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Home My WebLink AboutRESOLUTION - 40-98 - 9/8/1998 - ACCEPT LOC SPRUCE MEADOW SUBRESOLUTION NO. 40-98 A RESOLUTION ACCEPTING IRREVOCABLE STANDBY LETTER OF CREDIT NO. 1291 FROM HARRIS BANK, PALATINE IL., IN THE AMOUNT OF $240,544.93 EXPIRING AUGUST 12, 1999 AND ACCEPTING A FIRST AMENDMENT TO LETTER OF CREDIT NUMBER 1291 (SPRUCE MEADOW NOW, THEREFORE, BE IT RESOLVED by the President and Board of Trustees of the Village of Elk Grove Village, Counties of Cook and DuPage, State of Illinois: Section 1: That the President and Board of Trustees do hereby authorize acceptance of Irrevocable Standby Letter of Credit No. 1291, dated August 12, 1998 from Harris Bank, Palatine Illinois in the amount of $240,544.93 and acceptance of the First Amendment to Letter of Credit Number 1291 which corrects the completion date on page 2 from August 12, 1998 to August 12, 1999. Said Letter of Credit expiring August 12, 1999. Section 2: That this Resolution shall be in full force and effect from and after its passage and approval according to law. VOTE: AYES: 6 NAYS: 0 ABSENT: 0 PASSED this 8th day of September , 1998. APPROVED this 8th day of September , 1998. Patricia S. Smith Village Clerk g/LOC61.doc Craig B. Johnson Village President Harris Bank 50 Nc .rockway Street ,anking Offices Serving Palatine PO. Box 39 Rolling Meadows. Palatine: Schaumburg Palatine, Illinois 60078-0039 Plum Grove Rd. at Euclid 800 E Northwest Hwy. 1051 Perimetor Dr. (847) 359-1070 2 Continental Towers 501 Hicks Rd. 425 Martingale Dr. Smith and Colfax 60173 HARRIS BANK_ PALATINE IRREVOCABLE STANDBY LETTER OF CREDIT NO. 1291 Beneficiary: Village of Elk Grove Village 901 Wellington Avenue Elk Grove Village, Illinois 60007 Completion Guaranty Letter of Credit No. 1291 Date: 8/12/98 Amount: $240,544.93 Completion Date: 8/12/99 Expiration Date: 8/12/99 Gentlemen: We hereby establish our Irrevocable Straight Letter of Credit in your favor for the account of Winterhaven, hereafter called the "Developer", in the aggregate amount of $240,544.93, U.S. Currency, available by your draft drawn on sight and marked "Drawn under Letter of Credit No. 1291 dated August 12, 1998. These monies are to guarantee the completion of public improvements for the following project: Spruce Meadows described in the engineering plans and specifications with revisions dated June 5, 1998, prepared by JKL Engineering, approved on June 5, 1998, and agreements (including any amendments thereof) on the property legally described in Exhibit A (attached hereto and made part thereof). Monies may be drawn on sight by the Village of Elk Grove Village when accompanied by the following document: A signed statement by the Village Manager or any other duly authorized official of the Village of Elk Grove Village certifying that any portion of the site improvements has not been satisfactorily completed in accordance with the approved plans and specifications with revisions dated June 5, 1998, prepared by JKL Engineering, approved on June 5, 1998 and agreements (including any amendments thereof) for the following project: Spruce Meadows The improvements in the above described project consist of: Watermain and Appurtenances Sanitary Sewer and Appurtenances _ Storm Sewer and Appurtenances Roadway (Curb & Gutter, Pavement) Sidewalk _ Street Lights _ Parkway (Trees, etc.) _ Traffic Control (Signals, Signs, Markings) _ Excavation (Soil Erosion Control, Stockpile) Wholly owned subsidiary of Harris Bankmont, Inc. Harris Bank Palatine These improvements itemized above shall be completed on or before August 12, 1998. If said improvements have not been properly installed and satisfactorily completed on or before that date as reasonably determined by the Village Engineer,then the Village of Elk Grove Village (the "Village") is hereby granted authority to draw upon this Irrevocable Letter of Credit for the purpose of completing fully said improvements in accordance with the provisions herein and above set forth. The principle amount of this Irrevocable Letter of Credit shall not be reduced for any public improvements installed or completed unless such reduction is approved by the Village Engineer in writing with supporting waivers, liens and affidavits from contractors or subcontractors furnishing material or performing work to complete these improvements. And then only in the exact amount of such payments less 10% for interim maintenance. This remaining amount shall never be reduced to an amount less than 110% of the estimated costs to complete the remaining public improvements plus 10% of the cost of the completed public improvements as a guarantee for maintenance purposes. The Village may submit its sight drafts as herein above provided without the consent of Winterhaven, Inc. or any other party. Partial drawings are permitted under this Irrevocable Letter of Credit. Said drafts may be submitted for payment for a ninety (90) day period following the completion date of this Irrevocable Letter of Credit and said draft shall be duly honored upon presentation during the ninety (90) days in accordance with the terms and provisions herein contained. We hereby certify and affirm that within thirty (30) days of the date of any demand (made in conformity with this Irrevocable Letter of Credit) we will honor same. We understand that attorney's fees, court costs and other reasonable expenses incurred by the Village of Elk Grove Village in enforcing the terms of this Irrevocable Letter of Credit may be reimbursible. The amount of each draft must be endorsed on the reverse side of the original Irrevocable Later of Credit by the Village Engineer and attested by the Clerk. This Irrevocable Letter of Credit shall be utilized to secure the installation of all improvements required under the Municipal Code of the Village of Elk Grove Village and specified on the engineering drawings and in the specifications and agreements. This Irrevocable Letter of Credit shall not operate as a limitation upon the obligation of Winterhaven, Inc. to properly completely install all improvements required by the Village of Elk Grove Village. It is a condition of this Irrevocable Letter of Credit that it shall be automatically extended for one year from the present expiration date hereof unless thirty (30) days prior to such expiration date the Village Manager shall notify the undersigned in writing, certified mail, return receipt requested that he or she, based upon the advice and supporting documentation from the Village Engineer that he or she elect not to arbitrarily request renewal of this Irrevocable Letter of Credit for such additional one (1) year period without due cause. The undersigned shall notify the Village Manager, by certified mail, return receipt requested, at least ninety (90) days prior to said expiration date that said Irrevocable Letter of Credit is about to expire. It is expressly agreed by the undersigned that the expiration date shall be automatically extended as shall be required to comply with this notice provision and the requirements stated previously. This Irrevocable Letter of Credit is subject to the "Uniform Customs and Practice for Document Credit" the International Chamber of Commerce Publication #290, most recent revision. H ris B Palatin , j.A. By: Mary An Flynn Senior Vice President Wholly owned subsidiary of Harris Bankmont, Inc. Ja nJ. n Assistant Vice President EXHIBIT A LOTS 1 THROUGH 9 INCLUSIVE AND OUTLOT 10 IN SPRUCE MEADOW SUBDIVISION, BEING A SUBDIVISION OF PART OF THE EAST HALF OF THE SOUTHEAST QUARTER OF SECTION 29, TOWNSHIP 41 NORTH, RANGE 11, EAST OF THE THIRD PRINCIPAL MERIDIAN, ACCORDING TO THE PLAT THEREOF RECORDED APRIL 28, 1995 AS DOCUMENT 95282215, IN COOK COUNTY, IL. Harris Bank Palatine Developer/Owner "The undersigned hereby acknowledges the absolute right of the Village of Elk Grove Village to draw on this Irrevocable Letter of Credit subject to the conditions herein set forth and waives any right to enjoin the Villagefrom so proceeding" Date: / � 3 / y / Winterhaven, Inc.: (1) Geo K as Presid It (Z) obert Kolos ski Secretary Villaae Officials Approval/Acceptance Resolution: 40-98 Village President 9/8/98 (Title) (Date) Village Officials Release (Title) (Date) Wholly owned subsidiary of Harris Bankmont, Inc. Resolution: Harris Bank 50 Norockway Street Palatine P.O. Box 39 Palatine, Illinois 60078-0039 (847)359-1070 Rolling Meadows: Plum Grove Rd. at Euclid 2 Continental Towers anking Offices Serving Palatine. Schaumburg: 800 E. Northwest Hwy. 1051 Perimeter Dr. 501 Hicks Rd. 425 Martingale Dr. Smith and Colfax 60173 f"`L HARRIS RECEIVED (A BANK AUG 2 5 1998 LAS PALATINE ELK Glduve viLtHGc August 14, 1998 FINANCE DEPARTMENT FIRST AMENDMENT TO IRREVOCABLE LETTER OF CREDIT NO. 1291 Beneficiary: Village of Elk Grove Village 901 Wellington Avenue Elk Grove Village, Illinois 60007 Completion Guaranty Letter of Credit No. 1291 Date: 8/12/98 Amount: $240,544.93 Completion Date: 8/12/99 Expiration Date: 8/12/99 This is to amend the Irrevocable Letter of Credit No. 1291. The letter should read as follows: These improvements itemized above shall be completed on or before August 12, 1999. iris k Palati e, .A. By: Mary A Flynn Senior Vice President Wholly owned subsidiary of Harris Bankmont, Inc. r:;,_� , e �7 I Callplr