HomeMy WebLinkAboutC2011-116 - 4/12/2011 - Approved' t
DISTRIBUTION MAIN EXTENSION CONSTRUCTION
AND REIMBURSEMENT AGREEMENT
THE STATE OF TEXAS §
COUNTY OF NUECES §
This Distribution Main Extension Construction and Reimbursement Agreement ( "Agreement ") is
entered into between the City of Corpus Christi ( "City "), a Texas home -rule municipality, P.O.
Box 9277, Corpus Christi, Texas, 78469 -9277, and North Beach Holdings, LLC, c/o Magnum Oil
Tool International, LLC, 5655 Bear Lane, Suite 100, Corpus Christi, TX, 78405 ( "Developer ").
WHEREAS, Developer in compliance with the City Platting Ordinance, has filed a plat,
approved by the Planning Commission on January 19, 2011, to develop a tract of land of
approximately 0.59 acre called Corpus Beach Hotel Addition, Block III, Lot 52A, located south of
Hotel Place South, between Surfside Boulevard and the Corpus Christi Beach, as shown in the
attached Exhibit 1;
WHEREAS, under the Platting Ordinance, the Developer is responsible for construction of
Distribution Main Extension;
WHEREAS, under the Platting Ordinance, the Developer is eligible for reimbursement of the
Developer's costs for the construction of Distribution Main Extension;
WHEREAS, it is to the best interest of the City that Distribution Main Extension, be constructed
to its ultimate capacity under the Master Plan;
WHEREAS, Section V.13.5.f.)(2) of the Platting Ordinance, authorizes the acceptance of
applications to be eligible for reimbursement in the future when funds become fully available in
the Distributions Mains Trust Fund and are appropriated by City Council; and
WHEREAS, Developer has submitted an application for reimbursement of the costs of installing
the Distribution Main Extension (Exhibit 2);
NOW, THEREFORE, for and in consideration of the mutual covenants in this Agreement, the
parties do covenant and agree as follows:
1. REQUIRED CONSTRUCTION The Developer shall construct the Distribution Main
Extension, in compliance with the City's Platting Ordinance and under the plans and
specifications approved by the Development Services Engineer.
2. PLANS AND SPECIFICATIONS
a. The Developer shall contract with a professional engineer, acceptable to the City's
Development Services Engineer, to prepare plans and specifications for the Distribution
Main Extension, as shown in Exhibit 3, with the following basic design:
1. Install 695 linear feet of 8 -'inch PVC water distribution main line.
2. Install one (1) 6 -inch gate valve with box. INDEXED
2011 -116 RECORDER'S MEMORANDUM
Page 1 of 7 At the time of recordation, this instrument was found
MZa11 -a9a to be inadequate for the best photograph reproduction
04/12/11 because of illegibility, carbon or photocopy, discolored
paper, etc. All blockout additions and changes were
North Beach Holdings present at the time instrument was filed and recorded.
Distribution Main Extension Construction
and Reimbursement Agreement Between
North Beach Holding, LLC and City of Corpus Christi
3. Install one (1) fire hydrant assembly.
b. The Distribution Main Extension must begin at the intersection of Surfside Boulevard
and Hotel Place South and extend around Block III to Paul Place and connect to the
existing 8 -inch lateral at the intersection of Surfside Boulevard and Paul Place.
c. The plans and specifications must comply with City Water Distribution Standards
Detail Sheets and Standard Specifications.
d. Before the Developer starts construction the plans and specification must be
approved by the City's Development Services Engineer.
3. SITE IMPROVEMENTS Prior to the start of construction of the Distribution Main Extension,
Developer shall acquire and dedicate to the City the required additional utility easements
( "Easements "), if necessary for the completion of the Distribution Main Extension. If any of the
property needed for the Easements is owned by a third party and Developer is unable to acquire
the Easements through reasonable efforts, then the City will use its powers of eminent domain
to acquire the Easements.
4. PLATTING FEES Developer shall pay to the City of Corpus Christi the required acreage
fees and pro -rata fees as required by the Platting Ordinance for the area of the Distribution Main
Extension.
5. DEVELOPER AWARD CONTRACT FOR IMPROVEMENTS Developer shall award a
contract and complete the Distribution Main Extension, under the approved plans and
specifications, by October 31, 2011.
6. TIME IS OF THE ESSENCE Time is of the essence in the performance of this contract.
7. PROMPT AND GOOD FAITH ACTIONS The parties shall act promptly and in good faith in
performing their duties or obligations under this Agreement. If this Agreement calls for review or
inspections by the City, then the City's reviews or inspections must be completed thoroughly
and promptly.
8. DEFAULT The following events shall constitute default:
a. Developer fails to engage a professional engineer for the preparation of plans and
specifications by the 10th calendar day after the date of approval by City Council.
b. Developer's professional engineer fails to submit the plans and specifications to the
City's Director of Engineering Services by the 60th calendar day after the date of
approval by City Council.
c. Developer fails to award a contract for the construction of the project, according to the
approved plans and specifications, by the 90th calendar day after the date of approval
by City Council.
d. Developer's contractor does not reasonably pursue construction of the project under
the approved plans and specifications.
Page 2of7
Distribution Main Extension Construction
and Reimbursement Agreement Between
North Beach Holding, LLC and City of Corpus Christi
e. Developer's contractor fails to complete construction of the project, under the
approved plans and specifications, on or before October 31, 2011.
f. Either the City or Developer otherwise fails to comply with its duties and obligations
under this Agreement.
9. NOTICE AND CURE
a. In the event of a default by either party under this agreement, the non - defaulting party
shall deliver notice of the default, in writing, to the defaulting party stating, in detail the
nature of the default and the requirements to cure such default.
b. After delivery of the default notice, the defaulting party has 15 business days from the
delivery of the default notice ("Cure Period ") to cure the default.
c. In the event the default is not cured by the defaulting party within the Cure Period,
then the non - defaulting party may pursue its remedies in this section.
d. Should Developer fail to perform any obligation or duty of this agreement, the City
shall give notice to Developer, at the address stated above, of the need to perform the
obligation or duty, and should Developer fail to perform the required obligation or duty
within 15 days of receipt of the notice, the City .may perform the obligation or duty,
charging the cost of such performance to Developer by reducing the reimbursement
amount due Developer.
e. In the event of an uncured default by the Developer, after the appropriate notice and
cure period, the City has all its common law remedies and the City may:
1. Terminate this Agreement after the required notice and opportunity to cure the
default.
2. Refuse to record a related plat or issue any certificate of occupancy for any
structure to be served by the project.
3. Perform any obligation or duty of the Developer under this agreement and
charge the cost of such performance to Developer. Developer shall pay to City
the reasonable and necessary cost of the performance within 30 days from the
date Developer receives notice of the cost of performance. In the event that
Developer pays the City under the preceding sentence, and is not otherwise in
default under this Agreement, then the Agreement shall be considered in effect
and no longer in default.
f. In the event of an uncured default by the City after the appropriate notice and cure
period, the Developer has all its remedies at law or equity for such default.
10. FORCE MAJEURE
a. The term "force majeure" as employed in this Agreement means and refers to acts of
God; strikes, lockouts, or other industrial disturbances; acts of public enemies;
insurrections, riots; epidemic; landslides; lightning; earthquakes; fires; hurricanes;
Page 3 of 7
Distribution Main Extension Construction
and Reimbursement Agreement Between
North Beach Holding, LLC and City of Corpus Christi
storms; floods; washouts; droughts; arrests; civil disturbances; explosions; or other
causes not reasonably within the control of the party claiming the inability.
b. If, by reason of force majeure, either party is rendered wholly or partially unable to
carry out its obligations under this Agreement, then the party shall give written notice of
the full particulars of the force majeure to the other party within ten (10) business days
after the occurrence or waive the right to claim it as a justifiable reason for delay. The
obligations of the party giving the required notice, to the extent affected by the force
majeure, are suspended during the continuance of the inability claimed, but for no longer
period, and the party shall endeavor to remove or overcome such inability with all
reasonable dispatch.
11. NOTICES
a. Any notice or other communication required or permitted to be given under this
Agreement must be given to the other Party in writing at the following address:
1. If to the Developer:
North Beach Holding, LLC
c/o Magnum Oil Tool International, LLC
5655 Bear Lane, Suite 100
Corpus Christi, TX 78405
ATTN: Lynn Frazier
2. If to the City:
City of Corpus Christi
1201 Leopard Street (78401)
P. O. Box 9277
Corpus Christi, Texas 78469
ATTN: Assistant City Manager
Development Services
b. Notice required by the paragraph may be by United States Postal Service, First Class
Mail, Certified, Return Receipt Requested, postage prepaid; by a commercial delivery
service that provides proof of delivery, delivery prepaid; or by personal delivery.
c. Either party may change address for notices by giving notice of the change under the
provisions of this section.
12. THIRD -PARTY BENEFICIARY Developer's contracts with the professional engineer for
the preparation of the plans and specifications for the construction of the project, contracts for
testing services, and with the contractor for the construction of the project must provide that the
City is a third party beneficiary of each contract.
13. PERFORMANCE AND PAYMENT BONDS Developer shall require its contractor for the
construction of the project, before beginning the work, to execute with Developer and the City a
performance bond if the contract is in excess of $100,000 and a payment bond if the contract is
in excess of $25,000. The performance and payment bond must comply with Texas
Government Code, Chapter 2253.
Page 4 of 7
Distribution Main Extension Construction
and Reimbursement Agreement Between
North Beach Holding, LLC and City of Corpus Christi
14. WARRANTY Developer shall fully warranty the workmanship of and function of the
Distribution Main Extension and the construction of the Distribution Main Extension for a period
of one year from and after the date of acceptance of the facilities by the City Engineer.
15. REIMBURSEMENT
a. Subject to the appropriation of funds, the City will reimburse the Developer the
reasonable cost of the Distribution Main Extension, not to exceed $26,051.75. See
attached cost estimate (Exhibit 4).
b. The City agrees to reimburse the Developer on a monthly basis upon invoicing for
work performed. The reimbursement will be made no later than 30 -days from the date of
the invoice. Developer shall submit all required performance bonds and proof of
required insurance under the provisions of this Agreement.
c. To be eligible for reimbursement, the work must be completed in a good and
workmanlike manner, and must have been inspected and accepted by the City. The City
agrees to conduct periodic inspections and approve the progress of the work at key
points during construction.
d. In the event that this Agreement is terminated by the City, as a result of an uncured
default by the Developer, at a time when there has been a partial completion and partial
payment for the improvements, then the City shall only reimburse Developer for its costs
that were legitimately incurred towards the completion of the improvements that have
been inspected and accepted by the City up to the time that there is an uncured default
by the Developer.
16. INDEMNIFICATION DEVELOPER SHALL INDEMNIFY FULLY, SAVE, AND HOLD
HARMLESS THE CITY OF CORPUS CHRISTI, ITS OFFICERS, EMPLOYEES, OR AGENTS
( "INDEMNITEES ") FROM, AND AGAINST ALL SUITS, CLAIMS, DEMANDS, ACTIONS,
LOSSES, COSTS, EXPENSES, LIABILITY, DAMAGES AND JUDGMENTS RECOVERED
FROM OR ASSERTED AGAINST CITY FOR ANY AND ALL INJURIES SUSTAINED BY ANY
PERSON, INCLUDING WITHOUT LIMITATION WORKERS COMPENSATION, PERSONAL
INJURY OR DEATH, ARISING FROM OR INCIDENT TO, BE CAUSED BY, OR BE IN ANY
WAY CONNECTED WITH, EITHER PROXIMATELY OR REMOTELY, WHOLLY OR IN PART,
THE CONSTRUCTION OF THE DISTRIBUTION MAIN EXTENSION.
17. COVENANT RUNNING WITH THE LAND This Agreement is a covenant running with the
land, Corpus Beach Hotel Addition, Block III, Lot 52A, a subdivision in Nueces County, Texas,
and must be recorded in the Official Public Records of Nueces County, Texas. The duties,
rights, and obligations of the Agreement are binding on and inure to the benefit of the
Developer's successors or assigns.
18. ASSIGNMENT OF AGREEMENT This Agreement or any rights under this Agreement may
not be assigned by Developer to another without the written approval and consent of the City's
City Manager.
19. DISCLOSURE OF OWNERSHIP INTERESTS Developer further agrees, in compliance
with the City Ordinance No. 17110, to complete, as part of this Agreement, the Disclosure of
Ownership interests form attached hereto as Exhibit 5.
Page 5of7
Distribution Main Extension Construction
and Reimbursement Agreement Between
North Beach Holding, LLC and City of Corpus Christi
20. EFFECTIVE DATE This agreement becomes effective and is binding upon and inures to
the benefit of the City and Developer, and their respective heirs, successors, and assigns from
and after the date of execution by all parties.
21. AUTHORITY The person signing this Agreement on behalf of the parties represents,
warrants, and guarantees that they have authority to act on behalf of the party and make this
Agreement binding and enforceable by their signature.
EXECUTED IN TRIPLICATE originals, this IV
day of ' 2011.
North Beach Holding, LLC (Owner/
Developer)
c/o Magnum Oil Tool International, LLC
5655 Bear Lane, Suite 100
Corpus Christi, TX 78405
By•
L
THE STATE OF TEXAS
COUNTY OF
This instrument was acknowledged before me on - "v , - ) � " � )b , 2011, by Lynn Frazier,
President, North Beach Holding, LLC, Owner /Devepr, orus Beach Hotel Addition, Block III,
Lot 52A
•
Not y Public, State of Texas
toll PATRICIA VILLA
1A. • 6�
$° °c Notary Public, State of Texas
: e, My Commission Expires
January 11, 2014
Page 6 of 7
Distribution Main Extension Construction
and Reimbursement Agreement Between
North Beach Holding, LLC and City of Corpus Christi
CITY OF CORPUS CHRISTI ( "City ")
1201 Leopard Street (78401)
P.O. Box 9277
Corpus Christi, Texas 78469
ATTEST:
Armando Chapa
City Secretary
THE STATE OF TEXAS
COUNTY OF NUECES
THE CITY OF CORPUS CHRISTI
By: C
Margie (3 " Rose
Interim City Manager
r
This instrument was acknowledged before me on 45 — , 2011, by Margie C.
Rose, Interim City Manager, City of Corpus Christi, Tex s, a Texas home -rule municipal
corporation, on behalf of the corporation.
Notary Public, State of Tdxtts
APPROVED AS TO FORM: day of �L�— ; 2011
,Deborah W. Bro
Assistant City At of y
for the City Attorney
Page 7of7
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COUNTY, TEXAS AS SHOWN ON THE MAP THEREOF RECORDED IN
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3654 SOUTH ALAMEDA ST.
CORPUS .CHRISTI, TEXAS 784-04
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1, THE YARD REQUIREMEKTN 7yJQ- AS DEPICTED. IS A
REQUIRUENT DF THE ZONiNO pRDWWlCE AND IS
SII&fECT 70 CHANCE AS THE ZONING MAY CHANGE.
SKE IS CURREII ZONED AT". APARIME7JT TOURST
2. THE, MS OF BEARING IS STATE OF TEVAS- LAMEERT GRID, SOUTH ZONE.
NAD 1SE3, FRDU NGS STATION SK -T30,
3. A SUBJECT PROPERTY LIES WITHIN ZONE V22 EL 13 R ZONE V22 EL 15
AS SHOWN ON THE FEDERAL EMERCENOY MANAE£NIM AGENCY (PEk4).
FLOOD INSURANCE RATE MAP (FIRM) OF CORPUS CHRI511, ToAS
CUMMUNRY AND PANEL NUMBER 485184 9159 C DATED .JULY 18, 1085
C THE RECE74ING WATER FOR THE STORNJ 1YATER RUNOFF FROM THIS PRDPERIY IS THE
CORPUS - CHRISTI W. THE TOM RAS CLASSIFIED THE AQUATM LIFE USE FOR THE
CORPUS CHRISn SAY AS 9 l5pCEpR0NP1" AM - OT37EH WATERS, TCEQ ALSO
CATEGORIZED THE CORPUS CHRIST DAY AS "CDNTACT RECRFATION" USE,
S. PRIVATE ACCESS TO AVENI A" IS PRDHIBREU.
S. ) S L ['PCE REGULAlI0N5 6W.L FSE REQUIftCO TURINGG COMPLIANCE WaH THE PUILIC:
THE BUL13ING PERMIT PHASE.
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CORPUS BEACH HOTEL ADDITION
LOT 52A, BLOCK III
BEING A REPLAT OF LOTS 52 -57, BLOCK III, CORPUS BEACH
HOTEL ADDITION, A SUBDIVISION OF CORPUS CHRISTI, NUECES
COUNTY, TEXAS AS SHOWN ON THE MAP THEREOF RECORDED IN
VOLUME 1 AT PACE 52, MAP RECORDS NUECES COUNTY, TEXAS;
CONTAINING 0.621 ACRES,
PRTp)pm OY:
BASS & WELSH ENGINEERING
3654 SOUTH ALAMEDA ST.
CORPUS .CHRISTI, TEXAS 784-04
TEL 367 -882 -5521
FAX 361 -882 -1265
FIRM REGISTRATION NO- 160027 -DO
STATE OF TEMfls
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TIM THE _ Cq' OF 2011.
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RECIGI PROFF351Ok4E wRO sMIrvEmR ..t ................
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JAH 17 2011
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cOUKIY CF Nl1ECE;
I. 'O" WERRA , ma;x CF IHR COUNTY couRr m ANN FOR MD
COMM. DO HUI CERIEY MAT THE PORMNO INSIRUMEIR' CI
THL _ Cw or.. 20. ITS ODTIIXCATE
OF AUfHQ111G119M, m RTEO FOR morm IN MY 9FFIOE THE
BLY CF . 20- AT otwm _31„
ANC DULY RECCXDm DIR .DAY of ` . RD _
AT VOLOX _,.C.,Oi 7HE f RaMRDS of SND COUNTY
IN YOy.LMf _ ^�. PAGE ��. IKSITNOENf'FAINBER
WRNESS 11Y "A" M SUL OF THE COUNTY COURT IN ANO FOR SAID
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APPLICATION FOR WATER DISTRIBUTION MAIN
CONStRUCTION & REIMBURSEMENT AGREEMENT
I, Lynn Frazier, President of North Beach Holding, LLC, owner and developer of proposed Lot 52A, Block
III, Corpus Beach Hotel Addition, hereby request reimbursement of $26,051.75 for the installation of the
water distribution main in conjunction with said Subdivision, as provided for by City Ordinance No.
17092. Said $26,051.75 is the construction cost, including 10% Engineering, in excess of the lot /acreage
fee, as shown by the cost of supporting documents attached herewith.
B
Lyn razier, esi
North Beach Holding, LLC
THE STATE OF TEXAS §
COUNTY OF NUECES §
This instrument was acknowledged Before me on _ In G-rC tP . 2011, by
Lynn Frazier.
2 LISA �IWE PAPENFUSS
110 WKWA9A1EOF7M
Notary Public Ina d For a State of Texas ro�r llEION FilI
'12 -1 1 »2011
NA
CERTIFICATION
The information submitted with this application for reimbursement has been reviewed and
determined to be correct. Reimbursement is subject to:
(a) Sufficiency of funds in the Grid Main Trust Fund; and
(b) Appropriation and approval by the City Council.
Director o Engineering Services (Date)
(City Engineer)
Page 1 of 1
EXHIBIT 2
APPLICATION FOR WATER LINE CREDIT
I, Lynn Frazier, President of North Beach Holding, LLC, owner and developer of proposed Lot 52A, Block Ili,
Corpus Beach Hotel Addition, hereby apply for $ 868.00 credit towards the water lot /acreage fee for the
installation of the distribution main waterline as provided for by the City Ordinance No. 17092. $53,839.50
is the construction cost, including 10% Engineering, as shown by the cost supporting documents attached
herewith.
BY•
Linn Fraz' i
N each Ho ding, LLC
THE STATE OF TEXAS §
COUNTY OF NUECES
This 'instrument was acknowledged before me on M c.rCIK , 2011, by
Lynn Frazier.
0 TA MARIE PAPE
1 OMMO
gRY NlNIC 6TAZf pF1�7Gs
Notary Public In an or t ate of Texas 1 2 -111 E2o1 1 0.
CERTIFICATION
The informati n submitted with this application has been reviewed and determined to be correct and
a credit of is herewith approved:
3a /�
Director of gineering Services (Date)
re7� (City Engineer)
Page 1 of 1
EXHIBIT 2
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REIMS REQ EST -2,xls REIMBURSEMENT REQUEST 314/2011
OFFSITE WATER IMPROVEMENTS
LOT 52A, BLOCK III,
CORPUS BEACH HOTEL ADDITION
ITEM NO. DESCRIPTION UNIT QUANTITY UNIT PRICE TOTAL
1
8" C900 PVC PIPE
L.F.
695
$22.00
$15,290.00
2
&'X 6" TEE
EA.
1
$5000.00
$500.00
3
6'90 DEG BEND
EA.
1
$375.00
$375.00
4
6" GATE VALVE
EA.
1
$800.00
$800.00
5
FIRE HYDRANT
EA.
1
$2,100.00
$2,100.00
6
SWIVEL
EA.
1
$450.00
$450.00
7
8" 90 DEG BEND
EA.
1
$400.00
$400.00
6
STD, WATERLINE DEF'L
LS
1
$2,000.00
$2,000.00
9
TRENCH DEWATERING
L.F.
695
$29.00
$20,155.00
10
ASPHALT PAVEMENT REPAIR
S.Y.
250
$27.50
$6,875.00
11
TIE TO EXISTING WATERLINES EA.
2
$900.00
$1,800.00
SUB TOTAL $48,945,00
ENGINEERING (10 %) $4,894.
TOTAL $53,839.50
50% IS ELIGIBLE FOR REIMBURSEMENT $26,919.75
CREDIT FOR LOT ACREAGE FEE $868.00
REQUESTED REIMBURSEMENT $26,051.75
EXHIBIT 4
>� ,= CITY OF CORPUS CHRISTI
•" DISCLOSURE OF INTERESTS
City of Corpus Christi ordinance 17112, as amended, requires all persons or firms seeking to do business with the City to
provide the following information. Every question must be answered. If the question is not applicable, answer with "NA".
FIRST NAME:
STREET: . �-- eu 5V`f CITY: ���� 4 �ffk l ZIP;
FIRM IS: 01. Corporation ❑2. Partnership ❑3. Sole Owner u4. Association ❑5, Other '
DISCLOSURE QUESTIONS
If additional space is necessary, please use the reverse side of this page or attach separate sheet.
1. State the names of each "employee" of the City of Corpus Christi having an "ownership interest" constituting 3%
or more of the ownership in the above named "firm ".
Name Job Title and City Department (if known)
d�U
2. State the names of each "official" of the City of Corpus Christi having an "ownership interest" constituting 3% or
more of the ownership in the above named "firm ".
Name Title
3. State the names of each "board member" of the City of Corpus Christi having an 'ownership interesf constituting
3% or more of the ownership in the above named "firm ".
Name Board, Commission, or Committee
4. State the names of each employee or officer of a "consultant" for the City of Corpus Christi who worked on any
matter related to the subject of this contract and has an "ownership interest" constituting 35 or more of the
ownership in the above named "firm ".
Name Consultant
CERTIFICATE
I certify that all information provided is true and correct as of the date of this statement, that I have not knowingly withheld
disclosure of any information requested and that supplemental statements will be promptly submitted to the City of
Corpus Christi, Texas as changes occur.
Certifying Person: Title :�� F
(Type or Print)
Signature of Certifying Person Date.,
* tHIBIT 5 -
Doc 2 CH I 1 13 13 12
'i Fuses 14
04!18/2011 11 u 52AM
Official Records of
NUECES COUNTY
DIANA T, BARRI' -
COUNTY CLERK
Fees $67.00
City of Corpus Christi
DEPARTMENT SERVICES
2406 Leopard
Corpus Christi, TX 78408
ns provision herein which restricts the Salap
Rental. ar use of the described
REAL PROPERTY because of #pace p Color i,
Relisiony Sexp Handicap? Familial Sttatusy or
National Ori:jin is invalid and unenforceable
under i= EDFRAL LAW, 3/12/59.
t',)TATE OF TEXAS
COUNTY OF HUECES
I herebs certifl that this instrument was FILED
in €` i le number sequence on the dtatr,A and at, the
t i nte stamped herein b-4 they and was dui.:! RECORDED
in the Official Public Records of
Nueces (ount,ty Texr.!s
Diana T;' I arrera
4
��iWi�',.,.,_ .ar 4g•- .5'`�".�u'�c„�l��.s'��Ld1�M -� ��.
.: rrtY Y.�
RECORDER'S MEMORANDUM
At the time of recordation, this instrument was found
to be inadequate for the best photograph reproduction
because of illegibility, carbon or photocopy, discolored
paper, etc. All blockout additions and changes were
present at the time instrument was filed and recorded.