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Home My WebLink AboutR-1966-52 . e. RESOLUTION 6 b .....5'.,%)1 WHEREAS, the City of La Porte, in keeping with its long 'a established policy of endeavoring to attract industry and expand its growth, has entered into an agreement dated December 22, 1958, with certain industries named therein which agreement was thereafter amended by a subsequent agreement between the City and other indus- tries dated December 30, 1961, to which agreement reference is here made: and WHEREAS, further pursuant to said policy the City of La Porte has been negotiating for the past several years with said industries named in said agreements and with other industries in .. an effort to amend and extend the duration of the said agreements: and WHEREAS, the City of La Porte and the Alamo Industries, Inc. have reached an agreement on the terms of a new contract in keeping with the City policy of endeavoring to attract industry and expand its growth, a copy of said contract being attached hereto and marked as IIExhibit All: NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF LA PORTE, TEXAS: That the Mayor, the Commission and the . Clerk of the City of La Porte, Texas, be, and they are hereby, author- ized and empowered to ento into and execute on behalf of the City of La Porte, Texas, the contract set forth in "Exhibit A", with the Alamo Industries, Inc. of January, 1966. PASSED AND APPROVED, this La Porte, Texas ATTEST: . y,..- S?l ^ ";~~<"..;M )...~ ttflP?--"~,, _ City Clerk 0 the City of La Porte, Texas .! , . , ":"" . . INDUSTRIAL AGREEMENT THIS AGREEMENT entered into between the City ot LaPorte, Texas, a munici- pal corporation" hereinafter called "City", and Alamo Industries, Inc., a Delaware corporation with a permit to do business in Texas, hereinafter called "Alamoll, WITNESSETH: WHEREAS, City has a long-established policy of endeavoring to attract industry and expand its growth, thereby enhancing the economic stability and growth of City, and "WHEREAS" pursuant to said policy City has enacted Ordinance No. ? Z, designating a part ot the area located in its extraterritorial jurisdiction as an industrial district to be known as "The Battleground Industrial District of LaPorte", hereinafter called the "District", such ordinance being in compliance with the provisions of Article I, Section 5 of the "Municipal Annexation Act II , H.B. 13, Acts ot the 58th Legislature of the State of 'l'exas, Regular Session" 1963; and WHEREAS" Alamo is the owner of that certain land described in deed recorded in Volume 4841, Page 44 of the Deed Records of Harris County" Texas" to which reference is here made, a portion of which land is annexed to the City by City's Ordinance No. 637, to which reference is here made, and a portion of which land lies within the .District; and WHEREAS, City desires to encourage the industrial development of said land . owned by Alamo within said District as well as within the area annexed to City by said Ordinance No. 637" and for such purpose desires to enter into this agree- ment with Alamo pursuant to resolution adopted by the City Commission ot said . City" and recorded in the official minutes of said City. NOW'" THEREFORE, in consideration ot the premises and the mutual agreements of the parties herein contained, and pursuant to the authority granted under the Texas Municipal Annexation Act reterred to above, the parties hereby agree as follows: (1) City covenants, agrees and guarantees that during the term of this agreement hereinbelow- provided, said District shall continue and retain its extraterritorial status as an industrial district at least to the extent that the same covers the land lying therein belonging to Alamo which was conveyed J , . . . ... . . to it by the above described deed, and City does further covenant, agree and guarantee that such industrial district to the extent that it covers said land belonging to Alamo lying within said District shall be immune from annexation by City during the term hereof, and that all of said land and property of Alamo, both that heretofore annexed and that lying within said District, shall not have extended to it by ordinance any rules and regulations (a) governing plats and subdivision of land, (b) prescribing any building, electrical, plumbing or in- spection code or codes, or (c) attempting to exercise in any manner whatever control over the conduct of Alamo I s business thereon. (2) Alamo agrees that, as a payment in lieu of taxes on the property ot Alamo within the District, it will pay to City on or before December 31 in each year during the term hereof an amount reached by tirst ascertaining the fair market value ot such property of Alamo within the District, by using as the basis therefor the tair market value established by Harris County in fixing its ad valorem tax assessment for that year on the property ot Alamo which lies with- in the District, then applying to the fair market value so obtained the percen- tage ratio applied to the fair market value of property which is then used by City in tixing ad valorem tax assessments on property within the City, and then applying to the figure thus obtained eighteen percent (18%) of the tax rate of City for that year. For the purpose of computing "fair market value" hereunder, and for such purpose only, it is agreed that presently the ratio of ad valorem tax assessment used by Harris County is twenty per cent (20%) of the fair market value of property and that presently the ratio of ad valorem tax assessment used by City is forty-two per cent (42%) of the tair market value of property. Any change in such ratios used by Harris County and/or the City on or after January I" 1966, shall be reflected in all future computations hereunder. In the event Alamo elects to protest the valuation set on its said prop- erties by Harris County for any year or years during the term hereof, then nothing in this agreement shall preclude such protest and Alamo shall have the right to take all legal steps desired by it to reduce the same, but at such time as the protested Harris County tax valuation on said property of Alamo has been finally determined" either as the result of final judgment of a court ot competent jurisdiction or as the result of other tinal conclusion of the controversy, then within thirty (30) days thereafter .Alamo shall make payment to City of any addi- :t-ional payment due hereunder based on such final valuation. Even though Alamo - 2 - , , . . . . does protest the valuation set on its said properties by Harris County, Company will pay to City on or before the time theretor hereinabove provided the total amount of the payment in lieu of taxes which would be due by Alamo to City in accordance with the toregoing provisions of this paragraph (2) on the basis of renditions filed by Alamo with the Tax Assessor ot Harris County for that year. Should the City Commission, by resolution duly adopted by a majority of its members within thirty (30) days atter the ad valorem tax assessment on Alamo's said property within the District is fixed by Harris County for any year during the term hereof, determine that such assessment is more than twenty per cent (20%) less than the assessment for that year by Harris County of comparable properties within the District, the City may question Alamo's said assessment tor the purpose of this agreement by so notifying Alamo in writing. Such written notice shall be given Alamo within six (6) days after the adoption of such resolution by registered United States mail addressed to Alamo at: Alamo Industries, Inc. Attention: Tax, Insurance & Claims Department P. O. Box 1967 Houston, Texas 77001 and the same shall be accompanied by a true copy of such resolution. It Alamo and City then do not agree on an assessment, City may within three (3) months after the delivery ot such notice petition the District Court of Harris County for a declaratory judgment to be tried as other civil causes in which City must establish by a preponderance of the evidence that the assessment of Alamo's said property for that year is in fact more than twenty per cent (20%) less than . the assessment by Harris County for that same year of comparable properties. If final judgment is entered in any such suit declaring Alamo's said assessment to . be more than twenty per cent (20%) less than said assessment by Harris County of comparable properties and determining in dollars the proper assessment that should have been placed on Alamo's said property by Harris County for the year in question, then the assessment determined by said judgment shall be used for the purpose of calculating the amount to be paid City in lieu of taxes in accordance with the provisions of paragraph (2) above. It final judgment entered in any such suit does not tind said assessment on Alamo's property to be more than twenty per cent (20%) less than said assessment by Harris County of comparable properties within the District, then the assessment originally established for that year shall be used for the purpose ot paragraph (2) above. The costs ot any suit, exclusive of attorney's fees, shall be borne by the losing party. - 3 - . ' .. ~ e . , (3) This Industrial Agreement shall extend for a term beginning on the first day ot January, 1966, and continuing thereafter until December 31, 1972, unless extended for an additional period or periods of time as provided by the Texas Municipal Annexation Act upon mutual consent of the parties; prOvided, how- ever, that in the event this agreement is not so extended for an additional period or periods of time on or before August 31, 1972, the agreement ot the City not to annex property of Alamo within the District shall terminate. In this con- nection, City hereby expresses its belief that such industrial district agreements are conducive to development of existing and future industry, are to the best interest of all citizens of this City, and City hereby encourages future City Commissioners to enter into future industrial agreements and to extend tor addi- . tional periods per.mitted by law this industrial agreement upon the request of Alamo, its successors or assigns. (4) Contemporaneously and effective herewith, Alamo and the other indus- tries which were parties to the above described agreement dated December 30, 1961, which amended and carried forward said agreement dated December 22, 1958, have entered into a further agreement with City terminating said prior agreements effective as of the effective date hereof. This agreement shall inure to the benefit of and be binding upon City and Alamo, its assignees, successors, affiliates and subsidiaries, and shall remain in force whether Alamo sells, assigns or in any other manner disposes ot, either voluntarily or by operation of law, all or any part of the property belonging to . it within said District, and the agreements herein contained shall be held to be covenants running with the land described in said deed recorded Volume 4841, Page 44, Deed Records of Harris County, Texas, tor so long as this agreement or any extension thereof remains in force. ,ENTERED into this 31st day of December , 19 65 . ':. .'- ... ~, ~ ~ ~ ,~,. ~ ';,:: ".:~~ \. -~ ?? [~~~i:~~ ." S ~ . .' ~., - -'7J1- .. .!X7 ~ .,.' -V:" c./ /u . ........~. ..:t ~ ~. ..~ ~ Secretary ALAMO nmUSTRIES, DIC. (1M rf r By /?...!AO~_ (J 4-d ":K~ - lite t=- esident CITY OF LA PORTE ATTEST: . ~ . ,.,J~ ~cretary By ,Ii Jtcl7f - 4 - . ,., ~ -f" ., . . . APPROVED AS TO FORM: e e City Commissioner City Commissioner ~"'''''''''..::'l''-)'' ~;/Jf/~y City Tax: ssessor .. City Attorney - 5 -