HomeMy WebLinkAboutPR 19605: IDA EXXONMOBIL OIL CORPORATION P.R. No. 19605
11/29/16 gt
RESOLUTION NO.
A RESOLUTION APPROVING AN INDUSTRIAL DISTRICT
AGREEMENT WITH EXXON MOBIL OIL CORPORATION
WHEREAS, the City and ExxonMobil Oil Corporation entered into an Industrial
District Agreement per Resolution No. 12-169 for the years 2012 to 2016, which expires on
December 31, 2016; and,
WHEREAS, the City and ExxonMobil Oil Corporation desire to enter into a new
agreement.
WHEREAS, NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF
THE CITY OF PORT ARTHUR, TEXAS:
Section 1. That the facts and opinions in the preamble are true and correct.
Section 2. That the City Manager is herein authorized to execute a new
Agreement with ExxonMobil Oil Corporation on behalf of the City, in substantially the same
form as set forth in Exhibit "A" attached hereto, for the years of 2017 to 2021.
Section 3. That a copy of the caption of this Resolution be spread upon the
Minutes of the City Council.
READ, ADOPTED AND APPROVED on this day of , A.D.,
2016, at a Meeting of the City Council of the City of Port Arthur, Texas, by the following
vote: AYES:
s.pr19605
Mayor:
Councilmembers:
NOES:
DERRICK FREEMAN
MAYOR
ATTEST:
SHERRI BELLARD
CITY SECRETARY
APPROVED AS TO FORM:
VALECIA R. TIZE ,
CITY ATTORNEY
APPROVED FOR ADMINISTRATION:
BRIAN MCDOUGAL
CITY MANAGER
s.pr19605
EXHIBIT "A"
•
s.pr19605
STATE OF TEXAS §
COUNTY OF JEFFERSON §
INDUSTRIAL DISTRICT AGREEMENT
WITH EXXONMOBIL OIL CORPORATION
WHEREAS, the City of Port Arthur and ExxonMobil Oil Corporation have an
Industrial District Agreement which expired on December 31, 2016 (approved per
Resolution No. 12-169); and
WHEREAS, the City of Port Arthur and ExxonMobil Oil Corporation desire to
enter into a new Industrial District Agreement with respect to property until December
31, 2021, described in Exhibit "A" that is located in tracts adjacent to West Port Arthur
Road, and within the extraterritorial jurisdiction of the City; and,
WHEREAS, these parties wish to address the following: (1) health and safety
issues at the tank farm owned by ExxonMobil Oil Corporation, and procedures for the
City's review thereof, (2) needs of the City to have a stable revenue source that is not
materially affected by appraisal litigation, (3) the need to define backup services
provided by the City, and (4) the terms of the new agreement; and,
WHEREAS, both parties agree that there has been full and adequate
consideration for each party's obligations under this Industrial District Agreement with
ExxonMobil Oil Corporation; and,
WHEREAS, this agreement is authorized under Section 42.044 Local
Government Code, Vernon's Texas Code Annotated, and the parties agree that the
s.ida_ExxonMobil corp 2017
following terms are reasonable, appropriate, and not unduly restrictive of business
activities; and,
WHEREAS, both parties find that this new Agreement, as delineated herein, is
beneficial to each party.
NOW THEREFORE, in consideration of the promises and the mutual
agreements of the parties contained herein, the City of Port Arthur and ExxonMobil Oil
Corporation agree with each other as follows:
Section 1. PAYMENTS BY EXXONMOBIL OIL CORPORATION
(a) For the years 2017, 2018, 2019, 2020, and 2021, ExxonMobil Oil
Corporation shall pay to the City of Port Arthur the following amounts as delineated in
Section 1(b) for the years 2017, 2018, 2019, 2020, and 2021, so long as the Company
owns the property (the "Property") described in Exhibit "A", this industrial district
agreement is in full force and effect, and the Property is not annexed.
(b) The payments shall be made as follows:
YEARS: AMOUNT OWED: DUE DATES:
2017 $25,000 September 1, 2017
2018 $30,000 September 1, 2018
2019 $35,000 September 1, 2019
2020 $40,000 September 1, 2020
2021 $45,000 September 1, 2021
(c) The City of Port Arthur will mail out an invoice to ExxonMobil Oil
Corporation by August 1st of each year. If the payments are not postmarked by
September 1st of each year, ExxonMobil Oil Corporation will also pay the City a late fee
of 1% per month.
s.ida ExxonMobil corp 2017 2
(d) The City shall not refund any moneys previously paid by ExxonMobil Oil
Corporation, either directly or indirectly, to the City of Port Arthur.
Section 2. If requested by ExxonMobil Oil Corporation, the City of Port Arthur's
fire department shall provide backup fire suppression support, and the City of Port
Arthur's police department shall assist in providing an evacuation route in the case of a
fire or a chemical release at the tank farm owned by ExxonMobil Oil Corporation located
in the City's extraterritorial jurisdiction. Nevertheless, ExxonMobil Oil Corporation shall
be primarily liable for taking such precautions as is expected in the industry, and as is
required by federal, state, and local law, including the standard codes as delineated and
referenced in the Standard Fire Prevention Code as published each year by the
Southern Building Code Congress International, Inc. to (1) prevent fires, explosions,
and chemical releases, (2) prevent the imprudent discharge of storm water that
contribute to flooding on adjacent property, and (3) be prepared, together with local
authorities, to evacuate the facility and surrounding area, as may be warranted by
potential emergencies. ExxonMobil Oil Corporation shall employ sufficient fire
suppression personnel and equipment to provide an initial and primary fire suppression
response, as well as to control and abate chemical releases. ExxonMobil Oil
Corporation shall provide the City's fire chief and police chief with emergency response
plans. If there is a fire, and the City is requested to provide initial and primary fire
suppression services, or if a clean-up is required under Section 2201.3.2.1 of the
Standard Fire Prevention Code, ExxonMobil Oil Corporation will pay the City the costs
s.ida ExxonMobil corp 2017 3
costs and expenses incurred by the City and any of its departments to the same extent
that similarly situated parties would.
Section 3. ExxonMobil Oil Corporation shall notify the City of Port Arthur's fire
chief, police chief, and the City's Emergency Management Coordinator of all incidents
involving fires, serious injuries, deaths, and chemical releases that create a health and
safety hazard to the community.
Section 4. If is specifically stipulated that nothing in this Agreement will, in
any manner, enlarge, limit, or restrict the authority of the City to annex all or part of
said lands and facilities during the period of the Agreement if the City should determine
that such annexation is reasonably necessary to promote and protect the general
health, safety, and welfare of the persons residing within or adjacent to the City;
provided, however, the City agrees that such annexation will not be made for revenue
purposes only. In the event of such annexation, ExxonMobil Oil Corporation will not be
required to make further payment under this Agreement for any calendar year
commencing after such annexation with respect to the property so annexed, but shall
nevertheless be obligated to make full payment for the year during which such
annexation becomes effective, if the annexation become effective after January 1st of
said year. Under no circumstances will ExxonMobil Oil Corporation pay an "in lieu of
tax" payment, and a tax to the City for the same year.
Section 5. The City will not annex the property of ExxonMobil Oil Corporation,
as delineated in Exhibit "A", under Chapter 43 of the Local Government Code, or file
litigation in District Court to abate or prevent a nuisance or seek a civil penalty under
s.ida ExxonMobil corp 2017 4
Sections 54.016, 54.017, and 217.042 of the Local Government Code for "health,
safety, and welfare concerns" until written notice of the concerns has been delivered to
ExxonMobil Oil Corporation, and ExxonMobil Oil Corporation has had an opportunity to
respond and to address the City Council in open session.
Section 6. If there is a dispute as to whether there is a health, safety, and
welfare concern, the matter can, at the request of either party, be submitted to
arbitration before an arbitrator selected from a panel supplied by the American
Arbitration Association. The arbitration shall take place in the City Hall of the City of
Port Arthur, or at such other locations as the parties agree to. The request for
arbitration must be demanded in writing within ninety (90) days of the initial written
complaint from either party to this Agreement, or the arbitration is waived. The costs
of the arbitrator shall be shared equally between the two parties. The arbitration
process shall be completed within ninety (90) days from the date the arbitrator is
selected, and if it is not so completed, either party may proceed with annexation or
litigation, as they so desire.
Section 7. This Agreement is effective the 1st day of January 2017 and shall
expire on the 31st day of December 2021.
[SIGNATURE PAGES FOLLOW]
s.ida ExxonMobil corp 2017 5
SIGNED ON THIS THE day of , 2016.
EXXONMOBIL OIL CORPORATION
BY:
ACKNOWLEDGMENT
STATE OF §
COUNTY OF §
BEFORE ME, the undersigned Notary Public, on this day personally appeared
, known to me to be the person whose name is described
to the foregoing instrument, and acknowledged to me that he/she executed the same
as the act and deed of ExxonMobil Oil Corporation, for the purposes and considerations
therein expressed, and the capacities therein stated.
GIVEN UNDER MY HAND AND SEAL OF OFFICE, THIS THE day of
, A.D., 2016.
NOTARY PUBLIC, STATE OF
s.ida ExxonMobil corp 2017
SIGNED ON THIS THE day of , 2016.
THE CITY OF PORT ARTHUR
BY:
Brian McDougal, City Manager
ACKNOWLEDGMENT
STATE OF TEXAS §
COUNTY OF JEFFERSON §
BEFORE ME, the undersigned Notary Public, on this day personally appeared
Brian McDougal, City Manager, known to me to be the person whose name is described
to the foregoing instrument, and acknowledged to me that he executed the same as
the act and deed of the City of Port Arthur, for the purposes and considerations therein
expressed, and the capacities therein stated.
GIVEN UNDER MY HAND AND SEAL OF OFFICE, THIS THE day of
, A.D., 2016.
NOTARY PUBLIC, STATE OF TEXAS
AFTER RECORDING RETURN TO:
CITY OF PORT ARTHUR
LEGAL DEPARTMENT
P. O. BOX 1089
PORT ARTHUR, TEXAS 77641-1089
s.ida ExxonMobil corp 2017
EXHIBIT "A"
s.ida_ExxonMobil corp 2017 8
Exhibit "A" Corporation"
"Agreement with Mobil Oil Corp
Tract 4, WM. Siegler S1rvey 48
CAD 300048-000400
51.25 Acres
. •
.. ) PAR/41L OIL COLONIAL TANK
•
• ,
PORT ACRES QUADRANGLE V..,',.
nxi.S-RnErsolo 03- A
/A mum ors atfoommia '
•
..s.1„4'.,1/4\.A.\,.D..4.o"7 oI-.q3.3Z•c•1•.35.•.o'G.c•.. •-, 0 0-.Lqg•.)\-ii.•l',--_a,):-.
\)•I7J\-?,--,,4.••...•..,e"-.A-,r-Z.IT;‹sI1V.p..:..17.4IA"4•,.Ol-•
,_o, d-_0 A_i.
.o., -.-.-...-7-7....,t........t • .,.....,...)/1•4/./.
/,,,....,.;,••
,...•.....•.....-.• •1.•a•••.,/._ ,•t
O0An -1
1
- \ .Y.:.•N
.:.• 'd1 11).,, 1"-•:a.54•1.•15Ir•1
•
•.r,1:.10
:2X nrt
. \ CAtIMI C. •'.a. .4.........:. ...:+; \. ...,
% .... . j ..........;
4..kt. . carded _L....t . • . . ...la:
. .... - '.• IZ
............-.... ..... ,./.... .... ._._ . '
• . N
• --- .
•
•-•... _____ .\••,' '
.,.,,,....•''''''''''' '''''''..di .
•••• ....\-..-
Nollie?'',,,A••••• --, •g . ,
'' „.. ‘•.n.:,•:.,' .. .' .:,-"N. :,..
• • •).-..-... - "`...,: \.,
"..,,??••..:... -:.6,- - ••:. /...;•.
. . r''•*-;',74:7-•-•'----'.",1 •:.•:-..;-;;;Y7•46,N \'‘.4:' )!
....-
. ..........---4.t.'''.--..‘;--- 4:4.....•,"'. -;*-7.-Sa-z.--:L%ii......'.--...--;.--C...:..-w-•:•.•• — , \1 A .. .../.1.....r. a
..,•..." .
...0,„.4.,••----....,..• ... .. 0 0\ _..... ....,, ., . • .... .-- .•...........». : 7r,:t. . .,,.. .1
„....-- • za›- 0? V '4% ‘ N
-:•'. 0 0 0 . . k^1Z.":"• . "". . . ....4 . •C• , •, sl
------ . .., Cit-IGC,.\\L.7.,,, ,
T.. Adr/1,„ r..... :I • ,.
°r7. 5- :. -..- •••.
rrincl, ,
, .- • ‘'• •!•- .• , /
111111CAAL... ,. .. , i , • • - AVERL.4.1,..,#.4,1
i ), • ., ,
..,' ,C.....- • k• . N. Strz...' .1 N
a SIPA P-...t \ .. ,..77 t... - ....,5,5 • trim( ••.IA . ...;
.*9..
e ' •••-• • ‘
;,. /' . . --.. ,
`,./. •,a4 * "."•,••%-t
•.:\ ., .. „ .4. , ,‘, ••••
J t.: • . .. -.. ort r•',...: b :
\:..I.—. --. = . -''
•
.-..... ,•.• • - -7- --- ----4`."1-7_ -! --,..t-'.
• :. -.,. .47,, ,..• •,.• .• • ... .„.. ..-.__„. s.,..,,,,...0
. •-- • ',\ - ...- !• ii.,4";:/f....;7- 1.'... 1* " ,-/.....-it'''‘',:s.i.1:
• . .'N, '11.i.,„,i;:.''' • •r• /:‘•4.t. •; <,..--. ....-•• '
• „,.-.....4.:. . .--- . .
•
%_,,-,,' \•,/;-•-•.:%-. •:•••::-....-.:••. :. ; • 7t,t.• .-4 ,. :4i.1,-:,
- „ .: .•?4• •
73:7.
•"•• ........04.. /N.,,,,,:isir: //,./.'74.,
„ 1 i''
...... ,.•••2 •• • tl....4 ' r . _, ......s_yr, . '''...0.' ''.1
.."
......„..,_„..- , • - , .%:\4:,..,,,, ID))-(';- ..,..--
/I .•.i -"\1:-•ka
•
7... ..N....7" I I 1WIT - • 1
: •...%•4
. .
• .._
• •• . •-• 4,p.. )1/': CAlipeR &
......... .• .„.. ' ..
.. „,..... .1.2 '.•...,.. 44
...• .,.• 4!...:*.t ' ... ---
s •.., ' "S•\ •:- . •-s.%
.
„' ...., ....k• •-..
..._ • •\- .- \ g.
----.: !
.:
.i. .s
• .s-----A _ _ *. - . i ' N
-'Ac. •• / '-'; $ • /-
\•,,..... "...„. d, N '--•"-.../
;
-. \ -4:>* ' ''t''''''• -..." ,3
. .., ._......e....1 •
• .? i ..„ .. ______.....„....._ ,ia, it, .
• , k .,
Si i % ‘,.. /' I; .
.•
,/ ..
.. ... , .II
, •.-.....,
• ..• ss„ :f' II
/
. \ ;
.h.. ".. ....
•/.
i i '
.I .. - / v.... .......4
1 • I•lor s. '
am .F .---. . ..
( .
. ,
ts..• ...
/Tx /k.4 ....-*.-4sZ:'•,:
,, ,,,,„•• ..,
1. • ... 4,1e1....'-'"
`7' \
• 3
• -:"f
.'..
\\ ..,
. .# 4....
• ...--
t , .,-• i A 4-47.,.. • ..;... ;i
• de. - *If- • •••-••----- •••••• ,
I ; .•,'"
• fg. ..... j '4-,
.
/ . e:4447- .
* ., •:., . •' • ,. . . •• 1.4
• ...- "• / \ , /.. 1., ., - • . ...war
. i • .
. . . . 4.•a..:"..... e•-• .....;,:fri
• •‘.4. • i
-..:... ...•••:-.....;.• •• . 4 v..' . . i rz, .. . • . .7. : . ...1:i.' , .' • • •.-
.e.i. . • "'" .... 17eNr,Jo.t.: 4 •I PT ARTHUR r
.....,,diairpet .t. ,
• •
-....1, k . ' - • • ..
_ . , .o.orri•
.... V
*$.r9 "".1416
. 44....g.
- -..-...-..... dal:...4 •
t I
—
,. ... . .