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HomeMy WebLinkAboutCAG2021-383 - Original - Kent Downtown Partnership - Main Steet Tax Credit Portion of Downtown Revitalization Project - 07/01/2021ApprovalOriginator:Department: Date Sent:Date Required: Authorized to Sign: o Director or Designee o Mayor Date of Council Approval: Budget Account Number: Budget? o Yes o No Grant? o Yes o No Type:Review/Signatures/RoutingDate Received by City Attorney:Comments: Date Routed to the Mayor’s Office: Date Routed to the City Clerk’s Office:Agreement InformationVendor Name:Category: Vendor Number:Sub-Category: Project Name: Project Details: Agreement Amount: Start Date: Basis for Selection of Contractor: Termination Date: Local Business? o Yes o No* *If meets requirements per KCC 3.70.100, please complete “Vendor Purchase-Local Exceptions” form on Cityspace. Notice required prior to disclosure? o Yes o No Contract Number: Agreement Routing Form For Approvals, Signatures and Records Management This form combines & replaces the Request for Mayor’s Signature and Contract Cover Sheet forms. (Print on pink or cherry colored paper) Visit Documents.KentWA.gov to obtain copies of all agreementsadccW22373_1_20 8/23/21 March 16, 2021 'i .,KENT ECONOMIC AND COMMUNITY DEVELOPi.IENT Kurt Hanson Director 220 Foufth Ave S Kent, WA 98032 Fax: 253-856-6454 lVA6Hrrii,Trs Tol Fromr Date: Subject.' PHONE: 253-856-5454 Gaila Haas, Kent Downtown Partnership (KDP), Executive Director Bill Ellis, City of Kent, Chief Economic Development Officer July 1, ZOZL Agreement for City Financial Contribution to KDP 2O2L Mainstreet Downtown Revitalizatlon Program The Kent Downtown Partnership fKDP") is a Ceftified Main Street Program with the Washington State Main Street Program and is participating in the Main Street Tax Incentive Program ("Program"). The Program allows entities, including municipal corporations, who make contributions to the designated Main Street Program participant to take a 75o/o tax credit on their state business and occupation taxes or public utility tax in the following year. Taking advantage of this tax incentive program would allow greater opportunity for the Kent Downtown Partnership to expand their programs, serving as a partner between businesses and property owners, residents, non-profits, and the City of Kent to strengthen and develop a vibrant downtown. The City Council authorized the Mayor to make an annual contribution to the KDP, pursuant to an agreement which includes accountability measures, such as conditions or restrictions on the use of the contributions, and a requirement that the Kent Downtown Partnership provide the City with annual written reports accounting for the use of the contribution and the benefits to the community. In accordance with City Councilt authorization, KDP shall use the Cityt contribution in accordance with all Main Street Tax Incentive Program requirements as they currently exist or as amended, KDP shall also provide the City with a simple written report at the conclusion of the 2021 Mainstreet Downtown Revitalization Program, no later than December 31, 202t, accounting for the use of the City's contribution and the benefits provided to the community through the program. TERM: This agreement will be for the execution of the KDP's 2021 Mainstreet Downtown Revitalization Program. FINANCIAL CONTRIBUTIONS: The CiW shall contribute $117,358.33 through the Main Street Tax Credit Incentive Program for the 2021 Program year. The City shall disburse -$80,000 to KDP as soon as reasonably possible, with the remainder to be disbursed following the next Main Street Tax Incentive Program registration and CIW of Kent Economlc & Communlty DcvGlopmtnt eligibility determination in October ZAZL. The City's contribution of $117,358.33 may be reduced if Program eligibility changes or tax credit availability is not as currently anticipated. Accepted and agreed to: Dana Ralph, Mayor, City of Kent ?S,ve Di , Kent Downtown Partnership CiW of Kent Economlc & Community Development