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Regular Council Meeting December 10, 2018 Page 6 Ms. Ellis shuffled the names again, and drew Mr. Avery's name first and then Mr. Gibo's name. Mayor Clifford called for a vote on Mr. Avery. Mr. Avery was appointed to the board with seven votes. 20. Discuss and act on ORDINANCE NO. 2018-045: AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PARIS, TEXAS, ISSUING A LICENSE TO DAVID THOMPSON D/B/A LONE STAR CAB CO. TO OPERATE A TAXICAB BUSINESS ON THE PUBLIC STREETS OF THE CITY OF PARIS, TEXAS; FINDING A PUBLIC NECESSITY AND CONVENIENCE FOR ISSUANCE OF SAID LICENSE; MAKING OTHER FINDINGS AND PROVISIONS RELATED TO THE SUBJECT; AND DECLARING AN EFFECTIVE DATE. Mr. Godwin said this was a renewal of a current taxicab license. A Motion to approve this item was made by Mayor Clifford and seconded by Council Member Portugal. Motion carried, 7 ayes — 0 nays. 21. Discuss and act on RESOLUTION NO. 2018-028: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PARIS, TEXAS; TERMINATING A TAX ABATEMENT AGREEMENT WITH ESSENT PRMC L.P. D/B/A PARIS REGIONAL MEDICAL CENTER; MAKING OTHER FINDINGS AND PROVISIONS RELATED TO THE SUBJECT; AND DECLARING AN EFFECTIVE DATE. City Attorney Stephanie Harris explained that in 2012 the City and Paris Regional Medical Center entered into a Tax Abatement Agreement requiring that PRMC operate their north and south campuses as acute care hospitals. Ms. Harris said in 2017, PRMC closed the geriatric psychiatric unit at the south campus, and in 2018 the company operating the long-term acute care facility at the south campus closed its facility, and PRMC closed the hospital license for the south campus. Ms. Harris said PRMC was in default under the Agreement. Ms. Harris reported the City provided PRMC with a notice of default on September 5, 2018, giving PRMC 60 days to cure its breach of the Agreement. Ms. Harris said PRMC filed a lawsuit requesting a temporary restraining order and injunction prohibiting Council from terminating the Agreement and requesting a declaratory judgment that PRMC was not in default under the Agreement. Ms. Harris advised should Council terminate the Agreement, PRMC would owe the City all taxes that would have been owed, along with penalties and interest as allowed by the Texas Tax Code. According to the Chief Appraiser, Ms. Harris said PRMC would owe taxes, penalties and interest up through the 2018 tax year in an amount of approximately $1,137,000.00. Council Member Portugal confirmed PRMC was in compliance for six years and stated she did not favor making them pay back taxes for those years. She said she thought the City should engage in discussions with PRMC in an effort to try to settle this. Council Member Stone agreed with Council Member Portugal. Council Member Trenado said what PRMC did was unethical. Council Member Hughes said the abatement agreement included that both hospitals remain open during the entire time period. He also said PRMC knew in advance they were going to close the south campus, but did not come to the City in advance to try to work something out.