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HomeMy WebLinkAbout2014-213sAlegal\our documents\ordinances\14\brown development 6 ordinance.dou ORDINANCE NO.2014-213 AN ORDINANCE OF THE CITY OF DENTON, TEXAS FOR THE PURCHASE FROM BROWN DEVELOPMENT 1, LTD., A TEXAS LIMITED PARTNERSHIP ("OWNER") OF (1) A 3.338 ACRE TRACT FOR AN ELECTRIC EASEMENT; AND, (2) A 1.227 ACRE TRACT FOR A TEMPORARY CONSTRUCTION EASEMENT, BOTH OF WHICH ARE GENERALLY SITUATED IN THE J. COLTART SURVEY, ABSTRACT NUMBER 288, CITY OF DENTON, DENTON COUNTY, TEXAS ("PROPERTY INTEREST'), FOR THE PUBLIC USE OF EXPANSION, CONSTRUCTION, OPERATION, MAINTENANCE AUGMENTATION AND IMPROVEMENT OF ELECTRIC TRANSMISSION AND DISTRIBUTION LINES, FACILITIES, STRUCTURES AND SUBSTATIONS, ("PROJECT"), FOR THE AMOUNT OF TWO HUNDRED FORTY SEVEN THOUSAND SEVEN HUNDRED SIXTEEN DOLLARS AND FIFTY TWO CENTS ($247,716.52); AUTHORIZING THE CITY MANAGER, OR HIS DESIGNEE, TO EXECUTE THE NECESSARY AGREEMENT AND DOCUMENTS FOR THE PURCHASE; AUTHORIZING THE EXPENDITURE OF FUNDS; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, after due consideration of the public interest and necessity and the public use and benefit to accrue to the City of Denton, Texas. NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION 1. The City Council finds that a public use and necessity exists, and that the public welfare and convenience require the acquisition of the Property Interest by the City of Denton, Texas ("City"). The City Council finds and determines that the acquisition of the Property Interest is necessary for public use to expand and improve the Denton Municipal Electric distribution and transmission system to serve the public and the citizens of the City of Denton, Texas. SECTION 2. The City Manager, or his designee, is authorized to (a) execute (i) the Easement Purchase Agreement, between the City and Owner, or other owners of the Property Interest, as applicable, in the form attached as Exhibit "A", with a purchase price of $247,716.52 and other consideration, plus costs and expenses, all as prescribed in the Easement Purchase Agreement; and (ii) any other documents necessary for closing the transaction contemplated by the Easement Purchase Agreement; and (b) make expenditures in accordance with the terms of the Easement Purchase Agreement. SECTION 3. If any section, article, paragraph, sentence, phrase, clause or word in this ordinance, or application thereof to any persons or circumstances, is held invalid or unconstitutional by a court of competent jurisdiction, such holding shall not affect the validity of the remaining portions of this ordinance; the City Council declares that it would have ordained such remaining portion despite such invalidity, and such remaining portion shall remain in full force and effect. SECTION 4. This ordinance shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the �, day of , 2014. CHRIS WATTS, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY By: Ll APP VED FO LEGAL FORM: ANITA BURGESS, CITY ATTORNEY By: I jv-o— Easement Purchase Agreement NOTICE YOU, AS OWNER OF THE EASEMENT LANDS (AS DEFINED BELOW), HAVE THE RIGHT TO: (1) DISCUSS ANY OFFER OR AGREEMENT REGARDING THE CITY OF DENTON'S ACQUISITION OF THE EASEMENT WITH OTHERS; OR (2) KEEP THE OFFER OR AGREEMENT CONFIDENTIAL, UNLESS THE OFFER OR AGREEMENT IS SUBJECT TO CHAPTER 552, GOVERNMENT CODE. THIS EASEMENT PURCHASE AGREEMENT ("Agreement") is dated 2014, between BROWN DEVELOPMENT I, LTD., a Texas limited partnership, (the "Owner") and the City of Denton, Texas ("City"). WITNESSETH: WHEREAS, BROWN DEVELOPMENT I, LTD., a Texas limited partnership is the Owner of a tract of land (the "Land") in the J. Coltart Survey, Abstract Number 288, Denton County, Texas being affected by the public improvement Project called the Spencer Transmission Line Project ("Project"); and WHEREAS, City is in need of certain easements in, along, over, upon, under and across the tract of land described above related to the Project; and WHEREAS, it is desirous of both parties to stipulate and agree to the terms and conditions associated with the purchase of the necessary easements for the Project; NOW, THEREFORE, for good and valuable consideration, the receipt and adequacy of which is hereby acknowledged, the parties agree as follows: 0 1. At Closing, the Owner shall grant, execute, and deliver to the City both permanent and temporary construction easements, the scope, location and duration of which are described and shall be memorialized in an Electric Utility Easement (herein, the "Easement"), the form and content of which is shall be substantially similar to the Attachment 1 which is attached hereto and made a part hereof for all purposes as if set forth herein verbatim. The Easement shall grant, sell and convey a permanent easement in, along, over, upon, under and across the tract of land being described in Exhibit "A-1" and depicted in Exhibit `B-1" attached to the Easement, and a temporary construction easement in, along, over, upon, under and across the tract of land being described in Exhibit "A-2" and depicted in Exhibit `B-2" also attached to the Easement. As stated in the Easement, the permanent easement shall be granted for electric utility purposes, and the temporary construction easement shall be granted for construction purposes, the purpose(s), scope and duration of which are further set forth and defined in the Easement. The lands described and depicted in the Exhibits attached to the Easement are collectively referred to herein as the "Easement Lands". 2. As consideration for the granting of the Easement, the City shall pay to Owner at Closing the sum of Two Hundred Forty -Seven Thousand Seven Hundred Sixteen and 52/100 Dollars ($247,716.52) as compensation for the Easement. The monetary compensation prescribed in this Section 2 is herein referred to as the "Total Monetary Compensation". 3. Owner stipulates that the Total Monetary Compensation payment constitutes and includes all compensation due Owner by City related to the Project, including without limitation, any damage to or diminution in the value of the remainder of Owner's property caused by, incident to, or related to the Project, damage to and/or costs of repair, replacement and/or relocation of any improvements, turf, landscape, vegetation, or any other structure or facility of any kind z located within the Easement Lands related to activities conducted pursuant to the Easement, interference with Owner's activities on the Easement Lands or other property interests of Owner caused by or related to the Project and/or activities related to the Easement, whether accruing now or hereafter, and Owner hereby releases for itself, its heirs, beneficiaries, devisees, successors and assigns, City, it's officers, employees, elected officials, agents and contractors from and against any and all claims they may have now or in the future, related to the herein described matters, events and/or damages. 4. The Closing (herein so called) shall occur in and through the office of Title Resources, 525 South Loop 288, Suite #125, Denton, Texas 76205 ("Title Company"), with said Title Company acting as escrow agent, on the date which is 60 days after the Effective Date, unless the Owner and the City mutually agree, in writing, to an earlier or later date ("Closing Date"). The Owner shall convey the Easement free and clear of all debts, liens and encumbrances. The Owner shall assist and support satisfaction of all closing requirements in relation to solicitation of release or subordination of liens and encumbrances and other curative efforts affecting the Easement, if necessary in the discretion of the City. 5. The stipulated Total Monetary Compensation amount shall be paid by the City at Closing to the Owner through the Title Company. All other typical customary and standard closing costs associated with this transaction shall be paid specifically by the City, except for Owner's attorney's fees, if any, which shall be paid by Owner. 6. The date on which this Agreement is executed by the Owner shall be the "Effective Date" of this Agreement. 7. In the event Owner shall default in the performance of any covenant or term provided herein, and such default shall be continuing after ten (10) days written notice of such default and opportunity to cure, City may exercise any right or remedy available to it by law, contract, equity or otherwise, including without limitation, the remedy of specific performance or termination of this Agreement. 8. In the event City shall default in the performance of any covenant or term provided herein, and such default shall be continuing after ten (10) days written notice of default and opportunity to cure, Owner may, as its sole and exclusive remedy, either (i) terminate this Agreement prior to Closing by written notice of such election to City; or (ii) enforce specific performance of this Agreement. 9. THE LAWS OF THE STATE OF TEXAS SHALL CONTROL AND APPLY TO THIS AGREEMENT FOR ALL PURPOSES, THIS AGREEMENT IS PERFORMABLE IN DENTON COUNTY, TEXAS. VENUE FOR ANY ACTION ARISING HEREUNDER SHALL LIE SOLELY IN THE COURTS OF COMPETENT JURISDICTION OF DENTON COUNTY, TEXAS. 10. From and after the date of execution of this Agreement by Owner to the date of Closing, Owner shall not (i) convey or lease any interest in the Easement Lands; or (ii) enter into any Agreement that will be binding upon the Easement Lands or upon the Owner with respect to the Easement Lands after the date of Closing. 11. Any notices prescribed or allowed hereunder to Owner and/or City shall be in writing and, except as otherwise provided herein, shall be delivered by telephonic facsimile, hand delivery or by United States Mail, as described herein, and shall be deemed delivered upon the earlier to occur of (a) the date provided if hand delivered or delivered by telephonic facsimile; and (b) on the date of deposit of, in a regularly maintained receptacle for the United States Mail, registered or certified, return receipt requested, postage prepaid, addressed as follows: 4 OWNER: Brown Development I, Ltd. P.O. Box 292966 Lewisville, Texas 75029 Telecopy: (940) 243-1362 Copies to: For Owner: Richard D. Cox, Esq. Husch Blackwell LLP 2001 Ross Ave., Suite 2000 Dallas, Texas 75201 Telecopy: (214) 220-8518 CITY: City of Denton Paul Williamson Real Estate and Capital Support 901-A Texas Street Denton, Texas 76209 Telecopy: (940) 349-8951 For City: Scott W. Hickey, Attorney at Law Kelsey, Kelsey & Hickey, PLLC P.O. Box 918 Denton, Texas 76202 Telecopy: (940) 387-9553 12. This Agreement constitutes the sole and only Agreement of the parties and supersedes any prior understandings or written or oral Agreements between the parties with respect to the subject matter of this Agreement. 13. The representations, warranties, agreements and covenants contained herein shall survive the Closing and shall not merge with the Easement. 14. Authority to take any actions that are to be, or may be, taken by Buyer under this Agreement, including without limitation, adjustment of the Closing Date, are hereby delegated by Buyer, pursuant to action by the City Council of Denton, Texas, to Phil Williams, General Manager, Electric Administration of Buyer, or his designee. 15. In the event prior to the Closing Date, condemnation or eminent domain proceedings are threatened or initiated by any entity other than the City that might result in the taking of any portion of the Easement Lands, City may, at its election, terminate this Agreement at any time prior to Closing. 5 16. If the Closing Date or day of performance of any act required or permitted hereunder falls on a Saturday, Sunday or legal holiday, then the Closing Date or day of performance, as the case may be, shall be the next following regular business day. CITY OF DENTON, TEXAS By GEORGE C,,, . CAMPBELL, CITY MANAGER Date . , 2014 ATTEST: Date: 1=ER' ALTERS,,C'1ITY SECRETARY 2014 APPROVED AS TO LEGAL FORM: Kelse , Richa-.� N uor�y John F,_ Kp]sey Scot W - Hekey [ian BY: Date: _IT , 2014 X"'= BROWN DEVELOPMENT I, LTD., a Texas limited partnership By: BROWN DEVELOPMENT CORPORATION, its general partner Connie L. Brown, President RECEIPT OF AGREEMENT BY TITLE COMPANY By its execution below, Title Company acknowledges receipt of one (1) executed copy of this Agreement. Title Company agrees to comply with, and be, bound by, the terms and provisions of this Agreement and to perform its duties pursuant to the provisions of this Agreement and comply with Section 6045(e) of the Internal Revenue Code of 1986, as amended from time to time, and as further set forth in any regulations or forms promulgated thereunder. TITLE COMPANY: Title Resources Attn: Virginia Kubiak 525 South Loop 288, Suite 125 Denton, Texas 76205 Telephone: (940) 381-1006 Telecopy: Q4,) 898-0121 Printed Name: Title:... i.'... Contract receipt date: 1AACA IrrA 92014 s Exhlblt Al LEGAL. DESCRIPTION ELECTRIC EASEMENT BEING a 3.338 acre bad of tarot si in lure �1. Coltsrt Sun". Abstract Number 288, Denton County. Texas, and being pad of chat certain track of land d `bed in Deed to Brown Development 1, Ltd., as recorded In Document Number W1683 of the Real praperly Records of Denton County, Texas, and being more particularly described as follows; BEGINNING at a 112 Inch iron rod with cap alamped'RPL 3693 found for comer at the into coon of the North line of the above cited Brawnmenl tract with the Northeasterly line of State Highway 268 Ca variabie wid. P4ed th right-of-way), " point also in the South Una of a tract chi land desrath�l In a Deed to Charles �t and wife, Harriet Reed, as r in hlolumo 82'5, Page 183 of the Deed Records of Denton County, Texas;. THENCE South SSA 6` is, East, departing the North ast+edy line of sold 'State Highway Loop 288, and along the South lima of said trait and the Nou[tlr line of said 13rown Development tray passing a � indr iron rod with crap stamped qNr set for reference at the centerline of the proposed power line at a diguince of 133.23 feet, and continuing along said lire for a total a d t s of 202.31 foot to a point for , from which a 112 incur Iron rod found for the Sou#wgd comier of said Reed tract and an angle ant in the North line of sand Brown DeWripment tracts bars South 88 18' 18' East, a dkqwce of 3609.87 feat; THENCE, departing the South line of said Reed tract and over and across said Brown Development tract, the following two cours" and distanoes; South W 23' 32' East, a distance of 1124.69 feel to a point for comer: South 50° 39' or Fast. a distance of 429.10 feet to a point for comer; South 3T 2 2' 66"Wesi, passing a 6M Inch iron rod with cap stamped'TNP' set for reference at the contedine of the proposed limn at a diu of 37.50 feet, and continuing along said fine 1a a total distance of 80.46 feet to a font for comer in the Nodheasterly line of said state Highway Loop 288. from which a broken corOM Monument found 1of reference bears South 50' 3T 36, East a distance of 2.86 feet; THENCE along the Northeasterly line of said State Highway Loop 288, the following four courses and distances; North 50' 3T 38" West, a distance of 580.83 feet to a broken concrete monument found for comer, North 58' 15' 08" West, a distance of 460.37 feet to a broken concrete monument found for comer; North 57' 38' W West, a distance of 599.52 feet to a 112 inch iron rod with cap stamped "RPLS 3693' found for comer, North 52, 07 03' West, a distance of 97.96 feet to the POINT OF BEGINNING, and containing 3.338 acres of land, more or less. T 11B3.TJurWr, R.P.t a. OotoWr 10, 2013 September 21, 2012 — Field T.B.P.L.S. Flan 10011M Exhibit B1 Page One of Two �C6d--- i M 9 0 3-0 N 12- N NO! n _ ,ZCD* O Nod m'° (A) o� r 41 / r Iry IV * ' ca �� / 0 Fmna O CX 40 a GWf 2 PA W Exhibit B1 Page Two of Two st / / / is a t�{9q 010 ♦ :11. v / 4 s / t 40 n4P C+ / { 0 PI) Exhibit A2 LEGAL DESCRIPTION 35'TEMPORARY CONSTRUCTION EASEMENT BEIRAG a 1.227 ec(e tract of land situated In the J. coltarl Survey, Abstract Number 288, Denton County, Texas, and being part cf that catalp Irad of land des `bed In a Deed to Brown Development 4. Lid,, as recorded in Document Number 98-1683 of the Real Property Rem(ds of Denton County. Texas. and being more particularly described as 10110m: BEGINNING at a point for comer in the North line of #w above cited Brown Devetopment tract and the South line of a Iradof land dewn-bed In a Deed to Charles A. Reed and wife, Harriet Reed, as recorded in Volume 625, Page 183 of the Deed Records of Denton County, Texas, from which a 112 inch iron rod with cup stamped' RPLS 369T found for reference in the Northeasterly line of Slate Highway Loop 288 (a variable width fight -of -way) bears North Or 19 jiT West a distance of 202.31 feet; THENCE South 804 JW 16* East along the North line of said Brown Development tract and the South line of said Reed tract, for a distance of 64.47 feet to a point for comer, from which a I& inch Iron rod found for the Southeast comer of said Reed bad and an angle point in the North line of said Brown Development tracts bears South 88* 16 W East a distance of 3545.40 feet; THENCE departing the South line of said Reed tract and over and across said Brown Development tract, the following two courses and distances: South 65* 23' 320 East, a distance of 10-11.99 feet to a point for comer, South W 39 OW Eastog distance of 430.57 feet to a Point RK corner., South 39* 22'56' West, a distance of 35.00 feet to a point for corner in the Northeasterly line of a Proposed variable width electric easement; THENCE a" the Northeasterly One of said eieddc easement, the following four courses and distances: North 50' 39' Ogr West. a distance of 429.10 feet to a point for COFFWF; North 6W 23' X" West, a distance of 1124.69 W to the POINT OF BEGINNING, and containing 1227 acres of land, more or less. id 96.Tuff/ po� OCL 10. 2013 Sep. 21, 2012 — Field T.B.P.L.S. Firm 110011116011 Exhibit B2 ie One of i z ro P 0 X N 90 o . w n N A Zo' O Nod m O N O ro w O Q a m ML z� m fA Mn 1 e�n� 19 r cl 40 J r � N C7 M V QJ r Exhibit B2 to One of I Exhibit B2 re Two of Two 0 0