HomeMy WebLinkAboutO-2007-299531
ORDINANCE NO. 2007 -
AN ORDINANCE APPROVING AND AUTHORIZING A MUTUAL RELEASE AND
SETTLEMENT AGREEMENT BETWEEN THE CITY OF LA PORTE AND 200 GARFIELD
LLCy MAKING VARIOUS FINDINGS AND PROVISIONS RELATING TO THE
SUBJECT] FINDING COMPLIANCE WITH THE OPEN MEETINGS LAWf AND
PROVIDING AN EFFECTIVE DATE HEREOF.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE:
Section 1. The City Council hereby approves and authorizes
the contract, agreement, or other undertaking described in the
title of this ordinance, a copy of which is on file in the office
of the City Secretary. The Interim City Manager is hereby
authorized to execute such document and all related documents on
behalf of the City of La Porte. The City Secretary is hereby
authorized to attest to all such signatures and to affix the seal
of the City to all such documents.
Section 2. 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, Chapter 551, Texas Government
Code; 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.
Section 3. This Ordinance shall be effective from and after
its passage and approval, and it is so ordered.
PASSED AND APPROVED, this d' day of 2007.
C,TT,Y�OF LA PARTE
By:
Alton E. Porter, Mayor
ATTEST:
Martha A. Gillett
City Secretary
APPROVED:
C ark T. Askins
Assistant City Attorney
MUTUAL RELEASE AND SETTLEMENT AGREEMENT
This Mutual Release and Settlement Agreement (the "Agreement") is made and
entered into as of `) , 2007, (the "Effective Date"), by and between: (i) the
City of La Porte, Texas, ("La Porte"), a municipal corporation, on the one hand; and, (ii)
200 Garfield, LLC, a Texas limited liability company, ("Garfield"), on the other hand. La
Porte and Garfield may be referred to herein individually as a "Party" and, collectively, as
the "Parties".
Recitals
A.. A lawsuit (Cause No. 2006-15608) is pending between the parties in the 113th
District Court, Harris County, Texas (the "lawsuit")
B. Without admitting any liability or fault, the Parties have agreed to settle all
disputes they have relating to the lawsuit or the facts underlying the lawsuit.
The terms of the Agreement are as follows:
1. Within 21 days after execution of this Agreement 200 Garfield, LLC shall
purchase from the City of La Porte all necessary demolition permits for the removal of all
existing structural improvements ("old" apartment buildings) located on its real estate
located at 200 Garfield Street in La Porte, Texas. If 200 Garfield, LLC should fail to
purchase said demolition permits within 21 days after execution of this Agreement, absent
cause for delay without fault and beyond the control of 200 Garfield, LLC, and which
cause for delay is communicated by written notice to the City stating the reason for the
delay and the expected date of the purchase of the permits, City of La Porte shall have the
right to immediately solicit bids for the demolition of the structures on the subject
property, and to enter onto the premises for such purpose, and to take all other measures
necessary to cause the demolition of the existing structures.
2. Within 60 days after the purchase of all necessary demolition permits
pursuant to Paragraph 1 of this Agreement, 200 Garfield, LLC shall submit a Preliminary
Plat for the development of 16 three-story town homes at 200 Garfield, at the office of the
Department of Planning of the City of La Porte, for consideration by the Planning and
Zoning Commission of the City of La Porte. La Porte shall promptly review, consider and
approve the submitted plat, or notify 200 Garfield, LLC of required changes and reasons
for the required changes.
If 200 Garfield, LLC should fail to submit a Preliminary Plat in the time period
specified in the above paragraph, absent good cause for delay without fault and beyond
the control of 200 Garfield, LLC, and which cause for delay is communicated by written
notice to the City stating the reason for the delay and the expected date of the submittal of
the Preliminary Plat, City of La Porte shall have the right to immediately solicit bids for
the demolition of the structures on the subject property, and to enter onto the premises for
such purpose, and to take all other measures necessary to cause the demolition of the
existing structures.
3. Upon approval of 200 Garfield's submitted Preliminary Plat by the Planning
and Zoning Commission of the City of La Porte, 200 Garfield, LLC shall file, as soon as
is reasonably possible, with the office of the Department of Planning of the City of La
Porte a Final Plat incorporating all changes and/or revisions required by the Planning and
Zoning Commission as a condition of its approval of 200 Garfield's submitted
Preliminary Plat. La Porte shall promptly approve Garfield's final submitted plat.
If 200 Garfield, LLC should fail to submit a Final Plat in the time period specified
in the above paragraph, absent good cause for delay without fault and beyond the control
of 200 Garfield, LLC, and which cause for delay is communicated by written notice to the
City stating the reason for the delay and the expected date of the submittal of the Final
Plat, City of La Porte shall have the right to immediately solicit bids for the demolition of
the structures on the subject property, and to enter onto the premises for such purpose,
and to take all other measures necessary to cause the demolition of the existing structures.
4. Within 30 days after the Planning and Zoning Commission approves 200
Garfield LLC's submitted Final Plat for building 16 three-story town homes, 200
Garfield, LLC will begin to demolish all existing structural improvements ("old"
apartment buildings) currently standing on its real estate located at 200 Garfield Street, La
Porte, Texas. Provided, however, that the time for demolition shall be extended for the
period time caused by any unreasonable delay caused by the City of La Porte's failure to
timely schedule, process or grant approvals, inspections, permits or variances, or by
delays reasonably caused by inclement weather, acts of God, civil disturbance, riot, war,
acts of terrorism, natural disasters, criminal acts of third parties, strikes, lockouts, labor
troubles, inability to procure materials, restrictive governmental laws or regulations or
other cause without fault and beyond the control of 200 Garfield, LLC.
If 200 Garfield, LLC should fail to begin the demolition of the existing structures
in the time period specified in the above paragraph, absent good cause for delay without
fault and beyond the control of 200 Garfield, LLC, and which cause for delay is
communicated by written notice to the City stating the reason for the delay and the
expected date of the commencement of demolition of said structures, City of La Porte
shall have the right to immediately solicit bids for the demolition of the structures on the
subject property, and to enter onto the premises for such purpose, and to take all other
measures necessary to cause the demolition of the existing structures.
5. 200 Garfield, LLC agrees that as part of the development of 16 three-story
town homes it will be responsible for paying all usual and customary development fees to
the City of La Porte, including but not limited to building and demolition permit fees,
parkland dedication fees, and plat submittal application fees. However, the City of La
Porte agrees that to the extent that there are existing water, sewer, and utility connections
at the real estate located at 200 Garfield Street, usual and customary front -foot fees would
not apply. 200 Garfield, LLC does acknowledge that if the existing water, sewer, and
utility connections are inadequate to service additional capacity created by the proposed
development, front -foot fees necessary to cover additional connections may apply.
6. 200 Garfield, LLC agrees that it will not sell or otherwise convey the real
estate located at 200 Garfield Street in La Porte, to a third party purchaser, before 1) first
demolishing all existing structural improvements ("old" apartment buildings), or 2)
paying to the City of La Porte all expenses and costs for the demolition of said structural
improvements, based on a reasonable bid, obtained in a commercially reasonable manner,
by the City of La Porte for such purpose. Should 200 Garfield, LLC desire to convey the
subject property before demolishing the existing structures, 200 Garfield, LLC agrees to
provide the City sixty (60) days prior written notice to the Director of Planning of the City
of La Porte.
After demolishing the existing structures, 200 Garfield, LLC shall have the right,
at any time, to cancel its plans to build 16 three-story town homes, and instead seek La
Porte's approval of a different building project, or land use, or both.
7. Upon approval of this Mutual Release and Settlement Agreement, the Parties
shall cause the Lawsuit to be dismissed with prejudice, each party to bear its own costs,
attorneys' fees and expenses. The attached Joint Motion to Dismiss with Prejudice shall
be filed with the Court by La Porte.
8. La Porte and Garfield (in this section, each a "Releasing Party"), each hereby
fully, completely, and forever RELEASES AND DISCHARGES the other Party hereto
(in this section, the "Released Party") and all of the Released Party's officers, directors,
shareholders, partners, affiliates, employees, agents, attorneys, and representatives from
any and all liabilities, claims or causes of action, damages of any kind whatsoever, at
common law, statutory or otherwise, which Releasing Party has or might have, known or
unknown, now existing or that might arise hereafter, directly or indirectly attributable to
the lawsuit and any transactions between Garfield and La Porte in connection therewith, it
being intended to release all claims of any kind which Releasing Party has or might have
against Released Party, whether referred to herein or not, arising out of the facts
underlying the lawsuit and all prior dealings between the Parties in connection therewith.
9. Each signatory hereto warrants and represents that he or she has authority to
bind the parties for whom that signatory acts.
10. This agreement is not subject to revocation and is enforceable in the same
manner as any other written contract. This Agreement with 200 Garfield, LLC is
enforceable against La Porte in the district courts of Harris County, Texas, and the City of
La Porte expressly warrants that it shall not assert any claim or defense of immunity to
prevent the enforcement of this Agreement. The prevailing party, in a suit for breach of
this agreement, is entitled to an award for its reasonable and necessary attorneys' fees
from the non -prevailing party.
11. This agreement shall be binding upon and inure to the benefit of the
representatives, successors and assigns, trustees, agents, attorneys, and legal
representatives of the parties.
12. The parties further acknowledge and state that there are no representations,
agreements, arrangements, or understandings, oral or written, concerning the subject
matter of this agreement that are not fully expressed and incorporated herein.
13. In executing this agreement, the parties represent that they have not relied
upon any statement or representation pertaining to this matter made by another party, or
any other person or persons representing such other party.
14. This agreement is governed by Texas law, and any suit concerning this
agreement must be brought in Houston, Harris County, Texas.
15. This Agreement may be executed and delivered by fax or electronically, with
the Parties waiving any right to object based on the fact that a signature to this Agreement
is not an original signature.
16. This Agreement may be executed in multiple counterparts, each of which will
be considered and original, but which taken together will constitute one and the same
document.
17. Each of the Parties represents and warrants: that it has not assigned any of the
claims (the "Claims") which it purports to release hereby; that it is the holder of such
Claims; and, that it is authorized to enter into this Agreement and to take the actions
contemplated hereby.
IN WITNESS WHEREOF, the Parties have duly executed and delivered this
Agreement as of the day and year first above written.
0
TE, TEXAS, a municipal corporation
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Title: J�nk!'i M LyMa-asef
200 GAR.FIELD, LLC, a Texas limited liability company
By ,l-—"-' _
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Title: () W N/&'� —