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HomeMy WebLinkAboutO-2020-IDA-152 Notsuoh Development CorporationORDINANCE NO. 2020-IDA-152 AN ORDINANCE AUTHORIZING THE EXECUTION BY THE CITY OF LA PORTE, TEXAS iOF AN INDUSTRIAL DISTRICT AGREEMENT WITH NOTSUGH DEVELOPMENT CORPORATION, A TEXAS CORPORATION, FOR THE TERM COMMENCING JANUARY 1, 2020, AND ENDING DECEMBER 31, 2031; MAKING VARIOUS FINDINGS AND PROVISIONS RELATING TO THE SUBJECT; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF. i BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE, TEXAS". l Section 1. Notsuoh Development Corporation, a Texas Corporation has executed an industrial district agreement with the City of La Porte, Texas, for the term commencing January 1, 2020, and ending December 31, 2031, 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, Texas, be and they are hereby, authorized and empowered to execute and I deliver on behalf of the City of La Porte, Texas, 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, Chapter 551, Texas Government Code; and that this meeting has been open to the public as required by law al all times during which this ordinance and the subject matter thereof has been discussed, considered and formally acted upon. The City Council further ratifies, approves and confirms such written notice and the contents and posting thereof. Section 4. This Ordinance shall be effective from and after its passage approval, and it is so ordered. PASSED and APPROVED, this 28th day of September, 2020. ATTEST: jLafu=�:_=L Woodward, City Secretary _APPROVED: AS TO FORM: 7- Clark T. Askins, Assistant City Attorney Order No. 27100001994 Page 1 off 1 Exhibit A A Tract of land containing 49.366 acres being part of and out of S In County Clerk's File No. E334151 in the Official Public Record �^ County (OPRRPHC), and being situated in the William M. Jonel I i�C Harris County, Texas; said 49.366 acres being more particularly as follows BEGINNING at a 5/8-inch iron rod (marked CW # 28 -- 56) found r;,,.,-n,,,y-u,�-,i�lerseccion oaths southerly right-of-way line of Fairmont Parkway (250 feet wide) with the easterly line of a 230 foot wide Harris County Flood Control District (HCFCD) Right -of -Way for Sig Island Slough as i described in Volume 8260, rage 124 of the Harris County Deed Records (HCDR), and being the northwest corner of the herein described tract; THENCE, N 86 deg, 52' 37" E, along the southerly right-of-way line of Fairmont Parkway, for a distance of-1;574.52 feet to a 5/8-inch iron rod (marked HPL-127) found marking the northeast corner of the herein described tract, on .the westerly line of Exxon Pipeline Corridor 11510" (based upon a width of 100 feet); i THENCE, S 14 deg, 41' 49" W, along the westerly line of said Exxon Pipeline Corridor "510", for a distance of 2,395.58 feet to a 5/8-inch iron rod set for the most southerly comer of the herein described tract, on the easterly line of the aforementioned HCFCD 230 foot Right-of-VVay for Big ' lslandSlough; i THENCE, N 34 deg. 59' 39" W, along :the easterly line of said HCFCD 230 foot Right -of -Way for Big -island Slough, for a distance of I.449J5,feet to a 5/8-inch iron'rod set for an angle point; THENCE, N 07 deg. 15' 39" W, continuing along the easterly, line of said HCFCD 230 foot Right of -Way for Bfg Island Slough, fora distance of 1,052.20 feet to the PLACE OF BEGINNING, of a tract containing 49.366 acres of land. a f� q�e yir.rJ (SLC Aaa] .i Wr]. 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County, T xas, hereinafter called "CITY", and N(frwi - ( P _ a oration, 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 "A1' (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;. a ree with each other as follows: g 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, 1) 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 Exhibit "C" and made a part hereof, 2) intermodal shipping containers (including but not limited to freight and tank containers) placed on Land belonging to Company shall be permitted to be stacked only two containers in height within the 100' wide portion of Company's Land contiguous to either Fairmont Parkway, State Highway 225, or State Highway 146; beyond said 100' wide strip, intermodal shipping containers shall be eligible to be stacked one additional container in height within and for each successive 100' wide portion of Company's Land behind and following the preceding 100' wide strip, up to a maximum of six containers in height, regardless of distance from Fairmont Parkway, State Highway 225, or State Highway 146; and 3) 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 be annexed by City, Company agrees to render and pay full City valorem taxes on such annexed Land and improvements, and tangib 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' 2 M 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 property in the annexed portion, for ad valorem tax purposes. A. The properties upon which the "in lieu of" taxes are assessed are more fully described in subsections 1, 2, and 3 of subsection C, of this Paragraph III (sometimes .collectively called the "Property"); provided, however, pollution control equipment installed on the Land which is exempt, from ad valorem taxation pursuant 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. Property included in this Agreement shall not be entitled to an agricultural use exemption for purposes of computing "in lieu of taxes" hereunder. B. on or before the later of December 31, 2020, or 30 days frc mailing of tax bill and in like manner on or before each Decembe 31st thereafter, through and including December 31, 2031, Compar shall pay to City an amount of "in lieu of taxes" on Company' Property as of January 1st of the current calendar year ("Va1L Year"). C. Company and City agree that the following percentage ("Percentage Amount") shall apply during each of the Valu Years: Value Year 2020: 6406 Value Year 2021: 640 Value Year 2022: 640 Value Year 2023: 6496 Value Year 2024: 64% Value Year 2025: 640 Value Year 2026: 640-. Value Year 2027: 640-8 Value Year 2028: 640 Value Year 2029: 640 Value Year 2030: 6416' Value Year 2031: 6416 i Company agrees to pay to City an amount of " in lieu of 3 taxes" on Company's land, improvements and tangible personal property in the unannexed area equal to the sum of 1.. Percentage Amount 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, 2020, and each January 1 thereafter of the applicable Value Year during the term of this Agreement, (excluding amounts which would be so payable with respect to any Substantial Increase in value of such Land and improvements to which subparagraph 2, below applies), had been within the corporate limits of City and appraised each year by City's independent appraiser, in accordance with the applicable provisions of the Texas Property Tax Code; and 2. (a) On any Substantial Increase in value of the Land, improvements, and tangible personal property (excluding inventory) dedicated to nevi construction, in excess of the appraised value of same on January 1, 2019, resulting from nev construction (exclusive of construction it progress, which shall be exempt from taxation), for each Value Year following completion of construction in progress, an amount equal tc Thirty percent (3090, where construction is completed in Value Years 2020 through 2031, of the amount of ad valorem taxes which would be payable to City if all of said new construction had beer within the corporate limits of City and appraises by City's independent appraiser, in accordance with the applicable provisions of the Texa; Property Tax Code. The eligible period foz application of said thirty percent (30%) "ir lieu" rate shall be for a total of six (6) Value Years. In the case of new construction which is completes in Value Year 2028 or later, and provided, further, that City and Company enter into ar Industrial District Agreement after the expiration of this Industrial District Agreement, then, ans in such events, such new construction shall be entitled to additional Value Years under the nev Agreement at a Thirty percent (30%) valuation under this subparagraph (a), for a total of si) (6) Value Years, but not extending beyond Value Year 2034. In the case of new construction which was completed in Value Years 2016 through 2019 in accordance with the previous Industrial District Agreement between City , and Company, such -new construction shall be subject to a' Twenty percent 20o)valuation through Value Year 2022, and a 4 Thirty (30%) valuation for any additional Value Years beyond Value Year 2022, for a total of six (6) Value Years (b) Application of the thirty percent (30%) "in lieu" rate for Substantial Increase in value of the Land, improvements, and tangible personal property dedicated to new construction is limited to new construction purposed for or related to manufacturing and processing uses. In no case shall Company be entitled to application of the thirty percent (30%) "in lieu" rate for Substantial Increase in value of the Land, improvements, and tangible personal property dedicated to new construction where the new construction is purposed for or related to uses for warehousing, storage, distribution, and/or general freight trucking and transportation, as well as general commercial uses, such as truck stops, rental facilities, or repair shops. (c) 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: i. at least Five percent (5%) of the tota appraised value of Land and improvements, o January 1, 2019; or ii. a cumulative value of at least $3,500,000.00. For the- purposes of this Agreement, multipl projects that are completed in a Value Year can b cumulated to arrive at the amount for the increas in value. (d) If existing Property values have depreciated belo the Property value established on January 1, 2019 an amount equal to the amount of the depreciatio will be removed from the calculation under thi subparagraph 2 to restore the value to the Januar 1, 2019, value; and 3. Percentage Amount of the amount of ad valorem taxe which would be payable to City on all of the Company, tangible personal property of every description located in an industrial district of City, including without limitation, inventory, (including inventory is a federal Foreign Trade Zone and including Freepor exempted inventory), oil, gas, and mineral interests items of leased equipment, railroads, pipelines, an products in storage located on the Land, if all of sai tangible personal property which existed on January 1 2020, and each January 1 thereafter of the applicabl of this Agreement Value Year during the term (excluding amounts which would be so payable with respect to any Substantial Increase in value of such tangible personal property to which subparagraph 2, above applies), had been within the corporate limits of City and appraised each year by the City's independent appraiser, 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 portion thereof as determined by appraisal by the Harris County Appraisal District. 4. Notwithstanding the above, should City elect to grant the Freeport inventory exemption authorized by Article VIII, Section 1-j of the Texas Constitution and Section 11.251 of the Texas Property Tax Code to taxpayers within the City limits, then the freeport inventory exemption shall apply to parties to this Agreement. Further, should inventory or any other class or type of property become exempt from taxation by constitutional amendment or act of the Texas Legislature (including, but not limited to, Article VIII, Section 1-n, of the Texas Constitution and Section 11.253 of the Texas Property Tax Code), such class or type of property shall be exempt for purposes of this Agreement, unless the City Council of the City of La Porte shall by Ordinance provide for the continued taxation of such property under the authority of any applicable provisions of the Texas Constitution and Texas Statutes. 5. City and Company acknowledge circumstances migh require the City to provide emergency services t Company's Property described on Exhibit "A" attache hereto. Emergency services are limited to fire police, and public works emergency services. I Company is not a member of Channel Industries Mutua Aid Association (CIMA), Company agrees to reimburs City for its costs arising out of any emergenc response requested by Company to Company's- property and to which City agrees to respond. If Company is member of CIMA, the obligations of Company. and Cit shall be governed by the CIMA agreement, to whic agreement City is a party. IV. This Agreement shall extend for a period beginning on the 1st da' of January, 2020, and continuing thereafter until December 31 2031, unless extended for an additional period or periods of tim upon mutual consent of Company and City, as provided by th Municipal Annexation Act; provided, however, that in the' even this Agreement is not so extended for an additional period o periods of time on or before August 31, 2031, the agreement o City not to annex property of Company within the District shal terminate. In that event, City shall have the right to commenc A 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 Local Government Code Section Chapter 42.044 "Creation of Industrial District in Extraterritorial Jurisdiction", or Texas Local Government Code Chapter 43 "Municipal Annexation", is amended, 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 laws as the same existed on January 1, 2019. M 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, and except as otherwise provided in Article VI(B), Company agrees to pay to City on or before the date therefore 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, or City shall make payment to Company of any refundi due, as the case may be, 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, 7 within twenty (20) calendar days of receiving City's invoice, 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 written valuations statement 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 it question. The Board shall hear and consider all relevant and material evidence on that issue includinc expert opinion, and shall render its written decision as promptly as practicable. That decision shall ther be final and binding upon the parties, subject only tc judicial review as may be available under the Texa: General Arbitration Act (Chapter 171, "General Arbitration", Texas Civil Practice and Remedies Code). 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. 8 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 withir said territory, for so long as this Agreement or any extensior 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 wit respect to an industrial district or enters into a renewal of an existing industrial district agreements after the effective dat hereof and while this Agreement is in effect, which contains term and provisions more favorable to the landowner than those in thi Agreement, Company and its assigns shall have the right to amen this Agreement and City agrees to amend same to embrace the mor favorable terms of such agreement or renewal agreement. X. The parties agree that this Agreement complies with existing law, pertaining to the subject and that all terms, considerations ani 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 thi Agreement. In the event any one or more words, phrases, clauses sentences, paragraphs, sections, articles or other parts of thi, Agreement or the application thereof to any person, firm corporation or circumstances shall be held by any court o competent jurisdiction to be invalid or unconstitutional for an reason, then the application, invalidity or unconstitutionality o such words, phrase, clause, sentence, paragraph, section, articl or other part of the Agreement shall be deemed to be independen of and separable from the remainder of this Agreement and th validity of the remaining parts of this Agreement shall not b affected thereby. XI. J Upon the commencement of the term of this Agreement, all other previously existing industrial district agreements with respect to said Land shall terminate. XII. Notices by a party to the other party hereto,. shall be mailed or delivered as follows: To the City of La Porte: City Manager City of La Porte 604 West Fairmont Parkway L,A�att Porte, TX 77571 To Company: N AA0 h Attention: Company shall promptly notify City of any change of ownership of Property, any assignment of this Agreement, and of any change of billing address. Company shall notify City annually, on or before June 1, of changes to the following information: Plant Manager Name: Address: Phone: Fax: Email: Tax Agent/Billing Contact Name: Address: Phone: Fax: Email: ENTERED INTO effective the 1st day of January, 2020. By: v Name: Title: Address: 10 EST: By: Ci Se retary CITY OF Mayor R. P4igby APPROVED: By �/��WAs r. Knox kinsCorb Alexand City Attorney City Manager City of La Porte P.O. Box 1218 La Porte, TX 77572-1218 281.471.1886 281.471.2047 fax knoxaskins@comcast.net CITY OF LA PORTE, TEXAS 604 West Fairmont Parkway La Porte, TX 77571 STATE OF TEXAS ` COUNTY OF HARRIS ' This instrument was acknowledged before me on the 20�, by Lance >rariis �ui ;sol o Inl�►�.o :Z20 b�o(�Vt4.u1�� corporation, a cc on behalf of said entity. 4 c` Notary blic, State of Ej-W la Ramps ommissionExpires /2024.12B580454 of ation 11 STATE OF TEXAS COUNTY OF RABBIS his instrument was acknowledged before me on the day of ctiY��� 2000, by Louis R. Rigb , Mayor f the Ci of La orte, a municipal corporations bpY7riV.� Iof said e. tity. LEE WOODWARD N t ry ublic, State Texas P�Y"'�o NOTARY PUBLIC STATE Of TEXAS �oF�'p9 MY COMM. EXR W19/21 NOTARY ID 12681012-9 12 "EXHIBIT All (Metes and Bounds Description of Land) 13 "EXHIBIT B" 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.) 14 "EXHIBIT C" Page 1 of 3 RULES AND REGULATIONS 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 following rules and regulations pertaining to new signage, screening, driveways and median crossovers, as well as the stacking of intermodal shipping containers. These rules and regulations shall apply after the effective date of this Agreement when Company develops or constructs improvements on vacant Land described in Exhibit "A" which is 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: (4 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 tenan buildings shall not exceed 150 square feet in area. One freestanding identification sign for identifyin multiple businesses is allowable at the intersection o improved public rights' -of -way. (4 Freestanding identification signs for multip businesses shall not exceed 350 square feet. cr- Freestanding identification signs shall not exceed 4 feet in height. Minimum setback for sign construction shall be ten (10) feet from property lines. 2. Intermodal shipping containers (including by not limited tc freight and tank containers) shall be permitted to be stacker only to a maximum of two (2) containers in height in the saic 100' strip. In those instances where shipping containers are placed within the said 100' wide strip, the screeninc requirements established in paragraph 3 immediately belov shall apply. 3. When Land adjacent to said 100' strip is developed, the initial 50' of said strip beyond any existing pipeline easement contiguous. to either Fairmont Parkway, State Highway 225, or State Highway 146 shall be screened by one of the following techniques: a) Leaving in place existing trees, vegetation, underbrush; 15 etc. to provide a thorough and effective visual screening "EXHIBIT C" Page 2 of 3 of the development. Existing trees shall, together with other vegetation and underbrush, create a continuous visual screen. b) The use of earthen berms 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. c) A screening plan, to be approved by the City, that includes a combination of trees, shrubs, and ground cover that after 5 years growth will be at least 20 feet in height and shall, together with shrubs and ground cover, create a continuous visual screen. Provided, however, in public utility eaeaments or rights -of -way, the vegetation shall be installed and maintained in a manner which is acceptable to the public utility company, and does not interfere with the operation and maintenance of the public utility facilities. For items b and c above, the actual length of required screening along the roadway will be equal to -the length of the new development that is parallel to the roadway. Screening shall not be required for new' development that is to the rear of or behind existing facilities. In all cases the 50' strip, along the entire roadway frontage, shall be dedicated as a landocape easement and shall be kept free from any improvements except for approved driveway access and identification.signs. For cases of new development or improvements where. a 50' landscape easement is not available or�practical, Company shall meet with City to determine 'a suitable landscaping alternative. d) In the case of land contiguous to Fairmont Parkway, in addition to the other requirements of these Rules and Regulations, Company shall dedicate to City by Plat a ten foot (10') wide pedestrian and bicycle easement, extending along Company's Fairmont Parkway boundary, within the fifty foot (50') landscape easement. The pedestrian easement shall not be within any pipeline facility, except for necessary crossings. 4. Driveways opening from said strip of land onto= State Highwa. 225 or State Highway 146 shall be subject to: the rules an regulations of the Texas Department of Transportation an provisions of the City's Code of ordinances, whichever i more restrictive. IM "EXHIBIT C" Page 3 of 3 Driveways opening from said strip of land onto Fairmont Parkway shall be subject to the rules and regulations of Harris County and provisions of the City's Code of Ordinances, whichever is more restrictive. 5. Driveways opening from said strip of land onto Fairmont Parkway shall be approved by the City and may require the installation of separate acceleration/deceleration lanes. 6. Installation of a median crossover on Fairmont Parkway shall be subject to the approval of both Harris County and City. 17