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RTIRZ-2014-08 RESOLUTION NO. RTIRZ — 2014-08 A Resolution of the Board of Directors of the Pearland Tax Increment Reinvestment Zone #2 (TIRZ #2) Board of Directors, approval of a Joint Construction and Reimbursement Agreement among the Zone, Brazoria- Fort Bend Mud No. 1 and 518sCR, Ltd. Associated with LFA 13-06-002. Whereas the Board, City of Pearland, and 518SCR LTD. entered into a Sub- Developer Reimbursement Agreement dated November 14, 2011 to provide for financing and construction of improvements to serve land within the Zone; BE IT RESOLVED BY TIRZ #2 BOARD OF DIRECTORS: Section 1. That the Board approve the joint construction and reimbursement agreement among the Zone, Brazoria-Fort Bend Mud No. 1 and 518SCR, LDT. PASSED, APPROVED, AND ADOPTED this 23RD day of June, A.D 2014. KENNETH R. 'ILLIPS TIRZ #2 CHAIRMAN ATT. S 114 rAtitt) MIK ' BUR TIRZ #2 SECRETARY . REINVESTMENT ZONE NO.TWO,CITY OF PEARLAND,TEXAS (518SCR,LTD.) June 24,2013 518SCR,Ltd. c/o Perry Homes P.O. Box 34306 Houston,TX 77234 Attn: Richard C. Hale Re: Financing for TIRZ Improvements:Southlake Phase 2;TIRZ Project No. 13-06-002 Dear Mr. Hale: The City of Pearland, Texas (the "City"), Reinvestment Zone No. Two, City of Pearland, Texas (the "Zone"), and 518SCR, Ltd. (the "Sub-Developer") entered into a Sub-Developer Reimbursement Agreement (the "Reimbursement Agreement") dated November 14, 2011, to provide for the financing and construction of TIRZ Improvements to serve land within the Zone. The Zone and the Sub-Developer have determined to proceed with the design and construction of the following TIRZ Improvements in accordance with the Reimbursement Agreement: Southlake Phase 2;TIRZ Project No. 13-06-002 Attached to this letter is a map showing the area which is benefited by the TIRZ Improvements over which the available Tax Increment will be applied for purposes of determining when reimbursement is made. The Sub-Developer has agreed to pre- finance the design and construction of the TIRZ Improvements to be reimbursed in accordance with the Reimbursement Agreement. The Zone hereby gives its approval to proceed with the construction of the above described TIRZ Improvements. All procedures set forth in the document entitled"TIRZ Project Implementation and Reimbursement Process" must be followed and letters from the Zone's Engineer certifying the completion of the TIRZ Improvements and from the Zone's Auditor must be issued before the Zone will reimburse the Sub-Developer. The Zone's Engineer has determined that the budget (adjusted for inflation) established in the Zone's Project Plan and Reinvestment Zone Financing Plan for the above described TIRZ Improvements is $9,102,286 plus "developer interest" calculated per the Zone's Project Plan and Reinvestment Zone Financing Plan. The Zone is not obligated to reimburse the Sub-Developer for any amount in excess of that budgeted amount plus"developer interest." 7 438404 1 15 I. f 1.5.1 u, r This agreement was duly authorized at a meeting of the Board of Directors of the Zone held on the 24th day of June,2013. Very truly yours, REINVESTMENT ZONE NO.TWO,CITY OF PEARLAND,TEXAS Chair, Board o '•irectors ATTEST: By: iq Secretaf Directors AGREED TO AND ACCEPTED THIS 2-1- DAY OF T'4 t ,2013. 518SCR,LTD., a Texas limited partnership By: PWSA, Inc., a Texas corporation, as the Sole General Partner By: Name: Richard C. Hale Title: Senior Vice President 438404 2 aoZ . . I 1 1 ; ! ' ; I ! .----.---- -----------. Movinal CT -.:.---.. -7 .1 '......;... 7.,..7:7..T . t( '1 i !, ' NI - itz-,, • .r. A . .....' Alit \\ , 2.;.4 .,....... .______,.... _. i . .... . _E It a f , ark _gli its .0 ---_ t 11 • I it!! 'SR ca : . 4- , 17- i Al \ - • 'I.tli \ 0 r—-.. ri.s. 7 I • . 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SOUTHLAKE PHASE 2 PROJECT NO. 13-06-002 ; Legend :-., LA 111nrineerlie.Inc. 28'PAVEMENT LA I ...... ix,se.T,c., I Joe NO I DATE 6/12/2013 E Ar! e..;4'• al Aisp..4.E.:qh 1 I noAnw►r sr - `11 1IIJIk $Ij1 tLo,I OP��,III; tllw��;.�j El TICall *) ili 1 l..11 ea l illit tzE 'I 1 S'�%D mi aE !11111 ,r:8 r�i11p it �` ,11_lu i AP 11104 st�; lean 31 I ma as 2 9 M.MS 1111110 � �' ' i'i IUI II► V s' ■ 41, ; 66 il a�iimm 4.4121 ►, grllvo�� ' V,/ -- : �1r.-: _ --.Sul IIU��� � � N11 = 1 a Ann fkitir:PIA, - - t Il/r — = gala WMa.NS=Ile IMB INO MB IN ••••- 110•1•1■111 \,_ WATER N REINVESTMENT ZONE NO.2, SCALE r-+•000 FEET I CITY OF PEARLAND,TEXAS 1st Amendment SOUTHLAKE PHASE 2 lalltld PROJECT NO. 13-06-002 PROPOSED WATER 1.NE, i 5 EX.Gif KO I Joe MO I DATE 602,2012 J i. I. 1, op F t 0111+..I I. i _ J ■ ROADWAY 6- --,-..-:4-----..-_,-...------_ — '�. Tii ii,'E1►; , at it w� r trr i rw� rte, iw j . A r yrs "1-1---Ak tiiii-iii-vioir:r.... 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',..• ,,..,,...,-,-___,r t,...1:4--; •..,:;::.„. . ...tr„.; ...„.„. „,,,-- tg.6.,...„... .•,.. L,.\7,,, ..., - i tr.',F-• - or2i7'I/1ft JON 'n , S'real- 0 —---).•:" -:i?..:..e.,....ligning, ,.„., ., . .ir Rik, , •,....1,....s..... ...---...--- --1 I : I .i BENIFFITED AREAS REINVESTMENT ZONE NO. 2, 1 CITY OF PEARLAND,TEXAS 1st Amendment S.:ME r.1000FCE7 SOUTHLAKE PHASE 2 PROJECT NO. 13-06-002 f Legend 1-0.1.:"....4...me.. ---111 ( ...... AL_AREAS BENEFI— .—.....',val. ••••••-■•••••••• .4.... e, :.! Ea N.c I JOU MO 1 CIATE. 13112/2013 •. !. 0 Ni•Kitliii El i ;I•r•ireer:1 iii in:14.141:C_Ii."r. ' I-C)1136.,Dier.15. P .1. .a ...•li' ;5 •?•4110. ..4- f .1.::7',.',V I:I Y.Ait JOINT CONSTRUCTION AND REIMBURSEMENT AGREEMENT WHEREAS, Brazoria-Fort Bend County Municipal Utility District No. 1 (the "District") has been created and organized for the purposes conferred on the District by Sections 54.201 and 49.211, Texas Water Code, including, but not limited to, the construction, maintenance and operation of water, sewer, and drainage facilities within the boundaries of the District;and WHEREAS, Reinvestment Zone No. Two, City of Pearland, Texas (the "Zone") has been created and organized for the purposes conferred on the Zone by Chapter 311 of the Texas Tax Code,including,but not limited to, the construction,maintenance, and operation of certain public improvements for the purpose of promoting the development of land within the boundaries of the Zone;and WHEREAS, the District, the Zone, and 518SCR, Ltd., (the "Developer") have determined to proceed with Southlake, Shelton Ridge Lane Phase 2 Gulf Coast Water Authority Canal Bridge (the"Facilities");and WHEREAS, at its meeting on June 6, 2014, the District approved the award of a contract for the construction of the Facilities, based upon the recommendation of the engineers for the District and the Zone; NOW, THEREFORE, the District, the Zone, and the Developer do hereby covenant and agree as follows: 1. Plans and specifications for the design and construction of the Facilities were prepared by LJA Engineering, Inc., the engineers for the District and the Zone (the "Engineers"), and have been approved by all governmental agencies having jurisdiction. The Developer has or shall advance funds to pay all engineering fees related to the preparation of such plans and specifications. 2. Based upon the recommendation of the Engineers and in accordance with applicable competitive bidding statutes, the District approved the award of the contract for construction of the Facilities to Menade, Inc. The District will be the owner of the contract and will execute and approve all contract documents and pay estimates during construction. The Engineers will review and approve pay estimates which separate the costs of the Facilities between the District and the Zone. The Developer has or shall advance funds to pay all construction costs for the Facilities. Upon completion of the construction, the Facilities will be conveyed to the District, the Zone, or the Shadow Creek Ranch Maintenance Association, as appropriate, who will thereafter own, maintain, and operate the.Facilities. 3. The District or the Zone, as appropriate, shall reimburse the Developer for all funds paid on behalf of the District or the Zone by the Developer related to the Facilities in accordance with their financing agreements. Mud I-GCWA Canal Bridge Agreement RT1RZ NO. 2O14 t S' Exhibit "A" JOINT CONSTRUCTION AND REIMBURSEMENT AGREEMENT WHEREAS, Brazoria-Fort Bend County Municipal Utility District No. 1 (the "District") has been created and organized for the purposes conferred on the District by Sections 54.201 and 49.211, Texas Water Code, including, but not limited to, the construction, maintenance and operation of water, sewer, and drainage facilities within the boundaries of the District; and WHEREAS, Reinvestment Zone No. Two, City of Pearland, Texas (the "Zone") has been created and organized for the purposes conferred on the Zone by Chapter 311 of the Texas Tax Code, including, but not limited to, the construction, maintenance, and operation of certain public improvements for the purpose of promoting the development of land within the boundaries of the Zone; and WHEREAS, the District, the Zone, and KB Home Lone Star, Inc. (the "Developer") have determined to proceed with Shadow Oaks Detention/Amenity Lakes Phase 1 (the "Facilities"); and WHEREAS, at its meeting on November 1, 2013, the District approved the award of a contract for the construction of the Facilities, based upon the recommendation of the engineers for the District and the Zone; NOW, THEREFORE, the District, the Zone, and the Developer do hereby covenant and agree as follows: 1. Plans and specifications for the design and construction of the Facilities were prepared by LJA Engineering, Inc., the engineers for the District and the Zone (the "Engineers"), and have been approved by all governmental agencies having jurisdiction. The Developer has or shall advance funds to pay all engineering fees related to the preparation of such plans and specifications. 2. Based upon the recommendation of the Engineers and in accordance with applicable competitive bidding statutes, the District approved the award of the contract for construction of the Facilities to Sonora SWQM CO dba Sonora Construction. The District will be the owner of the contract and will execute and approve all contract documents and pay estimates during construction. The Engineers will review and approve pay estimates which separate the costs of the Facilities between the District and the Zone. The Developer has or shall advance funds to pay all construction costs for the Facilities. Upon completion of the construction, the Facilities will be conveyed to the District, the Zone, or the Shadow Creek Ranch Maintenance Association, as appropriate, who will thereafter own, maintain, and operate the Facilities. 3. The District or the Zone, as appropriate, shall reimburse the Developer for all funds paid on behalf of the District or the Zone by the Developer related to the Facilities in accordance with their financing agreements. 492078 EFFECTIVE AS OF THE 6th day of June, 2014. BRAZORIA-FORT BEND COUNTY MUNICIPAL UTILITY DISTRICT NO. 1 4. '■ leside t, Board of Direc ors ATTEST: Secretary, B rd of Directors xa,cs.. ,,, (SEAL) _ " ?st,(;lk i -.:i‘ :, s g r REINVESTMENT ZONE NO. TWO, :� ` `� CITY OF PEARLAND,TEXAS lio .// y fA T Fi, Chairman, Bo./of Directors ATTEST: Secretary, B and of Directors KB HOME LONE STAR, INC. a Texas corporation By: X-0--- Name: , Ziessett 1t,- Title:_ S:. 'i7' 11z_7�_C�, Ghl�i. - 492078