HomeMy WebLinkAbout027210 RES - 04/10/2007Page 1 of 2
RESOLUTION
AUTHORIZING THE CITY MANAGER, OR HIS DESIGNEE, TO
EXECUTE THE FIRST AMENDMENT TO THE AGREEMENT TO
GRANT BUSINESS INCENTIVES TO MCTURBINE, INC., FOR
THE CREATION OF JOBS TO EXTEND THE TERM OF THE
PROGRAM AGREEMENT.
WHEREAS, the Corpus Christi Business and Job Development Corporation, the
CNiy of Corpus Christi, and McTurbine, Inc. executed an agreement for the
purpose of providing business incentives to McTurbine, Inc., a Texas corporation,
a wholly owned subsidiary of AAI Services Corporation, to construct a new facility
and to create 100 new jobs, for a term of five years from the date of the
execution of the contract.
VIMM1EREAS, the parties to the Agreement desire to execute this First Amendment
to the Agreement to cure any missed deadlines, more clearly define ownership of
the project site, and extend the term for an additional twelve (12) months.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF CORPUS CHRISTI, TEXAS:
SECTION 1. The City Council of the City of Corpus Christi, Texas, approves the
First Amendment to the Agreement to Grant Business Incentives between the
Corpus Christi Business and Job Development Corporation and McTurbine, Inc.,
a Texas corporationto extend the term of the agreement for an additional twelve
(12) month period.
SECTION 2. The City Manager, or his Designee, is authorized to execute the
First Amendment to the Agreement to Grant Business Incentives to McTurbine,
Inc. for the Creation of Jobsa copy of the amendment is attached as Exhibit "A".
ATTEST:
CITY OP CORPUS CHRISTI
Armando Chapa Henry Gar ett
City Secretary Mayor
APPROVED AS TO FORM: April 4, 2007
ONVOI
. Smith
Assistant City Attorney
For the City Attorney
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027210
Cor • u hristi, Texas
of
Page 2 of 2
, 2007
The above resolution was passed by the following vote:
Henry Garrett
Brent Chesney
Melody Cooper
Jerry Garcia
Bill Kelly
Rex A. Kinnison
John E. Marez
Jesse Noyola
Mark Scott
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FIRST AMENDMENT
TO THE AGREEMENT TO GRANT BUSINESS INCENTIVES TO
MCTURBINE, INC.
FOR THE CREATION OF JOBS
This first amendment ("First Amendment") to the Agreement to Grant Business
Incentives to McTurbine, Inc., for the Creation of Jobs ("Agreement") is made by and
between the Corpus Christi Business and Job Development Corporation
("Corporation"). the City of Corpus Christi ("City"), and McTurbine, Inc., ("McTurbine"), a
Texas corporation, a wholly owned subsidiary of AAI Services Corporation.
WHEREAS, the Corporation, City and McTurbine executed the Agreement for the
purpose of providing business incentives to McTurbine to construct a new facility and to
create 100 new jobs:
WHEREAS, the term of the Agreement was stated as five years from the date of
execution of the contract;
WHEREAS, economic factors caused excusable delays for McTurbine in the completion
of its obligations under the Agreement;
WHEREAS, the parties to the Agreement desire to execute this First Amendment to
revise the provisions of the Agreement to cure any missed deadlines, more clearly
define ownership of the project site, and extend the term for an additional 12 months.
NOW, THEREFORE, the parties to the Agreement agree to amend the Agreement as
follows
Section 1. Section 1 1 of the Agreement is amended to read as follows:
"SECTION 1.1. Project.
"McTurbine, Inc., shall construct a new 40,000 square foot or larger facility
and engine test facility, to be built on property owned by KALZ, LLP, a
Texas limited liability partnership, with a ten year lease to McTurbine, Inc.,
with all improvements owned by McTurbine, Inc., at 401 Junior Beck Drive
in Corpus Christi, Nueces County, Texas 78405, ("Facility"), for total
McTurbine, Inc., capital investment of Three million one hundred dollars
($3,100,000). McTurbine desires the assistance of the Corporation. The
Facility shall be utilized by McTurbine. Inc., for its distribution,
maintenance, repair, and fabrication of helicopter engines and
components."
Section 2. Section 3 1 of the Agreement is amended to read as follows:
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Exhibit A
3.1 "McTurbine, Inc., agrees to construct new 40,000 square foot or
larger production facility and engine test facility, ("Facility"), to be located
on property owned by KALZ, LLP, a Texas limited liability partnership, with
a ten year lease to McTurbine, Inc., with all improvements owned by
McTurbine, Inc., at 401 Junior Beck Drive in Corpus Christi, Nueces
County, Texas 78405. more fully described in Exhibit A."
Section 3. The second section 3.2 of the Agreement is amended to read as follows:
3.2 "McTurbine, Inc., agrees that construction of the facility shall be
completed within 42 24 months of execution of this agreement."
Section 4. Section 4.1 of the Agreement is amended to read as follows:
4.1 "McTurbine, Inc., agrees to create and maintain at least one
hundred (100) new full-time jobs, permanent jobs at its Facility within three
four years from April 27, 2005, the date McTurbine, Inc., submitted its
application for business incentives to Corporation. A full-time permanent
job is one that provides at least 2,080 hours annually."
Section 5. Section 7.2 "Term' of the Agreement is amended to read as follows:
7.2 Term.
"The term of this Agreement is five six years from the Effective Date."
Section 6. By execution of this first Amendment, the parties agree to be bound by the
amended term provision. All other provisions, obligations, and conditions of the
Agreement not changed by this First Amendment remain the same and in full force and
effect.
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EXECUTED IN DUPLICATE, each of which is considered an original, on this the
day of , 2007.
CORPUS CHRISTI BUSINESS &
JOBTIDEVELOPMENT CORPORATION
Signature
Printed name:
Date:
Title
STATE OF TEXAS §
COMITY OF NUECES §
ACKNOWLEDGMENT
KNOW ALL BY THESE PRESENTS:
This instrument was acknowledged before me on 2007,
by as the (title)
of the Corpus Christi Business and Job Development Corporation, a Texas nonprofit
corporation, on behalf of the corporation.
(seal) NOTARY PUBLIC, State of Texas
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ATTEST: CITY OF CORPUS CHRISTI
Armando Chapa
City Secretary
Date:
APPROVED AS TO FORM:
Gary W. Smith
Assistant City Attorney
for the City Attorney
George K. Noe
City Manager
Date:
McTurbine, Inc., a Texas corporation and a wholly owned subsidiary of AAI
Services Corporation, a foreign corporation authorized to do business in Texas
Signature
Printed name:
Date:
Title
STATE OF TEXAS §
COUNTY CF NUECES §
ACKNOWLEDGMENT
KNOW ALL BY THESE PRESENTS:
This instrument was acknowledged before me on , 2007,
by as the (title)
of McTurbine, Inc., a Texas corporation, on behalf of the corporation.
NOTARY PUBLIC, State of Texas
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