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The initial payment (“Initial Payment”) date for User shall be on
the first day of the seventh month of User’s first year (e.g. if the
first day of the initial 12 month period is January 1 and the Village
has received sales tax revenue from the Project by June 30, the
Initial Payment shall be made on July 1 of the same year) and then
quarterly thereafter. During the payment term, the Developer shall
be entitled to receive and the Village shall pay one hundred
percent (100%) of the sales tax revenues paid by such User and
received by the Village, and the Village shall be entitled to retain
the remaining zero percent (0%) of such sales tax revenue
generated by such User for years 1 and 2 of this agreement
(commencing on the date of the issuance of the final Certificate of
Occupancy to the retail user of the Subject Property); in years 3, 4
and 5 the Developer shall be entitled to receive and the Village
shall pay seventy-five percent (75%) of the sales tax revenues paid
by such User and received by the Village, and the Village shall be
entitled to retain the remaining twenty-five percent (25%) of such
sales tax revenue generated by such User; In years 6 and 7 the
Developer shall be entitled to receive and the Village shall pay
fifty percent (50%) of the sales tax revenues paid by such User and
received by the Village, and the Village shall be entitled to retain
the remaining fifty percent (50%) of such sales tax revenue
generated by such User until the earlier of either 1) the total
amount of $100,000.00 is paid to the Developer by the Village
under this agreement, 2) until the seventh (7
th
) year (“end date”), or
3) the cessation of use of the Subject Property as a bona fide
hardware store (open for business on a daily basis) for a
continuous period in excess of 3 months. Upon the amount of
$100,000.00 having been paid, the end date being reached, or the
Subject property ceasing being used as a bona fide hardware store,
the Village shall have no further obligation to pay any amounts
under this agreement.
Upon receipt by Developer of all sums to be paid pursuant to this
Agreement or after the end date, the Village will retain all sales tax
revenues.
(ii) In the event of a change of law with regard to the sales tax
revenues generated as the result of the sales activities from the
Project to be paid to the Village, and if any successor or substitute
tax revenue is made available to the Village as the result of such
change in the law, including without limitation, with regard to
sales tax revenues, the Village agrees to share such successor or
substitute tax revenues on the same proportion as set forth above to
the extent that such successor or substitute tax revenues are equal
to or less than the sales tax revenues that the Village otherwise
would have received from the Project if the law had not changed
