Ordinance No. 10,803ORDINANCE NO. 10,803
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF BAYTOWN,
TEXAS, AUTHORIZING THE CITY MANAGER TO EXECUTE AN
INTERLOCAL AGREEMENT BETWEEN HARRIS COUNTY, CITY OF
BAYTOWN, AND REINVESTMENT ZONE NUMBER ONE, BAYTOWN,
TEXAS FOR HARRIS COUNTY'S PARTICIPATION IN THE TIRZ FOR THE
JOHN MARTIN ROADWAY IMPROVEMENT PROJECT; AND PROVIDING
FOR THE EFFECTIVE DATE THEREOF.
WHEREAS, on August 9, 2001, by Ordinance No. 9197, Baytown City Council ("the
City") created Reinvestment Zone Number One, City of Baytown, Texas ("the TIRZ") and
authorized formation of its Board of Directors; and
WHEREAS, on November 20, 2001, by Ordinance No. 9275, the City approved an
enlargement of the TIRZ boundaries; and
WHEREAS, on December 13, 2001, by Ordinance No. 9290, the City approved the
"Project Plan and Reinvestment Zone Financing Plan" dated December 5, 2001, which has
subsequently been determined by the City and the TIRZ to no longer meet the scope and cost of
the projects to be undertaken; and
WHEREAS, the City of Baytown conducted an engineering study and published a report
entitled: "John Martin Roadway Improvement Project Report" dated June 26, 2006, for John
Martin Road, currently listed on the County Road Log; and
WHEREAS, the City plans on approving the enlargement of the Zone and adopting a
"Revised Project Plan and Reinvestment Zone Financing Plan" consistent therewith on or before
September 30, 2008; and
WHEREAS, the County has agreed to participate in the TIRZ for the John Martin
Roadway Improvement Project upon the terms and conditions contained in the interlocal
agreement described in Section 1 of this ordinance; NOW THEREFORE,
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
the City Manager to execute an Interlocal Agreement between Harris County and Reinvestment
Zone Number One, Baytown, Texas, for the County's participation in the TIRZ for the John
Martin Roadway Improvement Project. A copy of said agreement is attached hereto as 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 vo^efof the City Council of the
ay town this the 10th day of January, 2008.
^"ELVIN KNA^FTinterim Citytfferk
DONCARLOS, Mayor
APPROVED AS TO FORM:
RAMIREZ, SR., Citj(^torney
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THE STATE OF TEXAS §
COUNTY OF HARRIS §
INTERLOCAL AGREEMENT
I. PARTIES
THIS INTERLOCAL AGREEMENT ("Agreement") is made by and between the CITY OF
BAYTOWN, TEXAS ("the City") a municipal corporation and home-rule city of the State of Texas
principally situated in Harris County, acting by and through its governing body, the Baytown City Council,
HARRIS COUNTY ("the County"), a body corporate and politic under the laws of the State of Texas, acting
by and through its governing body, the Harris County Commissioners Court, and TAX INCREMENT
REINVESTMENT ZONE NUMBER ONE, CITY OF BAYTOWN ("the TIRZ"), created by City action,
pursuant to Chapter 311.005 of the Texas Tax Code, acting by and through its Board of Directors. This
Agreement is made pursuant to Chapter 791 of the Texas Government Code and Chapter 311 of the Texas Tax
Code.
The initial addresses of the parties, which any party may change by giving written notice of its changed
address to the other parties, are as follows:
County
?1LTT Harris County 2401 Market Street. 8410 Lantern Point Drive
Baytown, Texas 77522-0424 Houston, Texas 77054
Attention: Mr. Garry Brumback, City Manager Ann: Mr. David Turkel, Director,
Community and Economic Development
Department
TIRZ
Board of Directors
Tax Increment Reinvestment Zone Number One, City of Baytown, Texas
c/o City of Baytown
2401 Market Street
Baytown, Texas 77522-0424
Attention: Mr. Don C. Murray, Chair of Board of Directors
II. DEFINITIONS
As used in this Agreement, the following terms shall have the meanings set out below:
(a) "Agreement" means this agreement between the City, the County, and the TIRZ.
(b) "Base Year" means tax year 2005, the base year for County participation.
(c) "Base Value" means the total certified appraised value for area within Baytown Reinvestment
Zone Number One as established by HCAD for the 2005 Base Year.
(d) "Effective Date" means effective date of this Agreement, which is January 1,2008 (calendar year).
(e) "Captured Appraised Value" means the total appraised value of all real property taxable by the
County and located within the TIRZ boundaries for that year, less the Base Value, as defined by
Chapter 311, Texas Property Tax Code.
(f) "City" is defined in Section I of this Agreement and includes its successors and assigns.
(g) "County" is defined in Section I of this Agreement and includes its successors and assigns.
(h) "County Tax Increment Participation" means the County tax increment payments to the TIRZ
pursuant to Section IV.A.
(i) "Cap" means the cumulative maximum County Tax Increment Participation for all years in which
the County makes payments to the TIRZ or the City for the Tax Increment Fund of the TIRZ.
(j) "HCAD" means Harris County Appraisal District and includes its successors and assigns.
(k) "HCCEDD" means Harris County Community and Economic Development Department,
Economic Development Division, and includes its successors and assigns.
(1) "Preliminary Plan" means the "John Martin Roadway Improvement Project Report," prepared
by the Office of the City Manager, City of Baytown, June 26,2006; and affixed hereto as Exhibit A.
and made a part hereof.
(m) "Revised Plan" means the "Revised Project Plan and Reinvestment Zone Financing Plan,"
forthcoming by future action of Baytown City Council no later than September 30, 2008. Such
forthcoming Revised Plan shall be subject to County Commissioners Court approval at least 60 days
prior to City Council approval, and shall be an amendment to the original "Project Plan and
Reinvestment Zone Financing Plan" dated December 5, 2001, adopted by Baytown City Council on
December 13, 2001, by Ordinance No. 9290, and subsequently determined by the City and the TIRZ
to no longer represent the scope and cost of projects. Such Revised Plan shall also incorporate the
Preliminary Plan.
(n) "Tax Increment Fund" means the fund or account created by the City in the City Treasury for
accumulating tax increment revenues associated with value increases in the Baytown Reinvestment
Zone Number One.
(o) "Zone" means the area within the boundaries of Baytown Reinvestment Zone Number One, as
created by the City by Ordinance No. 9197, effective August 9,2001, and enlarged by Ordinance No.
9275, effective November 20, 2001, including its successors and assigns.
Otherwise, the terms used herein have the meanings ascribed in Chapter 311 of the Texas Tax Code.
III. BACKGROUND
The City took the requisite actions to create the TIRZ: (i) publication of public notice in the Bavtown
Sun on July 6, 2001, (ii) holding of a public hearing on July 26, 2001, (iii) designation of the Zone and
authorization to form a TIRZ Board of Directors on August 9,2001, by Ordinance No. 9197. At that time, the
Zone was comprised of 350 acres within G. C. Davis Survey, Abstract No. 1472, W.C.R.R. Co. Survey,
Abstract No. 899, and T. Patching Survey; Abstract No. 620.
Subsequently, on November 20, 2001, by Ordinance No. 9275, the Zone was expanded to 474 acres
within G. C. Davis Survey, Abstract No. 1472, W.C.R.R. Co. Survey, Abstract No. 899, and T. Patching
Survey; Abstract No. 620. The initial "Project Plan and Reinvestment Zone Financing Plan" dated December
5, 2001, was adopted by Baytown City Council on December 13, 2001, by Ordinance No. 9290, but
subsequently has been determined by the City and the TIRZ to no longer represent the scope and cost of
projects.
Since that time, the Office of the City Manager for the City has undertaken an engineering study dated
June 26,2006, entitled "John Martin Roadway Improvement Project Report," which details a framework for
reconstructing and realigning John Martin Road in Baytown, which is currently listed on the County Road Log,
herein referred to as the "Preliminary Plan."
On December 19, 2006, Commissioners Court re-adopted "Guidelines for County Participation in
Municipal Tax Increment Reinvestment Zones Created in Harris County" ("Guidelines"), Exhibit B.
The County has expressed a desire to participate in the TIRZ, consistent with such Guidelines and based
on the framework detailed in the Preliminary Plan. In addition, the County expects the City to further enlarge
the Zone and adopt a forthcoming Revised Plan no later than September 30,2008. The County now desires to
enter into a formal agreement with the City and the TIRZ in consideration for the agreements set forth herein.
IV. COUNTY OBLIGATIONS AND PROJECT DESCRIPTION & COSTS
A. County Tax Increment Participation
For and in consideration of the agreements of the parties set forth herein, and subject to the remaining
subsections of this section, the parties agree that the County shall participate in the TIRZ through annual tax
increment payments, to the extent authorized by law, to the Tax Increment Fund during the term of this
Agreement, at a rate of 75% of only the County tax rate (2007 tax rate of $0.39239 times 75% equals $0.29429
per $ 100, currently), but not to exceed $0.30000 per $ 100 of tax increment attributable to Captured Appraised
Value within the Zone boundaries. The term of County Tax Increment Participation will be a maximum of 24
years, beginning with tax year January 1,2007, and ending with tax year December 31,2030. Payments by the
Port of Houston Authority, the Harris County Flood Control District, the Harris County Hospital District, and
any other taxing entity for which the County imposes taxes either now or in the future, shall be 0% of the tax
increment attributed to the Captured Appraised Value within the Zone.
The County Tax Increment Participation shall be restricted for use only on the projects and in the
amounts set forth below, up to the Cap of $15,022,674:
John Martin Road Project Costs
Right of Way Acquisition
Design, Engineering, & Materials Testing
Storm Water Drainage and Detention
Paving and Road Construction
Funds for Bond Financing
Total John Martin Road Project Costs
Phase One, as described further in more detail in Exhibit A, shall be the reconstruction of John Martin
Road beginning at the intersection of John Martin Road and Interstate 10, proceeding south for approximately
5,300 feet, to the southern boundary of the Amvest property, and shall include the full design and property
acquisition for both Phases One and Two.
Phase Two, as described in more detail in Exhibit A, shall be the reconstruction and realignment of
John Martin Road, connecting with the southern edge of Phase One on the north, to Cedar Bayou Lynchburg
Road on the south. The north-south realignment of John Martin Road shall be constructed at the City's
discretion, and the City shall assume responsibility and liability for future maintenance and operation of the
road. The realigned portion of the road shall meet Bush Road at Cedar Bayou Lynchburg Road. The length of
John Martin in this segment is currently an estimated 2,355 feet long, and the realigned segment shall be an
estimated 3,150 feet long.
The costs set forth above are estimates and shall not act as a limitation on any particular element of the
costs for the specified projects, although the County participation Cap shall not be increased in the event of cost
overruns in specific categories of cost or in the two phases of the projects. In the event of bond financing, the
County Tax Increment Participation may be dedicated to bond repayment. However, in that event, a portion of
the bond proceeds equal to the total of all of the County's proposed participation excluding financing costs
shall be restricted for use only on those projects and in the amounts set out herein.
In the event the City or the TIRZ expends funds inconsistent with the Preliminary Plan and the
forthcoming Revised Plan, the County shall notify the City and the TIRZ of such breach, and the defaulting
party shall have 60 days to cure the breach. In the event the breach is not cured within the 60-day period, the
County shall suspend all tax increment payments until the breach is cured. In the event that the breach is not
cured within 180 days, then County participation in the Tax Increment Fund shall terminate.
The County increment shall only be used to fund the costs and projects as detailed herein, and shall not
be used to fund water, sewer, street lighting, and sidewalks. Further, any costs incurred above the County
participation Cap, will be incurred at the expense of the developers, the City, and the TIRZ.
The County, at its option, may choose to manage construction of any project listed herein to which it
contributes more than 51%.
B. Payment Date & Limitations of County Tax Increment
The County shall make payments once each year, by August 31 st, beginning with tax year 2007. The
County has no duty or obligation to pay the County Tax Increment Participation from any other County taxes or
revenues, or until the County Tax Increment Participation for the Zone is actually collected. Any portion of the
taxes representing the County Tax Increment Participation that are paid to the County and subsequently
refunded to taxpayer, pursuant to the provisions of the Texas Tax Code, shall be offset against future payments
to the Tax Increment Fund. The obligation to pay the County Tax Increment Participation accrues as taxes
representing the County Tax Increment Participation are collected by the County. No interest or penalties shall
be charged to the County for any late payments from the County to the City or the TIRZ.
The obligation of the County to fund TIRZ projects shall be limited to the area within TIRZ boundaries
as described in Section IV. A. of this Agreement.
County Tax Increment Participation does not extend to the tax increment on any additional property
other than within the boundaries of the Zone as defined by the forthcoming Revised Plan, or that would
increase the total amount of project costs above the stated Cap for County Tax Increment Participation, unless
the County Commissioners Court specifically grants its prior approval to participate in the additional area,
projects, or cost. In addition, County participation does not extend to any dedication of revenue from the Tax
Increment Fund by the TIRZ for projects outside the Zone, unless such projects are specifically described in
Section IV. A., or unless the County Commissioners Court specifically grants its prior approval to participate in
such dedication.
V. CITY AND TIRZ OBLIGATIONS
A. Forthcoming Revised Project Plan and Reinvestment Zone Financing Plan
Any member of the County Commissioners Court may review and comment upon any amendment to
the original December 5, 2001 Project and Financing for the TIRZs, before any amendments thereto are
submitted to the City Council for City approval, including the required forthcoming Revised Plan no later than
September 30,2008. The City agrees to make a formal presentation to the County Commissioners Court of any
proposed amendments or expansions to the Zone at least 60 days prior to their submission to City Council for
approval, regardless of whether the County will be asked by the City or the TIRZ to participate in such an
amendment. County participation in such an amendment or expansion requires a majority affirmative vote by
the County Commissioners Court and an amendment to the terms of this Agreement, prior to any approval by
City Council. Failure of the City or the TIRZ to receive such County Commissioners Court approval is a
breach of the Agreement and may be regarded by the County as grounds for termination of the Agreement.
Within five years of the Effective Date, the City shall: (i) annex all segments of John Martin Road
pertaining to Phases One and Two of the projects described in Section IV. A.; and (ii) initiate the process for
County removal of Phase One and Two segments of John Martin Road from the County Road Log, including
but not limited to furnishing satisfactory written request and other necessary information to appropriate
personnel within County Public Infrastructure Department; and (iii) assume the responsibilities and liabilities
for Phases One and Two segments of John Martin Road.
In each year that the Agreement is in force, the TIRZ shall deliver or mail via certified U.S. Mail to the
offices of HCCEDD, a check payable to "Harris County" in the amount of $35,000, to be utilized for "Project
Stars" or other beautification projects in County Precinct 2. The cost of such annual contribution shall be
included by the City and the TIRZ in the forthcoming Revised Plan for the TIRZ, but County Increment
Participation shall not be used to fund such costs or payments.
At least 5% of the single-family, detached homes to be constructed in developments that will receive
TIRZ funds and for which developer agreements are to be executed after the approval of the Agreement by City
Council, shall be "starter" (i.e., workforce) homes with new values indexed according to HUD and HCCEDD
standards for affordable housing, currently $115,000 market value per home.
The City and the TIRZ agree that the proceeds of any bonds issued by the TIRZ shall first be utilized to
complete project costs in Phases One and Two, as detailed in Section IV. A., prior to funding any other projects
to be undertaken by the TIRZ or within the TIRZ boundaries.
B. Disposition of Tax Increment
Upon termination of the TIRZ, and after all bonded indebtedness of the TIRZ has been paid, the City
and the TIRZ shall refund to the County, within 30 days of said termination, all monies remaining in the Tax
Increment Fund that are attributable to the County Tax Increment Participation.
C. Audits
The City or the TIRZ shall provide to the County a copy of each audit, as may be required by any
present or future agreement entered into by or on behalf of the TIRZ, within 30 days of receipt of each audit. In
addition, the City shall provide to the County a copy of all reports, studies and analyses prepared by the City,
the TIRZ or others concerning expenditure of Tax Increment Funds or repayment of bonded indebtedness of the
TIRZ. The County shall have the right to audit the Tax increment Fund and the books and records of the TIRZ
upon 30 days written notice to the City or the TIRZ. At the discretion of the County, any such audit shall be
performed by the County or at County expense.
D. Limitations for Administrative Fees
Neither the City nor the TIRZ shall be entitled to receive any type of fee, whether administrative,
overhead, or otherwise, for any amounts paid into the Tax Increment Fund by the County. The City agrees to
forego acceptance of any fee that may be permitted by current or future federal, state, or local statute, other than
for fire, police, and EMS services, whether deducted from the Tax Increment Fund or offset against payments
to the TIRZ or reimbursed by the TIRZ at a later date unless the fee is owed for specific projects described in
Section IV. A.
E. Minority and Women-Owned Business Enterprise
The City and the TIRZ shall make every effort to stimulate the growth of minority and women-owned
businesses by encouraging their full participation in all phases of procurement activities in awarding contracts
and subcontracts to minority, women-owned, and disadvantaged business enterprises, for implementation of the
projects detailed in Section IV. A. and the Preliminary Plan and the forthcoming Revised Plan. The TIRZ shall
make good faith efforts to award a percentage of the value of all contracts to minority, women-owned, and
disadvantaged businesses. While it is not a requirement of this Agreement that the TIRZ meet or exceed any
particular set of goals, it is a requirement that the TIRZ demonstrate that it has exerted good faith efforts by
maintaining records showing that it has adequately considered awarding of contracts, supply agreements, and
support services to minority, women-owned, and disadvantaged business enterprises.
VI. TERM AND TERMINATION
A. Agreement Term
The term of this Agreement shall commence with the tax year beginning on January 1,2007. Failure by
the City and the TIRZ to execute this agreement prior to June 30, 2008, shall render this agreement null and
void. This Agreement shall terminate after the County completes its annual increment payment due by August
31,2031 for the tax year ending December 31,2030, or when cumulative County Tax Increment Participation
equals the Cap of $15,022,674, or when the County's tax increment payments are no longer required to repay
bonded indebtedness, or unless earlier terminated by the parties hereto, whichever occurs./!/*/.
The County may, at its discretion, terminate its participation with notification following the failure of
the City or the TIRZ to cure any breach under the Agreement within 180 days. Events of such breach by the
City or the TIRZ include, but are not limited to, the following:
1. Failure by the City to obtain County Commissioners Court approval at least 60 days prior to City
Council approval for the forthcoming Revised Plan no later than July 31, 2008; or
2. Failure by the City to obtain City Council approval for the Revised Plan by September 30,2008; or
3. Failure by the City to make a formal presentation to the County Commissioners Court for any future
amendments or expansions to the Zone subsequent to passage of the forthcoming Revised Plan, at
least 60 days prior to submission to City Council for approval, regardless of whether the County
will be asked to participate in such an amendment; or
4. Failure by the City within five (5) years of the Effective Date to complete annexation of John
Martin Road such that the County may effect completion from the County Road Log; or
5. Failure by the City to provide on-going maintenance and upkeep for all segments of John Martin
Road after annexation of John Martin Road has been completed by the City or the TIRZ; or
6. Failure by the TIRZ in any year to contribute $35,000 to the County for use in "Project Stars" or
similar County beautification projects in Precinct 2; or
7. Expenditure of Tax Increment Funds by the City or the TIRZ in a manner inconsistent with the
Preliminary Plan and the forthcoming Revised Plan; or
8. Failure withinyiw? (5) years from the Effective Date to commence Phase Two construction; or
9. Failure within eight (8) years from the Effective Date to complete Phase Two construction.
10. A default on bonded indebtedness or other debt obligations of the TIRZ subsequent to completion
of construction and funding of both Phases One and Two under Section IV. A.
In the event bonds are issued, the Cap for County Tax Increment Participation shall not be increased. It
is the intent of the parties that County participation in the TIRZ or any expansion thereof is limited to the term
or terms as stated herein. Nothing in this Agreement, however, limits the authority of the County
Commissioners Court to increase the Cap and the amount of the County Tax Increment Participation set forth
in Section IV. A.
Upon termination of this Agreement, the obligation of the County to contribute to the Tax Increment
Fund for the TIRZ shall end. However, the obligations of the City and the TIRZ to refund any overpayment by
the County shall survive such termination.
B. Early Termination
The TIRZ may terminate pursuant to the provisions of Texas Tax Code Chapter 311. If the City's
participation ceases or is decreased, then the County's participation shall automatically cease or be decreased by
the same pro rata percentage.
VII. ADMINISTRATION
A. Reconciliation of Accounts
Beginning with the second annual payment for tax year 2008, due by August 31, 2009, the payment
calculations for County Tax Increment Participation shall include appropriate retroactive adjustments for any
prior year subsequent tax collections or other necessary adjustments.
In any year of County Tax Increment Participation, if the County payment is determined to have been at
least 10% greater than the amount actually due, the County may at its discretion request that the amount of
overpayment be refunded by the City or the TIRZ within 60 days of receipt by the City of the TIRZ of written
notification from the County that such overpayment occurred. Otherwise, the amount of overpayment shall be
offset in the appropriate amount as a retroactive adjustment in the subsequent year payment by the County to
the TIRZ or the City.
In any year of County Tax Increment Participation, if the County tax increment payment is determined
to have been at least 10% less than the amount actually due, the City or TIRZ may, at its discretion, request that
the amount of underpayment be paid to the City or the TIRZ within 60 days of the County's receipt of written
notification from the City or the TIRZ that such underpayment by the County occurred. Otherwise, the amount
of underpayment shall be included in the appropriate amount as a retroactive adjustment in the subsequent year
payment by the County to the TIRZ or the City.
In the event of an overpayment or underpayment within 10% of the County payment in a given year, the
County shall include a retroactive adjustment for the appropriate amount in its subsequent year payment.
B. Board of Directors
The County shall have the unequivocal right to appoint and thereafter at all times maintain one member
on the TIRZ Board of Directors. The County may also appoint and maintain as many non-voting ex officio
members on the TIRZ Board of Directors as the County may choose.
C. Severability
In the event any term, covenant or condition herein contained is held to be invalid by any court of
competent jurisdiction, such invalidity shall not affect any other term, covenant or condition herein contained.
In the event any term, covenant or condition shall be held invalid and affects in any manner the limitations on
Harris County's, or any other party's, contributions or participation, then neither Harris County, nor any other
party, shall have any liability for any incremental or other payments as may otherwise be provided herein.
D. Entire Agreement
This Agreement merges the prior negotiations and understandings of the parties hereto and embodies
the entire agreement of the parties, and there are no other agreements, assurances, conditions, covenants
(express or implied) or other terms with respect to the covenants, whether written or verbal, antecedent or
contemporaneous, with the execution hereof.
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E. Written Amendment
Unless otherwise provided herein, this Agreement may be amended only by written instrument duly
executed on behalf of each party.
F. Notification
All notices required or permitted hereunder shall be in writing and shall be deemed delivered when
actually received or, if earlier, on the third day following deposit in a United States Postal Service post office or
receptacle with proper postage affixed, via certified mail with return receipt requested, and addressed to the
respective other party at the address prescribed in Section I of this Agreement or at such other address as the
receiving party may have theretofore prescribed by notice to the sending party.
G. Non-Waiver
Failure of any party hereto to insist on the strict performance of any of the covenants herein or to
exercise any rights or remedies hereunder upon default of failure of performance shall not be considered a
waiver of the right to insist on, and to enforce by any appropriate remedy, strict compliance with any other
obligation hereunder or to exercise any other right or remedy occurring as a result of any future default or
failure of performance.
H. Assignment
No party shall assign this Agreement at law or otherwise without the prior written consent of the other
parties. No party shall delegate any portion of its performance under this Agreement without the written
consent of the other parties.
I. Successors
This Agreement shall bind and benefit the parties and their legal successors. This Agreement does not
create any personal liability on the part of any officer, agent or employee of the City, the City Council, the
TIRZ, the TIRZ Board, the County, or the Commissioners Court.
J. No Waiver of Immunity
No party hereto waives or relinquishes any immunity or defense on behalf of itself, officers, employees,
and agents as a result of its execution of this Agreement and performance of the covenants contained herein.
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IN WITNESS WHEREOF, the City, Harris County and the TIRZ have made and executed this
Agreement in multiple copies, each of which is an original. Failure by the City and the TIRZ to execute this
agreement prior to June 30,2008, shall render this agreement null and void.
APPROVED AS TO FORM: HARRIS COUNTY
MICHAEL STAFFORD
County Attorney
DOUGfcrtSP.
Assistant County Attorney
DAVID TURKEL
Director, Harris County Community &
Economic Development Department
Date Signed:
ATTEST/SEAL: CITY OF BAYTOWN
By:
Lorri Coody
City Clerk
Date Signed:
By:
Stephen H. DonCarlos
Mayor, City of Baytown
Date Signed:
TAX INCREMENT REINVESTMENT ATTEST/SEAL:
ZONE NUMBER ONE, CITY OF
BAYTOWN, TEXAS
By
Don C. Murray
Chair, Board of Directors
Date Signed:
By:
Name:
Secretary, Board of Directors
Date Signed:
John Martin Roadway Improvement
Project
A Proposed Joint Venture:
Harris County
City of Baytown
Baytown Tax Increment Reinvestment Zone #1
Prepared by the office of the City Manager
City of Baytown
June 26, 2006
City of Baytown John Martin Project Report, page 1
EXHIBIT A
John Martin Project
Background
One of the areas of growth in Baytown and east Harris County is situated along
Interstate 10 (1-10) east of the San Jacinto River. Garth Road is a primary
retail/commercial corridor in Baytown and its intersection with 1-10 is the location
of San Jacinto Mall. Further adding to the growth potential for this area is the
upcoming construction of a new elementary and senior high school just north of I-
10 in the Garth Road area, along with land set aside for a new junior school.
Accompanying the growth and development along the Garth Road corridor is the
resulting traffic congestion. Residents are seeking alternative routes to and from
1-10, and options for access to existing and new retail and residential areas. The
recent interest shown in the adjacent John Martin Road and North Main Street
corridors demonstrates this trend. (Exhibit 1 -Area Map)
Existing conditions
John Martin Road stretches from Cedar Bayou -Lynchburg Road northward to
Wallisville Road, a distance of 2.72 miles. (Exhibit 2 -Map) The segment that is
the subject of the John Martin Project is the 1.45 miles from Cedar Bayou -
Lynchburg to 1-10. The existing roadway consists of two, 10-foot-wide lanes of
asphalt with open ditches on either side in a 60' right of way. The road ends at
its southern intersection .wjth Cedar Bayou -Lynchburg and is offset from a
north-south continuation as Bush Road by 800 feet. (Exhibit 3 -Photo) This
offset creates a barrier to efficient north-south travel as well as hindering effective
traffic management along Cedar Bayou -Lynchburg. These two intersections
have been the site of vehicle accidents in the past and Harris County Precinct
Two installed a traffic signal at the Bush Road intersection in 2004. Bush Road,
at this intersection, is a four-lane, concrete roadway with curb and gutter. There
are also no significant obstacles to realigning John Martin Road to intersect to
with Bush Road. (Exhibit 4 -Photo)
John Martin is populated with sporadic development along this segment. Most
notable are the two large automobile dealerships on the southeast corner of John
Martin and 1-10. Other businesses along the route include an industrial painting
and service company, an oilfield service company, landscaping companies, a
pipeline service company and automotive repair businesses. There are also
scattered single-family residences on large lots along the segment.
The intersection of John Martin and 1-10 was recently reconstructed and
improved, including signalization, by the Texas Department of Transportation
(TxDOT) as part of the 1-10 widening/reconstruction project. This freeway
underpass is currently sized to align with the proposed widening of John Martin
Road to be discussed in this report later. (Exhibit 5 -Photo)
City of Baytown John Martin Project Report, page 2
Growth and Development
This segment of John Martin is poised for growth and development through
several separate but interconnected projects. (Exhibit 6 -Map)
• Gulf Equities: Gulf Equities owns 260 acres of property stretching from
John Martin Road to Garth Road and extending northward to 1-10. The
recent expansion of the City of Baytown Tax Increment Reinvestment
Zone #1 (TIRZ) to include the majority of this property, along with the
master development agreement to facilitate the extension of Hunt Road as
an east-west connector from John Martin to Garth Road, will stimulaie the
commercial, retail and multi-family development of this tract. This
development, along with providing an alternative for access to the San
Jacinto Mall and some Garth Road businesses from the John Martin/Hunt
Road will place traffic burdens on the existing John Martin layout that will
soon be overloaded.
• Amvest Properties: Amvest properties has recently acquired -128 acres
on the west side of John Martin Road beginning 2,800 feet south of 1-10.
The property fronts John Martin Road for 2,510 feet and stretches
westward to Goose Creek Stream. This property aligns with the proposed
extension of Hunt Road and the planned development utilizes Hunt Road
as its primary entrance. This mixed-use development will include up to
650 single-family residences along with townhomes and commercial
reserves.
• Triyar Cannon Group: The Triyar Cannon Group owns the San Jacinto
Mall, regional shopping complex constructed in 1981. The mall has been
in decline for a number of years and was part of the catalyst for the
creation of Baytown's TIRZ #1. The mall is engaged in a redevelopment
effort designed to complement the TIRZ-driven developer activities. Three
recent accomplishments were the renovation and reopening of a closed,
multi-screen theatre and the construction of Chili's and Johnny Carino's
restaurants on their corner of Garth Road and 1-10. The mall's recent
purchase of the vacant Montgomery Wards building and the
announcement of the development of the Commons at San Jacinto retail
complex on this site will provide the flexibility to update and re-tenant the
mall area for future growth and development. The significant residential
development north of 1-10 (2,000 lots platted in the last five years) and the
impending construction of an elementary and senior high school in the
area will position the mall for future success.
• Additional Proposed Development: Tejas Tierra Developers has
recently acquired ~55 acres for 275 homes on the east side of John
Martin, opposite from a portion of the Amvest property. This developer is
interested in participating in the TIRZ as part of the proposed John Martin
improvement program, bringing additional capital funds and property
values to generate additional increment.
City of Baytown John Martin Project Report, page 3
Overall Project Description
The John Martin project will expand and reconstruct John Martin Road from its
present two-lane configuration to a five-lane, concrete curb and gutter
thoroughfare along a 100' wide ROW aligned with Bush Road on the south and
maintaining its existing 1-10 intersection on the north. (Exhibit 7) It will utilize the
existing traffic signal at Cedar Bayou -Lynchburg and add the provision for
signalization at the future intersection with Hunt Road. TxDOT has recently
completed installing signalization at the intersection of John Martin and 1-10. This
project is predicated on the projed-spscific participation of Harris County in
Baytown TIRZ #1 to assist with the generation of tax increment to provide for
reimbursement of developers for their funding of the land acquisition, design,
paving, drainage and signalization costs of the project. Additionally, City of
Baytown increment from the projects specifically described above, along with any
future John Martin-related projects, will be utilized to reimburse developers for
the water and wastewater infrastructure along John Martin.
Project Cost Estimate
Based on the proposed scope of the project, a cost analysis was conducted by
Cobb-Fendley and Associates in May 2006. (Appendix 1) The cost of the total
1.5 mile project was prepared utilizing a 500' radius at the southern realignment.
Discussion of the alternate 1,000' radius is included at the end of this report. The
project cost is estimated to be $10.6 million, broken down as follows:
Right of way acquisition $ 400,000
Design, Engineering and Materials Testing $1,392,273
Storm Water Drainage and Detention $3,457,182
Paving and road constriction $2,720,906
Water and Wastewater Infrastructure $1,556,760
20% Construction Contingency $1.546.969
TOTAL $11,074,090
Harris County financial participation would be limited to reimbursement of eligible
costs other than water and wastewater infrastructure design and construction.
Those costs that are TIRZ-eligible would be reimbursed from City of Baytown
increment.
Project Phasing
Due to the length and scope of the project, and the location of participating
developer's property, it is proposed that the project be designed in its entirety
and be constructed in up to two phases, as TIRZ developers and increment are
available to provide the funding for their project-adjacent properties. Due to
mobilization and reductions in scope of the individual phases, the combination of
the two phases may be more costly than constructing the project at one time.
Furthermore, it is expected that construction cost growth will continue and impact
Phase Two in the future.
City of Baytown John Martin Project Report, page 4
• Phase 1: Phase One of the project will include full design and property
acquisition for all phases. Construction will encompass -1 mile beginning
at 1-10 and proceeding south for 5,300 feet to the southern boundary of
the Amvest project property. (Exhibit 8 -Map) This phase will include all of
the adjacent Gulf Equities property and the Hunt Road intersection This
phase will also include the Tejas Tierra Development is that project moves
forward. The cost estimate for Phase One is $8.5 million with the
following breakdown:
o Right of way acquisition (all) $ 400,000 o Design, Engineering and Materials Testing $1,059^419
o Storm Water Drainage and Detention $3,002,095
o Paving and road construction $1,742,811 o Water and Wastewater Infrastructure $1 |i 40,750
o 20% Construction Contingency $1.177.131
o PHASE ONE TOTAL $8,5221206
• Phase 2: Phase Two of the project will connect Phase One on the north to
Cedar Bayou -Lynchburg Road on the south and include the re-alignment
to meet Bush Road at Cedar Bayou -Lynchburg. (Exhibit 9 -Map) The
length of John Martin in this segment is currently 2,355 feet long and the
realigned segment will be -3,150 feet long. The cost estimates are
predicated on the use of a 500" radius in the realignment to facilitate better
traffic flow, minimize disruption of existing businesses and reduce ROW
acquisition costs. The comparison of the 500" and the traditional 1,000'
radius alignment is attached to this report. The cost estimate for Phase
Two is $2.5 million, with the following breakdown:
o Design, Engineering and Materials Testing $ 332,854 o Storm Water Drainage and Detention $ 455|o87
o Paving and road construction $ 978,095
o Water and Wastewater Infrastructure $ 416,010
o 20% Construction Contingency $369JJ38
o PHASE TWO TOTAL $2,551,884
Timing
The developers mentioned in conjunction with Phase One are ready to proceed
with this portion of the project as soon as Harris County participation and the
project parameters are established. It is anticipated that Harris County would
retain the design engineer for this project and would oversee the project
construction. Those activities could begin as soon as the followinq tasks are
completed:
1. Execution of Memorandum of Understanding (MOU) between Harris
County, the City of Baytown and Baytown TIRZ #1 regarding the
components, responsibilities, timing and funding of the John Martin
Project.
2. Annexation of the portion of the Amvest property (and Tejas Tierra
property, if applicable) currently outside the City of Baytown
City of Baytown John Martin Project Report, page 5
3. Expansion of TIRZ #1 to include the Amvest (and Tejas Tierra, if
applicable) property and execution of a Development Agreement between
the TIRZ and the appropriate developers.
4. Amendment of the Project Plan and Financing Plan by the Baytown
Redevelopment Authority and Baytown City Council to include this
additional property, the Hunt Road development plan anc the John Martin
Project.
5. Execution of a TIRZ participation agreement between Baytown TIRZ #1
the City of Baytown and Harris County.
The estimated "Task" timeline is expressed in "estimated months-to-completion"
rather than calendar dates since some components cannot proceed until the
preceding component is complete. "Slippage" by any component(s) will affect the
ensuing project dates. The proposed "start" date for this timeline is July 2006.
1. Compilation of design and construction cost estimates -Complete
2. Finalization of increment and funding estimates to determine repayment,
bonding and construction time frames -30 days from conceptual
agreement with Harris County
3. Negotiation and execution of County/City MOU -beginning July 2006 and
continuing 60 days after task #2.
4. Annexation of Amvest/Tejas Tierra property into the City of Baytown -120
days from petition by the developer
5. Expansion of TIRZ #1 by the Baytown Redevelopment Authority and
Baytown City Council -45 days after annexation is complete.
6. Execution of Development Agreement with developers not already with an
agreement -60 days after execution of task #3.
7. Amendment of Project Plan and Financing Plan by the Baytown
Redevelopment Authority and Baytown City Council -30 days after task
#6.
8. Execution of Participation Agreement between Baytown TIRZ #1, the City
of Baytown and Harris County -60 days after #7.
The estimated construction timeline is based on execution of tasks 1 -8 above
and adequate developer funding and increment revenue to fund each phase.
Utilizing the estimates above, the design and construction phase would beain
January 2007.
• Selection of a consulting Engineer and execution of a contract -January -
February 2007
• Notice to Proceed with preliminary design -February 2007 (180 davs to PER) *
• Review of PER by County, City and TIRZ -August 2007 (90 days)
• Notice to Proceed with Final Design -November 2007
• 95% Design Review -March 2008 (90 days)
• Approval of final design and authorization for bids for Phase One-Mav 2008 y
• Land acquisition for Phases One and Two -Initiated as soon as route
alignment is finalized
City of Baytown John Martin Project Report, page 6
• Award of bids and Notice to Proceed with construciion of Phase One -September 2008
• Estimated construction time for Phase One -16 months
• Completion of Phase One -January/February 2010
• Slll^n0^ financials and feasibility to proceed with Phase Two -March /s010 (60 days)
• Updated review of design for compliance with regulatory or development
changes-May 2010 (90 days)
• Approval of Phase Two design and authorization for bids -August 2010
• Award of bids and Notice to Proceed with construction of Phase Two -
November 2010
• Estimated construction time for Phase One -12 months
• Completion of Phase Two -December 2011/Januarv 2012
Development activity in the area of Phase Two could accelerate this portion of the project and it is possible that the initiation of Phase Two could be combined
with or overlap with construction of Phase One. Furthermore, a lack ot
development activity could delay the initiation of construction of Phase Two until
TIRZ-participating developers are added.
Due to the uncertainties of future development activities, it is recommended that the time estimate for overall design and construction of Phase One be six years
and that the entire project be established as a 10-year project.
Phase Two Alignment Comparison
It is recommended that the design utilize a 500' radius on the two offsetting curves for the following reasons: u"aeumg
• To provide overall improved traffic flow by avoiding a split of Connally
Road, reducing the length of the dead end portion of the "old" John Martin
Road, and providing a 90 degree intersection with the future Archer Road
and '
• To avoid the displacement of additional existing homeowners and
businesses in right-of-way acquisition, and
• To reduce the expense and delays associated with establishing new
pipeline crossings over existing pipeline corridors containing 8 pipelines.
The 1,000' radius alignment depicted in the attached map (Exhibit 10) demonstrates the traffic engineering challenges that result from this alignment. Under the 1,000 radius alignment, the tasks of dealing with splitting the
~g ffr°"?f °" Connal|y Road and connecting with the remaining segment of old John Martin and the extended southern portion of "old" John Martin Road may create more traffic problems than the John Martin project is mtendecI to resolve. The 500' radius alignment utilizes more of the existing John Martin Road and Connally Road rights-of-way whereas the 1 000' radius
increases the cost of right-of-way acquisition and the disruption of established residential properties and commercial ventures. Furthermore, the impact on
City of Baytown John Martin Project Report, page 7
some of these businesses may require acquisition of their entire property since
insufficient property may remain to permit continued operations. The 500' radius
appears to require the displacement of only two residential structures and no
commercial structures. The 1,000' radius appears to require the displacement of
five residential properties and at least one commercial property.
Summary
The John Martin Project can serve as a significant catalyst to economic
development for east Harris County while providing traffic flow improvements to
current residents and businesses. It will correct existing traffic management
deficiencies and enhance public safety. The utilization of the TIRZ, developer-
funded financing mechanism will allow the improvement of public infrastructure
without large, up-front expenditures of public funds. The risk is borne largely by
the developers since their repayment is tied to ad valorem increases within their
developed areas. The spillover effect on the surrounding areas will provide
benefits to all taxing entities.
The importance of initiating this project now is critical so that right-of-way
acquisition can begin before any sporadic development places additional
obstacles to property acquisition.
City of Baytown John Martin Project Report, page 8
Exhibit 1:
Exhibit 2:
Exhibit 3:
Exhibit 4:
Exhibit 5:
Exhibit 6:
Exhibit 7:
Exhibit 8:
Exhibit 9:
Exhibit 10:
Appendix 1:
Attachments
Area map
John Martin Road map
John Martin/Cedar Bayou -Lynchburg photo
Bush Road/Cedar Bayou -Lynchburg Road photo
John Martin/Interstate 10 photo
Development adjacent to proposed project map
John Martin proposed alignment
John Martin Road -Phase I map
John Martin Road -Phase II -500' radius map
John Martin Road -Phase II -1,000' radius map
Cost Estimate Report from Cobb Fendley and
Associates
City of Baytown John Martin Project Report, page 9
ELEMENTARY
SCHOOL SITE
Proposed John Martin Project
EXHIBIT 1
City of Baytown John Martin Project Report, page 10
Proposed John Martin Project
EXHIBIT 2
City of Baytown John Martin Project Report, page 11
Exhibit 3 -John Martin/Cedar Bayou -Lynchburg
City of Baytown John Martin Project Report, page 12
Exhibit 4 -Bush/Cedar Bayou-Lynchburg
City of Baytown John Martin Project Report, page 13
City of Baytown
Exhibit 5 -John Martin/Interstate 10
John Martin Project Report, page 14
m
mm
Proposed John Martin Project!! I EXHIBIT 6
City of Baytown John Martin Project Report, page 15
Proposed John Martin Project
EXHIBIT 7
City of Baytown jjohn Martin Project Report, page 16
Proposed John Martin Project
PHASE 1:
Exhibit 8
City of Baytown John Martin Project Report, page 17
osed John Martin Project
)0' RADIUS
EXHIBIT 9
HASE
John Martin Project Report, page 18
AMVESJ
PROPERTIES
osed John Martin Project
•001 RADIUS
EXHIBIT
City of Baytown John Martin Project Report, page 19
Appendix One
Cost Estimate Prepared by
Cobb Fendley and Associates
City of Baytown John Martin Project Report, page 20
Cdbb
iM ASSOCIATES!
May 1, 2006
Mr. Bob Leiper, P.E.
City of Baytown
2401 Market Street
Baytown, Texas 77522-0424
RS: t^n|9J^rin9/Construction Estimate for John Martin Road from Cedar Bayou Lynchburg
Dear Mr. Leiper:
Per your request, Cobb, Fendley & Associates, Inc. (Cobb Fendley) is pleased to provide an estimate for the construction of John Martin Road between Cedar Bayou^^Lynchbu?g Road an2
Ir"l~ IU.
In^thnl^nHf^!? 2*1°" One *f°r a five hundred foot radius and Optton Two is for a one thousand foot rad.us. Each option has been broken down into two phases from IH-10 to the Plpel,ne corridor and from the pipeline corridor to Cedar Bayou Lynchburg Road
The total cost for each option is as follows:
Option One -Five Hundred Foot Radius:
Phase One -From IH 10 to the Pipeline Corridor
Estimated Construction Cost -
Design, Survey and Materials Testing -
Phase One Total
$ 7,062,788.00
$1,059,419.00
S 8.122.207.00
Phase Two-From the Pipeline Corridor to Cedar Bavou Lvnchh
Estimated Construction Cost -
Design, Survey and Materials Testing
Phase Two Total
Option One Grand Total -510.674,094 nn
$2,219,032.00
$ 332,855.00
$2.551.887.00
BftlHouston,Texas 77040-6153 |Voice 713.462.3242 (Fax 713.462-3262 |www.cobfen.com
Mr. David Hawes
April 19,2006
Page 2 of 2
Option Two -One Thousand Foot Radius:
Phase One -From IH 10 to the Pipeline Corridor
fejial ■.^associates'
Estimated Construction Cost -
Design, Survey and Materials Testing -
$7,062,788.00
$1,059,419.00
Phase One Total -$8.122.207.00
Phase Two -From the Pipeline Corridor to Cedar Bayou Lvnchburg
Estimated Cons
Design, Survey
ruction Cost-$2,180,404.00
md Materials Testing -$ 327,061.00
Phase Two Total -$2.507.464.00
A detailed breakdown
If you have any
Option Two Grand Total -$10.62aT67i on
of each option is provided on the attached spreadsheet.
Questions or comments, please do not hesitate to contact us.
Sincerely,
COBB, FENDLEY& ASSOCIATES, INC.
Bobby Nagel, P.E.
Project Manager
BGN/jdf
Attachment(s)
cc: David Hawes, Hawes, Hill, Calderon, L.L.P.
Baytown TIRZ
John Martin Rd From East Freeway to Cedar Bayou Lynchburg Rd {CBL)
Precinct Two
Preliminary Cost Estimate: Option 1 -SOQIRadlus
Design and Construct Water Sewer, Orainage and Paving
11-A|ir-06
Phase 2
From Pipeline Corridor to CBL From East FWY1
Item Description
Site Preparation and Earthwork
Harris-County Project ID Signs
Clearing Objeclional Material
Milling Existing Pavement. 8
Remove Old Concrete Driveways
Remove Existing Inlets
Remove Existing Winnwall at HCFCD 0113
Remove Existing Junction Boxes
Remove Existing Reinforced Concrete Pips >40
Roadway Excavation
Relocate Traffic Signs, Mailboxes, Etc.
Remove Old and Install New Fencing
Remove Existing Flexible Beam Guardrail
Subtotal Side Pre ration and Earthwork
Lime-Stabilized Subgrade. 8"
Lime (5% by Weight)
Concrete Pavement. 10"
$1,839.620.00 Non-Mountable Concrete Curb. 6
Concrete Driveway. 7
Asphaltic Concrete Surfacing, 2"
Prime Coat <@ 0.25 GAL/SY)
Fack Coat (@ 0.15 GAL/SY1
Wheelchair Ramps
Subtotal Paving Items
$2,260,154.00
Page 1 of 3
Baytown TIRZ
John Martin Rd From East Freeway to Cedar Bayou Lynchburg Rd (CBL)
Precinct Two
Preliminary Cost Estimate: Option 1 -500' Radius
tgn^nd ConsFOcnVaterTS Di d
y st Estimate: Option 1 -500 Radius
nsFOcnVaterTSfiA-er, Drainage and Paving
11-Apr-06
Phase 2
eline Corridor to CBL
Unit Total
Price Cost
From East FWY to Pipeline Corridor
Item Description
Road Drainage Items
RCP Storm Sewer, 24
RCP Storm Sewer. 30"
RCP Slorm Sewer. 36
RCP Storm Sewer 42"
5'x3' Reinforced Concrete Box Culvert
$1.827.360.00 7'x5' Reinforced Concrete Box Culvert
7x6' Reinforced Concrete Box Culvert $59,400.00
mmm—■■
748.125.00
$26,000.00
2-7x5' RCB. Flared Wi
$13.000.00
$20.000.00
$3.100,00
3-7x6' RCBC. Flared Win
Standard Storm Manhole $20,000,00
$21,700.00
Adjust Manholes or Inlets
Detention Pond Excavation
Subtotal Road Drainage Items
$3,002,095.00 $3,457,182.00
Pollution Prevention Items
Inlet Protection Barrier*
Stabilized Construction Access
romulch Seedin
$800.00
$200.00
400.00
$20000
TPDES General Permil, NOI
TPDES General Permit, Annual W.Q. Fee
Subtotal Pollution Prevention Items
$12,882.0q|
Paije2of3
Bay town T1RZ
John Martin Rd From East Freeway to Cedar Bayou Lynchburg Rd (CBL)
Precinct Two
Preliminary Cost Estimate: Option 1 -S00'Radius
Desfgn^nd Construct WatifTSewerTdrainage and Paving
11-Apr-OS
Phase 1
From East FWY to Pipeline Corridor
Unit
Phase 2
From Pipeline Corridor to CBL
Signing and Pavement Markings
4" While Broken Traffic PainLStripinq
Yellow Broken Traffic Paint Striping
4" Solid Yellow Traffic Paint Stripin
24" Solid Yellow Traffic Paint Striping
"Arrow" Symbol on Pavement
Aluminum Traffic Signs
Subtotal Signing and Pavement Markings
Traffic Control Plan
Traffic Control, ali devices $25.000.00 S25.oonnn $25,000.00 $25,000.00
$100,000.00 $100.000.00 $100.000.00 $100.000.00
Subtotal Traffic Control Plan
Pipeline Adjustment / Clearance
15" Sanitary Sewer SDR35 (Less than 20 vfi
Sanitary Sewer Manholes
Lift Station $150,000.00
$55.00
12" Waterline C900
$84,960,00
$7,800.00 $33,800.00
$1,556,760.00
Subtotal Extra Work Items $1,140,750.00
ESTIMATED CONSTRUCTION COST $5,885,656.60 $1,849,192.85 $7,734,849.45 CONTINGENCIES (20%)
$1,546,969.89 fOTAL ESTIMATED CONSTRUCTION COST $7,062,787.92 $2,219,031.42 $9,281,819.34 Design, Survey, & Materials Testing Cost (15%) $1,059,418.19 $1,392,272.90
$8,122,206.11 $10,674.092.241
I1 I
Bay town TIRZ John Martin Rd From East Freeway to Cedar Bayou Lynchburg Rd (CBL)
Precinct Two
Preliminary Cost Estimate: Option 2 -10001 Radius Deslgiuawd^onstnict Water, SewerTDrainage and Paving
11-Apr-06
No-Item Description
Site Preparation and
Harris County Projert tn Si
ClearinoebiectionarMalertar
Milling Existing Pavement, 8"
Remove Old Concrete Drive
Remove Existin
Remove Existing Wingwalt at HCFCD 0113
Remove Existing Junction Boras
Remove Existing Reinforced Conrraf* Pi
Roadway Excavatinn
Relocate Traffic Signs. Mailboxes,
Remove Old and Install New Fencin
Remove Existing FI»yiD|e Beam Guardrail
Subtotal Side Preparation and Earthwork
—
Paving Items 2
Lime-Stabilized Subqrade ft*
Lime (5% bv Weight)
oncrete Pavement. 10"
Non-Mounlable Concrete Curb fi"
toncrete Driveway, 7"
Asphaltic Concrete finrfartnf
'rime Coat «3> 0.25 GAUS^l
Tack Coat
WjieeichairRarm 21
Guardrail. Flex Beam
iGT Kit
Guardrail, Turndown
Subtotal Paving Items
Total
Unit | Quantit
Phase 1
From East FWY to Pipeline Corridor
Unit Total
Quantity Price Cost
$755.00
30.00
$2.10
$5.15
_$150.00
E300.0Q
$1.500.00
$10.00
$5.00
$1.500.00
$8.50
$4.75
P75500|
$23.6OO.Oo|
$0.001
?3,059.10|
so.ool
jOO.OO
$1,500.00
$4,5OO.Oo|
$52.620.00|
$1.500.0o|
$14.45O.Oo|
375.00
$104,659.1q|
$1.75
$105.00
$29.50
E2.50
$39.00
$55.00
$2.00
$2.00
$500.00
$32.00
$988.00
$650.00
$76.125.00
$51.660.00
$1.282.660.00
[0.600.00
$23.166.00
$0.00
$0.00
$0.00
$3.000.00
$16.000.00
$3.952.00
$2.600.00
$1,489.763.00
i of 3
Phase 2
From Pipeline Corridor to CBL
Unit Total
^Quantity Price Cost
Both
Phases
Total
Cost
$755.00
$14.800.0o|
$22.686.3ol
S8.409.95l
$300.00l
$o.ool
$1,510.Q0I
g38.4OO.Ool
$22,686.3o|
$11.469.05
$300.Q0|
so.ool
so.ool
$18.1OO.Oo|
$1.500.QO|
_ $4,500.0ol
$70.720.00l
$1.500.00
$S.1QO.Qo|
so.ool
171,651.251
$1.75
$105.00
_ $29.50
$2.50
$39.00
_$55.00
$2.00
$2.00
$500.00
$32.00
$986.00
$650.00
H5.955.0Qi
$31.185.00
$522.592.50,
$13.315.00
$63.687.00
$67,210.00
$5,728.00
$3.436.00
$i.ooo.ool
).pO|
$0.00
so.ool
$754,108.50
$122.080.0DJ
$82,845.Oo|
$1.805.252.501
$43.91 S.Ool
$86.853.00|
$67.21O.Qo|
$5.728.Oo|
$3,436.00[
$4.OOO.Qol
$16.0QO.QOJ
13,952.OO|
$2,600.00
$2,243,871. Sol
John
Baytown TIR2
Martin Rd From East Freeway to Cedar Bayou Lynchburg Rd (CBL)
ProclnctTwo
Preliminary Cost Estimate: Option 2 -10001 Radius
■, Drainage and Paving
,$225,412.00
$121.000.00
$157.500.00
Road Drainage Items
RCP Storm Sewer 24'
RCP Storm Sewer. 30"
S55.000.00
$90.000.00
RCP Storm Sewer. 3fi"
RCP Storm Sewer. 42"
S'xff RetnToToBaXoncrete Box Culvert $62.050.00
$1.827.360.00 7'x5' Reinforced Concrete Box Culvert
$450.00
$475.00
7'x6' Reinforced Concrete Box Culvert
2-7x5' RCB. Flared Wino Wall
3-7x6' RCBC. Flared Wi
Standard Storm Manhole
Trench Safe
Adjust Manholes or Inlets
Detention Pond Excavation $2.970.00
37.700.00
$3,442,247.50
Subtotal Road Drainage Items
$3,002,095.00
Pollution Prevention Items
Inlet Protection Barrier'
Stabilized Construction Access
$14.00
$800.00
Hydromulch Seeding
TPDES General Permit, NOI A
TPDES General Permit. Annual W.Q. Fee
Subtotal Pollution Prevention Items
2 rf 3
Baylown TIRZ
John Martin Rd From East Freeway to Cedar Bayou Lynchburg Rd (CBL)
Precinct Two
Preliminary Cost Estimate: Option 2 -1000' Radius
-Design ana uonstrucfWater, Sewer, Drainage and Paving
11-/V-06
Signing and Pavement Markings
4" White Broken Traffic Paint Stripin
•" Yellow Broken Traffic Paint Stripin
4" Solid Yellow Traffic Paint Stripin
24" Solid Yellow Traffic Paint Strjpjng
nWSvmbol on Pavement
Aluminum Traffic Signs
$5.200.00
$10,630.50
Subtotal Signing and Pavement Markings
Traffic Control Plan
Traffic Control, all devices $25,000,00 $25.000.00 $25.000.00 $25,000.00
$100.000.00 $100.000.00
$125,000.00
$100.000.00 $100T00O.0c
$125,000.00
$200.000.00
$250,000.00
Subtotal Traffic Control Plan
Pipeline Adjustment / Clearance $635,00 $698.500.00
$35,00 $207.200.00
$698,500.00
$207.200.00
Sewer SDR35 (Less than 20 v
Sewer Manholes
$31.450.00
$150,000.00
$5500 $173.250 OH l2"WatertineC9Q0
Fire Hydrants $30.00 $79.890.00
$1,300.00 $7,800.00
$257.490.00
$33.800.00 Subtotal Extra Work Items
$1,140,750.00 $1,551,690.00
ESTIMATED CONSTRUCTION COST $5,885,656.60 $1,817,002.75 CONTINGENCIES (20% $1,177,131.32
$7,062,787.92
$1,059,418.19
$363,400.55
S2,180,403.30
$327,060.50
$1,540,531.87 TOTAL ESTIMATED COST
$9,243,191.22
$1,386,478.68
Design, Survey, & Materials Testing Cost (15%)
$8,122,206.11 $2^507,463.80 $10,629,669.90
3 of 3
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HARRIS COUNTY, TEXAS
c/o Community and Economic Development Department
8410 Lantern Point Drive
Houston. TX 77054
713-578-2000
COMMISSIONERS COURT:
Robert Eckels
County Judge
El Franco Lee
Commissioner, Precinct I
Sylvia Garcia
Commissioner, Precinct 2
Steve Radack
Commissioner, Precinct 3
Jerry Eversole
Commissioner, Precinct 4
GUIDELINES FOR COUNTY PARTICIPATION IN MUNICIPAL
TAX INCREMENT REINVESTMENT ZONES CREATED IN
HARRIS COUNTY
i
Whereas, the development and redevelopment of unproductive,
underdeveloped or blighted areas within the County are the highest civic priority;
and
Whereas, under Chapter 311 of the Texas Tax Code, the Tax Increment
Financing Act, and Tex. Const. Art. VIII, § l-g, tax increment financing may be
utilized to achieve these goals; and
Whereas, Harris County may, from time to time, determine that it should
participate in such Tax Increment Financing as provided for in Chapter 311; and
Whereas, Commissioners Court wishes to establish guidelines governing
such participation.
Now, therefore, be it resolved that Harris County does hereby adopt
these Guidelines governing its participation in such Tax Increment Financing
within Harris County.
i
1. Definitions
(a) "Blight" means the presence of:
1. substantial number of substandard, slum, deteriorated, or deteriorating
structures;
2. the predominance of defective or inadequate sidewalk or street layout;
3. faulty lot layout in relation to size, adequacy, accessibility, or usefulness;
4. unsanitary or unsafe conditions;
5. the deterioration of site or other improvements;
6. tax or special assessment delinquency exceeding the fair value of the land;
7. defective or unusual conditions of title; or
8. conditions that endanger life or property by fire or other cause.
Harris County Guidelines for TIRZ Participation
Commissioners C H KT KK-ADOI'IKI) DK< K.MIIKK 19,2006
Page I
(b) "Cap" means a maximum amount beyond which the County will not
contribute.
(c) "Zone Created by Petition" means a reinvestment zone created in accordance
with Tex. Tax Code Ann. §311.005(a)(5).
(d) "Project Plan" means the project plan for the development or redevelopment
of a reinvestment zone approved under §311.011, including all amendments of
the plan approved by Commissioners Court.
(e) "Project Specific Participation" means participation in which the County
selects certain elements of a Project Plan to which it will contribute portions of
its i icrement contribution.
(f) "Reinvestment Zone Financing Plan" means the financing plan for a
reinvestment zone as described in §311.011.
(g) "Se^-Aside Funds" means a portion of not less than 1/3 of the tax increment
recejved by a Zone created by petition, which portion is to be used to provide
affordable housing during the term of the Zone.
(h) "Undeveloped" or "Underdeveloped" area means an area that is predominantly open and, because of obsolete platting, deterioration of
structures or site improvements, inadequate infrastructure, or other factors,
substantially impairs or arrests sound growth.
2. Participation Requirements
(a) County Audits. The County will have the right to audit the books and
records of every Zone (and Redevelopment Authority) in which it
participates. Such audits will take place at any time convenient to the County.
(b) Eligible Zone. In order for a reinvestment zone to be eligible for County
participation, it must:
1. Meet the definition of a "Blighted" and/or "Underdeveloped" area as set
oijt in Section 1 herein.
2. Must display "Jurisdictional Equivalency" as set out in 2(d).
3. Cost/Benefit Analysis must show a net financial benefit will accrue to the
County during the term of its participation.
(c) Eligible Project. In order to be eligible for County participation, a project:
I. must have a clear public purpose;
Harris County Guidelines for TIRZ Participation PageT
C'OMMISSIOiNKRS COUKT RK-AllOITKI) I)K( I.MHKK 19,2006
2.
3.
4.
5.
6.
7.
8.
may not serve to primarily enhance the value of private enterprise;
must be clearly identified with cost estimates for its components;
must facilitate development of undeveloped or underdeveloped areas or
enhance the quality of life for current residents of a "Blighted" Zone;
may not have as its primary goal, the relief of a municipality of its
obligation to maintain and/or grow its infrastructure;
must show that funding would be inadequate without County
participation;
can only be undertaken for road or street improvements on thoroughfares
that are on the County's road log; or those which the County has
expressed its intent to place on the County road log; and
should not include improvements of a type that would not ordinarily be
provided in the unincorporated portions of the County.
(d) Jurisdiction a I Equivalency. In every TIRZ in which the County
participates, at least 10% of the dollar amount of all projects listed in the
Zone's project plan should consist of unfunded Capital Improvement Projects
of County taxing entities.
(e) Terms of Participation.
1. The County may only participate in Zones created in accordance with
§311 of the Property Tax Code.
An Interlocal Agreement must be approved simultaneously with every 2.
3.
order of participation.
The County will participate only to the extent of the basic County tax rate
excluding all other taxing units for which the County sets the tax rates.
Tfhe maximum participation rate will be 75% of the County's base rate.
All County participation must be "Project Specific".
Cjounty participation must be capped at the total amount of its
contribution to the specified projects.
The term of County participation will not extend beyond its payment of
the Capped amount or the zone's receipt of the total amount from all
jurisdictions, as set out in its project plan, whichever occurs first.
Tjie increment received by the TIRZ from the County must be placed in a
restricted account to be drawn against for use only on projects in which
the County has agreed to participate, or as set out in #9.
Should bonds be issued by the Zone, the County's pro-rata portion of debt
service and other bond costs must first be deducted from each annual increment received from the County by the TIRZ, and the balance shall
be, placed in a restricted account as set out in #8.
10. If jthe County is participating in a Zone Created by Petition, then 1/3 of
each year's increment payment will be returned to the County within 30
days of its receipt by the City for use by the County in its affordable
housing programs within Harris County, unless affordable housing bonds
4.
5.
6.
7.
8.
9.
are
Harris County Gu
Commissioners Co
issued, in which case the provisions in #9 and # 11 shall apply.
DELINES POR TIRZ PARTICIPATION
!KT RK-AI)()I>IKI) DK( KMHKK 19,2006
Page 3
I lj Should bonds be issued by the Zone, the County's pro-rata portion of the
bond proceeds must be placed in a restricted account as set out in #8.
Should bonds be issued by a Zone Created by Petition, then the County's
pro-rata share of set-aside portion of the bond proceeds will be paid to the
County and the remaining 2/3 will be restricted as set out in #8.
12. The County must have the ability to designate those projects in which it
will participate, and for which it will administer the construction. In
these instances, the TIRZ will pay to the County, in advance, all funds
necessary to cover the cost of completion of the project.
13. No more than 10% of any increment contributed by the County may be
utilized by the TIRZ for the payment of administrative, legal, consulting
or other professional expenses, except engineering and architectural fees
directly related to the specific projects in which the County will
participate. No portion of the increment contributed to the TIRZ by the
County may be paid to the City for administrative fees.
3. Approval
(a) Prior to approving an order of participation in a TIRZ, the Commissioners
Courjt may hold a public hearing at which interested persons shall be entitled
to speak and present written materials for or against the approval of the
County's participation.
(b) In order to approve participation in a municipal TIRZ, the Commissioners
Court must find that the terms of the proposed participation will meet these
Guidelines and that:
(1) there will be no substantial adverse effect on the provision of the
j jurisdiction's service or tax base; and
(2) the participation will not substantially adversely affect the County's
ability to carry out its long range development plans.
4. Interlocal Agreement
An Interlocal Agreement by and among Harris County, the municipality that created the
Zone, the Board 6f Directors of the Zone and if applicable, the Redevelopment Authority,
must be approved by Commissioners Court simultaneously with each order of
participation. These agreements shall contain the following provisions:
(a) All of (he terms set out in Section 2(e).
Harris County Gui dfxines for TIRZ Participation
CommissionkksColrtKk-Adoi'i>:dDm kmiskk 19,2006 Page 4
(b) On any existing Zone created by petitions, a return to the County of the
unexpended portion of the set-aside funds attributable to the increment paid
by the County since the inception of the Zone.
(c) Th<? County will have the right to audit the books and records of every Zone
in jwhich it participates and each Redevelopment Authority which may
administer a portion of the County's increment. Such audits will take place at
Onir t lift A AAHIIAM!A.al *-~ *L_ /~* _ . A_ . any time convenient to the County
(d) The|-e shall be no penalty or interest due from the County for delayed
increment payments.
(e) The TIRZ Board will be prohibited from relinquishing control of any funds
paid by Harris County to any entity which is not a party to the Interlocal
Agreement.
(f) The County will be provided with copies of all audits, studies, reports and
analyses of the activities or financial condition of the TIRZ that are prepared
by oral the direction of any party to the Interlocal Agreement.
(g) In petition-created zones, the TIRZ must provide an annual report of its
actions with regard to, and the involvement of, disadvantaged businesses as
required by Section 311.0101 of the Property Tax Code
(h) In accordance with Section 311.013(0 of the Property Tax Code, the County
will make no increment payment to any petition-created TIRZ with which it
does not have an approved Interlocal Agreement
5. Administration
(a) The Interlocal Agreement shall stipulate that employees and/or designated
representatives of the County will have access to the books and records of all
parties to the agreement and to all projects funded by the TIRZ during the
term of] the County's participation, for the purpose of determining if the terms
and conditions of the agreement are being met. All inspections will be made
only after giving twenty-four (24) hours prior notice and will only be
conducted in such a manner as to not unreasonably interfere with the
operations of the subject of such inspections.
(b) Administration of all County involvement in municipal TIRZs will be the
responsibility of the Community and Economic Development Department
("CEDD"). This will include the evaluation of all proposed Zones and the
administration of existing zones.
Iarris County Guidelines for TIRZ Participation "OMMISSIONKKS COUk}|' KK-Al)OI>TKI) DKCKMBKR 19, 2006 Page5
(c) CEDD shall monitor all TIRZs in which the County participates. Such
reyiew will include compliance with project plans, Interlocal agreements and
applicable laws.
(d) Annual County increment payments will be managed by CEDD, according to
a process agreed upon by CEDD, Office of the County Tax Assessor
Collector and the County Auditor.
(e) CEpD will annually prepare and submit a TIRZ compliance report to the
Commissioners Court.
6. Sunset
These Guidelines are effective March 1, 2007 and will remain in force through February
28, 2009, at whfch time all County TIRZ participations will be reviewed by the County
to determine whether the goals have been achieved. Based on that review, the Guidelines
will be modified or renewed.
Iarris County Guidelines for TIRZ Participation ^'OMMISSIONKR.sCot KT RK-Al)OI'Ti:i> I)K(T.MBKK 19,2006 Page 6