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HomeMy WebLinkAboutO-1993-1895 ORDINANCE NO. 93- 1895 AN ORDINANCE AUTHORIZING THE EXECUTION BY THE CITY OF LA PORTE OF AN INDUSTRIAL DISTRICT AGREEMENT WITH FMC CORPORATION, WITHIN THE BAYPORT INDUSTRIAL DISTRICT FOR THE TERM COMMENCING JANUARY 1, 1987, AND ENDING DECEMBER 31, 1993. -)~,I . BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE: section 1. The City Council hereby finds, determines and declares that FMC CORPORATION has executed an industrial district agreement with the City of La Porte, for the term commencing January 1, 1987, and ending December 31, 1993, a copy of proposed industrial district agreement being attached hereto, incorporated by reference herein, and made a part hereof for all purposes. Section 2. The Mayor, the City Council, and the City Secretary of the City of La Porte, Texas, be, and they are hereby, authorized and empowered to execute and deliver on behalf of the City of La Porte, Texas, the industrial district agreement with the corporation named in Section 1 hereof, a copy of which is attached hereto. section 3. The City Council officially finds, determines, recites and declares that a sufficient written notice of the date, hour, place and subject of this meeting of the City Council was posted at a place convenient to the public at the City Hall of the City for the time required by law preceding this meeting, as required by the Open Meetings Law, Article 6252-17, Texas Revised civil Statutes Annotated; and that this meeting has been open to the public as required by law at all times during which this ordinance and the subject matter thereof has been discussed, considered and formally acted upon. The City Council further ratifies, approves and confirms such written notice and the contents and posting thereof. . . ORDINANCE NO. 93-1895 Paqe 2 its passage and approval, and it is so ordered. section 4. This Ordinance shall be effective from and after PASSED AND APPROVED, this 12th day of April, 1993. ~OF LA PORT~ BY ~~ fl'o an L. ~~, Ma or A~~ Cher1e B ac City Secretary AP~vJ ~ Knox W. . Askins City Attorney J .'1 ,: 1 I I I I ; e e 1 ll:" '-" FULBRIGHT & ~AWORSKI L. L. P. ....... A REGISTERED LIMITED LIABILITY PARTNERSHIP 1301 MCKINNEY, SUITE 5100 HOUSTON, TEXAS 77010-3095 ~ .~ ",,-1 ..." b.Ca~''''' . .p\~ o~ ~ .S~c"6-.( ~..c.""" o\"~ ~..) \P' c..c>'<'1 ov'- n~ \'\~ 0"" ,- \ -z., "" \ HOUSTON WASHINGTON. D,C, AUSTIN SAN ANTONIO DALLAS NEW YORK LOS ANGELES LONDON ZURICH HONG KONG TELEPHONE: 713/651-5151 TELEX: 76-2829 FACSIM ILE: 713/651-5246 WRITER'S DIRECT DIAL NUMBER: 713/651-5241 BY MESSENGER -- RETURN RECEIPT REQUESTED April 2, 1993 Re: FMC Corporation/Industrial District Agreement with the City of La Porte, Texas for the Period January 1, 1987 through December 31, 1993 Mr. Knox W. Askins Askins & Armstrong, P.C. 702 W. Fairmont Parkway La Porte, Texas 77572-1218 Dear Knox: Pursuant to our telephone conference today, enclosed please find the following: 1. Four (4) originals of the above-referenced agreement (the "Agreement"), which have been executed by FMC Corporation and us; and 2. FMC Corporation's check number 027434 dated April 2, 1993, payable to "City of La Porte" in the amount of$18,411.10, and representing the aggregate amount of "in lieu" taxes remaining due from FMC Corporation under the Agreement for tax years through and including the tax year 1992. As we discussed, Article II of the Agreement has been crossed out and initialed by FMC Corporation, because the matters therein are covered by the provisions of EXHIBIT "B" to the Agreement. Please cause City of La Porte to initial Article II in connection with their execution of the Agreement. 0196498 e e Mr. Knox W. Askins Askins & Armstrong, P.C. April 2, 1993 Page 2 We confirmed with Ms. Ana M. Estrada, Tax Supervisor of the City of La Porte, that the amount of lIin lieull taxes remaining due from FMC Corporation under the Agreement for tax years through and including 1992 is $18,411.10. The breakdown of this amount is as follows: 1. 1990 IIln Lieull Taxes on 64.00-acre tract Less refund due FMC Corporation for 1989 $7,914.47 (4.281.27) Net amount due on 64.00-acre tract for 1990 $3,633.20 . 2. 1990 IIln Lieull Taxes on 23.8225-acre tract sold to ARCa Chemical Corporation in 1990 Total $3,213.66 $5,441.20 $6.123.04 ~18.411.10 3. 199111In Lieull Taxes on 44.00-acre tract 4. 1992 IIln Lieull Taxes on 44.00-acre tract We understand from our telephone conference that the Agreement will be on the City Council's agenda for the April 12, 1993 meeting. Mter the Agreement has been executed by City of La Porte, please send two fully executed originals to me. In addition, please send me the receipts evidencing payment of the lIin lieull taxes identified above. With respect to the Industrial District Agreement matters we discussed relating to the term beginning January 1, 1994, please return to me via our messenger delivering this letter the list of taxpayers in the district{s) and, if you can locate it, a copy of the business cards of the industry representatives in attendance at the meeting on March 26, 1993. If you have any questions, please call me at (713) 651-5241. Thank you for your attention to this matter. Very truly yours, ~~ Stephen A. Kuntz ~ 0196498 e e Mr. Knox W. Askins Askins & Armstrong, P.C. April 2, 1993 Page 3 SAK/tik Enclosures cc: Ms. Ana M. Estrada Tax Supervisor City of La Porte P. O. Box 1115 La Porte, Texas 77572-1115 (w/copy of check) Mr. James M. Steinberg Counsel FMC Corporation 19th Floor 1735 Market Street Philadelphia, Pennsylvania 19103 (w/copy of enclosures) Mr. Jeff McRae Comptroller FMC Corporation 12000 Bay Area Boulevard Pasadena, Texas 77507 (w/copy of enclosures) 0196498 . 'i ' .... , . " , I .- e ~ ~ ;, . . .~ (Revised: 06/86) NOTICE: THIS CONTRACT IS SUBJECT TO ARBITRATION UNDER THE TEXAS GENERAL ARBITRATION ACT, ARTICLE 224, ET. SEQ., REVISED CIVIL STATUTES OF TEXAS THE STATE OF TEXAS ~ ~ COUNTY OF HARRIS ~ ~ CITY OF LA PORTE ~ INDUSTRIAL DISTRICT AGREEMENT This AGREEMENT made and entered into by and between the CITY OF LA PORTE, TEXAS, a municipal corporation of Harris County, Texas, hereinafter called "CITY" , and F1C CORPORATION , a Delaware corporation, hereinafter called "COMPANY", WIT N E SSE T H: That WHEREAS, it is the established policy of the City Council of the City of La Porte, Texas, to adopt such reasonable measures from time to time as are permitted by law and which will tend to enhance the economic stability and growth of the City and its environs by attracting the location of new and the expansion of existing industries therein, and such policy is hereby reaffirmed and adopted by this City Council as being in the best interest of the City and its citizens: and WHEREAS, Company is the owner of a certain tract(s) of land more particularly described in the Deed Records of Harris County, Texas, in the following Volume and Page references, to-wit: That certain parcel of land, out of the George B. McKinstry League, A-47, in Harris County, Texas, more particularly described by metes and bounds on Exhibit "A" attached hereto, incorporated by reference herein, and made a part hereof for all purposes. THIS INDUSTRIAL DISTRICT AGREEMENT IS SUBJECT TO THE TERMS AND CONDITIONS SET FORTH IN EXHIBIT "B" ATTACHED HERETO, INCORPORATED BY REFERENCE HEREIN, AND MADE A PART HEREOF FOR ALL PURPOSES. \ \ \ .. I ,;.. " . e "I Industrial District Agreement - 2 upon which tract(s) Company has either constructed an industrial plant(s) or contemplates the construction of an industrial plant(s): and WHEREAS, pursuant to its policy, City has enacted Ordinance No. 729, designating portions of the area located in its extraterritorial jurisdiction as the "Battleground Industrial District of La Porte, Texas," and Ordinance No. 842, designating portions of the area 10- cated in its extraterritorial jurisdiction as the ""Bayport Industrial District of La Porte, Texas," hereinafter collectively called "Dis- trict," such Ordinances being in compliance with the Municipal Annex- ation Act of Texas, Article 970a, Vernons Annotated Revised Civil Statutes of Texas: and WHEREAS, City desires to encourage the expansion and growth of industrial plants within said Districts and for such purpose desires to enter into this Agreement with Company pursuant to Resolution adopted by the City Council of said City and recorded in the official minutes of said City: NOW, THEREFORE, in consideration of the premises and the mutual agreements of the parties contained herein and pursuant to the authori ty granted under the Municipal Annexation Act and the Ordinances of City referred to above, City and Company hereby agree with each other as follows: I. Ci ty covenants, agrees and guarantees that during the term of this Agreement, provided below, and subject to the terms and provisions of this Agreement, said District shall continue and retain its extraterritorial status as an industrial district, at least to the extent that the same covers the land described above and belonging to Company and its assigns, and unless and until the status of said land, or a portion or portions thereof, as an industrial district may be changed pursuant to the terms of this Agreement. Subject to '\ , ".- .' . e Industrial District Agreement - 3 the foregoing and to the later provisions of this Agrement, City does further covenant, agree and guarantee that such industrial district, to the extent that it covers said land lying within said District and not now within the corporate limits of City, or to be annexed under the provisions of Article II hereof, shall be immune from annexation by City during the term hereof (except as hereinafter provided) and shall have no right to have extended to it any services by City, and that all of said land, including that which has 'been heretofore or which may be annexed pursuant to the later provisions 'of this Agreement, shall not have extended to it by ordinance any rules and regulations (a) governing plats and subdivisions of land, (b) prescri- bing any building, electrical, plumbing or inspection code or codes, or (c) attempting to exercise in any manner whatever control over the conduct of business thereon: provided, however, it is agreed that City shall have the right to institute or intervene in any judicial proceeding authorized by the Texas Water Code or the Texas Clean Air Act to the same extent and to the same intent and effect as if all land covered by this Agreement were located within the corporate on hereof, its described property ~ heretof~r@ limits of City. II. 1),Q&JA.J} ~\IN\:it five e total value filed with City, with been to City to the hereinabove described property, shall be annexed Ci ty ad valorem land and tangible personal 621, Acts of the 65th: Texas Legislature, as amended), \ " ',' " e e the appraised e for tax purposes of t e annexed ~y portion of l~ Industrial District Agreement - 4 improvements, tangible personal p be deter 'ned by the Harris The parties istrict has no author' y to appraise the land, y in the unannexed the purpose hereunder. the parties of the land, and tangible the unannexed by City, an independent appraiser of City's that in entire improvements, and render and pay Ci ty ad valorem land, improvements, a tangible personal pro- perty. to render an amount "in of taxes" company' s land, and tangible the unannexed (l) Fifty percent would be Ci ty if all of property January l, been within the corporate of City and year by City's (2) of the of ad valorem taxes appraiser: and payable to any increase in value hereinabove described in excess of the appra' ed value of same on January new acquisitions tangible personal propert, (exclusive of Construction Progress, which shall be e from taxation), new construction and had been within independent ',' ',' . . "; Industrial District Agreement - 5 with the (1) and (2) r em taxes thereof rris County Appr. isal District. by propert the Harris value of the annexed for ad derogation establish tangible personal tax purposes. III. This Agreement shall extend for a period beginning on the 1st day of January, 1987, and continue thereafter until December 31, 1993, unless extended for an additional period or periods of time upon mutual consent of Company and City as provided by the Municipal Annexation Act: provided, however, that in the event this Agreement is not so extended for an additional period or periods of time On or before August 31, 1993, the agreement of City not to annex property of Company within the District shall terminate. In that event, City shall have the right to commence immediate annexation proceedings as to all of Company I s property. covered by this Agreement, notwithstanding any of the terms and provisions of this agrement, and in such event Company agrees that if the Texas Municipal Act, Article 970a (V.A.T.S.), as amended after January 1, 1980, or any new legislation is thereafter enacted by the Legislature of the State of Texas which imposes greater restrictions on the right of City to annex land belonging to Company or imposes further obligations on City in connection therewith after the annexation of such land, Company will waive the right to require City to comply with any such additional restrictions or obligations and the rights of the parties shall be then determined in accordance with the provisions of said Texas Municipal Annexation Act as the same existed January 1, 1980. ',' ',' . e Industrial District Agreement - 6 IV. This Agreement may be extended for an additional period or periods by agreement between City and Company and/or its assigns even though it is not extended by agreement between City and all of the owners of all land wi thin the District of which it is a part. In this connection, City hereby expresses its belief that industrial district agreements of the kind made herein are conducive to the development of existing and future industry and are to ,the best interest of all citizens of City and encourage future City Councils to enter into future industrial district agreements and to extend for additional periods permitted by law this Industrial District Agreement upon request of Company or its assigns; provided, however, that nothing herein contained shall be deemed to obligate either party hereto to agree to an extension of this Agrement. V. Company agrees to pay all ad valorem taxes, and all "in lieu of taxes" payments hereunder, to City on or before December 31 of each year during the term hereof. It is agreed that presently the ratio of ad valorem tax assessment used by City is one hundred percent (100%) of the fair market value of property. Any change in such ratio used by City shall be reflected in any subsequent computations hereunder. This Agreement shall be subject to all provisions of law relating to determination of value of land, improvements, and tangible personal property, for tax purposes (e.g., rendition, assessment, Harris County Appraisal District review and appeal procedures, court appeals, etc.) for purposes of fixing and determining the amount of ad valorem tax payments, and the amount of "in lieu of tax" payments hereunder, except as otherwise provided in Articles II and VI hereof. VI. (A) In the event Company elects to protest the valuation for tax purposes set on its said properties by City or by the Harris '.' . e Industrial District Agreement - 7 County Appraisal District for any year or years during the terms hereof, nothing in this Agreement shall preclude such protest and Company shall have the right to take all legal steps desired by it to reduce the same. Nothwithstanding such protest by Company, Company agrees to pay to City on or before the date therefor hereinabove provided, at least the total of (a) the total amount of ad valorem taxes on the annexed portions, plus (b) the total amount of the "in lieu of taxes" on the unannexed portions of Company's hereinabove-described property which would be due by Company to City in accordance with the foregoing provisions of this Agrement on the basis of renditions which shall be filed by Company on or before March 31 of each year during the term of this Agreement, with both the City and the Harris County Appraisal District (as the case may be) for that year. When the City or Harris County Appraisal District (as the case may be) valuation on said property of Company has been so finally determined, either as the result of final judgment of a court of competent jurisdiction or as the result of other final conclusion of the controversy, then wi thin thirty (30) days thereafter Company shall make payment to City of any additional payment due hereunder based on such final valuation, together with applicable penal ties, interests, and costs. (B) Should Company disagree with any appraisal made by the independent apppraiser selected by City pursuant to Article II above (which shall be given in writing to Company), Company shall, within twenty (20) days of receiving such copy, give written notice to the City of such disagreement. In the event Company does not give such written notice of disagreement within such time period, the appraisal made by said independent appraiser shall be final and controlling for purposes of the determination of "in lieu of taxes" payments to be made under this Agreement. Should Company give such notice of disagreement, Company shall '." '.' . e .. , Industrial District Agreement - 8 also submit to the City with such notice a written statement setting forth what Company believes to be the market value of Company' s hereinabove described property. Both parties agree to thereupon enter into good faith negotiations in an attempt to reach an agreement as to the market value of Company' s property for II in lieu II purposes hereunder. If, after the expiration of thirty (30) days from the date the notice of disagreement was received by City, the parties have not reached agreement as to such market value, the parties agree to submit the dispute to final arbitration as provided in subparagraph (l) of this Article VI(B). Notwithstanding any such disagreement by Company, Company agrees to pay to City on or before December 31 of each year during the term hereof, at least the total of (a) the ad valorem taxes on the annexed portions, plus (b) the total amount of the lIin lieull payments which would be due hereunder on the basis of Company's valuations rendered and/or submitted to City by Company hereunder, or the total assessment and lIin lieu of taxesll thereon for the last preceding year, whichever is higher. (l) A Board of Arbitrators shall be created composed of one person named by Company, one by City, and a third to be named by those two. In case of no agreement on this arbitrator in 10 days, the parties will join in a written request that the Chief Judge of the U. S. District Court for the Southern District of Texas appoint the third arbitrator who, (as the II Impartial Arbitratorll) shall preside over the arbitration proceeding. The sole issue to be determined in the arbitration shall be resolution of the difference between the parties as to the fair market value of Company' s property for calculation of the II in lieu II payment and total payment hereunder for the year in question. The Board shall hear and consider all relevant and material evidence on that issue including expert opinion, and shall render its written decision as promptly as practicable. That decision shall then be final and binding upon the parties, ',' . e Industrial District Agreement - 9 subject only to judicial review as may be available under the Texas General Arbitration Act (Articles 224-238, Vernon's Annot- ated Revised Civil Statutes of Texas). Costs of the arbitration shall be shared equally by the Company and the City, provided that each party shall bear its own attorneys fees. (C) Should the provisions of Article II of this Agreement become impossible of enforcement because of (I) the invalidity or unenforceability of the Texas Property Code (S.B. 621, Acts of the 65th Texas Legislature, Regular Session, 1979), or any relevant provision thereof, or (2) because of any material delay or failure to act on the part of the Harris County Appraisal District, then and in any of such events, all payments under this Agreement shall be governed by the provisions of Article II hereof; anything to the contrary in this Agreement notwithstanding. VII. City shall be entitled to a tax lien on Company's above-described property, all improvements thereon, and all tangible personal property thereon, in the event of default in payment of .. in lieu of taxes II payments hereunder, which shall accrue penalty and interest in like manner as delinq~ent taxes, and which shall be collectible by City in the same manner as provided by law for delinquent taxes. VIII. Company agrees to provide to City at Company's expense, a survey plat and field note description of the land and improvements which Company petitions to be annexed in accordance with the provisions of Article II above. Such annexation tract shall be contiguous to a point on the existing corporate limits of La Porte. In the event of failure of Company to file either such petition, or such description, City shall have the right by notice in writing to Company to cancel and terminate this Agreement. ".' . e Industrial District Agreement - 10 IX. This Agreement shall inure to the benefit of and be binding upon City and Company, and upon Company's successors and assigns, affiliates and subsidiaries, and shall remain in force whether Company sells, assigns, or in any other manner disposes of, either voluntarily or by operation of law, all or any part of the property belonging to it within the territory hereinabove described, and the agreements herein contained shall be held to be covenants running with the land owned by Company situated within said territory, for so long as this Agreement or any extension thereof remains in force. X. If City enters into an Agreement with any other landowner with respect to an industrial district or enters into a renewal of any existing industrial district agreements after the effective date hereof and while this Agreement is in effect, which contains terms and provisions more favorable to the landowner than those in this Agreement, Company and its assigns shall have the right to amend this Agreement and City agrees to amend same to embrace the more favorable terms of such agreement or renewal agreement: provided, however, City reserves the right to enter into such agreements or renewal agreements with other landowners not covered by existing agreements, containing a percentage of ad valorem taxes more favorable to the landowner than that contained in Paragraph II, Subparagraph 3 (2) hereof, and Company and its assigns shall not have the right to amend this agreement to embrace the more favorable percentage of ad valorem taxes contained in such agreement or renewal thereof, than that contained in Paragraph II, Subparagraph 3 (2) hereof. City may extend more favorable terms to landowners covered by existing contracts only to the extent such favorable terms apply to any increase in value of the hereinabove described property, in excess of the appraised value of same on January 1, 1986, as described in Paragraph II, Sub- paragraph 3 (2) hereof. of ... I . e ~ :: Industrial District Agreement - 11 XI. In the event anyone or more words, phrases, clauses, sentences, paragraphs, sections, articles or other parts of this Agreement or the application thereof to any person, firm, corporation or circumstances shall be held by any court of competent jurisdiction to be invalid or unconstitutional for any reason, then the application, invalidity or unconstitutionality of such words, phrase, clause, sentence, paragraph, section, article or other part of the Agreement shall be deemed to be independent of and separable from the remainder of this Agreement and the validity of the remaining parts of this Agreement shall not be affected thereby. XII. Upon the commencement of the term of this Agreement, all other previously existing industrial district agreements with respect to 1~ ~ 199/. retroactive to said land shall terminate. rL ENTERED INTO this ~ day of January 1, 1987. " - Name'f"~: (; '..c ~lf..s-ec r e'cary'~.~ ~ ~ ~...:~:. , ~: ~~{~~ ./,- . ..~, r"tf'. -~~..~ \, . .~..-.:-,~<~~' APPROVED BY COUNSEL: FULBRIGHT & J . . . ,torney for Compan Name: Stephen A. Kuntz Address: 1301 McKinney, Suite 5100 Houston, Texas 77010-3095 Telephone: (713) 651-5241 , " . ' . . . Industrial District Agreement - 12 ATTEST: ~~ Cherie ~lSiCk,.City Secretary F;o~~\.'t " ; :~'~,../~~' . ,1'....... .. . :' ~. 1. .. . .: ' -i' ..7 ," ,.,.,-.;~ ~. .. ~:_~). c-< : oar. "' - __~ ok ." '" - - . t~':' ..... ~. ;.... r _ '.. A~Z KNOX W. ASKINS, City Attorney 702 W. Fairmont Parkway P. O. Box 1218 La Porte, Texas 77571 Telephone: (713) 471-1886 (Revised: 03/87) e CITY OF LA PORTE By4~~Yor By: Qol~ T, ~ Robert T. Herrera, City Manager CITY OF LA PORTE P. o. Box 1115 La Porte, Texas 77571 . . e e i '. EXHIBIT A That certain 44 acres of land, more or less, out of the George B. McKinstry League, A-47 in Harris County Texas, being 168.7945 acres of land in the La Porte Industrial District out of that certain 203.713 acres of land conveyed to FMC Corporation by deed dated June 11,1970, recorded under Clerk's File No. D-123161 in the Official Public Records of Real Property of Harris County, Texas, SAVE, LESS and EXCEPT (i) 80.972 acres of land conveyed to the City of LaPorte by deed dated July 24, 1989, recorded under Clerk's File No. M-253982 in the Official Public Records of Real Property of Harris County, Texas, (ii) 23.8225 acres of land out of that certain 100 acres ofland conveyed to ARCO Chemical Corporation by deed dated July 16, 1990, recorded under Clerk's File No. M-728181 in the Official Public Records of Real Property of Harris County, Texas, leaving 64 acres of land remaining from said 168.7945 acres of land, which 64 acres is more more particularly described by metes and bounds as follows: BEGINNING at 5/8 inch iron rod found for the southwest corner of that certain 80.972 acre tract of land conveyed to the City of LaPorte, Texas by instrument recorded under Clerk's File No. M-253982 in the Official Public Records of Real Property of Harris County, Texas, being in the East right-of-way line of Bay Area Boulevard based on 150 feet in width, and being the northwest corner of the herein described 64 acres of land; THENCE South 010 00' 45" E, 1,274.37 feet with the East right-of-way line of said Bay Area Boulevard to a 5/8 inch iron rod set for the southwest corner for the herein described 64 acres of land; THENCE North 870 26' 12" East, 2,286.50 feet to a 5/8 inch iron rod set for the southeast corner of this 64 acre tract and being in the West line of a Harris County Flood Control District Fee Strip called Ditch "C", Tract 2, described in instrument recorded under Clerk's File No. 0-239800 in the Official Public Records of Real Property of Harris County, Texas; THENCE North 100 08' 23" West, 1000.80 feet along the West line of said Ditch to Copperweld Rod 2383 found for angle'.ppint in the East line of this 64 acre tract; THENCE North 030 01' 51" West, 281.85 feet to a 5/8 inch iron rod found in the West right-of-way line of said Ditch for the northeast corner of this 64 acre tract; THENCE South 870 26' 12" West, 2,117.76 feet to the PLACE OF BEGINNING and containing 64 acres of land, more or less; SAVE, LESS and EXCEPT from said 64 acres that certain 20 acres of land conveyed by FMC Foundation to CHUSEI (U.S.A.) INC. by deed dated August 26, 1991, and recorded under Clerk's File No. N-291863 in the Official Public Records of Real Property of Harris County, Texas. 0077188 . ~ .. . . 'j EXHIBIT "B" Page 1 of 2 TO AN INDUSTRIAL DISTRICT AGREEMENT BETWEEN THE CITY OF LA PORTE, TEXAS, AND FMC CORPORATION. 1. City and Company agree that the real property of Company, more particularly described on Page 1 of this Industrial District Agreement, is presently unimproved, and unannexed to City, except for existing "strip" annexations, if any. City and Company further agree that paragraph II hereof is hereby amended, to provide that during the term of this Industrial District Agreement, and for such period of time that said real property remains unimproved, that City will not annex said propertyr provided, however, City reserves the right to conduct "strip" annexations as my be required by law in connection with annexation of land other than that owned bY,Company. Company agrees to render to City and to pay as "in lieu of taxes" on Company's said unimproved land, an amount equal to the sum of 100% of the amount of ad valorem taxes which would be payable to City if all the hereinabove described property of Company had been within the corporate limits of City and appraised each year by City's independent appraiser. 2. The provisions of the preceding paragraph hereof shall remain in full force and effect during the term of this Industrial District Agreementr -provided, however, at such time as Company commences improvements to Company's hereinabove described real property, Company shall be entitled to pay an amount "in lieu of taxes" on Company's land, improvements, and tangible personal property on the above described property, in accordance with Paragraph II of this Industrial District Agreement. 3. Company agrees that the real property of described shall not be used as a site for commercial incineration, i.e., incineration of hazardous wastes siter provided, however, City does not waive its under Paragraph 1 of this agreement. Company herein hazardous waste generated off- rights reserved 4. Except as amended by the terms and provlslons of this Exhibit nBn, the terms and provisions of the Industrial District Agreement, to which this Exhibit nB" is attached, shall remain in full force and effect for the term of this Agreement, expiring December 31, 1993. 5. City and Company agree that the terms and provisions of this Industrial District Agreement shall be retroactive to January 1, 1987. ~ ". . ... .< ' . e ~~ .. . EXHIBIT "B" Page 2 of 2 ~~2:) ENTERED INTO effective date of this ~aY of ~. 1991: January 1, 1987. retroactive to ~ PMC CORPORATlON By: {i.AAJt (litGHt ame: ~. '.- S' Title: Address: 1735 Market Street PhiladeJ,phia, Pennsv1vania 19103 - .... ~~ ~ { /,::.<~&;~~\ " /~ ~T'1:';''i: fl j :::., -=" ~-~b? .~ ::. ~-' \ _ ~ iL \ ~"ji,~~~: ." :', ~ ,- ~ - '"3 .. 'P11i.vo} '''',IlJJlS ere r; ~.t a'~'y..~ .~ ~. ~"'. .~~,.~. ,~., APPROVED BY COUNSEL: FULBRIGHT & J~ - - '?~~r ffiorney for Compa Name: Stephen A. Kuntz Address :1301 McKinney, - SUite 5100 Houston, Texas 7701~3095 Telephone: (713) 651-5241 }-~~~~~*~~~"') .. ;~.", ~!-<"'-"":,, ~~ /- ~/: f '~~~(~ '; 1 ' _-,/~ 'S~" < ~ ""f...../. t'" ~ ; .,;-.. w i:- ATTE~'l;~>_, ~?/'''' ./~:~! ~' ,,'. .",...... "l'... .:'= f...;.,...... .r ."'-_~_. , - Cherie B1ack"-- City Secretary CITY OF LA PORTE By.Jk~ ~~rman Malone Mayor By:G<~ T ~ Robert T. Herrera City Manager Knox W. Asklns City Attorney 702 W. Fairmont Parkway P.O. Box 1218 La Porte, TX 77572-1218 Telephone: (713) 471-1886 CITY OF LA PORTE P.O. Box 1115 La Porte, TX 77572-1115