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HomeMy WebLinkAboutResolution - 2013-R0222 - Amendment To Tax Abatement Agreement - Ozark Automative Distributors Inc. - 07/11/2013Resolution No. 2013-RO222 July 11, 2013 Item No. 5.2 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 Amendment to the Tax Abatement Agreement with Ozark Automotive Distributors, Inc. and all related documents. Said Amendment is attached hereto and incorporated in this Resolution as if fully set forth herein and shall be included in the minutes of the Council. Passed by the City Council on JulV 11 2013 , 2013. GLO Re-TSON, MAYOR ATTEST: Reb cca Garza, City Secre APPROVED AS TO CONTENT: Qj�tL 6woo Cheryl Brock, Executive Director of Budget APPROVED AS TO FORM: Linda L. Chamales, Economic Development Attorney LC cityatt ; Linda i Res -Tax Abatement Amendment -Ozark March 13, 2013 Resolution No. 2013-RO222 STATE OF TEXAS § COUNTY OF LUBBOCK § AMENDMENT TO TAX ABATEMENT AGREEMENT This Agreement is entered into by the CITY OF LUBBOCK (referred to herein as "City"), a Home Rule Municipality of Lubbock County, Texas and OZARK AUTOMOTIVE DISTRIBUTORS, INC. (hereinafter called "Company") WHEREAS, City and Company executed a Tax Abatement Agreement on March 13, 2008, granting a ten year declining scale tax abatement; and WHEREAS, City desires to amend the terms of the Agreement by reducing the number of years in the tax abatement schedule; and WHEREAS, Company desires to amend the terms of the Agreement by reducing the number of jobs created; NOW THEREFORE, City and Company agree to the following amendments to the Tax Abatement Agreement: 1. Section 1 entitled "Term" is replaced by the following section: "SECTION 1. Term. This Agreement shall commence January 1 of the tax year after the required improvements are substantially completed and shall expire eight (8) years after said date." Amendment to Ozark Tax Abatement Agreement 2. Section 9 entitled "Job Creation" is replaced by the following section: "SECTION 9. Job Creation. Company agrees to create 185 new jobs in Lubbock at the facility on the Property between March 13, 2008 and August 1, 2013, and retain those jobs for the term of the tax abatement." 3. Section 11 entitled "Portion of Tax Abated" is replaced by the following section: "SECTION 11. 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: 90% Year 3: 80% Year 4: 70% Year 5: 60% Year 6: 50% Year 7: 40% Year 8: 30%" Executed on CITY OF LUBBOCK BY: GLEN R BE SON, MAYOR 2013. OZARK AUTOMOTIVE DISTRIBUTORS, INC. BY: _ ED RANDALL, Director of Property Management Amendment to Ozark Tax Abatement Agreement Page 2 ATTEST: Rebe ca Garza, City Secret APPROVED AS TO CONTENT: .e,�� -&LA-j Cheryl Brock, Executive Director of Budget APPROVED AS TO FORM: Linda Chamales, Economic Development Attorney LC: cityatt/Linda/Amendment Ozark Tax Abatement Agreement June 5, 2013 Amendment to Ozark Tax Abatement Agreement Page 3