Res 2392 9/18/1979Fr
RESOLUTION NO. 57,
RESOLUTION APPROVING AGREEMENT EXTENDING FOR TWO
YEARS THE NON-ANNEXATION CONTRACT WITH WICHITA
FALLS BOARD OF COMMERCE AND INDUSTRY AND HOWMET
TURBINE COMPONENTS CORP.
WHEREAS, the City of Wichita Falls and Wichita Falls
Board of Commerce and Industry entered into a contract dated
September 20, 1978, guaranteeing non-annexation for seven
years of 66 acres out of the Thomas Curry Survey in Wichita
County, which contract has since been assigned in part to
Howmet Turbine Components Corp. ;
WHEREAS, all of said parties desire to extend such
contract for a period of two years.
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF ALDERMEN
OF THE CITY OF WICHITA FALLS, TEXAS, THAT:
That certain Extension Agreement, a copy of which is
attached hereto, between the City of Wichita Falls and
Wichita Falls Board of Commerce and Industry and Howmet
Turbine Components Corp. , whereby such non-annextion contract
is extended for a period of two years, is hereby approved,
and the City Manager is authorized to execute the same for
the City of Wichita Falls.
PASSED AND APPROVED this the 18th day of September, 1979.
MAYOR
ATTEST:
City Clerk
THE STATE OF TEXAS
COUNTY OF WICHITA
EXTENSION AGREEMENT
This contract made and entered into by and between the City of Wichita
Falls, Texas, a municipal corporation, hereinafter called "City", and Howmet
Turbine Components Corporation, hereinafter called "Howmet",
WITNESSETH:
WHEREAS, Howmet is the owner of a certain tract of land, hereinafter
called "Subject Property", located in Wichita County, Texas, said land being
more fully described in Exhibit A, which is attached hereto and incorporated
herein, and which land is located within City's extraterritorial jurisdiction; and,
WHEREAS, the City and the Wichita Falls Board of Commerce & Industry
BCI) entered into an Agreement, dated September 20, 1978 (the "1978 Agree-
ment"), wherein the City declared the .Subject Property to be an industrial dis-
trict and agreed to refrain from the annexation of the Subject Property until
December 31, 1985, in consideration for the payment by BCI of certain sums
in lieu of the taxes which would have been assessed on the Subject Property if
annexation had taken place; and,
WHEREAS, BCI has subsequently sold the land described in Exhibit A to
Howmet and Howmet has been assigned the 1978 Agreement by BCI; and,
WHEREAS, due to the damage suffered by the City in a recent tornado,
the City and Howmet have agreed to extend the period of non-annexation and to
make certain adjustments to the payments in lieu of taxes, both as described
in the 1978 Agreement; and,
WHEREAS, the Board of Aldermen of City has, by Resolution No. 2392,
authorized and approved this contract which such Board of Aldermen deem to
be in the best interest of the City.
I
y a
NOW, THEREFORE, for and in consideration of the mutual covenants
hereinafter contained to be performed by the parties hereto, City and Howmet
do hereby agree as follows:
1. The 1978 Agreement is hereby extended by the mutual agreement
of the parties for a period not to exceed two years beyond the original term
set forth therein. In mutual consideration for said extension, the parties fur-
ther agree to certain adjustments in the terms of the 1978 Agreement, which
terms shall be hereinafter restated, as adjusted, in their entirety. It is
agreed that, on and after the date hereof, the terms of this Extension Agree-
ment shall supersede the terms of the 1978 Agreement.
2. City guarantees the continuation of the extraterritorial status of
Subject Property and its immunity from annexation by City for a period, such
that the Subject Property shall not be assessable due to its appearance on the
tax rolls prior to the year commencing January 1, 1988.
3. City will furnish water service to Howmet on Subject Property at
rates a ual to 150 of the rates cha red to users located ' h'q g wit in the City limits
through December 31, 1985, unless City's Board of Aldermen reduces to a level
below 50% or completely eliminates the standard out-of-city additional charge
established by ordinance, in which event Howmet shall thereafter pay the same
rates charged to other out-of-city users. If not sooner, Howmet will pay the
same rates charged to users within the City limits beginning January 1, 1986.
4. City will furnish sanitary sewer service to Howmet on Subject Pro-
perty at rates equal to 150% of the rates charged to users located within the
City limits through December 31, 1985, unless City's Board of Aldermen re-
duces to a level below 50% or completely eliminates the standard out-of-city
additional charge established by ordinance, in which event I-lownact shall there-
after pay the same rates charged to other out-of-city users. If not sooner,
Howmet will pay the same rates charged to users within the City limits begin-
ning January 1, 1986.
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5. City will furnish solid waste collection and removal service to
Howmet on Subject Property at rates equal to 125% of the rates charged to
commercial and business establishments within the City limits through Decem-
ber 31, 1985, unless City's Board of Aldermen reduces to a level below. 25%
or completely eliminates the standard out-of-city additional charge established
by ordinance, in which event Howmet shall thereafter pay the same rates
charged to other out-of-city users. If not sooner, Howmet will pay the same
rates charged to users within the City limits beginning January 1, 1986.
6. The water service, sanitary sewer service and solid waste collect-
ion service provided to Howmet by City shall be subject to the ordinances of
City as presently existing and as may be hereinafter amended.
7. Howmet will pay to the City between October 15 and December 31 of
each year of this Extension Agreement a payment in lieu of taxes. Such pay-
ment shall be in cash or cash equivalents acceptable to the City and in amounts
to be determined in paragraphs (A) through (I) below. For purposes of these
determinations, "Normal City Taxes" shall mean the amount of normal city taxes
that would have been due and payable by Howmet on December 31 of the appli-
cable tax year had the Subject Property been located within the limits of the
City during the applicable tax year.
A) The payment due December 31, 1979, shall be equal
to 100% of the 1979 Normal City Taxes.
B payment due DecemberThepyment 31, 1980, shall be equal
to 100% of the 1980 Normal City Taxes reduced by 3 3/4% of
75% of the 1979 Normal City Taxes.
C) The payment due December 31, 1981, shall be equal
to 25% of the 1981 Normal City Taxes reduced by 3 3/4% of
75% of the 1979 and 1980 Normal City Taxes.
D) The payment due December 31, 1982, shall be equal
to 25% of the 1982 Normal City Taxes reduced by 3 3/4% of
75% of the 1979 and 1980 Normal Taxes.
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E) The payment due December 31, 1983, shall be equal
to 25% of the 1983 Normal City Taxes reduced by 3 3/4% of
75% of the 1979 and 1980 Normal City Taxes.
F) The payment due December 31, 1984, shall be equal
to 25% of the 1984 Normal City Taxes reduced by 3 3/4% of
75% of the 1979 and 1980 Normal City Taxes.
G) The payment due December 31, 1985 , shall be equal to
25% of the 1985 Normal City Taxes reduced by 3 3/4% of 75%
of the 1979 and 1980 Normal City Taxes.
H) The payment due Decembdt 31, 1986, shall be equal to
25% of the 1986 Normal City Taxes reduced by 3 3/4% of 75%
of the 1979 and 1980 Normal City Taxes.
I)The payment due December 31, 1987, shall be equal to
25% of the 1987 Normal City Taxes reduced by 3 3/4% of 75%
of the 1980 Normal City Taxes.
In computing the Normal City Taxes, the following rules shall be applied:
a) The appraised value of the land shall be determined in the
same manner that other land in the City is appraised.
b) The initial appraisal of the buildings and other improvements
shall be an amount equal to 92% of the actual costs of such buildings
and improvements, which cost figures have been furnished to City by
Howmet.
c) The appraised value of the machinery, equipment and other
personal property except for inventory shall be, throughout the term
of this contract, an amount equal to 65% of the actual costs of such
machinerY • equipment and other personal property, which cost figuresures
have been furnished to City by Howmet.
d) The appraised value of Lhe inventory shall be determined
in the same manner that the inventory of other firms in the City
are appraised.
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(e) Each year the then current assessment ratio established
by the Board of Aldermen shall be applied to the appraised value
in order to obtain the assessed value; the then current tax rate
as established by the Board of Aldermen shall be applied to the
assessed value to obtain the amount of the Normal City Taxes.
8. This Extension Agreement does not release or waive any obligations
to the City in connection with any paving, curb and gutter, or other improvement
liens which may be assessed against Subject Property.
9. In the event Howmet should breach any of the provisions of this Ex-
tension Agreement, and it fails to remedy such breach within thirty (30) days
after having been notified by City to do so, then City shall have the right to
terminate this Extension Agreement, and to proceed to annex Subject Property.
10. City shall initiate proceedings to annex Subject Property into the City
limits early enough to be able to complete such proceedings by December 31,
1987 and Subject Property shall be included on the tax rolls of City on January 1,
1988.
11. City will furnish fire fighting services to Howmet on Subject Property.
12. This Extension Agreement shall be effective as of the date hereof.
IN WITNESS WHEREOF, the parties hereto have caused this contract to be
executed by their duly authorized officers on this the 3 ", day of ,1.)Co1 Nit.._
1979.
ATTEST: CITY OF WICHITA FALLS, TEXAS
r
4,7...e 1 2 r/// ' c-142i-�.� BY
CITY CLERK V CITY MA GER*
ATTEST: HOWMET TURBINE COMPONENTS
CORPORATION
G410QLJ BY L94--"--'4444--
Assistant Secretary CIhRMAN
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EXHIBIT A
A tract of land out of the Thomas Curry Survey, A-345, Wichita County,
Texas, and being more specifically described by metes and bounds as follows:
BEGINNING at the point of intersection of the West right-of-way line of a 50
foot wide County Road and the centerline of Bacon Switch Road, said point bears
West 360. 00 feet from the Northwest corner of Section 39, H. & H. G. R.R. Co.
Survey, A-161, and an ell corner of said Thomas Curry Survey, for the Northeast
corner and place of beginning of this description:
THENCE West 2100. 00 feet along said centerline of Bacon Switch Road to a
point for the Northwest corner of this tract;
THENCE South 1264.01 feet to a point for the Southwest corner of this tract;
THENCE East 2448.96 feet to a point in said West right-of-way line of County
Road for the Southeast corner of this tract;
THENCE North 150 26' West 1311. 29 feet along said West right-of-way line
of a 50' foot County Road to the Place of Beginning and containing 66. 00 Acres,
more or less.