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HomeMy WebLinkAboutPACKET DEC 23 2008 (02)RICH WITH OPPORTUNITY BEA,IIMON* T- E- X- A• S REGULAR MEETING OF THE CITY COUNCIL COUNCIL CHAMBERS DECEMBER 23, 2008 1:30 P.M. CONSENT AGENDA * Approval of minutes * Confirmation of committee appointments A) Approve entering into a Landscape Partnership Program Agreement with TXDOT for plantings and maintenance of plantings within TXDOT rights-of-way B;) Authorize the City Manager to execute an Industrial District Contract with DCP Midstream, LP C) Authorize the City Manager to execute an Industrial District Contract with Slamback Partners D;) Approve a resolution accepting maintenance of the street, water and sanitary sewer improvements in Regent I, Hope VI Subdivision RICH WITH OPPORTUINITY 11EA,11110fl T- E - X - A - S TO: City Council Agenda Item City Council FROM: Kyle Hayes, City Manager � �-3 PREPARED BY: Chris Boone, Community Development Director MEETING DATE: December 23, 2008 REQUESTED ACTION: Consider entering into a Landscape Partnership Program Agreement with TXDOT for plantings and maintenance of plantings within TXDOT rights-of-way. RECOMMENDATION The Administration recommends approval of entering into a Landscape Partnership Program Agreement with the Texas Department of Transportation (TXDOT) for plantings and maintenance of plantings by the City within TXDOT rights-of-way. These plantings are part of the City's Beautification Plan. BACKGROUND: In an effort to beautify Beaumont, the City has been implementing its Beautification Plan. The goal of the plan is to attract development and improve the quality of life of our citizens through improving the city's appearance at key locations. During last winter's planting season, Delaware Extension, phases one and two, were completed as well as the Fannett median plantings. Also, the College and 11th Street landscaping islands were also completed. The cleaning of the a and 1 Vh Street underpasses is currently out for bid. During this winter's planting season, we will be removing asphalt in the medians and planting trees and grass turf at some of our "gateway" highway interchanges. These sites include: • Eastex and Dowlen • IH10 and 11`h Street 0 IH 10 and College Street 0 Cardinal and Fannett • IH 10 and Walden Attached are copies of planting plans and the agreement for your review. BUDGETARY IMPACT Funds are budgeted for this expenditure in the FY2009 Budget. RESOLUTION NO. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BEAUMONT: THAT the City Manager is hereby authorized to execute a Landscape Partnership Program Agreement with the Texas Department of Transportation (TxDOT), substantially in the form attached hereto as Exhibit "A," for plantings and maintenance of plantings within TxDOT rights-of-way. The sites include: • Eastex and Dowlen; • IH10 and 11th Street; • IH10 and College Street; • Cardinal and Fannett; and • IH10 and Walden. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 23rd day of December, 2008. - Mayor Becky Ames - STATE OF TEXAS § COUNTYOF JEFFERSON § LANDSCAPE PARTNERSHIP PROGRAM FOR GOVERNMENTAL ENTITIES County Jefferson Location City of Beaumont THIS AGREEMENT IS MADE BY AND BETWEEN the State of Texas, acting through the Texas Department of Transportation, hereinafter called the "State" or "TxDOT," and the _City of Beaumont , Texas acting by and through its duly authorized officials as evidenced by Resolution or Ordinance, dated , which is attached to and made part of this contract, hereinafter called the "Local Government." WITNESSETH WHEREAS, Transportation Code, Chapter 201 and Transportation Code, Chapter 221 authorizes the State to lay out, construct, maintain, and operate a system of streets, roads, and highways that comprise the State Highway System; and, WHEREAS, Title 43, Texas Administrative Code, §§2.67, Landscape Partnership Program, allows private businesses, civic organizations, and local governments an opportunity to support the aesthetic improvement of the state highway system by donating the project development, establishment, and maintenance of a landscaped section of the state highway system upon approval of the State. WHEREAS, the Local Government has requested that the State allow the Local Government to participate in said improvement by funding that portion of the improvement described as landscape development, hereinafter called the "Project'; and, WHEREAS, the State has determined that such participation is in the best interest of the citizens of the State; and NOW, THEREFORE, in consideration of the premises and of the mutual covenants and agreements of the parties hereto, to be by them respectively kept and performed as hereinafter set forth, the State and the Local Government do agree as follows: AGREEMENT ARTICLE 1. TIME PERIOD This agreement becomes effective when signed by the last party whose signing makes the agreement fully executed and shall terminate in accordance with Article 10. ARTICLE 2. PROJECT A. The Local Government agrees to perform the landscape work described in Attachment A, Landscape Plan, which consists of project design plans, sketches, drawings, notes, estimates, and specifications as required by the State, and in Attachment B, Work Responsibilities. The project design plan shall be subject to the review and satisfactory approval by the State prior to installation. No modification to the approved design may be made without the prior written approval of TxDOT's local District Engineer or the Director of the Design Division. B. Unless otherwise specifically stated in Attachment B, the State may supervise and inspect all work performed and provide such engineering inspection services as may be required to ensure that the project is accomplished in accordance with Attachment A. C. The Local Government agrees to maintain the landscaping to the State's satisfaction for a period of no more than two years in accordance with Attachment C, Project Work Schedule. D. The Local Government shall provide, erect, and maintain to the satisfaction of the State any barricades, signs, and traffic handling devices necessary to protect the safety of the traveling public while performing any work on the project. E. All aspects of the project shall be carried out in compliance with applicable federal and state laws and regulations. The project shall be designed in accordance with Attachment A and with TxDOT's latest policies, procedures, standards, and guidelines. The Local Government shall award and manage all construction work. F. It is expressly understood that the State does not purport hereby to grant any right, claim, title or easement in or upon this State property. ARTICLE 3. PROJECT FUNDING A. The Local Government is responsible for 100% of the cost of designing, constructing and maintaining the landscape project. State funds shall not be made available to contribute to the design, construction, or maintenance of this project under any circumstances. Landscape—Landscape_Govt Page 1 Of 7 Rev. 08/21/07 EXHIBIT "A" B. Any costs incurred by the State for repairs to the State Property, for removal of debris or any other necessary restoration work as a result of the project shall be billed to the Local Government at cost. The Local Government shall make full and complete payment to the State within thirty (30) days from receipt of State's written notification. ARTICLE 4. REPRESENTATIONS AND WARRANTIES A. The Local Government represents and warrants that it has unrestricted and full use of any materials and items described in Attachment A and that by signing this agreement it relinquishes and transfers all rights and interest in and use to the State. B. The Local Government acknowledges that while it is not an agent, servant, nor employee of the State, it is responsible for its own acts and deeds and for those of its agents or employees during the performance of the work on the Project. ARTICLE 5. MAINTENANCE Upon completion of the installation of the Project, the Local Government will assume responsibility for the maintenance of the completed Project. ARTICLE 6. RIGHT OF ACCESS A. The State shall permit the Local Government access to the site to perform any activities required to execute the work. If the project is on a controlled access highway, any access to the highway by the Local Government to perform its responsibilities, whether construction work or maintenance, must be from frontage roads, nearby adjacent private property, nearby adjacent roads and streets, or trails along or near the right of way line, without access from the main lanes or ramps. The Local Government shall provide for all necessary right of way needed for performance of the work on sites not owned or to be acquired by the State. B. Ingress and egress shall be allowed at all times for Federal and Highway Administration personnel and state employees and equipment when highway maintenance operations are necessary and for inspection purposes. C. This agreement does not give the Local Government any right to display or permit any other party to display literature, memorabilia, artifacts, or anything else in or around the landscape project, with the exception of the project itself. The Local Government shall follow all current TxDOT rules, polices, procedures, and regulations, which may be modified by TxDOT at any time without notice. ARTICLE 7. CONDITION OF THE PROPERTY A. The Local Government shall construct the landscape project in strict conformity to the design as approved by the State. The Local Government shall not deposit any waste products on the premises and shall remove any materials and debris from the premises at the end of the construction of the landscape project. Construction of the landscape project shall pose no danger or interfere to the traveling public. The State may halt construction of the landscape project at any time if, in its sole judgment, construction is posing a danger to the traveling public. B. The Local Government shall avoid damage on or outside the State property. At the State's request, the Local Government shall, at its own expense, restore or repair damage occurring on or outside State property, including but not limited to roadway and drainage structures, overhead signs, signs, traffic signals, pavement markings, and pavement to a condition equal to that existing before the project, and restore the natural and cultural environment in accordance with federal and state laws, including landscaping and historical features. ARTICLE B. UTILITIES A. If the required right of way encroaches upon existing utilities and the proposed project requires their adjustment, removal or relocation, the Local Government shall be responsible for determining the scope of utility work and notify the appropriate utility company to schedule adjustments. B. The Local Government shall be responsible for the adjustment, removal or relocation of utility facilities in accordance with applicable State laws, regulations, rules, policies and procedures. This includes, but is not limited to: 43 TAC §15.55 relating to Construction Cost Participation; 43 TAC §21.21 relating to State Participation in Relocation, Adjustment, and/or Removal of Utilities; and, 43 TAC§ 21.31 et seq. relating to Utility Accommodation. The Local Government shall be responsible for all costs associated with additional adjustment, removal, or relocation during the construction of the project, unless this work is provided by the owners of the utility facilities per agreement or per all applicable statutes or rules. ARTICLE B. SIGNAGE A. A sign may be erected at the project site that announces participation in the program. The sign shall be four feet by four feet and shall conform to the current Texas Manual on Uniform Traffic Control Devices. The Local Government must maintain the sign for the duration of the project and pay for all associated costs. B. All signs shall be approved by the State before installation. C. This agreement does not give the Local Government any right to display or permit any other party to display literature, memorabilia, artifacts, or anything else in or around the landscape project, with the exception of the project itself. The Local Government shall follow all current TxDOT rules, polices, procedures, and regulations, which may be modified by the State at any time without notice. Landscape—Landscape_Govt Page 2 of 7 Rev. 08/21/07 ARTICLE 10. TERMINATION A. This agreement may be terminated by: mutual written agreement and consent of both parties; the State upon the Local Government's violation of contract terms or failure to fulfill the obligations of this agreement; or the State if it determines that the performance of the project is not in the best interest of the State. B. If the Local Government fails to maintain the project in accordance with Attachment C, Maintenance Schedule, the project shall be subject to removal at the State's discretion and at the Local Government's expense. C. If the project is not installed within one year of the date of execution of this agreement, this agreement shall be terminated. In the event the Project is not completed, the State shall seek reimbursement from the Local Government for repairs to the State Property, for removal of debris or any other necessary restoration work as a result of the project. The State shall bill the Local Government at cost and the Local Government shall make full and complete payment to the State within thirty (30) days from receipt of State's written notification. ARTICLE 11. NOTICES All notices to either party by the other required under this agreement shall be delivered personally or sent by certified or U.S. mail, postage prepaid or sent by electronic mail, (electronic notice being permitted to the extent permitted by law but only after a separate written consent of the parties), addressed to such party at the following addresses: Local Government: State: Kyle Haves, City Manager JCity Mail To: District Engineer Texas Department of Transportation Deliver To: District Engineer Texas Department of Transportation of Beaumont 801 Main Beaumont, TX 77701 All notices shall be deemed given on the date so delivered or so deposited in the mail, unless otherwise provided herein. Either party may change the above address by sending written notice of the change to the other party. Either party may request in writing that such notices shall be delivered personally or by certified U.S. mail and such request shall be honored and carried out by the other party. ARTICLE 12. SOLE AGREEMENT In the event the terms of the agreement are in conflict with the provisions of any other existing agreements between the Local Government and the State, the latest agreement shall take precedence over the other agreements in matters related to the Project. ARTICLE 13. AMENDMENTS By mutual written consent of the parties, this contract may be amended prior to its expiration. ARTICLE 14. EMPLOYEES NOT TO BENEFIT Texas Transportation Commission policy mandates that employees of the Texas Department of Transportation shall not accept any benefit, gift or favor from any person doing business with or who reasonably speaking may do business with the State under this contract. The only exceptions allowed are ordinary business lunches and items that have received the advance written approval of the Executive Director of the Texas Department of Transportation. ARTICLE 15. DISPUTES In the event of disputes as to obligations under the agreement, the State's decision shall otherwise be final and binding. ARTICLE 16. ORDER OF DOCUMENT PRECEDENCE In the event of any conflict among the elements of this agreement, they should prevail in this order A. This Agreement, B. Attachment A, Landscape Plan, C. The current edition of the Design Division's Landscape Partnership Program Guidelines, D. Attachment B, Work Responsibilities, E. Attachment C, Project Work Schedule. ARTICLE '17. CONFIDENTIALITY Landscape—Landscape_Govt Page 3 of 7 Rev. 08/21/07 The Local Government shall not disclose information obtained from the State under this contract without the express written consent of the State. ARTICLE 18. ASSIGNMENTS OR SUBCONTRACTS The Local Government shall not assign or otherwise transfer their obligations under this agreement except with prior written consent of TxDOT. Subcontracts in excess of $25,000 shall contain all applicable terms and conditions of this contract. A copy of the subcontract must be sent to TxDOT immediately following execution. ARTICLE 19. INDEMNIFICIATION A. Errors, Omissions, Negligent Acts. To the extent permitted by law, the Local Government shall indemnify and save harmless the State and its officers and employees from all claims and liability due to activities of itself, its agents, or employees, which are performed under this contract and which are caused by or result from error, omission, or act of the Local Government, its agent, or any person employed by the Local Government. B. Attorney Fees. The Local Government shall also indemnify and save harmless the State from any and all expense, including, but not limited to, attorney fees, which may be incurred by the State in litigation or otherwise resisting a claim or liabilities that may be imposed on the State as a result of error, omission, or act of the Local Government, its agents, or its employees. ARTICLE 20. COMPLIANCE WITH LAWS The Local Government performance shall be in compliance with all federal, state, and local laws, ordinances, and regulations including but not limited to: ♦ the Endangered Species Act of 1973, 16 USC Section 1531 et seq., and the regulations there as amended; ♦ TxDOT erosion and sedimentation control standards and TxDOT Vegetation and Management Standards, which may in any way regulate or control the activity; and ♦ all state and federal environmental laws and any conditions required by the State to protect the environment. ARTICLE 21. STATE AUDITOR The state auditor may conduct an audit or investigation of any entity receiving funds from the state directly under the contract or indirectly through a subcontract under the contract. Acceptance of funds directly under the contract or indirectly through a subcontract under this contract acts as acceptance of the authority of the state auditor, under the direction of the legislative audit committee, to conduct an audit or investigation in connection with those funds. An entity that is the subject of an audit or investigation must provide the state auditor with access to any information the state auditor considers relevant to the investigation or audit. ARTICLE 22. INSURANCE If the Local Government or its subcontractors shall perform work on the State's right of way, the Local Government or its subcontractors shall maintain insurance on file with the Contract Services Section of the Office of General Counsel of the Texas Department of Transportation in the amount specified on Texas Department of Transportation Form 20.102 or Form 1560, Certificate of Insurance, as required by the State. No other proof of insurance is acceptable to the State. The Local Government or its subcontractors certifies that it shall keep current insurance on file with that office for the duration of the contract period. If insurance lapses during the contract period, the Local Government or its subcontractors must stop work until a new certificate of insurance is provided. Landscape—Landscape_Govt Page 4 of 7 Rev. 08/21/07 ARTICLE 23. SIGNATORY WARRANTY The signatories to this agreement warrant that each has the authority to enter into this agreement on behalf of the party they represent. IN WITNESS WHEREOF, THE STATE AND THE LOCAL GOVERNMENT have executed duplicate counterparts to effectuate this agreement. THE STATE OF TEXAS Executed for the Executive Director and approved for the Texas Transportation Commission for the purpose and effect of activating and/or carving out the orders, established policies or work programs heretofore approved and authorized by the Texas Transportation Commission. =4 Mark A. Marek, Director of Design Division Date THE LOCAL GOVERNMENT Name of the Local Government City of Beaumont. Texas By Date Typed or Printed Name and Title Kyle Hayes, City Manager Attachments A. Landscape Plan B. Work Responsibilities C. Project Work Schedule Landscape—Landscape_Govt Page 5 of 7 Rev. 08/21/07 =mom �• Eam a ra G rn s" CL pq m U lj! . Um= E i/ i, r / i i Q r / � r ¢ Lu �t 1 On- i G 1 u! 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O N 1 � N N O m LL O - O N O LO Jo -ILO N O C fn O C m �w o Z o!E Q , U (S j L a U M - z �� F m LL O - O N O LO Jo -ILO N O a� CL N U 13 m N LL O — O N O r JCD O z UJ Oi uj ri w O 4g f ° X v \ ✓ 2 L �, i 03 t- w Cr w LU 000 a z o Oe LU "w Ekl U) O W E] m Lu 0 O d F - 0 I F� R� m c 2 pe <I;° U ail GAN to — a� CL N U 13 m N LL O — O N O r JCD O z UJ Oi uj ri w O 4g f ° X v \ ✓ 2 L �, i 03 t- w Cr w LU 000 a z o Oe LU "w Ekl U) O W E] m Lu 0 O d F - 0 I F� R� O C cc Q W E a m I ¢ Um CD CL o N 0 Lo O Attachment B Work Responsibilities A. The Local Government (City of Beaumont) agrees to: 1. Perform all work necessary to remove sealcoat and install plantings as outlined in Attachment A. 2. The City will provide, erect, and maintain to the satisfaction of the State any barricades, signs, and traffic handling devices necessary to protect the safety of the traveling public while performing any work on the project. 3. All aspects of the project shall be carried out in compliance with applicable federal and state laws and regulations. The project shall be designed in accordance with Attachment A and with TxDOT's latest policies, procedures, standards, and guidelines. The Local Government shall all construction work 4. Furnish the State any revisions or modifications mutually agreed upon between the Local Government and the State. 5. Furnish all labor, equipment, materials, and incidentals to provide for maintenance activities. 6. Maintenance and upkeep for the life of the project. B. The State (TxDOT) agrees to: 1. Allow the Local Government to utilize the right-of-way for all aspects of the Project described in this agreement. 2. Review all plans affecting the TxDOT right-of-way. Attachment C Work Schedule The Local Government (City of Beaumont) agrees to the following work schedule: January -March, 2009: Removal of sealcoat and preparation for planting as outlined in Attachment A February -April, 2009 Installation of trees and turf at areas outlined in Attachment A and installation of stamped concrete in medians January, 2009 -life of project Maintenance of these planting areas as outlined in Agreement and Attachment A 11ICH WITH OPPORTUNITY BEA,[1140N* T• E• R• A• S TO: FROM: PREPARED BY: MEETING DATE: REQUESTED ACTION: City Council Agenda Item City Council Kyle Hayes, City Manager Laura Clark, Chief Financial Officer December 23, 2008 Council consider authorizing the City Manager to execute an Industrial District Contract with DCP Midstream, LP. RECOMMENDATION The Administration recommends approval of a resolution authorizing the City Manager to execute an Industrial District Contract with DCP Midstream, LP. BACKGROUND Industrial District Contracts enable the City to collect payments in lieu of taxes from industries located outside the city limits. The City currently has a contract with DCP Midstream, LP, that will expire December 31, 2008. The new contract will be effective January 1, 2009. The in -lieu of tax payment will be based on a ratio of 80% of property taxes due to the City as if the industry were located within the city limits in 2009 through 2011 and 75% of property taxes due to the City in 2012 through 2015. The 2009 payment will be calculated based on 80% of the assessed value multiplied by the tax rate effective on October 1, 2008 or $0.64 per $100 of assessed valuation. Payments will be due to the City by February I ' of each year. A copy of the agreement is attached for your review. BUDGETARY IMPACT The estimated FY 2009 payment for DCP Midstream, LP is $58,500 of the $15,782,000 of industrial payments expected in FY 2009. RESOLUTION NO. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BEAUMONT: THAT the City Manager be and he is hereby authorized to execute an Industrial District Contract with DCP Midstream, LP. The contract is substantially in the form attached hereto as Exhibit "A" and made a part hereof for all purposes. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 23rd day of December, 2008. - Mayor Becky Ames - THE STATE OF TEXAS § COUNTY OF JEFFERSON § AGREEMENT This Agreement is made under the authority of Section 42.044 of the Texas Local Government Code. The parties to the Agreement are The City of Beaumont, a municipal corporation and a home -rule city located in Jefferson County, Texas, hereinafter called "CITY," and DCP Midstream, LP, its parent, subsidiaries and affiliates, hereinafter called "COMPANY." DDU A It A13Y 1J WHEREAS, Company owns land and improvements which are a part of the manufacturing, industrial, and refining facilities of said Company. The City has established an industrial district comprising a certain part of the extra -territorial jurisdiction of the City, such industrial district being known as the City of Beaumont Industrial District. WHEREAS, the Company recognizes the benefits of this Agreement and an obligation to contribute to the revenue needs of said City in an amount commensurate with the burdens placed upon the City and benefits derived by the Company by reason of being located immediately adjacent to said City. WHEREAS, the Company and the City desire to base the industrial district payment on assessed value to ensure equity among the companies. In view of the above and foregoing reasons, and in consideration of the mutual agreements herein contained, Company and City hereby agree as follows: SAAGENDA\AGENDA ITEM MEMOS\DCP Midstream (DA02009 - Final.doc 1 EXHIBIT "A" ARTICLE I COMPANY'S OBLIGATION Annual Payment on Company's Property 1. Commencing with the calendar year 2009 and each calendar year thereafter for the duration of this Contract, the Company will pay the City a certain sum which will be computed on the assessed value of the Company's facilities and property, real, personal, and mixed located on Company's land covered by this contract. (Herein "the properties") 2. By the term "Assessed Value" is meant the 100% valuation of the Company's properties, as determined by the Jefferson County Appraisal District for the previous tax year. 3. The term "assumed City taxes due" shall be calculated by the following formula: Assumed City Taxes Due: Assessed Value / 100 X Current City Tax Rate = Assumed City Tax Due 4. Payment Procedures The procedures for determining and making such payments shall be as follows: (a) The payment for 2009 shall be due and payable on or before February 1, 2009 and calculated as follows: S:\AGENDA\AGENDA ITEM MEMOS\DCP Midstream (Duke)2009 - Final.doc 2 Assumed City Taxes Due: Assessed Value / 100 X Current City Tax Rate = Assumed City Tax Due Year 1 80% of Assumed City Taxes Due = 2009 Payment Each October thereafter, the Chief Financial Officer shall obtain the most recent assessed values as set by the Jefferson County Appraisal District for the Company's properties, real, personal and mixed, having taxable situs within the areas described in this agreement; for example, in October, 2008, the 2008 assessed values shall be used for the February 1, 2009 payment. If the assessed values for the period required are in question and/or under litigation with the Jefferson County Appraisal District, payment shall be computed on the most recent certified values from the Jefferson County Appraisal District. The Company shall notify the City following resolution of the appraised value question and an adjustment for the payment, without interest, will be made within thirty (30) days following such resolution. (b) After the assessed value of the Company's properties has been determined, the payments due hereunder shall be calculated in accordance with the following schedule: The 2010 — 2011 payments shall be 80% of assumed City taxes due. The 2012 - 2015 payments shall be 75% of assumed City taxes. (c) City hereby agrees to bill Company for its payments due hereunder on or before January 1 each year. Company shall pay to City the amount billed on or before February 1 each year. Upon receiving the final payment, the Chief Financial Officer shall issue an official receipt SAAGE'NDA\AGENDA ITEM MEMOS\DCP Midstream (Duke)2009 - Final.doc 3 of said City acknowledging full, timely, final and complete payment due by said Company to City for the property involved in this Agreement for the year in which such payment is made. If payment is not made on or before any due date, the same penalties, interest, attorneys' fees and costs of collection shall be recoverable by the City as would be collectible in the case of delinquent ad valorem taxes. Further, if payment is not timely made, all payments which otherwise would have been paid to the City had Company been in the City limits of City will be recaptured and paid to the City within 60 days of any such event. ARTICLE II PROPERTY COVERED BY AGREEMENT This instrument will reflect the intention of the parties hereto that this instrument shall govern and affect the properties of Company (facilities, real, personal, and mixed) located on Company's real property as shown on the records of the Jefferson County Appraisal District which are within the extra -territorial jurisdiction of the City of Beaumont. ARTICLE III SALE BY COMPANY Company shall notify City of any sale of any or all of Company's facilities to any person or entity. It is the intent of the parties that no sale of any of Company's facilities will affect the amount to be paid to the City as provided under this Agreement. Accordingly and as to payments due under this contract no such sale shall reduce the amount due the City under this contract until the purchaser of such facility has entered into a contract in lieu of taxes with the City that provides for a continuation of like payments to the City. S:\AGENDA\AGENDA ITEM MEMOS\DCP Midstream (Duke)2009 - Final.doc 4 ARTICLE IV CITY'S OBLIGATIONS 1. City agrees that it will not annex, attempt to annex or in any way cause or permit to be annexed any portion of lands or facilities or properties of said Company covered by this Agreement for the period of the agreement except as follows: (a) If the City determines that annexation of all or any part of the properties covered by this Agreement belonging to said Company is reasonably necessary to promote and protect the general health, safety and welfare of persons residing within or adjacent to the City, the City will notify Company in accordance with State law of the proposed annexation. In the event of such annexation, Company will not be required to make further payment under this Agreement for any calendar year commencing after such annexation with respect to the property so annexed, but shall nevertheless be obligated to make full payment for the year during which such annexation becomes effective if the annexation becomes effective after January 1 of said year. (b) In the event any municipality other than the City attempts to annex separately or in the event the creation of any new municipality shall be attempted so as to include within its limits any land which is the subject matter of this Agreement, City shall, with the approval of Company, seek immediate legal relief against any such attempted annexation or incorporation and shall take such other legal steps as may be necessary or advisable under the circumstances with all cost of such action being borne equally by the City and by the said Company or companies with the Company's portion allocated on the basis of assessed values. 2. The City further agrees that during the term of this agreement, there shall not be extended or enforced as to any land and property of Company within said City of Beaumont SAAGENDA\AGENDA [TEM MEMOS\DCP Midstream (Duke)2009 - Final.doc 5 Industrial District, any rules, regulations, or any other actions: (a) seeking in any way to control the platting and subdivisions of land, (b) prescribing any buildings, electrical, plumbing or inspection standards or equipment, or (c) attempting to regulate or control in any way the conduct of Company's activities, facilities or personnel thereof. 3. It is understood and agreed that during the term of this agreement or any renewals thereof, the City shall not be required to furnish any municipal services to Company's property located within the City of Beaumont Industrial District; provided, however, City agrees to furnish fire protection to Company should such protection be requested by Company in the event an unusual emergency situation occurs. The City will also provide police protection if called upon by the Jefferson County Sheriff's Department for assistance. ARTTCLF TV TERMINATION OF BREACH It is agreed by the parties to this Agreement that only full, complete and faithful performance of the terms hereof shall satisfy the rights and obligations assumed by the parties and that, therefore, in addition to any action at law for damages which either party may have, Company shall be entitled to enjoin the enactment or enforcement of any ordinance or charter amendment in violation of, or in conflict with, the terms of this Agreement and shall be entitled to obtain such other equitable relief, including specific performance of the Agreement, as is necessary to enforce its rights. It is further agreed that should this Agreement be breached by Company, the City shall be entitled, in addition to any action at law for damages, to obtain specific performance of this Agreement and such other equitable relief necessary to enforce its rights. SAAGENDA\AGENDA ITEM MEMOS\DCP Midstream (Duke)2009 - Final.doc 6 ARTICLE V TERM OF AGREEMENT The term of this Agreement shall be for seven (7) years, commencing January 1, 2009, and ending on December 31, 2015. ARTICLE VI NOTICES Any notice provided for in this Contract, or which may otherwise be required by law shall be given in writing to the parties hereto by Certified Mail addressed as follows: TO CITY TO COMPANY City Manager DCP Midstream, LP. City of Beaumont Property Tax Division 801 Main 5718 Westheimer, Suite 1900 Beaumont, Texas 77704 Houston, Texas 77057 Fax: (409) 880-3132 Fax: (713) 735-3134 ARTICLE VII CONTINUATION If this Agreement shall be held invalid by any court of competent jurisdiction, such holding shall not affect the right of City to any payment made or accruing to City hereunder prior to such adjudication, and this provision is intended to be an independent and separable provision not to be affected by such adjudication. SAAGENDA\AGENDA ITEM MEMOS\DCP Midstream (Duke)2009 - Final.doc 7 IN WITNESS THEREOF, this Agreement, consisting of 8 pages, is executed in duplicate counterparts as of this day of , 2008. CITY OF BEAUMONT, TEXAS I= ATTEST: Tina Broussard City Clerk Kyle Hayes City Manager DCP MIDSTREAM, LP R. Gregg West Property Tax Director ATTEST: SAAGENDA\AGENDA ITEM MEMOS\DCP Midstream (Duke)2009 - Final.doc c RICH WITH OPPORTUNITY BEA,IIMON* T• E• X• A• S TO: FROM: PREPARED BY: MEETING DATE: REQUESTED ACTION: City Council Agenda Item City Council Kyle Hayes, City Manager Laura Clark, Chief Financial Officer December 23, 2008 Council consider authorizing the City Manager to execute an Industrial District Contract with Slamback Partners. RECOMMENDATION The Administration recommends approval of a resolution authorizing the City Manager to execute an Industrial District Contract with Slamback Partners. BACKGROUND Industrial District Contracts enable the City to collect payments in lieu of taxes from industries located outside the city limits. The City currently has a contract with Slamback Partners that will expire December 31, 2008. The new contract will be effective January 1, 2009. The in -lieu of tax payment will be based on a ratio of 80% of property taxes due to the City as if the industry were located within the city limits in 2009 through 2011 and 75% of property taxes due to the City in 2012 through 2015. The 2009 payment will be calculated based on 80% of the assessed value multiplied by the tax rate effective on October 1, 2008 or $0.64 per $100 of assessed valuation. Payments will be due to the City by February I' of each year. A copy of the agreement is attached for your review. BUDGETARY IMPACT The estimated FY 2009 payment for Slamback Partners is $2,400 of the $15,782,000 of industrial payments expected in FY 2009. RESOLUTION NO. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BEAUMONT: THAT the City Manager be and he is .hereby authorized to execute an Industrial District Contract with Slamback Partners. The contract is substantially in the form attached hereto as Exhibit "A" and made a part hereof for all purposes. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 23rd day of December, 2008. - Mayor Becky Ames - STATE OF TEXAS § COUNTY OF JEFFERSON § AGREEMENT This Agreement is made under the authority of Section 42.044 of the Texas Local Government Code. The parties to the Agreement are the City of Beaumont, a municipal corporation and a home -rule city located in Jefferson County, Texas, hereinafter called "City," and Slamback Partners, hereinafter called "Company." PREAMBLE WHEREAS, the City has established an industrial district comprising a certain part of the extraterritorial jurisdiction of the City, such industrial district being known as the City of Beaumont Industrial District. WHEREAS, Company owns land and/or improvements within the City of Beaumont Industrial District which are a part of the manufacturing, industrial, and refining facilities of said Company. WHEREAS, the Company recognizes the benefits of this Agreement and an obligation to contribute to the revenue needs of said City in an amount commensurate with the burdens placed upon the City by reason of being located immediately adjacent to said City and benefits derived by the Company by reason of being located within the Industrial District. In view of the above and foregoing reasons and in consideration of the mutual agreements herein contained, Company and City hereby agree as follows: EXHIBIT "A" ARTICLE I COMPANY'S OBLIGATION Annual Payment on Company's Property 1. Commencing with the calendar year 2009 and each calendar year thereafter for the duration of this Agreement, the Company will pay the City a certain sum which will be computed on the assessed value of the Company's facilities and property, real, personal, and mixed located on Company's land covered by this Agreement (herein "the properties"). 2. By the term "Assessed Value" is meant the 100% valuation of the Company's properties, as determined by the Jefferson County Appraisal District for ad valorem tax purposes. 3. The term "Assumed City Taxes Due" shall be calculated by the following formula: Assumed City Taxes Due: Assessed Value / 100 X Current City Tax Rate = Assumed City Tax Due 4. Payment Procedures The procedures for determining and making such payments shall be as follows: (a) The payment for 2009 shall be due and payable on or before February 1, 2009. The 2009 payment is calculated as follows: SAAGENDA\AGENDA ITEM MEMOS\Slamback Industrial Contract.d1c Assumed City Taxes Due: Assessed Value / 100 X Current City Tax Rate = Assumed City Tax Due Year 1 80% of Assumed City Taxes Due = 2009 Payment Each October thereafter, the Chief Financial Officer of the City shall obtain the current Assessed Values set by the Jefferson County Appraisal District for the Company's Properties having taxable situs within the areas described in this Agreement. For example, in October, 2008, the 2008 assessed values shall be used in calculating the payment due February 1, 2009. If the Assessed Values of the Properties for a tax year are in question and/or under litigation with the Jefferson County Appraisal District, payment shall be computed on the most recent certified Assessed Values of the Properties by the Jefferson County Appraisal District. The Company shall notify the City following resolution of the Assessed Value question and an adjustment for the payment, without interest, will be made within thirty (30) days following such resolution. (b) After the Assessed Value of the Company's Properties has been determined, the annual payment due shall be calculated in accordance with the following schedule: The 2009 annual payment shall be eighty percent (80%) of Assumed City Taxes Due. The 2010 and 2011 annual payments shall be 80% of Assumed City Taxes Due, except such payment shall not exceed or be less than the previous year's payment by more than ten percent (10%). SA\AGENDA\AGENDA ITEM MEMOS\Slamback Industrial Contract.1c The 2012 through 2015 annual payments shall be seventy-five percent (75%) of Assumed City Taxes Due, except such payment shall not exceed or be less than the previous year's payment by more than seven percent (7%). (c) City hereby agrees to bill Company for annual payments due hereunder on or before January 1 each year. Company shall pay such amount to City on or before February 1 each year. Upon receiving the annual payment due, the Chief Financial Officer of the City shall issue an official receipt of said City acknowledging full, timely, final and complete payment due by said Company to City for the Properties involved in this Agreement for the year for which such payment is made. If payment is not made on or before any due date, the same penalties, interest, attorneys' fees and costs of collection shall be recoverable by the City as would be collectible in the case of delinquent ad valorem taxes. Further, if payment is not timely made, all payments which otherwise would have been paid to the City had Company been in the city limits of City will be recaptured and paid to the City within sixty (60) days of any such event. ARTICT.F TT PROPERTY COVERED BY AGREEMENT This instrument will reflect the intention of the parties hereto that this instrument shall govern and affect the properties of Company (facilities, real, personal, and mixed) located on Company's real property, more particularly described in Exhibit "A" hereto, which are within the extraterritorial jurisdiction of the City of Beaumont. SA\AGENDA\AGENDA ITEM MEMOS\Slamback Industrial Contract.¢4c ARTICLE III SALE BY COMPANY Company shall notify City of any sale of any or all of Company's property, including facilities, to any person or entity, if the value of such property substantially affects the current assessed value of the property as set forth by the Jefferson County Appraisal District. As to payments due under this Agreement, no such sale shall reduce the amount due the City under this Agreement until the purchaser of such property has entered into an agreement in lieu of taxes with the City that provides for a continuation of payments to City as if no such sale had been made. It is the intent of the parties that no sale of any of Company's properties will affect the amount to be paid to City under this Agreement. ARTICLE IV CITY'S OBLIGATIONS 1. City agrees that it will not annex, attempt to annex or in any way cause or permit to be annexed any portion of lands or facilities or properties of said Company covered by this Agreement for the period of the Agreement except as follows: (a) If the City determines that annexation of all or any part of the properties covered by this Agreement belonging to said Company is reasonably necessary to promote and protect the general health, safety and welfare of persons residing within or adjacent to the City, the City will notify Company in accordance with State law of the proposed annexation. In the event of such annexation, Company will not be required to make further payment under this Agreement for any calendar year commencing after such annexation with respect to the property so annexed, but shall nevertheless be obligated to make full payment for the year during which such SAAGENDA\AGENDA ITEM MEMOS\Slamback Industrial Contract.G9c annexation becomes effective if the annexation becomes effective after January 1 st of said year. (b) In the event any municipality other than the City attempts to annex separately or in the event the creation of any new municipality shall be attempted so as to include within its limits any land which is the subject matter of this Agreement, City shall, with the approval of Company, seek immediate legal relief against any such attempted annexation or incorporation and shall take such other legal steps as may be necessary or advisable under the circumstances with all costs of such action being borne equally by the City and by the said Company or Companies. 2. The City further agrees that during the term of this Agreement, there shall not be extended or enforced as to any land and property of Company within said City of Beaumont Industrial District, any rules, regulations, or any other actions: (a) seeking in any way to control the platting and subdivisions of land, (b) prescribing any buildings, electrical, plumbing or inspection standards or equipment, or (c) attempting to regulate or control in any way the conduct of Company's activities, facilities or personnel thereof. 3. It is understood and agreed that during the term of this Agreement or any renewals thereof, the City shall not be required to furnish any municipal services to Company's properties located within the City of Beaumont Industrial District; provided, however, City agrees to furnish fire protection to Company should such protection be requested by Company in the event an unusual emergency situation occurs. SAAGENDA\AGENDA ITEM MEMOS\Slamback Industrial Contract.49c ARTICLE V TERMINATION OR BREACH It is agreed by the parties to this Agreement that only full, complete and faithful performance of the terms hereof shall satisfy the rights and obligations assumed by the parties and that, therefore, in addition to any action at law for damages which either party may have, Company may enjoin the enactment or enforcement of any ordinance or charter amendment in violation of, or in conflict with, the terms of this Agreement and may obtain such other equitable relief, including specific performance of the Agreement, as is necessary to enforce its rights. It is further agreed that should this Agreement be breached by Company, the City shall be entitled, in addition to any action at law for damages, to obtain specific performance of this Agreement and such other equitable relief necessary to enforce its rights. ARTICLE VI AFFILIATES The benefits accruing to Company under this Agreement shall also extend to Company's "affiliates" and to any properties owned or acquired by said affiliates within the area described in Exhibit "A" to this Agreement and, where reference is made herein to the Properties owned by Company, that shall also include land, property and improvements owned by its affiliates. The word "affiliates" as used herein shall mean all companies with respect to which Company directly or indirectly, through one or more intermediaries at the time in question, owns or has the power to exercise the control over fifty percent (50%) or more of the stock having the right to vote for the election of directors. SAAGENDA\AGENDA ITEM MEMOS\Slamback Industrial Contract.dpc ARTICLE VII TERM OF AGREEMENT The term of this Agreement shall be for seven (7) years, commencing January 1, 2009 and ending on December 31, 2015. ARTICLE VIII NOTICES Any notice provided for in this Agreement, or which may otherwise be required by law, shall be given in writing to the parties hereto by certified mail addressed as follows: TO CITY: TO COMPANY: City Manager Slamback Partners City of Beaumont c/o Hal Bean 801 Main Street P. O. Box 430 P. O. Box 3827 Beaumont, Texas 77704-0430 Beaumont, Texas 77704 A R TTf T .F TX CONTINUATION If this Agreement shall be held invalid by any court of competent jurisdiction, such holding shall not affect the right of City to any payment made or accruing to City hereunder prior to such adjudication, and this provision is intended to be an independent and separable provision not to be affected by such adjudication. S:\AGENDA\AGENDA ITEM MEMOS\Slamback Industrial ContractIpc IN WITNESS THEREOF, this Agreement, consisting of 9 pages, is executed in duplicate counterparts as of this day of , 2008. CITY OF BEAUMONT, TEXAS Kyle Hayes City Manager ATTEST: Tina Broussard City Clerk ATTEST: SAAGENDA\AGENDA ITEM MEMOS\Slamback Industrial Contract.'�c �c RICH WITH OPPORTUNITY 111'CmA,111�1011 � T• E - X• A• S TO: FROM: PREPARED BY: MEETING DATE: City Council Agenda Item City Council Kyle Hayes, City Manager Tom Warner, Director of Public Works j_PC December 23, 2008 REQUESTED ACTION: Council consider a resolution accepting maintenance of the street, water and sanitary sewer improvements in Regent I, Hope VI Subdivision. RECOMMENDATION Administration recommends approval of the following: • Regent St. from existing Gulf St. approximately 1400 feet west to the end of the cul-de-sac. • Jirou St. from existing Delaware St. approximately 1200 feet south to proposed Maime St. • Maime St. from proposed Jirou St. approximately 1000 feet west to the end of the cul-de-sac. • Averill St. from proposed Maime St. approximately 400 feet north to proposed Regent St. Also, recommended for approval are the water and sanitary sewer improvements for Regent I, Hope VI subdivision. BACKGROUND The aforementioned improvements in the subdivision substantially passed final inspection from all entities involved on December 17`h 2008. BUDGETARY IMPACT None. VICINITY MAP, NTS RESOLUTION NO. WHEREAS, construction of the street, storm sewer, and sanitary sewer improvements constructed in Regent I, Hope VI Subdivision, have been completed as follows: Street. Storm Sewer • Regent St. from existing Gulf St. approximately 1400 feet west to the end of the cul-de-sac.. • Jirou St. from existing Delaware St. approximately 1200 feet south to proposed Maime St. • Maime St. from proposed Jirou St. approximately 1000 feet west to the end of the cul-de-sac. • Averill St. from proposed Maime St. approximately 400 feet north to proposed Regent St. Water and Sanitary Sewer Improvements • Regent I, Hope VI Subdivision WHEREAS, the developers of said street desire to have these improvements accepted and maintained by the City; and, WHEREAS, the director of the Public Works and Engineering Department has determined that said improvements meet city standards and qualify for acceptance for permanent maintenance, and the City Council is of the opinion that said improvements should be accepted and maintained by the City of Beaumont; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BEAUMONT: THAT the above -referenced street, storm sewer, water and sanitary sewer improvements in Regent I, Hope VI Subdivision, with the exception of streetlights, are hereby accepted by the City of Beaumont and shall be continuously maintained by the City contingent upon filing of the final plat, complete with filings of dedication of all rights-of-way and easements required on the preliminary and final plats and installation of the streetlights PASSED BY THE CITY COUNCIL of the City of Beaumont this the 23rd day of December, 2008. - Mayor Becky Ames - RICH WITH OPPORTUNITY BEA,UIION* T• E• S• A• S REGULAR MEETING OF THE CITY COUNCIL. COUNCIL CHAMBERS DECEMBER 23, 2008 1:30 P.M. AGENDA CALL TO ORDER * Invocation Pledge Roll Call * Presentations and Recognition * Public Comment: Persons may speak on scheduled agenda items 5-14/Consent Agenda * Consent Agenda GENERAL BUSINESS 1. Consider a request for a specific use permit to allow pre -owned auto sales in an NSC (Neighborhood Shopping Center) District and GC -MD -2 (General Commercial -Multiple Family Dwelling -2) District at W. Lucas at Arthur 2. Consider a request for a specific use permit to allow church parking in an RS (Residential Single Family Dwelling) District at 1135 Chamberlin 3. Consider a request for a specific use permit to allow a church and community outreach center in an RS (Residential Single Family Dwelling) District at the northwest corner of Broussard Road and Best Drive 4. Consider a request for an amended specific use permit to allow for the expansion of a medical building in a GC -MD -2 (General Commercial -Multiple Family Dwelling -2) District at the northeast comer of Folsom and Pointe' Parkway Consider authorizing the City Manager to execute a contract for an Ammonia System Addition at the Loeb Water Plant 6. Consider authorizing the City Manager to increase the Surface Water Treatment Plant Improvements Phase I Project for "extra work" 7. Consider approving the purchase of air-cooled chillers for use at various city facilities 8. Consider granting a new solid waste collection and transportation service franchise 9. Consider authorizing the City Manager to execute an Industrial District Contract with Arkema, Inc. 10. Consider authorizing the City Manager to execute an Industrial District Contract with Lucite International, Inc. 11. Consider authorizing the City Manager to execute an Industrial District Contract with Martin Operating Partnership, LP 12. Consider authorizing the City Manager to execute an Industrial District Contract with Centana Intrastate Pipeline, LLC 13. Consider approving the renewal of an annual maintenance agreement for software support 14. Consider approving an amendment to the Management and Concession Agreement with the Beaumont Yacht Club COMMENTS Councilmembers/City Manager comment on various matters Public Comment (Persons are limited to 3 minutes) EXECUTIVE SESSION Consider matters related to contemplated or pending litigation in accordance with Section 551.071 of the Government Code: Tina Lewallen vs. the City of Beaumont Linda Thomas vs. the City of Beaumont and John Savoy Persons with disabilities who plan to attend this meeting and who may need auxiliary aids or services are requested to contact Lenny Caballero at 880-3716 three days prior to the meeting. i December 23, 2008 Consider a request for a specific use permit to allow pre -owned auto sales in an NSC (Neighborhood Shopping Center) District and GC -MD -2 (General Commercial -Multiple Family Dwelling -2) District at W. Lucas at Arthur RICH WITH OPPORTUNITY r CAi 11 1�1 U1 11!0( T E• X• A - S TO: City Council Agenda Item City Council FROM: Kyle Hayes, City Manager C)\5 PREPARED BY: Chris Boone, Community Development Director MEETING DATE: December 23, 2008 REQUESTED ACTION: Council consider a request for a specific use permit to allow pre -owned auto sales in an NSC (Neighborhood Shopping Center) District and GC -MD -2 (General Commercial -Multiple Family Dwelling -2) District at W. Lucas at Arthur. RECOMMENDATION The Administration recommends approval of the request. BACKGROUND Tony and Dana Archibald have applied for the specific use permit. Mr. and Mrs Archibald state that the majority of the activity will occur on Lots 9-11 of Block 35. There will be no more than six cars in inventory at any one time. The office for the pre -owned car sales will be located in the existing office for the West End Storage facility. The cars will be placed in the display area during the day. At night, the cars will be moved behind the fence that surrounds the storage facility. The display area will be located between the existing car wash and the storage facility. In July, 2005, City Council approved a zone change from NSC to GC -MD -2 for the property where the storage facility is located. At a Joint Public Hearing held December 15, 2008, the Planning Commission recommended approval 6:0 of a specific use permit to allow pre -owned auto sales in an NSC (Neighborhood Shopping Center) District and GC -MD -2 (General Commercial -Multiple Family Dwelling -2) District at W. Lucas at Arthur. BUDGETARYIMPACT None. ORDINANCE NO. ENTITLED AN ORDINANCE GRANTING A SPECIFIC USE PERMIT TO ALLOW PRE -OWNED AUTO SALES IN AN NSC (NEIGHBORHOOD SHOPPING CENTER) DISTRICT AND GC -MD (GENERAL COMMERCIAL -MULTIPLE FAMILY DWELLING) DISTRICT FOR PROPERTY LOCATED AT W. LUCAS AT ARTHUR IN THE CITY OF BEAUMONT, JEFFERSON COUNTY, TEXAS. WHEREAS, the City Council for the City of Beaumont desires to issue a specific use permit to Tony and Dana Archibald to allow pre -owned auto sales in an NSC (Neighborhood Shopping Center) District and GC -MD (General Commercial -Multiple Family Dwelling) District for property located at W. Lucas and Arthur, being all of Lots 1, 2, 13 and 14, Lot 3, Tr. 3 and Lots 7-12, Tr. 1 Block 35, Highlands Addition, City of Beaumont, Jefferson County, Texas, containing 1.4 acres, more or less, as shown on Exhibit "A" attached hereto; and, WHEREAS, the City Council is of the opinion that the issuance of such specific use permit is in the best interest of the City of Beaumont and its citizens: NOW, THEREFORE, BE IT ORDAINED BY THE CITY OF BEAUMONT: Section 1. That a specific use permit to allow pre -owned auto sales in an NSC (Neighborhood Shopping Center) District and GC -MD (General Commercial -Multiple Family Dwelling) District for property located at W. Lucas and Arthur, being all of Lots 1, 2, 13 and 14, Lot 3, Tr. 3 and Lots 7-12, Tr. 1 Block 35, Highlands Addition, City of Beaumont, Jefferson County, Texas, containing 1.4 acres, more or less, as shown on Exhibit "A" attached hereto and made a part hereof for all purposes, is hereby granted to Tony and Dana Archibald, their legal representatives, successors and assigns. Section 2. That the specific use permit herein granted is expressly issued for and in accordance with each particular and detail of the site plan attached hereto as Exhibit "B" and made a part hereof for all purposes. Section 3. Notwithstanding the site plan attached hereto, the use of the properly herein above described shall be in all other respects subject to all of the applicable regulations contained in Chapter 30 of the Code of Ordinances of Beaumont, Texas, as amended, as well as comply with any and all federal, state and local statutes, regulations or ordinances which may apply. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 23rd day of December, 2008. - Mayor Becky Ames - 1971-P: Request for a specific use permit to allow pre -owned auto sales in an NSC ighborhood Shopping Center) District and GC -MD -2 (General Commercial -Multiple lily Dwelling -2) District ation: W. Lucas at Arthur Tony and Dana Archibald 0 100 200 t 1 Feet IWHII:MMAII I 1 1 I 1 \ - .�1 TWT—so L'49 3x£0 ,ll .00 N -,7—.00-Ni , n �\ L® z CIA ---� � I � o Q O Q .. "' (.OLX.G) n �. �� � n x�S-,6 •M I � ® _ a � I i y cL�L� N I 1 1 I 1 \ - o �\ i y cL�L� � u � 7Z C4 CCA I w� I EXHIBIT "B" 2 December 23, 2008 Consider a request for a specific use permit to allow church parking in an RS (Residential Single Family Dwelling) District at 1135 Chamberlin RICH WITH OPPORTUNITY 11 I'L"Ai � T - E - X - A - S TO: FROM: PREPARED BY: MEETING DATE: City Council Agenda Item City Council Kyle Hayes, City Manager 6))') Chris Boone, Community Development Director December 23, 2008 REQUESTED ACTION: Council consider a request for a specific use permit to allow church parking in an RS (Residential Single Family Dwelling) District at 1135 Chamberlin. RECOMMENDATION The Administration recommends approval of the request subject to the following conditions: 1. The parking lot must be in compliance with the City's drainage requirements. 2. The driveway and parking lot must meet with the Traffic Engineering Division's approval. 3. A six foot wide landscape strip must be installed along the street frontage of the new parking lot. BACKGROUND Pastor Carl Vickery, representing Calvary Tabernacle Ministries, has applied for the specific use permit. Pastor Vickery states that the church has been at this location for more than twenty years. Because of recent growth, the church is in dire need of additional parking. In May, 2008, the church bought the subject property so that it could add more parking spaces. The proposed 47'x 95'4" parking lot will accommodate an additional seven parking spaces. At a Joint Public Hearing held December 15, 2008, the Planning Commission recommended approval 6:0 of a specific use permit to allow church parking in an RS (Residential Single Family Dwelling) District at 1135 Chamberlin, subject to the following conditions: 1. The parking lot must be in compliance with the City's drainage requirements. 2. The driveway and parking lot must meet with the Traffic Engineering Division's approval. 3. A six foot wide landscape strip must be installed along the street frontage of the new parking lot. BUDGETARY IMPACT None. ORDINANCE NO. ENTITLED AN ORDINANCE GRANTING A SPECIFIC USE PERMIT TO ALLOW CHURCH PARKING IN AN RS (RESIDENTIAL SINGLE FAMILY DWELLING) DISTRICT FOR PROPERTY LOCATED AT 1135 CHAMBERLIN IN THE CITY OF BEAUMONT, JEFFERSON COUNTY, TEXAS. WHEREAS, the City Council for the City of Beaumont desires to issue a specific use permit to Calvary Tabernacle Ministries to allow church parking in an RS (Residential Single Family Dwelling) District for property located at 1135 Chamberlin, being Lot 14, Block 5, Caldwood Acres Addition, City of Beaumont, Jefferson County, Texas, containing 0.75 acres, more or less as shown on Exhibit "A" attached hereto; and, WHEREAS, the City Council is of the opinion that the issuance of such specific use permit is in the best interest of the City of Beaumont and its citizens subject to the hereinafter described conditions. NOW, THEREFORE, BE IT ORDAINED BY THE CITY OF BEAUMONT: Section 1. That a specific use permit to allow church parking in an RS (Residential Single Family Dwelling) District for property located at 1135 Chamberlin, being Lot 14, Block 5, Caldwood Acres Addition, City of Beaumont, Jefferson County, Texas, containing 0.75 acres, more or less as shown on Exhibit "A" attached hereto and made a part hereof for all purposes, is hereby granted to Calvary Tabernacle Ministries, its legal representatives, successors and assigns subject to the following conditions: • The parking lot must be in compliance with the City's drainage requirements. • The driveway and parking lot must meet with the Traffic Engineering Division's approval. • A six foot wide landscape strip must be installed along the street frontage of the new parking lot. • Section 2. That the specific use permit herein granted is expressly issued for and in accordance with each particular and detail of the site plan attached hereto as Exhibit "B" and made a part hereof for all purposes. Section 3. Notwithstanding the site plan attached hereto, the use of the property herein above described shall be in all other respects subject to all of the applicable regulations contained in Chapter 30 of the Code of Ordinances of Beaumont, Texas, as amended, as well as comply with any and all federal, state and local statutes, regulations or ordinances which may apply. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 23rd day of December, 2008. - Mayor Becky Ames - 1972-P: Request for a specific use permit to allow church parking in an RS idential Single Family Dwelling) District. ition:1135 Chamberlin Calvary Tabernacle Ministries . BYRD ST _. n 0 100 200 1 1 1 1 Feet EXHIBIT "A" Legend M 1972P 'iul�■J Z LOLLL sexal luoweag enup uluagwego g£ L 4 sau>slulW eloeuwagel tianleO 800 101 JNIN*dVd M3N 's • t.t .. dr NT = �o i rrl FpFp jx r g. • ° I z r• ° .T • L - ullI U- 11 It Ge O I $ ea z d a 0 as 0 � �! n. Cd C O. � a� � a � Cl I = IL m .� � � �� i `g r,t str rt4 i a tl . • gB w I 4) Q ' H H Q •_ Q r T i 41 °- .° a Z� tl CC - y Q c! pr M i e. Il a .� 4 — y z owc Y00'JNLLSIX3 n.¢ 3n11:14 111YI83eWdHO EXHIBIT "C" 3 December 23, 2008 Consider a request for a specific use permit to allow a church and community outreach center in an RS (Residential Single Family Dwelling) District at the northwest corner of Broussard Road and Best Drive RIGH WITH OPPORTUNITY 11 I'L A ► � T - E• X• A• S TO: City Council Agenda Item City Council FROM: Kyle Hayes, City Manager C's 6 PREPARED BY: Chris Boone, Community Development Director MEETING DATE: December 23, 2008 REQUESTED ACTION: Council consider a request for a specific use permit to allow a church and community outreach center in an RS (Residential Single Family Dwelling) District at the northwest corner of Broussard Road and Best Drive. RECOMMENDATION The Administration recommends approval of the request subject to the following conditions: 1. The site plan must comply with City drainage requirements. 2. Off-street parking lot and driveway dimensions and number of off-street parking spaces must comply with City standards. 3. The parking lot must meet the City landscaping requirements both within the interior of the parking lot and along all street frontages. 4. A sidewalk will be required along Broussard Road. 5. An 8' fence and 10' wide landscape strip will be required along the north and west property lines. BACKGROUND Pastors Henry and Tquita Brown, representing Colossians Christian Center Church, have applied for the specific use permit. Pastors Brown state that the church will serve the community through a variety of ministries. In addition to two Sunday services, the church will provide a variety of activities throughout the week. The initial phase of construction will consist of a 9,500 sq. ft. sanctuary and the necessary parking. A future phase will consist of a 6,719 sq. ft. community fitness and outreach center and related parking. The church will accommodate a maximum attendance of 500. The City's Engineering, Traffic, Planning Divisions have reviewed the request. All three divisions have approved subject to City's drainage, parking lot, driveway and landscaping standards. At a Joint Public Hearing held December 15, 2008, the Planning Commission recommended approval 6:0 of a specific use permit to allow a church and a community outreach center in an RS (Residential Single Family Dwelling) District at the northwest corner of Broussard Road and Best Drive, subject to the following conditions: 1. The site plan must comply with City drainage requirements. 2. Off-street parking lot and driveway dimensions and number of off-street parking spaces must comply with City standards. 3. The parking lot must meet the City landscaping requirements both within the interior of the parking lot and along all street frontages. 4. A sidewalk will be required along Broussard Road. 5. An 8' fence and 10' wide landscape strip will be required along the north and west property lines. BUDGETARY IMPACT None. ORDINANCE NO. ENTITLED AN ORDINANCE GRANTING A SPECIFIC USE PERMIT TO ALLOW A CHURCH AND COMMUNITY OUTREACH CENTER IN AN RS (RESIDENTIAL SINGLE FAMILY DWELLING) DISTRICT FOR PROPERTY LOCATED AT THE NORTHWEST CORNER OF BROUSSARD ROAD AND BEST DRIVE IN THE CITY OF BEAUMONT, JEFFERSON COUNTY, TEXAS. WHEREAS, the City Council for the City of Beaumont desires to issue a specific use permit to Colossians Christian Center Church to allow a church and community outreach center in an RS (Residential Single Family Dwelling) District for property located at the northwest corner of Broussard Road and Best Drive, being Tracts 186 and 186A, Plat RS5, D. Easley Survey, Abst. 20, City of Beaumont, Jefferson County, Texas, containing 5.415 acres, more or less as shown on Exhibit "A" attached hereto; and, WHEREAS, the City Council is of the opinion that the issuance of such specific use permit is in the best interest of the City of Beaumont and its citizens subject to the hereinafter described conditions. NOW, THEREFORE, BE IT ORDAINED BY THE CITY OF BEAUMONT: Section 1. That a specific use permit to allow a church and community outreach center in an RS (Residential Single Family Dwelling) District for property located at the northwest corner of Broussard Road and Best Drive, being Tracts 186 and 186A, Plat RS5, D. Easley Survey, Abst. 20, City of Beaumont, Jefferson County, Texas, containing 5.415 acres, more or less, as shown on Exhibit "A" attached hereto and made a part hereof for all purposes, is hereby granted to Colossians Christian Center Church, its legal representatives, successors and assigns subject to the following conditions: • The site plan must comply with City drainage requirements. • Off-street parking lot and driveway dimensions and number of off- street parking spaces must comply with City standards. • The parking lot must meet the City landscaping requirements both within the interior of the parking lot and along all street frontages. • A sidewalk will be required along Broussard Road. • An 8' fence and 10' wide landscape strip will be required along the north and west property lines. Section 2. That the specific use permit herein granted is expressly issued for and in accordance with each particular and detail of the site plan attached hereto as Exhibit "B" and made a part hereof for all purposes. Section 3. Notwithstanding the site plan attached hereto, the use of the property herein above described shall be in all other respects subject to all of the applicable regulations contained in Chapter 30 of the Code of Ordinances of Beaumont, Texas, as amended, as well as comply with any and all federal, state and local statutes, regulations or ordinances which may apply. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 23rd day of December, 2008. - Mayor Becky Ames - 1970-P: Request for a specific use permit to allow a church and a community outreach !r in an RS (Residential Single Family Dwelling) District. tion: Northwest corner of Best and Broussard Pastor Henry F. Brown, Jr. for Colossians Christian Center Church 0 100 200 Feet EXHIBIT "A" 0 a a EXHIBIT "B" II on r N CD I�t�I�+ f. I jr b o �•� 0 0i o 111 o ►- G 6 w UO 0 a a EXHIBIT "B" II N CD Ocii jr b o �•� 0 0i 111 o ►- G 6 w UO LL gLLJJ w .41 cd o N CC a ccs v� lud cli04 ccs 0 d U c", ao a bA 4) _O otoq '" °4co� a.� 44 a N cyi Cd �•ybU p 3 4; °F -O y 9 Q lo. 4) -0 c 0 a a EXHIBIT "B" II N CD Ocii jr �•� LIJLLJC) Z +� ►- >FLfl4/ UO LL gLLJJ w z0 z CC a cli04 N 11 December 23, 2008 Consider a request for an amended specific use permit to allow for the expansion of a medical building in a GC -MD -2 (General Commercial -Multiple Family Dwelling -2) District at the northeast comer of Folsom and Pointe' Parkway RICH WITH OPPORTUNITY 11 17C A . � T - E - X - A - S TO: FROM: PREPARED BY: MEETING DATE: City Council Agenda Item City Council Kyle Hayes, City Manager C50 Chris Boone, Community Development Director December 23, 2008 REQUESTED ACTION: Council consider a request for an amended specific use permit to allow for the expansion of a medical building in a GC -MD -2 (General Commercial -Multiple Family Dwelling -2) District at the northeast corner of Folsom and Pointe' Parkway. RECOMMENDATION The Administration recommends approval of the request subject to the following conditions: 1. Drainage of the project must comply with the City's drainage requirements. 2. The driveways and parking lots must comply with the City's driveway and parking lot standards. 3. The perimeter and interior of the parking lots must meet the City's landscaping requirements. 4. Provide an 8' tall wood screening fence along the north end of the subject property. 5. Sidewalks will be required along Folsom and Pointe' Parkway. and with a waiver of the 10' wide landscape strip along the north property line. BACKGROUND Clifton Thomason has applied for the amended specific use permit. In June, 2008, a specific use permit was approved for a 25,400 sq. ft. medical office building. It is now the desire of the developer to add 3,373 sq. ft. of building space for a total size of 28,773 sq. ft. The developer has potential commitments for the additional space. At a Joint Public Hearing held December 15, 2008, the Planning Commission recommended approval 6:0 of an amended specific use permit to allow for the expansion of a medical building in a GC -MD -2 (General Commercial -Multiple Family Dwelling -2) District at the northeast corner of Folsom and Pointe' Parkway subject to the following conditions: 1. Drainage of the project must comply with the City's drainage requirements. 2. The driveways and parking lots must comply with the City's driveway and parking lot standards. 3. The perimeter and interior of the parking lots must meet the City's landscaping requirements. 4. Provide an 8' tall wood screening fence along the north end of the subject property. 5. Sidewalks will be required along Folsom and Pointe' Parkway. and with a waiver of the 10' wide landscape strip along the north property line BUDGETARY IMPACT None. ORDINANCE NO. ENTITLED AN ORDINANCE ISSUING AN AMENDED SPECIFIC USE PERMIT TO CLIFTON THOMASON TO ALLOW FORTHE EXPANSION OFA MEDICAL BUILDING IN A GC -MD -2 (GENERAL COMMERCIAL -MULTIPLE FAMILY DWELLING -2) DISTRICT AT THE NORTHEAST CORNER OF FOLSOM AND POINTE PARKWAY IN THE CITY OF BEAUMONT, JEFFERSON COUNTY, TEXAS. WHEREAS, on June 24, 2008, City Council approved Ordinance No. 08-051 issuing a Specific Use Permit to Camidyn Real Estate to allow a medical office in a GC -MD -2 (General Commercial -Multiple Family Dwelling -2) District for property located at the northeast corner of Folsom Drive and Pointe Parkway in the City of Beaumont, Jefferson County, Texas; and, WHEREAS, the applicant, Clifton Thomason, on behalf of the owner, Juansrich, Ltd., wishes to further expand the medical building located at the northeast corner of Folsom and Pointe Parkway, as described in Exhibit "A" and shown on Exhibit "B" attached hereto and made a part hereof for all purposes; and, WHEREAS, the Planning and Zoning Commission of the City of Beaumont considered the request to amend the Specific Use Permit to allow expansion of the medical building located at the northeast corner of Folsom and Pointe Parkway; and, WHEREAS, the City Council is of the opinion that the amendment of such specific use permit is in the best interest of the City of Beaumont and its citizens, subject to the hereinafter described conditions; NOW, THEREFORE, BE IT ORDAINED BY THE CITY OF BEAUMONT: Section 1. THAT Ordinance 08-051 be amendedby amending the Specific Use Permit to allow expansion of a medical building located at the northeast corner of Folsom and Pointe Parkway is hereby granted to Juansrich, Ltd., its legal representatives, successors, and assigns for that certain tract shown on Exhibit "B" attached hereto and made a part hereof for all purposes subject to the following conditions: • Drainage of the project must comply with the City's drainage requirements; • The driveways and parking lots must comply with the City's driveway and parking lot standards; • The perimeter and interior of the parking lots must meet the City's landscaping requirements; • Provide an 8' tall wood screening fence along the north end of the subject property; • Sidewalks will be required along Folsom and Pointe' Parkway; and with a waiver of the 10' wide landscape strip along the north property line. Section 2. Notwithstanding the site plan attached hereto as Exhibit "C," the use of the property herein above described shall be in all other respects subject to all of the applicable regulations contained in Chapter 30 of the Code of Ordinances of Beaumont, Texas, as well as comply with any and all federal, state and local statutes, regulations or ordinances which may apply. as amended. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 23rd day of December, 2008. - Mayor Becky Ames - LEGAL DESCRIPTION FOR ORDINANCE PURPOSES BEING a 2.2621 acre (98,537.26 sq ft) tract or parcel of land located in the Wesley Dikes Survey, Abstract No. 17, Jefferson County, Texas, Titled October 16, 1835, Patent 1185 Volume 23 in the General Land Office,(aka the W.B. Dyches Survey, Abstract No. 17) and being out of and a part of that called 200.686 acre tract conveyed to LaTex Investors, L.P, of record in Clerks File No. 2000021770 of the Official Public Records of Jefferson County, Texas, said 2.2621 acres being more particularly described by metes and bounds as follows: COMMENCING at a Jefferson County Drainage District No.6 (DD6) Iron Rod with aluminum disc found in the North Right -Of -Way Line of Folsom Drive (100' R.O.W.) for the southwest corner of that called 300 acre tract conveyed as Tract 1 to the Jefferson County Drainage District No.6 of record in Film Code No. 104-01-0353 of the Real Property Records of Jefferson County, Texas, the southeast corner of the said 200.686 acre tract, and the southeast corner of that called 3.5813 acre tract conveyed to Dunleith Partners, - Ltd of record in Clerks File No. 2001021999 of the Official Public Records of Jefferson County, Texas; THENCE S 87001'05" W(Basis of Bearing) along the said North R.O.W. Line of Folsom Drive and the South Line of the said 3.5813 acre tract, the South Line of the said 200.686 acre tract, and the South Line of that called 2.296 acre tract conveyed to Beaumont Family Practice Associates P A of record in Clerks File No.2002025586 of the Official Public Records of Jefferson County, Texas, for a distance 700.04 feet to a %Z" capped Iron Rod found for the southwest corner of the said 2.296 acre tract and the southeast corner and POINT OF BEGINNING of the herein described tract; THENCE S 87001'05" W continuing along the said north R.O.W Line of Folsom Drive, the South Line of the 200.686 acre tract, and the South Line of the herein described tract for a distance of 200.00 feet to a %Z" capped Rod set for the southeast corner of the herein described tract at the intersection of the said North R.O.W. Line of Folsom Drive and the East R.O.W Line of Pointe Parkway (called 80' R.O.W.) as described in Plat of Highlands. Pointe' of record in Clerks File No.2006050552 of the Official Public Records of Jefferson County, Texas; THENCE N 030 01' 43" W along the West Line of the herein described tract and the East R.O.W. Line of Pointe Parkway for a distance of 304.01 feet to a %2" capped Iron Rod set for the Point of Curvature (PC) of a curve to the right; THENCE continuing along said East R.O.W. Line of Pointe Parkway and the West Line of the herein described tract with said curve to the right, having a Radius of 330.53 feet, a Delta Angle of 40° 47'43", a Chord Distance of 230.40 feet, a Chord Bearing of N 17° 22'08" E, a distance along the Arc 235.34 feet to.a %Z" capped Iron Rod Set for the northwest corner of the herein described tract and the southwest corner of that called Tract H-2 of said Highlands Pointe'; EXHIBIT "A" THENCE N 870 01' 05" E along the North Line of the Herein described tract and the South Line of said Tract H-2 for a distance of 119.67 feet to a %Z" capped Iron Rod set for the northeast corner of the herein described tract and the northwest corner of that called 2.4798 acre tract conveyed to Beaumont Family Practice Associates P A of record in Clerks File No. 2004033555 of the Official Public Records of Jefferson County, Texas; THENCE S 030 01 ` 43" W along the West Line of the said 2.4798 acre tract and the East Line of the herein described tract for a distance of 520.03 feet to the POINT AND PLACE OF BEGINNING and containing 2.2621 acres (98,537.26 sq ft) of land, more or less L973 -P: Request for an_amended specific use permit to allow the for expansion of a cal building in a GC -MD -2 (General Commercial -Multiple Family Dwelling) District. tion: Northeast corner of Folsom and Pointe' Parkway icant: Clifton Thomason 0 100 200 1 1 1 I Feet EXHIBIT "B" iwli ba�iaiiaaa v i�rriw a b a a a 4 P, a o � O b a, D,y a78° w W y. F p. u o p d 4- Fi ° a o fA � }y •Id r �.+ 4 •2 a� a� p a' b e� 113LN3O ONpYWI ONd � � ¢ + —. 8MN30 AiJ3JNIIS A8011irs V x 1 N i Q OWN1VN01SS3JONd M3N V ! t e i 'M NOSIOJ EXHIBIT "C" O O 0 0 0 0 C4 N rl b7 O O N N 'i W H H N gtT 3 N 0 0 en N 5 December 23, 2008 Consider authorizing the City Manager to execute a contract for an Ammonia System Addition at the Loeb Water Plant RICH WITH OPPORTUNITY [IEA,111�1011T T- E - X - A - S TO: FROM: PREPARED BY: MEETING DATE: REQUESTED ACTION: RECOMMENDATION City Council Agenda Item City Council Kyle Hayes, City Manager Dr. Hani J. Tohme, Water Utilities Director 0 December 23, 2008 Council approval of a resolution authorizing the City Manager to execute a contract for the Proposed Ammonia System Addition for Loeb Water Plant Project. Administration recommends approval of a contract with Placo, Ltd., Lumberton, Texas, in the amount of $488,907.51 for the Proposed Ammonia System Addition for Loeb Water Plant Project. This project shall provide for furnishing and installing a new Ammonia Chemical Feed system at the existing Loeb Water Plant Site. The project includes replacement of two (2) existing flowmeters on the High Service Pump Discharge to the distribution system and new chemical monitoring equipment. The MBE participation will be met with Gulf Coast Electric Company. The amount of the subcontract is for $126,180 which represents 25.81 percent of the total bid. BACKGROUND The City owns three (3) ground water wells located in Lumberton, Texas. The wells pump raw water into two (2) five million gallon ground storage tanks. The ground water is disinfected prior to entering the two ground storage tanks by chlorine solution injection to provide free chlorine residual. The treated water is then pumped into the distribution system for customer consumption. The addition of ammonia with chlorine will provide disinfection using chloramines. The treatment process at the existing Water Treatment Plant, located on Pine Street, is currently using chloramines. Where the well and surface water meet, the current different disinfection methods have the potential to create poor water quality. The addition of ammonia will assist in maintaining high water quality at the interface of the treated water in the distribution system. The project will improve water quality and protect public health for the citizens of Beaumont. This Contract is recommended for approval by the City Manager and the Water Utilities Director. Ammonia System Addition for Loeb Water Plant Project December 23, 2008 Page 2 of 2 BUDGETARY IMPACT Funds for the project are available in the Capital Program. 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Q u w 0.. `o r U �.°, a U U. c v c c' y u ❑ c a W e n_ m_ E .� F, v W c c en c— a p o ° m ^ C UCL CL o y o u 0 N O Q abb ? o .2i co •p o ? •v m _� c ax+ .5 .p 'a `° -o m v c0i v .9 c ^ v 'a 0A "0 c E E F E U c o S Y o- .❑ = U E o o c= = Cn V] V) U7 V] C/) C/] V) V: Q A ,n00 M 16 00 U C} i_ O IL Cd .n E 7 L ul 0 0 0 0 bs �n U 1�1 O U U U U U T O O O v o 0 0 L 0. sv MA M O r+ N M N V1 V [� N h M� r- v, �o 00 o 0, H00 00 61) ^CS a ' M V a) cnIn 00 U V1 00 00 69 L °' 7:5 m .y+ ; N 'O '� .U+ d D a o U V 7OL O O '9 O cy td C U L �i CID m o U :Y on U o 7 c � a o U °' = O L O C F 40., v m � 6 E o QO U G '- U U aj O a a c F - � c U U a-0 U U 3 � a _ � � 3 EL a 7 F _ n a � F O q O d X � O 'O U _ U T - I I I I I -7 F -I- Wi k I ul ►C 1 o C cd a i -d N U ro 3 .n 0 o a ►C 1 !J a Ir� c .. w : o W U C o Q 00 -.4 Q W 14 Lr� N C H ro •ri w � w E-+ J-� 0 E a ro v m 0 � W Ul C� O Q O N C 0 U U U •ri J C U v W � C C U C 4- W r-+ U !J a Ir� c .. w : RESOLUTION NO. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BEAUMONT: THAT the City Manager be and he is hereby authorized to execute a contract with Placo, Ltd., Lumberton, Texas, in the amount of $488,907.51 for the Proposed Ammonia System Addition for Loeb Water Plant Project. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 23rd day of December, 2008. - Mayor Becky Ames - 71 December 23, 2008 Consider authorizing the City Manager to increase the Surface Water Treatment Plant Improvements Phase I Project for "extra work" RICH WITH OPPORTUNITY 11 11cm ► � T• E• X• A• S TO: FROM: PREPARED BY: MEETING DATE: City Council Agenda Item City Council Kyle Hayes, City Manager Dr. Hani J. Tohme, Water Utilities Director 14 December 23, 2008 REQUESTED ACTION: Council approval of a resolution authorizing the City Manager to increase the Proposed Surface Water Treatment Plant Improvements Phase I Project for "extra work". RECOMMENDATION The Administration recommends approval of increasing the Proposed Surface Water Treatment Plant Improvements Phase I Project by $239,066.95. The proposed changes to the contract will furnish labor, equipment, and material to install a new alum tank, the removal and disposal of deteriorated existing precast pipe supports, and furnish labor, equipment, and material to install stainless steel pipe supports for each of the three pulsators. The proposed changes will increase the contract time by 55 calendar days. The additional days including approved rain days increases the total contract time to 520 calendar days. The proposed extra work will represent an increase of 2.97% of the original contract amount. BACKGROUND This project is the construction phase of the improvements at the Water Treatment Plant including renovating the pulsators, and building new chlorine and chemical feed facilities. The pulsators were originally sedimentation basins constructed in 1948. During the 1980's, the basins were converted into the pulsators. The project will repair the numerous cracks in the reinforced concrete walls and floors. The existing chemical feed facility was constructed in the 1980's and is in need of substantial renovation. Advancements in chlorine containment and usage implemented in this project will provide a safe environment and more efficient operation. The project will include miscellaneous mechanical and electrical improvements including a building with provisions for two (2) 150OKW Caterpillar generators. The generators were pre -purchased by the City due to the long lead delivery time and are scheduled for delivery in January 2009. The changes will improve the future operation, provide emergency backup power, increase the efficiency of the Water Treatment Plant, and help the City meet required State and Federal regulations. Surface Water Treatment Plant Improvements Phase I Project December 23, 2008 Page 2 of 2 Previous actions include: Resolution 08-137 in the amount of $8,041,191.50 was passed by City Council on May 6, 2008. This Change Order is recommended for approval by the City Manager and the Water Utilities Director. BUDGETARY IMPACT Funds for the project are available in the Capital Program. APPROVAL OF CONTRACT CHANGE CHANGE ORDER NO.: 001 DATE: 12/12/2008 PROJECT: City of Beaumont, Texas Surface Water Treatment Plant Improvements Phase I BMT05253 OWNER: CONTRACTOR: City of Beaumont, Texas 801 Main Street Beaumont, Texas 77704 Allco, Inc. 6720 College Street Beaumont, Texas 77707 TO THE OWNER: Approval of the following contract change is requested. ORIGINAL CONTRACT AMOUNT: $ 8,041,191.50 AMOUNT OF CHANGE ORDER No. 000: REVISED CONTRACT AMOUNT PER PREVIOUSLY APPROVED CHANGE ORDER No. 000: $ 8,041,191.50 NET CHANGE: $ -0- Description: Ref CMR -003 - "Install New Alum Tank" (Allco Change Order Request IA) - Attached- Provide ttachedProvide the 12,150 Gallon HDXLPE Vertical IMFO Tank, (12'-0" D X 16'-8" H) described in CMR -003 to be shipped from Monroe, La. Total cost for the work including labor and materials is: $ 39,205.00 (10 calendar days shall be added to the contract for this work.) Ref: PCM -004 "Removal and Disposal of Precast Pipe Lateral Supports" attached. CMR -008 "Pulsator Pipe Support" attached Provide stainless steel pipe supports per PCM4, Option 3. The cost for the work including labor and materials is $66, 620.65 for each of the three pulsators. Total cost for 3 pulsators shall be: $__ 199,861.95 (15 calendar days shall be added to the contract for this work in each of three pulsators. The total days added shall be 45 days.) TOTAL AMOUNT OF THIS CHANGE ORDER: $ 239,066.95 TOTAL REVISED CONTRACT AMOUNT INCLUDING THIS CHANGE ORDER: $ 8.280.258.45 CONTRACT TIME Original Contract Time: Additional Time: Rain/wet days requested: Total Additional Days: Revised Contract Time: 465 Days 45 Days 55 Days 520 Days CONDITION OF CHANGE: "Contractor acknowledges and agrees that the adjustments in contract price and contract time stipulated in this Change Order represents full compensation for all increases and decreases in the cost of , and the time required to perform the entire work under the Contract arising directly or indirectly from this Change Order and all previous Change Orders. Acceptance of this waiver constitutes an agreement between Owner and Contractor that the Change Order represents an all inclusive, mutually agreed upon adjustment to the Contract, and that Contractor will waive all rights to file a claim on this Change Order after it is properly executed." Recommennde reese and Nichols, Inc. Engineer Date: 11Z —1 S— 01 8 1z -ice -vv Approved by: City o Beaumont Owner Date: 12 Accepted by: Allco, Inc. Contractor RESOLUTION NO. 08-320 WHEREAS, on May 6, 2008, the City Council of the City of Beaumont, Texas, passed Resolution No. 08-137 awarding a contract in the amount of $8,041,191.50 to Allco, Ltd., Beaumont, Texas, for a contract for the Proposed Surface Water Treatment Plant Improvements Phase I Project; and, WHEREAS, Change Order No. 1 in the amount of $239,066.95 is required to furnish labor, equipment and material to install a new alum tank, the removal and disposal of deteriorated existing precast pipe supports, and furnish labor, equipment and material to install stainless steel pipe supports for each of the three (3) pulsators, thereby increasing the contract amount to $8,280,258.45. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BEAUMONT: THAT the City Manager is hereby authorized to execute Change Order No. 1 in the amount of 239,066.95, thereby increasing the contract amount to $8,280,258.45. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 23rd day of December, 2008. - Mayor Becky Ames - December 23, 2008 Consider approving the purchase of air-cooled chillers for use at various city facilities RICH WITH OPPORTUNITY r City Council Agenda Item T E - X• A S TO: City Council FROM: Kyle Hayes, City Manager PREPARED BY: Tom Warner, Director of Public Works MEETING DATE: December 23, 2008 REQUESTED ACTION: Council consider the purchase of air-cooled chillers. RECOMMENDATION Administration recommends the purchase of two (2) air-cooled chillers from Trane Company of Houston in the amount of $265,643 through The Cooperative Purchasing Network. BACKGROUND The Cooperative Purchasing Network (TCPN) is administered by the Region 4 Education Service Center, a government agency authorized by the Texas Education Code. The purchasing network is available for use by public and private schools, college, cities, counties, and other government entities. TCPN complies with all state bidding statutes and participation allows members to purchase items or services from contracted vendors. TCPN has contracted with Trane Company to provide heating, ventilating, and air conditioning (HVAC) products. The air conditioning at the Police Building, Main Library, and part of the Julie Rogers Theatre is provided by an indoor chilled water system located in the Police Building. The system is approximately thirty (30) years old and maintenance on the system is continuous and inefficient. This system provides air conditioning to the Police Building, Main Library and cools approximately 60% of the Julie Rogers Theatre. The replacement system uses outdoor air- cooled chillers and will be capable of providing air conditioning more efficiently at the Police Building, Main Library and approximately 95% of the Julie Rogers Theatre. Equipment delivery is expected in approximately eight (8) weeks. A local mechanical engineering firm is designing the conversion and installation process and is preparing the construction documents for bid. BUDGETARY IMPACT Funds are budgeted in the Capital Program for this project. RESOLUTION NO. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BEAUMONT: THAT the City Council hereby approves the purchase of two (2) air-cooled chillers in the amount of $265,643 from Trane Company of Houston, Texas, through The Cooperative Purchasing Network administered by the Region 4 Education Service Center. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 23rd day of December, 2008. - Mayor Becky Ames - r , U December 23, 2008 Consider granting a new solid waste collection and transportation service franchise RICH WITH OPPORTUNITY BEA,UMON* T• E• S• A• 8 TO: FROM: PREPARED BY: MEETING DATE: REQUESTED ACTION: RECOMMENDATION City Council Agenda Item City Council Kyle Hayes, City Manager Laura Clark, Chief Financial Officer December 23, 2008 Council consider granting a new solid waste collection and transportation service franchise. Administration recommends granting a solid waste collection and transportation service franchise to Coastal Waste Disposal, Inc. BACKGROUND According to City Ordinance 28-22.1, no person shall engage in the business of collecting, hauling or transporting, in the city, any garbage, waste or refuse, without first having obtained a franchise from the City. Five (5) entities currently have nonexclusive franchise agreements with the City and are doing business in this area. Coastal Waste Disposal, Inc. has requested that the City Council grant the company such franchise agreement. Coastal Waste Disposal, Inc. is locally owned and has regional operations with one of its corporate office located at 4749 Odom Road in Beaumont. The requested franchise is generally the same as those previously approved by City Council. It provides for a term of one year from its effective date and a franchise fee of seven percent (7%) of gross revenues received for service. It also requires the entity to indemnify the City of Beaumont and provide insurance which names the City of Beaumont as a named insured. According to City Charter, franchise ordinances require readings at three (3) separate Council meetings, with the third not less than thirty (30) days from the first reading. The ordinance does not take effect until sixty (60) days after its adoption on the third and final reading. After passage, the ordinance must be published for four (4) consecutive weeks in a newspaper of general circulation in the city. All publication costs are paid by franchisee. Attached, is a copy of the franchise agreement for your review. The second reading of this item took place at the November 25, 2008 council meeting. BUDGETARY IMPACT A franchise fee of seven percent (7%) of gross receipts is paid into the General Fund. ORDINANCE NO. 08-102 ENTITLED AN ORDINANCE GRANTING FRANCHISE FOR SOLID WASTE COLLECTION AND TRANSPORTATION SERVICES; PROVIDING FOR SEVERABILITY; PROVIDING FOR REPEAL AND PROVIDING A PENALTY, BE IT ORDAINED BY THE CITY OF BEAUMONT: WHEREAS, Coastal Waste Disposal, Inc. (the "Company"), has requested a franchise to operate a solid waste collection and transportation service within the City of Beaumont, Texas (the "City"); and, WHEREAS, the City desires to grant such franchise; NOW, THEREFORE, BE IT ORDAINED BY THE CITY OF BEAUMONT: Section 1. Grant of Authority There is hereby granted by the City to Coastal Waste Disposal, Inc., the right and privilege to operate and maintain within the City a solid waste collection and transportation service (the "service"). For purposes of this franchise, the term "solid waste collection and transportation service" shall mean the regular business of collection, hauling or transporting any garbage, rubbish, waste or refuse from locations in the City, and the disposal of such material in accordance with law. The franchise granted herein is nonexclusive, and franchises may be granted to other persons for service. Section 2. Term of Franchise The franchise herein granted shall take effect and be in force sixty (60) days after the final passage hereof as required by law and upon the filing by the Company of an acceptance with the City Clerk, and shall continue in force and effect until one (1) year thereafter. The acceptance required hereunder must be in writing and filed with the City Clerk within thirty (30) days after final passage hereof. Upon the expiration of the term hereof, this franchise shall continue on a month-to-month basis until terminated by either party or extended or replaced. Section 3. Rates The Company shall establish rates for service which are uniform as to customer class based upon such criteria as type of waste, container size, frequency of collection, and distance of travel. The Company shall file its initial rates for service with its acceptance as required herein. Such rates shall, unless modified by the City, be effective with the effective date of this franchise. Any modifications in rates by the Company shall first be filed with the City Clerk and City Attorney and shall be effective thirty (30) days after such filing unless modified by City as provided herein. Nothing herein shall prevent the Company from charging uniform rates which are less than the rates filed with the City. The City shall have the right to establish rates charged by Company for services performed hereunder, after notice and hearing. Rates established by the City shall be sufficient to allow the Company an opportunity to earn a reasonable return on its invested capital used in providing such services. Section 4. Franchise Fee The Company shall pay to the City, on or before the fifteenth (15th) day of each month, a sum equal to SEVEN PERCENT (7%) of the gross revenues received for service in the previous month as payment for the use of the City's streets, alleys and rights-of-way. The payments herein provided do not relieve Company from the payment of ad valorem taxes, special assessments, charges, or other fees applicable to the public generally. City shall have the right, at any reasonable time, to audit the books and records of the Company and the Company is hereby required to make such books and records available at the request of City. Upon written acceptance, the Company shall furnish to the City a listing of customers served, including customer name, address, frequency of pick-up, size of container or type of service and charge for same. The following reports shall be filed monthly with the City Manager or his designee along with the street rental payment required herein.- 1. erein: 1. Upon written request and within thirty (30) days of receipt, the Company shall furnish to the City adequate reconciliation of reported revenues which would include: a listing of names and addresses of all customers served, frequency of pick-up, size of container or type of service and charge for same, and date service was initiated and discontinued. Section 5. Indemnity, Insurance and Bond The Company shall at all times during the effective period of this franchise, carry liability insurance as provided herein. The Company covenants and agrees at all times to indemnify and save harmless the City, its officers, agents, employees, and any member of the public against any and all injuries, damages, claims, causes of action or loss of compensation arising or resulting from Company's operations underthis franchise, whether or not such loss was caused by the negligence of the City, its agents, servants or employees. Upon notice given Company by City, Company must defend at its own expense, any action or suit brought against the City because of any work or other acts done by the Company under the terms of this franchise. Counsel chosen by Company to defend City must be satisfactory to City. Company will pay any final judgment which might be obtained against City by reason of any work or acts done hereunder by Company, its agents, servants oremployees, and Companywill pay all damages occurring to any person or property, public or private, resulting from any fault or neglect on its part or on the part of its agents or employees. The Company agrees to carry insurance as follows: 1) Workers' Compensation The Company shall furnish the City Clerk a certificate of insurance indicating workers' compensation coverage as required by the State of Texas. 2) Automobile Liability Insurance The Company shall carry, in its own name, a policy in comprehensive form to insure the automobile liability of its operation with limits of not less than Five Hundred Thousand Dollars ($500,000.00) per occurrence for bodily injury and, in addition, not less than One Hundred Thousand Dollars ($100,000.00) property damage. This policy shall name City as an additional insured and provide for thirty (30) days notice to City prior to cancellation. A certificate of insurance certifying such coverage shall be filed with the City Clerk before the effective date of this franchise, and it shall be maintained in force during the term of the franchise. 3) General Liability The Company shall carry, in its own name, a comprehensive liability insurance policy including contractual coverage for operations other than automobile with limits of not less than Five Hundred Thousand Dollars ($500,000.00) per occurrence for bodily injury, and One Hundred Thousand Dollars ($100,00.00) per occurrence for property damage. The policy shall name the City as named insured and provide for thirty (30) days notice to City prior to cancellation. A certificate of insurance certifying such coverage shall be filed with the City Clerk before the effective date of this franchise and maintained in force during the term of the franchise. Section 6. Compliance with Laws and Ordinances The Company shall, at all times during the term of this franchise, be subject to all lawful exercise of police power by the City and to such reasonable regulations as the City shall hereafter by ordinance provide. In addition, the Company will observe all city, county, state, and federal laws regulating the collection and disposal of solid waste. Section 7. Service Standard and Equipment The Company shall maintain and operate its collection system and equipment in, good order to render efficient service subject to the terms of this franchise. All vehicles, containers, and equipment used for the collection and transportation of solid waste shall be constructed, operated and maintained to prevent loss of liquid or solid waste material and to minimize health and safety hazards to solid waste management personnel and the public. Such vehicles, containers, and equipment used shall be maintained in a clean, sanitary condition and free from odors at all times. All vehicles and equipment shall comply with federal, state, and local regulations. Collection vehicles and all bulk, commercial, and roll -off type containers shall be painted and numbered and shall have the Company's name and telephone number painted in letters of a contrasting color. Such containers may not be placed on any street or right-of-way within the City. All collections shall be made directly from the premises of the customer and any emptied containers returned directly to such premises. Section 8. Providing Services The Company shall provide service to any person, firm, corporation, association or entity inside the City of Beaumont who requests such service and is not delinquent in the payment of collection charges due the Company. Section 9. Office The Company shall establish and maintain office with telephone service and shall keep said office open for business from 9:00 A.M. to 5:00 P.M. each and every day except Saturday, Sunday and holidays. Section 10. Interruption of Service In the event that service shall be interrupted for any reason for more than forty-eight (48) hours, the City shall have the right to make temporary independent arrangements for the purposes of continuing this necessary service to its residents in order to provide or protect the public health and safety. If the interruption in service mentioned herein continues for a period of seventy-two (72) hours, then the City shall have the right to terminate the rights and privileges granted in this franchise. Section 11. Termination In the event that any provision of this franchise is violated by the Company, the City may serve written notice upon the Company of its intention to terminate this franchise. The notice shall contain the reasons for such intention to terminate the franchise. Unless within ten (10) days after mailing such notice by City to the Company, such violation shall cease, or satisfactorily arrangements for correction be made by Company, the City Council may, after a public hearing in which Company is provided an opportunity to present evidence concerning such violation, declare the franchise terminated and serve written notice upon the Company of the termination and the termination of the franchise shall be effective upon the mailing of such notice. Section 12. Transfer of Franchise Rights Franchise rights granted hereunder shall not be transferred to another without the approval of City. A single transfer or a series of transfers of Company's stock which constitute a transfer of a majority interest in Company is subject to the prior approval of City. Section 13. Notices Where written notices are provided for in this ordinance, same shall be sufficient to notify Company when provided by certified mail to: Coastal Waste Disposal, Inc. 4749 Odom Road, Suite 101 Beaumont, Texas 77706 Notice to City is sufficient if mailed by certified mail to: City Manager City of Beaumont P.O. Box 3827 Beaumont, Texas 77704 Section 14. If any section, sentence, clause, paragraph or phrase of this ordinance, other than Section 4, is for any reason held to be invalid or illegal, such invalidity shall not effect the remaining portions of this ordinance. If Section 4 hereof is held to be invalid for any reason, the ordinance shall be immediately invalid. Section 15. It is agreed by City and Company that venue of any legal proceedings under this franchise agreement shall be in Jefferson County, Texas. Section 16. Vehicle Permits Twenty (20) days prior to the effective date of this franchise, the Company shall furnish to the City a list of all vehicles to be providing solid waste collection and disposal service under this franchise. Such list shall include state license number, year, make, model and manufacturer's rated capacity for each vehicle. Vehicles not having a valid City of Beaumont landfill permit will not be allowed to operate under this agreement nor utilize the City refuse disposal facility. If at any time a vehicle or equipment is found to be in noncompliance with Section 7 of this franchise, the Company will be notified of its violation and said equipment or vehicle shall be removed from service upon receipt of written notification. Failure to comply with this provision or to falsify the information concerning the location of the service of the vehicle shall be a material breach of this franchise. Should City decide not to terminate this franchise because of any violation of this Section, Company's disposal fee at City's landfill shall be doubled for all of Company's vehicles for a period of sixty (60) days. PASSED BY THE CITY COUNCIL of the City of Beaumont on first reading this the 18th day of November, 2008. PASSED BY THE CITY COUNCIL of the City of Beaumont on second reading this the 25th day of November, 2008. PASSED BY THE CITY COUNCIL of the City of Beaumont on final reading this the 23rd day of December, 2008. - Mayor Becky Ames - ACCEPTANCE: Coastal Waste Disposal, Inc. ma December 23, 2008 Consider authorizing the City Manager to execute an Industrial District Contract with Arkema, Inc. RICH WITH OPPORTUNITY 11EA,[1M0N* T• E• 8• A• S TO: FROM: PREPARED BY: MEETING DATE: REQUESTED ACTION: RECOMMENDATION City Council Agenda Item City Council Kyle Hayes, City Manager Laura Clark, Chief Financial Officer December 23, 2008 Council consider authorizing the City Manager to execute an Industrial District Contract with Arkema, Inc. The Administration recommends approval of a resolution authorizing the City Manager to execute an Industrial District Contract with Arkema, Inc. BACKGROUND Industrial District Contracts enable the City to collect payments in lieu of taxes from industries located outside the city limits. The City currently has a contract with Arkema, Inc., that will expire December 31, 2008. The new contract will be effective January 1, 2009. The in -lieu of tax payments will be based on a ratio of 80% of property taxes due to the City as if the industry were located within the city limits in 2009 through 2011 and 75% of property taxes due to the City in 2012 through 2015. The 2009 payment will be calculated based on 80% of the assessed value multiplied by the tax rate effective on October 1, 2008 or $0.64 per $100 of assessed valuation. Payments will be due to the City by February 1 ' of each year. A copy of the agreement is attached for your review. BUDGETARY IMPACT The estimated FY 2009 payment for Arkema, Inc., is $735,200, of the $15,782,000 of industrial payments expected in FY 2009. RESOLUTION NO. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BEAUMONT: THAT the City Manager be and he is hereby authorized to execute an Industrial District Contract with Arkema, Inc. The contract is substantially in the form attached hereto as Exhibit "A" and made a part hereof for all purposes. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 23rd day of December, 2008. - Mayor Becky Ames - THE STATE OF TEXAS § COUNTY OF JEFFERSON § AGREEMENT This Agreement is made under the authority of Section 42.044 of the Texas Local Government Code. The parties to the Agreement are The City of Beaumont, a municipal corporation and a home -rule city located in Jefferson County, Texas, hereinafter called "CITY," and Arkema, Inc., its parent, subsidiaries and affiliates, hereinafter called "COMPANY." PREAMBLE WHEREAS, Company owns land and improvements which are a part of the manufacturing, industrial, and refining facilities of said Company. The City has established an industrial district comprising a certain part of the extra -territorial jurisdiction of the City, such industrial district being known as the City of Beaumont Industrial District. WHEREAS, the Company recognizes the benefits of this Agreement and an obligation to contribute to the revenue needs of said City in an amount commensurate with the burdens placed upon the City and benefits derived by the Company by reason of being located immediately adjacent to said City. WHEREAS, the Company and the City desire to base the industrial district payment on assessed value to ensure equity among the companies. In view of the above and foregoing reasons, and in consideration of the mutual agreements herein contained, Company and City hereby agree as follows: SAAGENDA\AGENDA ITEM MEMOS\Arkema 2009-Final.doc I EXHIBIT "A" ARTICLE I COMPANY'S OBLIGATION Annual Payment on Company's Property 1. Commencing with the calendar year 2009 and each calendar year thereafter for the duration of this Contract, the Company will pay the City a certain sum which will be computed on the assessed value of the Company's facilities and property, real, personal, and mixed, located on Company's land covered by this contract as described in Article II (hereinafter called "the properties"). 2. By the term "Assessed Value" is meant the 100% valuation of the Company's properties, as determined by the Jefferson County Appraisal District for the previous tax year. 3. The term "assumed City taxes due" shall be calculated by the following formula: Assumed City Taxes Due: Assessed Value / 100 X Current City Tax Rate = Assumed City Tax Due 4. Payment Procedures The procedures for determining and making such payments shall be as follows: (a) The payment for 2009 shall be due and payable on or before February 1, 2009, The February 1, 2009 payment is calculated as follows: SAAGENDA\AGENDA ITEM MEMOS\Arkema 2009-Final.doc 2 Assumed City Taxes Due: Assessed Value / 100 X Current City Tax Rate = Assumed City Tax Due Year 1 80% of Assumed City Taxes Due = 2009 Payment Due Each October thereafter, the Chief Financial Officer shall obtain the most recent assessed values as set by the Jefferson County Appraisal District for the Company's properties, real, personal and mixed, having taxable situs within the areas described in this Agreement; for example, in October, 2008, the 2008 assessed values shall be used for the February 1, 2009 payment. This assessed value shall be used in the calculation of the payment. If the assessed values for the period required are in question and/or under litigation with the Jefferson County Appraisal District, payment shall be computed on the most recent certified values from the Jefferson County Appraisal District. The Company shall notify the City following resolution of the appraised value question and an adjustment for the payment, without interest, will be made within thirty (30) days following such resolution. (b) After the assessed value of the Company's properties has been determined, the payment due hereunder shall be calculated in accordance with the following schedule: The 2010 - 2011 payments shall be 80% of assumed City taxes due. The 2012 - 2015 payments shall be 75% of assumed City taxes due. (c) City hereby agrees to bill Company for its payments due hereunder on or before January 1 each year. Company shall pay to City such amount billed on or before February 1 each year. Upon receiving the final payment, the Chief Financial Officer shall issue an official SAAGENDMAGENDA ITEM MEMOS\Arkema 2009-Final.doc 3 receipt of said City acknowledging full, timely, final and complete payment due by said Company to City for the property involved in this Agreement for the year in which such payment is made. If any annual payment is not made on or before any due date, the same penalties, interest, attorneys' fees and costs of collection shall be recoverable by the City as would be collectible in the case of delinquent ad valorem taxes. Further, if payment is not timely made, all payments which otherwise would have been paid to the City had Company been in the City limits of City will be recaptured and paid to the City within 60 days of any such event. (d) During the prior contract period, a construction project to be done by Company and Novus International on Company's properties was approved. Novus will lease land from Arkema to construct its part of the proposed project. The value of Novus assets will be subject to provisions of this Agreement. No separate agreement with Novus will be executed. (e) In 2008, 80% of the assessed value of the project as determined by the Jefferson County Appraisal District will be included in the Company's and Novus' assessed value for purposes of calculating assumed city taxes due for the payment in 2009. In 2009, 100% of the assessed value of the project as determined by the Jefferson County Appraisal District will be included in the Company's and Novus' assessed value for purposes of calculating assumed city taxes due for the payment in 2010. SAAGENDA\AGENDA ITEM MEMOS�Arkema 2009-Final.doc 4 A R TW R. TT PROPERTY COVERED BY AGREEMENT This instrument will reflect the intention of the parties hereto that this instrument shall govern and affect the properties of Company (facilities, real, personal, and mixed) located on Company's real property more particularly described in Exhibit "A" hereto, which are within the extra -territorial jurisdiction of the City of Beaumont. R.'adrai7miil SALE BY COMPANY Company shall notify City of any sale of any or all of Company's properties to any person or entity. It is the intent of the parties that no sale of any of Company's properties will affect the amount to be paid to the City under this Agreement. As to payments due under this contract, no such sale shall reduce the amount due the City under this contract until the purchaser of such property has entered into a contract in lieu of taxes with the City that provides for a continuation of payments to the City as if no such sale had been made. ARTICLE IV CITY'S OBLIGATIONS 1. City agrees that it will not annex, attempt to annex or in any way cause or permit to be annexed any portion of Company's properties covered by this Agreement for the period of the agreement except as follows: (a) If the City determines that annexation of all or any part of the Company's properties covered by this Agreement belonging to said Company is reasonably necessary to promote and protect the general health, safety and welfare of persons residing within or adjacent SAAGENDA\AGENDA ITEM MEMOS\Arkema 2009-Final.doe 5 to the City, the City will notify Company in accordance with State law of the proposed annexation. In the event of such annexation, Company will not be required to make further payment under this Agreement for any calendar year commencing after such annexation with respect to the property so annexed, but shall nevertheless be obligated to make full payment for the year during which such annexation becomes effective if the annexation becomes effective after January 1" of said year. (b) In the event any municipality other than the City attempts to annex separately or in the event the creation of any new municipality shall be attempted so as to include within its limits of the Company's properties, City shall, with the approval of Company, seek immediate legal relief against any such attempted annexation or incorporation and shall take such other legal steps as may be necessary or advisable under the circumstances with all cost of such action being borne equally by the City and by the said Company or companies with the Company's portion allocated on the basis of assessed values. 2. The City further agrees that during the term of this agreement, there shall not be extended or enforced as to any land and property of the Company within said City of Beaumont Industrial District, any rules, regulations, or any other actions: (a) seeking in any way to control the platting and subdivisions of land, (b) prescribing any buildings, electrical, plumbing or inspection standards or equipment, or (c) attempting to regulate or control in any way the conduct of Company's activities, facilities or personnel thereof. SAAGENDA\AGENDA [TEM MEMOS\Arkema 2009-Final.doc 6 3. It is understood and agreed that during the term of this agreement or any renewals thereof, the City shall not be required to furnish any municipal services to Company's property; provided, however, City agrees to furnish fire protection to Company should such protection be requested by Company in the event an unusual emergency situation occurs. ARTTCT P V TERMINATION It is agreed by the parties to this Agreement that only full, complete and faithful performance of the terms hereof shall satisfy the rights and obligations assumed by the parties and that, therefore, in addition to any action at law for damages which either party may have, Company may enjoin the enactment or enforcement of any ordinance or charter amendment in violation of, or in conflict with, the terms of this Agreement and may obtain such other equitable relief, including specific performance of the Agreement, as is necessary to enforce its rights. It is further agreed that should this Agreement be breached by Company, the City shall be entitled, in addition to any action at law for damages, to obtain specific performance of this Agreement and such other equitable relief necessary to enforce its rights. ARTICLE VI AFFILIATES The benefits accruing to Company under this Agreement shall also extend to Company's "affiliates" and to any properties owned or acquired by said affiliates within the area described in Exhibit "A" to this Agreement, and where reference is made herein to properties and improvements owned by Company that shall also include land, property and improvements owned by its affiliates. The word "affiliates" as used herein shall mean all companies with S:\AGENDA\AGENDA ITEM MEMOS\Arkema 2009-Final.doc 7 respect to which Company directly or indirectly, through one or more intermediaries at the time in question, owns or has the power to exercise the control over fifty percent (50%) or more of the stock having the right to vote for the election of directors. ARTICLE VII TERM OF AGREEMENT The term of this Agreement shall be for seven (7) years, commencing January 1, 2009, and ending on December 31, 2015. ARTICLE VIII NOTICES Any notice provided for in this Contract, or which may otherwise be required by law shall be given in writing to the parties hereto by Certified Mail addressed as follows: TO CITY City Manager City of Beaumont P. O. Box 3827 Beaumont, Texas 77704 ARTICLE IX CONTINUATION TO COMPANY Arkema, Inc. P. O. Box 1427 Beaumont, Texas 77704 If this Agreement shall be held invalid by any court of competent jurisdiction, such holding shall not affect the right of City to any payment made or accruing to City hereunder prior to such adjudication, and this provision is intended to be an independent and separable provision not to be affected by such adjudication. SAAGENDA\AGENDA ITEM MEMOS\Arkema 2004-Final.doc 8 IN WITNESS THEREOF, this Agreement, consisting of 9 pages plus Exhibit "A", is executed in duplicate counterparts as of this day of 52008. CITY OF BEAUMONT, TEXAS IM ATTEST: Tina Broussard City Clerk Kyle Hayes City Manager ARKEMA, INC. 3 ATTEST: S:\AGENDA\AGENDA ITEM MEMOS\Arkema 2009-Final.doc 9 WE December 23, 2008 Consider authorizing the City Manager to execute an Industrial District Contract with Lucite International, Inc. RICH WITH OPPORTUNITY BEA,UMON* T- E- X• A- S TO: FROM: PREPARED BY: MEETING DATE: REQUESTED ACTION: City Council Agenda Item City Council Kyle Hayes, City Manager Laura Clark, Chief Financial Officer December 23, 2008 Council consider authorizing the City Manager to execute an Industrial District Contract with Lucite International, Inc. RECOMMENDATION The Administration recommends approval of a resolution authorizing the City Manager to execute an Industrial District Contract with Lucite International, Inc. BACKGROUND Industrial District Contracts enable the City to collect payments in lieu of taxes from industries located outside the city limits. The City currently has a contract with Lucite International, Inc., that will expire December 31, 2008. The new contract will be effective January 1, 2009. The in -lieu of tax payment will be based on a ratio of 80% of property taxes due to the City as if the industry were located within the city limits in 2009 through 2011 and 75% of property taxes due to the City in 2012 through 2015. The 2009 payment will be calculated based on 80% of the assessed value multiplied by the tax rate effective on October 1, 2008 or $0.64 per $100 of assessed valuation. Payments will be due to the City by February 1 ' of each year. A copy of the agreement is attached for your review. BUDGETARY IMPACT The estimated FY 2009 payment for Lucite International, Inc., is $486,500 of the $15,782,000 of industrial payments expected in FY 2009. RESOLUTION NO. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BEAUMONT: THAT the City Manager be and he is hereby authorized to execute an Industrial District Contract with Lucite International, Inc. The contract is substantially in the form attached hereto as Exhibit "A" and made a part hereof for all purposes. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 23rd day of December, 2008. - Mayor Becky Ames - THE STATE OF TEXAS § COUNTY OF JEFFERSON § AGREEMENT This Agreement is made under the authority of Section 42.044 of the Texas Local Government Code. The parties to the Agreement are The City of Beaumont, a municipal corporation and a home -rule city located in Jefferson County, Texas, hereinafter called "CITY," and Lucite International, Inc., its parent, subsidiaries and affiliates, hereinafter called "COMPANY." PREAMBLE WHEREAS, Company leases land and owns improvements which are a part of the manufacturing, industrial, and refining facilities of said Company. The City has established an industrial district comprising a certain part of the extra -territorial jurisdiction of the City, such industrial district being known as the City of Beaumont Industrial District. WHEREAS, the Company recognizes the benefits of this Agreement and an obligation to contribute to the revenue needs of said City in an amount commensurate with the burdens placed upon the City and benefits derived by the Company by reason of being located immediately adjacent to said City. WHEREAS, the Company and the City desire to base the industrial district payment on assessed value to ensure equity among the companies. In view of the above and foregoing reasons, and in consideration of the mutual agreements herein contained, Company and City hereby agree as follows: SAAGENDA\AGENDA ITEM MEMOS\Lucite Intemational 2009 - Final.doc 1 EXHIBIT "A" ARTICLE I COMPANY'S OBLIGATION Annual Payment on Company's Property 1. Commencing with the calendar year 2009 and each calendar year thereafter for the duration of this Contract, the Company will pay the City a certain sum which will be computed on the assessed value of the Company's facilities property, real, personal, and mixed located on Company's land covered by this contract. (Herein "the properties") 2. By the term "Assessed Value" is meant the 100% valuation of the Lucite International, Inc. taxable properties, as determined by the Jefferson County Appraisal District for the previous tax year. "Assessed value" does not include (and such value shall be excluded from the provisions of this Agreement) the value, in whole or in part, of any property owned by Company, whether real, personal or mixed, which would not be subject to ad valorem taxation by the City pursuant to any current or future local, state or federal law, (whether by reason of exemption, exclusion, allocation, abatement or otherwise) if such property were located within the taxing jurisdiction of City. It is the intent of the parties to this Agreement that only the value of that property owned by Company which would otherwise be taxable by City if the property were located within the taxing jurisdiction of City is to be included in the calculation of payments to be made under this Agreement. 3. The term "assumed City taxes due" shall be calculated by the following formula: Assumed City Taxes Due: Assessed Value / 100 X Current City Tax Rate = Assumed City Tax Due S: AGENDA\AGENDA ITEM MEMOS\Lucite International 2009 - nnal.doc 4. Payment Procedures The procedures for determining and making such payments shall be as follows: (a) The payment for 2009 shall be due and payable on or before February 1, 2009. The 2009 payment is calculated as follows: Assumed City Taxes Due: Assessed Value / 100 X Current City Tax Rate = Assumed City Tax Due Year 1 80% of Assumed City Taxes Due = 2009 Payment Due Each October, the Chief Financial Officer shall obtain the most recent assessed values as set by the Jefferson County Appraisal District for the Company's properties, real, personal and mixed, having taxable situs within the areas described in this agreement; for example, in October, 2008, the 2008 assessed values shall be used for the February 1, 2009 payment. This assessed value less exclusions as described in Article 10 shall be used in the calculation of the payment. If the assessed values for the period required are in question and/or under litigation with the Jefferson County Appraisal District, payment shall be computed on the most recent certified values from the Jefferson County Appraisal District. The Company shall notify the City following resolution of the appraised value question and if the final resolution reduces the value of the Company's properties, the Company's liability hereunder shall be recalculated based on the final determination of value and City shall, within 30 days following such resolution refund S: AGENDA\AGENDA ITEM MEMOS\Lucite International 2009 - Final.doc 3 to Company the difference between the amount actually paid hereunder and the amount for which Company is determined to be liable, together with interest thereon from the date of tender of payment by Company to the date of payment by City of such refund at the rate specified in Section 42.43 of the Texas Property Tax Code for interest on tax refunds. Should such final resolution increase the value of Company's properties, the Company's liabilities shall be recalculated based on the final determination of value and Company shall pay within 30 days following such resolution the increased amount due to the City under their agreement plus interest from the date such payment should have been made to City under their contract. Interest shall be calculated in accordance with the tax code provisions for interest as calculated in Section 42.43 of the Texas Property Tax Code. (b) After the assessed value of the Company's properties has been determined, the value of the property shall be calculated in accordance with the following schedule: The 2010 and 2011 payments shall be 80% of assumed City taxes due, except such payment shall not exceed or be less than the previous year's payment by more than 10%. The 2012 - 2015 payments shall be 75% of assumed City taxes due except the payment shall not exceed or be less than the previous year's payment by more than 7%. (c) City hereby agrees to bill Company for its payments due hereunder on or before January 1 each year. Company shall pay to City such amount billed on or before February 1 each year or within 30 days of the delivery of such bill, whichever is later. Upon receiving the final payment, the Finance Officer shall issue an official receipt of said City acknowledging full, timely, final and complete payment due by said Company to City for the property involved in this Agreement for the year in which such payment is made. If any annual payment is not made SAAGENDA\AGENDA ITEM MEMOS\Lucite International 2009 - gnal.doc on or before any due date, the same penalties, interest, reasonable attorneys' fees and costs of collection shall be recoverable by the City as would be collectible in the case of delinquent ad valorem taxes. Further, if payment is not made timely and Company fails to cure by making the payment due within thirty (30) days of written notice by the City, all payments which otherwise would have been paid to the City had Company been in the City limits of City will be recaptured for the year in which the payment was not timely made and paid to the City within 60 days after written notice by the City as set out herein that the payment is delinquent. ARTICLE II PROPERTY COVERED BY AGREEMENT This instrument will reflect the intention of the parties hereto that this instrument shall govern and affect the properties of Company (facilities, real, personal, and mixed) located on Company's real property as shown on records of the Jefferson County Appraisal District, which are within the extra -territorial jurisdiction of the City of Beaumont. It is the intent of the parties to this Agreement that only the value of that property owned by Company which would otherwise be taxable by City if the property were located within the taxing jurisdiction of City is to be included in the calculation of payments to be made under this Agreement. ARTICLE III SALE BY COMPANY (a) Sale by Company. Company shall notify City of any sale of any or all of Company's facilities to any person or entity. As to payments due under this Agreement, no such sale shall reduce the amount due the City under this Agreement until the purchaser of such facility has either assumed the Company's obligation under this Agreement or entered into a written SAAGENDA\AGENDA ITEM MEMOS\Lucite lntemational 2009 - Final.doc 5 agreement with the City assuming all obligations of Company in this Agreement. It is the intent of the parties that no sale of any of Company's facilities will affect the amount to be paid to the City under this Agreement. (b) Assignment. Company shall have the right to assign, transfer or convey all, or any part of its rights, title and interest in this Agreement in connection with any transfer or conveyance of title to all or any part of the properties subject to this Agreement to any person or entity at any time during the term of this Agreement; provided, however, that Company shall provide City with written notice of such assignment. Company shall be relieved of its obligations under this Agreement to the extent that an assignee expressly assumes Company's obligations in a written instrument binding such assignee to the City. Subject to the preceding, this Agreement shall inure to the benefit of and be binding upon the parties hereto and their respective successors and assigns. ARTICLE IV CITY'S OBLIGATIONS 1. City agrees that it will not annex, attempt to annex or in any way cause or permit to be annexed any portion of lands or facilities or properties of said Company covered by this Agreement for the period of the agreement except as follows: (a) If the City determines that annexation of all or any part of the properties covered by this Agreement belonging to said Company is reasonably necessary to promote and protect the general health, safety and welfare of persons residing within or adjacent to the City, the City will notify Company in accordance with State law of the proposed annexation. In the event of such annexation, Company will not be required to make further payment under this Agreement for S: AGENDA\AGENDA ITEM MEMOS\Lucite International 2009 - �nal.doc any calendar year commencing after such annexation with respect to the property so annexed, but shall nevertheless be obligated to make full payment for the year during which such annexation becomes effective if the annexation becomes effective after January 1 st of said year. (b) In the event any municipality other than the City attempts to annex separately or in the event the creation of any new municipality shall be attempted so as to include within its limits any land which is the subject matter of this Agreement, City shall seek immediate legal relief against any such attempted annexation or incorporation and shall take such other legal steps as may be necessary or advisable under the circumstances with all cost of such action being borne by the City. 2. The City further agrees that during the term of this Agreement, there shall not be extended or enforced as to any land and property of Company within said City of Beaumont Industrial District, any rules, regulations, or any other actions: (a) seeking in any way to control the platting and subdivisions of land, (b) prescribing any buildings, electrical, plumbing or inspection standards or equipment, or (c) attempting to regulate or control in any way the conduct of Company's activities, facilities or personnel thereof. 3. It is understood and agreed that during the term of this Agreement or any renewals thereof, the City shall not be required to furnish any municipal services to Company's property located within the City of Beaumont Industrial District; provided, however, City agrees to furnish fire protection to Company should such protection be requested by Company in the event an unusual emergency situation occurs. 4. Should Company's properties be finally annexed by another City, this Agreement shall terminate at the end of the year in which such annexation occurs. SAAGENDA\AGENDA ITEM MEMOS\Lucite International 2009 - Final.doc 7 ARTICLE V TERMINATION It is agreed by the parties to this Agreement that only full, complete and faithful performance of the terms hereof shall satisfy the rights and obligations assumed by the parties and that, therefore, in addition to any action at law for damages which either party may have, Company may enjoin the enactment or enforcement of any ordinance or charter amendment in violation of, or in conflict with, the terms of this Agreement and may obtain such other equitable relief, including specific performance of the Agreement and may exercise the right of offset, deduction or other remedies, as is necessary to enforce its rights. It is further agreed that should this Agreement be breached by Company, the City shall be entitled, in addition to any action at law for damages, to obtain specific performance of this Agreement and such other equitable relief necessary to enforce its rights. ARTICLE VI AFFILIATES The benefits accruing to Company under this Agreement shall also extend to Company's "affiliates" and to any properties owned or acquired by said affiliates within the area owned by Company, and where reference is made herein to land, property and improvements owned by Company, that shall also include land, property and improvements owned by its affiliates. The word "affiliates" as used herein shall mean all companies with respect to which Company directly or indirectly, through one or more intermediaries at the time in question, owns or has the SAAGENDA\AGENDA ITEM MEMOS\Lucite International 2009 - Winal.doc power to exercise the control over fifty percent (50%) or more of the stock having the right to vote for the election of directors. ARTICLE VII TERM OF AGREEMENT The term of this Agreement shall be for seven (7) years, commencing January 1, 2009, and ending on December 31, 2015. ARTICLE VIII NOTICES Any notice provided for in this Contract, or which may otherwise be required by law shall be given in writing to the parties hereto at the addresses set forth below by certified mail, return receipt requested, and shall be deemed to have been duly served and received on the earlier of actual receipt or the second business day after the mailing thereof. TC) CTTV City Manager City of Beaumont P. O. Box 3827 Beaumont, Texas 77704 With copy to: Chief Financial Officer City of Beaumont P.O. Box 3827 Beaumont, Texas 77704 TO COMPANY Plant Manager Lucite International, Inc. 6350 N. Twin City Hwy Nederland, Texas 77627 Tax Manager Lucite International, Inc. 7275 Goodlett Farms Prkwy Cordova, Tennessee 38016 SAAGENDA\AGENDA ITEM MEMOS\Lucite International 2009 - Final.doc 9 ARTICLE IX EXCLUSIONS 1. In determining the assessed value of the Company facilities there is to be excluded therefrom the value of any new plant facilities, replacement, modernization or additions that significantly increase the assessed value of Company's properties. "Significantly increase" shall be defined as an increase in assessed value of fifty percent (50%) or more above the prior year's assessed value of Company's properties excluding land. Any number of projects (whether new construction, replacement, modernization or additions) may be added together to determine whether they aggregate a significant increase in the assessed value of Company's properties so long as construction of each project begins within a single twelve (12) month period. This exclusion will be restricted to include only a new and distinct processing facility, replacement, modernization of or additions to present facilities, and shall not include the maintenance, reconditioning, upgrading, refurbishing or repairing of existing process facilities. The intent of this exclusion is to encourage major new capital investment within the extraterritorial environs of the City. Determination of qualifications for this exclusion shall be made by the City Manager upon petition by Company and presentation of all pertinent data. Company shall notify the City Manager of its intention to claim an exclusion at least one hundred twenty (120) days prior to the end of the calendar year prior to the year in which the exclusion will take place. Subject to the upper and lower limitations on payments set out in Article I 4 (b) hereof Company agrees that to whatever extent that the non -excluded plant's SAAGENDA\AGENDA ITEM MEMOS\Lucite International 2009 IOWA= A= assessed value on realty improvements is reduced for whatever reason (excepting from fire, explosion, or other casualty or accident or from any natural disaster), an equivalent amount (dollar for dollar) of assessed value on realty improvements of the excluded facilities shall be deemed for the purposes of this agreement to lose its exclusion for the current year and accordingly shall be deemed to be included in the non -excluded plant's total assessed value and payments shall be calculated and made by Company thereon to City for the subsequent year, however, in no event shall the offset exceed the fair market value of the realty improvements that would otherwise be excluded. Company agrees to provide the City Manager with all the information necessary for the City Manager to determine whether the expenditure by the Company is qualified for exclusion. The exclusion shall commence the first calendar year following the completion of construction and it shall be in the amount of 100% for the first, second and third years, 75% of value for the fourth and fifth years, and 50% of value for the sixth and seventh years. The exclusions provided by this Article shall survive the term of this Agreement and shall be included in any subsequent Industrial District Agreement between the parties or in an abatement agreement should the Company's property be annexed. It is the parties' intentions that any increases in value qualifying for exclusion should receive the benefits of exclusion for the full seven years after the completion of construction regardless of the number of years remaining in the term of this Agreement. 2. In determining the assessed value of the Company's facilities, there is also to be excluded therefrom the value of incomplete construction also known as construction in progress. This exclusion applies to new and distinct plant facilities, replacements, modernization of or S: AGENDA\AGENDA ITEM MEMOS\Lucite Intemational 2009 - Final.doc 11 additions to present facilities as specified in item (1) above, regardless of whether such will significantly increase the assessed values of Companies properties. 3. If a question arises relating to the exclusion amount, payment shall be made based on the last Certified assessed value, without the questioned exclusion. An adjustment to the payment, if any, shall be made following resolution of the question. The determination concerning whether a capital expenditure by Company is qualified for exclusion hereunder shall be made by the City Manager. Any appeal of the decision of the City Manager shall be made in writing to the City Council within fifteen (15) days of the decision of the Manager. The decision of the City Council shall be final. ARTICLE XI CONTINUATION If this Agreement shall be held invalid by any court of competent jurisdiction, such holding shall not affect the right of City to any payment made or accruing to City hereunder prior to such adjudication, and this provision is intended to be an independent and separable provision not to be affected by such adjudication. S: AGENDAIAGENDA ITEM MEMOS\Lucite International 2009-f�tal.doc IN WITNESS THEREOF, this Agreement, consisting of 13 pages, is executed in duplicate counterparts as of this day of , 2008. CITY OF BEAUMONT, TEXAS Kyle Hayes City Manager ATTEST: Tina Broussard City Clerk LUCITE INTERNATIONAL, INC. an ATTEST: SAAGENDA\AGENDA ITEM MEMOS\Lucite Intemational 2009 - FinaLdoc 13 11 December 23, 2008 Consider authorizing the City Manager to execute an Industrial District Contract with Martin Operating Partnership, LP RICH WITH OPPORTUNITY BEA,U140N* T • E • % • A • S TO: FROM: PREPARED BY: MEETING DATE: REQUESTED ACTION: RECOMMENDATION City Council Agenda Item City Council Kyle Hayes, City Manager Laura Clark, Chief Financial Officer December 23, 2008 Council consider authorizing the City Manager to execute an Industrial District Contract with Martin Operating Partnership, LP. The Administration recommends approval of a resolution authorizing the City Manager to execute an Industrial District Contract with Martin Operating Partnership, LP. BACKGROUND Industrial District Contracts enable the City to collect payments in lieu of taxes from industries located outside the city limits. The City currently has contracts with Martin Operating Partnership, LP for the Neches Industrial Park and with Martin Gas Sales that will expire December 31, 2008. The assets of Martin Gas Sales have been transferred to Martin Operating Partnership, LP, therefore there will only be one industrial contract in the future with Martin Operating Partnership, LP. The new contract will be effective January 1, 2009. The in -lieu of tax payment will be based on a ratio of 80% of property taxes due to the City as if the industry were located within the city limits in 2009 through 2011 and 75% of property taxes due to the City in 2012 through 2015. The 2009 payment will be calculated based on 80% of the assessed value multiplied by the tax rate effective on October 1, 2008 or $0.64 per $100 of assessed valuation. Payments will be due to the City by February I' of each year. A copy of the agreement is attached for your review. BUDGETARY IMPACT The estimated FY 2009 payment for Martin Operating Partnership, LP. is $443,800 of the $15,782,000 of industrial payments expected in FY 2009. RESOLUTION NO. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BEAUMONT: THAT the City Manager be and he is hereby authorized to execute an Industrial District Contract with Martin Operating Partnership, LP. The contract is substantially in the form attached hereto as Exhibit "A" and made a part hereof for all purposes. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 23rd day of December, 2008. - Mayor Becky Ames - THE STATE OF TEXAS § COUNTY OF JEFFERSON § AGREEMENT This Agreement is made under the authority of Section 42.044 of the Texas Local Government Code. The parties to the Agreement are The City of Beaumont, a municipal corporation and a home -rule city located in Jefferson County, Texas, hereinafter called "CITY," and Martin Operating Partnership, LP, its parent, subsidiaries and affiliates, hereinafter called "COMPANY." PREAMBLE WHEREAS, Company owns land and improvements which are a part of the manufacturing, industrial, and refining facilities of said Company. The City has established an industrial district comprising a certain part of the extra -territorial jurisdiction of the City, such industrial district being known as the City of Beaumont Industrial District. WHEREAS, the Company recognizes the benefits of this Agreement and an obligation to contribute to the revenue needs of said City in an amount commensurate with the burdens placed upon the City and benefits derived by the Company by reason of being located immediately adjacent to said City. WHEREAS, the Company and the City desire to base the industrial district payment on assessed value to ensure equity among the companies. In view of the above and foregoing reasons, and in consideration of the mutual agreements herein contained, Company and City hereby agree as follows: EXHIBIT "A" euTTrr T; T COMPANY'S OBLIGATION Annual Payment on Company's Property 1. Commencing with the calendar year 2009 and each calendar year thereafter for the duration of this Contract, the Company will pay the City a certain sum which will be computed on the assessed value of the Company's facilities and property, real, personal, and mixed located on Company's land covered by this contract. (Herein "the properties") 2. By the term "Assessed Value" is meant the 100% valuation of the Company's properties, as determined by the Jefferson County Appraisal District for the previous tax year. 3. The term "assumed City taxes due" shall be calculated by the following formula: Assumed City Taxes Due: Assessed Value / 100 X Current City Tax Rate = Assumed City Tax Due 4. Payment Procedures The procedures for determining and making such payments shall be as follows: (a) The payment for 2009 shall be due and payable on or before February 1, 2009 and calculated as follows:Assumed City Taxes Due: Assessed Value / 100 X Current City Tax Rate = Assumed City Tax Due Year 1 80% of Assumed City Taxes Due = 2009 Payment 2 Each October thereafter, the Chief Financial Officer shall obtain the most recent assessed values as set by the Jefferson County Appraisal District for the Company's properties, real, personal and mixed, having taxable situs within the areas described in this agreement; for example, in October, 2008, the 2008 assessed values shall be used for the February 1, 2009 payment. If the assessed values for the period required are in question and/or under litigation with the Jefferson County Appraisal District, payment shall be computed on the most recent certified values from the Jefferson County Appraisal District. The Company shall notify the City following resolution of the appraised value question and an adjustment for the payment, without interest, will be made within thirty (30) days following such resolution. (b) After the assessed value of the Company's properties has been determined, the payments due hereunder shall be calculated in accordance with the following schedule: The 2010 and 2011 payments shall be 80% of assumed City taxes due. The 2012 - 2015 payments shall be 75% of assumed City taxes. (c) City hereby agrees to bill Company for its payments due hereunder on or before January 1 each year. Company shall pay to City the amount billed on or before February 1 each year. Invoices will be sent to Martin Operating Partnership LP for the properties located at Martin Gas Sales and at Neches Industrial Park. Upon receiving the final payment, the Chief Financial Officer shall issue an official receipt of said City acknowledging full, timely, final and complete payment due by said Company to City for the property involved in this Agreement for the year in which such payment is made. If payment is not made on or before any due date, the same penalties, interest, attorneys' fees and costs of collection shall be recoverable by the City as 3 would be collectible in the case of delinquent ad valorem taxes. Further, if payment is not timely made, all payments which otherwise would have been paid to the City had Company been in the City limits of City will be recaptured and paid to the City within 60 days of any such event. ARTICLE II PROPERTY COVERED BY AGREEMENT This instrument will reflect the intention of the parties hereto that this instrument shall govern and affect the properties of Company (facilities, real, personal, and mixed) located on Company's real property as shown on the records of the Jefferson County Appraisal District which are within the extra -territorial jurisdiction of the City of Beaumont. ARTICLE III SALE BY COMPANY Company shall notify City of any sale of any or all of Company's facilities to any person or entity. It is the intent of the parties that no sale of any of Company's facilities will affect the amount to be paid to the City as provided under this Agreement. Accordingly and as to payments due under this contract no such sale shall reduce the amount due the City under this contract until the purchaser of such facility has entered into a contract in lieu of taxes with the City that provides for a continuation of like payments to the City. ARTICLE IV CITY'S OBLIGATIONS 1. City agrees that it will not annex, attempt to annex or in any way cause or permit to be annexed any portion of lands or facilities or properties of said Company covered by this .19 Agreement for the period of the agreement except as follows: (a) If the City determines that annexation of all or any part of the properties covered by this Agreement belonging to said Company is reasonably necessary to promote and protect the general health, safety and welfare of persons residing within or adjacent to the City, the City will notify Company in accordance with State law of the proposed annexation. In the event of such annexation, Company will not be required to make further payment under this Agreement for any calendar year commencing after such annexation with respect to the property so annexed, but shall nevertheless be obligated to make full payment for the year during which such annexation becomes effective if the annexation becomes effective after January 1 of said year. (b) In the event any municipality other than the City attempts to annex separately or in the event the creation of any new municipality shall be attempted so as to include within its limits any land which is the subject matter of this Agreement, City shall, with the approval of Company, seek immediate legal relief against any such attempted annexation or incorporation and shall take such other legal steps as may be necessary or advisable under the circumstances with all cost of such action being borne equally by the City and by the said Company or companies with the Company's portion allocated on the basis of assessed values. 2. The City further agrees that during the term of this agreement, there shall not be extended or enforced as to any land and property of Company within said City of Beaumont Industrial District, any rules, regulations, or any other actions: (a) seeking in any way to control the platting and subdivisions of land, (b) prescribing any buildings, electrical, plumbing or inspection standards or equipment, or (c) attempting to regulate or control in any way the conduct of Company's activities, facilities or personnel thereof. E 3. It is understood and agreed that during the term of this agreement or any renewals thereof, the City shall not be required to furnish any municipal services to Company's property located within the City of Beaumont Industrial District; provided, however, City agrees to furnish fire protection to Company should such protection be requested by Company in the event an unusual emergency situation occurs. The City will also provide police protection if called upon by the Jefferson County Sheriff's Department for assistance. ARTICLE IV TERMINATION OF BREACH It is agreed by the parties to this Agreement that only full, complete and faithful performance of the terms hereof shall satisfy the rights and obligations assumed by the parties and that, therefore, in addition to any action at law for damages which either party may have, Company shall be entitled to enjoin the enactment or enforcement of any ordinance or charter amendment in violation of, or in conflict with, the terms of this Agreement and shall be entitled to obtain such other equitable relief, including specific performance of the Agreement, as is necessary to enforce its rights. It is further agreed that should this Agreement be breached by Company, the City shall. be entitled, in addition to any action at law for damages, to obtain specific performance of this Agreement and such other equitable relief necessary to enforce its rights. ARTICLE V TERM OF AGREEMENT The term of this Agreement shall be for seven (7) years, commencing January 1, 2009, and ending on December 31, 2015. G ARTICLE VI NOTICES Any notice provided for in this Contract, or which may otherwise be required by law shall be given in writing to the parties hereto by Certified Mail addressed as follows: TO CITY TO COMPANY City Manager Martin Operating Partners City of Beaumont P. O. Box 191 801 Main Kilgore, Texas 75663 Beaumont, Texas 77704 ARTICLE VII CONTINUATION If this Agreement shall be held invalid by any court of competent jurisdiction, such holding shall not affect the right of City to any payment made or accruing to City hereunder prior to such adjudication, and this provision is intended to be an independent and separable provision not to be affected by such adjudication. 7 IN WITNESS THEREOF, this Agreement, consisting of 8 pages, is executed in duplicate counterparts as of this day of , 2008. CITY OF BEAUMONT, TEXAS Kyle Hayes City Manager ATTEST: Tina Broussard City Clerk MARTIN OPERATING PARTNERS ATTEST: iz December 23, 2008 Consider authorizing the City Manager to execute an Industrial District Contract with Centana Intrastate Pipeline, LLC RICH WITH OPPORTUNITY IIEA,UMON* T• E• X• A• S TO: FROM: PREPARED BY: MEETING DATE: REQUESTED ACTION: City Council Agenda Item City Council Kyle Hayes, City Manager Laura Clark, Chief Financial Officer December 23, 2008 Council consider authorizing the City Manager to execute an Industrial District Contract with Centana Intrastate Pipeline, LLC. RECOMMENDATION The Administration recommends approval of a resolution authorizing the City Manager to execute an Industrial District Contract with Centana Intrastate Pipeline, LLC. BACKGROUND Industrial District Contracts enable the City to collect payments in lieu of taxes from industries located outside the city limits. The City currently has a contract with Centana Intrastate Pipeline, LLC that will expire December 31, 2008. The new contract will be effective January 1, 2009. The in -lieu of tax payment will be based on a ratio of 80% of property taxes due to the City as if the industry were located within the city limits in 2009 through 2011 and 75% of property taxes due to the City in 2012 through 2015. The 2009 payment will be calculated based on 80% of the assessed value multiplied by the tax rate effective on October 1, 2008 or $0.64 per $100 of assessed valuation. Payments will be due to the City by February I' of each year. A copy of the agreement is attached for your review. BUDGETARY IMPACT The estimated FY 2009 payment for Centana Intrastate Pipeline, LLC is $225,300 of the $15,782,000 of industrial payments expected in FY 2009. RESOLUTION NO. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BEAUMONT: THAT the City Manager be and he is hereby authorized to execute an Industrial District Contract with Centana Intrastate Pipeline, L.L.C. The contract is substantially in the form attached hereto as Exhibit "A" and made a part hereof for all purposes. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 23rd day of December, 2008. - Mayor Becky Ames - THE STATE OF TEXAS § COUNTY OF JEFFERSON § AGREEMENT This Agreement is made under the authority of Section 42.044 of the Texas Local Government Code. The parties to the Agreement are The City of Beaumont, a municipal corporation and a home -rule city located in Jefferson County, Texas, hereinafter called "CITY," and Centana Intrastate Pipeline, L.L.C., its parent, subsidiaries and affiliates, hereinafter called "COMPANY." DDDAA 4DTD WHEREAS, Company owns land and. improvements which are a part of the manufacturing, industrial, and refining facilities of said Company. The City has established an industrial district comprising a certain part of the extra -territorial jurisdiction of the City, such industrial district being known as the City of Beaumont Industrial District. WHEREAS, the Company recognizes the benefits of this Agreement and an obligation to contribute to the revenue needs of said City in an amount commensurate with the burdens placed upon the City and benefits derived by the Company by reason of being located immediately adjacent to said City. WHEREAS, the Company and the City desire to base the industrial district payment on assessed value to ensure equity among the companies. In view of the above and foregoing reasons, and in consideration of the mutual agreements herein contained, Company and City hereby agree as follows: SA\AGENDA\AGENDA ITEM MEMOS\Centana 2009 - Final.doc ARTICLE I COMPANY'S OBLIGATION Annual Payment on Company's Property 1. Commencing with the calendar year 2009 and each calendar year thereafter for the duration of this Contract, the Company will pay the City a certain sum which will be computed on the assessed value of the Company's facilities and property, real, personal, and mixed located on Company's land covered by this contract. (Herein "the properties") 2. By the term "Assessed Value" is meant the 100% valuation of the Company's properties, as determined by the Jefferson County Appraisal District for the previous tax year. 3. The term "assumed City taxes due" shall be calculated by the following formula: Assumed City Taxes Due: Assessed Value / 100 X Current City Tax Rate = Assumed City Tax Due 4. Payment Procedures The procedures for determining and making such payments shall be as follows: (a) The payment for 2009 shall be due and payable on or before February 1, 2009, and calculated as follows: SAAGENDA\AGENDA ITEM MEMOS\Centana 2009 - Final.doc 2 Assumed City Taxes Due: Assessed Value / 100 X Current City Tax Rate = Assumed City Tax Due Year 1 80% of Assumed City Taxes Due = 2009 Payment Each October thereafter, the Chief Financial Officer shall obtain the most recent assessed values as set by the Jefferson County Appraisal District for the Company's properties, real, personal and mixed, having taxable situs within the areas described in this agreement; for example, in October, 2008, the 2008 assessed values shall be used for the February 1, 2009 payment. If the assessed values for the period required are in question and/or under litigation with the Jefferson County Appraisal District, payment shall be computed on the most recent certified values from the Jefferson County Appraisal District. The Company shall notify the City following resolution of the appraised value question and an adjustment for the payment, without interest, will be made within thirty (30) days following such resolution. (b) After the assessed value of the Company's properties has been determined, the payments due hereunder shall be calculated in accordance with the following schedule: The 2010 - 2011 payments shall be 80% of assumed City taxes due. The 2012 - 2015 payments shall be 75% of assumed City taxes. (c) City hereby agrees to bill Company for its payments due hereunder on or before January 1 each year. Company shall pay to City the amount billed on or before February 1 each year. Upon receiving the final payment, the Chief Financial Officer shall issue an official receipt SA\AGENDA\AGENDA ITEM MEMOS\Centana 2009 - Final.doc 3 of said City acknowledging full, timely, final and complete payment due by said Company to City for the property involved in this Agreement for the year in which such payment is made. If payment is not made on or before any due date, the same penalties, interest, attorneys' fees and costs of collection shall be recoverable by the City as would be collectible in the case of delinquent ad valorem taxes. Further, if payment is not timely made, all payments which otherwise would have been paid to the City had Company been in the City limits of City will be recaptured and paid to the City within 60 days of any such event. ARTICLE II PROPERTY COVERED BY AGREEMENT This instrument will reflect the intention of the parties hereto that this instrument shall govern and affect the properties of Company (facilities, real, personal, and mixed) located on Company's real property as shown on the records of the Jefferson County Appraisal District which are within the extra -territorial jurisdiction of the City of Beaumont. ARTICLE III SALE BY COMPANY Company shall notify City of any sale of any or all of Company's facilities to any person or entity. It is the intent of the parties that no sale of any of Company's facilities will affect the amount to be paid to the City as provided under this Agreement. Accordingly and as to payments due under this contract no such sale shall reduce the amount due the City under this contract until the purchaser of such facility has entered into a contract in lieu of taxes with the City that provides for a continuation of like payments to the City. SAAGENDA\AGENDA ITEM MEMOS\Centana 2009 - Final.doc 4 ARTICLE IV CITY'S OBLIGATIONS 1. City agrees that it will not annex, attempt to annex or in any way cause or permit to be annexed any portion of lands or facilities or properties of said Company covered by this Agreement for the period of the agreement except as follows: (a) If the City determines that annexation of all or any part of the properties covered by this Agreement belonging to said Company is reasonably necessary to promote and protect the general health, safety and welfare of persons residing within or adjacent to the City, the City will notify Company in accordance with State law of the proposed annexation. In the event of such annexation, Company will not be required to make further payment under this Agreement for any calendar year commencing after such annexation with respect to the property so annexed, but shall nevertheless be obligated to make full payment for the year during which such annexation becomes effective if the annexation becomes effective after January 1 st of said year. (b) In the event any municipality other than the City attempts to annex separately or in the event the creation of any new municipality shall be attempted so as to include within its limits any land which is the subject matter of this Agreement, City shall, with the approval of Company, seek immediate legal relief against any such attempted annexation or incorporation and shall take such other legal steps as may be necessary or advisable under the circumstances with all cost of such action being borne equally by the City and by the said Company or companies with the Company's portion allocated on the basis of assessed values. 2. The City further agrees that during the term of this agreement, there shall not be extended or enforced as to any land and property of Company within said City of Beaumont SAAGENDAWGENDA ITEM MEMOS\Centana 2009 - Final.doc 5 Industrial District, any rules, regulations, or any other actions: (a) seeking in any way to control the platting and subdivisions of land, (b) prescribing any buildings, electrical, plumbing or inspection standards or equipment, or (c) attempting to regulate or control in any way the conduct of Company's activities, facilities or personnel thereof. 3. It is understood and agreed that during the term of this agreement or any renewals thereof, the City shall not be required to furnish any municipal services to Company's property located within the City of Beaumont Industrial District; provided, however, City agrees to furnish fire protection to Company should such protection be requested by Company in the event an unusual emergency situation occurs. The City will also provide police protection if called upon by the Jefferson County Sheriff's Department for assistance. ARTICLE IV TERMINATION OF BREACH It is agreed by the parties to this Agreement that only full, complete and faithful performance of the terms hereof shall satisfy the rights and obligations assumed by the parties and that, therefore, in addition to any action at law for damages which either party may have, Company shall be entitled to enjoin the enactment or enforcement of any ordinance or charter amendment in violation of, or in conflict with, the terms of this Agreement and shall be entitled to obtain such other equitable relief, including specific performance of the Agreement, as is necessary to enforce its rights. It is further agreed that should this Agreement be breached by Company, the City shall be entitled, in addition to any action at law for damages, to obtain specific performance of this Agreement and such other equitable relief necessary to enforce its rights. SA\AGENDA\AGENDA ITEM MEMOS\Centana 2009 - Final.doc 6 ARTICLE V TERM OF AGREEMENT The term of this Agreement shall be for seven (7) years, commencing January 1, 2009, and ending on December 31, 2015. ARTICLE VI NOTICES Any notice provided for in this Contract, or which may otherwise be required by law shall be given in writing to the parties hereto by Certified Mail addressed as follows: TO CITY City Manager City of Beaumont 801 Main Beaumont, Texas 77704 TO COMPANY Centana Intrastate Pipeline, L.L.C. Property Tax Division 5718 Westheimer, Suite 1900 Houston, Texas 77057 ARTICLE VII 16TOWI VL : • ► If this Agreement shall be held invalid by any court of competent jurisdiction, such holding shall not affect the right of City to any payment made or accruing to City hereunder prior to such adjudication, and this provision is intended to be an independent and separable provision not to be affected by such adjudication. SAAGENDA\AGENDA ITEM MEMOS\Cen[ana 2009 - Final.doc 7 IN WITNESS THEREOF, this Agreement, consisting of 8 pages, is executed in duplicate counterparts as of this day of , 2008. CITY OF BEAUMONT, TEXAS Kyle Hayes City Manager ATTEST: Tina Broussard City Clerk CENTANA INTRASTATE PIPELINE L.L.C. R. Gregg West Agent and Property Tax Director, DCP Midstream, LP ATTEST: SA\AGENDA\AGENDA [TEM MEMOS\Centana 2009 - Final.doc 8 13 December 23, 2008 Consider approving the renewal of an annual maintenance agreement for software support RICH WITH OPPORTUNITY 11IL'Aitilluill( T- E• X- A• S TO: FROM: PREPARED BY: MEETING DATE: REQUESTED ACTION: City Council Agenda Item City Council Kyle Hayes, City Manager Bart Bartkowiak, Chief Technology Officer i3 D December 23, 2008 Council consider renewal of an annual maintenance agreement for SunGard Public Sector software support. RECOMMENDATION The Administration recommends payment of an invoice to SunGard Public Sector for the renewal of an annual maintenance agreement for Police, Fire, and EMS public safety software support in the amount of $224,801. BACKGROUND SunGard Public Sector software is used by the Police, Fire, and EMS Departments. This purchase is exempt from competitive bidding since it is available from only one (1) source having exclusive rights to modify and maintain the software. The software maintenance agreement provides twenty-four/seven unlimited telephone support for 911 dispatching; Monday - Friday, 8-5 support for mobile computers, electronic field reporting, and all records management applications, and provides annual software upgrades. This agreement is for an annual period beginning January 2009 and includes the following applications. Software Applications Contract Amount OSSI Computer Aided Dispatching with Mapping $58,005.00 OSSI Roster Module $1,170.00 OSSI Firehouse Records Interface $990.00 OSSI EMS Interface to Zoll Patient Billing $1,350.00 OSSI CAD Resource Monitor $9,990.00 Records Management $48,292.80 Accident Module $5,928.00 Training Module $3,040.00 Mobile Dispatching and Field Reporting $58,011.20 Automatic Vehicle Locator System $14,484.00 Integrated State Message Switch $10,674.00 Police 2 Citizen $2,000.00 Evidence Notification with bar coding $2,556.00 Gang Module $1,200.00 Quartermaster Module $1,040.00 Custom Interfaces $6,070.00 Total $224,801.00 BUDGETARYIMPACT The maintenance contract will be funded from the Confiscated Goods Fund and General Fund. RESOLUTION NO. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BEAUMONT: THAT the City Manager be, and he is hereby, authorized to pay an invoice in the amount of $224,801 to SunGard Public Sector for the renewal of an annual maintenance agreement for Police, Fire and EMS public safety software support beginning January, PASSED BY THE CITY COUNCIL of the City of Beaumont this the 23rd day of December, 2008. - Mayor Becky Ames - 14 December 23, 2008 Consider approving an amendment to the Management and Concession Agreement with the Beaumont Yacht Club y RICH WITH OPPORTUNITY BEA,UMON* T • E • % • A • S TO: FROM: PREPARED BY: MEETING DATE: REQUESTED ACTION: City Council Agenda Item City Council Kyle Hayes, City Manager Laura Clark, Chief Financial Officer December 23, 2008 Council consider an Amendment to the Management and Concession Agreement with the Beaumont Yacht Club RECOMMENDATION Administration recommends amending the 1998 Management and Concession Agreement with the Beaumont Yacht Club to address the losses caused by Hurricane Ike. BACKGROUND On October 1, 1998 the City entered into a Management and Concession Agreement with the Beaumont Yacht Club (BYC) for its continued operation of the City's public marina. The marina is located on approximately 30 acres of city owned river front property north of Interstate 10. To date, the City has invested over $1,500,000 for improvements to the marina. Since the facilities are income producing, the City was to recover its investment from the BYC. A payment schedule was established that provided for monthly installments over a 15 year term, payable from the BYC's operating revenues. That payment schedule was amended on April 25, 2006 due to the losses caused by Hurricane Rita. The amended payment schedule called for monthly installments of $7,500 effective January 1, 2006 (a reduction from $11,200 per month) but extended the Agreement for another 2 years, expiring on June 30, 2015. On September 13, 2008 Hurricane Ike hit the Beaumont area causing more damage to the marina. The damage included the loss of 65 uninsurable dry stalls. With the loss of the 65 stalls and the related revenue, the BYC would experience a negative cash flow if no other changes were made. For that reason, on October 6, 2008 the BYC's Board of Governors authorized a rate increase of 60% for all stall rentals effective January 1, 2009. This rate increase will bring the BYC's cash flow back to a position where all normal operating bills can be paid. Given the existing conditions, amending the Agreement to defer the installments for October, November and December of 2008 is recommended. This deferment would extend the Agreement's expiration date another 3 months, thus expiring on September 30, 2015. Currently, the BYC is seeking application for a Small Business Loan in order to replace the 65 stalls lost in Hurrican Ike. Once that application is approved and the details of the loan are made available, administration may consider amending the Agreement again to accommodate proper cash flows for the BYC. BUDGETARY IMPACT No substantive budgetary impact is created by this action. AMENDMENT OF MANAGEMENT AND CONCESSION AGREEMENT EXECUTED ON 10-1-1998 BETWEEN CITY OF BEAUMONT AND BEAUMONT YACHT CLUB Given that the City of Beaumont and the Beaumont Yacht Club, Inc. entered into a Management and Concession Agreement executed on or about October 1, 1998 for the operation and management of a public marina, a copy of which is attached hereto and made a part hereof for all purposes as Exhibit 'A" and Given the damage to the premises made the subject of the foregoing agreement which occurred as a result of Hurricane Rita; and Given the reduced revenue generated by said properties as a result of the damage to said premises; and Given Resolution No. 06-120 of the City Council of the City of Beaumont approves a request for a reduction in payments due to the City of Beaumont pursuant to the Management and Concession Agreement; and Given the parties' desire to amend the foregoing Agreement; NOW, THEREFORE, Paragraph 3 of the Management and Concession Agreement executed on or about October 1, 1998, and only that provision, is hereby amended to read as follows: Commencing on January 1, 2006 and concluding on June 30, 2015, Yacht Club agrees to make monthly payments of $7500 per month to the City of Beaumont in lieu of the payment schedule set forth in said agreement and paragraph prior to the execution hereof. All other terms and conditions of the Agreement executed on October 1, 1998, not specifically addressed by this amendment shall continue and remain in full force and effect. Wage 1 IN WITNESS WHEREOF, the parties hereto have executed this amendment on the ' day of ir'"� �� �/ 2006. BEAUMONT YACHT CLUB, INC. B, t ommodore Attest: CITY OF BEAUMONT By: � I� Attest: t ` ,r,PP,UMOA/A Page 2 RESOLUTION NO. 06-120 WHEREAS, by Resolution No. 98-261 dated September 22, 1998, City Council approved the existing Management and Concession Agreement with the Beaumont Yacht Club for its continued operation of the City*s public arena; and WHEREAS, said agreement established monthly installments of $11,200 per month over a 15 -year term to be paid by the Beaumont Yacht Club to the City of Beaumont; and WHEREAS, the Beaumont Yacht Club made timely payments to the City of Beaumont until September, 2005, when Hurricane Rita caused extensive damage to the marina resulting in a considerable loss of income by the Beaumont Yacht Club resulting in reduced capacity to make payments. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BEAUMONT: THAT the City Manager is hereby authorized to execute an amendment to the Management and Concession Agreement with the Beaumont Yacht Club reducing its i monthly installments to $7,500 per month effective January 1, 2006 through June 30, 2015. BE IT FURTHER RESOLVED THAT this action will bring the Beaumont Yacht Club current in its payments and that credit against the monthly installment will be directed to cleanup expenses incurred by the Beaumont Yacht Club. 2006. PASSED BY THE CITY COUNCIL of the City of Beaumontthis the 25th day of April, - Mayor Guy N. Goodson - RESOLUTION NO. WHEREAS, by Resolution No. 98-261 dated September 22, 1998, City Council approved the existing Management and Concession Agreement with the Beaumont Yacht Club for its continued operation of the City's public arena; and WHEREAS, as a result of loss of revenues created by extensive damage caused by Hurricane Rita, said agreement was amended by Resolution No. 06-120 dated April 25, 2006, reducing the monthly installments paid by the Beaumont Yacht Club to the City of Beaumont from $11,200 per month to $7,500; and WHEREAS, the Beaumont Yacht Club made timely payments to the City of Beaumont until September, 2008, when Hurricane Ike caused extensive damage to the marina, again resulting in a loss of revenue by the Beaumont Yacht Club; and NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BEAUMONT: THAT the City Manager is hereby authorized to execute an amendment to the Management and Concession Agreement with the Beaumont Yacht Club deferring the October, November and December, 2008, installments of $7,500, thereby extending the expiration of the Agreement to September 30, 2015. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 23rd day of December, 2008. - Mayor Becky Ames -