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Home My WebLink AboutContract 44728-A1 CITY SECRETARY CONTRACT NO. `� MY-9-I STATE OF TEXAS § COUNTY OF TARRANT § AMENDMENT NO. 1 TO CITY SECRETARY CONTRACT NO. 44728 TAX ABATEMENT AGREEMENT BETWEEN CITY OF FORT WORTH AND NGC RENEWABLES, LLC This AMENDMENT NO. 1 TO CITY SECRETARY CONTRACT NO. 44728 ("Amendment") is entered into by and between the CITY OF FORT WORTH (the "City"), a home rule municipality organized under the laws of the State of Texas, and NGC RENEWABLES,LLC ("Company"), a Texas limited liability company. The City and Company hereby agree that the following statements are true and correct and constitute the basis upon which the City and Company have entered into this Amendment: A. The City and Company previously entered into that certain Tax Abatement Agreement on file in the City Secretary's Office as City Secretary Contract No. 44728 (the "Agreement"). Under the Agreement, the City agreed to abate certain ad valorem real property taxes on improvements proposed to be constructed on property owned by Company (identified in Exhibit "A" of the Agreement and defined as the "Land") and certain ad valorem taxes on business personal property located on the Land in return for Company's commitment to construct a corporate headquarters and manufacturing facility for wind energy components (the "Required Improvements"), as more specifically outlined in the Agreement. B. The Agreement requires that Company complete all Required Improvements by June 30, 2014. Due to unanticipated delays in completing this project, Company has requested that the City consent to an extension of the deadline for completion from June 30, 2014 to June 30, 2015. The City has no objections to this request. C. This Amendment is authorized under § 312.208 of the Texas Tax Code n because (i) the provisions of this Amendment could have been included in the original Agreement and (ii) this Amendment has been entered into following the same procedure m in which the Agreement was approved and executed. NOW,THEREFORE,the City and Company, for and in consideration OFFICIAL RECORD Page 1 Amendment No. 1 to CSC No.44728 CITY SECRETARY Tax Abatement Agreement between City of Fort Worth and NGC Renewables,LLC F'I',WORT H9 TX terms and conditions set forth herein, do hereby contract, covenant and agree as follows: 1. Section 2 of the Agreement (Definitions) is hereby amended to change the definition of"Completion Deadline," as follows: Completion Deadline means June 30, 2015, subject to extension due to delays directly attributable to Force Majeure Events. 2. Capitalized terms used but not identified in this Amendment shall have the same meanings assigned to them in the Agreement. 3. Except as otherwise specifically amended in this Amendment, the Agreement shall remain in full force and effect. 4. This Amendment is effective as of June 30, 2014. This Amendment contains the final written expression of the City and Company with respect to the subject matter hereof. This Amendment 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: [SIGNATURES IMMEDIATELY FOLLOW ON NEXT PAGE] Page 2 Amendment No. 1 to CSC No.44728 Tax Abatement Agreement between City of Fort Worth and NGC Renewables,LLC tas �,o C O� s CITY OF FORT WORTH: ATTEST: �a ° < 0*0$ �— XA By: By: Fernando Costa )Name: Assistant City Manager Title: L' I N S-eC re 1-e+ -Ll Date: l9/'.f Date: 04, If APPROVED AS TO FORM AND LEGALITY: By: _2!!��o,-� Peter Vaky Deputy City Attorney M&C: C-26927 08-19-14 STATE OF TEXAS § COUNTY OF TARRANT § BEFORE ME, the undersigned authority, on this day personally appeared Fernando Costa, Assistant City Manager of the CITY OF FORT WORTH, a municipality organized under the laws of the State of Texas, known to me to be the person and officer whose name is subscribed to the foregoing instrument, and acknowledged to me that the same was the act of the CITY OF FORT WORTH,that he was duly authorized to perform the and that he executed the same as the act of the CITY OF FORT WORTH for the purposes and consideration therein expressed and in the capacity therein stated. GIVEN UNDER MY HAND AND SEAL OF OFFICE this day of f)DIM bol ,2014. �Y\ tl al Notary Public in and for 4ae LINDAM.HIRRLINGER the State of Texas r' MY COMMISSION EXPIRE.`: L►hd a, r r 1 n/�� "'' q; " February 2,2018 A Notary's Printed Name Page 3 OFFICIAL RECORD Amendment No. 1 to CSC No.44728 CITY SECRETARY Tax Abatement Agreement between City of Fort Worth and NGC Renewables,LLC FT. WORTH$ TX NGC RENEWABLES, LLC, a Texas limited liability company: By: I Title: Date: STATE OF X14 § COUNTY OF § BEFORE ME,the undersigned authprity,on this day personally appeared &^/ Vi'4 t"-tJ-V—J" of NGC RENEWABLES, LLC, a Texas limited l9bility company, known to me to be the person whose name is subscribed to the foregoing instrument, and acknowledged to me that s/he executed the same for the purposes and consideration therein expressed, in the capacity therein stated and as the act and deed of NCG RENEWABLES,LLC. GIVEN UNDER MY HAND AND SEAL OF OFFICE this 74' day of /V cv� ,2014. Notary Public in and the State of tA * JENNY LEUNG V COMM. # 1991108 N `• NOTARY PUBLIC-CALIFORNIA 6) 2 LOS"t,,�o, ` COMM.EXPIRES OCT.COU 016 0 Notary's Printed N e Page 4 Amendment No. 1 to CSC No.44728 Tax Abatement Agreement between City of Fort Worth and NGC Renewables,LLC /2014 M&C ReHew CITY COUNCIL AGENDA FoRr1 COUNCIL ACTION: Approved on 8/19/2014 DATE: 8/19/2014 REFERENCE NO.: C-26927 LOG NAME: 17NGCTAAMEND1 CODE: C TYPE: NON-CONSENT PUBLIC HEARING: NO SUBJECT: Authorize Execution of Amendment No. 1 to Tax Abatement Agreement, City Secretary Contract No. 44728, with NGC Renewables, LLC, to Extend the Completion Deadline for the First Phase of a Corporate Headquarters and Manufacturing Facility Project Located at 5500 Alliance Gateway Freeway(COUNCIL DISTRICT 7) RECOMMENDATION: It is recommended that the City Council authorize the execution of Amendment No. 1 to the Tax Abatement Agreement, City Secretary Contract No. 44728, with NGC Renewables, LLC, to extend the completion deadline for the first phase of a corporate headquarters and manufacturing facility project located at 5500 Alliance Gateway Freeway from June 30, 2014 to June 30, 2015. DISCUSSION: The City previously entered into a Tax Abatement Agreement (City Secretary Contract No. 44728) with NGC Renewables, LLC (NGC) for the construction of a 120,000 square foot North American headquarters and manufacturing facility at 5500 Alliance Gateway Freeway. The Agreement provides for a 10 year tax abatement to NGC that could potentially abate up to 80 percent of the City's ad valorem taxes on the incremental value of real and business personal property investment on the site. The project is to be completed in two phases with an overall investment in the amount of $96,000,000.00 in real and business personal property. Phase I consists of at least $8,500,000.00 in real property improvements to the site and the installation of at least $7,500,000.00 in new non- inventory business personal property. The Agreement currently requires that Phase I must have been completed by June 30, 2014. Phase II consists of the installation of an additional $80,000,000.00 in new non-inventory business personal property on the site by December 31, 2018. Due to delays in the delivery of operational equipment from suppliers, NGC has requested an extension of the Phase I completion deadline under the Agreement from June 30, 2014 to June 30, 2015 in order to allow for the delayed delivery and installation of all the new business personal property at the site. NGC has completed construction of the headquarters and manufacturing facility, and no other changes have been requested. Staff recommends approval of NGC's request. This project is located in COUNCIL DISTRICT 7, Mapsco 9K and 9P. FISCAL INFORMATION/CERTIFICATION: The Financial Management Services Director certifies that this action will not increase the total appropriations on City funds. TO Fund/Account/Centers FROM Fund/Account/Centers Mtp://apps.cfwnet.org/council_packetlmc_re\Aew.asp?ID=20130&counciIdate=8/19/2014 1/2 .W&2014 M&C Review Submitted for City Manager's Office by. Fernando Costa (6122) Originating Department Head: Jesus Chapa (5804) Additional information Contact: Robert Sturns (212-2663) Ana Alvarado (212-2680) ATTACHMENTS Final NGC Reference Map.pdf 2/2 http://apps.cfvmet.org/council_pack-t/rnc_reHew.asp?ID=20130&counciIdate=8/19/2014