HomeMy WebLinkAboutResolution - 1061 - Contract To Sell - Travis A Martin El Al - Water System, Yellowhouse Canyon - 03/25/1982JCR:cl
RESOLUTION
RESOLUTION 1061 - 3/25/82
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 a Contract to Sell
Real and Personal Property, the description of which is more particularly
described in the Contract which is attached herewith 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 25th day of March ,1982.
B L McALISTER, MAYOR
ATTEST:
Evelyn-Gaffga, tity S r t Treasurer
APPROVED AS TO FORM:
C
&rn C. Ross, Jr., City(Attorney
y,
THE STATE OF TEXAS §
COUNTY OF LUBBOCK §
RESOLUTION 1061 — 3/25/82
r ,_
(:ITY crrRrTgpy-TREASURER
CONTRACT TO SELL REAL AND PERSONAL PROPERTY
WHEREAS, Travis Alan Martin and wife Pamela Sue Martin and
Remrock Water System, Inc., now own and operate a certain water
distribution system at Yellowhouse Canyon Addition to the City of
Lubbock, County of Lubbock, Texas; and,
WHEREAS, Travis Alan Martin and wife Pamela Sue Martin and
Remrock Water System, Inc., by these presents do hereby offer to
sell all the assets of said water system (same and except as set
forth herein) to the City of Lubbock on the terms and conditions as
contained herein; and,
WHEREAS, the assets of the water system which are to be trans-
ferred to the City of Lubbock include the following;
(a) All of Lot two hundred eighty-nine (289) Yellowhouse
Canyon Addition to the City of Lubbock, Lubbock County, Texas.
(b) All of the secondary and distribution lines of the water
system now being operated by Travis Alan Martin, Pamela Sue
Martin and Remrock Water System, Inc.
(c) All interest, if any, in and to any certificate of
Convenience and Necessity issued to Travis Alan Martin,
Pamela Sue Martin or Remrock Water System, Inc. for operation
of the water system at Yellowhouse Canyon Addition to the City
of Lubbock; and,
WHEREAS, Travis Alan Martin, Pamela Sue Martin and Remrock
Water System, Inc., has agreed and by these presents does agree to
accept as total consideration for the transfer to the City of
Lubbock of the assets of the water system hereinabove set forth the
discharge of the following debts owed by the parties above named
severally or individually:
1. An indebtedness owing to Barton Investments, a division
of Fayette R. Barton Trust, evidenced by a promissory
note dated July 11, 1978 in the original principal sum
of $15,000.00 executed by Travis Alan Martin d/b/a T.A.
Martin Properties, the same being secured by a Deed
of Trust duly recorded in Vol. 703 Page 655 of the Deed
of Trust Records of Lubbock County, Texas, it being
understood and agreed that Barton Investments has and by
these presents does agree to accept the sum of $13,500.00
in full and final payment of said indebtedness and to
evidence said agreement and for no other purpose this
document is executed by Barton Investments.
2. An indebtedness of $21,445.00 evidenced by a certain
promissory note dated November 24, 1981, executed by
Travis Martin payable to the Texas Bank and Trust Co. of
Lubbock, Texas, which said bank had agreed and by these
presents does agree to accept the sum of $19,945.00 in
full and final payment of all principal and interest due
upon said aforementioned indebtedness and to evidence
said agreement and for no other purpose this document is
executed by the Texas Bank and Trust Co.; and,
WHEREAS, the City of Lubbock finds that it is in the best
interest of the Citizens of the City of Lubbock to agree to purchase
the assets of Yellowhouse Canyon Water System currently owned and
operated by Travis Alan Martin, Pamela Sue Martin and Remrock Water
System, Inc.; and,
WHEREAS, the City of Lubbock by these presents does agree to
pay to Barton Investments, a division of the Fayette R. Barton
Trust, the sum of $13,500.00 and to the Texas Bank and Trust Co.
the sum of $19,945.00 which sums will extinguish the debt owed to
said companies by Travis Alan Martin, Pamela Sue Martin and or
Remrock Water System, Inc., as full consideration for the sale of
the assets of the water system.
NOW THEREFORE THE PARTIES HERETO AGREE AS FOLLOWS:
1. For and in consideration of the City of Lubbock's payment
of the sum of $13,500.00 to Barton Investments, a division of
Fayette R. Barton Trust and the sum of $19,945.00 to the Texas Bank
and Trust Co. of Lubbock, Texas, which payments will take place on
closing hereof. Travis Alan Martin, Pamela Sue Martin and Remrock
Water System, Inc. will deliver to the City of Lubbock the fol-
lowing fully executed documents:
(a) A General Warranty Deed conveying good and marketable
title on all of Lot two hundred eighty-nine (289) Yellowhouse
Canyon Addition to the City of Lubbock naming the City of
Lubbock as grantee therein.
(b) A Bill of Sale passing the title free and clear of all
liens or encumbrance to the City of Lubbock on all secondary
and distribution lines of the water distribution system now
being operated by Travis Alan Martin, Pamela Sue Martin and
Remrock Water System, Inc.
(c) An assignment to the City of Lubbock of any certificate
of Convenience and Necessity if any, issued by the Public
Utility Commission of Texas to Travis Alan Martin, Pamela Sue
Martin and Remrock Water System, Inc., for the operation of
the water system.
(d) Fully executed Releases of the Deed of Trust recorded in
Vol. 703 Page 655 of the Deed Records of Lubbock County,
Texas, and a Release of the Promissory Note held by the Texas
Bank and Trust Co. of Lubbock, Texas, together with releases
of any other liens or encumbrances existing on the real prop-
erty in question or on the secondary or distribution lines of
the water system currently being operated.
(e) Release of Financing Statement, file of record Vol. 702
Page 836 in favor of Barton Investments, a division of Fayette
Barton Trust.
2. Travis Alan Martin, Pamela Sue Martin and Remrock Water
System, Inc., shall furnish to the City of Lubbock an Owner Policy
of Title Insurance issued by Service Title Co., the cost of which
shall be paid for by the City of Lubbock. It is agreed and under -,----
stood that said Policy of Title Insurance shall be delivered to
City when this sale is closed. It is further agreed that this sale
shall close on or before May 1st, 1982, unless the attorneys for
said title company discover objections to the title existing on
the real property hereinabove described in which case this sale is
to be closed when the objections are removed, provided the ob-
jections are removed within a reasonable time, which in no event
shall extend beyond 60 days from May 1, 1982. It is agreed that by
delivery of Owners Policy of Title Insurance (on form prescribed by
Board of Insurance Commissions of Texas) under the terms of this
contract issued to City in the amount of $13,500.00 which amount
represents the total sales price of the real property to be trans-
ferred to the City. The title policy shall guarantee.City's title
to the real property to be good and indefeasible subject only to
the following exceptions:
(1) Existing restrictive covenants if any,
(2) Existing Building and Zoning Ordinances, if any,
all duties of the Sellers as to sufficiency of title to Lot two
hundred eighty-nine (289) Yellowhouse Canyon Addition to the City
of Lubbock, required hereunder shall be deemed to be fully per-
formed by Seller upon delivery of the title policy hereinabove
required except Seller shall not be released from the warranties of
his deed.
3. The closing of this sale shall take place in the office
of Service Title Company, 1502 Texas Avenue, Lubbock, Texas.
Service Title Co. shall act as closing agent for the parties to
this transaction and shall follow the following escrow instructions:
(a) Five days before the date set for closing this sale the
City shall deliver to Service Title Co. a check as follows:
(1) One check made payable to Barton Investments in the
amount of $13,500.00
(2) One check in the amount of $19,945.00 made payable
to the Texas Bank and Trust Company.
(3) One check to cover the cost of the Policy of Title
Insurance required by this Contract.
(4) One check to cover all taxes owed on the real
property which is the subject of this sale pro -rated to
date of closing together with any other closing cost.
(b) Five days before the date set for closing of this sale
Travis Alan Martin, Pamela Sue Martin and Remrock Water
System, Inc., shall deliver or cause to be delivered to
Service Title Co. the following documents:
(1) General Warranty Deed naming City of Lubbock as
Grantee conveying good and marketable title to Lot 289
Yellowhouse Canyon Addition to the City of Lubbock.
(2) A Bill of Sale conveying and granting good and
marketable title to the City of Lubbock to the secondary
lines and distribution lines together with all appur-
tenant equipment used with said lines.
(3) A properly executed Release of the Deed of Trust
Lien recorded in Vol. 703 Page 655 Deed Records of Lub-
bock County, Texas, naming W.T. Wozencraft Trustee and
securing a Promissory Note in favor of Barton Invest-
ments, a division of Fayette R. Barton Trust, dated July
11, 1978.
(4) A properly executed Release of Financing Statement
filed of'record in Vol. 702 Page 836 of the Deed Records
of Lubbock County, Texas, securing a lien on equipment
that has become fixtures on Lot 289 of the Yellowhouse
Addition to the City of Lubbock, Lubbock County, Texas.
(5) A properly executed Release of Indebtedness evi-
denced by a certain Promissory Note dated November 24,
1981, executed by Travis Martin payable to Texas Bank and
Trust Co., together with any Finance Statement securing
same.
(6) Any other Release of any other lien or encumbrance
which would prohibit Travis Alan Martin, Pamela Sue
Martin and Remrock Water Systems, Inc. from delivering
clear title to the real property or the water system
which are the subject matter of this Contract.
(c) Service Title Co. shall upon receipt of the checks and
documents in paragraph (a) and (b) above notify all parties to
this agreement who shall have a right to inspect the documents
and checks on file before closing. In the event any defi-
ciencies are discovered in any of these documents, then in
such event the procedure set forth in paragraph 2 of this
agreement shall be applicable.
(d) Upon date of closing Service Title Co. acting as closing
agent and escrow agent shall deliver to the City all the
documents referred to in paragraph (b) through (c) above in a
suitable state for filing of record in the office of the
County Clerk of Lubbock County. In addition escrow agent
shall deliver the checks on deposit to the named payee on said
check. In addition escrow agent shall deliver to the City the
Owner Policy of Title Insurance called for in this Contract.
(e) Service Title Company shall follow the escrow instruc-
tions hereinabove contained and in the event either party to
this agreement is unable to deliver the items called for in
either paragraph (a) above or paragraph (b) above then in such
event this contract shall be void and of no further force and
effect and escrow agent shall return to the parties hereto all
checks or documents deposited with escrow.agent.
4. It is further agreed between the City of Lubbock and
Travis Alan Martin, Pamela Sue Martin and Remrock Water System,
Inc. that accounts receivable owed by the customer of the water
system currently being operated by Travis Alan Martin, Pamela Sue
Martin and Remrock Water System, Inc. shall be pro -rated to date of
closing and all such accounts the indebtedness of which accrued
prior to closing of this transaction shall remain the property of
Travis Alan Martin, Pamela Sue Martin and Remrock Water System,
Inc.
5. It is further agreed by the parties hereto that the City
shall operate the existing water system until such time as the City
has made connection to the secondary and distribution lines of the
water system with its system. The City shall have the full use of
all of the pumps, tanks, mains, and any and all other equipment now
being used in connection with the water distribution system cur-
rently being operated at Yellowhouse Canyon Addition to the City of
Lubbock, without charge until such time as the distribution lines
of the system are connected to the City of Lubbock's water system.
No rental fees of any kind will be paid by the City of Lubbock for
the use of said equipment.
6. It is further agreed by the parties hereto that after the
City of Lubbock has connected the distribution lines of the current
water system being operated at Yellowhouse Canyon Addition to the
City of Lubbock to the City's water system it shall notify Travis
Alan Martin, Pamela Sue Martin and Remrock Water System, Inc, in
writing by posting a letter addressed to the above named individ-
uals certified mail return receipt requested at the following
address:
Route 5 .w -
Box Oft 3Y8'�
Lubbock, Texas 79407
Travis Alan Martin, Pamela Sue Martin, and Remrock Water System,
Inc. shall then have a period of 120 days from the receipt of said
letter to enter upon the premises where such equipment is located
and remove the following items: -
(a) All pumps currently owned by the system.
(b) All storage tanks currently owned by the system.
(c) All mains currently owned by the system which are not
necessary for the operation of the system by City.
(d) All personal effects and other property not needed by the
City for the operation of the system after tie in with the
City's system.
In the event that Travis Alan Martin, Pamela Sue Martin and Remrock
Water System, Inc, fails to remove the above mentioned property
within the time period above set forth then in such event all of
the above property shall become the property of the City of Lubbock
and may be disposed of by the City of Lubbock as it sees fit. In
the event the above described property becomes the property of the
City then in such event Travis Alan Martin, Pamela Sue Martin and
Remrock Water System, Inc. shall make no claim of any nature
against the City for the loss of said property.
7. Travis Alan Martin, Pamela Sue Martin and Remrock Water
System, Inc. further agree that after the closing of this trans-
action that they will cease to operate the water system currently
being operated at Yellowhouse Canyon Addition to the City of
Lubbock and will not interfere with the City's operation of said
system. Travis Alan Martin, Pamela Sue Martin and Remrock Water
System, Inc., shall however have the right to collect the accounts
receivable hereinabove referred to.
8. Travis Alan Martin, Pamela Sue Martin and Remrock Water
System, Inc, further represent to City that the water system
currently being operated by the above named at Yellowhouse Canyon
Addition to the City of Lubbock is operated as a Public Utility
under the Texas Public Utility Regulatory Act of 1975 and that said
business is not an enterprise whose principal business is the sale
of merchandise from stock of any nature.
Executed this day of ;n41 Q, , 1982.
CITY OF LUBBO
BY: &�(
BILL McALISTER, MAYOR
ATTEST:
Evelyn GKffga, Ci yTreas.
, ,PP LVED -AS TO CONTENT:
S,Am Wahl, DLivect6r o ti ties
APPROVED AS TO FORM:
n C. Ross, Jr., City Attorney
(49 �Iv�
T s AUT Ma tin
Pamela Sue Martin
REMROCK WATER SYSTEM, INC
BY: A) (qa "�
P ID NT
Accepted and agreed to by the undersigned for the limited
purposes as stated in the preamble hereto:
BARTON INVESTMENTS, a division of
FAYETTE R. BARTON TRUST
BY:
ITS:,kTitle or Of ice
TEXAS BANK AND TRUST CO. OF
LUBBOCK, TEXAS
B
"arrvyes, Executive
Vice President
THE STATE OF TEXAS §
COUNTY OF LUBBOCK §
Before me the undersigned authority, on this day personally
appeared BILL McALISTER, Mayor of the City of Lubbock, known to me
to be the person whose name is subscribed to the foregoing instru-
ment, and acknowledged to me that he executed the same for the
purposes and consideration therein expressed, and in the capacity
therein stated as the act and deed of said City.
GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the asi�(=day of
1982.
dot y Public, in and for
Lubbock County, Texas
THE STATE OF TEXAS
COUNTY OF LUBBOCK §
Before me, the undersigned authority, on this day personally
appeared TRAVIS ALAN MARTIN, and his wife PAMELA SUE MARTIN, known
to me to be the persons whose names are subscribed to the foregoing
instrument, and acknowledged to me that they executed the same for
the purposes and consideration therein expressed.
GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the / q day
of 1982.
Notary PAlic, in and for
Lubbock County, Texas
THE STATE OF TEXAS §
COUNTY OF LUBBOCK §
Before me, the undersigned authority in and for said county
and state, on this day personally appeared ✓•haus ,!l , 1 i*;01
President of Remrock Water System, Inc., a corporation, known to me
to be the person whose name is subscribed to the foregoing instru-
ment, and acknowledged to me that he executed the same as the act
and deed of said Corporation for the purposes and consideration.
therein expressed, and in the capacity therein stated.
GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the :l g
day of1982. Po,.
Notary Public,/in-and for
Lubbock County, Texas
THE STATE OF TEXAS §
COUNTY OF �.-� §
Before me, the undersigned authority in and for said county
and state, on this day personally appeared LTi,; S. �ayL�a the
fy„see (title or office) of Barton Investments, a division of
Fayette R. Barton Trust, known to me to be the person whose name is
subscribed to the foregoing instrument, and acknowledged to me that
he executed the same as the act and deed of said Barton Investments,
a division of Fayette R. Barton Trust, for the purposes and con-
sideration therein expressed, and in the capacity therein -'stated.'
Notary Public i an or
County;- Texas
THE STATE OF TEXAS §
COUNTY OF LUBBOCK §
Before me, the undersigned authority, on this day personally
appeared Larry Ables, the Executive Vice President of Texas Bank
and Trust Co. of Lubbock, Texas, known to me to be the person whose
name is subscribed to the foregoing instrument, and acknowledged to
me that he executed the same for the purposes and consideration
therein expressed, and in the capacity therein stated as the act
and deed of said Bank.
GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the / Z „.day
II
of 1982.
Notary Rub1ic in and for
Lubbock County, Texas-,