HomeMy WebLinkAbout1980-07-01 - Regular City Council43
REGULAR SESSION - TUESDAY
JULY 1, 1980 - 7::00 P.M.
CHAMBER OF THE CITY COUNCIL
CITY HALL, STEPHENVILLE, TEXAS
The City Council of the City of Stephenville, Texas, met in Regular
Session, Tuesday, July 1, 1980 at 7:00 D.m. with Mayor Joe F. Cummings
present and presiding.
COUNCILNTEMBERS PRESENT:
Mike Leese
W. M. Irwin
William G. Brede
Charles Riggins
Raymond Anderson
E. W. Ferguson
Larry Hammett
David Clayton
C(IUNCILMEMBERS ABSENT: NONE
OTHERS ATTENDINP:
City Administrator Marshall Shelton
Administrative Assistant Kurt Ackermann
Director of Public Works R. Y. Gann
Chief of Police Mike Watkins
Fire Marshall Kenneth Haley
Director of Utilities Dannv Johnson
Tax Assessor /Collector Robert Groves
City Attorney Joseph Chandler
City Secretary Joyce Pemberton
Mr. Conrad Callicoatte
Mr. David Cheatham
Mr. Gerald Cook
Members of the press and others
Mayor Cummings called the meeting to order and declared a quorum present.
ITEM I: APPROVAL OF THE MINUTES
Councilman Leese moved, seconded by Councilman Irwin, that the minutes
of the meetings of June 3rd and June 27th, 1980, be approved as written.
Motion carried unanimoulsy.
ITEM II
OLUTIONS SUBMITTED BY
Mr. David Cheatham, president of the Stephenville Industrial Develop-
ment Corporation, appeared before the Council for the purpose of presenting
two Resolutions from the Stephenville Industrial Development Corporation.
1) a Resolution reducing the number of boardmembers from ten (10) to seven
(7) members; 2) a Resolution approving and accepting an application sub-
mitted by FMC Corporation in relation to an industrial development project.
After a lengthy discussion, Councilman Clayton moved, seconded by
Councilman Leese, to pass and approve the Resolution to amend the corporation'
Articles of Incorporation and By -Laws which will reduce the number of board -
members from ten (10) to seven (7) as submitted by the Stephenville
Industrial Development Corporation. The motion carried unanimously.
After much more discussion, Councilman Irwin moved, seconded by Council-
man Riggins, to pass and apDrove the Resolution approving and accepting an
application submitted by FMC Corporation in relation to an industrial de-
velopment project; making a commitment to finance the costs of such project;
and approving and.authorizing the execution of a Memorandum of Agreement in
connection therewith as submitted by the Stephenville Industrial Development
Corporation. The motion carried unanimously.
ITEM III: REQUEST FROM FARMERS MILLING COMPANY FOR PER!
Mayor Cummings advised that the Farmers Milling Company representative
was unable to attend this meeting and asked Councilman Ferguson for a
committee report on their findings.
�[ Councilman Ferguson advised that the committee had looked at some
slides pertaining to the location of the old and new buildings. They
also made an on -site inspection to determine the location of the new
building in relation to the railroad tracks and how fire trucks would
get to the new building in case of a fire or explosion. He said that
Mr. Gryder had wanted to bring an explosive expert in to address the
Council pertaining to the storage of amonia nitrate (a fertilizer) in
this building in question.
Councilman Ferguson also stated that, if permission if given for
amonia nitrate to be stored in this new building, there will be another
application for the same across the railroad tracks. He asked that Fire
Marshall Kenneth Haley present his recommendations to the Council.
Fire Marshall Haley advised that ammonium nitrate is a very highly
explosive type of fertilizer and is in violation of the Fire Prevention
Code. Mr. Haley listed the following reasons for his decision:
1. Heavilv populated area
2. Distance from overhead storage of gasoline
3. Building is not of non - combustible material
4. Building is not equipped with sprinkler system
5. Limited space at site for fire fighting, equipment in case of fire.
6. Other buildings with high hazard exposures in immediate area
including railroad exposure.
Mr.
Haley aso advised that
Poston and Anderson Feed
Companies store
ammonium
nitrate and have long
before this Code went into effect, but
not in the
quanity proposed by
Farmers Milling Company.
He said, as an
example,
that 2 pounds of ammonium
nitrate equals about
1 pound of
dynamite,
if properly ignited,
therefore, he would have
to recommend
denial of
this permit.
Mr. Aubrey Holly, 634 N. Race St., came before the Council objecting
to any type of expansion of Farmers Milling Company because they do not
take care of what they now have.in relation to flies, mesquitos, dust,
water drainage, etc.
Administrative Assistant Kurt Ackermann advised that the Air Control
Board had investigators down here due to the complaints of sour odors,
when it rains, dust, flies and mesquitos. Farmers Milling has promised
to clean it up.
After much more discussion, Mayor Cummings directed Mr. Haley to
make sure that the permit is denied until further action is taken, if any.
Also that the appointed committee, consisting, of Councilmen Ferguson,
Anderson and �. , is to remain active and to make any further recommendatio
they might de necessarv.�t«!
ITEM- IV-. DA
n FVA1 - 5
,F 1'
IN REGARD TO
- Side 2
:RATION OF
Mr. Cecil Davis, operation of the municipal airport, came before the
Council to propose the sale of his small tools and goodwill to Mr. Robert
Taylor of Arlington, Texas. He said that he was getting ready to ',`slow
down" and would like to sell his small tools and goodwill to Mr. Robert
Taylor. He advised that he would still work at. the airport, but just
not as long hours as he had in the past. Mr. Davis said that he still
had 5 years on his contract and, if the Council approves the sale, would
recommend a longer term contract, such as, a 10 year extension after the
5 years expiration. Mr. Davis stated that such a contract would be needed
to justify Mr. Taylor's move here.
Mr. Robert Taylor stated that he was selling his business in Arlington
to buy this one and the person buying his business has specified that he
would like to complete the sale by July 15the or no later than August 1st.
He said he would like to take over the 5 years remaining of Mr. Davis's
contract with a 10 year renewable or to start over with a 10 year contract
with a 10 year renewable clause.
Mayor Cummings advised Mr. Taylor that he would appoint a new Airport
Advisory Board and he would like for him to meet with said Board and the
meeting would be no later than July 15th.
A RESOLUTION by the Board of Directors of the
Stephenville Industrial Development Corporation
requesting the approval of the City Council of
the City of Stephenville, Texas, of a proposed
amendment to the Corporation's Articles of
Incorporation and By- laws.
WHEREAS, by virtue of resignations from the Board of
Directors and the difficulties being encountered in finding
persons willing to fill such vacancies, the Board of Directors
o_` the Stephenville Industrial Development Corporation has
determined the membership of the Board should be reduced from
ten (l0) to seven (7); and
WHEREAS, an amendment to the Corporation's Articles of
Incorporation has been prepared to reduce the comber of directors
serving on the Board from ten (10) to seven (7), such amendment
being as follows:
0
AND WHEREAS, this Board hereby finds and determines that
the Corporation's Articles of Incorporation should be amended,
as provided in the foregoing amendment, and an application
should be filed with the governing body of the City requesting
the approval of such amendment; now, therefore,
BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE STEPHENVILLE
INDUSTRIAL DEVELOPMENT CORPORATION:
SECTION 1: That the governing body of the City of
Stephenville
, Texas, Texas, is hereby formally requested to approve
the "Articles of Amendment to the Articles of Incorporation
of the Stephenville Industrial Development Corporation ",
appearing in the preamble hereof, and this resolution shall
constitute a written application to said governing body
seeking their approval and authorization to adopt said
amendment.
SECTION 2: That the President of the Board
author_Tz__ea__an__J directed to submit and file a cop
resolution, together with a copy of the proposed
of Amendment to the Articles of Incorporation of
Industrial Development Corporation ", to the City
the City of Stephenville, Texas.
is hereby
y of this
"Articles
the Stephenville
Council of
SECTION 3: That in the event of approval of the
proposed—a—m—e—n-ffinents, the Council is also requested
to approve an amendment to the Corporation's By -laws, by
changing the second paragraph (Section 2, Article II) to
read as follows:
"The Board of Directors shall consist of seven (7)
directors each of whom shall be appointed by the City
Council."
PASSED AND APPROVED, this the 30th day of June, 1980.
a n,4 T �
President, board of irectors
Stephenville Industrial
Development Corporation
ATTES" /
Seofretary,'Ed'ard of irectors
Stephenville Industrial
Development Corporation
(Co_-porate Seal)
i
AND WHEREAS, this Board hereby finds and determines that
the Corporation's Articles of Incorporation should be amended,
as provided in the foregoing amendment, and an application
should be filed with the governing body of the City requesting
the approval of such amendment; now, therefore,
BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE STEPHENVILLE
INDUSTRIAL DEVELOPMENT CORPORATION:
SECTION 1: That the governing body of the City of
Stephenville
, Texas, Texas, is hereby formally requested to approve
the "Articles of Amendment to the Articles of Incorporation
of the Stephenville Industrial Development Corporation ",
appearing in the preamble hereof, and this resolution shall
constitute a written application to said governing body
seeking their approval and authorization to adopt said
amendment.
SECTION 2: That the President of the Board
author_Tz__ea__an__J directed to submit and file a cop
resolution, together with a copy of the proposed
of Amendment to the Articles of Incorporation of
Industrial Development Corporation ", to the City
the City of Stephenville, Texas.
is hereby
y of this
"Articles
the Stephenville
Council of
SECTION 3: That in the event of approval of the
proposed—a—m—e—n-ffinents, the Council is also requested
to approve an amendment to the Corporation's By -laws, by
changing the second paragraph (Section 2, Article II) to
read as follows:
"The Board of Directors shall consist of seven (7)
directors each of whom shall be appointed by the City
Council."
PASSED AND APPROVED, this the 30th day of June, 1980.
a n,4 T �
President, board of irectors
Stephenville Industrial
Development Corporation
ATTES" /
Seofretary,'Ed'ard of irectors
Stephenville Industrial
Development Corporation
(Co_-porate Seal)
Articles of Amendment
to the
Articles of Incorporation
of the
Stephenville Industrial Development Corporation
Pursuant to the provisions of the "Development Corporation Act of
1979 ", the undersigned Corporation adopts the following Articles of
Amendment to its Articles of Incorporation to reduce the number of
directors serving on the Board of Directors of the Corporation from ten
(10) to seven (7).
1. The name of the Corporation is: Stephenville Industrial
Development Corporation.
2. That Article VIII of the "Articles of Incorporation of
Stephenville Industrial Development Corporation ", filed in the office
of the Secretary of State of Texas, on the 11th day of February, 1980,
shall be and is hereby amended to hereafter read as follows:
"ARTICLE VIII
"The Board of Directors of the Corporation shall consist of seven
(7) members and the names and addresses of those persons currently
.serving and to remain serving as directors of the Corporation, as of
the date of the filing of these Articles of Amendment, are as follows:
Robert Gerald Cook
Bill Corbin
Dorothy Watkins
James T Chambers
Perry D Elliott
_Ralph Kemp
C. H. Maguire. Jr.
153 E. Washington,-Stephenville, Texas
1n Charlotte Stephenville 'Texas
1915 W. W'2shin1Zton,_Stpphanvi _ 1la, Texa
9001 W P'^shingtnn gLeD1anvilla, .Texa
115 N Graham, Stephenville, Texas
2907 P' Washington Stpph nnvi?1e, Texa
298 W. Washingtop,ytPph nom, Texas
3. This amendment to the Articles of Incorporation was approved
and adopted by:
(a) the Board of Directors of the Corporation on the
day of June 3p,1980, pursuant to a resolution duly passed by a
majority vote of 7 Directors voting "For" the amendment and
0 Directors voting "Against" the amendment, and
(b) the governing body of the C' of Stephenville, Texas,
at a meeting held on the / day of 1980, and being
the unit of government un er w ose auspz.ce t e Corporation was
created.
IN WITNESS WHEREOF, we have hereunto set out hands, this the
30th day of JUNE 1980.
/0,& zd=
ecretary, Board of irectors
STEPHENVILLE INDUSTRIAL
DEVELOPMENT CORPORATION
President, board of Directors
STATE OF TEXAS §
a,
COUNTY OF ERATH 4
I, the undersigned, a Notary Public, DO HEREBY CERTIFY that on this
the 31-+h, day of L 1980, personally appeared before me
President of the Board of Dir ctors of the
Step envi e n us ial Development Corporation and rl�z ✓tea ��'n
Secretary of the Board of Directors•of t e Stepmenville
In ustrial Development Corporation, and known to me to be the persons
acting in the capacities stated and who each being by me first duly sworr
severally declare the statements contained in the foregoing Articles of
Amendment to the Articles of Incorporation of the Stephenville Industrial
Development Corporation are true.
IN WITNESS WHEREOF, I have hereunto set my hand and seal on ,
the day and year above written.
Nota�r� in an or
Erath Count -, Texas
My Commission Expires:
CERTIFICATE OF SECRETARY
THE STATE OF TEXAS §
§ STEPHENVILLE INDUSTRIAL
COUNTY OF ERATH § DEVELOPMENT CORPORATION
I, the undersigned, Secretary of the Board of Directors of
Stephenville Industrial Development Corporation, DO HEREBY CERTIFY
as follows:
1. That the following persons constitute the Board of
Directors of Stephensville Industrial Development Corporation,
that they are duly qualified and acting directors and have been
since the organization of the said Board on the 12th day of
February, 1980, and that each person holds the office set opposite
their names as follows:
DAVID CHEATHAM
BILL CORBIN
GERALD COOK
SCOTT ALLEN
DOROTHY WATKINS
JAMES T. CHAMBERS
PERRY D. ELLIOTT
RALPH KEMP
C. H. MAGUIRE, JR.
RON E. DODD
PRESIDENT
VICE PRESIDENT
SECRETARY
DIRECTOR
DIRECTOR
DIRECTOR
DIRECTOR
DIRECTOR
DIRECTOR
DIRECTOR
2. That the attached is a true and correct copy of a
resolution entitled as follows:
"A RESOLUTION by the Board of Directors of the
Stephenville Industrial Development Corporation
requesting the approval of the City Council of
the City of Stephenville, Texas, of a proposed
amendment to the Corporation's Articles of
Incorporation and By- laws."
which was adopted on the 30th day of June, 1980, at a
meeting of the Board, after consideration of same,
up n a motion being made by Director l o71RAr , a second
of such motion by Director %f %/ �� h,; and the vote
being called for, z— Directors voted tor the adoption thereof,
p voted against, ___f_ abstained and ,7 were absent;
t e original of which resolution is of recor�and –on file in
the Minutes of the Board of Directors of said Corporation.
3. That according to the records of my office, each member
of the Board was given actual notice of the time, place and
purpose of the meeting at which said resolution was passed and
had actual notice that the matter would be considered.
TO CERTIFY WHICH, witness my hand and seal of said
Corporation, this the _70,4 day of J„ne 1 1980.
Secre" tary ,Board of Directors
Stephenville Industrial Development
A RESOLUTION approving and accepting an application
submitted by FMC Corporation in relation to an
industrial development project; making a commit-
ment to finance the costs of such project; and
approving and authorizing the execution of a
Memorandum of Agreement in connection
therewith.
WHEREAS, FMC Corporation (hereinafter referred to as the
"Company ") has submitted to Stephenville Industrial Development
Corporation (hereinafter called the "Corporation ") an application
together with certain. other documents seeking financial assistance
from the Corporation in connection with the acquisition and con-
struction of facilities to be operated and maintained by the
Company (hereinafter referred to as the "Project ") in its trade
or business, to wit: the manufacturing, distribution and sale
of equipment and products used in the oil industry; and
WHEREAS, the Board of Directors of the Corporation hereby
finds and determines that the Company has complied with the pre-
liminary filing requirements prescribed in the Corporation's
"Local Regulations for Receiving and Approving Applications for
Financial Participation in Development Project" (the "Regulations "),
and any requirements which have not been met are, by the adoption
hereof, waived, and the Company has demonstrated with reasonable
certainty that (i) the Project sought to be financed by the
Corporation qualifies and meets the requirements of the Development
Corporation Act of 1979 and will accomplish the specific public
purposes of the Corporation and (ii) all governmental approvals
with respect to the Project and the issuance of the obligations by
the Corporation, including those requirements specified in the
Regulations, will be obtained; and
WHEREAS, the Board of Directors of the Corporation further
finds and determines that a commitment should be given to the
Company to issue the bonds of the Corporation in such aggregate
principal amount necessary to finance and pay the costs of
acquisition and construction of the Project (now estimated to
be therefore,
BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE STEPHENVILLE
INDUSTRIAL DEVELOPMENT CORPORATION:
SECTION 1: That the application submitted by the Company
is here y approved and accepted, and the Corporation shall be
and is hereby committed and agrees in accordance with the pro-
visions of the Development Corporation Act of 1979 (the "Act ")
as follows:
(a) To adopt a bond resolution or bond resolutions
when requested by the Company, authorizing the issuance of
revenue bonds (the "Bonds ") in one or more series in an
aggregate principal amount necessary to finance and pay the
cost of acquisition, construction and improvement of the
Project (but in no event to exceed $ d o °°) and the
cost of issuance, subject to (i) the eeqiiirements of the
Act, (ii) the execution of the appropriate agreements or
contracts as described in Section 1(b) below, and (iii) the
sale of the Bonds under terms and conditions satisfactory
to the Corporation and the Company.
(b) Prior to the issuance of the Bonds, when requested,
by the Company, to enter into such loan agreement, install-
ment sale agreement, lease, or any other contracts or agree-
ments between the Corporation and the Company as are mutually
acceptable in all respects to the Corporation and the Company,
provided that under any such agreement the Company shall be
obligated to make payments to the Corporation or to a corpo-
rate trustee, on behalf of the Corporation (and its Bondholders
in such sums as are necessary to pay the principal of, inter-
est on and redemption premiums, if any, together with paying
agents' and trustee's fees on the Bonds, as and when the same
shall become due and payable, and such payments also to be
sufficient to defray the Corporation's administrative, over-
head, and other expenses and costs with respect to the Bonds
and the Projects.
(c) To take, or cause to be taken, such other action,
and to execute such additional contracts and agreements, when
requested by the Company, as may be required in accordance
with the Act and this Resolution to cause the issuance of the
Bonds; and it is understood that the Company will fully indm-
nify and hold the Corporation harmless from any and all damages
losses and expenses, including attorneys' fees, arising at any
time from or with respect to the Bonds and the Project.
SECTION 2: That the President and Secretary of the Board of
Directors are hereby authorized and directed to execute the Memo-
randLum of Agreement, attached hereto as Exhibit A and incorporated
he-reir. by reference for all purposes, which Memorandum of Agreement,
upon execution by the Company, shall, together with this Resolution,
constitute a commitment by the Corporation to finance the costs of
acquiring, constructing and improving the Project by the issuance of
revenue bonds.
SECTION 3: That this Resolution, together with the Memorandum
of Agreement herein approved and authorized to be executed shall
constitute the taking of affirmative official action by the Corpora-
tion toward the issuance of the Bonds, and that such action is, and
is intended to be, similar to the ado tion of'a bond resolution,
within the meaning of Section 1.103(8M)(5) of the regulations of
the Internal Revenue Service adopted pursuant to Section 103(b) of
the Internal Revenue Code of IM , as amended.
SECTION 4: That immediately following the adoption of this
Resolution, the execution of the Memorandum of Agreement by the
Company and the obtaining of the approval of such Agreement by
the City Council of the City of Stephenville, Texas, the Company
may proceed with the acquisition, construction and improvement
of the Project, in whole or in part, and such costs of expenses
incurred shall be deemed to be, and included as, a part of the
costs of acquiring, constructing and improving the Project to be
financed by the issuance of the Bonds of the Corporation and
covered by this commitment.
SECTION 5: That, in relation to the bonds to be issued by
the Corporation to finance the Project, the firm of Dumas,
Hugenin, Boothman & Morrow has been designated and retained by
the Corporation to serve as General Special Counsel, and the
firm of Schneider, Bernet & Hickman, Inc. has been designated
and retained by the Corporation to serve as its financial
advisor, and the firm of McCall, Parkhurst & Horton has been
designated as Bond Counsel, and the Company, by execution of
the Memorandum of Agreement herein approved, shall be deemed to
have consented and approved said firms to serve in such capacities.
PASSED AND APPROVED, this the 30th day of June, 1980,
l l 1MI %��\. �^Z�
President, Board of Directors
Stephenville Industrial
Development Corporation
ATTEST:
Secretary, Board of Directors
Stephenville Industrial
Development Corporation
(Seal)
A RESOLUTION by the City Council of the City of
Stephenville, Texas, ratifying, confirming and
approving a "Memorandum of Agreement" pertaining
to the financing of an industrial development
project between the Stephenville Industrial Develop-
ment Corporation and FMC Corporation.
WHEREAS, the Stephenville Industrial Development Corporation
has submitted to this Council for approval a "Memorandum of
Agreement" between such Corporation and FMC Corporation, per-
taining to the financing of an industrial development project,
such agreement being attached hereto as Exhibit A and made
a part of this resolution for all purposes; and
WHEREAS, this Council has reviewed the foregoing agreement
and determined that such project will promote and encourage
employment within the City of Stephenville, Texas, and benefit
the public welfare, and the same should be approved; now,
therefore,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF STEPHENVILLE,
TEXAS, that the "Memorandum of Agreement ", attached hereto as
Exhibit A, by and between the Stephenville Industrial Development
Corporation and FMC Corporation is hereby in all respects ratified,
confirmed and approved and the parties thereto may proceed with
the project described therein and the making of arrangements for,
the financing thereof.
PASSED AND APPROVED
NEST
,ity Secretary, City o
Stephenville, Texas
(City Seal)
this the L, day of O , 1980. '
May, ; City Step envi Texas
EXHIBIT A
,..,,., n, ,��_ .-v^
THIS AG:Z.EYENT, is entered into by and between
Stephenville Industrial Deveiopaent Co_ooratior.
(the " Corporation."), and FMC Corporation
(the "Company "), a corporation duly incorporated under the laws
of the State of and fully qualified to transact
business in the StateState o� Texas, for the purpose of securing
the agreement of the Corporation to issue its revenue bonds
(the "Bonds ") for the purpose of financing certain industrial,
manufacturing or commercial facilities (the "Facilities ")
for the use of the Company, such Facilities to be located wholly
or partly within the boundaries of the City of Stephenville, Texas,
(the "Governmental Unit ").
(a) The obligationsof the parties hereunder are contingent
upon obtaining prior to the issuance of the Bonds, a ruling
from the Internal Revenue Service to the effect that interest
on the Bonds will be exempt from federal income tax under
Section 103(b)(6) of the Internal Revenue Code of 1954, as
amended, if in the opinion of Bond Counsel such a ruling is
required, and upon obtaining such other rulings, approvals,
consents, certificates, opinions of counsel and .other instru-
ments and proceedings as may be deemed necessary by the Company
or Bond Counsel with respect to the Facilities, the Bonds or
any instrument relating thereto, from such goverrmen tal agencies
and entities as may possess, or may have asserted authority or
jurisdiction over or interest in matters pertaining,to the
Facilities, all of which shall be in full force and effect at
the time of the issuance of the Bonds.
(b) SllDstantially all of the proceeds of the Bonds shall
be used solely to finance the acquisition, construction and
improvement of the Facilities, or a portion thereof, as generally
described in Schedule A attached hereto and hereby made a part
hereof.
(c) The Bonds sh=_1'_ be in an aggregate principal amount of
" „ 1",00,000) be
not to e:;ce Ted C1i11ion DoL_ =.3 a ld shall
issued in one or more series, but only pursuant to a
resolution or resolutions of the Corporation's Board of Directors
which will be approved as to form by Bond Counsel. Subject to
the terms hereof, the Corporation agrees as follows:
(1) To issue the Bonds and, if the Company and
the Corporation agree, other evidences of indebtedness
providing temporary financing of the Facilities which
will be issued after the date hereof and be refunded
by the Bonds pursuant to legislation heretofore or
hereafter enacted which may provide a suitable method
of tax exempt bond financing. The Bonds shall be issued
in an aggregate principal amount not to exceed the then
estimated cost of the Facilities, including the costs
of issuance.
(2) To cooperate with the Company with respect to
the issuance and sale of tYe Bonds, and, if arrangements
therefor satisfactory to the Company and the Corporation
Can be made, the CGrpor'� - =1G:, will authorize the exevutl.on
of such docu`.encs and will take such further action as may
be necessary or advisable fbr the authorization, issuance
and sale of the Bonds and the completion of the Facilities.
(3) To take such actions and execute such docuLents
as may be necessary and as may be agreed upon between the
Company and the Corporation to permit the issuance from
time to ti—"e in the future of additional Bonds on terms
which shall be set forth therein ,whether pari passu; with
other series of Bonds or otherwise, for the purpose of
defraying the cost of completions, enlargements, improve-
ments and expansions of the Facilities, or any segmznt
thereof, as requested by the Company, and within the
limitations of Section 103(b)(6) of the Internal Revenue
Code of 1954, as amended.
(d) The Company and the Corporation will enter into a
contract under the terms of which the Company will unconditional]
obligate itself to pay to the Corporation (or a trustee, as
the case may be) sums sufficient in the aggregate, to pay the
principal of, interest on and redemption premiu±s, if any,
together with trustee's fees and fees of paying agents, with
respect to the Bonds, as and when the same become due and
payable.
(e) Provisions shall be made in each resolut'i`on of
the Corporation's Board of Directors providing for issuance of
the Bonds for payment to the Corporation from the proceeds of
the Bonds of an amount equal to all costs incurred by it
(including legal fees) in connection with the issuance and
sale of the Bonds.
(f) Should no Bonds have been issued pursuant hereto on
or before five -rears from the date hereof, the Corporation's
cL'ioatio n to isc" Bonds s',all cease, and tae Company shall
pay to the Corporation an ammouat equal to all costs, direct
and indirect, incurred by the Corporation in negotiating
contracts hereunder, in acquiring and constructing facilities
and in preparing for issuance of Bonds which are not actually
issued; and the Corporation shall transfer to the Company good
title to all real or personal property theretofore transferred
by the Company to the Corporation and all other real or persona]
property acquired by the Corporation with any funds advanced
to the Corporation by the Company hereunder.
(g) Upon completion of the acquisition, construction
and improvement of the Facilities, they shall be operated
e Company without cost or expense to the
and maintained by th
Corporation.
(h) The Company agree to (a) pay all Project Costs (as
— fined by the Development Corporation Act of 1979) which are
net or cannot be paid or re:-o.:r=_ed fro- the proceeds of
oonds, and (b) at all times to indemnify and hold ha=-.less
the Corporation against all losses, costs' damages, expenses
and liabilities of whatsoever nature (including but not
lim.ited to attorney's fees, litigation and court costs, amounts
paid to settlement and amounts paid to discharge judgments)
directly or indirectly resulting from, arising out of or
related to the issuance, offering, sale or delivery of the
bonds, or the design, construction, installation, operation,
use occupancy, maintenance or ownership of the Facilities.
(i) In addition to the payments provided for above, the
Company shall pay to the Corporation, from the proceeds of
the Bonds or otherwise as agreed upon, all costs and expenses
incurred by the Corporation in issuing the Bonds, and all costs
and expenses incurred by the Corporation in administering the
Bonds subsequent to issuance through final maturity and payment
and such other payments as shall be agreed upon in writing
between the parties.
6
(j) The terms of the Bonds (maturity schedules, interest
rates, denominations, redemption provisions, etc.) shall be
as authorized by the Development Corporation Act of 1979, and
as may be mutually satisfactory to the Company and the Corpora-
tion. .14 ,
( ) If the Bonds shall not be issued for any reason, the
Company shall have no obligation under this Agreement, except
-o- the obligations provided in paragraph (f) and (h)..
(1) It is contemplated that the form and contents of all
resolutions, contracts, trust indentures and other documents
contemplated hereunder will be mutually acceptable to the
Co -parry and the Corporation.
(m) The Company agrees _.._t any ot_zci =_l statement,_
prospectus or other offering- mem.oranda, through the use or
which the proposed obligations are to be offered, sold-or
placed with any lender, purchaser or investor, shall contain
the disclosures required by the Regulations adopted by the;
Corporation.
(n) The Company agrees to pay the fees and expenses of
the Financial Advisor, Bond Counsel and General Counsel of the
Corporation incurred on this Project after the execution of
this Agreement and its approval by the Unit, it being under-
stood that a part of such fees and expenses may be required
to be paid as their work progresses.
1E
I I:d WITV.=SS '.:r.ELOi , the Darties hereto have entered into
the attached and fore�oinc agree -en: by heir officers thereun-
duly authorized as of the -a? of 19^
Stephenville Industrial Development Corporation
(Corporation)
BY:
President, Board of Directors
(Corporate Seal)
.ATTEST:
Secretary, Board or Directors
FMC Corporation
Company
y„
BY:
Its
(Corporate Seal)
ATTEST:
45
ITEM V: PLANNING & ZONING COMMISSION RECOMMENDATIONS -4542 -Side 2
Mr. Conrad Callicoatte of Graham Associates, Inc. presented the highlight
of the meeting he had with the planning, & Zoning Commission pertaining to
the various phases of the Master Plan.
Mr. Callicoatte advised that in said meeting, the updating of the
Master Plan had been discussed. It had been the consensus of himself and
the P & Z Commission that it was a good plan and, essentially, it had been
followed, but it did need to be updated in some areas rather than a whole
new plan.
Mr. Callicoatte said that the water system was the main item discussed
as far as needing an update, (1) a long range plan and (2) the immediate
supply needs. He said that for the long range plans and needs in the next
20 or 30 years, the P & Z Commission had recommended a complete studv be
madesto_ determine those needs. The Commission had recommended, for the
immediate water needs through 1985, that 4 water wells with collector lines
and an elevated storage tank be constructed as soon as possible.
It was determined that very little was needed on the sewage system
as there is a grant in the process for a new sewage treatment plant and
a south collector line.
The Master Plan is being followed on the drainage system.
The Capitol Improvements should be reviewed and brought in line with
where we are today. See what needs to be done in the next 5, 10, and 15
years.
Review the Zoning and Subdivision Ordinances and bring them ub to date.
In going back to the water needs of the immediate future, Mr. Callicoatte
recommended the addition of 4 new water wells and collector lines and a
750,000 gallon elevated storage tank at an estimated cost of $250,000. - wells,
$150,000.- collector lines and $700 „000- elevated storage tank.
Director of Utilities Dannv Johnson recommended that 5 new water wells
be developed instead of 4.
After considerable discussion, Councilman Anderson moved, seconded by
Councilman Ferguson, that the Citv Council authorize Graham Associates, Inc.
to proceed with the preparation of specifications and the letting of bids
for a 750,000 gallon elevated storage tank and 4 water wells with an alternate
bid for 5 water wells with the right to reject any and all bids. The motion
carried unanimously.
Councilman Leese moved, seconded by Councilman Brede, that the Citv
Council authorize Graham Associates, Inc. to proceed with the updating of
the Master Plan as recommended by the Planning & Zoning Commission on an
hourly rate, not to exceed $5,000.00 at this time. If Mr. Callicoatte
should see that it will take pore, he will come back to the Council at that
time. The motion carried unanimously.
ITEM VI: TAX DEPARTMENT. ANNUAL REPORT - ROBERT GROVES - JE498 -JE2 Tape
Tax Assessor /Collector Robert Groves came before the Council giving
his annual report for the Tax Department. In his report, Mr. Groves advised
the Council that the advalorem taxes were only 25% of the city's general
revenue
Mr. Groves and the Council discussed the collection of delinquent taxes.
After considerable discussion, Councilman Irwin moved, seconded by
Councilman Riggins, that the City Council authorize Chandler & Chandler
law firm to collect delinquent taxes effective October 1, 198.0, with a fee
of 15% of taxes collected.
ITEM VII: BID A14ARDED FOR ROOFING REPAIRS TO THE AIRPORT OFFICE - #85
Mr. Shelton advised that he had received only one bid and it was
from Slawson Roofing Company.