The URL can be used to link to this page

Home My WebLink About022115 ORD - 12/20/1994AN ORDINANCE AUTHORIZING THE CITY MANAGER TO EXECUTE THE FIRST AMENDMENT TO CONSULTING SERVICES AGREEMENT WITH THE GREATER CORPUS CHRISTI BUSINESS ALLIANCE WHEREBY THE ALLIANCE AGREES TO GUARANTEE PAYMENT OF DEBT SERVICE FOR IMPROVEMENTS FOR MUSEUM DISPLAY OF THE COLUMBUS FLEET REPLICAS, THE ALLIANCE IS RELEASED FROM SIMILAR OBLIGATIONS CONNECTED WITH THE U.S.S. LEXINGTON MUSEUM, THE TERM OF THE AGREEMENT IS EXTENDED UNTIL JULY 31, 2015, AND RELATED PROVISIONS ARE AGREED, AS SET FORTH IN THE AGREEMENT ATTACHED AS EXHIBIT A; PROVIDING FOR SEVERANCE; AND DECLARING AN EMERGENCY NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS, THAT: SECTION 1. The City Manager is hereby authorized to execute the First Amendment To Consulting Services Agreement with the Greater Corpus Christi Business Alliance, a substantial copy of which is attached hereto as Exhibit A and made part hereof. SECTION 2. If for any reason any section, paragraph, subdivision, clause, phrase, word or provision of this ordinance shall be held invalid or unconstitutional by final judgment of a court of competent jurisdiction, it shall not affect any other section, paragraph, subdivision, clause, phrase, word or provision of this ordinance, for it is the definite intent of this City Council that every section, paragraph, subdivision, clause, phrase, word or provision hereof be given full force and effect for its purpose. SECTION 3. That upon written request of the Mayor or five Council members, copy attached, to find and declare an emergency due to the need for immediate action necessary for the efficient utilization of physical resources in the City and for the efficient and effective administration of City affairs, such finding of an emergency is made and declared requiring suspension of the Charter rule as to consideration and voting upon ordinances at two regular meetings so that this ordinance is passed and shall take effect upon first reading as an emergency measure this the ZC day of r 1994. ATTEST: QairCity Secretary URB\ORD\011.jrb(aar) THE CITY OF CORPUS CHRISTI 9_' 15 MLRQEIL& a APPROVED 'I HIS THE 13TH DAY OF DECEMBER, 1994. JAMES R. BRAY, CITY ATTORNEY By: URB\ORD\O11.jrb(aar) Corpus Christi, Texas L day of Lc( f- , 19 TO THE MEMBERS OF THE CITY COUNCIL Corpus Christi, Texas For the reasons set forth in the emergency clause of the foregoing ordinance an emergency exists requiring suspension of the Charter rule as to consideration and voting upon ordinances at two regular meetings: Uwe, therefore, request that you suspend said Charter rule and pass this ordinance finally on the date it is introduced, or at the present meeting of the City Council. Respectfully, Respectfully, MAYOR THE CITY OF CORPUS CHRISTI Council Members The above ordinance was passed by the following vote: Mary Rhodes (iL)1 Dr. Jack Best (� , Melody Cooper Cezar Galindo Betty Jean Longoria Edward A. Martin Dr. David McNichols David Noyola Clif Moss VRB\ORD \01 t,jrb(aar) 0 5 FIRST AMENDMENT TO CONSULTING SERVICES AGREEMENT THE STATE OF TEXAS § § KNOW ALL BY THESE PRESENTS COUNTY OF NUECES § This First Amendment to Consulting Services Agreement is executed by and between the City of Corpus Christi, Texas, a municipal corporation (hereinafter the "City") and the Greater Corpus Christi Business Alliance, formerly known as the Corpus Christi Bay Area Business Alliance, a private, Texas nonprofit corporation (hereinafter the "Contractor") and amends that original Consulting Services Agreement between the City and Contractor finally executed on September 2, 1994 (the "Consulting Services Agreement"). WHEREAS, the City issued its "City of Corpus Christi, Texas Combination Tax and Municipal Hotel Occupancy Tax Revenue Certificates of Obligation, Series 1992" in the principal sum of $3,000,000 (the "Lexington Certificates") for the purpose of financing the cost of construction of various improvements to support the U.S.S. Lexington as a museum in Corpus Christi Bay; and WHEREAS, the City proposes to issue certain additional combination tax and municipal hotel occupancy tax revenue certificates of obligation in the principal sum of $2,910,000 for the purpose of financing the construction of various improvements to support the Las Carabelas Columbus Fleet as a museum display adjacent to the Corpus Christi Museum of Science and History (the "Columbus Fleet Certificates"); and WHEREAS, the parties have arranged for the assumption of the obligations of Contractor to pay the debt service on the Lexington Certificates by the Lady Lex Museum on the Bay Association pursuant to a Reimbursement Agreement between the City and said Association, and the City has agreed to release Contractor from its obligations relating to the Lexington Certificates so that Contractor may make similar obligations to pay the Columbus Fleet Certificates; NOW, THEREFORE, in consideration of the mutual covenants contained herein, the parties agree as follows: Section 7 of provisions on Convention and Visitor Services in the original Consulting Services Agreement shall be amended to hereafter read as follows: 7. Compensation. The City agrees that for the convention and visitor services performed by Contractor the City shall pay annually to Contractor the sum of $1,625,000 (the "Base Amount"). Provided, however, that should hotel/motel tax receipts to the City for the twelve months ending March 31 in any year fall below $3,200,000, the Base Amount for the following fiscal year shall be renegotiated. In the event the City's r r hotel/motel tax receipts exceed $3,200,000 for the same period, the City agrees to pay a performance bonus equal to twenty-five percent (25 %) of the amount of tax in excess of $3,200,000 up to but not exceeding $5,000,000. If hotel/motel tax receipts to the City in any year ending March 31 exceed $5,000,000, the bonus amount shall be renegotiated. Notwithstanding the foregoing, the City shall be authorized to deduct from the above funding to Contractor such sums as are necessary to pay the debt service on a $2,910,000 portion of the City's combination tax and municipal hotel occupancy tax revenue certificates of obligation expended for the location and development of the Las Carabelas Columbus Fleet as a museum display adjacent to the Corpus Christi Museum of Science and History. Said deductions shall be made only in the event the Las Carabelas Columbus Fleet Association fails to make its lease payments when due in an amount equal to cover such debt service obligation pursuant to the terms of the lease agreement in effect between said Association and the City and insufficient funds are available in the debt service reserve fund for such certificates to cover such payment. The City reserves the right to off -set up to the entire amount of any payment from the City to Contractor under this Agreement as may be necessary to cover such obligation, and in the event additional funds are required to cover such payment, the Contractor agrees to pay such funds to the City within five (5) days. Provided, further, Contractor assures the City that the City shall not be liable for any operating deficit incurred by said Association in operating the Columbus Fleet nor shall the Association seek funding from the City for any such operating deficit. Contractor's obligations under this provision are expressly subject to (a) the continued appropriation by the City each year of hotel/motel tax funds for Contractor in an amount at least equal to the formula provided under this Agreement, and (b) the continuation of the offer on the part of the City to lease to Las Carabelas Columbus Fleet Association the area adjacent to the Corpus Christi Museum of Science and History on the same or similar terms as authorized by the City Council on December 20, 1994. Notwithstanding anything herein to the contrary, Contractor's obligations concerning Las Carabelas Columbus Fleet Association and the above-described bonds are not a general liability of the corporation but are solely payable out of the revenues received from the City into Contractor's convention and visitor fund. Section 7 of General Provisions in the original Consulting Services Agreement shall be amended to hereafter read as follows: 7. Term. The term of this Agreement shall commence as of August 1, 1994, and it shall continue until July 31, 2015, subject to earlier termination as provided herein. Except as amended above, all of the terms and conditions of the original Consulting Services Agreement are hereby ratified and confirmed and shall remain in full force and effect. 2 Pis EXECUTED on the dates indicated below binding the respective parties as of the last day of execution below. GREATER CORPUS CHRISTI BUS t + L By .� Date: 12 'IL -4`t Robert R. Carey Chairman of the Bo CITY OF CORPUS CHRISTI, TEXAS By: Date: Juan Garza City Manager ATTEST: By: City Secretary APPROVED AS TO LEGAL FORM: This _ day of December, 1994. James R. Bray, Jr., City Attorney O:\ I I\AGMr.94\ALLCfrAM.33a11 3 Final