Ordinance No. 16,171ORDINANCE NO. 16,171
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF BAYTOWN, TEXAS,
AUTHORIZING AND DIRECTING THE CITY MANAGER TO EXECUTE AND
THE CITY CLERK TO ATTEST TO STRATEGIC PARTNERSHIP AGREEMENT 3
WITH CHAMBERS COUNTY MUNICIPAL UTILITY DISTRICT NO. 1; AND
PROVIDING FOR THE EFFECTIVE DATE THEREOF.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF BAYTOWN, TEXAS:
Section 1: That the City Council of the City of Baytown, Texas, hereby authorizes and
directs the City Manager to execute and the City Clerk to attest to Strategic Partnership Agreement 3 with
Chambers County Municipal Utility District No. 1. A copy of said agreement is attached hereto, marked
Exhibit "A," and made a part hereof for all intents and purposes.
Section 2: This ordinance shall take effect immediately from and after its passage by the
City Council of the City of Baytown.
INTRODUCED, READ, and PASSED by the affirmative vote of the City Council of the City of
Baytown, this the 26th day of June, 2025.
s';. ARL O SON, Mayor
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APPROVED AS O �; 4�
SCOTT LEMCIID, City Attorney
R:\Ordinances and Resolutions\Ordinance Drafts\2025-06-26\Ordinance - CC MUD 1 SPA 3.doc
STRATEGIC PARTNERSHIP AGREEMENT
BETWEEN THE CITY OF BAYTOWN, TEXAS,
AND CHAMBERS COUNTY MUNICIPAL UTILITY DISTRICT NO. 1
THE STATE OF TEXAS §
COUNTIES OF HARRIS AND CHAMBERS §
This STRATEGIC PARTNERSHIP AGREEMENT (this "Agreement") is made and
entered into as of the Effective Date by and between the CITY OF BAYTOWN, TEXAS, a
municipal corporation situated in Harris and Chambers Counties, Texas, acting by and through its
governing body, the City Council of the City of Baytown, Texas (the "City"), and CHAMBERS
COUNTY MUNICIPAL UTILITY DISTRICT NO. 1 (the "District"), a conservation and
reclamation district created pursuant to Article XVI, Section 59, Texas Constitution and operating
pursuant to Chapters 49 and 54, Texas Water Code.
RECITALS
WHEREAS, Texas Local Government Code, §43.0751 (the "Act") authorizes the City and
certain utility districts to negotiate and enter into a strategic partnership agreement b mutual
y
consent, and the City and the District wish to enter into such an agreement; and
WHEREAS, this Agreement provides for the annexation of a tract of land in the District,
as more specifically described in Exhibit "A" attached hereto (the "Tract"), which Tract shall be
developed in accordance with the Master Development Plan attached hereto as Exhibit "B" (the
"Master Plan"), by the City for the limited purposes of applying certain of the City's ordinances
to the Tract; and
WHEREAS, as required by the
City Hall, 2401
Act, the City held public hearings on
, 2025, at City Council Chamber,
77520, and the District held public hearings on
, 2025, at
, Baytown, Texas, , at which members of the
public were given the opportunity to present testimony or evidence regarding the proposed
Agreement, and the City and the District made copies of the proposed Agreement available, and
gave notice of the hearings prior to the public hearings in accordance with the tenns of the Act;
and
, 2025, and
Market Street, Baytown,
2024,
Texas,
and
WHEREAS, the Tract is subject to certain restrictive covenants (the "Restrictions") as set
forth in that certain Declaration of Covenants and Restrictions recorded in Volume 1585, Page 150
(and under Instrument No. 00104918) of the Official Public Records of Chambers County, Texas
(the "Declaration") and comprises a portion of the "Restricted Land" more particularly described
and defined in the Declaration; and
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4938-8307-5386.v2
WHEREAS, Article V of the Declaration provides that if the City ever completes either
the limited purpose annexation or full annexation of all or any portion of the Restricted Lands, the
Restrictions shall automatically be terminated by the City as to the portion of the Restricted Lands
that have been limited purpose annexed or fully annexed by the City and that upon any such
termination, the City shall promptly execute an instrument of termination to be filed in the county
records of Chambers County, Texas; and
WHEREAS, the City and the District wish to enter into this Agreement to (1) provide the
terms and conditions under which services will be provided by the City and the District and under
which the District will continue to exist for an extended period of time after the Tract is annexed
for limited purposes and (11) terminate the Restrictions with respect to the Tract and release the
Tract from the Declaration in order to permit development of the Tract for general commercial use
in accordance with the Master Plan without the need for a rezoning application for the Tract for
general commercial use as contemplated by the Master Plan;
NOW, THEREFORE, THE PARTIES CONTRACT AND AGREE AS FOLLOWS:
ARTICLE I. FINDINGS
The City and the District hereby find and declare:
1. The Act authorizes the City and the District to enter into this Agreement to define the terms
and conditions under which services will be provided to the District and under which the
District will continue to exist after the Tract is annexed for limited purposes pursuant to
this Agreement;
2. This Agreement does not require the District to provide revenue to the City solely for the
purpose of an agreement with the City to forgo annexation of the District;
3. This Agreement provides benefits to the City and the District, including revenue, services,
and/or regulations which are reasonable and equitable with regard to the benefits provided
to the other Party;
4. All the terms and conditions contained in this Agreement are lawful and appropriate to
provide for the provision of municipal services; and
5. The City and the District negotiated this Agreement by mutual consent; the terms and
conditions of the Agreement are not a result of the City's Annexation Plan or any arbitration
between the City and the District.
ARTICLE II. DEFINITIONS
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4938-8307-5386.v2
Unless the context requires otherwise, and in addition to the terms defined above, the
following terms and phrases used in this Agreement shall have, solely for the purposes of this
Agreement, the meanings set out below:
"Act" means Texas Local Government Code, §43-0751 (Vernon Supp. 2002) and any
amendments thereto.
"Agreement" means this strategic partnership agreement by and between the City and the
District.
"Applicable Ordinances" shall include the following:
➢ Chapter 4,
➢ Article III of Chapter 82,
Chapter 111 "Unified Land Development Code," Article 2 "Zoning Districts
and Dimensional Standards,"
Chapter 111, "Unified Land Development Code," Article 3 "Development
Standards," Division 3.6 "Signs," along with all other provisions regulating
Signs, and
Chapter 1 11, "Unified Land Development Code," Article 7 "Development
" Division 7.2 "Common Review Procedures," Section
Review Procedures,
7.210, "Development Review Suinmar Table."
of the City Code along with any amendments thereto.
"Board" means the Board of Directors of the District.
"City" means the City of Baytown, Texas, a municipal corporation situated in Harris and
Chambers Counties, Texas.
"City Charter" means the Charter of the City and any amendments thereto.
"City Code" means the Code of Ordinances of the City and any amendments thereto.
"City Council" means the City Council of the City or any successor governing body.
.
"City Manager" means the City Manager of the City or his designee.
"City's Water System" means the systems for the supply and distribution of water and any
extensions thereof and additions thereto, currently serving or that may be constructed to serve the
City.
"Comptroller" means the Comptroller of Public Accounts of the State of Texas.
"Consent Ordinance" means ordinances, including all attachments and exhibits passed b
p Y
the City Council consenting to the creation of and inclusion of land in the District.
"Contract Quantity" means the daily average per day of million gallons of water per
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4938-8307-5386.v2
day (MGD).
"Director" means the director of Public Works/Utilities of the City or his designee.
"District" means Chambers County Municipal Utility District No. I, a conservation and
reclamation district created pursuant to Article XVI, Section 59, Texas Constitution and operating
pursuant to Chapters 49 and 54, Texas Water Code.
"District's Water System" shall mean the systems for the distribution of water, and any
extensions thereof and additions thereto, to be constructed to serve the District, including those
lines and facilities necessary for the transportation and distribution of water from the point of
interconnection with the City's Water System throughout the District's Water System.
"Effective Date" means the date the City Manager signs this Agreement.
"Implementation Date" means the date the limited -purpose annexation ordinance is passed
by City Council pursuant to Section 3.01.
"Interconnections" shall mean those improvements necessary for the connection of the
City's Water System and District's Water System along State Highway 146 as set forth herein.
"Landowner" means a person that owns real property in the District.
"Local Government Code" means the Texas Local Government Code and any amendments
thereto.
"Party" or "Parties" means a party or the parties to this Agreement, being the City and the
District.
"Sales and Use Tax" means the sales and use tax authorized to be imposed within the
corporate limits of the City lying within Chambers County, including, but not limited to, the sales
and use tax authorized to be imposed by Chapters 321 and 327 of the Tax Code, as well as those
imposed by any other district or entity which may be subsequently created which imposes a sales
and use tax within the corporate limits of the City lying within Chambers County.
"Tax Code" means the Texas Tax Code and any amendments thereto.
ARTICLE III. LIMITED -PURPOSE ANNEXATION
3.01. Limited -Purpose Annexation
A. Generally
As soon as practicable following the approval of this Agreement by City Council, as
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4938-8307-5386.v2
authorized by the Act, the City shall annex the Tract for the limited purposes of applying the
Applicable Ordinances within the Tract (the "Limited -Purpose Annexation"). The Tract shall be
developed in accordance with the Master Plan and the Applicable Ordinances will be applicable
and enforceable in the Tract upon the date of limited -purpose annexation; provided, however, a
rezoning application will not be required for any use or development of the Tract for general
commercial use as contemplated by the Master Plan.
The Limited -Purpose Annexation shall immediately and automatically terminate the
Restrictions imposed on the Tract and release the Tract from the Declaration as outlined in Article
V of the Declaration. For avoidance of doubt, this Agreement shall serve as the "instrument of
termination" to be filed in the Official Public Records of Chambers County, Texas as required by
Article V of the Declaration.
B. Property Taxes and District Liability for Debts of the City
During the term of this Agreement, except as provided in Article IV, ad valorem taxes
levied by the City will not be levied on taxable property within the Tract.
C. Municipal Court's Jurisdiction
Upon the limited -purpose annexation of the Tract, the City's municipal court shall have
jurisdiction to adjudicate cases filed under the Applicable Ordinances arising from actions
occurring within the Tract.
3.02. Powers and Functions Retained by the District
Except as limited by the Consent Ordinance, the District is authorized to exercise all
powers and functions of a municipal utility district provided b existing law or an amendments
p Y g y
or additions thereto. The District's assets, liabilities, indebtedness, and obligations will remain the
responsibility of the District during the period preceding any full -purpose annexation. Disposition
or acquisition of additional assets, liabilities, indebtedness, and obligations will be governed by
the Consent Ordinance.
ARTICLE IV. SALES AND USE TAX AGREEMENT
4.01. Imposition of the Sales and Use Tax
The City and any special district or entity hereinafter created having within its boundaries
the corporate limits of the City lying within Chambers County shall impose a Sales and Use Tax
within the Tract upon the limited -purpose annexation of the Tract and upon the imposition of any
Sales and Use Tax hereinafter adopted. The Sales and Use Tax shall be imposed on the receipts
from the sale and use at retail of taxable items at the same rate as such tax is imposed on the
receipts from the sale and use at retail of taxable items within the corporate limits of the City lying
within Chambers County. The Sales and Use Tax shall take effect on the date described in Tax
Code §321.102.
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4938-8307-5386.v2
4.02. Payment of Sales and Use Tax to the District
The City shall pay to the District an amount equal to fifty percent (50%) of the one percent
(1%) sales and use tax revenues generated pursuant to Chapter 321 of the Texas Tax Code within
the boundaries of the Tract and received by the City from the Comptroller after the date of the
limited - purpose annexation of the Tract. The City shall deliver the District' s portion of such tax
revenues to the District within 30 days of the City' s receipt of said tax revenues from the
Comptroller. Government Code Chapter 2251 shall govern and provide the penalty if the City fails
to deliver the District's portion in a timely manner. For the purposes of determining the applicable
overdue date under Chapter 2251, the City shall be deemed to have received an invoice from the
District on the date the City receives the one percent (1 %) tax revenues from the Comptroller
without further action from the District.
The City shall deliver to the District a condensed version of the monthly sales tax report
provided by the Comptroller, containing only the contents of the sales tax report relating to retail
sales and retailers in the Tract within 30 days of the City' s receipt of the sales tax report.
Should the City be required by the Comptroller to refund any portion of the one percent
(1 %) sales and use tax, any portion of which has been paid to the District, the District shall be
obligated to refund to the City one-half of the amount, which the City is required to repay the
Comptroller. The Government Code Chapter 2251 shall govern and provide the penalty if the
District fails to deliver the such amount to the City in a timely manner. For the purposes of
determining the applicable overdue date under Chapter 2251, Section 10.03 shall govern.
4.03. Notification of Comptroller
The City shall send notice of this Agreement and the limited -purpose annexation of the
District to the Comptroller within three days of the Implementation Date in the manner provided
by Tax Code §321.102. The City shall send to the District a copy of any notice from the
Comptroller delaying the effectiveness of the Sales and Use Tax in the Tract.
4.04. District Use of Sales and Use Tax Revenue
The District shall use the Sales and Use Tax revenue provided in Section 4.03 only for
purposes for which the District is lawfully authorized to use its ad valorem tax revenues or other
revenues.
4.05. District Audit Rights
The District may audit the Sales and Use Tax collections by the City solely to determine
whether the Sales and Use Tax revenue payments provided by Section 4.03 have been made to the
District in accordance with this Agreement. Any audit shall be made at the District's sole cost and
expense and may be performed at any time during the City's regular business hours by an auditor
hired by the District on 30 days written notice to the City. For the purpose of any audits, the City
shall maintain and make available to the District or its representatives all books, records,
documents and other evidence of accounting procedures or practices in whatever form sufficiently
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4938-8307-5386.v2
maintained to reflect the collection of all Sales and Use Tax revenues that are subject to this
Agreement.
4.06. City Audit Rights
The District is required by law to prepare an annual audit within 120 days after the close
of the District's fiscal year. The District shall provide a copy of its annual audit to the City within
30 days after the audit is completed.
The City may audit the District's expenditures made with the Sales and Use Tax revenue
paid under Section 4.03, solely to determine whether the expenditures have been made by the
District in accordance with Section 4.05. Any audit shall be made at the City's sole cost and
expense and may be performed at any time during regular business hours by the City's internal
auditors or an independent auditing flan on 30 days written notice to the District. For the purpose
of any audits, the District shall maintain and make available to the City or its representatives all
books, records, documents and other evidence of accounting procedures or practices in whatever
form maintained sufficient to reflect the expenditure of all Sales and Use Tax revenues that are
subject to this Agreement.
ARTICLE VI. SERVICES PROVIDED BY THE DISTRICT
6.01. Water, Sewer, and Drainage Services
The District shall develop, own, operate, and maintain at its sole cost and expense a water,
wastewater, and drainage system in the Tract. The District agrees to operate and maintain water,
wastewater, and drainage facilities at the same level as the District has operated and maintained
them throughout the District's territory before the Implementation Date. The City shall have the
right to periodically inspect the District's water, wastewater, and drainage facilities. Additionally,
the District shall own, operate and maintain at its sole cost and expense, the District's water,
wastewater, and drainage system in the Tract and will promptly repair any of its facilities so as to
prevent leakage. However, should the District fail to operate and maintain the District's Water
System in a manner consistent with sound engineering principles and should such failure become
a danger to the continued proper operation of any portion of the City's Water System as determined
at the sole discretion of the City then such failure shall be considered an Event of Default.
6.02. District's Water System.
The District shall acquire or construct, or cause to be acquired or constructed the District's
Water System. No cost of the District's acquisition or construction of the District's Water System,
including engineering fees, the acquisition of any lands or easements in connection therewith, and
obtaining the approval of any regulatory agency shall be borne by the City.
A. City Approval of Plans and Specifications.
Prior to the initiation of any construction of the District's Water System, the
engineers of the District shall submit to the City for written approval the plans and
specifications for the District's Water System. No construction of the District's Water
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System shall begin until such plans and specifications are approved in writing by the City
Manager. The District's Engineer will provide the City, upon completion of the
construction, with one set of "as built" drawings, which meet the approval of the City
Manager and certification that the District's Water System was built in accordance with
the City's standard plans and specifications and as indicated in the ``as built" drawings.
The District will likewise obtain approval for and supply the City with "as built" drawings
and similar certification for any subsequent alterations or modifications made to the
District's Water System during the term of this Agreement.
B. Inspection
The District specifically grants the City the right to inspect at any time any and all
construction of the District's Water System in order to determine whether such
construction is in conformance with the City's standards and the approved plans and
specifications. Should all or any portion of the District's System, whether detected during
construction or after completion thereof, be found not to conform in some material respect
with the City's standards or the approved plans and specifications, then the District shall
immediately upon receiving written notice from the City of such non-conformance take
those remedial steps necessary to meet the required standards. Failure to adequately and
timely remedy the District's System shall be construed as an Event of Default for which
no additional opportunity to cure shall be given.
C. Points of Connection.
The points of connection between the City's Water System and the District's Water
System shall be approved by the City Manager and shall not be changed without prior
written approval of the City Manager.
D. Completion of Construction.
Upon completion of the construction provided for in this article, both the City and
the District agree as follows: (1) the City shall deliver to the District and the District shall
accept from the City water for the price and at the point or points of delivery herein
provided, consistent with other limitations as stated herein.
E. Commencement of Use of Interconnections.
The Interconnections shall be placed into operation only upon the inspection and
approval of the Interconnections and the District's Water System by the engineers of the
City and the District. Furthermore, the City reserves the right to reject any Interconnection
designated by the District which would, in effect, interfere with or increase the cost of any
other facilities or operations which the City might wish to construct or implement, or plan
to construct or implement, or which would adversely affect the City's ability to provide
water services to any of its customers.
F. Meters
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4938-8307-5386.v2
(1) Water Measuring Equipment.
The District will, at its sole cost and expense, furnish and install at any and
all interconnections all measuring equipment as may be required by the city,
including, but not limited to, meters, totalizers, backflow preventers and devises of
standard type for measuring and recording accurately the quantity of water
delivered within an accuracy tolerance of two percent (2%) plus or minus for a
given rate of flow. It is expressly understood and agreed by the parties hereto that
a compound master meter, measuring total flow through the Interconnection having
an accuracy tolerance of two percent plus or minus for a given rate of flow, is
required and must be approved and inspected by the City prior to the City being
obligated under this Agreement to deliver any water to the District. Such measuring
equipment shall be approved by the City; and after the City's approval of the
installation, the same shall become the property of the City.
(a) inspection.
During all reasonable hours, the City and the District shall have
access to such measuring equipment so installed. The City shall have access
to all records pertinent to determining the measurement and quantity of
treated water actually delivered hereunder, but the reading of the meters for
purposes of individual billing shall be done by the District.
(b) Calibration.
After approved installation thereof, the City shall perform, at its own
cost and expense, periodic calibration tests on the primary measuring
equipment so installed in order to maintain the accuracy tolerance within
the guarantees of the manufacturer thereof, not to exceed tolerance of two
percent (2%), at least once every twelve (12) months. At reasonable
intervals, the City agrees to properly check and calibrate the flow recording
the totalizing measuring equipment for the purpose of ascertaining its
condition of accuracy. The City agrees to notify the District at least forty-
eight (48) hours in advance of the time any test is to be made, to permit the
District to observe such test and to furnish the District with a copy of the
results of all checks and calibration tests performed on said measuring
equipment. If any tests or calibration checks show a condition of
inaccuracy, adjustments shall be made immediately so said measuring
equipment will register correctly within the aforesaid accuracy tolerance
addition, the District shall have the right to independently check said
measuring equipment at any time upon at least forty-eight (48) hours'
notification to the City Manager.
(c) Check Meters.
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The City may install, at its own cost and expense, such check meters
in the District's pipeline as may be deemed appropriate and the District shall
have the right of ingress and egress to such check meters during all
reasonable hours; provided, however that the billing computation shall be
on the basis of the results of the measuring equipment set forth in Section
5.02.F(1) hereinabove.
(d) Inaccuracy Adjustments.
If, upon any test, the percentage of inaccuracy of any measuring
equipment is found to be in excess of five percent (5%) for the aforesaid
given rate of flow, then the District's account shall be adjusted for a period
extending back to the time when such inaccuracy began, if such time is
ascertainable, and if such time is not ascertainable, for a period extending
back one-half (1/0) of the time elapsed since the date of the last test, or, the
date of the last adjustment to correct the registration, whichever is later, but
not to exceed one hundred twenty (120) days. If, for any reason, the
measuring equipment is out of service or out of repair and the amount of
treated water delivered cannot be ascertained or computed from the reading
thereof, water delivered during the period shall be estimated and agreed
upon by the parties hereto on the basis of the best data available.
(e) Independent Check of Metering Equipment.
In the event of a dispute between the District and the City as to the
accuracy of the testing equipment used by the City to conduct the test of
accuracy upon the meters being used, an independent check may be
mutually agreed upon between the District and the City to be conducted by
an independent measuring equipment company suitable to both the District
and the City, the cost of such test to be at the District's sole expense.
(f) Given Rate of Flow.
As used in this Article, the expression "given rate of flow" means
the total quantities of treated water delivered during the preceding period
(usually a calendar month) as reflected by the recording devices, divided by
the number of days in the period.
G. City's Plumbing Code.
The District covenants and agrees to comply with the City's current Plumbing Code
and all amendments thereto for water distribution facilities and agrees not to permit
plumbing work relating to water service or allow connection to the District's Water System
except in compliance with the City's Code and after inspection and approval by the
District's operator or other authorized representative. The District shall, after such
inspection and approval and prior to service to the facility, submit to the City an affidavit
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of inspection certifying that the all requirements of the City's Plumbing Code have been
satisfied.
The District further agrees that all plumbing connections shall be maintained in
compliance with the Plumbing Code requirements of the City. In order to enforce this
provision, the City inspectors shall be permitted to act for and on behalf of the District or
in lieu of the District's operator, and the District will enforce any notice issued by such
inspectors. If any such notices are not complied with, the District shall discontinue service
when this may be legally done pursuant to the District's Rate Order upon the request of the
City to do so. A copy of such rate order is attached hereto as Exhibit "C" and incorporated
herein for all intents and purposes. Failure of the City to act on behalf or in lieu of the
District shall not be held construed as a waiver of the right to so act in the future or to
exercise any right or remedy occurring as a result of the District's default.
Should the District for any reason fail to enforce the standards established by the
City Plumbing Code for water facilities or should the District fail to comply with the
foregoing provisions of this section, such failure shall be an Event of Default.
6.03. Outside Service Contracts.
The District agrees that should the District desire to delegate responsibility for maintenance
or for supervision of the District's Water System to any individual or entity other than its own
employees, then any such proposed service arrangement, by written contract or otherwise, must
be approved in writing by the Director, whose consent shall not be unreasonably withheld, prior
to execution by the parties. Failure of the District to submit any such proposed service agreement
to the Director prior to its execution shall be considered an Event of Default. Any outside service
agreement, whether submitted to the City or not, shall contain a clause terminating the service
agreement as to the District on the date of annexation of the District for frill purposes by the City.
6.04 Title to and Responsibility for Water.
Title to, possession, and control of water shall remain in the City, or its assigns, to the point
of delivery where title to possession, and control of water delivered under this contract shall pass
from the City to the District; and the District will take such title, possession and control at such
point of delivery. As between the parties hereto, the City shall be in exclusive control and
possession of the water deliverable hereunder and solely responsible for any damage or injury
caused thereby until the same shall have been delivered to the District at such point of delivery,
after which delivery the District shall be in exclusive control and possession thereof and solely
responsible from any injury or damage caused thereby, and such party respectively shall save and
hold the other party harmless from all claims demands, and cause of action which may arise while
said water is under its respective ownership and control. The City shall not be responsible in
damages for any failure to supply water or for interruption of the water furnished hereunder. The
District agrees to save harmless the District from all damage to real and personal property
occasioned or caused by the making of the water connection or connections herein referred to or
caused by the furnishing of water hereunder, and shall also save and keep harmless the City from
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4938-8307-5386.v2
all damage of any kind, nature and description which may arise as the result of the making of this
Agreement.
ARTICLE VII. SERVICES PROVIDED BY THE CITY
7.01. Water Services
A. Generally.
Subject to the terns and conditions of this Agreement, City agrees to sell and
deliver (or cause to be delivered) to the District, the District's water requirements of treated
water, and the District agrees to purchase from City, the District's treated water
requirements for resale during the term of this Agreement for water services to be supplied
in the Tract. The District's total treated water requirements shall mean the total quantity
of treated water the District needs to conduct operations, use or resell within the Tract.
B. No Guarantee.
The District shall not be guaranteed any specific quantity or pressure of water for
the services to be provided herein by the City if the City's water supply is limited or when
the District's equipment may become inoperative due to unforeseen breakdown or
scheduled maintenance and repairs, and the City is in no case to be held to any liability for
failure to furnish any specific amount or pressure of water. The City agrees that it will
attempt to make any necessary repairs or adjustments to its equipment within reasonable
times mutually agreeable to both parties.
C. Service Contracts with Other Entities.
The District shall not permit any entity located outside the Tract to connect to the
District's Water System during the tern of this Contract without the express prior written
consent of the City. Failure to comply with this provision shall constitute an Event of
Default.
7.02. Other Services
The City shall apply and enforce the City's Applicable Ordinances within the Tract as more
particularly provided in Section 3.01 of this Agreement.
7.03. No Further Services
The Parties expressly understand and agree that the City will only provide those services
listed in Section 6.01 and 6.02 during the term of this Agreement. The City shall have no
obligation to extend any City municipal services not expressly agreed to herein.
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ARTICLE VIII. OBLIGATIONS OF THE DISTRICT PERTAINING TO THE CITY'S
PROVISION OF WATER
8.01. Fees paid by the District for Services provided by the City.
The District shall be obligated to pay in consideration for the water services to be provided
by the City the applicable Capital Buy -In Fees, Connection Fees, Impact Fees, monthly service
charges and other fees imposed by the City for the provision of water services at the time of
connection or delivery of services, whichever is applicable. The appropriate fees shall be
determined at the time of connection or delivery of services; and nothing contained herein shall be
construed to require the City to provide the services herein at the rate in effect on the Effective
Date.
A. Capital Buy -In Fees.
The District shall pay Capital Buy -In Fees, if any, as needed prior to making
individual service connections, pursuant to the City's Code.
B. Connection Fees,
The District shall pay to the City Connection Fees in effect at the time of connection
to be paid prior to making any service connections within the Tract.
C. Impact Fees
To defray the costs of constructing capital improvements or facility expansions, the
District shall pay Impact Fees, if any, in accordance with the City's Code.
D. Monthly Service Charge.
The District shall pay to the City in monthly installments a service charge (to cover
the City's operation and maintenance) equal to the charges imposed on the City's other
water customers located outside the City limits. The charge shall be calculated on the basis
of the metered water use or otherwise for each connected user, based the provisions for
such calculation found in the City's Water Service Rate Ordinance, which may be amended
from time to time, as modified for customers outside the City limits A copy of the City's
present rate ordinance for water service, as set forth in Chapter 98, Article III of the Code
of Ordinances of the City of Baytown is attached as Exhibit "D" and incorporated herein.
The District agrees that the payment due herein shall be calculated by using the water
delivered as measured by the sum of the individual metered usage within the Tract. The
District will cause a report to be generated from its monthly billing cycle for all meters
within the Tract and this report will be forwarded to the City along with the monthly
payment. All properties within the Tract receiving water shall be individually metered. The
individual meters within the Tract will be read in accordance with the City's Code.
E. Annual Adjustment of Capacities.
Strategic Partnership Agreement, Page 13
4938-8307-5386.v2
It is expressly understood and agreed that the City shall not be obligated to deliver
to District treated water in excess of the Contract Quantity which shall be the daily average
per day of MGD. Commencing _, 2025, the Contract Quanty and the
capacities reserved shall be adjusted annually to a quantity that equals one hundred ten
percent (110%) of the average number of MGD used within the District within the previous
twelve (12) month period; provided that the actual quantity does not exceed the Contract
Quantity as of the Effective Date of this Agreement.
8.02. Right of Inspection.
The City shall have the right at any time by actual count or by an inspection of the District's
books, records and accounts to determine the number of water connections served by the District
in the Tract and to determine if the appropriate amount has been tendered by the District to the
City pursuant to this Agreement, and the District shall have the right at any time to inspect the
City's books, records and accounts to verify the charges levied by the City. It shall be the duty of
the parties to cooperate fully with each other in any such count, inspection or audit. All books,
records and accounts shall be open for inspection at all reasonable hours for any authorized
representative of the parties.
8.03, Billing and Payments.
Payment by the District to the City shall be made within thirty (30) days following the
receipt of the bill. Upon receipt of such bill, the District shall calculate the amount due by virtue
of this Agreement based upon the individual metered use in the Tract. Such amount shall be due
as though it were invoiced directly by the City. Any sums payable by the District to the City under
this Contract which are not paid within thirty (30) days following the receipt of the bill shall bear
interest at the rate of one percent (1 %) per month from the date such indebtedness matured until
payment. If the District defaults on the payment of any bill, and the amount so past due and unpaid,
including interest thereon, is collected by the City by suit, there shall be reasonable attorneys' fees
added thereto for collection thereof by suit. Failure to pay charges when due shall constitute an
Event of Default. Notwithstanding any of the above, in the event the District fails to tender
payment of any amount when due and such failure continues for forty-five (45) days after notice
in writing to the District of such default, the City may suspend delivery of services offered
hereunder, but the exercise of such right shall be in addition to any other remedy available to the
City.
8.04 Service Charge Modifications.
Although the City believes that the present charge for such services as set forth herein are
fair and reasonable; nonetheless, the parties realize that due to unforeseen contingencies, the City
may increase the charges for such services, whether by amendment of the rate schedule for like
services outside the City limits upon which the service charges levied hereunder are based, or by
other means. It is agreed, however that such charges shall not be increased as to the District during
the term of this Agreement unless the rates for other customers purchasing such services from the
City outside the City limits are also increased pro rata.
Strategic Partnership Agreement, Page 14
4938-8307-5386.v2
8.05 Operating Expense and Covenants as to Rates.
The sums to be paid the City by the District under the terms of this Contract are declared
by the District to be an essential cost of operating and maintaining the District's Water System as
a part of the District's waterworks system and such costs shall be first charge upon the gross
revenues received from the District's Water System as a part of the District's combined
waterworks, sanitary sewer and drainage system, and such costs shall be a first charge upon the
gross revenues received from the District's operation of said system. The District agrees to
establish and maintain rates sufficient to pay all costs and expenses of operation and maintenance
of the District's Water System.
8.06 Representations and Indemnifications.
The City covenants and agrees that it will not contract for the sale of water to other users
to such an extent or for such quantities as to impair the City's ability to perform fully and
punctually its obligations to the District under this contract. In case of temporary shortage of water
notwithstanding the City's compliance with the provisions of this Article, the City shall distribute
the available supply as provided by the laws of the State of Texas. It is specifically agreed and
understood that this agreement contemplates that the District will resell the water purchased
pursuant to the terms hereof.
Pursuant to the Amendatory Contract entered into by the City of Houston and the San
Jacinto River Authority, a copy of which is attached hereto as Exhibit "E" and incorporated herein
for all purposes, and not withstanding any other provision of this contract to the contrary, the
District covenants and agrees that it takes the treated water under this contract from City for solely
municipal purposes, as such term is defined by the TNRCC rules, currently in effect or hereinafter
amended, and no other purposes. Such treated water shall be sold, distributed or used and
ultimately consumed only for residential household or other strictly municipal purposes
exclusively within the Tract.
The District understands and agrees that the City, the Baytown Area Water Authority, the
City of Houston or the San Jacinto River Authority, or any combination thereof, may enforce the
covenants contained in this Article by an action brought directly against the District. In the event
that the City maintains any legal proceeding to enforce such covenants, the District agrees to
indemnify the City in the amount of all expenses relating to the legal proceeding, including, but
not limited to, costs of court and reasonable attorney's fees.
The District acknowledges that the City may be liable to the Baytown Area Water
Authority, the City of Houston and/or the San Jacinto River Authority for monetary damages in
the event that the District or any purchaser of water from or through the District fails to comply
with the restrictions and limitations on the sale of water set out in this Article. The District
acknowledges that such monetary damages would amount to seventy-five percent (75%) of the
consideration or revenue received by the City for the estimated amount of water distributed, sold
or used in violation of such restrictions or limitations plus all litigation expenses, reasonable
attorney fees, and all other remedies available to the Baytown Area Water Authority, the City of
Strategic Partnership Agreement, Page 15
4938-8307-5386.v2
Houston and/or the San Jacinto River Authority. The District hereby agrees to fully indemnify,
hold harmless and defend the City from and against any such expenses and liability which the City
might incur or any loss the City might suffer as a result of any failure by the District or any
purchaser of water from or through the District, to comply with such restrictions and limitations.
The District further agrees to include covenants in any sales or contracts for sale of water by the
District to any other entity to ensure that said other entity will likewise indemnify, hold harmless
and defend the City. The District agrees to submit the wording of such covenants for the written
approval of the City prior to entering into such contracts.
The District acknowledges that the City of Houston may be liable to the San Jacinto River
authority for monetary damages in the event that the District or any purchaser of water from or
through the District fails to comply with the restrictions and limitations on the sale of water set out
in this Article. The District acknowledges that such monetary damages would amount to seventy-
five percent (75%) of the consideration or revenue received by the City of Houston for the
estimated amount of water distributed, sold or used in violation of such restrictions or limitations
plus all litigation expenses, reasonable attorney fees, and all other remedies available to the San
Jacinto River Authority. The District hereby agrees to fully indemnify, hold harmless and defend
the City of Houston from and against any such expenses and liability which the City of Houston
might incur or any loss the City of Houston might suffer as a result of any failure by the District
or any purchaser of water from or through the District, to comply with such restrictions and
limitations. The District further agrees to include covenants in any sales or contracts for sale of
water by the District to any other entity to ensure that said other entity will likewise indemnify,
hold harmless and defend the City of Houston. The District agrees to submit the wording of such
covenants for the written approval of the City prior to entering into such contracts.
On or before the first anniversary of the date this agreement is signed, the District shall
approve and implement and throughout the term hereof remain in full compliance with a water
conservation program in accordance with the requirements of the TNRCC. Such plan and any
amendments thereto shall be submitted to the appropriate authority as required by state law for
review and approval. In the event that the TNRCC adopts new requirements, the District shall
adopt an amended plan and submit same to the appropriate authority for review and approval.
Within thirty (30) days after the term of this contract, the District shall furnish the City
with a statement, under oath, showing the quantities and sources of all water for use or resale by
the District.
ARTICLE IX. FULL -PURPOSE ANNEXATION
9.01. No Full Purpose Annexation During Term of Agreement
The City agrees that it will not annex all or part of the District or commence any action to
annex all or part of the District for full purposes during the term of this Agreement, except by
mutual agreement of the Parties.
9.02. Full Purpose Annexation Option at Termination of Agreement
Strategic Partnership Agreement, Page 16
4938-8307-5386.v2
On or before June l , 2044, the City Manager shall evaluate whether the City should
negotiate a new strategic partnership agreement with the District, annex the District for fitll
purposes upon the termination of this Agreement, or allow this Agreement to expire. Within six
months of such date, the City Manager shall make a recommendation to the City Council regarding
the negotiation of a new strategic partnership agreement, the full -purpose annexation of the
District, or the expiration of this Agreement. If the City Manager recommends that the City
negotiate a new strategic partnership agreement or annex the District and the City Council
approves such recommendation, the City shall begin proceedings to enter into a new strategic
partnership agreement or to annex the District for fiill purposes at the end of the term of this
Agreement as applicable. If the City Manager recommends that the City neither negotiate a new
strategic partnership agreement nor annex the District for full purposes, and the City Council
agrees or if the City Council rejects the City Manager's recommendation to negotiate a new
strategic partnership agreement or to annex the District for full purposes, the City may begin
proceedings to deannex the Tract for limited purposes if authorized under the applicable provision
of the Local Government Code. If the City decides to deannex the Tract, the City may institute
proceedings to accomplish such deannexation to be effective upon the termination of this
Agreement.
ARTICLE X. MATERIAL BREACH, NOTICE AND REMEDIES
10.01. Material Breach of Agreement
A. It is the intention of the Parties to this Agreement that the District and the City be
regulated in accordance with the terms of this Agreement. A material breach of this Agreement
by the District includes any one or more of the following:
1. Failure of the District to act in good faith in the annexation of the Tract by the City
for limited purposes as authorized by this Agreement;
2. Failure of the District to timely pay any fee or sum owed to the City as required in
this Agreement;
3. Failure of the District to develop and to operate and maintain the District' s water,
sewer, and drainage facilities as provided in Article IV; or
An Event of Default, as stated from time to time herein
B. A material breach of this Agreement by the City includes any one or more of the
following:
l . Failure of the City to provide water services as required herein; or
2. any attempt by the City to annex the District for full purposes during the term of
this Agreement to which the District has not consented or agreed.
Strategic Partnership Agreement, Page 17
4938-8307-5386.v2
If a Party to this Agreement believes that another Party has, by act or omission, committed
a material breach of this Agreement, the provisions of this Article shall govern the remedies for
breach of this Agreement.
10.02. Notice of District's Default
A. The City shall notify the District in writing of an alleged failure by the District to comply
with a provision of this Agreement, describing the alleged failure with reasonable particularity.
The District shall, within 30 days after receipt of the notice or a longer period of time as the City
may specify in the notice, either cure the alleged failure or, in a written response to the City, either
present facts and arguments in refutation or excuse of the alleged failure or state that the alleged
failure will be cured and set forth the method and time schedule for accomplishing the cure.
B. The City shall determine (1) whether a failure to comply with a provision has occurred;
(11) whether the failure is excusable; and (iii) whether the failure has been cured or will be cured
by the District. The District shall make available to the City, if requested, any records, documents
or other information necessary to make the determination.
C. If the City determines that the failure has not occurred, or that the failure either has been
or will be cured in a manner and in accordance with a schedule reasonably satisfactory to the City,
or that the failure is excusable, the determination shall conclude the investigation.
D. If the City determines that a failure to comply with a provision has occurred and that
the failure is not excusable and has not been or will not be cured by the District in a manner and
in accordance with a schedule reasonably satisfactory to the City, then the City may exercise the
applicable remedy under Section 9.04(A).
10.03. Notice of City's Default
A. The District shall notify the City Manager in writing specifying any alleged failure by
the City to comply with a provision of this Agreement, describing the alleged failure with
reasonable particularity. The City shall, within 30 days after receipt of the notice or the longer
period of time as the District may specify in the notice, either cure the alleged failure or, in a
written response to the District, either present facts and arguments in refutation or excuse of the
alleged failure or state that the alleged failure will be cured and set forth the method and time
schedule for accomplishing the cure.
B. The District shall determine (1) whether a failure to comply with a provision has
occurred; (11) whether the failure is excusable; and (Ili) whether the failure has been cured or will
be cured by the City. The City shall make available to the District, if requested, any records,
documents or other information necessary to make the determination.
C. If the District determines that the failure has not occurred, or that the failure either has
been or will be cured in a manner and in accordance with a schedule reasonably satisfactory to the
District, or that the failure is excusable, the determination shall conclude the investigation.
Strategic Partnership Agreement, Page 18
4938-8307-5386.v2
D. If the District determines that a failure to comply with a provision has occurred and that
the failure is not excusable and has not been or will not be cured by the City in a manner and in
accordance with a schedule reasonably satisfactory to the District, then the District may exercise
the applicable remedy under Section 9.04(B).
10.04. Remedies
A. If the City determines that the District has committed a material breach of this
Agreement, the City may, and the District explicitly recognizes the City's right to, tenninate
service under this Agreement and to seek all remedies at law or in equity necessary to enforce the
provision(s) violated. Termination of service pursuant to this article shall not limit the City's
remedies at law or in equity.
B. If the District determines that the City has committed a material breach of this
Agreement, the District may file suit in a court of competent jurisdiction in Harris County, Texas,
and seek any relief available at law or in equity, including, but not limited to, an action under the
Uniform Declaratory Judgment Act in addition to the monetary awards as may be appropriate.
ARTICLE XI. BINDING AGREEMENT, TERM, AND AMENDMENT
11.01. Beneficiaries
This Agreement binds and inures to the benefit of the Parties, their successors and assigns,
special districts imposing a sales and use tax within that portion of the City lying within Chambers
County, and, only as provided in Article VI, the Landowners. In the event of a material breach of
Article VI by the City, the Landowners shall have the same rights as the District and shall follow
the same procedures as the District as set out in Article VIII. The District shall record this
Agreement with the County Clerk in Official Records of Chambers County, Texas. This
Agreement binds each owner and each future owner of land included within the District' s
boundaries in accordance with Subsection (c) of the Act.
11.02. Term
This Agreement commences and binds the Parties on the Effective Date and continues until
June 14, 2044, unless earlier terminated; provided that (1) City's contract with the Baytown Area
Water Authority for the purchase of treated water in sufficient quantities to supply the District
under the terms and conditions in effect at the time of the execution of this Agreement remain
unchanged and (11) the Baytown Area Water Authority's contract with the City of Houston for the
purchase of raw water in sufficient quantities to supply the Baytown Area Water Authority under
the terms and conditions in effect at the time of the execution of this Agreement remain unchanged.
This Agreement shall be automatically extended for additional five (5) year terms if, and only if:
both of the conditions, numbered (1) and (11), contained in the preceding sentence are
satisfied, and
Strategic Partnership Agreement, Page 19
4938-8307-5386.v2
the Water Supply and Waste Disposal Agreement dated March 4, 1996 between the City
and District is not terminated prior to its expiration and is renewed for an additional five
year period,
unless either party gives written notice of termination one (1) year prior to the date of any such
automatic extension. However, both parties expressly understand and agree that should any
portion of the property involved in this Agreement become annexed by the City of Baytown for
full purposes, this Agreement may terminate with respect to such area at the sole option of the
City. Additionally, should the City's contract with the Baytown Area Water Authority or the
Baytown Area Water Authority's contract with the City of Houston be terminated for any reason
or should the City become legally unable to supply the District, then this contract shall terminate
automatically at the time of the such termination or inability.
11.03. Amendment
The Parties by mutual consent may amend the terms and conditions of this Agreement at
any time.
ARTICLE XII. MISCELLANEOUS PROVISIONS
12.01 Force Majeure.
In the event any party is rendered unable, wholly or in part, by force majeure to carry out
any of its obligations under this Agreement, it is agreed that on such party 's giving notice and full
particulars of such force majeure in writing or by telegraph to the other party as soon as possible
after the occurrence of the cause relied upon, then the obligations of the party giving such notice,
to the extent it is affected by force majeure and to the extent that due diligence is being used to
resume performance at the earliest practicable time, shall be suspended during the continuance of
any inability but for no longer period. Such cause shall as far as possible be remedied with all
reasonable dispatch.
The term "force majeure" as used herein, shall include, but not be limited to acts of God,
strikes, lockouts or other industrial disturbances, acts of the public enemy, war, blockades,
insurrections, riots, epidemics, landslides, lightening, earthquakes, fires, storms, floods, washouts,
droughts, tornadoes, hurricanes, arrests and restraints of governments and people, explosions,
breakage or damage to machines or pipelines and any other inabilities of either party, whether
similar to those enumerated or otherwise and not within the control of the parties claiming such
inability, which by the exercise of due diligence and care such party could not have avoided.
It is understood and agreed that the settlement of strikes or lockouts shall be entirely within
the discretion of the party having the difficulties, and the above -referenced requirement that any
force majeure be remedied with all reasonable dispatch shall not require the settlement of strikes
or lockouts by acceding to demands of the opposing party when such course is inadvisable in the
discretion of the party having the difficulty.
12.02 Approval.
Strategic Partnership Agreement, Page 20
4938-8307-5386.v2
Whenever this Agreement requires or permits approval or consent to be hereinafter given
by any party, such approval or consent shall not be unreasonably withheld, and, if finally given,
shall be effective without regard to whether such approval or consent is given before or after the
time required herein. Such approval or consent on behalf of a party shall be evidenced by an
ordinance or resolution adopted by the governing body of the party, or by an appropriate certificate
executed by a person, firm or entity previously authorized to determine and give such approval or
consent on behalf of the party pursuant to an ordinance or resolution adopted by the governing
body, unless stated otherwise herein.
12.03. Notice
Any formal notices or other communications ("Notice") required to be given by one Party
to another by this Agreement shall be given in writing addressed to the Party to be notified at the
address set forth below for such Party, (i) by delivering the same in person, (11) by depositing the
same in the United States Mail, certified or registered, return receipt requested, postage prepaid,
addressed to the Party to be notified, (111) by depositing the same with Federal Express or another
nationally recognized courier service guaranteeing "next day delivery," addressed to the Party to
be notified, or (iv) by sending the same by telefax with confirming copy sent by mail. Notice
deposited in the United States mail in the manner herein above described shall be deemed effective
from and after the date of such deposit. Notice given in any other manner shall be effective only
if and when received by the Party to be notified. For the purposes of notice, the addresses of the
Parties, until changed as provided below, shall be as follows:
All Notices required or permitted hereunder shall be in writing and shall be served on the
Parties at the following address:
City: City of Baytown
Attn: City Manager
P.O. Box 424
Baytown, Texas 77522
District: Chambers County Municipal Utility District No. 1
Young &Brooks
10000 Memorial Drive Suite 260
Houston, TX 77024
Fax: (713) 951-9605
The Parties shall have the right from time to time to change their respective addresses, and
each shall have the right to specify as its address any other address within the United States of
America by giving at least five days written notice to the other Parties. If any date or any period
provided in this Agreement ends on a Saturday, Sunday, or legal holiday, the applicable period for
calculating the notice shall be extended to the first business day following such Saturday, Sunday
or legal holiday.
12.04. Time
Time is of the essence in all things pertaining to the performance of this Agreement.
Strategic Partnership Agreement, Page 21
4938-8307-5386.v2
12.05. Severability
All parties agree that should any provision of this Agreement be determined to be invalid
or unenforceable, such determination shall not affect any other term of this Agreement, which shall
continue in full force and effect.
12.06. Waiver
Any failure by a Party hereto to insist upon strict performance by the other Party of any
material provision of this Agreement shall not be deemed a waiver thereof or of any other provision
hereof, and such Party shall have the right at any time thereafter to insist upon strict performance
of any and all of the provisions of this Agreement.
12.07. Applicable Law and Venue
The construction and validity of this Agreement shall be governed by the laws of the State
of Texas without regard to conflicts of law principles. Venue shall be in Harris County, Texas.
12.08. Reservation of Rights
To the extent not inconsistent with this Agreement, each Party reserves all rights,
privileges, and immunities under applicable laws.
12.09. Further Documents
The Parties agree that at any time after execution of this Agreement, they will, upon request
of another Party, execute and deliver such further documents and do such further acts and things
g
as the other Party may reasonably request in order to effectuate the terms of this Agreement.
12.10. Incorporation of Exhibits and Other Documents by Reference
All Exhibits and other documents attached to or referred to in this Agreement are
incorporated herein by reference for the purposes set forth in this Agreement.
12.11. Effect of State and Federal Laws
Notwithstanding any other provision of this Agreement, the District shall comply with all
applicable statutes, rules, regulations, and ordinances of the United States and the State of Texas,
Chambers County as well as the City, as such statutes, rules, regulations and ordinances now exist
or as may be hereinafter amended.
12.12. Construction of Agreement.
The parties agree that this Agreement shall not be construed in favor of or against any party
on the basis that the party did or did not author this Agreement.
Strategic Partnership Agreement, Page 22
4938-8307-5386.v2
12.13. Entire Agreement
This Agreement, including the exhibits hereto, contains all the agreements between the
parties hereto with respect to the strategic partnership and may not be modified orally or in any
other manner other than by an agreement in writing, signed by all the parties hereto or their
respective successors in interest.
12.14. Headings
The headings as to contents or particular articles or sections herein are inserted only for
convenience, and they are in no way to be construed as a part of this Agreement or as a limitation
on the scope of the particular sections to which they refer.
12.15. Ambiguities
In the event of any ambiguity in any of the terms of this Agreement, it shall not be construed
for or against any party hereto on the basis that such party did or did not author the same.
12.16. Agreement Read
The parties acknowledge that they have read, understand and intend to be bound by the
terms and conditions of this Agreement.
12.17. Multiple Originals
It is understood and agreed that this Agreement may be executed in a number of identical
counterparts each of which shall be deemed an original for all purposes.
12.18. Authority for Execution
The City hereby certifies, represents, and warrants that the execution of this Agreement is
duly authorized and adopted in conformity with the City Charter and City Ordinances. The District
hereby certifies, represents, and warrants that the execution of this Agreement is duly authorized
and adopted by the Board.
Strategic Partnership Agreement, Page 23
4938-8307-5386.v2
IN WITNESS WHEREOF, the parties have executed this Contract in multiple copies, each
of which shall be an original, as of the date signed by the City Manager of the City of Baytown.
CHAMBERS COUNTY MUNICIPAL
UTILITY DISTRICT NO. 1
By:
Signature
Printed Name
Title
ATTEST:
By:
Signature
Printed Name
Title
STATE OF TEXAS
COUNTY OF HARRIS §
This instrument was acknowledged before me this day of , 20245
by , as President, and , as Secretary,
of Chambers County Municipal Utility District No. 1, a political subdivision of the State of Texas,
on behalf of said political subdivision.
Notary Public in and for the State of Texas
(NOTARY SEAL)
Strategic Partnership Agreement, Page 24
4938-8307-5386.v2
CITY OF BAYTOWN, TEXAS
0
ATTEST:
0
Angela Jackson, City Clerk
APPROVED AS TO FORM:
wo
Scott Lemond, City Attorney
STATE OF TEXAS
COUNTY OF HARRIS §
Jason Reynolds, City Manager
This instrument was acknowledged before me this day of , 20241 by
as President, and , as City Manager
of the City of Baytown, Texas, a municipal corporation, on behalf of said municipal corporation.
Notary Public in and for the State of Texas
Strategic Partnership Agreement, Page 25
4938-8307-5386.v2
EXHIBIT "A"
(Ley,al Description of Tract)
DESCRIPTION OF A TRACT OF LAND CONTAINiNG
1.670 ACRE.' (72,762 SQUARE FEET) SITUATED IN
THE W'ILLIAM BLOODGOOD AUGMENTATION SURVEY,
A-5, CHAMBERS COUNTY, TEXAS
Being a tract of land containing 1.670 acres (72.762 square feet) situated in the William Bloodgood
Au mentation Survev. A-5 in Chambers County. Texas, and beino out of the residue of a called 56.759-acre tract
described in deed to Baytown-45 Residential Development LP., and recorded under County Clerk's File No.
2021-163989 of the Official Public Records of Chambers County. Texas. Said 1.670-acre tract being more
particularly described by metes and bounds as follows:
BEGINNING at a set 5/8-inch iron rod with yello%\ cap stamped "'Cobb Fendley Associates" located in
the north right-of=\kay line of Kilgore Parkway (120 feet Wide). as recorded in Volume 1295. Page 281. Official
Public Records of Chambers County, Texas, for the most southerly south pest corner of said 56.759-acre tract, the
southeast corner of a called 0.0918-acre tract (Channel Tract D-C) as shown on surveti prepared by Wells Land
Survev. Job No. 407-16-B dated August 15. 2016 and for the southwest corner of said tract herein described:
THENCE North 07' 49' 32" West. with the west line of said 56.759-acre tract and the east line of said
0.0918-acre tract. a distance of 19.75 feet to a set '`X" cut in concrete for the northeast corner of said 0.0918-acre
tract and for an angle point on the \west line of said tract herein described,
THENCE South 77' 27' 24" West. continuing w-ith a south line of said 56.759-acre tract and the north
line of said 0.0918-acre tract, a distance of 35.00 feet to a set "X" cut in concrete for the most westerly southwest
corner of said 56. 7 59-acre tract. for the southeast corner of a called 4.069-acre tract (Tract 1) described in deed to
Chambers County, Texas, and recorded in Volume 1664. Page 100 of the Official Public Records of Chambers
County" Texas. and for an angle point on the west line of said tract herein described:
THENCE North 07' 49' 32" W'est. with the west line of said 56.759-acre tract and the east line of said
4.069-acre tract. a distance of 302.67 feet to a found 5/8-inch iron rod with yellow cap stamped "Cobb Fendley &
Associates"' for the south%vest corner of Reserve "A". of South�N inds Recreation Center Minor Plat as recorded
under County Clerk's Document No. 2022-178908 of the Map Records of Chambers County. Texas. and for the
northwest corner of said tract herein described,
THENCE North 85' 02' 26" East. departing the \pest line of said 56.759 acre tract and with the south line
of said Reserve "A" a distance of 231.87 feet to a 1t61.1nd 5/8-inch rod \\ ith yellow cap stamped "Cobb Fendley &
Associates"" located on the west right-of\\ay line ofC:rossvkinds Drive (60 feet \bide at this point, Document No.
2021-175483. %I.R.C.C.) and on a non -tangent curve to the left. for the southeast corner ofsaid Reserve -A- and
for the northeast corner of said tract herein described:
THENCE, in a southeasterly direction v\ ith the west right-of=way line of said Crossk� inds Drive and with
said non -tangent curve to the left -v\ hose radius is 435.00 feet and �\ hose central angle is 01 51 ' 58" (chord bears
South 10' 12' 18" E, a distance of 14. 17 feet) for an arc length of 14.17 feet to a set 5/8-inch rigid with yellow cap
stamped "Cobb Fendley & Associates" for the point of tangenc\ and for a corner on the east line of said tract
herein described,
THENCE South 1 1 J 08' 17" East. continuin« \\ ith the west right-of-�vav line of said Cross\N inds Drive. a
distance of 20 3.-f 1 feet to a set "X" cut in concrete for the beginning of a tangent curve to the left and for a corner
on the east line of said tract herein described:
Exhibit Page Solo
4938-8307-5386.v2
THENCE in a southeasterly direction continuing k� itll the x\ cst right-of-N\ a\ line of said Crosswinds
Drive and mth said tangent cur\ to the left \ hose radius is 400.00 feet Auld %\ hos central angle is 01' 2 ; ' 52"
(chord bears South t 1 `' _50 ' 1 .East. a distal)-c oi' 9.7(* feet) for an arc length of 9.76 feet to a set "A" ut in
concrete for the point of tangent\ and for a corner on the east Bile of said tract herein described:
'M ENCE South 12` 3 2' 08" East. kontuluing \% ith the \\ cst nuht-of=Nx a\ line of said C'rossmnds Un` c_ a
distance of 48.49 lect to a set -`X" cut in concrete for the north end of a ctit back wid for the most castcrl\
southeast corner of said tract herein described:
IHEC'E. South �?" 27� �2` �►�'est_ c011tinttln�; \\ith the hest naht-ofline of said C'ross\\lids Untie
and said cut back. a distance of 21. 21 feet to a set `_X.. cut in concrete located on the south line of said i(.7il.)-acre
tract and on the north right -of N\a\ line of said Kiluore 1'ark\%a-\. for th. south end of said cut ba t. and for the
most soutllerl\ south; ast corner of said tract herein describcd:
WHENCE South 77- 27' 52" \\rest. wth the north ngllt-of=\\a\ line of said Kilgore fart\xa\ and the south
t?
Ili: i�
of said �.75�1-acre tract. a distlilCc oof2c)t► 9 feet to the POINTOF BEGINNING and containing If 7()
acres (72.762 squarc fect ). more or less.
Notcs:
1. All bearings and distances arc based on the SouthN\ inds Section 'l hrce Final Plat.
? Square 1`64mau area `ho\\ n is for information onl\ and sun c%. or does not crtif \ accurac-\ of sun c\ to ncarest
square toot.
;. th is metes and bot►nds dcscnption is ref;,renced to a sur\ c\ plat prepared b\ Cobb. Fondle\ f.� Associatcs. Inc.
dated March 7. ?��?� and titled ` :1 L:�ltl I l'1 LE SL: h�'E�� OFA1.r�7�:i 1C'KE. c 7?_7(i2 St•) f�'l'.)
S111 AtEU 1% THE \VILLI_ M BUJODGOOU ALC;ML'Nt.-VVION SURVEY. A IN CHAMBERS
COUNTY. TEXAS".
('ubb, Fendley & Associates, Inc.
1*1311ELS Ems-ineering Finn No. 274
Land Sur\;\ ing Emil No. 1004)7()()
442.4 \V Sale Houston ['ark\\ a\ 'N. Suite 601
Houston_ 17 f{M-�
l ;-4 , ?4
1' l��il�'. ��2- 2
.lob Number 1710-i ll i ;_24-01
\Iar4ll I17. 2i'25
�E •1
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p
CHRISTOPHER B. WELLS
............... • 1. i ....
6615 - Q
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1
a 00,00000
S 16( �,
Exhibit Page Solo
4938-8307-5386.v2
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Exhibit Page Solo
4938-8307-5386.v2
EXHIBIT "B"
(Master Plan)
Exhibit Page Solo
4938-8307-5386.v2
EXHIBIT "C"
(Rate Order)
Exhibit Page Solo
4938-8307-5386.v2
EXHIBIT "D"
(Rate Ordinance for Water Service)
Exhibit Page Solo
4938-8307-5386.v2
EXHIBIT ' � E "
(Amendatory Contract)
Exhibit Page Solo
4938-8307-5386.v2
