HomeMy WebLinkAboutPR 18945: EXTENSION OF AN OPERATION DOWNTOWN GRANT AGREEMENT Interoffice
MEMORANDUM
To: Mayor, City Council, City Manager
From: Floyd Batiste, CEO :9-6
Date: April 8, 2015
Subject: P. R. No. 18945; Council Meeting of April 14, 2015
ATTACHED IS PROPOSED RESOLUTION 18945
APPROVING THE EXTENSION OF AN OPERATION
DOWNTOWN GRANT AGREEMENT BETWEEN THE
CITY OF PORT ARTHUR SECTION 4A ECONOMIC
DEVELOPMENT CORPORATION AND THE PORT
ARTHUR ROTARY CLUB TO CONSTRUCT A
MONUMENT DISPLAYING THE AMERICAN AND
NUMEROUS FOREIGN FLAGS AT THE SEAWALL
P. R. No. 18945
April 8, 2015 kvm
RESOLUTION NO.
A RESOLUTION APPROVING THE EXTENSION OF AN
OPERATION DOWNTOWN GRANT AGREEMENT
BETWEEN THE CITY OF PORT ARTHUR SECTION 4A
ECONOMIC DEVELOPMENT CORPORATION AND THE
PORT ARTHUR ROTARY CLUB TO CONSTRUCT A
MONUMENT DISPLAYING THE AMERICAN AND
NUMEROUS FOREIGN FLAGS AT THE SEAWALL
WHEREAS, on May 9, 2009, a ballot proposition was presented to and approved by the
qualified voters in the City of Port Arthur, Texas (the "City") for the City of Port Arthur Section
4A Economic Development Corporation (the "PAEDC") to utilize Section 4A sales and use tax
funds for"the cost of demolition of dilapidated structures and infrastructure limited to streets and
roads, rail spurs, water and sewer utilities, electric and gas utilities, drainage, site improvements
and related improvements necessary to promote or develop new or expanded business enterprises
within a project area from 7th Street to the Intracoastal Canal and from Martin Luther King, Jr.
Drive to Lake Charles Avenue within the City"; said authority limited to the PAEDC's
expenditure of not more than$750,000 per year for said projects (the "Ballot Proposition"); and
WHEREAS, the Port Arthur Rotary Club made presentations to the PAEDC Board of
Directors requesting funding to construct a monument displaying the American and numerous
foreign flags at the Seawall (the"Project"); and
WHEREAS,per Resolution 14-447, the City Council approved the PAEDC entering into
an Operation Downtown Agreement with the Port Arthur Rotary Club (the "Rotary Club") to
construct the monument in an amount not to exceed $110,000 as set forth in Exhibit "A"; and
WHEREAS,the Agreement's term was to begin January 5, 2015 and end May 6, 2015;
WHEREAS, the Rotary Club has requested to extend their Agreement to allow for
completion of the Project; and
WHEREAS, the PAEDC Board of Directors at their regular Board meeting of April 6,
2015, approved extending the Agreement by (thirty) 30 additional days ending the Agreement on
June 6, 2015.
NOW, THEREFORE, BE IT RESOLVED 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 PAEDC is hereby authorized to extend the Operation Downtown
Grant Agreement with the Port Arthur Rotary Club for an additional thirty (30) days.
Section 3. That a copy of this Resolution shall be spread upon the Minutes of the City
Council.
READ, ADOPTED AND APPROVED on this day of A.D., 2015,
at a Meeting of the City Council of the City of Port Arthur, Texas, by the following vote:
AYES:
Mayor
Councilmembers
NOES:
Deloris "Bobbie" Prince, Mayor
#1166523 Page 2
ATTEST:
Sherri Bellard, City Secretary
APPROVED:
Floyd Batiste, AEDCE
APPRO fAS TO FORM:
Go c s'Ge i
Guy N. Goodson, PAEDC Attorney
APPROVED AS TO ORM:
\LJgp /`1
Valecia R. Tizeno, City/ttorney
#1166523 Page 3
EXHIBIT "A "
City of Port Arthur Section 4A Economic Development Corporation
OPERATION DOWNTOWN
Infrastructure Grant Agreement
(Small Project)
This Infrastructure Grant Agreement (the "Grant Agreement") is executed as of this ,61 d y of
3,1(+0 M101 r , 2014 (the "Effective Date") between the City of Port Arthur Section 4A Economic
Development Corporation, a Texas economic development corporation authorized to do business in
the State of Texas under Section 504, Texas Local Government Code and as authorized by Resolution
No. - j City Council of the City of Port Arthur, 4173 39th Street, Port Arthur, Texas 77642
(the "PAEDC" or "Grantor") and the Port Arthur Rotary Club, a Texas non-profit corporation,
Port Arthur, Texas 77642 (the "Grantee").
RECITALS
A. PAEDC administers funds under a downtown redevelopment initiative to provide
specific infrastructure improvements necessary to promote and development new or expanding
business enterprises in downtown Port Arthur, Texas ("Operation Downtown").
B. All grant funds provided under Operation Downtown shall be in accordance with
Operation Downtown Site Improvement Grant Program as set forth in Exhibit "A" to this Grant
Agreement.
C. PAEDC and Grantee agree that all reimbursements to Grantee are subject to the
conditions, procedure and eligibility requirements specified in Exhibit "A" and as set forth in this
Grant Agreement.
D. Grantee agrees that the grant to be provided by PAEDC shall be used solely to finance
the cost to construct the international avenue of flags monument to be located at the Seawall (the
"Project") as specified in its Application submitted under the Site Improvement Grant Program
attached hereto as Exhibit "B" and made a part hereof for all purposes (the"Application").
E. Grantee agrees PAEDC will only fund approximately fifty (50%) percent of the eligible
infrastructure improvements necessary to construct the international avenue of flags in an amount not
to exceed $110,500.00 and before PAEDC begins to disperse funds Grantee agrees to provide
documentation evidencing the availability of funds necessary to complete the Project.
F. Grantee agrees to expend its best efforts to accomplish the infrastructure improvements
described in the Application and as approved by PAEDC.
NOW, THEREFORE, IN CONSIDERATION of the RECITALS which are incorporated in
this Grant Agreement as fully set forth below and for other good and valuable consideration of the
receipt and sufficiency is hereby acknowledged, PAEDC and Grantee agree to the following conditions
and procedures for the grant:
1) Grant Amount and Approved Infrastructure Improvements. PAEDC has agreed to
provide a grant in the amount of $110,500.00 (the "Grant Amount") to Grantee to fund qualified
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infrastructure improvements as set forth in the Bid Proposal dated
attached hereto as Exhibit "C" and made a part hereof for all purposes (the "Cost Estimate"). Any
costs in excess of the Cost Estimate shall be solely borne by Grantee unless a supplemental grant is
approved by PAEDC.
2) Payment Procedures. PAEDC will only fund approximately fifty (50%) percent of the
eligible infrastructure improvements necessary to construct the international avenue of flags in an
amount not to exceed $110,500.00. PAEDC will reimburse the Grant Amount to Grantee on a
monthly basis after receiving and approving pay requests and corresponding documentation as set forth
below:
a) Grantee must provide PAEDC a project budget;
b) Grantee must provide PAEDC documentation and assurances evidencing the
availability of funds to complete the project before PAEDC approves a submitted pay
request;
c) Grantee must provide PAEDC a project schedule which includes estimated dates for
completion of each division of work;
d) Grantee must identify all contractors and subcontractors who will be performing the
work;
e) Grantee must present pay requests that are signed by the Grantee, contractor, engineer
and/or architect (as appropriate) to PAEDC on a monthly basis in order to receive
reimbursements for qualified infrastructure improvements;
f) Grantee must provide PAEDC lien waivers from the contractor(s) and subcontractor(s)
with the monthly pay requests (for the prior month's work);and
g) PAEDC will submit payment to the Grantee only after PAEDC approves the submitted
pay request and corresponding documentation.
PAEDC will only fund approximately fifty (50%) percent of each pay request submitted by
Grantee. The remaining balance of the pay request must come from either the Grantee or
another funding source.
PAEDC will only fund the construction of eligible infrastructure improvements in an amount
not to exceed$110,500.00.
3) Timeline. The Project shall begin only after the execution of this Grant Agreement.
The Project shall be completed as set forth in the Application within days from the later of
(i) execution of this Grant Agreement or (ii) the issuance of a Notice to Proceed by Grantor to its
contractor. PAEDC must receive from Grantee a written request for time extension prior to the
expiration of the period set forth in the preceding sentence if any unforeseen delays occur. Granting an
extension is at the sole discretion of PAEDC.
4) Project Changes. As stated herein, Grantee may make revisions to the Project, but
may not make any improvements that result in changes to infrastructure improvements heretofore
approved by PAEDC without PAEDC's approval. Grantee retains the right to expand the Project at its
sole cost and expense with additional improvements or costs to be solely borne by Grantee.
5) PAEDC Promotional Activities. Grantee agrees to participate in the following
promotional activities to showcase the renovations and the improvements:
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a) allow PAEDC to place a temporary sign on the property prior to and for a period of not
to exceed months after completion of the Project; the sign shall denote the
assistance of PAEDC and the completion of the Project;
b) allow PAEDC to place before and after pictures of the Project on the PAEDC website
including the amount of assistance provided (total Project costs may also be included
with the agreement of Grantee);
c) reference the PAEDC as a recipient of a PAEDC Operation Downtown Site
Improvement Grant information materials including the amount of assistance provided
(total Project costs may also be included with the agreement of Grantee);
d) participate in other promotional activities as deemed appropriate and agreed upon by
PAEDC and Grantee;
6) Operation Downtown Site Improvement Grant Program Eligibility. The PAEDC
requires at all times through the completion of funding of the grant that Grantee may ensure that all
requirements of Operation Downtown including the matters as submitted in its Application are true and
correct.
7) Indemnification. Grantee agrees to indemnify and hold PAEDC, its staff, officers and
the City of Port Arthur, from any and all actions preceding claims, demands, costs, damages and
expenses including reasonable attorneys' fees arising out of or related to the Project.
8) Insurance. Grantee shall maintain and keep in force during the term of the Project and
at its expense casualty and liability insurance with a limit of liability no less than $1 million and shall
deliver evidence of the insurance naming the PAEDC as an additional named insured prior to the
execution of this Grant Agreement.
9) Assignability. The rights and liabilities under this Agreement shall not be assigned by
Grantee in whole or in part without the prior written consent of the PAEDC.
10) Law and Ordinances. Grantee shall be responsible for compliance with all applicable
laws, regulations and ordinances including building and zoning codes and for obtaining all necessary
building permits required for the Project.
11) Governing Law. This Grant Agreement shall be governed under the laws of the State
of Texas, and venue for any matters arising under this Grant Agreement shall be in the courts of
competent jurisdiction in Jefferson County, Texas.
PORT ARTHUR HISTORICAL SOCIETY
SIGNED AND AGREED TO on the
day of 51:0,9 rA 6_,,2014.
PORT ARTHUR ROTARY CLUB
By: 7:44
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I j
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Witness
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CITY OF PORT ARTHUR SECTION 4A
ECONOMIC DEVELOPMENT CORPORATION
SIGNED AND AGREED TO on thec ay of .3 Q201_.ryAc-)p ( ,2014.
:% t� i
President Secretary
Witness Witness
ATTORNEY APPROVALS
APPROVED AS TO FORM: ArAl -�
Guy I. Goodson
General Counsel for PAEDC
VERIFIED AS CONSISTENT
WITH CITY COUNCIL RESOLUTION: Resolution Number:
\((a
Valecia R.Tizeno, C Attorney
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