01/25/1999January 25, 1999
The January 20, 1999, recessed meeting of the Board of Trustees of the Village of Deerfield was
called to order by Mayor Forrest in the Council Chamber of the Village Hall on Monday, January 25, 1999,
at 8:00 P.M. The Clerk called the roll and announced that the following were:
Present: Bernard Forrest, Mayor
Marvin W. Ehlers
John H. Heuberger
Harriet E. Rosenthal
Edwin B. Seidman
Vernon E. Swanson
Michael Swartz
and that a quorum was present and in attendance. Also present were Attorney Shelia Quinn and Village
Manager Robert Franz.
OLD BUSINESS
AUTHORIZATION FOR MAYOR TO SIGN The Board considered an Agreement between the
AGREEMENT WITH KEY BANK AND THE the Village and Key Bank regarding the parties
VILLAGE - _SOUTHWEST QUADRANT respective rights and remedies in the event of a
default under the Redevelopment Agreement
or the loan documents. As a result of this Agreement, for consistency purposes, certain minor
clarifications must also be made to the Redevelopment Agreement between the Village and the Malk
Entities. Key points include:
1. If Mr. Malk defaults under the Redevelopment Agreement or the loan documents, both the Village and
the Lender will receive notice.
2. No party will enforce its remedies.during a forty-five (45) day standstill period in which the Village
and Lender will cooperate to decide upon a resolution to the matter.
3. The resolution may include the Village reacquiring the Project and either assuming or paying off the
loan or the parties may work together to choose a replacement Developer to finish the project.
4. If the Village assumes the loan it will have to cure Mr. Malk's defaults, but will not have to pay any
late fees, default interest or collection costs of the Lender.
5. The Village can let the Lender foreclose upon its loan. In that case, the Lender will assume Mr.
Malk's obligations under the Redevelopment Agreement, including the obligation to timely complete
the project.
6. If the Lender or its successor subsequently fails to complete the Project, the Village will retain all of its
remedies, including the right to reacquire the project.
Attorney Quinn stated that if the motion is to
approve the document, it should be approved in substantial conformance subject to review in final form
because of a few minor changes that need to be made.
Trustee Swartz made a motion to authorize Mayor
Forrest to sign an agreement between the Village and Key Bank regarding the Southwest Redevelopment
Project. Trustee Heuberger seconded the motion. The motion passed by the following vote:
AYES: Ehlers, Heuberger, Rosenthal, Seidman, Swanson, Swartz (6)
NAYS: None (0)
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AUTHORIZATION FOR MAYOR TO SIGN AN
The Board reviewed an amendment to the
AMENDMENT TO THE REDEVELOPMENT Redevelopment Agreement to reflect the changes
AGREEMENT BETWEEN CRM PROPERTIES made in the agreement between Key Bank and
AND THE VILLAGE the Village. Attorney Quinn stated that the
changes are needed with respect to the original
Redevelopment Agreement between the Village and the Malk entities for consistency purposes so that all
agreements read together. Key points include: all Malk entities are required to waive any liens against the
Project, including any fees and commissions owed to them; if the developer defaults against its loan
documents, the Village will have the right to acquire the entire Project; the Village has the right of first
opportunity which is the Village's right to reacquire the project after it is complete if Mr. Malk or his
entities desire to sell the property; and the amendment clarifies the procedure for the disbursement of TIF
funds as they get expended.
Trustee Rosenthal made a motion to authorize
Mayor Forrest to sign an amendment between the Village and CRM properties regarding Deerfield Square
Redevelopment Project. Trustee Ehlers seconded the motion. The motion passed by the following vote:
AYES: Ehlers, Heuberger, Rosenthal, Seidman, Swanson, Swartz (6)
NAYS: None (0)
Mayor Forrest commented that these agreements were to protect the Village's investment in the project.
However, the Board was very confident that the development would be built as planned.
ORDINANCE INCREASING THE NUMBER OF The Board considered a second reading of an
CLASS E LIQUOR LICENSES - MACARONI ordinance increasing the number of Class E
GRILL liquor licenses by one (1). It was noted
that Romano's Macaroni Grill asked
that the second reading be moved up from
February I St to help them secure their license from the State in a timely manner.
Trustee Rosenthal made a motion to adopt the
ordinance. Trustee Heuberger seconded the motion. The motion passed by the following vote:
AYES: Ehlers, Heuberger, Rosenthal, Seidman, Swanson, Swartz (6)
NAYS: None (0)
ADJOURNMENT
There being no further business to discuss,
Trustee Seidman made a motion to adjourn the
meeting. Trustee Swanson seconded the motion. The motion passed unanimously. The meeting was
adjourned at 8:15 P.M.
ATTEST:
Village Clerk
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APPROVED:
Mayor