HomeMy WebLinkAbout2000-IDA-82
EXHIBIT_"B" to AGENDA REQUEST FORM
Industrial District Agreement
MAY-l0-2007 THU 11:48 AM
FAX NO.
P. 02
NO. 2000-IDA-~ I
S
STATE OF TEXAS I
i
COUNTY OF HARRIS i
ZNDUSTRIAL DISTRZCT ASI~
This AGRBEMENT made and entered into by and between the CITY
OF LA J?ORTE, TEXAS, a municipal cor12oratiQn of lIa is couy.ty '.1
l'exas, hereinafter oalled .CITY.', and CAP pt, ~ ;':';1) Vc.{~lhO-/Are~tJ;.v;( Ii{ Lo~
, ate)(PJ' corporat1on, here na ter '
called .COMPANY",
WIT N E SSE 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 pollcy is hereby reaffirmed and
adopted by this City Council as being in the best interest of the
city and ita 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 ftBattleground Industrial
Dist~ict of La Porte, Texas., and Ordinance No. B4~A, designating
portions of the area located in its extraterritorial juri$diction
as the a Bayport Industrial District of La Porte, Texasp,
hereinafter collectively called aDistrict-, such Ordinances being
in compliance with the Municipal Annexation Act of Texas, codified
as Section 42.044/ Texas Local Government Code; and
WHEREASf Company is the owner of land within a designated
Industrial District of the City of La. Porl:e, 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
~ailroads, 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 'N'ithin 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 Coltlpany hereby agree
with each other as fallOW8:
FINAL DRAFT. February 24, 2000
MAY-lO-200? THU 11:49 AM
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I.
City covenants, agrees and guarantees that during the term of this
Agreement, provided below, and subject to the terms a.nd provisions
of this Agreement, said District shall oontinue to retain its
extraterritorial status as an industrial district, at least to the
extent that the same coverS t.he Land belonging to Company and its
assigns, unless and until the status of said Land, or a portion or
portions the~eof, as an industrial district may be changed pursuant
to the terms of thia Agreement. Subject to the foxegoing 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 cor?orate limits of City, shall be immune from
annexation by C1ty during the term hereof (e~cept 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
he~etofore 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 (0) attempting to exerci~e in any manne~ whatever
control over the conduct of business thereon; provided, however,
any portion of Land constituting a strip of land 100' wide and
contiguous to either Fairmont parkway, State Highway 225, or state
Highway 146, shall be subject to the rules and regulations attached
hereto as l!:xhibit .CII and made a part hereof; and provided,
however, it is agreed that City soall 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 othe~ federal or atate environmental
laws, rules or ~egulations, to the same extent and to the same
intent and effect as if a.ll Land covered by this Agreement were not
subject to the Agreement.
II.
In the event tha.t any portion of the Land haa 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 ~exas Proper~y Tax Code (S.E. 621, Acts ot
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 APvraisal 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. pa~ents hereunder.
Therefore I the parties agree that the appraisal of the Land,
improvements, and tangible personal property in the unannexea area
shall be conduoted by City, at City'S expense, by an independent
appraiser of City's seleotion. The pa:r:ties. recognize that in
making such appraisal for win lieu" payment purposes, such
appraiser must of necessity appraise the entire (annexed and
unannexed) Land, improvements; ana tangible pe~sonal property.
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Nothing herein contained shall ever be interpreted as lessening the
authority of the Harris County Appraisal Distriot to establish the
appraised value of Landt improvements, and tangible personal
property in the annexed portion, for ad valorem tax purposes.
III.
A. On or before April 15, 2001, 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, 2007,
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 heing sworn to by an
authorited officer of the company authorized to do so, or Company's
duly authori~ed agent, {the Company's "Rendition"). Company may
file such Rendition on a Harris County Appraisal niatrict rendition
form, or similar forill. The properties whicn the Company must
render and upon which the "in lieu ofl taxes are assessed are mOJ:"e
tully described in subsections 1, 2, and 3 ot subsection D, of this
Paragraph III (sometimes collectively called the "Property.);
p~ovided, however, pollution control equipment installed on the
Land which is exempt from ad valorem taxation pu:t'suant to the
provisions of Sec. 11.31 of the Texas Property Tax Code is exempt
from ad valorem taxation and "in lieu of taxes" hereunder. A
failure by Company to file a Rendition as provided for in this
paragraph, ISha.ll 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") I 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, 2001, O~ 30 days from
mailing of tax bill and in like manner on or before eacb December
31st thereafter, through and inCluding December 31, 2007, 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 a.nd pay an amount II in lieu of
taxes" on Company' S ~and, improvements and tangible personal
property in the unannexed area equal to the sum of:
1. 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, 2001, and each January 1 thereafter of the applioable
Value Year during the term of this Agreement, (excluding
amounta payable pursuant to subpara.graph 2, below), had
been within the corporate limits of city and appraised
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each year by City's independent appraiser, in accordance
with the applicable provisiona of the Texas Property Tax
Code; and
2.
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, 2000, 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 It) of the amount of ad valorem taxes
which would be payable to City if all of said new
construction had ceen within the corporate limits
of City and appraised by City'S independent
appraiser, in accordance with the applioable
provisions of the TeXas Property Tax Code.
(b) A Substantial Increase in value of the Land,
improvements, and tangible personal property
(excluding inventory) as used in subparagraph 2(a)
above, is defined as an increase in value that is
the lesser of either:
(a.)
i. at lea~t Five percent (St) of the total
appraised value of Land and improvements, on
January 1, 2000; 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.
(0) If existing Property values have depreciated below
the Property value established on January 1, 2000,
an amount equal to the amount of the depreciation
will be removed from the calculation under this
subparagraph 2 to restore the value to the January
1, 2000, value; and
3. ~ifty-three percent (53%) of the amount of ad valorem
taxes which would he payable to City on all of the
Company's tangible personal property of every
description, located in an industrial district of city,
including, without limitationl inventory, oil, gas, and
mineral interests, items of leased equip~entl railroads,
pipelines, and products in storage located on the Land,
if all of said tangible personal property Which existed
on January 1, 2001, and each January 1 thereafter of the
applicable Value ~ear during the term of this Agreement,
had been within the corporate limits of city and
appraised each year hy the City'S independent appraiser,
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in accordance with the applicable provisions of the Texas
Property Tax Code.
with the sum of 1, 2 and 3 reduced by the amount of City's ad
valorem taxes on the annexed pox-tion thereof as determined by
appraisal by the Harris County Appraisal nistrict.
IV.
This Agreement shall extend for a period beginning on the 1st day
of January; 2001, and continuing thereafter until Pecember 31,
2007, unless extended for an additional period or periods of time
upon mutual consent of Company and city as provided by the
Munioipal ~exation Act; provided, however, that in the event this
Agreement is not so extended for an additional period or perioda of
time on or before August 31, 2007, the agreement of City not to
annex property of Company within the Pistrict ehall terminate. In
that event, City shall have the right to commence immediate
annexation prooeedings as to all of Company's property covered by
this Agreement, notwithstanding any of the term~ and provisions of
thia Agreement.
Company agrees that if the Texas Municipal Act, Section 42.044,
Texas Local Government Code, is amended after January 1, 1994, or
~ny new legislation is thereafter enacted by the Legislature of the
State of Te~as 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
auch 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 Municipa.l Annexation Act as the same
existed January 1, 1994.
v.
This Agreement may be extended for an additional veriod or periods
by agreement: between City and Company and/or :1.ts 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 preolude 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 nin lieu of
taxesft on the unannexed portions of Company's hereinabove described
property which would be due to City in accordance with the
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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
ot 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 ma.de 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) daya of receiving such copy, give written notice to the
city of such disagreement. In the event Company does not give such
written notice of disa~reernent within such time periOd, the
appraisal made by said 1ndependent 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 ahall also
suhmit 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 int<J 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, atter the expiration of thirty (30)
days from the date the notice of disagreement was received by City,
the parties have not ~eached agreement as to such market value, the
parties agree to submit the dispute to final arbitration as
provided in subparagraph 1 of thia Article VI B. Notwithstanding
any suoh disagreement by Company, company agrees to pay to City on
or beiore December 31 of each yea.r during the term hereof, at least
the total of Ca) the ad valorem taxes on the anne~ed 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 Soard 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 t.hird
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 differenoe between the parties as to the fair
market value of company's property for calculation of the
"in lieuw payment and total payment hereunder for the
year in queation. The Board snaIl hear and consider all
relevant and material evidence on that issue inclUding
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expert opinion, and shall render its written decision as
promptly as practicable. That decision shall then be
final and binding upon the }j)arties, subject only to
judicial review as may be available under the Texas
General Arbitration Act (Chapter 171, nGeneral
Arbitrationu, Texas civil Practice and Remedies Code).
Coats of the arbitration aha11 be shared equallY by the
company and the city, provided that each party shall bear
its own attorneys fees.
VII.
City ahall be entitled to a tax lien on company's above described
p:r::operty, 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 fo~ delinquent taxes.
VIII.
This Ag~eement 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 a.ny 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.
:ex.
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.
x.
The parties agree that this Agreement complies with e~isting 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 anyone or more words, phrases, clauses,
sentences; paragraphs; sections I articles or other parts of this
Agreement or the application thereof to any person, firm,
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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, pbXase, clauae, 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 ~t day of J~M~~l' 2891.
By;
( COMPANY)
cjST'
crtl4ifkP/iy
By:
RY OF LA POR'l'EI
\~~~~
Alton E. Porter
Mayor
,. By:
ox W. Askins
city Attorney
City of La Porte
P.O. Box: 1218
La Porte, TX 77572-1218
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.BXHDIT ,All
(Metea and Bounds Description of Land)
-"_.~".~----~~,----~"----"-_..._.__. --
FIELD NOTE DESCRIPTION OF 3.0000 ACRES (130,680
SQUARE FEET) OF LAND OUT OF RESTRICTED RESERVE IIAII,
OF BAYPORT NORTH INDUSTRIAL PARK, AS RECORDED IN FILM
CODE NO. 437010 OF THE HARRIS COUNTY MAP RECORDS AND
ALSO BEING OUT OF THAT CERTAIN CALLED 6.9596 ACRE
TRACT OF LAND DESCRIBED BY INSTRUMENT RECORDED UNDER
HARRIS COUNTY CLERK'S FILE NO. 20060245720 AND
LOCATED IN THE WILLIAM M. JONES SURVEY, A-482, HARRIS
COUNTY, TEXAS, SAID 3.0000 ACRE TRACT BEING MORE
PARTICULARLY DESCRIBED BY METES AND BOUNDS AS
FOLLOWS:
BEGINNING at a 5/8 inch iron rod found in the North
right-of-way line of New Century Drive (60 feet wide), said
iron rod marks the Southwest corner of that certain called
7.1526 acre tract recorded under Harris County Clerk's File
No. Y680260, said iron rod also marks the Southeast corner of
said called 6.9596 acre tract and the herein described tract;
THENCE, South 86052'5011 West, along the
right-of-way line of New Century Drive, a distance
feet to a 5/8 inch iron rod set for the Southwest
the herein described tract;
the North
of 275.17
corner of
THENCE, North 03007'1011 West, a distance of 474.90 feet to a
5/8 inch iron rod set in the South right-of-way line of
Fairmont Parkway (250 feet wide) for the Northwest corner of
the herein described tract;
THENCE, North 86052'3711 East, along the South right-of-way
line of Fairmont Parkway, a distance of 275.17 feet to a 5/8
inch iron rod with cap found for the Northwest corner of said
called 7.1526 acre tract recorded under Harris County Clerk's
File No. Y680260, said iron rod also marks the Northeast
corner of said called 6.9596 acre tract and the herein
described tract;
THENCE, South 03007'1011 East, along the the West line of
said called 7.1526 acre tract, same being the East line of
said called 6.9596 acre tract, a distance of 474.91 feet to
the POINT OF BEGINNING and containing 3.0000 acres (130,680
square feet) of land, more or less.
Land Surveyor No. 4314
Century Engineering, Inc.
Dated this 25th day of March, 2007
CEI Job NO. 00044-50.0
(bill) SV GSL50B.T
MAY-lO-20D? THU 11:50 AM
~~
WSXUIBIT BN
(Attach ~lat reflecting the ownership boundary lines; a
site layout, showing all improvements, including
pipelines and railroads, and also showing areas at the
Land previously annexed by the City of La Porte.)
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PRE'Y[NI' DCCESSNE S1llESS ON K PIPING.
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5HAU. NOTIfY 7HE
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18. em' OF LA PORTE ENliIHEERItG OEPNmIENT :nw..L APPRCM:
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SITE & GEOMETRIC
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MAY-I0-2007 THU 11:50 AM
FAX NO.
p, 12
.IXHIBIT en
Page 1 of 2
RULlI Alm RBGULATIONS
JUly portion of Land constituting a strip of land 100' wide and
contiguous to either Fairmont Parkway, state Highway 225, or state
Highway 146 shall be subject to the following rules and regulations
pertaining to new signage, screening, driveways and median
crossovers. These rules and regulations shall apply after the
effective date of this Agreement when Company develops or
construots improvements on vacant Land described in Exhibit l'A"
which ia adjacent to Fairmont Parkway, State Highway 225, or state
Highway 146.
1. Any sign erected in said 100' strip of land shall be subject
to the following provisions:
. One freestanding identification sign shall be permitted
for each side of an industrial establishment that fronts
on an improved public right-of-way.
. Freestanding identification signs for single tenant
buildings shall not exceed 150 square feet in area.
. One freestanding identification sign for identifying
multiple businesses i~ allowable at the intersection of
improved pUblic rights-of-way.
. Freestanding identifica.tion signs for multiple businesses
shall not exceed 350 square feet.
. Freestanding identification signs shall not exceed 45
feet in height.
. Minimum setback for sign construction shall be ten (10)
feet from property lines.
2. When Land adjacent to said 100' strip is developed, the
initial 50' of said strip beyond any existing pi~eline
easement contiguous to either Fairmont Parkway, State H~ghway
225, or State Highway 146 ahall be screened by one of the
following techniques:
a) Leaving in place existing trees, vegetation, underbrush,
etc. to provide a thorough and effective visual screening
of the development. Existing t~ees shall, together with
other vegetation and underbrush, create a continuous
viaual screen.
b) The usa of earthen berme with approximately 3: 1 side
slopes, 50' wide at the base and 8' high. The berms may
be landscaped with a COmbination of trees, shrubs, and
ground cover. All berms and landscaping will be
maintained by the property owners.