11-08-17 LPRDA/TIRZ - Laserfiche WebLink

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La Porte City of La Porte,lTexasnt Authority SUB J�CDR OFC November Page 2 C. We verified the mathematical accuracy of the engineering invoices on a test basis. We tested the completeness of the engineering invoices based upon the total engineering invoices billed. D. We reviewed the computation of certain costs to gain assurances that the amounts required to be paid 1007o by the Developer, in accordance with the Development Agreement, are deleted from the amounts to be reimbursed. E. For construction contracts, we footed the final pay estimates and calculated extensions on a test basis. F. We obtained verbal confirmation from D. Grimm, Inc. that the construction contracts have been paid in full and that there are no additional claims against the La Porte Zone or Developer. G. We prepared a reimbursement report for the benefit of the Authority including the accountant's report and schedule of amounts reimbursable to the Developer, and have compared the amounts in the operating and capital improvement budgets with the actual reimbursable costs to complete the projects. H. We were available to attend a meeting to present the report, and to answer questions relating to the report. The attached Schedule A titled "Schedule of Construction, Engineering and Related Costs Reimbursable to Liberty Property Limited Partnership (Developer)", sets forth their reimbursable costs. This reimbursement is in accordance with the terms and conditions of the Development Agreement by and among the Reinvestment Zone Number One, City of La Porte, Texas, La Porte Redevelopment Authority and Port Crossing Land, LP dated May 24, 2006. That agreement was amended April 27, 2011 to extend the maximum interest date on reimbursable amounts to eight years from the payment date. The Second Amendment to Development Agreement was executed September 10, 2015, to give reimbursement rights to Liberty Property Limited Partnership. Liberty Property Limited Partnership originally submitted schedules and invoices totaling $1,145,973.17. We have revised the reimbursable amount to $1,195,733.22, including interest of $49,860.05 calculated through November 8, 2017. The following changes were made to the original schedule: A. We calculated interest through November 8, 2017 at the prime commercial lending rate of 1. P. Morgan Chase Bank. That resulted in an increase of $49,860.05.