HomeMy WebLinkAboutPR 21970: AMENDING RESOLUTION NO. 21-070 WITH ROBOGISTICS, LLC Ca)
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Texas
www.PortArthurTx.gov
INTEROFFICE MEMORANDUM
Date: May 19, 2021
To: The Honorable Mayor and City Council
Through: Ron Burton, City Manager
From: Scott Moore, Asst. City Manager& Adam Saunders, Dir. of the Civic Center
RE: P. R. No. 21970
Introduction:
The intent of this Council Agenda Item is to seek the City Council's approval authorizing the
City Manager to execute a 12 month lease with Robogistics a robotic, automation, and logistics
company leasing 3451 57th Street property.
Background:
In 2019, the City Council approved an initial 12 month lease agreement with Robogistics to
utilize the 57th Street armory facility. Robogistics management team worked the EDC and
PAISD officials in establishing a work study opportunity for eight (8) students interested in
automation and robotics technology. The success of the work study initiative allowed five (5)
PAISD students to be hired full time in 2020. Robogistics is on the cutting edge of developing
the next generation of robotic automation and has the potential tt,- ttract and retain local talent
in reaching their growth potential here in the region.
Budget Impact:
The lease agreement will generate a monthly revenue stream of$9,800 for the first eight (8)
months and will increase to $20,200 for the remaining four(4) months of the agreement.
Recommendation:
It is recommended that the City Council approve P. R.No. 21970 and authorize the City
Manager to execute the 12 month lease agreement.
/as
"Remember,we are here to serve the Citizens of Port Arthur"
P.O.Box 1089 X Port Arthur,Texas 77641-1089 X 409.983.8101 X FAX 409.982.6743
P.R. NO. 21970
05/20/21 gt/sm
RESOLUTION NO.
A RESOLUTION AMENDING RESOLUTION NO. 21-070 AS IT
PERTAINS TO THE TERMS OF THE LEASE AGREEMENT BETWEEN
THE CITY OF PORT ARTHUR AND ROBOGISTICS, LLC FOR
PREMISES LOCATED AT 3451 57TH STREET
WHEREAS, the City of Port Arthur is the owner of a 26,059 square foot facility
located at 3451 57TH Street; and
WHEREAS, the City is the recipient of a grant from the Economic Development
Administration (EDA) which allowed for certain renovations to the property, which have
been completed; and
WHEREAS, the EDA has also required that the property be leased at Fair Market
Value as delineated in the lease agreement attached hereto as Exhibit "A"; and
WHEREAS, pursuant to Resolution No. 19-283, the City Council authorized the
City Manager to enter into a twelve (12) month lease agreement with Robogistics, LLC,
which expired on July 16, 2020, which was approved by the Economic Development
Administration's (EDA); and
Whereas, pursuant to Resolution No. 21-070, the City Council authorized the City
Manager to enter into a twenty-four (24) month lease agreement with Robogistics, LLC;
and
WHEREAS, Robogistics, LLC notified the City of Port Arthur that they wish to sign
a new twelve (12) month lease instead of a twenty-four (24) month lease, in substantially
the same form as attached hereto as Exhibit "A".
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF PORT ARTHUR:
s.pr21970
Section 1. The facts and opinions in the preamble are true and correct.
Section 2. That the City Council hereby amends Resolution No. 21-070 as it
pertains to the terms of the lease agreement for twelve (12) months with Robogistics,
LLC, in substantially the same form as Exhibit "A".
Section 3. That a copy of the caption of this Resolution shall be spread upon
the Minutes of the City Council.
READ, ADOPTED, AND APPROVED, this day of , 2021 AD,
at a Regular Meeting of the City Council of the City of Port Arthur, Texas by the following
vote: AYES:
Mayor:
Councilmembers:
NOES:
Thurman Bill Bartle, Mayor
ATTEST:
Sherri Bellard
City Secretary
s.pr21970
APPROVED AS TO FORM:
Lia;uL At_
Val Tizeno 7 J� f
City Attorney
APPROVED FOR ADMINISTRATION:
Ronald Burton
City Manager
s.pr21970
EXHIBIT "A"
s.pr21970
Commercial Lease
Basic Information
Date: May 25,2021
Landlord:
City of Port Arthur, a Texas a municipality created under the laws of the State of
Texas
Landlord's Address:
City of Port Arthur
444 4th Street
Port Arthur, TX 77640
Tenant:
Robogistics, LLC, a Texas corporation
Tenant's Address:
Robogistics, LLC
3451 57th Street,
Port Arthur, Texas 77642
Premises:
Approximate Square Feet: 26,059 square feet
Street Address/Suite: 3451 57th Street
City, State,Zip: Port Arthur, Texas 77642
Term (months): Twelve (12)
Commencement Date: May 25, 2021
Termination Date: May 24, 2022
Base Rent(monthly): $9,800.00
• First Eight(8) months at $9,800 per month rate
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• Remaining four(4) months at $20,200 per month rate
Security Deposit: $20,800.00 (paid with original lease and with lessor)
Permitted Use:
Design, Build and Manufacture Robotic Automation Systems
Tenant's Insurance: As required by Section D.24
Tenant's Rebuilding Obligations: If the Premises are damaged by fire or other elements,
caused by Tenant then Tenant will be responsible for repairing or rebuilding the damage.
A. Definitions
A.1. "Agent" means agents, contractors, employees, licensees, and, to the extent under
the control of the principal, invitees.
A.2. "Essential Services" means utility connections reasonably necessary for
occupancy of the Premises for the Permitted Use.
A.3. "Injury" means (1) harm to or impairment or loss of property or its use, (2) harm
to or death of a person, or (3) "personal and advertising injury" as defined in the
form of liability insurance Tenant is required to maintain.
A.4. "Lienholder" means the holder of a deed of trust covering the Premises.
A.S. "Rent" means Base Rent plus any other amounts of money payable by Tenant to
Landlord.
Clauses and Covenants
B. Tenant's Obligations
Bl. Tenant agrees to -
B.1.a. Lease the Premises for the entire Term beginning on the Commencement Date
and ending on the Termination Date.
B.l. b. Accept the Premises in their present condition "AS IS," the Premises being
currently suitable for the Permitted Use and in compliance with ABA and Texas
law.
Bic. Obey (a) all laws relating to Tenant's use, maintenance of the condition, and
occupancy of the Premises and Tenant's use of any common areas and (b) any
requirements imposed by utility companies serving or insurance companies
covering the Premises.
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B.1.d. Pay monthly, in advance, on the first day of the month, the Base Rent to Landlord
at Landlord's Address. All payments shall made payable to the City of Port Arthur.
Payments shall be made to the Finance Director of the City of Port Arthur, whose
address is 444 4th Street, 2nd Floor, Port Arthur, Texas 77640. Finance Director may as
a courtesy send a billing notice to Tenant. However, such billing notice in no way
excuses or relieves Tenant of its obligation to make payment. Neither shall such
courtesy billing obligate Lessor to send courtesy notices to Tenant.
B.1.e. Pay a late charge of 10% or $980 for the first eight (8) months and $2,020 for the
remaining four (4) months of the Rent payment not received by Landlord by the tenth
day after it is due.
B.lf Obtain and pay for all utility services used by Tenant and not provided by Landlord.
B.1.g. Allow Landlord to enter the Premises to perform Landlord's obligations, inspect the
Premises, and show the Premises to prospective purchasers or tenants.
B.1.h Repair, replace, and maintain any part of the Premises that Landlord is not obligated to
repair, replace, or maintain, normal wear is excepted.
B.1.i. Submit in writing to Landlord any request for repairs, replacement, and maintenance
that are the obligations of Landlord. Landlord is to provide the repairs, replacement,
and maintenance within a reasonable time but not to exceed 15 days or perform the
task immediately if Tenant is unable to use certain part of all part of the facility.
B.1.j. Vacate the Premises on the last day of the Term.
B.1.k. Early Termination Clause. Tenant has the right to terminate this lease upon 30 days
written notice to landlord.With a written notice sent via email and followed by certified
mail attention to the city manager of Port Arthur. With a written notice sent certified
mail attention: City Manager, tenant will be granted up to three (3) weeks to remove
all of its equipment and office furniture from the premises, have the buildings
professionally cleaned, and pay all utility bill usage, prorated rent and prorated taxes
up to the effective move out date.
B.1.1. Taxes
a) The term "taxes" as used in this lease shall include all real property taxes on the
building, the land on which the building is situated, and the various estates in the
building and the land,including the Lessor's interest in the property and the Tenant's
interest under this lease. The term "taxes" shall also include all personal property
taxes levied on the property used in the operation of the building or on the premises;
taxes of every kind and nature levied and assessed in lieu of, in substitution for, or
in addition to, existing or additional real or personal property taxes on the building,.
land, or personal property, whether or not now customary or within the
contemplation of the parties to this lease. "Taxes" also shall include the cost to the
lessor of contesting the amount, the validity, or the applicability of any taxes
mentioned in this section.
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b) Tenant covenants and agrees that Tenant will timely pay all taxes, as defined
herein, lawfully levied by any taxing jurisdiction with authority to tax the
property. Failure to timely pay any tax levied on the property before the
delinquency date for such tax is a material breach of this lease and the Lessor
may terminate the Lease upon thirty days written notice to the Tenant,unless the
Tenant cures such breach by promptly paying amounts owed,together with any
penalty or interest owed. In lieu of or in addition to termination of the Lease,
Lessor may at Lessor's choosing pay the property tax,penalty and interest owed,
and invoice the Tenant for the same. Tenant shall reimburse Lessor for any
invoiced amount within 30 days of the date of the invoice.
c) Tenant further covenants and agrees that the Tenant will each year timely file
with the Jefferson County Appraisal District a rendition statement as required by
Section 22.01 of the Texas Tax Code for all tangible personal property used by
the Tenant on the leased property for the production of income that Tenant owns
or manages and controls as a fiduciary on January 1.The Tenant shall also timely
file an annual report with the Jefferson County Appraisal District a report under
Section 22.04, of the Texas Tax Code, listing the name and address of each
owner of property that is in its possession or under its management on January
1 by bailment, lease, consignment, or other arrangement.
d) In the event Tenant places or allows the placement of taxable personal property
not owned by the Tenant on the premises, Tenant further agrees that the
imposition of penalty or interest for failure to timely pay taxes on such property,
regardless of ownership, is a material breach of Tenant's obligations under this
lease, and the Lessor may terminate the Lease upon thirty days written notice
to the Tenant, unless the Tenant or the property owner cures such breach by
paying amounts owed, together with any penalty or interest owed, prior to the
expiration of the thirty days.
e)The parties represent that they understand that the real property interest listed for
the purposes of property taxes in the records of the Jefferson County Appraisal
District in Tenant's name under Account number 049400-000-041250-00100,
property ID 73549, is the Tenant's leasehold interest in the property. The parties
understand and agree that Tenant shall pay taxes lawfully imposed on the
property during the term of the lease irrespective of whether the property is listed
in the name of the Tenant or of the Lessor, and irrespective of the nature of the
interest taxed.
f) THE PARTIES UNDERSTAND AND AGREE THAT THE TENANT SHALL
PAY taxes and other charges as enumerated in this Article and shall deliver
official receipts evidencing such payments unto the landlord at the place at which
rental payments are required to be made. If, however,the Tenant desires to contest
the appraisal of the property or any other matter within the scope of Chapter 41,
Tax Code,the Tenant may do so provided the
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Tenant gives the Landlord notice of its intention to do so and timely pays the
amount of taxes not in dispute. Tenant covenants and agrees to notify the city of
any litigation of any nature involving the imposition or payment of ad valorem
taxes on the property, including but not limited to litigation under Subtitle E or
Subtitle F, Tax Code.
g) Tenant agrees to abide by the Jefferson County Tax Assessor Agreement No:
82027 requiring monthly payments of taxes owed. (Attachment 1)
B.1.m. INDEMNIFY, DEFEND, AND HOLD LANDLORD AND ITS RESPECTIVE
AGENTS, HARMLESS FROM ANY INJURY (AND ANY RESULTING OR
RELATED CLAIM, ACTION, LOSS, LIABILITY, OR REASONABLE
EXPENSE, INCLUDING ATTORNEY'S FEES AND OTHER FEES AND
COURT AND OTHER COSTS) OCCURRING IN ANY PORTION OF THE
PREMISES. THE INDEMNITY CONTAINED IN THIS PARAGRAPH (i) IS
INDEPENDENT OF TENANT'S INSURANCE, (ii) WILL NOT BE LIMITED
BY COMPARATIVE NEGLIGENCE STATUTES OR DAMAGES PAID
UNDER THE WORKERS' COMPENSATION ACT OR SIMILAR
EMPLOYEE BENEFIT ACTS,(iii)WILL SURVIVE THE END OF THE TERM,
AND (iv)WILL APPLY EVEN IF AN INJURY IS CAUSED IN WHOLE OR IN
PART BY THE ORDINARY NEGLIGENCE OR STRICT LIABILITY OF
LANDLORD BUT WILL NOT APPLY TO THE EXTENT AN INJURY IS
CAUSED BY THE GROSS NEGLIGENCE OR WILLFUL MISCONDUCT OF
LANDLORD AND ITS RESPECTIVE AGENTS.
B2. Tenant agrees not to -
B.2.a. Use the Premises for any purpose other than the Permitted Use.
B.2.b. Create a nuisance.
B.2.c. Permit any waste.
B.2.d Use the Premises in any way that would increase insurance premiums or void
insurance on the Premises.
B.2.e. Alter the Premises.
B. 2f Allow a lien to be placed on the Premises.
B.2.g. Assign this lease or sublease any portion of the Premises without Landlord's prior
written consent.
C. Landlord's Obligations
C./. Landlord agrees to—
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Cia. Lease to Tenant the Premises for the entire Term beginning on the
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Commencement Date and ending on the Termination Date.
C.J.b. Obey all laws relating to Landlord's operation of the Premises.
C.J.c. Repair, replace,and maintain the(a)roof, (b)foundation, and(c) structural soundness of
the exterior walls, excluding windows and doors.
C.J.d. Return the Security Deposit to Tenant, less itemized deductions, if any, on or
before the thirtieth day after the date Tenant surrenders the Premises.
C.2. Landlord agrees not to -
C.2.a. Interfere with Tenant's possession of the Premises while Tenant is not in default.
C.2.b. Unreasonably withhold consent to a proposed assignment or sublease.
D. General Provisions
Landlord and Tenant agree to the following:
D.1. Alterations. Any physical additions or improvements to the Premises made by
Tenant will become the property of Landlord. Landlord may require that Tenant, at
the end of the Term and at Tenant's expense, remove any physical additions and
improvements, repair any alterations, and restore the Premises to the condition
existing at the Commencement Date, normal wear excepted.
D.2. Abatement. Tenant's covenant to pay Rent and Landlord's covenants are independent.
Except as otherwise provided, Tenant will not be entitled to abate Rent for any
reason.
D.3. Insurance. Tenant and Landlord will maintain the respective insurance coverages
that(1)insures their respective properties and(2)indemnifies the other party against
that parry's liability for loss(personal or property)or damages(personal or property).
D.4. Release of Claims/Subrogation. LANDLORD AND TENANT RELEASE EACH
OTHER AND LIENHOLDER, AND THEIR RESPECTIVE AGENTS, FROM
ALL CLAIMS OR LIABILITIES FOR DAMAGE TO THE PREMISES,
DAMAGE TO OR LOSS OF PERSONAL PROPERTY WITHIN THE
PREMISES,AND LOSS OF BUSINESS OR REVENUES THAT ARE COVERED
BY THE RELEASING PARTY'S PROPERTY INSURANCE OR THAT WOULD
HAVE BEEN COVERED BY THE REQUIRED INSURANCE
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IF THE PARTY FAILS TO MAINTAIN THE PROPERTY COVERAGES
REQUIRED BY THIS LEASE. THE PARTY INCURRING THE DAMAGE OR
LOSS WILL BE RESPONSIBLE FOR ANY DEDUCTIBLE OR SELFINSURED
RETENTION UNDER ITS PROPERTY INSURANCE. LANDLORD AND
TENANT WILL NOTIFY THE ISSUING PROPERTY INSURANCE
COMPANIES OF THE RELEASE SET FORTH IN THIS PARAGRAPH AND
WILL HAVE THE PROPERTY INSURANCE POLICIES ENDORSED, IF
NECESSARY, TO PREVENT INVALIDATION OF COVERAGE. THIS
RELEASE WILL NOT APPLY IF IT INVALIDATES THE PROPERTY
INSURANCE COVERAGE OF THE RELEASING PARTY. THE RELEASE IN
THIS PARAGRAPH WILL APPLY EVEN IF THE DAMAGE OR LOSS IS
CAUSED IN WHOLE OR IN PART BY THE ORDINARY NEGLIGENCE
OR STRICT LIABILITY OF THE RELEASED PARTY OR ITS AGENTS
BUT WILL NOT APPLY TO THE EXTENT THE DAMAGE OR LOSS IS
CAUSED BY THE GROSS NEGLIGENCE OR WILLFUL MISCONDUCT
OF THE RELEASED PARTY OR ITS AGENTS.
D.5. Casualty/Total or Partial Destruction
D.5.a. If the Premises are damaged by casualty and can be restored within ninety days,
Landlord will, at its expense, restore the roof, foundation, and structural soundness
of the exterior walls of the Premises and any leasehold improvements within the
Premises that are not within Tenant's Rebuilding Obligations to substantially the
same condition that existed before the casualty and Tenant will, at its expense, be
responsible for replacing any of its damaged furniture, fixtures, and personal
property and performing Tenant's Rebuilding Obligations. If Landlord fails to
complete the portion of the restoration for which Landlord is responsible within
ninety days from the date of written notification by Tenant to Landlord of the
casualty, Tenant may terminate this lease effective immediately upon by written
notice to by Tenant to Landlord before Landlord completes Landlord's restoration
obligations.
D.5.b. If Landlord does not complete the portion of the restoration for which Landlord is
responsible within ninety days, from the date of written notification by Tenant to
Landlord of the casualty, and Tenant has not terminated this lease as provided in
D.5a.above,Tenant may grant the Landlord the option to restore the Premises upon
such terms and conditions acceptable to both Tenant and Landlord. If Tenant and
Landlord cannot agree on the terms and conditions for the Landlord's option to
restore the Premises as set forth in this paragraph,then this lease terminates without
further notice effective on the ninetieth day from the date of written notification by
Tenant to Landlord of the casualty.
D.5.c. To the extent the Premises are untenantable after the casualty, the Rent will be
adjusted as may be fair and reasonable.
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D.6. Condemnation/Substantial or Partial Taking
D.6.a. If the Premises cannot be used for the purposes contemplated by this lease because of
condemnation or purchase in lieu of condemnation,this lease will terminate.
D.6.b. If there is a condemnation or purchase in lieu of condemnation and this lease is not
terminated, Landlord will, at Landlord's expense, restore the Premises, and the Rent
payable during the unexpired portion of the Term will be adjusted as may be fair and
reasonable.
D.6.c. Tenant will have no claim to the condemnation award or proceeds in lieu of
condemnation.
D.7. Default by Landlord/Events. Defaults by Landlord are failing to comply with any
provision of this lease within thirty days after written notice is given by Tenant.
D.8. Default by Landlord/Tenant's Remedies. Tenant's remedies for Landlord's default are
to sue for damages.
D.9. Default by Tenant/Events. Defaults by Tenant are (a) failing to pay timely Rent, (b)
abandoning the Premises or vacating a substantial portion of the Premises, and (c)
failing to comply within ten days after written notice with any provision of this lease
other than the defaults set forth in (a) and (b).
D.10. Default by Tenant/Landlord's Remedies. Landlord's remedies for Tenant's default are to
(a) enter and take possession of the Premises and sue for Rent as it accrues; (b) enter
and take possession of the Premises, after which Landlord may relet the Premises on
behalf of Tenant and receive the Rent directly by reason of the reletting, and Tenant
agrees to reimburse Landlord for any expenditures made in order to relet; (c) enter the
Premises and perform Tenant's obligations;and(d)terminate this lease by written notice
and sue for damages. Landlord may enter and take possession of the Premises by self-
help, by picking or changing locks if necessary, and may lock out Tenant or any other
person who may be occupying the Premises, until the default is cured, without being
liable for damages.
D.11. Default/Waiver. It is not a waiver of default if the non-defaulting party fails to declare
immediately a default or delays in taking any action. Pursuit of a remedy does not
preclude pursuit of another remedy.
D.12. Mitigation. Landlord has mitigated the loss of rent if Landlord, within thirty days after
Tenant's loss of possession, (a)places a "For Lease" sign at the Premises, (b)places the
Premises on Landlord's inventory of properties for lease,(c)makes Landlord's inventory
available to area brokers on a monthly basis, (d) advertises the Premises for lease in a
suitable trade journal in the county in which the Premises are located, and (e)shows the
Premises to prospective tenants who request to see it.
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D.13. Security Deposit. If Tenant defaults, Landlord may use the Security Deposit to pay
arrears of Rent, to repair any damage or injury, or to pay any expense or liability
incurred by Landlord as a result of the default.
D.14. Holdover. If Tenant does not vacate the Premises following termination of this lease,
Tenant will become a tenant at will and must vacate the Premises on receipt of notice
from Landlord. No holding over by Tenant, whether with or without the consent of
Landlord, will extend the Term.
D.1 S. Alternative Dispute Resolution. Landlord and Tenant agree to mediate in good faith
before filing a suit for damages.
D.16. Attorney's Fees. If either party retains an attorney to enforce this lease, the party
prevailing in litigation is entitled to recover reasonable attorney's fees and other fees
and court and other costs.
D.17. Venue. Exclusive venue is in Jefferson County, Texas.
D.18. Entire Agreement. This lease, its exhibits, addenda and riders, are the entire
agreement of the parties concerning the lease of the Premises by Landlord to Tenant.
There are no representations, warranties, agreements, or promises pertaining to the
Premises or the lease of the Premises by Landlord to Tenant, and Tenant is not
relying on any statements or representations of any agent of Landlord, that are not
in this lease and any exhibits, addenda, and riders.
D.19. Amendment of Lease. This lease may be amended only by an instrument in writing
signed by Landlord and Tenant.
D.20. Limitation of Warranties. THERE ARE NO IMPLIED WARRANTIES OF
MERCHANTABILITY, OF FITNESS FOR A PARTICULAR PURPOSE, OR OF
ANY OTHER KIND ARISING OUT OF THIS LEASE, AND THERE ARE NO
WARRANTIES THAT EXTEND BEYOND THOSE EXPRESSLY STATED IN
THIS LEASE.
D.21. Notices. Any notice required or permitted under this lease must be in writing. Any
notice required by this lease will be deemed to be given (whether received or not)
the earlier of receipt or three business days after being deposited with the United
States Postal Service, postage prepaid, certified mail, return receipt requested, and
addressed to the intended recipient at the address shown in this lease. Notice may
also be given by regular mail,personal delivery, courier delivery, or e-mail and will
be effective when received.Any address for notice may be changed by written notice
given as provided herein.
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D.22. Abandoned Property. Landlord may retain, destroy, or dispose of any property left
on the Premises at the end of the Term.
D.23. Asbestos. Buildings or structures located on the Premises may contain asbestos
containing material or presumed asbestos-containing material as defined by OSHA
regulations. Tenant has inspected the Premises and conducted such tests and
inspections as Tenant deems necessary or desirable.Tenant will provide Landlord with
copies of all such test results and inspections. Tenant will comply with all rules and
regulations relating to asbestos in performing any maintenance, housekeeping,
construction, renovation, or remodeling of the premises, and Tenant will bear all costs
related to removal and disposal of asbestos from the Premises.
D.24. Insurance. All insurance must be written by an insurer licensed to conduct business in
the State of Texas, unless otherwise permitted by Landlord in writing. Tenant shall, at
its own expense, purchase, maintain and keep in force insurance that will protect
against injury and/or damages which may arise out of or result from operations under
this lease, whether the operations be by Tenant or by any subcontractor or by anyone
directly or indirectly employed by any of them, or by anyone for whose acts any of
them may be liable, of the following types and limits:
1. Standard Worker's Compensation Insurance:
2. Commercial General Liability occurrence type insurance City of Port Arthur, its officers,
agents,and employees must be named as an additional insured:
a. Bodily injury $500,000 single limit per occurrence or$500,000 each person/$500,000 per
occurrence for contracts of$100,000 or less; or Bodily injury $1,000,000 single limit per
occurrence or $500,000 each person/$1,000,000 per occurrence for contracts in excess of
$100,000; and,
b. Property Damage $100,000 per occurrence regardless of contract amount; and,
c. Minimum aggregate policy year limit of$1,000,000 for contracts of$100,000 or less; or,
Minimum aggregate policy year limit of$2,000,000 for contracts m excess of$100,000.
3. Commercial Automobile Liability Insurance(Including owned, non-owned and hired vehicles
coverage's).
a. Minimum combined single limit of$500,000 per occurrence,for bodily injury and property
damage.
b. If individual limits are provided, mmlmum limits are $300,000 per person, $500,000 per
occurrence for bodily injury and $100,000 per occurrence for property damage.
Tenant shall cause Tenant's insurance company or insurance agent to fill in all information
required (including names of insurance agency, Tenant and insurance companies,
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and policy numbers, effective dates and expiration dates) and to date and sign and do all other
things necessary to complete and make into valid certificates of insurance and pertaining to the
above listed items, and before commencing any of the work and within the time otherwise
specified, Tenant shall file completed certificates of insurance with the Landlord.
None of the provisions in said certificate of insurance should be altered or modified in any
respect except as herein expressly authorized. Said CERTIFICATE OF INSURANCE Form
should contain a provision that coverage afforded under the policies will not be altered, modified
or canceled unless at least fifteen (15) days prior written notice has been given to the City of Port
Arthur. Said completed CERTIFICATE OF INSURANCE FORM (s) shall in any event be filed
with the City of Port Arthur not more than ten (10) days after execution of this Lease.
D.25. Indemnification: The Tenant shall defend, indemnify, and hold harmless the
Landlord and their respective officers, agents, and employees, from and against all
damages,claims,losses,demands,suits,judgments,and costs,including reasonable
attorney's fees and expenses arising out of or resulting from the performance of the
work,provided that any such damages, claim, loss, demand, suit,judgment, cost or
expense:
Is attributable to bodily injury, sickness, disease, or death or to injury to or destruction of
tangible property (other than the work itself) including the loss of use resulting there from.
Is caused in whole or in part by any negligent act or omission of the Tenant, or
Subcontractor, anyone directly or indirectly employed by any one of them or anyone for whose
acts any of them may be liable, regardless of whether or not it is caused in part by a party
indemnified hereunder.
D.26. Extension Option. Upon the expiration of this lease and Tenant's having not vacated
the premises, Tenant becomes a holdover tenant on a month to month basis. The
lease agreement except for the lease term is binding upon each party. Landlord at
its option may give a written notice to vacate to Tenant according to Texas law.
Landlord may exercise any and all of its right under Texas Landlord- Tenant Law
to reclaim the premises, recover loss rent, all other damages allowed by law, and
attorney fees and costs.
D.27. Property Management. Lou Richard owner of Lou Richard's Realty will serve as
Property Manager. Lou Richard may be contacted at (409) 982-1101, and at her
address 440 53rd Street, Port Arthur, Texas 77640. Property Manager shall act as
the agent of Landlord. And for all intense and purposes in this contract Landlord
and Property Manager shall be one in the same.
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City of Port Arthur, a Texas a municipality created
under the laws of the State of Texas,
Ronald Burton
City Manager
Robogistics, a Texas Corporation,
May , 2021
Salahuddin Wyatt-Khan President& CEO
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Exhibit A
Standard Leasehold Improvements
1. The water bill caused by recent storm and insufficient repair is the responsibility of the City of Port
Arthur.
2. There are no water hook ups outside the building for maintenance, Robogistics request a faucet to
continue the maintenance of the outside premises.
3. There are no covers on the holes outside the building. This is causing insects / birds inside the
building damaging the interior and disrupting the workflow of Robogistics. This was discussed
recently with the authorized city representative. An exterminator was sent who looked around and
saw there were holes that needed to be covered. Robogistics request that the City to cover up the
holes,where necessary.
4. Robogistics would like to utilize the safe as a work office. We agreed that the City of Port if
possible is to knock out a walk in door to the safe from the adjacent utility computer room.
5. The City of Port Arthur is to forward the latest electrical 480V proposal from Entergy to
Robogistics. Robogistics is to review and agree to the upgrade. The City of Port Arthur is to
engage Entergy to perform the 480V upgrade and will not to be responsible paying Entergy for the
electrical upgrade request. Robogistics will be responsible for coordinating the electrical upgrade
and paying the associated fees and charges directly to Entergy for the service request.
6. The City of Port Arthur agreed to correct / repair the street leading to the rented building by
Robogistics within a reasonable time but no longer than 90 days from contract signing.
7. Robogistics is to present a proposed engineering security gate layout to the city of Port Arthur for
the City of Port Arthur's review and approval. All improvements will be paid for by Robogistics.
13
Attachment No. 1
INSTALLMENT PAYMENT AGREEMENT
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ALLISON NATHAN GETZ,P.C.C.
JEFFERSON COUNTY TAX ASSESSOR-COLLECTOR
P.O.BOX 2112,BEAUMONT,TX 77704
EMAIL:PROPERTY@CO.JEFFLRSON.TX.US
Agreement No: 82027
Status: ACTIVE
I. INSTALLMENT PAYMENTS You will pay installments in the amount of $3,043.92 by the 1st of each
month beginning June 1, 2021. The agreement will be in default after the last day of each month if the
installment payment has not been made. During the term of this Contract,penalties and interest will continue to
accrue on the unpaid balance as provided by the Texas Property Tax Code. The taxing authorities will inform
you of the exact amount due for the last installment,upon you contacting JEFFERSON COUNTY.
2. PAYMENT FOR CURRENT TAXES As a condition of this Contract, you will pay all future taxes assessed
by the taxing authorities before the taxes become delinquent during the time of this Contract, or this Contract
will become null and void IMMEDIA l`ELY.
3. LAWSUITS, JUDGMENTS and SALES (IF APPLICABLE) If a delinquent tax suit has been filed against
you, you agree to the immediate entry of a judgment in this cause ( Cause No. N/A). Further, you agree taxing
authorities may foreclose its tax lien if you default under this Contract.The taxing authorities will not abstract or
execute the judgment unless you default under this Contract. The taxing authorities under this Contract reserve
the right to intervene in any delinquent tax collection lawsuit brought by a taxing authority not a party to this
Contract. In the event you default, this Contract will become null and void IMMEDIATELY, and the taxing
authorities may proceed with any collection Iemedies available.Any taxing unit not a party to this Agreement is
not bound by this Agreement. If any taxing unit not a party to this Agreement proceeds to judgment or
foreclosure, this Agreement is void,and this Taxing Unit will participate in the sale.
4. DEFAULT You will be declared in DEFAULT and you will not be offered any further Payment Contracts if
you fail to make a payment under the terms of this contract or fail to pay future current taxes assessed.
YOUR SIGNATURE ON THIS CONTRACT IS AN ADMISSION THAT THE TAX AMOUNTS OWED BY
YOU ARE ACCURATE AND THAT YOU ARE-PERSON tL LE FOR THE PAYMENT OF THOSE
TAXES. ,----��
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(409)835-85I6,WEBSITE:WWW.JEFFCOTAX.COM Page I of 2 VI.I43
Agreement No: 82027
I will pay$3,043.92 on or before the 1st day of each month until the amount due is paid in full.
Taxpayer ROBOGISTICS LLC Date of first payment: 06/01/2021
363 N SAM HOUSTON PKWY E STE 1100
HOUSTON, TX 77060 Date of last payment: 05/01/2022
Number of payments: 12
Monthly Payment: $3,043.92
Home Phone: Total Payment: $36,527.04
Work Phone: 7132053504
Cause No:
Taxpayer Account:
049400-000/041250-00100
Agreement Account(s): Account Name:
049400-000/041250-00100 ROBOGISTICS LLC
Dated thy19th day of May,/,202 I.
/A, )7
Taxpayer Signature— /" aeo-7- 4;0 TAX DEPUTY
Aitoci7t,e//14
- 7 Print Name / Print Name
TAX ASSESSOR-COLLECTOR
Payments may be mailed to:
ALLISON NATHAN GETZ,P.C.C.
JEFFERSON COUNTY TAX ASSESSOR-COLLECTOR
PO BOX 2112
BEAUMONT,TX 77704-2112
(409)835-8516,WERSITE:WWW.JEFFCOTAX.COM Page 2 of 2 VI.143