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HomeMy WebLinkAbout033841 ORD - 01/27/2026Ordinance authorizing a Wastewater Collection Line Extension Construction and Reimbursement agreement up to $227,100.00 with MPM Development to construct an off -site sanitary sewer improvement for a proposed Phase -II residential development located off Yorktown Boulevard, southeast of Starry Rd. also known as Oso Creek Corner Unit 3 and authorizing future transfer and appropriation of Water and Wastewater Trust Fund revenue up to the $227,100.00 to reimburse the developer in accordance with the agreement. (District 5). WHEREAS, the Developer/Owner, in compliance with the City's Unified Development Code ("UDC"), has a master preliminary plat, approved by the Planning Commission on October 5, 2022, to develop a tract of land, approximately 269.95 acres known as Oso Creek Corner; WHEREAS, under the UDC, the Developer/Owner is responsible for construction of the 12-inch Wastewater Collection 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 Collection Line 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 Collection Line 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 next in line in the order for reimbursement from the Wastewater Collection Line 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 Collection Line 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. 03 41 BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: SECTION 1. The findings and recitations set out in the preambles to this Ordinance are found to be true and correct, and they are hereby adopted by the City Council of the City of Corpus Christi and made a part of this Ordinance for all purposes. SECTION 2. The City Manager, or designee, is authorized to execute a Sanitary Sewer Collection Line Construction and Reimbursement Agreement ("Agreement"), attached hereto, with MPM Development ("Developer"), for the extension of a 12-inch wastewater line, including all related appurtenances, for the development of Phase -II of the Oso Creek Corner Subdivision, Corpus Christi, Nueces County, Texas. SECTION 3. 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 12 months. SECTION 4. Funding in the amount of $227,100.00 is appropriated from the No.4220-21801- 46 Wastewater Collection Line Trust Fund to reimburse the Developer for the construction of a wastewater collection line, and improvements in accordance with the Agreement. SECTION 5. The future revenue of the Water Arterial Transmission and Grid Main Trust Fund, Water Distribution Main Trust Fund, and Wastewater Trunk System Trust Fund are transferred by way of water and wastewater lot and acreage fees and pro-rata fees to the 4220-21801-46 Wastewater Collection Line Trust Fund until $227,100.00 is appropriated in accordance with Section 3 of this ordinance. SECTION 6. The City Manager or designee is authorized to appropriate $227,100.00 from the 4220-21801-46 Wastewater Collection Line Trust Fund as funds become available to reimburse the Developer for the wastewater collection line construction and improvements in accordance with the Agreement. SECTION 7. This ordinance takes effect upon passage. Introduced and voted on the 13 -h^, day of S__f PA$ E� alp, APPROVED on the ')-1 day of JUf1U CN Paulette Guajardo, Mayor 2026. , 2026. Rebecca Huerta, Cit Secretary � 0 3 3 tip 4, n CITY OF CORPUS CHRISTI CERTIFICATION OF FUNDS (City Charter Article IV, Sections 7 & 8) I, the Director of Financial Services of the City of Corpus Christi, Texas (or his/her duly authorized representative), hereby certify to the City Council and other appropriate officers that the money required for the current fiscal year's portion of the contract, agreement, obligation or expenditure described below is in the Treasury to the credit of the Fund specified below, from which it is to be drawn, and has not been appropriated for any other purpose. Future payments are subject to annual appropriation by the City Council. City Council Action Date: 01 /13/2026 Legistar Number: 25-1812 Agenda Item: Ordinance authorizing a Wastewater Collection Line Extension Construction and Reimbursement agreement up to $227,100.00 with MPM Development to construct an off -site sanitary sewer improvement for a proposed Phase -II residential development located off Yorktown Boulevard, southeast of Starry Rd. also known as Oso Creek Corner Unit 3 and authorizing future transfer and appropriation of Water and Wastewater Trust Fund revenue up to the $227,100.00 to reimburse the developer in accordance with the agreement. (District 5). Amount Required: (Amount to be Certified) $227,100.00 Fund Name Accounting Unit Account No. Amount Sanitary Sewer Collection Line Trust Fund as fund become available (Future Revenues) 4220-21801-46 540450 $227,100.00 TOTAL $227,100.00 ❑ Certification Not Required mr- Director of Financial & Procurement Date: