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R-94-03-24-13B - 3/24/1994AMP P.O. Box3608 Stephen N. Bretsen Harrisburg, PA 171053608 Counsel Phone:717 564 - 0100 " Direct Dial: 717- 780-4467 7WX:510- 657 -4110 Mail Stop: 176 - 041 FAX: 717 - 780 -6741 04 -04 -94 14:52 RCVD AMP Incorporated March 30, 1994 Mr. Stephan L. Sheets Stephan L. Sheets & Associates PC 309 East Main Street Round Rock, Texas 78664 -5246 Re: AMP Packaging Systems, Inc. Economic Development Program Agreement with the City of Round Rock Dear Stephan: Enclosed is a fully signed copy of the Economic Development Program Agreement between AMP Packaging Systems, Inc. and the City of Round Rock. We appreciate efforts by the City of Round Rock to attract and maintain businesses. Sincerely, a;snb15.044.ym retsen cc: C. S.ggett (w /enc.) ECONOMIC DEVELOPMENT PROGRAM AGREEMENT This Economic Development Program Agreement ( "Agreement ") is made and entered into by and between AMP Packaging Systems, Inc. (the "Company "), a Delaware Corporation, and the CITY OF ROUND ROCK (the "City "), a home -rule city and municipal corporation, for the purposes and considerations stated below: RECITALS: WHEREAS, the City has adopted Resolution No. R- 94 o3 a4 establishing an Economic Development Program and authorizing this Agreement as part of the Economic Development Program; and WHEREAS, the Company desires to participate in the Economic Development Program by entering into this Agreement; NOW, THEREFORE, in consideration of the mutual benefits and promises contained herein and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties agree as follows: 1. Authorization. This Agreement is authorized by $380.001 of the Texas Local Government Code and by Resolution of the City. 2. Definitions. AMP means AMP Packaging Systems, Inc. and companies controlled by AMP Packaging Systems, Inc. Program means the economic development program established by the City pursuant to Local Government Code $380.001 and under the Resolution referenced in Section 1 above. Program Payment means the amount paid by the City to the Company each year under the Program. Property means the tract of land owned by AMP and described as Lot 1, Block B, Section 5, Oakmont Centre, according to the plat recorded in Cabinet F, Slide 139 -142, Plat Records of Williamson County, Texas, and any improvement to or equipment located on the Property, whether owned or leased by AMP. Property Tax Revenues means the amount of property tax collected by the City on the value of the Property in excess of the January 1, 1994 assessed value which is $172,922.00. With respect to property leased by AMP, Property Tax Revenues includes that portion of annual property tax, prorated on a daily basis, which is attributable to the period during which AMP was the lessee of such property. KS/ROUNDROCK AGREECON.3 3. Term. This Agreement shall be effective as of the date of execution by both parties. This Agreement shall remain in full force and effect until January 30, 1997. 4. Program Payment. Within thirty (30) days of receipt of Property Tax Revenues for 1994, 1995 and 1996 years, the City shall pay the Program Payment to the Company or as directed in writing by the Company. The City's obligation to make the Program Payments is expressly conditioned upon the Company's creation of the number of jobs set forth in paragraph 7 below. 5. Computation of Program Payment. The Program Payment for each year shall be equal to the following percentage of Property Tax Revenues. 6. Development Fees. The City agrees to waive all allowable development fees which arise as a result of the construction of facilities to be occupied by AMP and which are located on the property described on Exhibit A. 7. Job Creation. AMP agrees that its right to collect the Program Payments is subject to maintaining the following number of full -time employees on its payroll in its facilities in the City in accordance with the following schedule: AMP shall provide the City with annual manpower reports within thirty (30) days following the end of each calendar year. No Program Payment shall be due or paid until such manpower report is filed and verified. 8. Default. Year Percentage of Property Tax Revenues 1994 95% 1995 90% 1996 85% December 31, 1993 December 31, 1994 December 31, 1995 December 31, 1996 2 . 248 jobs 391 jobs 475 jobs 540 jobs If either party should default with respect to any of its obligations hereunder and should fail, within thirty (30) days after delivery of written notice of such default from the other party to cure such default, then, if AMP is in default, the City, as its sole remedy, can by action or proceeding at law or equity recover all Program Payments made and cease making future Program Payments or, if the City is in default, AMP, as its sole remedy, can by action or proceeding at law or equity seek to recover all monies owed under this Agreement. 9. Mutual Assistance. The City and AMP shall do all things necessary or appropriate to carry out the terms and provisions of this Agreement and to aid and assist each other in carrying out such terms and provisions, provided, however, AMP will not be required to create jobs except to the extent it wants to collect a Program Payment. 10. Representations and Warranties. The City represents and warrants to AMP that the Program and this Agreement are within the scope of its authority and the provisions of its charter and that it is duly authorized and empowered to establish the Program and enter into this Agreement. AMP represents and warrants to the City that it has the requisite authority to enter into this Agreement. 11. Section or Other Headings. Section or other headings contained in this Agreement are for reference purposes only and shall not affect in any way the meaning or interpretation of this Agreement. 12. Attorneys Fees. In the event any legal action or proceeding is commenced to enforce or interpret provisions of this Agreement, the prevailing party in any such legal action shall be entitled to recover its reasonable attorneys' fees and expenses incurred by reason of such action. 13. Entire Agreement. This Agreement contains the entire agreement between the parties with respect to the transaction contemplated herein. 14. Amendment. This Agreement may be amended, altered, or revoked by written instrument signed by the Company and the City. 15. Successors and Assigns. This Agreement shall be binding on and inure to the benefit of the parties, their respective successors and assigns. The Company may assign all or part of its rights and obligations hereunder only upon prior written approval of the City, which approval shall not be unreasonably withheld or delayed. The determination of such approval shall be based upon the credit worthiness and financial ability of any proposed assignee to assume such rights and 3. obligations of the Company. Notwithstanding the foregoing provisions of this Section, in the event the Company desires to transfer or assign its rights or obligations hereunder to AMP, Incorporated or any wholly owned subsidiary of AMP, Incorporated, it shall have the right to do so without the consent or approval by the City, so long as the Company shall remain responsible and obligated to the City for the performance of its obligations under this Agreement. 16. Notice. Any notice and /or statement required and permitted to be delivered shall be deemed delivered by depositing same in the United States mail, certified with return receipt requested, postage prepaid, addressed to the appropriate party at the following addresses, or at such other addresses provided by the parties in writing: COMPANY: CITY: With a copy to: 19. Severabiiity. AMP Packaging Systems, Inc. 700 -E Jeffrey Way Round Rock, Texas 78664 City Manager City of Round Rock 221 E. Main Street Round Rock, Texas 78664 Stephan L. Sheets City Attorney 309 E. Main Street Round Rock, Texas 78664 17. Interpretation. Regardless of the actual drafter of this Agreement, this Agreement shall, in the event of any dispute over its meaning or application, be interpreted fairly and reasonably, and neither more strongly for or against any party. 18. Applicable Law. This Agreement is made, and shall be construed and interpreted under the laws of the State of Texas and venue shall lie in Williamson County, Texas. In the event any provision of this Agreement is illegal, invalid, or unenforceable under present or future laws, then, and in that event, it is the intention of the parties hereto that the remainder of this Agreement shall not be affected thereby, and it is also the intention of the parties to this Agreement that in lieu of each clause or provision that is found to be illegal, invalid, or unenforceable a provision be added to this Agreement which is legal, valid and enforceable and is as similar in terms as possible to the provision found to be illegal, invalid or unenforceable. 4. 20. Counterparts. This Agreement may be executed in multiple counterparts, each of which shall be considered an original, but all of which shall constitute one instrument. ATTEST: 1 1x///4' 'ANNE LAND, Cit Secretary 5. CITY 0 1 ROUND ROCK CHARLES CULPEPP R ayor AMP PACKAGING SYSTEMS, INC. 22 '3,66 458/26 G� \\ (REM. 38.58AC) ■ \ • Mc NEIL CONSUMER PROD. CO. ( REM. 94.39 AC) 65.388 AC Ao � o\ BORROUGHS CORP, 100.00 AC SCALE: I 400 ry 0� 8 \u 00. 3 A =14137 229. OAK MON Ar244.33' n 1 -r r v L_IV 1 1 B 2 m ATTEST: RESOLUTION NO. e94-03-J4_ /3 Q WHEREAS, the City of Round Rock ( "City ") has previously adopted R 94 Resolution No. - -.. /.34 establishing an Economic Development Program to promote local economic development and to stimulate business and commercial activity in Round Rock, as authorized by Sec. 380.001 of the Texas Local Government Code, and WHEREAS, the City desires to participate in the Economic Development Program by entering into an Economic Development Program Agreement with AMP Packaging Systems, Inc. ( "AMP "), Now Therefore BE IT RESOLVED BY THE COUNCIL OF THE CITY OF ROUND ROCK, TEXAS, That the Mayor is hereby authorized and directed to execute on behalf of the City an Economic Development Program Agreement with AMP, a copy of said agreement being attached hereto and incorporated herein for all purposes. RESOLVED this 24th day of March, 1994. KS/RESOLUTION RS03244B E LAND, City Secretary CHARLES CULP£PPER, Mayor City of Round Rock, Texas 1. Authorization. KS/ROUNDROCK AGREECON.3 ECONOMIC DEVELOPMENT PROGRAM AGREEMENT This Economic Development Program Agreement ( "Agreement ") is made and entered into by and between AMP Packaging Systems, Inc. (the "Company "), a Delaware Corporation, and the CITY OF ROUND ROCK (the "City "), a home -rule city and municipal corporation, for the purposes and considerations stated below: RECITALS: WHEREAS, the City has adopted Resolution No. R-0-03-0 -03'0 establishing an Economic Development Program and authorizing this Agreement as part of the Economic Development Program; and WHEREAS, the Company desires to participate in the Economic Development Program by entering into this Agreement; NOW, THEREFORE, in consideration of the mutual benefits and promises contained herein and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties agree as follows: This Agreement is authorized by §380.001 of the Texas Local Government Code and by Resolution of the City. 2. Definitions. AMP means AMP Packaging Systems, Inc. and companies controlled by AMP Packaging Systems, Inc. Program means the economic development program established by the City pursuant to Local Government Code §380.001 and under the Resolution referenced in Section 1 above. Program Payment means the amount paid by the City to the Company each year under the Program. Property means the tract of land owned by AMP and described as Lot 1, Block B, Section 5, Oakmont Centre, according to the plat recorded in Cabinet F, Slide 139 -142, Plat Records of Williamson County, Texas, and any improvement to or equipment located on the Property, whether owned or leased by AMP. Property Tax Revenues means the amount of property tax collected by the City on the value of the Property in excess of the January 1, 1994 assessed value which is $172,922.00. With respect to property leased by AMP, Property Tax Revenues includes that portion of annual property tax, prorated on a daily basis, which is attributable to the period during which AMP was the lessee of such property. 3. Term. 4. Program Payment. 6. Development Fees. 7. Job Creation. 8. Default. This Agreement shall be effective as of the date of execution by both parties. This Agreement shall remain in full force and effect until January 30, 1997. Within thirty (30) days of receipt of Property Tax Revenues for 1994, 1995 and 1996 years, the City shall pay the Program Payment to the Company or as directed in writing by the Company. The City's obligation to make the Program Payments is expressly conditioned upon the Company's creation of the number of jobs set forth in paragraph 7 below. 5. Computation of Program Payment. The Program Payment for each year shall be equal to the following percentage of Property Tax Revenues. Year Percentage of Property Tax Revenues 1994 95% 1995 90% 1996 85% The City agrees to waive all allowable development fees which arise as a result of the construction of facilities to be occupied by AMP and which are located on the property described on Exhibit A. AMP agrees that its right to collect the Program Payments is subject to maintaining the following number of full -time employees on its payroll in its facilities in the City in accordance with the following schedule: December 31, 1993 248 jobs December 31, 1994 391 jobs December 31, 1995 475 jobs December 31, 1996 540 jobs AMP shall provide the City with annual manpower reports within thirty (30) days following the end of each calendar year. No Program Payment shall be due or paid until such manpower report is filed and verified. If either party should default with respect to any of its obligations hereunder and should fail, within thirty (30) days after delivery of written notice of such default from the other party to cure such default, then, if AMP is in default, the City, 2. as its sole remedy, can by action or proceeding at law or equity recover all Program Payments made and cease making future Program Payments or, if the City is in default, AMP, as its sole remedy, can by action or proceeding at law or equity seek to recover all monies owed under this Agreement. 9. Mutual Assistance. The City and AMP shall do all things necessary or appropriate to carry out the terms and provisions of this Agreement and to aid and assist each other in carrying out such terms and provisions, provided, however, AMP will not be required to create jobs except to the extent it wants to collect a Program Payment. 10. Representations and warranties. The City represents and warrants to AMP that the Program and this Agreement are within the scope of its authority and the provisions of its charter and that it is duly authorized and empowered to establish the Program and enter into this Agreement. AMP represents and warrants to the City that it has the requisite authority to enter into this Agreement. 11. Section or Other Headings. Section or other headings contained in this Agreement are for reference purposes only and shall not affect in any way the meaning or interpretation of this Agreement. 12. Attorneys Fees. In the event any legal action or proceeding is commenced to enforce or interpret provisions of this Agreement, the prevailing party in any such legal action shall be entitled to recover its reasonable attorneys' fees and expenses incurred by reason of such action. 13. Entire Agreement. This Agreement contains the entire agreement between the parties with respect to the transaction contemplated herein. ' 14. Amendment. This Agreement may be amended, altered, or revoked by written instrument signed by the Company and the City. 15. Successors and Assigns. This Agreement shall be binding on and inure to the benefit of the parties, their respective successors and assigns. The Company may assign all or part of its rights and obligations hereunder only upon prior written approval of the City, which approval shall not be unreasonably withheld or delayed. The determination of such approval shall be based upon the credit worthiness and financial ability of any proposed assignee to assume such rights and 3. 17. Interpretation. obligations of the Company. Notwithstanding the foregoing provisions of this Section, in the event the Company desires to transfer or assign its rights or obligations hereunder to AMP, Incorporated or any wholly owned subsidiary of AMP, Incorporated, it shall have the right to do so without the consent or approval by the City, so long as the Company shall remain responsible and obligated to the City for the performance of its obligations under this Agreement. 16. Notice. Any notice and /or statement required and permitted to be delivered shall be deemed delivered by depositing same in the United States mail, certified with return receipt requested, postage prepaid, addressed to the appropriate party at the following addresses, or at such other addresses provided by the parties in writing: COMPANY: AMP Packaging Systems, Inc. 700 -E Jeffrey Way Round Rock, Texas 78664 CITY: City Manager City of Round Rock 221 E. Main Street Round Rock, Texas 78664 With a copy to: Stephan L. Sheets City Attorney 309 E. Main Street Round Rock, Texas 78664 Regardless of the actual drafter of this Agreement, this Agreement shall, in the event of any dispute over its meaning or application, be interpreted fairly and reasonably, and neither more strongly for or against any party. 18. Applicable Law. This Agreement is made, and shall be construed and interpreted under the laws of the State of Texas and venue shall lie in Williamson County, Texas. 19. Severability. In the event any provision of this Agreement is illegal, invalid, or unenforceable under present or future laws, then, and in that event, it is the intention of the parties hereto that the remainder of this Agreement shall not be affected thereby, and it is also the intention of the parties to this Agreement that in lieu of each clause or provision that is found to be illegal, invalid, or unenforceable a provision be added to this Agreement which is legal, valid and enforceable and is as similar in terms as possible to the provision found to be illegal, invalid or unenforceable. 4. 20. Counterparts. This Agreement may be executed in multiple counterparts, each of which shall be considered an original, but all of which shall constitute one instrument. ATTEST: E LAND, City Secretary 5. CITY QF ROUND ROCK CHARLES CULPEPP Mayor AMP PACKAGING SYSTEMS, INC. Date: March 22, 1994 Subject: City Council Meeting, March 24, 1994 Item: 13.B. Consider a resolution authorizing the Mayor to enter into into an Economic Development Agreement with AMP. Staff Resource Person: Joe Vining Recommendation: Approval Staff will make a presentation at the meeting. AMP 700 -E Jeffrey Way Round Rock, Texas 78664 Phone: 512-244-5100 Fax: 512 - 244 -5132 AMP Packaging Systems, Inc. Jan. 19, 1996 City Manager City of Round Rock 221 East Main Street Round Rock, Texas 78664 RE: Economic Development Program No. R- 94- 03- 24 -13A Dear Sir /Madame Pursuant to Resolution No. R- 94- 03- 24 -13A by which the City of Round Rock has established and authorized an Economic Developement Program, AMP Packaging Systems, Incorporated having entered in to such program has successfully created and (or) maintained (510) jobs for calendar year 1995. According to the Agreement, as authorized by 380.001 of the Texas Local Government Code and by Resolution of the City, AMP has agreed to rightfully collect Program Payments subject to maintaining the following number of full - time employees on its payroll in its facilities in the City in accordance with the following schedule: December3l, 1993 December31, 1994 December 31, 1995 December 31, 1996 Sincerely Robert -. Pugh Director of Finance 248 jobs 391 jobs 475 jobs 540 jobs AMP Packaging Systems, Inc. has exceeded the job requirements set forth in 1995 employing (510) employees. In closing, please feel free to forward all questions or comments to my attention at (512)244 -5108 or at the address listed above. RECEIVED JAN 2 6 1946 M 5° a N Q � C tURN RECEIPT REQUESTED N AMP Packaging Systems, Inc. 700 -E Jeffrey Way Round Rock, Texas 78664 CERTIFIED Z 109 254 1$0 RMAIL' o ct at n over top o envelu e to the RECEIVED JAN 2 $ egs •