Common use of Service Payments Clause in Contracts

Service Payments. Developers hereby agree, and will require Phase 2 Successors and successors in ownership of the portions of the property contained in Phase 1 to agree, to make service payments in lieu of taxes (“Service Payments”) attributable to their respective periods of ownership of such portion of the Property which is subject to a TIF Exemption. Service Payments will be made in accordance with the requirements of the TIF Statutes and the TIF Ordinance, and any subsequent amendments or supplements thereto, and will be in the same amount as the real property taxes that would have been charged and payable against the Improvements (after credit for any property tax rollback payments received) had the TIF Exemption not been granted, including any penalties and interest. Developers will not, under any circumstances, be required for any tax year to pay both real property taxes and Service Payments with respect to the Improvements, whether pursuant to the TIF Statutes, the TIF Ordinance, or this Agreement. Service Payments will be made semiannually to the Delaware County Treasurer (or to such Treasurer's designated agent for collection of the Service Payments) on or before the date on which real property taxes would otherwise be due and payable for the Property. Any late payments will bear penalties and interest at the then current rate established under Ohio Revised Code Sections 323.121 and 5703.47 or any successor provisions thereto, as the same may be amended from time to time. Service Payments received by Sunbury shall be deposited into the municipal public improvement tax increment equivalent fund(s) (“TIF Fund(s)”) which are created by the TIF Ordinance(s).