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Ordinance No. 14,152ORDINANCE NO. 14,152 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 THE TEMPORARY USE DEVELOPMENT AGREEMENT WITH EXXON MOBIL CORPORATION FOR PROPERTY LOCATED AT 5903 BAYWAY DRIVE, BAYTOWN, HARRIS COUNTY, TEXAS; 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 and City Clerk of the City of Baytown to execute and attest to the Temporary Use Development Agreement with Exxon Mobil Corporation for property located at 5903 Bayway Drive, Baytown, Harris County, Texas. A copy of said agreement is attached hereto, marked Exhibit "A" and incorporated herein 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 22nd day of August, 2019. BRANDON CAPETILLO, Mayor ATTE L -TICIA BRYSCH, Cit erk APPROVED AS TO FORM: dwzm��� el-4 Q&NACIO RAMIREZ, SR., 'ty Attorney lcobfs0l'Iega1 KarewFiles.City Council Ordinances\2019\August 22 TemporaryUseDevelopmentAgreementwithExxonMobil.doc Exhibit "A" TEMPORARY USE DEVELOPMENT AGREEMENT STATE OF TEXAS § COUNTY OF HARRIS § This Temporary Use Development Agreement (this "Agreement"), dated August , 2019, is made between the CITY OF BAYTOWN, a municipal corporation located in Harris and Chambers Counties, Texas (the "City") and EXXON MOBIL CORPORATION, a New Jersey corporation ("ExxonMobil"). The City and ExxonMobil are jointly referred to herein as "the Parties." RECITALS: WHEREAS, ExxonMobil will expand its existing facilities in the extraterritorial jurisdiction of the City of Baytown; and WHEREAS, as a part of such expansion, ExxonMobil desires to use temporarily the property owned by KM Holdings LP (the "Owner") located at 5903 Bayway Drive which is more particularly described as follows: LT 3 & E 90 FT LT 2 & W 40 FT OF LT 4 BLK H WOOSTER B & I BAYTOWN, HARRIS COUNTY, TEXAS (the "Property"); and WHEREAS, Owner and ExxonMobil have entered or will enter into an agreement, which allows ExxonMobil and/or its contractors and subcontractors to use the Property on a temporary basis for a temporary transportation facility; and WHEREAS, the City is supportive of ExxonMobil's use of Owner's property, as it would minimize the use of public infrastructure, reduce the length of road closures, and reduce the inconvenience to the public, while protecting the health, safety and welfare of the citizens of the City; and WHEREAS, the use of the Property as desired by ExxonMobil does not meet the rules and regulations of the City; and WHEREAS, the City is willing to consent to the use for a short term; provided certain conditions as expressed herein are honored by the Parties; NOW THEREFORE, in consideration of the mutual covenants, agreement and benefits to both Parties, it is agreed as follows: Temporary Use Development Aereement, Page 1 I. USE OF PROPERTY 1.01 Agreement to Temporarily Use the Property. Within thirty (30) calendar days of the effective date of this Agreement, either (i) ExxonMobil shall provide the City with a copy of the agreement into which it has entered with the Owner for the temporary use of the same for the City's review and approval or (ii) the Owner shall enter into a license agreement with the City averring to the fact that ExxonMobil has the right to use the property for the temporary purpose as stated herein. Additionally, before ExxonMobil uses the Property pursuant to this Agreement and within thirty (30) days of the City's approval of the Development Plan, the Performance Security described in Section 2.02 must be deposited with the City. The term of the applicable agreement shall be for a term of at least a year and must automatically extend for the same period of time that this Agreement is extended, if any. The term of the applicable agreement between the Owner and ExxonMobil shall extend at least three months longer than the term of this Agreement and must provide that (i) the City have access to the Property to inspect and perfonn the Restoration Activities required of ExxonMobil herein should ExxonMobil fail to perfonn or should this Agreement be terminated and (ii) Owner shall not in any way restrict such access or interfere with the perfonnance of the Restoration Activities of the ExxonMobil or the City. The Parties understand and agree that this Agreement is contingent upon the City's receipt and approval of the agreement referenced in this section or the license agreement. Should (i) the applicable agreement not be timely submitted or not be approved by the City or (ii) the perfonnance security not be timely deposited with the City, this Agreement shall automatically tenninate and the Parties shall have no further obligations hereunder. 1.02 Improvements. ExxonMobil may make improvements to the Property in accordance with the development plan, which is attached herein for all intents and purposes (the "Development Plan"), or as otherwise approved by the City in writing: (the "Improvements"). ExxonMobil shall secure building pen -nits from the City of Baytown in order to construct and/or install the Improvement on the property. Improvements installed shall be subject to and meet all building code and other City code requirements, except as otherwise provided for in Section 1.03. The Improvements must pass all required inspections by the City prior to use. 1.03 Exceptions to Codes. For ExxonMobil's temporary use of the Property, the City agrees that the following rules shall be modified so as to allow the temporary use of the Property as contemplated herein: 1.03.1 ULDC. The Improvements herein are determined to meet the use restrictions of the Unified Land Development Code ("ULDC") since the temporary transportation facility is a temporary use and not specifically addressed therein. 1.03.2 WPZ. The use of the Property by Owner and/or ExxonMobil consistent with this Agreement shall be construed to meet all requirements of the Temporary Use Development Agreement, Page 2 watershed protection zone ("WPZ") requirement so long that such use is in strict compliance with this Agreement. 1.04 Use. ExxonMobil shall use the Property as a temporary transport facility in strict compliance with its agreement with the Owner and with this Agreement. Should the terms of its agreement with Owner and this Agreement conflict, this Agreement shall control. 1.05 Conditions on Use. ExxonMobil agrees that its use of the Property as allowed in Section 1.02 shall be conditioned upon the following: 1.05.1 No long-tenn storage of materials shall be allowed on the Property. Storage of materials on the Property will be minimized as much as reasonably possible in order to conduct transport activities in compliance with the associated heavy haul pen -nit. 1.05.2 Deliveries to the Property and transportation therefrom shall be perfonned so as to reduce the impact on neighbors and the public. 1.05.3 Transports to and froth the Property shall occur at hours in compliance with the associated heavy haul permit. 1.05.4 The Property shall be repaired and restored to its natural state and in as good or better condition than it was in prior to the execution of this agreement. All Improvements must be removed from the Property prior to the expiration of the tenn hereof. Such restoration and removal activities are herein referred to collectively as "Restoration Activities." 1.06 Traffic Control Plan. ExxonMobil must submit or cause to be submitted a traffic control plan for review and approval by the City. Such traffic control plan shall focus on minimizing the impact of ExxonMobil's operations on the public, as well as the public health, safety and welfare. ExxonMobil, its contractors and employees shall abide by such plan. 1.07 Transport Services. ExxonMobil shall secure a transportation company that has sufficient equipment and resources to transport materials from the Property on the public right-of-way to ExxonMobil's property located at . ExxonMobil shall require such company to enter into a transport agreement with and/or obtain a heavy haul permit from the City, in which the company shall (i) meet certain operational, equipment and personnel standards, (ii) allow inspections of the operations, (iii) obtain approval of the route, transport times, and road closures, (iv) obtain and pay for the services of the City's police, traffic and fire service personnel for the transport, (v) obtain approvals of the various utilities that may be affected by the transport and, if necessary, services required of such utilities in order to facilitate a smooth transport, (vi) give notice to the public as well as neighboring property owners concerning the transport operations, (vii) provide appropriate matting and signage to protect the public infrastructure and Temporary Use Development Agreement, Page 3 public safety, (viii) repair for all damages to the public infrastructure within seven (7) days or pay for the same at actual cost plus 10%, (ix) meet the City's insurance requirements, and (x) provide an indemnity to the City. 1.08 Right -of -Entry. Upon advance notice, ExxonMobil and Owner grant to the City, its officers, agents and employees, the right and privilege to enter the Property at all reasonable hours in order to ensure compliance with this Agreement. II. COSTS 2.01 Responsibility for Costs. ExxonMobil expressly understands and agrees that all costs associated with this Agreement shall be borne by ExxonMobil, and ExxonMobil shall not seek recovery of costs from the City. It is expressly understood and agreed that the City is not obligated to expend any money under this Agreement. 2.02 Performance Security. ExxonMobil shall deposit a mutually agreeable security instrument in an amount detennined by the City's Director of Public Works and Engineering with the City to guarantee perfonnance of the Restoration Activities upon expiration or earlier tennination of this Agreement. Should ExxonMobil fail to timely perform the Restoration Activities, the City shall do so at ExxonMobil's sole cost and expense. Should the City undertake ExxonMobil's obligations concerning the Restoration Activities, 2.02.01 ExxonMobil shall be assessed an administrative charge of 10% of the total cost of the Restoration Activities; 2.02.02 The City shall use the performance security to cover the cost of the Restoration Activities required herein; and 2.02.03 ExxonMobil shall pay the City for any expense and administrative fee that exceeds the amount of the performance security. Such payment shall be [Wade within thirty (30) days of the City's demand therefor. If such payment is not timely made, interest shall accrue on the late payment at the rate specified in Section 2551.025 of the Texas Government Code. III. TERM AND TERMINATION 3.01 Term. Subject to and upon the terms and conditions set forth herein, this Agreement shall continue in force and effect for twelve (12) months from the Effective Date; provided, however, that if the Restoration Activities are incomplete by such date, the City, through its City Manager, and ExxonMobil may extend this Agreement for an additional three (3) months. It is expressly understood that the obligations concerning the Restoration Activities shall survive expiration or termination of this Agreement. Temporary Use Development Agreement, Page 4 3.02 Force Majeure. If force majeure prevents either Party hereto from performing any of its obligations under this Agreement, in whole or in part, then the obligations of such party, to the extent affected by such force majeure, shall be suspended during the continuance of any inability so long as such party is exercising due diligence to resume perfonnance at the earliest practicable time. As soon as reasonably possible after occurrence of the force majeure relied upon, the Party whose contractual obligations are affected thereby shall give notice and full particulars of such force majeure to the other party. The term "Force Majeure," as used herein, shall include, without limitation of the generality thereof, acts of God, strikes, lockouts, or other industrial disturbances, acts of the public enemy, orders of any kind of the government of the United States or the State of Texas or any civil or military authority, insurrections, riots, epidemics, landslides, lightning, earthquakes, fires, hurricanes, storms, floods, washouts, droughts, arrests, restraints of government and people, civil disturbances, explosions, breakages or accidents to machinery, pipelines or canals, partial or entire failure of water supply, and any other inabilities of either Party, whether similar to those enumerated or otherwise, which are not within the control of the party claiming such inability, and which such party could not have avoided by the exercise of due diligence and care. 3.03 Termination. This Agreement may be tenninated in the following manner: a. By mutual written agreement and consent of both Parties; b. By the City if ExxonMobil fails to fulfill the obligations set forth herein; C. By ExxonMobil if the City fails to fulfill the obligations set forth herein; or d. By the City if the Owner terminates its agreement with ExxonMobil for the temporary use of the Property. The tennination of this Agreement shall extinguish all rights, duties, obligations and liabilities of the Parties under this Agreement, except for ➢ any cost incurred because of the breach; and ➢ ExxonMobil's obligation to perfonn the Restoration Activities, which trust be completed within sixty (60) days of the termination of this Agreement else the City will perform the same using the perfonnance security, as provided in Section 3.02 hereinabove. IV. GENERAL PROVISIONS 4.01 Limited Release. ExxonMobil hereby releases, relinquishes, and discharges the City, its officers, agents and employees from all claims, demands, and causes of action of every kind and character, including the cost of defense thereof, that is caused by or alleged to be caused by, arising out of, or in connection with this Agreement. ExxonMobil assumes full responsibility for its obligations and the obligations of its contractor or subcontractors under this Agreement and hereby releases, relinquishes, discharges, and holds harnless the City, its officers, agents, and employees from all claims, demands, and causes of action of every kind and character that are caused by or alleged to be caused by, arising out of, or in connection with ExxonMobil's obligations hereunder. This release shall Temporary Use Development Agreement, Page 5 apply with respect to ExxonMobil's work regardless of whether said claims, demands, and causes of action are covered in whole or in part by insurance. 4.02 No Arbitration. Notwithstanding anything to the contrary contained in this Agreement, the City and ExxonMobil hereby agree that no claim or dispute between the City and ExxonMobil arising out of or relating to this Agreement shall be decided by any arbitration proceeding including, without limitation, any proceeding under the Federal Arbitration Act (9 U.S.C. Sections 1-14), or any applicable State arbitration statute, including, but not limited to, the Texas General Arbitration Act, provided that in the event that the City is subjected to an arbitration proceeding notwithstanding this provision, ExxonMobil consents to be joined in the arbitration proceeding if ExxonMobil's presence is required or requested by the City for complete relief to be recorded in the arbitration proceeding. 4.03 Sovereign Immunity. Nothing in this Agreement shall be construed so as to limit or waive, in whole or part, the sovereign immunity of the City. 5.04 Notice. Any notice penmitted or required to be given in this Agreement to ExxonMobil shall be given by registered or certified United States Mail, postage paid, return receipt requested and addressed to Exxon Mobil Corporation, Attention: Any notice permitted or required to be given in this Agreement to the City shall be given by registered or certified United States Mail, postage paid, return receipt requested, addressed to City of Baytown, Attention: City Manager, P.O. Box 424, Baytown, Texas 77522-0424. All notices hereunder given shall be deemed validly given when actually received or, if earlier, on the third day following deposit in a United States Postal Service post office or receptacle if the notice otherwise complies with all of the requisites of this article. 4.05 Independent Contractor. The relationship between ExxonMobil and the City shall be that of an independent contractor. 4.06 Parties in Interest. This Agreement shall be for the sole and exclusive benefit of the Parties hereto and shall not be construed to confer any rights upon any third party. The City shall never be subject to any liability in damages to any customer or contractor of ExxonMobil for any failure to perform its obligations under this Agreement. 4.07 Application of Laws. All terms, conditions, and provisions of this Agreement are subject to all applicable federal, state and local laws and regulations, and all judicial determinations relative thereto. 4.08 Timeliness. Time is expressly declared to be of the essence in regard to this Agreement. 4.09 Choice of Law; Venue. This Agreement shall be construed under and in accordance with the laws of the State of Texas, and all obligations of the Parties created hereunder are performable in Harris County, Texas. Temporary Use Development Agreement, Page 6 4.10 Severability. In case any one or more of the provisions contained in this Agreement shall for any reason be held to be invalid, illegal or unenforceable in any respect, such invalidity, illegality or unenforceability shall not affect any other provision thereof and this Agreement shall be construed as if such invalid, illegal or unenforceable provision had never been contained herein. 4.11 Non -Waiver. Failure of either party hereto to insist on the strict performance of any of the agreements herein or to exercise any rights or remedies accruing thereunder upon default or failure of performance shall not be considered a waiver of the right to insist on and to enforce, by an appropriate remedy, strict compliance with any other obligation hereunder or to exercise any right or remedy occurring as a result of any future default or failure of perfonnance. 4.12 Interpretation. In the event of any ambiguity in any of the terms of this contract, it shall not be construed for or against any party hereto on the basis that such party did or did not author the same. 4.13 Captions. The captions appearing at the first of each numbered section in this Agreement are inserted and included solely for convenience and shall never be considered or given any effect in construing this Agreement or any provision hereof, or in connection with the duties, obligations or liabilities of the respective Parties hereto or in ascertaining intent, if any question of intent should arise. 4.14 Complete Agreement. This Agreement constitutes the sole and only agreement of the Parties hereto and supersedes any prior understandings of written or oral agreements between the Parties with respect to the subject [natter herein. 4.15 Modification. No amendment modification or alteration of the teens hereof shall be binding unless the same be in writing, dated subsequent to the date hereof and duly executed by the Parties hereto. 4.16 Assignment. Neither Party to this Agreement may assign their rights, duties or interests without first obtaining the written consent of the other Party. 4.17 Authority. Each party has the full power and authority to enter into and perform this Agreement, and the person signing this Agreement on behalf of each party has been properly authorized and empowered to enter into this Agreement. The persons executing this Agreement hereby represent that they have authorization to sign on behalf of their respective corporations and/or business entities. 4.18 Agreement Read. The Parties acknowledge that they have read, understand and intend to be bound by the terms and conditions of this Agreement. Temporary Use Development Agreement, Page 7 4.19 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. IN WITNESS WHEREOF, the undersigned ExxonMobil and the City hereto execute this Agreement on this _ _ _ day of , 2019 (the "Effective Date"). EXXON MOBIL CORPORATION -- - (Signature) (Printed Name) (Title) ATTEST: (Signature) (Printed Name) (Title) CITY OF BAYTOWN, TEXAS Richard L. Davis, City Manager ATTEST: Leticia Brysch, City Clerk Temporary Use Development Agreement, Page 8