The City Council may, by ordinance, approve an agreement for receipt of payments in lieu of sales and use taxes from persons who otherwise would be required either to pay or to collect and remit sales and use taxes in connection with the construction of an improvement to real property for a tax exempt entity provided:
(a) The person contracting with the tax exempt entity agrees in writing to a specific reduction in the contract price for construction of the improvement to real property; and
(b) The price reduction is reflected in a signed modification of the construction contract made after bids have been opened; and
(c) The tax exempt entity agrees to recognize the city as contributing to the project an amount of money equal to the agreed price reduction.
(Ord. 2007-02, passed 6-12-07)