2022-015 - Approving an Economic Development Agreement with Alpha Lake LTD

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program and will: (i) further the objectives of the City; (ii) benefit the City and the City's inhabitants; and (iii) promote local economic development and stimulate business and commercial activity in the city; NOW, THEREFORE, in consideration of the foregoing, and on the terms and conditions hereinafter set forth, and other valuable consideration the receipt and sufficiency of which is hereby acknowledged, the parties agree as follows: Article I—Term This Agreement shall be effective on the last date of execution hereof ("Effective Date") and shall continue until the Expiration Date, unless sooner terminated as provided herein. Article II—Definitions "Annual Grants" or "Grants" may refer to Annual Property Tax Grants or Annual Sales Tax Grants or to both collectively. "Annual Property Tax Grants" shall mean five (5) annual grants each in an amount equal to fifty percent (50%) of the Maintenance and Operations ("M & O") portion of the City's ad valorem taxes attributable to the four (4) vacant retail spaces the subject of this Agreement that are assessed for calendar years 2024, 2025, 2026, 2027, and 2028. "Annual Sales Tax Grants" shall mean three (3) annual grants each in the amount equal to fifty percent (50%) of the Sales Tax Receipts for each applicable Grant Period, to be paid to the Company as set forth herein. The amount of each Annual Sales Tax Grant shall be computed by multiplying the Sales Tax Receipts received by the City by 50% for the given Grant Period, less an administrative fee charged to the City by the State of Texas. "Bankruptcy or Insolvency" shall mean the dissolution or termination of a party's existence as a going business, insolvency, appointment of a receiver for any part of such party's property and such appointment is not terminated within ninety (90) days after such appointment is initially made, any general assignment for the benefit of creditors, or the commencement of any proceeding under any bankruptcy or insolvency laws by or against such party and such proceeding is not dismissed within ninety (90) days after the filing thereof. "City" shall mean the City of Paris, Texas. "Company" shall mean Alpha Lake, Ltd., a Texas limited partnership.