2006-196
ORDINANCE NO. 2fJ(}6 - / 16
AN ORDINANCE AUTHORIZING AN AGREEMENT BETWEEN THE CITY OF DENTON,
TEXAS AND ROBSON DENTON DEVELOPMENT. LP PROVIDING FOR THE
ACQUISTION THROUGH PURCHASE OR CONDEMNATION OF CERTAIN WATER
UTILITY AND TEMPORARY CONSTRUCTION EASEMENTS LOCATED IN THE E.
PIZANO SURVEY, ABSTRACT NUMBER 994, AND THE B.B.B. & C. R.R. CO. SURVEY,
ABSTRACT NUMBER 158, THE CITY OF DENTON, DENTON COUNTY TEXAS AND
BEING WITHIN A PARCEL OF LAND CONVEYED TO PETRUS INVESTMENTS, LP, BY
DEED RECORDED IN VOLUME 4246, PAGE 574, AND WITHIN A PARCEL OF LAND
CONVEYED TO ROBSON/35W INVESTORS, L.P., BY DEED RECORDED IN VOLUME
5090, PAGE 1241 OF THE DEED RECORDS OF DENTON COUNTY, TEXAS; AND
PROVIDING AN EFFECTIVE DATE.
WHEREAS, the City Council hereby finds that it is in the public interest to enter into an
agreement with Robson Denton Development; LP providing for the acquisition of certain public
easements in the name of the City of Denton, a copy of which agreement is attached hereto and
made a part hereof as Exhibit A (the "Agreement"); NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. The findings and recitations contained in the preamble of this ordinance
are incorporated herein by reference.
SECTION 2. The Agreement is hereby approved. The City Manager or his designee, is
hereby authorized to sign the Agreement on behalf of the City.
SECTION 3. This ordinance shall be~ome effective immediately upon its passage and
approval.
PASSED AND APPROVED this the
,2006.
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
~ATTORNEY
"
AGREEMENT
WHEREAS, Robson Denton Development, LP, an Arizona Limited Partnership
("Developer") is the developer of a subdivision or addition to the City of Denton, T exas (the "City")
known as Robson Ranch (the "Development"); and
WHEREAS, certain water line easements are necessitated by the Development as more
particularly described in Exhibit "A" attached hereto and made a part hereof by reference (the
"Easements" or "Easement Property"); and
WHEREAS, there is a public interest for the City's acquisition of the Easements as the
waterlines to be constructed in the Easements will serve the community as well as the Development;
and
WHEREAS, the Easement Property is owned by another property owner who is unwilling to
grant or convey the Easements for public use at fuir market value; and
WHEREAS, the Developer has requested, in accordance with State law, that the City use its
power of eminent domain to obtain the Easements; and
WHEREAS, the condemnation of the Easements are in the public interest and for a public
purpose; NOW, THEREFORE,
WITNESSETH:
This agreement is made this / rt;tlL day of ~ ' 2006, by and between
Developer and the City, in consideration of the mutual v and promises of each, agree as
follows:
I. Attnnu~y'~ s.>rvi.."". The City Attorney, with the approval of Developer shall retain
local counsel to provide the legal services to negotiate the acquisition of and institute and pursue
proceedings in eminent domain to acquire the Easements, in the name of and as the property of the
City. The local counsel shall prepare all petitions, motions, notices, and other legal documents
necessary to initiate and prosecute condenmation proceedings, subject to the review and approval of
the City Attorney. The Developer shall pay all attorney fees directly to local counsel.
II. Pllyrnpnt nf Cnndpmm.tinn Cnd. hy npvplnp..r. All filing fees and courts costs,
appraiser, expert witness fees, condenmation awards and judgments, recording fees, or other costs or
fees resulting from or associated with the condemnation (called "Costs") shall be paid by Developer.
m. Pllyrnpnt of A"q,d,ntion Cod hy npvplnp..r. Developer agrees that it will pay the
award for the condemnation made either by the Special Commissioners, or on appeal, by judgment of
the court. Should the condemnation case be non-suited or dismissed at any time prior to the entering
of a judgment in this matter, Developer agrees to pay any costs assessed by the court against City
including, but not limited to, attorney, expert witness fees and costs of the condenmee.
IV. ApPPlll of Cnmmi~.ionpro' AWllrd. If, by reason of the amount of the
connnissioners' award made, Developer is obligated to deposit in satisfaction of the award to seek
right of immediate possession any amount in excess of market value for the Easement, then Developer
may request, in writing within ten days of said award, that City appeal the award made. Upon such
request and the City's determination that the award was excessive, the City may, in fulfillment of its
sovereign duties and obligations within its sole discretion, authorize an appeal of the award. Developer
shall pay all costs and expenses of an appeal of the commissioners' award whether appealed by the City
or the condemnee. Upon final judgment of such appeal, Developer shall pay the judgment of the court.
V. F~rnw ofFnnd~ Before the C~ shall proceed with any condemnation
proceedings, Developer shall pay to the City $425,000. as security for the payment of the Costs (the
"Escrow"). If the Escrow is not paid within 30 days of the date of this Agreement, this Agreement
shall automatically terminate. Should the Costs exceed the Escrow, Developer shall tender to the City
the difference together with an amount deemed reasonably necessary by the City to continue to
prosecute the case, no later than 30 days after written notice from the City. A failure to supplement the
Escrow within said 30-day period may result in the City's termination ofthe case at Developer's sole
expense. Developer understands that the Commissioners' Award together with other costs to that date
could exceed the amount of the Escrow. In such case Developer must pay to the City the difference,
before the amount of the Commissioners' Award could be deposited and possession of the Easements
could be obtained, pending final disposition of the case. If the Escrow exceeds the final Costs, the City
shall reimburse Developer the difference no later than 60 days after entry of a final non-appealable
judgment, date of settlement with the condemnees, or date the condenmation is terminated or
abandoned, whichever occurs first. The City shall pay no interest on the Escrow. The City is
pennitted to draw money out of the Escrow at any time and without the consent of Developer for
payment of the Costs, or any portion thereof
VI. Rplpll~P Developer agrees that the acquisitions of the Easements provided for in this
agreement are for the following public purpose: Public waterline facIlity purposes. Developer further
agrees that it shall not make any claim against City, or hold City liable, for any loss or damage suffered
or incurred by Developer as a result of any interruption or delay in condemning or acquiring the
Easements or to complete any required off-site improvements resulting from any legal challenge to the
right of City to condemn the Easements, provided the City takes reasonable steps to address each such
legal challenge.
VII. Rntirp Agr-mpnt. This instrument contains the entire agreement between the parties,
and no statement, promise, or inducements made by any party or agent of any party that is not
contained in this written contract shall be valid or binding; and this agreement may not be enlarged,
modified, or altered except in writing signed by all the parties and endorsed hereon.
VII. V..nn... Any action at law, suit in equity or judicial proceeding for the enforcement of
this contract or any provision thereof shall be instituted only in the courts of Denton County, Texas.
vm. A~qgJ1mpnt It is agreed by the parties that there will be no assignment of this
agreement without the written consent of all parties.
IX. Noti.."" All notices, corrnnunications, and reports required or permitted under this
:
'.
Agreement shall be personally delivered or mailed to the respective parties by depositing same in
the United States mail to the addresses shown below, certified mail, return receipt requested,
unless otherwise specified herein:
To DEVELOPER:
To CITY:
Robson Denton Development, LP
9532 East Riggs Road
Sun Lakes, AZ 85248
Attention: Peter Gerstman
Edwin M. Snyder
City Attorney's Office
City of Denton
215 East McKinney Street
Denton, Texas 76201
X. r .imit"tion. Notwithstanding anything to the contrary contained herein, the total
liability of Developer for payments under or pursuant to this AgreelIlent, including but not limited to
payment of attorneys' fees, Costs, and any condemnation award, and including but not limited to any
amounts paid towards the Escrow, shall not exceed $425,000"', without additional authorization and
agreement between the parties herein. However, Developer shall be fully responsible for all costs and
expenses and voluntary dismissal judgments (or judgments where dismissal is not available) through the
"shut down" date.
EXECUTED on the date first above written.
CITY OF DENTON, TEXAS
ft/r;tJ0J[\ ~~
Howard Martin \
INTERIM CITY MANAGER
215 E McKinney
Denton, Texas 76201
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
..J
.'
.
"'
APPROVED AS TO LEGAL FORM:
EDWIN SNYDER, CITY A TTO NEY
~
BY:
ROBSON DENTON DEVELOPMENT, LP,
An Arizona Limited Partnership
By: Denton Property Management Company,
An Arizona Corporation doing business in
Texas as Robson Denton Management
Company, its Sole General Partner
BY:
~
Name:
~Yl-I.'" ?/lJuv1v.J
Title:
I/-f.
ATTEST:
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