Laserfiche WebLink
C. Termination of Incentive Payments. Incentive Payments shall <br />terminate, and the Operating Covenant Agreement shall so provide, <br />upon the expiration of the applicable Operating Period, or at such <br />time as the Hotel ceases to operate as a four to five star rated or <br />AAA Four Diamond or above Hotel for reasons other than <br />Temporary Closure; provided that the Incentive Payments shall <br />terminate upon any closure unless the Owner notifies the City, in <br />writing, of any Temporary Closure within ten (10) days of the initial <br />occurrence of the onset of such condition or conditions that cause <br />such a Temporary Closure. <br />5. Labor Peace Agreement. For each Hotel covered by this Hotel <br />Development Incentive Program in which the City participates financially <br />and has a proprietary interest, the City shall require that the Hotel Owner <br />or Operator execute a Labor Peace Agreement with any labor union that <br />represents or seeks to represent employees of the Hotel, both during <br />construction and operation of the Hotel. The City shall be deemed to <br />participate financially and have proprietary interest in the Hotel project <br />where the City both owns the site on which the Hotel is proposed, and the <br />City Council determines that the City: <br />a. Through a lease of the real property that is owned by the City and <br />used for the Hotel project, receives ongoing revenue, excluding <br />government fees, tax revenue, or assessment revenue, or similar <br />fees and revenues, except for tax revenue under the circumstances <br />specified in paragraphs (b) and (c) of this subsection; <br />b. Receives ongoing revenue from the Hotel to repay loans provided <br />by the City to assist the Hotel, including, without limitation, <br />incremental tax revenues generated by the Hotel; <br />c. Receives ongoing revenue from the Hotel to pay debt service on <br />bonds provided by the City to assist the Hotel, including, without <br />limitation, incremental tax revenues generated by the Hotel; <br />d. Has significant assets at risk because it has agreed to underwrite or <br />guarantee the development of the Hotel or loans related to the <br />Hotel; or <br />e. Has a significant ongoing economic and non - regulatory interest at <br />risk in the financial success of the Hotel that is likely to be <br />adversely affected by labor- management conflict. <br />When a Labor Peace Agreement is required, evidence shall be presented <br />to the City that the Owner or Operator has entered into a Labor Peace <br />Agreement with any labor union that represents or seeks to represent <br />Resolution No. 2016 -034 <br />Page 7 of 9 <br />