R-95-12-14-13B - 12/14/1995ATTEST:
RESOLUTION NO. R- 95- 12- 14 -13B
WHEREAS, the City Council, on the 21st day of November, 1995, in
Ordinance No. G- 95- 11- 21 -9E, created Reinvestment Zone No. Thirteen in
the City of Round Rock, Texas, and
WHEREAS, in accordance with Chapter 312, Tax Code, V.A.T.S. as
amended, the City desires to enter into a tax abatement agreement with
Mid States Plastics regarding property located in said Reinvestment
Zone No. Thirteen, and
WHEREAS, the Council has determined that all requirements of the
guidelines and criteria adopted by Ordinance No. G- 93- 12 -09 -9G have
been complied with, 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 a Tax Abatement Agreement with Mid States Plastics.
RESOLVED
this 14th day of December, 1995.
E LAND, City Secretary
C:\ HFDDCS \RBSDLDTI \RS51214B.HPD /kg
CHARLES CULPEP R, Mayor
City of Round Rock, Texas
THE STATE OF TEXAS
COUNTY OF WILLIAMSON
TAX ABATEMENT AGREEMENT
This Tax Abatement Agreement ( "Agreement ") is entered into by
and between the City of Round Rock, Texas, a home rule city and
municipal corporation of Williamson County, Texas, duly acting herein
by and through its Mayor, hereinafter referred to as "City "; and Mid -
State Plastics, a division of Anchor Advanced Products, Inc., a
Tennessee corporation, duly acting by and through its President or
any Vice President, hereinafter referred to as "Owner ".
RECITALS
WHEREAS, on the 21st day of November, 1995, the City Council of
the City of Round Rock, Texas, adopted Ordinance No. G- 95- 11 -21 -9E
establishing Reinvestment Zone No. 13, City of Round Rock, Texas for
commercial /industrial tax abatement, hereinafter referred to as
"Ordinance No. G- 95- 11- 21 -9E ", as authorized by Chapter 312, Tax
Code, V.A.T.S. as amended, hereinafter referred to as the "Code "; and
WHEREAS, the City has adopted Ordinance No. G- 93- 12- 09 -9G, which
Ordinance adopted appropriate guidelines and criteria governing
reinvestment zones and tax abatement agreements to be entered into
by the City as contemplated by the Code; and
WHEREAS, the contemplated use of the Premises (as hereinafter
defined) and Improvements (as hereinafter defined) as well as the
terms of this Agreement are consistent with encouraging development
in said Reinvestment Zone No. 13 in accordance with the purposes for
its creation and are in compliance with Ordinance No. G- 93- 12 -09 -9G
and the guidelines and criteria adopted by the City and all
applicable laws; and
WHEREAS, the Improvements constitute a major investment within
Reinvestment Zone No. 13 that will substantially increase the
appraised value of property within the zone and will contribute to
the retention or expansion of primary and secondary employment within
the City; and
WHEREAS, the City find that there will be no substantial adverse
effects on the provision of governmental services or on its tax base
and that the planned use of the Premises will not constitute a hazard
to public safety, health, or welfare, NOW THEREFORE, the parties
hereto do mutually agree as follows:
C:\ WPDDCE\ ACITY\ ABAT E1EN\MIDSTATE \TAARED.WP ID/ s1s
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1. Property subject to Agreement. The property to be the
subject of this Agreement shall be that property included within
Reinvestment Zone No. 13 which is more fully described in Exhibit "A"
which is made a part hereof and shall be hereinafter referred to as
the "Premises."
2. Construction of Improvements. The Owner shall promptly
commence construction of its facility as described in Exhibit "B" on
the Premises (said facility hereinafter referred to as
"Improvements ".) The total construction cost of the Improvements is
approximately One Million, Two Hundred Fifty Thousand and no /100
Dollars ($1,250,000.00), which Improvements are to be substantially
complete on or about May 1, 1996; provided that Owner shall have such
additional time to complete the Improvements as may be required in
the event of "force majeure" if Owner is diligently and faithfully
pursuing completion of the Improvements. For this purpose, "force
majeure" shall mean any contingency or cause beyond the reasonable
control of Owner including, without limitation, acts of God or the
public enemy, war, riot, civil commotion, insurrection, governmental
or de facto governmental action (unless caused by acts or omissions
of Owner), fires, explosions or floods, and strikes. The date of
completion of the Improvements shall be defined as the date a
Certificate of Occupancy is issued by the City.
3. Completion of Improvements. The Owner agrees and covenants
that it will diligently and faithfully in a good and workmanlike
manner pursue the completion of the Improvements as a good and
valuable consideration of this Agreement. Owner further covenants and
agrees that all construction of the Improvements will be in
accordance with all applicable state and local laws and regulations
or valid waiver thereof. In further consideration, Owner shall
thereafter, from the date a Certificate of Occupancy is issued until
the expiration of this Agreement, continuously operate and maintain
the Premises as a semiconductor fabrication facility.
4. Provision of jobs. The Owner agrees and covenants that it
will provide and /or retain at least the number of jobs on the
Premises from the completion date of the Improvements throughout the
term of this Agreement according to the following schedule:
Date Retain New Total
On May 1, 1996 56 80 136
On December 31, 1996 136 0 136
On December 31, 1997 136 0 136
On December 31, 1998 136 0 136
The Owner shall provide to the City annual manpower reports in
the form attached hereto as Exhibit "E" and made a part hereof,
within sixty (60) days following the end of each calendar year.
2
Regardless of anything contained herein to the contrary, the
failure by Owner to provide the number of jobs set out in the above
schedule shall not be considered an event of default as defined in
paragraph 10 below unless the number of jobs actually provided is
less than seventy -five percent (75 %) of the number set out in the
schedule. If the actual number of jobs provided at the end of any
year is less than the scheduled number but is seventy -five percent
(75 %) or more, then the percentage of tax abatement for the following
year as provided in paragraph 7 below shall be reduced. The
percentage of tax abatement shall be reduced by the same percentage
that the actual number of jobs bears to the scheduled number of jobs.
By way of illustration, if on December 31, 1996 Owner has provided
ten percent (10 %) fewer jobs than is required, then its abatement
shall be reduced by ten percentage points (i.e. the 90% abatement
shall be reduced ten percentage points to an 90% abatement.) Failure
of the Owner to provide at least seventy -five percent (75 %) of the
number of jobs required by this Agreement shall be considered an
event of default.
6. Application for tax abatement. The Owner agrees and
covenants that the attached application for tax abatement (Exhibit
"C") is a part of this Agreement, and Owner further warrants that the
information provided in that application is true and correct. If any
materially false or misleading information is provided in said
application, City shall have the discretion to declare this Agreement
to be in default and City shall be entitled to the remedies provided
for in paragraph 10.
7. Portion of taxes abated. Subject to the terms and
conditions of this Agreement, and subject to the rights of the
holders of any outstanding bonds of the City, a portion of ad valorem
real property taxes from the Premises otherwise owed to the City
shall be abated. City hereby acknowledges that it is not aware of any
terms or conditions of any outstanding bonds which would invalidate
this Agreement. Said abatement shall be an amount equal to the below -
stated percentages assessed upon the increased value of the Premises
and Improvements over the value in the year in which this Agreement
is executed, in accordance with the terms of this Agreement and all
applicable state and local regulations. The percentage of abatements
are as follows:
Tax Year 1996
Tax Year 1997
Tax Year 1998
3
90% abatement
60% abatement
30% abatement
These abatements shall be for three (3) tax years beginning
January 1, 1996.
8. Right of inspection. The Owner further agrees that the
City, its agents and employees shall have the right to enter upon the
Premises at any reasonable time to inspect the Improvements in order
to determine whether the construction of the Improvements is in
accordance with this Agreement and all applicable Federal, state, and
local laws, ordinances, and regulations or valid waiver thereof.
After completion of the Improvements, the City shall have the
continuing right to enter upon and inspect the Premises at any
reasonable time to determine whether the Premises are thereafter
maintained and operated in accordance with this Agreement and all
applicable Federal, state, and local laws, ordinances, and
regulations. If the City determines that a violation of a Federal,
state or local law, ordinance or regulation exists on the Premises,
the City may, in addition to any other authorized enforcement action,
provide to the Owner written notice of such violation. For the
purposes of this Agreement, the Owner shall have ten (10) days from
the date of the notice to cure or remedy such violation. If the Owner
fails or refuses to cure or remedy the violation within the ten (10)
day period, the Owner is subject to the forfeiture, at the discretion
of the City, of any right to any tax abatement for a portion of the
period or the entire period covered by this Agreement. In addition,
the failure or refusal to cure or remedy the aforesaid violation
shall be considered a default of this Agreement under paragraph 10.
9. Additional assessed value of property added to the
Premises. The Owner agrees and covenants that upon completion of the
Improvements and during the term of this Agreement that the
Improvements and added personal property shall provide additional
assessed value over and above the value of the existing taxable
property of not less than One Million Two Hundred Sixty Thousand and
no /100 Dollars ($1,260,000.00).
Within sixty (60) days following completion of the Improvements
and by March 1, of each year thereafter, Owner shall provide to the
City documentation showing to the satisfaction of the City that the
cost of taxable real property, personal property and equipment within
sixty (60) days following completion of the Improvements is in
compliance with the foregoing requirement.
10. Events of default. In the event that (1) the Improvements
for which an abatement has been granted are not completed in
accordance with this Agreement or (2) Owner allows its ad valorem
taxes owed the City to become delinquent and fails to timely and
properly follow the legal procedures for protest and /or contest of
any such ad valorem taxes; or (3) Owner breaches any of the terms or
conditions of this Agreement, then this Agreement shall be in
default. In the event that the Owner defaults in its performance of
(1), (2), or (3) above, then the City shall give the Owner written
notice of such default and if the Owner has not cured such default
within thirty (30) days of said written notice, this Agreement may
be terminated by the City by written notice to Owner. Such notice
shall be in writing and shall be delivered by personal delivery or
certified mail to:
4
12. Authorizations.
Charles Parker
Director of Operations
Mid -State Plastics
2820 Oakmont Dr.
Round Rock, Texas 78664
As liquidated damages in the event of default and in accordance
with Section 312.205, Tax Code, V.A.T.S., as amended, all taxes which
otherwise would have been paid to the City without the benefit of
abatement (without the addition of penalty, but interest will be
charged at the statutory rate for delinquent taxes as determined by
Section 33.01 of the Tax Code) shall become a debt owed by Owner to
the City and shall be due, owing and paid to the City within sixty
(60) days of the expiration of the above mentioned applicable cure
period. The City shall have all remedies for the collection of the
recaptured tax revenue as provided generally in the Tax Code for the
collection of delinquent property taxes.
11. Agricultural land. It is understood and agreed by the City
and the Owner that if the Premises have been designated and taxed as
agricultural land pursuant to Chapter 23, Subchapter C, Tax Code,
V.A.T.S., this Agreement shall not be effective and no abatement will
be granted until Owner has removed the agricultural use designation
and all taxes due pursuant to Section 23.55, Tax Code, V.A.T.S., as
amended, (roll back taxes) have been paid.
a) City. This Agreement was authorized by Resolution of
the City Council at its council meeting on the 14th day of
December, 1995, authorizing the Mayor to execute the Agreement
on behalf of the City.
b) Mid -State Plastics. This Agreement was authorized by
Mid -State Plastics a division of Anchor Advanced Products
pursuant to authority granted by its Board of Directors on the
13th day of December, 1995, whereby the Facility Manager was
authorized to execute this Agreement on thel4thday of December
1995, a copy of which authorization is attached hereto as
Exhibit "D ".
13. Miscellaneous provisions.
a) Citv representations. The City represents and warrants
that the Premises does not include any property that is owned
by a member of the city council or boards, agencies,
commissions, or other governmental bodies approving, or having
responsibility for the approval of, this Agreement.
5
EST:
b) Agreement binds successors. The terms and conditions of
this Agreement are binding upon the successors and assigns of
all parties hereto.
c) Assignment. This Agreement cannot be assigned by Owner
unless written permission is first granted by the City, which
permission shall not be unreasonably withheld; provided however,
Owner may assign its rights under this Agreement to an entity
which is wholly owned by Owner. No assignment shall be approved
if the assignor or assignee are indebted to the City for ad
valorem taxes or other obligations.
d) Owner acting independently It is understood and agreed
between the parties that the Owner, in performing its
obligations hereunder, is acting independently, and the City
assumes no responsibilities or liabilities in connection
therewith to third parties.
e) Owner's Indemnity. During the term of this Agreement,
Owner agrees to indemnify and hold City harmless from any and
all kinds of claims, losses, damages, injuries, suits, or
judgments which may accrue to Owner, City, or third parties
arising out of this Agreement.
f) Venue. This Agreement is performable in Williamson
County, Texas, and venue for any suit arising hereunder shall
be in Williamson County, Texas.
Witness our hands this 14th day of December
, 19 95
NNE LAND, City Secretary
N L. SHEET , City Attorney
CITY ,OF ROUND ROCK, TEXAS
CHARLES CUL R, Mayor
6
APPROVED AS TO FORM:
By:
, Corporate Attorney
7
Mid -State lastics/ a 'vision of
Anchor anted mod s, c.
, its 12im°G%aJZ' 07
.off /?ATiONS
Exhibit A
Legal Description
Lot 1, Block A, Oakmont Centre Section 2
EXHIBIT B
DESCRIPTION OF IMPROVEMENTS
This expansion will include a 24,000 sq.ft. extension of the building and ten
additional Van Dorn 85 -700 Ton presses with auxiliaries.
i. ":i:: r,:iti ri!n STFITE PLASTICS TO 255T345 P.a
EXHIBIT °c"
AFFIXATION FOR TAX ABATEMENT
This is to certify that the statements contained herein are tree and correct The
signers hereof are authorized to make these statements on behalf of the applicant.
The filing of this document acknowledges familiarity and conformance with
guidelines and criteria for granting tax abatement. This application will become part
of the agreement which shall be enforceable and binding on the applicant. False
representations will be grounds for terminating the agreement. Any such false
statements shall be considered a default which readers the agreement void. This
application should be filed with the City Manager of the Qty of Rotmd Rock, 221
East Main Street, Round Rock Texas 78664.
L APPjJCANT INkV$MATIQQN: DATE 11-7
11 ` ,t
A. Companyx Name n { Uatn6Pd Praulc`s
M.cl -S"Fate rletSlic5 "SwtStpn o r
it. Address
2820 oak t Di: Rox..nd (12ack. TX '7$664 -
>x atOJECr INFORMATION:
A. Description Of area to be designated as reinvestment zone: (attach map)
$. Description of eligible improvements (r propertyl to constructed:
24 St, f+. adal'fkr - for CrvAni c:. cur`tntj .
C. Current assessed value
gl ¢Z R
D. Estimated value of eligible improvements:
1 .2 5 fridtior.
L. Description of ineligible (taxable) property to ba included in project:
14
TOTAL P..130
Fug 07 1975 15i v FROM MID-STATE PLASTICS TO
F. Estimated value of ineligible property:
IG / n oo
G. Estimated value of site as of January 1 prmeding abatement anaemia&
CO Land $ I fo5 3 4+ r1 ae tea
(2) Improvements 7.16;i07.1±4
(3) Personal Property ton etk o r , g l coat
H. This project is:
() A New Plant
An Expansion
0 A Modernization
If Modernization:
Estimated economic life of existing
Added economic life from modernization:
L Tax abatement requested:
1 % of eligible property for year 1.
100 % of eligible property for year 2.
1 % of eligible property for year 3.
5D % of eligible property for year 4.
_ 2S_% of eligible property for year 5.
III. ECONOMIC INFORMATION:
years
Years
A. Constnirticm )estimates:
(1) Commencement Date: 11 -2$-q5 195
(2) Completion Date: 5- 1 - °I f7 .19%7
(3) Number of Construction Jobs:
5. Estimated number of jobs to be created:
Local Transfer Total
1- December 31, 1 0 7 1 `7 ?
2. December 31, I9
3. December 31, 19
4. December 31,19_
5. December 31, 19
15
2553345 P. 6L
Signature of Authorized Company Official
an F LAc I punnin
Name and Tide of Authorized Company Offdal
Company Representative be contacted:
( Parker
Telephone
16
NOM 07 1095 15:16 mum MID -STATE PLASTICS TO 2553345 P.03
C. Other estimated.. .xes generated by project: r
(1) Sales Taxes:
(2) Other (Identify):
D. The proposed reinvestment zone is Iocatedin:
(I) City: Roc, INa Ro
(2) County: 1A11 Taw,san
(3) School District
(4) Other Taxing jurisdiction:
Name [�
�tr cc dr D"T Op eroZ. ns
Title 1
28 Cli4,-IC4 p F^ Pouv,c1 V ci T% 4
Address
512- 38$ -77(7
Upon receipt of the application, the City of Round Rock may also requite copies of
the latest annual stockholders report, audited financial statements, bank references,
and any other information required to evaluate the application.
TOTAL P.03
Francis H. Olmstead, Jr.
President and C.E.O.
City of Round Rock, Texas
To Whom It May Concern:
EXHIBIT D
Anchor Advanced Products, Inc.
December 13, 1995
Please be advised that Charles Parker, Facility Manager of Anchor Advanced
Products, Mid -State Plastics Division facility located at 2820 Oakmont Drive,
Round Rock, Texas 28664, is authorized to sign in behalf of Anchor
Advanced Products for all tax abatement issues concerning that facility.
frke
Francis H. Olmstea s , Jr.
Anchor Advanced Products, Inc.
Chief Executive Officer and
Chairman of the Board
1111 Northshore Drive, Suite N -600 • Knoxville, Tennessee 37919 -4048 • (423) 450 -5300
STATE OF TEXAS
MANPOWER REPORT
I, of
(Owner) do certify that on December 31, 19_ there were full time employees
at Mid State Plastics, 2820 Oakmont Drive, Round Rock, Texas.
§
§
COUNTY OF WILLIAMSON §
EXHIBIT "E"
Signature:
Printed Name:
Title:
Date:
BEFORE ME, the undersigned Notary Public, on this day personally
appeared of (Owner),
being by me duly sworn on his oath deposed and said that he is duly qualified and
authorized in all respects to make this affidavit; and that every statement contained
in the Manpower Report is within his knowledge and true and correct.
SUBSCRIBED AND SWORN TO BEFORE ME on the day
of ,19 to certify which witness my hand and official
seal.
Notary Public, State of Texas
Printed Name:
My Commission Expires:
DATE: December 12,1995
SUBJECT: City Council Meeting, December 14, 1995
ITEM: 13.B. Consider a resolution authorizing the Mayor to enter into
a tax abatement with Mid -State Plastics. (Reinvestment
Zone No. 13)
STAFF RESOURCE PERSON: Joe Vining
STAFF RECOMMENDATION: Approval
Mid -State Plastics does injection molding of medical components,
housewares, and computer parts. This company has been located at its
current facility since 1990.
The purpose of this reinvestment zone and tax abatement is to facilitate the
expansion of the Mid State Plastics manufacturing plant. This expansion will
include a 24,000 sq.ft. extension of the building and ten additional presses.
These improvements are estimated at $1.3 million. Construction is
scheduled to begin immediately and should be completed by May, 1996. The
owner agrees that it will retain 56 employees and add an additional 80 by the
end of 1996.
This is a three tax abatement effective in 1996. The investment for the new
facility and personal property will have a value of not less than $1,260,000.
ECONOMIC IMPACT:
Contracted
Value of
Year
Abatement %
Expenditures
Abatement*
1996
90%
$1,260,000
5,545.00
1997
60%
$1,260,000
3,697.00
1998
30%
$1,260,000
1.848.00
11,090.00
DATE: December 12,1995
SUBJECT: City Council Meeting, December 14, 1995
ITEM: 13.B. Consider a resolution authorizing the Mayor to enter into
a tax abatement with Mid -State Plastics. (Reinvestment
Zone No. 13)
STAFF RESOURCE PERSON: Joe Vining
STAFF RECOMMENDATION: Approval
Mid -State Plastics does injection molding of medical components,
housewares, and computer parts. This company has been located at its
current facility since 1990.
The purpose of this reinvestment zone and tax abatement is to facilitate the
expansion of the Mid State Plastics manufacturing plant. This expansion will
include a 24,000 sq.ft. extension of the building and ten additional presses.
These improvements are estimated at $1.3 million. Construction is
scheduled to begin immediately and should be completed by May, 1996. The
owner agrees that it will retain 56 employees and add an additional 80 by the
end of 1996.
This is a three tax abatement effective in 1996. The investment for the new
facility and personal property will have a value of not less than $1,260,000.
ECONOMIC IMPACT:
Mayor
Charles Culpepper
Mayor Pro-tem
Ear! Palmer
Council Members
Robert Stluka
Rod Morgan
Rick Steuart
Martha Chavez
Jimmy Joseph
City Manager
Robert L Bennett. Jo
City Attorney
Stephan L Sheets
December 19,1995
Charles Parker
Director of Operations
Mid -State Plastics
2820 Oakmont Dr.
Round Rock, TX 78664
re: Tax Abatement Agreement
Dear Mr. Parker.
Sincerely,
THE CITY OF ROUND ROCK
221 East Main Street
Round Rock, Texas 78664
512- 255 -3612
Pursuant to our conversation this afternoon, I am forwarding two
original tax abatement agreements for your signature. This agreement
abates city ad valorem taxes over a three year period starting 1996. Please
return the documents to me and I will obtain the Mayor's signature. A
fully executed original will be sent to you.
I will notify Williamson County of this abatement as soon as all the
documents have been signed. If you have any questions, please call me.
Mona Ryan, PI Technician
Planning and Community Development
City of Round Rock, Texas
End: two original tax abatement agreements
Fax 512-255-6676 1-800-735-2989 (TDD) 1-800-735-2988 (Voice)
WHEREAS, in accordance with Chapter 312, Tax Code, V.A.T.S.,
as amended, and as authorized by 'Resolution No. R- 95- 12- 14 -13B,
dated December 14, 1995, the City entered into a tax abatement
agreement with Mid -State Plastics, regarding property in
Reinvestment Zone No. Thirteen; and
WHEREAS, the City and Mid -State Plastics, intended for the
agreement to include the abatement of personal - property taxes; and
WHEREAS, the parties desire to amend the agreement to include
language evidencing their intentions; 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 that certain Amendment No. 1 to the Tax
Abatement Agreement with Mid -State Plastics.
RESOLVED this 14th day of A gust, 1997.
ATTEST:
,KO) &A/,a&
LAND, City Secretary
R: \YPOCGS AMOUR! \B570B11N.11PO /tM
RESOLUTION NO. R- 97- 08- 14 -13N
HARLES CUI4PL1 'PER, MAYOR
CITY OF ROUND ROCK, TEXAS
THE STATE OF TEXAS
COUNTY OF WILLIAMSON
AMENDMENT NO.1
TO
TAX ABATEMENT AGREEMENT
WITH
MID -STATE PLASTICS
This Amendment No. 1 is entered into this the 4 day of �GC 1997 to
amend that certain agreement authorized by City of Round Rock ResolutiR -95 -12
-14-13B on December 14, 1995 to abate certain property taxes of Mid -State Plastics for
the Tax Years 1996 - 1998, inclusive.
WHEREAS, it was the intention of all parties that said above referenced Tax
Abatement Agreement was to include the abatement of personal property taxes; and
WHEREAS, the parties desire to include language in said Agreement evidencing
their intentions; NOW THEREFORE, the parties hereby do mutually agree to amend said
Agreement as follows:
1. That Section 7, "Portion of taxes abated ", is amended to read as follows:
7. Portion of taxes abated. Subject to the terms and conditions
of the Agreement, and subject to the rights of the holders of any
outstanding bonds of the City, a portion of ad valorem real property taxes
and personal property taxes assessed against the Premises otherwise
owed to the City shall be abated. City hereby acknowledges it is not aware
of any terms or conditions of any outstanding bonds which would invalidate
this Agreement. Said abatement shall be an amount equal to the below -
stated percentages assessed upon the increased value of the Premises
and Improvements over the value in the year in which this Agreement is
executed, in accordance with the terms of this Agreement and all
applicable state and local regulations. The percentage of abatements are
as follows:
Tax Year 1996
Tax Year 1997
Tax Year 1998
I:\TCAT\ CITY \ BOVNDPaC \TAAABATCW0.4f1.MSP /taT
90% abatement
60% abatement
30% abatement
These abatements shall be for three (3) tax years beginning January
1, 1996.
2. Section 10, "Events of Default. ", shall be amended to read as follows:
10. Events of default. In the event that (1) the Improvements for
which an abatement has been granted are not completed in accordance
with this Agreement or (2) Owner allows its ad valorem or personal
property taxes owed the City to become delinquent and fails to timely and
properly follow the legal procedures for protest and /or contest of any such
ad valorem or personal property taxes; or (3) Owner breaches any of the
terms or conditions of this Agreement, then this Agreement shall be in
default. In the event that the Owner defaults in its performance of (1), (2),
or (3) above, then the City shall give the Owner written notice of such
default and if Owner has not cured such default within thirty (30) days of
said written notice, this Agreement may be terminated by the City by
written notice to Owner. Such notice shall be in writing and shall be
delivered by personal delivery or certified mail to:
Charles Parker
Director of Operations
Mid -State Plastics
2820 Oakmont Drive
Round Rock, Texas 78664
As liquidated damages in the event of default and in accordance
with Section 312.205, Tax Code, V.A.T.S., as amended, all taxes which
otherwise would have been paid to the City without the benefit of
abatement (without the addition of penalty, but interest will be charged at
the statutory rate for delinquent taxes as determined by Section 33.01 of
the Tax Code) shall become a debt owed by Owner to the City and shall
be due, owing and paid to the City within sixty (60) days of the expiration
of the above mentioned applicable cure period. The City shall have all
remedies for the collection of the recaptured tax revenue as provided
generally in the Tax Code for the collection of delinquent property taxes.
3. Retroactive application. It is the intentions of the parties that this Amendment No. 1,
shall be effective as of the effective date of the original Tax Abatement Agreement, as
if this amendment was fully written therein at such time.
Witness our hands this / day of t f (ir4,1 1997.
CI OF ROUND ROCK, TEXAS
CHARLES LPEPPER, MAYOR
2.
ATTEST:
MID -STATE PLASTICS, A DIVISION OF
ANCHOR DVANCED PRO 'UCTS,INC.
3.
J. Brant Fulgham
DATE: August 12,1997
SUBJECT: City Council Meeting, August 14,1997
Item: 13.N. Consider resolution authorizing the Mayor to execute
Amendment No. 1 to the Tax Abatement Agreement with
Mid -State Plastics.
Staff Resource Person: Joe Vining
Staff Recommendation: Approval
The attached Amendment No. 1 with Mid -State Plastics clarifies for the
Williamson County Appraisal District our intention to include personal property
in this agreement.