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Resolution TIRZ- First Amendment to Project Plan 2006-03-27RESOLUTION APPROVING FIRST AMENDMENT TO PROJECT PLAN AND REINVESTMENT ZONE FINANCING PLAN WHEREAS, Reinvestment Zone No. Two, City of Pearland, Texas (the "Zone was created by Ordinance No. 891 of the City of Pearland, Texas (the "City pursuant to Chapter 311 of the Texas Tax Code, as amended; and WHEREAS, the City intends to enlarge the boundaries of the Zone by ordinance, to include additional areas adjacent to the Zone; and WHEREAS, the Project Plan and Reinvestment Zone Financing Plan adopted in connection with the creation of the Zone (the "Plan should be amended to reflect the addition of the annexed tract, and the Zone Board has approved a First Amendment to the Plan; now therefore, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF REINVESTMENT ZONE NO. TWO, CITY OF PEARLAND, TEXAS, THAT: Section 1: and correct. The facts recited in the preamble hereto are hereby found to be true Section 2: The First Amendment to the Plan, as provided in Exhibit A attached hereto to accommodate the addition of the annexed tract to the Zone (the "First Amendment is hereby determined to be feasible and is approved. The Zone Board hereby requests the City Council of the City to approve the First Amendment, and the appropriate officials of the Zone are authorized to take all steps reasonably necessary to implement the First Amendment upon approval of same by the City. Section 3: The officers and consultants of the Zone are hereby authorized and directed to do any and all things reasonably necessary for the implementation of this resolution and to assist the City in the consideration and approval of the First Amendment. PASSED and APPROVED the 27th day of March, 2006. ATTEST: 2 Secretary, Boar: of Directors 67972 Chairman, Board of Directors THE STATE OF TEXAS COUNTIES OF BRAZORIA AND FORT BEND I, the undersigned officer of the Board of Directors of Reinvestment Zone Number Two, City of Pearland, Texas, hereby certify as follows: 1. The Board of Directors of Reinvestment Zone Number Two, City of Pearland, Texas, convened in regular session on the 27th day of March, 2006, at the regular meeting place thereof, and the roll was called of the duly constituted officers and members of the Board to -wit: and all of said persons were present, except Director(s) thus constituting a quorum. Whereupon, among other business, the following was transacted at the meeting: a written was introduced for the consideration of the Board. It was then duly moved and seconded that the resolution be adopted, and, after due discussion, the motion, carrying with it the adoption of the resolution, prevailed and carried unanimously. 2. That a true, full and correct copy of the aforesaid Resolution adopted at the meeting described in the above and foregoing paragraph is attached to and follows this certificate; that the Resolution has been duly recorded in the Board's minutes of the meeting; that the persons named in the above and foregoing paragraph are the duly chosen, qualified and acting officers and members of the Board as indicated therein; that each of the officers and members of the Board was duly and sufficiently notified officially and personally, in advance, of the time, place and purpose of the aforesaid meeting, and that the Resolution would be introduced and considered for adoption at the meeting, and each of the officers and members consented, in advance, to the holding of the meeting for such purpose; that the meeting was open to the public as required by law; and that public notice of the time, place and subject of the meeting was given as required by Chapter 551, Texas Government Code. 67972 CERTIFICATE FOR RESOLUTION Nigel Harrison Chair Gary Cook Vice Chair Mike Pyburn Secretary Jo Knight Director Ron Castillo Director Gary Davis Director Donna Coleman Director Larry Loessin Director Ken Philips Director RESOLUTION APPROVING FIRST AMENDMENT TO PROJECT PLAN AND REINVESTMENT ZONE FINANCING PLAN SIGNED this the 27th day of March, 2006. l ✓e Secretary, B and of rrctors DRAFT FOR DISCUSSION ONLY REINVESTMENT ZONE NUMBER TWO CITY OF PEARLAND, TEXAS 1 ST AMENDMENT TO PROJECT PLAN AND REINVESTMENT ZONE FINANCING PLAN SHADOW CREEK RANCH DRAFT FOR DISCUSSION ONLY CITY COUNCIL 2005 -2006 Council Members Mayor Hon. Tom Reid Mayor Pro -Tem Hon. Woody Owens Council Member Hon. Richard Tetens Hon. Larry Marcott Hon. Kevin Cole Hon. Steve Saboe City Manager William Eisen 1" Amendment to TIRZ 2 Project and Financing Plan 2 Z DRAFT FOR DISCUSSION ONLY BOARD OF DIRECTORS 2005 -2006 Board Members Position 1 Position 2 Position 3 Position 4 Position 5 Position 6 Position 7 Donna Coleman State Senator Designee Gary Davis State Representative Designee Nigel Harrison, Chair City of Pearland Designee Gary Cook, Vice Chair City of Pearland Designee Ken Phillips City of Pearland Designee Jo Knight City of Pearland Alvin Independent School District Designee Mike Pyburn Alvin Independent School District Designee Position 8 Ron Castillo Fort Bend County Designee Position 9 Larry Loessin Brazoria County Designee I Amendment to TIRZ 2 Project and Financing Plan 3 Eligible Project Description Total Estimated Project Cost Infrastructure Administration /Creation Zone $109,633,923 City Facilities $5,000,000 Educational Facilities $134,100,000 Grand Total $248,733,923 DRAFT FOR DISCUSSION ONLY 1 AMENDMENT TOTHE PROJECT PLAN AND REINVESTMENT ZONE FINANCING PLAN FOR REINVESTMENT ZONE NUMBER TWO, CITY OF PEARLAND (SHADOW CREEK RANCH) I. OVERVIEW The City of Pearland (the "City created Tax Increment Reinvestment Zone Number Two (Shadow Creek Ranch) by City Ordinance No. 891, dated December 21, 1998. The Project Plan and Reinvestment Zone Financing Plan (the "Plan was approved by the Board of Directors of the Zone and adopted by Council on August 23, 1999. The Zone as originally designated contained 3,467 acres of vacant, undeveloped land generally bounded by Clear Creek on the north, State Highway 288 on the east, County Road 92 (the extension of FM 518 west of S.H. 288) on the south, and FM 521 on the west. The Plan describes the purpose of the Zone as financing regional public infrastructure improvements necessary to develop the Zone as quality mixed -use development creating a self- sustaining tax base. The chart below summarizes the total estimated Project Cost for the Zone as approved in the Plan. A Feasibility and Marketing Study performed by American Metro /Study Corporation found that the proposed development was viable and probable to succeed. In addition to the City's participation, the Zone secured the participation of both Brazoria County and Ft. Bend County, and of Alvin Independent School District as reflected in the Plan and as memorialized in respective Interlocal agreements. 1" Amendment to TIRZ 2 Project and Financing Plan 4 DRAFT FOR DISCUSSION ONLY II. REQUEST FOR THE ANNEXATION OF ADDITIONAL LAND Chapter 311.007(b) of the Texas Tax Code provides that: The governing body of the municipality or county may enlarge an existing reinvestment zone to include an area described in a petition requesting that the area be included in the zone if the petition is submitted to the governing body of the municipality or county by the owners of property constituting at least 50 percent of the appraised value of the property in the area according to the most recent certified appraisal roll for the county in which the area is located. On December 19, 2005, Harlow Royalties, Ltd., Randall D. Rudy, Russell T. Rudy Pearland Investments Limited Partnership and Pearland 132 Development, LP, the owners of property constituting at least 50 percent of the appraised value in the area, submitted to the City a petition requesting annexation of approximately 457 acres into the Zone. The Board of Directors of the Zone has determined that it would be advisable for additional land to be annexed into the Zone to foster the development of property adjacent to the Zone and to provide additional public works and improvements. The Board of Directors on January 30, 2006, approved the preparation of an Amendment to the Plan (the "Plan Amendment to accomplish the annexation of approximately 457 acres of vacant land, adjacent to the Zone. III PRELIMINARY PROJECT PLAN AMENDMENT A. Existing Uses and Conditions (31 1.01 1(b)(1)) The aerial photo map below reflects the boundaries of the existing Zone and the area proposed for annexation. The aerial photo shows the proposed annexation area as vacant. It should be further noted that 287.32 acres are in Brazoria County and 169.56 acres are in Fort Bend County. Upon adoption of this Plan Amendment the boundaries of the Zone will be amended to include proposed annexation area which is more particularly described on Exhibit "A" attached hereto. 1 Amendment to TIRZ 2 Project and Financing Plan 5 DRAFT FOR DISCUSSION ONLY B. Proposed Improvements and Proposed Uses (311.011(b)(1)) The Plan Amendment is intended to facilitate a program of public infrastructure including water, wastewater and storm sewer improvements, lakes and channel improvements, landscape, parks and trails, along with roadway improvements including streets, improvements to FM 518 (Broadway Street) and related signalization. These public improvements will allow the Master Developer of Shadow Creek Ranch, Shadow Creek Ranch Development Company, L.P., to continue in the annexed area with the quality development currently being constructed in Shadow Creek Ranch, with approximately 1120 single family homes planned along with approximately 614,000 square feet of commercial development. I Amendment to TIRZ 2 Project and Financing Plan 6 DRAFT FOR DISCUSSION ONLY C. Proposed Changes of Municipal Ordinances, Master Plan, or Codes (311.011(b)(2)) Other than the ordinance required for the annexation of the proposed area into the Zone this Plan Amendment will not require any change to other ordinances, plans or codes of the City of Pearland. D. Non Project Cost (311.011(b)(3)) This Plan Amendment does not require any change to the Non Project Costs included in the Plan. E. Method of Relocating Persons (311.011(b)(4)) This Plan Amendment does not require any change to the relocation provisions of the Plan. I Amendment to TIRZ 2 Project and Financing Plan 7 ELIGIBLE PROJECTS ESTIMATE OF COST Infrastructure Streets Pavement $1,634,000 Lighting $125,900 Water System $363,000 Wastewater System $1,029,000 Storm Sewer System $1,649,000 Lakes Channels $5,625,600 Land Cost $6,675,000 Landscaping Buffers $5,573,025 Major Road Infrastructure FM 518 Improvements $6,485,600 Traffic Signals $550,000 Contingencies Engineering Contingencies (10 $1,733,620 Engineering (15 $2,860,473 Master Drainage Plan Costs $70,000 Environmental Study Costs $100,000 Subtotal $34,474,218 Annexation Cost $250,000 Subtotal $250,000 TOTAL $34,724,218 DRAFT FOR DISCUSSION ONLY IV. PRELIMINARY REINVESTMENT ZONE FINANCING PLAN AMENDMENT A. Estimated Project Costs (311.011(c)(1)) With the adoption of the Plan Amendment the estimated costs of eligible improvements in the Plan will be amended to include the following additional costs in 2006 dollars: Additionally, Exhibit G to the Plan will be amended to increase the Annual TIRZ Administration by $25,000 per year. 1 Amendment to TIRZ 2 Project and Financing Plan 8 DRAFT FOR DISCUSSION ONLY B. Kind, Number and Location of Proposed Public Improvements (311.011(c)(2)) The inclusion of the annexed area will enable the Zone, via Master Developer funding and Zone reimbursement, to facilitate a program of public infrastructure and roadway improvements necessary to develop the vacant and undeveloped land that is the subject of this annexation. It is anticipated that the proposed improvements may include the following: Water facilities i Amendment to TIRZ 2 Project and Financing Plan 9 DRAFT FOR DISCUSSION ONLY Wastewater facilities NO A M R '".aiBi: R I Rif A u. Stormwater facilities Lakes and channels and associated land costs Landscaping and buffers and associated land costs LEGEND SE'CR IMAUnf 1" Amendment to TIRZ 2 Project and Financing Plan 10 7 ,10 DRAFT FOR DISCUSSION ONLY Paving, lighting, and signalization improvements FM 518 (Broadway Street) improvements Na. -CC BU °;aNn IEGEND r 1 ea. .r11 2224,2212222 r,* X1 1 25 PAWfraurt Em„)N, ao...m1 -n MYfhTM 2222n2242 r C. Economic Feasibility Study (311.011(c)(3)) Shadow Creek Ranch has sold over 2,000 homes since opening in 2002. The current sales rate averages between 20 and 25 homes per week through the efforts of 20 merchant homebuilders. Homes prices range from $150,000 to $1 million. Even factoring in a 15- month delay in the start of construction for the development, Shadow Creek Ranch has produced sales volumes and assessed valuations at or above the original financial projections for the Zone. Shadow Creek has been recognized at the fastest selling planned community in the Houston Pearland market area and is in fact second in the entire region behind only the Woodlands. D. Estimate of Bonded Indebtedness to be Incurred (311.011(c)(4)) This Plan Amendment will increase the estimate of bonded indebtedness in the Plan from the original $114,633,923, by the amount necessary to yield additional net proceeds of 1 Amendment to TIRZ 2 Project and Financing Plan 11 Taxing Entity Zone Years Percent Participation City of Pearland 8 100% (a) 9 -30 100% (b) Brazoria County 8 -30 38% Fort Bend County 8 -10 100% 11 -20 75% 21 -30 50% DRAFT FOR DISCUSSION ONLY $34,724,218. Both amounts may be adjusted according to the Engineering News Record Index over the life of the Zone. E. Time When Related Costs or Monetary Obligations Are To Be Incurred (311.011(c)(5)) The improvements contemplated in this Plan Amendment will be funded by the Master Developer, shall be considered Master Developer Improvements as defined in the Plan and shall be reimbursed according to the provisions of the Plan. F. Methods of Financing And Sources of Revenue (311.011(c)(6)) The Methods of Financing described in the Plan under F.1 Funding Project Costs remains unchanged by this Plan Amendment. The Sources of Revenue derived from participating jurisdictions being asked to participate in the Plan Amendment are summarized in the chart below. Participation in the Plan Amendment will be memorialized in writing by Interlocal Agreements to be negotiated. (a) 36% to be repaid as an Administrative Cost, provided never more than $0.255 (b) 64% to be repaid as an Administrative Cost, provided never more than $0.44 G. Total Current Appraised Value (311.011(c)(7)) As previously noted the annexed area is astride two counties, with 287.32 acres in Brazoria County and 169.56 acres in Fort Bend County. The most current certified appraised values are the 2005 certified values of the Brazoria County Appraisal District and the Fort Bend Central Appraisal District as shown below: 1 Amendment to TIRZ 2 Project and Financing Plan 12 Tax Year Total Current Appraised Value City of Pearland $2,905,330 Brazoria County Brazoria County Fort Bend County Fort Bend County Base Year Incremental Value Cumulative Value Base Veer Incremental Value Cumulative Value Base Year Incremental Value Cumulative Value 2006 2,905,330 2,905,330 1,878,480 1,878,480 1026,850 1,026,850 2007 2,905,330 1578,480 1028,850 2008 13,551,735 16,457,065 13,551,735 15,430,215 1,026,850 2009 108,637,587 111542,917 98,271,667 100,150,147 10,365,920 11592,770 2010 253,534,488 256,439,818 179,915,906 181,794,386 73,618,582 74,645,432 2011 314,790875 317,696,205 185,890,898 187,769,378 128,899,977 129,926,827 2012 336,390,395 339,295,725 201,983,500 203,861,980 134,406,895 135,433,745 2013 361,178,747 364,084,077 223,374,818 225,253,298 137,803,929 138,830,779 2014 370,379,235 373,284,565 229,076,361 230,954,841 141,302,874 142,329,724 2015 379,855,737 382,761,067 234,948,950 236,827,430 144,906,787 145,933,837 2016 389,816,534 392,521,864 240,997,716 242,876,196 148,618,618 149,646,668 2017 399,670,156 402,575,486 247,227,946 249,106,426 152,442,210 153,489,050 2018 410,025,388 412,930,716 253,645,082 255,523,562 156,380,303 157,407,153 2019 420,691,272 423,596,602 260,254,733 262,133,213 160,436,540 161,483,390 2020 431,677,136 434,582,466 267,062,873 268,941,153 164,614,463 185,641,313 2021 442,992,575 445,897,905 274,074,851 275,953,331 168,917,724 169,944,574 2022 454,647,478 457,552,808 281,297,395 283175,875 173,350,083 174,376,933 2023 466,652,027 469,557,357 288,736,614 290,615,094 177,915,413 178,942,263 2024 479,016,713 481,922,043 296,399,011 298,277,491 182,617,703 183,644,553 2025 491,752,340 494,657,670 304,291,279 306,169,759 187,461,061 188,487,911 2026 504,870,035 507,775,365 312,420,316 314,298,796 192,449,720 193,476,570 2027 518,381,262 521,286,592 320,793,223 322,671,703 197,588,039 198,614,889 2028 532,297,825 535,203,155 329,417,318 331,295,798 202,880,507 203,907,357 Jurisdiction Total Current Appraised Value City of Pearland $2,905,330 Brazoria County 51,878,480 Fort Bend County $1,026,850 DRAFT FOR DISCUSSION ONLY The Total Current Appraised Value will be based upon the certified appraised values for the annexation area as of January 1, 2006, which are not yet available. H. Estimated Captured Appraised Value (311.011(c)(8)) The base year for this Plan Amendment will be 2006. The chart below shows the base year value by jurisdiction and the resulting projections for captured appraised value for the balance of the life of the Zone. Both the value and revenue projections below are based on 2005 certified values and 2005 adopted tax rates. Captured Appraised Value Summary Note: Base Year will be 2006 and will be updated when 2006 Values are available The following chart shows the revenue projected to be generated on the captured appraised value, for each expected participant. 1 Amendment to TIRZ 2 Project and Financing Plan 13 DRAFT FOR DISCUSSION ONLY H. Duration of Zone (311.011(c)(9)) The duration of the Zone remains unchanged. 1 Amendment to TIRZ 2 Project and Financing Plan i 14 Ad Valorem Revenue Summary Property Tax Revenue Tax Year City of Pearland Brazorla County Fart Bend County Total Annual Cumulative Base Incremental Total Base Incremental Total Base Incremental Total Increment Increment Revenue Revenue Increment Revenue Revenue Increment Revenue Revenue Increment 2006 20,185 6,799 5,378 2007 2008 30,505 30,505 -16,776 18776 47,281 47,281 2009 244,544 275,049 121,649 136,425 36,646 36,646 402,639 450,120 2010 570,708 845,757 222,715 361,140 260,260 296,906 1,053,683 1,503,802 2011 708,596 1,554,353 230,112 591,252 455,693 752,599 1,394,401 2,898,203 2012 757,217 2,311,570 250,033 841,284 475,161 1,227,760 1,482,411 4,380,614 2013 813,016 3,124,585 276,513 1,117,797 487,171 1,714,931 1,576,699 5,957,313 2014 833,726 3,958,311 283,570 1,401,387 499,540 2,214,471 1,616,837 7,574,150 2015 855,058 4,813,369 290,840 1,692,207 512,281 2,726,752 1,858,179 9,232,328 2016 877,029 5,690,398 298,328 1,990,535 525,404 3,252,158 1,700,761 10,933,089 2017 899,660 6,690,058 306,040 2,296,575 538,921 3,791,077 1,744,621 12,877,710 2018 922,970 7,513,028 313,984 2,610,559 552,843 4,343,919 1,789,796 14,467,508 2019 946,979 8,460,006 322,166 2,932,725 378,122 4,722,041 1,647,266 16,114,772 2020 971,708 9,431,714 330,593 3,263,318 387,968 6,110,009 1,690,269 17,805,041 2021 997,179 10,428,893 339,273 3,602,591 398,110 5,508,120 1,734,563 19,539,604 2022 1,023,414 11,452,308 348,214 3,950,805 408,557 5,916,676 1,780,185 21,319,789 2023 1,050,437 12,502,744 357,423 4,308,228 419,316 6,335,993 1,827,176 23,146,965 2029 1,078,270 13,581,014 366,908 4,675,137 430,399 6,766,391 1,875,577 25,022,542 2025 1,108,938 14,687,951 376,679 5,051,815 441,814 7,208,205 1,925,429 26,947,971 2026 1,136,466 15,824,417 386,741 5,438,555 453,571 7,661,777 1,976,778 28,924,749 2027 1,166,879 16,991,296 397,105 5,835,661 465,681 8,127,458 2,029,666 30,954,415 2028 1,198,206 18,189,502 407,781 6,243,442 478,155 8,605,613 2,084,142 33,036,557 DRAFT FOR DISCUSSION ONLY H. Duration of Zone (311.011(c)(9)) The duration of the Zone remains unchanged. 1 Amendment to TIRZ 2 Project and Financing Plan i 14 DRAFT FOR DISCUSSION ONLY EXHIBIT "A" DESCRIPTION OF 457 ACRES MORE OR LESS ANNEXATION TRACT REINVESTMENT ZONE NO. 2, CITY OF PEARLAND, TEXAS January 17, nos Job No. 1545•2005•TIRZ Being 457 acres, more or fess, of Land located In the H.T. B.R.R. Co. Survey, Section 84 (R.B. Lyle) Abstract No. 538, Brenda County, Texas and Abstract No. 767, Fort Bend County, Texas and the A.B. Langermann Survey, Abstract No, 555, Fort Bend County, Texas, more particularly being all of that certain called 2121 acre tract conveyed to the City el Pearland, Texas by instrument of record under Fite No. 2005008365, Official Records, Brazada County, Texas B.C.O.R.), all of the residue of that certain called 160.048 acre tract conveyed to Pearland Investment Limited Partnership by instrument of record under File No. 03- 044886 and File No. 2004059020, B.C.O.R., all of that certain called 80.01 acre tract conveyed 10 Russell T, Rudy and Randall D. Rudy by instrument of record under Fllo No. 97. 009257, B.C.O.R. and File No. 97- 08685, Official Records, Fort Bend County, Texas (F.B.C,O.R.), all of that certain called 80 acre tract conveyed to Harlow Royalties, Inc. by an Instrument of record under File No. 95-039382, B.C.O.R. and File No. 95. 70977, F.B.C.O.R., all of that certain called 132.5682 acre tract conveyed to Pearland 132 Development, Limited Partnership by an Instrument of record under File No. 2004148674, Official Public Records, Fort Bend County, Texas (F,B.C.O.P.R.) and a portion of that certain called 522.62 acre tract conveyed to Ashton Southern Trails Joint Venture by instrument of record under File No. 04.002615, B.C.O.R., said 457 acres, more or less, being more particularly described by metes and bounds as follows: BEGINNING at a point in the northerly line of the aforementioned H.T.& B.R.R. Co. Survey, Section 84, the southerly line of the H.T.& B.R.R. Co. Sunray, Section 83, Abstract No. 305, Brazarla County, Texas and being the southeast corner of that certain called 50.981 acre tract (described as tho south one -half of Davis Tract) conveyed to Ralph S. Davis Jr. in 'Agreed Final Judgment in Partition" et record under File No. 02.060820, B.C.O.R. and File No. 2002136052, F.B.C.O.P.R., the northwest corner of that certain called 522.62 acre tract of land conveyed to Ashton Southern Trails Joint Venture by instrument of record under File No. 04.002615, B.C.O.R. and the northeast comer of said 160.048 acre tract; I Amendment to TIRZ 2 Project and Financing Plan `7 Page 1 of4 15 DRAFT FOR DISCUSSION ONLY 457 Acres January 17, 2006 Joh No. 1545.2005-TIR7 Thence, EASTERLY, with the northerly line of said 522.62 acres, and the common lines of said H.T.& B.R.R. Co. Survey, Section 84 and said H.T.& B.R.R. Co. Survey, Section 83, 2,640 feet, more or less, to a point on the centerline of County Road No. 48; Thence, SOUTHERLY, with said centerline of County Road No. 48, end the common line of said H.T. B.R,R. Co. Survey, Section 84, Abstract No. 538 and the H.T. B.R.R. Co. Survey, Section 80, Abstract No. 564, 70 feet, more or less to a point for corner; Thence, WESTERLY, leaving said centerline and common survey line, 2640 feet, more or Tess, to a point on the westerly lino of said 522.62 acre tract and the easterly line of said 160.048 acre tract Thence, SOUTHERLY, along the westerly line of said 522.62 acre tract and the easterly line of said 160.048 acre tract, passing at a distance of 2,570 feet, more or less, the northwest corner of Lot. 1 of Block 84 of Allison Richey Gull Coast Homo Company Part of Suburban Gardens as recorded in Volume 2, Page 98, Plat Records, Brazoria County, Texas (B.C.P.R,I, continuing in all a distance of 5,212 loot, more or less, to a paint for corner in the southerly line of said H.T.& B.R.R. Co. Survey, Section 84, the northerly line of Section 2 of the H.T.& B.R.R. Co, Survey, Abstract No. 566, Brazoria County, Texas and at the southwest corner of Lot 4 of said Block 84; Thence, WESTERLY, along the common lines of said H.T.& B.R.R. Co. Survey, Section 84 and said H.T.& B.R.R Co. Survey, Section 2, a distance of 2,640 feet, more or less, to a point for corner, same being the southwest of saki Section 84 and In the easterly line of the Manuel Escalera Survey, Abstract No, 654, Brazorla County, Texas and Abstract No, 169, Fort Bend County, Texas; Thence, NORTHERLY, along the common lines of said H.T.& B.R.R. Co. Survey, Section 84 and said Manuel Escalera Survey, a distance of 3,194 feet, more or less, to a point for corner, same being the southeast corner of the aforesaid 132.5682 acre tract and the common east corner of said Manuel Escalera Survey and the aforementioned A.B. Langennann Survey; 1'" Amendment to TIRZ 2 Project and Financing Plan Page 2 of 4 16 DRAFT FOR DISCUSSION ONLY 457 Acres January 17, 2006 Job No. 1545.2005.TIRZ Thence, WESTERLY, along the common tines of said Manuel Escalora Survey and said A.B. Langermann Survey and the souther' Ilne of said 132.5682 acre tract, a distance of 3,359 feet, more er less, to a point for corner, same being the southwest corner of said 132.5682 acre tract and in the easterly right-of-way tine of F,M, 521; Thence, NORTHEASTERLY, along the common nos of said 132,5582 acre tract and said EM. 521, a distance of 2056 feet, more or loss, to a point for corner, same being the northwest corner of said 132.5882 acre tract, In the southerly line of that certain called 229.519 acre tract conveyed to Pearland Investments, Limited Partnership by an instrument of record under File No. 1999028261, F,B.C.O.R. and In the northerly line of said A.B. Langermann Survey and In the southerly line of the Franklin Hooper Survey, Abstract No. 198, Fon Bend County, Texas; Thence, EASTERLY, along the common lines of said 132,5682 acre tract and said 229.519 acre tract and the common lines of said A.B. Langermann Survey and said Franklin Hooper Survey, a distance of 2,632 feet, more or less, to a point for corner, same being the common easterly comer of said A,B. tangerrnann Survey and said Franklin Hooper Survey and in the westerly line of the aforementioned H.T.& B,R.R. Co. Survey, Section 84; Thence, NORTHERLY, along the common lines of said Franklin Hooper Survey and said H.T.& B.H.R. Co, Survey, Section 84, a distance of 158 foot, more or toss, to a point for corner, same being the common westerly comer of said Section B4 and the aforementioned H.T.& B.R.R. Co. Survey, Section 83 and the common westerly corner of the aforementioned 50.981 acre tract and the aforementioned 80 acre tract; Thence, EASTERLY, along the common lines of saki H.T.& B.R.R. Co. Survey, Section 84 and said H.T.& B,R,R. Go. Survey, Section 83 and the southerly fine of saki 50.981 acre tract, a distance of 2,640 feet, more or less, to the POINT OF BEGINNING and containing 457 acres, more or lass, al land. 1" Amendment to TIRZ 2 Project and Financing Plan Page 3 of rn mx•n men avottay.urtravIlYt m, ,:z. 17