HomeMy WebLinkAbout033629 ORD - 04/15/2025Ordinance authorizing a Wastewater Trunk Line Construction and
Reimbursement Agreement up to $102,830.40 with MPM Development, LP to
construct a wastewater trunk line related to King's Landing Unit 10
subdivision located north of the Lady Alexa Dr. and Lady Claudia St.
intersection; and authorizing future transfer and appropriation of Water and
Wastewater Trust Fund revenue up to $102,830.40 to reimburse the
developer in accordance with the agreement. (District 3).
WHEREAS, the Developer/Owner, in compliance with the City's Unified Development
Code ("UDC"), has a plat, approved by the Planning Commission on September 20, 2023, to
develop a tract of land, approximately 24.61 acres known as King's Landing Unit 10 Subdivision;
WHEREAS, under the UDC, the Developer/Owner is responsible for construction of the
15-inch Wastewater Trunk Line ("Wastewater Improvements");
WHEREAS, under the UDC, the Developer/Owner is eligible for reimbursement of the
Developer/Owner's costs for the construction of Wastewater Improvements;
WHEREAS, it is in the best interests of the City to have the Wastewater Improvements be
constructed to its ultimate capacity under the City's applicable Master Plan; and
WHEREAS, the City's participation as Trustee does not create a loan of its credit because Texas
Constitution Article 1.1, Section 3 prohibits the City from becoming a subscriber to the capital of
any private corporation or association, or make any appropriation or donation to the same, or in
anywise loan its credit;
WHEREAS, execution of the Agreement constitutes a promise to pay only to the extent that the
assets and future assets of the trust are sufficient for such purpose and that any judgement will
only be satisfied out of the assets of the trust and not out of the City's assets and the City is
excluded from personal liability;
WHEREAS, the Wastewater Trunk System Trust Fund does not currently have sufficient funds to
fully reimburse Developer/Owner for Wastewater Improvements under the Agreement;
WHEREAS, a construction and reimbursement agreement must be approved by the City Council
before the developer starts construction. Reimbursement only shall be made when monies are
available in and appropriated from the Wastewater Trunk System Trust Fund. The order of the
reimbursement will be determined according to the date construction and reimbursement
agreement is approved by the City Council;
WHEREAS, the Agreement approved herein will be first in line in the order for reimbursement
from the Wastewater Trunk System Trust Fund based on the date the agreement is approved by
the City Council per UDC 8.5.3.E; and
WHEREAS, If the developer is owed funds from the Wastewater Trunk System Trust Fund
reimbursement shall be made as funds are deposited into the trust fund from other development
and/or, the developer will be given credit for lot or acreage fees that are due on subsequent final
plats filed with the County Clerk per UDC 8.5.3.E.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI,
TEXAS:
SECTION 1. The City Manager, or designee, is authorized to execute a Sanitary Sewer
Trunk Line Construction and Reimbursement Agreement ("Agreement"), attached hereto,
with MPM Development ("Developer"), for the extension of a 15-inch wastewater trunk line,
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including all related appurtenances, for the development of King's Landing Unit 10
Subdivision, Corpus Christi, Nueces County, Texas.
SECTION 2. In the event of a project delay, the City Manager or designee is authorized to
execute an extension of the agreement for a period not to exceed a period of 24 months.
SECTION 3. Funding in the amount of $102,830.40 is appropriated from the No.4220-21800-
777 Wastewater Trunk Line Trust Fund to reimburse the Developer for the construction of a
wastewater trunk line, and improvements in accordance with the Agreement.
SECTION 4. The future revenue of the Water Arterial Transmission and Grid Main Trust
Fund, Water Distribution Main Trust Fund, and Wastewater Collection Line Trust Fund are
transferred by way of water and wastewater lot and acreage fees and pro-rata fees to the
No.4220-21800-777 Wastewater Trunk System Trust Fund until $102,830.40 is appropriated
in accordance with Section 3 of this ordinance.
SECTION 5. The City Manager or designee is authorized to appropriate $102,830.40 from
the No.4220-21800-777 Wastewater Trunk System Trust Fund as funds become available to
reimburse the Developer for the wastewater trunk system construction and improvements in
accordance with the Agreement.
SECTION 6. This ordinance takes effect upon passage.
Intro. ced and voted on the 701(\ day of err
ASSED : nd APPRO + on the 1 S' day of
L
4
, 2025.
(rNl , 2025.
ATIES
Paulette Guajardo, Mayo • Rebecca Huerta, City Secretary
033 629