HomeMy WebLinkAboutIDA-353 - du Pont de Nemours, 1979 & 1965 agreements
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NOTICE: THIS CONTRACT IS SUBJECT TO ARBITRATIOr~
UNDER THE 'l'EXAS GE~JEH^L AIU3I'l'RATION ACT, ARTICLE
224, ET. SEQ., REVISED CIVIL STATUTES OF TEXAS
THE STATE OF TEXAS S
S
COUNTY OF HARRIS ~
S
CITY. OF LA PORTE S
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 E. I. DU PONT DE NEMOURS AND CmWANY,
INC.
, a
Delaware
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corporation, hereinafter called "COMPANY",
WIT N E SSE T H: That
WHEREAS, it is the established policy of the City Commission of
'the City cf L~ Porte, TCAas, to ~dqpt such reasonable measures frOm
time to time a~ ~re 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
e its citizens; and,
NHEHEAS, Company is the owner of a certain tract(s} of land more
particularly described in the Deed, Records of H'arris County, Texas,
in the following Volume and Page references, to-wit:
SEE ATTACHED EXHIBIT A
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(Hev ised :
0-79 )
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Industrial District Agreement - 2
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upon which tract(s) ~ompany 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, designati~g portions of the area
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located in its extraterritorial jurisdiction as the "Bayport Indus-
trial District of La Porte, Texas, n hereinafter collectively called
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"District, n such Ord inances
being in compl iance wi th 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
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industrial plants within said District and for such purpose desires
to enter into this Agreement ,wi th Company pursuant t~ Resolution
adopted by the City, Commission of said City and recorded in the
official minutes ~f said City:
NOW, THEREFORE, in consideration.of the premises and the mutual
agreements of the parties contained herein and pursuant to the
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authority 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.
Ci ty 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 belongin9
to Company and its assigns, and unless and until the status of said
eland, or u portion 01." portions thereof, as an industrial dis.trict
may be changed pursuant to the terms of this ^greement. Subject to
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Industrial 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 wi thin 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
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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) prescr~bing any building, electrical, plumbing or inspection
code or codes, or (c) attempting to exercise in any manner whatever
control over the conduct of business thereon; provided, however, it
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is agreed that Ci ty shall hc'l\;e th~ rig.ht to institute or int~rvene
in any judicial proceeding authorized by the Texas Water Code or the
Texas Clean Air Act to .the same .extent and to the same in,tent and
effect as if all land covered by this Agreement were located wi thin
the corporate limits of City.
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'~ortion of the hereinabove described property, to the end
that twenty":'f ive - per cent (25%) of the total value of the land and
improvements hereInabove described shall be annexed to ~i ty ,.
Com-
pany agrees to render and pay full City ad valorem taxes on such
. annexed land and improvements, and tangible persbnal property.
(l) For ta>: yenrs 1980 and 1981, Company also agrees to render
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and pay an additi.onal amount "in licll of taxes" on Company's
lanel, impl:ovcments, and tang i blc personal property in the lln-
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Industrial District Agreement - 4
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annexed area to the end that Company's payment of taxes on the
annexed area, combined with its payment of n in 1 ieu of taxes"
on the unannexed area, will equal forty-five percent (45%) of
the amount of ad valorem taxes which would be payable to Ci ty
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
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Texas Legislature, Regular Session, 1979) will be effective for 1982
and subsequent years hereunder. Under the terms of said Act, the
appraised value for tax purposes of the annexed portion of land,
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improvements, and tangible personal property shall be determined by
the Harris County Appraisal District. The parties hereto recogni ze
that said District has no authority to appraise the land, improve-
ments,4and tangible personal property in the unannexed area for the
purpose of cvmputing the "in' lieu." payments hereunder. The.:efore,
for 1982 and s~bsequent 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"
~ 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 Ci ty ad
valorem taxes on such annexed land ,improvements, and tangible. per-
sonal propel?ty.
. (1) For tax year 1982 and thereafter, Company also agrees to
render to Ci ty and pay an amount "in lieu of taxes II o'n Company's
land, improvements, and tang ible personal property in the un-
annexed area equal to forty-five percent (45%) of the amount of
ad valot-em taxes wh ich would be payable to Ci ty if a 11 of the
. hereinabove descl: ibed property had been \'Ii th in the corpora tc
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Industrial District Agreement - 5
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limits of City and appraised by City's independent apprai~er,
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 purposes.
III.
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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 o~ periods of time upon mutu-
al consent of Company and City as provided by the Municipal Annexation
Act; provided, howt::ver, that in th.e event this Agreement is not so
extended for an addi tional period or periods of, time on or before
August 31, of the final calendar year of the term hereof, the ~gree-
rnent of Ci ty not to annex property of Company wi thin the District
shall terminate.
In that event, City shall have the right to com-
rnence immediate annexation proceed ing s as to all of Company's property
- covered by this Agreement, notwithstanding any of the terms and pro--
visions of this agreement, and in such event Company agrees that if
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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
Ci ty in connection therewi th after the annexation of such la,nd,
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 wi th the provisions of 5.:'1io
. Texas Municipnl' ^nnex ation Act as the same ex ists 'on the date of
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Industrial District Agreement - 6
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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 wi thin the District
of which it is a part. In this connection, City hereby expresses
its belief that industrial district agreements of the kind made
herein are conducive to the development of existing and future 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
agreements and to extend for additional periods permitted by law
this Industrial District Agreement upon request of Company or its
assigns; prov ided, however, that notl)ing herein contained shall be
deemed to obI igate either party hereto to agree to an extension of
this Ag,reement.
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IV.
Company agrees to pay all ad valorem taxes, and all,lIin 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 (80%) 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 tang ible 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 othen...i~e prov ided
in Articles II and V hereof.
v.
, (1\) In the event. Company elects to protest .the valuation for
e tax plIrpo::;cf, set on it::.> said I?ropertic~; by City or by the Ilarris
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Industrial District Agreement - 7
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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
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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
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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 res.ult 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.
_ (B) 'Should Company disagree wi th any appraisal made by the
independent appraiser selected by. City pursuant to Article II(B)
above (which shall be given tn writing to Company), Company shall,
within ~wenty (20) days of receiving such copy, give written notice
to the Ci ty, of such disagreement.
In the event Company does not
give such ,...ritten 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.
Sholl ld Company (] i ve such not: ice of d isag l"'cemen t, Company shall
e also submit to the City with such notice a wl"'itt:E~n statement: sctt:i,n~
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Industrial District Agreement - 8
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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 ~ttempt 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 ~gree 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
e 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
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submitted to City by Company hereunde~. '
(l)
A board of Arbitrators shall be created
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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 arbi trator 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 arbi trator who, (as the II Im-
partial Arbi trator") shall preside over th~. arbitration pro-
ceeding. The sole issue to be determined in the arbi tration
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 her.eunder for the
year in question. The Board shall hear and consider' all rele-
vant and material evidence on that issue including expert
opinion, and shall render its wri t ten decision as promptly as
practicable. That decision shall then be final and binding
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Industrial District Agreement - 9
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available under the Texas General Arbitration Act (Articles
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224-238, Ve'rnon'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 Articl~ II(B) of this Agreement
become impossible of enforcement because of ( 1) the inval id i ty or
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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 paymepts under this Agreement shall
be governed by the provisions of Artic~e II(A) hereof; anything
to the contrary in this Agreement notwithstanding.
VI.-
City shall be entitled to a tax lien on Company's above-described
property, al.l improvements thereon, and all tang ible personal prop-
erty thereon, in the event of defaul t i~ payment of "in lieu of
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taxes" payments hereunder, which shall accrue penal ty 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.
VII.
Company agrees to prov ide to City at. Company I 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 ~orporat'e 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 \vriting to Company to cancel
,and terminate this ^g~eement.
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Industrial District Agreement - 10
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VIII.
This Agreement shall inure to the bene~it 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
ow~ed by Company situated within said territory, for so long as this
Agreement or any extension thereof remains in force.
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IX.
If Ci ty enters into an' Agreement. wi th other landowner wi th
respect to an industrial district or enters into a renewal of any
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existing industrial district agreements, after the effective ,date
. hereof and while this Agreement is" in efft:ct, 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.
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ENTERED INTO this 15th day of August, 1979.
E. I. DUPONT DE NEMOURS AND
COMPANY, INC. (COMPANY)
By U/.h~
Senior Vice Presldent
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Asst. SCl.:r.c ti' . Y
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Industrial District Agreement - 11
ATTEST:
C~~~./ _A~ J.
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APPROVED BY COUNSEL:
1;)
KNO W. ASKINS, Clty Attorney
702 W. Fairmont Parkway
P. O. Box 1218
La Porte, 'J?exas 77571
Telephone: (713) 471-1886
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CITY OF LA PORTE
BY~~
J. J. Meza! Mayor
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~ C~ty Commissioner .
J ~~~/
~ Clty Comm~sioner
'4'-e';:t/
City
-rC~
City Commissioner
(Hevisccl: 0-79)
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E X H I BIT A
A schedule listing tracts of land acquired by E. I. dupont
de .Nemours and Company in Harris County, Texas, to be used for the
construction of manufacturing and related facilities. The informa-
tion contained in this schedule is a part of the industrial district
agreement entered into between the City of La Porte, Texas, and
Du Pont on August 15, 1979.
Du Pont's Houston Plant acreage was acquired from
the following conveyan~es:
Deed from H. C. Cockburn dated March 29, 1944, recorded in Vol. 1318,
page 364
Deed from U.S.A. (by' Maritime Commission) dated March 30, 1944,
recorded in Vol. 1318, page 444
Deed from St. Joe Paper Co. dated December 21, 1967, recorded in
Vol. 7034, page 10
Deed from Harris County Houston Ship Channel Navigation District
dated June 30, 1969, recorded in Vol. 7708, page 242
Deed from Texas Commerce Bank, National,Nssociation, Trustee, dated
May 27, 1970, recorded in Vol. 8025, page 318
Deed from De::::ker McKim dated....:..A'.l;US~ :, ,1970,
page 60
recorded ~~
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8111,
Deed from Harris County dated October 26, 1971, recorded in Harris
County Clerk's File Code 135-39-0587
Deed from Texas Commerce Bank, National Association, Trustee, dated
October 11, 1973, recorded in Harris County Clerk's File Code
169-33-0421
Deed from Decker McKim, Trustee, dated April 1, 1974, recorded in
Harris County Clerk's File Code 101-13-0864
Deed from Deqker McKim, Trustee, dated April 1, 1974, recorded in
Harris County Cler~'s File Code 101-13-0872
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Deed from Kenneth P. Theriot dated August 30, 1974, recorded in
. Harris County Clerk's File Code E-248302
Deed from Robert L. Bruce dated October 3, 1974, recorded in Harris
County Clerk's File Code E-274648
Deed from Gladys Louise Randall dated May 27, 1975~ recorded in
Harris County Clerk's File Code 121/09/0120
Deed from James N. Cooper & Nife dated November 20, 1975, recorded
in Harris County Clerk's File Code 131/04/1211
Page 1 of 3
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dated November 20, 1975,
File Code 131/13/0088
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Deed from Gerald B. Carpenter & Wife
recorded in ,Harris County Clerk's
Deed from Gladys Louise Randall dated November 20, 1975, reqorded
in Harris County Clerk's File Code 131/04/1215
Deed from Lawrence P. Lee & Wife dated February 4, 1976, recorded
in Harris County Clerk's File Code 135/01/0839
Deed from Donald C. Da1bosco & Wife dated February 17, 1976,
recorded in Harris County Clerk's File Code 135/15/0989
Deed from Wilbern B. Hood & Wife dated April 13, 1976, recorded in
Harris County Clerk's File Code 139/04/1356
Deed from Hayden Moorman & Wife dated April 13, 1976, recorded
in Harris County Clerk's File Code 139/04/1366
Deed from John F. McNeeley, Trustee, dated October 25, 1976,
recorded in Harris County Clerk's File Code 151/16/1976
Deed from Allen L. Wilkirson, Jr. & Wife dated January 25, 1977,
recorded in Harris County Clerk's File Code 159/12/2110
Deed from Southern Pacific Transportation Compa~y dated July 19,
1977, recorded in Harris County Clerk's File Code 185/05/0303
Deed from Penn Earl Majors, Jr. & Wife dated September 20, 1977,
recorded in Harris County Clerk's File Code 176/02/2464
Deed from Jackson Bates Crav~n, Jr~ & Wife dated September 21,
1977, record~d in Harris County Clerk's File Code 176/06/1557
Deed from Delma Earl Polk & Wife dated September 21, 1977, recorded
in Harris County Clerk's File Code 176/02/2468
Deed from James C. Arthur & Wife dated September 21, 1977, recorded
in Harris County Clerk's File Code 176/06/1548
Deed from Jerry R. Christy & Wife dated July 12, 1978, recorded
in Harris County Clerk's File Code,!200j08j1672
Du Pont's Deer~Park Plant acreage was acquired from
th1!' fol'lowing c'onveyances:'
Deed from Donald C. Oalbosco & Wife dated February 17, 1976,
recorded in Harris County Clerk's File Code 135/15/0989
Deed from Claud B. Hamill dated February 17, 1976, recorded in
Harris County Clerk's File Code 135/15/1004
Deed from Gid L. Neal & Wife dated February 17, 1976, recorded in
Harris County Clerk's File Code 135/15/1009
Deed from National Distil.lers & Chemical Corporation dated Decem-
ber 27, 1976, recorded in Harris County Clerk's File Code
115/19/1795
Page 2 of 3
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"io D'eed" rrom Port of !ston Authority of Harris llinty,
dated February 10, 1977, recorded in Harris County
File Code 158/15/0954
Texas,
Clerk's
Deed from National Distillers & Chemical Corporation dated
August 12, 1977, recorded in Harris County Clerk's File Code
175/08/1760
Deed from National Distillers & Chemical Corporation dated May 26,
1978, recorded in Harris County Clerk's File Code 197/08/1836
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NOTICE: THIS CONTRACT IS SUBJECT TO ARBITRATIOn
UNDER THE 'l'EXAS GI::~lEHAL AHBI']'RATION ACT, ARTICLE
224, ET. SEQ., REVISED CIVIL STATUTES OF TEXAS
THE STATE OF TEXAS S
S
COUNTY OF HARRIS S
S
CITY OF LA PORTE S
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 E. I. DU PONT DE NEMOURS AND COMPANY,
INC.
, a
Delaware
corporation, hereinafter called "COMPANY",
WIT N E SSE T H: That
WHEREAS, it is the established policy of the City Commission of
'the City of La Porte, TCAas, to ~dqpt such reasonable measures frOm
time to time as ~re perrni t te'd by law and which' will tend, to enhance
the economic stability and growth' of the Ci ty and its env irons. 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
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 follovli.ng Volume and Page references, to-\o,li t:
SEE ATTACHED EXHIBIT A
(lh:vizeJ: 0-79)
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Industrial District Agreement - 2
upon which tract(s) Gompany 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, designati!lg portions of the area
-..-..-
located in its extraterritorial jurisdiction as the "Bayport Indus-
trial District of La Porte, Texas, n hereinafter collectively called
"District," such Ordinances being in compl iance wi th 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 ,wi th Company pursuant t~ Resolution
adopted by the cl ty ,Commission 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 he~ein and pursuant to the
authority 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 Agreemcnt, said District shall continue and retain its
extraterritorial status ,as an industrial district, at least to the
extent that the same covcrs the land dc~>cribcd above and belongin~l
to Company and i.ts assi<jnfJ, and unless cll1d until the status of 80i<1
lund, or it portion 01: portion!:: then~of, as an indul./tri.al distri.ct
milY be charlCJcd purslIc'lnt: to t:he tcrmr-; of: this Agreement. Subject. to
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Industrial 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 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) 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 agre~c1 that Ci ty shelll hi:l'v-e th~ right to institute or int<ervene
in any judicial proceeding authorized by the Texas Water Code or the
Texas Clean Air Act to .the same ,extent and to the same in,tent and
effect as if all land covered by this Agreement were located within
the corporate limits of City.
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 ~ortion of the hereinabove described property, to the end
that t....'enty.:.five per cent (25%) of the total value of the land and
improvements hereinabove described sht'lll be annexed to ~i ty ,. Com-
pany agrees to render and pay full City ad valorem t.ilxes on such
annexc~ land and improvements, and tangible persbnal property.
(1) Fol.~ tin: ycars 1980 t'lnd .1981, Company ~.1.r.;o agrees to render
ilnd l!"Y an (lckliti.onal clmollnt IJ in li.ell of ti'lXCf.." on C0I\1IJ.:'\11Y' f,;
lanel, illlpl~OVeIl\0nl:[:, c1nd tanCJihle pen;olla1 propcl:-ty in the lIn-
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Industrial District Agreement - 4
annexed area to the end that Company's payment of taxes on the
annexed area, combined with its payment of n in 1 ieu of taxes"
on the unannexed area, will equal forty-five percent (45%) of
the amount of ad valorem taxes which would be payable to Ci ty
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. Under the terms of said Act, the
appraised value for tax purposes of the annexed portion of land,
improvements, and tang ible personal property shall be determined by
the HarJ:"is County Appraisal District. The parties hereto recogni ze
that said District has no authority to appraise the land, improve-
men ts, ~and tang ible personal property in the unannexed a rea for the
purpose of ~vmputing the "in, lieu." payments hereunder.
The~efore,
for 1982 and s~bsequent years under this Agreement, the parties
agree that the appraisal of the land, improvements, and, tang ible
personal property in the unannexed area shall be conducted by Ci ty,
at City's expense, by an independent appraiser of City's selection.
The parties recognize that in making sqch 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 Ci ty ad
valorem taxes on such annexed land, improvements, and tang ible per-
sanal prope~ty.
,( 1) For tax year 19fJ2 and thereafter, Company also agrees to
render to City and pay an amount "in lieu of taxes" o~ Ccimpany's
land, improvements" and tang ible personal property in the un-
annexed i.1l:eLi equal to fOl:ty- f: ive percent (-15%) of the amollnt of
ad vCllorclIl taxer-; which \-lOuld be pnynble to City if: all of the
lwre i. nabove descl: i bed pl:"()p(~rty had been \'/ i tll in the cOl:porille
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Industrial District Agreement - 5
limits of City and appraised by City's independent appraiser,
reduced by' the amount of Ci ty' 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) (l) 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.
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 of. periods of time upon mutu-
al consent of Company and City as provided by the Municipal Annexation
Act; provided, howl::ver, that in the event this Agreemeiit 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 ~gree-
ment of Ci ty not to annex property of Company wi thin 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
covered by this Agreement, notwithstanding any of the terms and pro-
visions of this agreement, and in ,such event Company agrees that if
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 \'/hich imposes greater restrictions on the right of Ci ty to
annex lLlnd belonging to Company or imposes further obligations on
City in connection therewith after the annexation of such la,nd I
Company \.,ill \o1aive the ,right to require City to comply with any such
add i tional rcstri ct.ions or obI ig a tions and the righ ts of the pa toties
sllall be then deterlllined in l.\ccol:-d:1ncc \'Ii th thc provision~j of s.:li.C1
Tcxas Hunieipnl Annc>:alion l\ct a~J the :;;amc exi ~:;ts . on the d,'ll:e of
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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 wi thin the District
of which it is a part. In this connection, Ci ty hereby expresses
its belief that industrial district agreements of th~ 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
agreements and to extend for additional periods permitted by law
this Industrial District Agreement upon request of Company or its
assigns i prov ided, however, that notl}ing herein contained shall be
deemed to obligate either party hereto to agree to an extension of
this Agreement.
IV_.
Company agrees to pay all ad valorem taxes, and all,lIin 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 (80%) of
the fair market value of property. Any change in such ratio used by
Ci ty shall be reflected in any subsequent computa tions hereunder.
This Agreement shall be subject to all provisions of law relating to
determination of value of land, improvements, and tang ible personal
property, for tax purposes (e.g." rendition, assessment, Board of
Equalization procedure, court appeals, etc.) for purposes of fix ing
and determining the amount of ad valorem tax payments, and the amount
of "in lieu of tnx" p~yments hereunder, except as othen...ise provided
in Articles II and V hereof.
V.
, (A) In the event Company elecU-; to protef..it the valuation for
tax PlIl:PO:Wf; r,;et on it:'; ~;ai(l pl:"operticf; by Ci.ty or by the lIarris
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Industrial District Agreement - 7
County Appraisa,l 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 C~mpany, 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 CompClny. 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
valua.tion.
(B) 'Should Company disagree wi th 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 ~wenty (20) days of receiving such copy, give written notice
to the Ci ty. of such disagreement.
In the event Company does not
give such \-,lritten notice of disugreement 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 taxcs"
puyment~ to be made under this Agreement.
Sholl 1d Compi.1ny C) i ve riuch not: i.ce of d i f.ii1<J t"ccmen t, Compilny <;h,-\ 1.1
ul~o f.;ublnit to the City ,-,lith such notice a written !-.tatcment: :.;ettinq
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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 ~ttempt 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 receivea 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
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 II in lieu" 'payments which would be
due hereunder on the, basis of Company's valuatioos rendered and/or
(
submitted to City by Company herp.unde~.
(1)
A board of Arbitrators shall be created
composed of one
o
person named by Company, one. ,by Ci ty, and a th i rd to be named
by those two.
In case of no agreement on this arbi trator 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 th~. arbitration pro-
ceeding. The sole issue to be determined in the arbi. tration
shall be resolution of the difference between the parties as
to the fair market value of Company's property for calculation"
of the "in licu" paymcnt and total payment hercunder for the
year i'n question. 'l'he Board shull hear and consider' all rele-
vant and materi.al evidence on that issuc including expert.
opi n ion, and r;hC\ll render its \-.'r i t ten dec i:3 ion as promptly as
pr(lcticnble. 'l'h:.lt decisi.on shilll then be fi.nal and bindinq
upon the p,ir.t:ic~, sLlI.)~i0.cl only to :il1clicia.l revie\... as IIIClY be
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Industrial District Agreement - 9
available under the Texas General Arbitration Act (Ar~icles
224-238, Vernon's Annotated Revised Civil Statutes of Texas).
Costs of the arbitration shall be shared equally by the Com-
panyand the city, provided that each party shall .bear its
own attorneys fees.
(C) Should the provisions of Articl~ II (B) of this Agreement
become impossible of enforcement because of ( 1) ,the inval id i ty 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 paymeJ'lts under this Agreement shall
be governed by the provisions of Artic~e II(A) hereof; anything
to the contrary in this Agreement notwithstanding.
VI..
City shall be entitled to a tax lien on Company's above-described
property, all improvements thereon, and all tang ible personal prop-
erty thereon, in the event of defaul t i~ payment of "in 1 ieu of
taxes" payments hereunder, which shall accrue penal ty and interest
in like manner as delinquent taxes, and which shall be collectible
by City in the same manner as prov ided by law for del inquent taxes.
VII.
Company agrees to provide to City at Company's expense, a survey
plat and field note description of the land and improvements '-lhich
Company petitions to be annexed in accordance with the provisions of
Art iclc I I above.
Such annexation trClct shall be contiguous to CI
point on the existing ~orporat~ limits of La Porte.
In the event.of
failure of Company to file eithe~ such petition, or such description,
Ci ty nhnll have the righ I: by not ice in \-lr i t in9 to Compnny to c<:lI1cel
. nncl termi.n':Itc thin l\CJn~cment.
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Industrial District Agreement - 10
VIII.
This Agreement shall inure to the bene~it 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
ow~ed 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 wi th other landowner wi th
z:espect to an industrial district or ~nt~rs into a renewal of any
existing industrial district agreements. after the effective date
'hereof and while this Agreement is _ in effE::ct, 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.
ENTERED INTO this 15th day of August, 1979.
E. I. DUPONT DE NEMOURS AND
COMPANY, INC. (COMPANY)
By
u/h~~
Senior Vice Pres1dent
\. )
Asst.
.
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Industrial District Agreement - 11
ATTEST:
,~~;;./ k~ )
Clty Cle -
-........
APPROVED BY COUNSEL:
au~ 1)1 ~
KNOX W. ASKINS, Clty Attorney
702 W. Fairmont Parkway
P. O. Box 1218
La Porte, Texas 7757l
'l'elephone: (713) 471-1006
~~c~
.";".-.,..-,
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CITY OF LA PORTE
B~~~
J. J. Meza, Mayor
,....--.
0:
J e.~~/
/:1 _ C,ty Commi"Ssioner
>t~4 /,,,~~,, ZcV
. /?' Ci ty' Commissioner
-rC'~
City Commissioner
( H(~v i ~3ccl : B-7~) )
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E X H I BIT A
A schedule listing tracts of land acquired by E. I. dupont
de Nemours and Company in Harris County, Texas, to be. used for the
construction of manufacturing and related facilities. The informa-
tion contained in this schedule is a part of the industrial district
agreement entered into between the qity of La Porte, Texas, and
Du Pont on August 15, 1979.
Du Pont's Houston Plant acreage was acquired from
the following conveyances:
Deed from H. C. Cockburn dated March 29, 1944, recorded in Vol. 1318,
page 364
Deed from U.S.A. (by'Maritime Commission) dated March 30, 1944,
recorded in Vol. 1318, page 444
Deed from St. Joe Paper Co. dated December 21, 1967, recorded in
Vol. 7034, page 10
Deed from Harris County Houston Ship Channel Navigation District
dated June 30, 1969, recorded in Vol. 7708, page 242
Deed from Texas Commerce Bank, National ,~ssociation, Trustee, dated
May 27, 1970, recorded in Vol. 8025, page .318
Deed from De=ker McKim dated,August ~, 1970,
~ .
page 60
recorded ~~
~~,
V~~.
8111,
Deed from Harris County dated October 26, 1971, recorded in Harris
County Clerk's File Code 135-39-0587
Deed from Texas Commerce Bank, National Association, Trustee, dated
October 11, 1973, recorded in Harris County Clerk's File Code
169-33-0421
Deed from Decker McKim, Trustee, dated April 1, 1974, recorded in
Harris County Clerk's File Code 101-13-0864
Deed from Deqker McKim, Trustee, dated April 1, 1974, recorded in
Harris County Clerk's File Code 101-13-0872
~
Deed from Kenneth P. Theriot dated August 30, 1974, recorded in
. Harris County Clerk's File Code E-248302
Deed from Robert L. Bruce dated October 3, 1974, recorded in Harris
County Clerk's File Code E-274648
Deed from Gladys Louise Randall dated May 27, 1975~ recorded in
Harris County Clerk's File Code 121/09/0120
Deed from James W. Cooper & Wife dated November 20, 1975, recorded
in Harris County Clerk's File Code 131/04/1211
Page 1 of 3
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Deed from Gerald B. Carpenter & Wife dated November 20, 1975,
recorded in Harris County Clerk's File Code 131/13/0088
Deed from Gladys Louise Randall dated November 20, 1975, recorded
in Harris County Clerk's File Code 131/04/1215
Deed from Lawrence P. Lee & Wife dated February 4, 1976, recorded
in Harris County Clerk's File Code 135/01/0839
Deed from Donald C. Dalbosco & wife dated February 17, 1976,
recorded in Harris County Clerk's File Code 135/15/0989
Deed from Wilbern B. Hood & Wife dated April 13, 1976, recorded in
Harris County Clerk's File Code 139/04/1356
Deed from Hayden Moorman & Wife dated April 13, 1976, recorded
in Harris County Clerk's File Code 139/04/1366
Deed from John F. McNeeley, Trustee, dated October 25, 1976,
recorded in Harris County Clerk's File Code 151/16/1976
Deed from Allen L~ Wilkirson, Jr. & Wife dated January 25, 1977,
recorded in Harris County Clerk's, File Code 159/12/2110
Deed from Southern Pacific Transportation Compa~y dated July 19,
1977, recorded in Harris County Clerk's File Code 185/05/0303
Deed from Penn Earl Majors, Jr. & Wife dated September 20, 1977,
recorded in Harris County Clerk's File Code 176/02/2464
Deed from Jackson Bates Craven, Jr: & Wife dated September 21,
1977, record~d in Harris County Clerk's File Code 176/06/1557
Deed from Delma Earl Polk & Wife dated September 21, 1977, recorded
in Harris County Clerk's File Code 176/02/2468
Deed from James C. Arthur & Wife dated September 21, 1977, recorded
in Harris County Clerk's File Code 176/06/1548
Deed from Jerry R. Christy & Wife dated July l2, 1978, recorded
in Harris County Clerk's File Code,:200/08/1672
Du Pont's Deer"'Park Plant acreage was acquired from
th~ following conveyances:'
Deed from Donald C. Dalbosco & Wife dated February l~, 1976,
recorded in Harris County Clerk's File Code 135/15/0989
Deed from Claud B. Hamill dated February 17, 1976, recorded in
Harris County Clerk's File Code 135/15/1004
Deed from Gid L. Neal & Wife dated February 17, 1976, recorded in
Harris County Clerk's File Code 135/15/1009
Deed from National Distillers & Chemical Corporation dated Decem-
ber 27, 1976"recorded in Harris County Clerk's File Code
115/19/1795
Page 2 of 3
.
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Deed from Port of Houston Authority of Harris County, Texas,
dated February 10, 1977, recorded in Harris County. Clerk's
File Code 158/15/0954
Deed from National Distillers & Chemical Corporation dated
August 12, 1977, recorded in Harris County Clerk's File Code
175/08/1760
Deed from National Distillers & Chemical Corporation dated May 26,
1978, recorded in Harris County Clerk's File Code 197/08/l836
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INDUSTRIAL AGREEMENT,
THIS AGREEMENT entered into between the City of
La Port'e, Texas, a municipal corporation, hereinafter
called IICityll, and E. I. du Pont de Nemours and Company, a
,
Delaware corporation with a permit to do business in Texas,
hereinafter called IIDu Pontll.
WIT N E SSE T H:
----------
WHEREAS, City has a long-established policy of
endeavoring to attract industry and expand its growth,
thereby enhancing the economic stability and growth of
City, pursuant to which City entered into an agreement dated
December 22, 1958, with Du Pont and certain other indus-
tries therein named, which agreement was thereafter amended
by a SUbsequent agreement between City, Du Pont and said
other industries dated December 30, 1961, to which agree-
ments reference is here madej and
WHEREAS, further pursuant to said policy City has
enacted Ordinance No. ?'cz. 9
designating a part of the
area located in its extraterritorial jurisdiction as an
industrial district to be known as liThe Battleground
Industrial District of La Portell, hereinafter called the
IIdistrictll, such ordinance being in compliance with the
provisions of Article 1, Section 5 of the IIMunicipal Annex-
ation Actll, H.B. 13, Acts of the 58th Legislature of the
State of Texas, Regular Session, 1963j and
vffiEREAS, Du Pont is the owner of that certain
land described in deeds to it from H. C. Cockburn dated
March 29, 1944, recorded in Volume 1318, Page 364j and
from United State~ of America by the United States Maritime
Commission dated March 30, 1944, 'recorded in Volume 1318,
Page 444, of the Deed Records of Harris County, Texas, to
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which reference is here made, upon which Du Pont has con-
structed an industrial plant, a portion of which is sit-
uated on land annexed to the City by City's Ordinance
No. 637, to which reference is here made, and a portion
of which land and plant lies within the District; and
WHEREAS~ City desires to encourage the expan-
sion and growth of said industrial plant of Du Pont within
said District as well as within the area annexed to City
by said Ordinance No. 637, and for such purpose desires
to enter into this agreement with Du Pont pursuant to
resolution adopted by the City Council of said City, and
recorded in the official minutes of said City.
NOW1 THEREFORE, in consideration of the premises
and the mutual agreements of the parties herein contained,
and pursuant to the authority granted under the Texas
Municipal Annexation Act referred to above, the parties
hereby agree as follows:
(1) City covenants, agrees and guarantees that
during the term of this agreement hereinbelow provided,
said District shall continue and retain its extraterritorial
status as an industrial district at least to the extent that
the same covers the land lying therein belonging to Du Pont
which was conveyed to it by the above described deeds, and
City does further covenant, agree and guarantee that such
industrial district to the extent that it covers said land
belonging to Du Pont lying within said District shall be
immune from annexation by City during the term hereof, and
that all of said land and property of Du Pont, both that
heretofore annexed and that lying within said District,
shall not have extended to it by ordinance any rules and
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regulations (a) governing plats and the subdivision 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 Du Pont's
business thereon.
(2) Du Pont agrees that, as a payment in lieu
of taxes on the property of Du Pont within the District,
it will pay to City on or before December 31 in each year
during the term hereof an amount reached by first ascertain-
ing the fair market value of such property of Du Pont within
the District, by using as the basis therefor the fair market
value established by Harris County in fixing its ad valorem
tax assessment for that year on the property of Du Pont
which lies within the District, then applying to the fair
market value so obtained the percentage ratio applied to
the fair market value of property which 'is then used by
City in fixing ad valorem tax assessments on property within
the City, and then applying to the figure thus obtained
eighteen percent (18%) of the tax rate of City for that
year. For the purpose of computing "fair market value"
hereunder, and for such purpose only, it is agreed that
presently the ratio of ad valorem tax assessment used by
Harris County is twenty percent (20%) of the fair market
-
value of property and that presently the ratio of ad
valorem tax assessment used by City is forty-two percent
(42%) of the fair market value of property. Any change
in such ratios used by Harris County and/or the City on
or after January 1, 1966, shall be reflected in all future
computations hereunder.
In the event Du Pont elects to protest the valu-
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. ~ . .' ....
ation set on its said properties by Harris County for. any
year or years during the term hereof, then nothing in
this agreement shall preclude such protest and Du Pont
shall have the right to take all legal steps desired by it
to reduce the same, but at such time as the protested Harris
County tax valuation on said property of Du Pont has been
finally determined, either as the result of final judgment
of a court of competent jurisdiction or as the result of
~i..
other final conclusion of the controversy, then within
thirty' (30) days thereafter Du Pont shall make payment to
, ,
City of any additional payment due hereunder based on such
final valuation. Even though Du Pont does protest the val-
uation set on its said properties by Harris County, Du Pont
will pay to City on or before the time therefor hereinabove
provided the total amount of the payment in lieu of taxes
which would be due by Du. Pont to City in accordance with
the foregoing provisions of this paragraph (2) on the basis
of renditions filed by Du Pont with the Tax Assessor of
Harris County for that year.
Should the City Commission, by resolution duly
adopted by a majority of its members within thirty (SO) days
after the ad valorem tax assessment on Du Pont's said
property within the District is fixed by Harris County for
any year during the term hereof, determine that such assess-
ment is more than twenty percent (20%) less than the assess-
,
ment for that year by Harr~s County of comparable properties
within the District, the City may question Du Pont's said
assessment for the purpose of this agreement by so notify-
ing Du Pont in writing. Such written notihe shall be given
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Du Pont within six (6) days after the adoption of such
resolution by registered United States mail addressed to
Du Pont at:
E. I. du Pont de Nemours and Company
1007 Market Street
Wilmington, Delaware 19898
with copy thereof sent in the same manner addressed to
Du Pont at:
E. I. du Pont de Nemours and Company
Houston Plant
P. O. Box 347
La Porte, Texas
Attention:. Plant Manager
and the same shall be accompanied by a true copy of such
resolution. If Du Pont and City then do not agree on an
assessment, City may within three (3) months after the
delivery of such notice petition the District Court of
Harris County for a declaratory judgment to be tried as
other civil causes in which City must establish by a
preponderance of the evidence that the assessment of
Du Pont's said property for that year is in fact more
than twenty percent (20%) less than the assessment by
-
Harris County for that same year of comparable properties.
If final judgment is entered in any such suit declaring
Du Pont's said assessment to be more than twenty percent
(20%) less than said assessment by Harris County of com-
parable properties and determining in dollars the proper
assessment that should have been placed on Du Pont's said
property by Harris County for the year in question, then
the assessment determined by said judgment shall be used
for the purpose of calculating the amount to be paid City
in lieu of taxes in accordance with the provisions of
paragraph (2) above. If final judgment entered in any
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such suit does not find said assessment on Du Pont's
property to be more than twenty percent (20%) less than
. .
said assessment by Harris County of comparable properties
within the District~ then the assessment originally
established for that year shall be used for the purpose
of paragraph (2) above. The costs of any such suit~ ex-
. '
elusive of attorney's fees~ shall be borne by the losing
party.
(3) This Industrial Agreement shall extend
for a term beginning on the first day of January~ 1966~
and continuing thereafter until December 31~ 1972~ unless
extended for an additional period or periods of time as
proyided by the Texas Municipal Annexation Act upon
mutual consent of the parties; 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~ 1972~ the agreement of the City not to annex property
of Du Pont within the District shall terminate. In this
connection~ City hereby expresses its belief that such
industrial district agreements are conducive to develop-
ment of existing and future industry~ are to the best
interest of all citizens of this City~ and City hereby
encourages future City Commissions to enter into future
industrial agreements and to extend for additional periods
permitted by law this industrial agreement upon the request
of Du Pont~ its successors or assigns.
(4) Contemporaneously and effective herewith~
Du Pont and the other industries which were parties to
the above described agpeement dated December 30~ 1961~
which amended and carried forward said agreement dated
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.
December 22, 1958, have entered into a further agreement
with City terminating said prior agreements effective
as of the effective date hereof.
This Agreement shall inure to the benefit
of and be binding upon City and Du Pont, its assignees,
successors, affiliates and subsidiaries, and shall remain
in force whether Du Pont 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 said District, and the agreements herein con~ained
shall be held to be covenants running with the land de-
scribed in said deeds dated March 29, 1944 and March 30,
1944, for so long as this Agreement or any extension
thereof remains in force.
Entered into this 31st day of December, 1965.
ATl'EST:
.~2~
~ . ss s an ecretary
By ~~~
/--- - - es dent
E. I. DU PONT DE NEMOURS AND COMPANY
P/(j
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CITY OF LA PORTE
ATTEST:
By
~"6I<i~g-;C~'e~~#-"'7 "'
AND CITY CLERK
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Ci y Commissi n~r
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, Cit Tax Assesso .........
APPROVED AS TO FORM:
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ity Att ney ~
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