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HomeMy WebLinkAboutResolution No. 04-09 CITY OF THE COLONY so uTioN NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF THE COLONY, TEXAS, APPROVING AN AGREEMENT BETWEEN THE CITY OF THE COLONY AND THE COLONY ECONOMIC DEVELOPMENT CORPORATION, WHICH IS ATTACHED HERETO AS EXHIBIT "A"; PROVIDING FOR TERMS, PURPOSE, SCOPE OF CITY SERVICES AND EDC (4A) SERVICES; PROVIDING A REPEALER CLAUSE; PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, EDC is an economic development corporation created and operating pursuant to Section 4A of article 5190.6, Texas Revised Civil Statutes also known as the Economic Development Corporation Act of 1979 (the "Act"); and WHEREAS, in January 1998 a majority of the voters voting at a special election in the City approved an additional sales tax in the amount of one-half of one percent, which tax is to be used by EDC for the purposes permitted in the Act; and WHEREAS, the Act provides that the city shall approve all programs and expenditures of the development corporation and shall armually review any financial statements of the corporation; and WHEREAS, the Act further provides that at all times the city will have access to the books and records of the corporation; and WHEREAS, pursuant to Chapter 380, Tex. Loc. Gov. Code, the City has the authority to establish and provide for the administration of one or more programs, including programs for making loans and grants of public money and providing personnel and services of the City, to promote local economic development and to stimulate business and commercial activity in the City; and WHEREAS, the Bylaws of the EDC authorizes the EDC, to research, develop, prepare, and submit to the City Council for the City for its approval, an economic development plan for the City, which shall include proposed methods and the expected costs of implementation; and WHEREAS, the City desires to establish a program with EDC to provide certain administrative services to EDC pursuant to the terms hereof, so that EDC may accomplish the public purposes for which EDC was created, and to promote local economic development for the reduction of unemployment and underemployment, and the promotion of employment, through the expansion and development of a sound commercial tax base within the City. THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF THE COLONY, TEXAS THAT: Section 1. The City Council hereby adopts the Agreement by and between the City of The Colony and the Economic Development Corporation, which is attached hereto and incorporated herein by reference as Exhibit "A". Section 2. That all provisions of any resolution of the City Council of the City of The Colony in conflict with the provision of this resolution be, and the same are hereby repealed, and all other provisions not in conflict with the provisions of this resolution shall remain in full force and effect. PASSED, APPROVED AND EFFECTIVE this 15th day of March, 2004. ~ t~yy~ 1Tla;d~ o~oanY~; T ix ~s ATTEST: Christie Wilson, City Secretary APPROVED AS TO FORM: Ro . Ha;er, Cit¢ Atto~ey State of Texas § Agreement by and between the City of The Colony § and The Colony Economic Development Corporation County of Denton ~ 2004, is by and between the City of The Colony, a THIS Agreement effective the/ ~a~yof /')q~ municipal corporation, located in Denton County, Texas, acting by and through its City Manager, (hereinafter referred to as "CITY"), and The Colony Economic Development Corporation (hereinafter referred to as "EDC") acting by and through its President: RECITALS WHEREAS, EDC is an economic development corporation created and operating pursuant to Section 4A of article 5190.6, Texas Revised Civil Statutes also known as the Economic Development Corporation Act of 1979 (the "Act"); and WHEREAS, in January 1998 a majority of the voters voting at a special election in the City approved an additional sales tax in the amount of one-half o£one percent, which tax is to be used by EDC for the purposes permitted in the Act; and WHEREAS, the Act provides that the city shall approve all programs and expenditures of the development corporation and shall annually review any financial statements of the corporation.; and WHEREAS, the Act further provides that at all times the city will have access to the books and records of the corporation; and WHEREAS, pursuant to Chapter 380, Tex. Loc. Gov. Code, the City has the authority to establish and provide for the administration of one or more programs, including programs for making loans and grants of public money and providing personnel and services of the City, to promote local economic development and to stimulate business and commercial activity in the City; and WHEREAS, the Bylaws of the EDC authorizes the EDC, to research, develop, prepare, and submit to the City Council for the City for its approval, an economic development plan for the City, which shall include proposed methods and the expected costs of implementation; and WHEREAS, the City desires to establish a program with EDC to provide certain administrative services to EDC pursuant to the terms hereof, so that EDC may accomplish the public purposes for which EDC was created, and to promote local economic development for the reduction of unemployment and underemployment, and the promotion of employment, through the expansion and development of a sound commercial tax base within the City. NOW THEREFORE for and in consideration of the foregoing and other valuable consideration, the receipt and sufficiency are hereby acknowledged the parties agree as follows: Article I. Term The term of this Agreement shall commence on the last date of execution hereof and shall continue for a period of one (I) year and shall automatically renew for successive terms thereafter unless sooner terminated as provided herein. Either party may terminate this Agreement by giving the other party thirty (30) days prior written notice thereof. Article II. Purpose 2.1 The purpose of this Agreement is to have the City implement, administer, and carry out the duties that a director would have in administering economic development programs and to manage and administer such programs of the EDC. The City Director of Economic Development (the "Director") shalI have the discretion to prioritize job responsibilities to meet the needs of the EDC. 2.2 The Director is hereby expressly given the right and power by EDC to sign all applications and documents as necessary in administering economic development programs. 2.3 It is expressly understood that the EDC and the City retain the right to pursue other avenues for economic development when it is determined to be in the best interest of either the EDC or the City as the case may be and as such this Agreement shall not limit either party's right to pursue such interests. Article III. City Services The City agrees to provide the following services and perform the following functions: 3.1 Assist with research, development, preparation, and implementation of an economic development plan as directed by the EDC Board. 3.2 Handle all daily fimctions and operations to assist the EDC Board of Directors with planning and project implementation. 3.3 Participate as directed by the EDC Board of Directors or the Director in contracts on behalf of the EDC with any qualified and appropriate person, association, corporation or governmental entity to perform and discharge designated tasks as directed and approved by the Board of Directors. 3.4 Provide all necessary accounting and financial management services to maintain books, records, accounts, and monthly financial statements for the EDC and its Board of Directors as authorized by the EDC Bylaws. 3.5 (a) Provide all personnel necessary for the EDC's operations. (b) Hire, administer, supervise, compensate, evaluate, and/or terminate City personnel assigned to work on EDC matters. 3.6 Log time spent by City employees on EDC operations to substantiate costs for services and to present on a quarterly basis to the EDC for review and approval. 3.7 Transfer all 4A sales tax funds to the EDC as it is received from the State of Texas each fiscal year. 3.8 Maintain records for 3 years after final payment on any programs under this Agreement. 3.9 Provide office space at no cost to EDC for staff and operations. 3.10 Carry out any other responsibilities/duties that may be mutually agreed upon by the EDC Board of Directors and the City. 3.11 Provide administrative and program support and legal services to the EDC as requested by the EDC Board of Directors. 3.12 City's Director of Economic Development shall serve as the staff facilitator of the EDC's operations. 3.13 The City Attorney may be legal advisor of, and attorney for, the EDC and its Board. Such legal services shall include representation in litigation and legal proceedings, and review and creation of documents, contracts and legal instruments as to form and legality. The EDC retains the right to hire an attorney of its own choice at its own expense. Article IV. EDC SERVICES The EDC agrees to provide the following services and to perform the following functions: 4.1 Grant authority to the Director to disburse funds and incur expenses on behalf of the EDC, and to designate City personnel as signatories for EDC accounts according to policies and procedures established by EDC. 4.2 Develop budget and program recommendations for City Council consideration with respect to economic development programs of the EDC. 4.3 Adopt a proposed budget of expected revenues and proposed expenditures for the ensuing fiscal year in accordance with the By-Laws. 4.4 Provide to the City funding to cover the cost of all approved expenses related to administxation of EDC's programs and projects. 4.5 Plan and prioritize economic development projects that follow the City's Comprehensive Master Plan and Economic Development Plan, and reflect citizen's needs and input, in accordance with EDC's Articles of Incorporation and Bylaws. 4.6 Share staffing and operational costs with the City whenever possible in order to minimize expenditures by both parties. 4.7 Utilizing a schedule agreed upon by the Board of Directors and the City Manager, prepare status reports to the Board of Directors and the City Manager on EDC operations. Article V. Miscellaneous 5.1 No Conflicts. No member of City Council or EDC Board of Directors shall participate in any vote or decision involving a matter in which such person has a direct or indirect pecuniary interest. 5.2 Recitals. The recitals to this Agreement are incorporated herein. 5.3 Revenue. All program income resulting from the use of EDC funds as provided under this Agreement shall be returned to the unobligated fund balance of the EDC. 5.4 Authorization. The undersigned officers and/or agents of the parties hereto are the properly authorized officials and have the necessary authority to execute this Agreement on behalf of the parties hereto, and each party certifies to the other that any necessary resolutions or other act extending such authority have been duly passed and are now in force and effect. 5.5 Entire Agreement. This Agreement constitutes the entire agreement between the City and the EDC relating to the subject of this Agreement and supercedes any prior agreements, promises, negotiations or representations, verbal or otherwise, not expressly set forth in this Agreement. 5.6 Severabilty. The sections, paragraphs, sentences, phrases, clauses and words of this Agreement are severable, and if any court of competent jurisdiction holds any section, paragraph, sentence, phrase, clause or word in the Agreement invalid or unconstitutional the remaining provisions of this Agreement shall continue in full force and effect. The Colony Economic Development Corporation The City of The Colony Attest: (Date)