HomeMy WebLinkAboutResolution 3359-05-2006RESOLUTION NO 3359-05-2006
A RESOLUTION CONSENTING TO THE CREATION OF CITY OF
FORT WORTH MUNICIPAL UTILITY DISTRICT NO 2 OF
TARRANT COUNTY AND TO CERTAIN ROAD PROJECTS WITHIN
THE DISTRICT AND THE ANNEXATION OF LAND INTO THE
DISTRICT AND AUTHORIZING THE CITY MANAGER TO
EXECUTE THE AGREEMENT CONCERNING CREATION AND
OPERATION OF CITY OF FORT WORTH MUNICIPAL UTILITY
DISTRICT NO 2 OF TARRANT COUNTY" FOR PHASE 1 OF THE
HAYWIRE RANCH DEVELOPMENT
WHEREAS, effective May 3 2005 the Crty of Fort Worth (the `City") adopted a
Policy Concerning Creation of Conservation and Reclamation Districts (the `Creation
Policy")
WHEREAS, by Act of May 27 2005 79th Legnslature, Regular Sessnon, H.B
3530 enacting Chapter 8139 Special Distract Local Laws Code, effective June 18, 2005
("the `District Legislation'), the Texas Legnslature approved the creation of Crty of Fort
Worth Municipal Utility Dnstrnct No 2 of Tarrant County encompassing that certain
259 098-acre tract situated m the City's extraterritorial ~urisdictnon m Tarrant County
Texas, described m Section 2 of the Distract Legislation (the `District"), which District lies
wholly m the extraterritonal ~urisdichon of the Crty•
WHEREAS, Section 8139 023 of the District Legislation provides that the election
to confirm the creation of the Distract may not be held unless the Crty adopts a resolution
consentnng to the creation of the Distract;
WHEREAS, Section 8139 102(c) of the District Legislation provides that the
Distract may not undertake a road project unless the City consents by ordinance or
resolution,
WHEREAS, PA&M, Ltd. Martha Jane Anthony O.P Leonard, Jr Investment Co
Ltd., Nancy Alice Leonard Investment Co Ltd, R.W Leonard, Jr Ellen V Leonard,
Emily A. Leonard and Margery Leonard (collectively `Owner") have petitioned the Crty
to obtain the City's consent to creation of the District;
WHEREAS, Owner also has petitioned the Crty to obtain the City's consent to the
annexation into the District of the approximately 5 461-acre tract described in Exhibit A
attached hereto ("Annexation Tract")
Resolution No 3359-OS 2006
WHEREAS, Owner intends to sell the 264 483 acres to be included m the District
to WJ Haywire I LP a Texas limited partnership
WHEREAS, the City and Owner have negotiated the terms of the Agreement
Concerning Creation and Operation of City of Fort Worth Municipal Utility Distract No 2
of Tarrant County" between the City the District, and WJ Haywire I LP (the `Consent
Agreement") attached hereto as Exhibit B, and
WHEREAS, following its review of the Creation Policy and the Consent
Agreement, the City Council desires to adopt this Resolution, which consents to creation of
the District subject to the terms of the Consent Agreement; complies with the consent
process set forth m Section 8139 023 of the District Legislation, consents to the Road
Project as defined in and subject to the Consent Agreement, pursuant to Section
8139 102(c) of the District Legislation, and consents to the annexation of the Annexation
Tract into the District.
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF FORT WORTH, TEXAS
1
That the City Council of the City of Fort Worth consents to the creation of City of
Fort Worth Municipal Utility District No 2 of Tarrant County pursuant to the District
Legislation and subject to the terms and conditions set forth in the Consent Agreement.
2.
That the City Council of the Crty of Fort Worth consents to the Road Project as
defined in the Consent Agreement, subject to the terms and conditions set forth in the
Consent Agreement.
3
That the Crty Council of the Crty of Fort Worth consents to the annexation of the
Annexation Tract into the boundaries of the Distract.
2
Resolution No 33
4
That the Crty Manager or a designee is authorized to execute the Agreement
Concenung Creation and Operation of City of Fort Worth Mumclpal Utility Distract No 2
of Tarrant County attached hereto as Exhibit B ,and that the Crty Secretary is authorized
to attest such execution for and on behalf of the Crty m multiple counterparts.
5
That this Resolution shall constitute consent to the creation of the District pursuant
to Section 8139 023 of the District Legislation and consent to the Road Project, as defined
m the Consent Agreement, pursuant to Section 8139 102(c) of the Dlstnct Legislation.
6
That rt is officially found and determined that this meeting of the Crty Council of
the Crty of Fort Worth is open to the public as required by law and that written notice of
the date, hour place and subject of the meeting was posted at least seventy two hours
before the meeting as required by law
7
That this Resolution and the Consent Agreement shall supersede any prior
resolutions or agreements regarding the Crty's consent to creation of the Dlstnct.
Adopted the 30th day of May 2006
Marry Hendrt~c ''`~-~~
City Secretary ~~-~~~
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CITY COU~~y`b ~
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City Secretary of the
City of Fort hVorth, Texas
779914v2 3
Resolution No 3359-OS-2006
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Exhibit A
Annexation Tract
BEING all that tract of land In Tarrant County Texas, being a portion of the C.E. NEWMAN
SURVEY ABSTRACT No 1183 the W.K. GANDY SURVEY Abstract No 1890 and being a
portion of the 738.20 acre Tract of land conveyed to OBIE P LEONARD JR., R.W
LEONARD MARGERY ANN HODGES and MARTHA JANE ANTHONY by the deed
recorded in Volume 4897 Page 227 of the Deed Records of Tarrant County Texas, and being
further described as follows.
COMMENCING at a P.K. nail found at the Southwest corner of the aforesaid 738.20 acre Tract
of land said point lying in the approximate center line of White Settlement Road, and also being
the Southeast corner of the Tract of land conveyed to J.J DEARING AND BETSY JO
DEARING BROWDER by the deed recorded m Volume 8317 Page 475 of the Deed Records of
Tarrant County Texas, and ROBERT DEARING BROWDER by the deed recorded in Volume
14336 Page 556 of the Deed Records of Tarrant County Texas,
THENCE North 00 degrees 00 minutes 45 seconds West, at 25 00 feet, passing afive-eighths
inch iron rod found in the North right-of way line of White Settlement Road, m all a total of
4694 71 feet, along the West boundary line of said 738.20 acre Tract of land and the $ast
boundary line of the aforesaid J.J DEARING BETSY JO DEARING and ROBERT DEARING
BROWDER TRACT to a point for corner and the POINT OF BEGINNING of this tract of land,
THENCE North 00 degrees 00 minutes 45 seconds West, 8.35 feet along the West boundary line
of said 738.20 acre Tract of land and the East boundary line of the aforesaid J.J DEARING
BETSY JO DEARING and ROBERT DEARING BROWDER TRACT to a one-half inch iron
rod found for corner
THENCE North 89 degrees 59 minutes 15 seconds East, 163.32 feet, departing the West
boundary line of said 738.20 acre Tract to a one-half inch iron rod found for corner
THENCE North 69 degrees 31 minutes 20 seconds East, 120 00 feet to a one-half inch iron rod
found for corner lying in a curve to the left;
THENCE Southeasterly 733 50 feet, along said curve to the left having a radius of 2230 00 feet,
center angle of 18 degrees 50 minutes 45 seconds, chord bearing South 29 degrees 54 minutes 03
seconds East, 730 19 feet to a one-half inch iron rod found at the end of said curve;
779914v2 4
THENCE South 39 degrees 19 minutes 25 seconds East, 1034 09 feet to a one-half inch iron rod
found for corner
THENCE South 50 degrees 40 minutes 35 seconds West, 116 03 feet to a point for corner
THENCE North 39 degrees 12 minutes 41 seconds West, 519 67 feet to a point for corner
THENCE North 47 degrees 21 minutes 21 seconds West, 219.32 feet to a point for corner
THENCE North 38 degrees 44 minutes 31 seconds West, 420 12 feet to a point for corner
THENCE North 30 degrees 58 minutes 26 seconds West, 394 46 feet to a point for corner
THENCE North 25 degrees 07 minutes 55 seconds West, 264 O1 feet to a point for corner
THENCE South 89 degrees 59 minutes 15 seconds West, 137.38 feet to the POINT OF
BEGINNING and containing 237 889 square feet or 5 461 acres of land.
779914v2 5
Exhibit B
Agreement Concerning Creation and Operation of City of Fort Worth
Municipal Utility District No. 2 of Tarrant County
779914v2
AGREEMENT CONCERNING CREATION AND OPERATION
OF CITY OF FORT WORTH MUNICIPAL UTILITY DISTRICT NO 2
OF TARRANT COUNTY
STATE OF TEXAS §
COUNTY OF TARRANT §
This Agreement Concerning Creation and Operation of City of Fort Worth
Municipal Utility District No 2 of Tarrant County (this Agreement") is entered into by
the City of Fort Worth, Texas, ahome-rule municipal corporation situated m Tarrant,
Denton, and Wise Counties, Texas (the `C~"), acting by and through its duly authorized
Assistant City Manager WJ Haywire I LP a Texas limited partnership ("Owner")• and
City of Fort Worth Municipal Utility District No 2 of Tarrant County a .municipal utility
district created pursuant to Article XVI, Section 59 of the Texas Constitution, Chapters
49 and 54 of the Texas Water Code, and the applicable Special Distract Local Law (the
`District"), which District, after the District Confirmation Date, v~nll become a party to
this Agreement.
ARTICLE I
RECITALS
A. Owner has represented to the City that Owner is the owner of
approximately 264 483 acres in Tarrant County Texas, as shown on Exhibit A and
described in Exhibit B attached to this Agreement (the `Development") The
Development lies entirely within the City's extraterntorial jurisdiction ("ETJ"). Owner
intends the Development to be the first phase of the master-planned community known as
`Haywire Ranch depicted for informational purposes only on the attached Exhibit A.
B The Texas Legislature approved the creation of the City of Fort Worth
Mumcipal Utility District Nb 2 of Tarrant County contaimng 259 098 acres within the
Development by Act of May 27 2005 79~' Legislature, Regular Session, H.B 3530
codified at TEx. SPECIAL DISTRICTS CODE ANN Chapter 8139 effective June 18, 2005
(the `District Legislation'), provided, however the District Legislation provides that the
election to confirm creation of the District may not be held unless the Crty adopts a
resolution consenting to creation of the District.
C. Owner or its predecessor in title, has petitioned the City to obtain the
City's consent to the creation of the District over 259 098 acres within the Development
(the `Consent Petition") in accordance with the District Legislation.
D In addition to the 259 098-acre tract described m Section 2 of the District
Legislation and the Consent Petition, Owner intends to include a 5 461-acre portion,
more or less, of Haywire Ranch Road shown on Exhibit A and more particularly
Agreement Concerning Creation and Operation
780084_3 Page I
described in Exhibit C in the first phase of Haywire Ranch. 'The Distract is required to
annex such parcel pursuant to Article IX, whereupon the District shall consist of the
entire 264 483-acre tract composing the Development.
E. Owner or its predecessor in title, has petitioned the City requesting that
certain commercial portions of the Development be annexed into the corporate limits of
the City for the limited purpose of allowing the City to impose a sales and use tax.
F The purposes of this Agreement are to set out the mutually agreeable
terms and conditions relating to the creation and operation of the Distract, which are the
provisions under which the City has adopted its resolution consenting to the creation of
the Distract m accordance with the District Legislation and consistent with Section 42.042
of the Local Government Code and Section 54 016 of the Water Code. It is an essential
element of the granting of the City's consent to the creation of the District that, after the
District Confirmation Date, the Distract will approve and execute this Agreement and
become a Party to it.
G On , 2006, pursuant to the Consent Petition, the City
Council of the City adopted Resolution No consenting to the creation of the
Distract and the annexation of the 5 461-acre tract into the boundaries of the District (the
`Consent Resolution"), which Consent Resolution approved, and is subject to, the terms
and conditions of this Agreement.
H. Pursuant to Article X of this Agreement, the Parties acknowledge that the
name of the Distract will be changed to `Haywire Ranch Municipal Utility District No 1
of Tarrant County
NOW THEREFORE, for and in consideration of the mutual agreements,
covenants, and conditions hereinafter set forth, the Parties contract and agree as follows.
ARTICLE II
DEFINITIONS
Agreement" means this Agreement Concerning Creation and Operation of City of Fort
Worth Mumcipal Utility District No 2 of Tarrant County
Assignee" means a successor to Owner as defined in Section 1410(b) of this
Agreement.
Attorney General" means the Attorney General of the State of Texas.
`Board" means the Board of Directors of the District.
`Bond" means (a) any instrument, including a bond, note, certificate of participation, or
other instrument evidencing a proportionate interest in payments, due to be paid by the
District, or (b) any other type of obligation that (1) is issued or incurred by the Distract
Agreement Concerning Creation and Operation
780084_3 page 2
under the Drstrrct's borrowing power wrthout regard to whether it rs subject to annual
appropriation, and (2) rs represented by an instrument issued in bearer or registered form
or rs not represented by an instrument but the transfer of which rs registered on books
maintained for that purpose by or on behalf of the District. The term shall include
obligations issued to refund outstanding Bonds, but shall not include reimbursement
agreements entered into between the District and a developer of the Development or bond
anticipation notes.
`Bond Limit Amount" means the maximum amount of Bonds, excluding refunding
Bonds, that may be issued by the District pursuant to Section 5.04 of this Agreement.
`CFA Polrcy" .means the City's `Policy for the Installation of Community Facilities" as
amended March 20 2001 (M & C G-13181) and rn effect on the Effective Date, and any
amendments approved after the Effective Date.
`C~" means the City of Fort Worth, Texas, a home rule mumcrpality located in Tarrant,
Wise, and Denton Counties.
`City Attorney" means the City Attorney of the City
`Ci Code" means the Code of the City of Fort Worth.
`City Council" means the City Council of the City
`Cit~Manager" means the City Manager of the City
`Gifu Objection" means an objection by the City to a Bond issue as defined m Section
5.10 of this Agreement.
`City Review Fees" means. (a) the fees and charges applicable to the City's preliminary
and final plat review and approval process according to the fee schedule adopted by the
City Council and in effect on the date of submittal of each plat application, and (b) fees
and charges applicable to the review of plans relating to construction of Infrastructure
according to the fee schedule adopted by the City Council and in effect on the date of
submittal of such plans.
`City Secretary" means the City Secretary of the City
`Consent Petition means the petition submitted by Owner or its predecessor rn title to
the City requesting the City's consent to the creation of the District and to the Road
Project.
`Consent Resolution means the Resolution No _ adopted _, 2006, by
the City Council that approves this Agreement and contains the City's consent to the
creation of the Distract in accordance wrath the Distract Legislation, including, but not
limited to consent for holding a confirmation electron and undertaking the Road
Agreement Concerning Creation and Operation
780084_3 Page 3
Project, and that approves the annexation of the Haywire Ranch Road Tract into the
District.
`Contractor" means a person or entity that constructs, alters or repairs Infrastructure
required to serve the Development.
`Development" means that certain 259 098-acre tract located in Tarrant County Texas as
shown on Exhibit A and described in Exhibit B Upon annexation of the Haywire
Ranch Road Tract by the District in accordance with Article IX, the Development shall
mean the 264 483-acre tract shown on Exhibit A and described in Exhibits B and C.
`Development Agreement" means the Development Agreement Between the City of Fort
Worth, Texas and WJ Haywire I LP for Haywire Ranch, which was approved by the City
Council on , 2006 (City Secretary Contract No , M &
C ).
`Development Director" means the Director of the City's Development Department.
`Distract" means City of Fort Worth Mumcipal Utility Distract No 2 of Tarrant County
to be renamed in accordance with Article X of this Agreement, created in the
Development.
`Distract Confirmation Date" means the date on which the Board canvasses the results of
the election held within the District confirming the creation of the District.
`District Legislation means Act of May 27 2005 79~' Legislature, Regular Session,
H.B 3530 codified at TEx. SPECIAL DISTRICTS CODE ANN Chapter 8139 Special
District Local Laws Code, effective June 18, 2005 creating the Distract.
`Effective Date" means
`ETJ" means the extraterritorial jurisdiction of a city as defined by the Local Government
Code, as amended, vv~th the City's ETJ being an unincorporated area presently extending
five miles from the City's corporate limits, excluding other incorporated municipalities
and their respective ETJs.
`Finance Director" means the Director of the City's Finance Department.
`Governing Regulations" means the Subdivision Regulations and all City ordinances,
regulations, policies, manuals and other requirements relating to Infrastructure, including
without limitation the design, location, construction, operation and maintenance thereof,
that are applicable within the City's corporate limits on the Effective Date. Further,
`Governing Regulations" includes all amendments to the foregoing requirements and all
new requirements relating to Infrastructure that are adopted or approved after the
Effective Date, except any amendments from which the Development is exempt pursuant
to Chapter 245 of the Local Government Code.
Agreement Concerning Creation and Operation
780084_3 Page 4
`Haywire Ranch means the proposed master-planned community containmg
approximately 1 403 1 acres that may include residential, commercial and recreational
uses as generally depicted for informational purposes only on Exhibit A.
`Hayvv~re Ranch Road Tract" means that certain 5 461-acre parcel, more or less,
consisting of a portion of proposed Haywire Ranch Road described in Exhibit C, which
the District is required to annex pursuant to Article IX.
`Infrastructure means all water wastewater drainage, roadway and other infrastructure
improvements installed or constructed to serve the Development, whether located within
or outside the Development.
`Infrastructure Inspection Fees" means the fees applicable to the inspection and testing of
Infrastructure according to the fee schedule adopted by the City Council and in effect on
the date of the inspection.
`Local Government Code" means the Texas Local Government Code, as amended.
"Notice" means notice as defined in Section 14.01 of this Agreement.
`Owner" means WJ Haywire I LP a Texas limited partnership, and its successors and
Assignees as permitted by this Agreement.
`~" means, individually the City Owner or the District, their successors and their
Assignees as permitted by this Agreement.
`Road Project" means the construction, acquisition, improvement, mamtenance, and
operation of all macadamized, graveled, or paved roads and turnpikes and improvements
in aid of such roads and turnpikes located within the District and shown on any final plat
approved by the City's Plan Commission for the Development.
`Strategic Partnership Agreement" means the Strategic Partnership Agreement Between
the City of Fort Worth, Texas and the City of Fort Worth Municipal Utility Distract No 2
of Tarrant County the form of which was approved by the City Council on
2006 (M & C ).
`Subdivision Regulations" means the City's Subdivision Ordinance No 7234 the Plan
Commission Rules and Regulations in effect on the Effective Date and the CFA Policy
and all amendments thereto and future versions of such regulations.
`TCEQ" means the Texas Commission on Environmental Quality or its successor state
agency
`Utility Agreement" means the Utility Agreement for Haywire Ranch, Phase I executed
by Owner and the City and to be executed by the District after the Distnct Confirmation
Agreement Concerning Creation and Operation
780084} Page 5
Date (City Secretary No , M & C )relating to the provision
of water and wastewater service to the Development and the construction, ownership,
operation and mamtenance of water and wastewater mfrastructure both inside and outside
the Development.
`Water Code" means the Texas Water Code.
`Water Director" means the Director of the City's Water Department.
ARTICLE III
CITY CONSENTS
In accordance with the terms of thus Agreement, the City consents to (a) the
creation of the Distract over the Development; (b) the District undertaking the Road
Project; (c) the calling and holding of an election vtnthin the District to confirm the
creation of the District; and (d) annexation of the Haywire Ranch Road Tract. by the
District in accordance with Article IX.
ARTICLE IV
EXECUTION OF AGREEMENTS
4 O1 Documents To Be Executed. Owner covenants and agrees to cause the
District to approve, execute and deliver this Agreement and the Utility Agreement to the
City within thirty (30) days after the Distract Confirmation Date and to approve, execute
and deliver the Strategic Partnership Agreement to the City vv~thin ninety (90) days after
the Distract Confirmation Date.
4 02 Issuance of Bonds. If the District fails to approve, execute and deliver to
the Crty any one or more of the agreements identified in Section 4.01 of this Agreement
within the time frames required by Section 4.01 and such failure is not cured vv~thin
fifteen (15) days after Notice from the City to Owner and the District, such failure shall
constitute a material breach of this Agreement by Owner and shall entitle the City to
prevent the issuance of Bonds until the failure has been cured.
4 03 Reimbursement. If Owner fails to cause the District to approve, execute
and deliver to the City any one or more of the agreements identified in Section 4.01 of
this Agreement within the time frames required by Section 4..01 and such failure is not
cured vv~thin fifteen (15) days after Notice from the City to Owner and the Distract, then
Owner shall not, from and after the date of such failure, enter into any agreements with
the Distract or seek reimbursement from the District for any expenses mcurred m
connection with the District or development of the Development until the failure has been
cured.
4 04 Strategic Partnership Agreement. By thus Agreement and the Consent
Resolution, the City has approved the form of the Strategic Partnership Agreement;
however pursuant to Section 43 0751(e) of the Local Government Code, the Crty
Agreement.Concerning Creation and Operation
780084_3 Page 6
Council is authonzed to adopt the Strategic Partnership Agreement only after such
agreement has been adopted by the Board.
ARTICLE V
ISSUANCE OF BONDS AND CONSENT TO ROAD PROJECT
5 O1 Issuance of Bonds. The Distnct may issue Bonds only as permitted by
law and this Agreement.
5 02 Purposes. The purposes for which the Distnct may issue Bonds shall be
restricted to the following:
(a) Purchase, construction, acquisition, repair extension, and improvement of
land, easements, works, improvements, facilities, plants, equipment, and
appliances necessary to
(i) provide a water supply for the Dislnct for municipal uses,
domestic uses and commercial purposes,
(ii) collect, transport, process, dispose of and control all domestic,
industrial, or communal wastes whether in fluid, solid, or
composite state;
(iii) gather conduct, divert and control local storm water or other local
harmful excesses of water in the Distnct; and
(iv) undertake the Road Project as set forth in Section 5.04
(b) Payment of organization expenses, initial operation expenses, cost of
issuance, interest during construction and capitalized interest; and
(c) Refunding of any outstanding Bonds of the District for debt service savings,
provided, however any such refunding Bonds otherwise satisfy the
requirements of this Agreement.
5 03 Limitations on Bonds. Owner and the Distnct acknowledge that but for
this Agreement, pursuant to Section 54 016 of the Water Code, the City's consent to
inclusion of the Development within the District could include restrictions on the
purposes for which the Distnct may issue Bonds and that those restractions could entirely
prohibit issuance of Bonds for roads. Owner and the District also acknowledge that
Section 8139 102(c) of the District Legislation provides that the Distract may not
undertake a road project unless the City consents by ordinance or resolution.
5 04 Road Project. Notwithstanding the restrictions otherwise permitted by
Section 54 016 of the Water Code (as referenced m Section 5.03 of this Agreement), the
City acknowledges that the District has the power to undertake the Road Project within
Agreement Concerning Creation and Operation
780084_3 page 7
the District m accordance with Section 8139 102(c) of the District Legislation, provided
the City consents by ordinance or resolution, and that such City consent was granted by
the Consent Resolution, subject to the terms of this Agreement. This Agreement hereby
authorizes and further consents to the Distract undertaking the Road Project within the
Distract and to the issuance by the District of Bonds for the Road Project; however, the
District may issue Bonds only after the District becomes a Party to this Agreement. In
consideration for the City's consent to the Road Project(s), the District agrees that the
total amount of Bonds issued by the Distract for all purposes (excluding refunding Bonds)
shall not exceed $24 000,000 less the amount of funds expended by the District pursuant
to Sections 4 03(a), (b) and (c) of the Strategic Partnership Agreement for any of the
authorized purposes listed in Section 5.02 and any amounts paid to the District or Owner
pursuant to Section 5.13 (the `Bond Limit Amount") unless specifically approved by
the City Council. Owner and the Distract acknowledge that the Bond Limit Amount is
sufficient to accomplish the purposes of the District and that Owner and the District have
voluntarily agreed to the Bond Limit Amount in consideration for the City's consent to
the Road Project. District facilities, if any the cost of which exceeds the Bond Lunn
Amount v~nll be dedicated to the Distract without reimbursement unless otherwise
approved by the City Council.
5 OS Bond Requirements. The Distract shall obtain all necessary authorizations
for Bonds issued to finance the acquisition or construction of facilities and infrastructure
for the benefit of the District in accordance with this Agreement and laws applicable to
the District. All Bonds issued by the Distract shall comply with the following
requirements.
(a) Maximum maturity of 25 years for any one series of Bonds,
(b) Interest rate that does not exceed 2% above the highest average interest rate
reported by the Daily Bond Buyer in its weekly `20 Bond Index" during the
one month period immediately preceding the date that the notice of the sale
of such Bonds is given,
(c) The Bonds shall expressly provide that the Distract shall reserve the right to
redeem Bonds at any time begimm~g not later than the tenth (10th)
.anniversary of the date of issuance, without premium. No varaable rate
Bonds shall be issued by the District without City Council approval,
(d) Any refunding Bonds of the District must provide for a net present value
savings equal to three percent (3%) or more of the principal amount of the
refunded Bonds, and, further must provide that: (i) the latest maturity of the
refunding Bonds may not extend beyond the latest maturity of the refunded
Bonds unless approved by the City Council, and (ii) the refunding Bonds
shall be structured with a call date not to exceed seven (7) years from the
date of issuance of the refunding Bonds.
Agreement Concerning Creation and Operation
780084 3 Page 8
(e) No Bonds shall be issued having an issuance date more than fifteen (15)
years after the Distract Confirmation Date without the City's written
approval, and
(f) No Bonds shall be issued unless the principal amount of outstanding Bonds,
together with the amount of the proposed Bonds, would be equal to or less
than fifteen percent (15%) of either the certified taxable assessed valuation
or most current certified estimate of taxable assessed valuation within the
District according to the Tarrant Appraisal District or its successor
5 06 Certifications. With respect to any matter required by this Article V to be
certified in writing, this Agreement also requires, and the Distract hereby warrants, that
every statement in any certification shall be true and correct in all material respects and
that the person signing the certification has been given the requisite authority to do so on
behalf of the District.
5 07 Economic Feasibilrty Before submission of an application for approval of
issuance of Bonds to the TCEQ or the Attorney General; the District's financial advisor
shall certify in wasting to the City Secretary City Manager, and Finance Director that the
Bonds are being issued within the then-current economic feasibility guidelines
established by the TCEQ for distracts issuing bonds for water, sewer, drainage or road
facilities in Tarrant County
5 08 Notice of Bond Issues. At least thirty (30) days before submission of an
application for approval of issuance of Bonds to the TCEQ or the Attorney General,
whichever occurs first, the Distract shall deliver to the City Secretary City Manager and
Finance Director the certification required by Section 5.07 and Notice containing: (a) the
amount of Bonds being proposed for issuance; (b) a description of the projects to be
funded and/or the Bonds to be refunded by such Bonds, and (c) the proposed debt service
and District tax rate after issuance of the Bonds. If the Distract is not required to obtain
TCEQ approval of the issuance of the Bonds, the District shall deliver such certification
and Notice to the City Secretary City Manager and Finance Director at least sixty (60)
days prior to issuance of Bonds, except refunding Bonds, by the District.
5 09 Compliance with Agreements. At least thirty (30) days before submission
of an application for approval of issuance of Bonds to the TCEQ or the Attorney General,
whichever occurs first, the District shall certify in writing to the City Secretary City
Manager and Finance Director that the District is not in breach of any materiah provision
of the Consent Resolution, this Agreement, the Utility Agreement or the Strategic
Partnerslip Agreement. Material provisions include, but are not limited to, Sections
4.01, 5.01, 5.02, 5.04, 5.05 5.06, and 6.01 and Articles VII and IX of this Agreement.
5 10 Bond Objections. The City shall have a peraod of sixty (60) days after
receiving the last of the certifications and Notices required by Sections 5.08 and 5.09 of
this Agreement within which to object to the Bonds. If the City fails to object to a
proposed Bond issue within such 60-day period, the City shall be deemed to have waived
Agreement Concerning Creation and Operation
780084_3 Page 9
all objections. The only basis for an objection by the City to a proposed Bond issue shall
be that the District is in default of a material provision of the Consent Resolution, this
Agreement, the Utlllty Agreement, or the Strategic Partnership Agreement. If the City
objects to a proposed Bond issue (a `City Objection'), such objection (a) shall be in
wasting; (b) shall be given to the Distract; (c) shall be signed by the Clty Manager or the
City Manager's designee,. and (d) shall specifically identify the material provision(s) of
the Consent Resolution, this Agreement, the Utility Agreement or the Strategic
Partnership Agreement for which the District is in default. It shall not be a basis for a
City Objection that the City disagrees with the District's financial advisor as to the
financial feasibility of the Bonds so long as the proposed Bonds are approved by the
TCEQ and Attorney General. In the event a City Objection is timely given to the District
(as required by this section) with respect to a specific Bond application, the City and the
District shall cooperate to resolve the City Objection within a reasonable tune, and the
Bond application to which the City Objection applies shall be delayed until the City
Objection has been cured or waived. Unless otherwise cured by written agreement of the
Parties, a City Objection shall be deemed cured if (x) the District files a petition seeking
declaratory judgment in state district court; (y) thirty (30) days before filing the petition
the District gives the City Attorney and City Manager Notice of, and waives any
objections to the City's right to intervene in, such a declaratory judgment action, and (z)
the district court determines that the District is not in default with respect to any material
provision of the Consent .Resolution, this Agreement, the Utility Agreement, or the
Strategic Partnership Agreement or alternatively fmds that if such a default had
previously occurred, the default has been cured. A City Objection may be waived by the
City at any time.
5 11 Official Statements. Within thu-ty (30) days after the District closes the
sale of each series of Bonds, the District shall deliver to the City Secretary City
Manager and Finance Director a copy of the final official statement for such series of
Bonds. If the City requests additional information regarding such issuance of the Bonds,
the District shall promptly provide such information at no cost to the City
5 12 Reimbursement Agreements.
(a) The District shall not enter into agreements with landowners or
developers for reimbursement of costs incurred in connection with the
District with a total reimbursement amount exceeding the Bond Limit
Amount.
(b) All agreements entered into by the District with landowners or developers
for reimbursement of costs incurred in connection with the District shall
provide that: (i) the District will not reimburse the landowner or developer
for costs not evidenced by the issuance of Bonds within fifteen (15) years
after the District Confirmation Date; and (ii) the landowner or developer
waives all claims against the City for reimbursement of obligations not
evidenced by the issuance of Bonds within fifteen (15) years after the
District Confirmation Date.
Agreement Concerning Creation and Operation
780084_3 Page 10
5 13 Use of Cost Reimbursements for Bond Debt Payments. If the Distract or
Owner receives payment from any parry connecting to any Infrastructure constructed by
Owner or the District, pursuant to a `per acre" or `per MGD" ordinance or similar
regulation, the District or Owner, as applicable, shall use such payments m the following
order of pnority•
(a) Reimbursement for the construction or installation of Infrastructure;
(b) Funding the construction or installation of Infrastructure; and
(c) Purchasing and retiring any Bond after the tenth anniversary of its
Issuance.
ARTICLE VI
DESIGN, CONSTRUCTION, INSPECTION, DEDICATION, OPERATION
ANDMAINTENANCE OF DISTRICT FACILITIES
6 O1 Infrastructure Standards. All Infrastructure shall be designed and
constructed in compliance with. (a) the Governing Regulations; (b) the rules and
regulations, if any of the District; and (c) the rules and regulations of the TCEQ In the
event of any conflict between the Governing Regulations and the rules and regulations of
the Distract, the Govermng Regulatlons shall control unless otherwise agreed in wasting
by the Development Director
6 02 Plan Review; Payment of Fees, and Pre-Construction Conference
Construction of Infrastructure shall not commence until the plans and specifications have
been reviewed and approved by the City for compliance with the Governing Regulations,
a pre-construction conference has been held by the Contractor, the District's engineer and
representatives of the City's Department of Engineering; and the applicable City Review
Fees have been paid.
6 03 Community Facilities Agreements. Construction of Infrastructure shall
not commence until Owner has executed a Communities Facilities Agreement in
accordance with the CFA Policy
6 04 Reports, Ins ecU tions. The District, or Owner on behalf of the District,
shall employ a consulting engineer who will, during the construction of Infrastructure,
submit to the Board and TCEQ s executive director detailed written reports showing
whether the Infrastructure is being constructed in accordance vv~th plans and
specifications and the contractor is complying with all contract documents. City
inspectors or third party inspectors pursuant to the Crty's third party inspection process
shall inspect and test the Infrastructure. The District, or Owner on behalf of the District,
shall pay all Infrastructure Inspection Fees. The City shall use its best efforts to cooperate
wrth the District's consulting engineer to prepare inspection reports in a form acceptable
to TCEQ City however in no way guarantees that the Infrastructure will be constructed
Agreement Concerning Creation and Operation
780084_3 Pagell
in a manner acceptable to TCEQ or that TCEQ will approve the issuance of Bonds.
6 OS Contracts with Contractors. If a Contractor is not an Owner then the
Owner shall incorporate the requirements of this Article VI into a wratten construction
contract with the Contractor All contracts with such non-Owner Contractors shall
provide that the City is a third-party beneficiary of, and may enforce the contracts
against, the Contractor
6 06 Access by City Employees. Upon praor Notice by the City any duly
authorized employee of the City bearing proper credentials and identification shall be
granted access to any property of the Distract within the Development as the City may
determine necessary for the purpose of inspection and testing of Infrastructure.
6 07 Dedication of Water and Wastewater Infrastructure and Easements to Citv
The District will dedicate all water and wastewater Infrastructure constructed by or on
behalf of the District both inside and outside the District, together with all easements for
such Infrastructure, to the City upon final inspection and acceptance of such
Infrastructure by the City in accordance with the Utility Agreement.
6 08 Operation and Maintenance of Infrastructure. The District shall cause all
Infrastructure to be operated and maintained in accordance with the Governing
Regulations, except for water and wastewater infrastructure dedicated to the City
pursuant to Section 6.07 and the Utility Agreement, which shall be operated and
maintained by the City Upon acceptance of Infrastructure dedicated to the City the
City will operate and maintain the Infrastructure. If repairs to roads within the District
are needed as a result of repair or maintenance of water or wastewater Infrastructure by
the City the District shall perform such repairs at no cost to the City
6 09 As-Built Drawings. The District shall deliver mylar as-built drawings for
all Infrastructure to the City's Engineerang Department within thirty (30) days after final
inspection.
ARTICLE VII
REPORTING REQUIREMENTS
The District shall (a) send a copy of each order or other action setting an ad
valorem tax rate to the City Secretary City Manager and Finance Director within thirty
(30) days after the District adopts the rate; (b) send a copy of each annual audit to the
City Secretary City Manager and Finance Director within thirty (30) days after approval
by the Board, and (c) provide copies of any material event notices filed under applicable
federal securities laws or regulations to the City Secretary City Manager and Finance
Director within thirty (30) days after filing such notices with the applicable federal
agency
Agreement Concerning Creation and Operation
780084_3 .Page 12
ARTICLE VIII
AREA OF, AND LIMITATIONS ON, SERVICE
The District shall not sell or deliver services to areas outside the Distract without
pnor City Council approval, provided, however the District may serve a maxunum often
(10) retail residential water connections outside the District vv~th the Water Director's
written approval.
ARTICLE IX
CONVERSION, CONSOLIDATION, DIVISION OR
ANNEXATION BY DISTRICT
The District shall not (a) convert into another type of district; (b) consolidate with
another district; (c) divide into two or more new districts, or (d) seek additional
governmental powers beyond those in the District Legislation without pnor City Council
approval. The District shall annex the Haywire Ranch Road Parcel described in Exhibit
C on or before sixty (60) days following the Distract Confirmation Date, but may not
annex any other lands without prior City Council approval.
ARTICLE X
NAME CHANGE
The District shall imtiate proceedings to change the name of the District to
`Haywire Ranch Mumcipal Utility Distract No 1 of Tarrant County" in accordance with
Section 49 071 of the Water Code or other applicable law within sixty (60) days after the
Distract Confirmation Date.
ARTICLE XI
ANNEXATION OF DISTRICT BY CITY
11 O1 General Terms. The Parties acknowledge and agree that the Development
lies wholly within the City's ETJ is not bordered by another city town, or village; and is
not currently included in the City's annexation plan. The Parties further acknowledge
that the creation of the District, and the' City's consent thereto, are for purposes that
include promoting the orderly development and extension of City services to the
Development upon annexation.
11 02 Incorporation. In furtherance of the purposes of this Agreement, the
District and Owner on behalf of themselves and their respective successors and
Assignees, covenant and agree to the extent allowed by law that, except upon written
consent of the City Council, neither the Distract nor Owner will. (a) seek or support any
effort to incorporate the Development or any part thereof; or (b) sign, loin in, associate
with, or direct to be signed any petition seeking to incorporate any of the Development or
seeking to include any of the Development within the boundaraes of any other
incorporated entity
Agreement Concerning Creation and Operation
780084_3 Page 13
11 03 Notice. Within thirty (30) days after the District Confirmation Date, the
District shall file in the real property records of Tarrant County (a) a notice in the form
required by Section 49 452 of the Water Code; and (b) a notice in the form of Ezhibit D
attached to this Agreement stating that the City has the authority to annex the District
subject to the limitations set forth in Section 11.05
11 04 Annexation of Portion of Development. Owner and the District agree to
cooperate with and assist the City m annexing one or more azeas in the manner prescribed
by law which does not result in the dissolution of the District, each of which may not
exceed 525 feet in width at its widest point or such other width limitation subsequently
imposed by law as reasonably necessary for the City to connect azeas to the City that are
outside the Distract and that the City intends to annex. Notwithstanding the zoning
designation approved for the annexed area, such azea can be developed and used in
accordance with the Development Agreement.
11 OS Full Purpose Annexation. The City will not annex the Development for
full purposes any earlier than the first to occur of: (a) the dissolution of the Distract
(other than as a result of annexation by the City); or (b) termination of the Development
Agreement.
11 06 Limited Purpose Annexation. The Parties agree that the City shall have
the right to annex those portions of the Development that aze intended for retail
development for the sole and limited purpose for the City to impose its sales and use tax
within the boundazies of such retail areas, pursuant to Section 43 0751 of the Local
Government Code. The terms and conditions upon which such limited purpose
annexations may occur shall be set forth in the Strategic Partnership Agreement.
ARTICLE XII
TERM OF AGREEMENT
This Agreement shall be effective from the Effective Date and shall continue in
effect until the District is annexed for full purposes and dissolved by the Crty or until
terminated in wasting by mutual agreement of the City and the District; provided,
however if the creation of the District has not been confirmed at an election conducted
on or before September 1 2007 this Agreement may be terminated by the City by
providing Notice to Owner
ARTICLE XIII
BREACH, NOTICE AND REMEDIES
13 O1 Notification of Breach. If either Party commits a breach of this
Agreement, the non-breaching Parry shall give Notice to the breaching Party that
describes the breach in reasonable detail.
13 02 Cure of Breach.. The breaching Party shall commence curing such breach
within fourteen (14) calendar days after the time the breaching Party receives such Notice
Agreement Concerning Creation and Operation
780084_3 Page 14
and complete the cure within fourteen (14) calendar days from the date of
commencement of the cure; however, if the breach is not reasonably susceptible to cure
by the breaching Party within such 14-day period, the non-breaching Party shall not bring
any action so long as the breaching Parry has commenced to cure the default within such
14-day penod and diligently completes the cure within a reasonable time without
unreasonable cessation of the work.
13 03 Remedies for Breach. If the breaching Party does not substantially cure
such breach within the stated penod of time, the non-breaching Parry may in its sole
discretion, and without prejudice to any other nght under this Agreement, law or equity
seek an action under the Umform Declaratory Judgment Act, specific performance,
mandamus, injunctive relief, and other remedies described in this Agreement; provided,
however that the non-breaching Party shall not be entitled to tenninate this Agreement
and each Party specifically waives any right such Party has or in the future may have to
terminate this Agreement (except for the nght of the City to terminate as provided m
Article XII of this Agreement) It is understood and agreed that no Party will seek or
recover actual, consequential or any other type of monetary damages or awards, including
but not limited to attorney's fees in the event that any Party brmgs suit under or related to
this Agreement.
13 04 Governmental Powers, Waiver of Immumty By execution of this
Agreement, neither the City nor the District waives or surrenders any of their respective
governmental powers, immumties or nghts, except as specifically waived pursuant to this
section. The City and the Distnct mutually waive their governmental immunity from suit
and liability only as to any action brought by a Party to pursue the remedies available
under this Agreement and only to the extent necessary to pursue such remedies. Nothing
in this section shall waive any claims, defenses or immunities that the City or the District
has with respect to suits against the City or the District by persons or entities not a party
to this Agreement.
ARTICLE XIV
ADDITIONAL PROVISIONS
14 O1 Notice. Any notices, certifications, approvals, or other communications (a
`Notice") required to be given by one Party to another under this Agreement shall be
given in venting addressed to the Party to be notified at the address set forth below and
shall be deemed given. (a) when the Notice is delivered in person to the person to whose
attention the Notice is addressed, (b) when received if the Notice is deposited in the
United States Mail, certified or registered mail, return receipt requested, postage prepaid,
(c) when the Notice is delivered by Federal Express, UPS, or another nationally
recognized courier service with evidence of delivery signed by any person at the delivery
address, or (d) five business days after the Notice is sent by FAX (with electromc
confirmation by the sending FAX machme) with a confirming copy sent by United States
mail within 48 hours after the FAX is sent. If any date or period provided in this
Agreement ends on a Saturday Sunday or legal holiday the applicable penod for
calculatmg the Notice shall be extended to the first business day following the Saturday
Agreement Concerning Creation and Operation
780084_3 Page 15
Sunday or legal holiday For the purpose of giving any Notice, the addresses of the
Parties are set forth below The Parties may change the information set forth below by
sending Notice of such changes to the other Parties as provided in this section.
To the City
City of Fort Worth, Texas
1000 Throckmorton Street
Fort Worth, Texas 76102
Attn. City Secretary
FAX. 817 392-6196
City of Fort Worth, Texas
1000 Throckmorton Street
Fort Worth, Texas 76102
Attn. City Manager
FAX. 817 392-6134
City of Fort Worth, Texas
1000 Throckmorton Street
Fort Worth, Texas 76102
Attn. Development Director
FAX. 817 392-8359
City of Fort Worth, Texas
1000 Throckmorton Street
Fort Worth, Texas 76102
Attn. City Attorney
FAX. 817 392-8359
City of Fort Worth, Texas
1000 Throclcmorton Street
Fort Worth, Texas 76102
Attn. Finance Director
FAX. 817 392-8966
City of Fort Worth, Texas
1000 Throckmorton Street
Fort Worth, Texas 76102
Attn. Engineering Director
FAX. 817-871 7895
Agreement Concerning Creation and Operation
780084_3 Page 16
To the District:
City of Fort Worth Municipal Utility District No. 2
of Tarrant of County
c/o Coats Rose
5420 LBJ Freeway Suite 1300
Dallas, Texas 75240
Attn. Timothy G Green
FAX. 972 982-8451
To Owner•
WJ Haywire I LP
c/o Wynne/Jackson, Inc.
600 North Pearl
Plaza of the Amencas
Suite 650 South Tower
Dallas, Texas 75201
Attn. Chnstopher Jackson
FAX. 214-880-8709
14 02 No Waiver Any failure by a Parry to insist upon stnct performance by the
other Party of any material provision of this Agreement shall not be deemed a waiver
thereof, and the Parry shall have the right at any time thereafter to insist upon strict
performance of any and all provisions of this Agreement. No provision of this
Agreement may be waived except by writing signed by the Party waiving such provision.
Any waiver shall be limited to the specific purposes for which it is given. No waiver by
any Party hereto of any term or condition of this Agreement shall be deemed or construed
to be a waiver of any other term or condition or subsequent waiver of the same term or
condition.
14 03 City Consent and Approval. In any provision of this Agreement that
provides for the consent or approval of the City staff or City Council, such consent or
approval may be withheld or conditioned by the .staff or City Council at its sole
discretion, except as provided in Section 5.10
14 04 Governing Law and Venue. THIS AGREEMENT MUST BE CONSTRUED AND
ENFORCED IN ACCORDANCE WITH THE LAWS OF THE STATE OF TEXAS, AS THEY APPLY
TO CONTRACTS PERFORMED WITHIN THE STATE OF TEXAS AND WITHOUT REGARD TO
ANY CHOICE OF LAW RULES OR PRINCIPLES TO THE CONTRARY THE PARTIES
ACKNOWLEDGE THAT THIS AGREEMENT IS PERFORMABLE IN TARRANT COUNTY
TEXAS AND HEREBY SUBMIT TO THE JURISDICTION OF THE COURTS OF TARRANT
COUNTY, TEXAS, AND HEREBY AGREE THAT ANY SUCH COURTS SHALL BE A PROPER
FORUM FOR THE DETERMINATION OF ANY DISPUTE ARISING HEREUNDER.
Agreement Concerning Creation and Operation
780084_3 Page 17
14 OS Authority to Execute. The City warrants that this Agreement has been
approved by the Crty Council in accordance vv~th all applicable public meeting and public
notice requirements (including, but not limited to, notices required by the Texas Open
Meetings Act) and that the individual executing this Agreement on behalf of the City has
been authorized to do so Each Owner warrants that the execution of this Agreement is
duly authorized in conformity with the articles of incorporation,. bylaws, partnership
agreement, or other applicable organizational documents of each Owner and that the
individual executing this Agreement on behalf of each Owner has been authorized to do
so The District warrants that this Agreement has been approved by the Board m
accordance with all applicable public meeting and public notice requirements (including,
but not limited to, notices required by the Texas Open Meetings Act) and that the
individual executing this Agreement on behalf of the Board has been authorized to do so
14 06 Severability The provisions of this Agreement are severable. If any
word, phrase, clause, sentence, paragraph, section, or other provision of this Agreement,
or the application thereof to any person or circumstance, shall ever be held or determined
to be invalid, illegal, or unenforceable for any reason, and the extent of such invalidity or
unenforceability does not cause substantial deviation from the underlying intent of the
Parties as expressed in this Agreement, then such provision shall be deemed severed from
this Agreement with respect to such person, entity or circumstance, without invalidating
the remainder of this Agreement or the application of such provision to other persons,
entities or circumstances, and a new provision shall be deemed substituted in lieu of the
severed provision which new provision shall, to the extent possible, accomplish the intent
of the Parties as evidenced by the severed provision.
I4 07 Changes in State or Federal Laws. If any state or federal law changes so
as to make it unpossible for the City or the District to perform its obligations under this
Agreement, the Parties will cooperate to amend the Agreement in such a manner that is
most consistent with the original intent of the Agreement as legally possible.
14 08 Additional Documents and Acts. The Parties agree that at any time after
execution of this Agreement, they will, upon the request of any other Party execute
and/or exchange any other documents necessary to effectuate the terms of this Agreement
and perform any further acts or things as the other Party may reasonably request to
effectuate the terms of this Agreement.
14 09 Captions. Captions and headings used in this Agreement are for reference
purposes only and shall not be deemed a part of the Agreement.
1410 Assi ent.
(a) Neither the District nor the City may assign this Agreement without the
written consent of the other Parties.
(b) Owner has the right, from time to time, to assign this Agreement, in whole
or in part, and including any obligation, right, title, or interest of Owner under this
Agreement Concerning Creation and Operation
780084 3 Page 18
Agreement, to the Distnct (after the Distnct Confirmation Date) and to any person or
entity (an Assignee") without the consent of the City provided that the following
conditions are satisfied. (1) if not the Distnct, Assignee is a successor owner of all or any
part of the Development or is a lender to a successor owner of all or any part of the
Development; (2) if not the Distnct, Assignee has a contractual nght to be reunbursed for
water sewer or drainage improvements and/or the Road Project from District Bonds (or
has a lien or other secunty interest in such reimbursements); (3) the assignment is in
writing executed by Owner and Assignee in the form of assignment attached as Exhibit
E, (4) Assignee expressly assumes in the assignment any assigned obligations and
expressly agrees m the assignment to observe, perform, and be bound by this Agreement
to the extent this Agreement relates to the obligations, rights, titles, or interests assigned,
and (5) a copy of the executed assignment is provided to all Parties withm fifteen (15)
days after execution. Provided the foregoing conditions are satisfied, from and after the
date the assignment is executed by Owner and Assignee, the City agrees to look solely to
Assignee for the performance of all obligations assigned to Assignee and agrees that
Owner shall be released from performing the assigned obligations and from any liability
that results from the Assignees failure to perform the assigned obligations. No
assignment by Owner shall release Owner from any liability that resulted from an act or
omission by Owner that occurred prior to the effective date of the assignment. Owner
shall maintain written records of all assignments made by Owner (including, for each
Assignee, the Notice information required by this Agreement, and including a copy of
each executed assignment) and, upon written request from any Parry or Assignee, shall
provide a copy of such records to the requesting person or entity It is specifically
intended that this Agreement, and all terms, conditions and covenants herein, shall
survive a transfer conveyance, or assignment occasioned by the exercise of foreclosure
of lien rights by a creditor or a Party whether judicial or non judicial. This Agreement
shall be binding upon and insure to the benefit of the Parties and their respective
successors and Assignees. Notwithstanding the foregoing, however Owner shall not
have the nght to assign this Agreement, or any right, title, or interest of Owner under this
Agreement, until the District has become a Party
14 11 Amendment. This Agreement may be amended only with the wntten
consent of all Parties and with approval of the governing bodies of the City and the
District.
14 12 Interpretation. The Parties acknowledge that each party and, if it so
chooses, its counsel have reviewed and revised this Agreement and that the normal rule
of construction to the effect that any ambiguities are to be resolved against the drafting
parry shall not be employed in the interpretation of this Agreement or any amendments or
exhibits hereto As used in this Agreement, the term `including" means `including
without limitation and the term days" means calendar days, not business days.
Wherever required by context, the singular shall mclude the plural, and the plural shall
include the singular Each defined term herein may be used in its singular or plural form
whether or not so defined.
Agreement Concerning Creation and Operation
780084_3 Page 19
14 13 No Third Party Beneficiary This Agreement is solely for the benefit of
the Parties, and neither the City the District nor Owner intends by any provision of this
Agreement to create any rights m any Hurd-parry benef ciaries or to confer any benefit
upon or enforceable rights under this Agreement or otherwise upon anyone other than the
City the Distract and Owner.
14 14 Reunbursement for Crty's Professional Fees. Owner will reimburse the
City for reasonable attorneys fees incurred by the City in connection with negotiation and
preparation of this Agreement, the Development Agreement, the Strategic Partnership
Agreement, agreements concermng the provision of water and wastewater service to the
Development, and any other documents executed by Owner the District, and the City in
connection with the Development up to a maximum amount of $50 000 Owner's
obligation is limited to the actual, out-of-pocket costs and expenses paid to or owed to
third-parties for services rendered prior to the approval of this Agreement by the City
Council. Owner shall reimburse the City for such fees within thirty (30) days after this
Agreement has been executed by the City and Owner and the City has delivered to
Owner an invoice for such fees setting forth in reasonable detail a description of the work
performed, including identification of the attorney who performed the work, the date on
which the work was performed, and the time spent on each date.
14 15 Incorporation of Exhibits by Reference. All exhibits attached to this
Agreement are incorporated into this Agreement by reference for the purposes set forth
herein, as follows:
Exhibit A Map of the Development
Exhibit B Legal Description of the 259 098-Acre Tract
Exhibit C Legal Description of Haywire Ranch Road Tract
Exhibit D Annexation Notice
Exhibit E Assignment and Assumption Agreement
14 16 Conspicuous Provisions. The City the District, and Owner acknowledge
that the provisions of this Agreement set out in bold, CAPITALS (or any combination
thereof) satisfy the requirements for the express negligence rule and/or are conspicuous.
14 17 Counterpart Ori ig nals. This Agreement may be executed in multiple
counterparts, each of which shall be deemed to be an original.
Agreement Concerning Creation and Operation
780084 3 Page 20
IN WITNESS WHEREOF each Party has caused this Agreement to be executed
by its undersigned duly authorized representative in multiple copies on the date or dates
indicated below
ATTEST CITY OF FORT WORTH
By
Marry Hendrix, City Secretary Marc Ott, Assistant City Manager
APPROVED AS TO FORM AND
LEGALITY
Date.
Assistant City Attorney
WJ HAYWIRE I LP, a Texas limited
partnership
By WJ Haywire I LLC, GP its general
partner
By
Name•
Its.
Date.
Agreement Concerning Creation and Operation
780084_3 Page 21
Pursuant to Article IV hereof and following the District Confirmation Date, the Distract
has executed the Agreement.
CITY OF FORT
UTILITY DISTRICT
COUNTY
By
WORTH MUNICIPAL
NO 2 OF TARRANT
President, Board of Directors
Date•
STATE OF TEXAS §
COUNTY OF TARRANT §
This instrument was acknowledged before me, on the _ day of ,
2006, by Marc Ott, Assistant City Manager of the City of Fort Worth, Texas on behalf of
said city
[SEAL]
STATE OF TEXAS
COUNTY OF
Notary Public, State of Texas
Printed Name
My Commission Expires._
This instrument was acknowledged before me, on the ____ day of ,
2006, by WJ Haywire I LP a Texas limited partnership, by
of WJ Haywire I LLC GP its general
partner
Notary Public, State of Texas
[SEAL] Printed Name•
My Commission Expires._
Agreement Concerning Creation and Operation
780084_3 Page 22
STATE OF TEXAS
COUNTY OF TARRANT
This instrument was acknowledged before me, on the day of ,
200_, by ,President, Board of Directors of City of Fort Worth
Municipal Utility District No 2 of Tarrant County on behalf of said district.
[SEAL]
Agreement Concerning Creation and Operation
780084_3
Notary Public, State of Texas
Panted Name:
My Commission Expires:
Page 23
Exhibit A
Map of the Development
Agreement Concerning Creation and Operation page 24
780084 3
EXHIBIT A
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Exhibit B
BEING a 259 098 acre tract of land located in Tarrant County Texas, a part of the J T
Allen Survey Abstract No 67 apart of the C.E.P.I. & M. Company Survey Abstract
No 382, a part of the S.B Hopkins Survey Abstract No. 672, a part of C.E. Newman
Survey Abstract No 1183 apart of the F Schoeverling Survey Abstract No 1398, a
part of the T & N O R.R. Company Survey Abstract No 1566 apart of the W K.
Gandy Survey Abstract No 1890, and being a part of that 738.20 acre tract of land
described m deed filed on 18 January 8, 2004 in Document D2004008 174 of the Tarrant
County Deed Records, and being further described as follows.
BEGINNING at the southwest corner of said 738.20 acre tract of land, said point being in
the center of White Settlement Road (County Road 22 No 1007);
THENCE North 00 degrees 31 minutes 00 seconds East, 4694 71 feet along the west line
of said 738.20 acre tract of land to a point for corner
THENCE South 89 degrees 29 minutes 00 seconds East, 137.38 feet to a point for corner
THENCE South 24 degrees 36 minutes 10 seconds East, 264 O1 feet to a point for corner
THENCE South 30 degrees 26 minutes 41 seconds East, 394 46 feet to a point for corner
THENCE South 38 degrees 12 minutes 46 seconds East, 420 12 feet to a point for corner
THENCE South 46 degrees 49 minutes 36 seconds East, 219.32 feet to a point for corner
THENCE South 38 degrees 40 minutes 56 seconds East, 504 19 feet to a point for corner
THENCE North 55 degrees 00 minutes 00 seconds East, 250 00 feet to a point for corner
in the east line of said 738.20 acre tract of land,
THENCE along the east line of said 738.20 acre tract of land as follows
South 89 degrees 34 minutes 00 seconds East, 1850 60 feet to a point for corner
South degrees 03 minutes 00 seconds West, 3059 10 feet to a point for corner
North 89 degrees 48 minutes 00 seconds West, 2036 40 feet to a point for corner
South 00 degrees 08 minutes 00 seconds West, 638.10 feet to the southeast corner
of said
738.20 acre tract of land, said point being in the center of White
Settlement Road,
THENCE North 75 degrees 28 minutes 00 seconds West, 1280.20 feet along the south
line of said 738.20 acre tract of land and along the center of White Settlement Road to the
POINT OF BEGINNING and containing 11,286,297 square feet or 259 098 acres of land.
Agreement Concerning Creation and Operation
780084 3 Page 25
Exhibit C
Legal Description of Haywire Ranch Road Tract
BEING all that tract of land m Tarrant County Texas, being a portion of the C.E.
NEWMAN SURVEY ABSTRACT No 1183 the W.K. GANDY SURVEY Abstract
No. 1890 and being a portion of the 738.20 acre Tract of land conveyed to OBIE P
LEONARD JR., R.W LEONARD MARGERY ANN HODGES, and MARTHA JANE
ANTHONY by the deed recorded in Volume 4897 Page 227 of the Deed Records of
Tarrant County Texas, and being further described as follows.
COMMENCING at a P.K. nail found at the Southwest corner of the aforesaid 738.20
acre Tract of land said point lying in the approximate center line of White Settlement
Road, and also being the Southeast corner of the Tract of land conveyed to J.J
DEARING AND BETSY JO DEARING BROWDER by the deed recorded in Volume
8317 Page 475 of the Deed Records of Tarrant County Texas, and ROBERT DEARING
BROWDER by the deed recorded in Volume 14336, Page 556 of the Deed Records of
Tarrant County Texas;
THENCE North 00 degrees 00 minutes 45 seconds West, at 25 00 feet, passing afive-
eighths inch iron rod found in the North right-of way line of White Settlement Road, in
all a total of 4694 71 feet, along the West boundary line of said 738.20 acre Tract of land
and the East boundary lme of the aforesaid J.J DEARING BETSY JO DEARING, and
ROBERT DEARING BROWDER TRACT to a point for corner and the POINT OF
BEGINNING of this tract of land,
THENCE North 00 degrees 00 minutes 45 seconds West, 8.35 feet along the West
boundary line of said 738.20 acre Tract of land and the East boundary lme of the
aforesaid J.J DEARING, BETSY JO DEARING and ROBERT DEARING BROWDER
TRACT to a one-half inch iron rod found for corner
THENCE North 89 degrees 59 minutes 15 seconds East, 163.32 feet, departing the West
boundary line of said 738.20 acre Tract to a one-half inch iron rod found for corner
THENCE North 69 degrees 31 nunutes 20 seconds East, 120 00 feet to a one-half mch
iron rod found for corner lying in a curve to the left;
THENCE Southeasterly 733.50 feet, along said curve to the left having a radius of
2230 00 feet, center angle of 18 degrees 50 minutes 45 seconds, chord bearing South 29
degrees 54 minutes 03 seconds East, 730 19 feet to a one-half mch iron rod found at the
end of said curve;
THENCE South 39 degrees 19 minutes 25 seconds East, 1.034 09 feet to a one-half mch
iron rod found for corner
THENCE South 50 degrees 40 minutes 35 seconds West, 116 03 feet to a pomt for
corner
Agreement Concerning Creation and Operation
780084_3 Page 26
a
THENCE North 39 degrees 12 minutes 41 seconds West, 519 67 feet to a point for
corner
THENCE North 47 degrees 21 minutes 21 seconds West, 219.32 feet to a point for
corner
THENCE North 38 degrees 44 minutes 31 seconds West, 420 12 feet to a point for
corner
THENCE North 30 degrees 58 minutes 26 seconds West, 394 46 feet to a point for
corner
THENCE North 25 degrees 07 minutes 55 seconds West, 264 O1 feet to a point for
corner
THENCE South 89 degrees 59 minutes 15 seconds West, 137.38 feet to the POINT OF
BEGINNING and containing 237,889 square feet or 5 461 acres of land.
Agreement Concerning Creation and Operation
780084_3 Page 27
Exhibit D
STATE OF TEXAS
COUNTY OF TARRANT
NOTICE CONCERNING ANNEXATION AND SERVICES
The real property described in Exhibit A attached hereto and incorporated herein
is located in City of Fort Worth Mumcipal Utility Distract No 2 of Tarrant County which
may subsequently be known as Haywire Ranch Municipal Utility District No 1 of
Tarrant County (the `District"). The District is located wholly within the extraterritorial
jurisdiction of the City of Fort Worth. The City does not impose property taxes within
the District and is not required by state law to provide police protection, fire protection,
road maintenance. or -any other municipal services to the District.
The City of Fort Worth may annex the District for full purposes upon the earliest
to occur of:
(1) Dissolution of the District; or
(2) , 2021
For additional information concerning potential annexation of the District, contact
the City of Fort Worth Development Director
CITY OF FORT WORTH MUNICPAL UTILITY
DISTRICT NO 2 OF TARR.ANT COUNTY
By
Name printed.
Title.
Agreement Concerning Creation and Operation
780084_3 Page 28
STATE OF TEXAS §
COUNTY OF §
This instrument was acknowledged before me, on the _ day of ,
200_, by President, Board of Directors of
, on behalf of said district.
Notary Public, State of Texas
[SEAL] Punted Name•
My Commission Expires._
After recording, return to
Development Director
City of Fort Worth
1000 Throckmorton
Fort Worth, TX. 76102
Agreement Concerning Creation and Operation
780084 3 Page 29
Exhibit A
Tract One
BEING a 259 098 acre tract of land located in Tarrant County Texas, a part of the J T
Allen Survey Abstract No 67 apart of the C.E.P.I. & M. Company Survey Abstract
No 382, a part of the S.B Hopkins Survey Abstract No 672, a part of C.E. Newman
Survey Abstract No. 1183 apart of the F Schoeverling Survey Abstract No 1398, a
part of the T & N O R.R. Company Survey Abstract No 1566 apart of the W K.
Gandy Survey Abstract No 1890, and being a part of that 738.20 acre tract of land
described in deed filed on 18 January 8 2004 in Document D2004008 174 of the Tarrant
County Deed Records, and being further described as follows
BEGINNING at the southwest corner of said 738.20 acre tract of land, said point being in
the center of White Settlement Road (County Road 22 No 1007)•
THENCE North 00 degrees 31 mmutes 00 seconds East, 4694 71 feet along the west line
of said 738.20 acre tract of land to a point for corner
THENCE South 89 degrees 29 minutes 00 seconds East, 137.38 feet to a point for corner
THENCE South 24 degrees 36 minutes 10 seconds East, 264 O1 feet to a point for corner
THENCE South 30 degrees 26 mmutes 41 seconds East, 394 46 feet to a point for corner
THENCE South 38 degrees 12 minutes 46 seconds East, 420 12 feet to a point for corner
THENCE South 46 degrees 49 mmutes 36 seconds East, 219.32 feet to a point for corner
THENCE South 38 degrees 40 rmnutes 56 seconds East, 504 19 feet to a point for corner
THENCE North 55 degrees 00 minutes 00 seconds East, 250 00 feet to a point for comer
in the east line of said 738.20 acre tract of land,
THENCE along the east line of said 738.20 acre tract of land as follows.
South 89 degrees 34 minutes 00 seconds East, 1850 60 feet to a point for corner
South degrees 03 mmutes 00 seconds West, 3059 10 feet to a point for corner
North 89 degrees 48 minutes 00 seconds West, 2036 40 feet to a point for corner
South 00 degrees 08 minutes 00 seconds West, 638 10 feet to the southeast corner
of said
738.20 acre tract of land, said point being in the center of White
Settlement Road,
Agreement Concerning Creation and Operation
780084 3 Page 30
THENCE North 75 degrees 28 minutes 00 seconds West, 1280.20 feet along the south
line of said 738.20 acre tract of land and along the center of White Settlement Road to the
POINT OF BEGINNING and contaimng 11,286,297 square feet or 259 098 acres of land.
Tract Two
BEING all that tract of land in Tarrant County Texas, being a portion of the C.E.
NEWMAN SURVEY ABSTRACT No 1183 the W.K. GANDY SURVEY Abstract
No 1890 and being a portion of the 738.20 acre Tract of land conveyed to OBIE P
LEONARD JR., R.W LEONARD MARGERY ANN HODGES, and MARTHA JANE
ANTHONY by the deed recorded in Volume 4897 Page 227 of the Deed Records of
Tarrant County Texas, and being further described as follows.
COMMENCING at a P.K. nail found at the Southwest corner of the aforesaid 738.20
acre Tract of land said point lying in the approximate center line of White Settlement
Road, and also being the Southeast corner of the Tract of land conveyed to J.J
DEARING AND BETSY JO DEARING BROWDER by the deed recorded in Volume
8317 Page 475 of the Deed Records of Tarrant County Texas, and ROBERT DEARING
BROWDER by the deed recorded in Volume 14336, Page 556 of the Deed Records of
Tarrant County Texas;
THENCE North 00 degrees 00 minutes 45 seconds West, at 25 00 feet, passing afive-
eighths inch iron rod found in the North right-of way line of White Settlement Road, in
all a total of 4694 71 feet, along the West boundary line of said 738.20 acre Tract of land
and the East boundary line of the aforesaid J.J DEARING, BETSY JO DEARING and
ROBERT DEARING BROWDER TRACT to a point for corner and the POINT OF
BEGINNING of this tract of land,
THENCE North 00 degrees 00 minutes 45 seconds West, 8.35 feet along the West
boundary line of said 738.20 acre Tract of land and the East boundary line of the
aforesaid J.J DEARING BETSY JO DEARING and ROBERT DEARING BROWDER
TRACT to a one-half inch iron rod found for corner
THENCE North 89 degrees 59 minutes 15 seconds East, 163.32 feet, departing the West
boundary line of said 738.20 acre Tract to a one-half inch iron rod found for corner
THENCE North 69 degrees 31 minutes 20 seconds East, 120 00 feet to a one-half inch
iron rod found for corner lying in a curve to the left;
THENCE Southeasterly 733 50 feet, along said curve to the left having a radius of
2230 00 feet, center angle of 18 degrees 50 minutes 45 seconds, chord bearing South 29
degrees 54 minutes 03 seconds East, 730 19 feet to a one-half inch iron rod found at the
end of said curve;
THENCE South 39 degrees 19 minutes 25 seconds East, 1034 09 feet to a one-half inch
iron rod found for corner
Agreement Concerning Creation and Operation
780084_3 Page 31
THENCE South 50 degrees 40 minutes 35 seconds West, 116 03 feet to a point for
corner
THENCE North 39 degrees 12 nunutes 41 seconds West, 519 67 feet to a point for
corner
THENCE North 47 degrees 21 minutes 21 seconds West, 219.32 feet to a point for
corner
THENCE North 38 degrees 44 mmutes 31 seconds West, 420 12 feet to a point for
corner
THENCE North 30 degrees 58 minutes 26 seconds West, 394 46 feet to a point for
corner
THENCE North 25 degrees 07 minutes 55 seconds West, 264 O1 feet to a point for
corner
THENCE South 89 degrees 59 minutes 15 seconds West, 137.38 feet to the POINT OF
BEGINNING and containing 237,889 square feet or 5 461 acres of land.
Agreement Concerning Creation and Operation
780084_3 Page 32
Exhibit E
ASSIGNMENT AND ASSUMPTION AGREEMENT
THIS ASSIGNMENT AND ASSUMPTION AGREEMENT ("Assignment") is
made and entered into as of the day of ,between
a ("Assignor"),
and
a
("Assignee") (Assignor and Assignee are hereinafter sometimes collectively referred to
as the `Parties" and singularly as a `Party").
RECITALS.
A. Assignor is the owner of the rights of the Owner under that certain
Agreement Concerning Creation and Operation of City of Fort Worth Mumcipal Utility
District No 2 of Tarrant County" (City Secretary Contract No M & C
_~ (the Agreement"), among WJ Haywire I LP a Texas lunrted partnership, as
`Owner" the City of Fort Worth, Texas, and the City of Fort Worth Mumcipal Utility
District No 2 of Tarrant County relating to the creation and operation of the District, to
the extent that the Agreement covers, affects, and relates to the lands described on
Exhibit A attached to and made a part hereof of this Assignment for all purposes (the
`Transferred Premises").
B Assignor desires to assign certain of its rights under the Agreement as rt
relates to the Transferred Premises to Assignee, and Assignee desires to acquire such
rights, on and subject to, the terms and conditions of this Assignment.
NOW THEREFORE, in consideration of the premises, the mutual covenants and
obligations set forth herein, and other good and valuable consideration, the receipt and
legal sufficiency of which are hereby acknowledged, the Parties hereby agree and act as
follows.
1 Certain Defined Terms. Unless indicated otherwise herein, capitalized
terms in this Assignment shall have the same respective meanings as are ascribed to them
in the Agreement.
2 Assignment. Subject to all of the terms and conditions of this Assignment,
Assignor hereby assigns all [or describe specifically assigned rights if partial] of its
rights under the Agreement, insofar as the Agreement covers, affects, and relates to the
Transferred Premises.
3 Assumption. Assignee hereby assumes all obligations of Assignor and
any liability that may result from acts or omissions by Assignee under the Agreement as
it relates to the Transferred Premises that may arise or accrue from and after the effective
date of this Assignment. This Assignment does not release Assignor from any liability
Agreement Concerning Creation and Operation
780084_3 Page 33
that resulted from an act or omission by Assignor that occurred prior to the effective date
of this Assignment unless the City approves the release m writing.
4 Governing Law THIS ASSIGNMENT MUST BE CONSTRUED AND
ENFORCED IN ACCORDANCE WITH THE LAWS OF THE STATE OF TEXAS, AS THEY APPLY
TO CONTRACTS PERFORMED WITHIN THE STATE OF TEXAS AND WITHOUT REGARD TO
ANY CHOICE OF LAW RULES OR PRINCIPLES TO THE CONTRARY
5 Counterpart/Facsimile Execution. This Assignment has been prepared in
multiple counterparts, each of which shall constitute an origmal hereof, and the execution
of any one of such counterparts by any signatory shall have the same force and effect and
shall be binding upon such signatory to the same extent as if the same counterpart were
executed by all of the signatories. Facsimile copies of signatures may be appended
hereto with the same force and effect as legally delivered original signatures.
6 Notice to Crtv A copy of this Assignment shall be provided to the City
within fifteen (15) days after execution.
7 Binding Effect. This Assignment shall be binding upon and shall inure to
the benefit of Assignor and Assignees and .their respective heirs, personal representatives,
successors, and assigns.
EXECUTED as of the day and year first above written.
ASSIGNOR.
By•
Panted name:
Title:
ASSIGNEE.
By•
Printed name•
Title•
Agreement Concerning Creation and Operation
780084_3 Page 34
STATE OF TEXAS §
COUNTY OF §
SWORN TO AND SUBSCRIBED before me on the
200_, by
day of
Notary Public, State of Texas
STATE OF TEXAS §
COUNTY OF §
SWORN TO AND SUBSCRIBED before me on the
200_, by
day of
Notary Public, State of Texas
[Add Acknowledgments]
Agreement Concerning Creation and Operation
780084 3 Page 35
Exhibit A
(The Transferred Premises)
Page 1 of 2
City of Fort Worth, Texas
SUBJECT
Authorize Execution of the Consent Resolution and Agreement, Development Agreement and Utility
Agreement, and to Bring Forth a Strategic Partnership Agreement after the Formation of the District
for the First Phase of the Haywire Municipal Utility District Located in Tarrant County Texas
RECOMMENDATION
It is recommended that the City Council the following agreements
1 Authorize the City Manager or a designee to execute a Consent Resolution for Municipal Utility District
No 2 of Tarrant County ("Haywire Ranch')
2 Authorize the City Manager or a designee to execute a Consent Agreement for Municipal Utility District
No 2 of Tarrant County ("Haywire Ranch')
3 Authorize the City Manager or a designee to execute a Development Agreement between the City and
Wynne/Jackson
4 Authorize the City Manager or a designee to execute a Utility Agreement between the City and
Wynne/Jackson and
5 Authorize the City Manager to bring forth the Strategic Partnership Agreement for approval after the
formation of the Municipal Utility District.
DISCUSSION
Wynne/Jackson Inc is acquiring and intends to develop approximately 1 403 acres in Tarrant County in
Fort Worths Extraterritorial Jurisdiction as a primarily residential development to be known as 'Haywire
Ranch Wynne/Jackson intends to develop the southernmost 265 acres as the first phase (the
~~
Development) and has requested that the City Council consent to creation of a Municipal Utility District
(MUD) over the Development. On May 3 2005 (Resolution No 3197-05-2005) was approved by the City
Council to provide consent conditioned on the successful negotiation of appropriate agreements
The documents listed above are available for public inspection and copying in the City Secretary's Office
and can be summarized as follows.
The Consent Resolution authorizes the Developer to hold a confirmation election and form the District. In
addition it grants road powers and establishes the criteria for bond issuances. This Consent Agreement
outlines the terms and requires the Developer to construct infrastructure to City standards with City
inspections.
The Development Agreement provides for the enforcement of municipal building codes and establishes
land use and development regulations for the Development. This requires the Developer to comply with
rules as if they were developing in the City of Fort Worth including but not limited to zoning building
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Page 2 of 2
parkland dedication/development fees and stormwater management. This agreement requires the
installation of turn lanes along White Settlement Road and ultimately a traffic signal when warranted It also
lays the groundwork for future phases of this development when capacity of White Settlement Road will
have to be addressed
The Utility Agreement establishes that the City of Fort Worth will be the retail water and sewer service
provider and will take ownership and maintenance responsibilities for the infrastructure immediately upon
construction The Development is within the existing water CCN service area In return the customers will
pay out-of-City rates. The Developer has also agreed to fund $765 000 in upsizing of the water and sewer
systems to correlate with the City's Water Master Plan and to pay up to $30 000 for pro rata participation in
the land acquisition for a Westside Water Treatment Plant. Finally the Developer has agreed to the
imposition of a $200 tap fee surcharge per connection to further reimburse the oversizing costs at an
anticipated amount of $160 000
The Strategic Partnership Agreement (SPA) Following the District confirmation election the SPA will be
submitted to the City Council for consideration and two public hearings. The agreement is presented at this
time to confirm that the City will agree to delay annexation of this area the dissolution of the district; or
termination of the development agreement. This does not obligate the City to annex at that time however it
lays the groundwork for the process as a voluntary annexation when deemed desirable by the City
The SPA, however does allow annexations for the following two purposes The City retains the ability to
annex limited tracts to facilitate the connection to areas outside of the district. The City may also initiate
limited-purpose annexation of approximately eight acres within the Development designated for commercial
development to impose sales and use tax. The agreement provides that the City and the District will divide
the sales tax proceeds equally for the first 19 years after annexation The City's share will increase to 75%
in year 19
City staff recommends approval of this MUD because the Developer has agreed to provide financial support
to the Water master plan and the quality of the development is expected to spur positive development in the
area that will benefit the City of Fort Worth
FISCAL INFORMATION/CERTIFICATION
The Finance Director certifies that approval of this Agreement will not require the expenditure of City funds.
TO Fund/AccountlCenters FROM Fund/Account/Centers
Submitted for City Manager's Office b~ Dale Fisseler (6266)
Originating Department Head. Bob Riley (8901)
Additional Information Contact: Susan Alanis (8180)
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