R-07-10-11-13D5 - 10/11/2007 RESOLUTION NO. R-07-10-11-13D5
WHEREAS, the City of Round Rock has previously entered into a
Property Tax Abatement Agreement ( "Agreement" ) with Toppan Photomasks,
Inc. ("Toppan") , regarding property located in Reinvestment Zone No.
19A, and
WHEREAS, the City Council now wishes to enter into an amendment
to the Agreement, 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, Amendment No. One to Property Tax Abatement
Agreement with Toppan, a copy being attached hereto as Exhibit "A" and
incorporated herein for all purposes .
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.
RESOLVED this 11th day of October, 07 .
N WE Mayor
City of
ATTEST: Round Rock, Texas
CHRISTINE R. MARTINEZ, City Sec tary
0:\wdox\RESOLUTI\R71011D5.WPD/rmc
AMENDMENT NO. ONE
TO PROPERTY TAX ABATEMENT AGREEMENT
This Amendment No. One to Property Tax Abatement Agreement (this "Amendment') is
entered into by and between the City of Round Rock, Texas (the "City"), a Texas home rule
municipal corporation, and Toppan Photomasks, Inc., a Delaware corporation ("Toppan").
RECITALS
WHEREAS, the City and Toppan entered in to that one certain Property Tax Abatement
Agreement ("Agreement's dated December 15, 2005; and
WHEREAS, the City and Toppan now wish to amend such Agreement as provided for
herein, NOW THEREFORE, the parties hereto do mutually agree as follows:
I.
This Amendment is authorized by Resolution of the City Council of the City of Round Rock,
Texas dated October 2007.
II.
Paragraph 4 of the Agreement shall be amended to read as follows:
4. Grant of Abatement. Subject to the terms and conditions contained herein, and
subject to the rights of the holders of any outstanding bonds of the City, the City hereby grants
an abatement on the Abatement Value of the Eligible Property located on or at the Toppan RZ
Tract (the "Abatement') as follows:
(a) 2007 90%
(b) 2008 85%
(c) 2009 80%
III.
Paragraph 5 of the Agreement shall be amended to read as follows:
5. Term of Abatement. Toppan shall receive the Abatement commencing
January 1 of 2007 (the "Effective Date of Abatement') and continuing for three (3) years until
December 31, 2009, the "Abatement Period"). Notwithstanding anything herein to the contrary,
the Effective Date of Abatement shall be January 1 of 2007.
EXHIBIT
All
IV.
Paragraph 14 of the Agreement shall be amended to modify Toppan's notice address to read as
follows:
If to Toppan: Toppan Photomasks, Inc.
131 Old Settlers Blvd.
Round Rock, Texas 78664
Attn: Tax Department
Phone: (512)310-6500
Fax: (512)310-6503
V.
Except as expressly amended herein, the Agreement is hereby ratified by the City and Toppan.
This Amendment is executed and effective as of the_day of October, 2007.
THE CITY OF ROUND ROCK, TEXAS,
a Texas municipal corporation
By:
Nyle Maxwell, Mayor
Date:
Attest:
Christine Martinez, City Secretary
APPROVED AS TO FORM:
Stephan L. Sheets, City Attorney
TOPPAN PHOTOMASKS, INC.
a Delaware corporation
By: —i= I
Its:
Date: `Q�,-�
2
Crystal Park, Block E, Lot 3
131 E old Settlers Blvd
r T
O,d 5ett�e
E
TOPPAN
TOPPAN PHOTOMASKS, INC.
131 Old Settlers Blvd.
Round Rock,7X 7W44,USA
tel:(512)31(16,500 fax:(512)31(1&544
www.pholoniask.coni
AUL!111St 13. 2007
\-9r. David Kautz, Assistant Citv Manager/CFU
City of Round Rock
221 1;ast Main Street
Round Rock, TX.78664
Re: Property Tax Abatement Agreement between the City of Round Rock and Toppan
Photomasks approved December 15, 2005 under Council Resolution R-05-I2-15-9EI
Mr. Kautz:
Toppan Photomasks, Inc. agrees with the attached proposal and appreciates the City of Round
ltok k's consideration of this modification.
If you have any questions, please let me know,
Sincerely,
Barry F. Pomeroy
1'oppan Photomasks, Inc.
JUL-31-2007 09:34
P-01/01
DMA
DUCHARMC, MCMILLEN !AsSOCIATES, INC.
July 31, 2007
Mr. David Kautz, Assistant City Manager/CFO
City of Round Rock
221 East Main Street
Round Rods, TX 78664
Re: Property Tax Abatement Agreement between the City of Round Rock and
Tappan Photomasks approved December 15, 2005 under Council
Resolution R-05-12-15-9151
Mr. Kautz:
With respect to the confusion regarding the term of the above tax abatement,
Tappan Photomasks respectfully suggests and requests that the agreement be
amended to reflect January 1, 2007 as the starting date with the conclusion
being December 31, 2009. The percentage terms would remain the same:
Year 1 (2007) 90%
Year 2 (2008) 85%
Year 3 (2009) 80%
Please let me know if this coarse of action is agreeable with the City and what
further steps, It any, are necessary on the part of Tappan. I may be reached at
(512) 335-5900 ext, 1319 or via email at bfadweeOdmainc.com
Sincerely,
0,-4v-4az
Bruce A. Fatheree
DuCharme, McMillen &Associates
NORTH AMERICA'S CHOICE FOR CORPORATE TAX SOLUTIO,4s
TOTAL P.01
DATE: October 4, 2007
SUB3ECT: City Council Meeting - October 11, 2007
ITEM: 13D5. Consider a resolution authorizing the Mayor to execute an
Amendment to Toppan Photomasks, Inc. Tax Abatement
Agreement.
Department: Administration
Staff Person: David Kautz, Assistant City Manager/CFO
Justification:
The City and Toppan Photomask are parties to a Tax Abatement Agreement. The
agreement abates a portion of the City property taxes on a lithography tool placed in
service in 2005. Toppan failed to submit an application to the Williamson Central
Appraisal District for abatement in the 2006 tax year (the first year of a 3 year
abatement schedule), thereby losing the 2006 abatement. Toppan has requested
that the abatement agreement be amended so that the 3-year abatement period
begins with the 2007 tax year.
Funding:
Cost:
Source of funds:
Outside Resources• N/A
Background Information• N/A
Public Comment: N/A
EXECUTED
DOCUMENT
FOLLOWS
AMENDMENT NO. ONE
TO PROPERTY TAX ABATEMENT AGREEMENT
This Amendment No. One to Property Tax Abatement Agreement (this "Amendment") is
entered into by and between the City of Round Rock, Texas (the "City"), a Texas home rule
municipal corporation, and Toppan Photomasks, Inc., a Delaware corporation ("Toppan").
RECITALS
WHEREAS, the City and Toppan entered in to that one certain Property Tax Abatement
Agreement ("Agreement') dated December 15, 2005; and
WHEREAS, the City and Toppan now wish to amend such Agreement as provided for
herein, NOW THEREFORE, the parties hereto do mutually agree as follows:
I.
This Amendment is authorized by Resolution of the City Council of the City of Round Rock,
Texas dated October C '2007.
II.
Paragraph 4 of the Agreement shall be amended to read as follows:
4. Grant of Abatement. Subject to the terms and conditions contained herein, and
subject to the rights of the holders of any outstanding bonds of the City, the City hereby grants
an abatement on the Abatement Value of the Eligible Property located on or at the Toppan RZ
Tract (the "Abatement") as follows:
(a) 2007 90%
(b) 2008 85%
(c) 2009 80%
III.
Paragraph 5 of the Agreement shall be amended to read as follows:
5. Term of Abatement. Toppan shall receive the Abatement commencing
January I of 2007 (the "Effective Date of Abatement") and continuing for three (3) years until
December 31, 2009, the "Abatement Period"). Notwithstanding anything herein to the contrary,
the Effective Date of Abatement shall be January 1 of 2007.
IV.
Paragraph 14 of the Agreement shall be amended to modify Toppan's notice address to read as
follows:
If to Toppan: Toppan Photomasks, Inc.
131 Old Settlers Blvd.
Round Rock, Texas 78664
Attn: Tax Department
Phone: (512)310 -6500
Fax: (512)310-6503
V.
Except as expressly amended herein, the Agreement is hereby ratified by the City and Toppan.
This Amendment is executed and effective as of the 11 day of October, 2007.
THE CITY OF ROUND ROCK, TEXAS,
a Texas muni ' al corporatio
By:
--N
A� R
N May
Date: j(�- (�-U�
2
Attest:
Christine Martinez, City Secretary
APPRO E AS TO ORM
Steph L. Sheets, City Attorney
TOPPAN PHOTOMASKS, INC.
a Delaware corporation
By:
Its: C U - w'P
Date:
2