HomeMy WebLinkAboutResolution No. 507 (Item 2.b.) RESOLUTION NO. 507
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE BAYTOWN
MUNICIPAL DEVELOPMENT DISTRICT AUTHORIZING THE PRESIDENT TO
EXECUTE AN INTERLOCAL AGREEMENT TO FUND AGREEMENTS, REBATES,
REIMBURSEMENTS, OR OTHER INCENTIVES NEGOTIATED, APPROVED,
AND/OR EXECUTED BY THE CITY OF BAYTOWN, TEXAS THROUGH A
UNIFIED CHAPTER 380 ECONOMIC DEVELOPMENT PROGRAM; AND
PROVIDING FOR THE EFFECTIVE DATE THEREOF.
BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE BAYTOWN MUNICIPAL
DEVELOPMENT DISTRICT:
Section 1: That the Board of Directors of the Baytown Municipal Development District
hereby authorizes the President to execute an Interlocal Agreement to fund agreements, rebates,
reimbursements, or other incentives negotiated, approved, and/or executed by the City of Baytown, Texas
through a unified Chapter 380 economic development program. A copy of said agreement is attached
hereto as Exhibit"A,"and incorporated herein for all intents and purposes.
Section 2: That the Board of Directors of the Baytown Municipal Development District
hereby finds that the expenditures authorized by Exhibit "A" are for improvements which satisfy the
purposes for which funds may be expended pursuant to Chapters 377 and 380 of the Texas Local
Government Code and/or Section 3888.102 of the Special District Local Laws Code. All required findings
pursuant thereto are hereby declared to have been made and adopted as findings of the Board of Directors.
Section 3: This resolution shall take effect immediately from and after its passage by the
Board of Directors of the Baytown Municipal Development District.
INTRODUCED, READ and PASSED by the affirmative vote of the Board of Directors of the
Baytown Municipal Development District, this the 141h day of May, 026.
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ANGELA YCK Ass' ecr
APPROVED AS TO FCEN1►rn�����
SCOTT L OND,General Counsel
UOrdmances and Resolutions Resolution Drafts.MDU2026-05-14 Res-Interlocal Agt-380 prog-SL.docx
Exhibit "A"
INTERLOCAL AGREEMENT BETWEEN THE CITY OF BAYTOWN, TEXAS AND
THE BAYTOWN MUNICIPAL DEVELOPMENT DISTRICT
This Interlocal Agreement (the "Agreement") is made to be effective as of the day of
202_, by and between the City of Baytown, Texas, a Texas home rule
municipality (the "City"), and the Baytown Municipal Development District, a municipal
development district created under Chapter 377, Texas Local Government Code (the "MDD").
The City and the MDD may be referred to individually as a "Party" or collectively as the
"Parties."
RECITALS
A. The City of Baytown is a Texas home-rule municipality duly authorized to exercise all
powers conferred upon home-rule municipalities under the Texas Constitution and
applicable law.
B. The MDD is a municipal development district created by the City pursuant to Chapter
377, Texas Local Government Code, for the purpose of promoting economic and
community development within the City.
C. Pursuant to Chapter 377, Texas Local Government Code, the MDD has the authority to
impose sales and use taxes within the boundaries of the City for the purposes authorized
under that chapter.
D. Section 791.003(4)(A), Texas Government Code, provides that a municipality, such as
the City, is a "local government" for purposes of the Interlocal Cooperation Act, which
Act has been codified as Chapter 791, as amended, Texas Government Code ("Chapter
791").
E. Section 791.003(4)(A), Texas Government Code, provides that a political subdivision of
the State of Texas, such as the MDD, is a "local government" for purposes of Chapter
791.
F. Section 791.011(a), Texas Government Code, provides that "[a] local government may
contract or agree with another local government ... to perform governmental functions
and services in accordance with [Chapter 791]."
G. The Parties desire to enter into this Agreement to authorize the City to provide,
administer, and implement tax abatements, economic incentives, and related programs
funded in whole or in part by the MDD's sales and use tax revenues, without the necessity
of further action or approval by the MDD Board, in furtherance of the economic and
community development purposes of the MDD and the City.
H. The adoption of this Agreement is found and determined to be in the best interest of the
residents of the City and in furtherance of the public purposes of both the City and the
MDD.
ACCORDINGLY, in consideration of the foregoing, the Parties agree as follows:
SECTION 1: AGREEMENT OF THE PARTIES
A. Authorization
The MDD hereby authorizes the City to provide, administer, and implement abatements or
economic development incentives related to and funded from MDD Sales and Use Tax
Revenues. The City may approve and execute any such abatement or economic incentive,
including entering into any related agreement with a third party, without the necessity of any
further action, approval, resolution, or vote by the MDD Board.
2. Scope
The City is authorized to:
(a) negotiate, approve, and execute tax abatement agreements and economic development
incentive agreements funded in whole or in part by MDD Sales and Use Tax Revenues;
(b) grant rebates, reimbursements, or other economic incentives to eligible persons or
entities using MDD Sales and Use Tax Revenues, as permitted by applicable law;
(c) take all actions necessary or convenient to carry out the purposes of this Agreement;
and
(d) take any other action authorized by applicable law in furtherance of the economic
development purposes of the MDD.
3. No Further MDD Board Action Required
Any action taken by the City Council in approving an abatement or economic incentive under
this Agreement shall be deemed to constitute action by both the City and the MDD Board, and
no separate or additional resolution, approval, or meeting of the MDD Board shall be required
4. Entire Agreement
This Agreement contains the entire agreement between the Parties pertaining to the subject
matter hereof and fully supersedes all prior agreements and understandings between the Parties
pertaining to such subject matter.
5. Incorporation of preamble and recitals
The recitals contained in the preamble are found to be true, and such recitals are made a part of
this Agreement for all purposes and are adopted as a part of the judgment and findings of the
respective governing body of each Party.
6. Governing Law
This Agreement shall be construed and enforced in accordance with the laws of the State of
Texas and the United States of America.
7. Appropriations
The Parties acknowledge that obligations under this Agreement are payable only from funds
appropriated or available for the purpose of this Agreement, consistent with applicable law.
IN WITNESS WHEREOF, the Parties have executed this Agreement to be effective as of the
date and year last written below.
CITY OF BAYTOWN BAYTOWN MUNICIPAL
DEVELOPMENT DISTRICT
JASON E. REYNOLDS CHARLES JOHNSON
City Manager President
ATTEST: ATTEST:
ANGELA JACKSON ANGELA JACKSON
City Clerk Assistant Secretary
APPROVED AS TO FORM: APPROVED AS TO FORM:
SCOTT LEMOND SCOTT LEMOND
City Attorney General Counsel