HomeMy WebLinkAboutContract 41746 (2)CITY SECRETARY
CONTRACT NO.
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ECONOMIC DEVELOPMENT PROGRAM AGREEMENT
This ECONOMIC DEVELOPMENT PROGRAM AGREEMENT
("Agreement") is entered into by and between the CITY OF FORT WORTH, TEXAS
(the "City"), a home rule municipality organized under the laws of the State of Texas, and
TTI, Inc. ("TTI"), a Delaware corporation.
RECITALS
The City and TTI hereby agree that the following statements are true and correct
and constitute the basis upon which the City and TTI have entered into this Agreement:
A. As recommended by the 2010 Comprehensive Plan, adopted by the City
Council pursuant to Ordinance No. 19044-02-2010 (the "Comprehensive Plan"), and in
accordance with Resolution No. 3 716-03 -2009, adopted by the City Council on March 10,
2009, the City has established an economic development program pursuant to which the
City will, on a case -by -case basis, offer economic incentives authorized by Chapter 380 of
the Texas Local Government Code that include monetary loans and grants of public
money, as well as the provision of personnel and services of the City, to businesses and
entities that the City Council determines will promote state or local economic development
and stimulate business and commercial activity in the City in return for verifiable
commitments from such businesses or entities to cause specific employment and other
public benefits to be made or invested in the City (the "380 Program").
B. TTI owns property and improvements at 2441 Northeast Parkway (the
"Site"), which is located in the City. TTI is a leading authorized distributor of passive,
connector, electromechanical and discrete components for industrial, military, aerospace
and consumer electronic manufacturers worldwide. TTI uses the Site as its corporate
headquarters and currently provides four hundred thirty (430) jobs at the Site.
C. Due to infrastructure shortcomings in the vicinity of the Site and for other
reasons, TTI has considered the relocation of its corporate headquarters to a site outside of
the City. In return for TTI's commitment to continue to use the Site as its Corporate
Headquarters (as defined in Section 2 hereof) and to continue providing a minimum
number of Full-time Jobs (as defined in Section 2 hereof) at the Site, and in return for
TTI's commitment to make certain infrastructure improvements in the vicinity of the Site,
the City is willing to pay TTI certain economic development grants pursuant to the 380
Program.
D. The City Council has determined that by entering into this Agreement, the
potential economic benefits that will accrue to the City under the terms and conditions of
this Agreement are consistent with the City's economic development objectives and will
further the goals espoused by the Comprehensive Plan for continued economic strength
Page I.
Economic Development Program. Agreement
between City of Fort Worth and TTI, Inc.
Page 1 of l
Vaky, Peter
From: Vaky, Peter
Sent: Thursday, March 10, 2011 2:30 PM
To: Alvarado, Ana
Cc: Sturns, Robert
Subject: TTI
Ana:
I've received the signed TTI 380. Unfortunately, I can't finish routing because we agreed to revise the Completion
Deadline from May 31, 2012 (which is what was approved in the M&C) to March 31, 2012 The extension was to
be addressed in the M&C authorizing the CFA/Tri-Party/Whatever Agreement for governing construction of
Northeast Parkway. However, Development and/or TPW have not settled on what type of agreement they want,
so there's no M&C yet. I will hold at my desk until this issue is resolved.
Peter
3/10/2011
and employment in the City. This Agreement is authorized by Chapter 380 of the Texas
Local Government Code.
NOW, THEREFORE, in consideration of the mutual benefits and promises
contained herein and for other good and valuable consideration, the receipt and sufficiency
of which is hereby acknowledged, the parties agree as follows:
AGREEMENT
1. INCORPORATION OF RECITALS.
The City Council has found, and the City and TTI hereby agree, that the recitals set
forth above are true and correct and form the basis upon which the parties have entered
into this Agreement
2. DEFINITIONS.
In addition to terms defined in the body of this Agreement, the following terms
shall have the definitions ascribed to them as follows:
380 Program has the meaning ascribed to it in Recital A.
Affiliate means all entities, incorporated or otherwise, under common control with,
controlled by or controlling TTI. For purposes of this definition, "control" means fifty
percent (50%) or more of the ownership determined by either value or vote.
Completion Date means the date as of which the Road Project has been accepted by
the City in accordance with the Road Project Agreement.
Completion Deadline means May 31, 2012.
Comprehensive Plan has the meaning ascribed to it in Recital A.
Corporate Headquarters means TTI's primary administrative office at which the
Chief Executive Officer, Chief Financial Officer, and other senior staff overseeing TTI's
strategic planning, corporate communications, tax and legal, marketing, finance, human
resources and information technology matters are located.
Economic Development Director means the director of the City's Housing and
Economic Development Department or his or her authorized representative.
Effective Date has the meaning ascribed to it in Section 3
Page 2
Economic Development Program Agreement
between City of Fort Worth and VI I, Inc.
Employment Commitment has the meaning ascribed to it in Section 4.3.
Full-time Job means a job provided to an individual by TTI at the Site for at least
forty (40) hours per week.
Program Cap means a gross amount equal to the lesser of (i) the Road Project
Costs or (ii) Eight Hundred Thousand Dollars ($800,000.00), as specifically determined
and stated in the Program Cap Certificate issued in accordance with Section 5.1.
Program Cap Certificate has the meaning ascribed to it in Section 5.1.
Program Grants means the annual economic development grants paid by the City
to TTI in accordance with this Agreement and as part of the 380 Program.
Records has the meaning ascribed to it in Section 4 4.
Road Proiect Agreement means a separate written agreement executed by both
the City and TTI for the Road Project, which Road Project Agreement is incorporated
herein by reference for all purposes.
Road Proiect means the design and reconstruction of Northeast Parkway from its
intersection at Mark IV Parkway to a point approximately 1,000 feet north of such
intersection, as more specifically described and depicted in Exhibit "A", attached hereto
and hereby made a part of this Agreement for all purposes.
Road Proiect Costs means those sums expended by TTI pursuant to and in
accordance with the Road Project Agreement for the Road Project, as evidenced in a
written statement provided by the T/PW Director to the Economic Development Director
in accordance with Section 5.1.
Term has the meaning ascribed to it in Section 3.
T/PW Director means the director of the City's Transportation/Public Works
Department or his or her authorized representative.
3. TERM.
This Agreement shall be effective as of the date of execution by both parties (the
"Effective Date") and, unless terminated earlier in accordance with this Agreement, shall
expire on the the date as of which the City has paid all Program Grants required hereunder
(the "Term")
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Economic Development Program Agreement
between City of Fort Worth and TTI, Inc
4. TTI OBLIGATIONS.
4.1. Road Pro iect.
TTI shall undertake and complete the Road Project pursuant to and in
accordance with the Road Project Agreement. The Road Project Agreement shall
require TTI to pay all costs of the Road Project. The Road Project must be
completed in accordance with the Road Project Agreement by not later than the
Completion Deadline.
4.2. Operation of Corporate Headquarters from Site.
TTI shall continually use the Site as its Corporate Headquarters throughout
the Term of this Agreement If the City determines at any time that the Site is not
being used by TTI as its Corporate Headquarters, the City will provide written
notice to TTI stating this fact as well as the dates that the City alleges that TTI did
not use the Site as its Corporate Headquarters. TTI shall have thirty (30) calendar
days from receipt of such notice to provide sufficient evidence to the City that the
Site has been continually used by TTI as its Corporate Headquarters If TTI fails to
provide such evidence to the City, TTI shall be deemed to have not used the Site as
its Corporate Headquarters during the time period asserted by the City. Failure by
TTI to use the Site as its Corporate Headquarters at any time during a year of the
Term of this Agreement shall not constitute an event of default hereunder, but shall
cause the amount of any Program Grant payable in the following year to be reduced
to zero (0), as more specifically set forth in Section 5.2.1.
4.3. Employment Commitment: Annual Report.
TTI shall provide and fill at least four hundred thirty (430) Full-time Jobs
on the Site throughout the Term of this Agreement (the ` Employment
Commitment"). Determination of compliance with the Employment Commitment
shall be based on TTI's employment data as of December 1 (or such other date as
may mutually be acceptable to both the City and TTI) of each year, beginning with
the year in which the Completion Date occurs. On or before February 1 of the year
following the year in which the Completion Date occurs and of each year
thereafter, TTI shall provide the Economic Development Director with a report in a
form reasonably acceptable to the Economic Development Director that sets forth
the total number of Full-time Jobs provided and filled on the Site as of December 1
(or such other date requested by TTI and reasonably acceptable to the City) of the
previous year, together with reasonable supporting documentation Failure of TTI
to meet the Employment Commitment during any year of the Term of this
Agreement shall not constitute an event of default hereunder, but shall cause the
amount of any Program Grant payable in the following year to be reduced to zero
(0), as more specifically set forth in Section 5 2 1
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Economic Development Program Agreement
between City of Fort Worth and 1 1I, Inc.
4.4. Audits.
Upon reasonable advance notice to TTI, the City will have the right
throughout the Term to audit, during TTI's normal business hours, the financial and
business records of TTI that are reasonably necessary to evaluate TTI' s compliance
with this Agreement (the "Records"). TTI shall make all Records available to the
City at the Site or at another location in the City acceptable to both parties
following reasonable advance notice by the City and shall otherwise cooperate fully
with the City during any audit.
5. CITY OBLIGATIONS.
5.1. Determination of Program Cap.
Within sixty (60) calendar days following the Completion Date and receipt
from the T/PW Director of a written statement of TTI's total Road Project Costs,
the Economic Development Director will issue TTI a certificate stating the actual
amount of the Project Cap under this Agreement (the "Program Cap
Certificate").
5.2. Program Grants.
5.2.1. Amount; Deadline for Payment.
Provided that the Completion Date occurred on or before the
Completion Deadline, and subject to all other terms and conditions of this
Agreement, TTI will be entitled to receive from the City five (5)
consecutive annual Program Grants Each Program Grant will be paid to
TTI by June 1 of each calendar year, beginning with the first full calendar
year following the year in which the Completion Date occurs. The amount
of each Program Grant shall equal twenty percent (20%) of the Program
Cap; provided, however, that if TTI (i) failed to use the Site as its Corporate
Headquarters at any time during the previous calendar year, as determined
in accordance with Section 4 2, or (ii) failed to meet the Employment
Commitment at any time during the previous calendar year, the amount of
the Program Grant payable in the following year shall equal zero (0), in
which case the City shall be deemed to have paid a Program Grant in such
year for purposes of this Agreement.
5.2.2. Source of Funds; Program Grants Subject to Appropriation.
Notwithstanding anything to the contrary herein TTI understands
and agrees that the source of funding for payment of all Program Grants
hereunder shall come solely from the City's Street Maintenance Fund, and
funding for each Program Grant payable hereunder must specifically be
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Economic Development Program Agreement
between City of Fort Worth and TTI, Inc
appropriated annually by the City Council as part of the ordinance adopting
the City's budget for the City fiscal year in which the Program Grant is due.
The City staff will recommend that the City Council appropriate sufficient
funding for payment of all Program Grants hereunder. However, TTI
understands and acknowledges that this Agreement does not bind the City
Council to accept such recommendation or to otherwise appropriate funds
in any given annual budget for payment of any Program Grants hereunder.
In the event that the City Council fails to appropriate, as part of the
ordinance adopting the City's budget for a given City fiscal year, one
hundred percent (100%) of the funds necessary to pay a Program Grant due
in that fiscal year, the amount of the Program Grant that the City is
obligated to pay in that fiscal year shall be reduced to the amount of funds
appropriated by the City Council.
6. DEFAULT.
6.1. Failure to Complete Road Proiect.
If the Road Project is not completed in accordance with the Road Project
Agreement by the Completion Deadline, the City will have the right to terminate
this Agreement by providing written notice to TTI without further obligation to TTI
hereunder If the Road Project Agreement is lawfully terminated in accordance
with its provisions, this Agreement shall terminate contemporaneously on the
effective date of the Road Project Agreement's termination without notice or
further obligation by the City.
6.2. Failure to Pav City Taxes.
An event of default shall occur under this Agreement if any City taxes owed
by TTI or an Affiliate on account of the Site or arising on account of TTI's or an
Affiliate's operations on the Site become delinquent and TTI or the Affiliate does
not either pay such taxes or properly follow the legal procedures for protest and/or
contest of any such taxes In this event, the City shall notify TTI in writing and
TTI shall have thirty (30) calendar days to cure such default. If the default has not
been fully cured by such time, the City shall have the right to terminate this
Agreement immediately by providing written notice to TTI and shall have all other
rights and remedies that may be available to it under the law or in equity.
6.3. Material Violations of City Code. State or Federal Law.
An event of default shall occur under this Agreement if any written citation
is issued to TTI or an Affiliate due to the occurrence of a violation of a material
provision of the City Code on the Site or on or within any improvements thereon
(including, without limitation any violation of the City's Building or Fire Codes
and any other City Code violations related to the environmental condition of the
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Economic Development Program Agreement
between City of Fort Worth and TTI, Inc
Site; the environmental condition other land or waters which is attributable to
operations on the Site, or to matters concerning the public health, safety or welfare)
and such citation is not paid or the recipient of such citation does not properly
follow the legal procedures for protest and/or contest of any such citation. An
event of default shall occur under this Agreement if the City is notified by a
governmental agency or unit with appropriate jurisdiction that (i) TTI or an
Affiliate, or any successor in interest thereto, (ii) any third party with access to the
Site pursuant to the express or implied permission of TTI or an Affiliate, or any
successor in interest thereto, or (iii) the City is deemed to be in violation of any
material state or federal law, rule or regulation on account of the Site,
improvements on the Site or any operations thereon (including, without limitation,
any violations related to the environmental condition of the Site; the environmental
condition of other land or waters which is attributable to operations on the Site; or
to matters concerning the public health, safety or welfare). Upon the occurrence of
such default, the City shall notify TTI in writing, and TTI shall have (i) thirty (30)
calendar days to cure such default or (ii) if TTI has diligently pursued cure of the
default but such default is not reasonably curable within thirty (30) calendar days,
then such amount of time that the City reasonably agrees is necessary to cure such
default. If the default has not been fully cured by such time, the City shall have the
right to terminate this Agreement immediately by providing written notice to TTI
and shall have all other rights and remedies that may be available to under the law
or in equity.
6.4. Knowing Employment of Undocumented Workers.
TTI acknowledges that effective September 1, 2007, the City is required to
comply with Chapter 2264 of the Texas Government Code, enacted by House Bill
1196 (80th Texas Legislature), which relates to restrictions on the use of certain
public subsidies. TTI hereby certifies that TTI, and any branches, divisions, or
departments of TTI, does not and will not knowingly employ an undocumented
worker, as that term is defined by Section 2264.001(4) of the Texas Government
Code. In the event that TTI, or any branch, division, or department of TTI, is
convicted of a violation under 8 U.S.C. Section 1324a0) (relating to federal
criminal penalties and injunctions for a pattern or practice of employing
unauthorized aliens):
• if such conviction occurs during the Term of this Agreement, this
Agreement shall terminate contemporaneously upon such conviction
(subject to any appellate rights that may lawfully be available to and
exercised by TTI) and TTI shall repay, within one hundred twenty (120)
calendar days following receipt of written demand from the City, the
aggregate amount of the Program Grants received by TTI hereunder, if
any, plus Simple Interest at a rate of four percent (4%) per annum; or
• if such conviction occurs after expiration or termination of this Agreement,
subject to any appellate rights that may lawfully be available to and
Page 7
Economic Development Program Agreement
between City of Fort Worth and TTI, Inc.
exercised by TTI, TTI shall repay, within one hundred twenty (120)
calendar days following receipt of written demand from the City, the
aggregate amount of the Program Grants received by TTI hereunder, if
any, plus Simple Interest at a rate of four percent (4%) per annum.
For the purposes of Section 6 4, "Simple Interest" is defined as a rate of interest
apphed only to an original value, in this case the aggregate amount of Program
Grants paid hereunder. This rate of interest can be applied each year, but will only
apply to the aggregate amount of Abatement and is not applied to interest calculated.
For example, if the aggregate amount of Abatement is $10,000 and it is required to
be paid back with four percent (4%) interest five years later the total amount would
be $10,000 + [5 x ($10,000 x 0.04)], which is $12,000. This Section 6 5 does not
apply to convictions of any subsidiary or affiliate entity of TTI, by any franchisees of
TTI, or by a person or entity with whom TTI contracts. Notwithstanding anything to
the contrary herein, this Section 6.4 shall survive the expiration or termination of this
Agreement
6.5. General Breach.
Unless stated elsewhere in this Agreement, TTI shall be in default under
this Agreement if TTI breaches any term or condition of this Agreement. In the
event that such breach remains uncured after thirty (30) calendar days following
receipt of written notice from the City referencing this Agreement (or, if TTI has
diligently and continuously attempted to cure following receipt of such written
notice but reasonably requires more than thirty (30) calendar days to cure, then
such additional amount of time as is reasonably necessary to effect cure, as
determined by both parties mutually and in good faith), the City shall have the right
to terminate this Agreement immediately by providing written notice to TTI.
7. INDEPENDENT CONTRACTOR.
It is expressly understood and agreed that TTI shall operate as an independent
contractor in each and every respect hereunder and not as an agent, representative or
employee of the City. TTI shall have the exclusive right to control all details and day-to-
day operations relative to the Site and shall be solely responsible for the acts and omissions
of its officers, agents servants, employees, contractors, subcontractors, licensees and
invitees. TTI acknowledges that the doctrine of respondeat superior will not apply as
between the City and TTI, its officers, agents, servants, employees, contractors,
subcontractors, licensees, and invitees. TTI further agrees that nothing in this Agreement
will be construed as the creation of a partnership or joint enterprise between the City and
TTI.
Page 8
Economic Development Program Agreement
between City of Fort Worth and 11I, Inc
8. INDEMNIFICATION.
TTI, AT NO COST TO THE CITY, AGREES TO DEFEND, INDEMNIFY AND
HOLD THE CITY, ITS OFFICERS, AGENTS SERVANTS AND EMPLOYEES,
HARMLESS AGAINST ANY AND ALL CLAIMS, LAWSUITS, ACTIONS, COSTS
AND EXPENSES OF ANY KIND, INCLUDING, BUT NOT LIMITED TO, THOSE
FOR PROPERTY DAMAGE OR LOSS (INCLUDING ALLEGED DAMAGE OR LOSS
TO TTI'S BUSINESS AND ANY RESULTING LOST PROFITS) AND/OR
PERSONAL INJURY, INCLUDING DEATH, THAT MAY RELATE TO, ARISE OUT
OF OR BE OCCASIONED BY (i) TTI'S BREACH OF ANY OF THE TERMS OR
PROVISIONS OF THIS AGREEMENT; OR (ii) ANY ACT OR OMISSION OR
INTENTIONAL MISCONDUCT OF TTI, ITS OFFICERS, AGENTS, ASSOCIATES,
EMPLOYEES, CONTRACTORS (OTHER THAN THE CITI9, OR
SUBCONTRACTORS DUE OR RELATED TO OR ARISING FROM THE SITE AND
ANY OPERATIONS AND ACTIVITIES ON THE SITE OR OTHERWISE TO THE
PERFORMANCE OF THIS AGREEMENT, EXCEPT TO THE EXTENT DIRECTLY
CAUSED BY THE NEGLIGENT ACTS OR OMISSIONS OR INTENTIONAL
MISCONDUCT OF THE CITY OR ITS EMPLOYEES, OR (iii) ANY ACT OR
OMISSION OR INTENTIONAL MISCONDUCT OF TTI, ITS OFFICERS, AGENTS,
ASSOCIATES, EMPLOYEES, CONTRACTORS (OTHER THAN THE CITY), OR
SUBCONTRACTORS DUE OR RELATED TO OR ARISING FROM THE ROAD
PROJECT.
9. NOTICES.
All written notices called for or required by this Agreement shall be addressed to
the following, or such other party or address as either party designates in writing, by
certified mail, postage prepaid, or by hand delivery:
City:
City of Fort Worth
Attn• City Manager
1000 Throckmorton
Fort Worth, TX 76102
with copies to:
the City Attorney and
Director, Housing & Economic
Development Dept. at the same address
Page 9
Economic Development Program Agreement
between City of Fort Worth and 1 1 I, Inc.
TTI:
TTI, Inc.
Attn: Mike Morton
2441 Northeast Parkway
Fort Worth, TX 76106-1896
10. ASSIGNMENT AND SUCCESSORS.
TTI may at any time assign, transfer or otherwise convey any of its rights or
obligations under this Agreement to an Affiliate without the approval of the City Council
so long as TTI, the Affiliate and the City first execute an agreement under which the
Affiliate agrees to assume and be bound by all covenants and obligations of TTI under this
Agreement TTI may also assign its rights and obligations under this agreement to a
financial institution or other lender for purposes of granting a security interest in the Site,
provided that such financial institution or other lender first executes a written agreement
with the City governing the rights and obligations of the City, TTI and the financial
institution or other lender with respect to such security interest. Otherwise, TTI may not
assign, transfer or otherwise convey any of its rights or obligations under this Agreement to
any other person or entity without the prior consent of the City Council which consent shall
not be unreasonably withheld, conditioned on (i) the prior approval of the assignee or
successor and a finding by the City Council that the proposed assignee or successor is
financially capable of meeting the terms and conditions of this Agreement and (ii) prior
execution by the proposed assignee or successor of a written agreement with the City under
which the proposed assignee or successor agrees to assume and be bound by all covenants
and obligations of TTI under this Agreement Any attempted assignment without the City
Council's prior consent shall constitute grounds for termination of this Agreement and
following ten (10) calendar days of receipt of written notice from the City to TTI Any
lawful assignee or successor in interest of TTI of all rights under this Agreement shall be
deemed "TTI" for all purposes under this Agreement
11. COMPLIANCE WITH LAWS, ORDINANCES, RULES AND
REGULATIONS.
This Agreement will be subject to all applicable federal, state and local laws,
ordinances, rules and regulations including, but not limited to, all provisions of the City's
Charter and ordinances, as amended.
12. GOVERNMENTAL POWERS.
It is understood that by execution of this Agreement, the City does not waive or
surrender any of it governmental powers or immunities.
13. NO WAIVER.
The failure of either party to insist upon the performance of any teen or provision
of this Agreement or to exercise any right granted hereunder shall not constitute a waiver
of that party's right to insist upon appropriate performance or to assert any such right on
any future occasion.
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Economic Development Program Agreement
between City of Fort Worth and TTI, Inc.
14. SEVERABILITY.
If any provision of this Agreement is held to be invalid, illegal or unenforceable,
the validity, legality and enforceability of the remaining provisions shall not in any way be
affected or impaired.
15. VENUE AND JURISDICTION.
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 shall be construed in accordance with the
laws of the State of Texas.
16. NO THIRD PARTY RIGHTS.
The provisions and conditions of this Agreement are solely for the benefit of the
City and TTI, and any lawful assign or successor of TTI, and are not intended to create any
rights, contractual or otherwise, to any other person or entity.
17. FORCE MAJEURE.
It is expressly understood and agreed by the parties to this Agreement that if the
performance of any obligations hereunder is delayed by reason of war, civil commotion,
acts of God inclement weather, or other circumstances which are reasonably beyond the
control of the party obligated or permitted under the terms of this Agreement to do or
perform the same, regardless of whether any such circumstance is similar to any of those
enumerated or not, the party so obligated or permitted shall be excused from doing or
performing the same during such period of delay, so that the time period applicable to such
design or construction requirement shall be extended for a period of time equal to the
period such party was delayed. Notwithstanding anything to the contrary herein, it is
specifically understood and agreed that TTI's failure to obtain adequate financing to
complete the Road Project in accordance with the Road Project Agreement by the
Completion Deadline shall not be deemed to be an event of force majeure and that this
Section 17 shall not operate to extend the Completion Deadline in such an event.
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Economic Development Program Agreement
between City of Fort Worth and TTI, Inc.
18. INTERPRETATION.
In the event of any dispute over the meaning or application of any provision of this
Agreement, this Agreement shall be interpreted fairly and reasonably, and neither more
strongly for or against any party, regardless of the actual drafter of this Agreement.
19. CAPTIONS.
Captions and headings used in this Agreement are for reference purposes only and
shall not be deemed a part of this Agreement.
20. ENTIRETY OF AGREEMENT.
This Agreement, including any exhibits attached hereto and any documents
incorporated herein by reference, contains the entire understanding and agreement between
the City and TTI, and any lawful assign and successor of TTI, as to the matters contained
herein. Any prior or contemporaneous oral or written agreement is hereby declared null
and void to the extent in conflict with any provision of this Agreement. Notwithstanding
anything to the contrary herein, this Agreement shall not be amended unless executed in
writing by both parties and approved by the City Council of the City in an open meeting
held in accordance with Chapter 551 of the Texas Government Code.
21. COUNTERPARTS.
This Agreement may be executed in multiple counterparts, each of which shall be
considered an original, but all of which shall constitute one instrument.
EXECUTED as of the last date indicated below:
CITY OF FORT WORTH:
Alanis
As istant City Manager
Date: Gle?))1)
! r ,Y l„
iage 12 -
conomic Development Program Agreement
etween City of Fort Worth and TTI, Inc.
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TTI, INC.:
By:
Name:
Title:
Date:
4Lke Morton
President - North America
February 14, 2011
11a
MARCIA R. HENDRIX
MY COMMISSION EXPIRES
December 3, 2013
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APPROVED AS TO FORM AND LEGALITY:
By:
Peter Vaky
Assistant City Attorney
M&C: C-24589 11-16-10
as amended by c-Z986 8 9-11-11
Attested by if:
A
Marty Hendrix,
OFFICIAL RECORD
CITY SECRETARY
tWORTH, TX
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Economic Development Program Agreement
between City of Fort Worth and TTI, Inc.
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EXHIBITS
"A" —Description and Depiction of Road Project
Economic Development Program Agreement
between City of Fort Worth and TTI, Inc.
NORTHEAST PARKWAY IMPROVEMENTS
Project Description
The current roadway is a divided arterial section consisting of asphalt pavement
with concrete curb and gutters. This project will involve the removal of the
existing asphalt pavement, from Mark IV Parkway to Rondo Drive, and replacing
it with 8 inch concrete pavement. Based on the drainage evaluation of the
roadway capacity, an additional storm drain system and curb inlets are
necessary to accommodate the drainage along Northeast Parkway.
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Fort Worth, Toxaa 78102
Phono:(e17)888-0775•Fax:(017)888-2818
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CITY OF FORT WORTH, TEXAS
PAVING IMPROVEMENTS FOR
NORTHEAST PARKWAY
LOCATION MAP
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Mann
EXHIBIT
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SCALE
N/A
DATE /A/C.
MARCH 2011 UWE ReiMilan ma rem
PROPOSED 8" CONCRETE
PAVEMENT
PROPOSED 6" CONC
DRIVE APPROACH
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I PROPOSED 6" COVC
DRIVE APPROACH
EXIS77NG ASPHIALT
PAVEMENT
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„zo TEAGUE NALL AND PERKINS
1100 M•oon 8tr••t
Fort Worth, Tornas 78102
Phon•:(817)388-6779•Fax:(817)886-2818
www.tnp-onlIn•.00•
I —PROPOSED 6" CONC
I DRIVE APPROACH
PROPOSED 8" CONCRETE
PAVEMENT
• / / '
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PROPOSED 6" CONC
DRIVE APPROACH
EXISTING ASPHALT
PAVEMENT
WING
GRAPHIC SCALE
150 0 75 150
CITY OF FORT WORTH, TEXAS
PANG IMPROVEMENTS FOR
NORTHEAST PARKWAY
PAVING IMPROVEMENTS
300
1l PHALLI
'011.9a22
EXHOT
2
SCALE
r=150'
N/A
DATE INC.
MARCH 2011 Ftolteatkin No F-280
CONNECT To
EXISTING SDit4H
1-24'1)(21" 45WYE
PROPOSED
24" SD
PROP9SED
24"x21” REDUCER
PROPOSED
21° SD C:)
E-4
cL'
10' CURB
INLET
1-21" 45' BEND
NORTHEAST PARKWAY
MO VAGUE NALL AND PERKINS
1100 Matson 8 tr••I`
Fort Worth, T•xo• 76102
Phon•:(817)380-6773•Fax:(817)935-2813
www.tnp-onlIn•.000
161`
10' CURB
INLET
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GRAPHIC SCALE
150 0 75 150
CITY OF FORT WORTH, TEXAS
PAVING IMPROVEMENTS FOR
NORTHEAST PARKWAY
DRAINAGE IMPROVEMENTS
300
IMP Vitale-CY
trt197gL
EXHIBIT
ITEM
NO.
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TEAGUE NALL AND PERKINS
CONSULTING ENGINEERS
CONCEPTUAL OPINION OF PROBABLE CONSTRUCTION COST
Northeast Pkwy Paving Improvements
OWNER: TTI, Inc.
DATE: March 1, 2011
DESCRIPTION OF ITEMS
P aving Improvements
U nclassified Street Excavation
Asphalt Payment Removal
Concrete Pavement Removal
7" Curb/12" Gutter Removal
10" Concrete Paving
6" Concrete Driveway Approach
Asphalt Pavement Repair
7' Curb
7' Rolled Curb
6' Curb
8' Lime Stabilzation
Lime for Stab (32#/SY)
Median Improvements with Concrete and Bollards
Retaining Wall Improvements
Pedestrian Rail
Irrigation
Sodding & Landscaping
Traffic Control
Erosion Control
Utilities
Reconstruct Curb Inlet Tops
Misc Utlity Adjustments
Recessed 10 Curb Inlet
24" Class III RCP
21" Class III RCP
Connect to Existing Storm Drain Manhole
Basis for Cost Projection
0
No Design Completed
Preliminary Design
Final Design
QUANTITY UNIT
4,000
7,000
300
3,500
7,315
300
15
2,050
100
1 450
8 000
128
105 __
300
133
23,915
23,915
1
1
2
1
2
405
270
1
CY
SY
SY
LF
SY
SY
SY
LF
LF
LF
SY
TN
SY
S F
LF
SF
S F
LS
LS
EA
LS
EA
LF
LF
EA
UNIT
COST
$8.00
$10.00
$10.00
$4.00
$45.00
$40.00
$30.00
$3.00
$5.00
$2.50
$3.00
$145.00
$50.00
$50.00
$75.00
$0.75
$3.75
$5,000.00
$5,000.00
$2,000.00
$10,000.00
$2,750.00
$55.00
$48.00
$1,000.00
Sub -Total Construction Cost:
Contingency: 10%
TOTAL
1
$32,000.001
$70,000.00J
$3,000.001
$14,000.001
$329,175.001
$12,000.0011
$450.001
$6,150.001
$500.001
$3,625.00
$24,000.00
$18,560.00
$5,250.00
$15,000.00
$9,975.00
$17,936.25
$89,681.25
$5,000.00,
$51000.001
1
$4,000.00
$10,000.00
$5,500.00
$22,275.00
$12,960.00
$1,000.00
$717,037.50'
$71,703.75
Total Opinion of Construction Cost: $788,741.25
City of Fort Worth, Texas
Mayor and Council Communication
COUNCIL ACTION: Approved on 11/16/2010
DATE: Tuesday, November 16, 2010 REFERENCE NO.: **C-24589
LOG NAME: 17EDPGTTI
SUBJECT:
Authorize Execution of Economic Development Program Agreement with TTI, Inc , foi the Reconstruction of
a Portion of Northeast Parkway and the Retention of the TTI, Inc., Headquarters (COUNCIL DISTRICT 2)
RECOMMENDATION:
It is recommended that the City Council authorize the City Manager to execute an Economic Development
Program Agreement with TTI, Inc., for the reconstruction of a portion of Northeast Parkway and the
retention of the TTI, Inc., Headquarters.
DISCUSSION.
TTI, Inc., is a specialty distributor of passive, interconnect, and discrete components for applications such as
Consumer Products, Energy Industrial/Instrument Medical, Military/Aerospace and Transportation. The
Company maintains a corporate headquarters in Fort Worth along with 34 U.S. branch offices and 26
international branch offices that employ over 2,000 people. The company has approached the City regarding
a failing street that runs in front of their property that they have been trying to address for several years
The proposed Economic Development Program Agreement between the City and TTI, Inc., will provide for
the company to receive five annual payments to reimburse them for the cost of infrastructure improvements
to a section of Northeast Parkway. The payments will total $800,000.00 or the cost of the improvements,
whichever is less, and will be made in increments of 20 percent per year for five years beginning in fiscal
year 2011. The reimbursement payments will originate from the City's Street Maintenance Funds and will be
subject to annual City Council appropriation of such amounts, in full, in the budget of the fiscal year for
which each payment is due.
Proiect:
TTI, Inc., will upfront the costs for the design and reconstruction of Northeast Parkway to improve access to
their facility. The proposed road improvements will run from Maik IV Parkway to the nose of the new
median on Northeast Parkway approximately 1,000 feet and has an estimated cost of $800,000.
In return for reimbursement of the road reconstruction TTI, Inc., will maintain a corporate headquarters at
2441 Northeast Parkway and retain a minimum of 430 jobs at the site throughout the term of the agreement
Failure to maintain the corporate headquarters at 2441 Northeast Parkway or to meet the employment
commitment in any year will result in the loss of the payment for the following year.
TTI, Inc., will enter into a Community Facilities Agreement governing the improvements and will complete
the improvements by May 31, 2011. The improvements will be considered complete when they have been
accepted by the City in accordance with the applicable laws and policies, as confirmed in a certificate of
completion signed by the Director of the Transportation/Public Works Department or his authorized
designee.
The proposed project is located in COUNCIL DISTRICT 2.
FISCAL INFORMATION:
The Financial Management Services Director certifies that this action will have no material effect on City
funds at this time. Upon completion of the project, annual reimbursement payments will be subject to City
Council appropriations.
FUND CENTERS:
TO Fund/Account/Centers
CERTIFICATIONS:
Submitted for City Manager's Office bv:
Originating Department Head:
Additional Information Contact:
ATTACHMENTS
No attachments found.
FROM Fund/Account/Centers
Susan Alanis (8180)
Jay Chapa (5804)
Robeit Sturns (8003)
City of Fort Worth, Texas
Mayor and Council Communication
COUNCIL ACTION: Approved on 4/19/2011
DATE: Tuesday, April 19, 2011 REFERENCE NO.: **C-24868
LOG NAME: 17TTIAMEND
SUBJECT:
Amend Mayor and Council Communication C-24589 to Extend Deadline for Completion of Certain
Improvements to Northeast Parkway Under Authorized Economic Development Program Agreement with
TTI, Inc (COUNCIL DISTRICT 2)
RECOMMENDATION
It is recommended that the City Council amend M&C C-24589 extending the deadline for completion of
certain improvements to Northeast Parkway from May 31 2011 to May 31, 2012 under an authorized
Economic Development Program Agreement with TTI, Inc.
DISCUSSION:
On November 16, 2010, (M&C C-24589) the City Council authorized execution of an Economic
Development Program Agreement (Agreement) with TTI, Inc. (TTI) pursuant to which TTI would maintain
its corporate headquarters and a minimum of 430 full—time jobs at its existing facility at 2441 Northeast
Parkway. The City Council's authorization under M&C C-24589 was contingent on TTI s agreement to
reconstruct a portion of Northeast Parkway in accordance with City construction standards by no later than
May 31, 2011. Due to delays finalizing the construction agreement for the road the current completion
deadline of May 31, 2011 cannot be met. As a result, staff recommends that the City Council amend M&C
C-24589 to extend the completion deadline for the road improvements to Northeast Parkway from May 31,
2011 to May 31, 2012.
All other terms and conditions of the Agreement approved under M&C C-24589 will remain the same.
This project is located in COUNCIL DISTRICT 2.
FISCAL INFORMATION:
The Financial Management Services Director certifies that this action will have no material effect on City
funds
FUND CENTERS:
TO Fund/Account/Centers FROM Fund/Account/Centers
CERTIFICATIONS:
Submitted for City Manager's Office bv:
Originating Department Head:
Additional Information Contact:
ATTACHMENTS
Susan Alanis (8180)
Jay Chapa (5804)
Robert Sturns (8003)
No attachments found.