HomeMy WebLinkAboutResolution Fort Worth Housing Finance Corporation (FWHFC) FWHFC-2016-34RESOLUTION NO. FWHFC-2016-34
A RESOLUTION APPROVING THE SETTLEMENT OF ALL CLAIMS WITH
PARALLEL PETROLEUM, L.L.C., RELATED TO ROYALTY PAYMENTS ON
OIL AND GAS LEASES, AUTHORIZE EXECUTION OF ALL AGREEMENTS
NECESSARY TO COMPLETE THE SETTLMENT AND AUTHORIZE
AMENDMENTS TO GAS LEASES
WHEREAS, the City Council of the City of Fort Worth (the "City") created the
Fort Worth Housing Finance Corporation (the "Corporation") in 1979 pursuant to the
Texas Housing Finance Corporation Act to facilitate the development of decent, safe,
quality, affordable, and accessible housing for low and moderate income City residents
through lending and construction activities;
WHEREAS, on or about January 11, 2006 the Corporation entered into an Oil and
Gas Lease with Dale Resources, L.L.C. ("Dale") covering 4.336 acres of land, more or less,
therein described for the purposes and on the terms and conditions set forth therein (the
"Lease"). The Oil and Gas Lease was recorded as Instrument No. D206045582 in the Real
Property Records of Tarrant County, Texas;
WHEREAS, Parallel Petroleum, L.L.C. ("Parallel") subsequently acquired a
working interest in the Lease and is a lessee and owner of the working interest in the
Lease;
WHEREAS, disputes have arisen between Parallel and the Corporation regarding
the amount of royalty payments previously paid to and received by the Corporation, as
well as future royalty payments, for royalties attributable to Parallel's leasehold;
WHEREAS, the Corporation and Parallel have reached a Compromise
Settlement and Release Agreement ("Settlement Agreement") to resolve their dispute;
WHEREAS, the Board of the Corporation believes the Settlement Agreement to
be in the best interest of the Corporation and desires to approve the settlement of the
dispute between the parties, approve the execution of the Settlement Agreement, and
approve all actions taken in connection with the acceptance and the execution of the
Settlement Agreement.
NOW THEREFORE, BE IT RESOLVED BY THE BOARD OF
DIRECTORS OF THE FORT WORTH HOUSING FINANCE CORPORATION
THAT:
1. The Board approves the settlement of disputes regarding the oil and gas lease with
Parallel Petroleum, L.L.C. ("Parallel") and approves the acceptance and
execution of a Compromise Settlement and Release Agreement (the "Settlement
Agreement"); and
RESOLUTION NO. FWHFC-2016-34
PAGE 2
2. The Board grants authority to and ratifies the signature authority of Fernando
Costa as General Manager of the Corporation, and Aubrey Thagard as Assistant
General Manager of the Corporation, to each execute and deliver any documents
for and on behalf of the Corporation, that are necessary to settle the dispute and to
accept and execute the Settlement Agreement; and
The Board ratifies and confirms any actions that have been taken to date to the
extent such actions are consistent with Paragraphs 1 and 2 above, as the valid
actions of the Corporation, effective as of the date such actions were taken.
4. This resolution takes effect from the date of its adoption.
AND IT IS SO RESOLVED.
Adopted November 15, 2016.
FORT TH HOUSING FINANCE CORPORATION
By: Xt.(_ CAn/l
Ronald P. Gonzales, As is ant Secretary