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
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