1992-195HEMP~ILL 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. Hemphlll, Elizabeth A
Hemphlll, 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 requlred
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. Hemphlll, Elizabeth A. Hemphlll, 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 v~ew of these facts and considerations, Larry D
Hemphlll, Elizabeth A Hemphlll, 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. Hemphlll, Elizabeth A Hemphlll and
Virginia E. Br3dges are hereby released from the obligations con-
talned 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.
BOB CASTLEBERRY, MAYO/
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
APPi~VED AS TO LEGAL FORM:
DEBRA Ao DRAYOVITCH, CITY ATTORNEY
PAGE 2
1233L
EXHIBIT A
PROJECT NO.
CONTRACT NO.
THE STATE OF TEXAS ~
ESCROW AGREEMENT IN LIEU
COUNTY OF DENTON ~ OF PERFORMANCE BOND
(Oevelopment Contract-Improvements
of $50,000 or Less)
WHEREAS, Larry D, Hemphill, Elizabeth a Hemphill & /Virginia ~f~
referred to as "Owner", has undertaken to develop property
within the City of Denton, Texas, or its extraterritorzal
jurisdiction, and
WHkREAS, Owner has, pursuant to the ordinances of the Czty
of Denton, Texas, hereafter referred to as "City", executed a
development contrac~ to insure that any and 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 ~n accordance w~th
the specifications, standards and ordlgances of the City, and
WHEREAS, Owner wishes to recezve building permits for sazd
property prior to the completion and approval or acceptance of
the Improvements by the Czty, and
WHEREAS, in order to recezve such building permzts Owner
may, where the cost to complete the Improvements is $50,000 or
less, zn lieu of postln~ a performance bond, escrow cash money
with a bank as escrow agent in an amount not less than the
amoun~ necessary to insure completzon of said Improvements,
NOW, tHEREFORE, OW/qER, Czty and _.USBank
Denton. Texas ~ hereafter called "Escrow Agent",
agree as follows'
1. Amount. Owner, as a condztzon to receiving building per-
mits for property located at Route 1~ Box 402-2, Mausch Branch Road,
Denton. Texas 762Q~ shall deposit the
sum of Ten Thousand, Three Hundred Forty Five and 75/100
($ 10,345 75 ), in casa money, wzth Escrow Agent, said sum being
zn an amount, as determzned by the Czty, necessary to ~nsure
completion of all Improvements which are to be dedzcated to the
publzc, sazd Improvements bezng more partzcularly descrz~ed zn
that certain development contract dated the 29th day of
3ul~ , 19 87 , begween tne C~ty, Owner and Owner's
Contractor, to whzch reference zs made ~erezn
2. Not,ce of Deposzt. No buzlding permzts shall be zssued
by Czty for the property herein described untzl Escrow Agent
notifies City, in writing, that cash money, ~n the amount
specified herein, has been deposited ~n an escrow account with
Escrow Agent.
3. Release of Funds. Escrow Agent shall not release any or
all of th~ escrowed funds ungzl the City Engineer authorizes the
Escrow Agent, zn wr~zn§, to release such funds as provided for
herein as follows
(a) the Czty £ngzneer shall autaorzze 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 remainzng funds not released are
suffzctent 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 notlce to be sent, or requured to be sent
or gzven under thzs agreement shall be sent to the address of
the partles hereto, as follows
CITY C~y Engzneer
215 East HcK~nney
Denton, Texas 76201
Larry D Hemphill, et al
Rt I, Box 402-2, Mausch Branch Rd
'oen~on, iexas 76201
ESCKOW AGENT' USBank
P 0 Box 2226
4. Fees. Owner agrees to pay any and all fees or costs
charged by the Escrow Agent zn connection with this Agreement.
5. Nonllabzlity of Escrow Asent The Escrow Agent shall
have no responsibility except for the safekeepzng and delivery
of the amounts deposzted ~n the Escrow Account ~n accordance
with this agreement. The Escrow Agent shall not be liable for
any act done or omitted to be done unde? this agreement or zn
PAGE 3
connection with the amounts deposited in the Escrow Account
except as a result of the Escrow Agent's gross negligence or
wzllful 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 lzable for refusal to act until the
question or d~spute is settled, and the Escrow Agent has the
absolute right at its d~scretion to do either or both of the
following
(a) wzthhold and/or stop all further performance under
thzs agreement until the Escrow Agent zs sat=sfied,
by receipt of a written document zn form and
substance satisfactory to the Escrow Agent and
executed and binding upon all ~nterested parties
hereto (who may znclude the subscribers), that the
quest~on~ dispute, or disagreement has been
resolved, or
(b) f~le a suit in ~nterpleader and obtazn by final
judgment rendered by a court of competent Jurls-
diction~ an order binding all parties ~nterested in
the matter.
6. Successors and AssLsns. This agreement shall be binding
upon the successors and assigns of the parties hereto.
7. Venue. The parties hereto a§ree that ~f any legal actLon
~s necessary in connection with this agreement, exclusive venue
shall lie in Denton County, Texas.
PAGE
IN WITNESS $~HEREOF, the sa~d C~ty, Owner, and Escrow Agent
have s~gned th~s ~nstrument th~s ~l~ day of July ,
19 87
CITY OF DENTON O~NER
ESCROW AGENT
PAG£ S
EXHIBIT B
I'HE STATE OF TEXAS ~
AGREEMENT PROVIDING FOR
COUNTY OF DENTON ~ DEFERRED S~R£ET IMPROVE,qENTS
Virginia E BF, ldges
WHEREAS, Larry D Hemphill~ Elizabet A Hemphill and , ~ Owner D, has
sought approval to subdivide or develop property within the Ctty
of Denton, Texas, ("City"), or Its extraterrttorlal Jurtsdtct~on,
sa~d property being described or shown tn 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, upon
the request of Owner and pursuant to City's development ordinance,
based upon a finding that said street ~mprovements are not feasible
or desirable at the ttme of approval of development postponed the
required street Improvements, and '
I~HEREAS, pursuant to City's ordinance, Owner has elected to
enter Into this agreement to insure completion of the de£erred
street ~mprovements if later required by City in accordance w~th
City's ordinance,
NO~, THEREFORE, Owner and City, in consideration of the City's
deferral of sa~d street ~mprovements and approval of said subdivi-
sion or development, agree as follows
1. Owner shall be obligated to make street tmprovements to the
unimproved existing perimeter streets adjoining the property
described herein and as shown on the plat approved therefore, tf
requtred by C~ty w~th~n ten (10) years of the date of th~s agree-
ment, said streets, or porttons 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 tame 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-
mlnat~on is made by the Planning and Zoning Commission of Ctty
within the required time, Owner shall have no oblzgatzon to make
said street Improvements and this agreement shall terminate.
Z. In order to insure the completion of the street Improvements
in accordance w~th 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 ~mprovements, as determined by the
City Engineer, guaranteeing the full and faithful completion of the
required street improvements meeting City's specl£1catlons, said
bonds shall be In favor o£ City and shall be executed by an
approved surety company authorized to do bustness in the Stare oE
Texas. Said bond shall be renewed successively, as required, prtor
to its expiration date, so that there w~ll be a valid, unexpired
performance bond providing for the construction of sald street
improvements during the time for which the street improvements may
be required under this agreement.
5. If the street :mprovements provided for herein are requested
ro be made zn accordance wzrh this agreement withxn the required
time, Owner shai1 enter into a development contract, as required
by City's deYelopment ordinance, and complete the requxred street
~mprovements with reasonable diligence. Owner agrees that upon the
Owner's Eallure to complete the required street improvements upon
request as
provided for here~n, Owner shall pay City as 1xquldated
damages the amount of ~en Thousand, Three Hundred Forty Five and 75~00
($ 10,345 75 ), being
the amount of the ~ex4k~d~fa~k~xx~R~d required herein.
Escrow Agreement
~. The partxes herein agree that this contract shall be
enforceable in Denton County, Texas, and ~f legal action Is
necessary zn connection therewith, exclusive venue shall lie in
Denton County, Texas
Executed this 3~$t day of July , 19 87
OWNER CITY OF DENTON, TEXAS
ATTEST
~fN, C I TY--S'E-CRE~ARY
CI~ OF DR~TON, TEXAS
APPROVED AS TO LEGAL FORM'
DEBRA AD~I DRAYOVITCH, CITY ATTORNEY
CITY OF DENTON, TEXAS
PAGE TWO