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R83-13 06-27-83CEC /pw RESOLUTION NO. R83 -13 A RESOLUTION OF THE CITY OF PEARLAND, TEXAS, GIVING CONSENT TO THE CREATION OF A MUNICIPAL UTILITY DISTRICT WITHIN ITS EXTRATERRITORIAL JURISDICTION WHEREAS, Section 54.016, Texas Water Code, as amended, provides that no land within the corporate limits of a city or within the extraterritorial jurisdiction of a city, shall be included within a municipal utility district unless the city grants its written consent, by resolution or ordinance, to the inclusion of the land within such a district; and WHEREAS, the City Council of the City of Pearland, Texas, hereby affirmatively finds and determines, that there exists within the extraterritorial jurisdiction of the incorporated City of Pearland, Brazoria County, Texas, areas wherein it is desired that municipal utility districts be created; and WHEREAS, it is now contemplated that such a municipal utility district shall be organized under the authority of Article XVI, Section 59, of the Texas Constitution and in accordance with and having all the powers provided by Chapter 54, Title 4, Texas Water Code, as amended, and WHEREAS, it is proposed that said political sub- division shall be known as Brazoria County Municipal Utility District No. 6 of Brazoria County, Texas; Now, Therefore, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS: 1. That all of the matters and facts set forth in the preamble hereof are true and correct. 2. That upon the following terms and conditions the City Council of the City of Pearland, Texas, hereby specifically gives its written consent, as provided by Section 54.016, Texas Water Code, as amended, to the creation of a municipal utility district within the extraterritorial jurisdiction of said City. Said municipal utility district shall be created by authority of Article XVI, Section 59, Texas Constitution, and in accordance with the provisions of Chapter 54, Texas Water Code, as amended. The municipal utility district shall be named Brazoria County Municipal Utility District No. 6, the boundaries of such District being described by metes and bounds in Exhibit "A" attached hereto and made a part hereof for all purposes. 3. Except to the extent herein set forth, the consent herein granted is conditioned upon the terms, conditions and covenants as follows: (a) That the aforedescribed municipal utility district, and all owners or developers of land within said District, shall abide and adhere to all of the terms and conditions set forth in City of Pearland Ordinance No. 411, as adopted on December 17, 1979, and as amended by Ordinance No. 411 -1 each of which are attached hereto collectively as Exhibit "B" and made a part hereof for all purposes; and (b) That the District shall issue bonds, warrants or other debt obligations, in the manner and to the extent authorized by the Constitution and laws of the State of Texas, for the purpose of providing Police, Fire and Emergency Medical Services to the residents of the District when it is determined by the City and the District issuing such bonds, warrants or other debt obligations that such services are needed for the health, safety and general welfare of the residents of the District; and (c) That the owner or developer of the land within the boundaries of Brazoria County Municipal Utility District No. 6 will covenant and agree that he, they, or it, will develop said areas within said District in accordance with the Conceptual Plan set forth on the Conceptual Plan and in the Contract attached hereto as Exhibits "C" and "D respectively, -2- and made a part of this resolution for all intents and purposes; and (d) That the owner or developer of the land within the boundaries of Brazoria County Municipal Utility District No. 6 will covenant and agree that all developed lots intended for use as single family detached dwellings shall be a minimum size of sixty (60) feet in width and one hundred ten (110) feet in depth; and that all developed lots abutting existing or future easements within the District for high pressure natural gas transmission lines shall have no single family building structure closer than seventy five (75) feet from the nearest boundary of such an easement; and (e) That within thirty (30) days from the date of the Order of the Texas Water Commission creating and organizing the District and prior to the first issue of bonds, notes, warrants or other obligations of the District, the District, City, and the owners or developers of land within the District shall enter into a Contract, a copy of which is attached as Exhibit D, which shall contain all of the provisions set forth in Section 54.016(h), Texas Water Code, and that this requirement shall be in addition to requirements set forth in Ordinance No. 411 hereinabove provided; and (f) That the District may be dissolved and the affairs of the District liquidated at any time before the issuance of any bonds, notes, or other indebted- ness by the District, as provided in Section 54.734, Texas Water Code, as amended, and rules of the Texas Water Development Board notwithstanding any of the conditions set forth above or contained in the Contract to the contrary. Upon such dissolution and -3- liquidation, the conditions set forth and contained in the Contract shall become null and void. 4. That the City Council of the City of Pearland, Texas, hereby specifically gives its consent to and approval of the Contract in all. respects, and authorizes the execution thereof by the Mayor of the City and the attestation thereof by the City Secretary upon receipt of a copy thereof executed by South Freeway /Brazoria, Ltd. S. That this Resolution shall take effect immediately from and after its passage in accordance with the provisions of the Charter of the City of Pearland and it is accordingly so resolved. PASSED AND APPROVED this .47 day of 1983, at a regular meeting of the City Council duly called as required by law. CITY OF RLAND, TEAS By_ TOM REID, Mayor City of Pearland, Texas ATTEST City Secre a y� APPROVED AS TO CONTENT: SOUTH FREEWAY /BRAZORIA, LTD., a Texas Limited Partnership By: a, Title, -4- Brazoria County.MUD No. 6 Page 1 of 3 Lying wholly in Brazoria County, Texas, and being a total of 173.89 acres, more or less, described in two parcels, as follows: PARCEL 1 Being 153.43 acres, more or less, located in the H.T. 6 B.R.R. Company Survey, A -539; being a part of a 15 7.5847 -acre tract conveyed by deed dated December 20, 1973, from R. T. Marshall, Trustee to South Freeway /Brazoria, Ltd., recorded in Volume 1186, Page 198 of the Deed Records of Brazoria County, Texas; all coordinates and bearings herein stated are referred to Texas Plane Coordinate System South Central Zone, as established by the United States Geodetic Survey (U.S.G.S.) in 1934 and based on the position of the U.S.G.S. Triangulation Station "Red Barn" having coordinates of X= 3,154,209.41 and Y= 657,665.37; said 153.43 -acre tract being more particularly described as follows: Beginning at a 3/4 -inch iron rod set in a fence line marking the occupied east right -of -way line of County Road 94, having coordinates X=3,149,571.12 and Y= 641,398.92 same being in the westwardly projection of a fence line found for the occupied south line of the said 157.5847 acre tract, which point bears N 03° 15' 04" W from the center line of the right of way of Countv Road 59, along the west fence line of the 157.5847 -acre tract, also being the east right -of -way line of County Road 94 (60 feet wide), a distance of 2,641 feet. Thence, N 03 15' 04" W 2,532.00 feet to a north- westerly corner, lying in the east right -of -way line of said Countv Road 94. Thence, N 41 44' 56" F. 70.71 feet to a northerly corner, lying in the southerly right -of -way line of County Road 92 (F.M. 3344, 120 feet wide). County Road h92c along (F.M3344) the following courses and distances: of H 86 44' 56" E 82.71 feet to a point of curvature. Easterly along a curve to the right through a central angle of 07 00 00" to a point of tangency, said curve having a radius of 1,849.86 feet, an arc length of 226.00 feet and a long chord length of 225.86 feet bearing S 89 45' 04" E. S 86 15' 04" E 66.76 feet to a point of curvature. Easterly along a curve to the left through a central angle of 07 16' 03 to a point of tangency, said curve having a radius of 1,969.86 feet, an arc length of 249.86 feet, and a long chord length of 249.69 feet bearing S 89 53' 06" E. N 86 28' 53" E 1,946.34 feet to the north- east corner of the herein described tract. Exhibit A Brazoria C Ity MUD No. 6 Page 2 of 3 Thence, S 03 15' 04" E 2,548.77 feet to the southeast corner of the herein described tract. Thence, S 86 37' 25" W 2,620 feet to the point of beginning, lying in the east right -of -way line of County Road 94 (60 feet wide). Containing 153.43 acres of land, more or less. PARCEL 2 Being 20.46 acres, more or less, located in the H.T. B.R.R. Co. Survey, Sec. 81, A -300; all coordinates and bearings herein stated are referred to Texas Plane Coordinate System South Central Zone, as established by the United States Geodetic Survey (U.S.G.S.) in 1934 and based on the position of the U.S.G.S. Triangulation Station "Red Barn" having coordinates X= 3,154,209.41 and Y= 657,665.37; said 20.46 -acre tract being more particularly described as follows: Commencing at a 3/4 -inch iron rod set in a fence line marking the occupied east right -of -way line of County Road 94, having coordinates X= 3,149,571.12 and Y =641,398.92; same being in the westerly projection of a fence line found for the occupied south line of the 1 57.5847 -acre tract conveyed by deed dated December 20, 1973, from R. T. Marshall, Trustee to South Freeway /Brazoria, Ltd., and recorded in Volume 1186, Page 198 of the Deed Records of Brazoria County, Texas; said point bears N 03 15' 04 W, from the center line of the right of way of County Road 59, along the said West fence line of the 1 57.5847 -acre tract; also being the east right -of -way line of County Road 94 (60 feet wide), a distance of 2,641 feet. Thence, S 86° 37' 25" W 60.00 feet to a point for corner, lying in the west right -of -way line of said County Road 94. Thence, N 03° 15' 04" W 1,155.00 feet along the west right -of -way line of the said County Road 94 to the point of beginning and the southeasterly corner of the said 20.46 -acre tract, which is more particularly described as follows: Thence, S 86° 37' 25" W 840.56 feet to the southwest corner, lying in the south line of the 20 -foot wide Pan American Gas Company easement, as recorded in Volume 973, Page 855 of the Deed Records of Brazoria County; also lying in the east right -of -way line of State Highway 288 (420 feet wide). Thence, along the said east right -of -way line of State Highway 288 the following courses and distances: N 03 15' 04" W 249.04 feet to a point of curvature. Northerly along a curve to the right through a central angle of 50 29' 00" to a point of tangency, said curve having a radius of 996.45 feet, an arc length of 878.26 feet and a long chord length of 850.11 feet bearing N 21 59' 56" E. A -2 Brazoria County MUD No. 6 Page 3 of 3 N 470 13' 56" E 99.65 feet to a point of curvature. Northerly along a curve to the left through a central angle of 37° 40' 02" to a north- westerlv corner, said curve having a radius of 446.46 feet, an arc length of 293.51 feet, and a long chord length of 288.25 feet bearing N 28 23' 55" F. N 44 57' 56" E 148.96 feet to a north- westerly corner, lying in the south right -of -way line of County Road 92 (P.M. 3344; 120 feet wide). Thence, N 86° 44' 56" E 88.73 feet to a northerly corner, lying in the southerly right -of -way line of said County Road 92 (FM 3344). Thence, S 48 15' 04" E 70.71 feet to an easterly corner lying in the westerly right -of -way line of County Road 94 (60 feet wide). Thence, 5 03 15' 04" E 1,374.13 feet to the point of beginning, lying in the westerly right -of -way line of said County Road 94. Containing 20.46 acres of land, more or less. A -3 S E P 2 1901 ORDINANCE NO. -4 CR/ W-A AN ORDM :CE OF Ti 12 CITY OF F'..;'....:^ TEXAS, n:­".: 1I:.v n r CREATIO\ OF WATER OR SL':' +1:R DISTRICi,r, WiTMN TIM r:. ;;1�. l;Rll':,. ;i,' JURISDICTION OF TIM CITY; PROVIDI ?:G UEFINITIOUS; CONE AINING GLNER,IL P RC•LATI,NG TO Till; SUBJECT; A SEVERABILITY CLAUSE AND AN EFFECTIVE DATE. 11112REAS, applicable laws of the State of Texas provide that no political subdivision having as one of its purposes the supplying of fresh water for domestic or connnercial uses or the furnishing of sanitary sewer services ray be created within the area of the extraterritorial jurisdiction of any city without the written consent of such city; and WHEREAS, the City Council of the City of Pearland foresees that there will be applicatio and/or petitions for the written consent of the City by proponents of municipal utility districts and other political subdivisions for the creation of districts within the extraterritorial jurisdiction of the City; and 11HERL•AS, the City Council hereby finds, determines and declares that ll it is to the best interests of the City of Pearland and of the territory within its extraterritorial jurisdiction, that the proponents of any municipal utility district or other political subdivision seeking the consent of the City for the creation of any type of district within the area of the extraterritorial juris- diction of the City, should agree and covenant in writing to adhere to specific rules, regulations, and standards as a prerequisite to the granting of consent by the City; and WHEREAS, applicable law provides that the City has authority to formulate rules, regulations and standards and to prescribe same in the City's .Written consent for the creation of districts. within its extraterritorial juris- diction; now, therefore BE IT ORDAINED BY THE CITY COWCIL OF THE CITY OF PEARLAND, TEXAS: I. That all of the matters and facts set forth in the preamble hereof are true and correct. II. The following words and terms whenever used or appearing in this ordinance, in the singular or plural form, shall have the scope and meaning ]sere indicated, unless the context clearly indicates otherwise: I. Aluni jpal 11.ili Di A district created under and subject to the authority, conditions, and restrictions of Article XVI, Section 59, of the Texas Constitution, and in accordance with and having all the powers provided by Chapter 54, Title .4, of the Texas Water Code: 2. Political Subdivision Tho term "Political Subdivision" or "other Political Subdivision" as used in this ordinance shall mean any political sub- division having as one of its purposes the supplying of fresh water for domestic or commercial uses or the furnishing of sanitary set+er services. 3. District. Means a municipal utility district or political subdivisions operating under the laws of the State of Texas. Exhibit B III. Upon the applications and /or petitions by the proponents or zny oseJ political subdivision or r.,an_c:;.," t?lity district to the city Council for its written consent for the creation of a district within the extra- territorial jurisdiction of the City, the City Council shall consider all factors relevant to the creation of such district, and if, upon the basis of its consideration find deliberations, it determines that such consent shall be granted, the written consent, by resolution or ordinance, shall provide that the proponents of such political subdivision or municipal utility district shall adhere to all of the rules, regulations, and standards contained in this ordinance, all applicable rules, regulations, standards, and laws of the State of Texas, and any other covenants, agreements, and conditions that may be agreeable by the parties and contained in the written consent. IV. As a prerequisite to the grant of written consent to a proponent of any political subdivision or municipal utility district for the creation of a district within the area of the extraterritorial jurisdiction of the City, the proponent shall agree and covenant in writing to adhere to the following specific rules, regulations, and standards: A. Bonds: Bonds may be issued by the district only for the purpose of purchasing and constructing, or purchasing or constructing, or under contract with the City of Pearland, or otherwise acquiring waterworks systems, sanitary sewer systems, sewage treatment facilities, storm sewer systems and drainage .facilities, or parts of such systems or facilities, and to make any and all necessary purchases, construction, improvements, extensions, additions and repairs thereto, and to purchase or acquire all necessary lands, right -of -way easements, sites, equipment, buildings, plants, structures and facilities therefor, and to operate and maintain same, and to sell water, sanitary sower, and other services within or without the boundaries of the 'district. All district bonds shall expressly provide that the district shall reserve the right to redeem said bonds on any interest payment date subsequent to the tenth (loth) anniversary of the date of issuance at a premium not to exceed two and one -half (211) p'ercent of par value reducing one half 0-1) of one percent of par value each year theroafter to par value. Bonds (other than refunding bonds and bonds sold to a federal or state agency) shall by sold only after the taking of public bids therefor, and no bonds shall be sold for less than ninety -five (95) Percent of par, provided the not effective interest rate on bonds so sold, raking into account any discount or premium as well as the interest rate borne by such bonds, shall not exceed two (2) percent above the highest average intere rttc reported by the "sally Rond Buyer" in its wr.ekly "20 Bond Indes" during the thirty -day period next preceding the date of sale of the bonds. Bids for the bonds will be received not more than forty -five (45) days after notice of sale of the bonds is given. The order or resolution of the district authorizing the issuance of all refunding bonds of the district shall be approved by the City Council of the City. The district's rosolution nuthoritin; the issuance of its bonds will contain a provision that the pledge of the revenues from the Operation of the district's water and sewer and /or drainage systek to the p.aymen D-2 ATTACHMENT or some other city annexes the 'district, takes over the assets of the district and assumes all of the obligations of the district. No land will be added or a .nexed .o Lhc dis:.._. _nt" City ':arland h::,, by resolution of the City Council to such addition or annexation. B. Plans and Specifications: Before the commencement of any construction within the district, the district, its directors, officers or the developers and landowners shall submit to the City or its designated represent- ative all plans and specifications for the construction of water, sanitary sewer and drainage facilities to serve such district and obtain the approval of such plans and specifications by the City. All water wells, water meters, flush valves, valves, pipes, and appurtenances installed or used within the district shall conform exactly to the specifications of the City. All water service lines and sewer service lines, lift stations, sewage treatment facilities, and appurtenances thereto, installed or used within the district shall comply with the City's standard plans and specifications. Prior to the construction of such facilities within the district, the district, or its engineer, shall give writte notice to the City stating the date that such construction will be commenced. The construction of the district's water, sanitary sewer and drainage facilities shall be in accordance with the approved plans and specifications and with applicable standards and specifications of the City, and during the progress of the construction and installation of such facilities,'the City or an employee, or a designated agent thereof, may make periodic on- the ground inspections. As a further definition of the terms used in this paragraph;• specific mention of the fact is made that "plans and'specifications," "standard plans and specifi- cations," "approved plans and specifications," or "applicable standards and specifications" are defined to mean and to require City approval only of the method of construction and types of materials to be employed therein by the district and are not meant to limit the discretion of the board of directors of the district to determine what facilities may be constructed, paid for and maintained by the district. C. Plat Approval: The owner or developer of the land within the district shall covenant and agree that he or they will, prior to the sale of any residential lot, obtain the approval of the planning and zoning commission and the City Council, if normally required, of a plat thereof and properly record it in the decd records. The district will not provide water and sewer service to a residential lot unless the plat covering such lot has been approved by the planning and zoning co- aission and the City Council. n. Inspection and nvrorts: Full -time resident inspection shall be �arI=I: co nstructiun rerioJ by 4istrict inspe ctors approved by the !svor of the City, which inspectors shall be removed upon request by the Mayor, if found not to be satisfactory. In addition, an additional inspector or inspectors shall be furnished, if deemed necessary by the City Engineer. Daily inspection reports will be kept on file by the district's engineer. �1 A!Dnthll' inspection reports shall be furnished to the City. All construction contracts shall be let on a competitive bidding basis with the contract to be a� irJcd on the basis of the lowest and best bid by a responsible eo►npctent B -3 AYTACHMENT contractor, unless otherwise approved by the City, which bid shall include evidence of the financial condi-tion of the bidders. Bid bonds, payment bonds, Upon completion of construction, submission of a complete set of "as uuilL" plans to the City by the L•ngineer for the district shall be required. E. Initial Board: At least one of the members of the initial board of directors shall be a person selected by the City Council. F. Bond Escrow: The district shall not be permitted to'escrow any funds in excess of two (2) years interest on the bonds which the district issues and shall levy a tax simultaneously with the first installment of such bonds and will continue a tax levy until such bonds are paid in full, unless the revenues of the system are adequate to discharge such bonds. G. Bond Sales: Prior to the sale of any series of district bonds, the district shall secure a letter of the Mayor to the effect that the district is in compliance with this article, and a letter of the Mayor addressed to the Attorney General of Texas approving the form of the resolution or order of the board of directors authorizing the issuance of any bonds of the district absent the interest rates on and sales price of the bonds. H. Utility Rates: The district will use its best efforts to charge rates for water and sewer service not less than the rates charged by the City to its customers. 1. City Recommendations: The City of Pearlind will make recommendat: to the board of the district and'its financial advisor as to the amount of bonds that should be authorized, the installment sale of such authorization, the maturity schedule of each installment, the optional provisions to be contained in such bonds, and the sale and delivery of the district bonds. J. Utility Operations: The district will have its water and sewer system operated and maintained by the City, if both the City and the district can agree upon mutually satisfactory terms and conditions. K. Deposit: Within six (6) months after consent to the creation of a district is given by the City or within six (6) months after the district holds a bond election, whichever is the later, the district shall pay Twenty. Thousand Dollars ($20,000.00) to reimburse the City for all of its fiscal, legal and engineering fees and expenses relating to: (1) necessity and feasibility of the creation of the district; (2) the financial advisory services described in Subsection (I) hereof; (3) the City's review of plans and specifications of the district's facilities; and (4) supervision of inspection of.distriet's facilitie Tlic district shall also be obligated to pay ndditional -expenses incurred,by the City for the foregoing not to exceed the additional sum of Five Thousand Dollars (55, 000. 00) Such sum shall be used by the City for the purpose of paying said costs incurred for that purpose. If any part of the deposit is not needed for t)-.c purpose of paying sneh fees and expenses, it shall be returned forthu+ith to the district. No interest will be allowed on any deposit. It is understood that the fees and expenses paid will be those actually incurred_ by the City and the City will make an accounting to the district. The persons requesting City's B -4 ATYACHIIEW consent to the creation of -a district shall be obligated to guarantee the payment: a I- strict a5 st•. f.. th in this S_stion. V. If for any reason any section•, paragraph, subdivision, clause, phrase, Lord, or provision of this Ordinance shall be held invalid or unconstitutional by final judgment of a Court of competent jurisdiction, it shall not affect any other section, paragraph, subdivision, clause, phrase, word, or provision of this Ordinance, for it is the definite intent of this City Council that every section, paragraph, subdivision, clause, phrase, word, or provision hereof be given full force and effect for its purpose. VI. It is the intention of the City Council, -and it is hereby ordained, that the provisions of this Ordinance shall become and be made a part of the Code of Ordinances of the City of Pearland, Texas, and the sections of this Ordinance may be renumbered to accomplish such intentions, and the Code of Ordinances of the City is hereby expressly amended so as to include the provision of this Ordinance. VII. This Ordinance shall take effect from and after the second and final reading. PASSED AND APPROVED ON FIRST READING this .3 day of A. D., 1979. Mayor, City of Pearland, Texas ATTEST Q City Secretary PASSED, APPROVED, AND ADOPTED ON SECOND AND FINAL READING this l;�_7 day of i ce y A. D., 1979. Mayor, City of Pearland, Texas A'r rEST: AYTACHMENT 13-5 a -,171 ORDINANCE NO. 411 -1 AN ORDINANCE AMENDING CHAPTER 30 OF THE CODE OF ORDINANCES OF THE CITY OF PEARLAND, TEXAS, BY ADDING AND DELETING SPECIFIC SECTIONS THERETO; PRO- VIDING FOR AN EFFECTIVE DATE AND CONTAINING OTHER PROVISIONS RELATING TO THE SUBJECT. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS: SECTION I That Section 30-7.3 Subsection (C), of Article IV, Chapter 30, entitled "Approval of Mayor of Sale of Bonds," of the Code of Ordinances of the City of Pearland, Texas, be and the same is hereby amended to hereafter read as follows: "(C) Approval of Mayor of Sale of Bonds Prior to the sale of any series of district bonds, the district shall secure a letter of the Mayor to the effect that the district is in compliance with this article, and a letter of the Mayor addressed to the Attorney General of Texas approving or objecting to the issuance of any bonds of the district." SECTION II If any section, paragraph, clause, or sentence shall be declared void or unenforceable or unconstitutional, it is hereby declared the intention of the City Council of the CITY OF PEARLAND, TEXAS, that the remainder of such ordinance shall remain in full force and effect. SECTION III It is the intention of the City Council, and it is hereby ordained, that the provisions of this Ordinance shall be made part of the Code of Ordinances of the CITY OF PEARLAND, TEXAS, and the sections of this Ordinance may be renumbered to accomplish such intention. B -6 SECTION IV All provisions of the Code of Ordinances of t'ne CITY OF PEARLAND, TEXAS, in conflict with amendments herein made are hereby expressly repealed to the extent of such conflict. SECTION V This Ordinance shall be effective and in full force on its passage and approval on second and final reading. PASSED and APPROVED ON FIRST READING this day of 1101,, t� J P 1982. CITY OF PEARLAND, TEXAS ATTEST: as J. Reid, Ma r City Secret ry PASSED and APPROVED ON SECOND and FINAL READING thi day of Lz,L, 1982. CITY OF PEARLAN D, T ATTEST: Thomas J. Reid, Ma or ity Secreta APPROVED AS TO FOREST: BOBB idILLIAMS, Cit ttorney B -7 qw c 3 i i 1 j m z d •r YIOY��ff N/107 �e err JJr1 rf noi Exhibit C =a •sir I Drat ffrno� I I1 Leo r joo -ao.ra I ti fr r e a I it Y y i yYA �i c 3 i i 1 j m z d •r YIOY��ff N/107 �e err JJr1 rf noi Exhibit C CEC /lw CONTRACT BY AND AMONG BRAZORIA COUNTY MUNICIPAL UTILITY DISTRICT NO. 6 SOUTHWEST FREEWAY BRAZORIA, LTD. AND THE CITY OF PEARLAND, TEXAS THE STATE OF TEXAS KNOW ALL MEN BY THESE PRESENTS: COUNTY OF BRAZORIA That this CONTRACT (the "Contract made and entered into by and between BRAZORIA COUNTY MUNICIPAL UTILITY DISTRICT NO. 6 (the "District a political subdivision of the State of Texas, organized under Article XVI, Section 59 of the Constitution of the State of Texas and operating under the provisions of Chapter 54, Texas Water Code, as amended, SOUTHWEST FREEWAY BRAZORIA, LTD. (the "Developer a Texas limited partnership, and the CITY OF PEARLAND, Texas (the "City a home rule city. W I T N E S S E T H: WHEREAS, by Petition, dated January 10, 1983, the Developer has requested that the City grant its consent to the creation of the District upon the terms and conditions specified therein; WHEREAS, pursuant to Section 54.016(e), Texas Water Code, the City may provide certain conditions upon the creation of the District in its written consent to the inclusion of land within the District; WHEREAS, pursuant to Section 54.016(h), Texas Water Code, as amended, a city with a population of 1 million or less may provide in its written consent for the inclusion of land in a municipal utility district that after annexation the city may set rates for water and /or sewer services for property that was within the territorial boundary of such district at the time of annexation, which rates may vary from those for other properties within the city for the purpose of wholly or partially compensating the city for the assumption of obligation under the Code providing that: (1) such written consent contains a contract entered into by the city and the persons petitioning for creation of the district setting forth the time and/or the conditions of annexation by the city which annexation shall not occur prior to the installation of 90 percent of the facilities for which district bonds were authorized in the written consent; and that (2) the contract sets forth the basis on which rates are to be charged for water and /or sewer services following annexation and the length of time they may vary from those rates charged elsewhere in the city; and that (3) the contract may set forth the time, conditions, or lands to be annexed by the district; and that (A)(A) each purchaser of land within a district which has entered into a contract with a city concerning water and /or sewer rates as set forth herein shall be furnished by the seller at or prior to the final closing of the sale and purchase with a separate written notice, executed and acknowledged by the seller, which shall contain the following information: (i) the basis on which the monthly water and /or sewer rate is to be charged under the contract stated as a percentage of the water and /or sewer rates of the city; (ii) the length of time such rates will be in effect; (iii) the time and /or conditions of annexation by the city implementing such rates. WHEREAS, it is in the mutual financial best interests of the City, the Developer, and the District that substantial development of the property "Property within the District and construction of taxable improvements thereon occur prior to annexation of the District and assumption of its financial obligations by the City; and -2- WHEREAS, although the City has established and adopted a definitive Land Use and Urban Development Ordinance in connection with the regulation and control of development within its corporate jurisdiction, it has no ordinance authority relating to the regulation and control of development within its extraterritorial jurisdiction; WHEREAS, the Developer and the City now wish to establish a definitive basis for: (a) the land use and development density of the Property to be located within the City's extraterritorial jurisdiction and the boundaries of the District; (b) the rates to be charged for water and /or sewer service following annexation of the land within the District and the length of time that such rates may vary from those rates charged elsewhere in the City; and (c) the time, conditions, and land to be annexed by the City; WHEREAS, the Developer, the City and the District, upon the District's creation, wish to establish a definitive basis for water and sewer service rates, utility construction, and the financing of such utility construction; WHEREAS, it has been determined that the parties are authorized to enter into this Contract pursuant to the authority granted by Section 54.016(h) and Section 54.218 of the Texas Water Code; and the Interlocal Cooperation Act, Article 4413(32c), Vernon's Taxes Civil Statutes, as amended. WHEREAS, it is contemplated that within thirty (30) days from the Creation Date (hereunder defined) the District will execute and become a party to this Contract and assume its duties, obligation, benefits, and privileges hereunder. NOW, THEREFORE, FOR AND IN CONSIDERATION of the mutual premises, obligations, and benefits hereinafter set forth, the receipt and adequacy of which is hereby acknowledged, the City, the District, and the Developer, contract and agree as follows: -3- ARTICLE I Unless the context requires otherwise, the following terms and phrases used in this Contract shall have meanings as follows: Section 1.01. The term "Bonds" shall mean the issue or issues of unlimited tax bonds, combination unlimited tax and revenue bonds, or other obligations of the District which are hereafter to be authorized at the initial bond election to be conducted subsequent to the Creation Date, and issued and sold by the District pursuant to the provisions of this Contract and the provisions of Chapter 54 of the Texas Water Code, as amended, for the purposes provided in this Contract, and any refunding bonds issued in lieu thereof. Section 1.02. The term "City" shall mean the City of Pearland, Texas. Section 1.03. The term "Code" shall mean the City's Code of Ordinances. Section 1.04. The term "Consent Date" shall mean the date of the ordinance or resolution granting the consent of the City to the creation of the District. Section 1.05. The term "Creation Date" shall mean the date of the Order of the Texas Water Commission creating and organizing the District. Section 1.06. "Developer" shall mean Southwest Freeway /Brazoria, Ltd., and its successors and assigns as permitted hereunder. Section 1.07. The term "District" shall mean Brazoria County Municipal Utility District No. 6. Section 1.08. The term "Facilities" shall mean all the fresh water, sanitary sewer, and drainage facilities required to be constructed to serve the District, including, but not limited to all water facilities, lines and appurtenances, any sewage treatment plant and capacity in such plant, sanitary sewers and -4- appurtenances, and all concrete pipe, storm sewers, detention ponds, drainage ditches and appurtenances, all as established in the Engineer's Report to be prepared in connection with the initial bond election to be conducted subsequent to the Creation Date. Section 1.09. The term "Property" shall mean the real property which is located within the District's boundaries as described on Exhibit A attached hereto and incorporated herein for all purposes. ARTICLE II Developer Rights and Responsibilities Section 2.01. Desi nation of Land Use. The Developer hereby designates the anticipated land uses for the Property and establishes an estimate of the total acreage for each such land use, all as shown on Exhibit B attached hereto incorporated herein for all purposes. Section 2.02. Limitation of Development Density The Developer shall not develop the Property in such a manner as to exceed a total number of dwelling units per acre or its equiva- lent for each land use designated based upon the following: 21.78 dwelling units per acre for multi- family residential development; 4.5 dwelling units per acre for single family residential development; and the maximum number of dwelling unit equivalents per acre permitted by the City's Code in effect as of the Consent Date for forms of land use other than residential. The Developer further agrees that all lots which it develops that are intended for use as single family detached dwellings shall be of a minimum size of sixty (60) feet in width and one hundred ten (110) feet in depth, and further that all such lots abutting existing or future easements within the District for high pressure natural gas transmission lines shall have no single family building structure closer than seventy five (75) feet from the nearest boundary of such easement. -5- Section 2.03. Utility Construction The Developer agrees to cause the District to provide for the acquisition or construction in stages as needed, of all water supply and waste treatment plants and facilities comprising the Facilities as may be necessary to serve the Property based upon the total number of dwelling units or dwelling unit equivalents, as designated in Sections 2.02 and 4.01 hereof, and design requirements of the City and Texas Department of Health. The Developer further agrees to cause the District to provide for the acquisition or construction in stages as needed, all drainage facilities, ditches, and detention ponds as may be required by the Code or Brazoria County to properly serve the Property based upon the total number of dwelling units or dwelling unit equivalents as calculated in Sections 2.01 and 4.01 hereof. Section 2.04. Notice of Water and /or Sewer Service Rates The Developer hereby agrees that with respect to each sale by it of a parcel of land comprising the Property, the Developer shall furnish to its purchaser at or prior to the final closing of the sale and purchase with a separate written notice in accordance with the requirements of Section 54.016(h)(4)(A), Texas Water Code. Section 2.05. Execution by District Within thirty (30) days from the Creation Date, the Developer agrees to use its best efforts to secure the execution of this Contract by the District, recognizing that the District is an independent governmental agency, and political subdivision of the State of Texas. ARTICLE III District Rights and Responsibilities Section 3.01. Assignment Within thirty (30) days following the the Creation Date, the Developer shall assign and, by the execution hereof, the District shall accede to all rights of the Developer created hereunder in Section 2.03, along with -6- any and all duties appurtenant thereto. Such assignment is unrestricted, unqualified, and shall take effect automatically without further written agreement between any of the parties hereto. The City, by execution of this Contract, recognizes and approves of such assignment by the Developer to the District. Section 3.02. Utility Construction The District shall agree to acquire or construct, in stages as needed, all water supply and waste treatment plants and facilities comprising the Facilities as may be necessary to serve the Property based upon the total number of dwelling units or dwelling unit equivalents to be designated in Sections 2.01 and 4.01 hereof and design requirements of the City and Texas Department of Health. The District further agrees to acquire or construct, in stages as needed, all drainage facilities, ditches, and detention ponds comprising the Facilities as may be required by the Code or Brazoria County to properly serve the Property based upon the total number of dwelling units or dwelling unit equivalents as calculated in Sections 2.01 and 4.01 hereof. Section 3.03. Financing of Utility Construction. In the event that the District shall issue its Bonds in multiple series to finance the acquisition or construction of the Facilities in phases, the initial series of Bonds shall be issued and the initial phase of the Facilities completed within ten (10) years from the Consent Date. Any subsequent series of bonds shall be issued and the acquisition of the remainder of the Facilities completed by the District within fifteen (15) years from the Consent Date. ARTICLE IV City Rights and Responsibilities Section 4.01. Limitation of Development Density (a) The City hereby agrees to a total number of dwelling units per acre or its equivalent for each land use designated by the Developer on Exhibit B based upon the -7- following: 21.78 dwelling units per acre for multi family residental development; 4.5 dwelling units per acre for single family residential development; and the maximum number of dwelling unit equivalents per acre permitted by the City's Code in effect as of the Consent Date for forms of land use other than residential. (b) The City further agrees that the maximum number of dwelling units per acre for multi family and single family residential development for the Property shall be based upon gross acreage (i.e. for purposes of calculating the total number of dwelling units permitted for each acre, acreage attributable to utility easements, roads and streets, detention ponds, and ditches will be included). (c) The City further agrees to the maximum number of dwelling units or dwelling unit equivalents per acre for each land use designated by the Developer on Exhibit B and the Developer shall have the right to allocate such units or equivalent units over the Property at any density per acre as long as total dwelling units or equivalent units for the Property as calculated pursuant to Section 4.01 hereof is not exceeded. (d) The City further agrees that the specific acreage designated in Sections 2.01 and 4.01 are subject to changes of an immaterial nature for engineering reasons, easement locations, and depending upon the final land plan and utility layout. Section 4.02. Water and /or Sewer Service Rates It is hereby acknowledged and agreed that following annexation of the Property by the City, the City will charge for water and sewer services provided to customers and users within the Property. It is further agreed and acknowledged that, at the City's option, such rates vary from those charged for other properties elsewhere in the City for the purpose of wholly or partially compensating the City for the assumption of obligations of the District. The City may at its option charge such rates only in the event that upon annexation of the Property the City is required to -6- assume outstanding Bonds of the District. Finally, such rates may be charged, at the option of the City, from the date of annexation until such Bonds are paid by the City. Section 4.03. Notice and Effect of Annexation The City hereby agrees that in the event that the City shall annex the Property, the agreements with respect to land use and development density set forth herein shall remain in full force and effect subsequent to such annexation. The City hereby agrees to give the District and the Developer eighteen (16) months written notice of its intent to annex the Property. Section 4.04. Conditions to Annexation The City hereby expressly covenants and agrees that annexation of the Property shall not occur (a) prior to (i) the installation of Facilities by the District sufficient to serve ninety percent (90 of the total aggregate number of equivalent dwelling units of the District calculated at the maximum densities established in the foregoing Sections 2.01 and 4.01 hereof, and (ii) the issuance of Bonds in an amount sufficient to finance the Facilities required by the preceding phrase or (b) until the fifteenth (15th) anniversary date of the Consent Date, whichever shall first occur. ARTICLE V Miscellaneous Terms Section 5.01. Applicable Law This Contract shall be subject to all valid rules, regulations, and laws applicable hereto passed or promulgated by the United States of America, the State of Texas, or any governmental body or agency having lawful jurisdiction or the authorized representative or agency or any of them. Section 5.02. Amendment This Contract may be changed or modified only with the consent of each party hereto, which consent shall not be unreasonably withheld. -9- Section 5.03. Assignment This Contract may be assigned only with the consent of each party hereto, which consent shall not be unreasonably withheld. Section 5.04. Notice Any required notice which may be given pursuant to this Contract shall, until due notice has been given of a change of address, be in writing and sent by certified mail, postage prepaid to the following addresses: If to the City: City of Pearland P. 0. Box 1157 Pearland, Texas 77581 Attention: City Manager If to the Developer: South Freeway /Brazoria, Ltd. 4600 Post Oak Place Drive Suite 305 Houston, Texas 77027 Attention: General Partner If to the District: Brazoria County Municipal Utility District No. 6 1811 Houston Natural Gas Building 1200 Travis Street Houston, Texas 77002 Attention: President Section 5.05. Term Unless sooner terminated pursuant to the provision hereof, this Contract shall remain in effect for a period of forty (40) years from the date hereof. Section 5.06. Evidence and Form of Consent All consents and approvals to be given by any party hereto shall be by written resolution of its governing body or a person authorized to give such consent or approval and shall not be unreasonably withheld. Section 5.07. Severability If any one or more of the articles, sections, provisions, clauses, or words of this Contract shall for any reason be held to be invalid, such invalidity shall not affect any other articles, sections, provisions, clauses, or words of this Contract, and the parties hereto agree that they would have entered into this Contract regardless of such invalidity. -10- Section 5.08. Binding Nature of Contract Upon the execution hereof by two of the parties, it is agreed that this Contract and its terms and provisions shall be binding upon such parties as if all of the parties hereto executed the Contract simultaneously. Section 5.09. Due Authorization This Contract and all its provisions have been executed by the District and the City, each by virtue of action taken by its governing body pursuant to law and has been executed and attested by its duly authorized officers, upon and by authority of an order passed at a meeting of its governing body. This Contract and all its provisions have been executed by the Developer by virtue of and in accordance with due authorization. EXECUTED BY THE CITY IN MULTIPLE COPIES, each of equal force, and effective this ry day of 1983. CITY OF PE LAND, T X S Mayor ATTEST City erk (SEAL) EXECUTED BY THE DEVELOP R IN MULTIPLE COPIES, each of equal force and effective this R,b day of jujq 1983. SOUT S FREEWAY P RAZORIA, LTD. By 7 Titl ATTEST: -11- EXECUTED BY THE DISTRICT IN MULTIPLE COPIES, each of equal force, and effective this day of 198 BRAZORIA COUNTY MUNICIPAL UTILITY DISTRICT NO. 6 By President, Board of Directors ATTEST: Secretary, Board of Directors (SEAL) -12- Brazoria County MUD No. 6 Page 1 of 3 Lying wholly in Brazoria County, Texas, and being a total of 173.89 acres, more or less, described in two parcels, as follows: PARCEL 1 Being 153.43 acres, more or less, located in the H.T. B.R.R. Company Survey, A -539; being a part of a 1 57.5847 -acre tract conveyed by deed dated December 20, 1973, from R. T. Marshall, Trustee to South Freeway /Brazoria, Ltd., recorded in Volume 1186, Page 198 of the Deed Records of Brazoria County, Texas; all coordinates and bearings herein stated are referred to Texas Plane Coordinate System South Central Zone, as established by the United States Geodetic Survey (U.S.G.S.) in 1934 and based on the position of the U.S.G.S. Triangulation Station "Red Barn" having coordinates of X= 3,154,209.41 and Y= 657,665.37; said 1 53.43 -acre tract being more particularly described as follows: Beginning at a 3/4 -inch iron rod set in a fence line marking the occupied east right -of -way line of County Road 94, having coordinates X= 3,149,571.12 and Y= 641,398.92; same being in the westwardly projection of a fence line found for the occupied south line of the said 1 57.5847 -acre tract, which point bears N 03° 15' 04 W from the center line of the right of way of County Road 59, along the west fence line of the 157.5847 -acne tract, also being the east right -of -way line of County Road 94 (60 feet wide), a distance of 2,641 feet. Thence, N 03 15' 04" W 2,532.00 feet to a north- westerly corner, lying in the east right -of -way line of said County Road 94. Thence, N 41° 44' 56" E 70.71 feet to a northerly corner, lying in the southerly right -of -way line of County Road 92 (F -M. 3344, 120 feet wide). Thence, along the said south right -of -way line of County Road 92 (F.M. 3344) the following courses and distances: N 86" 44' 56" E 82.71 feet to a point of curvature. Easterly along a curve to the right through a central angle of 07 00' 00" to a point of tangency, said curve having a radius of 1,849.86 feet, an arc length of 226.00 feet and a long chord length of 225.86 feet bearing S 89 45' 04" E. S 86 15' 04" E 66.76 feet to a point of curvature. Easterly along a curve to the left through a central angle of 07 16' 03" to a point of tangency, said curve having a radius of 1,969.86 feet, an arc length of 249.86 feet, and a long chord length of 249.69 feet bearing S 89 53' 06" E. N 86 28' 53" E 1,946.34 feet to the north- east corner of the herein described tract. Exhibit A Brazoria Cc ty MUD No. 6 Page 2 of 3 Thence, S 03 15' 04" E 2,548.77 feet to the southeast corner of the herein described tract. Thence, S 86 37' 25 W 2,620 feet to the point of beginning, lying in the east right -of -way line of County Road 94 f60 feet wide). Containing 153.43 acres of land, more or less. PARCEL 2 Being 20.46 acres, more or less, located in the H.T. B.R.R. Co. Survey, Sec. 81, A -300; all coordinates and bearings herein stated are referred to Texas Plane Coordinate System South Central Zone, as established by the United States Geodetic Survey (U.S.G.S.) in 1934 and based on the position of the U.S.G.S. Triangulation Station "Red Barn" having coordinates X= 3,154,209.41 and Y= 657,665.37; said 20.46 -acre tract being more particularly described as follows: Commencing at 3/4-inch marking the OccupOccupied eastrightf way line s of County e Road l 94, having coordinates X= 3,149,571,12 and Y= 641,398.92; same being in the westerly projection of a fence line found for the occupied south line of the 157.5847 -acre tract conveyed by deed dated December 20, 1973, from R. T. Marshall, Trustee to South Freeway /Brazoria, Ltd., and recorded in Volume 1186, Page 198 of the Deed Records of Brazoria County, Texas; said point bears N 03° 15' 04" W, from the center line of the right of way of County Road 59, along the said West fence line of the 1 57.5847 -acre tract; also being the east right -of -way line of County Road 94 (60 feet wide), a distance of 2,641 feet. Thence, S 86 37' 25" to 60.00 feet to a point for corner, lying in the west right -of -way line of said County Road 94. Thence, N 03 15' 04" W 1,155.00 feet along the west right -of -way line of the said County Road 94 to the point of beginning and the southeasterly corner of the said 20.46 -acre tract, which is more particularly described as follows: Thence, S 86° 37' 25" W 840.56 feet to the southwest corner, lying in the south line of the 20 -foot wide Pan American Gas Company easement, as recorded in Volume 973, Page 855 of the Deed Records of Brazoria County; also lying in the east right -of -way line of State Highway 288 (420 feet wide). Thence, along the said east right -of -way line of State Highway 288 the following courses and distances: N 03 15' 04" W 249.04 feet to a point of curvature. Northerly along a curve to the right through a central angle of 50 29' 00" to a point of tangency, said curve having a radius of 996.45 feet, an arc length of 878.26 feet and a long chord length of 850.11 feet bearing N 21° 59' 56" E. A -2 Srazoria 'ounty MUD No. 6 Page 3 of N 47 13' 56" E 99.65 feet to a point of curvature. Northerly along a curve to the left through a central angle of 37 40' 02" to a north- westerly corner, said curve having a radius of 446.46 feet, an arc length of 293.51 feet, and a long chord length of 288.25 feet bearing N 28 23' 55" F. N 44 57' 56" E 146.96 feet to a north- westerly corner, lying in the south right -of -way line of County Road 92 (P.M. 3344; 120 feet wide). Thence, N 86 44' 56 E 88.73 feet to a northerly corner, lying in the southerly right -of -way line of said County Road 92 (FM 3344). Thence, S 48 15' 04" F. 70.71 feet to an easterly corner lying in the westerly right -of -way line of County Road 94 (60 feet wide). T hence beginning, lyingin t�he w s ly right- oflwayeline of said o County Road 94. Containing 20.46 acres of land, more or less. A -3 :o li I �IOO.CC.q�. i tX I ch r: •tg i Elf 3 11 3 e 7 I �F_ Y t; tt Y. V [iY n i 3 L t ...�r•� •r nor" Exhibit B s I CEC/ lw CONTRACT BY AND AMONG BRAZORIA COUNTY MUNICIPAL UTILITY DISTRICT NO. 6 SOUTHWEST FREEWAY BRAZORIA, LTD. AND THE CITY OF PEARLAND, TEXAS THE STATE OF TEXAS 5 5 KNOW ALL MEN BY THESE PRESENTS: COUNTY OF BRAZORIA 5 That this CONTRACT (the "Contract made and entered into by and between BRAZORIA COUNTY MUNICIPAL UTILITY DISTRICT NO. 6 (the "District a political subdivision of the State of Texas, organized under Article XVI, Section 59 of the Constitution of the State of Texas and operating under the provisions of Chapter 54, Texas Water Code, as amended, SOUTHWEST FREEWAY BRAZORIA, LTD. (the "Developer a Texas limited partnership, and the CITY OF PEARLAND, Texas (the "City a home rule city. W I T N E S S E T H: WHEREAS, by Petition, dated January 10, 1983, the Developer has requested that the City grant its consent to the creation of the District upon the terms and conditions specified therein; WHEREAS, pursuant to Section 54.016(e), Texas Water Code, the City may provide certain conditions upon the creation of the District in its written consent to the inclusion of land within the District; WHEREAS, pursuant to Section 54.016(h), Texas Water Code, as amended, a city with a population of I; million or less may provide in its written consent for the inclusion of land in a municipal utility district that after annexation the city may set rates for water and /or sewer services for property that was Exhibit D within the territorial boundary of such district at the time of annexation, which rates may vary from those for other properties within the city for the purpose of wholly or partially compensating the city for the assumption of obligation under the Code providing that: (1) such written consent contains a contract entered into by the city and the persons petitioning for creation of the district setting forth the time and /or the conditions of annexation by the city which annexation shall not occur prior to the installation of 90 percent of the facilities for which district bonds were authorized in the written consent; and that (2) the contract sets forth the basis on which rates are to be charged for water and /or sewer services following annexation and the length of time they may vary from those rates charged elsewhere in the city; and that (3) the contract may set forth the time, conditions, or lands to be annexed by the district; and that (4)(A) each purchaser of land within a district which has entered into a contract with a city concerning water and /or sewer rates as set forth herein shall be furnished by the seller at or prior to the final closing of the sale and purchase with a separate written notice, executed and acknowledged by the seller, which shall contain the following information: (i) the basis on which the monthly water and /or sewer rate is to be charged under the contract stated as a percentage of the water and /or sewer rates of the city; (ii) the length of time such rates will be in effect; (iii) the time and /or conditions of annexation by the city implementing such rates. WHEREAS, it is in the mutual financial best interests of the City, the Developer, and the District that substantial development of the property "Property within the District and construction of taxable improvements thereon occur prior to annexation of the District and assumption of its financial obligations by the City; and -D2- WHEREAS, although the City has established and adopted a definitive Land Use and Urban Development Ordinance in connection with the regulation and control of development within its corporate jurisdiction, it has no ordinance authority relating to the regulation and control of development within its extraterritorial jurisdiction; WHEREAS, the Developer and the City now wish to establish a definitive basis for: (a) the land use and development density of the Property to be located within the City's extraterritorial jurisdiction and the boundaries of the District; (b) the rates to be charged for water and /or sewer service following annexation of the land within the District and the length of time that such rates may vary from those rates charged elsewhere in the City; and (c) the time, conditions, and land to be annexed by the City; WHEREAS, the Developer, the City and the District, upon the District's creation, wish to establish a definitive basis for water and sewer service rates, utility construction, and the financing of such utility construction; WHEREAS, it has been determined that the parties are authorized to enter into this Contract pursuant 'to the authority granted by Section 54.016(h) and Section 54.218 of the Texas Water Code; and the Interlocal Cooperation Act, Article 4413(32c), Vernon's Taxes Civil Statutes, as amended. WHEREAS, it is contemplated that within thirty (30) days from the Creation Date (hereunder defined) the District will execute and become a party to this Contract and assume its duties, obligation, benefits, and privileges hereunder. NOW, THEREFORE, FOR AND IN CONSIDERATION of the mutual premises, obligations, and benefits hereinafter set forth, the receipt and adequacy of which is hereby acknowledged, the City, the District, and the Developer, contract and agree as follows: -D3-- ARTICLE I Definitions Unless the context requires otherwise, the following terms and phrases used in this Contract shall have meanings as follows: Section 1.01. The term "Bonds" shall mean the issue or issues of unlimited tax bonds, combination unlimited tax and revenue bonds, or other obligations of the District which are hereafter to be authorized at the initial bond election to be conducted subsequent to the Creation Date, and issued and sold by the District pursuant to the provisions of this Contract and the provisions of Chapter 54 of the Texas Water Code, as amended, for the purposes provided in this Contract, and any refunding; bonds issued in lieu thereof. Section 1.02. The term "City" shall mean the cit., of Pearland, Texas. Section 1.03. The term "Code" shall mean the City's Code of Ordinances. Section 1.04. The term "Consent Date" shall mean the date of the ordinance or resolution granting the consent of the City to the creation of the District. Section 1.05. The term "Creation Date" shall mean the date of the Order of the Texas Water Commission creating and organizing the District. Section 1.06. "Developer" shall mean Southwest Freeway /Brazoria, Ltd., and its successors and assigns as permitted hereunder. Section 1.07. The term "District" shall mean Brazoria County Municipal Utility District No. 6. Section 1.08. The term "Facilities" shall mean all the fresh water, sanitary sewer, and drainage facilities required to be constructed to serve the District, including, but not limited to all water facilities, lines and appurtenances, any sewage treatment plant and capacity in such plant, sanitary sewers and Ime appurtenances, and all concrete pipe, storm sewers, detention ponds, drainage ditches and appurtenances, all as established in the Engineer's Report to be prepared in connection with the initial bond election to be conducted subsequent to the Creation Date. Section 1.09. The term "Property" shall mean the real property which is located within the District's boundaries as described on Exhibit A attached hereto and incorporated herein for all purposes. ARTICLE II Developer Rights and Responsibilities Section 2.01. Designation of Land Use The Developer hereby designates the anticipated land uses for the Property and establishes an estimate of the total acreage for each such land use, all as shown on Exhibit B attached hereto incorporated herein for all purposes. Section 2.02. Limitation of Development Density The Developer shall not develop the Property in such a manner as to exceed a total number of dwelling units per acre or its equiva- lent for each land use designated based upon the following: 21.78 dwelling units per acre for multi family residential development; 4.5 dwelling units per acre for single family residential development; and the maximum number of dwelling unit equivalents per acre permitted by the City's Code in effect as of the Consent Date for forms of land use other than residential. The Developer further agrees that all lots which it develops that are intended for use as single family detached dwellings shall be of a minimum size of sixty (60) feet in width and one hundred ten (110) feet in depth, and _further that all such lots abutting existing or future easements within the District for high pressure natural gas transmission lines shall have no single family building structure closer than seventy five (75) feet from the nearest boundary of such easement. -D5- Section 2.03. Utility Construction. The Developer agrees to cause the District to provide for the acquisition or construction in stages as needed, of all water supply and waste treatment plants and facilities comprising the Facilities as may be necessary to serve the Property based upon the total number of dwelling units or dwelling unit equivalents, as designated in Sections 2.02 and 4.01 hereof, and design requirements of the City and Texas Department of Health. The Developer further agrees to cause the District to provide for the.acquisition or construction in stages as needed, all drainage facilities, ditches, and detention ponds as may be required by the Code or Brazoria County to properly serve the Property based upon the total number of dwelling units or dwelling unit equivalents as calculated in Sections 2.01 and 4.01 hereof. Section 2.04. Notice of Water and /or sewer Service Rates The Developer hereby agrees that with respect to each sale by it of a parcel of land comprising the Property, the Developer shall furnish to its purchaser at or prior to the final closing of the sale and purchase with a separate written notice in accordance with the requirements. of Section 54.016(h)(4)(A), Texas Water Code. Section 2.05. Execution by District Within thirty (30) days from the Creation Date, the Developer agrees to use its best efforts to secure the execution of this Contract by the District, recognizing that the District is an independent governmental agency, and political subdivision of the State of Texas. ARTICLE III District Rights and Responsibilities Section 3.01. Assignment within thirty (30) days following the the Creation Date, the Developer shall assign and, by the execution hereof, the District shall accede to all rights of the Developer created hereunder in Section 2.03, along with -D6- any and all duties appurtenant thereto. Such assignment is unrestricted, unqualified, and shall take effect automatically without further written agreement between any of the parties hereto. The City, by execution of this Contract, recognizes and approves of such assignment by the Developer to the District. Section 3.02. Utility Construction The District shall agree to acquire or construct, in stages as needed, all water supply and waste treatment plants and facilities comprising the Facilities as may be necessary to serve the Property based upon the total number of dwelling units or dwelling unit equivalents to be designated in Sections 2.01 and 4.01 hereof and design requirements of the City and Texas Department of Health. The District further agrees to acquire or construct, in stages as needed, all drainage facilities, ditches, and detention ponds comprising the Facilities as may be required by the Code or Brazoria County to properly serve the Property based upon the total number of dwelling units or dwelling unit equivalents as calculated in Sections 2.01 and 4.01 hereof. Section 3.03. Financing of Utility Construction In the event that the District shall issue its Bonds in multiple series to finance the acquisition or construction of the Facilities in phases, the initial series of Bonds shall be issued and the initial phase of the Facilities completed within ten (10) years from the Consent Date. Any subsequent series of bonds shall be issued and the acquisition of the remainder of the Facilities completed by the District within fifteen (15) years from the Consent Date. ARTICLE IV City Rights and Responsibilities Section 4.01. Limitation of Development Density (a) The City hereby agrees to a total number of dwelling units per acre or its equivalent for each land use designated by the Developer on Exhibit B based upon the -D 7- following: 21.78 dwelling units per acre for multi family residental development; 4.5 dwelling units per acre for single family residential development; and the maximum number of dwelling unit equivalents per acre permitted by the City's Code in effect as of the Consent Date for forms of land use other than residential. (b) The City further agrees that the maximum number of dwelling units per acre for multi family and single family residential development for the Property shall be based upon gross acreage (i.e. for purposes of calculating the total number of dwelling units permitted for each acre, acreage attributable to utility easements, roads and streets, detention ponds, and ditches will be included). (c) The City further agrees to the maximum number of dwelling units or dwelling unit equivalents per acre for each land use designated by the Developer on Exhibit B and the Developer shall have the right to allocate such units or equivalent units over the Property at any density per acre as long as total dwelling units or equivalent units for the Property as calculated pursuant to Section 4.01 hereof is not exceeded. (d) The City further agrees that the'specific acreage designated in Sections 2.01 and 4.01 are subject to changes of an immaterial nature for engineering reasons, easement locations, and depending upon the final land plan and utility layout. Section 4.02. Water and /or Sewer Service Rates. It is hereby acknowledged and agreed that following annexation of the Property by the City, the City will charge for water and sewer services provided to customers and users within the Property. It is further agreed and acknowledged that, at the, City's option, such rates vary from those charged for other properties elsewhere in the City for the purpose of wholly or partially compensating the City for the assumption of obligations of the District. The City may at its option charge such rates only in the event that upon annexation of the Property the City is required to °D8- assume outstanding Bonds of the District. Finally, such rates may be charged, at the option of the City, from the date of annexation until such Bonds are paid by the City. Section 4.03. Notice and Effect of Annexation The City hereby agrees that in the event that the City shall annex the Property, the agreements with respect to land use and development density set forth herein shall remain in full force and effect subsequent to such annexation. The City hereby agrees to give the District and the Developer eighteen (18) months written notice of its intent to annex the Property. Section 4.04. Conditions to Annexation The City hereby expressly covenants and agrees that annexation of the Property shall not occur (a) prior to (i) the installation of Facilities by the District sufficient to serve ninety percent (90 of the total aggregate number of equivalent dwelling units of the District calculated at the maximum densities established in the foregoing Sections 2.01 and 4.01 hereof, and (ii) the issuance of Bonds in an amount sufficient to finance the Facilities required by the preceding phrase or (b) until the fifteenth (15th) anniversary date of the Consent Date, whichever shall first occur. ARTICLE V Miscellaneous Terms Section 5.01. Applicable Law. This Contract shall be subject to all valid rules, regulations, and laws applicable hereto passed or promulgated by the United States of America, the State of Texas, or any governmental body or agency having lawful jurisdiction or the authorized representative or-agency or any of them. Section 5.02. Amendment This Contract may be changed or modified only with the consent of each party hereto, which consent shall not be unreasonably withheld. -D9- Section 5.03. Assignment This Contract may be assigned only with the consent of each party hereto, which consent shall not be unreasonably withheld. Section 5.04. Notice Any required notice which may be given pursuant to this Contract shall, until due notice has been given of a change of address, be in writing and sent by certified mail, postage prepaid to the following addresses: If to the City: City of Pearland P. 0. Box 1157 Pearland, Texas 77581 Attention: City Manager If to the Developer: South Freeway /Brazoria, Ltd. 4600 Post Oak Place Drive Suite 305 Houston, Texas 77027 Attention: General Partner If to the District: Brazoria County Municipal Utility District No. 6 1811 Houston Natural Gas Building 1200 Travis Street Houston, Texas 77002 Attention: President Section 5.05. Term Unless sooner terminated pursuant to the provision hereof, this Contract shall remain in effect for a period of forty (40) years from the date hereof. Section 5.06. Evidence and Form of Consent. All consents and approvals to be given by any party hereto shall be by written resolution of its governing body or a person authorized to give such consent or approval and shall not be unreasonably withheld. Section 5.07. Severability If any one or more of the articles, sections, provisions, clauses, or words of this Contract shall for any reason be held to be invalid, such- invalidity shall not affect any other articles, sections, provisions, clauses, or words of this Contract, and the parties hereto agree that they would have entered into this Contract regardless of such invalidity. -D 10- Section 5.08. Binding Nature of Contract Upon the execution hereof by two of the parties, it is agreed that this Contract and its terms and provisions shall be binding upon such parties as if all of the parties hereto executed the Contract simultaneously. Section 5.09. Due Authorization This Contract and all its provisions have been executed by the District and the City, each by virtue of action taken by its governing body pursuant to law and has been executed and attested by its duly authorized officers, upon and by authority of an order passed at a meeting of its governing body. This Contract and all its provisions have been executed by the Developer by virtue of and in accordance with due authorization. EXECUTED BY THE CITY IN MULTIPLE COPIES, each of equal force, and effective this day of 1983. CITY OF PEARLAND, TEXAS ATTEST: By Mayor City Clerk (SEAL) EXECUTED BY THE DEVELO ER IN MULTIPLE COPIES, each of equal force and effective this 2 pf1) day of johl 1983. SOUT T FREEWAY RAZORIA, LTD. By Titl ATTEST: _D11- EXECUTED BY THE DISTRICT IN MULTIPLE COPIES, each of equal force, and effective this day of 198 BRAZORIA COUNTY MUNICIPAL UTILITY DISTRICT NO. 6 By ATTEST: President, Board of Directors Secretary, Board of Directors (SEAL) -D12-