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Res 023-96 2/20/1996RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WICHITA FALLS, TEXAS, AUTHORIZING THE MAYOR TO EXECUTE A PRISON EXPANSION AGREEMENT BY AND BETWEEN THE CITY OF WICHITA FALLS, WICHITA COUNTY, THE WICHITA FALLS BOARD OF COMMERCE AND INDUSTRY, AND THE TEXAS DEPARTMENT OF CRIMINAL JUSTICE; FINDING AND DETERMINING THAT THE MEETING AT WHICH THIS RESOLUTION WAS PASSED WAS OPEN TO THE PUBLIC AS REQUIRED BY LAW. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF WICHITA FALLS, TEXAS: SECTION 1.That the Mayor be and is hereby authorized to execute on behalf of the City of Wichita Falls an expansion agreement by and between the City of Wichita Falls, Wichita County, the Wichita Falls Board of Commerce and Industry and the Texas Department of Criminal Justice, in accordance with the terms and conditions of said agreement, attached hereto and made a part hereof for all purposes . SECTION 2 . It is hereby found and determined that the meeting at which this resolution was passed was open to the public as required by law. PASSED AND APPROVED this the 20th day of February, 1996. LO1'1"/ Ar#00111F M A O R ATTEST: dl Al IL/AL4 City Clerk EXPANSION AGREEMENT JAMES V. ALLRED UNIT THIS EXPANSION AGREEMENT (as amended or supplemented as herein provided, the "Agreement") is made and entered into by and between WICHITA COUNTY, TEXAS the "county"), a duly organized County of the State of Texas, the CITY OF WICHITA FALLS (the "City"), a duly organized City within the State of Texas, the WICHITA FALLS BOARD OF COMMERCE AND INDUSTRY (the "Corporation"), a duly organized Texas Non-Profit Corporation, and the TEXAS DEPARTMENT OF CRIMINAL JUSTICE, together with any successor to its function, the "Department"), which is an agency of the State of Texas. WITNFSSETH: WHEREAS, the Department desires to build a high security facility as part of the existing James V. Allred Unit located within the County for detention, training, education, rehabilitation, and reformation of sentenced felons, capable of housing a population of a minimum 660 to a maximum 1,320 persons; and, WHEREAS, the County, the City, and the Corporation have made certain promises to the Department, including among other things, to provide certain utilities and other incentives as described herein to the Department; and, WHEREAS, all things have been done which•are necessary to authorize the execution of the Agreement and to constitute this Agreement a valid contract of the parties hereto in accordance with its terms. NOW, THEREFORE, for and in consideration of the premises and the mutual covenants hereinafter contained, and subject to the conditions herein set forth, the parties hereto covenant, agree, and bind themselves as follows: ARTICLE ONE DEFINITIONS SECTION 1.10 Interpretation: For all purposes of this Agreement, except as otherwise expressly provided or unless the context otherwise requires: 2 a) Whenever used in this Agreement, the capitalized terms used in Section 1.02 have the meanings assigned to them therein. In each case, defined terms include the plural as well as the singular. b) All references in this instrument to designated "Articles," "Sections,", Exhibits," and other subdivisions are to the designated Articles, Sections, Exhibits and other subdivisions of this instrument as originally executed. c) The words "herein," "hereof," and "hereunder" and other words of similar import refer to this Agreement as a whole and not to any particular Article, section, Exhibit, or other subdivision. d) The Agreement may contain references to documents, contracts, and other instruments that are not in existence on the date of execution hereof. When and as such instruments are prepared and are approved by the County, the City, the Corporation and the Department, the references herein to such instruments and to any capitalized terms used therein shall have the same effect as though such instruments existed on the date of execution hereof. SECTION 1.02 Definitions: 1) "Agreement" means this instrument, as originally executed or as it may from time to time be supplemented, modified or amended by one or more instruments supplemental hereto entered into in accordance with applicable provisions hereof. 2) "Authorized Representative of the County, the City, the Corporation and the Department" means: (i) with respect to the County, any Person designated in writing signed by the County Judge to act for and on behalf of the County; (ii) with respect to the City, any Person designated in writing signed by the presiding officer of the City's governing body to act for and on behalf of the City; (iii) with respect to the Corporation, any Person designated in writing signed by the presiding officer of Corporation's governing body; and (iv) with respect to the Department, the Executive Director, the Director of the Institutional Division or the Deputy Direction designated in writing signed by Executive Director to act for and on behalf of the Department. The specimen signature of the Person or Persons designated as Authorized Representative of the County, the City, the Corporation and the Department shall be contained in or be furnished upon request of any party hereto. The designation of an Authorized Representative shall remain effective until a new written instrument is filed with or actual notice is given to the other parties that such designation has been revoked. 3 3) "Board" means the Texas Board of Criminal Justice. 4) "City" means the City of Wichita Falls. 5) "County Judge" means the duly elected and acting chief executive officer of Wichita County, Texas. 6) "Department" means the Texas Department of Criminal Justice. 7) "Persons" means any individual, corporation, partnership, joint venture, association, joint-stock company, trust, unincorporated organization, or government or any agency or political subdivision thereof or any local government or subdivision thereof. 8) "Project" means the high security facility to be constructed and equipped on the Land. 9) "State" means the State of Texas. 10) "Term" means the duration of the Agreement as specified herein and shall include any extensions of the Term as provided herein. 11) "Utilities" means electricity, natural gas, potable water, sanitary sewer, solid waste disposal, telephone and TV cable. 12) "Footprint" means the unit compound area. 13) "Non-appropriation" means the failure of the legislature of the State to appropriate money for the construction or equipping of the project or the failure of the State to sell sufficient bonds to underwrite construction of the project. ARTICLE TWO REPRESENTATIONS AND FINDINGS SECTION 2.01 Representations of the County: The County makes the following representations as the basis for the undertakings on the part of the County herein contained: a) The County is a duly organized County of the State of Texas under the statuettes and Constitution of the State. 4 b) Pursuant to applicable law, the County has the requisite power to enter into this Agreement and to perform its obligations hereunder. c) The County has duly authorized the execution and deliveryivY of this Agreementent and assuming due authorization, execution, and delivery by the City, the Corporation and the Department, this Agreement constitutes a legal, valid, and binding agreement of the County enforceable against the County in accordance with its terms. SECTION 2.02 Representations of the City: The City makes the following representations as the basis for the undertakings on the part of the City herein contained: a) The City is a duly organized City of the State under the statutes of the State of Texas. b) Pursuant to applicable law, the City has the requisite power to enter into this Agreement and to perform its obligations hereunder. c) The City has duly authorized the execution and delivery of this Agreement and assuming due authorization, execution, and delivery by the County, the Corporation and the Department, this Agreement constitutes a legal, valid, and binding agreement of the City in accordance with its terms. SECTION 2.03 Representations of the Corporation: The Corporation makes the following representations as the basis for the undertakings on the part of the Corporation herein contained: a) The Corporation is a duly organized non-profit Corporation of the State under the statutes of that law. b) Pursuant to applicable law, the Corporation has the requisite power to enter into this Agreement and to perform its obligations hereunder. c) The Corporation has duly authorized the execution and delivery of the Agreement and assuming due authorization, execution, and delivery by the County, the Corporation, and the Department, this Agreement constitutes a legal, valid, and binding agreement of the Corporation in accordance with its terms. 5 SECTION 2.04 Representations of the Department: The Department makes the following representations as the basis for the undertakings on the part of the Department herein contained: a) Pursuant to applicable law, the Department has the requisite power to enter into this Agreement and to perform its obligations hereunder and by proper Board action has been duly authorized to execute, deliver, and perform this Agreement. b) The execution and delivery of this Agreement, the consummation of the transactions contemplated hereby or thereby, and the fulfillment of or compliance with the terms and conditions of this Agreement, do not conflict with or result in a breach of the terms, conditions, or provisions of any restriction or any agreement or instrument to which the Department is now a party nor does it constitute a default under any of the foregoing. SECTION 2.05 Certain Findings of the Department: The Department hereby finds and determines that the Project, assuming the accuracy of the County's representations made in Section 2.01, the City's representations made in Section 2.02, and the Corporation's representations made in Section 2.03, will be proper and suitable in carrying out the Department's statutory powers and purposes. ARTICLE THREE OBLIGATIONS. REPRESENTATIONS AND WARRANTIES OF THE COUNTY AND CORPORATION SECTION 3.01 Roads Provided by County: The County agrees to provide at no cost to Department the following roads: 1) The County agrees to provide and maintain a temporary construction road for use during construction of the facility within 90 days notification by Department of final site location or as specified by TDCJ. Such road will be used for heavy construction traffic during construction of the facility, must be capable of withstanding heavy truck traffic during all weather conditions, and be a minimum width of 18 feet. 2) the County agrees to provide an 18 to 24 feet wide permanent replacement patrol road around the new high security facility, to be completed no later than 30 days before the projected final acceptance/completed construction of the high security building or unless otherwise specified by the Department. Such road would provide up to (1,500 feet for 1,000 bed and 1,400 feet for 2,250 bed) 6 linear feet of replacement road at a minimum of 6 inch compacted sub-grade with 4 inch flexible base and 1-1/2 inch asphalt paving. SECTION 3.02 Incentives: The list of offered incentives subject to acceptance by the Department upon execution of this Agreement is attached hereto as Exhibit "A" and incorporated herein for all purposes. SECTION 3.03 Utility Contracts: When requested by the Department, the County, the City and the Corporation agree to assist and support the Department in negotiation of utility contracts for utilities not provided by a party or parties to this Agreement. SECTION 3.04 Infrastructure: All infrastructure costs covered by this Agreement, including but not limited to, building permits, tap fees, meters, sub-meters, connections, will be provided at no cost to Department or any contractor/agent of the Department. ARTICLE FOUR V •J - V • OF CITY OF WICHITA FALLS SECTION 4.01 Potable Water and Sewer Facilities: a) The City agrees to lay, install, provide and connect private meters and maintain potable water and sanitary sewer lines to the pre-determined points at the Project at no cost to the Department and to provide such potable water and sanitary sewer utilities to the Department in the quantities and flow rates as defined by the Department. The City further agrees to provide such services as follows: 1) Temporary water to Project construction site shall be provided by City and shall be available within 90 days after receipt of written notification of final site plan from Department to the site. 2) Permanent potable water line for tie-in to Project shall be available to the site by 180 days after receipt of written notification of final site plan from the Department to the site. 3) Permanent sanitary sewer line and lift station, if necessary, from Project hooked into sewer plant and operational within 180 days after receipt of written notification of final site plan from the Department to the site. 7 4) For purposes of items (2) and (3) above, the final site plan must include a designation of the easement access points to the Project site for delivery of water and sewer service. 5) In no event shall the obligations of the city specified herein call for a capital expenditure of more than $1.6 Million. b) The Department agrees to purchase potable water and sanitary sewer services from the City at the following rates beginning on the date the Department issues the Final Completion Certificate to its construction contractor indicating that the Project is complete. The contractor will pay the same rate as the Department. Future rate increases for potable water and sanitary sewer services provided to the Project will not exceed the rate increases charged customers located within the City limits of the City of Wichita Falls, Texas; provided, however, such increases may in any event be of such size or amount as necessary to meet any requirements imposed by applicable regulatory authorities to increase the size or capacity of the facilities used to provide the service. The Department shall pay monthly in arrears based on metered flow for water. c) Upon completion and acceptance of the expansion of the Allred Unit, the City will furnish water, sewer and solid waste services to the prison facility at rates equal to 100% of the rates charged to users located within the City limits. Such services shall be subject to the ordinances of the City as presently existing and as may be hereinafter amended. d) It is understood and agreed that until such time as the Department issues the Final Completion Certificate to the construction contractor, such construction contractor shall be responsible for payment of all utility charges, other than water and electricity. ARTICLE FIVE OBLIGATIONS. REPRESENTATIONS AND WARRANTIES OF THE DEPARTMENT SECTION 5.01 Construction and Operation of the Project: The Department hereby affirms its obligation to employ due diligence until completion of the Project, to acquire, construct and equip the Project, or cause the Project to be acquired, constructed and equipped. The Department shall use due diligence to encourage the use of local contractors, subcontractors, and workforce materials, and supplies from the Wichita Falls area and make a concerted effort 8 to insure that the percentage of minority workers on this project are representative of the make-up of the Wichita Falls population. ARTICLE SIR EFFECTIVE DATE OF AGREEMENT: DURATION OF TERM SECTION 6.01 Effective Date of Agreement: Duration of Term: This Agreement shall become effective upon its execution and delivery and the rights and obligations created by this Agreement shall then begin and shall continue in full force and effect, unless terminated as hereinafter provided. ARTICLE SEVEN TERMINATION OF AGREEMENT SECTION 7.01 This Article Paramount: Notwithstanding any other provision of this Agreement, the provisions of this Article prevail over any other provisions hereof. SECTION 7.02 Payments: The payment of money under any provision of this Agreement by the Department, whether to the County, the City, the Corporation or any other person for the construction and equipping of the Project is contingent upon the availability of funds appropriated by the State Legislature to the Department. a) Neither the Department nor the State, its elected officials, officers, employees, agents, attorneys, or other individuals acting on behalf of the State, make any representations or warranty as to whether any appropriation will, from time to time during the Term of this Agreement, be made by the Legislature of the State or whether sufficient bonds will be sold to cover the costs of constructing and equipping the Project. SECTION 7.03 Termination: The milestones developed by the Department for each specific site will be adhered to, outlining when infrastructure requirements, roads, incentives and other critical requirements will need to be delivered or provided. The detailed implementation schedule will be considered in the development of these milestones. The Department will give the community written notice by certified mail of the breach of contract at least sixty (60) business days prior to any intended termination. If a breach of contract is not cured to the satisfaction of the Department within sixty (60) business days of the community's receipt of written notice of the intent to terminate, the State may deem the contract terminated without further recourse by the Department. Termination of the contractor, however, will not result in a waiver of any rights or remedies afforded the State from any breach of contract. 9 SECTION 7.04 Non-Appropriation: Any provisions of this Agreement to the contrary notwithstanding, in the event of a Non-Appropriation, the sole remedy for the County, the City and the Corporation shall be to cancel this Agreement and obtain possession of the Land by any lawful means. SECTION 7.05 Notice of a Non-Appropriation: Not less than five (5) business days following a Non-Appropriation, the Department shall give notice of such occurrence to the County, the City and the Corporation. ARTICLE EIGHT MISCELLANEOUS SECTION 8.01 Amount of Obligations: The Department selected Wichita Falls as a site for the high security facility based upon their obligations to provide certain services and incentives to the Department at no cost. Exhibits "A" and "B" provide a complete itemized listing of these services and incentives, along with an estimated cost to provide each to the Department. Estimated cost to be provided by each community). SECTION 8.02 Bonds:, The City will post a Performance Bond (of amount equivalent to the amount of its obligations) or provide a certified copy of the Ordinance appropriating the funds specified in paragraph 4.01(a)(5). The Corporation will provide certificates of deposit or a letter of credit to guarantee the community's commitments, except those of the City, specified in this Agreement. The amount of the obligations will include all necessary provisions for the community to provide all infrastructure needs and any other item addressed in this Agreement to include: the community's obligations to bring both temporary and permanent utilities to the site with the permanent utilities being tied-in to the compound through a central easement corridor; construction road and patrol road. The City and Corporation will provide the required instruments prior to the beginning of construction. The forfeiture of such instruments is contingent upon the County, the City and the Corporation's failure to meet the requirements of this Agreement on a timely basis. The instruments shall be released upon acceptance by the Department of the completed work. SECTION 8.03 Easements: Any easements (utility or other) will be coordinated with the Department's Director of Land and Minerals at P. O. Box 99, Huntsville, Texas 77340 [(409) 294-6706]. SECTION 8.04 Notices:, All notices, certificates, requests or other communications hereunder shall be sufficiently given and shall be deemed given when mailed by first-class mail except as otherwise specified herein), postage prepaid, addressed as follows: 10 If to Department to: If to County to: Director, Administrative Services Division Nick Gipson, County Judge New Administration Building Wichita County P. O. Box 99 Wichita County Courthouse Huntsville, Texas 77342-0099 Wichita Falls, Texas 76301 to City to: If to Co ration to: City Manager Ron Mertens City of Wichita Falls Board of Commerce and Industry P. O. Box 1431 218 Hamilton Building Wichita Falls, Texas 76307 Wichita Falls, Texas 76301 Each party may, by notice given under this Section 9.02, designate any further or different addresses to which subsequent notices, certificates, requests or other communications shall be sent. SECTION 8.05 Amendments to Agreement: The County, the City, the Corporation and the Department may from time to time enter into one or more amendments or supplements to this Agreement, which such amendments or supplements shall be reduced to writing and signed by the parties hereto. No such amendment or supplement shall be binding and effective unless so written and signed by the parties hereto. SECTION 8.06 Officers, Employees, and Agents of the County. the City, the Corporation and the Department Exempt from Personal Liability: This Agreement is a solely limited obligation of the County, the City, the Corporation and the Department, and no recourse under or upon any obligation, covenant or agreement of this Agreement, or for any claim based hereon or thereon, or otherwise in respect hereof, shall be had personally against any past, present or future officer, employees, or agent of the County or any successor, of the City or any successor, of the Corporation or any successor, or of the Department or any successor, whether by virtue of any constitution, statute, or rule of law, by the enforcement of any assignment or penalty, or otherwise. All such liability and claims against such persons individually are expressly waived by the parties hereto as a condition of, and in consideration for, the execution and delivery of this Agreement. SECTION 8.07 Counterparts: This Agreement may be executed in any number of counterparts and by the different parties herein on separate counterparts. SECTION 8.08 Headings: The County, the City, the Corporation and the Department agree that the headings used in this Agreement are for the convenience of reference only and shall not constitute a part hereof or affect the construction or interpretation hereof. 11 SECTION 8.09 Severability: If any clause, provision, or section of this Agreement shall be held illegal, invalid, or unenforceable by any court, the illegality, invalidity, or unenforceability of each clause, provision, or section shall not affect any of the remaining clauses, provisions, or sections hereof, and this Agreement shall be construed and enforced as if such illegal, invalid, or unenforceable clause, provision, or section had not been contained herein. In case any agreement or obligation contained in this Agreement be held to be in violation of law, then such agreement or obligation shall be deemed to be the agreement or obligation of the County, the City, the Corporation or the Department, as the case may be, to the full extent permitted by law. SECTION 8.10 Laws of Texas to Govern: The laws of the State of Texas shall govern the construction and enforcement of this Agreement and any suit, whether at law or in equity, shall be brought only in the District Courts of the State. SECTION 8.11 Working on State Property: Any entity working on the Department's property must adhere to all TDCJ rules and regulations (i.e., no smoking on State property, etc.) IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed by their respective duly authorized Representatives on the day of 1996. Wichita County, Texas City of Wichita Texas 440 By: By: i ,' Nick Gipson Lames County Judge Mayor Attest: Attest: By: By: 1 1 JItA ) Vernon Cannon y••ATorres County Clerk City ! erk 12 Texas Department of Wichita Falls Board of Criminal Justice Commerce and Industry By: By: William C. McCray Ron Mertens Director President Admin. Services Division Approved as to Form: By: Attorney (TDCJ) EXHIBIT A 1. The cost of providing utilities extensions, meters and any other related utility items will be borne by City of Wichita Falls, Lone Star Gas, TU Electric, and Wichita Falls Board of Commerce and Industry. In the event that Lone Star Gas extensions exceed $20,000, the Board of Commerce and Industry will provide the additional funds required.Cost for modifications to the current wastewater treatment plant will be borne by Wichita Falls. 2. Upon completion and acceptance of the expansion of the Allred Unit, the City will furnish water, sewer and solid waste services to the prison facility at rates equal to 100% of the rates charged to users located within the City limits. Such services shall be subject to the ordinances of the City as presently existing and as may be hereinafter amended. 3. City of Wichita Falls will furnish and install a garbage grinder or "muffin monster" downstream of the Allred Unit on the existing sanitary sewer line. 4. Wichita County will provide a temporary construction road to the high security facility. 5. After construction, Wichita County will reconstruct the patrol road around the new high security facility portion of the Allred Unit. 6. Any relocation of utilities which may be required as part of the proposed Allred high security building expansion, will be done at no cost to TDCJ if said utilities are located outside of the current Allred Unit fence. EXHIBIT B Gas 30,000 Electric 1,000 Roads 30,000 Water & Sewer - 1,600,000