20C - AA AMEND AGMT CARIBOU INDUSTRIES

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Amended and Restated ENA with Caribou January 16, 2018 Page 3 The next step in the process will be to prepare and present a Disposition and Development Agreement (DDA) with more detailed business terms to City Council for consideration in mid - 2018. The DDA will further describe the terms of the transaction, including a schedule of completion with milestones for the developer to achieve. The City will not convey the site until the developer has met all obligations defined in the DDA, obtained all approved permits and entitlements, and provided proof of financing for construction of the project. Reimbursement Agreement In April 2017, the City entered into a reimbursement agreement with Caribou Industries for costs associated with the negotiation and execution of a DDA, such as expenses for engineers, architects, financial consultants, legal, planning and other consultants and contractors retained by the City. Staff is proposing to increase the maximum reimbursement from $50,000 to $100,000. STRATEGIC PLAN ALIGNMENT Approval of this item allows the City to meet Goal #3 (Economic Development), Objective #5 (Leverage private investment that results in tax base expansion and job creation citywide), Strategy A (Identify and market underutilized properties for new development that will create new jobs and expand the City's tax base). FISCAL IMPACT Caribou Industries agreed to reimburse the City for all eligible expenses incurred related to the original exclusive negotiation agreement and a reimbursement agreement was executed in April 2017. Caribou agreed to reimburse the City up to $50,000 for consulting services related to this project, such as those provided by Lisa Stipkovich and Kosmont Companies. The City has and will pay both consultants for services provided from the Economic Development, Contract Services account (no. 01118810-62300). Approval of the appropriation adjustment and the amended reimbursement agreement will recognize $100,000 in the Miscellaneous Revenue Expense Reimbursement account (no. 01102002-57000) and appropriate the same amount to the Community Development Agency's Economic Development Contract Services expenditure account (no. 01118810-62300) in FY 2017-18. Robert M. Zur Scl mi dkj Interim Executive DtKector Community Development Agency APPRO ED AS TO FUNDS AND ACCOUNTS: Francisco Gutierrez po Executive Director Finance and Management Services Agency Exhibit: 1. Amended and Restated ENA 2. Amended Reimbursement Agreement with Caribou 20C-3