HomeMy WebLinkAbout032761 RES - 05/17/2022 RESOLUTION NO.® 3 2 7 fi 1
RESOLUTION BY THE CITY COUNCIL OF THE CITY OF CORPUS
S•:
CHRISTI, TEXAS AUTHORIZING THE CREATION OF WHITECAP
PUBLIC IMPROVEMENT DISTRICT NO. 1; AND RESOLVING OTHER
MATTERS IN CONNECTION THEREWITH
WHEREAS,Chapter 372,as amended,Texas Local Government Code(the Act)authorizes
the creation of public improvement districts and the levy of assessments against property within
the district to pay the costs of public improvement projects that confer a special benefit on property
within such district; and
WHEREAS, an owner of approximately 242:011 acres of real property (the Property)
within the City of Corpus Christi,Texas (the City) delivered to the City Council(the City Council)
a petition (the Petition) indicating that (i) the owners of more than 50% of the appraised value of
the taxable Property liable for assessment, and (ii) the owners of more than 50% of the area of all
taxable Property liable for assessment (the Petitioner), has executed such Petition requesting that
the City create a public improvement district within the corporate limits of the City to be known
as "Whitecap Public Improvement District No. 1" (as further described in Exhibit A hereto, the
District); and
WHEREAS,the Petition,has been examined,verified, and found to meet the requirements
of Section 372.005(b) of the Act and, except as herein stated, the City's Public Improvement
District Policy adopted on March 31, 2020 (the PID Policy), and the Petition is found to be
sufficient for consideration by the City Council; and
WHEREAS,it is contemplated that bonds secured by revenues generated from assessments
levied on certain specifically benefitted portions of the Property will be issued to finance certain
public improvement projects within the District in accordance with the Act and such bonds will
have a term of more than twenty (20) years, which is the maximum maturity for each series of
bonds pursuant to the PID Policy; and
WHEREAS, the Petitioner has requested that both assessment revenues and certain tax
increment revenues be utilized to finance the Authorized Improvements (as defined herein) and
that the City consider the use of certain tax increment revenues in a structure that may result in a
minimum appraised value to assessment lien ratio of less than 3.1;
WHEREAS, after providing the notices required by Section 372.009 of the Act, the City
Council, on May 17, 2022, conducted a public hearing on the advisability of the improvements
and services to be providing within the District; and
106152933.6 - 1 SCANNED
WHEREAS, after all persons having an interest in the creation of the District were given
the opportunity to be heard, the City Council closed the public hearing; and
WHEREAS,the City Council has determined that the approval of this Resolution is in the
best interest of the City and its residents; and
BE IT RESOLVED BY THE CITY COUNCIL OF CITY OF CORPUS CHRISTI,TEXAS
THAT:
SECTION 1: The Petition submitted to the City by the Petitioner was filed with the City
Secretary and complies with Section 372.005 of the Act.
SECTION 2: Pursuant to the requirements of the Act,the City Council, after considering
the Petition for the proposed District and the evidence and testimony presented at the public
hearing, hereby finds and determines:
(a) Advisability of the Services and Improvements Proposed for the District. It
is advisable to create the District to provide the services and improvements described in
this Resolution, and the services and improvements will contribute to the public health,
safety, and welfare.
(b) Nature of the Services and Improvements. The general nature of the
services and improvements to be performed by the District is: (1) design, construction and
other allowed costs related to street and roadway improvements, including related
earthwork, sidewalks, drainage, utility relocation, signalization, landscaping, lighting,
signage, and rights-of-way; (2) design, construction and other allowed costs related to
storm drainage improvements; (3) design, construction and other allowed costs related to
water, wastewater and drainage (including detention) improvements and facilities; (4)
design, construction and other allowed costs related to erection of fountains, distinctive
lighting and signs, and acquisition and installation of pieces of art; (5)design,construction
and other allowed costs related to parks, open space, and recreational improvements,
including trails, landscaping, and irrigation related thereto; (6) design, construction and
other allowed costs related to off-street parking facilities, including related sidewalks,
drainage,utility relocation, signalization,landscaping,lighting, signage and rights-of-way;
(7) design, construction and other allowed costs related to projects similar to those listed
in subsections (1) - (6) above authorized by the Act, including similar off-site projects that
provide a benefit to the Property within the District; (8) design, construction and other
allowed costs related to special supplemental services for improvement and promotion of
the District, including services related to advertising, promotion, health and sanitation,
water and wastewater, public safety, security, business recruitment, development,
recreation, and cultural enhancement; (9) payment of expenses incurred in the
establishment, administration and operation of the District; and (10) payment of expenses
associated with financing such public improvement projects, which may include but are
106152933.6 -2-
not limited to, costs associated with issuance and sale of revenue bonds secured by
assessments levied against the Property(collectively,the Authorized Improvements).These
Authorized Improvements shall promote the interests of the City and confer a special
benefit on the property with the District.
(c) Estimated Cost of the Authorized Improvements. The estimated total costs
of the Authorized Improvements, together with bond issuance costs, eligible legal and
financial fees, eligible credit enhancement costs and eligible costs incurred in
establishment, administration and operation of the District, is $100,000,000.00, which
costs shall be paid by assessment of the property owners within the proposed District. The
developer of the Property(the Developer)will be obligated for the costs of certain specified
Authorized Improvements within the District. The City will not be obligated to provide
any funds to finance the Authorized Improvements, other than from assessments levied on
real property within the District, if created. The City and the Developer may be reimbursed
for the costs of certain specified Authorized Improvements from assessments levied within
the District.No City property in the District shall be assessed.The Developer may also pay
certain costs of the Authorized Improvements from other funds available to the Developer.
To the extent bonds secured by revenues generated from assessments levied on certain of
the Property will be issued to finance certain projects within the District, the term of such
bonds may be for a term up to thirty(30)years,which is in excess of the maximum maturity
for each series of bonds pursuant to the PID Policy.
(d) Boundaries. The District is located in City of Corpus Christi, Texas and its
boundaries are described in Exhibit A hereto.
(e) Method of Assessment. The City shall levy assessments on each parcel
within the District in a manner that results in the imposition of an equal share of the costs
of Authorized Improvements for each parcel within the District similarly benefitted by such
Authorized Improvements. The proposed method of assessment shall be determined by the
City in accordance with the provisions of the Act in a manner that results in imposing equal
shares of the cost on property similarly benefitted. All assessments may be paid in full at
any time (including accrued and unpaid interest, if any), and certain assessments may be
paid in annual installments(including accrued and unpaid interest,if any).If an assessment
is allowed to be paid in installments, then the installments must be paid in amounts
necessary to meet annual costs for those Authorized Improvements financed in part by the
assessment, and must continue for a period necessary to retire the indebtedness on those
Authorized Improvements(including any interest and principal amortization).A report will
be prepared showing the special benefit accruing to the property in the District and how
the costs of the public improvements are assessed to property on the basis of special benefit.
(f) Apportionment of Cost between the City and the District. All cost of the
proposed public improvements will be paid by assessments of the Property within the
106152933.6 -3 -
District and from other sources of funds, if any, available to the Developer. Unless
otherwise agreed upon by the City, the City will not be obligated to provide any funds to
finance the proposed public improvements.
(g) Management of the District. The District shall be managed by the City with
the assistance of a consultant, who shall, from time to time, advise the City regarding
certain operations of the District.
(h) Advisory Body. The District shall be managed without the creation of an
advisory body.
SECTION 3: The District is authorized and created as a Public Improvement District
under the Act in accordance with the findings set forth in this Resolution as to the advisability of
the services and improvements. The District shall be subject to the terms, conditions, limitations,
and reservations contained in the findings of Section 1 of this Resolution.
SECTION 4: The City Secretary is directed to coordinate the filing of a copy of this
Resolution with the county clerk of Nueces County not later than the seventh day after the date of
adoption of this Resolution. This Resolution shall take effect and the District shall be deemed to
be established effective upon adoption of this Resolution. The District can be terminated as
provided by law.
SECTION 5. The recitals contained in the preamble hereof are hereby found to be true,
and such recitals are hereby made a part of this Resolution for all purposes and are adopted as a
part of the judgment and findings of the City Council.
SECTION 6: All ordinances and resolutions, or parts thereof, which are in conflict or
inconsistent with any provision of this Resolution are hereby repealed to the extent of such conflict,
and the provisions of this Resolution shall be and remain controlling as to the matters resolved
herein.
SECTION 7: This Resolution shall be construed and enforced in accordance with the laws
of the State of Texas and the United States of America.
SECTION 8: If any provision of this Resolution or the application thereof to any person
or circumstance shall be held to be invalid,the remainder of this Resolution and the application of
such provision to other persons and circumstances shall nevertheless be valid, and this City
Council hereby declares that this Resolution would have been enacted without such invalid
provision.
SECTION 9: It is officially found, determined, and declared that the meeting at which
this Resolution is adopted was open to the public and public notice of the time, place, and subject
matter of the public business to be considered at such meeting, including this Resolution, was
given, all as required by Chapter 551, as amended, Texas Government Code.
106152933.6 -4-
SECTION 10: This Resolution shall be in force and effect from and after its final passage,
and it is so resolved.
* *
106152933.6 -5 -
PASSED AND ADOPTED on the 171 day of May,2022.
CITY OF CORPUS CHRISTI, TEXAS
0'14
ayor
ATTES
LLicee...
Ci Secretary
(SEAL)
APPROVED THIS 17h DAY OF MAY, 2022:
XL XL '
J
Miles Risley, City Attorne
Signature page to the Resolution Creating PID
S-1
THE STATE OF TEXAS §
COUNTY OF NUECES §
I, the undersigned, City Secretary of the City of Corpus Christi, Texas, do hereby certify that the
above and foregoing is a true, full and correct copy of a Resolution passed by the City Council of
the City of Corpus Christi, Texas (and of the minutes pertaining thereto) on the 17th day of
May, 2022, relating to City's acceptance of a petition to create a public improvement district and
calling a public hearing relating thereto,which Resolution is duly of record in the minutes of said
City Council, and said meeting was open to the public, and public notice of the time, place and
purpose of said meeting was given, all as required by Texas Government Code, Chapter 551.
EXECUTED UNDER MY HAND AND SEAL of said City,this the 17th day of May, 2022.
r
_.,41*-tA,(2)1
A
City Secretary
(CITY.SEAL),
Signature page to the Resolution Creating PID
S-2
PASSED AND APPROVED on the 17th DAY OF MAY, 2022:
Paulette Guajardo Ay Q
Roland Barrera Y`
Gil Hernandez
Michael Hunter
Billy Lerma
John Martinez
Ben Molina
Mike Pusley A
4
Greg Smith
ATTEST: IT OF CORPUS CHRISTI
1A0ei7
Rebecca Huerta Paulette Guajardo
City Secretary Mayor
Signature page to the Resolution Creating PID
S-3
032761
EXHIBIT"A"
Property Boundaries and Map
Metes and Bounds Description of the Property
(approximately 242.011 acres)
242.011 acres being all of a 39.692 acre tract referenced and described by metes & bounds in
Substitute Trustee's Deed, Doc. No. 2017050832,Official Records, Nueces County,Texas,said
39.692 acre tract being out of Tract 27C and 27D of the Padre Island - Corpus Christi Island
Fairway Estates, hereafter referred to as P.I.C.C.I.F.E., Lots 27C and 27D, a map of which is
recorded in Vol.67, Pg.779,Map Records, Nueces County,Texas;and 202.319 acres referenced
in Correction Warranty Deed, Doc. No. 2018045542, Official Records, Nueces County, Texas,
and described by metes&bounds of a 28.629 acre tract(Tract 1), a 72.316 acre tract(Tract 2),
a 74.440 acre tract (Tract 3), and a 30.684 acre tract(Tract 4),save& except 3.749 acres, said
3.749 acres being a portion of a 60-foot wide street tract, also known as 'Aquarius Street Re-
Alignment', recorded in Doc. No. 2011039226, Official Records, Nueces County, Texas; said
202.319 acres including portions of Tract 27C and 27D of P.I.C.C.I.F.E., Lots.27C and 27D, a
map of which is recorded in Vol. 67, Pg.779, Map Records, Nueces County,Texas;a portion of
P.I.C.C.I.F.E., Blocks 45&46,a map of which is recorded in Vol.42,Pg.153-154,Map Records,
Nueces County,Texas;a portion of P.I.C.C.I.F.E., Block 3,a map of which is recorded in Vol.40,
Pg. 145-146, Map Records, Nueces County, Texas; all of P.I.C.C.I.F.E., Blocks 37, 38,39, and
40,a map of which is recorded in Vol.41,Pg.128,Map Records,Nueces County,Texas;a portion
of P.I.C.C.I.F.E., Blocks 24-33,a map of which is recorded in Vol.40, Pg. 154-159,Map Records,
Nueces County, Texas; a portion of P.I.C.C.I.F.E., Blocks 43&44,a map of which is recorded in
Vol. 42, Pg. 10-11, Map Records, Nueces County, Texas; and portions of P.I.C.C.I.F.E., Blocks
34,35,and 36,a map of which is recorded in Vol.40, Pg.183-184,Map Records, Nueces County,
Texas,said Blocks 26,35,36,43,44,and a portion of Block 34 now vacated as per plat recorded
in Vol. 67, Pg.688, Map Records, Nueces County,Texas.
106152933.6 A-1
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•••. ••.• .1 Diamond Beach Holdings ""` `°"IIIA WHITECAP PRESERVE
7 LJAs ENGINEERING PUBLIC IMPROVEMENT DISTRICT(PID)BOUNDARY DEPICTION
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242.011 ACRES -
Nueces County
Kara Sands
Nueces County Clerk
*V3-173-2022-2022024701*
•
Instrument Number: 2022024701
Official Public Records
RESOLUTION
Recorded On: May 20, 2022 11:41 AM Number of Pages: 11
" Examined and Charged as Follows: "
Total Recording: $57.00
STATE OF TEXAS
401YCOUgri Nueces County
* 4, *I I hereby certify that this Instrument was filed in the File Number sequence on the date/time
c i\� Q printed hereon,and was duly recorded in the Official Records of Nueces County,Texas
,� S 44 Kara Sands
Nueces County Clerk *PJa-..
Nueces County, TX
***********THIS PAGE IS PART OF THE INSTRUMENT***********
Any provision herein which restricts the Sale, Rental or use of the described REAL PROPERTY
because of color or race is invalid and unenforceable under federal law.
File Information: Record and Return To:
Document Number: 2022024701 CITY OF CORPUS CHRISTI
Receipt Number: 20220520000087
Recorded Date/Time: May 20, 2022 11:41 AM
User: Randall N
Station: CLERK01
Caller Times
PART OF THE USA TODAY NETWORK
Certificate of
Publication
CITY OF CORPUS CHRIS TI -SECRETARY
PO BOX 9277
CORPUS CHRISTI,TX 78401
STATE OF WISCONSIN)
))
COUNTY OF BROWN)
I,being first duly sworn,upon oath depose and say that I
am a legal clerk and employee of the publisher, namely,the
Corpus Christi Caller-Times,a daily newspaper published
at Corpus Christi in said City and State,generally circulated
in Aransas, Bee, Brooks, Duval,Jim Hogg,Jim Wells,
Kleberg, Live Oak, Nueces, Refugio,and San Patricio,
Counties,and that the publication of which the annexed is a
true copy,was inserted in the Corpus Christi Caller-Times
in the following issue(s)dated:
05/01/2022
On this May 1,2022, I certify that the attached document is a
true and exact copy made by the publisher:
Lega N tice Clerk
i
NR�blic, State of Wisconsin, ounty of Brown
Notary Expires
SARAH BERTELSEN
Notary Public
State of Wisconsin
Publication Cost:$1,058.05
Ad No: 0005234829
Customer No: 1490432
PO#: General Nature of the Proposed Authorized
#of Affidavits5
This is not an invoice
CITY OF CORPUS
CHRISTI,TEXAS
NOTICE OF PUBLIC
HEARING REGARDING
THE CREATION OF A
PUBLIC IMPROVEMENT
DISTRICT
Pursuant to Section
372.009(c) and (d) of the
Texas Local Government
Code, as amended, notice is
hereby given that the City
Council of the City of
Corpus Christi,Texas ("Ci-
ty"),will hold a public
hearing to accept public
comments and discuss the
petition-(the-"Petition"),
filed by Diamond Beach
Holdings, LLC,a Texas
Limited Liability Company
(the"Petitioner"), request-
ing that the City create the
Whitecap Public Improve-
ment District No. 1 (the
"District") to include prop-
erty owned by the Petition-
er.
Time and Place of the
Hearing. The public hear-
ing will start at or after
11:30 a.m.on May 17,2022,
at the regular meeting
place of the City Council of
the City at City Hall locat-
ed at 1201 Leopard Street,
Corpus Christi,Texas.
General Nature of the Pro-
posed Authorized Improve-
ments. The purposes of the
District include the design,
acquisition, construction,
and improvement of public
improvement proiects au-
thorized by the Public Im-
provement District Assess-
ment Act,codified as Chap-
ter 372, Texas Local
Government Code,as
amended (the"Act"),that
are necessary for the devel-
opment of the property
within the District,which
public improvements may
include,but not be limited
to: (1) design, construction
and other allowed costs re-
lated to street and roadway
improvements,including
related earthwork,side-
, walks,drainage, utility re-
location, signalization,
landscaping, lighting,
signage,and rights-of-way;
(2) design, construction
and other allowed costs re-
lated to storm drainage im-
provements; (3) design,
construction and other al-
lowed costs related to
water,wastewater and
drainage (including deten-
tion) improvements and fa-
cilities; (4) design,con-
struction and other allowed
costs related to erection of
fountains,distinctive light-
ing and signs,and acquisi-
tion and installation of
pieces of art; (5) design,
construction and other al-
lowed costs related to
parks,open space,and rec-
reational improvements, in-
cluding trails, landscaping,
and irrigation related
thereto; (6) design, con-
struction and other allowed
costs related to off-street
parking facilities, including
related sidewalks,drain-
age, utility relocation,
signalization, landscaping,
lighting,signage and
rights-of-way; (7) design,
construction and other al-
lowed costs related to proi-
ects similar to those listed
in subsections (1) - (6)
above authorized by the
Act, including similar off-
site proiects that provide a
benefit to the Property
within the District; (8) de-
sign,construction and other
allowed costs related to
special supplemental serv-
ices for improvement and
promotion of the District,
including services related
to advertising, promotion,
health and sanitation,
water and wastewater, pub-
lic safety,security, busi-
ness recruitment,develop-
ment, recreation, and cul-
tural enhancement; (9)
payment of expenses incur-
red in the establishment,
administration and opera-
tion of the District; and
(10) payment of expenses
associated with financing
such public improvement
proiects,which may in-
clude but are not limited to,
costs associated with issu-
ance and sale of revenue
bonds secured by assess-
ments levied against the
Property (collectively,the
"Authorized Improvement-
s"). These Authorized Im-
provements shall promote
the interests of the City and
confer a special benefit on
the Property.
Estimated Cost of the Au-
thorized Improvements.
The estimated cost to de-
sign,acquire and construct
the Authorized Improve-
ments, including eligible
costs related to the estab-
lishment,administration
and operation of the
District and expenses asso-
ciated with financing Au-
thorized Improvements is
$100,000,000.
Proposed District Bounda-
ries.The District is pro-
posed to include approxi-
mately 242.011 acres of land
generally located 0.1 miles
west of the intersection of
Park Road 22 and Highway
361 along Commodores
Drive; and as more partic-
ularly described by a metes
and bounds description
available from the City
Secretary's Office at City
Hall located at 1201 Leop-
ard Street,Corpus Christi,
Texas and available for
public inspection during
regular business hours.
Proposed Method of Assess-
- ment.—City shall-levy-as-
sessments on each parcel
within the District in a
manner that results in im-
posing equal shares of the
costs on property similarly
benefited. Each assessment
may be paid in full at any
time (including accrued
and unpaid interest), and
certain assessments may
be paid in annual install-
ments (including interest
and debt). If an assessment
is allowed to be paid in in-
stallments,then the install-
ments must be paid in
amounts necessary to meet
annual costs for those Au-
thorized Improvements fi-
nanced by the assessments
and must continue for a pe-
riod necessary to retire the
indebtedness issued to fi-
nance or refinance those
Authorized Improvements
(including interest).
Proposed Apportionment of
Cost between the District
and City. City will not be
obligated to provide any
funds to finance the Author-
ized Improvements,other
than from assessments lev-
ied on the District proper-
ty. No municipal property
in the District shall be as-
sessed. The Petitioner may
also pay certain costs of
the improvements from
other funds available to it
as developer of the District.
/s/ Rebecca Huerta
City Secretary