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HomeMy WebLinkAboutResolution - 2001-R0489 - Agreement With Scott Laboratories , Inc. - 11/15/2001Resolution No. 2001—RO489 November 15, 2001 Item No. 16 RESOLUTION BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK: THAT the Mayor of the City of Lubbock BE and is hereby authorized and directed to execute for and on behalf of the City of Lubbock an Agreement and all related documents by and between the City of Lubbock and Scott Laboratories, Inc., attached hereto and which shall be spread upon the minutes of the council and as spread upon the minutes of this Council shall constitute and be a part of this Resolution as if fully copied herein in detail. Passed by the City Council this 15th day of November 2001. WINDY SI TON, MAYOR ATTEST: Rebecca Garza, City Secretary APPROVED AS TO CONTENT: Richard Burdine, Assistant City Manager APPROVED AS TO FORM: G. Vandiver, First Assistant City Attorney RESOLUTI .doc AGREEMENT STATE OF TEXAS § COUNTY OF LUBBOCK § Resolution No. 2001-80489 November 15, 2001 Item No. 16 This Agreement made this 15th day of November , 2001, by and between the City of Lubbock, Texas, a home rule municipality of the State of Texas (hereinafter called "City") and Scott Laboratories, Inc. (hereinafter called "Company"); WITNESSETH: WHEREAS, City did receive from Company on the 24' day of September, 2001, an application for tax abatement for the construction of a new facility located at 2715 North Loop 289, which is described by the Lubbock Central Appraisal District as Block A Section 17 AB 91 Tract B and B3 of the City of Lubbock, Lubbock County, Texas and further described by metes and bound as follows: BEGINNING at a '/2" iron rod found for the Northeast corner of this tract in the South right of way line of Loop 289 at the Northwest corner of Tract "A", Youth Center Addition to the City of Lubbock, Lubbock County, Texas from whence the Northeast corner of said Section 17 is called to bear North a distance of 218.99 feet and East a distance of 1371.66 feet; THENCE S 0°15'23" W, along the West line of said Tract "A", a distance of 304.40 feet to a 3/4" iron pipe found at the Northeast corner of that 4.0 acre tract described in Volume 1870, Page 65 of said records for a corner of this tract; THENCE S 89041'43" W, along the North line of said 4.0 acre tract, a distance of 375.70 feet to a %2" iron pipe found at the Northwest corner of said 4.0 acre tract for an ell corner of this tract; THENCE S 0003'49" E, along the West line of said 4.0 acre tract, a distance of 338.88 feet to a I/2" iron rod found at the Southwest corner of said 4.0 acre tract for a corner of this tract; THENCE Northwesterly, along a curve to the left having a radius of 872.07 feet and a chord bearing of N 66°12'40" W, a chord distance of 26.42 feet to a %2" iron rod found for corner of this tract; AGREEMENT - SCOTT LABORATORIES, INC. PAGE 1 THENCE N 67023'54" W a distance of 420.26 feet to a 3/8" iron rod found for the Southwest corner of this tract; THENCE N 0003'43" W a distance of 333.49 feet to a 3/8" iron rod found in the South right of way line of said Loop 289 for the Northwest corner of this tract; THENCE N 79056'16" E, along said right of way line, a distance of 696.40 feet to a 1/2" iron rod found at the beginning of a curve to the right having a radius of 5579.58 feet; THENCE Northeasterly, along said right of way line and said curve to the right having a chord bearing of N 80°10'05" E, a chord distance of 105.05 feet to the POINT OF f\Q BEGINNING. WHEREAS, upon review of the above application it was determined that the 1-+y b6 facilities will be located in theNorth Enterprise Zone designated b the Cit in Ordinance �� P g Y Y No. 9§9+ covering the above described property; and VT00-- 0005 DO, WHEREAS, the Guidelines and Criteria Governing Tax Abatement For Selected Taxing Units Within Lubbock County was heretofore adopted by Resolution No. 2001- R0386 of the City Council of the City of Lubbock; and WHEREAS, the City did comply with all the requirements set forth in V.T.C.A., Tax Code, Section 312.201; and WHEREAS, the City did comply with all of the criteria and guidelines as set forth in the Guidelines and Criteria Governing Tax Abatement for Selected Taxing Units Contained Within Lubbock County, said guidelines having been adopted by Resolution No. 2001-RO386 of the City on September 27, 2001, and a®oa- aca WHEREAS, the City did pass Ordinance No. 959 creating an enterprise zone for commercial and industrial tax abatement, said zone including the area which is described by the Lubbock Central Appraisal District as Block A Section 17 AB 91 Tract B and B3 of the City of Lubbock, Lubbock County, Texas and further described by metes and bound as follows: BEGINNING at a 1/2" iron rod found for the Northeast corner of this tract in the South right of way line of Loop 289 at the Northwest corner of Tract "A", Youth Center Addition to the City of Lubbock, Lubbock County, Texas from whence the Northeast corner of said Section 17 is called to bear North a distance of 218.99 feet and East a distance of 1371.66 feet; THENCE S 0°15'23" W, along the West line of said Tract "A", a distance of 304.40 feet to a3/4" iron pipe found at the Northeast corner of that 4.0 acre tract described in Volume 1870, Page 65 of said records for a corner of this tract; AGREEMENT - SCOTT LABORATORIES, INC. PAGE 2 THENCE S 89041'43" W, along the North line of said 4.0 acre tract, a distance of 375.70 feet to a 1/2" iron pipe found at the Northwest corner of said 4.0 acre tract for an ell corner of this tract; THENCE S 0003'49" E, along the West line of said 4.0 acre tract, a distance of 338.88 feet to a 1/2" iron rod found at the Southwest corner of said 4.0 acre tract for a corner of this tract; THENCE Northwesterly, along a curve to the left having a radius of 872.07 feet and a chord bearing of N 66°12'40" W, a chord distance of 26.42 feet to a 1/2" iron rod found for a corner of this tract; THENCE N 67023'54" W a distance of 420.26 feet to a 3/8" iron rod found for the Southwest corner of this tract; THENCE N 0003'43" W a distance of 333.49 feet to a 3/8" iron rod found in the South right of way line of said Loop 289 for the Northwest corner of this tract; THENCE N 79056'16" E, along said right of way line, a distance of 696.40 feet to a 1/2" iron rod found at the beginning of a curve to the right having a radius of 5579.58 feet; THENCE Northeasterly, along said right of way line and said curve to the right having a chord bearing of N 80°10'05" E, a chord distance of 105.05 feet to the POINT OF BEGINNING. WHEREAS, V.A.T.C., Tax Code, Sec. 312.2011 provides that designation as an enterprise zone constitutes designation as a reinvestment zone without further action; and WHEREAS, the application received by City from Company is an application for the construction of a new facility; and WHEREAS, V.A.T.C., Tax Code, Sec. 312.002 specifically states that such a purpose is to be included in the guidelines for tax abatement and to be eligible for such treatment; and WHEREAS, Section IV of the Guidelines and Criteria governing Tax Abatement for selected taxing units contained within Lubbock County adopted by the City Council by Resolution No. 2001-RO386 does recognize construction of a new facility as being eligible for tax abatement status; and WHEREAS, the City Council does hereby find that all of the Guidelines and Criteria Governing Tax Abatement, as adopted by Resolution No. 2001-R0386, have been met by Company; and AGREEMENT - SCOTT LABORATORIES, INC. PAGE 3 WHEREAS, the location of the facility and surrounding real property, which are to be the subject matter of this Agreement, are attached hereto as Exhibit "A" and made a part of this Agreement for all purposes; and NOW THEREFORE, for and in consideration of the premises and of the mutual terms, covenants and conditions herein contained the City and Company do hereby agree as follows: SECTION 1. Term. This Agreement shall remain in force and effect for a period of five (5) years from the date of its execution and shall expire and be of no further force and effect after said date. SECTION 2. Base Year. The base year applicable to real property, which is the subject of this Agreement, shall be 2001, and the assessed value of the real property shall be the assessed value applicable to such property for said year. SECTION 3. Base Year Taxes. The taxes upon the real property shall be paid in accordance with the assessed value of such property for the base year. Base year taxes upon the real property are thus not abated. SECTION 4. Abatement of Increase in Base Year Tax. In accordance with V.A.T.C., Tax Code, Section 312.204 real property taxes applicable to the real property subject to this Agreement shall be abated only to the extent said value for any given year within the term of this Agreement exceeds the base year taxes hereinabove set forth. SECTION 5. Property Ineligible for Tax Abatement. The property described and set forth in Section IV(6) of the Guidelines and Criteria Governing Tax Abatement for selected taxing units contained within Lubbock County and heretofore adopted by the City Council by Resolution No. 2001-RO386 is incorporated by reference herein as if fully set out in this Agreement and fully describes the property ineligible for tax abatement. SECTION 6. Exemption from Tax. The City covenants and agrees to exempt from taxation, in accordance with Section 4 above, the following properties: (a) All proposed new improvements to be placed upon the property which is described by the Lubbock Central Appraisal District as Block A Section 17 AB 91 Tract B and B3 of the City of Lubbock, Lubbock County, Texas and further described by metes and bound as follows: BEGINNING at a 1/2" iron rod found for the Northeast corner of this tract in the South right of way line of Loop 289 at the Northwest corner of Tract "A", Youth Center Addition to the City of Lubbock, Lubbock County, Texas from whence the Northeast corner of said Section 17 is called to bear North a distance of 218.99 feet and East a distance of 1371.66 feet; AGREEMENT - SCOTT LABORATORIES, INC. PAGE 4 THENCE S 0°15'23" W, along the West line of said Tract "A", a distance of 304.40 feet to a 3/4" iron pipe found at the Northeast corner of that 4.0 acre tract described in Volume 1870, Page 65 of said records for a corner of this tract; THENCE S 89041'43" W, along the North line of said 4.0 acre tract, a distance of 375.70 feet to a 1/2" iron pipe found at the Northwest corner of said 4.0 acre tract for an ell corner of this tract; THENCE S 0003'49" E, along the West line of said 4.0 acre tract, a distance of 338.88 feet to a 1/2" iron rod found at the Southwest corner of said 4.0 acre tract for a corner of this tract; THENCE Northwesterly, along a curve to the left having a radius of 872.07 feet and a chord bearing of N 66°12'40" W, a chord distance of 26.42 feet to a 1/2" iron rod found for a corner of this tract; THENCE N 67°23'54" W a distance of 420.26 feet to a 3/8" iron rod found for the Southwest corner of this tract; THENCE N 0003'43" W a distance of 333.49 feet to a 3/8" iron rod found in the South right of way line of said Loop 289 for the Northwest corner of this tract; THENCE N 79056'16" E, along said right of way line, a distance of 696.40 feet to a 1/2" iron rod found at the beginning of a curve to the right having a radius of 5579.58 feet; THENCE Northeasterly, along said right of way line and said curve to the right having a chord bearing of N 80°10'05" E, a chord distance of 105.05 feet to the POINT OF BEGINNING. (b) All eligible tangible personal property, owned by company, placed in or upon the property set forth in Exhibit "A", which does not include any equipment and personal property owned by Company and already located in the existing facility. (c) It is further understood that all items affixed to the new improvements placed upon the real property identified in Exhibit "A" including machinery and equipment shall be considered part of the real property improvement and taxes thereon shall be abated in accordance with the provisions of subparagraph (a) above set forth. AGREEMENT - SCOTT LABORATORIES, INC. PAGE 5 SECTION 7. Economic Qualification. It is hereby found by the City that Company will expend funds in excess of the funds necessary to qualify for tax abatement by constructing a new facility, all as set forth in Section IV(3)(b) of the Guidelines and Criteria for Tax Abatement adopted by the City through Resolution No. 2001-R0386. SECTION 8. Value of Improvements. Company intends to expend approximately six hundred fifty thousand ($650,000) dollars in constructing a ne facility to be located within the enterprise zone created by Ordinance No. 95-9"t. SECTION 9. City Access to Property. Company covenants and agrees that City/(/{ shall have access to the property, which is the subject matter of this Agreement, upon reasonable notice and during normal business hours, and that municipal employees shall be able to inspect the property to insure that the improvements are. being made in accordance with the terms and conditions of Company's application for tax abatement, attached as Exhibit "A", and this Agreement. SECTION 10. Portion of Tax Abated. City agrees, during the term of this Agreement, to abate taxes on eligible property according to the following schedule. Year 1: 100% Year 2: 80% Year 3: 60% Year 4: 40% Year 5: 20% SECTION 12. Commencement Date. This Agreement shall commence upon the date of its execution, which date is hereinafter set forth, and shall expire five (5) years after such date. SECTION 13. Type of Improvements. The Company proposes to construct a new facility as described in Exhibit "A". The Company further states that the proposed improvements to the property above mentioned shall commence on the I't day of October, 2001, and shall be completed within approximately 180 days from said date. The Company may request an extension of the above date from City in the event circumstances beyond the control of Company necessitates additional time for completion of such improvements and such consent shall not unreasonably be withheld. SECTION 14. Drawings of Improvements. Company shall furnish City with one set of as built plans and drawings of the improvements to be made pursuant to the terms of this Agreement. SECTION 15. Limitation on Use. Company agrees to limit the use of the property set forth in Exhibit "A" to commercial and/or industrial uses as those terms are defined in the zoning ordinances of the City of Lubbock and to limit the uses of the AGREEMENT - SCOTT LABORATORIES, INC. PAGE 6 property to uses consistent with the general purpose of encouraging development of the enterprise zone during the term of this agreement. SECTION 16. Recapture. The Company agrees to be bound by and comply with all the terms and provisions for recapture of abated taxes in the event of default by Company pursuant to law and as set forth in Guidelines and Criteria for Tax Abatement adopted by Resolution No. 2001-R0386 of the City Council of the City of Lubbock. SECTION 17. Certification. The Company agrees to certify annually to the governing body of each taxing unit that the owner is in compliance with the terms of the Agreement. SECTION 18. Compliance. The City may cancel or modify this Agreement if the Company fails to comply with the Agreement. SECTION 19. Notices. Notices required to be given by this Agreement shall be mailed, certified mail return receipt requested, to the following addresses: CITY OF LUBBOCK City Manager P.O. Box 2000 Lubbock, Texas 79457 SCOTT LABORATORIES, INC. Randall S. Hickle, M.D. 2202 Indiana Avenue Lubbock, TX 79410 AGREEMENT - SCOTT LABORATORIES, INC. PAGE 7 SECTION 20. Effective Date. Notwithstanding anything contained herein to the contrary, this Agreement shall not be effective until such time as it has been finally passed and approved. EXECUTED this 15th day of SCOTT LABORATORIES, INC. RANDALL S. HICKLE PRESIDENT ATT Vanessa Reasoner Controller CB: October 11, 2001 G:/tax abatement/Scott Labs/Scott Labs Agreement.doc November 2001. CITY OF LUBBOCK binicipal Corpo atio WINDY SIT ON MAYOR ATTEST: t"Aar '550LAW kebe'cc,� in City Secretary Aiclh� V D ABurdine Assistant City Manager APPROVED AS TO FORM: , a � Donald G. Vandiver First Assistant City Attorney AGREEMENT — SCOTT LABORATORIES, INC. PAGE 8 EXHIBIT "A" Resolution No. 2001-RO489 4 Laboratories, Inc. 2202 Indiana Avenue Lubbock, Texas 79410 RECEIVED SEP 2 4 2001 BUSINESS OEYEL MEIyT Industrial Tax Abatement Application Page 1 of 1 APPLICATION FOR INDUSTRIAL TAX ABATEMENT IN LUBBOCK COUNTY FILING INSTRUCTIONS: This application must be submitted to the appropriate taxing jurisdiction before any construction begins to be eligible for tax abatement. This filing acknowledges familiarity and assumed conformance with "GUIDELINES AND CRITERIA GOVERNING TAX ABATEMENT FOR SELECTED TAXING UNITS CONTAINED WITHIN LUBBOCK COUNTY" (Copy attached). This application will become a part of any later agreement or contract, and knowingly false representations thereon will be grounds for the voiding of any later agreement or contract. ORIGINAL COPY OF THIS APPLICATION AND ATTACHMENTS SHOULD BE SUBMITTED TO: City of Lubbock Business Development Department P.O. Box 2000 1625 13th Street Lubbock, TX 79457 (806) 775-2019 Section I — APPLICANT INFORMATION Date of Application: September 24, 2001 Applicant Name: Randall S. Hickle, M.D. Company Name: Scott Laboratories, Inc. Address: 2202 Indiana Avenue, Lubbock, TX 79410 Phone: (806) 785-0077 Fax: (806) 785-5035 Applicants Representative on this Project: Name: Vanessa Reasoner Address: 2202 Indiana Avenue, Lubbock, TX 79410 Phone: (806) 785-0077 OYT- 114 Type of Ownership: [ X ] Corporation [ ] Partnership [ ] Proprietorship Industrial Tax Abatement Application Page 2 of 2 Total Current Number Employees: 14 Corporate Annual Sales Per Year: 3 million dollars Annual Report Submitted? [ ] Yes [X ] No Section II — FACILITY INFORMATION Place a check mark on those statements which are applicable to your company: (a) This application is for a: [X] New Facility [ ] Expansion [ ] Modernization (b) Is the company a producer, manufacturer or distributor of goods and services of which 50 percent or more are distributed outside of Lubbock? (if yes, provide documentation as Attachment 1) [ X ] Yes [ ] No (c) Check the following target industry which is applicable to your company [ ] Manufacturing Facility: Electronics/Electrical/Assembly, Semiconductor Fabrication [ ] Value-added Agricultural Production including Food Processing and Machinery [X] Med Tech Research/Manufacturing/Assembly [ ) Aviation/Avionics Production/Rehab [ ] Warehouse/Distribution [ ] Corporate Headquarters of a Regional/National Service Center [ ] The project is not included in the above target industries, but has the potential of generating additional significant economic development opportunities in Lubbock. (Provide Documentation) (d) [X] The existing facility to be modernized or expanded or the property where the new facility is to be built is located in a designated Enterprise Zone. (e) [ ] New Company to Lubbock [X] Existing Company (f) If New Company checked, which of the following statements apply to the project: [ ] The project will add at least $1 million in real estate assessed valuation [ ] The project will add at least $2 million of personal property assessed valuation [ ] The project will add at least 25 new permanent jobs (g) If Existing Company checked, which of the following statements apply to the project: [X] The project will add at least $500,000 in real estate assessed valuation [ ] The project will add at least $1 million of personal property assessed valuation [ ] The project will add at least 20 new permanent jobs Industrial Tax Abatement Application Page 3 of 3 (h) Address of proposed facility: 2715 North Loop 289 (i) Legal description of proposed facility: See enclosed deed 0) The proposed facility is located in: School District: Lubbock ISD City: Lubbock, TX (k) Describe product or service to be provided: Medical technology research and development company for new medical technologies. Active projects include technologies for management of fear and pain, temperature, and obesity. Objective in each field is to produce new technologies that deliver greater value and benefits at a reduced cost. The company researches the market need, develops the technology, designs for manufacturability, assembles prototype devices, conducts clinical testing and then sells or licenses the technology. Section III — FACILITY DESCRIPTION Please attach the following: Attachment 2 (a) A general description of the improvements to be undertaken (example: modernization of manufacturing facility located at 4501 Peach Street and purchase of new manufacturing equipment). (b) A descriptive list of the improvements for which tax abatement is requested including: 1) Description of construction and location of all proposed improvements of the real property or Existing Facility, and; 2) List of new equipment and cost of the equipment. (c) A list of any and all tangible personal property presently existing on the real property or located in an existing facility. (d) A proposed time schedule for undertaking and completing the proposed improvements. Attachment 3 Industrial Tax Abatement Application Page 4 of 4 (a) A site map indicating the approximate location of improvements on the Real Property Facility or Existing Facility together with the location of any or all Existing Facilities located on the Real Property or Facility. Attachment 4 (a) A statement of the additional value to the Real Property or Facility as a result of the proposed improvements. (b) A statement of the assessed value of the Real Property, Facility or Existing Facility for the base year (attach tax assessment for property from the Lubbock Central Appraisal District). Section IV — ECONOMIC IMPACT INFORMATION Part A — Current Investment in Existing Improvements: - 0 - Part B — Permanent employment estimates: 1) If existing facility, what is the current plant employment: 14 2) Estimated number of new jobs to be created and time frame for creation of jobs: New Jobs None Time Frame 3) Opening of improvements: (Month) )ft 2 of (Year llx 2002 Part C — Permanent Payroll Estimates: . 1) If existing facility, what is the current plant payroll: one million annually 2) Estimated amount of new payroll: no change Part D — Construction and Employment Estimates: 1) Construction start: Month 10 Year 2001. 2) Number of construction jobs: At Start 8 , Peak 20, Finish 10 3) Number of man-years: NA Part E — School District Estimates: Give Estimated number of Families transferred to area: NA Children added to ISD's: NA Industrial Tax Abatement Application Page 5 of 5 Part F — City Impact Estimates: 1) Volume of treated water required from City: 161 gallons/day 2) Volume of effluent to be treated by city: NA gallons/day A septic system will be installed.. 3) Provide a statement on planned water and sewer treatment methods, and disposal of effluent if the facility is to be located outside city systems. 4) Has permitting started? Yes X No Part — Estimated Appraised Value on Site: Part H — Variance: (a) Is a variance being sought under Section IV 9(d) of the "Guidelines"? [ ] Yes [X] No (c) If "Yes", attach any supplementary information required. NA Section V — OTHER AGREEMENT APPLICATIONS (a) Has applicant made application for abatement of this facility by other taxing jurisdictions or counties? [ ] Yes [X] No (b) If "Yes", please provide: Dates of Application: NA Hearing Dates: NA Name of Jurisdiction(s): NA Name of Contact(s): NA Attach any letter of intent to abate. NA Land Personal Property Improvements Value of Existing Facility Before New Construction (from Central $13,416 $500,000 0 Appraisal District Value of New Improvements NA NA $650,000 Estimated Total Value After Improvements $13,416 $500,000 $650,000 Part H — Variance: (a) Is a variance being sought under Section IV 9(d) of the "Guidelines"? [ ] Yes [X] No (c) If "Yes", attach any supplementary information required. NA Section V — OTHER AGREEMENT APPLICATIONS (a) Has applicant made application for abatement of this facility by other taxing jurisdictions or counties? [ ] Yes [X] No (b) If "Yes", please provide: Dates of Application: NA Hearing Dates: NA Name of Jurisdiction(s): NA Name of Contact(s): NA Attach any letter of intent to abate. NA Industrial Tax Abatement Application Page 6 of 6 Section VI — DECLARATION To the best of my knowledge, the above information is an accurate description of project details. -)C s l Company Official Signature Randall S. Fickle, M.D. Printed Name of Company Official President Title of Company Official REcurn to: Scott Laboratories;2202 Indiana Ave.Lubbock, Texas 79410 GF#00-11098 Resolution No. 2001-RO489 gW 3162- DEED WITHOUT WARRANTY yOL 7264PkGE 68 rl3 Date: September 5, 2001 Grantor: LUBBOCK COUNTY, TEXAS Grantor's Mailing Address: Grantee: SCOTT LABORATORIES, INC., a Texas corporation Grantee's Mailing Address: 2202 Indiana Ave. Lubbock, Tx. 79410 Consideration: TEN AND N0/100 DOLLARS ($10.00) cash and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged. Property (including any improvements): A tract of land located in Section Seventeen (17), Block A, T.T. Railroad Company survey, Lubbock County, Texas, being that tract of land described in Volume 2640, Page 323 of the Real Property Records of Lubbock County, Texas and being further described by metes and bounds as follows: BEGINNING at a 'M" iron rod found for the Northeast corner of this tract in the South right of way line of Loop 289 at the Northwest corner of Tract "A", Youth Center Addition to the City of Lubbock, Lubbock County, Texas from whence the Northeast corner of said Section 17 is called to bear North a distance of 218.99 feet and East a distance of 1371.66 feet; THENCE S 001512311 W, along the West line of said Tract "A", a distance of 304.40 feet to a %" iron pipe found at the Northeast corner of that 4.0 acre tract described in Volume 1870, Page 65 of said records for a corner of this tract; uEmwwwBAr, PAGE 1 YQL 7264PAGE 69 THENCE S 89041143" W, along the North line of said 4. 0 acre tract, a distance of 375.70 feet to a 1/2" iron pipe found at the Northwest corner of said 4.0 acre tract for an ell corner of this tract; THENCE S0003149" E, along the West line of said 4.0 acre tract, a distance of 338.88 feet to a %" iron rod found at the Southwest corner of said 4.0 acre tract for a corner of this tract; THENCE Northwesterly, along a curve to the left having a radius of 872.07 feet and a chord bearing of N 66012140" W, a chord distance of 26.42 feet to a 1/2" iron rod found for a corner of this tract; THENCE_'N 67023154" W a distance of 420.26 feet to a 3/8" iron rod found for the Southwest corner of this tract; THENCE N 0003'43" W a distance of 333.49 feet to a 3/8" iron rod found in the South right of way line of said Loop 289 for the Northwest corner of this tract; THENCE N 79056116" E, along said right of way line, a distance of 696.40 feet to a %" iron rod found at the beginning of a curve to the right having a radius of 5579.58 feet; THENCE Northeasterly, along said right of way line and said curve to the right having a chord bearing of N 80010105" E, a chord distance of 105.05 feet to the POINT OF BEGINNING (the 'Property"). Exceptions to conveyance: This conveyance is made and accepted subject to the following matters: 1. Easement granted to WEST TEXAS GAS COMPANY by instrument recorded in Volume 254, Page 483, Deed Records of Lubbock County, Texas. 2. Easement granted to the CITY OF LUBBOCK by instrument recorded in Volume 448, Page 458, Deed Records of Lubbock County, Texas. 3. Easement granted to THE TEXAS PIPE LINE COMPANY by instrument recorded in Volume 586, Page 225, Deed Records of Lubbock County, Texas. oo-n WWRAW.' PAT. 4. An undivided 1/2 interest in all of minerals, in, on and under the Property, instrument recorded in Volume 217, Page Lubbock County, Texas. VOL 7264PACE 70 the oil, gas, and other previously reserved by 256, Deed Records of 5. Oil, Gas, and Mineral Lease, dated January 28, 1954, as shown by instrument recorded in Volume 20, Page 535, Oil and Gas Lease Records of Lubbock County, Texas. 6. Oil, Gas, and Mineral Lease, dated May 6, 1957, as shown by instrument recorded in Volume 26, Page 13, Oil and Gas Lease Records of Lubbock County, Texas. 7. Oil, Gas, and Mineral Lease, dated May 5, 1957, as shown by instrument recorded. in Volume 26, Page 18, Oil and Gas Lease Records of Lubbock County, Texas. 8. Easement, granted to SOUTHWESTERN BELL TELEPHONE COMPANY in the Northwest corner of the Property, by instrument recorded in Volume 4035, Page 248, Real Property Records of Lubbock County, Texas and as shown on Survey, dated May 24, 2001, by ROBERT L. SMITH, Registered Professional Land Surveyor. Grantor, for the consideration and subject to the exceptions to conveyance, conveys to Grantee the property without warranty, express or implied, statutory or otherwise, and all warranties that might arise by common law and the warranties created by Section 5.023 of the Texas Property Code (and all amendments and successors thereto) are expressly excluded. When the context requires, singular nouns and pronouns include the plural. EXECUTED this day of 2001 to become effective as of the date first a ove written. LUBBOCK COUNTY, TEXAS B � J ES KITTEN, COUNTY COMMISSIONOR, LUBBOCK COUNTY, TEXAS, DULY AUTHORIZED BY COUNTY COMMISSIONER COURT, LUBBOCK COUNTY TEXAS WOUROM RGE3 THE STATE OF TEXAS § VOL 7264PAGE 71 COUNTY OF LUBBOCK § Before me (,, Q`Q� on this day personally appeared JAMES KITTEN, COUNTY COMMISSIONOR, LUBBOCK COUNTY, TEXAS, DULY AUTHORIZED BY COUNTY COMMISSIONER COURT, LUBBOCK COUNTY TEXAS, known to me OR proved to me on the oath of OR through —" to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that he executed the same on behalf of LUBBOCK COUNTY, TEXAS for the purposes and consideration therein expressed. Given under my hand and seal of office this _�o?`� day of A. D., 2001. Pve '1 GRIL WILCOMON * *} Notary Public, state *f 'texas r My Commission Expitos 0647.2004 FILED FOR RE' -""()PD 2001 S'Li- 10 P'� 2: 5 A� COUNTY CLERK. LUBBOCK COUNTY. TEXAS poidlllOUtHABRAHIY ?44 Notary Public, State of Texas SEAL STATE OF TEXAS COUNTY OF LUBBOCK I hereby cer* the this instnanent was FILED an Nle dote and d"thw stamped hereon by me end was duty RECORDED in the Volume and Page of the Offi W Fled PMP04 Records of Lubbock Cour»y. Teras as stamped hmon by me. SEP 10 2001 4 COUNTY CLERK LUBBOCK COUNTY. TE)CA3 Industrial Tax Abatement Application Page 7 of 7 Attachment 1 Resolution No. 2001-R 0489 Scott Laboratories, Inc. has a research and development agreement with a large medical device manufacturer in Cincinnati, Ohio. They will pay Scott Labs three million dollars $3,000,000.00) per year during the period beginning January 1, 2001 and ending upon the termination of the development agreement for services rendered by Scott Labs under the development agreement. The initial term of the development agreement is three (3) years and a minimum payment to Scott Labs of nine million dollars ($9,000,000.00) is guaranteed. Scott Labs cannot reveal the identity of the medical device manufacturer due to contractual obligations. Industrial Tax Abatement Application Page 8 of 8 Attachment 2 General Description: Resolution No. 2001-RO489 a. Construction of a new research and development facility located at 2715 North Loop 289. b. Descriptive list of the improvements for which tax abatement is requested including: 1. Site preparation on approximately 5.59 acres located at block A section 17 AB 91 tracks B and B3. A 20,000 square foot single story building for offices and shop space will be constructed to include the required parking. Landscaping will also be performed as required. 2. New Fquipment: none c. The list of Tangible Personal Property located in our existing facility is enclosed. d. A Gantt chart showing the proposed timeline for undertaking and completing the improvements is enclosed. ID Task H,nr Drraaarr sta rt Finish 99 9178 9FLi 930 Movernb" Docia bef Fabnq 9ne 9rCi 9Co iDr7 10'14 1D21 iMa 11N iml 111178 iirz5 17R 129 12176 12/Li 11Ao IN1111311=11,27.1?4 1f10 Tn7 b6W t Ste Werkorb Wa16g CrewYrgs Oder Steal A. Parrot Canelo Fooling, R.I. Knobs p lhl0er blab Elechleal CO -00 blab StW Oetmy Steel Erection WYdass a EA Doors MAY Sbuakral MW Concrete roof desk Steel bled Fmwq krctilen R.I. Electrical. Wage a Root PYanhtp Stwk Cut HVAC -Roel Curbs HVAC •Bud Works Uma Drywall T. B. T.apaint •fly ovrtw kaMl Dans a Mispk m Man On 70 Sd Mon w17)01 id Fd 92/A1 100 Mon 92401 10d Men ICnAt 5d Man iOBM 3d Wb IOn70 22d Men tOnW td Fd11A0M 25d Fd tIM M 5d Men 1/7,02 7d Wed 12r2WJ 3d Fd 114002 id Wed ISM 3d Thu IAM 5d Fdlnl= lod Thu 1!302 4d Tris IA= 3d Thu JAW 10d ThulM7)02 3d Montn402 10d Thu1n7A2 3d Man tm)0z Thu 927,01 Fd 0,2fA1 Fd 021.01 Fd 10501 Fd IQn2AM Fd 10'170M Fd HY190 Tee 11n3M Fd1/Ri001 Thu IAW Fd lA IM Thu 1/302 Ta 19,02 Wed 1902 Men 11742 Thu1n7= Wed lifew Fd Inl42 Mon 117,02 Wsdir3m wadlne)0z WodtfMM wad 11L1o2 2 Fd 2MM2 no 255G:: WW?n3A2QSat Mon 71402 Tris 1175@ Fd7AA2 Wad?fi0@ Thu 211402 Thu 1114,02 W-O-VNW OONar btW Pill" CeneMe Footling: Q P -L Pmrftq F.I. Elec41lel 10 Week -steel Domy [ Steel Erection wkdae, a Doors: Masonry Skuctvel btesl Q Cont rod Beck Ste shift Frimmi g kuulelten ' RA. Electrical -Waltea Rod Q plus 6g Stick Oft HVAC • R.00.M ;HVAC -Witt Week aU Wwaa 77 T.6T. f Pak* -By Ow 0 Install Doors a Millwork 7 1 a t T t I 14 11 12 17 14 /s is 17 18 1t 20 21 22 » Protect batl lab SGuduloWanu Dela: Tue wta01 Task Critical Task Progress Mission SW --Y Robed UP Task Robed Up Crural Task ^ Ro/ed Up Mka afe Q ... Robed UP Ptog. 6000 Laboratories Page 2 8mtl laherataNs Pegs 1 TaskRarre Drraliorr &al Fkftir 99 9178 9FLi 930 Oaeber.. Noverrrbar _:. Dater news, 1017 1OM4 1021 1O2B 1114 1InI IIna IIr25 1712 129 17118 121Li 12/.10 19 1173 irzD F tm 2A L10 7/17 Z4 Coram Tile Sel Pkv dai Fbh,es EbckW TdmfOd Intel Tdd Pat a Access, EidadaCaash Pff" Final Chin Lip At RechSd FkW City Buidrp WWOKbon Cly of UsbbaaC.O.2174 5d 2d 2d 7d lod 1d Id Men irmw Ma 2!402 Tla 1,01,02 Fd 217,02 Mon 1/7)02 Men 10,02 Thu 711402 Thu 7n402 Tten211442 Fd 2MM2 no 255G:: WW?n3A2QSat Mon 71402 Tris 1175@ Fd7AA2 Wad?fi0@ Thu 211402 Thu 1114,02 jID Concrete � 1 Ceende TYe PknsYkg Fl Pavi g F 1114 b 30 31 32 Pro)sct Scott tab Sdwit" IMrdrs Dale•. Tus On SAX Task Critical Task Progress ;.. Milestone sunray Robed Up Task .... Robed Up Crtleat Task ^ Robed Up MlWons Q ,'...,,,`-..',,-._'-l"".a,..,..',,..^.,..`.s.`_i Rdled Up Propsas — L. 6000 Laboratories Page 2 Attachment 2 Scott Laboratories, Inc. Tax Property Detail For the Year Ended 12/31/00 Date In BOY Accum. Current Year EOY Accum. Description Service Cost Depreciation Depreciation Depreciation Filing Cabinet 6/23/00 846 151 151 Electric Range, Range Hood, Hood Filter 1217'00 750 - 38 38 Freezer 12/7/00 585 - 29 29 Office Server 1/21/00 2.249 - 787 787 EZE Magnetized Workstation Desk 9/5/00 522 - 78 78 Conference Phone wi External Microphones 9/27/00 1,217 - 130 130 Canon IR 330S Copier 1117700 8,465 - 423 423 Single Board Computer - No Drives 2/10/00 5,428 - 1,900 1,900 Drives for Single Board Computer 2/10/00 1,090 - 382 382 Single Board Computer - No Drives 2/26/00 4,937 - 1,727 1,727 Single Board Computer - No Drives & Accessories 3/3/00 8,470 - 2,964 2.964 HP Laptop Computer 3/29/00 2,826 - 989 989 Epson Overhead Projector 7/7/00 5,799 - 870 870 Back-up Exec Server, Onstream SC30 9/5/00 1,057 159 159 Sony VAIO Laptop Computer 9/5/00 4,295 - 644 644 Modified BCI 3404 AutoCorrBoard/Prototype 3/17/00 1,693 - 593 593 DMb1-32 :kT 16, bit Analog I/O PC/104 Nfodule 3/20/00 4,481 - 1,566 1,566 Samsung LTM150XS-TO1 3/23/00 3,288 - 1,150 1,150 Harvard 2 Pump 3/30/00 4,750 - 1,663 1.663 ECG/SpO2 OEM board 5/8/00 2,796 700 700 Reconditioned HP audio oscillator & distortion analvzer 6/12700 1,717 - 429 429 02A sidestream module 6/20/00 1,690 - 422 422 Sidestream module 8/21/00 845 - 127 127 LPKF AutoContac Thru-Hole Plating System 8/28/00 2,956 - 443 443 Model X1003 Oxygen Sensor 9/25/00 731 - 110 110 Samsung LTM LCD Flat Panel 1015100 836 - 42 42 AS2000 BIS Monitoring System 10/17/00 11,000 - 550 550 Fast 02 Sensor 10,17/00 1,461 - 73 73 Advantage 9861 Patient Monitor 10/26/00 3,704 - 185 185 Machine Tool: Jointer 11/8/00 449 - 22 22 Machine Tool: Belt Sander 11/8/00 449 - 22 22 Machine Tool: Bead Blaster 11/8/00 449 - 22 22 Machine Tool: Vertical Band Saw 11/8/00 1,796 - 90 90 Air Compressor 11/8/00 898 - 45 45 Big Lathe 11/8/O0 8,980 - 449 449 Mig Weider I V8100 1.078 - 54 54 Tig Welder 11/8,00 12347 - 67 67 Tool Cutter 11/8/00 25,143 - 1,257 1,257 Small Lathe 11/8/00 3,592 - 180 180 Surface Grinder I V8/00 4,490 - 225 225 Horizontal Mill 11/8/00 5,388 269 269 Vertical Mill 11/8/00 10,776 539 539 Table Saw 11/8/00 1,257 - 63 63 Lathe Tooline 11!8700 898 - 45 45 Chop Saw 1118/00 673 - 34 34 Printed Circuit Board Design Layout 11/14/00 7,033 - 352 352 Module, CO2. with Pump Assembly & OEM Evaluation Kit 11/27/00 1,050 - 53 53 StratvsisPrototvpingI achine 12/12/00 131,579 - 61,579 6.579 Replacement of Water Heater 1550 - 87 87 Total in Service 2000 301.359 - 29.778 291778 Attachment 2 Scott Laboratories, Inc. Tax Property Detail For the Year Ended 12/3I/00 Date In BOY Accum. Current Year EOY Accum. Description Service Cost Depreciation Depreciation Depreciation Fast Sign Sign in Front of Building 3/24/99 1,049 150 257 407 Desi: & Chair for Controllers Office 10/6/99 1,530 219 375 594 8 Port Communication Card 3/11/99 761 152 244 396 Superom Computer System 7/13/99 1,330 266 426 692 DIECX Computer System 7/13;99 1,253 251 401 652 15" Flatscrcen LCD 10/13/99 971 194 311 505 Mark Gamer9/99 Statement 10/13/99 771 154 247 401 HP Desktop for CEO 10/21/99 1,305 261 418 679 Cisco 820 Router 11/5/99 1,024 205 328 533 DevPartner Studio Software 11/16/99 3,414 1,138 1.518 2.656 HP Laserjet 4050 Printer 1217/99 1,623 324 519 843 K7 550 Mhz Computer w/ 128MB RAM 12/13/99 925 185 296 481 Dell 466 Matz Celeron Computer, 12/13/99 1,289 258 412 670 Dell 466 Mhz Celeron Computer 12/13/99 7,529 1,506 2,409 3.915 Yamahoa SCSI Drives 4/15/99 1,251 250 400 650 450 Mhz Computer System 4/15/99 8,798 11760 2.815 4.575 Sony 19" Monitor 4/15/99 2,419 484 774 1.258 HP Laserjet 4000 TN 4/15/99 1,550 310 496 806 Blackboard 8 -Port Serial Comm Board 5/12/99 613 123 196 319 Sony DSR -20 Digital Video Camera (net of theft) 5/26/99 2,906 581 930 1.511 Dell Dimension XPS Computer 6/16/99 2,645 529 846 1.375 21" Computer Monitor 6/16/99 1,805 361 578 939 BCI 3404 AutoCorr Board 3/17/99 15,102 3,020 4,833 7.853 Airman Custom Gas Manifold 3/23/99 6,148 1,230 1.571 2.801 Airman Custom Gas Manifold 3/23199 4,909 982 1,967 2,949 Digiflow Gas Flowmeter 7/7/99 792 158 253 411 Colin Medical 9861 NIBP Monitor 7/29/99 3,435 687 1,099 1.786 Switching Systems F6 -B8 -B8 7/29/99 1,315 263 421 684 Labview Full Development System 8/12199 2,158 432 691 1.123 Mada Jet .0 Media Injector 8/12/99 634 127 203 330 Harvard 2 Pump 8/20/99 4,809 962 1,539 2.501 Digital CamcorderDCR-VX1000 10/6/99 3,750 750 1,200 1,950 HC 12 Software Package 1212/99 3,600 1,200 1,600 2.800 Fluke 45 Digital Multimeter 12'13/99 737 148 236 384 HiWare C++ Macro Assembler 12/15/99 12,175 4,058 5,412 9.470 Heatec'Air Insulator 8/20/99 1,200 12 31 43 HVAC Installation 5/5/99 1330 21 34 55 Electrical Wiring - Larcon Electric 5/5/99 4,422 71 113 184 Gerald McCllaren-Construction 5/18/99 2.511 40 64 101 Mike Board - Construction 6/2/99 724 10 19 29 Heater/Air Conditioner Installation 11/10/99 560 2 14 16 MSDN Subscription 8/12199 565 188 251 439 C++ & Java Developer Software 9/1/99 2,895 965 1,287 2.252 Exchange Server 5.5 9/17/99 1,823 607 810 1.417 Dynamics Accounting Software Upgrade 10/28/99 1,656 552 736 1.288 MSDN Subscription 4/15/99 969 323 431 754 C++ & Java Developer Software 6/16i99 968 323 430 753 Total In Service 1999 125.948 26,792 40,441 67.233 Lab Computer 1 1/15/98 1,401 728 269 997 Lab Computer 2 3/16/98 1,427 742 274 1.016 Various Video Components 5/7/98 2,318 1,206 445 1.651 Pentium 11400 Processor 9/2/98 655 341 126 467 Blackboard -8A Comm Port Board 9/2198 626 325 120 445 Attachmerd 2 Scott Laboratories, Inc. Tax Property Detail For the Year Ended 12/31/00 Date In BOY Accum. Current Year EOY Accum, Description Service Cost Depreciation Depreciation Depreciation Oscilloscope Upgrade Module 12/9/98 602 313 116 429 Microphone 10/22/98 1,032 536 198 734 National Inpatient Profile Software 4/29/98 5,954 4,631 882 5,513 NMG DevPartner Studio Software 9/2/98 1,741 1,354 258 1.612 Office 97 Standard 95/NT Software 9/2/98 592 460 88 548 Office 97 Pro 95/NT Software 9/2/98 592 460 88 548 Microsoft Developers' Network Software 9/2/98 2.190 1,702 324 2.026 Rational Rose Visual Test Software 9/2/98 7,793 6,061 1,154 7,215 Microsoft Visual Studio v6 Pro Software 10/8/98 1,504 1,170 223 1.393 Real -Time Graphics Software 12/9/98 961 747 142 889 BMC -202 Upgrade Software 12/9/98 538 418 80 498 Total In Service 1998 29,926 21,194 4,787 25,981 Eiki Video Projector 5/2/97 7,904 5,101 911 6.012 Dell 166 MMX Laptop Computer 5/2197 5,246 3,385 604 3.989 Hita 133 MHz Laptop Computer 6/2197 2,700 1,742 311 2,053 Sorry Digital Video Camera 7/11/97 4,806 3,102 554 3,656 Phone System Upgrade 8/15/97 2,209 1,426 254 1,680 Globe Lighting System 8/26/97 2,333 1,201 291 1,492 Lab Phone System 9/2/97 7,549 3,888 943 4,831 Brother Multi -Function Center 9/15/97 897 462 112 574 Total In Service 1997 33,644 20,307 3,980 24.287 Total for All Property in service on 12/31/00 490,877 68,293 78,986 147,279 Industrial Tax Abatement Application Page 9 of 9 Attachment 3 Resolution No. 2001-RO489 Enclosed is a site map indicating the approximate location of improvements on the Real Property, Facility or Existing Facility together with the location of any or all Existing Facilities located on the Real Property or Facility. (P CP CD en — — W"m L ....... Mly CP CP CP CP CP CP Was ..i I ----------------------------------- --------Ncrim West dwafl) Elcution . . . . . . (P CP CP CP M y mm Eau W- RY PLAN MsBMq--- AM 13 NOT To SCAM P CP CP CP r -- G•: _T. Nc+.aIMINw.. Y NNW AR . Cb Cb rmcoe aa.,.an'Ova soy. tr . rr PLAN BEEN REDUCED AND IS NOT TO SCALE MEN'S DRESSING 8" CMU 8" CMU WATER LITY HEATERS � 105 18" PLATFORM BY DRYWALL CONT. O 5 SHELVES CLEAN-UP PAINT GRADE 106 Y u SHOWERS LOCKERS b 'BENCH BY = 102 `` SHUwLRS LOCKERS b' OWNER_ 103 BENCH BY OWNER ... ., ...,AMI - I C CER IC WOMEN I h MO 'CERAMIC - &AU 1 8 PAW - ---. -- - HITCH' N 5 SHELVES PAINT 1 11 GRADE BREAK AREA 112 WOMEN'S DRESSING Industrial Tax Abatement Application Page 10 of 10 Attachment 4 Resolution No. 2001-RO489 Our proposed improvements at completion of construction will require an investment of $650,000.00 for the building and site improvement. A copy of the Real Property appraisal from the Lubbock Central Appraisal District is attached. LUBBOCK CAD Real Property Information Lubbock Account Number: R68160 Cross Reference Number: 00642148 View Tax Information Owner's Name LUBBOCK COUNTY and Mailing 806 BROADWAY ST Address LUBBOCK, TX 79401-3405 Location /A N LOOP 289 Zone 9938 Map ID AC10017-90091-10500-000 Description BLK A SEC 17 AB 91 TR B & B3 Subdiv/Abstract Ind. A Subdiv/Abstract No. AC10017 Taxing Entities Code Entity Name ACS: 5.59 Tag Rate GLB LUBBOCK COUNTY .19170 SLB LUBBOCK ISD 1.58930 CLB LUBBOCK 57000 HSP HOSPITAL DISTRICT .09798 WHP High Plains Water District .00840 Deed Changes as of: 4/6/2001 Data updated on: 5/30/2001 PROPERTY Certified Value INFORMATION Exemption Codes EXG Freeze Amount .000 Ag Use $0 Number of Improvements Total Improvement Value $0 Land Acres 5.59 Land Market Value $13,416 Ag Market $0 Deed Date 9/29/1987 Deed Volume 2640 Total Market Value $133416 Deed Pae 323 Note: If your value is 0, a change of ownership may have occurred since certification. T.ANil TIVI (IRMATUIN TypeCode SPTB Code ` Appraisal J�HofmesitceLFrontage ff: Eff. Size- Method De th Acres S ft Commercial F1 REALA Acrea e � I ind COMMERCIAL � 5.59000 00000 Certif ed History Tax Year 2000 1999 1998 1997 1996 1995 1994 Improvements 6��6Market $13,41 b $13,416 $13,416 $13,41 $13,416 $13,415 $13,415 Ag. Land Market I��������-j(—� TOTAL MARKET $13,416 $13,416$13,416 $13,416 $13,416 $13,4116 $13—,416 Land Ag. Use �� JE - 10% Limited E--� Adjustment TOTAL MARKET$13,416 $13,416 $13,416 $13,41 b $13,416 $13,416 $13,416 v Exemptions EXG EXG EXG EXG EXG EXG EX Special Exemptions Over -(i5 Freeze Year =Amount Freeze Another. Search by Short Account Number Another Search by Long Account Number Another Search by Owner Name Another Search by Address T: ---:c. ' TY W36 AC OF TR B -1c 00642102 (C1 TY OF LUBBOCK) 748.34 00155049 TRAC 30163113 NORTH 4.78 AC 00215403 Resolution No. 2001-80489 November 15, 2001 Item No. 16 RESOLUTION BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK: THAT the Mayor of the City of Lubbock BE and is hereby authorized and directed to execute for and on behalf of the City of Lubbock an Agreement and all related documents by and between the City of Lubbock and Scott Laboratories, Inc., attached hereto and which shall be spread upon the minutes of the council and as spread upon the minutes of this Council shall constitute and be a part of this Resolution as if fully copied herein in detail. Passed by the City Council this 15th day of November 2001. WINDY SIT N, MAYOR ATTEST: pa�_ 5�'Ift- Rebecca Garza, City Secretary APPROVED AS TO CONTENT: Richard Burdine, Assistant City Manager APPROVED AS TO FORM: G. Vandiver, First Assistant City Attorney RESOLUT1.doc AGREEMENT STATE OF TEXAS § COUNTY OF LUBBOCK § Resolution No. 2001-80489 November 15, 2001 Item No. 16 This Agreement made this 15th day of November 2001 by and between the City of Lubbock, Texas, a home rule municipality of the State of Texas (hereinafter called "City") and Scott Laboratories, Inc. (hereinafter called "Company"); WITNESSETH: WHEREAS, City did receive from Company on the 24"' day of September, 2001, an application for tax abatement for the construction of a new facility located at 2715 North Loop 289, which is described by the Lubbock Central Appraisal District as Block A Section 17 AB 91 Tract B and B3 of the City of Lubbock, Lubbock County, Texas and further described by metes and bound as follows: BEGINNING at a 1/2" iron rod found for the Northeast corner of this tract in the South right of way line of Loop 289 at the Northwest corner of Tract "A", Youth Center Addition to the City of Lubbock, Lubbock County, Texas from whence the Northeast corner of said Section 17 is called to bear North a distance of 218.99 feet and East a distance of 1371.66 feet; THENCE S 0015'23" W, along the West line of said Tract "A", a distance of 304.40 feet to a3/4" iron pipe found at the Northeast corner of that 4.0 acre tract described in Volume 1870, Page 65 of said records for a corner of this tract; THENCE S 89041'43" W, along the North line of said 4.0 acre tract, a distance of 375.70 feet to a'/2" iron pipe found at the Northwest corner of said 4.0 acre tract for an ell corner of this tract; THENCE S 0003'49" E, along the West line of said 4.0 acre tract, a distance of 338.88 feet to a %2" iron rod found at the Southwest corner of said 4.0 acre tract for a corner of this tract; THENCE Northwesterly, along a curve to the left having a radius of 872.07 feet and a chord bearing of N 66°12'40" W, a chord distance of 26.42 feet to a '/2" iron rod found for a corner of this tract; AGREEMENT - SCOTT LABORATORIES, INC. PAGE 1 THENCE N 67023'54" W a distance of 420.26 feet to a 3/8" iron rod found for the Southwest corner of this tract; THENCE N 0003'43" W a distance of 333.49 feet to a 3/8" iron rod found in the South right of way line of said Loop 289 for the Northwest corner of this tract; THENCE N 79056'16" E, along said right of way line, a distance of 696.40 feet to a %2" iron rod found at the beginning of a curve to the right having a radius of 5579.58 feet; THENCE Northeasterly, along said right of way line and said curve to the right having a chord bearing of N 80°10'05" E, a chord distance of 105.05 feet to the POINT OF BEGINNING. WHEREAS, upon review of the above application it was determined that the 10 100 Cfacilities will be located in the orth Enterprise Zone designated by the City in Ordinance No. 9�Y covering the above described property; and bID-- D005 a�' (Vr WHEREAS, the Guidelines and Criteria Governing Tax Abatement For Selected 1 Taxing Units Within Lubbock County was heretofore adopted by Resolution No. 2001- R0386 of the City Council of the City of Lubbock; and WHEREAS, the City did comply with all the requirements set forth in V.T.C.A., Tax Code, Section 312.201; and WHEREAS, the City did comply with all of the criteria and guidelines as set forth in the Guidelines and Criteria Governing Tax Abatement for Selected Taxing Units Contained Within Lubbock County, said guidelines having been adopted by Resolution", No. 2001-R0386 of the City on September 27, 2001, and 610t)o— C7C d� WHEREAS, the City did pass Ordinance No. 95-91+ creating an enterprise zone for commercial and industrial tax abatement, said zone including the area which is described by the Lubbock Central Appraisal District as Block A Section 17 AB 91 Tract B and B3 of the City of Lubbock, Lubbock County, Texas and further described by metes and bound as follows: BEGINNING at a 1/2" iron rod found for the Northeast corner of this tract in the South right of way line of Loop 289 at the Northwest corner of Tract "A", Youth Center Addition to the City of Lubbock, Lubbock County, Texas from whence the Northeast corner of said Section 17 is called to bear North a distance of 218.99 feet and East a distance of 1371.66 feet; THENCE S 0°15'23" W, along the West line of said Tract "A", a distance of 304.40 feet to a3/4" iron, pipe found at the Northeast corner of that 4.0 acre tract described in Volume 1870, Page 65 of said records for a corner of this tract; AGREEMENT - SCOTT LABORATORIES, INC. PAGE 2 THENCE S 89041'43" W, along the North line of said 4.0 acre tract, a distance of 375.70 feet to a %2" iron pipe found at the Northwest corner of said 4.0 acre tract for an ell corner of this tract; THENCE S 0003'49" E, along the West line of said 4.0 acre tract, a distance of 338.88 feet to a 1/2" iron rod found at the Southwest corner of said 4.0 acre tract for a corner of this tract; THENCE Northwesterly, along a curve to the left having a radius of 872.07 feet and a chord bearing of N 66012'40" W, a chord distance of 26.42 feet to a 1/2" iron rod found for a corner of this tract; THENCE N 67023'54" W a distance of 420.26 feet to a 3/8" iron rod found for the Southwest corner of this tract; THENCE N 0°03'43" W a distance of 333.49 feet to a 3/8" iron rod found in the South right of way line of said Loop 289 for the Northwest corner of this tract; THENCE N 79"56'16" E, along said right of way line, a distance of 696.40 feet to a %2" iron rod found at the beginning of a curve to the right having a radius of 5579.58 feet; THENCE Northeasterly, along said right of way line and said curve to the right having a chord bearing of N 80°10'05" E, a chord distance of 105.05 feet to the POINT OF BEGINNING. WHEREAS, V.A.T.C., Tax Code, Sec. 312.2011 provides that designation as an enterprise zone constitutes designation as a reinvestment zone without further action; and WHEREAS, the application received by City from Company is an application for the construction of a new facility; and WHEREAS, V.A.T.C., Tax Code, Sec. 312.002 specifically states that such a purpose is to be included in the guidelines for tax abatement and to be eligible for such treatment; and WHEREAS, Section IV of the Guidelines and Criteria governing Tax Abatement for selected taxing units contained within Lubbock County adopted by the City Council by Resolution No. 2001-RO386 does recognize construction of a new facility as being eligible for tax abatement status; and WHEREAS, the City Council does hereby find that all of the Guidelines and Criteria Governing Tax Abatement, as adopted by Resolution No. 2001-R0386, have been met by Company; and AGREEMENT - SCOTT LABORATORIES, INC. PAGE 3 WHEREAS, the location of the facility and surrounding real property, which are to be the subject matter of this Agreement, are attached hereto as Exhibit "A" and made a part of this Agreement for all purposes; and NOW THEREFORE, for and in consideration of the premises and of the mutual terms, covenants and conditions herein contained the City and Company do hereby agree as follows: SECTION 1. Term. This Agreement shall remain in force and effect for a period of five (5) years from the date of its execution and shall expire and be of no further force and effect after said date. SECTION 2. Base Year. The base year applicable to real property, which is the subject of this Agreement, shall be 2001, and the assessed value of the real property shall be the assessed value applicable to such property for said year. SECTION 3. Base Year Taxes. The taxes upon the real property shall be paid in accordance with the assessed value of such property for the base year. Base year taxes upon the real property are thus not abated. SECTION 4. Abatement of Increase in Base Year Tax. In accordance with V.A.T.C., Tax Code, Section 312.204 real property taxes applicable to the real property subject to this Agreement shall be abated only to the extent said value for any given year within the term of this Agreement exceeds the base year taxes hereinabove set forth. SECTION 5. Property Ineligible for Tax Abatement. The property described and set forth in Section IV(6) of the Guidelines and Criteria Governing Tax Abatement for selected taxing units contained within Lubbock County and heretofore adopted by the City Council by Resolution No. 2001-RO386 is incorporated by reference herein as if fully set out in this Agreement and fully describes the property ineligible for tax abatement. SECTION 6. Exemption from Tax. The City covenants and agrees to exempt from taxation, in accordance with Section 4 above, the following properties: (a) All proposed new improvements to be placed upon the property which is described by the Lubbock Central Appraisal District as Block A Section 17 AB 91 Tract B and B3 of the City of Lubbock, Lubbock County, Texas and further described by metes and bound as follows: BEGINNING at a %2" iron rod found for the Northeast corner of this tract in the South right of way line of Loop 289 at the Northwest corner of Tract "A", Youth Center Addition to the City of Lubbock, Lubbock County, Texas from whence the Northeast corner of said Section 17 is called to bear North a distance of 218.99 feet and East a distance of 1371.66 feet; AGREEMENT - SCOTT LABORATORIES, INC. PAGE 4 THENCE S 0°15'23" W, along the West line of said Tract "A", a distance of 304.40 feet to a 3/4" iron pipe found at the Northeast corner of that 4.0 acre tract described in Volume 1870, Page 65 of said records for a corner of this tract; THENCE S 89°41'43" W, along the North line of said 4.0 acre tract, a distance of 375.70 feet to a 1/z" iron pipe found at the Northwest corner of said 4.0 acre tract for an ell corner of this tract; THENCE S 0°03'49" E, along the West line of said 4.0 acre tract, a distance of 338.88 feet to a %2" iron rod found at the Southwest corner of said 4.0 acre tract for a corner of this tract; THENCE Northwesterly, along a curve to the left having a radius of 872.07 feet and a chord bearing of N 66°12'40" W, a chord distance of 26.42 feet to a'/2" iron rod found for a corner of this tract; THENCE N 67023'54" W a distance of 420.26 feet to a 3/8" iron rod found for the Southwest corner of this tract; THENCE N 0°03'43" W a distance of 333.49 feet to a 3/8" iron rod found in the South right of way line of said Loop 289 for the Northwest corner of this tract; THENCE N 79"56'16" E, along said right of way line, a distance of 696.40 feet to a 1/2" iron rod found at the beginning of a curve to the right having a radius of 5579.58 feet; THENCE Northeasterly, along said right of way line and said curve to the right having a chord bearing of N 80'10'05" E, a chord distance of 105.05 feet to the POINT OF BEGINNING. (b) All eligible tangible personal property, owned by company, placed in or upon the property set forth in Exhibit "A", which does not include any equipment and personal property owned by Company and already located in the existing facility. (c) It is further understood that all items affixed to the new improvements placed upon the real property identified in Exhibit "A" including machinery and equipment shall be considered part of the real property improvement and taxes thereon shall be abated in accordance with the provisions of subparagraph (a) above set forth. AGREEMENT - SCOTT LABORATORIES, INC. PAGE 5 SECTION 7. Economic Qualification. It is hereby found by the City that Company will expend funds in excess of the funds necessary to qualify for tax abatement by constructing a new facility, all as set forth in Section IV(3)(b) of the Guidelines and Criteria for Tax Abatement adopted by the City through Resolution No. 2001-R0386. SECTION 8. Value of Improvements. Company intends to expend approximately six hundred fifty thousand ($650,000) dollars in constructing a ne �. facility to be located within the enterprise zone created by Ordinance No. 95-�"T. SECTION 9. City Access to Property. Company covenants and agrees that Cit ` shall have access to the property, which is the subject matter of this Agreement, upon reasonable notice and during normal business hours, and that municipal employees shall be able to inspect the property to insure that the improvements are. being made in accordance with the terms and conditions of Company's application for tax abatement, attached as Exhibit "A", and this Agreement. SECTION 10. Portion of Tax Abated. City agrees, during the term of this Agreement, to abate taxes on eligible property according to the following schedule. Year l: 100% Year 2: 80% Year 3: 60% Year 4: 40% Year 5: 20% SECTION 12. Commencement Date. This Agreement shall commence upon the date of its execution, which date is hereinafter set forth, and shall expire five (5) years after such date. SECTION 13. Type of Improvements. The Company proposes to construct a new facility as described in Exhibit "A". The Company further states that the proposed improvements to the property above mentioned shall commence on the Ft day of October, 2001, and shall be completed within approximately 180 days from said date. The Company may request an extension of the above date from City in the event circumstances beyond the control of Company necessitates additional time for completion of such improvements and such consent shall not unreasonably be withheld. SECTION 14. Drawingsprovements. Company shall furnish City with one set of as built plans and drawings of the improvements to be made pursuant to the terms of this Agreement. SECTION 15. Limitation on Use. Company agrees to limit the use of the property set forth in Exhibit "A" to commercial and/or industrial uses as those terms are defined in the zoning ordinances of the City of Lubbock and to limit the uses of the AGREEMENT — SCOTT LABORATORIES, INC. PAGE 6 property to uses consistent with the general purpose of encouraging development of the enterprise zone during the term of this agreement. SECTION 16. Recapture. The Company agrees to be bound by and comply with all the terms and provisions for recapture of abated taxes in the event of default by Company pursuant to law and as set forth in Guidelines and Criteria for Tax Abatement adopted by Resolution No. 2001-R0386 of the City Council of the City of Lubbock. SECTION 17. Certification. The Company agrees to certify annually to the governing body of each taxing unit that the owner is in compliance with the terms of the Agreement. SECTION 18. Compliance. The City may cancel or modify this Agreement if the Company fails to comply with the Agreement. SECTION 19. Notices. Notices required to be given by this Agreement shall be mailed, certified mail return receipt requested, to the following addresses: CITY OF LUBBOCK City Manager P.O. Box 2000 Lubbock, Texas 79457 SCOTT LABORATORIES, INC. Randall S. Hickle, M.D. 2202 Indiana Avenue Lubbock, TX 79410 AGREEMENT - SCOTT LABORATORIES, INC. PAGE 7 SECTION 20. Effective Date. Notwithstanding anything contained herein to the contrary, this Agreement shall not be effective until such time as it has been finally passed and approved. EXECUTED this 15th day of SCOTT LABORATORIES, INC �� J-'O�e 5, RANDALL S. HICKLE PRESIDENT ATT Vanessa Reasoner Controller CB: October 11, 2001 G:/tax abatement/Scott Labs/Scott Labs Agreement.doc November . 2001. CITY OF LUBBOCK A M nicipal Corpo atio WINDY SIT ON 101 Wlytel ATTEST: Q�m� Rebecca Garza City Secretary AV D A T O CONTENT: Burdine Assistant City Manager _APPROVED AS TO FORM: Donald G. Vandiver First Assistant City Attorney AGREEMENT — SCOTT LABORATORIES, INC. PAGE 8 EXHIBIT "A" Resolution No. 2001-R 0489 Laboratories, Inc. 2202 Indiana Avenue Lubbock, Texas 79410 RECEIVED SEP 2 4 2001 BUSINESS DEVELp�pM�. Industrial Tax Abatement Application Page 1 of 1 APPLICATION FOR INDUSTRIAL TAX ABATEMENT IN LUBBOCK COUNTY FILING INSTRUCTIONS: This application must be submitted to the appropriate taxing jurisdiction before any construction begins to be eligible for tax abatement. This filing acknowledges familiarity and assumed conformance with "GUIDELINES AND CRITERIA GOVERNING TAX ABATEMENT FOR SELECTED TAXING UNITS CONTAINED WITHIN LUBBOCK COUNTY" (Copy attached). This application will become a part of any later agreement or contract, and knowingly false representations thereon will be grounds for the voiding of any later agreement or contract. ORIGINAL COPY OF THIS APPLICATION AND ATTACHMENTS SHOULD BE SUBMITTED TO: City of Lubbock Business Development Department P.O. Box 2000 1625 13th Street Lubbock, TX 79457 (806)775-2019 Section I — APPLICANT INFORMATION Date of Application: September 24, 2001 Applicant Name: Randall S. Hickle, M.D. Company Name: Scott Laboratories, Inc. Address: 2202 Indiana Avenue, Lubbock, TX 79410 Phone: (806) 785-0077 Fax: (806) 785-5035 Applicants Representative on this Project: Name: Vanessa Reasoner Address: 2202 Indiana Avenue, Lubbock, TX 79410 Phone: (806) 785-0077 !'X T" 114 Type of Ownership: [ X ] Corporation [ ] Partnership [ ] Proprietorship Industrial Tax Abatement Application Page 2 of 2 Total Current Number Employees: 14 Corporate Annual Sales Per Year: 3 million dollars Annual Report Submitted? [ ] Yes [X ] No Section H — FACILITY INFORMATION Place a check mark on those statements which are applicable to your company: (a) This application is for a: [X] New Facility [ ] Expansion [ ] Modernization (b) Is the company a producer, manufacturer or distributor of goods and services of which 50 percent or more are distributed outside of Lubbock? (if yes, provide documentation as Attachment 1) [ X ] Yes [ ] No (c) Check the following target industry which is applicable to your company [ ] Manufacturing Facility: Electronics/Electrical/Assembly, Semiconductor Fabrication [ ] Value-added Agricultural Production including Food Processing and Machinery [X] Med Tech Research/Manufacturing/Assembly [ J Aviation/Avionics Production/Rehab [ ] Warehouse/Distribution [ ] Corporate Headquarters of a Regional/National Service Center [ ] The project is not included in the above target industries, but has the potential of generating additional significant economic development opportunities in Lubbock. (Provide Documentation) (d) [X] The existing facility to be modernized or expanded or the property where the new facility is to be built is located in a designated Enterprise Zone. (e) [ ] New Company to Lubbock [X] Existing Company (f) If New Company checked, which of the following statements apply to the project: [ ] The project will add at least $1 million in real estate assessed valuation [ ] The project will add at least $2 million of personal property assessed valuation [ ] The project will add at least 25 new permanent jobs (g) If Existing Company checked, which of the following statements apply to the project: [X] The project will add at least $500,000 in real estate assessed valuation [ ] The project will add at least $1 million of personal property assessed valuation [ ] The project will add at least 20 new permanent jobs Industrial Tax Abatement Application Page 3 of 3 (h) Address of proposed facility: 2715 North Loop 289 (i) Legal description of proposed facility: See enclosed deed 0) The proposed facility is located in: School District: Lubbock ISD City: Lubbock, TX (k) Describe product or service to be provided: Medical technology research and development company for new medical technologies. Active projects include technologies for management of fear and pain, temperature, and obesity. Objective in each field is to produce new technologies that deliver greater value and benefits at a reduced cost. The company researches the market need, develops the technology, designs for manufacturability, assembles prototype devices, conducts clinical testing and then sells or licenses the technology. Section III — FACILITY DESCRIPTION Please attach the following: Attachment 2 (a) A general description of the improvements to be undertaken (example: modernization of manufacturing facility located at 4501 Peach Street and purchase of new manufacturing equipment). (b) A descriptive list of the improvements for which tax abatement is requested including: 1) Description of construction and location of all proposed improvements of the real property or Existing Facility, and; 2) List of new equipment and cost of the equipment. (c) A list of any and all tangible personal property presently existing on the real property or located in an existing facility. (d) A proposed time schedule for undertaking and completing the proposed improvements. Attachment 3 Industrial Tax Abatement Application Page 4 of 4 (a) A site map indicating the approximate location of improvements on the Real Property Facility or Existing Facility together with the location of any or all Existing Facilities located on the Real Property or Facility. Attachment 4 (a) A statement of the additional value to the Real Property or Facility as a result of the proposed improvements. (b) A statement of the assessed value of the Real Property, Facility or Existing Facility for the base year (attach tax assessment for property from the Lubbock Central Appraisal District). Section IV — ECONOMIC IMPACT INFORMATION Part A — Current Investment in Existing Improvements: - 0 - Part B — Permanent employment estimates: 1) If existing facility, what is the current plant employment: 14 2) Estimated number of new jobs to be created and time frame for creation of jobs: New Jobs None Time Frame 3) Opening of improvements: (Month) 1& 2 of (YearllX 2002 Part C — Permanent Payroll Estimates: . 1) If existing facility, what is the current plant payroll: one million annually 2) Estimated amount of new payroll: no change Part D — Construction and Employment Estimates: 1) Construction start: Month 10 Year 2001. 2) Number of construction jobs: At Start 8 , Peak 20 . Finish 10 3) Number of man-years: NA Part E — School District Estimates: Give Estimated number of Families transferred to area: NA Children added to ISD's: NA Industrial Tax Abatement Application Page 5 of 5 Part F — City Impact Estimates: 1) Volume of treated water required from City: 161 gallons/day 2) Volume of effluent to be treated by city: NA gallons/day A septic system will be installed.. 3) Provide a statement on planned water and sewer treatment methods, and disposal of effluent if the facility is to be located outside city systems. 4) Has permitting started? Yes X No Part — Estimated Appraised Value on Site: Part H — Variance: (a) Is a variance being sought under Section IV 9(d) of the "Guidelines"? [ ] Yes [X] No (c) If "Yes", attach any supplementary information required. NA Section V — OTHER AGREEMENT APPLICATIONS (a) Has applicant made application for abatement of this facility by other taxing jurisdictions or counties? [ ] Yes [X] No (b) If "Yes", please provide: Dates of Application: NA Hearing Dates: NA Name of Jurisdiction(s): NA Name of Contact(s): NA Attach any letter of intent to abate. NA Land Personal Property Improvements Value of Existing Facility Before New Construction (from Central $13,416 $500,000 0 Appraisal District Value of New Improvements NA NA $650,000 Estimated Total Value After Improvements $13,416 $500,000 $650,000 Part H — Variance: (a) Is a variance being sought under Section IV 9(d) of the "Guidelines"? [ ] Yes [X] No (c) If "Yes", attach any supplementary information required. NA Section V — OTHER AGREEMENT APPLICATIONS (a) Has applicant made application for abatement of this facility by other taxing jurisdictions or counties? [ ] Yes [X] No (b) If "Yes", please provide: Dates of Application: NA Hearing Dates: NA Name of Jurisdiction(s): NA Name of Contact(s): NA Attach any letter of intent to abate. NA Industrial Tax Abatement Application Page 6 of 6 Section VI — DECLARATTON To the best of my knowledge, the above information is an accurate description of project details. (- Z:,- -) C s 14 n Company Official Signature Randall S. Hickle, M.D. Printed Name of Company Official President Title of Company Official REcurn to: Scott Laboratories;2202 Indiana Ave.Lubbock, Texas 79410 GF#00-11098 Resolution No. 2001-RO489 9W J DEED WITHOUT WARRANTY YOL 7264PAGE 68 �v Date: September 5, 2001 Grantor: LUBBOCK COUNTY, TEXAS Grantor's Mailing Address: Grantee: SCOTT LABORATORIES, INC., a Texas corporation Grantee's Mailing Address: 2202 Indiana Ave. Lubbock, Tx. 79410 Consideration: TEN AND N0/100 DOLLARS ($10.00) cash and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged. Property (including any improvements): A tract of land located in Section Seventeen (17), Block A, T.T. Railroad Company survey, Lubbock County, Texas, being that tract of land described in Volume 2640, Page 323 of the Real Property Records of Lubbock County, Texas and being further described by metes and bounds as follows: BEGINNING at a 11 iron rod found for the Northeast corner of this tract in the South right of way line of Loop 289 at the Northwest corner of Tract "A", Youth Center Addition to the City of Lubbock, Lubbock County, Texas from whence the Northeast corner of said Section 17 is called to bear North a distance of 218.99 feet and East a distance of 1371.66 feet; THENCE S 001512311 W, along the West line of said Tract "A", a distance of 304.40 feet to a %" iron pipe found at the Northeast corner of that 4.0 acre tract described in Volume 1870, Page 65 of said records for a corner of this tract; Dewwwnm PAGE1 voi 7264PAGE 69 THENCE S 89041143" W, along the North line of said 4.0 acre tract, a distance of 375.70 feet to a 1/2" iron pipe found at the Northwest corner of said 4.0 acre tract for an ell corner of this tract; THENCE S0003149" E, along the West line of said 4.0 acre tract, a distance of 338.88 feet to a %" iron rod found at the Southwest corner of said 4.0 acre tract for a corner of this tract; THENCE Northwesterly, along a curve to the left having a radius of 872.07 feet and a chord bearing of N 66012140" W, a chord distance of 26.42 feet to a 1/2" iron rod found for a corner of this tract; THENCE N 67023154" W a distance of 420.26 feet to a 3/8" iron rod found for the Southwest corner of this tract; THENCE N 0003143" W a distance of 333.49 feet to a 3/8" iron rod found in the South right of way line of said Loop 289 for the Northwest corner of this tract; THENCE N 79056116" E, along said right of way line, a distance of 696.40 feet to a %" iron rod found at the beginning of a curve to the right having a radius of 5579.58 feet; THENCE Northeasterly, along said right of way line and said curve to the right having a chord bearing of N 80010'05" E, a chord distance of 105.05 feet to the POINT OF BEGINNING (the "Property"). Exceptions to conveyance: This conveyance is made and accepted subject to the following matters: 1. Easement granted to WEST TEXAS GAS COMPANY by instrument recorded in Volume 254, Page 483, Deed Records of Lubbock County, Texas. 2. Easement granted to the CITY OF LUBBOCK by instrument recorded in Volume 448, Page 458, Deed Records of Lubbock County, Texas. 3. Easement granted to THE TEXAS PIPE LINE COMPANY by instrument recorded in Volume 586, Page 225, Deed -Records of Lubbock County, Texas. DaiRMODPNOW.' P/0..'l vnL 7264PAGE 70 4. An undivided 1/2 interest in all of the oil, gas, and other minerals, in, on and under the Property, previously reserved by instrument recorded in Volume 217, Page 256, Deed Records of Lubbock County, Texas. 5. Oil, Gas, and Mineral Lease, dated January 28, 1954, as shown by instrument recorded in Volume 20, Page 535, Oil and Gas Lease Records of Lubbock County, Texas. 6. Oil, Gas, and Mineral Lease, dated May 6, 1957, as shown by instrument recorded in Volume 26, Page 13, Oil and Gas Lease Records of Lubbock County, Texas. 7. Oil, Gas, and Mineral Lease, dated May 5, 1957, as shown by instrument recorded in Volume 26, Page 18, Oil and Gas Lease Records of Lubbock County, Texas. 8. Easement, granted to SOUTHWESTERN BELL TELEPHONE COMPANY in the Northwest corner of the Property, by instrument recorded in Volume 4035, Page 248, Real Property Records of Lubbock County, Texas and as shown on Survey, dated May 24, 2001, by ROBERT L. SMITH, Registered Professional Land Surveyor. Grantor, for the consideration and subject to the exceptions to conveyance, conveys to Grantee the property without warranty, express or implied, statutory or otherwise, and all warranties that might arise by common law and the warranties created by Section 5.023 of the Texas Property Code (and all amendments and successors thereto) are expressly excluded. When the context requires, singular nouns and pronouns include the plural. EXECUTED this 7�� _ day of 2001 to become effective as of the date first a ove written. LUBBOCK COUNTY, TEXAS JAMES KITTEN, COUNTY COMMISSIONOR, LUBBOCK COUNTY, TEXAS, DULY AUTHORIZED BY COUNTY COMMISSIONER COURT, LUBBOCK COUNTY TEXAS u®Wou WRM PAGE THE STATE OF TEXAS VOL 7264PACE 71 COUNTY OF LUBBOCK § Before me ersonall a on this day P y appeared JAMES KITTEN, COUNTY CONIMISSIONOR, LUBBOCK COUNTY, TEXAS, DULY AUTHORIZED BY COUNTY COMMISSIONER COURT, LUBBOCK COUNTY TEXAS, known to me OR proved to me on the oath of — J& -Ca VA4 OR through to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that he executed the same on behalf of LUBBOCK COUNTY, TEXAS for the purposes and consideration therein expressed. of 1-Q Given under my hand and seal of office this day `-`�',� `- , A. D., 2001. .�-�-v i Aa pUBtC GAIL WILCOXSGN * Notary Publlr, State Of T'2xas My Commission "Expires 007.2004 FILED FOR RECOQ[) 10 f " : 5 A�q COUNTY CLERK. LUBBOCK COUNTY. TEXAS PBN MTWARRANTY PAH Notary Public, State of Texas SEAL S FATE OF TEXAS COUNTY OF LUBBOCK I hafft ON* 0W this insnxnern was no an the date and at the *no stamped hereon by me and was d* RECORDED in the Volume and Page of the Ofi W Real PmWt> Reeords of t.ubbo Courcy, Texas as stamped hereon by On& SEP 20 2001 COUNTY CLERK X l U880CKCOl1NTY. TEXAS Industrial Tax Abatement Application Page 7 of 7 Attachment 1 Resolution No. 2001-R 0489 Scott Laboratories, Inc. has a research and development agreement with a large medical device manufacturer in Cincinnati, Ohio. They will pay Scott Labs three million dollars $3,000,000.00) per year during the period beginning January 1, 2001 and ending upon the termination of the development agreement for services rendered by Scott Labs under the development agreement. The initial term of the development agreement is three (3) years and a minimum payment to Scott Labs of nine million dollars ($9,000,000.00) is guaranteed. Scott Labs cannot reveal the identity of the medical device manufacturer due to contractual obligations. Industrial Tax Abatement Application Page 8 of 8 Attachment 2 General Description: Resolution No. 2001-RO489 a. Construction of a new research and development facility located at 2715 North Loop 289. b. Descriptive list of the improvements for which tax abatement is requested including: 1. Site preparation on approximately 5.59 acres located at block A section 17 AB 91 tracks B and B3. A 20,000 square foot single story building for offices and shop space will be constructed to include the required parking. Landscaping will also be performed as required. 2. New >,quipment: none c. The list of Tangible Personal Property located in our existing facility is enclosed. d. A Gantt chart showing the proposed timeline for undertaking and completing the improvements is enclosed. b Task Name Dumum Start FDdsh 99 flovrrl6ar Oacwnba J F 9/B 921 9510 107 10/4 1021 1O2D 11/4 11m1 ima 1125 122 129 17/16 12123 12/30 tiC 1113 i,2O 127 20 2110 2117 SW woo ltn MOrem Ordr 6tW - r.: Bunny Patnrt Comae FOWM: R.L PMmftV Q Rl ElasfrllM .' 10 Meek -Stow DNvey Stow Eadlun wkWws a Done : Masonry : Strrcbwal Btesl QCo rod deck SIM Slue Framkp Mrsedallorl ' RA EMaricY .Wap, a Roof 0 Plrarr"6task Out HVAC -Roof Curbs '.'.''.'.-.-''.'.''.''..'�'.'.'.-.".'."'.'..'--.'. HVAC -Oust Work a U 1 Sb work 8d Mm11117A1 Thu 92701E}:;—.�-7 WaMrp Onnkps Sd Mm 9/1701 FA 9Zf0t Order Slee td Fd OO210 FrIfM1At &r1Aiq Pemat 10d Mm924O1 Fd 106" Crlreh Footkpm 10d Mm ICnXH Fd ICYt2Ct R.I. Pkaro4q 5d Mm IOM Fd 1Or12.O1 U prier Bbb EMohieal 3d Wad 1tV17A1 Fd MOM Conwea BSD 22d Mm lty1501 Tue11113O1 Stow D*my 14 FlillO Of FrIlIM O1 Stow Ersollrr 25d FdtUMOt Thu law Wkxkm Eat. Doom Sd Mm 1f7A2 Fd J/lIW Masonry7d Wad 1712501 Tho ffVM Structural 6W Fd 1/4C2 Tues 19@ CarlcrMe mot deck id Wad 2902 Wediam Stinal StudF ramkp 3d Thu 2002 Mm 1!702 Inraaaorl 5d Fd 1/102 Thu 1117)02 R.I. FJecbkal - Web S Roof IOd Ttw 1!302 Wed 1/502 PYmbkp Stock Out 411 Tues 1002 Fd 1111002 HVAC -Roof Cuda 3d Thu 2/502 Mmif7A2 HVAC -Oust Warka UNh 1Od Thu 1/702 Wadim= DrYMat 3e Mon 2 x / 6 t 7 t I 10 1/ 12 12 14 to 11 17 1t 1t m 31 so T. e. T.aPrt-By ownr 111402 WmdlneD¢ Ta211402 Thu 211402 Thr2n402 Drrwaa a 32 Install Doors a MtMpk 1Od 3d Thu 1/702 Mon 1,2102 wed 10002 Wed 112302 T.&T. a Pahl -By Ow 2J .. � Inataa Oaors a MMwrt MYamtons ROW Up Cd kat Task Task c;;�,,,,,,�� -�� ���,,�� ;;,,;;,,�s,,��;; ������ ,,���1 l WMaaans Robed Up Critical Task ^ ROW Up Mha ons Q PMJWL Soo6 lab SehadrMAMgnhe Dah:Tmane f Crtlui Task.`.€.`,,.',,`.,,',.".._..`°,',_.`.'..:'...`.`,s..`,,`..`-.'..�`:':,",`:,°,:.'°,',°,',. Sumrry ^ RWed Up MAwbm Q Rotsd UP Task Rated Up Pmpmas Pm9m" I Rolled Up Tach i i ; e Ra1W Up PmReas ..... Good lakarmtgfem Pepin 2 Scott Lebaaor" Page 1.. ID Task tlerrr DuraOm SWt Finish .... 9'8 9'18 9!13 8/30 OtMbmr _ Novsnl6er Dqnbar itY7 tp14 1021 I itY1S 1 1/N 111n1 I 11/a 11 rA51 122 1 12!8 I 12218 12149 I 12DO I 19 I 11t3 IrM 24 Cerandc Tde Sat PmsraYp Fbmaas2d ENObkal Try, 5d Mon MAW Mm 21402 Fd 2M= Tor 25= 127 25 7/102/17 Cerande 7Be Q Sol PksrrYiy Fl to u kwM Told Part. a Access. 6da tr Camam PrAnp Fkrcbrlupa w.ldr Find CtyButdirq krpegfonid 10d 211 7d 1qd W Thu 1.3102 Fd2ff02 Mm WX12 Mm 1mA2 nr2n4m Thu2n402 Wed 21134)2 Mm 2/402 Tum 111502 Fd 21102 wmd211Da¢ Exterior mectrics E:±,+f &i '1 mate!!T."Prt t:=::%3] Pavklg F 2f n Z11 so 311 Clycf Uabora C.O. id Ta211402 Thu 211402 Thr2n402 2114 32 vu .. Task Task MYamtons ROW Up Cd kat Task Project: Soo6Lab Schediae.abnOn Date: TM OA &W Critical Task L:.' " " 6--Y ^ ROW Up Mha ons Q Progress Rotsd UP Task Rated Up Pmpmas Good lakarmtgfem Pepin 2 Attachment 2 Scott Laboratories, Inc. Tax Property Detail For the Year Ended 12/31/00 Date In BOY Accum. Current Year EOY Accum. Description Service Cost Depreciation Depreciation Depreciation Filing Cabinet 6/23/00 846 - 151 151 Electric Range, Range Hood. Hood Filter 1217%00 750 - 38 38 Freezer 12/7,'00 585 - 29 29 Office Server 1/21/00 2,249 - 787 787 EZE Magnetized Workstation Desk 9/500 522 - 78 78 Conference Phone w/ External Microphones 9/27/00 1,217 - 130 130 Canon IR 330S Copier 11/7100 8,465 - 423 423 Single Board Computer - No Drives 2/10/00 5,428 - 1,900 1,900 Drives for Single Board Computer 2/10/00 1,090 382 382 Single Board Computer - No Drives 2/26/00 4,937 1,727 1,727 Single Board Computer - No Drives & Accessories 3/3/00 8,470 - 2,964 2,964 HP Laptop Computer 3/29/00 2,826 - 989 989 Epson Overhead Projector 7/7/00 5,799 - 870 870 Back-up Exec Server, Onstream SC30 9/5/00 1,057 - 159 159 Sony VA1O Laptop Computer 9/5/00 4,295 - 644 644 Modified BCI 3404 AutoCorr BoardtPrototype 3/17/00 1,693 - 593 593 DMb1-32 :.XT 16, bit Analog F0 PC/104 Module 3/20/00 4,481 - 1,566 1,566 SamsungLTM150XS-TO1 3/23/00 3,288 - 1,150 1,150 Harvard 2 Pump 3/30/00 4,750 - 1,663 1,663 ECG/SpO2 OEM board 5/8/00 2,796 - 700 700 Reconditioned HP audio oscillator & distortion analvzer 6/12/00 1,717 - 429 429 OEM sidestream module 6/20/00 1.690 - 422 422 Sidestream module 8/21/00 845 - 127 127 LPKF AutoContac Thru-Hole Plating System 8/28/00 2,956 - 443 443 Model X1003 Oxygen Sensor 9/25/00 731 - 110 110 Samsung LTM LCD Flat Panel 1015100 836 - 42 42 AS2000 BLS Monitoring System 10/17/00 11,000 - 550 550 Fast 02 Sensor 10,17/00 1,461 - 73 73 Advantage 9861 Patient Monitor 10/26/00 31704 - 185 185 Machine Tool: Jointer 11/8/00 449 - 22 22 Machine Tool: Belt Sander 11/8/00 449 - 22 22 Machine Tool: Bead Blaster 1118100 449 - 22 22 Machine Tool: Vertical Band Saw 1118/OG 1,796 - 90 90 Air Compressor 11/8/00 898 - 45 45 Big Lathe 11/8/00 8.980 - 449 449 Mig Welder I V8/00 1.078 - 54 54 Tig Welder 11/8100 1,347 - 67 67 Tool Cutter 11/8/00 25.143 - 1,257 1,257 Small Lathe 11/8100 1.592 - 180 180 Surface Grinder 1118100 4,490 - 225 225 Horizontal Mill 11/8/00 5,388 - 269 269 Vertical Mill 11/8/00 10.776 - 539 539 Table Saw 11/8/00 1,257 - 63 63 Lathe Tooling 11/8100 898 - 45 45 Chop Saw 11'8100 673 - 34 34 Printed Circuit Board Design Layout 11/14/00 7,033 - 352 352 Module, CO2. with Pump Assembly & OEM Evaluation Kit 11/27/00 1,050 - 53 53 Stratysis Prototyping Machine 12/12/00 131,579 6,579 6.579 Replacement of Water Heater 3.550 - 87 87 Total in Service 2000 301.359 - 29.778 29.778 Attachment 2 Scott Laboratories, Inc. Tax Property Detail For the Year Ended 1213I/00 Date In BOY Accum. Current Year EOY Accum. Description Service Cost Depreciation Depreciation Depreciation Fast Sign Sign in Front of Building 3/24,199 1,049 150 257 407 Desk & Chair for Controllers Office 10/6/99 1,530 219 375 594 8 Port Communication Card 3/11/99 761 152 244 396 Supermax Computer System 7/13/99 1,330 266 426 692 NECX Computer System 7/13199 1,253 251 401 652 15" Flatscreen LCD 10/13/99 971 194 311 505 Mark Gamer9/99 Statement 10/13/99 771 154 247 401 HP Des -top for CEO 10/21/99 1,305 261 418 679 Cisco 820 Router 11/5/99 1,024 205 328 533 DevPartner Studio Software 11/16/99 3,414 1,138 1.518 2,656 HP Laserjet 4050 Printer 12/7/99 1,623 324 519 843 K7 550 Mhz Computer w/ 128MB RAM 12/13/99 925 185 296 481 Dell 466 Mhz Celeron Computer, 12113/99 1,289 258 412 670 Dell 466 Mhz Celeron Computer 12/13/99 7,529 1,506 2.409 3.915 Yamahoa SCSI Drives 4/15/99 1,251 250 400 650 450 Mhz Computer System 4/15/99 8,798 1.760 2.815 4,575 Sony 19' Monitor 4/15/99 2,419 484 774 1.258 HP Laserjet 4000 TN 4/15/99 1,550 310 496 806 Blackboard 8 -Port Serial Comm Board 5/12/99 613 123 196 319 Sonv DSR -20 Digital Video Camera (net of theft) 5/26/99 2,906 581 930 1.511 Dell Dimension XPS Computer 6/16/99 2,645 529 846 L375 21" Computer Monitor 6/16/99 1,805 361 578 939 BCI 3404 AutoCorrBoard 3/17/99 15,102 3,020 4,833 7,853 Airman Custom Gas Manifold 3/23/99 6,148 1,230 1.571 2,801 Airman Custom Gas Manifold 3/23/99 4,909 982 1,967 2,949 Digiflow Gas Flowmeter 7/7/99 792 158 253 411 Colin Medical 9861 NIBP Monitor 7/29/99 3,435 687 1.099 1,786 Switching Systems F6 -B8 -B8 7/29/99 1,315 263 421 684 LabviewFull Development System 8/12199 2,158 432 691 1.123 Mada Jet U Media Injector 8/12/99 634 127 203 330 Harvard 2 Pump 8/20/99 4,809 962 1.539 2,501 Digital Camcorder DCR-VX1000 10/6/99 3,750 750 1.200 1,950 HC12 Software Package 12/2/99 3,600 1,200 1,600 2,800 Fluke 45 Digital Multimeter 12/13/99 737 148 236 384 HiWare C- Macro Assembler 12/15,99 12,175 4,058 5,412 9,470 HeatevAir Insulator 8/20/99 1,200 12 31 43 HVAC Installation 5/5/99 1,330 21 34 55 Electrical Wring - Larcon Electric 5/5/99 4,422 71 113 184 Gerald McCllaren-Construction 5/18/99 2,511 40 64 104 Mike Board - Construction 6/2199 724 10 19 29 Heater Air Conditioner Installation 11/10/99 560 2 14 16 MSDN Subscription 8/12/99 565 188 251 439 C+ -r & Java Developer Software 9/1/99 2,895 965 1,287 2.252 Exchange Server 5.5 9/17/99 1,823 607 810 1,417 Dynamics Accounting Software Upgrade 10/28/99 1,656 552 736 1.288 MSDN Subscription 4/15/99 969 323 431 754 C+ & Java Developer Software 6/16199 968 323 430 753 Total In Service 1999 125.948 26,792 40,441 67,233 Lab Computer 1 1/15/98 1,401 728 269 997 Lab Computer 2 3/16/98 1,427 742 274 1.016 Various Video Components 5/7/98 2,318 1,206 445 1.651 Pentium II 400 Processor 9/2/98 655 341 126 467 Blackboard -8A Comm Port Board 9/7198 626 325 120 445 Attachment 2 Scott Laboratories, Inc. Tax Property Detail For the Year Ended 12131/00 Date In BOY Accun-L Current Year EOY Accum. Description Service Cost Depreciation Depreciation Depreciation Oscilloscope Upgrade Module 12/9/98 602 313 116 429 Microphone 10/22/98 1,032 536 198 734 National Inpatient Profile Software 4/29/98 5,954 4,631 882 5,513 NMG DevPartner Studio Software 9/2/98 1,741 1,354 258 1.612 Office 97 Standard 95/NT Software 9/2/98 592 460 88 548 Office 97 Pro 95/NT Software 9/2/98 592 460 88 548 Microsoft Developers' Network Software 9/2/98 2.190 1,702 324 2.026 Rational Rose Visual Test Sofhvare 9/2/98 7,793 6,061 1,154 7,215 Microsoft Visual Studio v6 Pro Software 10/8/98 1,504 1,170 223 1.393 Real -Time Graphics Software 12/9/98 961 747 142 889 BMC -202 Upgrade Software 12/9/98 538 418 80 498 Total In Service 1998 29,926 21,194 4,787 25,981 Eiki Video Projector 5/2/97 7,904 5,101 911 6.012 Dell 166 MMX Laptop Computer 5/2/97 5,246 3,385 604 3.989 Hits 133 MHz Laptop Computer 6/2/97 2,700 1,742 311 2,053 Sony Digital Video Camera 7/11/97 4,806 3,102 554 3,656 Phone System Upgrade 8/15/97 2,209 1,426 254 1,680 Globe Lighting System 8/26/97 2,333 1,201 291 1,492 Lab Phone System 9/2/97 7,549 3,888 943 4,831 Brother Multi -Function Center 9/15/97 897 462 112 574 Total In Service 1997 33,644 20,307 3,980 24.287 Total for All Property in service on 12/31,00 490,877 68,293 78,986 147.279 Industrial Tax Abatement Application Page 9 of 9 Attachment 3 Resolution No. 2001-RO489 Enclosed is a site map indicating the approximate location of improvements on the Real Property, Facility or Existing Facility together with the location of any or all Existing Facilities located on the Real Property or Facility. MAI Ila 11111tol g ALI q PIAN IFAC W— --. myr m SCALE ._I :, Y.omr � LIMINARY Ka. Cb cb cb cb Qur.rr PLAN BEEN REDUCED AND IS NOT TO SCALE s boa �C40 a C BREAK AREA 112 WATER UTILITY HEATERS 104 105 8" CMU18" PLATFORM BY lit- , DRYWALL CONT. j f= " CLEAN-UP 5 SHELVES PAINT GRADE 3�TO ^ 106 MEN'S 7` DRESSING 101 m _ WOMEN'S s" cMu DRESSING m 8" CMU LOCKERS & :BENCH BY 381WERS 121 SHOWERS LOCKERS d OWNER' BENCH BY OWNER O103 5 RAMIC CERM IC .N WOMEN. 7r I 1 r -°.CERAMIC •'I i I 1 MOPS 1 1101 CERAMIC 8" 5 SHELVES HITeHF.N "1 /T" 111 PAINT GRADE BREAK AREA 112 Industrial Tax Abatement Application Page 10 of 10 Attachment 4 Resolution No. 2001-R 0489 Our proposed improvements at completion of construction will require an investment of $650,000.00 for the building and site improvement. A copy of the Real Property appraisal from the Lubbock Central Appraisal District is attached. LUBBOCK CAD Real Property Information Lubbock Account Number: R68160 Cross Reference Number: 00642148 View Tax Information Owner's Name LUBBOCK COUNTY and Mailing 806 BROADWAY ST Address LUBBOCK, TX 79401-3405 Location /A N LOOP 289 Zone IrAC3 8 Map ID 10017-90091-10500-000 Description BLK A SEC 17 AB 91 TR B & B3 ACS: 5.. Subdiv/Abstract Ind. A Subdiv/Abstract No. IAC10017 Taxing Entities Code Entity Name Tag Rate GLB LUBBOCK COUNTY .19170 SLB LUBBOCK ISD 1.58930 CLB LUBBOCK .57000 HSP 1HOSPITAL DISTRICT 09798 1.00840 WHP jMgh Plains Water District Deed Changes as of: 4/6/2001 Data updated on: 5/30/2001 �—PROPERTY 2000 Certified Value INFORMATION Exemption Codes EXG Freeze Amount .000 Ag Use $0 Total Improvement Value $0 Number of Improvements Land Acres 5.59 Land Market Value $13,416 Deed Date 9/29/1987 Ag Market $0 Deed Volume 2640 Total Market Value $13,416 Deed Pae IL 32311 Note: If your value is 0, a change of ownership may have occurred since certification. T.AND ZNIMUM,ATUIN LandID TypeCode 1 C Commercial SPTB Code 1 REAL OMMERCIAL Appraisal He Method A Acreage NI esite Eff. Eff• Size- �Size�- Fronta a Depth Acres I Saft ��1757590070.00000 Another Search by Short Account Number Another Search by Loner Account Number Another Search by Owner Name Another Search by Address BLOCK ,q SECTION 12 CITY W36 AC OF TR B-1 — — �_ 00642102 (CITY OF LUBBOCK) �?6.5 156.8 589.62 748.34 L 0 00155049 �Uv TRAC 3016311) NORTH 4.78 AC 00215403 9o' ' 1 (Z/ 0021;