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HomeMy WebLinkAboutPO 5513: PA ROYAL HOMESinteroffice MEMORANDUM To: Mayor, City Council & City Manager/~/. ~ From: Mark T. Sokolow, City Attorney /-~-u'~ ~-~<--' Subject: P. O. No. 5513 Council Meeting March 29, 2005 Date: March 24, 2005 Attached is P. O. No. 5513 as it pertains to an incentive agreement with PA Royal Homes Development Corp. MTS:bp Attachment cc: Director of Community Services Director of Public Works Director of Utility Operations P A ROYAL HOMZS DEVELOPMENT CORPORATION ATTN= Huong N. Tran, President Atrium Building 2300 Hw~ 365, Suite 320 Nederland, TX 77627 z. po5513, memo P. O. NO. 5513 03/24/05 ts ORDINANCE NO. AN ORDINANCE AS IT PERTAINS TO THE PA ROYAL HOMES DEVELOPMENT CORP INCENTIVE A~REEMENT WHEREAS, the City Council approved an incentive agreement with PA Royal Homes Development Corp per Ordinance 05-81; and ~HEREAS, PA Royal Homes Development Corp has requested a few modifications to the existing incentive agreement; and WHEREAS, the City Council needs to review and approve the changes thereon. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF PORT ARTHUr: Section 1. That the facts and opinions in the preamble are true and correct. Section 2. That the City Manager is authorized to execute the incentive agreement with PA Royal Homes Development Corp in substantially the same form as delineated in Exhibit ~A". Section 3. That a copy of the caption of this Ordinance be spread upon the Minutes of the City Council. READ, ADOPTED AND APPROVED on this __ day of , A.D., 2005, at a Regular Meeting of the City Council of the City of Port Arthur, Texas, by the following vote: AYES: ; NOES: z .po5513 OSCAR ORTIZ, MAYOR ATTEST: EVANGELINE GREEN, CITY SECRETARY APPROVED AS TO FORM: MARK T. SOKOLOW, CITY ATTORNEY APPROVED FOR ADMINISTRATION: STEVE FITZGIBBONS, CITY MANAGER z.po5513 W~EREAS, the City of Port Arthur and PA Royal Homes Development Corp desire to enter into an Incentive Agreement, effective the 1st day of April, 2005; and, W~EREAS, PA Royal Homes Development Corp plans to develop the tract as described in Exhibit "A", so as to provide up to one hundred and thirty-eight (138) single family residences, private park, cart paths, trails, water spray park, and a multifunction community center, as well as six (6) acres of subdivided commercial lots; and, WHEREAS, PA Royal Homes Development Corp owns the tract of land described in Exhibit "A"; and, WHEREAS, PA Royal Homes Development Corp is planning the site development thereof for a subdivision to be called Royal Meadows Estates; and, WHEREAS, the public improvements to be constructed will also include roads, water lines, sanitary sewer lines, street lights and storm sewers; and, WHEREAS, once these public improvements are constructed to City specifications and accepted by the City, they will be deeded or dedicated to the City as public improvements; and WHEREAS, PA Royal Homes Development Corp is requesting that the City of Port Arthur provide incentives. HOW THEREFORE, the City of Port Arthur and PA Royal Homes Development Corp agree to the following: z.pa.royai.homes.incentive.agre~ent x Section 1: The facts and opinions in the preamble are true and correct. Section 25 PA Royal Homes Development Corp will develop the tract, as described in Exhibit "A", with funds to be provided by PA Royal Homes Development Corp. Section 3: PA Royal Homes Development Corp will proceed to develop the property in substantially the following timetable: · Preparation and filing of a plat in accordance with State Law and City Ordinances · Filing of plans certified by engineers with the City as to proposed roads, water lines, sewer lines, drainage facilities and public storm sewers, and lighting with the City · Raise the elevations of the lots in accordance with the City's flood ordinances · Build or install roads, water lines, sewer lines, drainage facilities, storm sewers, roads, light poles and lighting in accordance with City specifications z. pa. royal, homes, incent ire. agreement · Build the park, trails, cart paths, and multi-functioned community center · Provide the City with a copy of the deed restrictions which provides for: (i) an architectural control committee, (ii) assessments to pay for the annual maintenance of the community center, park, trails, water spray park, cart paths, and optional golf fees to the Babe Zaharias Golf Course, (iii) enforcement of the deed restrictions and which provides that the homes shall be sold to homebuyers without regard to race, religion or national origin and will comply with the Fair Housing Laws as delineated under Chapter 46 of the Code of Ordinances of the City of Port Arthur and as delineated by federal and state laws, and (iv) the construction and completion of the homes within acceptable timelines as denoted in this agreement. Section 4. PA Royal Homes Development Corp will take such due care as not to adversely affect by its construction activities nor by its z.pa.royal.homes.incentive.agreement 3 dra±nage plans the adjoin£ng Babe Zaharias Golf Course. section 5: PA Royal Homes Development Corp will enter into construction contracts to construct the public water lines, public sanitary sewer lines, street lights, public storm sewers, and public roads within the subdivision, all of which will be designed and constructed to City specifications. PA Royal Homes Development Corp will take such precautions and provide such information to the City that there is no undue loading of cost, collusion, or fraud as prohibited by Section 212.074 Local Government Code. If PA Homes Development Corp uses its own resources or a related construction company, they must show that the construction costs will be equal or less than if it was bid out. Section 6~ Prior to the receipt of funds or incentives from the City and in accordance with Section 212.073 Local Government Code, PA Royal Homes Development Corp will execute a performance bond for the construction of the public improvements that have not already been completed and paid for with affidavits z.pa.royal.homes.incentive.agreement 4 attesting thereto as to ensure completion of the project. The bond must be executed by a corporate surety in accordance with Chapter 2253 of the Government Code. The City will be a beneficiary of said performance bond. Section 7: If PA Royal Homes Development Corp or its assignees builds twenty (20) homes (including the Community Center) by the 1st day of December, 2008, then the City will pay PA Royal Homes Development Corp $1,000 per home. The City will also pay $1,000 for each home constructed thereafter until December 31, 2011. To receive the incentives, the homes must be completed to City Code, and must have passed final inspections. Section 8: PA Royal Homes Development Corp will also receive incentives for the waiver of tap fees and building permit fees so long as they are in compliance with this agreement. Nevertheless the waiver is limited to a maximum of $450 in water tap fees and a maximum of $300 in sewer tap fees per home. PA Royal Homes Development Corp will pay for the costs to connect all of the utilities. z.pa.royal.homes.incentive.agreem~t 5 Section 9: The lots shall not be sold to builders or homeowners until the final plat has been approved by the City, and the streets, water lines, sewer lines, and storm sewer lines have been built to City specifications and have been dedicated to and accepted by the City. Street lights will be installed in accordance with City specifications or the Port Arthur Royal Homes Development Corporation will deposit, with the City such funds as to pay for the costs of installation by Entergy. Section 10: Prior to building more than twenty homes, PA Royal Homes Development Corp shall first build the multi-function Community Center, playground, trails, and cart paths as described in Exhibit "A". The multi- function community center, playground, trails, water spray park, and cart paths will be built by at least December 31, 2008. Section 11: The total incentives, including the reimbursement of building permit fees, tap fees, and the payment of $1,000 per home, shall not exceed 30% of the total cost of all the public improvements, as delineated z.pa.royal.homes.incentive.agreement ~ in Section 212.071 to 212.074 of the Local Government Code. Section 12: This agreement will be construed in accordance with the laws of Texas, as well as the Ordinances of the City. Section 13. The venue of all causes of action will be in Jefferson County, Texas. Section 14: Notice to the parties shall be as follows: TO: CITY OF PORT ARTnu~ ATTN: Stephen Fitzgibbons, City Manager 444 Fourth Street P.O. Box 1089 Port Arthur, Texas 77641-1089 TO: P A ROYAL HOMES DEVELOPMENT CORPORATION ATTN: Huong N. Tran, President Atrium Building 2300 Hwy 365, Suite 320 Nederland, TX 77627 Section 15: The City makes no representations as to the marketability of said tracts or the suitability of them as single-family residences. Section 16: At the discretion of the City, any dispute as to this matter can first be referred to mediation or arbitration before the American Arbitration Association. Section 17: If either party does not comply with the terms hereof, then either party may terminate z .pa. royal, homes, incentive, agreement this agreement with thirty (30) days written notice. Section 18. This Agreement is subject to the availability of funds under the City's annual budget process. z. pa. royal, homes, incentive, agreement SXGI~ED ~ AGReeD TO on this the day of , 2005. P A ROYAL HO~ES DEVeLOPmENT CORP By: Huong N. Tr&n, P~esident WITNESSED BY: SIGKED AND AGREED TO on this the day of , 2005. CITY OF PORT ARTHUR BY: STEPHEN FITZGIBBONS CITY MANAGER WITNESSED BY: z. pa. royal, homes, incentive, agreement An "Enhanced Golf Living Exper~enc ' An "EnhancedGolf Living Experience" is our vision of what Royal Meadows is to become. A brief insight into Royal Meadows Estates: An enhanced golf living experience, crafting a dynamic community for the pleasure of active adults and families. Royal Meadows celebrates the most inviting elements of its location and surroundings. Conceived in the spirit of Lake Arthur and Port Arthur, situated on 9th Avenue and Jimmy Johnson, Royal Meadows is a harmonious blend of rural and city style residential compounds, golf centered recreational communities and traditional, neighborhood oriented experience, providing that "home town" feeling. Royal Meadows Estates is located in Port Arthur, within a short distance to Sabine lake, situated in an environment of palm trees, ponds, spacious open pastures, with trails and pathways, creating a multi-faceted community. A vibrant community within an enchanting environment - where nature is but one of a multitude of benefits. Nature is embraced by a golf community experience that features over 70 acres of wonderfully crafted residential beauty. You can experience the spectacular greenway views of the Babe Zaharias Champion 18-hole golf facilities situated on over 150 acres - simply by walking onto your back yard and experience the manicured fairways, verdant roughs and greenbelt connections to the Royal Meadows Estates. The environment forms an enormous stage set providing the backdrop and scenery that frame in the community. Walls of palm trees, bright skies with ever changing light and shadows, water in luminous ponds that meet the horizons, are all part of what makes this subdivision so special. Royal Meadows lifestyles core essence is derived from the values, energy and interest of its citizens. Family Living is paramount, so access is made easy. Trails and pathways are along the entire 70 acres with spacious paths for walking & biking, pond fishing, with a recreational playground throughout the subdivision. Royal Meadows - offers a place full of activities where recreational and social amenities exceed all expectations. The breadth of opportunity means there is something for everyone and with the abundance of options, come the luxury of choices. Featuring, a club house, concierge service, fitness center, swimming pool, party room and a playground area exclusively for the residential home owners to enjoy. Royal Meadows built environment is a delicate balance of architectural and well-manicured landscape improvements coupled with preservation and enhancement of family living, natural and resort community environment. We highly urge you to contact our sales professionals if you are interested in becoming a member of this exclusive community. \ i