HomeMy WebLinkAbout93-IDA-31ORDINANCE NO. 93-IDA-31
AN ORDINANCE AUTHORIZING THE EXECUTION BY THE CITY OF LA PORTE OF
AN INDUSTRIAL DISTRICT AGREEMENT WITH PETROLITE CORPORATION, FOR
THE TERM COMMENCING JANUARY 1, 1994, AND ENDING DECEMBER 31, 2000;
MAKING VARIOUS FINDINGS AND PROVISIONS RELATING TO THE SUBJECT;
FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN
EFFECTIVE DATE HEREOF.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE:
Section 1. PETROLITE CORPORATION has executed an industrial
district agreement with the City of La Porte, for the term
commencing January 1, 1994, and ending December 31, 2000, a copy
of which is attached hereto, incorporated by reference herein, and
made a part hereof for all purposes.
Section 2. The Mayor, the City Manager, the City Secretary,
and the City Attorney of the City of La Porte, be, and they are
hereby, authorized and empowered to execute and deliver on behalf
of the City of La Porte, the industrial district agreement with the
corporation named in Section 1 hereof.
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-IDA-31
PAGE 2
Section 4. This Ordinance shall be effective from and after its
passage and approval, and it is so ordered.
PASSED AND APPROVED, this 14th day of February, 1994.
CITY OF LA PORTE
By: )/ W//gj'j 4n��
NZiiiaCn L. e,
Mayor
ATTEST:
Sue Lenes,
City Secretary
City Attorney
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CURRENT NAME
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CITY OF LA PORTE
PHONE (713) 471-5020 • P. O. Box 1 1 15 C LA PORTE. TEXAS 77572
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February 15, 1994
Petrolite Corporation
Attn: Charles Klein
369 Marshall Avenue
St. Louis, MO 63119-1897
Re: City of La Porte Industrial District Agreement,
Effective January 1, 1994.
Dear Mr. Klein:
I am pleased to enclose herewith fully executed duplicate original
copy of the industrial district agreement between your firm and the
City of La Porte, effective January 1, 1994, for the term expiring
December 31, 2000.
I also enclose certified copy of the City of La Porte's approval
ordinance, for your records.
Thank you for your cooperation in this matter. If my office can
ever be of assistance to your firm, please do not hesitate to call.
Yours very truly,
CITY OF LA PORTE
By: T.
Robert T. Herrera
City Manager
RTH:sw
Enclosures
NO. 93-IDA- 31 {
{
STATE OF TEXAS {
{
COUNTY OF HARRIS {
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 Petrolite Corporation, 369 Marshall Ave.,
St. Louis, MO 63.119, a - Delaware corporation, hereinafter
called "COMPANY",
W I T N E S S E T H•
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, 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. 842A, designating
portions of the area located in its extraterritorial jurisdiction
as the "Bayport Industrial District of La Porte, Texas",
hereinafter collectively called "District", such Ordinances being
in compliance with the Municipal Annexation Act of Texas, codified
as Section 42.044, Texas Local Government Code; and
WHEREAS, Company is the owner of land within a designated
Industrial District of the City of La Porte, said land being
legally described on the attached Exhibit "A" (hereinafter "Land");
and said Land being more particularly shown on a plat attached as
Exhibit "B", which plat describes the ownership boundary lines; a
site layout, showing all improvements, including pipelines and
railroads, and also showing areas of the Land previously annexed
by the City of La Porte; 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
Ordinance 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 authority granted under the Municipal Annexation Act and the
Ordinances of City referred to above, City and Company hereby agree
with each other as follows:
Revised: October 22, 1993
I.
City 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 to retain its
extraterritorial status as an industrial district, at least to the
extent that the same covers the Land belonging to Company and its
assigns, 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 the foregoing and to
the later provisions of this Agreement, 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, 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 Land, including that which has been
heretofore annexed, shall not have extended to it by ordinance any
rules and regulations (a) governing plats and subdivisions of land,
(b) prescribing 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 administrative and/or judicial proceeding
authorized by the Texas Water Code, the Texas Clean Air Act, the
Texas Health & Safety Code, or other federal or state environmental
laws, rules or regulations, to the same extent and to the same
intent and effect as if all Land covered by this Agreement were
not subject to the Agreement.
II.
In the event that any portion of the Land has heretofore been
annexed by City, Company agrees to render and pay full City ad
valorem taxes on such annexed Land and improvements, and tangible
personal property.
Under the terms of the Texas Property Tax Code (S.B. 621, Acts of
the 65th Texas Legislature, Regular Session, 1979, as amended), the
appraised value for tax purposes of the annexed portion of Land,
improvements, and tangible personal property shall be determined
by the Harris County Appraisal District. The parties hereto
recognize that said Appraisal District has no authority to appraise
the Land, improvements, and tangible personal property in the
unannexed area for the purpose of computing the "in lieu" payments
hereunder. Therefore, the parties agree that the appraisal of the
Land, improvements, and tangible personal property in the unannexed
area shall be conducted by City, at City's expense, by an
independent appraiser of City's selection. The parties recognize
that in making such appraisal for "in lieu" payment purposes, such
appraiser must of necessity appraise the entire (annexed and
unannexed) Land, improvements, and tangible personal property.
Nothing herein contained shall ever be interpreted as lessening the
authority of the Harris County Appraisal District to establish the
appraised value of Land, improvements, and tangible personal
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property in the annexed portion, for ad valorem tax purposes.
A. On or before April 15, 1994, and on or before each April 15th
thereafter, unless an extension is granted.in accordance with the
Texas Property Tax Code, through and including April 15, 2000,
Company shall provide City with a written description of its Land
and all improvements and tangible personal property located on the
Land as of the immediately preceding January 1st, stating its
opinion of the Property's market value, and being sworn to by an
authorized officer of the Company authorized to do so, or Company's
duly authorized agent, (the Company's "Rendition"). Company may
file such Rendition on a Harris County Appraisal District rendition
form, or similar form. The properties which the Company must
render and upon which the "in lieu of" taxes are assessed are more
fully described in subsections 1, 2, and 3 of subsection D, of this
Paragraph III (sometimes collectively called the "Property"). A
failure by Company to file a Rendition as provided for in this
paragraph, shall constitute a waiver by Company for the current tax
year, of all rights of protest and appeal under the terms of this
Agreement.
B. As part of its rendition, Company shall furnish to City a
written report of the names and addresses of all persons and
entities who store any tangible personal property on the Land by
bailment, lease, consignment, or other arrangement with Company
("products in storage"), and are in the possession or under the
management of Company on January 1st of each Value Year, further
giving a description of such products in storage.
C. On or before the later of December 31, 1994, or 30 days from
mailing of tax bill and in like manner on or before each December
31st thereafter, through and including December 31, 2000, Company
shall pay to City an amount "in lieu of taxes" on Company's
Property as of January 1st of the current calendar year ("Value
Year").
D. Company agrees to render to City and pay an amount "in lieu
of taxes" on Company's Land, improvements and tangible personal
property in the unannexed area equal to the sum of:
1. (a) Fifty percent (50%) of the amount of ad valorem
taxes which would be payable to City if all of the
Company's Land and improvements which existed on
January 1, 1994, January 1, 1995, and January 1,
1996, had been within the corporate limits of City
and appraised each year by City's independent
appraiser; and
(b) Fifty-three percent (53%) of the amount of ad
valorem taxes which would be payable to City if all
of the Company's Land and improvements which existed
on January 1, 1997, January 1, 1998, January 1,
1999, and January 1, 2000, had been within the
corporate limits of City and appraised each year by
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City's independent appraiser; and
2. (a) On any Substantial Increase in value of the Land,
improvements, and tangible personal property
(excluding inventory) dedicated to new construction,
in excess of the appraised value of same on January
1, 1993, resulting from new construction (exclusive
of construction in progress, which shall be exempt
from taxation), for each Value Year following
completion of construction in progress, an amount
equal to Thirty percent (30%) of the amount of ad
valorem taxes which would be payable to City if all
of said new construction had been within the
corporate limits of City and appraised by City's
independent appraiser.
(b) A Substantial Increase in value of the Land and
improvements as used in subparagraph 2(a) above, is
defined as an increase in value that is the lesser
of either:
i. at least Five percent (5%) of the total
appraised value of Land and improvements, on
January 1, 1993; or
ii. a cumulative value of at least $3,500,000.00.
For the purposes of this Agreement, multiple
projects that are completed in a Value Year can be
cumulated to arrive at the amount for the increase
in value.
(c) If existing property values have depreciated below
the value established on January 1, 1993, an amount
equal to the amount of the depreciation will be
removed from this calculation to restore the value
to the January 1, 1993, value; and
3. (a) Fifty -percent (50%) of the amount of ad valorem
taxes which would be payable to City on all of the
Company's tangible personal property of every
description, including, without limitation,
inventory, oil, gas, and mineral interests, items
of leased equipment, railroads, pipelines, and
products in storage located on the Land, if all of
said tangible personal property which existed on
January 1, 1994, January 1, 1995, and January 1,
1996, had been within the corporate limits of City
and appraised each year by the City's independent
appraiser;
(b) Fifty-three percent (53%) of the amount of ad
valorem taxes which would be payable to City on all
of the Company's tangible personal property of every
description, including, without limitation,
inventory, oil, gas, and mineral interests, items
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of leased equipment, railroads, pipelines, and
products in storage located on the Land, if all of
said tangible personal property which existed on
January 1, 1997, January 1, 1998, January 1, 1999,
and January 1, 2000, had been within the corporate
limits of City and appraised each year by the City's
independent appraiser.
with the sum of 1, 2 and 3 reduced by the amount of City 's ad
valorem taxes on the annexed portion thereof as determined by
appraisal by the Harris County Appraisal District.
IV.
This Agreement shall extend for a period beginning on the 1st day
of January, 1994, and continuing thereafter until December 31,
2000, 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, 2000, 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's property covered by
this Agreement, notwithstanding any of the terms and provisions of
this Agreement.
Company agrees that if the Texas Municipal Act, Section 42.044,
Texas Local Government Code, is amended after January 1, 1994, 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, 1994.
ME
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 within the District of which it is a part.
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 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.
Notwithstanding such protest by Company, Company agrees to pay to
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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 to City in accordance with the
foregoing provisions of this Agreement on the basis of renditions
which shall be filed by Company.
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 within thirty (30) days thereafter Company
shall make payment to City of any additional payment due hereunder
based on such final valuation, together with applicable penalties,
interests, and costs.
B. Should Company disagree with any appraisal made by the
independent appraiser 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 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 "in
lieu" 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 1 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 "in lieu" 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
"in lieu of taxes" thereon for the last preceding year, whichever
is higher.
1. 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 "Impartial Arbitrator") shall
preside over the arbitration proceeding. The sole issue
to be determined in the arbitration shall be resolution
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of the difference between the parties as to the fair
market value of Company's property for calculation of the
"in lieu" 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, subject only to
judicial review as may be available under the Texas
General Arbitration Act (Articles 224-238, Vernon's
Annotated 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.
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" payments hereunder, which shall accrue penalty and
interest in like manner as delinquent taxes, and which shall be
collectible by City in the same manner as provided by law for
delinquent taxes.
VIII.
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. Company shall give City written notice within ninety (90)
days, with full particulars as to property assigned and identity
of assignee, of any disposition of the Land, and assignment of this
Agreement.
IX.
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. This
Paragraph shall not apply to any Court ordered extension of the
term of the Agreement ordered in Southern Ionics, Inc. vs City of
La Porte, Civil Action H-89-3969, United States District Court,
Southern District of Texas.
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X.
The parties agree that this Agreement complies with existing laws
pertaining to the subject and that all terms, considerations and
conditions set forth herein are lawful, reasonable, appropriate,
and not unduly restrictive of Company's business activities.
Without such agreement neither party hereto would enter into this
Agreement. In the event any one 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.
XI.
Upon the commencement of the term of this Agreement, all other
previously existing industrial district agreements with respect to
said Land shall terminate.
ENTERED INTO effective the 1st day of January, 1994.
PETRO= CORPORATION
APPROVED (COMPANY)
71S TO FORM
LEGAL DEPT, By J _
W.: Name: William E. Nasser
CQ,(� Title: rha i rman , President $ Chief Executive
DATE:—. ) �' Address
369 I:4arshall Avenue Officer
St. Louis,hfl 63119
ATTEST:
City Secretary
APP EDD:
Knox W. Askins
City Attorney
City of La Porte
P.O. Box 1218
La Porte, TX 77572-1218
Phone: (713) 471-1886
Fax: (713) 471-2047
CITY OF LA PORTE
By:
rman L. Maldn6
Mayor
By: T.
Robert T. Herrera
City Manager
CITY OF LA PORTE
P.O. Box 1115
La Porte, TX 77572-1115
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Mr. Robert T. Herrera
City Manager
City of La Porte
604 West Fairmont Parkway
P.O. Box 1115
La Porte, TX 77572-1115
Petrolite Corporation
369 Marshall Avenue • St. Louis, Missouri 63119-1897
314 961-3500 9 Fax: 314 968-6219
January 5, 1994
Re: Industrial. District Agreement - Petrolite Corporation
Dear Mr. Herrera:
Enclosed are two signed copies of the above agreement.
CITY
OFFICE MANAGED O
Please send to the attention of the undersigned a fully signed copy of the agreement after
it has been formally approved by the City Counsel.
Thank you.
Very truly yours,
PETROLITE CORPORATION
Charles J. /1Zn
Assistant Treasurer
Enclosures
CJK:ss
Petrolite Corporation
369 Marshall Avenue • St. Louis, Missouri 63119-1897
314 961-3500 • Fax: 314 968-6045
October 28, 1993
Mr. Robert T. Herrera
City Manager
City of La Porte
P.O. Box 1115
La Porte, TX 77572-1115
RECEJVE0.
NOV 2 1993
r r tANAGER�
OFF10E
Re: City of La Porte Proposed Industrial District Agreement,
Dated October 22, 1993
Dear Mr. Herrera:
Petrolite Corporation has received and reviewed the City of
La Porte's proposed industrial district agreement dated October 22,
1993, for the term January 1, 1994 through December 31, 2000.
By this Letter of Intent, our firm expresses its agreement to
complete, execute and deliver to the City, the City's proposed form
of industrial district agreement, with appropriate attachments as
Exhibit "A" and Exhibit "B", at the earliest possible date.
This Letter of Intent is given by our firm to the City of
La Porte at this time, with the request that the City of La Porte
not include our firm's land in any annexation proceedings. Our
Lirat 1 nder5' i3llds 'i:ti�t`. Y:11C City of La Poi:'k-c, in reliance upon this
letter, will not include our firm's land in the proposed annexation
proceedings.
Yours very truly,
PETROLITE CORPORATION
By: ri &A;
ohn F. McCart y
Vice President, Senior Counsel
FILE COPY
(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 PETROLITE CORPORATION 100 North
Broadway, St. Louis, MO 63102 , a Delaware
corporation, hereinafter called "COMPANY",
WI T N E S S E 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:
The 125.179 acre tract as set forth in Correction Deed dated December 20, 1974,
and recorded in the Harris County Clerk's office under File Number E 34078 7,
Film Code 114-20-2076 through 114-20-2085.
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 lo-
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
authority 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.
City 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
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 mariner 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
limits of City.
II.
A portion of the hereinabove described property has heretofore
been annexed by City. Company has filed with City, coincident with
the execution hereof, its petition to City to annex an additional
portion of the hereinabove described property, to the end that twenty-
five percent (25%) of the total value of the land and improvements
hereinabove described shall be annexed to City. Company agrees to
render and pay full City ad valorem taxes on such .annexed land and
improvements, and tangible personal property.
Under the terms of the Texas Property Tax Code (S.B. 621, Acts
of the 65th Texas Legislature, Regular Session, 1979, as amended),
Industrial District Agreement - 4
the appraised value for tax purposes of the annexed portion of .land,
improvements, and tangible personal property shall be determined by
the Harris County Appraisal District. The parties hereto recognize
that said District has no authority to appraise the land, improvements,
and tangible personal property in the unannexed area for the purpose
of computing the "in lieu" payments hereunder. Therefore, the parties
agree that the appraisal of the land, improvements, and tangible
personal property in the unannexed area shall be conducted by City,
at City's expense, by an independent appraiser of City's selection.
The parties recognize that in making such appraisal for "in lieu"
payment purposes, such appraiser must of necessity appraise the entire
(annexed and unannexed) land, improvements, and tangible personal
property. Company agrees to render and pay full City ad valorem
taxes on such annexed land, improvements, and tangible personal pro-
perty.
Company also agrees to render to City and pay an amount "in lieu
of taxes" on company's land, improvements, and tangible personal
property in the unannexed area equal to the sum of:
(1) Fifty percent (50%) of the amount of ad valorem taxes which
would be payable to City if all of the hereinabove described
property which existed on January 1, 1986, had been within the
corporate limits of City and appraised each year by City's
independent appraiser; and
(2) Thirty percent (30%) of the amount of ad valorem taxes which
would be payable to City on any increase in value of the
hereinabove described property, in excess of the appraised value
of same on January 1, 1986, resulting from new construction and
new acquisitions of tangible personal property, (exclusive of
Construction in Progress, which shall be exempt from taxation),
if all of said new construction and acquisitions had been within
the corporate limits of City and appraised by City's independent
Industrial District Agreement - 5
appraiser;
with the sum of (1) and (2) reduced by the amount of City's ad'valorem
taxes on the annexed portion thereof as determined by appraisal by
the Harris County Appraisal District.
Nothing herein contained shall ever be construed as in derogation
of the authority of the Harris County Appraisal District to establish
the appraised value of land, improvements, and tangible personal
property in the annexed portion, for ad valorem tax purposes.
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'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.
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 within 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
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 within thirty (30) days thereafter Company
shall make payment to City of any additional payment due hereunder
based on such final valuation, together with applicable penalties,
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
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 "in lieu" 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
(1) 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 "in lieu" 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 "in lieu of taxes" thereon
for the last preceding year, whichever is higher.
(1) 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 "Impartial
Arbitrator") 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 "in lieu"
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,
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 (1) 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"
payments hereunder, which shall accrue penalty and interest in like
manner as delinquent 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.
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.
KZ
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.
Industrial District Agreement - 11
XI.
In the event any one or more words, phrases, clauses, sentences,
paragraphs, sections, articles or other parts of this Agreement or
the applicaton thereof to any person, firm, corporation or circum-
stances 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 partes 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
said land shall terminate.
ENTERED INTO this 1st day of June, 1986.
ATTEST:
PETROLITE CORPORATION
(COMPANY)
r :7
BY
Assistant Sep tary Name: M. D. Ingram
Name: dc;+A� Title: President
Address: 100 North Broadway
APPROVED BY COUNSEL: St. Louis, MO 63102
AT;I',ORNEY FOR COMPANY
Name: John F. McCartney
Address: 100 North Broadwa
St. Louis, MO 63102
Telephone: 314/241 -8370
Industrial District Agreement - 12
ATTEST:
CITY
OF LA PORTE
BY
Cherie Black,
City Secretary
'Norman Maio
BY
Jack Owen, Ci
CITY
OF LA PORTE
Post
Office Box 1115
La Porte, Texas 77571
APPROVED BY vy� a--
(�
KNOX W. ASKINS, City Attorney
702 West Fairmont Parkway
Post Office Box 1218
La Porte, Texas 77571
Telephone: (713) 471-1886
(Revised: 06/86)
r r.
NOTICE: 'PHIS CONTRACT IS SUBJ17CT TO ARBITRATION
C UNDL;R THE TEXAS GI:NI:RAr, ARBITRATION ACT, A[:TICLE
224 , ET. SE'0. , RE•;VISE'D CIVIL STATUTES OU TL•:XAS
THE STATE OF TEXAS 5
S
COUNTY OF HARRIS 9
CITY OF LA PORTE 5
INDUSTRIAL DISTRICT AGREEMENT
pMfZ lz1 g
This AGREEMENT made and entered into by and between the CITY OF
LA PORTE, TEXAS, a municipal corporation of Harris County, Texas,
hereinaf ter called "CITY" , and PETROLITE CORPORATION, with offices located at 100
.North Broadway, St. Louis, Missouri 63102 , a DelavAare
corporation, hereinafter called "COMPANY",
WITNES S E T Ht That
WHEREAS, it is the established policy of the City Commission 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 indus-
tries therein, and such policy is hereby reaffirmed and adopted by
this City Commission as being in the best interest of the City and
C.ts citizens; and
WHEREAS, Company is the owner of a certain tract(s) of ]and more
particularly described in the Deed Records of Harris County, Texas,
in the following Volume and Page references, to -wit:
The 125.179 acre tract as set forth in Correction Deed dated December 20, 1974, and
recorded in the Harris County Clerk's office under File Number E 34078 7, Film Code
114-20-2076 through 114-20-2085, said tract being more specifically described oil Exhibit
A, which is attached hereto and made apart hereof.
Revised: 8-79)
� •e
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
located in''its extraterritorial jurisdiction as the "Bayport Indus-
trial District of La Porte, Texas," hereinafter collectively called
C"District,"" such Ordinances being in compliance with the"Municipal
Annexation 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 District and for such purpose desires
to enter into this Agreement with Company pursuant to Resolution
adopted by the City Commission of said City and recorded in the
official minutes of said City:
NOt1, THEREFORE, in consideration of the premises and -the- niutual'- - -
agreements of the parties contained herein and .pursuant to the
Cauthority granted under the Municipal Annexation Act and the Ordi-
nances of City referred to above, City and Company hereby agree with
each other as follows:
. I.
City covenants, agrees and guarantees that during the term of
this Agreement, provided below, and subject to the terms and provi-
sions 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
�l
CIndustrial District Agreement - 3
the foregoing and and. to the later provisions of this Agreement,
City does . further -covenant, agree . and.. guarantee that such industrial
district, to the extent that it covers said land lying within said
District a-nd 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) prescribing 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 limits of City.
C - --- - II..
(A) A portion of the hereinabove described property has hereto-
fore been annexed by City. Company has filed with City, coincident
with the execution hereof, its petition to City to annex an addi-
tional portion -of the hereinabove described property, to the end
• that twenty-five per cent (25%) of the total value of the land and
improvements hereinabove described shall be annexed to City. Com-
pany agrees to render and pay full City ad valorem taxes on such
annexed land and improvements, and tangible personal property.
(1) For tax years 1980 and 1981, Company also agrees to render
and pay an additional amount "in lieu of taxes" on Company's
land, improvements, and tangible personal property in the un-
W(_
Industrial District Agreement - 4
annexed area to the end that Company's payment of taxes on the
--annexed area, combined. -with its payment of. "in lieu of taxes"
on the unannexed area, will equal forty-five percent (45%) of
the amount of ad valorem taxes which would be payable to City
by Company if all of the hereinabove described property had
been within the corporate limits of City.
(B) The Texas Property Tax Code (S. B. 621,. Acts of the 65th
Texas Legislature, Regular Session, 1979) will be effective for 1982
and subsequent .years hereunder. Underthe terms of said Act, the
Cappraised.�value for tax purposes of the annexed portion of land,
improvements, and tangible personal property shall be determined by
the Harris County Appraisal District. The parties hereto recognize
that said District has no authority to appraise the land, improve-
ments, and tangible personal property in the unannexed area for the
purpose of computing the "in lieu" payments hereunder. Therefore,
for 1982 and subsequent years under this Agreement, -the parties
agree. that the - appraisal of the land, improvements, and. tangible
personal property in the unannexed area 'shall _be . conducted_ by. City_,_
at City's expense, by an independent appraiser of City's selection.
The parties recognize that in making such appraisal for "in lieu"
Cpayment purposes, such appraiser must -of necessity appraise the
entire (annexed and unannexed) land, improvements, and tangible
personal property. Company agrees to render and pay full City ad
valorem taxes on such annexed land, improvements, and tangible per-
sonal property.
'(1) For tax year 1982 and thereafter, Company also agrees to
render to -City and pay an amount "in lieu of taxes" on Company's
land, improvements, and tangible personal property in the un-
annexed area equal to forty-five percent (45%) of the amount of
ad valorem taxes which would be payable to City if all of the
hereinabove described property had been within the corporate
C..
Industrial District Agreement - 5
limits of City and appraised by City's independent appraiser,
reduced by the amount of City's ad valorem tax on the annexed
portion thereof as determined by appraisal by the Harris County
Appraisal District.
Nothing contained in Article II(B)(1) shall ever be construed
as in derogation of the authority of the Harris County Appraisal
District to establish the appraised value of land, improvements,
and tangible personal property, in the annexed portion, for ad valorem
tax purpo,ses..
C III.
This Agreement shall extend for a period beginning on the 1st day
of January, 1980, and continue thereafter until December 31, 1986,
unless extended for an additional period or periods of time upon mutu-
al 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, of the final. calendar year of the,term hereof, the agree-
ment of City not to annex property of Company within the District
shall. terminate. In that event, City shall have the right to com-
mence immediate, annexation proceedings as,-to,all of Company's property
Ccovered by this Agreement, notwithstanding any of the terms and pro-
visions of -this agreement; and in .such event. Company agrees that
the_,Texas Municipal Act,.,Article.970a (V.A.T.S.), is hereafter amended
or any new legislation is 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 exists -on the date of
Industrial District Agreement - 6
execution of this Agreement. 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 within 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 indus-
try and 'are to the best interest of all citizens of City and encour-
age future City Commissions to enter into future industrial district
Cagreements 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 Agreement. '
-I 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 eighty per cent (800) of
the fair market value of property. s Any change in such ratio used by
CCity shall be reflected in any subsequent computations hereunder.
This,Agreement shall be subject to all provisions- of. law relating to
determination of value. of eland, improvements, and tangible -personal
property, for tax purposes (e.g., rendition, assessment, Board of
Equalization procedure, 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 V hereof.
V.
(A) In
the
event Company
elects to
protest
the
valuation for
tax purposes
set
on its said
properties
by City
or
by the Flarris
Or
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. Notwithstanding 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 accord-
ance with the foregoing provisions of this Agreement on the basis. of
renditions which shall be timely filed by Company with City's Tax
Assessor -Collector or 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) valua-
tion on said property of Company has been so finally determined,
either as the result of final judgment of a court of competent juris-
diction 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.
C(B) Should Company disagree with -any appraisal made by the
independent appraiser selected by City pursuant to Article II(B)
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
also submit to the City with such notice a written statement setting
Industrial District Agreement - 8
forth what Company believes the market value of Company's herein -
above described property to be. Both parties agree to thereupon
enter into good faith negotiations in an attempt to reach an agree-
ment as to the market value of Company's property for "in lieu"
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 pro-
vided in subparagraph (1) of this Article V(B). Notwithstanding
any such disagreement by Company, Company agrees to pay to City
Con 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 "in lieu" payments which would be"
due hereunder on the basis' of Company's valuations rendered and/or
submitted to City by Company hereunder.
(1) 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 Dis-
trict of Texas appoint the. third arbitrator who, (as the "Im-_ _
partial Arbitrator") shall preside over the arbitration pro-
ceeding. 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 "in lieu" payment and total payment hereunder for the
year in question. The Board shall hear and consider all rele
want 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
Cupon the parties, subject only to judicial review as may be
Industrial District Agreement - 9
available under the Texas General Arbitration Act (Articles
224-238, Vernon's Annotated Revised Civil Statutes of Texas).
Costs of the arbitration shall be shared equally by the Com-
pany and the City, provided that each party shall bear its
own attorneys fees.
(C) Should the provisions of Article II(B) of this Agreement
become impossible of enforcement because of (1) the invalidity or
unenforceability of the Texas Property Code (S.B. 621, Acts of the
65th Texas Legislature, Regular Session, 1979), or any relevant
Cprovision 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(A) hereof; anything
to the contrary in this Agreement notwithstanding.•
VI.
Ci_'ty shall' be entitled to a tax lien on Company's above -described
property, all improvements thereon, and all tangible personal prop-
erty thereon, in the event of default, in payment of "in lieu of
taxes" payments hereunder, which shall accrue penalty and interest
in like manner as delinquent taxes, and -which shall be collectible
Cby City in the same "manner as. provided by law for delinquent taxes._ _
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.
A
• l
Industrial District Agreement - 10
i..
�. VIII.
This Agreement shall inure .to the benefit of and be binding upon
City and Company, and upon Company's successors and assigns, affili-
ates and subsidiaries, and shall remain in force whether Company
sells, assigns, or in any other manner disposes of, either voluntar-
ily 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.
IX.
If City enters into an*Agreement with 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 -•-thee landowner than those in thiss
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. '
ENTERED INTO this 15th day of August, 1979.
PETROL ITE CORPORATION (COMPANY)
i
By
ATTEST:
Sectary ��csisi�/.cTJ
Industrial District Agreement - 11
CITY OF LA PORTE
By r
J. J. Meza, Mayor
ATTEST:
.4 f
City'Cl67k a
City Commissioner
1. 0. ' "` ' �r '' City Commissioner
City Con-iiissioner
City -Commissioner
APPROVED BY COUNSEL:.: r,
KNOX W. ASKINS, City Attorney
702 W. Fairmont Parkway
P. O. Box 1218
La Porte, Texas 77571
Telephone: (713) 471-1886
APOF.NEY FOR COMPAVi
(r/'�ohn F. McCartney
1900 Boatmen's Tower
100 North Broadway
St. Louis, Missouri 63102
Telephone: (314) 241-8370
(Revised: 8-79)
• C.
oc
METES AND BOUNDS DESCRIPTION
125.179 ACRES
WILLIAM M. JONES SURVEY, A-482
HARRIS COUNTY, TEXAS
� 114-20-2�83
Being a tract or parcel containing 125.179 acres of land in the William M. Jones Survey,
A-482, Harris County, Texas and being more particularly described by metes and bounds
as follows (all bearings referenced to the Texas Coordinate System, South Central Zone);
COMMENCING for reference at Humble Pipeline Company CopperweId Number 8, being
the intersection of the east line of a 200.00 foot wide pipeline right-of-way and the
south line of Fairmont Parkway, 250 feet wide;
THENCE with said south line, S 860 53'11" W for a distance of 192.20 feet to a point,
the beginning of a curve;
THENCE continuing with said south line and along the arc of a curve to the right, at 7.97
feet passing the northeast corner of Exxon Drill Site B-15 and continuing along said arc
having a central angle of 03017'53", a radius of 5872.76 feet and a chord which bears S
880 32'07" W for a total arc length of 338.04 feet to the northwest corner of Exxon Drill
C Site B-15, the POINT OF BEGINNING;
THENCE continuing with said south line, along the arc of a curve to the right havinoq a
central angle of 06010'35", a radius of. 5872.76 feet and a chord which bears N 86
43'38" W for an arc length of 633.08 feet to a point for corner at the end of said curve;
THENCE continuing with said south line, N 83038'21" W for a distance of 77.47 feet to
a point for corner, the beginning of a curve;
THENCE continuing with said
south line,
along the arc of a
curve to the left having a
central angle of 090 29'02",
a radius of
5614.81 feet and a
chord which bears N 880
22' 52" W for an arc length of 929.39 feet to a point for corner
at the end of said curve;
THENCE continuing with said
south line,
S 860 52' 37" W for a distance of 591.82 feet
to -o-point -for corner at the intersection
of the south line of
Fairmont Parkway and the
east line of Proposed Boypark
Road, 100
feet wide;
-
THENCE with said east line, S 020 27' 59" E for a distance of 2292.84 feet to a point
for corner,- the northwest corner of that certain 100.000 acre tract of land conveyed to
Che Armak Company as -recorded under File D-9'26504, Film Code 164-35-0011, Official `ublic Records of Real Property, Harris County, Texas;
THENCE with the north line of said 100.00 acre tract, N 870 29' 57" E for a distance
of 2339.52 feet to a point for corner, the southwest corner of Harris County Flood
Control District tract;
THENCE leaving said north line, N 000 45' 15" W for a distance of 254.57 feet, with the
west line of said Harris County Flood Control District tract to a point for corner, the north-
west corner of said Harris County Flood Control District tract;
THENCE with the north line of said Harris County Flood Control District tract, N 870 29'
57" E for a distance of 150.09 feet to a point for corner, the northeast corner of said
Harris County Flood Control District tract and on the west line of a 200.00 foot wide pipe-
line right-of-way;
EXHIBIT "A"
METES AND BOUNDS DESCRIPTION PAGE 2
125.179 ACRES
THENCE with said west line, N 000 45' 15" W for a distance of 1397.21 feet to a
point for corner, the southeast corner of Exxon Drill Site B-15;
.THENCE leaving said west line, S 890 14' 45" W for a distance of 330.00 feet to a
point for corner,. the. southwest corner of said Exxon Drill Site B-15;.
THENCE with the west... line of said Exxon Drill Site.B-15, N 000 45' 15" W for a
distance - of 496.13 feet to the POINT OF BEGINNING and containing 125.179 acres
of land.
Compiled by:
Turner, Collie & Braden, Inc.
Consulting Engineers
Houston : _ . - .. Port Arthur
July 25, 1974 Job No. 1659-007
c
X19
RETURN TO'
13. G. BAWIGANDNER �1`,1Y't lt� T1Tlh fA.
617 CAMLINE
HOUSTON, TEXAS 7,7.0.02
46-�
Petrolite Corporation
13200 Bay Park Road • Pasadena, Texas 77507
713 474-5166
October 14, 1994
Mr. John Joerns
Assistant City Manager
City of La Porte
P. O. Box 1115
La Porte, Texas 77572-1115
Dear Mr. Joerns:
I have enclosed a plot plan of Petrolite's Bayport plant, which I
believe satisfies the Exhibit "B" requirements for the Industrial
District Agreements.
If you have questions, I will try to resolve them.
Sincerely,
Greg eeter
Process Engineering Manager
ci'�Lo� +
n el) L�)D
4
C -1 it of La Porte
September 29, 1994
Petrolite Corporation
Attention: Mr. Charles Klein
369 Marshall Avenue
St. Louis, MO 63119
Re: Industrial District Agreement (IDA)
Exhibit "B"
Dear: Mr. Klein:
The City has received from your firm fully executed Industrial District Agreements.
However, Exhibit "B" is still outstanding.
As indicated in our previous request, Exhibit "B" is new to the Industrial District
Agreements. In the past, the City has not had a complete and cohesive map of the
extraterritorial jurisdiction (ETJ) with participants in the Industrial District Agreements
delineated. It is our intent to use this exhibit as a base for developing such a map.
We also feel that these exhibits will assist in monitoring the faithful performance of
the Industrial District Agreements as well as aiding long-range planning activities and
in some instances responding to emergency situations within the ETJ.
Please forward Exhibit "B" at your earliest convenience. If your firm cannot provide
Exhibit "B" as detailed in the IDA, we would entertain a site survey on some similar
plat or drawing that delineates the property covered by the IDA. If no such
documents are available please notify so other arrangements can be made.
Thank you for your assistance.
Sincerely,
?John Joerns
Assistant City Manager
JJ/jm
CITE'
OF
10
�f�
PORTS
PHONE (71 3) 471-5020
• P. a
BOX 1 1 1 5
a LA PORTE. TEXAS 77572
February 24, 1994
Petrolite Corporation
Attn: Charles Klein
369 Marshall Ave.
St: Louis, MO 63119
RE: Industrial District Agreement (IDA) Exhibits
Dear Mr. Klein
A fully -executed Industrial District Agreement together with the approval ordinance are
enclosed. While reviewing the documents, we found that Exhibit " B " had not been
furnished. Instead, the reference contained in Exhibit "A" was repeated as Exhibit "B."
To complete our documents please forward Exhibit "B."
Exhibit " B " is new to the Industrial District Agreements. In the past, the City has not had
a complete and cohesive map of the extraterritorial jurisdiction (ETJ) with participants in
the Industrial District Agreements delineated. It is our intent to use this exhibit as a base
for developing such a map. We also feel that these exhibits will assist in monitoring the
faithful performance of the Industrial District Agreements as well as aiding long-range
planning activities and in some instances responding to emergency situations within the ETJ.
If you do not have this information, cannot readily develop it, or need to discuss this
request, please contact my Assistant City Manager John Joerns.
Thank you for your assistance in completing these documents.
Sincerely,
Robert T. Herrera
City Manager
RTH/cjb
Enclosures
cc Jeff Litchfield, Finance Director
IDA File #93-IDA-31
f= I
Industrial District Agreements
Each company's packet should contain the following:
-A letter offering the agreement and certified copy of ordinance
✓A letter requesting action /
greement - signed by company, Mayor RTH Sue, Knox
u/Exhibit "A"
�/Exhibit "B " - some will not have this item since we kept the only one that was sent
"EXHIBIT All.
TO INDUSTRIAL DISTRICT AGREEMENT
BETWEEN THE CITY OF LA PORTE
AND
Petrolite Corporation
(Metes and Bounds Description of Land)
The 125.179 acre tract as set forth in Correction Deed dated December 20, 1974,
and recorded in the Harris County Clerk's office under File Number E 340787,
Film Code 114-20-2076 through 114-20-2085.
0j
"EXHIBIT B"
TO INDUSTRIAL DISTRICT AGREEMENT
BETWEEN THE CITY OF LA PORTE
Petrolite Corporation
(Attach Plat reflecting the ownership boundary lines; a
site layout, showing all improvements, including
pipelines and .railroads, and also showing areas of the
Land previously annexed by the City of La Porte.)
The 125.179 acre tract as set forth in Correction Deed dated December 20,
1974, and recorded in the Harris County Clerk's office under File Number is 340787,
Film Code 114-20-2076 through 114-20-2085.
10