Loading...
HomeMy WebLinkAbout16154 ORD - 04/01/1981• AN ORDINANCE ` f , AUTHORIZING THE CITY MANAGER TO EXECUTE AN INDUSTRIAL DISTRICT AGREEMENT WITH CORPUS CHRISTI PETROCHEMICAL COMPANY FOR A TERM OF SEVEN (7) YEARS COMM1ENCING JANUARY 1, 1981; DESIGNATING AN AREA TO BE KNOWN AS "CORPUS CHRISTI INDUSTRIAL DISTRICT NO. 5 "; EXEMPTING SUCH AREA FROM ANNEXATION AND PROVID- ING FOR AN ANNUAL PAYMENT IN LIEU OF TAXES TO THE CITY DURING THE TERM THEREOF; ALL AS MORE FULLY SET FORTH IN THE INDUSTRIAL DISTRICT AGREEMENT, A SUBSTANTIAL COPY OF WHICH IS ATTACHED HERETO AND MADE A PART HEREOF, MARKED EXHIBIT 1. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: SECTION 1. That the City Manager be and he is hereby authorized to execute an Industrial District Agreement with Corpus Christi Petrochemical Company for a term of seven (7) years commencing January 1, 1981; designating an area to be known as "Corpus Christi Industrial District No. 501; exempting such area from annexation and providing for an annual payment in lieu of taxes to the City during the term thereof; all as more fully set forth in the Industrial District Agreement,_a substantial copy of which is attached hereto and made a part hereof, marked Exhibit 1. 46154 MICROFILMED SEP 2 71984 INDUSTRIAL DISTRICT AGREEMENT THE STATE OF TEXAS COUNTY OF NUECES CITY OF CORPUS CHRISTI This Agreement made and entered into by and between the CITY OF CORPUS CHRISTI, TEXAS, a municipal corporation of Nueces- County, Texas, hereinafter called "CITY", and CORPUS CHRISTI PETROCHEMICAL COMPANY, a Texas general partnership (Landowner and Improvements Owner), and AIR PRODUCTS AND CHEMICALS, INC., -a Delaware corporation (Lessee and Improve- =ments -Owner-), hereinafter collectively called "COMPANY", W I T N E S S E T H: -WHEREAS, it is -the established policy of the City -Council of the_ City,_of`Corpus Christi, Texas, to adopt reasonable measures permitted by law which will tend to enhance the --economic stability_and_growth of the City and V: its environs and which will attract the location of new anti expansion -of existing -.industries therein, and such policy is hereby-reaffirmed--and-adopted by this City Council as being in -the best interest -of the City and its citizens; -and WHEREAS, Company is -the owner'or lessee of land or owner of improvements on land within the extraterritorial jurisdiction of the City of Corpus_ Christi, which land shall, upon execution of this agreement by the City, be known as -"Corpus Christi Industrial District No. 5", and which land is more particularly described in Exhibit "A" attached hereto, and incorporated herein for all purposes -herein called "said land" and upon which Company has either constructed (and/or contemplates) the construction or expansion of improvements; and - 1 - • WHEREAS, pursuant to said policy and the provisions of Article 970a, revised Civil Statutes of Texas, known as the Municipal Annexation Act, City has enacted Ordinance No. 15898 indicating its willingness, within 90 days after final passage of said ordinance, to enter into industrial district agreements with industries located within its extraterritorial jurisdiction and designating areas located in its extraterri- torial jurisdiction as industrial districts, herein collectively called "Districts"; and WHEREAS, City desires to encourage the updating, expansion -and growth of industries within said Districts and for such purpose desires to enter- into this Agreement with Company: NOW, I.HtREFORE, in consideration of the premises, the mutual agreements of the parties herein contained and pursuant to the -authority granted under the Municipal Annexation Act and the Ordinance of City referred to above, City and Company hereby ayiee as follows: I City covenants and agrees that during the term of this Agreement, and subject to the terms -and provisions hereof, said land shall retain its extraterritorial status as an industrial district and shall continue to retain such status until and unless thesameis changed pursuant to the terms -of this Agreement. Except as herein provided City further covenants -and agrees that said land shall be immune from annexation. During the term hereof City shall have no obligation to extend to said land any City services except fire protection in the event Company makes additional payments to City under Article III(d) hereof and such other City services as are - 2 - being provided to and paid for by Company on the date hereof. Further, City and Company agree that during the term hereof, City shall not require with respect to said land compliance with its rules or regulations (a) governing zoning and platting of said land or any additions thereto outside the City limits; provided, however, Company further agrees that it will in no way divide said land or additions thereto without complying with State law and City ordinances governing subdivision of land; (b) prescribing any building, electrical, plumbing or inspection code or codes; or (c) prescribing any rules governing the method of operations of Company's business, except as to those regulations relating to the delivery of utility services and industrial waste _disposal through City owned facilities. II The term of this Agreement shall begin on the first day of January, 1981, and shall continue until December 31, 1987, unless extended for additional -period or periods of time upon mutual consent of Company and City as provided by the Municipal Annexation Act; provided, however, that in the event this_Agreement is not so extended for additional period. or periods of time on or before March 31 of the final calendar year of the term -hereof, then the immunity from annexation granted herein shall terminate on that date, but all other terms of this Agreement shall remain in effect for the remainder of the term; provided, however, the effective date anal -time of such annexation shall be no earlier than midnight of -December 31 of such final year of the term. This Agreement may be extended for an additional period or periods by agreement between City and Company and/or its - 3 - assigns. In this connection, City recognizes that industrial district agreements of this kind are conducive to the develop- ment of existing and future industry and business and are to the best interest of all citizens of City. Accordingly, future City Councils are hereby encouraged, but are not obligated, to enter into industrial district agreements and to extend existing industrial district agreements. III Each year during the term hereof, Company shall pay to City: (a) An amount in lieu of taxes on said land (excluding improvements and personal property located thereon) equal to -one hundred percent (100%) of the amount of ad valorem taxes based upon the market value of said land which would otherwise • -be-payable to City -by Company if said land were situated within the city limits of City. With respect to -any new land acquired by Company after January 1, 1981, located in the extraterritorial jurisdiction of City, and the use of which relates directly to the primary use of the parent tract, such new land shall be included in Company's land known as said land, -and shall be considered in calculating the in lieu of tax payment on said land as of January 1 of the first year following the date which such new land is acquired by Company.__ In addition, Company shall provide City a revised Exhibit "A" which includes a complete description of -such new land. - '(b)- An amount in lieu of taxes on improvements (excluding personal property) located on said land equal to fifty percent -(50%)_ of the -amount of ad valorem taxes which would - 4 - otherwise be payable to City by Company if said improvements were situated on land within the city limits of City. On or before March 31 of each year during the term of this Agreement, Company shall provide to City's Tax Assessor - Collector a written statement of its opinion of the market value sworn to by an official of Company authorized to do the same. (c) With respect to any new improvements or facilities, which are hereby'defined as those being completed after January 1, 1974, Company shall pay to City five_percent (5%) rather than the -percentages of the amount of ad -valorem taxes as calculated in paragraph (b) above for each year of use, i.e., 10% the second year in use, 15% the third year in use, etc. Payments under this provision shall never exceed fifty percent (50%). The first year of use for purposes of this new improvements payment shall be deemed to commence on the first day .of -January next following the date which thenew improvements are placed in use. This provision shall apply to construction of new improvements or facilities _and to the expansion of existing improvements or facilities on said land. New improvements or facilities not included within this paragraph (c) shall be - deemed 'to be included within the provisions of paragraph (b) above. For purposes of this paragraph (c) all of Company's improvements and -facilities in existence on January 1, 1981 shall -be deemed to have -been placed in use during calendar year _1980. - 5 - (d) An additional amount for City fire protection equal to fifteen percent (15%) of the amount which would be payable on 100% of assessed value of improvements located in said land notwithstanding the provisions of paragraph (b) above; provided, however, that if and as long as Company is a member in good -standing of the Refinery Terminal Fire Company, or its successors, it shall not be obligated to pay the additional amount provided by this paragraph (d). (e) At the request of Company, an alternative to the method of calculation set forth in paragraphs (a) through (d) above, the Company may make a payment which is deter- mined by consideringusing the method of calculation set forth in paragraphs (a) through (d) above, said land and all other lands contiguous to said land, or forming an integral part of Company's primary operation located on said land, owned by Company inside the city limits as if all the value of Company's lands above described and improvements thereon were outside the city limits, and deducting from the amount which would Otherwise be due from such calculation the property taxes actually•due to City resulting from the assessed values of land and improvements, excluding personal property, located inside the City. If Company selects such -alternative procedure, the amount due to City under this section shall be the resulting difference or the minimum payment required in paragraph (f), -whichever is greater. In addition, Company -shall provide City, by attaching hereto as _Exhibit "B", a- complete description of the lands contiguous to said land, or forming an integral part of Company's primary operation located on said land, owned by Company inside the city limits. - 6 - With respect to any new land acquired by Company after January 1, 1981, located inside the city limits, which is contiguous to said land, or forms an integral part of Company's primary operation located on said land, such new land may be considered in the alternative method of calculating the in lieu of tax payment as stated above, as of January 1 of the first year following the date which such new land is acquired by Company. Company shall provide City a new or revised Exhibit "B" which includes a complete description of such new land. (f) Minimum Payments. For any -Company which qualifies aa an industry under ordinance No. 15898 and which has less than_two million dollars ($2,000,000.00) in market value of improvements on said land subject to this agreement, such Company, in lieu of the payments in items (a), (b), (c), (d) and -(e) above, shall pay the lower of: (i) an amount in lieu of taxes on said land equal to one hundred percent (100%) of the amount .of ad valorem taxes based on the market value of said land which would be payable to City if said land were situated within the city limits, plus an amount equal to one hundred percent (100%) of the -ad valorem taxes on one million dollars ($1,000,000.00) of improvements which would be payable to City if said improvements were situated within the city limits, regardless of whether one million dollars ($1,000,000.00) of improvements exist on said land, or (ii) the amount of ad valorem taxes on land, improvements and personal property on"said land which would be payab-le_to City if said land, improvements and personal property were situated within the city limits - 7 - of City, plus an amount in lieu of City sales tax equal to that which would be remitted to the State Controller annually by Company, and which would later be remitted to City by the State Controller if said land were situated within the City limits. IV Company agrees to pay to City on or before December 31 of each year during the term hereof all payments in lieu of taxes provided for hereunder without discount for early payment. The present ratio of ad valorem tax assessment •used_by City is one hundred percent (100%) of the fair market value of property. Any change in such ratio used by City shall be reflected in any subsequent computations hereunder. This Agreement and the method of determining and fixing the -amount of in lieu -of taxes payments hereunder shall be subject to all provisions of law relating to deter- mination of market value -and taxation, including, but not limited -to, laws relating to rendition, assessment, equal- ization and appeal. - v - In the event company elects to protest the valuation set on any of its properties by City for any year or years during the term hereof, it is agreed that nothing in this Agreement shall preclude such protest and Company shall have the right to take all legal steps desired by it to reduce the same as if such property were located within the City. Notwithstanding any such protest by Company, Company agrees to pay to City an initial in lieu of tax payment on or before the date therefor hereinabove provided, at least the - 8 - amount of the payment in lieu of taxes on said land and improvements which would be' due by Company to City hereunder on the basis of renditions filed by Company with City's Tax Assessor -Collector for that year or on the basis of the assessment thereof for the last preceding year, whichever is higher. When the valuation on said property has been finally determined, either as the result of final judgment of a court of competent jurisdiction or as the result of other final settlement of the controversy, then within thrity (30) days thereafter Company shall make to City any additional payment due based on such final valuation. If as a result of final judgment of a court of competent jurisdiction, or as the result of other final settlement of the controversy, _the valuation_of Company's property is established as an amount less than the amount used to compute the initial in lieu of tax payment for such year by Company, then within thirty (30) days thereafter City shall make to Company any payment due based on the difference between the initial payment and that which is computed based on the final settlement. VI (a) in the event Company fails or refuses to comply with all or any of the terms, conditions and obligations herein imposed -upon the Company, then this Agreement may be terminated at the option of City and/or the City may elect to sue to'recover any sumorsums remaining due hereunder or take any other action which in the sole discretion of the City it -deems best. In the event the City elects to sue to recover any sum due under this Agreement, the same penalties, interest, attorney's fees, and cost of collection shall be recoverable by the City as would be in a suit to recover deliquent ad valorem taxes. - 9 - �F�2 _,�ea �.�-' t.�.�' ^w.4L�i'tiro�i»�Ses"IS3.e��5:. i....�...r. n+a��s�-�r�u'.,..��;�.f`'•.-.t.-: �:".S.. ie .'"w.1.'. a w_r. l 4i^.. ��i; (b) City shall be entitled to a tax lien on said land and improvements, in the event of default in payment of in lieu of taxes payments hereunder, which may be enforced by City in the same manner as provided by law for the collection of deliquent ad valorem taxes. (c) In the event City breaches this Agreement by annexing or attempting to pass an ordinance annexing any of the said land, Company shall be entitled to enjoin City from the date of its breach for the balance of the term of this Agreement, from enforcing any annexation ordinance adopted in violation of this- Agreement and from taking any further action in violation of this Agreement. If Company elects to .pursue this remedy, then so long as City specifically performs its obligations hereunder, under injunctive order or otherwise, Company.shall continue to -make the annual payments required by this Agreement. VII _Company agrees to provide to City at Company's expense, a survey plat and field note description of said land. With respect to Company's acquisition of new land, as described in Article III(a) above, which becomes included in said land, Company agrees to provide to City at Company's expense, a survey plat and field note. description of such new land. VIII If -any- attempt to -annex any of said land owned, used, occupied, leased, rented or possessed by Company, is made by another municipality, or if the incorporation of any new municipality -should be attemped so as to include within its limits such land or property, the City shall seek a temporary - 10 - and permanent injunction against such annexation or incorpora- tion, with the cooperation of Company, and shall take such other legal action as may be necessary or advisable under the circumstances. The cost of any such legal action shall be borne equally by the parties hereto; provided, however, the fees of any special legal counsel shall be paid by the party retaining same. In the event City and Company are unsuccessful in obtaining a temporary injunction enjoining such attempted annexation or incorporation, Company shall have the option of (1) terminating this Agreement, effective as of the date of such annexation or incorporation, or (2) continuing to snake the in lieu of taxes payments required hereunder. Such option shall be exercised within thirty (30) days after the -application for suchtemporaryinjunction is denied. In the event Company elects to continue such in lieu of taxes payments, -the City shall place future payments hereunder together with part of the payment for the calendar year in which such annexation or incorporation is attempted, prorated to the date such temporary injunction or relief is denied, in a separate interest-bearing escrow account which shall be held by City subj ect_ to the following:- (a) ollowing:- (a)In the -event final judgment (after all appellate review, if any, has been exhausted) is entered denying a permanent_ injunction and/or upholding such annexation or incorporation, then all such payments and accrued interest thereon shall be refunded to Company; or (b) In the event final judgment (after all appellate review, if any, has been exhausted) is entered granting a permanent injunction and/or invalidating such annexation or incorporation, then all such payments and accrued interest thereon. shall be retained for use by City. IX The benefits accruing to Company under this Agreement shall also extend to Company's "affiliates" and to any properties presently owned or acquired by said affiliates within the area described in Exhibit "A" to this Agreement, and where reference is made herein to land, property and . improvements owned by Company, that shall also include land and improvements presently owned by its affiliates. The word "affiliates" as used herein shall mean (1) all companies with respect to which Company directly or indirectly, through one or more intermediaries at the time in question, owns or has the power to -exercise control over fifty percent (50%) or more of the -stock having the right to vote for the election of -directors; or (2) all corporations which are members of a "controlled group of corporations" (as that term is defined in Section 1563(a) of the Internal Revenue Code of 1954, as amended) of which the Company is a member. X This Agreement shall inure to the benefit of and be binding upon City and Company, and upon Company's successors and assigns, affiliates and subsidiaries, and shall remain in force whether -Company sells, assigns, or in any other manner disposes of, either voluntarily or by operations of law,`all or any part of_said land, and the agreements herein -contained shall baheldto be covenants running with said land for so long as this Agreement or any extension thereof remains in force. (a) Whenever the Company sells a contiguous portion of said land consisting of 20 acres or more to an ancillary industry which will be engaged on the property in the further - 12 - processing of the product of the Company or the preparation of raw materials prior to their processing by the Company, then platting of such property may be deferred under the following conditions: (i) The seller shall submit for approval by the City Council a site plan indicating the proposed water, sewer, drainage, access, and street plans for said land. (ii) Both the buyer and the seller shall enter into an agreement with the City requiring the platting of said land in the event the buyer's use of the property materially changesfrom the permitted uses described above, or if the Company's industrial district agreement terminates without extension. The seller shall remain solely responsible for any payments in lieu of taxes attributable to the buyer's holdings on the -property unless -the buyer has entered into a supplemental industrial district contract with the City concerning such -holdings. (b) Whenever the Company properly plats, subdivides and conveys to.abuyer other than an affiliate a portion of the lands described in Exhibit -"A" and/or Exhibit "B", Company shall -furnish to the -City's Tax Assessor -Collector a -revised Exhibit "A" and/or Exhibit "B", which revised exhibit or exhibits shall constitute an amendment to this Agreement, effective for the -calendar year next following the calendar year'in which the conveyance occurred. Seller shall remain solely responsible for any payments in lieu of taxes for the calendar year in which the conveyance occurred. In the event the Company improperly plats, subdivides or conveys a portion of the lands described in Exhibit "A" or gxhibit - 13 - "B", Company shall remain solely responsible for any payments in lieu of taxes applicable to such property, including improvements thereon, as if no such conveyance had occurred. XII If City enters into an agreement with any other landowner, within the extraterritorial jurisdiction of the City, engaged in a similar industry, as classified by Major Group according to the Standard Industrial Classification Manual(1) or enters into a renewal of any existing industrial district agreement with an industry of the same classification, which contains in lieu of tax payment terms and provisions more favorable to such landowner than those in this Agreement, Company- and its assigns shall have the right to either terminate this Agreement, or amend this Agreement to contain such more favorable in lieu of tax payment terms and provisions. For purposes of this article, landowners deemed to be engaged in_a similar industry shall be those classified in Major Groups 28 (Chemical and Allied Products) and 29 (Petroleum refining and related industries). - XIII In the event any one or more words, phrases, clauses, sentences, paragraphs, sections, articles or other parts of this Agreement or the application thereof to any person, firm, corporation or circumstances shall ever be held by any court of competent jurisdiction to be invalid or unconstitutional (1) Standard Industrial Classification Manual. (Executive Office of the President - Office of Management and Budget, Statistical Policy Division, 1972). 659 pp. - 14 - for any reason, then the application, invalidity or unconstitu- tionality of such words, phrase, clause, sentence, paragraph, section, article or other part_ of the Agreement shall be deemed to be independent of and separable from the remainder of this Agreement and the validity of the remaining parts of this Agreement shall not be affected thereby. ENTERED into this 27 -day of ATTEST: ATTEST: ATTEST: City Secretary APPROVED: — DAY OF , 19Z-( CORPUS CHRISTI PETROCHEMICAL COMPANY (Landowner and Improvements Owner) By Henry W. Ldga II, General Manager AIR PRODUCTS AND CHEMICALS, INC. (Lessee and Improvements Owner) By L141.44, - Vice -'resident CITY OF CORPUS CHRISTI R. Ma in Town nd, City Maid ager J. BRUCE AYCOCK, CITY ATTORNEY 101-C - ,moi% City Attar�ty - 15 - , 1980: TRACT I A tract of 1,211.58 acres of land, more or less, out of Abstractu854yNueccesAbstract 852 County, Texas: Survey BEGINNING at a one inch iron pipe found at the upper Southwest corner of Survey 408 which is also the Southeast corner of Lot 19, .of the W. B. Baker Subdivision of the Cody Partition, for the upper Southwest corner of this survey; THENCE North 00° 08' 20" West, with the common boundary of said Survey 408 and W. B. Baker Subdivision of the Cody Partition, at 1,650.81 an old post 6" deep bears West 0.70 feet, at 1.80 i e found at theSNortheNortheast corner ofass a one hLot 17ironpand the Southeast corner of Lot 16 of said W. B. Baker Subdivision of the Cody Partition, in all a distance of 6,601.44 -feet to a one inch iron.pipe found at the Northeast corner of said Lot 16, W. B. Baker Subdivision of the 'Cody a South part ofPartition fOr hSurveyr414�,tAbstractheast r -ofner he953 and a corner of this survey; THENCE North 00° 37' 50" West, at 628.80 pass a -one inch of 2,821.281feetpefound toa5/8iin all anch ironrod in an old post 12" deep for the Northwest corner of this survey, from which corner a one inch iron pipe found by_a fence corner post at the Northeast corner of a 131.57 acre tract conveyed to Stephan Swetlick by Clara H. Berthelsen and husband by deed recorded in Volume 213, Page 66 of the Deed Records of Nueces County, Texas, bears North 00° 37' 50" West 9.2 feet; • THENCE South 89° 57' 20" East, with the South boundary of a tract conveyed to June Yates by Simon_Grossman, et al by deed recorded in Volume 521, Page 199 of the Deed Records of Nueces County, Texas, at 1,602.10 feet, set a 16 penny nail in a 10 inch diameter creosoted post 8" up at the Southeast corner of said June Yates tract and the Southwest corner of the Artemus E. Roberts Subdivision, at 5,278.02 pass a 1/2 inch iron rod found on line in all -a distanceof5,292.09 feet to a 5/8 inch iron rod set at the Northeast corner of Survey 412, Abstract 854 for the Northeast -corner of this survey; THENCE South 00° 03' 55" West, with the common boundary between Survey 412 and Survey 411, 304.21 feet to a 5/8 inch iron rod previously set for the Northwest corner of .Survey 55 and e Southwest corner of�siadsSurvey tract 5411, fore a corner of this survey; EXHIBIT A TRACT I (continued) THENCE South 000 01' 30" East with the common boundary of said Survey 412 and Survey 409, at 2,640.20 feet pass a 4" x 4" concrete monument found flush with the ground on line, in all a distance of 5,277.68 feet to an 8" cedar post about 30" high found at the South- west corner of said Survey 409 and the North- west corner of Survey 410, Abstract 853 for a corner of this survey; THENCE South 000 16' 45" East, with the common boundary of said Survey 408 and said Survey 410, 5,230.80 feet to a 5/8 inch iron rod in an old post in concrete on the North right-of-way line of the Tex Mex Railroad for the Southeast corner of this survey; THENCE with said North right-of-way, 50 feet .from and parallel to the centerline of the tracks, South 89° 23' 00" West, 782.73 feet to a jog in said right-of-way; THENCE South 00°-37' 00" East, 18.42 feet for a corner; THENCE South 89° 23' 00" -West with said North right-of-way, 31.58 -feet from and parallel to the centerline of the tracks, 1,147.50 feet to a jog in said right-of-way; THENCE North 00° 37' 00" West 16.09 feet for a corner; THENCE South -89° 23' 00" West -with said North right-of-way, 47:67 feet from and parallel to the centerline of the tracks, 305.0 feet to a 5/8 inch iron rod set on the common boundary of Lot 1 of the Cushman &`Petrus Survey and the most easterly West boundary of said Survey 408 -for the lower Southwest corner of this- survey; THENCE North 00° 03' 50" West, with last above mentioned common boundary 1,410.58 feet to a 3/4 inch square iron bar found 12" deep at the Northeast corner of said Lot 1 Cushman & Petrus Survey for an -interior corner of said Survey 408 and an interior corner of this survey; THENCE North 89° 48' 40" West, with the North -boundary of said Lot 1 Cushman & Petrus Survey and. the upper South boundary of said Survey 408, 3,035.84 feet to the POINT OF •BEGINNING.. - 2 - TRACT II Being a tract of 9.21 acres of land out of a 28.08 -acre tract of land in the North one- half (N 1/2) of the Northwest one-quarter (NW 1) of Survey No. 409, A.B.BM. A-555, Nueces County, Texas, being the same land conveyed by Deed dated March 15, 1977, re- corded in Volume 1599, Page 290, Deed Records of Nueces County, Texas, from George W. Hoelscher, et ns, as Grantors, to Corpus Christi Petrochemical Company, as Grantee, and being described by metes and bounds as follows: Bsotxsn,o at a point on the West line of said Survey No. 409 for the Northwest comer of this 9.21 -acre tract from which point a %-inch iron rod at the Northwest corner of said 28.08 -acre tract behrs North 00°01'30" West 307.01 feet, and a %-inch iron rod at the Northwest corner of said Survey No. 409 bears North 00°01'30" West 1169.74 feet; Taztccz North 89°58'40" East, at 2635.85 feet pass the West right-of-way line of McKenzie Road, in all a distance of 2675.85 feet to a point on the centerline of said McKenzie Road for the Northeast corner of this 9.21 -acre tract; THxNcz South 00°00'50" East, with the centerline of McKenzie Road, 150.00 feet to a %-inch iron rod at the Southeast corner of said 28.08 -acre tract for the Southeast corner of this 9.21 -acre tract; TEZxcz South 89°58'40" West, with the South boundary of said 28.08 -acre tract at 40.00 feet pass --said West right-of-way line of McKenzie Road, in all a distance of 2675.82 feet to a %-inch iron rodonthe West boundary line of said Survey No. 409 -for the -Southwest corner of said 28.08 -acre tract and the Southwest corner of this 9.21 -acre tract, from which point a concrete monument at the Southwest corner of the NW i/4 of said Survey No. 409 bears South 00°01'30" East 1319.74 feet; THENCE North 00°01'30" West, with the -West boundary line of said Survey 409, 150.00 feet to the Poner op BEGINNING, containing 9.21 acres of land. TRACT III Being a tract of 6.567 acres of land out of -Survey No. 14, S. H. Huston, A-953, in Nueces County, Texas, being the same land conveyed by Deed dated May 10, 1977, recorded in Volume 1606, Page 779, --Deed Records of Nueces County, Texas, from the Corpus Christi National Bank, Trustee of the June Yates Trust, as Grantor, to Corpus Christi Petrochemical Company, as Grantee, and being described by metes and bounds as follows: BEGINNING at'a 1 -inch iron pipe found at a corner post at the Northeast corner of the Stephen Swetlick 131.57 -acre tract described in Vol. 213, Page 66, Deed Records of Nueees County, Texas; THENCE, South 89°59'30" West along the North boundary line of said Swetlick Tract 1761.58 feet -to a 1 -inch iron pipe in the center line of Violet Road for the North- west corner of the Swetlick Tract and the Southwest corner of this 6.567 -acre tract; THENCE, North I0°26'30"_East along said centerline of Violet Road, 152.53 feet to a point for the Northwest comer of this 6.567 -acre tract; THENCE, North 89°59'30" East 1884.16 feet to a point for the Northeast corner of this 6.567 -acre tract; THENCE, South 00°02'40" West 159.33 feet to a point in the North boundary line of Survey No. 412, A-854 for the Southeast corner of this 6.567 -acre tract; THENCE, North 89°57'20" West along the boundary line of said Survey No. 412, 150 feet to a %-incb iron pipe, the Northwest corner of said Survey No. 412; Tn ecr, North 00°37'50" West with the East boundary line of said Swetlick Tract 9.20 feet to the Porxr or BEon eneo, and containing 6.567 acres of land. — 3 — vr. TRACT IV Being a tract of 36.26043 acres of land out of a 1783.33 acre tract known formerly as the original W. S. McGregor Tract in Survey No. 582, A-1000 and Survey No. 583, A-1001, Nueces County, Texas, being the same land referred to as the "Subject Property" in Deed dated as of March 10, 1978, filed in counterparts under Nneces County Clerk's File Nos. 95445 through 95453, Deed Records of Nueces County, Texas, from Dr. McIver Furman, W. Preston Pittman and T. S. Scibienski, Trustees of the Robert Driscoll and Julia Driscoll and Robert Driscoll, Jr. Foundation, et al., as Grantors, to Corpus Christi Petrochemical Company, as Grantee, and being described by metes and bounds as follows: BEOINNLNo at a point in the Nneces County Navigation District's South bulkhead line in the Viola Turning Basin, as described in Mutual Conveyance dated June 8, 1959 between the Nneces County Navigation District No. 1 and Kathleen Jones Alex- ander, et aL, recorded in counter -parts in Volume 868, Pages 571 and 604 and Volume 869, Page 34, Deed Records of Nneces County, Texas, for the northwest corner of this 36.26043 -acre tract, said point being in the West line of the above referred to W. S. McGregor 1783.33 -acre tract, from whence the Northwest corner of said 1783.33 -acre tract bears. North 00° 41' 04.5" West at approximately 1598.32 feet; THENCE along the Nneces County Navigation District's South bulkhead line of the Viola Turning Basin and Channel as follows: South 76° 59' 04.5" East a distance of- 1624.69 feet to a point; thence South 71° 00' 54" East a distance of 732.14 feet to a point for the Northeast corner of this 36.26043 -acre tract;- THENCE South 35° 17' 29" West a distance of 1049.70 feet, to a point in the North line of a 120 -foot wide tract reserved for a road right-of-way for the Southeast corner -of this 36.26043 -acre tract, said point being 120 feet measured at a right angle, from the North right-of-way line ofthe Missouri Pacific Railroad; THENCE North 54° 42' 31" West along the North line of said right-of-way tract, 120 feet from and parallel to the North right-of-way line of said Missouri Pacific .Railroad, a distance of 895.39 feet to a point for an interior corner; Tssxcz North 74° 56' 00" West along the North right-of-way line of said road reservation tract, a distance of 404.97 feet to a point for an interior corner; THExcx continuing along the right-of-way line of said road reservation tract, 120 feet from and -parallel to_the North right-of-way line of said Missouri Pacific Railroad, North 54° 42' 31"West a distance of 443.93 feet to a point of curvature, of a curve to the left; TnENCE along said curve to the left, having a radios of 5899.58 feet, 120 feet from and parallel to the North right-of-way line of the Missouri Pacific Railroad, a distance of 216.63 feet to a point in the West line of the W. S. McGregor 1783.33 -acre tract for the Southwest corner of this 36.26043 -acre tract,- said point lying in the East line of a roadway easement granted to Nueces County by the Nueces County Navigation Dis- trict No. 1 by instrument recorded in Volume 1638 at Page 313, Deed Records of Nueces County, Texas; THENCE North 00° 4Y 04.5" West along the West line of said W. S. McGregor 1783.33 -acre tract and said roadway easement, at 24.78 feet pass the Northeast corner of said roadway easement, and in all a distance of 459.97 feet to the Point of Begin- ning, containing 36.26043 acres of land. That the foregoing ordinance was read for first time and passed to its second reading on this the aS day of , 191/i , by the following vote: Luther Jones Edward L. Sample Dr. Jack Best Jack K. Dumphy Leopoldo Luna Betty N. Turner Cliff Zarsky That the foregoing ordinance I s read fo%� a� seand time Ind passed to its third reading on this the day on , 19W I , by the following vote: Luther Jones Edward L. Sample Dr. Jack Best Jack K..Dumphy Leopoldo Luna Betty N. Turner Cliff Zarsky That the foregpi g ordinan as read for the third time and passed finally on this the !. day of 19 / , by the following -vote: Luther Jones Edward L. Sample Dr. Jack Best Jack K..Dumphy Leopoldo Luna: Betty N. Turner Cliff Zarsky Q,t,c_P J PASSED AND APPROVED, this the L �l day of i -4: 19V ATTEST: it ecretary MAYOR THE CITY OF CORPUS CHRISTI, TEXAS APPRO D: / DAY OF Feb ,� 198) : J. BRUCE AYCOCK, CITY ATTORNEY By aVme ,ssisr .'lity Attorne,'3 5 1G154 4_ MOTION TO AMEND moved and - seconded this motion to ame d the ordinance authorizing the City Manager to exe- cute an industrial district agreement with Corpus Christi Petrochemical Company for a term of seven (7) years commencing. January 1, 1981, passed on first reading by the City Council of the City of Corpus Christi on February 25, 1981, and on second reading on March 11, 1981, 'the following: 1._ Amending the first sentence of Article IIIc) of Exhibit 7 to hereafter read as follows: "With respect to any new improvements or facilities, which are -hereby defined as those being completed after January 1, 1974-, Company shall pay to City five percent (5%) rather than the percentage -of the amount of ad valorem taxes as calculated in paragraph (b) above for each year of use, i.e., 10% the second -year -in use, 15% the third year in use, etc." 2. Amending the first paragraph of Article I of Exhibit 1 to hereafter read:as follows: "City covenants_and agrees that during the term of this Agreement; and subject to the terms and provisions hereof, - said land shall retain its extraterritorial status as an industrial district and -shall continue to retain such status until and unless the same is changed pursuant to the terms of this Agreement. Except as herein provided City further 'covenants and -agrees -that -said land shall be immune from annexation. Whenever it may be necessary, in the opinion of the -City Council', to annex land not immune from annexa- tion by an effective industrial district agreement pursuant - to Ordinance 15898, and in order -to carry out such annexation it is necessary, in the opinion of the City Council, -to annex . a strip or corridor"of land contained -within Exhibit A,'Company shall designate, within sixty (60) days after the City sends Company written request to provide such strip or corridor, a strip or corridor (hereinafter called "annexation corridor") in -a width and length legally sufficient to accomplish a con- tractual annexation of the annexation,corridor pursuant to 4. Article..I, Section 2 of the City Charter of Corpus Christi and' to enable the City to annex.the aforementioned land not immune from annexation. "Said annexation corridor shall thereafter be included within the corporate boundaries of the City of Corpus Christi, and shall become a part thereof, subject to the terms of Article I, Section 2 of the City Charter of Corpus Christi, as amended. In the event that Company fails or refuses to make such designation legally sufficient to accomplish such purpose, the City may, at its option, either (1) terminate this industrial district agreement and any guarantee of impunity from annexation shall thereafter be void, or (2) seek a mandatory injunction from any court of competent jurisdiction to compel Company to make such designation and perform such other acts as may be necessary. for the City to annex said annexation corridor pursuant to this agreement and to Article I, Section 2 of the City Charter, or both." 3. Amending the first sentence of Article VI(c) of Exhibit 1 to hereafter read as follows: "In_the-event-City breaches this Agreement by annexing or•attempting-t_ pass an ordinance annexing any of the said land, except as provided in Article I of this Agreement, Company shall be entitled to enjoin City from the -date of its breach for the balance of the term of this Agreement, from enforcing any annexation ordinance adopted in violation of this Agreement and from taking any further action in vio— lation of this Agreement." 4. Amending Article III(f) of Exhibit 1 to hereafter read as follows: "(f) Minimum Payments. For any Company which qualifies as an industry under Ordinance No. 15898 and which has less than two million dollars ($2,000,000) in market value of improvements on said land subject to this agreement, such Company, in lieu of. the payments in items (a), (b), (c), (d), and (e) above, shall pay the lower of: "(i) an amount in lieu of taxes on said land equal to one hundred percent (100%) of the amount of ad valorem taxes based on the market value of said land which would be payable to City if said land were situated within the city limits, plus an amount equal to one hundred percent (100%) of the ad valorem taxes on one million dollars ($1,000,000) of improvements which would be payable to City if said improvements were situated within the city limits, regardless of which one million dollars ($1,000,000) of improvements exist on said land, or "(ii) the amount of ad valorem taxes on land, improve- ments and personal property on said land which would be payable to City if said land, improvements and personal property were situated within the city limits of City, plus an amount in lieu of City sales tax equal to that which would be remitted to the State Comptroller annually by Company, and which would later be remitted to City by the State Comptroller, if said land were situated within the city limits." 5. Amending the third "WHEREAS" clause of Exhibit 1 to hereafter read as follows: "WHEREAS, pursuant -to said policy and the provisions of Article 970a, Revised Civil Statutes of Texas, known as the Municipal Annexation Act, City has enacted Ordinance No. 15898 indicating its willingness, within 90 days after final passage of said ordinance, to enter into industrial district agreements with industries located within its extraterritorial jurisdiction and designating areas located in its extraterritorial jurisdiction as industrial districts, herein collectively called "Districts", and Ordinance No. 15949 designating land areas as Corpus Christi Industrial Development Area No. 1 and Corpus Christi Industrial Development Area No. 2; and" - PASSED - 127k -ex -v. -WC /49 /4%0