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2014-213s:\legal\our documents\ordinances\14\brown development c3 ordinance.docx ORDINANCE NO. 2014-213 AN ORDINANCE OF THE CITY OF DENTON, TEXAS FOR THE PURCHASE FROM BROWN DEVELOPMENT I, 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 COLTNTY, TEXAS ("PROPERTY 1NTEREST'), 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 iinds 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 ATTEST: JENNIFER WALTERS, CITY SECRETARY �. �� � By; � � A�� `V�� '�"C� LEGAL FORM: ANITA BURGESS, CITY ATTORNEY By: o _ , 2�14. � __ _ ��.m�. CHRIS WAT'��, MAYOR Easement Purchase Agreement NOTICE YOU, AS OWNER OF THE EASEMENT LANDS (AS DEFINED BELOW), HAVE THE RIGHT TO: (1) DI5CUSS 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 }���r-ti��;r:���i�a, (the "Owner") and the City of Denton, Texas ("City"). W�TNESSETH: 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 `Basement"), 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 andlor 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 ofiicials, 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 perfoxmance 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 1N DENTON COUNTY, TEXAS. VENUE FOR ANY ACTION ARISING HEREUNDER SHALL LIE SOLELY IN THE COURTS OF COMPETENT NRISDICTION 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 90]-A Texas Street Denton, Texas 76209 Telecopy: (940) 349-8951 For Ci : 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, adjustrnent 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 ��w..�� � ��,��� �.., a, � � � ��, . ,- � : �- �"`� ... By.��4�R�E C ��-�-� .� � � ..:� ,�,,,�.��a_..s�...__. � . CAMPBELL, CITY MANAGER �]�t:�;. � �� _� ���4 �,..�...�_.� _ ATTEST: : Date: i= �I� '�� C�"1"��;T��,,�'iT'�� SECRETARY 2014 APPROVED AS TO LEGAL FORM: Kelse , Richar.� u uor��, � John F,_ K�y Cr�n4 � 7 �� �Y[i:i/tl +�t�1Y � +� yt '' ��i �� C rG`'I �'r�02� `'j �,� ���`�` sY: _,�° - . �._ Date: �, ' '`� _IT , 2014 C1 .1�L"� BROWN DEVELOPMENT I, LTD., a Texas limited partnership By: BROWN DEVELOPMENT CORPOR.ATION, its general partner Byt �� � �� � °�i"F��'�1�'��'.� �.���� . � ���'r �' ���.� a -� 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 b� 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 forn�s promulgated thereunder. TITLE COMPANY: Title Resources Attn: Virginia Kubiak 525 South Loop 288, Suite 125 Denton, Texas 76205 Telephone: (940) 381-1006 Tele�:ca�y: (94,�) 898-0121 � : Printed Name: Title: ...� �'�..�� �— .. � Contract receipt date: � � _g 20�4 s Exhlblt A1 LEOAL. DESCRIPTION ELECTIfIG E14SEMEN7 BEING a 3.338 acre �t aa� t�� si i� t� �. ��Rl�ri �!u�r�,+, � � Number 288, Denton County. 7exes, and being pad oiihat ce�dai� t� s�t �n� c� "�d ����� i� ���ri �e�r�loPme�l 1. Ltd., as �ecorded In Document Numbe� 98-1883 of �s� ��� : +�y � ��i C���n ��'�ty, T€��s, and being more particulariy described as ia�ows: ����l�l��� �t � i� ln�ch 1r�arr ��h t�p �m�'RPL� �3'�J' faun�r f�r c�`n�� r�t ttt� in�� �#i�n a�f �ta �[ar't� line a�"#h� ��a r�t�cf k�+ rrn�ni i� rnni�a �r� N+�rtF►��sier�y Ilrs� at �t�ta i��gfi��y^ �88 (� ����t� r�rid#kr r�g�t-t�-wt�y}. �"� ��1t el� ��n ltre �ot�Ch �n� c�f � tsa�l c�?F �nd t�sr.ttv�f kn � Cte�d t� ���� � ar�cl owii�. #��t i�d. � r %e�'��9+��s ��'�, P��. °a�� �! 1� �cd f��e�r!�� �f 1�a�stc�� ���r�ky. °�'+ea��r. T�iE��� �t�u#h BS� '�Q" 1�' E��� � �n� 1h� ��[he�bt�► ik[� +� s��e3 rl��e k°k��rw�+ �vp �`�. ��i s�st� 1�tie ��ttr lir�a �F s�ld ti�a�t �r� t� �1�r lir� vf s,�i t�rcr�vr� �vekrpmer►t lr�, l�as�n� a� indt ir+�n ta� �ti� ,�� ,� '"iFl�"' �t �' �'�!E�si� � !� �#+��1�r� �i tl� �` d t ii�e s� a � � i33��� #�ret, �nd �nbi�u�n� �I�g �ici li� �r s i�i a d�1� �af e,�.�'� ��i tr� e�Sni ic��' , fir�m w�r�t:li �'�� is�h i�r� rcar3 '�t�nd'�r ti� �. _ - � +�f lr�c# ar�d � �r�l� #��t is� tF� I+�r�i� i�n� �f s�sd �r� �� �i t l��r� �9�` 1�' �� �, � , � df ��°-�i (eei; THENCE, depaN�9lhe South Ifne oT sald Reed traci and over and aaoss said erown Devebpme�t trad� the {d�;ng two oou/aes and distanoes; Sauth 65' 23' 32' East, a distanoe of 1124,69 feet to a poiM for comer: 3auth 50° 39' 09' F�et. e distenoe of 429_10 feel to a poinl tor comer; ��u,�1 ��° �" �8" 4�: �� ins�h irc�r ra�t ►v� r�p s�amped "TNP' set for reierence at 1he �s�et�'� �f iha � ifn� r�t �+� � 37,� ,��d continufng alon9 said (ine %a a Wtal �� dl �c� �[ �1i1,�k5 (�t tcr � �nt �� ra��r � tht� Nartt�a5�r1� �ine �tf said Statia liigh�way L�P °�'� ,,�1� � bt�f�n � I�! ta� faurr� #flr ��t �r� ��4rkfit 50' 3T 36' Esat. a disler�ce af 2.88 r�; 'fHeNCe abng t�►e Northeasiery line of saia state Nigt►w►ay L�P �e. �ne rollowing rour courses and distanaes: Nor1h 50' 37' 36" West. a distance oi 560.83 feet to a broken oonaete manument found for aorr�er � 58• S�� pg• Wesl, a diatance ot 48U•37 teet to a broken ooncrete monument io�md far come� NoAh bl' 38' 44" Wesi, a distance oi 599.52 ieet to a 112 ioch iron rod wilh cap slamped "RPLS 3693' famd tor comer, NoAh 52' 07 03" West, a dislenoe of 97.96 (eet 6o the P�1NT OF 9ECiiNNIN4, end caniaining 3.338 8cres of land, more ot les6. / � � B. i r, i�.�',�- October 10, 2043 September 21 � 201 x — ���d T.S.P.L.S. 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