A Resolution of the City Council of the City of College Station, Texas, Providing a Grant

Resolution No. ______Page 1

RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COLLEGE STATION, TEXAS, PROVIDING A GRANT TO VIATEL DEVELOPMENT COMPANY FOR ECONOMIC DEVELOPMENT.

WHEREAS, the City Council has developed the Business Center at College Station for the express purpose of attracting new business and industry to the community;

WHEREAS, the City Council is authorized by Section 380, Texas Local Govt. Code, to provide for grants of public money to promote local economic development and to stimulate business in the City of College Station;

WHEREAS, the City cannot construct oversize drainage improvements for Technology Way, Lakeway Drive and a 30 acre tract fronting Highway 6 of the Business Center at College Station, without participation by Viatel Development Company;

WHEREAS, Viatel Development Company is willing to construct drainage improvements to oversize its drainage line using the design, plans and specifications provided by the City; and

WHEREAS, Viatel Development Company can meet the construction completion schedule of its facility; now therefore,

BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF COLLEGE STATION, TEXAS:

PART 1:That the City Council hereby authorizes the grant of funds to VIATEL DEVELOPMENT COMPANY to construct oversize drainage improvements using the design, plans and specifications provided by the City.

PART 2:That the City Council hereby determines that the cost of construction plus overhead is $31,500 and is based on a good faith estimate submitted by Viatel Development Company. No additional grant shall be made for the construction of oversize drainage improvements unless the City makes any change to the design of the oversize draininage improvements and unless payment for said change is authorized by the City Council. Provided, however, Viatel Development Company shall not be obligated to conform to any change to the design of the oversize drainage improvements unless such change is received in writing from the City and payment has been authorized by the City Council. In the event payment for such change has not been authorized by the City Council within fifteen (15) days after receipt of a change in the design of the oversize drainage improvements by Viatel Development Company, Viatel Development Company may proceed with the work under the original design without regard to the requested change.

PART 3:That the City Council is making this grant because Viatel Development Company, has agreed to construct oversize drainage improvements to accommodate the City drainage in the Business Center in accordance with all designs, plans and specifications provided by City and in accordance with City of College Station Code of Ordinances.

PART 4:That the funds from this grant shall not be paid to Viatel Development Company until the final completion of oversize drainage improvements in accordance with all designs, plans and specifications. Final completion shall mean that all the work has been completed, all final punch list items have been inspected and satisfactorily completed, all payments to materialmen and subcontractors have been made, all documentation and warranties have been submitted and all closeout documents have been reviewed by the City. The City shall make payment within thirty (30) days after final completion.

PART 5:That Viatel Development Company shall provide, or cause its contractor to provide, payment and performance bonds on this project for the benefit of the City and additionally shall provide a one year unconditional warranty to the City for all construction and labor performed and materials used in the construction of oversize drainage improvements as set out in Exhibit A attached hereto and incorporated herein by reference.

PART 6:That the City shall be entitled to inspect the work and materials used on the project and reject any nonconforming work as specifically provided in Exhibit A.

PART 4:That the City Council is hereby establishing this program or process or grant of funds to promote the City of College Station economy and economic development at the Business Center.

PART 5:That this resolution shall take effect immediately from and after its passage.

ADOPTED by the City Council of the City of College Station, Texas, this ______day of April, A.D.2000.

APPROVED:

ATTEST:

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CONNIE HOOKS, City SecretaryLYNN McILHANEY, Mayor

APPROVED:

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CITY ATTORNEY