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HomeMy WebLinkAbout02-10-14 Regular Meeting of La Porte City Council LOUIS R. RIGBY DARYL LEONARD Mayor Councilmember District 3 JOHN ZEMANEK TOMMY MOSER Councilmember At Large A Councilmember District 4 DOTTIE KAMINSKI JAY MARTIN Councilmember At Large B Mayor Pro-Tem MIKE MOSTEIT Councilmember District 5 Councilmember District 1 MIKE CLAUSEN CHUCK ENGELKEN Councilmember District 6 Councilmember District 2 CITY COUNCIL MEETING AGENDA Notice is hereby given of a Regular Meetingof the La Porte City Council to be held February 10, 2014,beginning at 6:00 p.m.in the Council Chambers of City Hall, 604 West Fairmont Parkway, LaPorte, Texas, for the purpose of considering the following agenda items. All agenda items are subject to action. 1. CALL TO ORDER 2. INVOCATION – The invocation will be givenbyDon Hill,La Porte Inter Church Council. 3. PLEDGE OF ALLEGIANCE – The Pledge of Allegiancewill be led by CouncilmemberMike Mosteit. 4.PRESENTATIONS, PROCLAMATIONS, and RECOGNITIONS (a) Recognition – “Employee of the(Fourth) Quarter” – Martin Lucio(Meter Reader Supervisor) – Mayor Rigby (b) Recognition – “Employee of the Year” – Christopher Brooks(Solid Waste Worker) – Mayor Rigby (c) Recognition – “Manager of the Year” – Ray Nolen (EMS Chief) – Mayor Rigby 5. PUBLIC COMMENTS (Limited to five minutesper person.) 6. CONSENT AGENDA (All consent agenda items are considered routine by City Council and will be enacted by one motion. There will be no separate discussion of these items unless a Councilmember requests anitem be removed and considered separately.) (a) Consider approval or other action regarding the minutes of the regularcity council meeting held January 27, 2014– P. Fogarty (b) Consider approval or other action authorizing the City Manager to execute an Interlocal Water Service Agreement and an Interlocal Sanitary Sewer Service Agreement with San Jacinto College District for its proposed Maritime Campus – T. Tietjens (c) Consider approval or other action authorizing the City Manager to execute a Memorandum of Agreement with the Fairmont Park HOA for a Community Cooperation Project (installation of electrical and irrigation at two entryways) for a total City contribution of $5,000.00 – T. Leach (d) Consider approval or other action authorizing the City Manager to enter into a Professional Service Contract with Dunham Engineering, Inc., in the amount of $15,000.00 for design th and construction services associated with repainting the interiorof the 4Street Water Tower – D. Mick (e) Consider approval or other action authorizing the City Manager to enter into a Professional Service Contract with Cobb, Fendley and Associates, Inc., for the design, bidding and construction phase services for reconstructing roadway segments of Catlett, Belfast and Pineybrook with a total authorization of $145,000.00 including a $7,500.00 contingency – D. Mick 7. AUTHORIZATIONS (a) Consider approval or other action regarding proposed TIRZ Development Agreement between the City of La Porte, La Porte Redevelopment Authority, Reinvestment Zone No. (Postponed at the October 28, 2013; 1, and Beazer Homes Texas, LP – S. Livingston December 9, 2013 and January 27, 2014, meetings until February 10, 2014, meeting.) (b) Consider approval or other action regarding an Ordinance enlarging the boundaries of TIRZ No. 1, City of La Porte, Texas – S. Livingston (Postponed at the October 28, 2013; December 9, 2013and January 27, 2014, meetings until February 10, 2014, meeting.) (c) Consider approval or other action regarding an Ordinance accepting and adopting amended TIRZ No. 1 Project Plan and Reinvestment Zone Financing Plan – S. Livingston (Postponed at the October 28, 2013; December 9, 2013 and January 27, 2014, meetings until February 10, 2014, meeting.) (d) Consider approval or other action regarding Bid# 14011 for Generators and Switchgear in the amount of $1,396,407.00 to C.F. McDonald – D. Mick 8.PUBLIC HEARING AND ASSOCIATED ORDINANCES (a)Public Hearing to receive comments regarding recommendation by the Planning and Zoning Commission to approve an update to the Future Land Use Plan component of the Comprehensive Plan of the City of La Porte to change future land use classification for tract located northwest of Sens Road and Spencer Highway from commercial to low-density residential – T.Tietjens(Postponed at the October 28, 2013; December 9, 2013 and January 27, 2014, meetings until February 10, 2014, meeting.) (b) Consider approval or other action regarding an Ordinance adopting an update to the Future LandUse Plan component of the Comprehensive Plan of the City of La Porte to change future land use classification for tract located northwest of Sens Road and Spencer Highway, from commercial to low-density residential – T. Tietjens(Postponed at the October 28, 2013; December 9, 2013 and January 27, 2014, meetings until February 10, 2014, meeting.) (c)Public Hearing to receive comments regarding recommendation by the Planning and Zoning Commission to approve Rezone Request # 13-92000002, for the rezoning of a 17.3705-acre-tract of land located northwest of Sens Road and Spencer Highway, from General Commercial (GC) to Low Density Residential (R-1) – T. Tietjens (Postponed at the October 28, 2013; December 9, 2013 and January 27, 2014, meetings until February 10, 2014, meeting.) (d) Consider approval other action regarding an Ordinance amending Chapter 106 “Zoning” of the Code of Ordinances of the City of La Porte by changing the zoning classification of a 17.3705-acre-tract of land located northwest of Sens Road and Spencer Highway from General Commercial (GC) to Low Density Residential (R-1) – T. Tietjens(Postponed at the October 28, 2013; December 9, 2013 and January 27, 2014, meetings until February 10, 2014, meeting.) 9. REPORTS (a) Receive report of La Porte Development Corporation Board – Councilmember Engelken 10. ADMINISTRATIVE REPORTS (a) Receive report from City Manager La Porte Redevelopment Authority/La Porte Tax Reinvestment Zone Number One Meeting, Wednesday, February 19, 2014 City Council Meeting, Monday, February 24, 2014 11. COUNCIL COMMENTS regarding matters appearing on the agenda; recognition of community members, city employees, and upcoming events; inquiry of staff regarding specific factual information or existing policies– CouncilmembersMosteit, Clausen, Martin, Moser, Kaminski, Zemanek, Leonard,Engelken and Mayor Rigby. 12.EXECUTIVE SESSION: The City reserves the right to meet in closed session on any agenda item should the need arise and if applicable pursuant to authorization by Title 5, Chapter 551, of the Texas Government Code, including, but not limited to, the following: Texas Government Code, Section 551.071(1)(A) – Pending or Contemplated Litigation: Meet with City Attorney to discuss Federal Highway Administration review of American Trucking Association complaint against City of La Porte. Texas Government Code, Section 551.072 – Deliberation regarding purchase, exchange, lease or value of real property:Discussion regarding former Texas Parks and Wildlife building. 13.RECONVENE into regular session and consider action, if any on item(s) discussed in executive session. 14. ADJOURN The City Council reserves the right to meet in a closed session on any agenda item should the need arise and if applicable pursuant to authorization by Title 5, Chapter 551, of the Texas Government Code. In compliance with the Americans with Disabilities Act, the City of La Porte will provide for reasonable accommodations for persons attending public meetings. To better serve attendees, requests should be received 24 hours prior to the meeting. Please contact Patrice Fogarty, City Secretary, at 281.470.5019. CERTIFICATION I certify that a copy of the February 10, 2014,agenda of items to be considered by the City Council was posted on the City Hall bulletin board on February 5, 2014. 1.CALL TO ORDER 2.INVOCATION – The invocation will be given by Don Hill, La Porte Inter Church Council. 3. PLEDGE OF ALLEGIANCE – The Pledge of Allegiancewill be led by Councilmember Mike Mosteit. 4.PRESENTATIONS, PROCLAMATIONS, and RECOGNITIONS (a) Recognition – “Employee of the (Fourth) Quarter” –Martin Lucio(Meter Reader Supervisor) – Mayor Rigby (b) Recognition – “Employee of the Year”–Christopher Brooks (Solid Waste Worker) – Mayor Rigby (c) Recognition – “Manager of the Year” – Ray Nolen (EMS Chief) – Mayor Rigby Martin Lucio – Employee of the Quarter th 4 Quarter 2013 Martin serves as our Meter Reader Supervisor. He supervises the repair, reading, and general maintenance of our water meter system. During the past year, he has implemented an aggressive water meter replacement and accuracy program that replaced 2,049 water meter components. Due to his efforts, our meter reading accuracy has increased to 94% for cycle four; and 87% for cycle three. Furthermore, the increased electrical reads reduces the man hours required to manually re-read meters, which are not reading electronically. He developed a water meter tracking system, which monitors meters read electronically by each cycle and those meters which are not reading electronically. This tool allows usto pinpoint which area of the City to devote special attention and install the appropriate meter type (those with intelligent component or standard components). Martin leads by example. His meter repair abilities are exemplary and he has further solidified the mechanical and technical knowledge of his direct reports. As a team, Martin has elevated the meter readers into a cohesive unit that performs all of their duties at a very high level with little or no errors; moreover, amongst their peers, the meter readers are now respected as competent technicians. Martin is an affable, hard working, loyal employee, who has developed a strong working relationship with our billing team, City departments and the public. This renewed relationship has increased our billing accuracy, working relations and image amongst our customers. Christopher Brooks – Employee of the Year 2013 Christopher Brooks started his employment with the City of La Porte on January 3, 2011 as a Solid Waste Worker. Chris has not missed a day to unscheduled leave. Chris’ responsibilities require him to be extremely flexible and proactive. Chris meets these challenges with a positive attitude. Most people don’t think much about their Solid Waste Workers until you get stuck behind a truck when you’re in a hurry or your garbage doesn’t get picked up when you thought it would. For most folks, the Solid Waste Worker is out of sight, out of mind. Solid Waste Workers at work every day deserve the utmost appreciation and respect. Our Solid Waste Workers pick up trash from approximately 1,100 homes per route in all types of weather and in all types of conditions, especially the Texas heat. In fact, the work of a Solid Waste Worker is so physically grueling that a lot of new hires only make it a couple of hours before requesting to be picked up from their route and go home. Mr. Brooks has garnered a perfect attendance record during his employment that began over 3 years ago. Having experienced the hottest summer on record during his time here, I am sure you can appreciate the dedication it took to show up every day and work in those conditions. Chris continues to be a great asset to the City of La Porte. RAY NOLEN: MANAGER OF THE YEAR 2013 As EMS Chief, Ray is responsible for the operation of the EMS Division, which includes emergency medical response services and community outreach programs. Ray supervises 32 employees that staff 3 ambulances, a bike medic unit, special event support, and disaster/mass casualty assistance. While Ray does an excellent job managing the day-today operation of EMS, it is his work on a community service effort that is being recognized here. A Council person had reported to staff that a particular community member was in very poor health and did not have any means to obtain food or medical care. It was feared that this individual may be in very serious jeopardy if something was not done. Upon being informed of the situation Ray immediately took action. He personally visited the individual and spent several hours speaking with him, as it took some time to gain the individual's trust to even all EMS to transport him to a hospital for a medical evaluation. Ray also cleaned up several bag's worth of trash from the home and took out the trash. For most, this would have ended the interaction with this individual in need. However, Ray stayed in touch with the social worker assigned to the case. Ray was informed that the social worker initially was going to release the individual back to his home with twice per week health care, which would have been very detrimental to the individual's health with no support system in place. Ray spent a long time speaking with the individual at the hospital to discuss options for his future and pointed out that going home without a support system in place for basic needs, such as food and medicine, would put the individual in the same situation as before. Ray advocated on the individual's behalf to make sure that he would be transferred to a facility that would be able to meet his medical needs. As a final extra mile gesture, Ray committed that he would make sure that the individual’s mail would be picked up and did so for the first week and a half until a neighbor was identified that could help take this task. At every step in this situation, Ray went above and beyond the call to make sure that this individual was taken care of properly. He did it because he cares about people and about doing the job the right way. I am proud of the work that was done on this individual's behalf. (All consent agenda items are considered routine by City Council and will be enacted by one motion. There will be no separate discussion of these items unless a Councilmember requests an item be removed and considered separately.) (All consent agenda items are considered routine by City Council and will be enacted by one motion. There will be no separate discussion of these items unless a Councilmember requests an item be removed and considered separately.) (a) (Postponed at the December 9, 2013, meeting until January 27, 2014, meeting.) (Postponed at the October 28, 2013, and December 9, 2013, meetings until January 27, 2014, meeting.) (Postponed at the October 28, 2013, and December 9, 2013, meetingsuntil January 27, 2014, meeting.) (Postponed at the October 28, 2013, and December 9, 2013, meetingsuntil January 27, 2014, meeting.) (Postponed at the October 28, 2013, and December 9, 2013, meetingsuntil January 27, 2014, meeting.) (Postponed at the October 28, 2013, and December 9, 2013, meetingsuntil January 27, 2014, meeting.) (Postponed at the October 28, 2013, and December 9, 2013, meetingsuntil January 27, 2014, meeting.) REQUEST FOR CITY COUNCIL AGENDA ITEM Appropriation Agenda Date Requested: February 10, 2014 Source of Funds:_____N/A___________ Requested By: Tim Tietjens Account Number: _____N/A__________ Department: Planning Amount Budgeted:___N/A___________ Report: _ _Resolution: ___Ordinance: _X__ Amount Requested: ___N/A__________ Budgeted Item: YES XNO Exhibits: 1.Ordinance 2.Letters from Shoreacres & Pasadena 3.InterlocalWater ServiceAgreement 4.Interlocal San.Sewer Service Agreement 5.Area Map SUMMARY & RECOMMENDATION The San Jacinto College Districthas requestedwater and sanitary sewer services from La Porte to serve its future Maritime Campus located south of Shoreacres within the corporate limits of Pasadena(see Area Map). Neither Pasadena nor Shoreacrescurrently maintainsufficient water or sanitary sewer facilities in the areato serve thissite therefore;each city has expressedno objection to La Porte providing these services(see letters from Shoreacres and Pasadena). Existing City policy does not address requests for utility services in areas outside La Porte’s jurisdiction. Therefore, staff typicallypresents theserequeststoCouncilfor consideration on a case-by-case basis. Per theagreements,La Portewill bill the San Jacinto College Districtatone and one-half (1-1/2) times its prevailing commercial utilityrate and will retain the right to interrupt or service(s)to the facility at any time water or sewer facilities experience a failureor in the event that the City enacts its drought contingency measures. The initial term of the agreements with the San Jacinto College District will expire on December 31, 2019. Bothagreements will be automatically extended unless written notice is received from either party terminating utility service(s). ______________________________________________________________________________ Action Required by Council: Consider approval or other action regardinganordinance authorizing the City Manager to execute an InterlocalWater Service Agreement and an Interlocal Sanitary Sewer Service Agreement with the San Jacinto College District for its proposed Maritime Campus. ______________________________________________________________________________ Approved for City Council Agenda _______________________________________________________ Corby D. Alexander, City Manager Date ORDINANCE NO. 2014-______________ AN ORDINANCE APPROVING AND AUTHORIZING AN INTERLOCAL WATER SERVICE AGREEMENT AND AN INTERLOCAL SANITARY SEWER SERVICE AGREEMENTBETWEEN THE CITY OF LA PORTEAND THE SAN JACINTO COMMUNITYCOLLEGE DISTRICT, FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW, AND PROVIDING AN EFFECTIVE DATE HEREOF. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE: Section 1. The City Council hereby approves and authorizes the contract, agreement, or other undertaking described in the title of this ordinance, in substantially the form as shown in the document which is attached hereto and incorporated herein by the reference. The City Manager is hereby authorized to execute such document and all related documents on behalf of the City of La Porte. The City Secretary is hereby authorized to attest to all such signatures and to affix the seal of the City to all such documents. Section 2. The City Council officially finds, determines, recites, and declares that a sufficient written notice of the date, hour, place and subject of this meeting of the City Council was posted at a place convenient to the public at the City Hall of the City for the time required by law preceding this meeting, as required by the Open Meetings Law, Chapter 551, Texas Government Code; and that this meeting has been open to the public as required by law at all times during which this ordinance and the subject matter thereof has been discussed, considered and formally acted upon. The City Council further ratifies, approves and confirms such written notice and the contents and posting thereof. Section 3. This Ordinance shall be effective from and after its passage and approval, and it is so ordered. PASSED AND APPROVED, this ______________ day of _____________________________________, 2014. CITYOFLA PORTE Louis R. Rigby,Mayor ATTEST: PatriceFogarty,CitySecretary APPROVED: Knox W.Askins, City Attorney R D Y A W R I A F T Y S S JUN IPE R VIEW SCENT CRE MC CABE RD PI NE B LUFF DR BAYS IDE D R FA LK A VE D WIR E DR W INDL EAF DR FOREST ST PROPOSED SJCD CHOATE RD SH OREACRES BLVD MARITIME CAMPUS SHAD YLAWN AVE BAYWOOD AVE ! N. SHADY LN N S. SHADY L POR T RD Legend AREA MAP LA PORTE CITY LIMITS REQUEST FOR CITY COUNCIL AGENDA ITEM Agenda Date Requested: February 10, 2014 Appropriation Requested By: Traci Leach Source of Funds: Fund 015 Department: Administration Acct Number: Report: Resolution: Ordinance: Amount Budgeted: $20,000 Attachments: HOA Commitment Requested: $5,000 Attachments: Budgeted Item(s): YES NO _____________________________________________________________________________________________ SUMMARY & RECOMMENDATION As part of the FY 2014 budget, the Council approved funding for Community Coop projects, where the City would partner with HOAs and other neighborhood groups to complete small beautification and quality of life projects. A total of $20,000 was budgeted with a maximum City contribution per project of $5,000. All projects would be considered on a first come, first served basis. The Brookglen HOA had a project approved in October 2013 and a second project for Shady Oaks was approved on January 13, 2014. There is $13,825remaining. The Fairmont HOA has requested Council consideration of an entrywayproject with a scope as follows: Installation of electrical service at two entryways- one at Spencer Highway and Farrington and another at Spencer Highway and Valleybrook Installation of irrigation system to serve the flower beds at each of the two entryways The Fairmont HOA Board has approved a contribution of $5,000.Staff solicited quotes from three electrical companies and received a low quote from Kevin Heine Electrical Services for $7,850 for electrical work. Irrigation materials and installationis estimated to cost $2,150 for a total project budget of $10,000. In-house forces will be utilized for the irrigation work. Staff recommends approval of this project. A ction Required by Council: Consider approval or other action authorizing the City Manager to execute a Memorandum of Agreement with the Fairmont Park HOA for a community cooperation project (installation of electrical and irrigation at 2 entryways) for a total City contribution of $5,000. Approved for City Council Agenda ___________________________________________________________ Corby D. Alexander, CityManager Date From:Jo Ann Pitzer To:Leach, Traci Subject:Re: Fairmont Park Homes Association Request Date:Wednesday, January 29, 2014 2:06:11 PM Hi Traci, We budgeted $5000 for this phase. Thanks, Sent from my iPhone On Jan 29, 2014, at 1:38 PM, "Leach, Traci" <LeachT@laportetx.gov> wrote: Jo Ann: Can you clarify how much the Fairmont HOA is willing to contribute towards this project, please? I didn’t realize that piece was missing until I started finalizing the agenda request for the February agenda. Thank you! From: JO ANN PITZER \[mailto:joannpitzer@yahoo.com\] Sent: Tuesday, January 21, 2014 12:06 PM To: Leach, Traci Subject: Re: Fairmont Park Homes Association Request Jo Ann Pitzer People don't care how much you know until they know how much you care Jo Ann Pitzer REQUEST FOR CITY COUNCIL AGENDA ITEM Budget Agenda Date Requested: February 10, 2013 Source of Funds: 003 – Utility Requested By:David Mick Account Number: Department:Public Works Amount Budgeted:$120,000 design and Report: ___Resolution:_____Ordinance:_________ construction. Amount Requested: $15,000 Budgeted Item:YES NO Exhibit:Dunham Engineering, Inc. Proposal SUMMARY & RECOMMENDATION The FY 14 budget includes an allocation of $120,000 for painting the interiorof the elevated th water tower on 4Street. Staff received a design and construction services proposal from Dunham Engineering in the amount of $15,000 (attached). The $15,000 proposal, if authorized, would increase the total FY 14 value of city contracts to Dunham Engineering to more than $50,000 requiring City Council authorization. Dunham Engineering has one other FY 14 contract with the City of La Porte in the amount of $40,000 for the design and construction services associated with the budgeted $465,000 ground storage tank replacement at Water Plant #5 located near the Bay Area Boulevard/Spencer Highway intersection. Other Considerations: Please note that there is a discrepancy in the budget description on Page 8-6. The project th title reads: “Recoat Interior of S. 4Street Elevated Tank”; the body of the description includes note that, in addition to the interior of the tank, the exterior of the tank will be over-coated as wellwhich is incorrect. The proposed work includes only the interior of the tank. th The consultant re-evaluated the exterior coating of the 4Street elevated tanks. The tank was over-coated previously (2006). The next exterior coating, recommended in 3 to 5 years, will require shrouding the tanks, sandblasting the prior coatings down to the metal structure, and coating the exteriors with an epoxy paint. Action Required by Council: Consider approval or other action of this request to grant the City Manager authority to enter into a professional services contract with Dunham Engineering, Inc. in the amount of $15,000for th design and construction services associated with repainting the interior of the 4Street Water Tower. Approved for City Council Agenda Corby D. Alexander Date REQUEST FOR CITY COUNCIL AGENDA ITEM Budget Agenda Date Requested: February 10, 2013 019 (Drainage Fee) Source of Funds: 033 (Street Tax) Requested By:David Mick Account Number: Department:Public Works 019 ($60,000) Amount Budgeted:033 ($150,000) Report: ___Resolution:_____Ordinance:_________ 019 ($ 35,000) Amount Requested: 033 ($110,000) Budgeted Item:YESNO Exhibit:Cobb Fendley Professional Services Proposal SUMMARY & RECOMMENDATION The FY 14 budget includes an allocation for the design of Catlett (Valleybrook to Farrington), Belfast (Valleybrook to Farrington), and Pineybrook (Antrim to Carlow). The City of La Porte selected the firm of Cobb, Fendley & Associates, Inc.to provide professional engineering services for the design, bidding,and construction phase services for this project. The price proposal submitted by Cobb Fendley (attached) totaled $137,750.00. The total request is $145,000.00 including a $7,500 contingency. The total request is below the budget amount of $230,000.00. The construction estimate (FY 15) is $2,300,000. The price proposal references Phase 1 and Phase 2 areas. Staff directed Cobb Fendley to consider the potential for a phased project with the proposal in the event that budget dictated a need to reduce the project scale. Phase 1 includes Pineybrook and the segments of Catlett and Belfast between Valleybrook and Pineybrook. Phase 2 includes the segments of Catlett and Belfast from Pineybrook to Farrington. The HDR street inspection rating was 2 of 9 (9 being the best) for the Phase 1 area; 3 of 9 for the Phase 2 area. Staff recommends constructing both phases simultaneously to complete the improvements from Valleybrook (reconstructed in 2008) to the newly reconstructed Farrington Boulevard roadway. Anticipated completion of the design is June, 2014. Anticipated bid date is first quarter FY 15. At least one public meeting with the residents is anticipated during the design process along with other resident contacts to identify any access or other considerations of the residents. Benefits: The project will address several of the lower rated concrete street segments identified in the 2013 comprehensive street inspection report. Liabilities: Deferring the project construction would add to future year maintenance responsibilities unless substituted with a like project. Operating Costs: Slight decrease in operating costs. Action Required by Council: Consider approval or other action of this request to grant the City Manager authority to enter into a professional services contract with Cobb, Fendley and Associates, Inc. for the design, bidding and construction phase services forreconstructing roadway segments of Catlett, Belfast and Pineybrook with a total authorization of $145,000 including a $7,500 contingency. Approved for City Council Agenda Corby D. Alexander Date REQUEST FOR CITY COUNCILAGENDA ITEM Budget Agenda Date Requested: February 10,2014 Source of Funds: Requested By: Scott D. Livingston Account Number: Department: Administration/Economic Development Amount Budgeted: Report: Resolution: Ordinance: Amount Requested: Exhibit: Letter to the City Council Budgeted Item:YES NO Exhibit: Proposed TIRZ Development Agreement SUMMARY & RECOMMENDATIONS \[NOTE: This item originally appeared on the December 9, 2013 agenda for Council consideration. At that time, all items related to this development were postponed until the January 27, 2014 meeting. The developer has requested that all items related to this development be postponed until the February 10, 2014 meeting.\] Beazer Homes wishes to annex approximately 32 acres on the northwest corner of Sens Road and Spencer Hwy into TIRZ No. 1 and rezone approximately 17 acres of land in the same area from General Commercial (GC) to Low Density Residential (R-1). Beazer requests that the City Council consider approving the annexation of the 33 acre tract of land on the northwest corner of Sens Road and Spencer Hwy into TIRZ No. 1 to make the proposed residential development economically feasible to develop. On the 17 acres of land which are requested to be rezoned, Beazer Homes proposes to build approximately 73 single family homes. The plans Beazerwill offer have a base average size of 2,025 square feet, but their business model is to sell structural options which Beazerbelieves will increase the square footage of the homes to an average size of 2,200 square feet. Beazer Homes has enclosed information showing the average sales price per square foot for existing and new, competing residential developments as compared to the average, projected sales price per square foot for each proposed Beazer Home. Beazer also provides information which shows how competing residential developers sell homes in this area at a higher price than the same homes in other communities around Houston. Beazer Homes has agreed to enter into a four-way development agreement among the following entities: Beazer Homes Texas LP, the La Porte Redevelopment Authority, Reinvestment Zone Number One, and City of La Porte. In order to address the concerns of the residents of Spencer Landing regarding the square footage and appearance of the Beazer product, Beazer has agreed to some restrictionswithin the TIRZDevelopment Agreement (enclosed) that would require: (1) 100% masonry on the front first floor elevationwith 50% along the sides, (2)the investment of approximately $2,097,297in public improvements, and (3) that the cumulative, average sales price (documented at the time Developer sells a finished home to an initial end- user) of all homes within the Project Site is not less than $175,000. A representative from Beazer Homes is available tonight to address any questions or concerns that theCity Council may have about Beazer Homes’proposed residential development, the request to annex the 33 acre tract of land into TIRZ No. 1, and/or the request to re-zone approximately 17 acres of land to accommodate the proposed residential development. Action Required by the City Council: Consider approval or other action of the proposed TIRZ Development Agreement. Approved for the City CouncilAgenda Corby D. Alexander, City Manager Date Draft 12.3.13 DEVELOPMENT AGREEMENT among CITY OF LA PORTE, TEXAS, and REINVESTMENT ZONE NUMBER ONE, CITY OF LAPORTE, TEXAS, and LA PORTE REDEVELOPMENT AUTHORITY and BEAZER HOMES TEXAS LP HOU:3372249.1 DEVELOPMENT AGREEMENT This Agreement (“Agreement”), effective ________, 2013, is made by and among the CITY OF LA PORTE, TEXAS (the “City”),REINVESTMENT ZONE NUMBER ONE, CITY OF LAPORTE, TEXAS (the “Zone”), a tax increment reinvestment zone created by theCity, acting by and through its Board of Directors (the “Zone Board”), LAPORTE REDEVELOPMENT AUTHORITY (the “Authority”), a local government corporation created by the City,acting by and through its Board of Directors (the “Authority Board”) andBEAZER HOMES TEXAS LP, a Delaware limited partnership(the “Developer”). RECITALS WHEREAS, by OrdinanceNo. 99-2325 (the “TIRZ Ordinance”),the City Council of the City created the Zone pursuant to Chapter 311, Texas Tax Code, as amended(the “TIRZ Act”); and WHEREAS, the Zone Board adopted a final Project Plan and Reinvestment Zone Financing Plan; and WHEREAS, the City Council approved the final Project Plan and Reinvestment Zone Financing Plan by Ordinance No. 99-2352; and WHEREAS, the Zone Board recommended that the Zone’s boundaries be expanded and adopted an AmendedProject Plan and Reinvestment Zone Financing Plan (as amended, the “Project Plan”); and WHEREAS, the City Council approved the expansion of the Zone’s boundaries by Ordinance No. 2013-______ and approved the Project Plan by Ordinance No. 2013-___; and WHEREAS, the City authorized the creation of the Authority to aid, assist and act on behalf of the City in the performance of the City’s governmental functions with respect to the common good and general welfare of the Cityand neighboring areas as described in the TIRZ Ordinance; and WHEREAS, the City, the Zone and the Authority have entered into that certain Agreement dated July 9, 2001, and approved byOrdinance No. 2001-2498 (the “Tri-Party Agreement”), pursuant to which the City and the Zone contracted with the Authority to administer the Zone, including, but not limited to, the power to engage in activities relating to the acquisition and development of land, to construct and improve infrastructure in the City, to enter into development agreements with developers and builders in the City, and to issue, sell or deliver its bonds, notes or other obligations in accordance with the terms of the Tri-Party Agreement upon the approval of the City Council of the City; and WHEREAS, the Tri-Party Agreementfurther provides that the Authority must obtain the prior approval of the City for any project approved in the Project Plan that is constructed or caused to be constructed by the Authority; and WHEREAS, the TIRZ Actprovides that the Zone may enter into agreements as the Zone Board considers necessary or convenient to implement the Project Plan and achieve its purposes; and WHEREAS, the Authority Boardand the Zone Board have determined that it is in the best interest of the Zone and the Authority to contract with the Developer, in order to provide for the efficient and effective implementation of certain aspects of the Project Plan; and WHEREAS, the Developer desires to proceed with the development of an urban project consisting of residential,commercialand retail development locatedon land within the Zone (the “Project”)prior to the time that the Authority can issue its bonds or otherwise pay the costs of the Public Improvements (as defined herein); NOW THEREFORE, for and in consideration of the mutual promises, covenants, obligations, and benefits of this Agreement, the City, the Zone, the Authority and the Developer contract and agree as follows: AGREEMENT ARTICLE 1 GENERAL TERMS 1.1Definitions. The terms “Agreement,” “Authority,” “Authority Board,” “City,” “Developer,” “Project,” “Project Plan,” “TIRZ Act,” “Tri-Party Agreement,” “Zone” and “Zone Board” have the above meanings, and the following terms have the following meanings: “Authority Bonds” shall mean the Authority’s tax increment revenue bonds issued in one or more series pursuant to Section 6.1(H) of this Agreement. “Available Tax Increment” shall mean funds in the Tax Increment Revenue Fund. “Completion” shall mean completion of construction of the Public Improvements in accordance with the Plans and Specifications so that the Project can be used and maintained for its intended purposes. Completion shall be approved by the City and certified by the engineering firm engaged by Developer to make such certification. “Contract Progress Payment” shall mean the payment due to a contractor or consultant hired by Developer to complete the Public Improvements. A contract progress payment must be supported not only by a report of a certified public accountant as required in Section6.1(B), but also by customary documentation including, but notlimited to, the name and address of the contractor, a description of the contract pursuant to which the payment is requested, the amount of such payment, the original contract amount, total payments made to date on such contract, an estimate of remaining work to be completed, the cost of such work, and customary lien and subcontractor releases. “County” shall mean Harris County, Texas. 2 HOU:3372249.1 “Developer Advances” shall mean any funds advanced for Project Costsby the Developer pursuant to Section 6.1 of this Agreement and shall include any interest payable thereon as prescribed in this Agreement. “HCAD” shall mean the Harris County Appraisal District. “Parties” or “Party” shall mean the City, the Zone, the Authority and the Developer, the parties to this Agreement. “Plans and Specifications” shall mean the designs, plans and specifications for the Public Improvements prepared or to be prepared by engineering and landscape architect firms at the direction of Developer in accordance with the Project Plan and as approved by the City in accordance with Section 4.2. “Pledged Available Tax Increment” shall mean the Available Tax Increment attributable to the ProjectSite. “Property Account” means an account within the Tax Increment Revenue Fund for deposit of Pledged Available Tax Increment, the proceeds of Authorized Bonds issued to finance Public Improvements pursuant to this Agreement, and other obligations issued pursuant to Article 6, and earnings from the investment of such amounts. “Project Costs” shall mean the cost of the Public Improvements. “Project Site” shall mean the area known asLa Porte Outlots Subdivision, located in certain tracts described in Exhibit A, and all improvements located thereon. “Public Improvements” shall have the meaning provided in Article 3 of this Agreement. “State” shall mean the State of Texas. “Tax Increment” shall have the meaning given such term in the Tri-Party Agreement. “Tax Increment Revenue Fund” shall mean the special fund established by the Authority and funded with payments made by the City and any other participating Taxing Units, pursuant to the Tri-Party Agreement. “Taxing Unit” shall mean individually and collectively, the City and any other taxing units participating in the Zone. 1.2Singular and Plural. Words used herein in the singular, where the context so permits, also include the plural and vice versa. The definitions of words in the singular herein also apply to such words when used in the plural where the context so permits and vice versa. 3 HOU:3372249.1 ARTICLE 2 REPRESENTATIONS 2.1Representations of the Authority. The Authority hereby represents to the Developer that: (A)The Authority is duly authorized, created and existing in good standing under the laws of the State and is duly qualified and authorized to carry on the governmental functions and operations as contemplated by this Agreement. (B)The Authority has the power, authority and legal right to enter into and perform this Agreement and the execution, delivery and performance hereof (i) have been duly authorized, (ii)to the best of its knowledge, will not violate any applicable judgment, order, law or regulation, and (iii)do not constitute a default under, or result in the creation of, any lien, charge, encumbrance or security interest upon any assets of the Authority under any agreement or instrument to which the Authority is a party or by which the Authority or its assets may be bound or affected. (C)The Project, the Public Improvements and the Project Costs are components of or are consistent with the Project Plan. (D)This Agreement has been duly authorized, executed and delivered by the Authority and, constitutes a legal, valid and binding obligation of the Authority, enforceable in accordance with its terms except to the extent that (i)the enforceability of such instruments may be limited by bankruptcy, reorganization, insolvency, moratorium or other similar laws of general application in effect from time to time relating to or affecting the enforcement of creditors’ rights and (ii)certain equitable remedies including specific performance may be unavailable. (E)The execution, delivery and performance of this Agreement by the Authority does not require the consent or approval of any person which has not been obtained. (F)The Authority has an exemption from the payment of sales and use taxes pursuant to the statute under which the Authority was created. 2.2Representations of the Zone. The Zone hereby represents to the Developer that: (A)The Zoneis duly authorized, created and existing in good standing under the laws of theState and is duly qualified and authorized to carry on the governmental functions and operations as contemplated by this Agreement. (B)The Zone has the power, authority and legal right to enter into and perform this Agreement and the execution, delivery and performance hereof (i)have been duly authorized, (ii)to the best of its knowledge, will not violate any applicable judgment, order, law or regulation, and (iii)do not constitute a default under, or result in the creation of, any lien, charge, encumbrance or security interest upon any assets of the Zone under any agreement or instrument to which the Zone is a party or by which the Zone or its assets may be bound or affected. 4 HOU:3372249.1 (C)The Project, the Public Improvements and the Project Costs are components of or are consistent with the Project Plan. (D)This Agreement has been duly authorized, executed and delivered by the Zone and constitutes a legal, valid and binding obligation of the Zone, enforceable in accordance with its terms except to the extent that (i)the enforceability of such instruments may be limited by bankruptcy, reorganization, insolvency, moratorium or other similar laws of general application in effect from time to time relating to or affecting the enforcement of creditors’ rights and (ii)certain equitable remedies including specific performance may be unavailable. (E)The execution, delivery and performance of this Agreement by the Zone does not require the consent or approval of any person which has not been obtained. 2.3Representations of the Developer. The Developer hereby represents to the Authority and the Zone that: (A)The Developer is duly authorized, created and existing in good standing under the laws of the State and is qualified to do business in the State. (B)The Developer has the power, authorityand legal right to enter into and perform its obligations set forth in this Agreement, and the execution, delivery and performance hereof, (i)have been duly authorized by requisite corporate action, (ii)will not, to the best of its knowledge, violate any judgment, order, law or regulation applicable to the Developer or any provisions of the Developer’s bylaws or limited partnership agreement, and (iii)do not constitute a default under or result in the creation of, any lien, charge, encumbrance or security interest upon any assets of the Developer under any agreement or instrument to which the Developer is a party or by which the Developer or its assets may be bound or affected. (C)The Developer will have sufficient capital to perform its obligations under this Agreement at the time it needs to have sufficient capital. (D)This Agreement has been duly authorized, executed and delivered and constitutes a legal, valid and binding obligation of the Developer, enforceable in accordance with its terms except to the extent that (i)the enforceability of such instruments may be limited by bankruptcy, reorganization, insolvency, moratorium or other similar laws of general application in effect from time to time relating to or affecting the enforcement of creditors’ rightsand (ii)certain equitable remedies including specific performance may be unavailable. (E)The Developer will prepare and record residential covenant/deed restrictions for the Project Site requiring that (1) the square footage for each single-family home constructed thereon shall be no less than 1,629 square feet (as determined by HCAD); (2) upon build-out of the Project Site, at least 64% of the single-family homes will have at least 2,000 square feet (as determined by HCAD); and (3) each single-family home shall have a masonry exterior on 100% of the first-floor front elevation and on not less than 50% onof each first-floor side elevation. 5 HOU:3372249.1 ARTICLE 3 THE PUBLIC IMPROVEMENTS 3.1Public Improvements. The Public Improvements shall be and include the design, construction and installation of certain public infrastructure relating to the Project, such infrastructure being more particularly described in the Plans and Specifications. 3.2Project Costs. Theestimated Project Costs of the Public Improvements are described in ExhibitB. The Public Improvements will be developed pursuant to the Plans and Specifications and a schedule that is mutually agreeable to the Parties. The Project Costs shall include all architectural, engineering, design, legal and other consultant fees and expenses (as further set forth in Section6.1(A) hereof) related to such Public Improvements. The Project Costs may be modified with approval of the Authority Board. 3.3Obligation. The Public Improvements shall be designed, acquired, constructed and implemented in accordance with the Plans and Specifications to be approved by the City pursuant to Article 4. ARTICLE 4 DUTIES AND RESPONSIBILITIES OF THE DEVELOPER 4.1Construction Manager. Subject to Article3, the Developer agrees to construct the Public Improvements as described in the Plans and Specifications and to provide and furnish, or cause to be provided and furnished, all materials and services as and when required in connection with theconstruction of the Public Improvements. The Developer will obtain all necessary permits and approvals from the City and all other governmental officials and agencies having jurisdiction (including the approvals required under the Tri-Party Agreement), provide supervision of all phases of construction of the Public Improvements, provide periodic reports as may be reasonably requested and required by the Authority from time to time of such construction to the Authority Boardwith copies to the City, and cause the construction to be performed in accordance with the Plans and Specifications. 4.2Design of the Public Improvements. The Developer shall prepare or cause to be prepared the Plans and Specifications for the Public Improvements. Prior to the commencement of construction or implementation of the Public Improvements, the Plans and Specifications must be submitted to and approved by the City and all other regulatory authorities having jurisdiction. Once the City has approved the Plans and Specifications, no changes thereto can be made without the express written approval of the City, the Zone Board, and the Authority. 4.3Completion. On the later of completion of the construction of the Public Improvements or thirty days after this Agreement is executed, Developer shall provide the Authority and the City with a final cost summary of all costs associated with such Public Improvements, a Certificate of Completion and evidence that all amounts owing to contractors and subcontractors have been paid in full evidenced by customary affidavits executed by such contractors. 4.4Conveyance of Easements. If applicable, the Developer shall grant the City and the Authority all required temporary construction and access easements necessary to maintain the 6 HOU:3372249.1 Public Improvements. The easements granted must be satisfactory for the intended purpose as determined by the City. On property owned by the Authority, the Authority shall grant the Developer at no cost all required temporary construction and access easements necessary to install the Public Improvements. 4.5Payment of Fees. If applicable, Developer agrees to pay anymonthly rates and charges for water and sewer servicesand shall pay all applicable City building permit fees for the Public Improvements. 4.6Cooperation. Developer agrees that it will cooperate with the Zoneand the Authority and Developer will provide all necessary information to the Authority and its consultants in order to assist the Authority in complying with the Tri-Party Agreement, including, without limitation, the completion of the audit and construction audit required therein. 4.7Ad Valorem Taxes. The Developer agrees that all real property within the Project Site will be valued for taxation in accordance with Section23.01, Texas Tax Code, as hereinafter may be amended, and that it will not request such property to be valued for taxation on the basis of inventory as permitted by Section 23.12, Texas Tax Code and as hereinafter may be amended. 4.8Design and Completion of Public Improvements prior to Effective Date. Prior to the effective date of this Agreement, the Developer has committed and expended funds in amounts for Public Improvements described in Exhibit B, in reliance upon the City’s authorization to enlarge the Zone and the Authority’s commitment to pay or reimburse such costs in accordance with the terms herein, but no other contract has heretofore been entered into by the Developer with the Authority or the Zone to provide for such expenditures and reimbursement. The Developer represents that the fair market value of the work and property resulting from the funds so committed or expended and benefiting the Authority and the Zoneis at least equal to the amounts so committed and expended, respectively. In order to compromise and settle all claims the Developer may have arising out of any failure by the Authority and Zone to reimburse funds heretofore expended by the Developer for such Public Improvements, by entering into this Agreement, (A)the Authority and the Zoneagree to reimburse the Developer for Project Costs of such Public Improvements paid or incurred prior to the date hereof in a total amount of committed funds specified in Exhibit Bplus financing costs and/or interest as set forth in Section6.1 below, attributable thereto in accordance with and subject to the other provisions hereof, without admitting liability of any kind on their part, and (B)the Developer releases and discharges the Authority and the Zone from all claims of any nature the Developer might make, now or in the future, arising out of any failure by the Authority and Zoneto pay or reimburse the Developer for any other work done prior to the date hereof or in any greater amount or on any other conditions for work performed in connection with Public Improvements prior to the date hereof. 4.9Changes in Project. The Developer shall not make any change in the Project as to the uses of the property or change the boundaries within the Project Site without the express written consent of the City, the Authority Board and the Zone Board. 7 HOU:3372249.1 4.10No Vested Rights. The Developer expressly understands and agrees that neither this Agreement nor any approvals required herein shall be construed as a “permit,” as defined in Section245.001 of the Texas Local Government Code, or anapplication therefor; and, as such, the Developer has no vested right as a “permit” in any order, regulation, ordinance, rule, expiration date or other requirement in effect at the time of execution of this Agreement or at the time any approval pursuant to the terms hereof is obtained. To this end, Developer, for itself, its officers, agents, employees, successors and assigns, hereby releases and holds harmless the City, the Authority and the Zonefrom any claim or cause of action involving vested rights, including, but not limited to, such a right claimed pursuant to Chapter245 of the Texas Local Government Code, arising out of this Agreement or the approvals required to be obtained herein. ARTICLE 5 DUTIES AND RESPONSIBILITIES OF THE AUTHORITY 5.1Authority Contributions. The Authority shall pay or reimburse to Developer the Project Costs in the amount of the actual costs of the Public Improvements, subject to the conditions of andprovided by Articles3 and 4. The total, actual Project Costs of the Public Improvements, for which the Authority shall be responsible under the terms of this Agreement, is estimated to be $2,097,297. Attachedhereto as Exhibit Bis a detailed description of the engineering estimates of the Public Improvements. The Project Costs shall be financed and funded in accordance with Article6 hereof. In the event a portion of the Public Improvements is determined to be ineligible under the Act, the Project Costs shall be reduced by the amount of such ineligible Public Improvements. If the Authority has already repaid Developer for such ineligible Public Improvements in accordance with this Agreement, the Parties agree that Developer shall reimburse the Authority for such repayment within thirty (30) days of receipt of an invoice from the Authority and all such sums shall bear interest at the rate established in Section 6.1(F) from the date past due until the date of such reimbursement. Should the Developer fail to timely pay such amount, the Authority may, in its solediscretion, withhold the amount due, including accrued interest, from future Contract Progress Payments. 5.2Project Costs. The Authority shall pay or reimburse the Project Costs in accordance with this Agreement. In the event the Authority does not have funds available at the time all or part of the Project Costs are payable by the Authority in accordance with this Agreement, the Project Costs shall be funded in accordance with Article6 hereof, and such funding shall not be deemed a default by the Authority under this Agreement. ARTICLE 6 PUBLIC IMPROVEMENTS FINANCING AND FUNDING 6.1Developer Advances. (A)Developer shall advance sufficient funds as such become due for all costs comprising the Project Costs including, without limitation, all costs of design, engineering, materials, labor, construction, and inspection arising in connection with the Public Improvements, including all payments arising under any contracts entered into by Developer pursuant to this Agreement, all costs incurred in connection with obtaining governmental approvals, certificates or permits (including any building permit fees) 8 HOU:3372249.1 required as a part of any contracts entered into in accordance with this Agreement and all related legal fees incurred in connection therewith. (B)The Developer must submit, within sixty (60) days after the latest of recording a final plat of property within the Project Site, signing this Agreement, or completing an identifiable segment of Public Improvements not subject to the platting requirements of the City, a request for aContract Progress Payment when an identifiable segment of Public Improvements has been completed. Documentation of cost and completion shall be forwarded to the Authority. The Authority, at its expense, shall hire a certified public accountant to calculate the amount due Developer and shall prepare and submit, within a reasonable time,a report to the Authority Boardand send a copy to the City Managerof the City. Requests for Contract Progress Payments shall be submitted only when an identifiable segment of Public Improvements has been completed and shall be submitted no more often than once every sixty (60) days. If the Authority does not have sufficient funds to pay any Contract Progress Payment within 30 days of the date the certified public accountant’s report is received by the Authority Board,the Developer shall be deemed to have advanced such amount to the Authority as of the date actually expended by the Developer. Interest (as calculated pursuant to Subsection 6.1(F)) on each Developer Advance made pursuant to this subsection shall accrue from the date the Developer expended the funds and shall accrue for a maximum period of five (5) years from such date. At such time as funds are available to pay all or any portion of the Developer Advances made hereunder, the Authority, at its expense, shall hire a certified public accountant to calculate the amount due to the Developer and shall prepare and submit a report to the Authority Boardand send a copy to the City Manager of the City certifying (1)the amount due to the Developer for the Developer Advances being repaid, with interest calculated thereon as specified herein and (2)that funds are available to make such payment. Upon receipt of such report, the Authority Boardshall promptly authorize and make payment to the Developer. (C)If, upon completion of the Public Improvements and conveyance of the Public Improvements to the Authority or the City, as applicable, the Authority does not have sufficient funds to reimburse to Developer the unpaid balance of the Project Costs, Developer shall be deemed to have advanced to the Authority an amount equal to the difference between (i)the amount of the Project Costs which has been previously paid by the Authority to Developer and (ii)the final cost of the Public Improvements as evidenced by documentation approved by the Authority Boardin accordance with Section 4.3. (D)Each Developer Advance shall be evidenced by a certificate in the form attached hereto as Exhibit C. (E)The Authority shall begin repaying the Developer Advances, and shall continue such repayment until repaid in full, on the earliest date that funds are available from any of the following sources. (1)proceeds of any applicable bank loan; 9 HOU:3372249.1 (2)proceeds from the sale of applicable Authority Bonds; or (3)PledgedAvailable Tax Increment. (F)Subject to the limitations described in Section 6.1(B) hereof, interest on each Developer Advance shall accrue at the prime rate of JPMorgan Chase Bank. Interest shall be calculated on the basis of a year of 360 days and the actual days elapsed (including the first day but excluding the last day) occurring in the period for which such interest is payable, unless such calculation would result in a usurious rate, in which case interest shall be calculated on the per annum basis of a year of 365 or 366 days, as applicable, and the actual days elapsed (including the first day but excluding the last day). In no case shall the interest rate exceed one percent per month. (G)The Authority’s obligation to pay the Developer Advances or reimburse the Developer for Project Costs is limited to any Pledged Available Tax Increment. The rights of Developer in and to the Pledged Available Tax Incrementgranted herein are subject only to (i)the rights of any holders of bonds, notes or other obligations that have been heretofore or are hereafter issued by the City or any other participating taxing unit that are payable from and secured by a general levy of ad valorem taxes throughout the taxing jurisdiction of the City or any other participating taxing unit, (ii)the rights of any of the holders of bonds and notes that are hereafter issued or incurred by the Authority and which are secured by a pledge of the Tax Increment Revenue Fund, and (iii)the rights of any of the holders of notes that are hereafter issued or incurred by the Authority, which are secured by a pledge, all or a part, of the Tax Increment Revenue Fund,the proceeds of which are used solely to fund the annual operating and administration budget of the Authorityapproved by the Authority Boardand the City Council of the City. Except in the event that (i) the cumulative average sales price (documented at the time Developer sells a finished home to aninitial end-user) of all homes within the Project Site is less than $175,000, or(ii) sufficient tax increment increase does not occur within the term of the Zone or within the Project Site to generate sufficient revenue to repay the Developer Advance(s), it shall be the obligation of the Authority to repay the Developer Advances and accrued interest thereon as set forth in this Agreement from the Pledged Available Tax Incrementuntil such time as the Developer Advances and accrued interest thereof incurred pursuant to this Agreementhave been fully repaid or provision for payment thereon to Developer shall have been made in accordance with this Agreement. The Developer Advances constitute a special obligation of the Authority payable solely from the Pledged Available Tax Incrementas and to the extent provided in this Agreement. The Developer Advances do not give rise to a charge against the general credit or taxing powers of the Authority, the Zone, the City, the County or any other Taxing Unit and is not payable except as provided in this Agreement. Developer, its successors and assigns, shall not have the right to demand payment thereof out of any funds of the Authority other than the Pledged Available Tax Increment or sources described in Section 6.1(E). (H)The Authority will evaluate and consider bond issues to reimburse the Developer upon the following circumstances: 10 HOU:3372249.1 (1)Projected incremental revenue generates 1.25 times coverage for the bonds over projected annual debt service(or such lesser coverage if recommended to the Authority by its financial advisor); (2)Projected incremental revenue will be calculated by multiplying estimated or certified incremental value from HCADby the participant(s) tax rate(s) divided by 100 times one minus a reasonable historical tax collection factor times one minus the City set-aside percentage; (3)A reserve fund equal to maximum annual debt service must be funded from the bond proceeds; (4)Adequate cash or capitalized interest must be set aside to assure payment of the bonds through the date of the next increment payment; and (5)The minimum bondsize will be that size that after funding the Reserve Fund, any capitalized interest and any costs of issuance will allow for a reimbursement to the developer of at least $1.5 million plus developer interest. Reimbursements to multiple developers may be aggregated in a single bond issue to achieve the minimum bond size. (I)The Authority shall not issue obligations in accordance with this Article unless the resulting debt service requirements on all Zoneobligations may be paid in full when due from all money then on deposit in or thereafter required to be deposited to the Property Accountduring the term of such Zone obligations, assuming that (a)the rates at which property taxes are levied by all taxing units required to make deposits to the Tax Increment Fund do not change from the rates at which they most recently levied property taxes, (b)the assessed value of taxable property (net of exemptions) within the Project Sitedoes not change from the amount then most recently estimated or certified by HCAD, (c)all amounts deposited (or required to be deposited) to the Property Account bear interest at the City’s investment rateuntil expended, (d)proceeds of such obligations are deposited to and set aside in the Property Accountas capitalized interest in the amount requested by the Developer and approved by the City Managerof the City, and (e)the Property Accountis expended in each year to pay administrative expenses of the Zone in an amount equal to the product of (i)the total amount of such expenses budgeted in the Zone’s most recent operating budget and (ii)a fraction, the numerator of which is the current Tax Increment attributable to the Project Siteand the denominator of which is the current Tax Increment for the Zone. (J)The Authority shall provide to Developer, upon the written request of Developer, and on the earliest date such information is available after the date of such request, certified copies of all statements of revenue attributable tothe Project Site and the source of such revenue of the Zoneand of the Authority the intended use of which is to verify the availability of funds for payment of the Project Costs or Developer Advances, if applicable, pursuant to this Section. 11 HOU:3372249.1 (K)The Zoneandthe Authority shall use commercially reasonable effortsto cause each Taxing Unit to collect all ad valorem taxes due on property located within the Zone and shall use commercially reasonable effortsto cause such Taxing Units to deposit all tax increments due with the City for transfer to the Tax Increment Revenue Fund pursuant to the Tri-Party Agreement. ARTICLE 7 INSURANCE; RELEASE 7.1Insurance. With no intent to limit any contractor’s liability or obligation for indemnification, the Developer shall require thateach contractor providing work or service on the Public Improvements provide and maintain certain insurance in full force and effect at all times during the construction of the Public Improvements and shall require that the City, the Authority, and the Zone are named as additional insured’s under such contractor’s insurance policies. The insurance, at a minimum, must include the following coverage’s and limits of liability: CoverageLimit of Liability Worker’s CompensationStatutory Employer’s LiabilityBodily Injury by Accident $100,000 (each accident) Bodily injury by Disease $500,000 (policy limit) Bodily injury by Disease $100,000 (each employee) Comprehensive General Liability: Bodily Injury and Property Damage, Combined Including Broad Form Coverage, Limits of $500,000 each Occurrence and $1,000,000 Contractual Liability, Bodily and Aggregate Personal Injury, and Completed Operations (for a period of one year after completion of work) Automobile Liability Insurance (for $500,000 Combined Single Limit per Occurrence automobiles used in performing under this Agreement, including Employer’s Non Ownership and Hired Auto Coverage) Professional Liability Coverage (for $500,000 per occurrence $1,000,000 aggregate professional service contract only) Defense costs are excluded from the face amount of the policy. Aggregate Limits are per 12 month policy period unless otherwise indicated. If the amount of any contract awarded by Developer to construct the Public Improvements shall exceed $1,000,000, Developer shall contract with the contractor to maintain Commercial General 12 HOU:3372249.1 Liability coverage and the Auto Liability coverage for at least twice the combined minimum limits specified above. th The amounts of the insurance required herein shall be reviewed on the fifth (5) anniversary date th of this Agreement and each fifth (5) year thereafter until the construction of the Project is completed and shall be increased, if necessary, so that the amount of such coverage is at all times generally equal to the limitsdescribed herein measured in year 2006 dollars. (A)Form of Policies. The Authority Boardmay approve the form of the insurance policies, but nothing the Authority Boarddoes or fails to do relieves Developer of its obligation to provide the required coverage under this Agreement. The Authority Board’s actions or inactions do not waive the Zone’s or Authority’s rights under this Agreement. (B)Issuers of Policies. The issuer of each policy shall have a certificate of authority to transact insurance business in Texas or a Best’s rating of at least A and a Best’s Financial Size Category of Class VI or better, according to the most current edition Best’s Key Rating Guide, Property Casualty United States. (C)Insured Parties. Each policy, except those for Workers’ Compensation, Employer’s Liability, and Professional Liability, must name the Authority, its officers, agents and employees as additional insured parties on the original policy and all renewals or replacements. (D)Deductibles. Developer shall be responsible for and bear (or shall contract with each applicable contractor to bear and assume) any claims or losses to the extent of any deductible amounts and waives (and shall contract with each contractor to waive) any claim it may have for the same against the Authorityor Zone, its officers, agents, or employees. (E)Cancellation. Each policy must state that it may not be canceled, materially modified, or non-renewed unless the insurance company gives the Authority 30 days’ advance written notice. Developer shall (and shall contract with each contractor to) give written notice to the Authority within five days of the date on which total claims by any party against such person reduce the aggregate amount of coverage below the amounts required by this Agreement. In the alternative, the policy may contain an endorsement establishing a policy aggregate for the particular Public Improvements or location subject to this Agreement. (F)Subrogation. Each policy must contain an endorsement to the effect that the issuer waives any claim or right of subrogation to recover against the Authority, the Zone, its officers, agents, or employees. (G)Primary Insurance Endorsement. Each policy, except Workers’ Compensation and Professional Liability (if any), must contain an endorsement that the policy is primary to any other insurance available to the additional insured with respect to claims arising under this Agreement. 13 HOU:3372249.1 (H)Liability for Premium. Developer shall pay (or shall contract with contractors to pay) all insurance premiums for coverage required by this Section, and the Authority or Zone shall not be obligated to pay any premiums. (I)Subcontractors. Notwithstanding the other provisions of this Section, the amount of coverage contracted to be provided by subcontractors shall be commensurate with the amount of the subcontract, but in no case less than $500,000 per occurrence. Developer shall provide (or shall contract with contractors to provide) copies of insurance certificates to the Authority. (J)Proof of Insurance. Promptly after the execution of this Agreement and from time to time during the term of this Agreement at the request of the Authority, Developer shall furnish the Authority with certificates of insurance maintained by Developer in accordance with this Section. If requested in writing by the Authority, Developer shall furnish the City with certified copies of Developer’s actual insurance policies. If Developer does not comply with the requirements of this Section, the Authority, at its sole discretion, may (1) suspend performance by the Authority hereunder and begin procedures to terminate this Agreement for default or (2) purchase the required insurance with Authority or Zone funds and deduct the cost of the premiums from amounts due to Developer under this Agreement. The Authorityshall never waive or be estopped to assert its right to terminate this Agreement because of its acts or omissions regarding its review of insurance documents. Indemnification and Release 7.2. DEVELOPER SHALL DEFEND, INDEMNIFY, AND HOLD THE AUTHORITY, THE CITY AND THE ZONE, THEIR AGENTS, EMPLOYEES, OFFICERS, AND LEGAL REPRESENTATIVES (COLLECTIVELY, THE “INDEMNIFIED PERSONS”) HARMLESS FOR ALL CLAIMS, CAUSES OF ACTION, LIABILITIES, FINES, AND EXPENSES (INCLUDING, WITHOUT LIMITATION, REASONABLE ATTORNEYS’ FEES, COURT COSTS, AND ALL OTHER DEFENSE COSTS AND INTEREST) FOR INJURY, DEATH, DAMAGE, OR LOSS TO PERSONS OR PROPERTY SUSTAINED IN CONNECTION WITH OR INCIDENTAL TO PERFORMANCE UNDER THIS AGREEMENT, INCLUDING, WITHOUT LIMITATION, THOSE CAUSED BY: (A)DEVELOPER’S AND/OR ITS AGENTS’, EMPLOYEES’, OFFICERS’, DIRECTORS’, CONTRACTORS’, OR SUBCONTRACTORS’ (COLLECTIVELY, “DEVELOPER’S”) ACTUAL OR ALLEGED SOLE AND/OR CONCURRENT NEGLIGENCE OR INTENTIONAL ACTS; ; (B)THE INDEMNIFIED PERSONS’ AND DEVELOPER’S ACTUAL OR ALLEGEDCONCURRENT NEGLIGENCE AND/OR GROSS NEGLIGENCE, WHETHER DEVELOPER IS IMMUNE FROM LIABILITY OR NOT; AND (C)THE INDEMNIFIED PERSONS’ AND DEVELOPER’S ACTUAL OR ALLEGED STRICT PRODUCTS LIABILITY OR STRICT STATUTORY LIABILITY, WHETHER DEVELOPER IS IMMUNE FROM LIABILITY OR NOT. 14 HOU:3372249.1 IT IS THE EXPRESSED INTENTION OF THE PARTIES HERETO THAT THE INDEMNIFICATION PROVIDED FOR IN THIS SECTION IS AN INDEMNITY BY THE DEVELOPER TO INDEMNIFY AND PROTECT THE INDEMNIFIED PERSONS FROM THE CONSEQUENCES OF THE INDEMNIFIED PERSONS’ OWN NEGLIGENCE, INCLUDING GROSS NEGLIGENCE, WHERE THAT NEGLIGENCE IS A CONCURRING CAUSE OF THE RESULTING INJURY, DEATH OR DAMAGE. FURTHERMORE, THE INDEMNITY PROVIDED FOR IN THIS PARAGRAPH SHALL HAVE NO APPLICATION TO ANY CLAIM, LOSS, DAMAGE, CAUSE OF ACTION, SUIT AND LIABILITY WHERE THE INJURY, DEATH OR DAMAGE RESULTS FROM THE SOLE NEGLIGENCE OF THE INDEMNIFIED PERSONS UNMIXED WITH THE FAULT OF ANY OTHER PERSON OR ENTITY. THE INDEMNITY PROVIDED FOR IN THIS SECTION7.2 SHALL SURVIVE THE TERMINATION OR EXPIRATION OF THIS AGREEMENT. If an Indemnified Person or Developer receives notice of any claim or circumstance which could give rise to an indemnified loss, the receiving party shall give written notice to the other party within 30-days. The notice must include a description of the indemnification event in reasonable detail, the basis on which indemnification may be due, and the anticipated amount of the indemnified loss. This notice shall not estop or prevent an Indemnified Person from later asserting a different basis for indemnification or a different amount of indemnified loss than that indicated in the initial notice. If an Indemnified Person does not provide this notice within the 30-day period, it does not waive any right to indemnification except to the extent that Developer is prejudiced, suffers loss, or incurs expense because of the delay. For those matters for which the Developer has the obligation to defend an Indemnified Person pursuant to this Section7.2, Developer shall assume the defense of the claim at its own expense with counsel chosen by it that is on the approved list established by the Texas Municipal League or that is otherwise approved by the City. Within 10 days after receiving written notice of the indemnification request, Developer shall advise the Indemnified Person as to the chosen counsel. If Developer does not properly notify the Indemnified Persons as required above, the Indemnified Person shall assume and control the defense, and all defense expenses actually incurred by it shall constitute an indemnified loss, which must be paid by the Developer within thirty (30) days of receipt of an invoice from an Indemnified Person. Such indemnified loss shall bear interest at the rate, but not the time, established in Section6.1 (F) from the due date noted in the invoice until the date of payment. Should the Developer fail to timely pay such amount, the Authority may, in its sole discretion, withhold the amount due, including accrued interest, from future Contract Progress Payments. If Developer defends a claim against any Indemnified Person, the Indemnified Person may retain separate counsel at the sole cost and expense of such Indemnified Person to participate in (but not control) the defense and to participate in (but not control) any settlement negotiations. Developer may not settle the claim without the consent or agreement of the Indemnified Person, unless such settlement is at no cost to the Indemnified Person and no judgment is entered against any Indemnified Person. 15 HOU:3372249.1 DEVELOPERRELEASES EACH INDEMNIFIED PERSON FROM ALL LIABILITY FOR INJURY, DEATH, DAMAGE, OR LOSS TO PERSONS OR PROPERTY SUSTAINED IN CONNECTION WITH OR INCIDENTAL TO PERFORMANCE UNDER THIS AGREEMENT, EVEN IF THE INJURY, DEATH, DAMAGE, OR LOSS IS CAUSED BY THE INDEMNIFIED PERSON’S SOLE OR CONCURRENT NEGLIGENCE AND/OR THE INDEMNIFIED PERSON’S STRICT PRODUCTS LIABILITY OR STRICT STATUTORY LIABILITY; PROVIDED, HOWEVER, THIS RELEASE SHALL HAVE NO APPLICATION TO AN INDEMNIFIED PERSON’S FAILURE TO PAY MONIES OWED PURSUANT TO THIS AGREEMENT. FROM AND AFTER THE DATE OF THIS AGREEMENT, DEVELOPER SHALL REQUIRE ALL CONTRACTORS ENGAGED BY IT TO CONSTRUCT PUBLIC IMPROVEMENTS (AND THEIR SUBCONTRACTORS) TO RELEASE AND INDEMNIFY THE INDEMNIFIED PERSONS TO THE SAME EXTENT AND IN THE SAME FORM AS ITS RELEASE OF AND INDEMNITY TO THE INDEMNIFIED PERSONS HEREUNDER. THE DEVELOPER SHALL REQUIRE ALL GENERAL CONTRACTORS TO POST PAYMENT AND PERFORMANCE BONDS IN THE AMOUNT OF THE PROJECT COST AND ONE YEAR MAINTENANCE BONDS AS DEEMED APPROPRIATE BY THE AUTHORITY. ARTICLE 8 DEFAULT 8.1Default. (A)If the Authority or the Zone does not perform its obligations hereunder in compliance with this Agreement in all material respects, in addition to the other rights given the Developer under this Agreement, the Developer may enforce specific performance of this Agreement for any such default if such default is not cured or is not commenced and diligently pursued within thirty (30) days after receipt by the Authority and the Zone of a written notice detailing the event ofdefault. Failure of a project to generate sufficient tax increment increase to repay Developer Advances is not a default on the part of the Authority or the Zone. (B)In the event the Developer completes the Public Improvements and the Project but does not otherwise perform its obligations hereunder as provided in Article4 in compliance with this Agreement, in addition to the other rights and remedies the Authority and the Zone may have under this Agreement or in law or equity, the Authority and/or the Zonemay enforce specific performance or seek actual damages incurred for any such default if such default is not cured within thirty (30) days after receipt by Developer of a written notice of default or such cure is not commenced within ten (10) days after receipt by Developer of a written notice of default and thereafter diligently prosecuted to completion as determined in the discretion of the Authority. 16 HOU:3372249.1 ARTICLE 9 GENERAL 9.1Inspections, Audits. The Developer agrees to keep such operating records relating to the Public Improvements as may be required by the Authority, or by state and federal law or regulation for a period not to exceed four (4) years after completion unless otherwise required by law. The Developer shall allow the Authority and the Zoneaccess to documents and records in the Developer’s possession, custody or control that the Authority deems necessary to assist the Authority in determining the Developer’s compliance with this Agreement. 9.2Developer Operations and Employees. No personnel supplied or used by the Developer in the performance of this Agreement shall be deemed employees, agents or contractors of the Authority, the Zone or the City for any purpose whatsoever. The Developer shall be solely responsible for the compensation of all such personnel, for withholding of income, social security and other payroll taxes and for the coverage of all worker’s compensation benefits. Under no circumstance shall the Authority, the Zone, or the City be deemed responsible for compensation of the above. 9.3Personal Liability of Public Officials. To the extent not limited by State law, no director, officer, employee or agent of the Zoneor the Authority, and no officer, employee or agent of the City, shall be personally responsible for any liability arising under or growing out of the Agreement. 9.4Notices. Any notice sent under this Agreement (except as otherwise expressly required) shall be written and mailed via certified mail, return receipt requested, or sent by electronic or facsimile transmission confirmed by mailing written confirmation via certified mail, return receipt requested at substantially the same time as such electronic or facsimile transmission, or personally delivered to an officer of the receiving party at the following addresses: CITY City Manager City of LaPorte 604 West Fairmont Parkway La Porte, Texas 77571 FAX: 281-842-1259 with a copy to: City Attorney City of LaPorte 604 West Fairmont Parkway La Porte, Texas 77571 FAX: (281)471-2047 17 HOU:3372249.1 ZONE Reinvestment Zone Number One, City of LaPorte, c/o City of La Porte 604 West Fairmont Parkway La Porte, Texas 77571 Attn: _____________ FAX: (281)471-2047 AUTHORITY La Porte Redevelopment Authority c/o City of La Porte 604 West Fairmont Parkway La Porte, Texas 77571 Attn: _____________ FAX: (281)471-2047 DEVELOPER Beazer Homes Texas, LP 10235 West Little York, Suite 200 Houston, Texas 77040 Attn: Jeff Anderson FAX: Each party may change its address by written notice in accordance with this Section. Any communication addressed and mailed in accordance with this Section shall be deemed to be given when so mailed, any notice so sent by electronic or facsimile transmission shall be deemed to be given when receipt of such transmission is acknowledged, and any communication so delivered in person shall be deemed to be given when receipted for by, or actually received by, the City, the Zone, the Authority or the Developer, as the case may be. 9.5Amendments and Waivers. Any provision of this Agreement may be amended or waived if such amendment or waiver is in writing and is signed by the Zone, the Authority and the Developer. No course of dealing on the part of the Developer,nor any failure or delay by the Developer with respect to exercising any right, power or privilege of the Developer under this Agreement shall operate as a waiver thereof, except as otherwise provided in this Section. 9.6Successors and Assigns. All covenants and agreements contained by or on behalf of the Authority and the Zone in this Agreement shall bind their successors and assigns and shall inure to the benefit of the Developer and its successors and assigns. The Authority and the Zone may assign its rights and obligations under this Agreement or any interest herein, with the prior written consent of the Developer. The Developer may sell or otherwise transfer the Project with the prior written consent of the Authority and the Zone. Provided, however,any such purchaser or assignee must specifically assume all of the obligations of the Developer hereunder; notwithstanding, if the Developer is in compliance with this Agreement prior to the assignment, the Developer may retain the right to be reimbursed for actual costs of Project Costs, which are then accrued and vested in the Developer. If such assignment of the obligations by the Developer hereunder is effective, the Developer shall be deemed released from such obligations. 18 HOU:3372249.1 If any assignment of the obligations by the Developer hereunder is deemed ineffective or invalid, the Developer shall remain liable hereunder. Nothing in this section shall be construed so as to prevent the Developer from selling any portion of the Project for which a final plat has been approved and recorded in the records of the county clerk. 9.7Exhibits; Titles of Articles, Sections and Subsections. The exhibits attached to this Agreement are incorporated herein and shall be considered a part of this Agreement for the purposes stated herein, except that in the event of any conflict between any of the provisions of such exhibits and the provisions of this Agreement, the provisions of this Agreement shall prevail. All titles or headings are only for the convenience of the parties and shall not be construed to have any effect or meaning as to the agreement between the parties hereto. Any reference herein to a Section or Subsection shall be considered a reference to such Section or Subsection of this Agreement unless otherwise stated. Any reference herein to an exhibit shall be considered a reference to the applicable exhibit attached hereto unless otherwise stated. 9.8Construction. This Agreement is a contract made under and shall be construed in accordance with and governed by thelaws of the United States of America and the State of Texas. 9.9Venue. All parties hereby irrevocably agree that any legal proceeding arising out of or in connection with this Agreement shall only be brought in the District Courts of Harris County, Texas or in the United States District Court for the Southern District of Texas, in Houston, Texas. 9.10Severability. All parties agree that should any provision of this Agreement be determined to be invalid or unenforceable, such determination shall not affect any other term of this Agreement, which shall continue in full force and effect. 9.11No Third Party Beneficiaries. This Agreement shall not bestow any rights upon any third party, but rather, shall bind and benefit the Parties hereto only. 9.12Authority to EnterContract. Each party has the full power and authority to enter into and perform this Agreement, and the person signing this Agreement on behalf of each party has been properly authorized and empowered to enter into this Agreement. The persons executing this Agreement hereby represent that they have authorization to sign on behalf of their respective corporations, or limited partnerships. 9.13No Partnership. Nothing herein contained shall be construed or held to make the Parties hereto partners in the conduct of any business. 9.14Entire Agreement. This written agreement represents the final agreement between the parties, unless later amended in writing and signed by the parties and may not be contradicted by evidence of prior, contemporaneous, or subsequent oral agreements of the parties. There are no unwritten oral agreements between the parties. 9.15Ambiguities. In the event of any ambiguity in any of the terms of this Agreement, it shall not be construed for or against any party hereto on the basis that such party did or did not author the same. 19 HOU:3372249.1 9.16Non-Waiver. Failure of either party hereto to insist on the strict performance of any of the agreements contained herein or to exercise any rights or remedies accruing hereunder upon default or failure of performance shall not be considered a waiver of the right to insist on and to enforce by an appropriate remedy, strict compliance with any other obligation hereunder or to exercise any right or remedy occurring as a result of any future default or failure of performance. 9.17Multiple Originals. It is understood and agreed that this Agreement may be executed in a number of identical counterparts each of which shall be deemed an original for all purposes. 9.18Term. This Agreement shall be in force and effectfrom the date of execution hereof for a term expiring on the later of (i)December31 in the year following completion of the Public Improvements pursuant to Section4.3 hereof or (ii)the date the Developer Advances have been repaid in full. It is expressly understood and agreed that Section7.2 shall not expire but shall remain in full force and effect regardless of the termination of this Agreement. If the Authority is dissolved, the Tri-Party Agreementrequires that the City shall make satisfactory arrangements to provide for the payment of the obligations to the Developer of the Authority hereunder. 9.19Approval by the Parties. Whenever this Agreement requires or permits approval or consent to be hereafter given by any of the parties, the parties agree that such approval or consent shall not be unreasonably withheld or delayed. 9.20Additional Actions. The Parties agree to take such actions, including the execution and delivery of such documents, instruments, petitions and certifications as may be necessary or appropriate, from time to time, to carry out the terms, provisions and intent of this Agreement and to aid and assist each other in carrying out said terms, provisions and intent. \[The remainder of this page is intentionally left blank.\] 20 HOU:3372249.1 IN WITNESS WHEREOF, the parties hereto have caused this instrument to be duly executed as of the _____ day of ____________________, 2013. CITY OF LAPORTE, TEXAS By: Name: Louis R. Rigby Title: Mayor ATTEST: By: Name:Patrice Fogarty Title: City Secretary THE STATE OF TEXAS § § COUNTY OF HARRIS § BEFORE ME, the undersigned authority, on this day personally appeared __________________________ ,known to me to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that he executed the same for the purposes and consideration therein expressed. GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the ____ day of _________, 2013. Notary Public in and for The State of Texas (SEAL) S-1 REINVESTMENT ZONE NUMBER ONE, CITY OF LAPORTE, TEXAS By: Name: Title: ATTEST: By: Name: Title: THE STATE OF TEXAS § § COUNTY OF HARRIS § BEFORE ME, the undersigned authority, on this day personally appeared __________________________ , known to me to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that he executed the same for the purposes and consideration therein expressed. GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the ____ day of _________, 2013. Notary Public in and for The State of Texas (SEAL) 2 HOU:3372249.1 LA PORTE REDEVELOPMENT AUTHORITY By: Name: Title: ATTEST: By: Name: Title: THE STATE OF TEXAS § § COUNTY OF HARRIS § BEFORE ME, the undersigned authority, on this day personally appeared __________________________ , known to me to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that he executed the same for the purposes and consideration therein expressed. GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the ____ day of _________, 2013. Notary Public in and for The State of Texas (SEAL) 3 HOU:3372249.1 BEAZER HOMES TEXAS, LP By: Name: Title: THE STATE OF TEXAS § § COUNTY OF HARRIS § BEFORE ME, the undersigned authority, on this day personally appeared __________________________ , known to me to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that he executed the same for thepurposes and consideration therein expressed. GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the ____ day of _________, 2013. Notary Public in and for The State of Texas (SEAL) 4 HOU:3372249.1 EXHIBIT A PROJECT SITE A-1 HOU:3372249.1 EXHIBIT B PUBLIC IMPROVEMENTS B-1 HOU:3372249.1 C-1 HOU:3372249.1 C-2 HOU:3372249.1 EXHIBIT C CERTIFICATE OF ADVANCE This Certificate is issuedunder that certain Development Agreement (the “Development Agreement”),by and among the City of La Porte, Texas (the “City”),the LaPorte Redevelopment Authority (the “Authority”), Reinvestment Zone Number One, City of LaPorte, Texas(the “Zone”), and Beazer Homes Texas, LP (the “Developer”),dated ______________, 2013. Capitalized terms used in this Certificate shall have the meaning provided for in the Development Agreement. This Certificate evidences a Developer Advance under the Development Agreement in the amount of $_______________ for the \[describe the project category and nature of work completed\]. Interest on the Developer Advance evidenced by this Certificate shall accrue at the prime rate of JPMorgan Chase Bank as described in the DevelopmentAgreement for the period described in 6.1(B) of the Development Agreement and shall be payable in accordance with the Development Agreement. By Developer’s execution of this Certificate, Developer represents that it has made the expenditures and completedthe work described in this Certificate. Copies of the relevant invoices and other appropriate documentation are attached to this Certificate. By the Authority’s execution of this Certificate, the Authority indicates its approval of the expenditures and work described in this Certificate and its approval of the matters set forth in this Certificate and recognizes its obligation to repay such Developer Advance together with interest pursuant to the Development Agreement. C-3 HOU:3372249.1 AGREED TO this ______ day of _______________, 20__. LA PORTE REDEVELOPMENT AUTHORITY By: Name: Title:Chairman,Board of Directors ATTEST: By: Name: Title:Secretary, Board of Directors THE STATE OF TEXAS § § COUNTY OF HARRIS § BEFORE ME, the undersigned authority, on this day personally appeared __________________________ , known to me to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that he executed the same for the purposes and consideration therein expressed. GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the ____ day of _________, 20__. Notary Public in and for The State of Texas (SEAL) C-4 HOU:3372249.1 REINVESTMENT ZONE NUMBER ONE, CITY OF LAPORTE By: Name: Title:Chairman,Board of Directors ATTEST: By: Name: Title:Secretary, Board of Directors THE STATE OF TEXAS § § COUNTY OF HARRIS § BEFORE ME, the undersigned authority, on this day personally appeared __________________________ , known to me to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that he executed the same for the purposes and consideration therein expressed. GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the ____ day of _________, 20__. Notary Public in and for The State of Texas (SEAL) C-5 HOU:3372249.1 BEAZER HOMES TEXAS, LP By: Name: Title: THE STATE OF TEXAS § § COUNTY OF HARRIS § BEFORE ME, the undersigned authority, on this day personally appeared __________________________ ,known to me to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that he executed the same for the purposes and consideration therein expressed. GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the ____ day of _________, 20__. Notary Public in and for The State of Texas (SEAL) C-6 HOU:3372249.1 REQUEST FOR CITY COUNCILAGENDA ITEM Budget Agenda Date Requested: February 10,2014 Source of Funds: Requested By: Scott D. Livingston Account Number: Department: Administration/Economic Development Amount Budgeted: Report: Resolution: Ordinance: X Amount Requested: Exhibit:Copy of the TIRZ Board’s Minutes from Sept. 18, Budgeted Item:YES NO 2013Recommending Expansion of TIRZ #1 Exhibit: Proposed Ordinance to Approve an Expansionof TIRZ #1 in La Porte Exhibit:Metes and Bounds of the Proposed Expansion Area SUMMARY & RECOMMENDATIONS NOTE: This item was postponed at the October 28, 2013 Council meeting until December 9. This item has been unchanged from the information that appeared in the October th agenda.The public hearing was opened and closed during the October 28meeting and therefore, the items are ready for Council consideration and action.The developer has requested that all items related to this development be postponed until February 10, 2014. The purpose of this TIRZ enlargement is to provide for the construction of public utilities and storm water detention facilities to accommodate the proposed residential and commercial development project within a 33 acres tract located at the northwest corner of Spencer Highway and Sens Road. The tax increment revenue to fund the public improvements will come from the increase in taxable value in the enlargement area of the Zone. According to estimates, the TIRZ project costs (those development costs that will be reimbursed to the developer from TIRZ revenues) are $1,741,849. The project is projected to create over $25 million in taxable value and $2.5 million in TIRZ revenues through the end of the term of the TIRZ in 2030. This is the first step in the process for formally enlarge the TIRZ. The companion item, approving the revised Project Plan, is set for a Public Hearing on this agenda as well. The proposed enlargement and TIRZ Project Plan amendment were presented to the TIRZ board in September and the TIRZ board recommended approval by City Council. Action Required by the City Council: Consider approval or other action of an ordinance that expands TIRZ #1 in La Porte, Texas. Approved for the City CouncilAgenda Corby D. Alexander, City Manager Date REQUEST FOR CITY COUNCILAGENDA ITEM Budget Agenda Date Requested: February 10,2014 Source of Funds: Requested By: Scott D. Livingston Account Number: Department: Administration/Economic Development Amount Budgeted: Report: Resolution: Ordinance: X Amount Requested: Exhibit:Revised TIRZ ProjectPlan Budgeted Item:YES NO Exhibit: Metes and Bounds of the AreaProposedto be Added to the TIRZ Exhibit: Proposed Ordinance to Approve and Adopt the Revised TIRZ ProjectPlan SUMMARY & RECOMMENDATIONS NOTE: This item was postponed at the October 28, 2013 Council meeting until December 9. This item has been unchanged from the information that appeared in the October th agenda. The public hearing was opened and closed during the October 28meeting and therefore, the items are ready for Council consideration and action.However, the developer has requested that this item be postponed until February 10, 2014. The purpose of this TIRZ Plan Amendment is to provide for the construction of public utilities and storm water detention facilities to accommodate the proposed residential and commercial development project within the proposed enlargement area of the Zone. The enlargement area is located at the northwest corner of Spencer Highway and Sens Road. The tax increment revenue to fund the public improvements will come from the increase in taxable value in the enlargement area of the Zone. According to estimates, the TIRZ project costs (those development costs that will be reimbursed to the developer from TIRZ revenues) are $1,741,849. The project is estimatedto create over $25 million in taxable value and $2.5 million in TIRZ revenues through the end of the term of the TIRZ in 2030. The amendment was presented to the TIRZ board in September 2013and the TIRZ board recommended approval by City Council. The public hearing notice was published in the Houston Chronicle on Monday, October 21, 2013, which met the requirement for 7 days notice. The public hearing was opened, held, and closed by the City Council on Monday, October 28, 2013. Action Requiredby the City Council: Consider approval or other action of an Ordinanceto accept and adopt the revised TIRZ Project Plan as recommended by the TIRZ Board. Approved for the City CouncilAgenda Corby D. Alexander, City Manager Date TAX INCREMENT REINVESTMENT ZONE, NUMBER ONE CITY OF LA PORTE 2013 AMENDMENT TO THE PROJECT PLAN AND REINVESTMENT ZONE FINANCING PLAN SEPTEMBER 10, 2013 HAWES HILL CALDERON 1 of 6 TABLE OF CONTENTS Page PROJECT PLAN I. Existing uses and conditions of real property within the area of the proposed Zone 3 II. Proposed changes in zoning ordinance, master plan of the municipality, building codes 4 and other municipal ordinances III. List of estimated non-project cost items 4 REINVESTMENT ZONE FINANCING PLAN I. A detailed list describing the estimated projects of the Zone, including administrative 4 expenses II. A statement listing the kind, number and location of all proposed public works or 5 public improvements in the Zone III. The estimated amount of bonded indebtedness to be incurred 5 IV. The time when related costs or monetary obligations are to be incurred 5 V. A description of the methods of financing all estimated project costs and the expected 5 sources of revenue to finance or pay project costs, including the percentage of tax increment to be derived from the property taxes of each taxing unit that levies taxes on real property in the Zone VI. The current total appraised value of taxable real property in the Zone 5 VII. The estimated captured appraised value of the Zone during each year of its existence 5 VIII. Duration of the Zone 6 IX. Schedule A 7 X. Schedule B 8 XI. Schedule C and D 9 2 of 6 2013 AMENDMENT PROJECT PLAN I.EZ XISTING USES AND CONDITIONS OF REAL PROPERTY WITHIN THE AREA OF THE ONE Tax Increment Reinvestment Zone Number One, City of La Porte generally located along the east and west side of State Highway 146 south of Fairmont Parkway. The Zone also includes property near Sylvan Beach Park. Existing development within the Zone consists of residential, commercial, and light industrial development. The below map shows existing conditions of the Zone. As also depicted in the map, the Zone is proposed for enlargement and will include approximately 33.4 acres of land at the northwest corner of Spencer Highway and Sens Road. The enlargement area will be developed for residential and commercial use. The purpose of this Plan Amendment is to provide for the construction of public utilities and storm water detention facilities to accommodate the development within the proposed enlargement area of the Zone. The tax increment revenue to fund the public improvements will come from the increase in taxable value in the enlargement area of the Zone. 3 of 6 II.P,, ROPOSED CHANGES IN ZONING ORDINANCES THE MASTER PLAN OF THE MUNICIPALITY BUILDING CODES AND OTHER MUNICIPAL ORDINANCES There are no proposed changes to any city ordinance, master plan or building codes. III. L- IST OF ESTIMATED NONPROJECT COSTS Estimated Non-Project Costs Project Estimated Cost 1. Residential Public $ 169,568 Utilities & Drainage Infrastructure (30%) 2.Residential Street $ 413,964 3.Engineering & Testing for Above Items $ 105,036 TOTAL $ 688,568 IV. There will be no persons dislocated as a result of this plan amendment. REINVESTMENT ZONE FINANCING PLAN I. AZ, DETAILED LIST DESCRIBING THE ESTIMATED PROJECT COSTS OF THE ONE INCLUDING ADMINISTRATIVE EXPENSES Estimated Project Costs Project Estimated Cost 4. Residential Public $ 395,870 Utility & Drainage Infrastructure (70%) 5.Detention Including $ 756,240 Land Cost (100%) 6.Commercial Public $ 393,750 Utilities & Drainage (100%) 7.Engineering & Testing $ 192,989 Above Items (100%) TOTAL $ 1,741,849 Administrative expenses are anticipated to be negligible as the La Porte Redevelopment Authority currently manages the Zone under contract with the City of La Porte. 4 of 6 II.S, TATEMENT LISTING KIND NUMBER AND LOCATION OF ALL PROPOSED PUBLIC WORKS OR PUBLIC Z IMPROVEMENTS IN THE ONE Public improvements in the Zone enlargement area will consist of public utilities, streets, and storm water detention facilities to serve the new residential and commercial development at the northwest corner of Spencer Highway and Sens Road. III.EFS CONOMIC EASIBILITY TUDY This plan amendment is found to be economically feasible as provided in the financial exhibits to this plan amendment (which exhibits constitute an economic feasibility study). IV.T HE ESTIMATED AMOUNT OF BONDED INDEBTEDNESS TO BE INCURRED The cost of the improvements are estimated at $1,741,849 and will be reimbursed through tax increment and/or La Porte Redevelopment Authority bonds. If bonds are issued, the bonded indebtedness is estimated to equal to the cost of the improvements plus cost of issuance. V.T HE TIME WHEN RELATED COSTS OR MONETARY OBLIGATIONS ARE TO BE INCURRED The Zone will incur a monetary obligation upon execution of the development agreement with the developer of the Zone enlargement tract. The Zone will be obligated to reimburse the developer for the eligible public improvements through increment derived from the development project. VI. A DESCRIPTION OF THE METHODS OF FINANCING ALL ESTIMATED PROJECT COSTS AND THE EXPECTED SOURCES OF , REVENUE TO FINANCE OR PAY PROJECT COSTS INCLUDING THE PERCENTAGE OF TAX INCREMENT TO BE DERIVED Z FROM THE PROPERTY TAXES OF EACH TAXING UNIT THAT LEVIES TAXES ON REAL PROPERTY IN THE ONE Description of the Methods of Financing The developer will advance the public improvement costs and be reimbursed through tax increment or La Porte Redevelopment Authority bonds. Sources of Tax Increment Revenue: INCREMENT DEDICATED TO THE ZONE Taxing Unit Tax Rate Dedicated City of La Porte 100% of Tax Rate VII. TZ HE CURRENT TOTAL APPRAISED VALUE OF TAXABLE REAL PROPERTY IN THE ONE $1,652,696 The total current market value within the Zone is: . 5 of 6 VIII.TZ HE ESTIMATED CAPTURED APPRAISED VALUE OF THE ONE DURING EACH YEAR OF ITS EXISTENCE The estimated captured appraised value of the Zone during each year of its existence is shown in Schedule C attached to the rear of this document. IX.DZ URATION OF THE ONE The Zone enlargement does not affect the duration of the Zone which is scheduled to terminate in 2030. 6 of 6 73$12,775 Subtotal $0$12,775 Ώ B 5 5 5 5 Captured Value (K) 5 2021 5 5 5 5 5 5 5 5 5 5 5 5 Ώ 5- υ Home Construction $0$12,775 Ώ υ Captured Value (K) 2020 Ώ- Home Construction $0 $12,775 Ώ υ Captured Value (K) 2019 Ώ - Home Construction $0$12,775 Ώ υ Captured Value (K) 2018 Ώ - Residential Buildout Schedule (In Thousands) LA PORTE TIRZ 1 ZONE ENLARGEMENT Home Construction $4,025$12,775 ЍͲЉЋЎ υ ВΉЊЌΉЋЉЊЌ Captured Value (K) 2017 ЋЌ 23 Home Construction $4,375$8,750 ЍͲЌАЎ υ Captured Value (K) 2016 ЋЎ 25 Home Construction $4,375$4,375 ЍͲЌАЎ υ Captured Value (K) 2015 ЋЎ 25 Home Construction $0$0 Captured Value (K) 2014 - Home Construction Њ͵ /ğƦƷǒƩĻķ ǝğƌǒĻ źƭ ƦƩĻƭĻƓƷĻķ źƓ ƷŷƚǒƭğƓķƭ ƚŅ ķƚƌƌğƩƭ͵ Cumulative Captured Value Residential Project Values Total Captured Value II/Ͳ \[\[t Total Home Sales SINGLE FAMILY SCHEDULE A {ĻĭƷźƚƓ hƓĻ bƚƷĻʹ Subtotal $5,750$14,375 ЎͲАЎЉ υ Captured Value (K) 2021 ЎЉ͵Љ Square Feet $0 $8,625 Ώ υ Captured Value (K) 2020 Square Feet $2,875$8,625 ЋͲБАЎ υ Captured Value (K) 2019 ЋЎ͵Љ Square Feet $0$5,750 Ώ υ Captured Value (K) 2018 Commercial Buildout Schedule (In Thousands) LA PORTE TIRZ 1 ZONE ENLARGEMENT Square Feet $2,875$5,750 ЋͲБАЎ υ ВΉЊЌΉЋЉЊЌ Captured Value (K) 2017 ЋЎ͵Љ Square Feet $2,875 $0 Ώ υ Captured Value (K) 2016 Square Feet $2,875$2,875 ЋͲБАЎ υ Captured Value (K) 2015 ЋЎ͵Љ Square Feet $0$0 Captured Value (K) 2014 Њ͵ 9ƭƷźƒğƷĻķ ĭğƦƷǒƩĻķ ǝğƌǒĻ źƭ ƦƩĻƭĻƓƷĻķ źƓ ƷŷƚǒƭğƓķƭ ƚŅ ķƚƌƌğƩƭ͵ Square Feet /ƚƒƒĻƩĭźğƌΉwĻƷğźƌ 5ĻǝĻƌƚƦƒĻƓƷ ΛźƓ ƭƨǒğƩĻ ŅĻĻƷΜ Cumulative Captured Value Commercial Project Values Total Captured Value II/Ͳ \[\[t SCHEDULE B bƚƷĻʹ 45,263115,375228,762343,237479,230616,344795,421977,1851,161,6741,348,9311,538,9971,731,9141,927,7252,126,4732,328,2022,532,957 Tax Revenue Cumulative $ - Available $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ 45,26370,113113,387114,475135,993137,114179,077181,763184,490187,257190,066192,917195,811198,748201,729204,755 2,532,957 Revenues Available Total - Tax $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ 45,26370,113113,387114,475135,993137,114179,077181,763184,490187,257190,066192,917195,811198,748201,729204,755 2,532,957 100% of Collection City Tax - $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ 0.71000.71000.71000.71000.71000.71000.71000.71000.71000.71000.71000.71000.71000.71000.71000.71000.7100 100% of Tax Rate City $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ 20152016201720182019202020212022202320242025202620272028202920302031 Coll. Year SCHEDULE D 20142015201620172018201920202021202220232024202520262027202820292030 Year Tax 1234567891011121314151617 9/13/2013 6,375,0009,875,00015,970,00016,123,30019,153,90019,311,83325,222,13525,600,46825,984,47526,374,24226,769,85527,171,40327,578,97427,992,65928,412,54928,838,737 - $ Cumulative Valuation Total $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ 2,875,0002,875,0005,750,0005,750,0008,625,0008,625,00014,375,00014,590,62514,809,48415,031,62715,257,10115,485,95815,718,24715,954,02116,193,33116,436,231 Commercial - $ CumulativeValuation Reflects 1.5% annual appreciation once buildout is complete $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ Projected Assessed Valuations and Tax Increment (875,000)(1,750,000)(2,555,000)(2,593,325)(2,632,225)(2,671,708)(2,711,784)(2,752,461)(2,793,748)(2,835,654)(2,878,189)(2,921,361)(2,965,182)(3,009,660)(3,054,804)(3,100,626) Exemption (20%) -$ Homestead Residential $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ LA PORTE TIRZ 1 ZONE ENLARGEMENT 4,375,0008,750,00012,775,00012,966,62513,161,12413,358,54113,558,91913,762,30313,968,73814,178,26914,390,94314,606,80714,825,90915,048,29815,274,02215,503,132 -$ Residential Cumulative Valuation $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ HHC, LLP SCHEDULE C Note: Roll Jan 1 20142015201620172018 201920202021202220232024202520262027202820292030 Tax REQUEST FOR CITY COUNCIL AGENDA ITEM Agenda Date Requested:February 10,2014Appropriation: N/A Requested By: Tim Tietjens Source of Funds: N/A Planning Account Number:N/A Department: ____Resolution: ____Ordinance: _X___Amount Budgeted: N/A Report: Exhibits : Amount Requested: N/A Ordinance P & Z Recommendation Letter Budgeted Item: N/A Revised Future Land Use Plan Existing Land Use Plan _____________________________________________________________________________________________ SUMMARY & RECOMMENDATION NOTE: This item was postponed at the October 28, 2013,Council meeting until December 9, 2013. This item was postponed at the December 9, 2013, Council meeting until January 27, 2014.The developer has requested a postponement until February 10, 2014. During the last two meetings of the Planning & Zoning Commission, a revision to the Future Land Use Plan and a rezoning request were reviewed and recommended for a17.37 acre tract near the intersection of Sens Road and Spencer Highway.Currently, the zoning map shows this tract as General Commercial (GC) while the requested changeor proposed useis for Low Density Residential(R-1).A proposed subdivision with 73 homes starting at $175,000is currently in the design stage. Section 211.004of the Texas Local Government Code requires thatrezoning must occur in conformance with the Future Land Use Plan.Therefore, the request to revise the Future Land Use Plan element of the Comprehensive Plan is procedurally before City Council for review in advance of the rezoning request.The Future Land Use Planmap serves as abasis for the City’s overall future development plan. The letter of recommendation from the Planning and Zoning Commission for changing the Future Land Use Plan is attached for Council consideration. _____________________________________________________________________________________________ Action Required by Council: Consider approval or other action of an ordinance changingthe Future Land Use Plan component of the City’s Comprehensive Plan for a 17.37 acre tract near the intersection of Sens Road and Spencer Highway. ______________________________________________________________________________________ Approved for City Council Agenda ______________________________________________________ Corby D. Alexander, City Manager Date REQUEST FOR CITY COUNCIL AGENDA ITEM Agenda Date Requested:February 10,2014Appropriation: N/A Requested By: Tim Tietjens Source of Funds: N/A Planning Account Number:N/A Department: ____Resolution: ____Ordinance: _X___Amount Budgeted: N/A Report: Exhibits : Amount Requested: N/A Ordinance P & Z Recommendation Letter Budgeted Item: N/A Revised Future Land Use Plan Existing Land Use Plan _____________________________________________________________________________________________ SUMMARY & RECOMMENDATION NOTE: This item was postponed at the October 28, 2013,Council meeting until December 9, 2013. This item was postponed at the December 9, 2013, Council meeting until January 27, 2014.The developer has requested a postponement until February 10, 2014. During the last two meetings of the Planning & Zoning Commission, a revision to the Future Land Use Plan and a rezoning request were reviewed and recommended for a17.37 acre tract near the intersection of Sens Road and Spencer Highway.Currently, the zoning map shows this tract as General Commercial (GC) while the requested changeor proposed useis for Low Density Residential(R-1).A proposed subdivision with 73 homes starting at $175,000is currently in the design stage. Section 211.004of the Texas Local Government Code requires thatrezoning must occur in conformance with the Future Land Use Plan.Therefore, the request to revise the Future Land Use Plan element of the Comprehensive Plan is procedurally before City Council for review in advance of the rezoning request.The Future Land Use Planmap serves as abasis for the City’s overall future development plan. The letter of recommendation from the Planning and Zoning Commission for changing the Future Land Use Plan is attached for Council consideration. _____________________________________________________________________________________________ Action Required by Council: Consider approval or other action of an ordinance changingthe Future Land Use Plan component of the City’s Comprehensive Plan for a 17.37 acre tract near the intersection of Sens Road and Spencer Highway. ______________________________________________________________________________________ Approved for City Council Agenda ______________________________________________________ Corby D. Alexander, City Manager Date etatS d641 ywH ecivreS 641 ywH etatS 46 y 1 w e H tat S ht62 ffO tuC relliM U doowredn tsaE alleuL relliM REQUEST FOR CITY COUNCIL AGENDA ITEM : February 10,2014Appropriation: Agenda Date Requested :Tim Tietjens Source of Funds: N/A Requested By Department:Planning Account Number: N/A Report: __ __Resolution: _____Ordinance: _X___Amount Budgeted: N/A Exhibits: Amount Requested: N/A Ordinance N/A P&Z RecommendationLetter Budgeted Item: Area Map Preliminary Site Plan Mailout Response _____________________________________________________________________________________ SUMMARY & RECOMMENDATION NOTE: This item was postponed at the October 28, 2013,Council meeting until December 9, 2013. This item was postponed at the December 9, 2013 Council meeting until January 27, 2014.The developer has requested a postponement until February 10, 2014. This item has been unchanged from the information that appeared in the previous agendas. The Planning & Zoning Commission, during theirSeptember 19, 2013,meeting, held a public hearing to receive citizen comments regarding Rezone Request #13-92000002.Ken Schick, on behalf of Lawrence B. Chapman, Trustee,seeks to have the propertyrezoned from General Commercial (GC) to LowDensity Residential (R-1). The 17.37 acre property is located northwest of Sens Road and Spencer Highway. The applicant is proposing a 73lot single-family residential subdivision to be built by Beazer Homes.In addition, current parcel configuration and depth of the property do not support retail/commercial activities. Therefore, lowdensity residential zoning is requested for the subject tract. The adjoining properties to the west and north are single-family residential. The proposed subdivision will have access along Sens Road. Public utilities are available to the property.Staff recommends on-site sub-regional detention for the proposeddevelopment of the entire 33 acres. Spencer Landing Subdivision Homeowners’ Associationsupports this rezone requestat the $175,000 and up value. In addition, written comments havebeen received from adjoining property owners in favor of this request. A property posting sign notifying the public of a hearing on this request was posted along with mailout to property owners within 200’ of the subject property, which included 35 homeowners/residents of the Spencer Landing subdivision. The subject tract would be better served by the proposed rezoning from General Commercial to Low Density Residential.The proposed development would contribute considerably to the City’s tax roll, and the remainder of theproperty at the intersection of Sens Road and Spencer Highway will be conducive for future retail and commercial activities. After a public hearing, the Planning and Zoning Commission, by unanimous vote, recommends City Council approval of Rezone Request #13-92000002. Action Required by Council: 1.Conduct public hearing. 2.Consider approval or other action on a recommendation by the Planning and Zoning Commission to approve Rezone Request #13-92000002, rezoning the referenced property fromGC to R-1. Approved for City Council Agenda __________________________________________________________ Corby D. Alexander, City Manager Date REQUEST FOR CITY COUNCIL AGENDA ITEM : February 10,2014Appropriation: Agenda Date Requested :Tim Tietjens Source of Funds: N/A Requested By Department:Planning Account Number: N/A Report: __ __Resolution: _____Ordinance: _X___Amount Budgeted: N/A Exhibits: Amount Requested: N/A Ordinance N/A P&Z RecommendationLetter Budgeted Item: Area Map Preliminary Site Plan Mailout Response _____________________________________________________________________________________ SUMMARY & RECOMMENDATION NOTE: This item was postponed at the October 28, 2013,Council meeting until December 9, 2013. This item was postponed at the December 9, 2013 Council meeting until January 27, 2014.The developer has requested a postponement until February 10, 2014. This item has been unchanged from the information that appeared in the previous agendas. The Planning & Zoning Commission, during theirSeptember 19, 2013,meeting, held a public hearing to receive citizen comments regarding Rezone Request #13-92000002.Ken Schick, on behalf of Lawrence B. Chapman, Trustee,seeks to have the propertyrezoned from General Commercial (GC) to LowDensity Residential (R-1). The 17.37 acre property is located northwest of Sens Road and Spencer Highway. The applicant is proposing a 73lot single-family residential subdivision to be built by Beazer Homes.In addition, current parcel configuration and depth of the property do not support retail/commercial activities. Therefore, lowdensity residential zoning is requested for the subject tract. The adjoining properties to the west and north are single-family residential. The proposed subdivision will have access along Sens Road. Public utilities are available to the property.Staff recommends on-site sub-regional detention for the proposeddevelopment of the entire 33 acres. Spencer Landing Subdivision Homeowners’ Associationsupports this rezone requestat the $175,000 and up value. In addition, written comments havebeen received from adjoining property owners in favor of this request. A property posting sign notifying the public of a hearing on this request was posted along with mailout to property owners within 200’ of the subject property, which included 35 homeowners/residents of the Spencer Landing subdivision. The subject tract would be better served by the proposed rezoning from General Commercial to Low Density Residential.The proposed development would contribute considerably to the City’s tax roll, and the remainder of theproperty at the intersection of Sens Road and Spencer Highway will be conducive for future retail and commercial activities. After a public hearing, the Planning and Zoning Commission, by unanimous vote, recommends City Council approval of Rezone Request #13-92000002. Action Required by Council: 1.Conduct public hearing. 2.Consider approval or other action on a recommendation by the Planning and Zoning Commission to approve Rezone Request #13-92000002, rezoning the referenced property fromGC to R-1. Approved for City Council Agenda __________________________________________________________ Corby D. Alexander, City Manager Date AREA MAP (Rezone Request #13-92000002) VALRY CA 1 inch = 400 feet R-1 BI N D ST N SPE NCER LAN DING LLD LOCATION OF PROPERTY FOR PROPOSED REZONE LI FROM GC TO R-1 R-1 GC S SP E N C E R L AN D I NG SPENCER HWY PUD PREPARED BY CLP GIS Council Agenda Item February10, 2014 10. ADMINISTRATIVE REPORTS (a) Receive report from City Manager La Porte Redevelopment Authority/La Porte Tax Reinvestment Zone Number One Meeting, Wednesday, February 19, 2014 City Council Meeting, Monday, February 24, 2014 11. COUNCIL COMMENTS regarding matters appearing on the agenda; recognition of community members, city employees, and upcoming events; inquiry of staff regarding specific factual information or existing policies– Councilmembers Mosteit, Clausen, Martin, Moser, Kaminski, Zemanek, Leonard, Engelken and Mayor Rigby. 12.EXECUTIVE SESSION :The City reserves the right to meet in closed session on any agenda item should the need arise and if applicable pursuant to authorization by Title 5, Chapter 551, of the Texas Government Code, including, but not limited to, the following: Texas Government Code, Section 551.071(1)(A) – Pending or Contemplated Litigation: Meet with City Attorney to discuss Federal Highway Administration review of American Trucking Association complaint against City of La Porte. Texas Government Code, Section 551.072 – Deliberation regarding purchase, exchange, lease or value of real property:Discussion regarding former Texas Parks and Wildlife building. 13.RECONVENE into regular session and consider action, if any on item (s) discussed in executive session. ***********************************************************************************