06-24-19 Regular Meeting of the La Porte City Council

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WHEREAS, Texas law and the by-laws of the LPDC require that certain expenditures and projects by the LPDC be approved by the governing body of the City; and whereas the LPDC Board has duly approved such projects and the expenditures for same have been authorized by the La Porte City Council; and WHEREAS, publication of notice for public hearing required under Texas Local Government Code Section 505.160 for expenditure of Type B funds on a proposed project was made and there was no petition filed with the City registering a protest to the proposed grant. NOW THEREFORE, in consideration of the covenants and conditions stated herein, and in consideration of the mutual benefits that will accrue to each of the parties hereof, as well as to the citizens of the City of La Porte, Texas, the parties have agreed and do hereby agree as follows: ARTICLE I A. In consideration of Recipient locating its proposed styrene monomer manufacturing facility at the Battleground Manufacturing Complex, as specifically described in that certain public hearing authorizing the proposed project and expenditure of LPDC funds for the creation and retention of primary jobs and the development, retention, or expansion of manufacturing and industrial facilities, held before the LPDC on , 2019 (hereinafter, "Public Hearing"), LPDC agrees to provide Recipient an incentive package consisting of cash payments in the cumulative amount of $700,000.00, according to the schedule outlined in this Article I and the retention of said payment being conditioned upon Recipient's satisfaction of certain minimum construction related capital investment costs and additional permanent direct jobs as provided in this Article I. The cash incentives herein described shall be distributed as follows- 1) a cash incentive payment in the amount of $250,000.00 for the Styrene Monomer Project will be distributed to Recipient after execution of this Agreement and no later than thirty (30) days after receipt and acceptance by LPDC of a) letter from Recipient evidencing Recipient's initiation of construction of the Styrene Monomer Project at the Battleground Manufacturing Complex, which for purposes of this Agreement shall mean the first physical action of Recipient's EPC contractor at the construction site following the receipt by Recipient of all permits and other governmental approvals required to proceed with construction (other than land clearing activities) and b) proof of execution by Recipient of an Industrial District Agreement between Recipient and the City of La Porte, Texas applicable to the property utilized for the Styrene Monomer Project. In the case that written proof of initiation of construction and execution of an Industrial District Agreement is presented to LPDC in accordance with paragraph (1) immediately above, the LPDC shall convene a meeting of the LPDC Board of Directors for a date no later than thirty (30) days after receipt of proof of said items from Recipient. Upon verification of the requirement, as reflected by formal vote of the LPDC Board of Directors that Recipient has satisfied the requirements of this