RES 2003-04TOWN OF TROPHY CLUB, TEXAS
RESOLUTION NO. 2003 - 04
A RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF TROPHY
CLUB, TEXAS, AND THE TROPHY CLUB ECONOMIC DEVELOPMENT
CORPORATION 4B, AUTHORIZING AN ECONOMIC DEVELOPMENT
AGREEMENT WITH MIDWEST COMMERCIAL REALTY; DESIGNATING
TERMS OF THE AGREEMENT AND PROVIDING AN EFFECTIVE DATE.
WHEREAS, the Town Council of the Town of Trophy Club, Texas, recognizes the need to attract
and retain economic development projects;
WHEREAS, the construction of community property such as restaurants and hotels as proposed
by Midwest Commercial Realty (hereinafter "Project") will increase the sales tax revenue to the Town
and the EDC413;
WHEREAS, the Project will include the extension of Trophy Wood Drive to the feeder road of
Highway 1.1.4 West thereby benefiting the Project;
WHEREAS, the EDC413 currently has funds available for the proposed Project and has agreed to
funding substantially as specified in Exhibit "A", a copy of which is attached hereto and incorporated
herein; and
WHEREAS, the EDC413 and the Town of Trophy Club believe it to be in the best interests of the
Town of Trophy Club and its' residents to pursue the Project with funding specified in Exhibit "A";
NOW, THEREFORE, BE IT RESOLVED BY THE TOWN COUNCIL OF THE TOWN
OF TROPHY CLUB, TEXAS:
Section 1: That the Town Council of the Town of Trophy Club authorizes and approves the
expenditure of EDC413 funds in the manner outlined on the attached Exhibit "A" and such approval is
evidenced by the Mayor's signature on the document.
Section 2: That the agreement memorializing the terms specified in Exhibit "A" is between
Midwest Commercial Realty and the EDC413, and does not run with the land and is not assignable and
terminates at such time that Midwest Commercial Realty ceases to be the principal developer.
Section 3: That a substantial copy of the funding provisions of the agreement between
Midwest Commercial Realty and EDC413 is attached hereto as Exhibit "A" and that such amount shall not
exceed $350,000.
Section 4: That this Resolution shall become effective from and after its date of passage in
accordance with law, and it is so resolved.
PASSED AND APPROVED by the Town Counci
day of January, 2003.
Jamp s Hicks OF
President, Economic Development
ATTEST:
To(vn Secretary/
Town of Trophy` Club, Texas
BMW
APPROVED AS TO FORM:
Town Attorney
Town of Trophy Club, Texas
EFFECTIVE: "!o
Town of Trophy Club, Texas
th
YEAR 1. The Economic Development Corporation 4 B shall pay $200,000 to
Developer upon its completion by Developer and acceptance by the Town of
Trophy Club, of the Trophy Wood Drive extension.
YEAR 2. The Economic Development Corporation 4 B shall pay to the
Developer an additional $50,000 not sooner than October 15, 2003, as the
second installment after the completion by Developer of the Trophy Wood
Drive extension and its acceptance by the Town. (Fy 03-04)
YEAR 3. The Economic Development Corporation 4 B shall pay the net
increase in sales taxes earned by the EDC from September 2003 through
September 2004 to the Developer on or about October 15, 2004 provided,
however, such payment shall not exceed $50,000. The payment of the net
increase in sales taxes is contingent on substantial completion of construction
of at least one hotel or restaurant by October 15, 2004 in compliance with the
Town's ordinance and zoning requirements as determined by Town.
YEAR 4. The Economic Development Corporation 4 B shall pay the net
increase in sales taxes from September 2004 through September 2005 to the
Developer on or about October 1.5, 2005 provided, however, such payment
shall not exceed $50,000. The payment of the net increase in sales taxes
earned by the EDC is contingent on substantial completion of two hotels or
restaurants by October 15, 2005 in compliance with the Town's ordinance and
zoning requirements as determined by the Town.
YEAR 5. The Economic Development Corporation 4 B shall pay the net
increase in sales taxes from September 2005 through September 2006 to the
Developer on or about October 15, 2006 provided, however, such payment
shall not exceed $50,000. The payment of the net increase in sales taxes
earned by the EDC is contingent on substantial completion of three hotels or
restaurants by October 15, 2006 in compliance with the Town's ordinance and
zoning requirements as determined by the Town.
Under no circumstances shall the reimbursement or any combination of reimbursement as
determined by the Town exceed an aggregate amount of $350,000.00.