HomeMy WebLinkAbout16637 ORD - 10/28/1981AN ORDINANCE
AMENDING ORDINANCE NO. 16564, WHICH AUTHORIZED AN
INDUSTRIAL DISTRICT AGREEMENT WITH JESS EDWARDS,
INC., FOR THE TULE LAKE INDUSTRIAL PARK, TO SUBSTI-
TUTE AN ALTERNATE AGREEMENT ATTACHED HERETO AS
EXHIBIT "1" FOR THE ONE ORIGINALLY EXECUTED BY
THE COMPANY; AND DECLARING AN EMERGENCY.
WHEREAS, Ordinance No. 16601 amended Ordinance No. 15898 to
authorize an alternate standard form industrial district agreement; and
WHEREAS, Jess Edwards, Inc., previously entered into an industrial
district agreement and now desires to execute an alternate standard form
industrial district agreement in lieu thereof:
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS
CHRISTI, TEXAS:
SECTION 1. That ordinance No. 16564, which authorized -an industrial
agreement with Jess Edwards, Inc., for the Tule Lake Industrial park, be and
the same is hereby amended to substitute an alternate agreement, attached
hereto as Exhibit "1", for the one originally executed by the company.
SECTION 2. That upon written request of the Mayor or five Council
members, copy attached, to find and declare an emergency due to the need for
efficient administration of City affairs by authorizing substitution of an
alternate industrial agreement, as aforesaid, such finding of an emergency
is made and declared requiring suspension of the Charter rule as to consider-
ation and voting upon ordinances or resolutions at three regular meetings
s0 that this ordinance is passed and shall take effect upon first reading as
an emergency measure this the 29 day of (J4146)L4 1981.
ATTEST:
Ci y Secretary
APPRO ED:
?moi DAY OF OCTOBER, 1981:
J. BRUCE AYCOCK, CITY ATTORNEY
By _
Assi anyr ity Attorn
777,44
MA IR AK
TH ITY OF CORPUS CHRISTI, TEXAS
16€ 37
SSP b r 1984
UfILMED
INDUSTRIAL DISTRICT AGREEMENT
THE STATE OF TEXAS k
COUNTY OF NUECES I
CITY OF CORPUS CHRISTI I
4-2-81
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 •TFSS EDWARDS TNC
a Texas corporation,
corporation, and
, a
(Landowner)
(Lessee)
(Improvements Owner)
a corporation, hereinafter collectively called "COMPANY",
WITNESSETH:
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
w4'l tend to enhance the economic stability and growth of the City and its en-
virons and which will attract the location of new and 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 improve-
ments 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. 3/ •
n•
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
WHEREAS, pursuant to Said policy and 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 agree-
ments 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
Xy ,1 "
designating land areas as Corpus Christi Industrial Development Area No. 1 and
Corpus Christi Industrial Development Area No. 2; 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, THEREFORE, 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 agree 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 extra-
territorial 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 Agree-
ment. 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 servicesexceptfire protection in the event Company makes
additional payments to City under Article III(d) hereof, and such other City
services as are 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 regu-
lations (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
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the Municipal Annexation Act; provided, however, that in the event this Agreement
is not so extended for an 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 and 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 assigns. In this connection, City
recognizes that industrial district agreements of this kind are conducive to the
development 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 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 Agree-
ment, Company shall provide to City's Tax Assessor -Collector a written statement
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of its opinion of the market value sworn'to by an official of Company authoriYed
to do the same.
(c) An additional amount for City fire protection equal to fifteen
percent (15%) of the amountwhich 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 successor, it shall
not be obligated to pay the additional amount provided by this paragraph (c).
IU
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 assess-
ment 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 determinations of market value and taxation,
including, but not limited to, laws relating to rendition, assessment, equaliza-
tion 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
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 jurisdication or as the
result of other final settlement of the controversy, then within thirty (30)
days thereafter Company shall snake to City an additional payment due based
on such final valuation. If as a result of final judgment of a court of
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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 sum or sums 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 delinquent ad valorem
taxes.
(b) City shall be entitled to a tax lien on said land and improve-
ments, in the event of default in payment of in lieu of tax payments hereunder,
which may be enforced by City in the same manner as provided by law for the
collection of delinquent 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 Agree-
ment, from enforcing any annexation ordinance adopted in violation of this Agree-
ment 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 attempted so as to include within
its limits such land or property, the City shall seek a temporary and permanent
injunction against such annexation or incorporation, 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 make the in lieu of taxes
payments required hereunder. Such option shall be exercised within thirty (30)
days after the application for such temporary injunction 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 cal-
endar 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 subject to the following:
.(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 invali-
dating 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 improve-
ments 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
Jte 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 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 subsidi-
aries, 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 be held to be covenants
running with said land for so long as this Agreement or any extension thereof
remain in.force.
XI
(a) Whenever the Company sells a contiguous portion of said land
consisting of 20 acres or__mnre to an ancillary industry which will be engaged
on the property in the further 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 changes from 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 a
buyer other than an affiliate a portion of the lands described in Exhibit "A".
Company shall furnish to the City's Tax Assessor -Collector a revised Exhibit "A",
which revised exhibit 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
7
Company improperly plats, subdivides or conveys a portion of the lands described
in Exhibit "A", 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 pay-
ment 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.
XIII
In the event any one or more words, phrases, clauses, sentences,
paragraphs, sections, articles or other part of this Agreement or the appli-
cation thereof to any person, firm, corporation or circumstances shall ever
be held by any court of competent jurisdiction to be invalid or unconstitutional
for any reason, then the application, invalidity or unconstitutionality 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 13th day of October , 19 81 .
ATTEST:
JESS EDWARDS INC. (Company)
(Landowner)
(`") ' .':-...r/ `/( ) 4 7/ -f By .,,/,'"--.7/1.;-<7-,''
Secretary/ (Asistan R. P. Hill, President
ATTEST:y
Secretary
(Lessee)
(Company)
By
ATTEST:
Secretary
ATTEST:
(Improvements Owner)
(Company)
By
CITY OF CORPUS CHRISTI
By
City Secretary
Ernest M. Briones, Acting City Manager
APPROVED: DAY OF
J. BRUCE AYCOCK, CITY ATTORNEY
By Com-
Assistan ity`Attorney
(1) Standard Industrial Classification Manual. (Executive Office of the President
Office of Management and Budget, Statistical Policy Division, 1972). 659 pp.
nor M, MUNfOE. 1.,r.
MOARAY WA.A. J71.. 1•.K,, ' 1.'• A/o 018 . ss 71.0041
0004 0. AUMIIOA
MUNROE 84 BASS, INC.
CONSULTING ENGINEERS
1',, 0. 00* 3337
00110%.18 CHRISTI. 'ramAS 70411
•
Mr. R.P. Hill '
Jess Edwards Inc.
P.O. Box C
Corpus Christi,.Texas 78406'
Dear Mr. Hill.
In accordance with your request we have calculated the area of the following
described property;
• .9//78'
• 1)
•i
Being all of Lots 2 through 16, inclusive, of Block A, Section'9, Range V'
Kinney Sectionized Lands as shown on the plat thereof recorded in Volume
' 26 at Page 64 of the:lap Records of Nueces County. Texas.
We have determined the area Of the aforementioned property to be 22.588
acres.
Also enclosed as "Exhibit A" is field note'description of a."50 FOOT WIDE,
UNDEDICATED ROAD RIGHT-OF-WAY" dated 3 July 1978 embracing 1,056:acres. •
This Right -of -Way is not included in the area of Lots 2-16, Block A.
> The total area of Lots 2-16 and the Right -of -Way is 23.644 acres.'
Please feel free to call on us if you have•any.questions or require any .
additional information.
Yours' Very Truly. '
t: c:
.1 •
'1•
• __'1,":••e. .'i CII ..j,j,1•
. s t a ,f i •�t: ' :rL t ..
M rray B•ss `d' P.E
ice President .
Enclosed: "Exhibit A"
•
•
•j .1.
11. ,it 1'C �.• '
•a +11•'•1 , 1,•
M .b'
t•
EXHIBIT "A"- '
MUNROE 8e BASS. tNC,
CONBULTINO ENGINEERS
P, O. BOX bYY7' •• '
CORPV/. CHHInT1, TNXAO 70411 '• 1a ' •
3 July 1978 '''1 �;a '' •
i ' •
FIELD NOTE DESCRIPTION •
50 FOOT WIDE, UNDEDICATED ROAD RIGHT-OF-WAY 1. : .•1
Being a tract of land situated in Nueces County, Texas out of Lot 1, Block •"A".
Section 9, Range V, Kinney Sectionized Lands as shown on the plat thereof recorded
in Volume 26 at Page 64 of the Map Records of Nueces County. Texas and being more
particularily described by metes and bonds as follows:
BEGINNING at the most southerly southwest corner of Lot
14, Block A, Section 9. Range V; Kinney Sectionized Lands:.'
and an interior corner of said Lot 1, Block A for the south -C.. `'
east corner of this tract; -
• THENCE N 1° 00' 00" W along the west -line of Lots 14. 15. • '"`:
and 16; at 100.74 feet pass the most,.southerly corner of
:1:2 Lot 15, at 375.13 feet pass the most southerly corner of, '
Lot 16, and in all a distance of 649.52 feet to a point the'
' southwest corner of Lot 16. an interior corner on Lot 1 and
;.'2 an interior corner of this tract; i!,
'THENCE N 20° 22' 23" E along the northwest line of Lot 16 a ' ' '..4=•
> distance of 261.34 feet to the 'northwest corner of Lot 16, the.'''
',.;:; most northerly northeast corner of Lot 1 and the northeast ;
{:,,'•,corner of this tract, said point lying in this south right -
''of -way line of Up River Road, and the north line of Lot 1; •
THENCE N 69° 37' 37" W along said south right-of-way line of.='.
Up River Road and the north line of Lot 1 a distance of 50,0••:!°Y. ;
feet to a point for the northwest corner of this tract;
• THENCE S 200 22' 23" W. 50 feet northwest of and parallel to,'',
the northwest line of Lot 16, a distance of 270.77 feet to a
• point for an interior corner of this tract;
THENCE S 1° 00' 00" E, 50 feet west of and parallel to the
west line of Lots 16, 15 and 14, a distance of 658.52 to a
point for the southwest corner of this tract, said point lying '
.on the westerly extension of the south line of Lot 14;
THENCE N 89° 30' 23" E along said westerly extension of the
south line of Lot 14 a distance of 50.0 feet to the Point of
Beginning, forming a tract of land embracing 46,002.49 square.
:.:'feet or 1.056 acres.
•M1
•1 1
'1 '
Corpus Christi, T,xas
2Y day of
, 1981
TO THE MEMBERS OF THE CITY COUNCIL
Corpus Christi, Texas
For the reasons set forth in the emergency clause of the foregoing ordinance or resolution,
an emergency exists requiring suspension of the Charter rule as to consideration and voting
upon ordinances or resolutions at three regular meetings; I/we, therefore, request that you
suspend said Charter rule and pass this ordinance or resolution finally on the date it is
introduced, or at the present meeting of the City Council.
Respectfully, Respectfully,
Council Members
YSR
T ` CITY OF CORPUS CHRISTI, TEXAS
The above ordinance was passed by the foll.wing vote:
Luther Jones
Betty N. Turner
Jack K. Dumphy
Bob Gulley
Herbert L. Hawkins, Jr.
Dr. Charles W. Kennedy
Cliff Zarsky
16637