Ordinance No. 12,008ORDINANCE NO. 12,008
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF BAYTOWN,
TEXAS, AUTHORIZING AND DIRECTING THE MAYOR TO EXECUTE
AND THE CITY CLERK TO ATTEST TO AN INDUSTRIAL DISTRICT
AGREEMENT WITH NRG TEXAS POWER LLC; 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 Mayor and City Clerk of the City of Baytown to execute and attest to an
Industrial District Agreement with NRG Texas Power LLC. A copy of said Industrial District
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
City of Baytown, this the 23`d day of August, 2012
1'
111th + �
NACIO RAMIREZ, SR., U Attorney
R1Kuen \Fi1es \City Counci1\0rdinmm\2012\August 23 \NRGIDA0rdinnnce.doc
Exhibit "A"
Industrial District Agreement
This Industrial District Agreement ( "Agreement ") is made and entered into between the
City of Baytown, Texas, a municipal corporation in Harris and Chambers Counties, Texas,
hereinafter also referred to as "Baytown" or "City," and NRG Texas Power LLC, a Delaware
limited liability company, hereinafter referred to as "Property Owner." In consideration of the
promises and of the mutual covenants and agreements herein contained, it is agreed by and
between the City and Property Owner as follows:
I.
Parties
This Agreement is made under the authority of Texas Local Government Code Annotated
§42.044 (Vernon 1993), article XI, §5 of the Texas Constitution and other applicable law. The
parties to the Agreement and their addresses are:
l . The "City"
City of Baytown
Attn: City Manager
P.O. Box 424
Baytown, TX 77522
Copy to:
City of Baytown
Attn: City Attorney
P.O. Box 424
Baytown, TX 77522
2. The "Property Owner" Tax Statement Address:
NRG Texas Power LLC NRG Texas Power LLC
1201 Fannin Attn: Steve Cinoski, Tax Manager
Houston, TX 77002 211 Carnegie Center
Princeton, NJ 08540
II.
Identification of Property and Industrial District
This Agreement includes provisions concerning certain real estate and tangible personal
property owned or leased by the Property Owner. Real estate located outside the corporate limits
of the City is sometimes referred to herein as the "affected area," and it is described in Exhibit A,
which is attached to this Agreement and made a part hereof. Acting pursuant to the above
mentioned authority, the City Council of the City has by ordinance, designated the affected area
as an industrial district, the same to be known as Baytown Industrial District No. 3 (the
"Industrial District'.
III.
Term
The term of this Agreement is seven tax years, from 2012 through 2018, unless it is
sooner terminated under the provisions hereof. This Agreement shall be effective and binding on
the parties hereto upon execution hereof on behalf of the parties to this Agreement and shall
remain in effect for seven years. This Agreement supersedes any prior existing agreements
between the Property Owner and the City relating to the subject matter hereof and governing the
affected area; to the extent any such prior existing agreement required payment on or after
January 1, 2012, such payment obligations are hereby canceled and are superseded by the
provisions contained herein.
IV.
Limited Immunity from Annexation by the City
In consideration of the obligations of the Property Owner herein set forth, the City hereby
guarantees for the term of this Agreement the immunity of the affected area from annexation of
any type by the City except for such parts of the affected property as may be necessary to annex
property owned by third parties within the Industrial District that the City may decide to annex.
Additionally, this Agreement shall not affect the continuation of any limited purpose annexation
status to which the affected area is now subject.
V.
Industrial District Payment
As part of the consideration for the City's undertakings as set forth above, the Property
Owner agrees to pay to the City on or before December 31 't of each year during the term hereof a
sum of money equal to:
(1) the product of (a) the fair market value of all the Property Owner's land and all
tangible property, real, personal, or mixed, within the affected area for the tax
year 2012, which is stipulated herein to be ELEVEN MILLION SIX HUNDRED
FIFTY -THREE THOUSAND THREE HUNDRED FORTY AND NO /100
DOLLARS ($1I,653,340.00) times (b) 1.7721 (such product hereinafter referred
to as the "Base Year Value" and 2012 hereinafter to as the "Base Year ");
multiplied by
(2) the property tax rate per $100.00 of assessed valuation adopted by the City
Council for the City, multiplied by the applicable Yearly Payment Rate as
detailed below.
The applicable Yearly Payment Rate is the sum of the Industrial District Payment Rate
plus the Public Community Improvement Rate and shall be determined using the following
chart:
2
VI.
Valuations
For the purpose of providing a procedure for determining and collecting the amounts
payable by the Property Owner hereunder, there are hereby adopted and made a part hereof all
provisions of the Constitution and statutes of the State of Texas pertaining to ad valorem taxation
as amended throughout the term of this Agreement (including, in particular, the Texas Property
Tax Code), except, however, that (i) to the extent that any of such provisions would require the
assessment of the Property Owner's property on an equal and uniform basis with property in the
general corporate limits of the City, the provisions of this Agreement will control where in
conflict with the provisions of such laws and (ii) the income method of appraisal as described in
Section 23.012 of the Texas Property Tax Code shall not be limited to only properties for which
a rental market exists. Specifically, nothing contained herein shall limit the income method of
appraisal specified in Section 23.012 of the Texas Property Tax Code to only properties for
which a rental market exists, instead if such method is used, the chief appraiser shall:
1. use income and expense data pertaining to the property, if possible and
applicable;
2. make any projections of future income and expenses only from clear and
appropriate evidence;
3. use data from generally accepted sources in determining an appropriate
capitalization rate;
4. determine a capitalization rate for income- producing property that includes a
reasonable return on investment, taking into account the risk associated with the
investment.
3
INDUSTRIAL
PUBLIC
YEARLY
TAX YEAR
DISTRICT
COMMUNITY
PAYMENT
PAYMENT RATE
IlVIPROVEMENT
RATE
RATE
2012
.61
.01
.62
2013
.62
.01
.63
2014
.62
.01
.63
2015
.63
.01
.64
2016
.63
.01
.64
2017
.63
.01
.64
2018
.64
.01
.65
VI.
Valuations
For the purpose of providing a procedure for determining and collecting the amounts
payable by the Property Owner hereunder, there are hereby adopted and made a part hereof all
provisions of the Constitution and statutes of the State of Texas pertaining to ad valorem taxation
as amended throughout the term of this Agreement (including, in particular, the Texas Property
Tax Code), except, however, that (i) to the extent that any of such provisions would require the
assessment of the Property Owner's property on an equal and uniform basis with property in the
general corporate limits of the City, the provisions of this Agreement will control where in
conflict with the provisions of such laws and (ii) the income method of appraisal as described in
Section 23.012 of the Texas Property Tax Code shall not be limited to only properties for which
a rental market exists. Specifically, nothing contained herein shall limit the income method of
appraisal specified in Section 23.012 of the Texas Property Tax Code to only properties for
which a rental market exists, instead if such method is used, the chief appraiser shall:
1. use income and expense data pertaining to the property, if possible and
applicable;
2. make any projections of future income and expenses only from clear and
appropriate evidence;
3. use data from generally accepted sources in determining an appropriate
capitalization rate;
4. determine a capitalization rate for income- producing property that includes a
reasonable return on investment, taking into account the risk associated with the
investment.
3
A.
Valuation of Property Inside the Corporate Limits but Subscguently Disannexed
I.,and, improvements and tangible property, real or mixed, of the Property Owner, which
are disannexed from the corporate limits of the City during the term of this Agreement, shall
become part of the affected area immediately upon disannexation. The value for such land,
improvements and tangible property, real or mixed, shall be based upon the appraised value for
the Base Year, as finally determined by the Chambers County Appraisal District or its legal
successor (or through administrative or judicial appeal of the Chambers County Appraisal
District's determination) and shall be added to the Base Year Value specified in Article V for
purposes of payment hereunder on January 1 of the year the same is disannexed.
B.
Valuation of Property Outside the Corporate Limits
The parties hereto recognize that said Chambers County Appraisal District is not required
to appraise the land, improvements, and tangible property, real or mixed, in the affected area,
which are not within the corporate limits of the City, for the purpose of computing the payments
hereunder. Therefore, the parties agree that to determine the fair market value of all of the
Property Owner's land, improvements, and tangible property located outside the corporate limits
of the City in accordance with the market value computation contemplated in the Texas Property
Tax Code for the purpose of calculating the Property Owner's payment in the manner described
above, the City may choose to use the appraised value for the Base Year as finally determined by
the Chambers County Appraisal District (or through administrative or judicial appeal of the
Chambers County Appraisal District's determination), or by appraisal conducted by the City
and/or by an independent appraiser of the City's selection, and at the City's expense. Nothing
contained herein shall ever be construed as in derogation of the authority of the Chambers
County Appraisal District to establish the appraised value of land, improvements, and tangible
personal property in the annexed portion for ad valorem tax purposes.
C.
Binding Effect
Determination of the Industrial District fair market values in the above - stated manner
outside the corporate limits shall be made by the City and approved by the Industrial Appraisal
Review Board. Such final fair market value as approved by the Industrial Appraisal Review
Board shall be final and binding unless either party within thirty (30) days after receipt of the
Board's determination petitions for a Declaratory Judgment to the Civil District Court of Harris
County, Texas, as provided for by Section XIV hereof. In determining the fair market value of
property and improvements as used herein, the Industrial District Appraisal Board shall base its
determination on the fair market value as defined in Section VI herein, giving due consideration
to comparable present day facilities considering and giving effect to sound engineering valuation
practices relative to service life, life expectancy, process and functional obsolescence.
4
D.
Statements
The City shall mail one statement to the Property Owner on or about December 1 of each
year showing the total amount due on December 31 of such year pursuant to this Agreement.
Such statement shall be mailed to the "Tax Statement Address" noted in this Agreement. Any
amounts due on December 31 that are not paid when due shall become delinquent on January l
of the following year. Provided, however, if the tax statement is mailed after December 10, the
delinquency date is postponed to the first day of the next month that will provide a period of at
least 21 days after the date of mailing for payment of the amount due. Delinquent amounts shall
be immediately subject to the same penalties, interest, attorneys' fees and costs of collection as
recoverable by the City in the case of delinquent ad valorem taxes. The City shall have a lien
upon the Property Owner's land within the affected area upon any delinquency in the Industrial
District Payment.
E.
Valuation Contests
If any differences concerning the appraised values shall not have been finally determined
by the due date of the Property Owner's payment hereunder and the Property Owner desires to
pursue any additional available remedies, the Property Owner shall, without prejudice to such
remedies, pay to the City by December 31 of each year (subject to the exception in the preceding
paragraph for statements mailed after December 10), such amount as is provided in the Texas
Property Tax Code, as amended throughout the term of this Agreement, for payments made
under such conditions by owners of property within the general corporate limits of the City
subject to ad valorem taxation. Any refund payable by the City to the Property Owner hereunder
shall be paid within 60 days after receipt by the City of both the Chambers County Appraisal
District's form notification that the appraised value of the property has been reduced and a
written refund request by the Property Owner; if not paid timely, the refund amount shall bear
interest at eight percent per annum beginning 60 days after the City received both the Property
Owner's written refund request and the Chambers County Appraisal District's formal
notification that the appraised value of the property has been reduced.
VII.
Compliance with Law
The City and the Property Owner mutually recognize that the health and welfare of
Baytown residents require adherence to high standards of quality in the air emissions, water
effluents and noise, vibration and toxic levels of those industries located in the Industrial District,
and that development within the District may have an impact on the drainage of surrounding
areas. To this end, the Property Owner and the City agree that the same standards and criteria
relative to noise, vibration and toxic levels and drainage and flood control which are adopted by
the City and made applicable to portions of the City adjacent to the Industrial District shall also
be applicable to the affected area. The Property Owner agrees that any industrial or other
activity carried on within the affected area will be constructed in strict compliance with all
applicable valid state and federal air and water pollution control standards. If the Property
5
Owner's property within the affected area is subject to the Occupational Safety and Health Act,
29 U.S.C. 65, et seq., as amended, then the Property Owner shall undertake to ensure that its
facilities and improvements in the affected area comply with the applicable fire safety standards
of such act and the resolutions from time to time promulgated hereunder (the "OSHA
Standards "), but there shall be no obligation to obtain any permits of any kind from the City in
connection with the construction, operation or maintenance of improvements and facilities in the
affected area not located within the corporate limits of the City. Nonetheless, for construction
which commences after the execution of this Agreement, the Property Owner agrees that any
structure built within the affected area shall be built in accordance with the building code
adopted by the City in effect at the time of construction.
The City and the Property Owner recognize that activities in the City's industrial districts
are subject to regulation by other governmental entities, including the state and federal
governments and their various departments and agencies. The City and the Property Owner also
recognize that the City may have an interest in activities in the City's industrial districts that are
regulated by other governmental entities. Nothing in this Agreement is intended to limit the
City's right and authority to communicate its interest in, or opposition to, those activities to the
applicable regulatory agencies or to participate, to the extent allowed by law, in any related
administrative or judicial proceeding.
VIll.
Inspections
The Chief Appraiser of the Chambers County Appraisal District and the City or its
independent appraiser shall have the same right to enter and inspect the Property Owner's
premises and the same right to examine the Property Owner's books and records to determine the
value of the Property Owner's properties as are provided in the Texas Property Tax Code as
amended.
IX.
Public Community Improvement
The Property Owner may apply to the City for reimbursement for a Public Community
Improvement Project designed to further the public community improvement goals of the City of
Baytown. Such project, the duration of the project, and the location thereof must be approved in
writing by the City Manager of the City based upon the public community improvement goals of
the City in effect at the time of the application. The Public Community Improvement Project
must be completed prior to the expiration of the Agreement year during which it is approved to
be eligible for reimbursement, except if it is approved as a multi -year project. The Public
Community Improvement Project may be for multiple years; however, in order to be eligible for
reimbursement in accordance with this article, it must be completed prior to the expiration or
termination of this Agreement. Further, the project may be constructed on the Property Owner's
property; provided that the project is visible from and enhances a public way or other public
property. Any reimbursement under this article shall be subject to the City Manager's
determination that the completed Public Community Improvement Project meets or exceeds
those improvement efforts proposed and approved prior to the start of the project.
G
Reimbursement may not exceed the amount the Property Owner will pay to the City based solely
upon the Public Community Improvement Rate established in Article V hereof during the term
of this Agreement. It is expressly understood and agreed that in any year during the term of this
Agreement, the Property Owner shall not submit a request for reimbursement which exceeds the
amount the Property Owner has paid to the City based solely upon the Public Community
Improvement Rate established in Article V hereof. If the Property Owner fails to receive the
City Manager's approval of a Public Community Improvement Project prior to the expiration of
an Agreement year, the Property Owner will have no claim to the monies paid to the City based
upon the Public Community Improvement Rate and the City shall use such funds for a project
consistent with the City's public community improvement goals.
X.
Default
A.
Default by Property Owner
In the event of default by the Property Owner in the performance of any of the terms of
this Agreement, including the obligation to make the payments above provided for, the City shall
have the option, if such default is not fully corrected within sixty (60) days from the giving of
written notice of such default to the Property Owner to either (i) declare this Agreement
terminated or (ii) continue the term of this Agreement and collect the payments required
hereunder. Notwithstanding any to the contrary contained herein, should the City determine the
Property Owner is in default according to the terms and conditions of Section VII hereof, the
City shall notify the Property Owner in writing by U.S. Mail, certified return receipt requested, at
the address stated in this Agreement, and if such default is not cured within sixty (60) days from
the date of such notice (the "Cure Period ") then such failure to cure shall constitute a material
breach of this Agreement; provided that, in the case of a default under Section VII for causes
beyond the Property Owner's control that cannot with due diligence be cured within such sixty
(60) day period or in the event that the failure to cure results from ongoing negotiations with
federal or state officials, administrative proceedings or litigation regarding the necessary cure
steps, then the cure period shall be extended until such negotiations, administrative proceedings
or litigation are concluded.
B.
Default by City
In the event of default by the City, the Property Owner may, if such default is not fully
corrected within 60 days from giving written notice of such default to the City, terminate this
Agreement. Upon such termination, both the Property Owner and the City shall be relieved of
all further obligations hereunder, but the Property Owner shall not be relieved of the obligation
to pay any amounts that accrued prior to such termination. In the event of termination, the City
shall have the right to repeal the ordinance designating the affected area as an industrial district.
Provided, however, if the termination occurs as a result of the City's exercising its option to
terminate (as provided in the first sentence of this Section X), the City shall not have the right to
annex the affected area into the general corporate limits of the City so as to subject the affected
7
area to ad valorem taxes for any part of the period covered by the Property Owner's last payment
hereunder.
X1.
Notice
Any notice to the Property Owner or the City concerning the matters to which the
Agreement relates may be given in writing by registered or certified mail addressed to the
Property Owner or the City at the appropriate respective addresses set forth on the cover page of
this Agreement. Any such notice in writing may be given in any other manner. If given by
registered or certified mail, the notice shall be effective when mailed. With the exception of
annual bills for payments due herein, notice given in any other manner shall be effective when
received by the Property Owner or the City, as the case may be.
XII.
No Further Expansion of "faxing Jurisdiction
Nothing herein contained shall be construed to change or enlarge the jurisdiction, power
or authority of the City over or with respect to the affected area as prescribed by applicable law,
except as specifically provided in this Agreement. The Property Owner shall not be obligated by
virtue of this Agreement, or the establishment of the industrial district covering the affected area
not within the corporate limits of the City, to make any payments to the City in the nature of a
tax or assessment based upon the value of the Property Owner's property in the affected area
during the term of this Agreement other than the payments specified herein. Specifically, the
Property Owner shall not be liable for any City taxes within the affected area, including, without
limitation, City ad valorem taxes on taxable property within the affected area.
XIII.
Reimbursement for Services
If the Property Owner requests and receives mutual aid firefighting assistance and is a
member of Channel Industries Mutual Aid organization ( "CIMA ") or similar organization, the
Property Owner shall reimburse the City for costs incurred by the City in providing fire
protection services to the Property Owner as shall be provided in the charter, bylaws and
agreements pursuant to which CIMA or such similar organization is organized and operates. If
the Property Owner requests and receives mutual aid firefighting assistance and is not a member
of CIMA or a similar organization, then the Property Owner shall be required to reimburse the
City for costs actually expended by the City in providing any firefighting assistance to the
Property Owner, including chemical and personnel costs.
XIV.
Declaratory Judgment Action
If any disagreement arises between the parties concerning the interpretation of this
Agreement, it is agreed that either of the said parties may petition any Civil District Court of
Harris County, Texas, for a Declaratory Judgment determining said controversy and the cause
8
shall be tried as other civil causes. If the controversy affects an Industrial District Payment, the
Property Owner shall, pending final determination of said controversy, pay to the City on the due
date the same amount which was paid to the City for the last preceding period as to which there
was no controversy concerning the amount owed by the Property Owner to the City. The
Property Owner agrees to tender any additional amount of potential liability to the registry of the
Civil District Court, Harris County, Texas, pending final determination of the controversy
beyond any further appeal.
XV.
Assignment
'Phis Agreement shall not bestow any rights upon any third party, but rather, shall bind
and benefit the Property Owner and the City only. If the Property Owner conveys all or any part
of the property then covered hereby, the Property Owner shall notify the City within 30 days of
the conveyance and shall thereafter cease to be obligated with respect to the property so
conveyed and the Base Year Value shall be apportioned between the Property Owner and the
grantee based upon the property conveyed, only if the grantee thereof enters into an Industrial
District Agreement with the City with respect to such property so conveyed. No right or
obligation under this Agreement may be sold, assigned or transferred.
XVI.
Authority
The Property Owner covenants that it has the authority to enter into this Agreement by
virtue of being either the legal or equitable owner of a possessory estate (including a Ieasehold
estate) in the land comprising the affected area, which will not terminate before the expiration
date of this Agreement. Additionally, the officers executing this Agreement on behalf of the
parties hereby represent that such officers have full authority to execute this Agreement and to
bind the party he represents.
XVII.
No Municipal Services
It is agreed that during the term of this Agreement, the City is under no obligation to
provide any governmental, proprietary or other municipal services to the affected area.
Specifically, but without limitation, it is agreed that the City shall not be required to furnish (1)
sewer or water service, (2) police protection, (3) fire protection (4) road or street repairs, and (S)
garbage pickup service.
XVIII.
Severabilgy
If any provision of this Agreement, or any covenant, obligation or agreement contained
herein, including, without limitation, that term hereof, is determined by a court to be invalidated
or unenforceable, such provision, covenant, obligation or agreement shall be reformed so as to
comply with applicable law. If it is not possible to so reform such provision, covenant,
YJ
obligation or agreement, such determination shall not affect any other provision, covenant,
obligation or agreement, each of which shall be construed and enforced as if the invalid or
unenforceable portion were not contained herein. Provided, further that such invalidity or
unenforceability shall not affect any valid and enforceable provision thereof, and each such
provision, covenant, obligation or agreement shall be deemed to be effective, operative, made,
entered into or taken in the manner and to the full extent permitted by law. Notwithstanding the
above, if the application of this Section XVIII requires reformation or revision of any term that
removes or materially diminishes the obligation of the Property Owner to make the payments to
the City described herein (except in the event of a reformation that shortens the term of this
Agreement), the City shall have the option to declare this Agreement terminated.
XIX.
Complete Agreement
This Agreement contains all the agreements of the parties relating to the subject matter
hereof and is the full and final expression of the agreement between the parties.
XX.
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 to exercise any right
or remedy occurring as a result of any future default or failure of performance.
XXI.
Ambiguities
In the event of any ambiguity in any of the terms of this Agreement, it shall not be
construed for or against any party hereto on the basis that such party did or did not author the
same.
XXIi.
f leadinas
The headings 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.
10
XXIII.
Choice of Law; Venue
This Agreement shall in all respects be interpreted and construed in accordance with and
governed by the laws of the State of Texas and the City, regardless of the place of its execution
or performance. The place of making and the place of performance for all purposes shall be
Baytown, Harris County, Texas.
XX1V.
Agreement Read
The parties acknowledge that they have read, understand and intend to be bound by the
terms and conditions of this Agreement.
IN WITNESS WHEREOF, this , ,4greement 's executed in multiple counterparts on behalf
of the NRG Texas Power LLC this f� ay of , 2012, and on behalf of
the City this day of , 2012.
CH�4�Lai7f A BNiEY
s 5`s W COMMISSION EXPIRES
= JMMY 21.2013
ATTEST:
Secretary
NRG TEXAS POWER LLC
By: clo�
Printed Name
5 VP fiI.Ssr+ 06 F 4-,�,ain.ld� ..,f
Title
CITY OF BAYTOWN
STEPHEN H. DONCARLOS, Mayor
ATTEST:
LETICIA BRYSCIA City Clerk
APPROVED AS TO FORM:
IGNACIO RAMIREZ, SR., City Attorney
LOUISE RICHMAN, Finance Director
R.Ucanen(AMy DocumentslConinicts 11DA1 NRGTcxasi.P20121DARenewaliteviscd .doe
[IPA
EXHIBIT "A"
PAGE 1 OF 14
A 324.435 -acre tract out of the Christian Smith League, Abstract 22, Chambers
County, Texas, being out of a called 413.081 acre tract of land described in a deed to
Texas Genco and recorded under Chambers County Clerks File Number 695213.
All coordinates and bearings stated herein are referred to the Texas Coordinate
System of 1927, South Central Zone, as defined in the Texas Natural Resources Code,
section 21.071 et seq. With the coordinates based on a found concrete monument with
brass disk (S= 580.00 E= 130.00) having Grid values of: Northing (Y)= 718,271.55 and
Easting (X)= 3,292,359.92 and the position of a found concrete monument with brass disk
(N= 669.00 E= 130.00) bearing . N 120 10'50" W. 1,249.13 (found 0.13 feet long) and having
Grid values of: Northing (Y)= 719,492.42 and Easting ()Q= 3,292,096.39 per Reliant
Energy. All distances shown hereon are surface. To convert to grid distance, multiply by the
applied scale factor of 0.9998892. Said 324.435 -acre tract is described by metes and
bounds as follows:
PARCEL PS12 -0O2
413.081 ACRES
BEGINNING at a %,inch iron rod having Grid coordinates X= 39296,930.35; Y= 722,047.91,
being the northeast corner of said Exhibit "A" (PS12 -CO2), from which a found concrete
monument with brass disk for plant baseline monument (S= 580.00 E= 130.00) bears South
50 026'04" West, a distance of 5,929.38 feet and from which a second concrete monument
with brass disk found for plant baseline monument (N= 669.00 E= 130.00) bears South
62 008'12" West, a distance of 5,468.49 feet and being in the westerly right -of -way line of
West Bay Road (an 80 -foot wide right -of -way) as recorded in Volume 133, Page 487 of the
Deed Records of Chambers County;
J:160003950 CEDAR BAYOU UPDATE%Docs%CEDAR BAYOU MB.doc
Last printed 1/30/2006 6:57:00 AM
EXHIBIT "A"
PAGE 2 OF 14
THENCE, South 07 °35'47" East, with said westerly right -of -way line, a distance of 91.79
feet to a % -inch iron rod with plastic cap found for corner;
THENCE, South 06 °27'04" East, continuing with said right -of -way line, a distance of
1,539.96 feet to a % -inch iron rod with plastic cap found for corner;
THENCE, South 06 026'36" East, continuing with said right -of -way line, a distance of 972.14
feet to a % -inch iron rod with plastic cap found for corner;
THENCE, South 83 °33'06" West, a distance of 10.00 feet to a Yvinch iron rod found in the
westerly right -of -way line of West Bay Road (100 -foot wide at this point) right -of -way as
recorded under Film Code No. 97- 332 -500 of the Chambers County Official Public Records
of Real Property;
THENCE, South 06 °26'54" East, with said 100 -foot wide right -of -way line, a distance of
788.91 feet to a 3/ -inch iron rod found with plastic cap found for the northwest cutback
corner of the westerly right -of -way line of said West Bay Road with the northerly right -of-
way line of West Bay Road (80 -foot wide right -of -way at this point) recorded in Volume 133,
Page 447 of the Deed Records of Chambers County;
THENCE, South 35 042'09" West, with said cutback, a distance of 66.72 feet to a '/z -inch
iron rod found in the northerly right -of -way line of said West Bay Road;
THENCE, South 77 °51'12" West, with said northerly right -of -way line, a distance of 474.20
feet to a % -inch iron rod with plastic cap found for corner;
THENCE, South 77 055'20" West, continuing with said right -of -way line, a distance of
303.77 feet to a 5/8 -inch iron rod found for corner;
THENCE, South 77 °49'10" West, continuing with said right -of -way line, a distance of
2,239.06 feet to a concrete monument found for corner;
THENCE, South 77 °49'00" West, continuing with said right -of -way line, a distance of
786.46 feet to a % -inch iron rod with plastic cap found for corner;
THENCE, North 12 024'50" West, continuing with said right -of -way line, a distance of 4.41
feet to a 3/ -inch iron rod with plastic cap found for a corner of the herein described tract and
being a northeast corner of a called 5.368 acre tract recorded in Volume 297, Page 398 of
the Chambers County Deed Records;
THENCE, South 78 °12'00" West, with a northerly line of said 5.368 acre tract, a distance of
1,461.68 feet to a3/4-inch iron rod with plastic cap found for corner;
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EXHIBIT "A"
PAGE 3 OF 14
THENCE, North 19 °31'50" West, with an easterly line of said 5.368 acre tract, a distance of
450.00 feet to a % -inch iron rod with plastic cap found for a corner of the herein described
tract also being the most northerly northeast corner of said 5.368 acre tract;
THENCE, South 78 012'00" West, with a northerly line of said 5.368 acre tract, a distance of
377.86 feet to a point for corner;
THENCE, South 28 008'10" East, with the westerly line of said 5.368 acre tract, a distance
of 49.05 feet to the beginning of a curve to the right;
THENCE, southeasterly, with said curve to the right, having a radius of 1,454.50 feet,
through a delta angle of 17 012 '58 ", the chord bears South 19 °31'50" East, a distance of
435.40 feet for a total arc length of 437.04 feet to a point for corner;
THENCE, South 10 055'20 East, a distance of 7.37 feet to a point for corner;
THENCE, South 78 012'00" West, a distance of 114.53 feet to a point in the westerly deed
line of a called 33.041 acre tract recorded in Volume 275, Page 81 of the Chambers County
Deed Records;
THENCE, with the called westerly deed lines of said 33.041 acre tract, a called 5.846 acre
tract, a called 68.766 acre tract recorded in Volume 283, Page 863, a called 4.0 acre tract
recorded in Volume284, Page 228 and a called 50.000 acre tract recorded in Volume 284,
Page 821, the following courses:
North 13 011'20" West, a distance of 138.83 feet;
North 20 027'00" West, a distance of 142.04 feet;
North 24 006'20" West, a distance of 120.02 feet;
North 29 006'30" West, a distance of 79.80 feet;
North 23 °55'29" West, a distance of 254.64 feet;
North 18 015'00" West, a distance of 62.94 feet;
North 12 °52'00" West, a distance of 189.02 feet;
North 05 013'40" West, a distance of 83.75 feet;
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EXHIBIT "A"
PAGE 4 OF 14
North 01 °09'40" East, a distance of 51.59 feet;
North 02 02020" East, a distance of 67.54 feet;
North 03 052'20" East, a distance of 133.28 feet;
North 04 056'30" East, a distance of 75.15 feet;
North 06 007'00" East, a distance of 89.12 feet;
North 05 046'00" East, a distance of 101.32 feet;
North 03 037'00" West, a distance of 64.09 feet;
North 00 005'10" West, a distance of 71.87 feet;
North 02 054'30" East, a distance of 59.16 feet;
North 05 °33'30" East, a distance of 143.08 feet;
North 18 022'00" East, a distance of 147.62 feet;
North 25 046'58" East, a distance of 35.90 feet;
North 25 °37'00" East, a distance of 143.43 feet;
North 31025'00" East, a distance of 128.22 feet;
North 40 °32'00" East, a distance of 79.04 feet;
North 45 052'00" East, a distance of 77.81 feet;
North 55 016'00" East, a distance of 133.31 feet;
North 61054'00" East, a distance of 145.61 feet;
North 71021'00" East, a distance of 177.21 feet;
North 77 056'00" East, a distance of 101.39 feet;
North 66 054'00" East, a distance of 144.42 feet;
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PAGE 5 OF 14
North 60 050'00" East, a distance of 81.33 feet;
North 63 °37'00" East, a distance of 75.56 feet;
North 55 057'00" East, a distance of 165.56 feet;
North 40 032'45" East, a distance of 305.26 feet;
North 31 °51'12" East, a distance of 531.84 feet;
North 37 °47'00" East, a distance of 228.20 feet;
North 53 °34'00" East, a distance of 325.60 feet;
North 66 031'00" East, a distance of 107.50 feet;
North 89 036'00" East, a distance of 112.00 feet;
North 03 005'00" East, a distance of 45.70 feet;
North 87 005'00" East, a distance of 142.40 feet;
South 82 005'00" East, a distance of 124.50 feet;
South 70 002'00" East, a distance of 167.60 feet;
South 74 018'00" East, a distance of 204.10 feet;
South 88 056'00" East, a distance of 187.80 feet;
North 80 °24'00" East, a distance of 159.60 feet;
North 65 012'00" East, a distance of 88.40 feet;
North 49 009'00" East, a distance of 85.90 feet;
North 67 000'00" East, a distance of 45.30 feet;
North 18 028'00" East, a distance of 22.20 feet;
North 39 °55'10" East, a distance of 104.07 feet;
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PAGE 6OF14
THENCE, North 23 °00'30" East, a distance of 144.73 feet to a point in the southerly line of
a called 20.19 acre tract of land recorded in Volume 313, Page 250 of the Deed Records of
Chambers County;
THENCE, North 77 °35'16" East, with the southerly line of said 20.19 acre tract, a distance
of 169.03 feet to a chain link fence corner found for corner;
THENCE, North 77 "35'16" East, continuing with said southerly line, a distance of 1,858.79
feet to the POINT OF BEGINNING and containing a computed area of 413.081 acres
(17,993,808 square feet) of land of which approximately 14 acres are within the Spoil
Disposal Area recorded in Permit No.7486 of the Galveston District Corps of Engineers.
SAVE AND EXCEPT THE FOLLOWING 3 PARCELS:
PARCEL PS12 -010
19.102 ACRES
A 19.102 -acre tract out of the Christian Smith League, Abstract 22, Chambers County,
Texas, and being out of the said 413.081 described in Exhibit "A" (PS12 -0O2).
All coordinates and bearings stated herein are referred to the Texas Coordinate
System of 1927, South Central Zone, as defined in the Texas Natural Resources Code,
section 21.071 et seq. With the coordinates based on a found concrete monument with
brass disk (S= 580.00 E= 130.00) having Grid values of: Northing (r =718,271.55 and
Fasting (X)= 3,292,359.92 and the position of a found concrete monument with brass disk
(N= 669.00 E= 130.00) bearing. N 12° 10'50" W. 1,249.13 (found 0.13 feet long) and having
Grid values of: Northing (Y1= 719,492.42 and Easting ()Q=3,292,096.39 per Reliant
Energy. All distances shown hereon are surface. To convert to grid distance, multiply by the
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EXHIBIT "A"
PAGE 7 OF 14
applied scale factor of 0.9998892. Said 19.102 -acre tract is described by metes and
bounds as follows:
COMMENCING at a '/z -inch iron rod having Grid coordinates X= 3,2969930.35;
Y= 722,047.91, being the northeast corner of said Exhibit "A" (PS12 -CO2), from which a
found concrete monument with brass disk for plant baseline monument (S= 580.00
E= 130.00) bears South 50 °26'04" West, a distance of 5,929.38 feet and from which a
second concrete monument with brass disk found for plant baseline monument (N =669.00
E= 130.00) bears South 62 °08'12" West, a distance of 5,468.49 feet and being in the
westerly right -of -way line of West Bay Road (an 80 -foot wide right -of -way) as recorded in
Volume 133, Page 487 of the Deed Records of Chambers County;
THENCE, South 07 °35'47" East, with the easterly line of said Exhibit "A" (PS12 -0O2), a
distance of 91.79 feet to a 3/ -inch iron rod with plastic cap found for corner
THENCE, South 06 °27'04" East, continuing with said easterly line, a distance of 1,539.96
feet to a 3/ -inch iron rod with plastic cap found for corner;
THENCE, South 06 026'36" East, continuing with said easterly line, a distance of 972.14 feet
to a % -inch iron rod with plastic cap found for corner;
THENCE, South 83 033'06" West, a distance of 10.00 feet to a '/z -inch iron rod found for
corner;
THENCE, South 06 °2654" East, with said easterly line, a distance of 12.08 feet to a point
for corner;
THENCE, South 83 °33'06" West, departing said easterly line, a distance of 3,403.49 feet to
a3/4-inch iron rod with plastic cap having coordinates of X= 3,293,834.42; Y= 719,065.69
found for the POINT OF BEGINNING of the herein described tract;
THENCE, South 11 °47'01" East, a distance of 490.65 feet to a % -inch iron rod with plastic
cap found for corner;
THENCE, South 77 °47'30" West, a distance of 1,686.90 feet to a 3/ -inch iron rod with
plastic cap found for corner;
THENCE, North 12011'42" West, a distance of 393.23 feet to a 3/ -inch iron rod with plastic
cap found for corner;
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EXHIBIT "A"
PAGE 8OF14
THENCE, North 32 021'07" East, a distance of 164.89 feet to a % -inch iron rod with plastic
cap found for corner;
THENCE, North 77 °49'26" East, a distance of 675.77 feet to a3/4-inch iron rod with plastic
cap found for corner;
THENCE, South 12 002'55" East, a distance of 30.02 feet to a chain link fence corner post
found for corner;
THENCE, North 77 °48'10" East, a distance of 541.77 feet to a % -inch iron rod with plastic
cap found for corner;
THENCE, North 10 °29'46" West, a distance of 11.61 feet to a 3/ -inch iron rod with plastic
cap found for corner;
THENCE, North 77 °58'59" East, a distance of 356.94 feet to the POINT OF BEGINNING
and containing a computed area of 19.102 acres of land;
PARCEL CBY- TANK -001
40.722 ACRES
A 40.722 -acre tract out of the Christian Smith League, Abstract 22, Chambers County,
Texas, being out of a called 413.081 acre tract of land described in a deed to Texas Genco
and recorded under Volume 575, Page 835 of the Chambers County Public Records.
All coordinates and bearings stated herein are referred to the Texas Coordinate
System of 1927, South Central Zone, as defined in the Texas Natural Resources Code,
section 21.071 et seq. With the coordinates based on a found concrete monument with
brass disk (S= 580.00 E= 130.00) having Grid values of: Northing (Y)= 718,271.55 and
Easting (X)= 3,292,359.92 and the position of a found concrete monument with brass disk
(N= 669.00 E= 130.00) bearing. N 120 10'50" W. 1,249.13 (found 0.13 feet long) and having
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EXHIBIT "A"
PAGE 9 OF 14
Grid values of: Northing (Y)= 719,492.42 and Easting ()Q= 3,292,096.39 per Reliant
Energy. All distances shown hereon are surface. To convert to grid distance, multiply by the
applied scale factor of 0.9998892. Said 40.722 -acre tract is described by metes and
bounds as follows:
COMMENCING at a Y2 -inch iron rod having Grid coordinates X= 3,296,930.35;
Y= 722,047.91, being the northeast corner of 413.081 -acre tract, from which a found
concrete monument with brass disk for plant baseline monument (S =580.00 E= 130.00)
bears South 50 °26'04" West, a distance of 5,929.38 feet and from which a second concrete
monument with brass disk found for plant baseline monument (N= 669.00 E= 130.00) bears
South 62 008'12" West, a distance of 5,468.49 feet and being in the westerly right -of -way
line of West Bay Road (an 80 -foot wide right -of -way) as recorded in Volume 133, Page 487
of the Deed Records of Chambers County;
THENCE, South 00 049'15" West, a distance of 676.34 feet to a 5/8 -inch iron rod with
Survcon Inc. plastic cap set for the POINT OF BEGINNING of the herein described tract
and having Grid coordinates of X= 3,296,940.04; Y= 721,371.71
THENCE, South 09 °03'15" East, a distance of 520.37 feet to a 5/8 -inch iron rod with
Survcon Inc. plastic cap set for corner;
THENCE, South 03 °30'27" East, a distance of 431.43 feet to a 5/8 -inch iron rod with
Survcon Inc. plastic cap set for the beginning of a non - tangent curve to the right
THENCE, southwesterly, along said non - tangent curve to the right, having a radius of
268.47 feet, through a delta angle of 75 047'14 ", the chord bears South 38 035'12" West a
distance of 329.79 feet, for a total arc length of 355.12 feet to a 5/8 -inch iron rod with
Survcon Inc. plastic cap set for corner;
THENCE, South 31 °18'38" West, a distance of 64.64 feet to a 5/8 -inch iron rod with
Survcon Inc. plastic cap set for corner;
THENCE, South 81007'52" West, a distance of 1568.76 feet to a 5/8 -inch iron rod with
Survcon Inc. plastic cap set for corner;
THENCE, North 68 °06'48" West, a distance of 193.95 feet to a 5/8 -inch iron rod with
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EXHIBIT "A"
PAGE 10 OF 14
Survcon Inc. plastic cap set for corner;
THENCE, North 49 011'34" West, a distance of 52.87 feet to a 5/8 -inch iron rod with
Survcon Inc. plastic cap set for corner;
THENCE, North 41005'54" East, a distance of 283.43 feet to a 5/8 -inch iron rod with
Survcon Inc. plastic cap set for corner;
THENCE, North 48 °54'06" West, a distance of 3.98 feet to a 518 -inch iron rod with Survcon
Inc. plastic cap set for corner;
THENCE, North 41 °05'54" East, a distance of 5.00 feet to a 5/8 -inch iron rod with Survcon
Inc. plastic cap set for corner;
THENCE, South 48 °54'06" East, a distance of 3.98 feet to a 5/8 -inch iron rod with Survcon
Inc. plastic cap set for corner;
THENCE, North 41 °05'54" East, a distance of 806.02 feet to a 518 -inch iron rod with
Survcon Inc. plastic cap set for corner;
THENCE, North 48 054'06" West, a distance of 4.07 feet to a 5/8 -inch iron rod with Survcon
Inc. plastic cap set for corner;
THENCE, North 41005'54" East, a distance of 5.00 feet to a 5/8 -inch iron rod with Survcon
Inc. plastic cap set for corner;
THENCE, South 48 °54'06" East, a distance of 4.07 feet to a 5/8 -inch iron rod with Survcon
Inc. plastic cap set for corner;
THENCE, North 41 °05'54" East, a distance of 303.28 feet to a 5/8 -inch iron rod with
Survcon Inc. plastic cap set for corner;
THENCE, North 52 °55'40" East, a distance of 249.77 feet to a 5/8 -inch iron rod with
Survcon Inc. plastic cap set for corner;
THENCE, North 74 °41'22" East, a distance of 254.66 feet to a 5/8 -inch iron rod with
Survcon Inc. plastic cap set for corner;
THENCE, North 12 025'33" West, a distance of 3.97 feet to a 5/8 -inch iron rod with Survcon
Inc. plastic cap set for corner;
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EXHIBIT "A"
PAGE 11 OF 14
THENCE, North 77 03427" East, a distance of 5.00 feet to a 5/8 -inch iron rod with Survcon
Inc. plastic cap set for corner;
THENCE, South 12 °25'33" East, a distance of 3.97 feet to a 5/8 -inch iron rod with Survcon
Inc. plastic cap set for corner;
THENCE, North 77 °34'27" East, a distance of 541.81 feet to the POINT OF BEGINNING
and containing a computed area of 40.722 acres of land.
PARCEL CBY- TANK -0O2
28.822 ACRES
A 28.822 -acre tract out of the Christian Smith League, Abstract 22, Chambers
County, Texas, being out of a called 413.081 acre tract of land described in a deed to
Texas Genco and recorded under Volume 575, Page 835 of the Chambers County Public
Records.
All coordinates and bearings stated herein are referred to the Texas Coordinate
System of 1927, South Central Zone, as defined in the Texas Natural Resources Code,
section 21.071 et seq. With the coordinates based on a found concrete monument with
brass disk (S= 580.00 E= 130.00) having Grid values of: Northing (19= 718,271.55 and
Easting (X)= 3,292,359.92 and the position of a found concrete monument with brass disk
(N= 669.00 E= 130.00) bearing. N 120 10'50" W. 1,249.13 (found 0.13 feet long) and having
Grid values of: Northing (r= 719,492.42 and Easting (X)= 3,292,096.39 per Reliant
Energy. All distances shown hereon are surface. To convert to grid distance, multiply by the
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EXHIBIT "A"
PAGE120F14
applied scale factor of 0.9998892. Said 28.822 -acre tract is described by metes and
bounds as follows:
COMMENCING at a '/z -inch iron rod having Grid coordinates X= 3,296,930.35;
Y= 722,047.91, being the northeast corner of 413.081 -acre tract, from which a found
concrete monument with brass disk for plant baseline monument (S= 580.00 E= 130.00)
bears South 50 026'04" West, a distance of 5,929.38 feet and from which a second concrete
monument with brass disk found for plant baseline monument (N= 669.00 E= 130.00) bears
South 62 °08'12" West, a distance of 5,468.49 feet and being in the westerly right -of -way
line of West Bay Road (an 80 -foot wide right -of -way) as recorded in Volume 133, Page 487
of the Deed Records of Chambers County;
THENCE, South 67 037'18" West, a distance of 2357.41 feet to a 518 -inch iron rod with
Survcon Inc. plastic cap set for the POINT OF BEGINNING of the herein described tract
and having Grid coordinates of X= 3,294,750.72; Y= 721,150.49
THENCE, South 61 °37'54" East, a distance of 210.92 feet to a 518 -inch iron rod with
Survcon Inc. plastic cap set for corner;
THENCE, South 69 030'53" East, a distance of 771.04 feet to a 5/8 -inch iron rod with
Survcon Inc. plastic cap set for corner;
THENCE, South 41005'54" West, a distance of 1240.54 feet to a 5/8 -inch iron rod with
Survcon Inc. plastic cap set for corner;
THENCE, South 43 °53'25" West, a distance of 37.11 feet to a 5/8 -inch iron rod with
Survcon Inc. plastic cap set for corner;
THENCE, South 47 028'03" West, a distance of 24.13 feet to a 5/8 -inch iron rod with
Survcon Inc. plastic cap set for the beginning of a non - tangent curve to the right;
THENCE, southwesterly, along said non - tangent curve to the right, having a radius of
548.31 feet, through a delta angle of 31051'20", the chord bears South 62 018'53" West a
distance of 300.94 feet, for a total arc length of 304.85 feet to a 5/8 -inch iron rod with
Survcon Inc. plastic cap set for corner;
THENCE, South 77 °45'17" West, a distance of 100.18 feet to a found fence corner;
THENCE, North 11 °22'05" West, a distance of 196.86 feet to a found fence corner;
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EXHIBIT "A"
PAGE 13 OF 14
THENCE, North 77 °39'26" East, a distance of 49.53 feet to a found fence corner;
THENCE, North 12 °14'37" West, a distance of 225.69 feet to a 5/8 -inch iron rod with
Survcon Inc. plastic cap set for corner;
THENCE, South 78 °29'31" West, a distance of 82.88 feet to a 5/8 -inch iron rod with
Survcon Inc. plastic cap set for corner;
THENCE, North 12 °25'38" West, a distance of 121.89 feet to a 5/8 -inch iron rod with
Survcon Inc. plastic cap set for corner;
THENCE, North 07 036'17" West, a distance of 30.04 feet to a 5/8 -inch iron rod with
Survcon Inc. plastic cap set for corner;
THENCE, North 12 026'13" West, a distance of 428.31 feet to a 5/8 -inch iron rod with
Survcon Inc. plastic cap set for corner;
THENCE, North 78 051'29" East, a distance of 117.76 feet to a 5/8 -inch iron rod with
Survcon Inc. plastic cap set for corner;
THENCE, North 12 °1015" West, a distance of 332.77 feet to a 5/8 -inch iron rod with
Survcon Inc. plastic cap set for corner;
THENCE, North 27 °27'34" East, a distance of 63.45 feet to a 5/8 -inch iron rod with Survcon
Inc. plastic cap set for corner;
THENCE, North 76 °59'49" East, a distance of 86.01 feet to a point for corner;
THENCE, North 68 °15'51" East, a distance of 83.23 feet to a point for corner;
THENCE, North 69 °4339" East, a distance of 49.92 feet to a point for comer;
THENCE, North 76 °37'32" East, a distance of 50.16 feet to a point for corner;
THENCE, North 79 006'22" East, a distance of 49.93 feet to a point for corner;
THENCE, North 81 °17'06" East, a distance of 50.04 feet to a point for corner;
THENCE, North 88 000'45" East, a distance of 50.25 feet to a point for corner;
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EXHIBIT "A"
PAGE 14 OF 14
THENCE, South 89 015'32" East, a distance of 49.76 feet to a point for corner;
THENCE, North 40 003'32" East, a distance of 42.86 feet to the POINT OF BEGINNING of
the herein described tract and containing a computed area of 28.822 -acres of land.
FOR A TOTAL NET ACERAGE OF 324.435 ACRES OF LAND.
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