2006-012
S:\Our Documents\Ordinances\06\Tcaslcy Partners First Amcndment.doc
ORDINANCE NO. ;]()C(O - 61 J..
AN ORDINANCE AUTHORIZING THE MAYOR TO APPROVE A FIRST AMENDMENT
TO THAT CERTAIN ECONOMIC DEVELOPMENT PROGRAM GRANT AGREEMENT
WITH TEASLEY PARTNERS, LTD. TO EXTEND THE DATES OF SUBSTANTIAL
COMPLETION OF THE IMPROVEMENTS COVERED BY THE GRANT AGREEMENT
-FROM DECEMBER 31, 2005 TO DECEMBER 31, 2006; AND PROVIDING AN EFFECTIVE
DATE.
WHEREAS, through the passage of Ordinance No. 2004-013 on January 6, 2004, the
City Council approved a Economic Development Program under chapter 380 of the Texas Local
Government Code ("Chapter 380") to stimulate development of commercial property within the
City by the developer, Teasley Partners, Ltd., ("Developer"); and
WHEREAS, to effectuate the program for Economic Development under Chapter 380
("Program"), the Developer and the City entered into an Economic Development Program Grant
Agreement ("Agreement"); and
WHEREAS, that Agreement required the Developer, as a condition of receiving the
grant, to substantially complete all the improvements covered by that Agreement by December
31,2005; and
WHEREAS, the Developer has made significant progress on the improvements including
the construction of the Holiday Inn and expects substantial completion to take place within
twelve months and has requested an extension of that amount of time on their substantial
completion date; and
WHEREAS, City Council deems it in the public interest to grant the Developer's request
and to amend the Agreement to extend the completion date; NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION I. The findings set forth in the preamble of this Ordinance are incorporated
by reference into the body of this Ordinance as if fully set forth herein.
SECTION 2. The Mayor, or in case of her absence, the Mayor Pro Tern, is herby
authorized to execute a First Amendment to the Agreement on behalf of the City of Denton
substantially in the form of the First Amendment, which is attached to and made a part of this
Ordinance for all purposes.
SECTION 3. This Ordinance shall become effective immediately upon its passage and
approval.
S:\Our Documcnts\Ordinanees\06\Teasley Partners First Amendment.doc
PASSED AND APPROVED 'hi"he 3' d d,y of fja. u a 4 , J- ' 2006.
~ik~
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
BY:
Page 2 of2
S:\Our Documents\Contracts\06\Teasley Partners First Amendment.doc
FIRST AMENDMENT TO THAT CERTAIN
ECONOMIC DEVELOPMENT PROGRAM GRANT AGREEMENT
WITH TEASLEY PARTNERS, LTD.
THIS FIRST AMENDMENT to that Economic Development Program Grant Agreement
by and between Teasley Partners, Ltd. ("Developer") a Texas limited partnership, the City of
Denton ("City"), a Texas municipal corporation, executed on the 6th day of January, 2004
hereinafter referred to as Base Agreement.
WHEREAS, the parties desire to amend the Base Agreement to extend the date for a
substantial completion from December 3 I, 2005 to December 3 I, 2006 to give the Developer
adequate time to complete the improvements in accordance with the Base Agreement;
NOW, THEREFORE, in consideration of the mutual conditions and obligations set forth
below, the parties agree to amend the Base Agreement as follows:
SECTION 1. Section 4 "Program Grant" of the Base Agreement is hereby amended to
read as follows:
Section 4. Program Grant.
For each month of the Program Grant term, City agrees, subject to the conditions
contained in this Agreement, to make a Program Grant installment payment to Grantee on
or before thirty days following the City's receipt from the State Comptroller of the
Monthly Sales Tax Report indicating sales tax revenue from businesses located on the
Property. Monthly Program Grant installment payments shall be calculated as provided
in Section 5 below. Tenant Occupancy shall be a condition precedent to the initiation of
Program Grant payments. Program Grant payments may be withheld at any time if there
are delinquent property taxes on the Property and will not be resumed until such
delinquency is cured. Notwithstanding anything contained herein to the contrary, the
Program Grant installment payments will cease, this Agreement will automatically
terminate, and Grantee will refund to the City all Program Grant payments previously
made if there is not Substantial Completion of the Improvements by December 31, 2006.
SECTION 2. Save and except as amended hereby, all the remaining clauses, sentences,
paragraphs, sections and subsections of Base Agreement shall remain in full force and effect.
EXECUTED and effective as ofthe31dday Of9!I1JJ(lI1-i:, 2006, by City, signing by
and through its Mayor, or in case of her absence, the Ma or Pro Te , duly authOrIzed to execute
same by action of the City Council and by Grantee, acting through its duly authorized officials.
S:\Our Documents\Contracts\06\Tcasley Partners First Amendment.doc
PASSED AND APPROVED this the '3;...d
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
ny~pmlUt~ iJIlJ-hAA.>
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
BY:
9;
Page 2 of2
"'Y'f~'.l1" '1 '
c~k~
EULINE BROCK, MAYOR
2006.