===== PDF PAGE 47 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO FINANCE COMMITTEE I AGENDA ITEM SUMMARY ITEM TITLE: AGENDA ITEM NUMBER: ___7.J. and K.___ Intergovernmental Agreement with DuPage County and First Amendment to Development COMMITTEE AGENDA DATE: March 2, 2026Agreement with 1300 Roosevelt Investors LLC for Fabyan Parkway Improvements at Poor- man Parkway COUNCIL AGENDA DATE: May 18, 2026 Resolution 26-R-0042 and Resolution 26-R-0043 STAFF REVIEW: Kelley Chrisse, AICP, CEcD SIGNATURE __________________________ ITEM SUMMARY: In May 2023, the City Council approved Ordinance No. 23-O-0009 authorizing a development agree- ment with 1300 Roosevelt Investors LLC for property located at the southeast corner of Roosevelt Road and Fabyan Parkway. The project consists of construction of two industrial buildings totaling approximately 675,000 square feet, including warehouse and distribution space with associated parking, loading areas, stormwater facilities, and supporting site improvements. The project also includes construction of Poorman Park- way, a new internal roadway connecting Fabyan Parkway to the eastern property boundary, along with necessary access and turn lane improvements on Fabyan Parkway. The development represents a significant private investment and is supported through TIF reim- bursement mechanisms tied to incremental property tax generation following project completion. Permit Delays and County Coordination For 18 months, the developer, Pritzker Realty Group (PRG), has pursued permitting from DuDOT for roadway access associated with Poorman Parkway. Progress has been largely delayed due to DuDOT’s planned Fabyan Parkway widening project, which requires coordinated design and con- struction of intersection improvements before access can be approved. DuDOT has requested that the City enter into an Intergovernmental Agreement (IGA) to incorporate intersection improvements into the County’s roadway project and to define cost and maintenance responsibilities between the County and the City. Intergovernmental Agreement Overview The IGA addresses construction of a northbound right-turn lane and southbound left-turn lane at Fabyan Parkway and Poorman Parkway as part of the County’s Fabyan Parkway improvement pro- ject. Key provisions of the IGA include: • The County will administer construction of the overall Fabyan Parkway project, including the intersection improvements. ===== PDF PAGE 48 ===== [Extraction: embedded PDF text] • The City is responsible for engineering and construction costs associated with the intersection work, with estimated municipal costs identified at approximately $543,128, subject to reconcil- iation based on actual construction costs. • Payments to the County would occur in phases tied to project award, substantial completion, and closeout. While the County requires the City to assume these obligations, the improvements are directly at- tributable to development access needs. First Amendment to the Development Agreement To address the County requirement, staff has negotiated the First Amendment to the Development Agreement to: • Require the developer to fund the cost associated with the intersection improvements; • Establish a payment schedule aligned with the County’s reimbursement timeline, including provisions requiring the developer to fund the intersection improvement costs prior to the City’s reimbursement obligations to the County, thereby limiting financial exposure to the City; • Correct scrivener’s errors in the Original Agreement; and • Replace Exhibit E of the agreement to reallocate eligible redevelopment project costs based on actual bid results and updated infrastructure estimates. The amendment does not increase the total TIF reimbursement authorization or request additional TIF assistance. The amendment primarily reallocates previously eligible redevelopment project costs to align with actual construction bids and required intersection improvements. This approach limits financial exposure to the City while allowing the project to proceed without expanding incentive com- mitments. Timing Considerations Execution of the IGA and corresponding First Amendment to the Development Agreement is neces- sary for DuDOT to issue access permits for Poorman Parkway. Delays in finalizing these agree- ments would postpone permit issuance, delay construction of Poorman Parkway and both buildings, and defer realization of anticipated tax base growth. The existing Development Agreement requires construction to begin prior to June 2026. If permits are issued as anticipated, construction is expected to begin as soon as next week, with completion of both buildings projected for January 2027. Coordination on these items has been occurring for several months and was presented to the Fi- nance Committee at its March 2 meeting. At that time, the Committee expressed support for the proposed terms and directed staff to finalize negotiations and present the agreements directly to City Council for consideration. Both documents are currently undergoing final legal review and they are anticipated to be presented at the May 18 meeting for approval. ACTIONS PROPOSED: Approval of: 1. A Resolution Authorizing the Execution of an Intergovernmental Agreement Between the City of West Chicago and the County of DuPage for Intersection Improvements at Fabyan Parkway and Poorman Parkway ===== PDF PAGE 49 ===== [Extraction: embedded PDF text] 2. A Resolution Authorizing the Execution of A First Amendment to Development Agreement With 1300 Roosevelt Investors, LLC Related to Intersection Improvements at Fabyan Parkway and Poorman Parkway COMMITTEE RECOMMENDATION: The Finance Committee expressed support for the proposed terms and directed staff to finalize ne- gotiations and present the agreements directly to the City Council for consideration.