HomeMy WebLinkAboutC2013-128 - 4/23/2013 - ApprovedBUSINESS INCENTIVE PROJECT SERVICE AGREEMENT
This Business Incentives Project Service Agreement ( "Project Service Agreement ") is entered
into between the Corpus Christi Business and Job Development Corporation ( "Type A
Corporation ") and the City of Corpus Christi, Texas ( "City ").
WHEREAS, the Texas Legislature in Section 4A of Article 5190.6, Vernon's Texas Revised Civil
Statutes (Development Corporation Act of 1979), now codified as Subtitle C1, Title 12, Texas
Local Government Code ( "the Act "), empowered local communities with the ability to adopt an
optional local sales and use tax as a means of improving the economic health and prosperity of
their citizens;
WHEREAS, on November 5, 2002, residents of the City passed Proposition 2, New and
Expanded Business Enterprises, which authorized the adoption of a sales and use tax for the
promotion and development of new and expanded business enterprises at the rate of one -
eighth of one percent to be imposed for 15 years;
WHEREAS, the 118 cent sales tax authorized by passage of Proposition 2 was subsequently
enacted by the City Council and filed with the State Comptroller of Texas, effective April 1,
2003, to be administered by the Type A Corporation's Board of Directors ( "Board ");
WHEREAS, the Type A Corporation exists for the purposes of encouraging and assisting
entities in the creation of jobs for the citizens of Corpus Christi, Texas;
WHEREAS, the City Council approved the Corporation's amended Guidelines and Criteria for
Granting Business Incentives on September 18, 2007, which the City Council incorporated into
the City of Corpus Christi Economic Development Incentive Policies 2009 -2011 on November
17, 2009;
WHEREAS, Section 501.073 of the Act requires the City Council to approve all programs and
expenditures of the Type A Corporation;
WHEREAS, Texas A &M University — Corpus Christi ( "TAMU -CC ") has submitted a proposal to
the Type A Corporation for a $600,000 grant of up to $600,000 for start-up expenses for an
application to the Federal Aviation Administration (FAA) to locate an Unmanned Aerial Systems
(UAS) test ranges in Corpus Christi, Texas;
WHEREAS, the Board has determined that it is in the best interests of the citizens of Corpus
Christi, Texas, to fund TAMU -CC's that business development funds be provided to TAMU -CC,
through this Agreement with TAMU -CC, to be used by TAMU -CC to fund an application to be an
FAA Test Center for UAS for the purpose of developing technologies, policies and procedures
that will safely integrate UAS into the national airspace; and
WHEREAS, the Type A Corporation, TAMU -CC has executed a business incentives
agreement to fund an application to be an FAA Test Center for UAS for the purpose of
developing technologies, policies and procedures that will safely integrate UAS into the national
airspace.
In consideration of the covenants, promises, and conditions stated in this Project Service
Agreement, the Type A Corporation and the City agree as follows:
2013 -128
4123113 Page 1 of 3
Ord. 029797: - TAMU -CC FAA Center
TAMU -CC
INDEXED
1. Project Service Agreement to Implement Business Incentives Agreement. This Project
Service Agreement between the City and the Type A Corporation is executed to implement the
Business Incentive Agreement for the Creation of Jobs between the Type A Corporation and
TAMU -CC related to TAMU -CC FAA Center in Corpus Christi ('Business Incentive
Agreement ").
2. Term. The term of this Project Service Agreement runs concurrently with the term of the
Business Incentive Agreement.
3. Services to be Provided by City.
a. The City Manager or designee shall administer funding on behalf of the Type A
Corporation.
b. The City Manager or designee shall perform contract administration responsibilities
outlined in the Business Incentive Agreement for the Type A Corporation.
4. Appropriation of Funds. Any future payments by the City are subject to appropriation of
funds by City Council.
5. Effective Date. The effective date of this Project Service Agreement is March 1, 2013.
6. Amendments or Modifications. No amendments or modifications to this Project Service
Agreement may be made, nor any provision waived, unless in writing signed by a person duly
authorized to sign agreements on behalf of each party.
7. Severability.
a. If for any reason, any section, paragraph, subdivision, clause, provision, phrase or
word of this Project Service Agreement or the application of this Project Service
Agreement to any person or circumstance is, to any extent, held illegal, invalid, or
unenforceable under present or future law or by a final judgment of a court of competent
jurisdiction, then the remainder of this Project Service Agreement, or the application of
the term or provision to persons or circumstances other than those as to which it is held
illegal, invalid, or unenforceable, will not be affected by the law or judgment, for it is the
definite intent of the parties to this Project Service Agreement that every section,
paragraph, subdivision, clause, provision, phrase, or word of this Project Service
Agreement be given full force and effect for its purpose.
b. To the extent that any clause or provision is held illegal, invalid, or unenforceable
under present or future law effective during the term of this Project Service Agreement,
then the remainder of this Project Service Agreement is not affected by the law, and in
lieu of any illegal, invalid, or unenforceable clause or provision, a clause or provision, as
similar in terms to the illegal, invalid, or unenforceable clause or provision as may be
possible and be legal, valid, and enforceable, will be added to this Project Service
Agreement automatically.
8. Captions. The captions in this Project Service Agreement are for convenience only and are
not a part of this Project Service Agreement. The captions do not in any way limit or amplify the
terms and provisions of this Project Service Agreement.
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Type A Business Service Agreement - TAMU -CC: FAA Center
The City of Corpus Christi
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}a( Ronald . Olson
City Martaggr
Date:
Attest
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Armando Chapa
City Secretary
Corpus Chris ' u4iness &
Job Develo en ornorai
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Robert Tamez
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Date:�
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Type A Business Service Agreement - TAMU -CC FAA Center
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