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HomeMy WebLinkAboutRESOLUTION - 31-86 - 4/22/1986 - LOC ACCEPT/BONDIOLIRESOLUTION NO. 31-86 A RESOLUTION ACCEPTING AN IRREVOCABLE STANDBY LETTER OF CREDIT FROM THE BANK OF ELK GROVE, NO. 32375, IN THE AMOUNT OF $5,000.00 TO GUARANTEE COMPLETION OF PUBLIC IMPROVEMENTS FOR BONDIOLI SUBDIVISION EXPIRING DECEMBER 31, 1986 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 the acceptance of an Irrevocable Standby Letter of Credit from the Bank of Elk Grove in the amount of $5,000.00 to guarantee completion of public improvements in accordance with the Approved plans and specifications with revisions, prepared by Donald Ciaglia, Chia Co. approved on February 24, 1981 by Tom Cech and agreements including any amendments thereof for Bondioli Subdivision. Said Letter of Credit No. 3237S expires December 31, 1986 and legally described on Exhibit "A". Section 2: That this Resolution shall be in full force and effect from and after its passage and approval according to law. PASSED this 22nd APPROVED this 22nd ATTEST: Patricia S. Smith Village Clerk day of April , 1986. day of April , 1986. Charles J. Zettek Village President EXHIBIT "A" LEGAL DESCRIPTION BEING A SUBDIVISION IN THE NORTHEAST QUARTER OF THE SOUTHEAST QUARTER OF SECTION 27, TOWNSHIP 41 NORTH, RANGE 11, EAST OF THE THIRD PRINCIPAL MERIDIAN IN COOK COUNTY, ILLINOIS. BankofElkGmw 100 East Higgins Road, Elk Grove Village, Illinois 60007 Cable. BANKELGR Telex: 206806 Phone: (312) 439-1888 INTERNATIONAL BANKING DEPARTMENT IRREVOCABLESTANDBYLETTER OF CREDIT NO. 32375 PAGE ONE OF M PAGFS DATE: April 4, 1986 ADVISING BANK: APPLICANT: B & B Real Estate Mgmt. 1433 S. Linden Park Ridge, IL 60068 BENEFICIARY: VILLAGE OF ELK GROVE AMOUNT: $5,000.00 (Five Thousand 901 Wellington Avenue and no/100 US Dollars) Elk Grove Village, Illinois 60007 EXPIRATION DATE: December 31, 1986 AT THE BANK OF ELK GROVE Gentlemen: We hereby establish in your favor our Irrevocable Standby Letter of Credit which is available for payment of your draft(s) drawn at sight on us and bearing the clause: "Drawn under the Bank of Elk Grove, Elk Grove Village, Illinois Letter of Credit No. 3237S ," and accompanied by the following documents: Statement purportedly signed 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, prepared by Donald Ciaglia, Chia Co. approved on February 24, 1981 by Tom Cech and agreements including any amendments thereof for the following project: Bondioli Subdivision (the "Project"), on property legally described in Exhibit A. The above shall be completed On ot before June 19, 1986. If said improvements have not been properly installed nd satisfactorily completed on or before that date as reasonably determined by he Village Engineer, then the Village of Elk Grove Village (the "Village") is ereby granted authority to draw upon this Irrevocable Letter of Credit for he purpose of comZleting fully said improvements in accordance with the provision herein and above set forth. The principal 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 and then only in the exact amount of such payments less 10% for interim maintenance. This remaining amount shall never s� Bankof E1kGrove PAGE TW OF TW PAGES 100 East Higgins Road. Elk Grove Village, Illinois 60007 Cable: BANKELGR Telex: 206806 Phone: (312) 439-1888 INTERNATIONAL BANKING OEPARTMENT April 4, 1986 be reduced to an amount less than 1107 of the estimated costs to complete the remaining public improvements plus 107 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 the B&B REAL ESTATE MANAGEMENT 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 day (90) days in accordance with the terms and provisions herein contained. If, within thirty (30) days of the date of any demand (made in conformity with this Irrevocable Letter of Credit) presented, we fail to honor same, we agree to pay all attorney 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. The amount of each draft must be endorsed on the reverse side of the original Irrevocable Letter of Credit by the Village Engineer and attested by the Clerk. This Irrevocable Letter of Credit shall be utilized to secure the install- ation of all improvements required under the Minicipal Code of the Village of Elk Grove Village and specified on the engineering drawings and in the specifica- tions and agreements. This Irrevocable Letter of Credit shall not operate as a limitation upon the obligation of the B&B Real Estate Management 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 does 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. We undertake that all drafts drawn in conformity with the terms of this Letter of Credit will be duly honored if presented to us together with the original of this Letter of Credit on or before the expiry date. This Credit is subject to the "Uniform customs and Practice for Documentary credits (1983 Revision), International Chamber of Commerce Brochure Ncl. 400." Very truly yours, Bank of Elk Grove By: By: 'UA` Its: Its: IrrreRNAiI M 9tV1 CF