O-2008-3059 second amendment to agreement/Sylvan Beach Fishing Pier, increasing the Escrow Fund for pier repair and replacement

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SECOND AMENDMENT TO LEASE AGREEMENT THE STATE OF TEXAS S S COUNTY OF HARRIS S THIS SECOND AMENDMENT TO LEASE AGREEMENT, made and entered into pursuant to TEX. GOy'T CODE ANN. 9791.001 et. seq. (Vernon 2004) (the Interlocal Cooperation Act), by and between HARRIS COUNTY, a body corporate and politic under the laws of the State of Texas, hereinafter sometimes called "the County," and the CITY OF LA PORTE, a municipal corporation under the laws of the State of Texas, hereinafter sometimes called "the City"; WIT N E SSE T H: WHEREAS, on or about April 12, 1994, the County and the City entered into a Lease Agreement for the construction, operation and maintenance of the fishing pier at the Sylvan Beach Park, hereinafter called "Lease Agreement"; and WHEREAS, pursuant to the Lease Agreement, the City maintains an escrow account that is to be used to pay for the repairs to and restoration of the pier in the event of damage to or destruction of the pier; and WHEREAS, the County and the City intended for the balance in the escrow account to be maintained in an amount that would produce buying power equivalent to $60,000.00 in the year 1993; and WHEREAS, after it became apparent that the cost of replacing the pier would exceed the equivalent of $60,000.00 in the year 1993, the County and the City, on or about October 6, 1998, entered into an Amendment to Lease Agreement for the purpose of increasing the balance in the escrow account to an amount that would produce buying power equivalent to $150,000.00 in the year 1998, and requiring the purchase of insurance by the City to cover any deficiency in such account; and WHEREAS, it has become apparent that the cost of replacing the pier would exceed the buying power equivalent to $150,000.00 in the year 1998; and WHEREAS, the County and the City desire to increase the balance in the escrow account to an amount that produces buying power equivalent to $450,000.00 in the year 2007; NOW, THEREFORE, the County and the City, in consideration of the mutual covenants and agreements herein contained, do mutually agree as follows: I The portion of Paragraph IV of the Lease Agreement, as amended, which reads as follows: "(a) (1) For the period commencing on April 1, 1994 and ending on August 31, 1998, City will establish an escrow account, into which City shall deposit two thirds (2/3) of all gross receipts from patrons using the pier. The purposes of this escrow account is to establish a self-insured fund for the future