R-98-12-10-13A4 - 12/10/1998RESOLUTION NO. R- 98- 12- 10 -13A4
WHEREAS, the City Council, on the llth day of June, 1998, in
Ordinance No. G- 98- 06- 11 -12A1, created Reinvestment Zone No. 22 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
Trend Technologies, L.P., regarding property located in Reinvestment
Zone No. 22, and
WHEREAS, the Council has determined that all requirements of the
guidelines and criteria adopted by Ordinance No. G- 97- 10 -09 -9F 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 Trend Technologies,
L.P.
The City Council hereby finds and declares that written notice of
the date, hour, place and subject of the meeting at which this
Resolution was adopted was posted and that such meeting was open to the
public as required by law at all times during which this Resolution and
the subject matter hereof were discussed, considered and formally acted
upon, all as required by the Open Meetings Act, Chapter 551, Texas
Government Code, as amended, and the Act.
RESOLVED this 10th day of Decembe %, 1998.
CHARLES CULP`•• Mayor
EST: City of Round Rock, Texas ■
<I !_ AL/L� �A At /_'
i'ANNE LAND, City Secretary
X:\ WPDOCS \RESOLUTI \R61310A4.wPD /scg
■
THE STATE OF TE XAS
COUNTY OF WILLIANSON
TAX ABATEMENT AGREEMENT
Y
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 and Travis Counties, Texas, duly
acting herein by and through its Mayor, hereinafter referred to as
"City", and TREND TECHNOLOGIES TEXAS, L.P. a Texas limited
partnership, hereinafter referred to as ( "Trend "), duly acting by and
through its General Partner.
RECITALS
WHEREAS, on the llth day of June, 1998, the City Council, of the
City of Round Rock, Texas, adopted Ordinance No. G- 98- 06- 11 -12A1
establishing Reinvestment Zone No. 22, City of Round Rock, Texas for
commercial /industrial tax abatement, hereinafter referred to as
"Ordinance No. G- 98- 06- 11- 12A1 ", 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- 97- 10- 09 -9F, 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. 22 in accordance with the purposes for
its creation and are in compliance with Ordinance No. G- 97- 10 -09 -9F
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. 22 that will substantially increase the
appraised value of the property within the zone; and will contribute
to the retention or expansion of primary and secondary employment
within the City; and
WHEREAS, the City finds 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:
1. Property Subject to Agreement. The property to be the
subject of this Agreement shall be that property included within the
Reinvestment Zone No. 22 which is more fully described in Exhibit "A"
N PDOCS \ACITY\ABATEMEN MEND \erNAZ.we i
1
which is made a part hereof and shall be hereinafter referred to as
the "Premises."
2. Construction of Improvement$. Trend's landlord has
commenced construction of its facility as described in the application
for tax abatement, (copy of which is attached hereto as Exhibit "B ")
on the Premises, said facility hereinafter referred to as
"Improvements. ") The Improvements shall consist of a newly constructed
office and manufacturing building ( "Building") containing
approximately 120,000 square feet, and manufacturing equipment
( "Equipment ") more fully described in Exhibit "C." The total
construction cost of the Building is approximately Four Million, Four
Hundred Thousand Dollars ($4,400,000). The total cost of the Equipment
is approximately Twelve Million Dollars ($12,000,000.00). The Building
is to be substantially complete and the Equipment delivered and /or
installed on or before December 31, 1998; provided that Trend shall
have such additional time to complete and install the Improvements as
may be required in the event of "force majeure," if Trend is
diligently and faithfully pursuing completion and installation of the
Improvements. For this purpose, "force majeure" shall mean any
contingency or cause beyond the reasonable control of Trend 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 Trend), 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. Trend agrees and covenants
that it will diligently and faithfully in a good and workmanlike
manner pursue the completion and installation of the Improvements as
a good and valuable consideration of this Agreement. Trend further
covenants and agrees that all construction and installation of the
Improvements will be in accordance with all applicable state and local
laws and regulations or pursuant to a valid waiver thereof. In further
consideration, Trend shall thereafter, from the date a Certificate of
Occupancy is issued until the expiration of this Agreement,
continuously operate and maintain the Premises as an office,
manufacturing and warehouse facility.
4. Provision of jobs Trend 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 and throughout the term of
this Agreement according to the following schedule:
2
Date Retain Total
12/31/98 n/a 211 211
12/31/99 211 11 222
12/31/00 222 11 233
12/31/01 233 11 244
12/31/02 244 0 244
Trend shall provide to the City annual manpower reports in the
form attached hereto as Exhibit "D" and made a part hereof, within
sixty (60) days following the end of each calendar year.
Regardless of anything contained herein to the contrary, the
failure by Trend 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, 2000, Trend has provided ten percent
(10 %) fewer jobs than is required, then Trend's abatement for 2001
shall be reduced by ten percentage points (i.e. the 75% abatement
shall be reduced ten percentage points to a 65% abatement.) Failure
of Trend to provide at least seventy -five percent (75%) of the number
of jobs required by this Agreement shall be considered an event of
default on the part of Trend.
6. Application for Tax Abatement. Trend agrees and covenants
that the attached application for tax abatement (Exhibit "B ") is a
part of this Agreement, and Trend further warrants that the
information provided in its 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
personal property taxes on the Equipment located on the Premises
otherwise owed to the City shall be abated. There will be no abatement
of the real property taxes of the Premises. The abatement of personal
property taxes shall be limited to the assessed value of the Equipment
described in paragraph 2. City hereby acknowledges that it is not
aware of any terms or conditions of any outstanding bonds which would
3
invalidate this Agreement. Said abatement shall be an amount equal to
the below- stated percentages assessed upon the value of the
Improvements over the assessed 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:
Tax Year 1999 100% abatement
Tax Year 2000 100% abatement
Tax Year 2001 75% abatement
Tax Year 2002 50% abatement
Tax Year 2003 25% abatement
These abatements shall be for five (5) tax years beginning
January 1, 1999.
8. Right of Inspection. Trend 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 and installation 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 local laws, ordinances, and regulations. If the City
determines that a violation of a local law, ordinance or regulation
exists on the Premises, the City, in addition to any other
authorized enforcement action, shall provide to Trend written notice
of such violation. For the purposes of this Agreement, Trend shall
have ten (10) days from the date of the notice to cure or remedy
such violation. If Trend fails or refuses to cure or remedy the
violation within the ten (10) day period, Trend is subject to the
forfeiture, at the discretion of the City and upon written notice to
Trend, 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. Cost of Improvements and Personal Property added to the
Premises. Trend agrees that upon completion of the Improvements to
add, and that during the term of this Agreement to retain personal
property with a taxable value of not less than $4,850,000.
Within sixty (60) days following completion of the Improvements
and by March 1, of each year thereafter, Trend shall provide to the
City documentation showing to the satisfaction of the City that the
value of taxable personal property is in compliance with the
foregoing.
4
10. Xvents 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) Trend 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) Trend breaches any of the terms
or conditions of this Agreement, then this Agreement shall be in
default. In the event that Trend defaults in its performance of (1),
(2), or (3) above, then the City shall give Trend written notice of
such default. If the default can be cured by the payment of money or
the posting of a bond or other collateral acceptable to the City,
the Owner shall have thirty (30) days to cure such default. If the
default cannot be cured by the payment of money or the posting of a
bond or other collateral, and Trend is diligently pursuing such
cure, Trend shall have sixty (60) days to cure such default. If
Trend does not cure such default as aforesaid, this Agreement may be
terminated by the City by written notice to Trend. Such notice shall
be in writing and shall be deemed delivered upon receipt when sent
by personal delivery or certified mail to the names and addresses
set forth in paragraph 13(g)below.
The parties acknowledge that actual damages in the event of
default would be speculative and difficult to determine. Therefore,
as the City's sole and exclusive remedy, the City may recover 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 Trend 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. However, no interest shall accrue for abated taxes until the
applicable cure period set forth above has expired, and then
interest shall only accrue as to taxes then becoming due pursuant to
this Paragraph 10.
11. Agricultural land. It is understood and agreed by the City
and Trend 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 Trend 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.
5
12. 21+e thnr+ _e nnA
a) City. This Agreement was authorized by Resolution
of the City Council at its council meeting on the 10th day of
December 1998, authorizing the Mayor to execute the Agreement
on behalf of the City.
b) Trend. This Agreement was authorized by the Board of
Directors of the General Partner of Trend Technologies Texas,
L.P. on the 23rd day of July, 1998, which authorization is
attached hereto as Exhibit "E ".
13. Miscellaneous provisions.
a) City representations. The City represents and warrants
that the Premises do not include any property that is owned by
a member of its council or boards, agencies, commissions, or
other governmental bodies approving, or having responsibility
for the approval of this Agreement.
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 Trend
unless written permission is first granted by the City, which
permission shall not be unreasonably withheld; provided
however, Trend may assign its rights under this Agreement to an
entity which is wholly owned by Trend. No assignment shall be
approved if the assignor or assignee are indebted to the City
for delinquent ad valorem taxes or other obligations.
d) Trend acting independently. It is understood and agreed
between the parties that Trend, in performing its obligations
hereunder, is acting independently, and the City assumes no
responsibilities or liabilities in connection therewith to
third parties.
e) Trend's Indemnity. During the term of this Agreement,
Trend agrees to indemnify and hold City harmless from any and
all kinds of claims, losses, damages, injuries, suits, or
judgments which may accrue to Trend, 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.
6
g) Fotirt Any notices required herein shall be in
writing and shall be deemed delivered upon receipt when sent by
personal delivery or certified mail to may be delivered to the
addresses set forth below:
If to Trend: Trend Technologies Texas, L.P.
Old Settlers Boulevard
Round Rock, Texas 78664
Attention: Jon Beard
With copy to: Gibson, Dunn & Crutcher, L.L.P.
1717 Main Street
Suite 5400
Dallas, Texas 75201
Attention: David L. Herbert
If to the City:City of Round Rock
221 E. Main Street
Round Rock, Texas 78664
Attention: Robert L. Bennett
With copy to: Brown McCarroll Sheets & Crossfield, L.L.P.
309 E. Main Street
Round Rock, Texas 78664
Attention: Stephan L. Sheets
th
Witness our hands this j day of December, 1998.
ATTEST:
ANNE LAND, City Secretary
CITY
TREND TEXAS TECHNOLOGIES, L.P.
By:
7
F ROUND ROCK, TEXAS
44 ior CHA RLES LPER, Mayor
its
EXHIBIT "A"
5.235 acres being all of Lot 2 of the Replat of Lot 2A
of the replat of Block "C" Crystal Park, a subdivision
of record filed in Cabinet P, Slides 165 -166 of the
Plat Records in Williamson County, Texas
8
EXHIBIT
a
RECEIVED
JUN 1 8 1998
CITY OF ROUND ROCK
PLANNING DEPARTMENT
ax Abatement
Application
City of Round Rock
Exhibits A, B, C, D
EXIiIBTP "A"
Page 1 of 1
Property Description
Lot 2A of Block C of Crystal Park, situated in
Round Rock, Williamson County, Texas, as reflected
on the Replat thereof recorded on January 14, 1998
in Cabinet P, slides 165 -166 in the Plat records of
Williamson County, Texas.
s tc •
t
, EXHIBIT "B"
APPLICATION FOR TAX ABATEMENT ,
This i
sign
The f
guide
of the
repre
Staten
appli
East
L
II.
txab
Local
Transfer
Total
Est. Salaries
190
10
200
$4.0MM
200
11
211
4.3MM
210
12
222
4.5MM
223
13
233
4.7MM
230
14
244
4.9MM
r
E. Desolation of ineligible (taxable) property to be included in project:
building and land - OPUS
•
F. Estimated value of ineligible property:
OPUS
G. Estimated value of site as of January 1 preceding abatement agreement-
d: N/A
I n N/A
Pe:.ional Property: -U-
H. This project is:
(' A New Plant ( ) An Expansion ( ) A Modernization
If Modernization:
Estimated economic life of existing plant:
Added economic life from modernization:
Tax abatement requested:
`/o of eligible property for year 1.
9 of eligible property for year 2.
% of eligible property for year 3.
of eligible property for year 4.
% of eligible property for year 5.
III. EC.:)NOMIC INFORMATION:
A. Construction Estimates: N/A
tzabmt.3 1 F95
Cc,nmencement Date: I Completion Date:
E.. Estimated number of jobs to be created:
1. December 31, 19
2. December 31, 19
3. December 31, 19
4. December 31,19
5. December 31, 19
years
years
# of Construction Jobs
Page 2
Process Water System
$ 280M
Compressed Air System
$ 70M
Quality Assurance Equipment
$ 150M
Overhead Crane System
$ 254M
Material Transfer System
$ 138M
Engel 1000 Ton Molding Machine
2 Injection Molding Press
3r° •
4 •
$ 811M
$ 811M
$ 811M
$ 811M
Engel 500 Ton Molding Machine
$ 163M
Engel 550 Ton Molding Machine
$ 248M
Van Dom 700 Ton Molding Machine
$ 244M
Minster 600 Ton Stamping Machine
$ 1,300M
Minster400 Ton Stamping Machine
$ 564M
Minster 300 Ton Stamping Machine
$ 459M
Minster 200 Ton Stamping Machine
$ 382M
Minster 200 Ton Stamping Machine
$ 378M
Assembly Line - Trapper
$ —
Assembly Line -Verio
$ —
Meuanine- Material Preparation
$ 70M
Demountable Offices
$ 72M
Tool Shop Equipment
$ 350M
MIS Equipment
$ 60M
165OT Engel
$ 1,300M
1000T Engel
$ 700M
2 -500T Molding Machines
$ 600M
Inventory
$ 3,000M
June 16, 1998
Trend Technologies, Inc.
Round Rock, Texas facility
Equipment Listing
EQUIPMENT LISTING
COST
Roundrk.
:bd6116l98
C. Other estimated taxes generated by project
Sales Tax: N/A
Other (Identify):
D. The proposed reinvestment zone is located in:
Cit r.
Round Rock
C,oInty: Williamson
School District: Round Rock Independent School District (RRISD):
Ot!;er Taxing jurisdict .n: Brushy Creek WCID
I. ' �� ✓fit
Signatures of Au horized Company Official
Compaiij Representative to be contacted:
NApte: Jon Beard
Al dress: 116 Old Settlers Rd
Round Rock, TX
txabmt.11
.95
Robert Strick ..14
Printed ll'ame and Title of Authorized - Inc. 'General Partner of Trend
Compaq. Official Technologies Texas LP
Teephone No.: 512/244 -7200
Title: Pl ant Mgr
Upon rei.eipt of the application, the City of Round Rock may also require copies of th
latest an: Dual stockholders report, audited financial statements, bank references, and an
other inf armation required to evaluate the application.
Page 3
STATE OF CALIFORNIA
COUNTY OF SANTA CLARA
BEFORE ME, the undersigned Notary Public, on this day personally
appeared Robert R. Strickland, Vice President — Finance, of Trend Technologies
Inc., the General Partner of Trend Technologies Texas LP (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; that he has read the above and foregoing
Application For Tax Abatement; and that every statement contained in the
Application is within his knowledge and true and correct.
SUBSCRIBED AND SWORN TO BEFORE ME on the 22 day of October,
1998, to certify which witness my hand and official seal.
Robe R. trickla
Vice President, Finance of Trend Technologies, Inc.,
General Partner of Trend Technologies Texas LP
F
i
s:I:u 4
SHIRLEY M. CAMPBELL E
COMM. NO. 1193319 s
NOTARY PUBLIC • CALIFORNIA y
SANTA CUM COUNTY
COMM. EXPIRES AUGUST 11.2002
VERIFICATION
Shirley M. ampbell
Notary Public, State of California
My Commission Expires: / /f4a6 do
EXHIBIT "c"
MANPOWER REPORT
I of (Owner) do
certify tlhit on December 31, 19 were full time employees at
Signature:
Printed Name:
Title:
Date:
STATE C r TEXAS §
COUN7:'.OF WILLIAMSON
BE : ORF. ME, the undersigned Notary Public,
of (Owner), being by me duly sworn on
_
his oath. c eposed an and said that he is duly qualified and authorized in all respects to
make thi: affidavit; and that every statement contained in the Manpower Report is
within hi knowledge and true and correct.
SU 11 3SCRIBED 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:
$XHIBIT "D "
Resolution or Other Authorization
Of Owner's Board of Directors
TPTPI P rip
Resolutions of the Board Direc s� Holdings, Inc.
WHEREAS, it is appropriate and necessary for the Company to appoint officers of its subsidiaries;
reO mo v i THEREFORE from office an BE I person no named to an office below, the officers o
f the Trend Plastics, thereby
Inc. be,
revng y rom ofs
and hereby are, app ointed as set forth below;
President and Chief Operating Officer Joseph Jahn
Vice President — Finance, Chief Financial Officer
Treasurer and Assistant Secretary Robert St Robert Strickland s
Secretary
Assistant Secretary Roger Masini
Authorization of Certain Co orate Transactions
WHEREAS, in the ordinary course of business it is necessary or advisable for the Company to
enter into various corporate transactions;
WHEREAS, the Board of Directors desires to authorize a approval designated oe he mbee of management ement of the
the Company to enter into certain transactions without further
approval of such transactions is consistent with these resolutions;
NOW, THEREFORE, BE IT RESOLVED that transactions approved by the designated members
of management consistent with the parameters set forth below in these resolutions be, and hereby are,
authorized as transactions of the Company.
Lease of Real Proa
WHEREAS, from time to time the Company enters into leases for real property ("Real Property ")
for manufacturing, assembly, warehouse, office space or other purposes;
NOW, THEREFORE, BE IT RESOLVED that with respect to any lease for Real Property the
annual expense of which to the Company will be less than $100,000, the President and the Vice President
— Finance be, and hereby is, authorized to approve, negotiate the terms of and enter into any such lease on
behalf of the Company, the taking of such actions and the execution of such documents by such persons
being conclusive evidence of the requisite authority therefor.
Purchase or Lease of Personal Property
WHEREAS, from time to time the Company enters into purchase of or leases for personal
property constituting fixed assets ( "Personal Property"), including, but not limited to, manufacturing,
assembly, transportation and office equipment;
NOW, THEREFORE, BE IT RESOLVED, that with respect to any purchase of Personal Property
specifically reflected in an annual capital expenditure
than budget approved d by the
e Bo o r f PerDirel Directors, or any
at a
other purchase of Personal Property price n
with a value of less than $200,000, the President of the Company be, and hereby is, authorized to
approve, negotiate the terms of and enter into any such purchase or lease on behalf of the Company, the
1
Dank Aeeonatt
•
taking of such actions and execution of such documents being conclusive evidence of the requisite
authority therefr
WHEREAS, the designations of depositories for the funds of the company is deemed to be
advisable;
NOW, THEREFORE, BE IT RESOLVED, that the Treasurer of the Company be, and hereby is,
authorized to designate financial institutions with which the funds of the Company may be deposited,
including designation of depositories and paying agents for safekeeping and other matters, and to sign
checks, drafts, or other orders, whether actual or facsimile, for withdrawal of funds against the
Company's accounts at such depositories;
RESOLVED FURTHER, that the signature of two officers or employees designated by the Chief
Financial Officer be, and hereby is required on any checks, drafts, or other orders for withdrawal of more
than $5,000 from the Company's accounts;
RESOLVED FURTHER, that nothing contained in the foregoing resolution shall be deemed to
revoke, or to alter or amend in any respect, any instructions of the Company to any depository in which
the Company has funds on deposit at the time of the adoption of the foregoing resolution.
Miscellaneous Transactions
RESOLVED FURTHER, that with respect to any other type of transaction, other than purchases
or sales of inventory In the ordinary course of business, not covered by the foregoing resolutions the total
expense of which to the Company will be less than $100,000, each of the President and Vice President -
Finance of the Company be, and each of them hereby is, authorized to approve such transactions and
requisite documents, if any, on behalf of the Company, the taking of such actions and the execution of
such documents being conclusive evidence of the requisite authority therefor.
caicq'a
asof 1, S- CIN3a1 01 DAN 'OD ausesnia 3H1 WOa3 95:TT 2.66T- 50 -D3a
CERTIFICATE OOF AMENDMENT
ARTICLES OF INCORPORATION
OF
TREND PLASTICS, INC.
0
Qo'(52
ENDORSE() — FILED
to the otku of the :.. ;: of stile
of the State of
Nov 141997
lip: jLtt:s 3t:rcq if State
The undersigned, Joseph Jahn and Robert R. Strickland, certify that:
1. Plastics, Inc., a Californiaecorporation (th"Corporation" Assistant
Secretary, respectively, of Trend
2. Article I of the Articles of Incorporation of this Corporation is
amended and restated to read in its entirety as follows:
"Article I: The name of the corporation is
TREND TECHNOLOGIES, INC."
3. The foregoing amendment of the Articles of Incorporation has been
duly approved by the Board of Directors.
4. The foregoing amendment of the Articles of Incorporation has been
duly approved by the required vote of shareholders in accordance with Section 902 of the
California Corporations Code. The total number of outstanding shares of the Corporation
entitled to vote thereon is 100. The number of shares voting in favor of the amendment
equaled or exceeded the vote required. The percentage vote required was greater than 50 %.
We further the laws of the Stat
California that the matters declare
et forth in this Ce�rt ificate are tr d and correct o our owne of
knowledge.
Dated: November 13, 1997
TREND EQUIPMENT
ROUND ROCK, TEXAS
EQUIPMENT COST
PROCESS WATER SYSTEM $280,000
COMPRESSED AIR SYSTEM 70,000
QUALITY ASSURANCE EQUIPMENT 150,000
OVERHEAD CRANE SYSTEM 254,000
MATERIAL TRANSFER SYSTEM 138,000
MATERIAL MEZZANINE 70,000
PRE - FABRICATED OFFICES 72,000
TOOL SHOP EQUIPMENT 350,000
COMPUTER EQUIPMENT 60,000
MOLDING MACHINES
1,000 TON- 6MACHINES 4,866,000
700 TON -2 MACHINES 544,000
500 TON -3 MACHINES 711,000
STAMPING MACHINES
600 TON -1 MACHINE 1,300,000
400 TON -I MACHINE 564,000
300 TON -1 MACHINE 459,000
200 TON -1 MACHINE 382,000
160 TON -1 MACHINE 378,000
ASSEMBLY LINE - TRAPPER 50,000
EXHIBIT
TOTAL 10698000
, < r
STATE OF TEXAS §
COUNTY OF WILLIAMSON §
DXHIBIT °D
MANPOWER REPORT
1, of (Owner) do
certify that on December 31,19 there were full time employees
at
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:
13
OCT. 1.1998 5:22PM lffl4D PLASTICS
resol- r2.doc
• 0 A
RESOLUTION OF THE BOARD OF DIRECTORS
OF TREND HOLDINGS, INC,
Adopted at the Board Meeting of
July 23, 1998
EXHIBIT
•
NO. 020 P.2/6
WHEREAS, Trend Technologies, Inc. (the "Company "), a wholly owned subsidiary of
Trend Holdings, Inc, and the General Partner of Trend Technologies Texas, L.P., has
recommended the lease, construction, outfitting and operation of a manufacturing facility
in the Crystal Park Development located in Round Rock, Texas (the "Round Rock
facility "), and
WHEREAS Company management has previously received the necessary Board
approvals to proceed with this project,
NOW, THEREFORE the following Resolution is adopted by the Board of Directors of
Trend Holdings, Inc,:
RESOLVED that the President and/or Chief Financial Officer of the Company are
authorized to approve, negotiate the terms of, and enter into a Tax Abatement Agreement
by and between the City of Round Rock, Opus South Corporation, and Trend
Technologies Texas, L.P.
W + 0
Date: December 4,1998
Subject: City Council Meeting - December 10,1998
Item:
13.A.4. Consider a resolution authorizing the Mayor to
execute a tax abatement agreement with Trend
Technologies. This five -year tax abatement is an
agreement between the City of Round Rock and
Trend Technologies. The facility consists of 120,000
square feet of office and manufacturing space. The
total construction cost of the building is
approximately $4.4 Million and the cost of the
equipment is approximately $12 Million. The
building is to be substantially complete and the
equipment delivered and /or installed on or before
December 31,1998. Applicant: Trend Technologies
Texas. Staff Resource Person: Joe Vining, Planning
Director.
Trend Technologies is required to provide 211 jobs by December 31, 1998
with a total employment of 244 by 12/31/02.
Abatement applies to the ad valorm real and personal property taxes and
is described in detail in the attached agreement. These abatements are
estimated using the current ad valorem tax rate of .385:
Tax Year 1999 100% $63,140
Tax Year 2000 100% $63,140
Tax Year 2001 75% $47,355
Tax Year 2002 50% $31,570
Tax Year 2003 25% $15,785