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HomeMy WebLinkAbout1992-195HEMPHILL ORD ORDINANCE NO. AN ORDINANCE OF THE CITY OF DENTON, TEXAS, RELEASING LARRY D HEMPHILL, ELIZABETH A. HEMPHILL AND VIRGINIA E BRIDGES FROM THE OBLIGATIONS CONTAINED WITHIN THE ESCROW AGREEMENT IN LIEU OF PERFORMANCE BOND AND THE AGREEMENT PROVIDING FOR DEFERRED STREET IMPROVEMENTS FOR PERIMETER PAVING ON MASCH BRANCH ROAD WHICH THEY EXECUTED ON JULY 31, 1987, AUTHORIZING THE PARTY NAMED THEREIN AS ESCROW AGENT TO RELEASE FUNDS HELD PURSUANT TO THESE AGREEMENTS, AND DECLARING AN EFFECTIVE DATE WHEREAS, on July 31, 1987, Larry D. Hemphill, Elizabeth A Hemphill, and Virginia E. Bridges executed an Escrow Agreement in Lieu of Performance Bond to guarantee completion of perimeter street improvements as set out in the Agreement Providing for Deferred Street Improvements of like date, both of which are at- tached hereto as Exhibits A and B, respectively, and WHEREAS, at the time this escrow agreement was entered into, the subdivision regulations of the City of Denton, Texas required such an escrow agreement to be maintained for a period of ten (10) years; and WHEREAS, since that time, the subdivision regulations have been amended to provide that such escrow agreements be maintained for only five (5) years; and WHEREAS, Larry D. Hemphill, Elizabeth A. Hemphill, and Virginia E. Bridges have maintained these funds in escrow for a period of five years, and improvements to Masch Branch Road are not planned for the next five years; and WHEREAS, in view of these facts and considerations, Larry D Hemphill, Elizabeth A Hemphill, and Virginia E Bridges have asked that the obligations contained within their escrow agreement be re- leased and funds returned, NOW THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION I. That Larry D. Hemphill, Elizabeth A Hemphill and Virginia E. Bridges are hereby released from the obligations con- tained within the attached Escrow Agreement in Lieu of Performance Bond and Agreement Providing for Deferred Street Improvements, both of which they executed on July 31, 1987, and that the party named therein as Escrow Agent is hereby authorized to release to these individuals all furds held pursuant to these agreements. SECTION II. That this ordinance shall become effective imme- diately upon its passage and approval. PASSED AND APPROVED this the day of 1992 ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APP ED AS TO LEGAL FORM: DEBRA A. DRAYOVITCH, CITY ATTORNEY PAGE 2 1233L THE STATE OF TEXAS 9 COUNTY OF DENTON 9 EXHIBIT A PROJECT NO. CONTRACT NO. ESCROW AGREEMENT IN LIEU OF PERFORMANCE BOND (Development Contract -Improvements of $50,000 or Less) WHEREAS, Larry D. Hemphill, Elizabeth A Hemphill 6 /Virginia bLcf `jj er referred to as "Owner", has undertaken to develop property within the City of Denton, Texas, or its extraterritorial jurisdiction, and WHEREAS, Owner has, pursuant to the ordinances of the City of Denton, Texas, hereafter referred to as "City", executed a development contract to insure that any acid all streets, water and sewer lines, drainage facilities or other improvements which are to be dedicated to the public, hereafter referred to as "Improvements", are constructed and completed in accordance with tue specifications, standards and ordinances of the City, and WHEREAS, Owner wishes to receive building permits for said property prior to the completion and approval or acceptance of the Improvements by the City, and WHEREAS, in order to receive such building permits Owner may, where the cost to complete the Improvements is $50,000 or less, in lieu of posting a performance bond, escrow cash money with a bank as escrow agent in an amount not less than the amount necessary to insure completion of said Improvements, NOW, PHEREFORE, OWNER, City and USBank Denton. Texas , hereafter called "Escrow Agent", agree as follows• 1. Amount. Owner, as a condition to receiving building per- mits for property located at Route 1, Box 402-2, Mausch Branch Road, Denton. Texas 76201 shall deposit the Sum of Ten Thousand, Three Hundred Forty Five and 75/100 ($ 10,345 75 ), in cash money, with Escrow Agent, said sum being in an amount, as determined by the City, necessary to insure completion of all Improvements whica are to be dedicated to the public, said Improvements being more particularly described in that certain development contract dated the 29th day of July , 19 87 , between the City, Owner and Owner's contractor, to which reference is made herein 2. Notice of Deposit. No building permits shall be issued by City for the property herein described until Escrow Agent notifies City, in writing, tnat cash money, in the amount specified herein, has been deposited in an escrow account with Escrow Agent. 3. Release of Funds. Escrow Agent shall not release any or all of the escrowed funds until the City Engineer authorizes the Escrow Agent, in writing, to release such funds as provided for herein as follows (a) the City Engineer shall authorize the release all the escrowed funds when all Improvements are PAGE 2 completed and approved in accordance with provisions of the development contract, the determination of which shall be made by the City Engineer whose judgment shall be binding on all parties hereto. (b) The City Engineer, may, but is not required to, authorize, periodically, the release of specified sums of the escrowed funds to the Owner if, and as, the Improvements are completed and approved or accepted by the City in stages, so long as the remaining funds not released are sufficient to complete the construction of the remaining Improvements which have not been, but are required, to be completed and accepted or approved by the City. 3. Notices. Any notice to be sent, or required to be sent or given under this agreement shall be sent to the address of the parties hereto, as follows CITY City Engineer 215 East HcKinney Denton, Texas 76201 OWNER Larry D Hemphill, et al Rt 1, Box 402-2, Mausch Branch Rd Denton, Texas 7626t ESCROW AGENT. USBank P 0 Box 2226 nenron. Texas 76201 4. Fees. Owner agrees to pay any and all fees or costs charged by the Escrow Agent in connection with this Agreement. 5. NonliabLlity of Escrow Agent The Escrow Agent shall have no responsibility except for the safekeeping and delivery of the amounts deposited in the Escrow Account in accordance with this agreement. The Escrow Agent shall not be liable for any act done or omitted to be done under this agreement or in PAGE 3 connection with the amounts deposited in the Escrow Account except as a result of the Escrow Agent's gross negligence or willful misconduct. If any question, dispute or disagreement arises among any one or more of the parties hereto and/or any other party with respect to the funds deposited in the Escrow Account, the proper interpretation of this agreement, the duties of the Escrow Agent hereunder or the rights of the parties to this agreement, the Escrow Agent shall not be required to act and shall not be held liable for refusal to act until the question or dispute is settled, and the Escrow Agent has the absolute right at its discretion to do either or both of the following (a) withhold and/or stop all further performance under this agreement until the Escrow Agent is satisfied, by receipt of a written document in form and substance satisfactory to the Escrow Agent and executed and binding upon all interested parties hereto (who may include the subscribers), that the question, dispute, or disagreement has been resolved, or (b) file a suit in interpleader and obtain by final judgment rendered by a court of competent juris- diction, an order binding all parties interested in the matter. 6. Successors and Assigns. This agreement shall be binding upon the successors and assigns of the parties hereto. 7. Venue. The parties hereto agree that if any legal action is necessary in connection with this agreement, exclusive venue shall lie in Denton County, Texas. PAVE 4 IN WITNESS WHEREOF, the said City, Owner, and Escrow Agent have signed this instrument this zt� day of �Iuly , 19 87 CITY OF DENTON BY OWNER BY (Tn. ESCROW AGENT �i� ..,J,—'I PAGE 5 I 1 4 3 L EXHIBIT B THE STATE OF TEXAS S COUNTY Or DENTON S DEFERRED 'SN RPROVIDING FOR EET IMPROVEMENTS WHEREAS, Larry D Hem hill Elizabet A Hem hill and Virgip�$�E Bnerr,T dgeshas sought approval to su ivide or evelop property within the City of Denton, Texas, ("City"), or its extraterritorial jurisdiction, said property being described or shown in Exhibit "A", attached hereto and incorporated herein by reference, and WHEREAS. Owner, pursuant to the ordinances of the City of Denton, Texas, is required to make improvements to unimproved perimeter streets adjacent to said property; and WHEREAS, the Planning and Zoning Commission of City has, the request of Owner and pursuant to City's development ordinaupon nce, based upon a finding that said street improvements are not feasible or desirable at the time of approval of development, postponed the required street improvements, and WHEREAS, pursuant to City's ordinance, Owner has elected to enter into this agreement to insure completion of the deferred street improvements if later required by City in accordance with City's ordinance, NOW, THEREFORE, Owner and City, in consideration of the City's deferral of said street improvements and approval of said subdivi- sion or development, agree as follows 1. Owner shall be obligated to make street improvements to the unimproved existing perimeter streets adjoining the property described herein and as shown on the plat approved therefore, if required by City within ten (10) years of the date of this agree- ment, said streets, or portions thereof, required to be improved being described in Exhibit "B", attached hereto and incorporated by reference. The determination of whether said street improve- ments shall be made within the required time shall be made by the Planning and Zoning Commission, after public hearing, upon the recommendation of the City Engineer, said determination to be made within nine (9) years of the date of this agreement. If no deter- mination is made by the Planning and Zoning Commission of City within the required time, Owner shall have no obligation to make said street improvements and this agreement shall terminate. 2. In order to insure the completion of the street improvements in accordance with this agreement, Owner shall, prior to any deve- lopment of the property, post a performance bond with City in an amount not less than one and one-half times the amount necessary to complete the required street improvements, as determined by the City Engineer, guaranteeing the full and faithful completion of the required street improvements meeting City's specifications, said bonds shall be in favor of City and shall be executed by an approved surety company authorized to do business in the Stare of Texas. Said bond shall be renewed successively, as required, prior to its expiration date, so that there will be a valid, unexpired performance bond providing for the construction of said street improvements during the time for which the street improvements may be required under this agreement. 3. If the street improvements provided for herein are requested to be made in accordance with this agreement within the required time, Owner shall enter into a development contract, as required by City's development ordinance, and complete the required street improvements with reasonable diligence. Owner agrees that upon the Owner's failure to complete the required street improvements upon request as provided for herein, Owner shall pay City as liquidated damages the amount of Ten Thousand, Three Hundred Forty Five and 75/100 the amount o r e ($ 10,345 75 ), being iscr w Agreement R� required erein. Escrow Agreement 4. The parties herein agree that this contract shall be enforceable in Denton County, Texas, and if legal action is necessary in connection therewith, exclusive venue shall lie in Denton County, Texas Executed this 3 st day of July 19 87 OWNER FM ATTEST _:. �./. �/11i 1 1 / CITY OF DENTON, TEXAS B q / t 4MANAGE APPROVED AS TO LEGAL FORM• DEBRA ADAMI DRAYOVITCH, CITY ATTORNEY CITY OF DENTON, TEXAS BY y PAGE TWO 1 do1 1 ec s+ e SttA&A Sx9L eY�ti uiH s1s�ialrnva nY 1 _ _ I i � I Z i J.. n1 - ➢AYtw y�i"�`"PaY, � i�.� c3 r.. � iLe x'2 ti-i vs(j ar S r�it A.6 r�i37A tY '�&P • ' t � \� r vza t'+'fJr.5V99trxs�a+mR,* ra.za'6^vt3^' fi KN, y dolt 2-4- 1 14- lo"f-o, 1 e , ) n 'y la F I I r�