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HomeMy WebLinkAboutPACKET JUL 17 2018BEAUMONT REGULAR MEETING OF THE CITY COUNCIL COUNCIL CHAMBERS July 17, 2018 1:30 PM CONSENT AGENDA Approval of minutes — July 3, 2018 Confirmation of board and,commission member appointments A. Authorize the City Manager to execute all documents necessary to apply for and accept grant funding for the Southeast Texas Auto Theft Task Force B. Authorize the City Manager to enter into a contract with Legacy Community Development Corporation for HOME Investment Partnerships funds from the Department of Housing and Urban Development C. Authorize the City Manager to apply for and receive funding from "The Save the Children Fund" for the Library System D. Authorize the City Manager to execute Change Order No. 5 for the Washington Boulevard Pavement Widening Phase II Project (Corporate Drive to Amarillo Street) E. Amend Resolution 18-150 related to a bid for medical supplies F. Authorize the acceptance' of a ten foot (10') wide Exclusive Water Line Easement located at 9695 College Street FM BEAUMONT TEXAS TO: City Council FROM: Kyle Hayes, City Manager PREPARED BY: James P. Singletary, Chief of Police MEETING DATE: July 17, 2018 REQUESTED ACTION: Council consider a resolution authorizing the City Manager to execute all documents necessary to apply for and accept grant funding for the Southeast Texas Auto Theft Task Force. BACKGROUND The Southeast Texas Auto Theft Task Force is a multi jurisdictional agency comprised of six personnel from the Beaumont Police Department, and one each from the Jefferson County Sheriff's Office, Port Arthur Police Department and Hardin County Sheriff's Office. Since the inception of the Task Force in 1993, motor vehicle thefts have decreased in Beaumont by more than 80%. The Task Force currently covers Jefferson, Orange, Hardin, and Jasper Counties. The Task Force focuses efforts in two areas: investigations, which target vehicle burglaries and vehicle thefts, and public awareness, which uses media campaigns, training and public presentations to promote prevention techniques and awareness. Title 43, Part III, Chapter 57 of the Texas Administrative Code, allows local government agencies to apply for funding through a grant or an extension of a grant from the Texas Automobile Burglary and Theft Prevention Authority. The City of Beaumont has been the grantee for the Southeast Texas Auto Theft Task Force since 1993. The total budget being requested is $880,346, with state funds in the amount of $528,714. The Beaumont Police Department will provide $259,433 as a cash match in the form of personnel salaries, benefits, fuel, and vehicle maintenance, while other agencies will provide an additional $92,199 in cash match. The upcoming grant cycle will begin on September 1, 2018 and end on August 31, 2019. FUNDING SOURCE The City's match of $259,433 is included in the Police Department's Operating Budget in the General Fund. RECOMMENDATION Approval of the resolution. Automobile Burglary and Theft Prevention Authority FY 2019 Grant Awards approved May 23, 2018 Grantee Name 2019 Award Amount 2019 Match Amount 2019 Reimbursement Rate City of Austin $430,685 $1941716 68.87% City of Beaumont $528,714 $351,632 60.06% City of Brownsville $924,350 $933,990 50.47% Burnet County $276,734 $122,778 69.27% City of Corpus Christi $410,973 $675,542 37.82% City of Dallas $555,204 $111,041 83.33% Dallas County $840,697 $376,475 82.48% City of Eagle Pass $151,222 $48,820 75.60% City of EI Paso $929,465 $374,643 71.27% Galveston County $469,183 $220,047 68.07% Harris County $1,272,403 $2,368,970 34.94% City of Houston $809,496 $1,460,872 37.66% City of Laredo $637,768 $369,345 63.33% Lubbock County $404,523 $239,722 74.56% City of Mansfield $360,058 $234,811 60.53% Montgomery County $337,464 $246,393 65.75% City of Paris $106,709 $40,101 72.68% City of Pasadena $76,000 $515,000 12.86% Potter County $361,705 $229,909 66.17% City of San Antonio $792,617 $561,144 62.68% Smith County $332,792 $182,303 86.33% Tarrant County $1,145,500 $467,773 82.46% Travis County $631,137 $388,111 61.92% City of Victoria $154,719 $30,972 83.32% Total $12,940,118 $10,745,110 City .of Begumont Grant Application for Fiscal Year 2019 Program Title Please enter a short description of the proposed program that can be used as the title. FYI City of Beaumont ABTPA Grant Application Which type of grant are you applying for? Continued Grant - Only available to agencies that have a 2018 grant. These are annual competitive grants for the program described in the application. The program must be submitted for substantially the same program as the previous year. The requested funds, match funds, and in-kind match must be within 5% of the previous year but in any event may not go below the 20% minimum cash match requirement. The number of staff positions must be within 5% of the total positions. Awarded activities are funded on a reimbursement basis. To be eligible for consideration for funding, a program must be designed to support one or more of the following ABTPA program categories. • Law Enforcement, Detection and Apprehension • Reduction of the Sale of Stolen Vehicles or Parts • Public Awareness, Crime Prevention, and Education Grant Participation and Coverage Area • Other Coverage (Describe): Jefferson, Hardin, Orange, Jasper counties and all municipalities therein. • Law Enforcement Grant Participating and coverage agencies below. Participating Agencies: agencies that will materially participate in the grant application through the use of interlocal agreements. The agencies selected in this list only includes agencies that will receive or provide funding and/or resources. The interlocal agreements do not need to be submitted with the application. Interlocal agreements will need to be executed prior to the first payment being made if selected for a grant. Letters of support with the application from the participating agencies are strongly recommended. Coverage Agencies: agencies that will be covered by the grant but not materially participating in the grant application. These agencies will not be covered by a grant interlocal agreement but as law enforcement agencies may have jurisdictional coverage agreements unrelated to the grant. The agencies selected in this list only includes agencies that will be covered or where the chief of police or county sheriff indicates that their agency will coordinate or call upon the taskforce. These will not directly receive or provide funding and/or resources. Letters of support with the application from the participating agencies are strongly recommended. Participating Agencies Coverage Agencies TX 1000000 HARDIN CO SO TX 1000000 HARDIN CO SO TX1230000 JEFFERSON CO SO TX1000100 KOUNTZE PD TX1230100 BEAUMONT PD (MIP) TX 1000200 SILSBEE PD TX1230700 PORT ARTHUR PD (AE) TX1000300 SOUR LAKE PD TX1000900 LUMBERTON PD (IBR) TX1210000 JASPER CO SO TX 1210100 JASPER PD TX1210200 KIRBYVILLE PD TX1230000 JEFFERSON CO SO TX1230100 BEAUMONT PD (MIP) TX1230300 GROVES PD TX1230500 NEDERLAND PD TX1230800 PORT NECHES PD ' T TX1231000 LAMAR UNIVERSITY PD TX1810000 ORANGE CO SO TX1810100 BRIDGE CITY PD TX 1810200 ORANGE PD TX1810300 PINEHURST PD TX1810400 VIDOR PD TX1810500 WEST ORANGE PD TX 1810800 ROSE CITY PD Resolution: Complete a Resolution and submit to local governing body for approval. Sample Resolution is found in the Request for Application or send a request for an electronic copy to mailto:grantsABTPA@txdmv.gov?subject=Resohrtion Request. V* Grant Budget Summary Cash Budget Category Personnel Fringe Overtime Professional and Contract Services Travel Equipment ABTPA Match Total In -Kind Expenditures Expenditures Expenditures Match $239,505.00 $16,000.00 $255,505.00 $245,535.00 $0.00 $193,957.00 $193,957.00 $0.00 $4,500.00 $4,500.00 $193,202.00 $92,199.00 $285,401.00 $6,644.00 $0.00 $6,644.00 Supplies and Direct Operating Expenses (DOE) $89,363.00 $44,976.00 $134,339.00 $12,822.00 Total $528,714.00 $351,632.00 $880,346.00 $258,357.00 66.51% The award amount for this grant is $528,714. 00, the match amount is $351,632. 00 with a reimbursement rate of 0.600575. Description BPD Lt - Program Director / Commander BPD Sgt - Program Manager / Supervisor BPD Investigator 1 BPD Investigator 2 BPD Investigator 3 BPD Investigator 4 Subcategory Pct ABTPA Cash Total In -Kind Time Funds Match Match Personnel Investigator/LEO 100.00% $94,003.00 $8,000.00 $102,003.00 Investigator/LEO 100.00% $0.00 $0.00 $0.00 $92,033.00 Investigator/LEO Investigator/LEO Investigator/LEO Investigator/LEO Total Personnel 100.00% $72,751.00 100.00% $72,751.00 100.00% $0.00 100.00% $0.00 $239,505.00 Fringe $4,000.00 $76,751.00 $4,000.00 $76,751.00 $0.00 $0.00 $76,751.00 $0.00 $0.00 $76,751.00 $16,000.00 $255,505.00 $245,535.00 i ii Investigator/LEO Description Subcategory BPD Lt - Program Investigator/LEO Director / Investigator/LEO Commander Investigator/LEO BPD Sgt - Program Investigator/LEO Manager / Investigator/LEO Supervisor Investigator/LEO - BPD Investigator 1 Investigator/LEO BPD Investigator 2 Investigator/LEO BPD Investigator 3 Investigator/LEO BPD Investigator 4 Investigator/LEO Total Fringe Beaumont Investigator 1 Investigator/LEO Beaumont Investigator 2 Investigator/LEO Beaumont Investigator/LEO Investigator 3 $31,438.00 Beaumont Investigator 4 Investigator/LEO Supervisor Investigator/LEO $0.00 $193,957.00 $193,957.00 Total Overtime Pct ABTPA Cash Total Time Funds Match Overtime $0.00 $35,781.00 $35,781.00 $0.00 $32,424.00 $32,424.00 $0.00 $31,438.00 $31,438.00 $0.00 $31,438.00 $31,438.00 $0.00 $31,438.00 $31,438.00 $0.00 $31,438.00 $31,438.00 $0.00 $193,957.00 $193,957.00 $0.00 $1,000.00 $1,000.00 $0.00 $1,000.00 $1,000.00 $0.00 $1,000.00 $1,000.00 $0.00 $1,000.00 $1,000.00 $0.00 $500.00 $500.00 $0.00 $4,500.00 $4,500.00 Professional and Contract Services Hardin County S.O. Investigator/LEO - fringe Investigator Port Arthur PD Investigator/LEO - Investigator personnel Port Arthur PD Investigator/LEO - Investigator personnel Port Arthur PD Investigator Investigator/LEO - fringe Jefferson County Investigator/LEO - S.O.Investigator personnel Jefferson County S.O. Investigator Investigator/LEO - fringe Hardin County S.O. Investigator/LEO - Investigator personnel Total Professional and Contract Services Travel Out -of -Town Meetings & Law enforcement In -State Investigations $0.00 $22,183.00 $22,183.00 $60,347.00 $0.00 $60,347.00 $0.00 $16,000.00 $16,000.00 $0.00 $21,510.00 $21,510.00 $79,530.00 $0.00 $79,530.00 $0.00 $32,506.00 $32,506.00 $53,325.00 $0.00 $53,325.00 $193,202.00 $92,199.00 $285,401.00 $1,000.00 $0.00 $1,000.00 In -Kind Match 7 Description Subcategory Pct ABTPA Cash Total In -Kind $0.00 Time Funds Match Match TAVTI Conference Law enforcement In -State $3,760.00 $0.00 $3,760.00 ABTPA Workshop Law enforcement In -State $524.00 $0.00 $524.00 Auto Theft Training Law enforcement In -State $1,360.00 $0.00 $1,360.00 $0.00 Total Travel $6,644.00 $0.00 $6,644.00 Equipment Total Equipment Budget Narrative Personnel: Commander: The Task Force Commander will serve as the Program Director and macro -manage all task force personnel and associated law enforcement operations; oversee fiscal matters relating to the grant; complete payroll; direct priorities, establish expectations, enforce accountability, and initiate corrective actions; work closely with ABTPA, Beaumont Chief of Police, Beaumont CFO Office, and its grant coordinator in efforts to maintain grant compliance and the continuance of mutually beneficial outcomes; liaison with officials of participating and coverage agencies; attend appropriate meetings, seminars, training, and webinars; administer any official task force webpage or social media presence; ensure that required ABTPA reports are submitted; monitor progress and document accordingly; and, delegate to personnel as needed. The Commander will hold the rank of Lieutenant in the Beaumont Police Department and will spend 100% of Supplies and Direct Operating Expenses (DOE) Office & Warehouse $52,650.00 $0.00 $52,650.00 Lease Office & Field - Supplies and $5,833.00 $0.00 $5,833.00 Expenses Office Maintenance $4,200.00 $0.00 $4,200.00 Office Utilities $4,800.00 $0.00 $4,800.00 Office Phone & $5,400.00 $0.00 $5,400.00 Data Service Public Awareness $9,000.00 $0.00 $9,000.00 Advertising Bait & Tracking Air $1,620.00 $0.00 $1,620.00 Time Cellular Phone $4,800.00 $0.00 $4,800.00 Service Fuel, Oil, & Maintenance $0.00 $44,976.00 $44,976.00 $5,622.00 Postage $60.00 $0.00 $60.00 TAVTI Conference $1,000,00 $0.00 $1,000.00 Registration Vehicle Lease $0.00 $0.00 $0.00 $7,200.00 Total Supplies and Direct Operating Expenses $89,363.00 $44,976.00 $134,339.00 $12,822.00 (DOE) Budget Narrative Personnel: Commander: The Task Force Commander will serve as the Program Director and macro -manage all task force personnel and associated law enforcement operations; oversee fiscal matters relating to the grant; complete payroll; direct priorities, establish expectations, enforce accountability, and initiate corrective actions; work closely with ABTPA, Beaumont Chief of Police, Beaumont CFO Office, and its grant coordinator in efforts to maintain grant compliance and the continuance of mutually beneficial outcomes; liaison with officials of participating and coverage agencies; attend appropriate meetings, seminars, training, and webinars; administer any official task force webpage or social media presence; ensure that required ABTPA reports are submitted; monitor progress and document accordingly; and, delegate to personnel as needed. The Commander will hold the rank of Lieutenant in the Beaumont Police Department and will spend 100% of j i Budget Narrative work hours on task force and grant -related activities. The position will be primarily funded with ABTPA Funds with a cash -match. Clothing allowance, clothing maintenance, and all fringe benefits will be cash - matched. Task Force Supervisor: The Task Force Supervisor will serve as Program Manager, supervise task force investigators, and monitor law enforcement activities; schedule personnel, manage after -hour callouts, analyze available intelligence on trends or areas of increased criminal activity, and disseminate information to investigators and the Commander (Program Director) to facilitate the most effective and efficient approach to task force endeavors; review offense reports and make appropriate, case assignments; assess risk, complete paperwork, and organize special projects, including both overt and covert operations and proactive enforcement; compile data and draft activity summaries for necessary periodic or recurring reports; complete and submit ABPTA quarterly reports; assist with activities associated with those of an investigator when required; delegate to personnel as needed; and, perform additional duties and/or complete other assignments as directed by the Program Director, The Supervisor will hold the rank of Sergeant at the Beaumont Police Department with 100% of work hours being dedicated to task force duties. The salary will be shown as an in-kind match based on actual figures. Beaumont Police Investigators (1-4): The BPD Investigators will conduct investigations of auto -related cases as assigned, prepare and present completed cases to the District Attorney; identify and develop suspects; recover stolen vehicles and auto - related property; make recommendations to the Supervisor on special projects based on identifiable trends; forward information on suspects and trends; assist with special projects and operations; assist with 68A inspections and inspections of salvage yards and repair shops when necessary; and, complete other duties or assignments as directed. Pursuant to Task Force goals and ABTPA expectations, as individually assigned, investigators will also develop and present crime prevention and awareness programs; conduct media interviews; disseminate public information on task force accomplishments or cases; issue official press releases to media; email suspect , BOLO reports inter -departmentally; attend relevant neighborhood association or community -led meetings; liaison with participating agencies; obtain and maintain crime statistics for coverage areas; as appropriate, mail or email case update notices to crime victims; assist other task force personnel with assigned duties including investigations, inspections, and Back up; maintain all surveillance equipment and assist with its use during investigations or covert operations; cooperate with probation and parole offices to stay informed of the statuses of known auto crime recidivists; coordinate and conduct inspections of salvage dealers and repair shops within the scope of the task force jurisdiction; monitor local auctions where insurance -totaled vehicles are sold; in conjunction with the Supervisor, organize covert sting operations as needed to identify illegal activities by salvage dealers or repair shops; coordinate and conduct VTR -68A inspections; complete seizure paperwork, organize seized property inventory, prepare seized property for auction, and work closely with personnel who are associated with the process; and, complete other assignments as directed by the Supervisor or Commander. Clothing allowance, clothing maintenance, and all fringe benefits will be cash -matched. All BPD investigators will devote 100% of work hours toward auto -crime and grant -related activities. Two (2) BPD salaries will be in-kind match and two (2) will be funded by ABTPA. Actual figures will be submitted. Fringe: Fringe benefits include FICA, retirement withholding, and health insurance.City of Beaumont withholds FICA at rate of 1.45% (except a Sgt who was hired before April 1, 1986). Retirement withholdings including agency contributions: City of Beaumont (20.42%). Only actual figures will be submitted. Budget Narrative Overtime: Criminal behavior is unpredictable. In the majority of circumstances, task force personnel will flex hours to accommodate events or unexpected incidents that require an extended period of work beyond what is scheduled. However, upon occasion and within reason, overtime will be unavoidable due to the complexity of an incident, the hour it originated, or the inability to flex due to personnel having already met the 40 -hour limitation per week. Overtime is unpredictable, so rounded estimates are provided and, when necessary, it will be considered as part of cash match. Only actual figures will be submitted. Professional and Contract Services: Investigators: The Investigators (PAPD, HCSO, JCSO) will conduct investigations of auto -related cases as assigned by each investigator's respective agency; prepare and present completed cases to the District Attorney; identify and develop suspects; recover stolen vehicles and auto -related property; make recommendations to the Supervisor on special projects based on identifiable trends; forward information on suspects and trends to the Crime Prevention Officer; assist with special projects and operations; assist with 68A inspections and inspections of salvage yards and repair shops when necessary; and, complete other duties or assignments as directed. HCSO and JCSO salaries will be fully funded by ABTPA while PAPD will be primarily funded with a cash -match contribution. Fringe benefits include FICA, retirement withholding, and health insurance for all contributing agencies. Workers Compensation and TEC figures for Jefferson County, Hardin County, and the City of Port Arthur, Workers Comp and TEC are figured together for Jefferson County at 5% whereas The City of Port Arthur is at 5% (WC) and 3.48% (TEC) respectively. Hardin County figures WC at 1.47% and TEC at 0.08%. FICA is withheld at a rate of 7.65%. Retirement withholdings including agency contributions are taken at the following rates: Jefferson County (14.9%), City of Port Arthur (13.1%), and Hardin County (13.62%). Health insurance costs also vary between agencies. Participating agencies are expected to submit only actual figures. Budget Narrative Travel: Annual TAVTI Conference / Board Meeting ($3760): Negotiated price per night is $144 per room ($125 + estimated 15% taxes). Three rooms for five nights is $2160 (3 x $144 x 5 = $2160). Based on current GSA for Dallas, per diem cost is estimated at $64 per day per person (64 x 5 x 5 attendees = $1600). Conference attendees would include investigators, program manager, and program director who are all law enforcement and funded or partially funded by the grant, cash -matched, or in -kind -matched. Only program manager and program director would attend any board meeting. ABTPA Workshop ($524): Estimated price per night is $144 ($125 + estimated 15% tax). One room for two nights (2 x 144 = $288). Based on current GSA for Austin, per diem cost is estimated at $59 per day per person (59 x 2 x 2 attendees = $236). Attendees would include program manager and program director who are both law enforcement personnel whose salaries are funded or partially funded by grant, cash -match, or in-kind match. Auto Theft Training ($1360): Potential training for new investigator(s). Negotiated price per night is $144 per room ($125 + estimated 15% taxes). One room for five nights (144 x 5 = $720). Per diem estimate at $64 per person (64 x 5 x 2 attendees = $640). Attendees would include any investigator potentially in need of training that is either funded directly, cash -matched, or in-kind match of the grant. This line item would not be needed unless there is a change in personnel. Out -of -Town Meetings & Unplanned Investigative Travel ($1000): During the course of any given year, unplanned meetings are scheduled or investigations lead out-of-town and become an unfunded expense. If needed, only law enforcement personnel listed on the ABTPA grant will utilize these funds for proper purposes. The availability of these designated funds will prevent budget adjustments for unexpected travel. However, only actual costs, if any, will be filed for reimbursement. Supplies and Direct Operating Expenses (DOE): Office Lease ($52,650): Lease includes two adjacent sections of the same building owned by the same lessor. One section is for office space for investigators and garage space that includes a vehicle lift for assisting with inspections and investigations. The second section is warehouse space for storage of seized property pending court dispositions, recovered stolen property, task force vehicles, and other task force property (tools, equipment, etc). Cost is based on current payments of $4,387.50 per month. Office & Field Supplies ($5833): These funds are used to purchase standard office supplies such as printing paper, photo paper, storage media, toner, ink cartridges, presentation / binding services. It also covers field supplies such as hand cleaner, paper towels, degreaser, paint, paint stripper, sanding material, acid restoration materials, disposable gloves, etc, as well as expendable items like batteries. New task force work apparel - shirts embroidered with task force identity - would be included in this category as well as coverage for unanticipated operational costs that are impossible to exactly predict. It is anticipated that our logo will be updated and our website will be upgraded, which may incur service fees and associated expenses like new graphics, letterhead, business cards, signage, etc. Estimate is based on both current expenditures and future expectations, averaged at $485 per month. These are estimates, not allocations. Only actual costs will be submitted for reimbursement. Budget Narrative Office Maintenance ($4200): Cost of cleaning and maintaining the office is based on current cost of $350 per month. The cost is not determined by the task force, but rather a city-wide contractual arrangement by the City of Beaumont. The listed cost serves as a reimbursement to the city. Office Utilities ($4800): An estimate based on average cost of electricity and water bills over the past 12 months ($4,034) plus 20% to cover unexpected heat waves or cold spells that can quickly invalidate previous energy averages in Texas. These are estimates, not allocations. Only actual costs will be submitted for reimbursement. Office Phone & Data Service ($5400): This expense includes the estimated cost for the multiple business lines (office phones and internet service) at $3360 per year, and a designated secure data line for communication with city and county computers, which has been a recurring cost of $170 month ($2,040 annually). These are estimates not allocations. Only actual expenses will be submitted for reimbursement. Public Awareness Advertising ($9000): The monthly cost for the billboard sign is $500 per month ($6000). Although it varies by location, the generates and estimated 800,000 to 1.8 million impressions per month. The task force also maintains a kiosk display at the largest shopping mall in the region at a rate of $250 per month ($3000). Depending on mall attendance, the kiosk is estimated to make up to 10,000 impressions per day. Bait and Tracking Air Time ($1620): The Task Force bait vehicle system will require monthly GPRS communication (air time), which has an estimated cost of $45 per month. The Task Force also intends to operate a web -based camera system and tracker that each require air time ($45x2). All three devices would have an estimated annual cost of $1620 to operate. These are estimates, not allocations. Only actual costs will be submitted for reimbursement. Cell Phone Service ($4800): Service cost based on reasonable monthly average allowance of $50 per month. There are eight task force members, which would total $4800 annually ($400 per month). Postage ($60): Estimated cost of postal fees or delivery services. TAVTI Conference Registration ($1000): Fees associated with annual TAVTI conference at $200 per attendee (5 x $200). Vehicle Lease ($7200): The vehicle lease is calculated at $600 per month based on a local dealer estimate for a statewide leasing program to law enforcement agencies. It is also the ABTPA cap. The Beaumont Police Department currently provides one vehicle for investigators. Due to it being previously budgeted by BPD, its expense is listed as an in-kind match. Budget Narrative Fuel, Oil, & Maintenance ($55,224): Fuel costs are estimated based on 18,000 miles per year, 14 miles per gallon @ $2.75 per gallon, totaling $3536 per vehicle per year. Oil changes and other maintenance costs are estimated at $2600 per vehicle per year to include expendables such as tires, brakes, shocks, or other necessary repairs. Combining estimates result in an average cost of $6136 per year multiplied by nine vehicles totaling $55,224. The $6136 shown for the one vehicle previously budgeted by BPD is listed as an in-kind match whereas the remaining $49,088 is listed as a cash match. These estimates are not allocated. Only actual costs will be submitted for reimbursement. Revenue Indicate Source of Cash and In -Kind Matches for the proposed program. Cash Match Source of Cash Match City of Beaumont Grantee $267,433.00 Hardin County Subgrantee $22,183.00 City of Port Arthur Subgrantee $29,510.00 Jefferson County Subgrantee $32,506.00 Total Cash Match $351,632.00 In -Kind Match Source of In -Kind Match City of Beaumont Grantee $258,357.00 Hardin County Subgrantee $0.00 City of Port Arthur Subgrantee $0.00 Jefferson County Subgrantee $0.00 Total In -Kind Match $258,357.00 Statistics to Support Grant Problem Statement Use UCR data 2014 2015 2016 Larceny from a motor vehicle 2019 1887 2107 Larceny from a motor vehicle - Parts 161 157 290 Jurisdictions included in totals Statistics a combination of Task Force and Jurisdiction Theft of a motor vehicle 739 717 916 Recoveries of Motor Vehicles 133 133 147 Jurisdictions included in totals Statistics a combination of Task Force and Jurisdiction Provide any additional information or limitations about the data provide above n/a Application Narrative Grant Introduction (Executive Summary) 1.1 Briefly describe the organization and program operation. Provide a high level summary to the intent of the application and how it will affect the local community. (500 words or less) Since 1993, the Southeast Texas Auto Theft Task Force has continued to provide a multi -agency, multi - jurisdictional effort to reduce auto -related crimes within Jefferson, Orange, Hardin, and Jasper Counties. According to the most recent U.S. Census estimates, the counties have a combined population of roughly 431,000 folks with nearly 60% residing in Jefferson County. The Task Force is staffed by -sworn personnel from Beaumont Police Department, Port Arthur Police Department, Jefferson County Sheriffs Office, and Hardin County Sheriffs Office. According to TXDOT, there were over 405,000 vehicles registered within our four -county coverage area in 2016. Corresponding to the population, more than half were in Jefferson County, which is primarily urban and suburban areas. Orange County is mostly suburban and rural areas whereas Jasper and Hardin Counties are markedly more rural and more heavily wooded. The Southeast Texas Auto Theft Task Force has been actively combating auto thefts since it was formed in 1993. Through thorough investigations, development of suspects, crime prevention awareness and education, combined with surveillance, covert patrol, bait vehicle operations, and inspections of salvage and repair businesses, Task Force personnel have done their best to positively impact our communities by facilitating a reduction in the occurrences of auto -related crimes. Despite these efforts, auto -related crimes continue to be a major problem with a significantly negative economic impact. Within the four county project area, there were still over 900 vehicles stolen and nearly 2400 vehicles burglarized in 2016. Our coverage area denotes being in the top 20 locations where this grant is needed for both auto burglaries and auto thefts. Grant Problem Statement 2.1 Provide an assessment of the motor vehicle burglary (including theft of parts) problem in the coverage area of this application. It seems that offenses involving auto -related burglaries and thefts are increasing randomly at a steady pace without any identifiable trends. While window -shattering still occurs in large numbers due to visible valuables, the most prevalent method of operation is simply pulling on handles of unlocked doors with little to no suspect evidence left behind. Solving these crimes has become more challenging, forcing us to rely even more on a vigilant public, proactive patrolling, video surveillance, and bait operations. Offenders are becoming more creative, organized, evasive, and brazenly violent in their "jugging" activities when victims are stalked and followed from banks or after instances of large purchases at retail establishments. Whether it is due to the fluid circumstances at the time of the offense or to the impromptu impatience of the offender, what used to be considered only a property crime has occasionally evolved into aggravated robberies. We know statistically that many guns are stolen from vehicles and more suspects are being arrested in possession of guns. Consequently, auto burglars should no longer perceived in the vein of harmless, vehicular pickpockets. Although these offenses appear to have no pattern, there is an occasional, albeit unpredictable, ebb and flow to auto burglaries, leaving investigators to wonder what determines it. We may never know but wondering is the first step. Are pauses uniquely applied to a few recidivists who are temporarily incarcerated for unrelated crimes? Are we dealing with an increase in juvenile offenders who operate around school schedules? Are offenses just random crimes of opportunity? Do some offenders plan when, where, and what to target in advance or cruise aimlessly? We suspect the answer is yes to all, which begs the bigger question of how we determine how to combat all of these realities.The best we can. The "cause" and "source" of crime are the same: criminal behavior. Plain and simple. Any statements that claim to know how to eradicate criminal behavior in a free society are at best, mere guesses, but more likely deceptive, disingenuous, or ignorant. If there was a solution to individual criminal choices, it would have been initiated millennia ago and we wouldn't be facing recurring issues. A big part of a perceivable, partial solution still falls on the general public heeding our advice to lock their cars and remove (or at least hide) their valuables - reducing opportunities for criminals to capitalize. Citizens have a false sense of security within these "mobile offices" or "homes away from home" and often leave valuables, including firearms, within their vehicles when unoccupied, which compounds the problem. The pervasive problem is further worsened by an apparent disinterest in the aggressive prosecution of misdemeanor auto burglaries. Our efforts to communicate persuasively with local District Attorney Offices are re -doubled, but it can be foreseen that the possible inclusion of a prosecutorial element in a future grant may reap rewards. Unfortunately, the timing for FY2018 is not right for such a modification. Our three-year average for motor vehicle burglaries (including theft of parts) was in the top twenty of the state at 2207. 2.2 Provide an assessment of the motor vehicle theft problem in the coverage area of this application Overall, the Southeast Texas Auto Theft Task Force has experienced steady declines in auto thefts since its 1993 inception when the Beaumont area had hit a national high of nearly 2800 in 1992. In contrast to the astronomical 1992, we are pleased to maintain these general declines in Jefferson County due to better public awareness, law enforcement, and manufacturer improvements. Even so, we are dissatisfied and we aim to further build on these successes with lower reductions over the longer term. Despite our ongoing efforts throughout our coverage area, we saw an increase in offenses for 2016. Our three-year average for motor vehicle thefts was in the top twenty of the state at 791. Nowadays, vehicles cost more than a house did several decades ago. The investment in vehicles is ever- increasing and therefore, the auto thefts have an ever-increasing impact on insurance premiums and the local economy. Auto thefts (more frequently by violent means of car acking) are often a prerequisite to additional crimes and serve as getaway vehicles to help mask suspect identities during additional criminal activity. Unfortunately many vehicles are not recovered, but when they are, the location is often outside the jurisdiction of where the vehicles were originally stolen. This fact, in itself, is reason enough to assist neighboring agencies and to collaborate in efforts to linking recovery locations to possible suspects and/or larger organized crime operations. 2.3 Describe the geographical target area intended for this application. Include information about the taskforce governing and command structure. Include a description of the coverage area(s) and the nature of support and agreements supporting this application. The geographical target area is Jefferson, Orange, Hardin, and Jasper Counties, which includes all the municipalities therein. Beaumont Police Department contributes the lion's share of manpower with two investigators, one inspections officer, one crime prevention officer, one sergeant as task force supervisor, and one lieutenant as task force commander. The majority of the Jefferson County region, including Beaumont and Port Arthur, are primarily urban and suburban. In contrast, Hardin and Jasper Counties are mostly rural whereas Orange County is more a mixture of Jefferson and Hardin counties. The Jefferson County Sheriffs Office, Hardin County Sheriffs Office, and the Port Arthur Police Department contribute one investigator each. Each contributing agency head, whether City Manager or County Judge, signs the ABTPA inter -local contract as required along with cooperative working agreements. The Program Director serves as liaison to the participating agencies. District Attorneys in coverage areas also sign contract on how to regulate the distribution of seized property and monies. 2.4 Will the program described in the application cover the community(ies) at large or will all or any part of this program be directed to serve a specific target population? If No or Both, please describe the v f I t problem supporting the need for a special target population. Yes - the program will cover the communities at large. Grant Goals and Activities There are two parts to this section: 1) Functions of Proposed Program and Goals Strategies and Activities (GSA). In the following boxes, describe the functions of the proposed program and then complete a fillable form called GSA. ABTPA programs must completely describe the functions they will perform in implementing the program. If Awarded, funds expended towards activities not described in this section will result in the reimbursement being denied. Part 1 3.1 Functions of the Proposed Program Related to Burglary of a Motor Vehicle The Southeast Texas Auto Theft Task Force will employ Objectives, Approaches and Actions to reduce the incidence of Burglary of a Motor Vehicle and Theft From a Motor Vehicle in a comprehensive program, which has multiple approaches and actions to confront and reduce the problem. Objective: Reduce the incidence of Burglary of a Motor Vehicle and Theft From a Vehicle Approaches: - Identify and Target Offenders and Prolific Offenders - Collaborate with Law Enforcement Agencies and other Organizations - Community Crime Prevention Campaign Actions: Identify and target Offenders and Prolific Offenders: Offenders in motor vehicle burglary and theft from a motor vehicle will be identified through intelligence gained from arrests, informants, other law enforcement agencies, surveillance observations, bait vehicle operations, repair shop inspections, salvage yard inspections, metal recycler inspections, as well as parts resale location inspections. The offenders would be the target of investigations based on the method of the crime, types of vehicles burglarized, property taken, geographical location of the crimes and any information or evidence pointing to or linking them to the crime(s). The use of covert operations will be employed to target burglary of a motor vehicle offenders, such as, buys of stolen property from auto burglaries and "jugger" bait operations, to identify and determine if there is an organized criminal enterprise involved. Collaborate with other law enforcement agencies and other organizations: Collaborate with law enforcement agencies in and out of the project area, to determine crime trends, patterns, suspected offenders and recover stolen property, through intelligence sharing. Assist other agencies with auto crime cases, which involve Burglary of a Motor Vehicle or Theft of Property or Parts from a Motor Vehicle. This collaboration will be critical in determining if the crimes are being committed by an organized ring, if it is one individual or merely a crime of opportunity. The collaboration would include the District Attorney's Offices in the jurisdictions affected, in order to help them understand the scope and importance of the crime(s) and provide any additional information that might be needed to properly prosecute the offender(s) for maximum result. 3.2 Functions of the Proposed Program Related to Theft of a Motor Vehicle . The Southeast Texas Auto Theft Task Force will employ Objectives, Approaches and Actions to reduce the incidence of Motor Vehicle Theft in a comprehensive program, which has multiple approaches and actions to confront and reduce the problem. Objective: Reduce the Incidence of Motor Vehicle Theft Approaches: - Identify and Target Offenders and Prolific Offenders - Collaborate with Law Enforcement Agencies and other Organizations - Community Crime Prevention Campaign Actions: Identify and target Offenders and Prolific Offenders: Offenders involved in motor vehicle theft will be identified through intelligence gained from arrests, informants, other law enforcement agencies, surveillance observations, bait vehicle operations, use of the LPR system, repair shop inspections, used car dealership inspections, salvage yard inspections, metal recycler inspections, as well as parts resale location inspections. The offenders would be the target of investigations based on the method of the crime, types of vehicles stolen, other property taken, geographical location of the crimes and any information or evidence pointing to or linking them to the crime(s). The utilization of covert operations, such as surveillance of offenders and buys of stolen vehicles and/or parts to determine the origin and assist in the identification of chop shops. Collaborate with other law enforcement agencies and other organizations: Collaborate with law enforcement agencies in and out of the project area, to determine crime trends, patterns, suspected offenders and recover stolen vehicles and other property, through intelligence sharing. Assist other agencies with auto crime cases, which involve Theft of a Motor Vehicle, Theft of Property or Parts from a Motor Vehicle. This collaboration will be critical in determining if the crimes are being committed by an organized ring, if it is one individual, or merely a crime of opportunity. The collaboration would include the District Attorney's Offices in the jurisdictions affected, in order to help them understand the scope and importance of the crime(s), and provide any additional information that might be needed to properly prosecute the offender(s) for maximum result. The collaboration would also include working with NICB and insurance companies on insurance fraud cases, cargo thefts, and gray market vehicles. It would also entail working with the Texas Department of Motor Vehicles and local tax offices on fraudulent titles, and conducting 68A inspections, to determine if vehicles are stolen. 3.3 Functions of the Proposed Program Related to Motor Vehicle Burglary and Theft Prevention The Southeast Texas Auto Theft Task Force will employ Objectives, Approaches and Actions to reduce the incidence of Burglary of a Motor Vehicle and Theft of a Motor vehicle in a comprehensive Crime Prevention Campaign, which has multiple approaches and actions to inform the community of methods and practices to avoid being a victim of auto crimes, coupled with educational presentations to civilian groups and law enforcement agencies to bring the issue to the forefront, in order to reduce the occurrence and increase the clearance of auto crimes cases. Objective: Reduce the incidence of Motor Vehicle Theft through Community Crime Prevention Campaign and Education Approaches: - Administer Community Educational Presentations - Administer Law Enforcement Educational Presentations - Utilize Local Media Outlets to Propagate Community Recognition of Auto Crimes and Prevention Actions: Administer Community Educational Presentations: Educational Presentations will be conducted for civilian groups and civic organizations to promote and educate the civilian population of the seriousness of auto crimes. This opportunity will be used to inform the community on methods and practices of how to avoid becoming a victim of an auto crime. Things such as, but no limited to, not leaving your vehicle unattended with it running or simply with the keys in it. Instruction on planning ahead for multiple stop trips, such as putting things in a secure place that cannot be seen from outside the vehicle before arriving at a destination, so that they are not seen hiding their`valuables. Being sure that they don't leave anything in plain view and explain the most frequent items taken in auto burglaries. Instruct them on being aware of their surroundings and paying attention to where they park their vehicles and who might be watching them. Administer Law Enforcement Educational Presentations: Educational presentations will be conducted for law enforcement agencies to inform officers on basic auto crime investigations. These presentations would be to inform the officers of trends pertaining to auto theft, including types of vehicles, organized rings involved in auto theft, identifying signs and evidence of auto theft, insurance fraud cases, fraudulent titles and utilizing the Southeast Texas Auto Theft Task Force as a resource. This opportunity would be used -as a tool to build a rapport with other agencies and build the foundation for a good working relationship and open exchange for intelligence sharing. Utilize Local Media Outlets to Propagate Community Recognition of Auto Crimes and Prevention: Local Media Outlets will be used to disseminate information to the public, via television, radio, news publications and other local publications. Interviews and appearances at local events, civic organization meetings, as well as Neighborhood Association meetings would be used at opportunities to disseminate information and stress the importance of preventing auto crimes, placing emphasis of the dangers to the community of these types of crimes. Auto burglaries are frequently where criminals gain access to weapons, personal information which could lead to identity theft, as well as keys to personal spaces and/or the vehicle, stressing the fact that a simple auto burglary could arm a criminal and give them access to personal information and/or your home. Economic impact will be addressed as well conveying the fact that not only is there an immediate monetary loss, but insurance rates are affected as well, which affects everyone in the state. Billboards will be utilized on a rotating location basis to to maximize exposure of the message. A display will be used in a high traffic area of a local mall to show items that are used in auto theft prevention. Advertisements would be purchased in local outlets to disseminate prevention methods and practices. Social Media would be utilized to expand circulation of the'prevention information as well. The Task Force maintains one highway billboard sign that is periodically moved to different locations within the project area in an effort to provide a constant reminder to be wary of auto thieves and burglars. Although it varies by location, the generates and estimated 800,000 to 1.8 million impressions per month. The task force also maintains a kiosk display at the largest shopping mall in the region. The kiosk features a television that plays a continuous loop video that warns the public of the risks of leaving keys and valuables in vehicles. The kiosk also features static displays of items associated with auto -related crimes along with posters, signs, and other material focused on prevention. Depending on mall attendance, the kiosk is estimated to make up to 10,000 impressions per day. Community Crime Prevention Campaign: Crime prevention efforts will be concentrated on educating the community in practices which would help them avoid becoming a victim of auto crimes. This would be accomplished by using social media outlets, local television and radio interviews, public service announcements, press releases, as well as billboards, advertisements in local outlets, operating vehicle displays, trade shows and community events and educational presentations for citizens through the Citizens Police Academy, Neighborhood Association meetings and civic organizations. There will also be parking lot checks, during which the TFO's will look at vehicles and determine if the vehicle is more or less likely to be a victim of an auto burglary due to items being left in the vehicle, or it being left unlocked. Mock citations, noting a passing or failing grade, would be left on the vehicle in order to make the citizen aware of the grade, would be left on the vehicle in order to make the citizen aware of the potential of becoming a crime victim. Community Crime Prevention Campaign: Ii 1 Crimp prevention efforts will be concentrated on educating the community in practices which would help them avoid becoming a victim of auto crimes. This would be accomplished by using social media outlets, local television and radio interviews, public service announcements, press releases, as well as billboards, advertisements in local outlets, operating vehicle displays, trade shows and community events and educational presentations for citizens through the Citizens Police Academy, Neighborhood Association meetings and civic organizations. Educational presentations to Law Enforcement agencies in basic auto theft investigation techniques and identification of tampering with VINs, HIV's and PIN's in combination with typical methods of vehicle theft and title fraud. ABTPA Task Forces are required to collaborate across judicial boundaries and to develop regional strategies to implement funded activities. Describe how the applicant staff and jurisdiction will coordinate with other agencies and jurisdictions in the implementation of this program. 3.4 Collaboration Effort Objective: Form Working Relationships with other Jurisdictions Pertaining to Burglary of a Motor Vehicle and Motor Vehicle Theft Approaches: - Collaborate with other Law Enforcement Agencies - Collaborate with other Judicial Agencies - Collaborate with other State Agencies Actions: Collaborate with other Law Enforcement Agencies The Southeast Texas Auto Theft Task Force has established long lasting working relationships with all local law enforcement agencies and through the affiliation with the ABTPA has those same relationships with other Task Forces throughout the state, over the last 20 plus years as an ABTPA funded task force. The reputation of the Southeast Texas Auto Theft Task Force is known to be one of competence, dedication and cooperativeness with all agencies in Texas as well as with agencies in many other states. Intelligence sharing, outside agency assistance and service to the program area are the backbone of the working relationships that have been formed. The Southeast Texas Auto Theft Task Force will continue to work with and share intelligence with agencies in and Out of the program coverage area. Collaborate with other Judicial Agencies The Southeast Texas Auto Theft Task force has long established relationships with all four of the District Attorney's Offices in the program coverage area. These relationships have been cooperative and focused on the prosecution of criminals in all four jurisdictions. These relationships include collaborative efforts on numerous cases involving some Organized Criminal Enterprises and some individuals. This will continue in the future due to the common interest of reducing auto crimes. Collaborate with other State Agencies: The Southeast Texas Auto Theft Task Force will collaborate with the TXDMV and Local Tax Offices on ensuring that stolen vehicles are not registered. This will be achieved by the working with both entities in the matters of Fraudulent Titles and identification of motor vehicles. 68A inspections will also be conducted on vehicles deemed unregistered or questionable, as required by TXDMV. Part II Goals, Strategies, and Activities Select Goals, Strategies, and Activity Targets for the proposed program. Click on the link above and select the method by which statutory measures will be collected. Law Enforcement programs must also estimate targets for the ABTPA predetermined activities. The ABTPA board has determined that grants programs must document specific activities that are appropriate under each of the three goals. Applicants are allowed to write a limited number of user defined activities. ID a Activit Mawro `) arpt Mandatory Motor Vehicle Theft Measures Required for all Grantees. 1.1.15 Increase the recovery rate of stolen motor Report the number of vehicles recovered Mandatory. vehicles Reporting for 1.1.16 Increase the clearance rate of motor vehicle Report the number of motor vehicle theft Mandatory. thefts cases cleared Reporting for 1.1.17 Increase the number of persons arrested for Report the number of persons arrested for Mandatory. motor vehicle theft motor vehicle theft Reporting for Mandatory Burglary of a Motor Vehicle Measures Required for all Grantees 2.1.12 Increase the clearance rate of motor vehicle Report the number of burglary cases cleared Mandatory. burglaries Reporting for 2.1.13 Increase the number of persons arrested for Report the number of persons arrested for Mandatory. motor vehicle burglary burglary Reporting for Measures for Grantees. Add Target values for those that you will measure. 1 Goal 1: Reduce the Incidence of Motor Vehicle Theft through Enforcement Strategies 1.1 Strategy 1: Conduct Activities that Result in the Arrest, Clearance, and Recoveries of Motor Vehicle Theft 1.1.1 Identify groups of auto theft offenders Number of groups identified through intelligence gathering, crime analysis and the use of informants 1, 1.2 Identify and document/record prolific Number identified/documented offenders motor vehicle theft offenders [Prolific is defined as "linked to MVT offenses three or more times"] 1. 1.3 Collaborate with the District Attorneys' offices regarding sentencing, case packets or addressing repeat offenders 1. 1.5 Conduct inspections of local businesses related to vehicle enterprise (transportation code or occupation code authorized companies such as salvage yard, repair shop, parts recycling center, used car dealership, salvage rebuilder, title service company, other). (see 1.3 for number of vehicles inspected in these businesses) Report the total number of cases where LEDs collaborated with prosecutors Number of businesses inspected 1.1.6 Conduct bait vehicle operations that target Number of bait vehicle deployments motor vehicle theft offenders 1.1.8 Deploy license plate readers (LPR) Number of times LPR deployed 1. 1.9 Respond to license plate reader (LPR) alert Number of times investigators responded to notifications LPR alert notifications 1.1.12 Conduct covert operations targeting motor Number of covert operations vehicle theft offenders i' r t' i IID Activity Measure Target 1:1.13 Conduct warrant "round -up" operations Number of operations targeting auto crimes offenders, including those wanted for motor vehicle thefts, vehicle burglaries and the theft of vehicle parts 1.2 Strategy 2: Conduct Collaborative Efforts that Result In Reduction of Incidents of Motor Vehicle Theft 1.2.1 Provide Agency Assists Number of agency assists 1.2.2 Collaborate with other units or divisions Number of times collaborated within (i.e.'homicide, vice, narcotics, etc.) where a departments or SOs participating in taskforce motor vehicle was used in the commission of the crime (includes identification of vehicle). 1.2.3 Collaborate with LE agencies and other organizations that assist in the reduction of motor vehicle thefts 1.2.4 Collaborate on investigations regarding stolen parts and other property Number of times collaborated with coverage area agencies or other law enforcement agencies Number of cases investigated 1.2.5 Conduct intelligence information -sharing Number of intelligence meetings attended 1.2.6 Conduct intelligence information -sharing Crime analysis bulletins disseminated 1.3 Strategy 3: Prevent and Reduce the Incidence of Motor Vehicle Related Fraud Activities 1.3.1 Collaborate with agencies relating to Number of collaborations investigation and enforcement of vehicle insurance fraud 1.3.2 Conduct 68(A) inspections (for TxDMV Number of vehicles inspected to complete a assignment or reassignment of VIM serialized 68A inspection form per TxDMV (VIN assignment, reassignment, bonded title) 1.3.3 Conduct VIN verification inspections. (All Number of vehicles inspected other reasons except bridge or port) 1.3.4 Coordinate with TxDMV/Tax Offices Number of collaborations related to WT relating to investigation and enforcement of fraudulent titles and registration of stolen vehicles 2 Goal 2: Reduce the Incidence of Theft from Motor Vehicles through Enforcement Strategies 2.1 Strategy 1: Conduct Activities that Result in the Arrest, Clearance, and Recoveries of Burglary of Motor Vehicles and Theft of Vehicle Parts and Accessories 2. 1.1 Conduct bait vehicle operations that target Number of bait vehicle burglary deployments vehicle burglary offenders 2.1.2 Identify "prolific BMV offenders" through Number of offenders identified informants and intelligence [Prolific is defined as "linked to BMV and theft of vehicle parts and accessories offenses three or more times"] 2.1.3 Collaborate with the District Attorneys' Report the total number of cases where LEDs offices regarding sentencing, case packets collaborated with prosecutors or addressing repeat offenders 2 W #, a IID o Activity Measure Target 2.1.4 Conduct inspections of local businesses related to vehicle enterprise (transportation code or occupation code authorized companies such as salvage yard, repair shop, parts recycling center, used car dealership, salvage rebuilder, title service company, other). Number of businesses inspected (see Goal 5 for number and value of parts recovered) 2.1.5 Conduct warrant "round -up" operations Number of "round up" operations targeting auto crimes offenders, including those wanted for motor vehicle thefts, vehicle burglaries and the theft of vehicle parts 2.1.7 BMV related cases presented to prosecutor Report the total number of BMV related cases presented to prosecutor(s) where there was an incidence of theft from motor vehicles (includes criminal complaints for BMV, Theft, theft of parts or other cases directly tied to ABTPA statute of motor vehicle burglary and economic motor vehicle theft as defined in ABTPA statute) 2.2 Strategy 2: Conduct Collaborative Efforts that Result in the Reduction of Incidents of Theft From a Motor Vehicle 2.2.1 Provide Agency Assists Number of agency assists 2.2.2 Collaborate with other units or divisions Number of times collaborated within (i.e. homicide, vice, narcotics, etc.) where a departments or SOs participating in taskforce motor vehicle was used in the commission of the crime (includes identification of vehicle). 2.2.3 Collaborate with LE agencies and other Number of times collaborated with coverage organizations that assist in the reduction of area agencies or other law enforcement thefts from a motor vehicle agencies. 2.2.4 Investigate cases regarding stolen parts and Number of cases investigated other property 3 Goal 3: Educate/Train Citizens and Qualified Personnel in Detection and Prevention of Motor Vehicle Theft, Burglary of Motor Vehicles and Theft of Vehicle Parts and Accessories 3.1 Strategy 1: Conduct Public Awareness Related Activities Used to Educate Citizens 3. 1.1 Conduct educational outreach events Number of outreaches (include trade show, exhibits, booths at community events, vehicle displays, brochures, etc.) 3.1.2 Conduct educational presentations to citizens 3.1.4 Conduct vehicle identification number (VIN) etchings 3.1.5 Purchase advertisements in local outlets 3.1.6 Conduct vehicle report card initiatives. 3.1.7 Utilize social media outlets (FaceBook, Twitter, Instagram, etc.) Number of presentations Number of etching events Number of advertisements purchased Number report cards issued Number of postings -in social media outlets z 4- t �k ID , Activity Measure Target 3. l .8 Deploy outdoor public notification signage Number of deployments per month (if sign remains several months, count as 1 deployment per month) 3.1.10 Conduct media outreach, including, public Number of outreaches service announcements, press releases, and interviews 3.2 Strategy 2: Conduct Law Enforcement Training Activities to Educate Officers on Recognition and Apprehension of Stolen Vehicles and Property 3.2.1 Conduct law enforcement training (TCOLE) 3.2.2 Conduct law enforcement training (TCOLE) 3.2.3 Conduct vehicle crimes presentations to law enforcement agencies (non TCOLE) 3.2.4 Conduct vehicle crimes presentations to law enforcement agencies (non TCOLE) Number of classes Number of participants Number of classes Number of participants Grant Evaluation 4.1 Describe the method and practice of evaluating the program activities. Including management and staff participation and systems (forms and software) used to ensure reliable and accurate data is collected and reported. The local evaluation process establishes accountability and measurement of progress through collection of data and information throughout the chain of command. Investigators are required to keep activity logs and submit monthly reports to the Program Manager. In addition to these reports the Task Force's Public Awareness Officer submits a monthly Activity Report to the Program Manager for review while the Inspections Officer submits detailed reports on all salvage and repair shop inspections. The Task Force Supervisor reviews cases and monitors the activities of investigators. The Program Director oversees the entire operation, including the field supervisor, and maintains records of all activity and spending. He reports periodically to the Task Force's Board of Directors,which is comprised of the department heads of the participating agencies. UCR data for all agencies within the project area will be closely monitored to determine the overall impact of Task Force efforts. Personal activity logs and specific reports will be maintained to log progress on stated objectives. These include information detailing such things as the number of bait operations, inspections and public awareness initiatives performed. They will also record other items like arrests made, cases filed and vehicles recovered. Progress of the program will be evaluated monthly. Each investigator will complete a monthly report based on ABTPA reporting categories and the specific objectives of this grant. Each report will be accompanied by documentation supporting the information given. The Project Manager will then compile that information into the monthly Progress Report and submit it to the Program Director for review before forwarding to ABTPA. The Program Director will also periodically report on progress to the Task Force Board of Directors. Certifications The certifying official is the authorized official, Kyle Hayes, City Manager. By subn fitting this application I certify that I have been designated by my jurisdiction as the authorized official to accept the terms and conditions of the grant. The statements herein are true, complete, and accurate to the best of my knowledge. I am aware that any false, fictitious, or fraudulent statements or claims may subject me to criminal, civil, or administrative penalties. By submitting this application I certify that my jurisdiction agrees to comply with all terms and conditions if the grant is awarded and accepted. I further certify that my jurisdiction will comply with all applicable state and federal laws, rules and regulations in the application, acceptance, administration and operation of this grant. 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 apply for and accept funding in the amount of $528,714 through the Texas Automobile Burglary and Theft Prevention Authority Fund for the Southeast Texas Auto Theft Task Force to provide vehicle burglary and theft investigations and crime prevention education; and, BE IT FURTHER RESOLVED that the City Manager is hereby authorized to execute all documents necessary to apply for and accept said funding. The meeting at which this resolution was approved was in all things conducted in strict compliance with the Texas Open Meetings Act, Texas Government Code, Chapter 551. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 17th day of July, 2018. - Mayor Becky Ames - Fol BEAUMONT TEXAS TO: City Council FROM: Kyle Hayes, City Manager PREPARED BY: Chris Boone, Planning & Community Development Director MEETING DATE: July 17, 2018 REQUESTED ACTION: Council consider a resolution authorizing the City Manager to enter into a contract with Legacy Community Development Corporation for HOME Investment Partnerships funds from the Department of Housing and Urban Development. I::��I:�HZ�li1►1�1 The City of Beaumont receives an annual allocation of HOME Investment Partnerships funds from the U.S. Department of Housing and Urban Development (HUD). Federal regulations require that a minimum of fifteen percent (15%) of the City's total HOME fund allocation be contracted to Community Housing Development Organizations (CHDO) for eligible CHDO activities. Legacy Community Development Corporation (Legacy CDC), a certified CHDO, is seeking to provide homeownership opportunities for low to moderate income families. Legacy would utilize $54,880 for acquisition and rehabilitation of at least one unit to be sold to an eligible family. Any and all income received by Legacy through the sale of the property must be used toward furthering the organization's affordable housing activities. In addition, Legacy is requesting $18,293 for operating funds. The funds will be used to cover the salaries for administrative staff. FUNDING SOURCE 2017 HOME Program. RECOMMENDATION Approval of the resolution. 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 Legacy Community Development Corporation (Legacy CDC) in the amount of $54,880.00 for the acquisition and rehabilitation of one (1) home that would be used for affordable housing for sale or lease/purchase to eligible low -to -moderate income families; and, BE IT FURTHER RESOLVED THAT the City Manager be and he is hereby authorized to execute a contract with Legacy Community Development Corporation (Legacy CDC) in the amount of $18,293.00 for related operating expenses, said contracts to be funded from the 2017 HOME Program. The meeting at which this resolution was approved was in all things conducted in strict compliance with the Texas Open Meetings Act, Texas Government Code, Chapter 551. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 17th day of July, 2018. - Mayor Becky Ames - C BEAUMONT TEXAS TO: City Council FROM: Kyle Hayes, City Manager PREPARED BY: Bart. Bartkowiak, Chief Technology Officer MEETING DATE: July 17, 2018 REQUESTED ACTION: Council consider a resolution authorizing the City Manager to apply for and receive funding from "The Save the Children Fund" for the Library System. BACKGROUND The Beaumont Public Library System has provided services to children for many years and the library has broadened its scope to include collaborative efforts with other entities in the city and around the state. Save the Children approached the Libraries with a grant opportunity for projects after Hurricane Harvey. Save the Children is a leading advocate for children around the world. They fill critical gaps in services and deliver scalable solutions to the challenges children face. These projects include: a) A cooperative project with Baptist Hospital providing 1200 baby bags for new infants with infant books, a library card application, and information about the need to read to babies; b) Funds for next year's Summer Reading Club; c) Funds for Science, Technology, Engineering, Art and Math (STEAM) toys for the circulating branches; d) Funds to replace Books and Bites Program books that were lost when the Library basement flooded during the hurricane. This grant amount totals $49,015.00, with no match requirement. FUNDING SOURCE Not applicable. RECOMMENDATION Approval of the resolution. 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 apply for and accept funding in the amount of $49,015.00 through Save the Children for projects to ensure every child in the City of Beaumont has access to high-quality learning opportunities; and, BE IT FURTHER RESOLVED that the City Manager is hereby authorized to execute all documents necessary to apply for and accept said funding. The meeting at which this resolution was approved was in all things conducted in strict compliance with the Texas Open Meetings Act, Texas Government Code, Chapter 551. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 17th day of July, 2018. - Mayor Becky Ames - BEAUMONT TEXAS TO: City Council FROM: Kyle Hayes, City Manager PREPARED BY: Dr. Joseph Majdalani, P.E., Public Works Director MEETING DATE: July 17, 2018 REQUESTED ACTION: Council consider a resolution authorizing the City Manager to execute Change Order No. 5 for the Washington Boulevard Pavement Widening Phase II Project (Corporate Drive to Amarillo Street). BACKGROUND On April 25, 2017, by Resolution No. 17-083, City Council awarded a contract to ALLCO, LLC, in the amount of $15,984,397.88 for the Washington Boulevard Pavement Widening Phase II Project (Corporate Drive to Amarillo Street). Previous Change Order Nos. 1-4, in the amount of $137,560.46, resulted in an increase to the original contract amount making the new contract amount $16,121,958.34. Proposed Change Order No. 5, in the amount of $33,303.00, is required to adjust bid items and quantities in the contract to accommodate revisions to the storm sewer system and to relocate a 16" waterline. A total of twenty-two (22) calendar days would be added to the contract for the additional work. If approved, the new contract amount will be $16,155,261.34. FUNDING SOURCE Beaumont Municipal Airport Oil and Gas Revenue. RECOMMENDATION Approval of the resolution. RESOLUTION NO. 18-123 WHEREAS, on April 25, 2017, the City Council of the City of Beaumont, Texas, passed Resolution No. 17-083 awarding a contract in the amount of $15,984,397.88 to Allco, L.L.C., of Beaumont, Texas, for the Washington Boulevard Pavement Widening Phase II (Corporate Drive to Amarillo Street) Project; and, WHEREAS, on August 3, 2017, the City Manager executed Change Order No. 1, in the amount of $9,920.00, to adjust the estimated quantities to reflect the actual quantities used in the completion of the project, thereby increasing the contract amount to $15,994,317.88; and, WHEREAS, on February 6, 2018, the City Council of the City of Beaumont, Texas, passed Resolution No. 18-032 authorizing the City Manager to execute Change Order No. 2, in the amount of $103,893.00, to accommodate design changes necessary to address unforeseen conflicts with the underground utilities and additional curb and driveway improvements required on Executive Boulevard and Corporate Drive, thereby increasing the contract amount to $16,098,210.88; and, WHEREAS, on May 14,;2018, the City Manager executed Change Order No. 3, in the amount of $7,714.55, to adjust the estimated quantities to reflect the actual quantities used in the completion of the project, thereby increasing the contract amount to $16,105,925.43; and, WHEREAS, Change Order No. 4, in the amount of $16,032.91, is necessary to adjust the pipe quantity and size which was not allotted for in the original design and the addition of fourteen (14) calendar days, thereby increasing the contract amount to $16,121,958.34; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BEAUMONT: THAT the statements and findings set out in the preamble to this resolution are hereby, in all things, approved and adopted; and, THAT the City Manager be and he is hereby authorized to execute Change Order No. 4 for additional work described above, thereby increasing the contract amount by $16,032.91 for a total contract amount of $16,121,958.34 for the Washington Boulevclrd Pavement Widening Phase II (Corporate Drive to Amarillo Street) Project. The meeting at which this resolution was approved was in all things conducted in strict compliance with the Texas Open Meetings Act, Texas Government Code, Chapter 551.' PASSED BY THE CITY COUNCIL of the City of Beaumont this the 5th day of June, 2018. v ��/ - moor Becky Ames - CITY OF BEAUMONT DATE: Jtdy 5, 2018 ORIGINAL CONTRACT' TDn (DAYS): lty PROJECT, WftWugtOn Mv&Phm A OWNER: CITY OF B10AUMONT ADDITIONAL TIME REQUESTED: 22 CONTRACTORt ALLCO CHANGE ORDER NO.: 5 CONTRACT' Tils2E: 1732 Acrf=theenm1aWq=md=tote0atthe a=1 q®ntitiatueamtheortmptetionof0lepto)eet , TtemNo. Item Colo Dowiption, VAR Clrt�ml Nea Unit Prim Total ACCEPTED Y: PREPARED BY: Y Q—tiy Qmmity DAVID LE REPRESENTATIVE 400 002 CFM STABIL RM (1.5 SK/CY SAND) CY 76,991 17,103 S SBAO S 6,438.00 464 004 RCP 30' LF 620 713 S 13L00 S (14,017.00) 464 005 RCP 36" LF 1,799 1,831 S 140.00 S 4,460.00 464 1 006 RQ' 42" LF 1.144 1,099 S 148.00 S (6.660.00) 464 077 W 48' (DDE StDb Out as 8th Succo LF 1,540 1,642 S 162.00 S 16.524,00 464 006 RCP Ste" LF 1.772 1,286 S 190.00 f (1S960.OD) 464 009 RW 60' (DD6 Stub Om o0 8th Sneer) LF 297 309 S 210.00 S 2,520.00 46S ODI KOWLES(COMPLETE)(TYA) FA 39 41 f 7,BIOAD $ I5.620.6D 465 003 CURB PKET TY A(COWL)(S-0-) EA 26 24 S 3975.00 S (1.950.00) 496 001 REMOVE STR(PIPE) 8'-08" LF 1),110 11,025 S 7.00 f (595 496 003 REMOVE STR(CURB 1NLEn LF 64 62 S 360.00 S (720.00) 502 001 BARRICADES, C L:NG O 0221 MO 36 37 S 7,10040 S 7,100.00 FORNLSB AND INSTALL AIR KIMA.SE VALVE AND PIPE CONNECTION TO EXISTING MAIN do ME= BOX, WITH 719 ALL FITTINGS, VALVE EXCAVATION BACKFILL, TESTING ODI AND STEULIZA770A SURFACE RESTORATION ALL INRA 0 1 S 2.918.00 $ 2,918.00 STRICT ACCORDANCE WITHPLANS AND SPECIFICATIONS COMPLETE INPIACE. 9999 002 16" WATERLWBRFLOCATION LS 0 I 523,605.00 $ 23.605.00 P!� Is TOTAL 33303.00 .11111RAI- r taH 9" Hill r ORIGDEAL CONTRACT AMOUNT: $ 15.984,397.88 NET FROM PREVIOUS CHANGE ORDERS: S 16121,958.34 TOTAL AMOUNT OF THIS CHANGE ORDER: S 33303.00, PERCENT OF THIS CHANGE ORDER 021% TOTAL PERCENT CHANGE ORDER TO DATE: 1.OT/i NEW CONTRACT AMOUNT: S 16.155,26I34 ACCEPTED Y: PREPARED BY: Y ALLCOCONIRACIING, C., DAVID LE REPRESENTATIVE ROADWAY DESIGNER -I B' REVIEWED BY: ��' O L CRR J MND E ROADWAY DES[ WORKS R APPROVED BY: ATTESTED BY: KYLE HAYES. CITY MANAGER TINA BROUSSARRD, CITY CLERK RESOLUTION NO. WHEREAS, on April 25, 2017, the City Council of the City of Beaumont, Texas, passed Resolution No. 17-083 awarding a contract in the amount of $15,984,397.88 to Allco, L.L.C., of Beaumont, Texas, for the Washington Boulevard Pavement Widening Phase II (Corporate Drive to Amarillo Street) Project; and, WHEREAS, on August 3, 2017, the City Manager executed Change Order No. 1, in the amount of $9,920.00, to adjust the estimated quantities to reflect the actual quantities used in the completion of the project, thereby increasing the contract amount to $15,994,317.88; and, WHEREAS, on February 6, 2018, the City Council of the City of Beaumont, Texas, passed Resolution No. 18-032 authorizing the City Manager to execute Change Order No. 2, in the amount of $103,893.00, to accommodate design changes necessary to address unforeseen conflicts with the underground utilities and additional curb and driveway improvements required on Executive Boulevard and Corporate Drive, thereby increasing the contract amount to $16,098,210.88; and, WHEREAS, on May 14, 2018, the City Manager executed Change Order No. 3, in the amount of $7,714.55, to adjust the estimated quantities to reflect the actual quantities used in the completion of the project, thereby increasing the contract amount to $16,105,925.43; and, WHEREAS, on June 5, 2018, the City Council of the City of Beaumont, Texas, passed Resolution No. 18-123 authorizing the City Manager to execute Change Order No. 4, in the amount of $16,032.91 to adjust the pipe quantity and size which was not allotted for in the original design and the addition of fourteen (14) calendar days, thereby increasing the contract amount to $16,121,958.34; and, WHEREAS, Change Order No. 5, in the amount of $33,303.00, is necessary to adjust bid items and quantities in the contract to accommodate revisions to the storm sewer system; relocate a 16" waterline; and, twenty-two (22) calendar days will be added to the contract for the work, thereby increasing the contract amount to $16,155,261.34; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BEAUMONT: THAT the statements and findings set out in the preamble to this resolution are hereby, in all things, approved and adopted; and, THAT the City Manager be and he is hereby authorized to execute Change Order No. 5 for additional work described above, thereby increasing the contract amount by $33,303.00 for a total contract amount of $16,155,261.34 for the Washington Boulevard Pavement Widening Phase II (Corporate Drive to Amarillo Street) Project., with twenty-two calendar days added to the contract for the work. The meeting at which this resolution was approved was in all things conducted in strict compliance with the Texas Open Meetings Act, Texas Government Code, Chapter 551. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 17th day of July, 2018. - Mayor Becky Ames - E- BEAUMONT TEXAS TO: City Council FROM: Kyle Hayes, City Manager PREPARED BY: Todd Simoneaux, Chief Financial Officer MEETING DATE: July 17, 2018 REQUESTED ACTION: Council consider an amendment to Resolution 18-150 related to a bid for medical supplies. BACKGROUND On July 3, 2018, Council adopted Resolution 18-150, awarding multiple vendors for the medical supply bid. Due to a name change with one vendor, an amendment to the Resolution is requested that will reflect the correct vendor name. Section 3 was awarded to Midwest Medical Supply Co., of Earth City, Missouri for $390.04, when it should have been awarded to Concordance Healthcare Solutions, LLC., of Earth City, Missouri. FUNDING SOURCE General Fund. RECOMMENDATION Approval of amended resolution. RESOLUTION NO. WHEREAS, on July 3, 2018 the City Council of the City of Beaumont Texas passed Resolution No. 18-150 accepting bids from multiple vendors for a one (1) year contract for medical supplies for use by Beaumont EMS; and, WHEREAS, line item Category 3 was awarded to Midwest Medical Supply Co., of Earth City, Missouri, in the amount of $390.04; and, WHEREAS, Midwest Medical Supply Co., of Earth City, Missouri, recently changed its name to Concordance Healthcare Solutions, LLC.; and, WHEREAS, an amendment to Resolution No. 18-150 is necessary to reflect the correct name of Concordance Healthcare Solutions, LLC, of Earth City, Missouri, for line item Category 3; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BEAUMONT: THAT the statements and findings set out in the preamble to this resolution are hereby, in all things, approved and adopted; and, THAT Resolution No. 18-150 is hereby amended to award Concordance Healthcare Solutions, LLC, of Earth City, Missouri, a one (1) year contract in the amount of $390.04 for line item Category 3 for medical supplies for use by Beaumont EMS; and, BE IT FURTHER RESOLVED THAT the City Manager be and he is hereby authorized to execute a contract with Concordance Healthcare Solutions, LLC, of Earth City, Missouri for the purposes described herein. The meeting at which this resolution was approved was in all things conducted in strict compliance with the Texas Open Meetings Act, Texas Government Code, Chapter 551. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 17th day of July, 2018. - Mayor Becky Ames - F BEAUMONT TO: City Council FROM: Kyle Hayes, City Manager PREPARED BY: Dr. Joseph Majdalani, P.E., Public Works Director MEETING DATE: July 17, 2018 REQUESTED ACTION: Council consider a resolution authorizing the acceptance of a ten foot (10') wide Exclusive Water Line Easement. BACKGROUND College Street RV & Boat Storage, LLC. has agreed to convey a ten foot (10') wide exclusive Water Line Easement to the City of Beaumont. The easement is described as being a 0.4167 acre of land situated in the A. Savery League Survey, Abstract No. 46, Jefferson County, Texas. The water line easement is for a water line and fire hydrants to serve the new development of a RV and storage facility located at 9695 College Street. FUNDING SOURCE Not applicable. RECOMMENDATION Approval of the resolution. RESOLUTION NO. WHEREAS, College Street RV & Boat Storage, LLC has agreed to convey one (1) ten foot (10') wide exclusive water line easement, said easement being a 0.4167 acre of land situated in the A. Savery League Survey, Abstract No. 46, Jefferson County, Texas as described and shown in Exhibit 1," attached hereto, to the City of Beaumont for a new development of an RV and storage facility located at 9695 College Street; and, WHEREAS, the City Council has considered the purpose of said conveyance and is of the opinion that the acceptance of said conveyance is necessary and desirable and is in the best interest of the City of Beaumont and that same should be accepted; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BEAUMONT: THAT the statements and findings set out in the preamble to this resolution are hereby, in all things, approved and adopted; and, THAT one (1) ten foot (10') wide exclusive water line easement conveyed by College Street RV & Boat Storage, LLC, being a 0.4167 acre of land situated in the A. Savery League Survey, Abstract No. 46, Jefferson County, Texas as described and shown in Exhibit "1," attached hereto, be and the same is hereby, in all things, accepted for the stated purposes. The meeting at which this resolution was approved was in all things conducted in strict compliance with the Texas Open Meetings Act, Texas Government Code, Chapter 551. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 17th day of July, 2018. - Mayor Becky Ames - STATE OF TEXAS COUNTY OF JEFFERSON KNOW ALL MEN BY THESE PRESENTS: WATER LINE EASEMENT THAT, COLLEGE STREET RV & BOAT STORAGE, LLC, a Texas limited liability company, hereinafter called "GRANTOR", whether one or more, for and in consideration of the sum of ONE AND N011 00 DOLLAR ($1.00), and other good and valuable consideration to us in hand paid by the CITY OF BEAUMONT, a municipal corporation domiciled in Jefferson County, Texas, hereinafter called "GRANTEE", the receipt and sufficiency of which consideration is hereby acknowledged, has GRANTED, SOLD and CONVEYED, and by these presents does GRANT, SELL and CONVEY unto the CITY OF BEAUMONT, P. O. Box 3827, Beaumont, Texas 77704, Jefferson County, Texas, its successors and assigns, a Water Line Easement and the exclusive right to construct, alter, and maintain said waterlines and appurtenances on the hereinafter described lands which said easement is under, over, in and across those certain tracts or parcels of land owned by GRANTOR situated in the County of Jefferson, State of Texas, and being more particularly described in Exhibits "A & B", attached and made a part hereof for all purposes. The easement herein granted shall be used for the purpose of placing, constructing, operating, repairing, rebuilding, replacing, relocating, and/or removing water lines and appurtenances, and the following rights -are also hereby conveyed collectively, the "Easement Rights". It is expressly understood and agreed that the City of Beaumont shall have the right of ingress to and egress from the tracts of land hereinbefore described and use of the same for the purposes aforesaid, and giving said City the right and privilege to improve, maintain and operate EXHIBIT 1" the same as permitted by law. GRANTOR agrees not to place any structures or appurtenances within the Easement Property that will interfere with Grantee's ability to exercise the Easement Rights. GRANTEE shall not be responsible for the repair and replacement of any paving or other structures within the Easement Property. TO HAVE AND TO HOLD the above described easement and right-of-way unto the said CITY OF BEAUMONT, its successors and assigns forever. EXECUTED this o2N day of J v Ly , 2018. GRANTOR: COLLEGE STREET RV & BOAT STORAGE, LLC By: 2_: G-"--ZW el Printed Name: TIMOTHY GADDIS Title: Member ACKNOWLEDGMENTS STATE OF TEXAS COUNTY OF JEFFERSON This instrument was acknowledged before me on this the _ day of l , 2018, by Timothy Gaddis, Member of the College Street RV & Boat Storage, LLC, a Texas limited liability company. GIVEN UNDER MY HAND AND SEAL OF OFFICE, this o2 day of U , 2018. ���"'rrr. CARRIE LAR IVE .�`��`Y P`'o'- Notary Public, State of Texas WEEPublic, State of Texas N,;.:e= Comm. Expires 08 29-2020 �'akoF �:�� Notary ID 6635554 rnn� RETURN TO: City of Beaumont Antoinette Hardy - Engineering P. O. Box 3827 Beaumont, TX 77704 AreessConunercial • Residential • Industrial ,surveyors Firm No. 10136400 ]FAMBIT "A" FIELD NOTE DESCRIPTION 0.4167 Acre Exclusive Waterline Easement Across 4.067 Acres (Called 4.059 Acres) Described in Clerk's File No. 2017038444, OPRJCT Part of the A. SAVERY LEAGUE, Abstract 46, Beaumont, Jefferson County, Texas BEING a 0.4167 acre easement lying in the A. SAVERY LEAGUE, Abstract No. 46, Jefferson County, Texas, being across that called 4.059 acre tract of land (surveyed as 4.067 acres) described in an instrument to College Street RV & Boat Storage, LLC, recorded in Clerk's File No. 2017038444 of the Official Public Records of Jefferson County, Texas, and out of Lot 3, Block 4 of Wescalder Fig Acres Subdivision, a subdivision of record in Volume 04 on Page 149 of the Plat Records of Jefferson County, Texas, said easement being more particularly described as follows: Note: All bearings and distances are grid, based on the Texas Coordinate System of 1983 (NAD83), South Central Zone, with a convergence angle at N.• 13,965,714.22 and E. 3,484,377.34 of 02°20'54" and a scale factor of 0.99994413. BEGINNING at a 1/2" rod found in the south right-of-way line of U.S. Highway 90 (also known as College Street), for the northeast corner of that called 1.04 acre tract of land (designated as Tract 2) described in an instrument to Jimmy Adams, recorded in Clerk's File No. 9832590 of said Official Public Records, the northwest comer of said 4.067 acre tract and the northwest corner of the herein described easement; THENCE North 79°33'43" East along the south right-of-way line of U.S. Highway 90, the north line of said 4.067 acre tract and a north line of the herein described easement, a distance of 10.09 feet to a point for comer in the south right-of-way line of U.S. Highway 90 and the north line of said 4.067 acre tract, for a northeasterly corner of the herein described easement; THENCE the following 19 courses and distances across said 4.067 acre tract: South 02034144" East, a distance of 15.14 feet to a point; North 79°33'43" East, a distance of 49.78 feet to a point; South 10026117" East, a distance of 10.00 feet to a point; South 79°33'43" West, a distance of 51.16 feet to a point; South 02134144" East, a distance of 275.79 feet to a point; North 87°25'16" East, a distance of 50.00 feet to a point; South 02°34'44" East, a distance of 10.00 feet to a point; South 87125116" West, a distance of 50.00 feet to a point; South 02°34'44" East, a distance of 272.55 feet to a point; North 78°49'23" East, a distance of 279.87 feet to a point; North 02134'17" West, a distance of 235.46 feet to a point; South 87°25'16" West, a distance of 50.00 feet to a point; North 02°34'44" West, a distance of 10.00 feet to a point; North 87125'16" East, a distance of 50.00 feet to a point; North 02134117" West, a distance of 309.25 feet to a point; South 79°33'41" West, a distance of 50.51 feet to a point; North 10°26'19" West, a distance of 10.00 feet to a point; North 79133'41" East, a distance of 51.90 feet to a point; North 02°34'17" West, a distance of 15.14 feet to a point for corner in the south right-of-way line of U.S. Highway 90 and the north line of said 4.067 acre tract of land, for a northwesterly corner of the herein described easement; Page 1 of 2 11025 Old Voth Road, Beaumont, Texas 77713 Office: (409) 838-6322 Fax: (409) 838-6122 Email: rpls5163@aol.com Web: www.access-surveyors.com File: 2017697—Easement Description_(8.5X14).Docx � Access Conunercial • Residential • Industrial Smrveyors Firm No. 10136400 THENCE North 79°33143" East, along the south right-of-way line of U.S. Highway 90, the north line of said 4.067 acre tract and a north line of the herein described easement, a distance of 10.09 feet to a capped iron rod ("SESCO") found for the northwest comer of that called 2.3604 acre tract of land described in an instrument to EZY HOLDINGS LLC, recorded in Clerk's File No. 2017004416 of said Official Public Records, the northeast comer of said 4.067 acre tract and the northeast comer of the herein described easement, from which a 1/2" rod found for the northeast comer of said 2.3604 acre tract bears North 78001'04" East, 175.38 feet (called North 80032'54" East, 175.34 feet); THENCE South 02°34'1T' East (Called South 00°12'41" East), along the west line of said 2.3604 acre tract, the east line of said 4.067 acre tract and the east line of the herein described easement, a distance of 594.98 feet (called 597.14 feet in CF 2017038444; called 594.94 feet in CF 2017004416) to a I" rod found for the southwest comer of said 2.3604 acre tract, the northwest corner of that called 1.205 acre tract of land described in an instrument to Roman Adam Guidry, recorded in Clerk's File No. 20110339442 of said Official Public Records, the northeast comer of that called 2.01 acre tract of land described in an instrument to Roderick C. Riley, recorded in Clerk's File No. 2003014437 of said Official Public Records, the southeast comer of said 4.067 acre tract, and the southeast comer of the herein described easement, from which a 1/2" rod found for the southwest corner of said 1.205 acre tract bears South 03° 14'58" East, 50.26 feet (called 49.95 feet); THENCE South 78°49'23" West (called South 81°33'44" West), along the north line of said 2.01 acre tract, the north line of Lot 1B of the Replat of Lot 1 of Troy Addition, recorded in Clerk's File No. 2009045180 of said Official Public Records, the south line of said 4.067 acre tract and the south line of the herein described easement, a distance of 300.10 feet (called 300.04 feet) to a 1" rod found in a pond for the northwest comer of Lot 113, the northeast corner of that called 1.46 acre tract of land described in an instrument to Juan M. Salinas and Martha D. Salinas, recorded in Clerk's File No. 2008041869 of said Official Public Records, the southeast comer of said called 4.85 acre tract of land ("Tract 1") described in said Clerk's File No. 9832590, the southwest corner of said 4.067 acre tract and the southwest comer of the herein described easement; THENCE North 02134144" West (called North 00'12'23" West), along the east line of said Tract 1 and the west line of said 4.067 acre tract and the west line of the herein described easement, passing a capped iron rod ("FAUST") found for the most -easterly northeast comer of said Tract 1 and the southeast corner of said Tract 2 at 418.81 feet, continuing along the east line of said Tract 2, the west line of said 4.067 acre tract and the west line of the herein described easement for a total distance of 598.87 feet (called 597.77 feet) to the POINT AND PLACE OF BEGINNING, containing 0.4167 acres of land, more or less. This description is being submitted along with a plat of even date. Scott N. Brackin, RPLS 6650 Access Surveyors Project No. 2017697 May 02, 2018 (Rev. 07-02-2018) Page 2 of 2 11025 Old Voth Road, Beaumont, Texas 77713 Office: (409) 838-6322 Fax: (409) 838-6122 Email: rpls5163@aol.com Web: www.access-surveyors.com File: 2017697_ Easement Dcscription_(8.5X 14).Docx 3 s m SHIT BH l.1 N 79'33'43' E 10.09' • m Easement Plat L2 S 02'3444' E 15.14' N "R 9 L3 N 79'33'43' E 49.78' �_ hway L4 S 10'26'17' E 10.00' e L5 S 79'33'43' W 51.16' Sc. of e9 V. '-1• H'�O v 1 y Street) and ��d L6 N 8725'16' E 50.00' ( College l.7 S 02'3444' E 10.00' 300.00' Rod ( LB S 8725'16' W 50.00' c washin ton BW . (N 81'41 00 E 299.62' L^14 151 L16 L9 S 8725'16' W 50.00' N 79.33 —t L10 N 023444' W 10.00' L12 5 L11 N 8725'16' E 50.00' L1 I L12 S 79'3341' W 50.51' Rock Drive L13 N 10'26'19' W 10.00' L14 N 79'3341' E 51.90' POB .. L15 N 02'34'17' W 15.14' Found I 1/2' Rod L16 N 79'33'43' E 10.09' z. Jimmy Adams !9 Tract 2: 1.04 Acres V �, CF 9832590, OPRJCT , i__ Servient Estate: �I 10.0 College Street RV w i n n i y & Boat Storage, LLC 0� o 0 Found Capped Rod o Called 4.059 Acres N o 6 (-FAUST-) at 418.81' w (Surveyed as 4.067 Acres) 11+� CF 2017038444, OPRJCT �+ f Out of Lot 3, Block 4, I W o e N c I Wescalder Fig Acres Subdivision o m m o=� m V 04, P 149, PRJCT I 14 0 - and and Part ofthe o o N o A. SAVERY LEAGUE, A-46, f N-4 C5 z cn II . , to 0 0 v Jefferson County, Texas1 rn i. rn czj o to 1. to E �n n+Ni�j� �Lj1p1�'Jj 0 C) A � n --=', 1 pip N N :* :Ej 0.4167 Ac. I: Exclusive Waterline Esmt. w g � 1110, m I. m 4-1 C Notes: z+ " JimmyAdams o y (1) All bearings and distances are grid, Tract 1: 4.85 Acres 04 based on the Texas Coordinate System of 5PA. I CF 9832590, OPRJCT wa. 1983 (NA063), South Central Zone, with a 'Zi . convergence angle at N: 13,965, 714.22 and • f' E: 3,484,377.34 of 02'20'54' and a scale rn factor of 0.99994413. Roman Adam Guidry CA I . Called 1.205 Acres N (2) A Variable Width Easement Description CF 2011039442, N (D(HIBIT A) is attached hereto and made 0 OPRJCT part hereof. f 10.0 15.0 — _ —_— —_— — — — — —_—_ _{ 49,23■ E 279.87 -1493 73.:' . — ------ --- N •.: Found 10• 1' Rod — -Pond _— — — _ — — 1,50.37 W 300.04') ----- -- -- (S B133'44 —_ _ _- _-_-_-_ Found 1' Rod Roderick C. Riley — — — Called 2.01 Acres --_ --=Juan M. Salina in Pond Lot 1B CF 2003014437, OPRJCT -- and Martha D. Salinas Replat of Lot 1 Called 1.46 Acres Troy Addition SCALE: 1 " = 80' CF 2008041869, OPRJCT CF 2009045180, OPRJCT EXffiBIT SHOWING AN EXCLUSIVE WATERLINE EASEMENT OUT OF A CALLED 4.059 AC. TRACT OF LAND (SURVEYED AS 4.067 AC.) Conveyed to College Street RV & Boat Storage, LLC, In Clerk's File No. 2017038444 (OPROCT) Address: 9695 College Street Beaumont, Texas 77707 I, Scott N. Brackin, Texas Registered Professional Land Surveyor No. 6650, do hereby certify that I have made a survey on the ground of the property shown hereon, and that the survey Is true and correct to the best of my knowledge and belief. Reld Work Completed. January 16, 2018. Plat Dated: May 02, 2018. Last Revfsfon: July 02, 2018. CMEA!KS 5 Q' 'G1STEq' "i" 0 % o • .0, SLrveyors ......................:.... SCOTT N BRACKIN Commercial - Industrial - Residential """""""""" .6 6650 11025 Old Voth Road — Beaumont, Texas 77713 <1 "'9�FSSS��?P O� Telephone (409) 838-6322 Facsimile 838-6122 Vey www.access—surveyors.com § rpis5163®aol.com SUR Scott N. Brackln Mtn. 2017697Lsur Flan No. 10136400, Technklan: SNB Registered Professional Lond Surveyor No. 6650 BEAUMONT TEXAS REGULAR MEETING OF THE CITY COUNCIL COUNCIL CHAMBERS JULY 17, 2018 1:30 PM AGENDA CALL TO ORDER * Invocation Pledge Roll Call * Presentations and Recognition * Public Comment: Persons may speak on scheduled agenda items 1-4 and 6/ Consent Agenda * Consent Agenda GENERAL BUSINESS Consider an ordinance authorizing the issuance and sale of City of Beaumont, Texas, Certificates of Obligation, Series 2018 in an estimated amount not to exceed $10 Million; levying taxes to provide for payment thereof; and containing other matters related thereto 2. Consider a resolution authorizing the City Manager to execute all documents necessary, on behalf of the City of Beaumont, to purchase the building and property located at 555 Main Street 3. Consider a resolution authorizing the City Manager to execute an amended agreement with Architectural Alliance, Inc. for the renovation of the Tyrrell Park Community Building located at 5305 Tyrrell Park Road 4. Consider granting a new solid waste transportation service agreement with DSC Carting, LLC PUBLIC HEARING Receive comments related to finding and ratifying the determination of the Director of Health that a public nuisance exists on the properties at 1544 Hazel, 642 Washington Blvd. and 7895 San Diego, due to the accumulation of excessive litter allowing for conditions conducive to breeding of mosquitoes and harborage of rats and order the property owners to clean the said properties within ten (10) days. If the property owners fail to comply within ten (10) days, staff is requesting City Council authorization to clean these properties and/or authorizing the City Attorney to seek legal action to have the nuisances abated 5. Consider an ordinance finding and ratifying the determination of the Director of Health that a public nuisance exists on the properties at 1544 Hazel, 642 Washington Blvd. and 7895 San Diego, due to the accumulation of excessive litter allowing for conditions conducive to breeding of mosquitoes and harborage of rats and order the property owners to clean the said properties within ten (10) days. If the property owners fail to comply within ten (10) days, staff is requesting City Council authorization to clean these properties and/or authorizing the City Attorney to seek legal action to have the nuisances abated WORK SESSION COMMENTS Review and discuss the City's Adopt -A -Street Program Review and discuss adding "Gethrel Williams -Wright" to the top of the street sign of Fortune Lane Public Comment (Persons are limited to 3 minutes) Councilmembers/City Manager comment on various matters EXECUTIVE SESSION * Consider matters related to contemplated or pending litigation in accordance with Section 551.071 of the Government Code: Trudi Martin vs. City of Beaumont Public Health Emergency Medical Services and the City of Beaumont; Cause No. D-199,564 Corey Lane, Individually and as Next Friend of Corey Lane, Jr. vs. City of Beaumont; Cause No. B-201,777 Joseph Fazio v. City of Beaumont; Cause No. 129808 CJ Express, et al vs. Barton Construction, et al; Cause No. 122,848 Claim of Carla Tyler City of Beaumont vs. APAC-Texas, Inc.; Cause No. A-201103 In Re: O1dCastle Materials Texas, Inc. D/B/A Gulf Coast; Cause No. E- 200934 GENERAL BUSINESS 6. Consider a resolution approving the settlement of pending litigation between the City of 'Beaumont and APAC-Texas, Inc. and Oldcastle Materials Texas, Inc. (Cause Nos. A-201103 and E-200934) Persons with disabilities who plan to attend this meeting and who may need auxiliary aids or services are requested to contact Kaltrina Minick at 880-3777. [1 July 179 2018 Consider an ordinance authorizing the issuance and sale of City of Beaumont, Texas, Certificates of Obligation, Series 2018 in an estimated amount not to exceed $10 Million; levying taxes to provide for payment thereof; and containing other matters related thereto BEAUMONT TEXAS TO: City Council FROM: Kyle Hayes, City Manager PREPARED BY: Todd Simoneaux, Chief Financial Officer MEETING DATE: July 17, 2018 REQUESTED ACTION: Council consider an ordinance authorizing the issuance and sale of City of Beaumont, Texas, Certificates of Obligation, Series 2018 in an estimated amount not to exceed $10 Million; levying taxes to provide for payment thereof; and containing other matters related thereto. BACKGROUND Results of the sale will be presented by the City's Financial Advisor, Dustin Traylor of RBC Capital Markets. A recommendation will be made to award the bonds to an underwriter. Interest is payable semiannually, March 1 and September 1, beginning March 1, 2019. UMB Bank, N.A. Austin, Texas, will serve as paying agent/registrar. Delivery and receipt of the proceeds by the city are scheduled for August 9, 2018. The funds will be utilized in the Street Rehabilitation Program. FUNDING SOURCE Principal and interest is paid from the Debt Service Fund which is supported by property taxes. RECOMMENDATION Approval of -ordinance. ORDINANCE NO. AN ORDINANCE OF THE CITY OF BEAUMONT, TEXAS, AUTHORIZING THE ISSUANCE AND SALE OF CITY OF BEAUMONT, TEXAS, CERTIFICATES OF OBLIGATION, SERIES 2018 IN THE AGGREGATE PRINCIPAL AMOUNT OF $10,000,000; LEVYING A TAX IN PAYMENT THEREOF; AWARDING THE SALE THEREOF; AUTHORIZING THE EXECUTION AND DELIVERY OF A PAYING AGENT/REGISTRAR AGREEMENT AND A CERTIFICATE PURCHASE AGREEMENT; APPROVING THE OFFICIAL STATEMENT; CONFIRMING THE ENGAGEMENT OF PROFESSIONALS IN CONNECTION WITH THE ISSUANCE OF THE CERTIFICATES OF OBLIGATION; FINDING AND DETERMINING THAT THE MEETING AT WHICH THIS ORDINANCE IS PASSED IS OPEN TO THE PUBLIC AS REQUIRED BY LAW; AND ENACTING OTHER PROVISIONS RELATING THERETO. - WHEREAS, under the provisions of Subchapter C, Chapter 271, Texas Local Government Code, as amended (the "Act"), the City of Beaumont, Texas, is authorized to issue certificates of obligation for the purposes specified in this Ordinance and for the payment of all or a portion of the contractual obligations for professional services, including that of engineers, attorneys, and financial advisors in connection therewith, and to sell the same for cash as herein provided; and, WHEREAS, the City is authorized to provide that such obligations will be payable from and secured by the levy of a direct and continuing ad valorem tax, within the limits prescribed by law, against all taxable property within the City, in combination with a limited pledge of a subordinate lien on the net revenues of the City's waterworks and sewer system in an amount not to exceed $10,000 as authorized by the Act and Chapter 1502, Texas Government Code; and, WHEREAS, the City Council has found and determined that it is necessary and in the best interests of the City and its citizens that it issue such certificates of obligation authorized by this Ordinance; and, WHEREAS, pursuant to a resolution heretofore passed by this governing body, notice of intention to issue certificates of obligation of the City payable as provided in this Ordinance was published in the Beaumont Enterprise, a newspaper of general circulation of the City in accordance with the laws of the State of Texas; and, WHEREAS, no petition of any kind has been filed with the City Clerk, any member of the City Council or any other official of the City, protesting the issuance of such certificates of obligation; and, WHEREAS, this City Council is now authorized and empowered to proceed with the issuance of said certificates of obligation and to sell the same for cash; and, WHEREAS, the meeting at which this Ordinance is considered is open to the public as required by law, and public notice of the time, place, and purpose of said meeting was given as required by Chapter 551, Texas Government Code, as amended; now therefore, NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF BEAUMONT: ARTICLE I. DEFINITIONS AND OTHER PRELIMINARY MATTERS Section 1.01. Definitions. Unless otherwise expressly provided or unless the context clearly requires otherwise in this Ordinance, the following terms shall have the meanings specified below: "Business Day" means any day which is not a Saturday, Sunday or legal holiday, or day on which banking institutions in the State of Texas or the city in which the Designated Payment/Transfer Office is located are generally authorized or obligated by law or executive order to close. "Certificate" means any of the Certificates. "Certificate Date" means the date designated as the initial date of the Certificates by Section 3.02(a) of this Ordinance. "Certificates" mean the certificates of obligation authorized to be issued by Section 3.01 of this Ordinance and designated as "City of Beaumont, Texas, Certificates of Obligation, Series 2018." "City" means the City of Beaumont, Texas. "Closing Date" means the date of the initial delivery of and payment for the Certificates. "Code" means the Internal Revenue Code of 1986, as amended, including applicable regulations, published rulings, and court decisions. "Dated Date" means July 1, 2018. "Delivery Date" means August 9, 2018. "Designated Payment/Transfer Office" means (i) with respect to the initial Paying Agent/Registrar named herein, its office in Austin, Texas, or at such other location designated by the Paying Agent/Registrar and (ii) with respect to any successor Paying Agent/Registrar, the office of such successor designated and located as may be agreed upon by the City and such successor. "DTC" means The Depository Trust Company of New York, New York, or any successor securities depository. "DTC Participant" means brokers and dealers, banks, trust companies, clearing corporations and certain other organizations on whose behalf DTC was created to hold securities to facilitate the clearance and settlement of securities transactions among DTC Participants. "Fiscal Year" means such fiscal year as shall from time to time be set by the City Council. "Initial Certificate" means the initial certificate authorized by Section 3.04 of this Ordinance. "Interest and Sinking Fund" means the interest and sinking fund established by Section 2.02 of this Ordinance. "Interest Payment Date" means the date or dates on which interest on the Certificates is scheduled to be paid until their respective dates of maturity or prior redemption, such dates being March 1 and September 1, commencing March 1, 2019. "MSRB" means the Municipal Securities Rulemaking Board. "Net Revenues" means the gross revenues of the System- less the expenses of operation and maintenance as said expenses are defined in Chapter 1502, Texas Government Code, as amended. "Ordinance" as used herein and in the Certificates means this ordinance authorizing the Certificates. "Owner" means the person who is the registered owner of a Certificate or Certificates, as shown in the Register. "Paying Agent/Registrar" means initially, UMB Bank, N.A., Austin, Texas, or any successor thereto as provided in this Ordinance. "Paying Agent/Registrar Agreement" means the Paying Agent/Registrar Agreement between the Paying Agent/Registrar and the City relating to the Certificates. "Prior Lien Certificates" means any and all certificates or other obligations of the City presently outstanding or that may be hereafter issued, payable from and secured by a first lien on and pledge of the Net Revenues or by a lien on and pledge of the Net Revenues subordinate to a first lien and pledge of such Net Revenues but superior to the lien on and pledge of the Surplus Revenues made for the Certificates. "Project" means the purposes for which the Certificates are issued as set forth in Section 3.01(a). "Record Date" means the last business day of the month preceding such interest payment date. "Register" means the bond register specified in Section 3.06(a) of this Ordinance. "Representation Letter" means the Blanket Letter of Representations between the City and DTC. "Rule" means SEC Rule 15c2-12, as amended from time to time. "SEC" means the United States Securities and Exchange Commission. "Special Payment Date" means the Special Payment Date prescribed by Section 3.03(b) of this Ordinance. "Special Record Date" means the Special Record Date prescribed by Section 3.03(b) of this Ordinance. "Surplus Revenues" means the revenues of the System in an amount not to exceed $10,000 remaining after payment of all operation and maintenance expenses thereof, and all debt service, reserve, and other requirements in connection with the City's Prior Lien Certificates. "System" as used in this Ordinance means the City's combined waterworks and sewer system, including all present and future additions, extensions, replacements, and improvements thereto. "Unclaimed Payments" means money deposited with the Paying Agent/Registrar for the payment of principal of, redemption premium, if any, or interest on the Certificates as the same becomes due and payable or money set aside for the payment of Certificates duly called for redemption prior to maturity and remaining unclaimed by the Owners of such Certificates for 90 days after the applicable payment or redemption date. "Underwriter" means, collectively, the underwriters of the Certificates identified in Section 8.03 of this Ordinance. Section 1.02. Eindings. The declarations, determinations and findings declared, made and found in the preamble to this Ordinance are hereby adopted, restated and made a part of the operative provisions hereof. Section 1.03. Titles and Headings. The titles and headings of the Articles and Sections of this Ordinance have been inserted for convenience of reference only and are not to be considered a part hereof and shall not in any way modify or restrict any of the terms or provisions hereof and shall never be considered or given any effect in construing this Ordinance or any provision hereof or in ascertaining intent, if any question of intent should arise. Section 1.04. Interpretation. (a) Unless the context requires otherwise, words of the masculine gender shall be construed to include correlative words of the feminine and neuter genders and vice versa, and words of the singular number shall be construed to include correlative words of the plural number and vice versa. (b) This Ordinance and all the terms and provisions hereof shall be liberally construed to effectuate the purposes set forth herein. ARTICLE II. SECURITY FOR THE CERTIFICATES; INTEREST AND SINKING FUND Section 2.01. Tax Levy. (a) Pursuant to the authority granted by the Texas Constitution and the laws of the State of Texas, there shall be levied and there is hereby levied for the current year and for each succeeding year thereafter while any of the Certificates or any interest thereon is outstanding and unpaid, an ad valorem tax on each one hundred dollars valuation of taxable property within the City, at 'a rate sufficient, within the limit prescribed by law, to pay the debt service requirements of the Certificates, being (i) the interest on the Certificates, and (ii) a sinking fund for their redemption at maturity or a sinking fund of 2% per annum (whichever amount is greater), when due and payable, full allowance being made for delinquencies and costs of collection. (b) The ad valorem tax thus levied shall be assessed and collected each year against all property appearing on the tax rolls of the City most recently approved in accordance with law, and the money thus collected shall be deposited as collected to the Interest and Sinking Fund. (c) Said ad valorem tax, the collections therefrom, and all amounts on deposit in or required hereby to be deposited to the Interest and Sinking Fund are hereby pledged and committed irrevocably to the payment of the principal of and interest on the Certificates when and as due and payable in accordance with their terms and this Ordinance. (d) The City hereby covenants and agrees that the Surplus Revenues are hereby irrevocably pledged equally and ratably to the payment of the principal of and interest on the Certificates, as the same become due. The Surplus Revenues shall be deposited to the Interest and Sinking Fund at such time as the Surplus Revenues are to be applied to the payment of the Certificates. The City reserves the right to issue Prior Lien Certificates for any lawful purpose at any time, in one or more installments. (e), If the liens and provisions of this Ordinance shall be released in a manner permitted by Article XIII hereof, then the collection of such ad valorem tax may be suspended or appropriately reduced, as the facts may permit, and further deposits to the Interest and Sinking Fund may be suspended or appropriately reduced, as the facts may permit. In determining the aggregate principal amount of outstanding Certificates, there shall be subtracted the amount of any Certificates that have been duly called for redemption and for which money has been deposited with the Paying Agent/Registrar for such redemption. Section 2.02. Interest and Sinking Fund. . (a) The City hereby,` establishes special funds or accounts to be designated "City of Beaumont; Texas, Certificates of Obligation, Series 2018" Interest and Sinking Fund" (the "Interest and Sinking Fund"), said funds to be maintained at an official depository bank of the City separate and apart from all other funds and accounts of the City. (b) Money on deposit in or required by this Ordinance to be deposited to the Interest and Sinking Fund shall be used solely for the purpose of paying the interest on and principal of the Certificates when and as due and payable in accordance with their terms and this Ordinance. Section 2.03. Pledae of Revenues. The Net Revenues to be derived from the operation of the System in an amount not to exceed Ten Thousand Dollars ($10,000) are hereby pledged to the payment of the principal of and interest on the Certificates as the same come due; provided, however, that such pledge is and shall be junior and subordinate in all respects to the pledge of the Net Revenues to the payment of all outstanding obligations of the City and any obligation of the City, whether authorized heretofore or hereafter, which the City designates as having a pledge senior to the pledge of the Net Revenues to the payment of the Certificates. The City also reserves the right to issue, for any lawful purpose at any time, in one or more installments, bonds, certificates of obligation and other obligations of any kind payable in whole or in part from the Net Revenues, secured by a pledge of the Net Revenues that may be prior and superior in right to, on a parity with, or junior and subordinate to the pledge of Net Revenues securing the Certificates. ARTICLE III. AUTHORIZATION; GENERAL TERMS AND PROVISIONS REGARDING THE CERTIFICATES Section 3.01. Authorization. (a) The City's certificates of obligation to be designated "City of Beaumont, Texas, Certificates of Obligation, Series 2018," are hereby authorized to be issued and delivered in accordance with the Constitution and laws of the State of Texas, specifically §271.041-063, Local Government Code, V.T.C.A, as amended, and issued in the principal amount of $10,000,000 for the purpose of paying contractual obligations to be incurred for the following purposes, to wit: (1) construct public works, more specifically, the construction of roads within the City, and any items related thereto; and (2) payment of contractual obligations for professional services incurred in connection with item (1). In addition, proceeds, which includes all of the premium generated, will be used to pay the costs incurred in connection with the issuance of the Certificates. Section 3.02. Date, Denomination, Maturities. and Interest. (a) The Certificates shall be dated as of July 1, 2018 (the "Dated Date"). The Certificates shall be in fully registered form, without coupons, in the denomination of $5,000 or any integral multiple thereof and shall be numbered separately from one upward, except the Initial Certificate, which shall each be numbered T-1. (b) The Certificates shall mature on March 1, in the years and in the principal amounts and shall bear interest at the per annum rates set forth in the following schedule: Principal Interest Year Installments Rate 2019 $430,000 2.00% 2020 465,000 3.00 2021 475,000 4.00 2022 500,000 4.00 2023 520,000 5.00 2024 550,000 5.00 2025 575,000 5.00 2026 605,000 5.00 2027 635,000 5.00 2028 670,000 5.00 2029 705,000 5.00 2030 735,000 4.00 2031 765,000 4.00 2032 800,000 4.00 2033 830,000 4.00 (c) Interest shall accrue and be paid on each Certificate respectively until its maturity or prior redemption from the later of the Delivery Date or the most recent Interest Payment Date to which interest has been paid or provided for at the rates per annum for each respective maturity specified in the schedule contained in subsection (b) above. Such interest shall be payable semiannually on each Interest Payment Date until maturity or prior redemption. Interest on the Certificates shall be computed on the basis of a 360-day year consisting of twelve 30-day months. Section 3.03. Medium, Method, and Place of Payment. (a) The principal of and interest on the Certificates shall be paid in lawful money of the United States of America. (b) Interest on the Certificates shall be payable to the Owners as shown in the Register at the close of business on the Record Date; provided, however, that in the event of nonpayment of interest on a scheduled Interest Payment Date, and for 30 days thereafter, a new record date for such interest payment (a "Special Record Date") will be established by the Paying Agent/Registrar-if and when funds for the payment of such interest have been received from the City. Notice of the Special Record Date and of the scheduled payment date of the past due interest (the "Special Payment Date," which shall be at least 15 days after the Special Record Date) shall- be -sent at least five Business Days prior to the Special Record Date by United States mail, first class, postage prepaid, to the address of each Owner of a Certificate appearing in the Register at the close of business on the last Business Day next preceding the date of mailing of such notice. (c) Interest shall be paid by check, dated as of and mailed on the Interest Payment Date, and sent United States mail, first class, postage prepaid, by the Paying Agent/Registrar to each Owner, at the address thereof as it appears in the Register, or by such other customary banking arrangement acceptable to the Paying Agent/Registrar and the Owner; provided, however, that the Owner shall bear all risk and expense of such alternative banking arrangement. At the option of an Owner of at least $1,000,000 principal amount of Certificates, interest may be paid by wire transfer to the bank account of such Owner on file with the Paying Agent/Registrar. (d) The principal of each Certificate shall be paid to the Owner thereof on the due date, whether at the maturity date or the date of prior redemption thereof, upon presentation and surrender of such Certificate at the Designated Payment/Transfer Office. (e) If the date for the payment of the principal of or interest on the Certificates is not a Business Day, then the date for such payment shall be the next succeeding Business Day, and payment on such date shall have the same force and effect as if made on the original date payment was due and no additional interest shall be due by reason of nonpayment on the date on which such payment is otherwise stated to be due and payable. (0 Unclaimed Payments of amounts due hereunder shall be segregated in a special escrow account and held in trust, uninvested by the Paying Agent/Registrar, for the account of the Owner of the Certificates to which such Unclaimed Payments pertain. Subject to Title 6 of the Texas Property Code, any Unclaimed Payments remaining unclaimed by the Owners entitled thereto for three years after the applicable payment or redemption date shall be applied to the next payment or payments on the Certificates thereafter coming due and, to the extent any such money remains three years after the retirement of all outstanding Certificates, such money shall be paid to the City to be used for any lawful purpose. Thereafter, neither the City, the Paying Agent/Registrar, nor any other person shall be liable or responsible to any Owners of such Certificates for any further payment of such unclaimed moneys or on account of any such Certificates, subject to Title 6 of the Texas Property Code. Section 3.04. Execution and Registration of Certificates. (a) The Certificates shall be executed on behalf of the City by the Mayor and the City Clerk, by their manual or facsimile signatures, and the official seal of the City shall be impressed or placed in facsimile thereon. Such facsimile signatures on the Certificates shall have the same effect as if each of the Certificates had been signed manually and in person by each of said officers, and such facsimile seal on the Certificates shall have the same effect as if the official seal of the City had been manually impressed upon each of the Certificates. (b) In the event that any officer of the City whose manual or facsimile signature appears on the Certificates ceases to be such officer before the authentication of such Certificates or before the delivery thereof, such manual or facsimile signature nevertheless shall be valid and sufficient for all purposes as if such officer had remained in such office. ' (c) Except as provided below, no Certificate shall be valid or obligatory for any purpose or be entitled to any security or benefit of this Ordinance unless and until there appears thereon the Certificate of Paying Agent/Registrar substantially in. the form provided herein, duly authenticated by manual execution by an officer or duly authorized signatory of the Paying Agent/Registrar. It shall not be required that the same officer or authorized signatory of the Paying Agent/Registrar sign the Certificate of Paying Agent/Registrar on all of the Certificates. In lieu of the executed Certificate of Paying Agent/Registrar described above, the Initial Certificate delivered at the Closing Date shall have attached thereto the Comptroller's Registration Certificate substantially in the form provided in the Form of Certificates, manually executed by the Comptroller of Public Accounts of the State of Texas (the "Comptroller"), or by his duly authorized agent, which certificate is evidence that such Initial Certificate has been duly approved by the Attorney General of the State of Texas (the "Attorney General") and that it is a valid and binding obligation of the City, and has been registered by the Comptroller. (d) On the Closing Date, one Initial Certificate representing the entire principal amount of all Certificates, payable in stated installments to the Initial Purchaser, or its designee, executed by the manual or facsimile signatures of the Mayor and City Clerk of the City, approved by the Attorney General, and registered and manually signed by the Comptroller, will be delivered to the Initial Purchaser or its designee. Upon payment for the Initial Certificate, the Paying Agent/Registrar shall cancel the Initial Certificate and deliver to DTC on behalf of the Initial Purchaser one registered definitive Certificate for each year of maturity of the Certificates in the aggregate principal amount of all Certificates for such maturity, registered in the name of Cede & Co., as nominee of DTC. Section 3.05. Ownership. (a) The City, the Paying Agent/Registrar and any other person may treat the person in whose name any Certificate is registered as the absolute owner of such Certificate for the purpose of making and receiving payment of the principal thereof, for the further purpose of making and receiving payment of the interest thereon, and for all other purposes (except interest will be paid to the person in whose name such certificate is registered on the Record Date or Special Record Date, as applicable), whether or not such Certificate is overdue, and neither the City nor the Paying Agent/Registrar shall be bound by any notice or knowledge to the contrary. (b) All payments made to the Owner of a Certificate shall be valid and effectual and shall discharge the liability of the City and the Paying Agent/Registrar upon such Certificate to the extent of the sums paid. Section 3.06. Registration, Transfer and Exchange. (a) So long as any Certificates remain outstanding, the City shall cause the Paying Agent/Registrar to keep at the Designated Payment/Transfer Office a register (the "Register") in which, subject to such reasonable regulations as it may prescribe, the Paying Agent/Registrar shall provide for the registration and transfer of Certificates in accordance with this Ordinance. (b) The ownership of a Certificate may be transferred only upon the presentation and surrender of the Certificate at the Designated Payment/Transfer Office with such endorsement or other evidence of transfer as is acceptable to the Paying Agent/Registrar. No transfer of any Certificate shall be effective until entered in the Register. (c) The Certificates shall be exchangeable upon the presentation and surrender thereof at the Designated Payment/Transfer Office for a Certificate or Certificates of the same maturity and interest rate and in any denomination or denominations of any integral multiple of $5,000 and in an aggregate principal amount equal to the unpaid principal amount of the Certificates presented for exchange. The Paying Agent/Registrar is hereby authorized to authenticate and deliver Certificates exchanged for other Certificates in accordance with this Section. (d) Each exchange Certificate delivered by the Paying Agent/Registrar in accordance with this Section shall constitute an original contractual obligation of the City and shall be entitled to the benefits and security of this Ordinance to the same extent as the Certificate or Certificates in lieu of which such exchange Certificate is delivered. (e) No service charge shall be made to the Owner for the initial registration, subsequent transfer, or exchange for a different denomination of any of the Certificates. The Paying Agent/Registrar, however, may require the Owner to pay a sum sufficient to cover any tax or other governmental charge that is authorized to be imposed in connection with the registration, transfer, or exchange of a Certificate. (f) Neither the City nor the Paying Agent/Registrar shall be required to issue, transfer, or exchange any Certificate called for redemption, in whole or in part, within 45 calendar days prior to the date fixed for redemption; provided, however, such limitation shall not be applicable to an exchange by the Owner of the uncalled principal balance of a Certificate. Section 3.07. Cancellation. All ,Certificates paid or redeemed before scheduled maturity in accordance with this Ordinance, and all Certificates in lieu of which exchange Certificates or replacement Certificates are authenticated and delivered in accordance with this Ordinance, shall be cancelled and proper records shall be made regarding such payment, redemption, exchange or replacement. The Paying Agent/Registrar shall dispose of cancelled Certificates in accordance with the Securities Exchange Act of 1934. Section 3.08. Replacement Certificates. (a) Upon the presentation and surrender to the Paying Agent/Registrar of a mutilated Certificate, the Paying Agent/Registrar shall authenticate and deliver in exchange therefor a replacement Certificate of like tenor and principal amount, bearing a number not contemporaneously outstanding. The City or the Paying Agent/Registrar may require the Owner of such Certificate to pay a sum sufficient to cover any tax or other governmental charge that is authorized to be imposed in connection therewith and any other expenses connected therewith. (b) In the event that any Certificate is lost, apparently destroyed or wrongfully taken, the Paying Agent/Registrar, pursuant to the applicable laws of the State of Texas and in the absence of notice or knowledge that such Certificate has been acquired by a bona fide purchaser, shall authenticate and deliver a replacement Certificate of like tenor and principal amount, bearing a number not contemporaneously outstanding, provided that the Owner first: (i) furnishes to the Paying Agent/Registrar satisfactory evidence of his or her ownership of and the circumstances of the loss, destruction or theft of such Certificate; (ii) furnishes such security or indemnity as may be required by the Paying Agent/Registrar to save it and the City harmless; (iii) pays all expenses and charges in connection therewith, including, but not limited to, printing costs, legal fees, fees of the Paying Agent/Registrar and any tax or other governmental charge that is authorized to be imposed; and (iv) satisfies any other reasonable requirements imposed by the City and the Paying Agent/Registrar. (c) If, after the delivery of such replacement Certificate, a bona fide purchaser of the original Certificate in lieu of which such replacement Certificate was issued presents for payment such original Certificate, the City and the Paying Agent/Registrar shall be entitled to recover such replacement Certificate from the person to whom it was delivered or any person taking therefrom, except a bona fide purchaser, and shall be entitled to recover upon the security or indemnity provided therefor to the extent of any loss, damage, cost or expense incurred by the City or the Paying Agent/Registrar in connection therewith. (d) In the event that any such mutilated, lost, apparently destroyed or wrongfully taken Certificate has become or is about to become due and payable, the Paying Agent/Registrar, in its discretion, instead of issuing a replacement Certificate, may pay such Certificate if it has become due and payable or may pay such Certificate when it becomes due and payable. (e) Each replacement Certificate delivered in accordance with this Section shall constitute an original additional contractual obligation of the City and shall be entitled to the benefits and security of this Ordinance to the same extent as the Certificate or Certificates in lieu of which such replacement Certificate is delivered. Section 3.09. Book -Entry Only System. (a) The definitive Certificates shall be initially issued in the form of a separate single fully registered Certificate, for each maturity. Upon initial issuance, the ownership of each such Certificate shall be registered in the name of Cede & Co., as nominee of DTC, and except as provided in Section 3.10 hereof, all of the outstanding Certificates shall be registered in the name of Cede & Co., as nominee of DTC. (b) With respect to Certificates registered in . the name of Cede & Co., as nominee of DTC, the City and the Paying Agent/Registrar shall have no responsibility or obligation to any DTC Participant or to any person on behalf of whom such a DTC Participant holds an interest in the Certificates, except as provided in this Ordinance. Without limiting the immediately preceding sentence, the City and the Paying Agent/Registrar shall have no responsibility or obligation with respect to (i) the accuracy of the records of DTC, Cede & Co. or any DTC Participant with respect to any ownership interest in the Certificates, (ii) the delivery to any DTC Participant or any other person, other than an Owner, as shown on the Register, of any notice with respect to the Certificates, including any notice of redemption, or (iii) the payment to any DTC Participant or any other person, other than an Owner, as shown in the Register of any amount with respect to principal of, premium, if any, or interest on the Certificates. Notwithstanding any other provision of this Ordinance to the contrary, the City and the Paying Agent/Registrar shall be entitled to treat and consider the person in whose name each Certificate is registered in the Register as the absolute Owner of such Certificate for the purpose of payment of principal of, premium, if any, and interest on the Certificates, for the purpose of giving notices of redemption and other matters with respect to such Certificate, for the purpose of registering transfer with respect to such Certificate, and for all other purposes whatsoever. The Paying Agent/Registrar shall pay all principal of, premium, if any, and interest on the Certificates only to or upon the order of the respective Owners, as shown in the Register as provided in this Ordinance, or their respective attorneys duly authorized in writing, and all such payments shall be valid and effective to fully satisfy and discharge the City's obligations with respect to payment of principal of, premium, if any, and interest on the Certificates to the extent of the sum or sums so paid. No person other than an Owner, as shown in the Register, shall receive a certificate evidencing the obligation of the City to make payments of amounts due pursuant to this Ordinance. Upon delivery by DTC to the Paying Agent/Registrar of written notice to the effect that DTC has determined to substitute a new nominee in place of Cede & Co., and subject to the provisions in this Ordinance with respect to interest checks or drafts being mailed to the registered Owner at the close of business on the Record Date, the word "Cede & Co." in this Ordinance shall refer to such new nominee of DTC. (c) The Representation Letter previously executed and delivered by the City, and applicable to the City's obligations delivered in book entry only form to DTC as securities depository, is hereby ratified and approved for the Certificates. Section 3.10. Successor Securities Depository; Transfer Outside Book - Entry -Only System. In the event that the City determines that it is in the best interest of the City and the beneficial owners of the Certificates that they be able to obtain certificated Certificates, or in the event DTC discontinues the services described herein, the City shall (i) appoint a successor securities depository, qualified to act as such under Section 17(a) of the Securities and Exchange Act of 1934, as amended, notify DTC and DTC Participants of the appointment of such successor securities depository and transfer one or more separate Certificates to such successor securities depository; or (ii) notify DTC and DTC Participants of the availability through DTC of certificated Certificates and cause the Paying Agent/Registrar to transfer one or more separate registered Certificates to DTC Participants having Certificates credited to their DTC accounts. In such event, the Certificates shall no longer be restricted to being registered in the Register in the name of Cede & Co., -as nominee of DTC, but may be registered in the name of the successor securities depository, or its nominee, or in whatever name or names Owners transferring or exchanging Certificates shall designate, in accordance with the provisions of this Ordinance. Section 3.11. Payments to Cede & Co. Notwithstanding any other provision of this Ordinance to the contrary, so long as the Certificates are registered in the name of Cede & Co., as nominee of DTC, all payments with respect to principal of, premium, if any, and interest on such Certificates; and all notices with respect to such Certificates shall be made and given, respectively, in the manner provided in the Representation Letter of the City to DTC. Section 3.12. Successor Securities Depository; Transfer Outside Book -Entry Only System. In the event that the City or the Paying Agent/Registrar determines that DTC is incapable of discharging its responsibilities described herein and in the representation letter of the City to DTC, and that it is in the best interest of the beneficial owners of the Certificates that they be able to obtain certificated Certificates, or in the event DTC discontinues the services described herein, the City or the Paying Agent/Registrar shall (i) appoint a successor securities depository, qualified to act as such under Section 17(a) of the Securities and Exchange Act of 1934, as amended, notify DTC and DTC Participants of the appointment of such successor securities depository and transfer one or more separate Certificates to such successor securities depository or (ii) notify DTC and DTC Participants of the availability through DTC of Certificates and transfer one or more separate Certificates to DTC Participants having Certificates credited to their DTC accounts. In such event, the Certificates shall no longer be restricted to being registered in the Register in the name of Cede & Co., as nominee of DTC, but may be registered in the name of the successor,, securities depository, or its nominee, or in whatever name or names Owners transferring or exchanging Certificates shall designate, in accordance with the provisions of this Ordinance. Section 3.13. Payments to Cede & Co. Notwithstanding any other provision of this Ordinance to the contrary, so long as any Certificates are registered in the name of Cede & Co., as nominee of DTC, all payments with respect to principal of, premium, if any, and interest on such Certificates, and all notices with respect to such Certificates, shall be made and given, respectively, in the manner provided in the representation letter of the City to DTC. ARTICLE IV. REDEMPTION OF CERTIFICATES BEFORE MATURITY Section 4.01. Redemption Before Maturity. The Certificates shall be subject to redemption before their scheduled maturity only as provided in this Article IV. Section 4.02. Optional Redemption. (a) The Certificates maturing on or after March 1, 2029 are subject to redemption at the option of the City on March 1, 2028 or on any date thereafter, in whole or in part, at a redemption price of par plus accrued interest to the date of redemption. (b) The City, at least 45 days before the redemption date, unless a shorter period shall be satisfactory to the Paying Agent/Registrar, shall notify the Paying Agent/Registrar of such redemption date and of the principal amount of Certificates to be redeemed. Section 4.03. Partial Redemption. (a) If less than all of the Certificates are to be redeemed pursuant to Section 4.02, the City shall determine the maturity or maturities and the amounts thereof to be redeemed and shall direct the Paying Agent/Registrar to call by lot the Certificates, or portions thereof, within such maturity or maturities and in such principal amounts for redemption at the close of business on the Business Day next preceding the date of mailing such notice. (b) A portion of a single Certificate of a denomination greater than $5,000 may be redeemed, but only in a principal amount equal to $5,000 or any integral multiple thereof. If such a Certificate is to be partially redeemed, the Paying Agent/Registrar shall treat each $5,000 portion of a Certificate as though it were a single certificate for. purposes of selection for redemption. (c) Upon surrender of any Certificate for redemption in part, the Paying Agent/Registrar, in accordance with Section 3.06 of this Ordinance, shall authenticate and deliver an exchange Certificate or Certificates in an aggregate principal amount equal to the unredeemed portion of the Certificate so surrendered, such exchange being without charge, notwithstanding any provision of Section 3.06 to the contrary. Section 4.04. Notice of Redemption to Owners. (a) The Paying Agent/Registrar shall give notice of any redemption of Certificates by sending notice by United States mail, first class, postage prepaid, not less than 30 days before the date fixed for redemption, to the Owner of each Certificate (or part thereof) to be redeemed, at the address shown in the Register at the close of business on the Business Day next preceding the date of mailing such notice. (b) The notice shall state the redemption date, the redemption price, the place at which the Certificates are to be surrendered for payment, and, if less than all the Certificates outstanding are to be redeemed, an identification of the Certificates or portions thereof to be redeemed. (c) The City reserves the right to give notice of its election or direction to redeem Certificates under Section 4.02 conditioned upon the occurrence of subsequent events. Such notice may state (i) that the redemption is conditioned upon the deposit of moneys and/or authorized securities, in an amount equal to the amount necessary to effect the redemption, with the Paying Agent/Registrar, or such other entity as may be authorized by law, no later than the redemption date or (ii) that the City retains the right to rescind such notice at any time on or prior to the scheduled redemption date if the City delivers a certificate of the City to the Paying Agent/Registrar instructing the Paying Agent/Registrar to rescind the redemption notice, and such notice and redemption shall be of no effect if such moneys and/or authorized securities are not so deposited or if the notice is rescinded. The Paying Agent/Registrar shall give prompt notice of any such rescission of a conditional notice of redemption to the affected Owners. Any Certificates subject to conditional redemption where redemption has been rescinded shall remain Outstanding, and the rescission of such redemption shall not constitute an Event of default. Further, in the case of a conditional redemption, the failure of the City to make moneys and/or authorized securities available in part or in whole on or before the redemption date shall not constitute an Event of default. (d) Any notice given as provided in this Section shall be conclusively presumed to have been duly given, whether or not the Owner receives such notice. Section 4.05. Payment Upon Redemption. (a) Before or on each redemption date, the City shall deposit with the Paying Agent/Registrar money sufficient to pay all amounts due on the redemption date and the Paying Agent/Registrar shall make provision for the payment of the Certificates to be redeemed on such date by setting aside and holding in trust an amount from the Interest and Sinking Fund or otherwise received by the Paying Agent/Registrar from the City and shall use such funds solely for the purpose of paying the principal of, and accrued interest on the Certificates being redeemed. (b) Upon presentation and surrender of any Certificate called for redemption at the Designated Payment/Transfer Office on or after the date fixed for redemption, the Paying Agent/Registrar shall pay the principal of, redemption premium, if any, and accrued interest on such Certificate to the date of redemption from the money set aside for such purpose. Section 4.06. Effect of Redemption. (a) Notice of redemption having been given as provided in Section 4.05 of this Ordinance and, subject, in the case of an optional redemption under Section 4.02, to any conditions or rights reserved by the City under Section 4.05(c), the Certificates or portions thereof called for redemption shall become due and payable on the date fixed for redemption and, unless the City fails to make provision for the payment of the principal thereof, or accrued interest thereon, such Certificates or portions thereof shall cease to bear interest from and after the date fixed for redemption, whether or not such Certificates are presented and surrendered for payment on such date. (b) If the City shall fail to make provision for payment of all sums due on a redemption date, then any Certificate or portion thereof called for redemption shall continue to bear interest at the rate stated on the Certificate until due provision is made for the payment of same. ARTICLE V. PAYING AGENT/REGISTRAR Section 5.01. Appointment of Initial Paying Agent/Registrar. UMB Bank, N.A. is hereby appointed as the initial Paying Agent/Registrar for the Certificates. The Paying Agent/Registrar Agreement submitted to this City Council, the form of which is attached hereto as Exhibit A, is hereby approved. The Mayor is hereby authorized to amend, complete or modify such agreement as necessary and is further authorized to execute such agreement and the City Clerk is hereby authorized to attest such agreement. Section 5.02. Qualifications. Each Paying Agent/Registrar shall be a commercial bank, a trust. company organized under the laws of the State of Texas, or any other entity duly qualified and legally authorized to serve as and perform the duties and services of paying agent and registrar for the Certificates. Section 5.03. Maintaining Payinq Agent/Registrar. (a) At all times while any of the Certificates are outstanding, the City will maintain a Paying Agent/Registrar that is qualified under Section 5.02 of this. Ordinance. The Mayor is hereby authorized and directed to execute an agreement with the Paying Agent/Registrar specifying the duties and responsibilities of the City and the Paying Agent/Registrar. The signature of the Mayor shall be attested by the City Clerk of the City. (b) If the Paying Agent/Registrar resigns, or otherwise ceases to serve as such, the City will promptly appoint a replacement, provided, that no such resignation shall be effective until a successor Paying Agent/Registrar has been appointed and has accepted the duties of Paying Agent/Registrar for the Certificates. Section 5.04. Termination. The City, upon not less than sixty (60) days notice, reserves the right to terminate the appointment of any Paying Agent/Registrar by delivering to the entity whose appointment is to be terminated written notice of such termination, provided, that no such termination shall be effective until a successor Paying Agent/Registrar has been appointed and has accepted the duties of Paying Agent/Registrar for the Certificates. Section 5.05. Notice of Change to Owners. Promptly upon each change in the entity serving as Paying Agent/Registrar, the City will cause notice of the change to be sent to each Owner by United States mail, first class, postage prepaid, at the address thereof in the Register, stating the effective date of the change and the name and mailing address of the replacement Paying Agent/Registrar. Section 5.06. Aareement to Perform Duties and Functions. By accepting the appointment as Paying Agent/Registrar and executing the Paying Agent/Registrar Agreement, the Paying Agent/Registrar is deemed to have agreed to the provisions of this Ordinance and that it will perform the duties and functions of Paying Agent/Registrar prescribed thereby. Section 5.07. Delivery of Records to Successor. If a Paying Agent/Registrar is replaced, such Paying Agent/Registrar, promptly upon the appointment of the successor, will deliver the Register (or a copy thereof) and all other pertinent books and records relating to the Certificates to the successor Paying Agent/Registrar. ARTICLE Vl. FORM OF THE CERTIFICATES Section 6.01. Form Generally. (a) The Certificates, including the Registration Certificate of the Comptroller of Public Accounts of the State of Texas, the Certificate of the Paying Agent/Registrar, and the Assignment form to appear on each of the Certificates, (i) shall be substantially in the form set forth in this Article, with such appropriate insertions, omissions, substitutions, and other variations as are permitted or required by this Ordinance, and (ii) may have such letters, numbers, or other marks of identification (including identifying numbers and letters of the Committee on Uniform Securities Identification Procedures of the American Bankers Association) and such legends and endorsements (including any reproduction of an opinion of counsel) thereon as, consistently herewith, may be determined by the City or by the officers executing such Certificates, as evidenced by their execution thereof. (b) Any portion of the text of any Certificates may be set forth on the reverse side thereof, with an appropriate reference thereto on the face of the Certificates. (c) The definitive Certificates, if any, shall be typewritten, photocopied, printed, lithographed, or engraved, and may be produced by any combination of these methods or produced in any other similar manner, all as determined by the officers executing such Certificates, as evidenced by their execution thereof. (d) The Initial Certificate submitted to the Attorney General of the State of Texas may be typewritten and photocopied or otherwise reproduced. Section 6.02. Form of the Certificates. The form of the Certificates, including the form of the Registration Certificate of the Comptroller of Public Accounts of the State of Texas, the form of Certificate of the Paying Agent/Registrar and the form of Assignment appearing on the Certificates, shall be substantially as follows: (a) Form of Certificates. REGISTERED REGISTERED No. $ INTEREST RATE United States of America State of Texas CITY OF BEAUMONT, TEXAS CERTIFICATES OF OBLIGATION SERIES 2018 MATURITY DATE March 1, CERTIFICATE DATE: July 1, 2018 CUSIP NUMBER: The City of Beaumont, Texas (the "City"), in Jefferson County, State of Texas, for value received, hereby promises to pay to or registered assigns, on the Maturity Date specified above, the sum of TEN MILLION DOLLARS unless this Certificate shall have been sooner called for redemption and the payment of the principal hereof shall have been paid or provided for, and to pay interest on such principal amount from the later of Certificate Date or the most recent interest payment date to which interest has been paid or provided for until payment of such principal amount has been paid or provided for, at the per annum rate of interest specified above, computed on the basis of a 360 -day year of twelve 30 -day months, such interest to be paid semiannually on March 1 and September 1 of each year, commencing March 1, 2019. The principal of this Certificate shall be payable without exchange or collection charges in lawful money of the United States of America upon presentation and surrender of this Certificate at the corporate trust office in Austin, Texas (the "Designated Payment/Transfer Office"), of UMB Bank, N.A., as Paying Agent/Registrar, or, with respect to a successor paying agent/registrar, at the Designated Payment/Transfer Office of such successor. Interest on this Certificate is payable by check dated as of the interest payment date, and will, be mailed on or before such interest payment date, by United States mail, first class, postage prepaid, by the Paying Agent/Registrar to the registered owner at the address shown on the registration books kept by the Paying Agent/Registrar, or by such other customary banking arrangements acceptable to the Paying Agent/Registrar and the person to whom interest is to be paid; Provided, however, that such person shall bear all risk and expense of such other customary banking arrangements. For the purpose of the payment of interest on this Certificate, the registered owner shall be the person in whose name this Certificate is registered at the close of business on the "Record Date," which shall be the last business day of the month preceding such interest payment date; provided, however, that in the event of nonpayment of interest on a scheduled interest payment date, and for thirty (30) days thereafter, a new record date for such interest payment (a "Special Record Date") will be established by the Paying Agent/Registrar, if and when funds for the payment of such interest have been received from the City. Notice of the Special Record Date and of the scheduled payment date of the past due interest (the "Special Payment Date," which date shall be fifteen (15) days after the Special Record Date) shall be sent at least five (5) Business Days (as hereinafter defined) prior to the Special Record Date by United States mail, first class, postage prepaid, to the address of each registered owner of a Certificate appearing on the books of the Paying Agent/Registrar at the close of business on the last Business Day next preceding the date of mailing of such notice. If the date for the payment of the principal of or interest on this Certificate is not a Business Day, the date for such payment shall be the next succeeding day which is not a Saturday, Sunday or legal holiday, or day on which banking institutions in the State of Texas or the city in which the Designated Payment/Transfer Office of the Paying Agent/Registrar is located are generally authorized or obligated by law or executive order to close (a "Business Day"), and payment on such date shall for all purposes be deemed to have been made on the original date payment was due. This Certificate is one of a series of fully registered Certificates specified in the title hereof issued in the aggregate principal amount of $10,000,000 (herein referred to as the "Certificates"), issued pursuant to a certain ordinance of the City (the "Ordinance") for the purpose of providing funds for certain projects approved by the City and to pay the costs of issuing the Certificates. The Certificates maturing on and after March 1, 2029 are subject to redemption at the option of the City on March 1, 2028 or on any date thereafter at a price of par plus interest accrued to the date of redemption. If less than all of the Certificates are to be redeemed pursuant to an optional redemption, the City shall determine the maturity or maturities and the amounts thereof to be redeemed and shall direct the Paying Agent/Registrar to call by lot the Certificates, or portions thereof, within such maturity or maturities and in such principal amounts, for redemption. The Paying Agent/Registrar will select by lot the specific Certificates (or with respect to Certificates having a denomination in excess of $5,000, each $5,000 portion thereof) to be redeemed by mandatory redemption. The principal amount of Certificates required to be redeemed on any redemption date pursuant to the foregoing mandatory redemption provisions shall be reduced, at the option of the City, by the principal ` amount of any Certificates having the same maturity which have been purchased or redeemed by the City as follows, at least 45 days prior to the mandatory redemption date: (i) if the City directs the Paying Agent/Registrar to purchase Certificates with money in the Debt Service Fund for the Certificates (at a price not greater than par plus accrued interest to the date of purchase), then a credit of 100% of the principal amount of such Certificates purchased will be made against the next mandatory redemption installment due, or (ii) if the City purchases or redeems Certificates with other available moneys, then the principal amount of such Certificates will be credited against future mandatory redemption installments in any order, and int any annual amount, that the City may direct. Notice of such redemption or redemptions shall be given by United States mail, first class, postage prepaid, not less than 30 days before the date fixed for redemption, to the registered owner of each of the Certificates to be redeemed in whole or in part. In the Ordinance, the City reserves the right in the case of an optional redemption to give notice of its election or direction to redeem Certificates conditioned upon the occurrence of subsequent events. Such notice may state (i) that the redemption is conditioned upon the deposit of moneys and/or authorized securities, in an amount equal to the amount. necessary to effect the redemption, with the Paying Agent/Registrar, or such other entity as may be authorized by law, no later than the redemption date or (ii) that the City retains the right to rescind such notice at any time prior to the scheduled redemption date if the City delivers a certificate of the City to the Paying Agent/Registrar instructing the Paying Agent/Registrar to rescind the redemption notice, and such notice and redemption shall be of no effect if such moneys and/or authorized securities are not so deposited or if the notice is rescinded. The Paying Agent/Registrar shall give prompt notice of any such rescission of a conditional notice of redemption to the affected Owners. Any Certificates subject to conditional redemption where redemption has been rescinded shall remain Outstanding, and the rescission of such redemption shall not constitute an event of default. Further, in the case of a conditional redemption, the failure of the City to make moneys and/or authorized securities available in part or in whole on or before the redemption date shall not constitute an event of default. Any notice so mailed shall be conclusively presumed to have been duly given, whether or not the registered owner receives such notice. Notice having been so given and subject, in the case of an optional redemption, to any rights or conditions reserved by the City in the notice, the Certificates called for redemption shall become due and payable on the specified redemption date, and notwithstanding that any Certificate or portion thereof has not been surrendered for payment, interest on such Certificate or portion thereof shall cease to accrue. As provided in the Ordinance, and subject to certain limitations therein set forth, this Certificate is transferable upon surrender of this Certificate for transfer at the Designated Payment/Transfer Office of the Paying Agent/Registrar with such endorsement or other evidence of transfer as is acceptable to the Paying Agent/Registrar; thereupon, one or more new fully registered Certificates of the same stated maturity, of authorized denominations, bearing the same rate of interest, and for the same aggregate principal amount will be issued to the designated transferee or transferees. Neither the City nor the Paying Agent/Registrar shall be required to issue, transfer or exchange any Certificate called for redemption, in whole or in part, within 45 calendar days prior to the date fixed for redemption; provided, however, such limitation shall not be applicable to an exchange by the owner of the uncalled principal balance of a Certificate. The City, the Paying Agent/Registrar, and any other person may treat the person in whose name this Certificate is registered as the owner hereof for the purpose of receiving payment as herein provided (except interest shall be paid to the person in whose name this Certificate is registered on the Record Date or Special Record Date, as applicable) and for all other purposes, whether or not this Certificate be overdue, and neither the City nor the Paying Agent/Registrar shall be affected by notice to the contrary. IT IS HEREBY CERTIFIED AND RECITED that the issuance of this Certificate and the series of which it is a part is duly authorized by law; that all acts, conditions, and things required to be done precedent to and in the issuance of the Certificates have been properly done and performed and have happened in regular and due time, form, and manner as required by law; and that ad valorem taxes upon all taxable property in the City have been levied for and pledged to the payment of the debt service requirements of the Certificates within the limit prescribed by law; that, in addition to said taxes, further provisions have been made for the payment of the debt service requirements of the Certificates by pledging to such purpose Surplus Revenues, as defined in the Ordinance, derived by the City from the operation of its combined waterworks and sewer system in an amount limited to $10,000;, that when so collected, such taxes and Surplus Revenues shall be appropriated to such purposes; and that the total indebtedness of the City, including the Certificates, does not exceed any constitutional or statutory limitation. IN WITNESS WHEREOF, the City has caused this Certificate to be executed by the manual or facsimile signature of the Mayor of the City and countersigned by the manual or facsimile signature of the City Clerk of the City, and the official seal of the City has been duly impressed or placed in facsimile on this Certificate. City Clerk, City of Beaumont, Texas [SEAL] Mayor, City of Beaumont, Texas (b) Form of Comptroller's Registration Certificate. The following Comptroller's Registration Certificate may be deleted from the definitive Certificates if such certificate on the Initial Certificate is fully executed. OFFICE OF THE COMPTROLLER § OF PUBLIC ACCOUNTS § REGISTER NO. OF THE STATE OF TEXAS § I hereby certify that there is on file and of record in my office a certificate of the Attorney General of the State of Texas to the effect that this Certificate has been examined by him as required by law, that he finds that it has been issued in conformity with the Constitution and laws of the State of Texas, and that it is a valid and binding obligation of the City of Beaumont, Texas, and that this Certificate has this day been registered by me. Witness my hand and seal of office at Austin, Texas, Comptroller of Public Accounts of the State of Texas [SEAL] (c) Form of Certificate of Paying Agent/Registrar. The following Certificate of Paying Agent/Registrar may be deleted from the Initial Certificate if the executed Comptroller's Registration Certificate appears thereon. CERTIFICATE OF PAYING AGENT/REGISTRAR The records of the Paying Agent/Registrar show that the Initial Certificate of this series of Certificates was approved by the Attorney General of the State of Texas and registered by the Comptroller of Public Accounts of the State of Texas, and that this is one of the Certificates referred to in the within -mentioned Ordinance. Dated: (d) Form of Assignment. UMB BANK, N.A., as Paying Agent/Registrar mm Authorized Signatory ASSIGNMENT FOR VALUE RECEIVED, the undersigned hereby sells, assigns, and transfers unto (print or typewrite name, address and Zip Code of transferee): ,l (Social Security or other identifying number: ) the within Certificate and all rights hereunder ander hereby, irrevocably constitutes and appoints attorney to transfer the within Certificate on the books kept for registration hereof, with full power of substitution in the premises. Dated: NOTICE: The signature on this Assignment must correspond with the name of the registered owner as it appears on the face of the within Certificate in every particular and must be guaranteed in a manner acceptable to the Paying Agent/Registrar. Signature Guaranteed: Authorized Signatory (e) The Initial Certificate shall be in the form set forth in paragraphs (a), (b) and (d) of this Section, except for the following alterations: (i) immediately under the name of the Certificate, the headings "INTEREST RATE" and "MATURITY DATE" shall both be completed with the words "As shown below" and the words "CUSIP NUMBER" deleted; and (ii) in the first paragraph of the Certificate, the words "on the Maturity Date specified above," shall be deleted and the following will be inserted: "on March .1 in each of the years, in the principal installments and bearing interest at the per annum rates in accordance with the following schedule: Principal Interest Years Installments Rate (Information to be inserted from schedule in Section 3.02 of this Ordinance) Section 6.03. CUSIP Registration. The City may secure identification numbers through the CUSIP Service Bureau Division of Standard & Poor's Corporation, New York, New York, and may authorize the printing of such numbers on the face of the Certificates. It is expressly provided, however, that the presence or absence of CUSIP numbers on the Certificates shall be of no significance or effect as regards the legality thereof and neither the City nor the attorneys approving said Certificates as to legality are to be held responsible for CUSIP numbers incorrectly printed on the Certificates. Section 6.04. Legal Opinion. The approving legal opinion of Bracewell LLP, Bond Counsel, may be printed on the reverse side of or attached to each Certificate over the certification of the City Clerk of the City, which may be executed in facsimile. Section 6.05. Statement of Insurance. A statement relating to a municipal bond insurance policy, if any, to be issued for the Certificates may be printed on or attached to each Certificate. ARTICLE VII. SALE AND DELIVERY OF CERTIFICATES, DEPOSIT OF PROCEEDS; OFFICIAL STATEMENT Section 7.01. Sale of Certificates. (a) The Certificates are hereby officially sold and awarded to and shall be delivered to the Underwriter at the price and on the terms specified in the Certificate Purchase Agreement, as presented at this meeting. The Mayor is hereby authorized and directed to execute and deliver such Certificate Purchase Agreement upon completion of the terms thereof in accordance with this Ordinance. It is hereby officially found, determined and declared that the terms of this sale are the most advantageous reasonably obtainable. The Certificates shall initially be registered in the name of the representative of the Underwriter, or its designee. (b) All officers of the City are authorized to execute such documents, certificates and receipts, and to make such elections with respect to the tax- exempt status of the Certificates, as they may deem appropriate in order to consummate the delivery of the Certificates. (c) The obligation of the Underwriter to accept delivery of the Certificates is subject to the Underwriter being furnished with the final, approving opinion of Bracewell LLP, Bond Counsel for the City, which opinion shall be dated and delivered the Closing Date. Section 7.02. Control and Delivery of Certificates. (a) The Mayor is hereby authorized to have control of the Initial Certificate and all necessary records and proceedings pertaining thereto pending investigation, examination, and approval of the Attorney General of the State of Texas, registration by the Comptroller and registration with, and initial exchange or transfer by, the Paying Agent/Registrar. (b) After registration by the Comptroller, delivery of the Certificates shall be made to the Initial Purchaser under and subject to the general supervision and direction of the Mayor, against receipt by the City of all amounts due to the City under the terms of sale. (c) All officers of the City are authorized to execute such documents, certificates and receipts and to make such elections with respect to the tax-exempt status of the Certificates, as they may deem necessary to consummate the delivery of the Certificates. Section 7.03. Deposit of Proceeds. (a) If any, all amounts received on the Closing Date as accrued interest on the Certificates from the Certificate Date to the Closing Date shall be deposited to the Interest and Sinking Fund. (b) The remaining balance received on the Closing Date shall be deposited to a special account of the City, such moneys to be dedicated and used solely for the purposes for which the Certificates are being issued as herein provided as described in Section 3.01, including payment of costs of issuing the Certificates. Any amounts remaining following completion of the Project shall be transferred to the Interest and Sinking Fund. Section 7.04. Official Statement. The form and substance of the Preliminary Official Statement and any addenda, supplement or amendment thereto, is hereby ratified and approved, and is confirmed as deemed final within the meaning and for the purposes of paragraph (b)(1) of Rule 15c2- 12 under the Securities Exchange Act of 1934. The City hereby authorizes the preparation of a final Official Statement to add the terms of the Initial Purchaser's bid and other relevant information. The use of such final Official Statement in the reoffering of the Certificates by the Initial Purchaser is hereby approved and authorized. The proper officials of the City are authorized to execute and deliver a certificate pertaining to such Official Statement as prescribed therein, dated as of the date of payment for and delivery of the Certificates. ARTICLE VIII. INVESTMENTS Section 8.01. Investments. (a) Money in the Interest and Sinking Fund created by this Ordinance and any of the funds to be deposited pursuant to Section 7.03(b) hereof, at the option of the City, may be invested- in such securities or obligations as permitted under applicable law as in effect on the date of the investment. (b) Any securities or obligations in which such money is so invested shall be kept and held in trust for the benefit of the Owners and shall be sold and the proceeds of sale shall be timely applied to the making of all payments required to be made from the fund from which the investment was made. Section 8.02. Investment Income. (a) Interest and income derived from investment of the Interest and Sinking Fund shall be credited to such fund. (b) Interest and income derived from investment of the funds to be deposited pursuant to Section 7.03(b) hereof shall be credited to the account where deposited until the acquisition or construction of the Projects is completed and thereafter, to the extent such interest and income are present, such interest and income shall be deposited to the Interest and Sinking Fund. Section 8.03. Engagement of Professionals. The City Council hereby confirms (1) the prior engagement of Bracewell LLP, as Bond Counsel to the City, (2) the prior engagement of RBC Capital Markets, LLC, as Financial Advisor, to the City, and (3) the engagement of the Estrada Hinojosa & Company, Inc. and Hutchinson, Shockey, Erley & Co. as underwriters, in connection with the issuance and sale of the Certificates. ARTICLE IX. PARTICULAR REPRESENTATIONS AND COVENANTS Section 9.01. Payment of the Certificates. On or before each Interest Payment Date or any redemption date for the Certificates and while any of the Certificates are outstanding and unpaid, there shall be made available to the Paying Agent/Registrar, out of the Interest and Sinking Fund, money sufficient to pay such interest on and principal of the Certificates as will accrue or mature on the applicable Interest Payment Date, maturity date or date of prior redemption. Such transfer of funds shall be made in such manner as will cause immediately available funds to be deposited with the Paying Agent/Registrar not later than the close of business on the Business Day next preceding the date of payment for the Certificates. Section 9.02. Other Representations and Covenants. (a) The City will faithfully perform, at all times, any and all covenants, undertakings, stipulations, and provisions contained in this Ordinance and in each Certificate; the City will promptly pay or cause to be paid the principal of and interest on each Certificate on the dates and at the places and manner prescribed in such Certificate; and the City will, at the times and in the manner prescribed by this Ordinance, deposit or cause to be deposited the amounts of money specified by this Ordinance. (b) The City is duly authorized under the laws of the State of Texas to issue the Certificates; all action on its part for the creation and issuance of the Certificates has been duly and effectively taken; and the Certificates in the hands of the Owners thereof are and will be valid and enforceable obligations of the City in, accordance with their terms. ARTICLE X. PROVISIONS CONCERNING FEDERAL INCOME TAX EXCLUSION Section 10.01. Provisions Concerning Federal Income Tax. (a) General. The City intends that the interest on the Certificates be excludable from gross income for federal income tax purposes pursuant to sections 103 and 141 through 150, inclusive, of the Code. The City covenants and agrees not to take any action, or knowingly omit to take any action within its control, that if taken or omitted, respectively, would (i) cause the interest on the Certificates to be includable in gross income, as defined in section 61 of the Code, for federal income tax purposes or (ii) result in the violation of or failure to satisfy any provision of section 103 and 141 through 150, inclusive, of the Code. In particular, the City covenants and agrees to comply with each requirement of this Article X; provided, however, that the City will not be required to comply with any particular requirement of this Article X if the City has received an opinion of nationally recognized, bond counsel ("Counsel's Opinion") that (i) such noncompliance will not adversely affect the excludability of interest on the Certificates from gross income for federal income tax purposes or (ii) compliance with some other requirement will satisfy the applicable requirements of the Code, in which case compliance with such other requirement specified in such Counsel's Opinion will constitute compliance with the corresponding requirement specified in this Article X. (b) No Private Use or Payment and No Private Loan Financing. The City covenants and agrees that it will make such use of the proceeds of the Certificates, including interest or other investment income derived from Certificate proceeds, regulate the use of property financed, directly or indirectly, with such proceeds, and take such other and further action as may be required so that the Certificates will not be "private activity bonds" within the meaning of section 141 of the Code. Moreover, the City will certify, through an authorized officer, employee or agent that, based upon all facts and estimates known or reasonably expected to be in existence on the date the Certificates are delivered, the proceeds of the Certificates will not be used in a manner that would cause the Certificates to be "private activity bonds" within the meaning of section 141 of the Code. (c) No Federal Guarantee. The City,covenants and agrees not to take any action, or knowingly omit to take any action within its control, that, if taken or omitted, respectively, would cause the Certificates to be "federally guaranteed" within the meaning of section 149(b) of the Code, except as permitted by section 149(b)(3) of the Code. (d) No Hedge Bonds. The City covenants and agrees not to take any action, or knowingly omit to take any action, within its control, that, if taken or omitted, respectively, would cause the Certificates to be "hedge bonds" within the meaning of section 149(g) of the Code. (e) No Arbitrage. The City covenants and agrees that it will make such use of the proceeds of the Certificates, including interest or other investment income derived from Certificate proceeds, regulate investments of proceeds of the Certificates, and take such other and further action as may be required so that the Certificates will not be "arbitrage bonds" within the meaning of section 148(a) of the Code. Moreover, the City will certify, through an authorized officer, employee or agent that, based upon all facts and estimates known or reasonably expected to be in existence on the date the Certificates are delivered, the proceeds of the Certificates will not be used in a manner that would cause the Certificates to be "arbitrage bonds" within the meaning of section 148(a) of the Code. (f) Arbitrage Rebate. If the City does not qualify for an exception to the requirements of section 148(f) of the Code relating to the required rebate to the United States, the City will take all steps necessary to comply with the requirement that certain amounts earned by the City on the investment . of the "gross proceeds" of the Certificates (within the meaning of section 148(f)(6)(B) of the Code), be rebated to the federal government. Specifically, the City will (i) maintain- records regarding the investment of the gross proceeds of the Certificates as may be required to calculate the amount earned on the investment of the gross proceeds of the Certificates separately from records of amounts on deposit in the funds and accounts of the City allocable to other bond issues of the City or moneys that do not represent gross proceeds of any bonds of the City, (ii) calculate at such times as are required by applicable Regulations, the amount earned from the investment of the gross proceeds of the Certificates that is required to be rebated to the federal government, and (iii) pay, not less often than every fifth anniversary date of the delivery of the Certificates or on such other dates as may be permitted under applicable Regulations, "all amounts required to be rebated to the federal government. Further, the City will not indirectly pay any amount otherwise payable to the federal government pursuant to the foregoing requirements to any person other than the federal government by entering into any investment arrangement with respect to the gross proceeds of the Certificates that might result in a reduction in the amount required to be paid to the federal government because such arrangement results in a smaller profit or a larger loss than would have resulted if the arrangement had been at arm's length and had the yield on the issue not been relevant to either party. (g) Information Reporting. The City covenants and agrees to file or cause to be filed with the Secretary of the Treasury, not later than the 15th day of the second calendar month after the close of the calendar quarter in which the Certificates are issued, an information statement concerning the Certificates, all under and in accordance with section 149(e) of the Code. (h) Record Retention. The City will retain all pertinent and material records relating to the use and expenditure of the proceeds of the Certificates until three years after the last Certificate is redeemed or paid at maturity, or such shorter period as authorized by subsequent guidance issued by the Department of the Treasury, if applicable. All records will be kept in a manner that ensures their complete access throughout the retention period. For this purpose, it is acceptable that such records are kept either as hardcopy books and records or in an electronic storage and retrieval system, provided that such electronic system includes reasonable controls and quality assurance programs that assure the ability of the City to retrieve and reproduce such books and records in the event of an examination of the Certificates by the Internal Revenue Service. (i) Registration. The Certificates will be issued in registered form. Q) Deliberate Actions. The City will not take a deliberate action (as defined in section 1.141-2(d)(3) of the Regulations) that causes the Certificates to fail to meet any requirement of section 141 of the Code after the issue date of the Certificates unless an appropriate remedial action is permitted by section 1.141-12 of the Regulations, the City takes such remedial action, and the City receives a Counsel's Opinion that such remedial action cures any failure to meet the requirements of section 141 of the Code. (k) Continuing Obligation. Notwithstanding any other provision of this Order, the City's obligations under the covenants and provisions of this Article X will survive the defeasance and discharge of the Certificates for as long as such matters are relevant to the excludability of interest on the Certificates from gross income for federal income tax purposes. ARTICLE XI. DISCHARGE Section 11.01. Discharge. The Certificates may be defeased, refunded or discharged in any manner permitted by applicable law. ARTICLE XII. CONTINUING DISCLOSURE UNDERTAKING Section 12.01. Annual Reports. The City shall provide annually to the MSRB, within six (6) months after the end of each Fiscal Year, financial information and operating data with respect to the City of the general type included in the final Official Statement, being the information described in Exhibit B hereto. Any financial statements so to be provided shall be (i) prepared in accordance with the accounting principles described in Exhibit B hereto, and (ii) audited, if the City commissions an audit of such statements and the audit is completed within the period during which they must be provided. If the audit of such financial statements is not complete within such period, then the City shall provide notice that audited financial statements are not available and shall provide unaudited financial statements for the applicable Fiscal Year to the MSRB. Thereafter, when and if audited financial statements become available, the City shall provide such audited financial statements as required to the MSRB. (a) If the City changes its Fiscal Year, it will notify each the MSRB of the change (and of the date of the new Fiscal Year end) prior to the next date by which the City otherwise would be required to provide financial information and operating data pursuant to this Section. (b) The financial information and operating data to be provided pursuant to this Section may be set forth in full in one or more documents or may be included by specific reference to any document (including an official statement or other offering document) that theretofore has been provided to the MSRB or filed with the SEC. Section 12.02. Material Event Notices. (a) The City shall notify the MSRB, in a timely manner, of any of the following events with respect to the Certificates, if such event is material within the meaning of the federal securities laws: (i) principal and interest payment delinquencies; (ii) nonpayment related defaults; (iii) unscheduled draws on debt service reserves reflecting financial difficulties; (iv) unscheduled draws on credit enhancements reflecting financial difficulties; (v) substitution of credit or liquidity providers, or their failure to perform; (vi) adverse tax opinions or events affecting the tax exempt status of the Certificates; (vii) modifications to rights of Owners; (viii) bond calls; (ix) defeasance; (x) release, substitution, or sale of property securing repayment of the Certificates; (xi) rating changes; (xii) bankruptcy, insolvency, receivership, or similar event of the obligated person; Note to paragraph (xii): For the purposes of the event identified in paragraph (xii) of this section, the event is considered to occur when any of the following occur: the appointment of a receiver, fiscal agent or similar officer for an obligated person in a proceeding under the U.S. Bankruptcy Code or in any other proceeding under state or federal law in which a court or governmental authority has assumed jurisdiction over substantially all of the assets or business of the obligated person, or if such jurisdiction has been assumed by leaving the existing governing body and officials or officers in possession but subject to the supervision and orders of a court or governmental authority, or the entry of an order confirming a plan of reorganization, arrangement or liquidation by a court or governmental authority having supervision or jurisdiction over substantially all of the assets or business of the obligated person. (xiii) the consummation of a merger, consolidation, or acquisition involving an obligated person or the sale of all or substantially all of the assets of the obligated person, other than in the ordinary course of business, the entry into a definitive agreement to undertake such an action, or the termination of a definitive agreement relating to any such actions, other than pursuant to its terms, if material; and (xiv) the appointment of a successor or additional trustee or the change in the name of the trustee, if material. (b) The City shall notify the MSRB, in a timely manner, of any failure by the City to provide financial information or operating data in accordance with Section 13.01 of this Ordinance by the time required by such Section. (c) The City reserves the right to file all information and notices required under this Article through the facilities of DisclosureUSA or any other central post office approved by the SEC for such purpose. Section 12.03. Limitations, Disclaimers and Amendments. The City shall be obligated to observe and perform the covenants specified in this Article for so long as, but only for so long as the City remains an "obligated person" with respect to the Certificates within the meaning of the Rule, except that the City in any event will give notice of any redemption calls and any defeasances that cause the City to be no longer an 'obligated person." The provisions of this Article are for the sole benefit of the Owners and beneficial owners of the Certificates, and nothing in this Article, express or implied, shall give any benefit or any legal or equitable right, remedy, or claim hereunder to any other person. The City undertakes to provide only the financial information, operating data, financial statements, and notices which it has expressly agreed to provide pursuant to this Article and does not hereby undertake to provide any other information that may be relevant or material to a complete presentation of the City's financial results, condition, or prospects or hereby undertake to update any information provided in accordance with this Article or otherwise, except as expressly provided herein. The City does not ' make any representation or warranty concerning such information or its usefulness to a decision to invest in or sell Certificates at any future date. UNDER NO CIRCUMSTANCES SHALL THE CITY BE LIABLE TO THE OWNER OR BENEFICIAL OWNER OF ANY CERTIFICATE OR ANY OTHER PERSON, IN CONTRACT OR TORT, FOR DAMAGES RESULTING IN WHOLE OR IN PART FROM ANY BREACH BY THE CITY, WHETHER NEGLIGENT OR WITHOUT FAULT ON ITS PART, OF ANY COVENANT SPECIFIED IN THIS ARTICLE, BUT EVERY RIGHT AND REMEDY OF ANY SUCH PERSON, IN CONTRACT OR TORT, FOR OR ON ACCOUNT OF ,ANY SUCH BREACH SHALL BE LIMITED TO AN ACTION FOR MANDAMUS OR SPECIFIC PERFORMANCE. (a) No default by the City in observing or performing its obligations under this Article shall constitute a breach of or default under the Ordinance for purposes of any other provisions of this Ordinance. (b) Nothing in this Article is intended or shall act to disclaim, waive, or otherwise limit the duties of the City under federal and state securities laws. (c) The provisions of this Article may be amended by the City from time to time to adapt to changed circumstances that arise from a change in legal requirements, a change in law, or a change in the identity, nature, status, or type of operations of the City, but only if (i) the provisions of this Article, as so amended, would have permitted an underwriter to purchase or sell Certificates in the primary offering of the Certificates in compliance with the Rule, taking into account any amendments or interpretations of the Rule to the date of such amendment, as well as such changed circumstances, and (ii) either (A) the Owners of a majority in aggregate principal amount (or any greater amount required by any other provisions of this Ordinance that authorizes such an amendment) of the Outstanding Certificates consent to such amendment or (B) an entity or individual person that is unaffiliated with the City (such as nationally recognized bond counsel) determines that such amendment will not materially impair the interests of the Owners and beneficial owners of the Certificates. The provisions of this Article may also be amended from time to time or repealed by the City if the SEC amends or repeals the applicable provisions of the Rule or a court of final jurisdiction determines that such provisions are invalid, but only if and to the extent that reservation of the City's right to do so would not prevent underwriters of the initial public offering of the Certificates from lawfully purchasing or selling Certificates in such offering. If the City so amends the provisions of this Article, it shall include with any amended financial information or operating data next provided in accordance with Section 13.01 an explanation, in narrative form, of the reasons for the amendment and of the impact of any change in the type of financial information or operating data so provided. ARTICLE XIII. MISCELLANEOUS Section 13.01. Changes to Ordinance. Bond Counsel is hereby authorized to make any changes to the terms of this Ordinance if necessary or desirable to carry out the purposes hereof or in connection with the approval of the issuance of the Certificates by the Attorney General of Texas. Section 13.02. Partial Invalidity. If any section, paragraph,. clause or provision of this Ordinance shall for any reason be held to be invalid or unenforceable; the invalidity or unenforceabilityof such section, paragraph, clause or provision shall not affect any of the remaining provisions of this Ordinance. Section 13.03. Repealer. All ordinances or resolutions, or parts thereof, heretofore adopted by the City and inconsistent with the provisions of this Ordinance are hereby repealed to the extent of such conflict. Section 13.04. Individuals Not Liable. No covenant, stipulation, obligation or agreement herein contained shall be deemed to be a covenant, stipulation, obligation or agreement of any member of City Council or agent or employee of City Council or of the City in his or her individual capacity and neither the members of City Council nor any officer thereof, nor any agent or employee of City Council or of the City, shall be liable personally on the Certificates, or be subject to any personal liability or accountability by reason of the issuance thereof. Section 13.05. Related Matters. To satisfy in a timely manner all of the City's obligations under this Ordinance, the Mayor or Mayor Pro Tem, the City Clerk and all other appropriate officers and agents of the City are hereby authorized and directed to do any and all things necessary and/or convenient in order to consummate the delivery of the Certificates, pay the costs of issuance on the Certificates, and effectuate the terms and purposes of this Ordinance. Section 13.06. Force and Effect. This Ordinance shall be in full force and effect from and after its final passage, and it is so ordained. PASSED, APPROVED AND ADOPTED on first and final reading this 17th day of July, 2018, with _ members voting yes, _ members voting no, and _ members abstaining. - Mayor Becky Ames - ATTEST: Tina Brousard, City Clerk APPROVED AS TO FORM: Tyrone Cooper, City Attorney EXHIBIT A Paying Agent/Registrar Agreement IWAM1 DESCRIPTION OF ANNUAL DISCLOSURE OF FINANCIAL INFORMATION The following information is referred to in Article XIII of this Ordinance. Annual Financial Statements and Operating Data The financial information and operating data with respect to the City to be provided annually in accordance with such Article are as specified (and included in the Appendix or other headings of the Official.. Statement referred to) below: 1. The portions of the financial statements of the City appended to the Official Statement as Appendix B, but for the most recently concluded Fiscal Year. 2. The quantitative financial information and operating data with respect to the City of the general type included in the main text of the Official Statement under the headings "INVESTMENT AUTHORITY AND INVESTMENT OBJECTIVES OF THE CITY;" "ADMINISTRATION OF THE CITY;" "CITY TAX DEBT (except under the heading "estimated Overlapping Debt;" "TAX DATA;" "SELECTED FINANCIAL DATA;" all inclusive. Accounting Principles The accounting principles referred to in such Article are the accounting principles described in the notes to the financial statements referred to in Paragraph 1 above, as such principles may be changed from time to time to co 2 July 17, 2018 Consider a resolution authorizing the City Manager to execute all documents necessary, on behalf of the City of Beaumont, to purchase the building and property located at 555 Main Street BEAUMONT TEXAS TO: City Council FROM: Kyle Hayes, City Manager MEETING DATE: July 17, 2018 REQUESTED ACTION: Council consider a resolution authorizing the City Manager to execute all documents necessary, on behalf of the City of Beaumont, to purchase the building and property located at 555 Main Street. The. Administration discussed the potential purchase of this property in an Executive Session held on May 8, 2018. The Administration made an offer of $1,000,000 for the building and property, contingent upon approval by the City Council. The Seller (JPMCC 2007-CIBC19 Main Street LLC) has agreed to the City's offer. A copy of the "Letter of Intent" is attached for your review. The City of Beaumont would purchase the property with funds from the Fund Balance in the General Fund. Sales tax revenues, after Hurricane Harvey, have produced unanticipated revenue in excess of $4.5 million. The Fund Balance in the General fund is very strong and is expected to be greater than $38 million or more than 30% of annual expenditures at the end of September 2018. The City plans to demolish the building to allow for future development on the 3.7 acres, which is adjacent to the Neches River and the City's Civic Center property. The Assessed Value of the land and improvements is $4,126,550 on the tax roll. The Assessed Value of the land only is $480,920. FUNDING SOURCE General Fund's Fund Balance. RECOMMENATION Approval of the resolution. Commercial Lease, 555 Main St. Beaumont, TX 777011 Coldwell Banker Commercial Page 1 of 2 $9.00 SF/Year Office Bldg Four Story Building plus basement. Paved 141,525 SF parking lot, land area 3.6801 acres. River From View. Open floor areas for cubicle workstations. Office built out along the t Flyer building parameter. Property Type: Office Bldg Year Built: 1972 Max Continuous 141,525 Area: Listing ID: RVKV6D Style: Office Bldg -General Building Size: 141,525 SF Property Features Lot Size: 2-5 Acres .. i Jefferson CAD Property Search Map Search Property Search Results > 5435 1PMCC 2007-C)OC19 MAIN STREET LLC for Year 2018 Property ! Tax Rate j Appraised Value 101 BEAUMONT INDEPENDENT SCHOOL DISTRICT Account $4,126,550 221 CITY OF BEAUMONT Property ID: 5435 _ Legal Description: ALL OF B19 & 25 & ADJ 1/2 OF HICKORY ST 0.066538 $4,126,550 755 BEAUMONT 3.680AC Geographic ID: 003200-000-004050-00000-4 Agent Code: ID:670267 Type: Real Property Use Code: J4 Property Use Description: TELEPHONE COMPANIES Location Address: 555 MAIN ST Mapsco: 101-209 _ y TX Neighborhood: 101 -SA Map ID: 0 Neighborhood CD: 101 -SA Owner Name: JPMCC 2007-CIBC19 MAIN STREET LLC Owner ID: 676842 Mailing Address: % LNR PARTNERS LLC % Ownership: 100.0000000000% 1601 WASHINGTON AVE STE 700 MIAMI BEACH, FL33139-3165 Values (+) Improvement Homesite Value: + (+) Improvement Non-Homesite Value: + (+) Land Homesite Value: + (+) Land Non-Homesite Value: + (+) Agricultural Market Valuation: + (+) Timber Market Valuation: + (_) Market Value: _ (—) Ag or Timber Use Value Reduction: — (_) Appraised Value: (—) HS Cap: Exemptions: $0 $3,645,630 $0 $480,920 Ag / Timber Use Value $0 $0 $0 $0 $4,126,550 $0 $4,126,550 $0 (=) Assessed Value: _ $4,126,550 Taxing Jurisdiction Owner: JPMCC 2007-CIBC19 MAIN STREET LLC % Ownership: 100.0000000000% Total Value: $4,126,550 Entity I Description ! Tax Rate j Appraised Value 101 BEAUMONT INDEPENDENT SCHOOL DISTRICT 1.294050 $4,126,550 221 CITY OF BEAUMONT 0.710000 $4,126,550 341 PORT OF BEAUMONT 0.066538 $4,126,550 755 SABINE-NECHES NAVIGATION DIST 0.091640 $4,126,550 Taxable Value I Estimated Tax $4,126,550 $53,399.62 $4,126,550 $29,298.51 $4,126,550 $2,745.72 $4,126,550 $3,781.57 Improvement / Building Improvement #1: Commercial State )4 Living 109792.0 sgft Value: $3,645,630 l Code: 849 DRAINAGE DISTRICT#6 0.220587 $4,126,550 $4,126,550 $9,102.63 1901 JEFFERSON COUNTY 0.364977 $4,126,550 $4,126,550 $15,060.96 A59 FARM AND LATERAL ROAD 0.000000 $4,126,550 $4,126,550 $0.00 CAD JEFFERSON CO APPRAISAL DISTRICT 0.000000 $4,126,550 $4,126,550 $0.00 T341 TIF PORT OF BMT 0.000000 --�—_ $4,126,550 — $4,126,550 $0.00 �— �-- Total Tax Rate: ---_--_ 2.747792 -- __---—� 0 4,742,970 $0 $4,742,970 Taxes w/Current Exemptions: $113,389.01 $4,292,710 $480,920 0 4,773,630 Taxes w/o Exemptions: $113,389.01 Improvement / Building Improvement #1: Commercial State )4 Living 109792.0 sgft Value: $3,645,630 l Code: Area: $480,920 0 Type Description Class Exterior Year SQFT 2017 CD Wall Built — 0 COM COMMERCIAL BUILDING SA5 1972 109792.0 APK ASPHALT PARKING LOT SA5 1972 61330.0 Land # Type i Description 1 Acres ; Sgft Eff Front i Eff Depth 1 Market Value I Prod. Value . 1 51 Square Foot Syle Type 3.6801 160305.00 0.00 0.00 $480,920 $0 Roll Value History Year Improvements I Land Market Ag Valuation Appraised HS Cap I Assessed 2018 $3,645,630 $480,920 0 4,126,550 $0 $4,126,550 2017 $3,645,630 — $480,920 — 0 4,126,550 $0 $4,126,550 2016 $3,645,630 $480,920 0 4,126,550 $0 $4,126,550 2015 2014 $4,050,700 $4,050,700 $480,920 $480,920 0 0 4,531,620 4,531,620 $0 $0 $4,531,620 $4,531,620 2013 $4,262,050 $480,920 0 4,742,970 $0 $4,742,970 112012 $4,292,710 $480,920 0 4,773,630 $0 $4,773,630 12011 — $4,292,710 $480,920 0 4,773,630 $0 $4,773,630 $4,715,850 $480,920 0 5,196,770 $0 $5,196,770 r010 009 2008 $5,985,270_ $6,106,200 $480,920 —�–_0 $480,920 0 6,466,190 6,587,120 _ $0 $0 $6,466,190 $6,587,120 2007 $1,481,530 $446,530 0 1,928,060 $0 $1,928,060 2006 $1,481,530 $446,530 0 1,928,060 $0 $1,928,060 2005 $1,481,530 $446,530 0 1,928,060 $0 $1,928,060 2004 $2,139,990 $446,530 0 2,586,520 $0 $2,586,520 Deed History - (Last 3 Deed Transactions) 4 � Deed __.�.--------- Date — Type Description -- Grantor Grantee 1 1/2/2018 TRD TRUSTEE'S DEED/FORECLOSURES SPIRITAT JPMCC2007- Volume Page Deed Number 2018000092 BEAUMONTTX CIBC19 MAIN LLC STREET LLC 2 3/16/2007 WD WARRANTY DEED SOUTHWESTERN COLE AT 2007010992 BELL BEAUMONTTX U TELEPHONE LLC Tax Due Property Tax Information as of 07/12/2018 Amount Due if Paid on: ®. RESOLUTION NO. WHEREAS, the potential purchase of the building and property located at 555 Main Street was discussed in Executive Session properly called and held Tuesday, May 8, 2018; and, WHEREAS, the Administration made an offer of $1,000,000.00 for the building and property, contingent upon approval by the City Council; and, WHEREAS, the Seller (JPMCC 2007-CIBC19 Main Street LLC) has agreed to the City's offer; and, WHEREAS, the City plans to acquire this site for future development of the 3.7 acres, which is adjacent to the Neches River and the City's Civic Center property; and, WHEREAS, City Council is of the opinion that it is in the best interest of the citizens of the City of Beaumont for the City to enter into Letter of Intent for the purchase of the building and property located at 555 Main Street; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BEAUMONT: THAT the statements and findings set out in the preamble to this resolution are hereby, in all things, approved and adopted; and, THAT the City Manager be and he is hereby authorized to execute a Letter of Intent between the City of Beaumont and JPMCC 2007-CIBC19 Main Street LLC in the amount of $1,000,000.00 for the purchase of the building and property located at 555 Mail Street, substantially in the form attached hereto as Exhibit "A" and made a part hereof for all purposes. The meeting at which this resolution was approved was in all things conducted in strict compliance with the Texas Open Meetings Act, Texas Government Code, Chapter 551. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 17th day of July, 2018. - Mayor Becky Ames - Arnold and Associates One Acadiana Court, Beaumont, TX 77706 409-833-5055 www.cbcaaa.com "LETTER OF INTENT" 7-12-18 This "Letter of Intent" to buy and sell real property is between Buyer and Seller as identified below and is effective on the date of the last of the signatures of Buyer and Seller. Seller: JPMCC 2007-CIBC19 Main Street LLC c/o Friedman Realty 34975 West Twelve Mile Rd. Farmington Hills, MI 48331 Buyer: The City of Beaumont P.O. Box 3827 Beaumont, TX 77704 Property: 555 Main Street (Legal description to be provided upon completion of a survey) Condition of Property: AS IS / WHERE IS Title Company: Texas Regional Title / Molly Mallet Title Commitment: Title commitment will be delivered to Buyer within 21 days after execution of an Earnest Money Contract. Buyer will have ten (15) days to review Title Commitment and register any objections. EXHIBIT "A" Earnest Money: $10,000.00 to be deposited with Texas Regional Title Company within three business days upon execution of the Earnest Money Contract. Survey: Buyer may provide a new survey at Buyer's cost and expense. Seller to provide any existing survey (if available) within 15 days of Earnest Money Contract. Seller is to have the corners of the property marked. Documentation: Seller will make available to Buyer, copies of any and all environmental reports, appraisals, or other documents disclosing the condition of the property within fifteen (15) days after execution of the Earnest Money Contract. Feasibility Period: Buyer to have a 180 day feasibility period to review property and perform any inspections deemed necessary. Sale Price: $1,000,000.00 Closing: Closing shall occur within 60 days after receipt of satisfactory Title Commitment and Survey and end of feasibility period. Commission: A commission of 3% of the sales price will be paid by Seller to Coldwell Banker Commercial Arnold and Associates. Time for Acceptance Of Offer: Requested by July 27, 2018. THIS IS A NON-BINDING LETTER OF AGREEMENT SUBMITTED TO OUTLINE THE MATERIAL BUSINESS TERMS FOR THE PROPOSED PURCHASE OF THIS PROPERTY. NEITHER PARTY SHALL BE BOUND TO THE TRANSACTION UNTIL A FINAL EARNEST MONEY CONTRACT, ACCEPTABLE TO ALL PARTIES HAS BEEN EXECUTED TOGETHER WITH EARNEST MONEY DEPOSITED. UPON ACCEPTANCE OF THIS AGREEMENT, AS EVIDENCED BY SIGNATURES BELOW, AN EARNEST MONEY CONTRACT WILL BE DRAFTED FOR EXECUTION BY BOTH PARTIES. The above terms and conditions are acceptable as evidenced by the signatures below: AGREED TO AND ACCEPTED: BUYERS: CITY OF BEAUMONT By: Signature Printed Name Date SELLER: JPMCC 2007-CIBC19 MAIN STREET, LLC By: Signature Printed Name Date K July 17, 2018 Consider a resolution authorizing the City Manager to execute an amended agreement with Architectural Alliance, Inc. for the renovation of the Tyrrell Park Community Building located at 5305 Tyrrell Park Road BEAUMONT TEXAS TO: City Council FROM: Kyle Hayes, City Manager PREPARED BY: Keith Folsom, Facilities Maintenance Director MEETING DATE: July 17, 2018 REQUESTED ACTION: Council consider a resolution authorizing the City Manager to execute an amended agreement with Architectural Alliance, Inc. for the renovation of the Tyrrell Park Community Building located at 5305 Tyrrell Park Road. In August of 2009, the City of Beaumont entered into an agreement with Architectural Alliance, Inc. to provide architectural services for the renovation of the Tyrrell Park Community Building. Architectural Alliance, Inc. completed the schematic phase and the design development phase of the proposed renovation before the project was placed on hold due to funding priorities. Funds were paid to Architectural Alliance, Inc. for schematic and design development phases of the project design in the amount of $115,000. Architectural Alliance, Inc. has agreed to fully credit the previously performed Schematic Design Phase and adding a onetime fixed fee of $1,500 to modify the previous Schematic Design Phase drawings per the new design concept approved by the City of Beaumont. The previous contract agreement allows the Architect to charge the City of Beaumont 8% of the construction cost for his basic services. Based upon the estimated cost of construction to be $2,100,00.00, the estimated cost of the architect fees will be $168,000.00. FUNDING SOURCE Hotel Occupancy Tax Fund. RECOMMENDATION Approval of the resolution. RESOLUTION NO. WHEREAS, on August 20, 2009, the City of Beaumont entered into an agreement with Architectural Alliance, Inc. to provide architectural services for the renovation of the Tyrrell Park Community Building located at 5305 Tyrrell Park Road; and, WHEREAS, Architectural Alliance, Inc. completed the schematic phase and the design development phase of the proposed renovation before. the project was placed on hold due to the lack of funding to renovate the facility; and, WHEREAS, Architectural Alliance, Inc. has agreed to continue the existing contract agreement with an .amendment that fully credits the previously performed Schematic Design Phase and adding a onetime fixed fee of $1,500 to modify the previous Schematic Design Phase drawings per the new design concept approved by the City of Beaumont; and, WHEREAS, City Council is of the opinion that it is in the best interest of the citizens of the City of Beaumont' for the City to enter into an Amended Architectural Services Agreement with Architectural Alliance, Inc. for the, partial renovation of the Tyrell Park Community Building located at 5305 Tyrrell Park Road; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BEAUMONT: THAT the statements and findings set out in the preamble to this resolution are hereby, in all things, approved and adopted; and, THAT the City Manager be and he is hereby authorized to execute an Amendment to the Architectural Services Agreement between the City of Beaumont, Texas and Architectural Alliance, Inc., substantially in the form attached hereto as Exhibit "A" and made a part hereof for all purposes. The meeting at which this resolution was approved was in all things conducted in strict compliance with the Texas Open Meetings Act, Texas Government Code, Chapter 551. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 17th day of July, 2018. - Mayor Becky Ames - AGREEMENT FOR ARCHITECTURAL SERVICES This Agreement made as of the 20th day of August , 2009 between the City of Beaumont, Texas, hereinafter referred to as "Owner," and Architectural Alliance, Inca hereinafter referred to as "Architect" for the following Project: RESTORATION OF TYRRELL PARK COMMUNITY CENTER City of Beaumont, Texas, hereinafter referred to as "Projec ." The Owner and Architect agree as set forth below and as amended by Amendment No. 1. r kh ARTICLE 1 ARCHITECT'S RESPONSIBILITIES 1.1 ARCHITECTS SERVICES 1.1.1 The Architect's services consist of those services performed by the Architect, Architect's employees and Architect's consultants as enumerated in Articles 2 and 3 of this Agreement and any other services included in Article 11. 1.1.2 The Architect's services shall be performed as expeditiously as is consistent with professional skill and care and the orderly progress of the Project. Upon request of the Owner, the Architect shall submit for the Owner's approval a schedule for the performance of the „Architect's services which may be adjusted as the Project proceeds, and shall include allowances for periods of time required for the Owner's review and for approval of submissions by authorities having jurisdiction over the Project. Time limits established by this schedule and approved by the Owner shall not, except for reasonable cause, be exceeded by the Architect or Owner, and any adjustments to this schedule shall be mutually. acceptable to both parties. 1.1.3 The services covered by this Agreement are subject to the time limitations contained in Subparagraph 10.4.1. ARTICLE 2 SCOPE OF ARCHITECT'S BASIC SERVICES 2.1 DEFINITION 2.1.1 The Architect's Basic Services consist of those described in Paragraphs 2.2 through 2.6 and any other services identified in Article 11 as part of EXHIBIT "A" Basic Services, and include without limitation normal roofing, structural, civil, mechanical and electrical engineering services and any other engineering services necessary to produce a set of Construction Documents, which will be sufficient and adequate to fulfill the purposes of this project, as described by and required in Paragraph 2.4. 2.2 SCHEMATIC DESIGN PHASE 2.2.1 The Architect, in consultation with the Owner, shall develop a written program for the Project to ascertain Owner's needs and to establish the requirements for the Project. 2.2.2 The Architect shall provide a preliminary evaluation of the Owner's program, construction schedule and construction budget requirements, each in terms of the other, subject to the limitations set forth in Subparagraph 5.2.1. 2.2.3 The Architect shall review with the Owner alternative approaches to design and construction of the Project. - 2.2.4 Based on the mutually agreed-upon program, schedule and construction budget requirements, the Architect shall prepare, for approval by the Owner, Schematic Design Documents consisting of drawings and other documents illustrating the scale and relationship of Project components. The Schematic Design shall contemplate compliance with applicable laws, statutes, ordinances, codes and regulations. 2.2.5 The Architect shall submit to the Owner a preliminary detailed estimate of Probable Construction Cost based on current area, volume or other unit costs and which indicates the cost of each category of work involved in constructing the Project and establishes an elapsed time factor for the period of time from the commencement to the completion of construction. 2.3 DESIGN DEVELOPMENT PHASE 2.3.1 Based on the approved Schematic Design Documents and any adjustments authorized by the Owner in the program, schedule or construction budget, the Architect shall prepare for approval by the Owner, Design Development Documents consisting of drawings and other documents to fix and describe the size and character of the Project as to architectural, structural, civil, mechanical and electrical systems, materials and such other elements as may be appropriate, which shall comply with applicable 1aws, statutes, ordinances, codes and regulations. Notwithstanding Owner's approval of the documents, 'Architect will provide Documents and specifications which will be sufficient and adequate to fulfill the purposes of the Project. 2.3.2 The Architect shall advise the Owner of any adjustments to the PJ preliminary estimate of Probable Construction Cost in a further Detailed Statement as described in Paragraph 2.2.5. 2.4 CONSTRUCTION DOCUMENTS PHASE 2A.1 Based on the approved Design Development Documents and any further adjustments in the scope or quality of the Project or in the construction budget authorized by the Owner, the Architect shall prepare, for approval by the Owner, Construction Documents consisting of Drawings and Specifications setting forth in detail requirements for the construction of the Project, which shall comply with applicable laws, statutes, ordinances, codes and regulations. 2.4.2 The Architect shall, with assistance of the Owner, prepare the necessary bidding information, bidding forms, the Conditions of the contract, and the form of Agreement between the Owner and contractor, and other required bidding documents necessary to provide the Owner a completed bid document. 2.4.3 The Architect shall advise the Owner of any adjustments to previous preliminary estimates of Probable Construction Cost indicated by changes in requirements or general market conditions. 2.4.4 The Architect shall assist the Owner in connection with the Owner's responsibility for filing documents required for the approval of other governmental authorities having jurisdiction over the Project. 2.5 BIDDING 2.5.1 The Architect, following the Owner's Approval of the Construction Documents and of the latest preliminary detailed estimate of Construction - Cost, shall assist the Owner in obtaining bids and assist in awarding and preparing contracts for -'construction. 2.5.2 If the lowest bid for the construction of the Project exceeds the total construction cost of the Project as set forth in the approved Detailed Statement of Probable Construction Costs of the Project submitted by the Architect, then the Architect, at its sole. cost and expense, will revise the Construction Documents in a continuous fashion so that they are completed in a timely manner as may be required by -the Owner to reduce or modify the quantity or quality of the work so that the total construction cost of the Project will not exceed the total construction cost set forth in the approved Detailed Statement of Probable Construction Costs. 2.6 CONSTRUCTION PHASE - ADMINISTRATION OF THE CONSTRUCTION CONTRACT 2.6.1 The Architect's responsibility to provide Basic Services for the 3 Construction Phase under this Agreement commences with the award of the Contract for Construction and terminates at the completion of the one (1) year warranty period. Architect shall inspect the Project prior to the expiration of the warranty period and report to Owner the condition of the Project, including any deficiencies or warranty issues. 2.6.2 The Architect shall provide administration of the Contract for Construction as set forth below and in the edition of AIA document A201, General Conditions of the Contract for Construction, current as of the date of this Agreement, unless otherwise provided in this Agreement or approved by the City. 2.6.3 Construction Phase duties, responsibilities and:limitations of authority of .the Architect shall not be restricted, modified or extended without written agreement of the Owner and Architect. 2.6.4 The Architect shall be a representative of and shall advise and consult with the Owner (1) during construction, and (2) at the Owner's direction from time to time during the correction, or warranty period described in the Contract for Construction. The Architect shall have authority to act on behalf of the Owner only to the extent provided in this Agreement unless otherwise modified by written instrument. 2.6.5 The Architect shall visit the construction site at least two times a week, while construction is in progress, to become familiar with the progress and quality of the Work completed and to determine if the Work is being performed in a manner indicating that the Work, when completed, will be in accordance with the Contract Documents. Architect shall provide, Owner a written report subsequent to each on-site visit. On the basis of. - on -site observations.as an architect, the Architect shall keep the Owner informed of the progress and quality of. the Work, and shall exercise care and diligence in discovering and promptly reporting to the Owner any defects or deficiencies in the work of Contractor or any subcontractors. The Architect shall promptly correct any defective designs or specifications furnished by the Architect at no cost to the Owner. The Owner's approval, acceptance, use of or payment for all or any part of the. Architect's services hereunder or of the Project itself shall in no way alter the Architect's obligations or the Owner's rights hereunder. 2.6.6 The Architect shall not have control over or charge of and shall not be responsible for construction means, methods, techniques, sequences or procedures, or for safety precautions and programs in, connection with the Work. The Architect shall not be responsible for the Contractor's schedules or failure to carry out the Work in accordance with the Contract Documents. The Architect shall not have control over or charge of acts or omissions of the Contractor, Subcontractors, or their agents or employees', or of any other persons performing portions of the Work. ILI 2.6.7 The Architect shall at all times have access to the Work wherever it is in preparation or progress, but shall have no responsibility for job site safety. 2.6.8 Except as may otherwise be provided in the Contract Documents or when direct communications have been specially authorized, the Owner and Contractor shall communicate through the Architect. Communications by and with the Architect's consultants shall be through the Architect. 2.6.9 Based on the Architect's observations at the site of the work and evaluations of the Contractor's Applications for Payment, the Architect shall review and approve the amounts due the Contractor. 2.6.10 The Architect's certification for payment shall constitute a representation to the Owner, based on the Architect's observations at the site as provided in Subparagraph 2.6.5 and on the data comprising the Contractor's Application for Payment, that the Work has progressed to the point indicated and that the quality of the Work is in accordance with the Contract Documents. The foregoing representations are subject to minor deviations from the Contract Documents correctable prior to completion and to specific qualifications expressed by the Architect. The issuance of a Certificate for Payment shall further constitute a representation that the Contractor is entitled to payment in the amount certified. However, the issuance of a Certificate for Payment shall not be a. representation that. the Architect has (1) reviewed construction means, methods, techniques, sequences or procedures, or (2) ascertained how or for what purpose the Contractor has used money previously paid on account of the Contract Sum. 2.6.11 The Architect shall have the authority to reject Work which does not conform to the Contract Documents. Whenever the Architect considers it necessary or advisable for implementation of the intent of the Contract Documents, the Architect will have authority to recommend to the Owner additional inspection or testing of the Work in accordance with the provisions of the Contract Documents, whether or not such Work is fabricated, installed or completed. However, neither this authority of the Architect nor a decision made in good faith either to exercise or not exercise such authority shall give rise to a duty or responsibility of the Architect to the Contractor, Subcontractors, material and equipment suppliers, their agents or employees or other persons performing Portions of the Work. 2.6.12 The Architect shall review and approve or take other appropriate action upon Contractor's submittals such as Shop Drawings, Product Data and Samples for the purpose of (1) determining compliance with applicable laws, statutes, ordinances and codes; and (2) determining whether or not the Work will be in compliance with the requirements of the Contract Documents. The Architect shall act with such promptness to cause no unreasonable delay in the Work or in the construction of the Owner or of separate contractors, while allowing sufficient time in the Architect's professional judgment to permit adequate review. Review of such submittals is not conducted for the purpose of determining the accuracy and completeness of other details such as dimensions and quantities or for substantiating instructions for installation or performance of equipment or systems designed by the Contractor, all of which remain the responsibility of the Contractor to the extent required by the Contract Documents. The Architect's review shall not constitute review or approval of safety precautions, nor of construction means, methods, techniques, sequences or procedures. The Architect's approval of a specific item shall not indicate approval of an assembly of which the item is a component. When professional certification of performance characteristics of materials, systems or equipment is required by the Contract Documents, the Architect shall be entitled to rely upon such certification to establish that the materials, systems or equipment will meet the performance criteria required by the Contract Documents. 2.6.13 The Architect shall prepare Change Orders and Construction Change Directives, with supporting documentation and data if deemed necessary by the Architect, for the Owner's approval and execution in accordance with the Contract Documents, and may authorize minor changes in the Work not involving an adjustment in the Contract Sum or an extension of the Contract Time which are not inconsistent with the intent of the Contract Documents. 2.6.14 On behalf of the Owner, the Architect shall conduct inspections to determine the dates of Substantial Completion and Final Completion, and shall issue Certificates of Substantial and Final Completion. The Architect will receive and review written guarantees and related documents required by the Contract for Construction to be assembled by the Contractor and shall issue a final certificate for Payment upon compliance with the requirements of the Contract Documents. 2.6.15 The Architect shall interpret and provide recommendations on matters concerning performance of the Owner and Contractor under the requirements of the Contract Documents on written request of either the Owner or Contractor. The Architect's response to such requests shall be made with reasonable promptness and within any time limits agreed upon. 2.6.16 Interpretations and decisions of the Architect shall be consistent with the intent of and reasonably inferred from the Contract Documents and shall be in writing or in the form of drawings. When making such interpretations and initial decisions, the Architect shall endeavor to secure faithful performance by both Owner and Contractor, and shall not be liable for results or interpretations or decisions so rendered in good faith 6 in accordance with all the provisions of this Agreement and in the absence of negligence. 2.6.17 The Architect shall render written decisions within a reasonable time on all claims, disputes or other matters in question between the Owner.and Contractor relating to the execution or progress of the Work as provided in the Contract Documents. 2.6.18 The Architect (1) shall render services under the Agreement in accordance with the high professional standards as described in paragraph 1.1.2 herein; and (2) by acknowledging payment by the Owner of any fees. due, shall not be released from any rights the Owner may have under the Agreement or diminish any of the Architect's obligations thereunder. 2.6.19 The Architect shall provide the Owner with one (1) set of reproducible prints and one (1) set of compact disks compatible with AutoCad 20001 showing all significant changes to the Construction Documents during the Construction Phase. Drawings shall indicate significant changes in the Work made during construction based on marked -up prints, drawings and other data furnished by the Contractor to the Architect. ARTICLE 3 ADDITIONAL SERVICES 3.1 GENERAL 3.1.1 The services described in this Article 3 are not included in Basic Services unless so identified in Article 11, and they shall be paid for by the Owner as provided in this Agreement, in addition to the compensation for Basic Services. The services described under Paragraphs 3.2 and 3.4 shall only be provided if authorized or confirmed in writing by the Owner. If services described under Contingent Additional Services in Paragraph 3.3 are required .due to circumstances beyond the Architect's control, the Architect shall notify the Owner prior to commencing such services. If the Owner deems that such services described under Paragraph 3.3 are not required, the Owner shall give prompt written notice to the Architect. If the Owner indicates in writing that all or part of such Contingent Additional Services are not required, the Architect shall have no obligation to provide those services. Owner will be responsible for compensating the Architect for Contingent Additional Services only if they are not required due to the negligence or fault of Architect. 3.2 PROJECT REPRESENTATION BEYOND BASIC SERVICES 3.2.1 If more extensive representation at the site than is described in 7 Subparagraph 2.6.5 is required, the Architect shall provide one or more Project Representatives to assist in carrying out such additional on-site responsibilities. 3.2.2 Project Representatives shall be selected, employed and directed by the Architect, and the Architect shall be compensated therefore as agreed by the Owner and Architect. The duties, -responsibilities and limitations of authority of Project Representatives shall be as described in the edition of AIA Document B352 current as of the date of this Agreement, unless otherwise agreed. 3.3 CONTINGENT ADDITIONAL SERVICES 3.3.1 Making material revisions in Drawings, Specifications or other documents when such revisions are: 3.3.1.1 inconsistent with approvals or instructions previously given by the ;Owner, including revisions made necessary by adjustments in the Owner's program or Project budget; 3.3.1.2 required by the enactment or revision of codes, laws or regulations subsequent to the preparation of such documents, or 3.3.1.3 due to changes required as a result of the Owner's failure to render decision in a timely manner. 3.3.2 Providing services required because of significant changes in the Project including, but not limited to, size, quality, complexity, the Owner's schedule, or the method of bidding and contracting for construction, except for services required under Subparagraph 2.5.2. 3.3:3 The Architect shall provide documents for alternate, separate or sequential bids or providing services in connection with bidding or construction prior to the completion of the Construction Documents Phase. 3.3.4 Providing consultation concerning replacement of Work damaged by fire or other cause during construction, and furnishing services required in connection with the replacement of such Work. 3.3.5 Providing 'services made necessary by the default of the Contractor, or by failure of performance of either the Owner or Contractor under the Contract for Construction. 3.3.6 Providing services in connection with a public hearing, arbitration proceeding or legal proceeding except where the Architect is party thereto. E; 3.4 OPTIONAL ADDITIONAL SERVICES 3.4.1 Providing financial feasibility or other special studies, previously approved by Owner. 3.4.2 Providing planning surveys, site evaluations or comparative studies. of prospective sites. 3.4.3 Providing special surveys, environmental studies and submissions required for approvals of governmental authorities or others having jurisdiction over the Project. 3.4.4 Providing services relative to future facilities; systems and equipment. 3.4.5 Providing coordination of construction performed by separate contractors or by the Owner's own forces and coordination of services required in connection with construction performed and equipment supplied by the Owner. 3.4.6 Providing services in connection with the work of a construction manager or separate consultants retained by the Owner. 3.4.7 Providing detailed quantity surveys or inventories of material, equipment and labor. 3.4.8 Making investigations, inventories of materials or equipment, or valuations and detailed appraisals of existing facilities. 3.4.9 Providing assistance in the utilization of equipment or systems such as testing, adjusting and balancing, preparation of operation and maintenance manuals, training personnel for operation and maintenance and consultation during operation. 3.4.10 Providing services other than as provided in Section 2.6.4, after issuance to the Owner of the final Certificate for'Payment and expiration of the Warranty period of the Contract for Construction. 3.4.11 Providing services of consultants for other than architectural, structural, mechanical, roofing, civil and electrical engineering portions of the Project provided as a part of Basic Services. 3.4.12 Providing any other services not otherwise included in this Agreement or - not customarily furnished in accordance with generally accepted architectural practice. �E ARTICLE 4 OWNER'S RESPONSIBILITIES 4.1 The Owner shall consult with the Architect regarding requirements for the Project, including (1) the Owner's objectives, (2) schedule and design constraints and criteria, including space requirements and relationships, flexibility, expendability, special equipment, systems and site requirements, as more specifically described in Paragraph 2.2.1. 4.2 The Owner shall establish and update an overall budget for the Project, including the Construction Cost, the Owner's other costs and contingencies. related to all of - these costs. 4.3 The Owner Shall designate a representative authorized to act on the Owner's behalf with respect to the Project. The Owner or such authorized representative shall render decisions in a timely manner pertaining to documents submitted by the Architect in order to avoid unreasonable delay in the orderly and sequential progress of the Architect's services. 4.4 The Owner shall furnish the services of geotechnical engineers when such services are requested by the Architect and agreed to by the Owner. Such services may include but are not limited to test bores, test pits, determinations of soil bearing values, percolation tests, evaluations of hazardous materials and hazardous materials storage, ground corrosion and resistivity tests, including necessary operations for anticipating sub -soil conditions, with reports and appropriate professional recommendations. 4.5 The Owner shall furnish structural, mechanical, chemical, air and water pollution tests, tests of hazardous materials, and other laboratory and environmental tests, inspections and reports required by law or the Contract Documents. 4.6 The Owner shall furnish all legal, accounting and insurance counseling services as may be necessary at any time for the Project, including auditing services the Owner may require to verify the Contractor's Applications for Payment or to ascertain how or for what purposes the Contractor has used the money paid by or on behalf of the Owner. 4.7 The services, information, surveys and reports required by Paragraphs 4.4 through 4.7 shall be furnished at the Owner's expense, and the Architect shall be entitled to rely upon the'accuracy and completeness thereof in the absence of any negligence on the part of the Architect. 4.8 The Owner shall give prompt written notice to the Architect if the Owner becomes aware of any fault or defect in the Project or nonconformance with the Contract Documents. 10 4.9 Architect shall propose language for certificates or certifications to be requested of the Architect or Architect's consultants and shall submit such to the Owner for review and approval at least fourteen (14) days prior to execution. The Owner agrees not to request certifications that would require knowledge or services beyond the scope of this Agreement., ARTICLE 5 CONSTRUCTION COST 5.1 DEFINITION 5.1.1 The Construction Cost shall be the total cost or estimated cost to the Owner of all elements of the Project designed or specified by the Architect. 5.1.2 The Construction Cost shall include the cost at current market rates of labor and materials furnished by the Owner and equipment designed, specified, selected or specially provided for by the Architect, plus a reasonable allowance for the Contractor's overhead and profit. In addition, a reasonable allowance for contingencies shall be included for market conditions at the time of bidding and for changes in the Work during construction. - 5.1.3 Construction Cost does not include the compensation of the Architect and Architect's consultants, the costs of the land, rights-of-way, financing or other costs which are the responsibility of the Owner as provided in Article 4. 5.2 RESPONSIBILITY FOR CONSTRUCTION COST 5.2.1 Evaluations of the Owner's Project budget, preliminary estimates of Construction Cost and detailed estimates of Construction Cost prepared by the Architect represent the Architect's best judgment as a design professional familiar with the construction industry. It is recognized, however, that neither the Architect nor the Owner has control over the cost of labor, materials or equipment, over the Contractor's methods of determining bid prices, or over competitive bidding or market conditions. Accordingly, the Architect cannot and does not warrant or represent .that bids will not vary from the Owner's Project budget or from any estimate of Construction Cost or evaluation prepared or agreed to by the Architect. 5.2.2 No fixed limit of Construction Cost shall be established as a condition of this Agreement by the furnishing, proposal or establishment of a Project budget, unless such fixed limit has been agreed upon in writing and signed by the parties thereto. If such a fixed limit has been established, 11 the Architect shall be permitted to include contingencies for design, bidding and price escalation, to determine what materials, equipment, component systems and types of construction are to be included in the Contract Documents, to make reasonable adjustments in the scope of the Project and to include in the Contract Documents alternate bids to adjust the Construction Cost to the fixed limit. Fixed limits, if any, shall be increased in the amount of an increase in the Contract Sum occurring after execution of the Contract for Construction. 5.2.3 If the Bidding Phase has not commenced within 90 days after the Architect submits the Construction Documents to the Owner, any Project budget or fixed limit of Construction Cost shall be adjusted to reflect changes in the general level of prices in the construction industry between the date of submission of the Construction Documents to the Owner and the date on which proposals are sought. ARTICLE 6 USE OF ARCHITECT'S DRAWINGS, SPECIFICATIONS AND OTHER DOCUMENTS 6.1 The Drawings, Specifications and other documents prepared by the Architect for this Project are instruments of the Architect's service for use solely with respect to this Project and, unless otherwise provided, the Architect shall be deemed the author of these documents and shall retain all common law, statutory and other reserved rights, including the copyright. The Owner shall be permitted to retain copies, including reproducible copies, of the Architect's Drawings, Specifications and other documents for information and reference in connection with the Owner's use and occupancy of the Project. The Architect's Drawings, Specifications or other documents shall not be used by the Owner or others on other projects for additions to this Project or for completion of this Project by others, unless this Agreement is terminated because Architect is in default of this. Agreement, at which time the documents become the property of the City of Beaumont. 6.2 Submission or distribution of documents to meet official regulatory requirements or for similar purposes in connection with the Project is not to be construed as publication in derogation of the Architect's reserved rights. ARTICLE 7 TERMINATION, SUSPENSION OR ABANDONMENT 7.1 Architect may terminate this Agreement upon "not less than thirty days written . notice should the Owner fail substantially to perform in accordance with the terms 12 of this Agreement through no fault of the Architect. Owner may terminate this Agreement or any phase thereof upon thirty (30) days prior written notice to the. Architect with the understanding that immediately upon receipt of such notice, all work and labor being performed under the Agreement shall cease immediately. Before the end of the thirty (30) day period, Architect shall invoice the Owner for all work it performed prior to the receipt of such notice. No amount shall be due for lost or anticipated profits. All plans, field surveys, and other data related to the Project shall become property of the Owner upon termination of the Agreement and paragraph 6.1 shall not apply and they shall e promptly delivered to the Owner in a reasonably organized form. Should Owner subsequently contract with a new architect for continuation of services on the Project, Architect shall cooperate in providing information. 7.2 If the Project is suspended by the Owner for more than 30 consecutive days, the Architect shall be compensated for services performed prior to notice of such suspension. When the Project is resumed, the Architect's compensation shall be equitably adjusted to provide for expenses incurred in the interruption and resumption of the Architect's services. 7.3 This Agreement may be terminated by the Owner upon not less than seven days written notice to the Architect in the event that the Project is permanently abandoned. If the Project is abandoned by the Owner for more than 90 consecutive days, the Architect or the Owner may terminate this Agreement by giving written notice. 7.4 Failure of the Owner to make payments to the Architect in accordance with this Agreement shall be considered substantial nonperformance and cause for termination. 7.5 If the Owner fails to make payment to Architect within thirty (30) days of receipt of a statement for services properly performed, the Architect may, upon seven days written notice to the Owner, suspend performance of services under this Agreement. Unless Architect receives payment in full within seven (7) days of the date of the notice, the suspension shall take effect without further notice. In the event of a suspension of services under this section, the Architect shall have no liability to the Owner for delay or damage caused the Owner because of such suspension of services. 7.6 In the event of termination not the fault of the Architect, the Architect shall be compensated for services properly performed prior to termination. ARTICLE 8 MISCELLANEOUS PROVISIONS 8.1 This Agreement shall be governed by the, laws of the State of Texas. 13 8.2 Terms in this Agreement shall have the same meaning as those in AIA Document A201, General Conditions of the Contract for Construction, current as of the date of this Agreement. 8.3 The Owner and Architect, respectively, bind themselves, their partners, successors, assigns and legal representatives to the other party to this Agreement and to the partners, successors, assigns and legal representatives of such other party with respect to all covenants of this Agreement. Neither Owner nor Architect shall assign this Agreement without the written consent of the other. 8.4 This Agreement represents the entire and integrated agreement between the Owner and Architect and supersedes all prior negotiations,, representations or agreements, either written or oral. This Agreement may be amended only by written instrument signed by both Owner and Architect. 8.5 Nothing contained in this Agreement shall create a contractual relationship with or a cause of action in favor of a third party against either the Owner or Architect. 8.6 Unless otherwise provided in this Agreement, the Architect and Architect's consultants shall have no responsibility for the discovery, presence, handling, removal or disposal of or exposure of persons to hazardous materials in any form at the Project site, including but not limited to asbestos, asbestos products, polychlorinated biphenyl (PCB) or other toxic substances, provided, however, Architect shall have the responsibility to and shall report to the Owner the location of any hazardous material that an architect may suspect, or notice. 8.7 Upon receipt of prior written approval of Owner, the Architect shall have the right to include representations of the design of the Project, including photographs of the exterior and interior, among the Architect's promotional and professional materials. The Architect's materials shall not include the Owner's confidential or proprietary information if the Owner has previously advised the Architect in writing of the specific information considered by the Owner to be confidential or proprietary. The Owner shall provide professional credit for the Architect on the construction sign and in the promotional materials for the Project. ARTICLE 9 PAYMENTS TO THE ARCHITECT 9.1 DIRECT PERSONNEL EXPENSE 9.1.1 Direct Personnel Expense is defined as the direct salaries of the Architect's personnel engaged on the Project and the portion of the cost of their mandatory and customary contributions and benefits related thereto, such as employment taxes and other statutory employee 14 benefits, insurance, sick leave, holidays, vacations, pensions and similar, contributions and benefits. 9.2 REIMBURSABLE EXPENSES 9.2.1 Reimbursable Expenses are in addition to compensation for Basic and Additional Services and include expenses incurred by the Architect and Architect's employees and consultants in the interest of the Project, as identified in the following clauses. 9.2.1.1 Expenses in connection with authorized out-of-town travel; long- distance communications and fees paid for securing approval of authorities having jurisdiction over the Project. 9.2.1.2 If authorized in advance by the Owner, expense of overtime work requiring higher than regular rates. 9.2.1.3 Expense of renderings; models and mock-ups requested by the Owner. 9.2.1.4 Reproduction expenses associated with the printing of Plans and Specifications to be used in the Bidding Phase. 9.3 PAYMENTS ON ACCOUNT OF BASIC SERVICES 9.3.1 Payments for Basic Services shall be made monthly and, where applicable, shall be in proportion to services performed within each phase of service, on the basis set forth in Subparagraph 10.2.2. 9.3.2 When compensation is based on a percentage of Construction Cost and any portions of the Project are deleted or otherwise not constructed, compensation for those portions of the Project shall be payable to the extent services are performed on those portions, in accordance with the schedule set forth in Subparagraph 10.2.2 based on (1) the lowest bona fide bid. or (2) if no such bid or proposal is received, the most recent preliminary estimate of Construction Cost or detailed estimate of Construction Cost for such portions of the Project. 9.4 PAYMENTS ON ACCOUNT OF ADDITIONAL SERVICES 9.4.1 Payments on account of the Architect's Additional Services and for Reimbursable Expenses shall be made monthly upon presentation of the Architect's statement of services rendered or expenses incurred. Such charges shall be included as a separate item on the Architect's statement for Basic Services. 15 9.5 PAYMENTS WITHHELD 9.5.1 No deductions shall be made from the Architect's compensation on account of penalty, liquidated damages or other sums withheld from payments to contractors, or on account of the cost of changes in the Work other than those for which the Architect is responsible. 9.6 ARCHITECT'S ACCOUNTING RECORDS 9.6.1 Architect shall make available to Owner or Owner's authorized. representative records of Reimbursable Expenses and expenses pertaining to Additional Services and services performed.on the basis of a multiple of Direct Personnel Expense for inspection and copying during regular business hours for three years after the date' of the final Certificate of Payment, or until any litigation related to the Project is final, whichever date is later. ARTICLE 10 BASIS OF COMPENSATION The Owner shall compensate the Architect as follows: 10.1 BASIC COMPENSATION 10.1.1 FOR BASIC SERVICES, as described in Article 2, and any other services included in Article 11 as part of Basic Services, Basic Compensation shall be as follows: EIGHT PERCENT (8 %) OF THE CONSTRUCTION COST 10.1.2 Progress payments for Basic Services in each phase shall total the following percentages of the total Ba is Compensation payable (as per the attached Amendment No. 1) : r kh • Schematic Design .Phase 15% • Design and Development Phase 20% • Construction Documents Phase 30% • Bidding Phase 10% • Construction Phase 25% • Total Basic Compensation 100% 10.2 COMPENSATION FOR ADDITIONAL SERVICES 10.2.1 FOR PROJECT REPRESENTATION BEYOND BASIC SERVICES, as described in Paragraph 3.2, compensation shall be computed as follows: 16 a multiple of 1.25 times the expenses incurred by the Architect, the Architect's employees and consultants in the interest of the Project. 10.2.2 FOR ADDITIONAL SERVICES OF THE ARCHITECT, as described in Articles 3 and 11, other than (1) Additional Project Representation, as described in Paragraph 3.2, and (2) services included in Article 11 as part of Additional Services, but excluding services of consultants, compensation shall be computed as follows: Personnel Fixed Hourly Rate Principal $125.00 Senior Project Architect $100.00 Project Architect $ 85.00 .Intern Architect II $ 65.00 Intern Architect 1 $ 60.00 Interior Finish Consultant II $ 65.00 Interior Finish Consultant 1 $ 35.00 Secretarial $ 45.00 Associate Principal $95.00 Project Manager $85.00 Interior Designer $85.00 Draftsman/Technical Support $50.00 10.2.3 FOR ADDITIONAL SERVICES OF CONSULTANTS, including additional structural, mechanical, electrical, and civil engineering services and those provided under Subparagraph 3.4.11 or identified in Article 11 as part of Additional Services, a multiple of 1.25 times the amounts billed to the Architect for such services. 10.3 REIMBURSABLE EXPENSES 10.3.1 FOR REIMBURSABLE EXPENSES, as described in Paragraph 9.2, ,and any other items included in Article 11 as Reimbursable Expenses, a multiple of 1.25 ' times the expenses incurred by the Architect, the Architect's employees and consultants in the interest of the Project. 10.4 ADDITIONAL PROVISIONS 10.4.1 Payments are due and payable thirty (30) days from the date of receipt of the Architect's invoice. Amounts for services properly performed which remain unpaid sixty (60) days after the invoice date shall bear interest at -the rate of one (1 %) percent per month. 17 ARTICLE 11 OTHER CONDITIONS OR SERVICES 11.1 Architect shall maintain, at no expense to Owner, a professional liability (errors and omissions) insurance policy placed with a company rated at least B+/X by Best's Key Rating Guide, authorized to do business in Texas, in an amount not less than one million dollars ($1,00,0,000). Such policy shall require the giving of written notice to Owner at least thirty days prior to cancellation or non -renewal of any policies. Architect shall furnish Owner with copies of said policies or certificates evidencing such coverage. 11.2 Architect agrees to indemnify and hold harmless the City, its officers, agents, and employees from and against any and all claims or suits for injuries, damages, loss, or liability of whatever kind of character, arising out of or in connection with the performance by the Architect of those services contemplated by this Agreement, based upon the negligent acts of Architect, its officers, agents, employees and expressly including allegations- of negligence, acts or omissions of the City of Beaumont, its agents, officers or employees, when such negligence to the City arises from the vicarious negligent performance of professional work undertaken by Architect hereunder. 11.3 The Texas Board of Architectural Examiners, P. O. -Box 12337, Austin, TX 78711 . (Tel: 512-305-9000) has jurisdiction over persons licensed under the Architects Registration Law, Texas Civil Statutes, Article 249. This Agreement entered into as of the day and year first written above CITY OF BEAUMONT, TEXAS OWNER MN Kyle Hayes, City Manager ARCHITECTURAL ALLIANCE, INC. ARCHITECT 2)2 coor BY: 18 J. Rob Clark, AIA BEAUMONT Facilities Maintenance June 22, 2018 Rob Clark Architectural Alliance, Inc. 350 Pine Street, Suite 720 Beaumont, Texas 77701 Re: Amendment No. 1 to the 2009 Agreement for Architectural Services Restoration of Tyrrell Park Community Center Dear Mr. Clark, This letter shall serve as an amendment to the agreement for architectural services between the City of Beaumont (herein "City") and Architectural Alliance, Inc. (herein "Architect") for the Restoration of the Tyrrell Park Community Center executed August 20, 2009 (Herein "Agreement for Architectural Services"). In accordance with the attached Exhibit "A", the City of Beaumont (Owner) will receive full credit for the previously performed Schematic Design Phase. A fixed fee -of $1,500.00 will be invoiced to the City to modify the previous Schematic Design Phase drawings per the new design concept approved by the City of Beaumont to serve as the guide for all work performed. The balance of architectural and engineering services will follow the previously approved Owner -Architect Agreement as follows: Design Development Phase 20% of total fee Construction Documents Phase 30% of total fee Bidding Phase 10% of total fee Construction Phase 25% of total fee If this amendment is acceptable to Architectural Alliance, Inc., please sign where indicated and return one (1) executed copy of the amended agreement to the City. 19 Sincerely, Kyle Hayes, City Manager ACCEPTED: Architectural J. RoYCIdrk, AIA 20 EXHIBIT 'A' Architectural Alliance,inc. June 12, 2018 Mr. Keith Folsom Facility maintenance Superintendent P.O. Box 3827 Beaumont, TX 77704 Ref: FEE STRUCTURE FOR RESTORATION/ADAPTATION SERVICES TYRRELL,PARK COMMUNITY BUILDING Dear Mr. Folsom, Architectural Alliance proposes that the Architectural and Engineering Fee of 8% remain as a continuation of the previously approved August 20th, 2009, signed Owner -Architect Agreement for Architectural Services for this project. We suggest that these services can be performed by reactivating this previous contract as a way of expediting services and crediting the previously perform Schematic Phase of services by incorporating the following amendment to the previous agreement: "The owner will receive full credit for the previously performed Schematic Design Phase. A fixed fee of $1,500 will be invoiced to the city to modify the previous Schematic Design Phase drawings per the new design concept approved by the City of Beaumont to serve as the guide for all work performed. The balance of architectural and engineering services will follow the previously approved Owner - Architect Agreement." Design Development Phase 20% of total fee Construction Documents Phase 30% of total fee Bidding Phase 10% of total fee Construction Phase 25% of total fee We appreciate the opportunity to work with the city on this continuation of Tyrrell Park master plan improvements. Please contact our office should there be any questions. We have attached a copy of the 2009 approved agreement for your review and consideration. With kindest regards, ARCHITECTURAL ALLIANCE, INC. J. Rob Clark, AIA Enc. 350 Pine Street, Suite 720 Beaumont, Texas 77701 409.866.7196 www.architectall.com Ronald M. Jones, AIA J. Rob Clark, AIA GADoc12018\1852 Tyrrell Park Community Building Renovation124 Client ConespondenceXProposel for services 6-12-2018.docx Page 1 of 1 Cl July 17, 2018 Consider granting a new solid waste transportation service agreement with DSC Carting, LLC BEAUMONT TEXAS TO: City Council FROM: Kyle Hayes, City Manager PREPARED BY: Todd Simoneaux, Chief Financial Officer MEETING DATE: July 17, 2018 REQUESTED ACTION: Council consider granting a new solid waste transportation service Agreement with DSC Carting, LLC. According to City Ordinance 22.05.101, 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. Seven (7) entities currently have nonexclusive franchise agreements with the City and are doing business in this area. DSC Carting, LLC dba Deep South Containers has requested that the City Council grant the company such franchise agreement. DSC Carting, LLC serves Southwest Louisiana and Southeast Texas with its Beaumont office located at 1440 Spindletop Avenue. The franchise agreement 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 the 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 the franchisee. Attached is a copy of the franchise agreement for your review. This is the first reading. FUNDING SOURCE A franchise fee of seven percent (7%) of gross receipts will be paid to the City. RECOMMENDATION Approval of resolution. ORDINANCE NO. ENTITLED AN ORDINANCE GRANTING A FRANCHISE FOR SOLID WASTE COLLECTION AND TRANSPORTATION SERVICES TO DSC CARTING, LLC. WHEREAS, DSC Carting, LLC (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 DSC Carting, LLC 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 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. 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 under this 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 or employees, and Company will 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 Liabili 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 an 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 Ric1hts 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. Nnfirac Where written notices are provided for in this ordinance, same shall be sufficient to notify Company when provided by certified mail to: DSC Carting, LLC 1701 W. Willow Street Lafayette, LA 70583 Notice to City is sufficient if mailed by certified mail to: City Manager City of Beaumont P.O. Box 3827 Beaumont, TX 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 affect 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. The meeting at which this ordinance was approved was in all things conducted in strict compliance with the Texas Open Meetings Act, Texas Government Code, Chapter 551. PASSED BY THE CITY COUNCIL of the City of Beaumont on first reading this the 17th day of July, 2018. - Mayor Becky Ames - The meeting at which this ordinance was approved was in all things conducted in strict compliance with the Texas Open Meetings Act, Texas Government Code, Chapter 551. PASSED BY THE CITY COUNCIL of the City of Beaumont on second reading this the day of , 2018. -Mayor Becky Ames - The meeting at which this ordinance was approved was in all things conducted in strict compliance with the Texas Open Meetings Act, Texas Government Code, Chapter 551. PASSED BY THE CITY COUNCIL of the City of Beaumont on final reading this the day of ACCEPTANCE: DSC Carting, LLC (Company Owner/Representative) rM - Mayor Becky Ames - PUBLIC HEARING Receive comment related to finding and ratifying the determination of the Director of Health that a public nuisance exists on the properties at 1544 Hazel, 642 Washington Blvd. and 7895 San Diego, due to the accumulation of excessive litter allowing for conditions conducive to breeding of mosquitoes and harborage of rats and order the property owners to clean the said properties within ten (10) days. If the property owners fail to comply within ten (10) days, staff is requesting City Council authorization to clean these properties and/or authorizing the City Attorney to seek legal action to have the nuisances abated ES July 17, 2018 Consider an ordinance finding and ratifying the determination of the Director of Health that a public nuisance exists on the properties at 1544 Hazel, 642 Washington Blvd. and 7895 San Diego, due to the accumulation of excessive litter allowing for conditions conducive to breeding of mosquitoes and harborage of rats and order the property owners to clean the said properties within ten (10) days. If the property owners fail to comply within ten (10) days, staff is requesting City Council authorization to clean these properties and/or authorizing the City Attorney to seek legal action to have the nuisances abated BEAUMONT TO: City Council FROM: Kyle Hayes, City Manager PREPARED BY: Sherry UlmetPjublic Health Director MEETING DATE: July 17, 2018 REQUESTED ACTION: After conducting a public hearing, Council consider an ordinance finding and ratifying the determination of the Director of Public Health that a public nuisance exists on the following properties due to the accumulation of excessive litter allowing for conditions conducive to breeding of mosquitoes and harborage of rats and order the property owners to clean the said properties within ten (10) days. If the property owners fail to comply within ten (10) days, staff is requesting City Council authorization to clean these properties and/or authorizing the City Attorney to seek legal action to have the nuisances abated: #1) 1544 Hazel JIROU Ll I B 10 Owned by Alfred R. Arrendondo #2) 642 Washington Blvd ARLINGTON L -9L-10 B-4 Owned by Ruby Tetley #3) 7895 San Diego Bel Air L 18 B 14 Owned by Sarah Beth Strother & Billy R. Eastwood BACKGROUND According to Beaumont's Code of Ordinances, Chapter 10 Health and Sanitation, Sec 10.01.001, a nuisance is defined as whatever is dangerous to human life or welfare or whatever renders the ground, the water, the air or food a hazard or injury to human health is hereby declared to be a nuisance. The City's Code of Ordinances further states in Chapter 12 Section 12.07.003 that a person who owns or occupies property commits and offense if that person allows litter on that person's property. After many attempts by the City's Code Enforcement Division and the Public Health Department, the owners were notified in January, 2018 that their properties had been declared public health nuisances by the Public Health Director and were given ten (10) days to abate. The owners have failed to comply. FUNDING SOURCE General Fund — Public Health. RECOMMENDATION Approval of the resolution. INVESTIGATION REQUEST BEAUMONT CITY of BEAUMONT pirbl�He�th Environmental Health Division DATE TIME BY PGM INVENTORY TYPE LOCATION 06/19/17 4:12 pm JS 48N 5 INDV - INDIVIDUAL Page 1 of 2 250174 CONTROL NUMBER Reported: 06/19/17 SD/Emp 3 District 3 300 Scott, Jane REQUESTED BY WORK PHONE HOME PHONE CELLPHONE CODE ENFORCEMENT 409-880-3719 BEAUMONT TX REGARDING HAZEL 1544 ALFRED ARREDONDO 1544 HAZEL BEAUMONT TX 77701 CONTACT PHONE OTHER PHONE CELL PHONE 409-937-1158 RESPONSIBLE PARTY SAME AS REGARDING PREVIOUS FINDINGS / ACTION TAKEN: 06/19/17 FAR Further Action Required; Notice left taped to front door that stated: "Clear your porperty of all violations." "30 days" for compliance. "In violation for over 2 1/2 years, as per Code Enforcement." 07/27/17. FAR Further Action Required; Piles of trash in yard. No improvement from previous inspection, and the only difference is that it appears that trash in the middle of the front yard has been moved to the side and that he has made a sort of gate out of plywood to block off access to the left side of his house. Mr. Arredondo's truck was in front of the house but he would not answer the door. I left taped to the glass of the front door a hand notice that read: "Clear all trash and clutter from yard and porch, front and backyards." "10 days" but "past due" for compliance. 08/02/17 FAR Further Action Required; I received a call from Mr. Arredondo, who said he is working on it. 01/12/18 FAR Further Action Required; Clutter, trash, and equipment are all scattered in all parts of the yard. Stagnant water in containers. Violations of the City Ordinance include: Litter, Rodent Harborage, and Stagnant Water/Mosquito Breeding Conditions. On the front door I taped a hand notice that stated: 'This is a Public Health Nuisance." "Clear and clean property." "past due" for compliance. 01/16/18 FAR Further Action Required; A letter of General Nuisance was drafted, then the completed letter attached to the door of the home at 1544 Hazel. 04/11/18 FAR Further Action Required; There are still household items in the yard which are creating violations of Litter and Rodent Harborage. - Alfred Arredondo signed for the notice that stated: "Clean and clear property, both front and back yards." "Past due" for compliance. "This is a Public Health Nuisance." 04/11/18 FAR Further Action Required; Director notified. 06/25/18 FAR Further Action Required; Trash, equipment, and building materials are still allover the front and side yards. Weeds are overgrown between the trash that is scattered across the ground. (The back yard is not visible but assumed to also be in violation.) Violations noted in the Rodent Harborage, Weeds, and Litter parts of the Ordinance. 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'f' d iLap''! . /c`\ �/� ) -✓�' ok � �� `y 1 `11J�� / ;,` " �-1. 7C i • .1G1 ,I�1,�fP�'� � s ~ l � � •1 • � t j.. ����4 Alt VALA � y r r-it Z, •,, � 1 , .,. jNil No Text INVESTIGATION REQUEST 601MONT CITY of BEAUMONT PURCHmlU Environmental Health Division DATE TIME BY PGM INVENTORY TYPE LOCATION 07/13/17 2:40 pm JS 48N 5 INDV - INDIVIDUAL REQUESTED BY CODE ENFORCEMENT BEAUMONT TX REGARDING WASHINGTON 642 MARY TETLEY 642 WASHINGTON BEAUMONT TX 77705 WORK PHONE 409-880-3719 Page 1 of 3 2501.78 CONTROL NUMBER Reported: 07/14/17 SD/Emp 3 District 3 300 Scott, Jane HOME PHONE CELLPHONE CONTACT PHONE OTHER PHONE CELL PHONE 409-893-1473 RESPONSIBLE PARTY SAME AS REGARDING PREVIOUS FINDINGS / ACTION TAKEN: 07/13/17 FAR Further Action Required; I called and left voice messages for Mary Tetley on 7/7/17, 7/10/17, and 7/13/17, but never heard back from her. I left a notice in the mail slot at the front of the building that stated: "Clean property. Contact our Office (409)654-3667." "10 days for compliance." 07/27/17 FAR Further Action Required; Trash still on ground and grass and shrubs still heavily overgrown. Mary Tetley was in her car and about to back out of her parking space when 1 arrived, so'I was able to leave the notice with her and get her signature on the hand notice. The notice read: "Clean and clear property." "past due" for compliance, because Terry Randle of Code Enforcement has sent several notices and tried to call her, all with no response. I have also left her several voice messages and left a hand notice in the mail slot for the building, so this is a second notice for her. She stated that she will take care of the trash on the ground. She also stated that she doesn't need any help. 08/14/17 FAR Further Action Required; Yard still badly overgrown, and many bags of household trash still on the ground. Odor, flies, and containers holding water. Violations in Litter, Mosquito Breeding, Rodent Harborage, Weeds, and Odor, are present here today. A citation will be filed. This is a Public Health Nuisance. I left a notice taped to the front glass of the door. "Clean up trash and clear yard." "Past due" for compliance. 11/30117 FAR Further Action Required; Another call came in saying that the garbage was still on the ground. On 11/30/17, 1 called Mary Tetley and a left voice message for her stating that she had to clean up the garbage. 12/01/17 FAR Further Action Required; I called and spoke to Mary Tetley, and told her she had to pickup the garbage. She said that she would "take care of it". 12/20/17 FAR Further Action Required; There are many bags of trash, household items, containers holding fouled water, overgrown weeds and shrubs, and a foul odor. There are violations of the General Nuisance Section of the City Ordinance in "Litter", "Rodent Harborage", "Stagnant Water", "Mosquito Breeding Conditions", "Weeds", and Odor as being a Nuisance Generally. Mary Tetley did not answer when I knocked on the front door, and her car was not there. I left a hand notice taped to the glass of the front door that stated: "Clean and clear property." "Past due" for compliance. 12/22/17 FAR Further Action Required; Probable Cause Affidavit to file charges was dropped off at Municipal Court, citing Rodent Harborage, Litter, Standing Water/Mosquito Breeding, Weeds, and Odor. 01/23/18 FAR Further Action Required; I drove past to see if there is any improvement. The piles of trash, tall weeds, and overgrown shrubs are still there. 01/24/18 FAR Further Action Required; Follow Up Inspection for "Probable Cause Affidavit', as Preliminary Hearing is tomorrow. Also a Public Health Nuisance suit is pending. Property still non-compliant. Mang bags of trash, loose trash, and household items piled agains the building and scattered across the grounds. Page 2 of 3 250178 CONTROL NUMBER There are many weeds that have grown high, and shrubs that are extremely overgrown. Note: There are two filled trash cans that have been brough to the curb, which indicate some progress but a lot more work Is still required. No one was there, so I left a notice taped to the glass of the front door that stated: "Clean and clear property." "Past due" for compliance. 01/25/18 FAR Further Action Required; Preliminary Hearing at Municipal Court for the Probable Cause Affidavit. Mary Tetley did not appear. 01/26/18 FAR Further Action Required; Follow Up Inspection for pending suit against Mary Tetley. Two trash cans and several bags of trash have been moved to the curb for pick up. However, there are still piles of trash and household items against the building and scattered across the grounds. The weeds and shrubs are still overgrown. Therefore, the property is not in compliance. During this inspection 1 noticed that there is a car in the back of the building behind defoliated shrubbery, but it is unclear how the car got there. I drove to Terrell Street, which is directly behind the building, and took a photo from that side. Due to the overgrowth of small trees, vines, and shrubs it is unclear how the car got there. I was unable to get dose enough to the car to see if it is a junk motor vehicle. Although it's very overgrown, there does seem to be somewhat of a path from Terrell Street to the back of the building. I left a hand notice taped to the glass of the front door of the building that stated: "You must clean and clear your property of all violations." "Past due" for compliance. "City Attorney will be notified." 01/12/18 FAR Further Action Required; The Director and Assistant Director of Public Health hand delivered the letter of notice of Public Health Nuisance to Mary Tetley on this past Friday 1/12/18. 04/11/18 FAR Further Action Required; There are still household items and trash on the ground creating violations of Litter and Rodent Harborage. The shrubs and weeds are still overgrown creating a violation of Weeds. I left taped to the front door a notice that stated: "Glean and Clear property." "Past Due" for compliance. "This is a Public Health Nuisance." 04/11/18 FAR Further Action Required; Director notified. 06/25/18 FAR Further Action Required; Trash and household items are still on the ground, and the weeds and shrubs are still extremely overgrown. Violations noted in the Rodent Harborage, Litter, and Weeds parts of the Ordinance. I taped a hand notice to the front door that stated: "Clean and clear your property" "Past due". for compliance. "Again non-compliant 06/25/2018 - Director and City Attorney will be notified to pursue lawsuit." NATURE OF REQUEST: GN GENERAL NUISANCE COMPLAINT "Lady living in upstairs of house is throwing bags of trash outside onto the ground below." "Code Enforcement has sent letters to the PO Box, to the house, and even left a notice on the car parked outside, without ever getting a response from the owner." Findings: True. Large piles of trash beside building, with trail through to back yard. Odor. A/C unit in upstairs window was running today, indicating that she does have electricity. Call to Water Billing indictes that she hasn't had water since 11/07/2016. CONFIRMED ® NOT CONFIRMED ❑ NOTICE ISSUED ® COS ❑ FINDINGS 1 ACTION TAKEN: Page 3 of 3 250178 CONTROL NUMBER COMPLETE ® COMPLAINANT INTERVIEWED ® BY DATE SPECIALIST BY DATE SUPERVISOR vq m .1 , TP 0�, W.'M •-!Pt 10: 1 -In. 11 . 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INVESTIGATION REQUEST Pagel oft BEAUMONT CITY of BEAUMONT 250064 PdIC" Environmental Health Division CONTROL NUMBER Reported: 04126/16 DATE TIME BY PGM INVENTORY TYPE LOCATION SD/Emp 04/26/16 11:15 am JS 48N 5 INDV - INDIVIDUAL 3 District 3 300 Scott, Jane REQUESTED BY WORK PHONE HOME PHONE CELLPHONE CODE ENFORCEMENT 409-880-3719 BEAUMONT TX REGARDING SAN DIEGO 7895 EASTWOOD, BILLY AND SARAH BETH 7895 SAN DIEGO BEAUMONT TX 77708 RESPONSIBLE PARTY PREVIOUS FINDINGS I ACTION TAKEN: SAME AS REGARDING CONTACT PHONE OTHER PHONE CELL PHONE 409-998-0342 04/26/16 FAR Further Action Required; Lett notice with owners, Billy Eastwood and his wife Sarah Beth Strother Eastwood, that stated: "These items cluttering your yard must be removed, and grass/weeds trimmed. All rodent and mosquito harborage conditions must be corrected. Already past due as per Code Enforcement." Code Enforcement has been asking them, to correct the situation for several years. 09/27/16 FAR Further Action Required; Yard still very cluttered with trash, tools, equipment, old toys, containers holding water, several areas with high weeds. Some progress has been made but yard could be considered a Public Health Nuisance. Violations to the General Nuisance Codes include: Littler, trash, rodent harborage, weeds, stagnant water, and mosquito breeding areas. 1 left a signed notice with the owner, Billy Eastwood, that stated: "Clear your yard of all excessive items, and keep al grass and weeds trimmed." "Past due' for compliance. 01/09/18 FAR Further Action Required; Another complaint came in from Code Enforcement, who said that "the property is still very cluttered." Findings: True. A lot of equipment is stored in the front yard, including a tractor, boat, trailer, soda machine, lawn mower, truck box, chairs, fines, wood on a lowboy trailer, items stored under tarps. There are low spots holding water In the yard. The grass is very high around the lowboy trailer. I took photos of the front of the house, and along the right side of the house with the permission of the owner, Sarah Strother Eastwood. I saw that some of the items were trash that need to be discarded, and that some of the containers were holding water. Violations of the City Ordinance include: Rodent Harborage, Litter, Weeds, Standing Water/Mosquito Breeding Conditions. The owners, Billy Eastwood and Sarah Strother Eastwood were there, and Sarah Strother Eastwood signed for the hand notice that stated: "Clean yard of all unnecessary equipment." "This can be considered a Public Health Nuisance." "Past due" for compliance. 01/19/18 FAR Further Action Required; Director of Public Health, Sherry Ulmer, hand delivered a letter of Public Health Nuisance to the Eastwoods House. The letter gave them 10 days to abate all the Nuisance violations, and failure to do so will result in legal action being taken against them. 02/02/18 FAR Further Action Required; Follow Up inspection, pursuant to pending lawsuit of Public Health Nuisance: A lot of equipment, trash, and weeds are still on the property. Violations of the City Ordinance include:, Rodent Harborage, Litter, Weeds, Standing Water/Mosquito Breeding Conditions. A hand notice was left with the owner; Billy Eastwood, that stated "Clean and Clear property" and "past due" Page 2of2 250064 CONTROL NUMBER for compliance. 04/11/18 FAR Further Action Required; Litter; old equipment, and overgrown weeds are still on the property, creating violations in the categories of Weeds, Litter, and Rodent Harborage. I left taped to the front door a notice that stated: "Clean and clear your property, front and back." "Past due" for compliance. "This is a Public Health Nuisance." 04/11/18 FAR Further Action Required; Director notified. 06/25/18 FAR Further Action Required; Trash, tools, and equipment are all still in the yard. Weeds are >12" high all over the yard. Violations noted in the,Rodent Harborage, Litter, and Weeds parts of the Ordinance. Notice signed by owner, Billy Eastwood. Notice stated: "Clean and clear your property." "Past due" for compliance. "Non-compliant again on 6/25/18 - Director and City Attorney will be notified to pursue lawsuit." NATURE OF REQUEST: GN GENERAL NUISANCE COMPLAINT "A lot of items stored in yard, that create harborage conditions" Findings: True. Tools, toys, trailers, tires, all just seen in front yard. Also some weeds overgrown. Litter, Weeds, Mosquito, and Rodent Harborage conditions are violations of the General Nuisance Ordinance of the City of Beaumont In the back yard the grass is even higher, and there is a truck parked there. Also, several ATV or lawn mowers, and a tarp or pool liner piled up with pockets holding water. CONFIRMED ® NOT CONFIRMED ❑ NOTICE ISSUED ® COS ❑ FINDINGS / ACTION TAKEN: COMPLETE ® COMPLAINANT INTERVIEWED BY DATE SPECIALIST BY DATE SUPERVISOR r � Page 2of2 250064 CONTROL NUMBER for compliance. 04/11/18 FAR Further Action Required; Litter; old equipment, and overgrown weeds are still on the property, creating violations in the categories of Weeds, Litter, and Rodent Harborage. I left taped to the front door a notice that stated: "Clean and clear your property, front and back." "Past due" for compliance. "This is a Public Health Nuisance." 04/11/18 FAR Further Action Required; Director notified. 06/25/18 FAR Further Action Required; Trash, tools, and equipment are all still in the yard. Weeds are >12" high all over the yard. Violations noted in the,Rodent Harborage, Litter, and Weeds parts of the Ordinance. Notice signed by owner, Billy Eastwood. Notice stated: "Clean and clear your property." "Past due" for compliance. "Non-compliant again on 6/25/18 - Director and City Attorney will be notified to pursue lawsuit." NATURE OF REQUEST: GN GENERAL NUISANCE COMPLAINT "A lot of items stored in yard, that create harborage conditions" Findings: True. Tools, toys, trailers, tires, all just seen in front yard. Also some weeds overgrown. Litter, Weeds, Mosquito, and Rodent Harborage conditions are violations of the General Nuisance Ordinance of the City of Beaumont In the back yard the grass is even higher, and there is a truck parked there. Also, several ATV or lawn mowers, and a tarp or pool liner piled up with pockets holding water. 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' r; ' � .� .ao, Vis: • v • A ... ; "` ,,,' ( ,a�A+ �•_ a R.k'i- • � It• (• '�aU.ipc•.i,` � a fir: .` '1'{� •` ,.Yti � r� .� �1 JS :.�•. `,�-,j�'.•vLy.`vl,a. r1r_•tyt,\�1�.,,,.r;'.'•t. ��a.�;• S.^:,;� �• \�•'..��5f+� ,,,. yk..' ' WIlIbLo ����i`1�a�'�y ,�^,'�y� �t�.=_.��trr�e�•eeegF��rr'Fv!ly�y �✓:13��:32::w7i:`�,. :i •w�. i �---•-- :, ., A ) 1 - - lti•:�!-.�.a+c►�YC�:aC Ny/r+Yr"w v-'-r--.' J j-,j ' ('_1 "'�� 1, j 1 �•, `�—� ar.,r — _----•_- ,± �r (' ,•tri ar' .•fjd:h�,, �' _ ' J •� ,• /�` ; _ 1, •�: • / • No Text ORDINANCE NO. ENTITLED AN ORDINANCE FINDING CERTAIN PROPERTIES TO BE PUBLIC HEALTH NUISANCES AND ORDERING ABATEMENT; AUTHORIZING CLEANUP; AUTHORIZING SUIT; PROVIDING FOR SEVERABILITY AND PROVIDING FORA PENALTY. Section 1. That the City Council of the City of Beaumont hereby finds and declares the properties located at: #1) 1544 Hazel JIROU L11 B10 Owned by Alfred R. Arrendondo #2) 642 Washington Blvd. ARLINGTON L -9L-10 B-4 Owned by Ruby Tetley #3) 7895 San Diego Bel Air L 18 B 14 Owned by Sarah Beth Strother & Billy R. Eastwood to be public health nuisances in that said properties are in violation of Chapter 12, Article 12.07, Sections 12.07.002 and 12.07.003; Chapter 10, Article 10.05, Section 10.05.001; and, Chapter 10, Article 10.04, Section 10.04.003 of the Code of Ordinances of the City of Beaumont and are for want of retrieval and allowance of the accumulation of trash, litter, debris, and water in an unsafe and unsanitary condition so as to allow for the breeding and proliferation of infectious mosquitoes and rats, or otherwise likely to endanger the health, safety or general welfare of the citizens of the City. Section 2. In accordance with Chapter 10, Articles 10.04 and 10.05 and Chapter 12, Article 12.07 of the Code of Ordinances of Beaumont, Texas, it is hereby ordered that the owner or owners of the following described properties retrieve and remove all litter, trash, or debris which may become the harborage for rats or any standing or stagnant water that, may become the breeding place for mosquitoes within ten (10) days of the effective date of this ordinance. If the property owner(s) fail(s) to comply within ten (10) days, Council orders that the property be cleaned at the owner's expense without further notification to the property owners or City Council action. A lien will be placed against the property as an assessment of expenses incurred for the work performed. Section 3. That the City Attorney is hereby authorized to file and. prosecute a lawsuit against the owner or owners to compel compliance with the City's Health and Safety Codes, seeking all relief applicable thereto. Section 4. That if any section, subsection, sentence, clause or phrase of this ordinance, or the application of same to a particular set of persons or circumstances should for any reason be held to be invalid, such invalidity shall not affect the remaining portions of this ordinance, and to such end the various portions and provisions of this ordinance are declared to be severable. Section 5. That any person who violates any provision of this ordinance shall, upon conviction, be punished as provided in Section 1.01.009 of the Code of Ordinances of Beaumont, Texas. The meeting at which this ordinance was approved was in all things conducted in strict compliance with the Texas Open Meetings Act, Texas Government Code, Chapter 551. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 17th day of July, 2018. - Mayor Becky Ames - WORK SESSION Review and discuss the City's Adopt -A - Street Program WORK SESSION Review and discuss adding "Gethrel Williams -Wright" to the top of the street sign of Fortune Lane July 17, 2018 Consider a resolution approving the settlement of pending litigation between the City of Beaumont and APAC-Texas, Inc. and Oldcastle Materials Texas, Inc. (Cause Nos. A-201103 and E-200934) BEAUMONT TEXAS TO: City Council FROM: Kyle Hayes, City Manager PREPARED BY: Tyrone Cooper, City Attorney MEETING DATE: July 17, 2018 REQUESTED ACTION: Council consider a resolution approving the settlement of pending litigation between the City of Beaumont and APAC-Texas, Inc. and Oldcastle Materials Texas, Inc. (Cause Nos. A-201103 and E- 200934) Is"•V e1Z1111 —01 Al City of Beaumont originally brought suit against APAC-Texas, Inc., alleging that APAC had provided sub -standard asphalt on various City projects. Oldcastle Materials Texas, Inc. subsequently filed suit against, among others, City of Beaumont and Dr. Joe Majdalani, as Director of Public Works, seeking, among other things, declaratory and injunctive relief. An agreement has been reached to resolve all disputes between APAC/Oldcastle and the City and its representatives in these cases. Under the agreement, APAC would extend the City the sum of $125,000 in credits for future work APAC may perform for the City, and these lawsuits will be mutually dismissed between the City and the APAC entities. FUNDING SOURCE Not applicable. The City will not be paying any money to APAC or Oldcastle. RECOMMENDATION Approval of the resolution. RESOLUTION NO. WHEREAS, the lawsuits styled City of Beaumont vs. APAC-Texas, Inc.; Cause No. A-201103 and In Re: OldCastle Materials Texas, Inc. D/B/A Gulf Coast; Cause No. E-200934 was discussed in .Executive Session properly called and held Tuesday, July 17, 2018; and, WHEREAS, the City Attorney is requesting authority to settle the matters with APAC-Texas, Inc. and Oldcastle Materials Texas, Inc.; and, WHEREAS, the City Council has considered the merits of the request and is of the opinion that it is in the best interest of the City to settle the lawsuits; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BEAUMONT: THAT the statements and findings set out in the preamble to this resolution are hereby, in all things, approved and adopted; and, THAT the City Attorney be, and he is hereby, authorized to settle the claims of APAC-Texas, Inc and Oldcastle Materials Texas, Inc. in the lawsuits styled Cily of Beaumont vs. APAC-Texas, Inc.; Cause No. A-201103 and In Re: OldCastle Materials Texas, Inc. D/B/A Gulf Coast; Cause No. E-200934 for the sum of One Hundred Twenty -Five Thousand and XX/100 ($125,000.00) in credits for future work APAC may perform for the City; and, BE. IT FURTHER RESOLVED THAT the lawsuits will be mutually dismissed between the City of Beaumont and the APAC entities; and, BE IT ALSO RESOLVED THAT the City Manager be and he is hereby authorized to execute all documents related to dismissal of the lawsuits. The meeting at which this resolution was approved was in all things conducted in strict compliance with the Texas Open Meetings Act, Texas Government Code, Chapter 551. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 17th day of July, 2018. - Mayor Becky Ames -