HomeMy WebLinkAboutContract 52162 FORT WORTH . , CONTR CONTRACT N0CTNO.
April 3,2019
Pulte Homes of Texas,L.P'
Attn: Scott Williams,Vice President and
Deputy General Counsel
9111 Cypress Waters, Suite 100
Coppell,Texas 75019
Via email: Scott.Williams@PulteGroup.com
RE: Compromise Settlement Letter Agreement ("Agreement") Regarding City of Fort Worth Anti-
Monotony Ordinance No.23430-09-2018
Dear Mr. Williams:
On December 12,2018,the City of Fort Worth("City")received a letter from Pulte Homes of Texas,L.P.
("Pulte") concerning the applicability of the City's Anti-Monotony Ordinance No. 23430-09-2018 ("Ordinance")
to its current development projects within the City, which include the following: (i) Lakepoint(The Parks at Boat
Club) - Phase 4A; (ii) Willow Ridge - Phases 4 and 6(a) and (b); (iii) Fossil Creek - Phase 2; and (iv) Elizabeth
Creek at Alpha Ranch(collectively referred to as the"Projects").
The Ordinance,which became effective on October 3,2018,was adopted by the City Council to strengthen
the City's existing one-family dwelling unit design standards to prevent against the deleterious effects of monotony
and to protect the future viability of residential properties and neighborhoods. Specifically,the City Council found
that monotony in one-family dwelling unit design negatively affects the City's property tax base,health and safety,
and general welfare.
Pulte asserts that the Ordinance should not be applied to the Projects pursuant to Section 211.016 and
Chapter 245 of the Texas Local Government Code("LGC")and common law concerning aesthetic zoning.
Section 211.016 of the LGC restricts the City from applying the Ordinance to residential subdivisions where
the associated plat has been approved prior to the effective date of the Ordinance until the second year after the the
later of. (i)the date the plat was approved; or(ii)the date the City accepts the subdivision improvements offered
for public dedication. The City and Pulte disagree as to whether the two-year period in Section 211.016 applies to
the preliminary or final plat approval. While the City contends that the final plat is determinative,Pulte asserts that
the preliminary plat is controlling.
Additionally,the City and Pulte disagree as to the legal effect of Chapter 245 of the LGC and common law
authority on the Ordinance.
f.
CITY MANAGER'S OFFICE ilfilry "Rf`TARY
P D�FO G�e,�P�, THE CITY OF FORT WORTH *1000 THROCKMORTON STREET*FORT WORTH,TEXAS 7 10
G�G��1s�` 817-392-6111 *FAX 817-392-6134T. ®RT�D TX
Mr.Scott Williams
April 3,2019
Page 2 of 11
Of the four(4)Projects,Pulte represents that the individual phases for the following three(3)Projects have
all been built out beyond 50% of their total lots: (i) Lakepoint (The Parks at Boat Club) - Phase 4A; (ii) Willow
Ridge -Phases 4 and 6(a)and(b); and(iii)Fossil Creek-Phase 2. Pulte contends that applying the Ordinance,at
this point in each phase's development, would violate Pulte's rights under the LGC and common law and would
increase the cost to design and construct homes,potentially delay Pulte in commencing home sales,and negatively
impact the aesthetic continuity of each of the neighborhoods within these phases. With regard to its fourth Project,
Elizabeth Creek at Alpha Ranch, due to its earlier stage of development, Pulte will be less likely to be delayed in
commencing home sales due to the application of the Ordinance.
Because the City and Pulte have a bona fide disagreement concerning the applicability of the Ordinance to
Pulte's Projects and because the City and Pulte desire to avoid the hazard,inconvenience,uncertainty,and expense
of litigation, based on the foregoing paragraphs and the agreements and promises made herein,the City and Pulte
agree to compromise and settle the matter as follows:
1. Due to the current build out and potential negative impact on the three(3)Projects set forth below,
each of three (3) listed Projects in this section will be subject to and governed by the City's prior Anti-Monotony
Ordinance No. 16925-05-2006,as amended("Prior Ordinance").
a. Lakepoint-Phase 4A,The Parks at Boat Club(reference numbers PP-05-068 and FP-17-044),
which is depicted in more detail in the attached Exhibit A and incorporated herein for all
purposes.
b. Willow Ridge. Each of the three phases below are highlighted and depicted in more detail in
Exhibit B,which is attached hereto and incorporated herein for all purposes.
i. Phase 4(reference numbers PP-013-049/FP-16-130)
ii. Phase 6(a)(reference numbers PP-017-023/FP-17-023)
iii. Phase 6(b)(reference numbers PP-017-023/FP 17-117)
c. Fossil Creek—Phase 2 (reference case numbers PP-16-048/FP-17-034), which is depicted in
more detail in the attached Exhibit C and incorporated herein for all purposes.
2. Pulte also owns certain developed residential subdivision lots throughout the City and is currently
building homes within other developed residential subdivisions, which are the subject of final plats that were
approved and recorded prior to the October 3,2018. Pulte agrees the three(3)Projects set forth above in Section 1
and the projects referenced immediately above in this Section 2 constitute the full, accurate, and complete list of
residential subdivision projects that will be subject to the Prior Ordinance.
3. Due to its earlier stage of development and for purposes of reaching this compromise and
settlement, Pulte agrees that Elizabeth Creek at Alpha Ranch(reference case numbers PP-17-060/FP-18-143)will
be subject to and governed by the Ordinance. A preliminary plat detailing the Elizabeth Creek at Alpha Ranch
project is attached hereto as Exhibit D and incorporated herein for all purposes.
4. Any and all of Pulte's residential subdivision projects within the City,existing now or in the future,
that are not specifically listed or referenced in this Agreement are subject to and will be governed by the Ordinance.
This provision is intended to apply to Pulte and its successors and any affiliated entities.
Mr.Scott Williams
April 3,2019
Page 3 of 11
5. If any action, whether real or asserted, at law or in equity, arises on the basis of any provision of
this Agreement,venue for such action shall lie in state courts located in Tarrant County,Texas or the United States
District Court for the Northern District of Texas—Fort Worth Division. This Agreement, including all exhibits,
shall be construed in accordance with the laws of the State of Texas.
6. The Parties hereto will not assign or transfer their interests and obligations set forth in this
Agreement without the prior written consent of the other parties,and any attempted assignment or transfer of all or
any part hereof without such prior written consent will be void.
7. The Parties represent that they have consulted, or had the opportunity to consult, an attorney to
seek legal counsel regarding the contents and effects of this Agreement. The Parties further represent that they have
been informed of the content and effect of this instrument and that the instrument is executed as their act and deed
and of their own free will.
8. In the event that any provision of this Agreement is held void, voidable, or unenforceable, the
remaining portions shall remain in full force and effect.
9. This Agreement may be executed in multiple counterparts, each of which will be deemed as
original, but which together will constitute one and same instrument. A signature received via facsimile or
electronically via e-mail shall be as legally binding for all purposes as an original signature.
10. It is understood that by execution of this Agreement,the City does not waive or surrender any of
its governmental powers or immunities. It is further understood and expressly agreed that nothing contained within
this Agreement will be construed as an admission of any liability whatsoever on the part of the City. The parties
acknowledge and agree that this Agreement is made in compromise and settlement of a disputed claim.
11. This instrument contains the entire agreement between the parties as to the matters contained herein
and the terms of this instrument are contractual and not merely recitals. There are no other agreements, either
written or oral, and this Agreement supersedes all earlier representations, negotiations, or agreements about this
matter.
Please execute three(3)copies of this Agreement and send them to Dana Burghdoff for routing through the
City.
Very truly yours,
Mr_Scott Williams
April 3,2019
Page 4 of I I
CITY OF FORT WORTH
By:_
Jay Chapa
Assistant City Manager
Date:_
By signing below, you represent to the City of Fort Worth that you have the right to enter into this Agreement on
behalf of Pulte and to bind Pulte to the terms fherein.
Received, Acknowledged and Agreed this y"` day of I' , 2019.
PULTE HOMES OF TEXAS, L.P, �—
a Texas Limited Partnership
by: PULTE NEVADA I, LLC,
a De ware limited liability company and
its neral Partner
6
B y.
Scott Williams
Vice President and
Deputy General Counsel
APPROVED AS TO FOIE LEGALITY:
Tyler F. W ach
Assistant 1 orney -�
ATTEST: 0� V:O R 7Al
YW
;= r:
Mary Kayser yrr
City Secretary
OFFICIAL RECUR
CITY SECRETARY
FT. WORTH,TX .
Mr.Scott Williams
April 3,2019
Page 5 of 11
EXHIBIT A
Lakepoint Phase 4A,The Parks at Boat Club
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Mr.Scott Williams
April 3,2019
Page 9 of 11
EXHIBIT C
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Mr.Scott Williams
April 3,2019
Page 11 of 11
EXHIBIT D
_ Elizabeth Creek at Alpha Ranch
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