R-95-01-12-10B - 1/12/1995RESOLUTION NO. R- 95 G/- 49-106
WHEREAS, the City has previously entered into a contract ( "Contract") with
the Texas Department of Housing and Community Affairs ( "Department ") for the
Texas Capital Fund for an economic development program for Dell Computer
Corporation, and
WHEREAS, the City desires to amend the Contract, Now Therefore,
BE IT RESOLVED BY THE COUNCIL OF THE CITY OF ROUND ROCK,
TEXAS,
That:
1. The City Council authorizes a contract amendment request to be
submitted to the Texas Community Development Program for the
activities as described on Exhibit A.
2. The Council authorizes and directs the Mayor to execute all necessary
documents as may be required to initiate and process the
Contract amendment request.
RESOLVED this 12th day of January, 1995.
ATTEST:
NE LAND, City Secretary
CHARLES CU :' !'ER, Mayor
City of Round Rock, Texas
EXHIBIT A
Proposed activities and changes to the Contract between the City and the Department:
1.) Add the Boardwalk waterline as described: 5446 LF of 16" waterline, 16 fire hydrants
with Tee's and valves, a 16 x 16 Tee with valve and plug, 2 air valves, fittings,
erosion/sedimentation control. revegatation and 5430 LF of trench safety to be paid for by
current local match by the City (5316,000.00).
2.) The City will pay increased engineering fees of 529,600.00 for the Boardwalk waterline
with current local match and Capital Fund pay 54,900.00 for further engineering required on
the drainage channel.
3.) The Capital Fund will pay S20,000.00 increased administration fees for further contract
administration including more acquisition.
4.) The Capital Fund will pay City's legal fees as credited to this project.
5.) The contractual number of jobs listed to be maintained in Austin by Dell is incorrect per
Dell's description. Please note the summary of the calculation the company performed to
figure the actual number of full -time permanent employees as of 12/12/93 and correct:
Number of employee per payroll on 12/31/93 4025
Duplicate employee numbers for same employee list 52
Terminated before 12/12/93 28
Interns 125
Part -time employees 10
Temporary employees 40
Record test (fake employee numbers) 14
Hired after 12/12/93 124
Remote employees (not employed in Austin) 58
Expatriates (not employed in Austin) 8
Other 3
TOTAL 3563 (actual number of
employees on payroll on
12/31/93)
DATE: January 10, 1995
SUBJECT: City Council Meeting, January 12, 1995
ITEM: 10.B. Consider a resolution authorizing the Mayor to submit a
request to the Texas Department of Housing and
Community Affairs for Program Amendment #2 to
Capital Fund Project Contract No. 703152. (Dell Computer
Corporation)
Staff Resource Person: Joe Vining
Staff Recommendation: Approval
The City, the consultant, and the engineer on the Dell project all understood the
agreement from last summer to be that the city's match would be partially met by
constructing the 16" waterline from Greenlawn Boulevard around the perimeter of
the Dell and Boardwalk sites to Corridor Park II. However, TDHCA officials now
claim that this waterline was not included in the contract.
The contract put the City's local match into other water and drainage improvements.
The City asks that this waterline be added to the contract as a correction and that the
engineering fees be increased for the design and construction of the waterline. The
waterline is needed to provide adequate water to the Dell building for proper fire
protection and will also serve other businesses in the area.
Mayor
Charles Culpepper
Mayor Pro.tem
Robert Sauk.
Council Members
Rod Morgan
Rick Stewart
Earl Palmer
Martha Chacea
Jimmy Joseph
City Manager
Robert L. Bennett, J,,
City Attorney
Stephan L. Sheets
February 13, 1995
THE CITY OF ROUND ROCK
221 East Main Street
Round Rock, Texas 78664
512- 255 -3612
Ms. Ruth Cedillo, Manager
Texas Community Development Program
PO Box 12026, Capital Station
Austin, Texas 78711 -2026
Re: City of Round Rock Capital Fund Project Contract No. 703152
Program Amendment Request No. 2
Dear Ms. Cedillo:
Enclosed are the two signed copies of Amendment No. 2 to Contract No. 703152
between the city of Round Rock and the Texas Department of Housing and
Community Affairs. Please forward an original signed document back to the city
once it has been endorsed by Mr. Flores.
Thank you.
rely,
47�J
Mona Ryan, PI ng Technician
City of Round Rock
Enclosure
c: Dell contract file no. 703152
Fax 512- 255 -6676 1. 800 - 735 -2989 (TDD) 1- 800 - 735 -2988 (Voice)
STATE OF TEXAS
COUNTY OF TRAVIS
Section 1.
AMENDMENT NO. 2 TO
TEXAS COMMUNITY DEVELOPMENT PROGRAM
CONTRACT NO. 703152
TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS
AND THE
CITY OF ROUND ROCK
The Texas Department of Housing and Community Affairs, an agency of the State of Texas,
hereinafter referred to as "Department ", and the City of Round Rock, hereinafter referred to as
"Contractor", do hereby contract and agree to amend their original contract, as initially executed by
the Executive Director of the Department effective December 13, 1993, through December 12, 1995,
for the performance of economic development activities.
Section 2.
The parties hereto agree to amend the contract identified in Section 1 above so that Exhibit A,
Performance Statement, is revised to read hereafter as given in the Performance Statement
attached to this amendment, hereinafter referred to as Exhibit A, and hereby made a part of this
amendment. Exhibit A consists of three (3) pages.
Section 3.
The parties hereto agree to amend the contract identified in Section 1 above so that Exhibit B,
Budget, is revised to read hereafter as given in the Budget attached to this amendment, hereinafter
referred to as Exhibit B, and hereby made a part of this amendment. Exhibit B consists of one (1)
page.
Section 4.
The parties hereto agree that this amendment shall become effective on February 8, 1995.
Section 5.
The parties hereto agree that this amendment shall require no change to previously approved
funding.
Page 1 of 2
Section 6.
The parties hereto agree that all of the terns of the contract identified in Section 1 above shall
remain in effect and shall continue to govem except to the extent that they conflict with the terms of
this amendment.
Section 7.
The parties hereto agree that nothing in this amendment shall be construed as authorizing any
violation of federal, state or local laws or regulations as they pertain to the contract identified in
Section 1 above.
Section 8.
By the signing of this amendment, the parties hereto expressly understand and agree that this
amendment shall become a part of the contract identified above in Section 1 above as though it were
set forth word for word therein.
WITNESS OUR HANDS EFFECTIVE FEBRUARY 8, 1995.
Charles Culp ppbr, Mayor
City of Round Rock
Approved and accepted on behalf of the Texas Department of Housing and Community Affairs.
Henry Flores, Executive Director
Texas Department of Housing and Community Affairs
This contract amendment is not effective unless signed by the Executive Director of the Texas
Department of Housing and Community Affairs, or his/her authorized designee.
Page 2 of 2
Project Description
Financial Information
EXHIBIT A
PERFORMANCE STATEMENT
City of Round Rock
Contractor shall carry out the following activities in the target area(s) identified on the map in its
1993 Economic Development application:
The purpose of this Economic Development project is to provide infrastructure improvements in the
form of water lines, sewer lines, gas lines, drainage and street construction in support of Dell Computer
Corporation (Dell) (hereinafter referred to as the Company). The infrastructure improvements will allow
the Company to expand its operations into the city of Round Rock. The Company manufactures, sells
and distributes personal computers.
Contractor shall inject Twenty -five Thousand Eight Hundred Fifty -five and No /100 Dollars ($25,855)
of contract funds to carry out acquisition of infrastructure related real property, easements and/or rights -
of -way in compliance with the Uniform Relocation Assistance and Real Property Acquisition Policies Ad
of 1970 (42 U.S.C. Sec. 4601 et.seq.) and HUD implementing regulations (49 C.F.R. Part 24).
Contractor shall acknowledge the net equity value in the site owned by the Company as Two Hundred
Fifty -six Thousand Nine Hundred Thirty and No /100 Dollars ($256,930). The site, identified in the
application, is where the Company will construct their proposed two story office building. The cost of
building construction is not a part of this phase of the project.
Contractor shall inject One Million Two Hundred Eighty -nine Thousand Four Hundred Forty -eight
and No /100 Dollars ($1,289,448) of contract funds to provide the following infrastructure improvements.
1. Four Hundred Ninety-nine Thousand Four Hundred Thirty-seven and No /100 Dollars
($499,437) to construct approximately one thousand nine hundred (1,900) linear feet of sixty (60)
foot width asphalt roadway beginning at the end of the existing Williamson Drive and proceeding
southeastward to Greenlawn Boulevard; curb and gutter, new light poles, fixtures and wiring; storm
drains; one thousand two hundred seventy -five (1,275) linear feet of trench safety; one thousand
five hundred seventy -five (1,575) linear feet of drainage reinforced concrete pipe; striping;
sedimentation and erosion control costs. Various intersection improvements at Williamson Drive
and Greenlawn Boulevard to include: eight hundred twenty (820) linear feet of curb and gutter
removal; asphalt removal; construction of one thousand three hundred seventy (1,370) linear feet
of curb and gutter, temporary traffic control; utility pole location; striping; sedimentation and erosion
control costs.
2. Five Hundred Sixteen Thousand Forty -five and No /100 Dollars ($516,045) to construct an
off -site drainage channel beginning east of the project site to just south of Gattis School Road.
This drainage channel will be both earthen and concrete lined and includes a culvert at Hampton
Lane.
3. One Hundred Seventy -six Thousand Five Hundred Seventy-seven and No /100 Dollars
($176,577) to constructfinstall approximately one thousand nine hundred eighteen (1,918) linear
feet of sixteen (16) inch water line; eighty -five (85) linear feet of sixteen (16) inch bore and casing;
Page 1 of 3
five hundred forty-eight (548) linear feet of twelve (12) inch water line; eighty (80) linear feet of six
(6) inch water line; related gate and butterfly valves; three (3) fire hydrants on the north side of
Williamson Drive; two thousand five hundred fifty -one (2,551) linear feet of trench safety; related
fittings; and sedimentation and erosion control costs. The proposed line begins at the end of the
existing end of Williamson Drive and proceeds along the proposed Williamson Drive extension to
the intersection with Greenlawn Boulevard. It also includes a fire protection line from the southeast
end of the Williamson Drive extension to the southeast comer of the proposed building and a
potable water supply line from the northwest end of the Williamson Drive extension to the
northwest comer of the proposed building.
4. Sixty -six Thousand Three Hundred Nine and No /100 Dollars ($66,309) to construct/install
approximately one thousand five hundred sixty-three (1,563) linear feet of eight (8) inch gravity
sewer line; seven (7) manholes; one thousand five hundred sixty -three (1,563) linear feet of trench
safety; twenty -five (25) square yards of pavement repair, and sedimentation and erosion control
costs. The proposed line begins south of the end of the existing Williamson Drive and proceeds
eastward to and then along the proposed Williamson Drive extension to a point three hundred
(300) linear feet south of the north property line. Then the line proceeds eastward across the
project site to the northwest comer of the proposed building.
5. Thirty-one Thousand Eighty and No/100 Dollars ($31,080) to construct/install approximately
one thousand five hundred (1,500) linear feet of four (4) inch gas line; three hundred sixty -five
(365) linear feet of two (2) inch gas line; fittings; and sedimentation and erosion control costs. This
line begins at the intersection of the northeast comer of the project site and Greenlawn Boulevard
and proceeds south along Greenlawn to the Williamson Drive extension; then west on Williamson
Drive to a point even with the southeast comer of the proposed building; then proceeding
northward onto the project site to the southeast comer of the proposed building.
Contractor shall inject Three Hundred Sixteen Thousand and No /100 Dollars ($316,000) of
Contractors funds to install five thousand four hundred forty-six linear feet (5,446 I.f.) of sixteen inch
waterline along Boardwalk, sixteen (16) fire hydrants with Tee's and valves, a sixteen by sixteen (16 x
16) Tee with valve and plug, two (2) air valves, fittings, erosion, sedimentation control, revegatation and
five thousand four hundred thirty linear feet (5,430 I.f.) of trench safety.
Contractor shall ensure that the Company injects Eight Million Six Hundred Seventy-nine Thousand
Four Hundred Fourteen and No /100 Dollars ($8,679,414) in cash for this project as follows: Four
Hundred Eighteen Thousand Nine Hundred Nineteen and No /100 Dollars ($418,919) for the purchase
of machinery and equipment and Eight Million Two Hundred Sixty Thousand Four Hundred Ninety -five
and No /100 Dollars ($8,260,495) for working capital salary expenses.
Contractor shall provide to Department, upon request, evidence that project funds, both private and
contract, were expended as specified in this EXHIBIT A and in EXHIBIT B of this contract.
Enoineerinq
Contractor shall inject a total of One Hundred Twenty-six Thousand Two Hundred Ninety-three and
No /100 Dollars ($126,293) of contract funds to pay for eligible project- related engineering services, as
follows: Ninety-two Thousand Thirteen and No /100 Dollars ($92,013) to pay for eligible basic
engineering services and Thirty-four Thousand Two Hundred Eighty and No /100 Dollars ($34,280) to
pay for eligible special engineering services, including preliminary and final design plans and
specifications, interim and final inspections.
Page 2 of 3
Contractor shall inject Twenty -nine Thousand Six Hundred and No /100 Dollars ($29,600) of
Contractor's funds for engineering fees related to the Boardwalk waterline.
Administration
Contractor shall inject Seventy Thousand and No /100 Dollars ($70,000) of contract funds to carry
out project administration activities, including the cost associated with the required program fiscal and
compliance audit.
Project Outcomes
As a result of this project, Contractor shall ensure that the Company creates three hundred thirty
(330) full -time equivalent permanent jobs of which one hundred sixty -nine (169) shall be provided to low
and moderate income persons prior to the expiration date of this contract. In the event more than three
hundred thirty (330) permanent jobs are created, Contractor shall ensure that at least fifty -one percent
(51 %) of all jobs created, during the contract period, are provided to low and moderate income persons.
A low -to- moderate income person is defined in the TCDP Project Implementation Manual referenced in
Section 16. As referenced in the Special Conditions, Section 22, C, 2 (page 11) the city must enter into
a separate agreement with the Company whereby by the Company agrees not to reduce the number of
full -time employees, in the city of Austin, below the December 13th, 1993 level of three thousand five
hundred sixty -three (3,563), during the term of this contract including extensions.
Contractor shall ensure that any business that utilizes any of the infrastructure improvements being
constructed with funds provided under this contract, in whole or in part, executes a written contract with
Contractor committing to provide at least fifty -one percent (51 %) of all of the created /retained jobs to
low and moderate income individuals for a three (3) year period beginning upon completion of the
proposed infrastructure improvements. Contractor shall submit to Department no later than the
twentieth (20th) day of the month after the end of each calendar quarter of the contract period,
specified in Section 2, a Quarterly Connection Report in a format prescribed by Department.
Page 3 of 3
EXHIBIT B
BUDGET
City of Round Rock
CATEGORIES TCF OTHER TOTAL
Acquisition:
Acquisition $25,855 -0-
Equity -0- $256,930 ' $282,785
Engineering:
Basic Services 92,013 29,600 2
Special Services 34,280 -0- 155,893
Public Facilities:
Water Improvements 176,577 316,000 2
Sewer 66,309 -0-
Gas 31,080 -0-
Road " 499,437 -0-
Drainage " 516,045 -0- 1,605,448
Machinery/Equipment:
Acquisition -0- 418,919 1
Equity -0- -0- 418,919
Working Capital:
Salaries -0- 8,260,495 ' 8,260,495
SUBTOTALS $1,441,596 $9,281,944 $10,723,540
Administration 70,000 -0- 70,000
TOTALS $1,511,596 $9,281,944 $10,793,540
1 $8,936,344 Equity contribution by Dell Computer Corporation (Dell) in the form of net
equity value in the site and a cash injection for working capital that will be
used for the purchase of machinery and equipment and employee salaries.
2 $345,600 Contribution by Contractor: Three Hundred Sixteen ($316,000) for water
improvements and Twenty-nine Thousand ($29,600) for related engineering
costs.
Page 1 of 1
George W. Bush
GOVERNOR
Henry Flores
EXECUTIVE DIRECTOR
TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS
February 6, 1995
The Honorable Charles Culpepper
Mayor, City of Round Rock
221 East Main Street
Round Rock, Texas 78664
Re: Texas Community Development Program (TCDP)
Economic Development (ED) Contract No. 703152
Amendment No. 2
Dear Mayor:
Sincerely,
Ruth Cedillo, Director
Texas Community Development Program
RC:drg
Enclosure
cc: Contract File
.P 950 -0-
Cje \4d a - qs
Enclosed are two (2) copies of Amendment No. 2 to Contract No. 703152 between the city of
Round Rock and the Texas Department of Housing and Community Affairs, for your review and
signature. Please sign and return both copies to this office at your earliest convenience. After
the amendment has been signed by the Executive Director of the Department, we will provide
you with a copy for your files.
Should you have any questions or need additional information, please do not hesitate to call
Joe Ramos at (512) 305 -9090
BOARD MEMBERS
Paul R. Rodriguez
Chairman
Harvey Clemons Jr.
Elizabeth Flores
Richard C. Nile
Joseph Kemp
Walter Martinez
Mary Sanger
Susan Sharlol
811 BARTON SPRINGS ROAD - SUITE 100 • P. 0. BOX 13941 • AUSTIN, TEXAS 78711 -3941 • (512) 475 -3800