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HomeMy WebLinkAbout2010-056s:\our documentslordinancesll0\314 east hickory ord. doc ORDINANCE NO. 2010-056 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF DENTON, TEXAS, APPROVING A GRANT APPLICATION FROM DENTON COMMUNITY THEATRE FROM THE DOWNTOWN INCENTIVE REIMBURSEMENT GRANT PROGRAM NOT TO EXCEED $8,000; AND PROVIDING- FOR AN EFFECTIVE DATE. WHEREAS, on April 3, 2007, the City Council approved a Downtown Incentive Reimbursement Program by ordinance No. 2007-072; and WHEREAS, Denton Community Theatre applied for an $8,000 grant; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION 1. The City Council of the City of Denton hereby approves the request from Denton Community Theatre for $8,000 from the Downtown Incentive Reimbursement Grant Program. SECTION 2. The City Manager, or his designee, is hereby authorized to execute the Agreement and to carry out the duties and responsibilities of the City, including the expenditure of funds as provided in the Agreement. SECTION 3. This Ordinance shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the 16 �rC day of ��,�L 2010. MAVK A. BU Y O AMAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APPR VED A TO LEGAL FORM: ANITA BURGESS, CITY ATTORNEY BY: _. r 4 sAour documentslcontracts\1 a1314 e hickory agr.doc DOWNTOWN REIMBURSEMENT GRANT INCENTIVE AGREEMENT This Downtown Reinvestment Grant Incentive Agreement (the "Agreement") is entered into by and between the City of Denton, Texas (the "City"), duly acting herein by and through its Mayor, and Denton Community Theatre, Inc., a 501 (c)3 not -for -profit corporation (the "Gran- tee"), duly authorized to do business and in good standing in the State of Texas, duly acting here- in by and through its authorized officer. WHEREAS, the City has adopted a resolution which provides that it elects to be eligible to participate in downtown reinvestment grant incentives and has adopted guidelines and criteria governing downtown reinvestment grant incentive agreements known as the Denton Downtown Reinvestment grant Incentive Program; and WHEREAS, on the 3rd day of April, 2007, the City Council of Denton, Texas (the "City Council") adopted the Denton Downtown Incentive Reimbursement Program (the "Program"), a copy of which is on file in the City of Denton Economic Development Office and which is in- corporated herein by reference; and WHEREAS, the Denton Downtown Incentive Reimbursement Program Policy consti_ tutes appropriate "guidelines and criteria" governing downtown reinvestment grant incentive agreements to be entered into by the City; and WHEREAS, Grantee will be a tenant, as of the Effective Date (as hereinafter defined), which status is a condition precedent, of certain real property, more particularly described in Ex- hibit "A" attached hereto and incorporated herein by reference and made a part of this Agree- ment for all purposes (the "Premises") as of the Effective Date; and WHEREAS, on the 23rd day of October, 2009, Grantee submitted an application for rein- vestment with various attachments to the City concerning the contemplated use of the Premises (the "Application"), which is attached hereto and incorporated herein by reference as Exhibit "B"; and WHEREAS, the City Council finds that the contemplated use of the Premises, the Con- templated Improvements (as hereinafter defined) to the Premises as set forth in this Agreement, and the other terms hereof are consistent with encouraging development in accordance with the purposes and are in compliance with the Ordinance and Program and similar guidelines and cri- teria adopted by the City and all applicable law; NOW, THEREFORE, the City and Grantee for and in consideration of the premises and the promises contained herein do hereby contract, covenant, and agree as follows: I. TERMS AND CONDITIONS OF REIMBURSEMENT sAour documentslcontracts1101314 e hickory agr.doc A. In consideration of and subj ect to the Grantee meeting all the terms and condi- tions of reimbursement set forth herein, the City hereby grants the following reimbursement: 1. A reimbursement in an amount not to exceed $8,,000 attributable to new capital investments, as hereinafter described, being constructed on the Premises. B. A condition of the Reimbursement is that, by February 16, 2011 (subject to force majeure delays not to exceed 180 days), a capital investment in the form of facade work, awn- ings, bringing the entryway up to American Disability Act standards, impact fees and utility up- grades as described in Exhibit "B" be constructed on the Premises. For the purposes of this pa- ragraph, the term "force maj eure" shall mean any circumstance or any condition beyond the con- trol of Owner, as set forth in Section XXI "Force Maj eure" which makes it impossible to meet the above -mentioned thresholds. C. The term "capital investment" is defined as the construction, renovation and equipping of awnings, utility upgrades, facade and entryway work, as described in Exhibit "C" (the "Improvements on the Premises", the "Contemplated Improvements" or "Improvements") to include costs related to the construction of the Improvements on the Premises. D. A condition of the Reimbursement is that the Contemplated Improvements be constructed and the Premises be used substantially in accordance with the description of the project set forth in Exhibit "B". ment. E. Owner agrees to comply with all the terms and conditions set forth in this Agree- II. CONDITION OF REIMBURSEMENT A. At the time of the award of the Reimbursement, all ad valorem real property taxes with respect to said property owned within the City shall be current. B. Prior to the award of the Reimbursement, Grantee shall have constructed the Cap- ital Improvements as specified in Exhibit "B". III. RECORDS AND EVALUATION OF PROJECT A. The Grantee shall provide access and authorize inspection of the Premises by City employees and allow sufficient inspection of financial information related to construction of the Improvements to insure that the Improvements are made and the thresholds are met according to the specifications and conditions of this Agreement. Such Inspections shall be done in a way that will not interfere with Grantee ' s business operations. Page 2 s Aour documentslcontracts11 n1314 e hickory agr. doc IV. GENERAL PROVISIONS A. The City has determined that it has adopted guidelines and criteria for the Down- town Reimbursement Grant Incentive Program agreements for the City to allow it to enter into this Agreement containing the terms set forth herein. B. The City has determined that procedures followed by the City conform to the re- quirements of the Code and the Policy, and have been and will be undertaken in coordination with Owner's corporate, public employee, and business relations requirements. C. Neither the Premises nor any of the Improvements covered by this Agreement are owned or leased by any member of the City Council, any member of the City Planning and Zon- ing Commission of the City, or any member of the governing body of any taxing units joining in or adopting this Agreement. D. In the event of any conflict between the City zoning ordinances, or other City or- dinances or regulations, and this Agreement, such ordinances or regulations shall control. V. NOTICE All notices called for or required by this Agreement shall be addressed to the following., or such other party or address as either party designated in writing, by certified mail postage pre- pares by hand delivery or via facsimile, - GRANTEE: CITY: Denton Community Theatre, Inc. George C. Campbell, City Manager 214 W. Hickory Street City of Denton Denton, Texas 76201 215 East McKinney Denton, Texas 76201 Fax No. 940.349.8596 VI. CITY COUNCIL AtTTHORIZATION This Agreement was authorized by the City Council by passage of an enabling ordinance at its meeting on the 16th day of February, 2010, authorizing the Mayor to execute this Agree- ment on behalf of the City, a copy of which is attached hereto and incorporated herein by refer- ence as Exhibit "D". Page 3 sAour documentslcontracts1141314 e hickory agr.doc VII. SEVERABIILTY In the event any section, subsection, paragraph, sentence, phrase or word is held invalid, illegal or unconstitutional, the balance of this Agreement shall stand, shall be enforceable and shall be read as if the parties intended at all times to delete said invalid section, subsection, para- graph, sentence, phrase, or word. In the event that (i) the term of the Reimbursement with re- spect to any property is longer than allowed by law, or (ii) the Reimbursement applies to a broader classification of property than is allowed by law, then the Reimbursement shall be valid with respect to the classification of property abated hereunder, and the portion of the team, that is allowed by law. VIII. OWNER STANDING Grantee, as a party to this Agreement, shall be deemed a proper and necessary party in any litigation questioning or challenging the validity of this Agreement or any of the underlying ordinances, resolutions, or City Council actions authorizing same and Grantee shall be entitled to intervene in said litigation. IX APPLICABLE LAW This Agreement shall be construed under the laves of the State of Texas and is fully per- formable in Denton County, Texas. Venue for any action under this Agreement shall be in Den- ton County, X. ENTIRE AGREEMENT This instrument with the attached exhibits contains the entire agreement between the par- ties with respect to the transaction contemplated in this Agreement. xI. BINDING This Agreement shall be binding on the parties and the respective successors, assigns, heirs, and legal representatives. xIL COUNTERPARTS This Agreement may be executed in counterparts, each of which shall be deemed an orig- inal, but all of which together shall constitute one and the same instrument. Page 4 sAour documentslcontractsl101314 e hickory agr.doc XIII. SECTION AND OTHER HEADINGS Section or other headings contained in this Agreement are for reference purposes only and shall not affect in any way the meaning or interpretation of this Agreement. xIV. NO JOINT VENTURE Nothing contained in this Agreement is intended by the parties to create a partnership or joint venture between the parties, and any implication to the contrary is hereby disavowed. X. AMENDMENT This Agreement may be modified by the parties hereto to include other provlb 16 isions which could have originally been included in this Agreement or to delete provisions that were not orig- inally necessary to this Agreement. xxI. FORCE MAJEURE Ifs because of flood, fire, explosions, civil disturbances, strikes, war, acts of God, or other causes beyond the control of either Party, either Party is not able to perform any or all of its obli- gations under this Agreement, then the respective Party's obligations hereunder shall be sus- pended during such period but for no longer than such period of time when the party is unable to perform. This Agreements executed to be effective 30 days after the executed date of the Z6L_' t, day of9ijhj1,1"tj2010, (the `Effective Date") by duly authorized officials of the City and Owner. PASSED AND APPROVED this the day of 2010. CITY OF DENTON GEORG C. CAMPBELL, 6TY MANAGER Page 5 s:\our documentskontracts\10914 e hickory agr.doc ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APPR VED AVrO LEGAL FORM: ANITA BURGESS, CITY ATTORNEY BY: C_��4 X-0-� MIKE BA OW, MANAGING DIRECTOR ATTEST: STATE OF TEXAS § COUNTY OF DENTON § Before me, the undersigned authority, a Notary Public in and for said State of Texas, on this day personally appeared George C. Campbell, City Manager for the City of Denton, Known to me to be the person who signed and executed the foregoing instrument, and acknowledged to me that this instrument was executed for the purposes and consideration therein expressed. Given under my hand and seal of office this th/�� day of , 2010. si Stato of Texas of ry Putc in and for the ��''�� � �► 0060NINI St of Te as W My Commission Expires: Page 6 s:lour documentslcontractslt 013I4 e hickory agr,doc STATE OF TEXAS § COUNTY OF DENTON § Before me, the undersigned authority, a Notary Public in and for said State of Texas, on this day personally appeared Mike Barrow, Managing Director, known to me to be the person who signed and executed the foregoing instrument, and acknowledged to me that this instrument was executed for the purposes and consideration therein expressed. Given under m hand and seal of office this h l y the day of � , 2010. JANE E. RICHARDSON Notary public, state of Texas My Commission Expires June 27, 2013 N ry Public in and for the State of My Commission Expires: kZ Page 7 Exhibit A Property Description I Illllll.ilr� Owner Name Denton Publishing Co Situs Address 314 E Hickory 76201-4272 Legal Description 0 T Denton Blk 21 Lot 2,5(w99.9' OfE124.S' Of Each) 3,6125111 ../» y. x .. � ; z .._.. y�� ......:... ........................:::: .........: ...................:...::...... .....:....:.:: . ..... ............ .. ............. . .......:.....:..:..... ... ............ Om .............:.......... ............ . ....:........... . ........... .......... . .. ................ ..............:... .... ........:..... b..a- Ili ..........:.... ................:..........:....:.......:.:.. w: