2001-053i59`u44 Ott 0 0 O l- d 53
A RESOLUTION by the City Council of the City of Southlake, Texas, relating to
the "Southlake Parks Development Corporation Taxable Sales Tax Third
Lien Revenue Bonds, Series 2001-A"; approving (i) the resolution of the
Southlake Parks Development Corporation authorizing the issuance of
such Bonds and (ii) the execution, on behalf of the City, of the
Financing/Use Agreement relating to such financing by the Corporation;
resolving other matters incident and related to the issuance of such
Bonds; and
her
an effective date.
WHEREAS, Southlake Parks Development Corporation (the "Issuer") was created by
the City of Southlake, Texas (the "City"), pursuant to the provisions of Section 4B of the
Development Corporation Act of 1979, Article 5190.6, Vernon's Texas Civil Statutes, as
amended (the "Act"); and
WHEREAS, the Issuer is empowered to issue bonds for the purpose of defraying the
cost of any "project" defined as such by the Act; and
WHEREAS, the Act defines "project" to include land, buildings, equipment, facilities, and
improvements found by the Board of Directors of the Issuer to be required or suitable for use for
sports and entertainment and public park purposes or promote or develop new and expanded
business enterprises; and
WHEREAS, the Issuer has determined to finance on behalf of the City a park project
involving the acquisition of land, buildings, equipment, facilities and improvements required or
suitable for use for professional and amateur (including children's) sports, athletic,
entertainment, and public park purposes and events, including stadiums and ball parks (Texas
School of Baseball) -(the "Project"); and
WHEREAS, Section 25(f) of the Act requires the City Council of the City approve the
resolution of the Issuer providing for the issuance of the Bonds no more than sixty (60) days
prior to the delivery of the Bonds; now, therefore,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SOUTHLAKE, TEXAS:
SECTION 1: The Resolution authorizing the issuance of $1,500,000 "Southlake Parks
Development Corporation Taxable Sales Tax Third Lien Revenue Bonds, Series 2001-A"
adopted by the Issuer (the "Issuer Resolution") on July 17, 2001 and submitted to the City
Council this day, is hereby approved in all respects. The Bonds are being issued to finance the
acquisition of the Project, which will be located within the City of Southlake, and the Bonds are
to be delivered to the owner of the Project in exchange and upon transfer of ownership of the
Project to the City, and the City will thereafter be fully responsible for the upkeep, maintenance
and use of the Project.
SECTION 2: The approvals herein given are in accordance with Section 25(f) of the
Act and the Issuer's bylaws, and the Bonds shall never be construed an indebtedness or pledge
of the City, or the State of Texas (the "State"), within the meaning of any constitutional or
statutory provision, and the owner of the Bonds shall never be paid in whole or in part out of any
funds raised or to be raised by taxation (other than sales tax proceeds as authorized pursuant to
Section 4B of the Act) or any other revenues of the Issuer, the City, or the State, except those
revenues assigned and pledged by the Issuer Resolution.
45059881.1
SECTION 3: The City hereby agrees to promptly collect and remit to the Issuer the
Gross Sales Tax Revenues (as defined in the Issuer Resolution) in accordance with the terms
of the Issuer Resolution and the Act to provide for the prompt payment of the Bonds, and tc
assist and cooperate with the Issuer in the enforcement and collection of sales and use taxes
imposed on behalf of the Issuer.
SECTION 4: The Financing/Use Agreement by and between the City and the Issuer in
relation to the Project, attached hereto as Exhibit A and incorporated by reference as a part of
this resolution for all purposes, with respect to the obligations of the City and Issuer during the
time the Bonds are outstanding, is hereby approved as to form and substance and the Mayor
and the City Secretary are hereby authorized to execute and deliver such agreement for and on
behalf of the City and as the act and deed of this City Council. Furthermore, the Mayor and the
City Secretary and the other officers of the City are hereby authorized, individually or jointly, to
execute and deliver such endorsements, instruments, certificates, documents, or papers
necessary and advisable to carry out the intent and purposes of this Resolution.
SECTION 5: It is officially found, determined, and declared that the meeting at which
this Resolution is adopted was open to the public and public notice of the time, place, and
subject matter of the public business to be considered at such meeting, including this
Resolution, was given, all as required by V.T.C.A., Government Code, Chapter 551, as
amended.
SECTION 6: This Resolution shall be in force and effect from and after its passage on
the date shown below.
PASSED AND ADOPTED, this July 17, 2001.
ATTEST:
City Secretary
City Seal)
45059881.1
a11
2
CITY OF SOUTHLAKE, TEXAS
ea
FINANCING/USE AGREEMENT
This Financing/Use Agreement (this "Agreement') is made to be effective as of the 17`h
day of July, 2001, by and between the City of Southlake, Texas, a duly incorporated and
existing municipal corporation and political subdivision of the State of Texas (the "City") and the
Southlake Parks Development Corporation, a non-profit industrial development corporation
organized and existing under the laws of the State of Texas, including Vernon's Ann. Civ. St.,
Section 4B of Article 5190.6, (the "Corporation")
RECITALS
WHEREAS, the Corporation on behalf of the City is to finance a park project involving
the acquisition of land, buildings, equipment, facilities and improvements required or suitable for
use for professional and amateur (including children's) sports, athletic, entertainment, and public
park purposes and events, including stadiums and ball parks (Texas School of Baseball) -(the
Project"); and
WHEREAS, such financing contemplates the issuance and delivery of the Corporation's
taxable bonds in the principal amount of $1,500,000 to the owners of the land and facilities upon
ownership of such land and facilities being transferred to the City; and
WHEREAS, the Corporation shall have no duties or responsibilities with respect to the
Project other than to finance the acquisition of such land and facilities for and on behalf of the
City;
AGREEMENT
1. Financing of Project: For and in consideration of the City's covenants and
agreements herein contained and subject to the terms contained herein, the Corporation hereby
agrees to issue a series of obligations to be known as "Southlake Parks Development
Corporation Taxable Sales Tax Third Lien Revenue Bonds, Series 2001-A", hereinafter called
the "Bonds", and deliver the same to David L. Thorne and Beverly A. Thorne in exchange for
and upon the transfer of the ownership of the Project to the City.
2. Use of Project. Until all the Bonds have been fully paid, discharged and retired, the
upkeep and maintenance of the Project will be the responsibility of the City and the Corporation
shall have no responsibility with respect to the operation, upkeep and maintenance of the
Project.
3. Receipt and Transfer of Proceeds of Sales Tax. The City agrees, in cooperation with
the Corporation, to take such actions as are required to cause the "Gross Sales Tax Revenues"
as such term is defined in the resolution authorizing the issuance of the Bonds) received from
the Comptroller of Public Accounts of the State of Texas for and on behalf of the Corporation to
be transferred and deposited immediately upon receipt by the City to the credit of the banking or
monetary fund maintained at the depository designated by the Corporation and known on the
books and records of the Corporation as the "Pledged Revenue Fund".
4. Modifications. This Agreement shall not be changed orally, and no executory
agreement shall be effective to waive, change, modify or discharge this Agreement in whole or
in part unless such executory agreement is in writing and is signed by the parties against whom
enforcement of any waiver, change, modification or discharge is sought.
45059875.1
5. Entire Agreement. This Agreement, including the Exhibits, contains the entire
agreement between the parties pertaining to the subject matter hereof and fully supersedes all
prior agreements and understandings between the parties pertaining to such subject matter.
6. Counterparts. This Agreement may be executed in several counterparts, and all
such executed counterparts shall constitute the same agreement. It shall be necessary to
account for only one such counterpart in proving this Agreement.
7. Severability. If any provision of this Agreement is determined by a court of
competent jurisdiction to be invalid or unenforceable, the remainder of this Agreement shall
nonetheless remain in full force and effect.
8. Applicable Law. This Agreement shall in all respects be governed by, and
construed in accordance with, the substantive federal laws of the United States and the laws of
the State of Texas.
9. Captions. The section headings appearing in this Agreement are for
convenience of reference only and are not intended, to any extent and for any purpose, to limit
or define the text of any section or any subsection hereof.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement to be
effective as of the date and year first above written.
ATTEST:
Secretary, Board of Directors
Corporation Sea[)
ATTEST:
City Secretary
City Seal)
45059875.1 2
SOUTHLAKE PARKS DEVELOPMENT
CORPORATION
President, Board of Directors
CITY OF SOUTHLAKE, TEXAS
ay
MR- CIT A