALONG SAID LINE, 523.21
FEET;

THENCE NORTH 10 DEGREES 58 MINUTES 44 SECONDS WEST, 79.90 FEET TO A POINT ON
CURVE;

THENCE NORTHEASTERLY, 854.97 FEET ALONG A NON-TANGENTIAL CURVE CONCAVE
SOUTHEASTERLY, HAVING A RADIUS OF 580.00 FEET, CHORD DISTANCE OF 779.64 FEET,
AND BEARING NORTH 31 DEGREES 12 MINUTES 34 SECONDS EAST;

THENCE NORTH 88 DEGREES 31 MINUTES 13 SECONDS EAST, 2,512.34 FEET TO A LINE 40
FEET WEST OF A PARALLEL WITH THE EAST LINE OF SAID SOUTHWEST QUARTER OF
SECTION 32;

THENCE SOUTH 01 DEGREES 13 MINUTES 52 SECONDS ALONG SAID EAST OF SOUTHWEST
QUARTER, 1,239.32 FEET TO SAID POINT OF BEGINNING, CONTAINING 3,532,165 SQUARE
FEET OR 81.087 ACRES MORE OR LESS.

 

 

SCHEDULE 1-B: DEPICTION OF EXCHANGE PROPERTY

 

[Depiction of Exchange Property]

 

 

SCHEDULE 2:      PRELIMINARY PLAN

 

[Diagram of Ethanol Plant]

 

 

SCHEDULE 3:      RAIL DRAWINGS

 

[Rail Drawings]

 

 

SCHEDULE 4:      FEES

 

 

GreenWay Consulting, LLC

Confidential

 

	
   

  	
   

  	
  SCHEDULE 4

  	
   

  
	
   

  	
   

  	
  IRE Preliminary Permit Fee
  Calculations

  	
   

  
	
  Building

  	
   

  	
  Type

  	
   

  	
  Length

  	
   

  	
  Width

  	
   

  	
  Height

  	
   

  	
  Sq.Ft.

  	
   

  	
  Cu.Ft.

  	
   

  	
  B & F

  Plan

  Review

  	
   

  	
  B & F

  Fire

  Sprinkler

  	
   

  	
  New

  Structures

  	
   

  	
  Plumbing,

  HVAC &

  Electrical

  	
   

  	
  Occupancy

  Permit

  	
   

  	
  Totals

  w/

  B & F

  	
   

  
	
  Administration

  	
   

  	
  Stick-Built

  	
   

  	
  40

  	
   

  	
  80

  	
   

  	
  10

  	
   

  	
  3,200

  	
   

  	
  32,000

  	
   

  	
  $

  	
  325

  	
   

  	
  $

  	
  325

  	
   

  	
  $

  	
  288

  	
   

  	
  $

  	
  192

  	
   

  	
  $

  	
  75

  	
   

  	
  $

  	
  1,205

  	
   

  
	
  DDGS

  	
   

  	
  Pre-Engineered

  	
   

  	
  150

  	
   

  	
  150

  	
   

  	
  24

  	
   

  	
  22,500

  	
   

  	
  540,000

  	
   

  	
  $

  	
  1,056

  	
   

  	
  $

  	
  562

  	
   

  	
  $

  	
  1,325

  	
   

  	
  $

  	
  450

  	
   

  	
  $

  	
  75

  	
   

  	
  $

  	
  3,468

  	
   

  
	
  Distillation

  	
   

  	
  Structural
  - w/ PEB siding & roofing

  	
   

  	
  50

  	
   

  	
  60

  	
   

  	
  41

  	
   

  	
  3,000

  	
   

  	
  123,000

  	
   

  	
  $

  	
  585

  	
   

  	
  $

  	
  362

  	
   

  	
  $

  	
  270

  	
   

  	
  $

  	
  180

  	
   

  	
  $

  	
  75

  	
   

  	
  $

  	
  1,472

  	
   

  
	
  Energy Center

  	
   

  	
  Structural - w/ PEB siding
  & roofing

  	
   

  	
  350

  	
   

  	
  400

  	
   

  	
  50

  	
   

  	
  140,000

  	
   

  	
  7,000,000

  	
   

  	
  $

  	
  6,224

  	
   

  	
  $

  	
  1,500

  	
   

  	
  $

  	
  7,200

  	
   

  	
  $

  	
  7,200

  	
   

  	
  $

  	
  75

  	
   

  	
  $

  	
  22,199

  	
   

  
	
  Fermentation

  	
   

  	
  Structural
  - w/ PEB siding & roofing

  	
   

  	
  45

  	
   

  	
  100

  	
   

  	
  26

  	
   

  	
  4,500

  	
   

  	
  117,000

  	
   

  	
  $

  	
  585

  	
   

  	
  $

  	
  362

  	
   

  	
  $

  	
  405

  	
   

  	
  $

  	
  270

  	
   

  	
  $

  	
  75

  	
   

  	
  $

  	
  1,697

  	
   

  
	
  Process Bldg 1

  	
   

  	
  Structural
  - w/ PEB siding & roofing

  	
   

  	
  20

  	
   

  	
  80

  	
   

  	
  21

  	
   

  	
  1,600

  	
   

  	
  33,600

  	
   

  	
  $

  	
  325

  	
   

  	
  $

  	
  362

  	
   

  	
  $

  	
  144

  	
   

  	
  $

  	
  96

  	
   

  	
  $

  	
  75

  	
   

  	
  $

  	
  1,002

  	
   

  
	
  Process Bldg 2

  	
   

  	
  Structural
  - w/ PEB siding & roofing

  	
   

  	
  60

  	
   

  	
  170

  	
   

  	
  30

  	
   

  	
  10,200

  	
   

  	
  306,000

  	
   

  	
  $

  	
  869

  	
   

  	
  $

  	
  362

  	
   

  	
  $

  	
  710

  	
   

  	
  $

  	
  612

  	
   

  	
  $

  	
  75

  	
   

  	
  $

  	
  2,628

  	
   

  
	
  Warehouse

  	
   

  	
  Pre-Engineered

  	
   

  	
  100

  	
   

  	
  60

  	
   

  	
  24

  	
   

  	
  6,000

  	
   

  	
  144,000

  	
   

  	
  $

  	
  585

  	
   

  	
  $

  	
  585

  	
   

  	
  $

  	
  500

  	
   

  	
  $

  	
  360

  	
   

  	
  $

  	
  75

  	
   

  	
  $

  	
  2,105

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  191,000

  	
   

  	
  8,295,600

  	
   

  	
  $

  	
  10,554

  	
   

  	
  $

  	
  4,420

  	
   

  	
  $

  	
  10,842

  	
   

  	
  $

  	
  9,360

  	
   

  	
  $

  	
  600

  	
   

  	
  $

  	
  35,776

  	
   

  
	
  MISCELLANEOUS FEES

  	
   

  	
  BASIS

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Site Plan Review

  	
   

  	
  40
  Acres

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  $

  	
  275

  	
   

  
	
  Fencing

  	
   

  	
  3500
  LF

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  $

  	
  250

  	
   

  
	
  Hard Surface

  	
   

  	
  200,000
  SF

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  $

  	
  2,000

  	
   

  
	
  Tank Farm - Tank Fee

  	
   

  	
  7
  Tanks @ $75

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  $

  	
  525

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  $

  	
  38,826

  	
   

  

 

These preliminary numbers do
not include the cost of out sourcing some construction/engineering review to
Envirogen

 

 

SCHEDULE 5:      PROPERTY TAX ABATEMENT

 

Rochelle Real Estate Tax Abatement program

 

Industrial projects in the Rochelle area that create jobs qualify for
real estate tax abatement in the amount of 90% year 1 and 75% year 2.  The abatement process must adhere to state
law and the pre-approval ordinances of the various taxing bodies.

 

1.                                       To qualify a
business must be newly created, an expansion of an existing industry, or moving
to Rochelle from another State or Foreign Country.  A business moving from another location within Illinois does not
qualify.

 

2.                                       The project must
be located in an industrial zoned location and must create at least 10 jobs.

 

3.                                       The business
must be in operation the year previous to qualifying for the abatement so the
abatement will be applied to a full assessment.

 

4.                                       The abatement
may be applied to later expansions and it only applies to any increased
assessed valuation resulting from the expansion.

 

5.                                       The abatement
applies to business that creates the jobs. 
An industry that locates in a leased facility must receive the abatement
benefits through the lease since the abatement is applied to the real estate
taxes.

 

6.                                       All taxing
bodies in the area have pre-approved the abatement, assuming all of the above
requirements are met, except Ogle County and Kishwaukee Community College.  GREDCO must make a formal request to Ogle
County and Kishwaukee Community College for their final approval.

 

7.                                       The Greater
Rochelle Economic Development Corp. (GREDCO) board must approve all projects
for abatement but have the authority to authorize the County Clerk to abate the
taxes if the above guidelines are met.

 

 

 

SCHEDULE 6:  CITY PROPERTY

 

LEGAL DESCRIPTION OF THE CITY PROPERTY

 

PART OF THE SOUTHEAST QUARTER OF SECTION 31, TOWNSHIP 40 NORTH,
RANGE 2 EAST OF THE THIRD PRINCIPAL MERIDIAN BOUNDED AND DESCRIBED AS FOLLOWS:

COMMENCING AT THE NORTHEAST CORNER OF THE SOUTHEAST QUARTER OF SAID
SECTION 31; THENCE SOUTH 88 DEGREES 41 MINUTES 37 SECONDS WEST ALONG THE
NORTH LINE OF SAID SOUTHEAST QUARTER, A DISTANCE OF 891.14 FEET TO THE POINT OF
BEGINNING OF THE HEREINAFTER DESCRIBED TRACT OF LAND; THENCE SOUTH 16 DEGREES
21 MINUTES 46 SECONDS EAST PARALLEL WITH THE EASTERLY RIGHT-OF-WAY LINE OF THE
BURLINGTON NORTHERN RAILROAD, A DISTANCE OF 2745.32 FEET TO THE SOUTH LINE OF
THE SAID SOUTHEAST QUARTER; THENCE SOUTH 88 DEGREES 43 MINUTES 25 SECONDS WEST
ALONG SAID SOUTH LINE, A DISTANCE OF 103.57 FEET TO THE EASTERLY RIGHT-OF-WAY
LINE OF SAID BURLINGTON NORTHERN RAILROAD; THENCE NORTH 16 DEGREES 21 MINUTES
46 SECONDS WEST ALONG SAID EASTERLY RIGHT-OF-WAY LINE, A DISTANCE OF 2697.35
FEET TO THE BEGINNING OF A SPIRAL CURVE; THENCE NORTH 16 DEGREES 40 MINUTES 21
SECONDS WEST ALONG THE CHORD TO THE SAID SPIRAL CURVE, A DISTANCE OF 47.98 FEET
TO THE NORTH LINE OF SAID SOUTHEAST QUARTER; THENCE NORTH 88 DEGREES 41 MINUTES
37 SECONDS EAST ALONG SAID NORTH LINE, A DISTANCE OF 103.82 FEET TO THE POINT
OF BEGINNING, CONTAINING 6.302 ACRES, MORE OR LESS, ALL SITUATED IN THE
TOWNSHIP OF DEMENT, THE COUNTY OF OGLE AND THE STATE OF ILLINOIS.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00058-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00058-of-00352.parquet"}]]