R2010-087 - 2010-06-28RESOLUTION NO. R2010-87
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PEARLAND,
TEXAS, AUTHORIZING THE CITY MANAGER OR HIS DESIGNEE TO
ENTER INTO A DEVELOPMENT AGREEMENT ASSOCIATED WITH THE
EXTENSION OF DISCOVERY BAY DRIVE.
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS:
Section 1. That certain Development Agreement by and between the City of
Pearland and the Shadow Creek Ranch Development Company, L. P., a copy of which is
attached hereto as Exhibit "A" and made a part hereof for all purposes, is hereby
authorized and approved.
Section 2. That the City Manager or his designee is hereby authorized to execute
and the City Secretary to attest a Development Agreement with the Shadow Creek Ranch
Development Company, L. P.
PASSED, APPROVED and ADOPTED this the 28 day of June, A.D., 2010.
TOM REID
MAYOR
ATTEST:
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APPROVED AS TO FORM:
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DARRIN M. COKER
CITY ATTORNEY
Exhibit "A'"
Resolut�on �lo. R2Q� f�-87
COST SHARING AGPEEI4IENT �'�R
CONSTAUCTIC�I'�I C7F DISCOVERY BA�C" DRTVE EXTENSION
TC� STA'I'E HYGHWAY 288
`I'his C�St Sharing Agreement (the "Agreentent") ia �ade and entered intc� this
28th�,�� a � �une _,�p�Q, by and between t�te CiEy of Pearland, a tnunicipal
corporatzan and home-rule cify of thc �ta�e af Texas (khe "City"}, anci Shado�u Creek
Ranch I)eveloprrtent Catnpany, L.�'., a Neuada Limitec� pa�•tnership (the "S�CDRC"). The
City �nd the SCRI}C are cc�llLCtiv�Iy referred to hereul as fhe "Parties," or i�
as "�'arty.
RECITALS
WHEREAS, the Pa��ics desirc that the extension of Qiscovery Bay Drive frorn
Business Center Larive to Stat� High�vay 28$ �th� "Irr�provements"), �s sho�vn on the
at�ached �achib�t "A," be const anci
WHEREAS, El�e P�rEies d�sirc to entcr into �his Agreement to c�efine their
res�onsibilities anc� fin�ncial ouligati�ns regarc�ulg �he cc�i�.st�°uctian a� �1�
ImpxQVet�lents;
NQW, T�iEREFC7�E, in consideration of khe mutu�l proir�ises, cc�ven�nts,
abii�ations, and bezlefits in this A�eement, the Par�ties agree as foliaws:
AGREEI'viiENT
Section 1 . The recitals set farth above are deciared �rue and cc�rrec� anci aa
hereby incarporated as p,ar� of this Agre��nent.
SecEion 2. �onstr�tetic�r� c�F the In��rc�vement�. Rei��vestment Zone Nu�n�er
Two, City o# Pear�atic�, Texas (the "Zone"}, �as a�€tha�•ized �l�e Tm�ra�ea�zents, wE�ich
��csigns ha�i lieen oi will l�e revieE�v��i and �ppraved by the City and any ather
�pplicable �c�vernmen� a�enci�s. Qn behalf af the Zone, �CP�C wi�I a�n=ar� the canE�act
f�r cc�zzstz��zctic�n c�E th� Improvemen#s as �rovided I�y la�v a�ld, as aufharize��i Uy� the
Zone, wil� provide eonstructzr�n oversi�;ht. The Cit�� �,vill not l�e a parEy tr� the
co�struction canEract and will nc�t prc�vide cunstruction oversight, althoubh the City
shall have klze rig11� �E inspection durin� const�uction �t its cos�.
Sectzc�n 3 . Pa�Irnent of Pa Estimates a�zci Chan e �� de:rs. SCRDC will
receive, revie�v and ap�ar�ve all pay e�timates �nc� ch�n�e artlers fc�r the c�esi�� ��id
c�a��,strtic�ion of tl�e Inlpravcinents {the "Canstruc#ion Costs"), S��DC ��i11 p�y a1i
Cc�ns�rtzctic�n C�sts ciirectly to the confrzctor. SCRDC vw�ill Eor�v�rd �a copy �f �I1 pay
estiinates anc� ch�nge orci�rs t� tl�e City, indic�tiin� SCRDC's apgroval oz� each pay
�s��
cstirnat� or chang� orcier, as �nTell as thz Ciky's participatin�; sh�►re as limitec� uy S�c�ian 4
below, Within 3� �ays of receipt of correspont €rom SCRDC in the form of an
apprc�veci pay estima�e or charl�;e order, the City �vill send a check for i�� partieipating
shaze (50% of eacY� apprc�veci }�ay estimate or chan�e order), made payable fo SGRDC,
to P.O. Sox 9;�3�8, Las Ve�as, t3�V 89193-5398.
5ecfion 4 . AIlocatic�n of Cc�sts The es��natec� C�'onsh�uc�i�n C'asts fc�ar the
Irmprovements, are $�:�Q,000. The City lgrees ta pay 5(}% of the Constructic,n �osts, up
to a to�al cost ta the City af $225,000. The I'arties agree Elzaf, regardless oE the act�al
Consh�xction Costs, t�.ze City wiIl pay na more th�n the lesse� c�E $225,000 or 50a/o of the
Ccanstructio�. Cnsts. �CRDC agrees ta pay a1I Canstruction Costs over and abovE the
am�unt of fh�e City's payn�ents and furthex ag to make a11 payrner�ts directly to the
cont��actor as provided in Sectie�n 3 abov�e.
Section 5, Reimbursemet�t. SCRDC has enterea into a Ief�er �inancing
agreement wi�� the Zone wluc�l provic[es for reimburs�rn��t �� SCRDC fflr the cos� of
tl�e Improvement�. The Parties agree that reimbursenl�nt to SCRDC far the
I�npravements will E�e made l�y the I�evelopmen� Au�hority of Pearl�nci in accordazice
with its contract with �he �one an�i th� City. V1�i�lain 3[} d�ys of reirnbursement to
SCRDC by the �evelopmen� Authority of Pearland €ar the Const�uctzo�l Costs, S�RDC
agrees to reimburse Ehe CiE�� for all payments 1�y the City pursuant to this a�eenZent,
incluc�ling de��eloper interest on sueh amounts, with such deveIaper interest bein�; equai
tQ th� raEe ar�d ternl of devela}�er inferest reimbursed by #h� Develc�pmen� Au.tllorit�r of
Pearland to SCR17C,
Se.cfion 6. Account�n� �# Consh•uction Cost�. SCPDC shall m�inta�n a
sep�raEe accoun�in� of all Construction Costs, and the a�plieation of the Ci€y s
payment(s) to eaeIi pay estirnate or change orcie�° as it is received. SCRDC �r�ill pravitle
t1►is c�acumentation to t�i.e City upon i�eques�.
Section 7 . NQtice The �t��ir��iresses of th� Parties are as �ollaws:
Shac,�ocv Creek Ran�h Develo�ment Camp�ny, L.P.
�ttn: �. Gary Cook
P.C�. B�x 9�398, L�s Ve�;as, N`�I $9193-5398
Ov�rni�ht D�Irvery: 5195 L�s Ve�as 131��c1. So., Las Vebas, N�� �31119
�ax No.: (7fl�2} '�36-�{�21
City oE Pearland
3519 Lil�erty Drive
Pearland, "I'X 775��
Att�: ��r. BiII Eis�n
�ax 1'�c�.� (281} C52-1708
zs�aaa
A�1 notzces r�quireci ar permitted to be �iven uncler tlus A��einent, incluc.�ing
k�il�.ings, from one Party to anatl�er sh�.11 be giv�n �i} in writing ai�d shall �ae seivc�l by
d�pasiting the notice in the LTniteci States mail, postage pre�aid, ad�essed tp the P�.rty
tc� be notified, with r�turn recei�t requested, or (ii} by person� c�elivery of the no�ce, or
{iii) b�� facsrEn�le. Notice given in any other m��tner sha1l be effeci�ve anly upon rece�pt.
"�'he Parties have the rzght €�orn tin�e to tirne ar�c� at an}T time to ehange tlleir respective
aciciresse�, and e�ch sh�ll have the right to spec�Ey as its ac�dress �►y flther adclress by
proviciin� notice of fhe change at least 15 c�ays prio� to iks effectiveness.
Section 8. Assignm:ent. The Parties s�tall �ot haue the ri�ht ta assign their
respec�ivc obligations un�ier the gu�r�ntees described above withauf the prio� written
c�ailsent c�f the fltfier Party. Upon asszgz�nent c�f any �ueh rights, €he assign.ee v�jiT1 l�e
bound by the terms and cc�n�iitians of this Agreemerat anc� shall be res�oitsiUle for its
share under the terrns and condifions containe� herein.
S�ction 9. 'I'ei•m. UnIess termia�ared by rnutual agr��rnei�t of the Parties, this
A� eemenf shall continue in �orec and efEect until r�i.i�.bu�°seivtient is rnac�e tc� �CRDC
and t11e �ity as provicieci in Section 5.
Sectian 1D. Mc�difica�i�n. This Agre�ment shall be subject to chaz�ge or
mociification anly with the muft�al w�itten. consezlt of the Parfies.
Sectioz111. F"arc� Ma�eure. In th�e event �ny �arty is rei�c�ered uila�Ie, tivholly
o�- in part, by Force P,�lajeure to carry out any oE its obligations under thas Agreement,
oEher tllan th� paymezi_E o.E money, EhE��t the oviigations of khlt Party, ti� t11c extent
af�ec�eci. by the Force Majer�re and tn th� exte4lE fhat c�u� c�i�igence i� i�c�u�� used ta
�'esu�ne performanee aE the earliesf practicable t�m�, sl�ail be suspen�ied ciuru�� the
�c�i�tin��nce of any ina�ility so cause��. to �he extent provicled, but Eor no �azlger perioc�.
As scaon as reason�bl� passii�le afEer fihe o�curr�rlcc of th� Faree MaJeure relied upon,
tr�t Party �vhose contractual �bligatic,ns are a_ffectec� �y the �arce Ma�eure sha�i �ve
notice aa1c� fu11 particulars af tize Foree Iviajeure to �he other Parties. Th� catise, as far as
possible, shall be rerriec�i�c.i. `vith �11 reasonable eliii�ence.
[E7CECUTIaN PAGr FQ�LC?�^��5.]
?s�aas
Y1�'HEREC7F, the P�rties have executed this Agxeement it� muitiple courtterparts,
e�.ch of which shall he deerned �a be an original, as of the e�ate anc� year fi�st written
above.
CI'TY �� PEARLAI�+TD, TEXAS
a ham� rule municipality
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ATTEST:
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APPROVED AS TO FOIt�'VI:
By: ��—
City Atfiorney
SHADOW CREEK RAIoTCH 1�EVELOPNIENT
cc��iP��r�r, L.P.
a Nevacia Lirnited Partr�ersi�ap
�y; Shadow Creek Ranch, Inc.
a Nevacia co��c�r�tion, its general partner
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By��--� �
Gary W. ok, President
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