12 - Love Civic Center Renovation Project LCCC Agreement for Expense AssistanceNo. 12
Memorandum
TO: Mayor, Mayor Pro Tem & City Council
FROM: Grayson Path, City Manager
Paul Allen, President, Lamar County Chamber of Commerce
SUBJECT: Love Civic Center Renovation Project
LCCC Agreement for Expense Assistance
DATE: February 14, 2022
BACKGROUND:
In 2019, the voters of Paris approved a ballot measure authorizing a 2% Hotel Occupancy Tax rate
increase via Ordinance 2019-023 to fund an approximate $1.5 million Combination Tax and
Surplus Revenue Certificate of Obligation (aka a bond) for the purpose of renovation of the Paris
Love Civic Center. Some work has been performed, but the bulk of the work (and funding) still
remains to be done. On February 8, 2021, the City Council authorized an agreement with WRA
Architects, Inc. to perform a Phase I analysis of the remaining project given some time had passed
from the start of the project until that point. On July 12, 2021, the City Council authorized an
agreement with WRA Architects, Inc. to perform Phase II which included design of the project,
review through the City's building and permitting department, issuing of bid documents, and
general oversight consultation as needed of the renovation work. This was performed with a
Request for Bids going out and bids being received on January 12, 2022.
STATUS OF ISSUE:
The City Council will review in their next agenda item a recommendation to award a bid to a
contractor. To award this bid, the City will need additional funding to cover the expense. Given
there is a finite amount of funding remaining in the bond, given the bid exceeds the bond funding,
given the bid is reasonable given the needs of the project and current market, and given the
contracted work is in need of being done, Mr. Paul Allen and I have agreed that the City will utilize
its remaining bond until funding is exhausted, but the remaining balance of the contract will be
covered by the LCCC. The LCCC has set aside funds dedicated to renovation and other work at
the Love Civic Center. Mr. Allen is prepared to present the attached agreement to the LCCC Board
and recommend approval that the LCCC will cover all expenses in excess of the bond funding.
The exact amount needed will likely fluctuate due to some remaining expense to WRA Architects,
Inc. and any change orders that arise.
BUDGET:
The total contract that you will review in the next agenda item is for $1,398,454.00. The City
currently has a remaining balance in the bond of $1,177,800.00. Some of this will be used for
expenses with WRA Architects, Inc. The LCCC, once this agreement between the City and LCCC
is approved, will cover all expenses for the renovation project in excess of the City's remaining
fund balance.
OPTIONS:
1. Approve the agreement between the City of Paris and Lamar County Chamber of
Commerce (LCCC) for the LCCC to cover all expenses in excess of the City's available
fund balance for the Love Civic Center Renovation Project and authorize the City Manager
to sign.
2. Reject the Agreement and/or request additional information or edits.
RECOMMENDATION:
1. Approve the agreement between the City of Paris and Lamar County Chamber of
Commerce (LCCC) for the LCCC to cover all expenses in excess of the City's available
fund balance for the Love Civic Center Renovation Project and authorize the City Manager
to sign.
AGREEMENT
This Agreement is by and between the City of Paris, Texas ("City") and the Lamar
County Chamber of Commerce ("LCCC") for reimbursement by LCCC to City for certain
expenses related to renovations of the Love Civic Center.
WHEREAS, City owns a conference and convention center known as the Love
Civic Center ("LCC") located at 2025 S. Collegiate Drive, Paris, Texas 75460, and
WHEREAS, City has contracted with LCCC to manage the LCC; and
WHEREAS, the LCC requires certain renovations to remain a viable venue (the
"Project"); and
WHEREAS, in 2019, voters in the City approved a ballot measure authorizing a
2% Hotel Occupancy Tax rate increase via Ordinance No. 2019-023 to fund an
approximate $1,500,000.00 Combination Tax and Surplus Revenue Certificate of
Obligation (the "CO") to finance the Project; and
WHEREAS, while some work has been done on the Project, the bulk of the work
remains to be done; and
WHEREAS, after having engaged WRA Architects to perform an assessment of
the LCC and to provide design work, City put out for bid the construction services required
to implement the design for the Project; and
WHEREAS, after assessment of the bids, City has selected the bid of Tegrity
Contractors, Inc. ("Tegrity") in the amount of $1,398,454.00; and
WHEREAS, City has $1,177,800.00 remaining of the CO funds, an amount
insufficient to cover the entire amount of the bid; and
WHEREAS, LCCC has agreed to cover remaining expenses relating to the Project
after the City's CO funding has been exhausted;
WHEREFORE, the parties hereto agree as follows:
1. The term of this Agreement begins on the 14th day of February, 2022 and ends
upon LCCC's payment of the final invoice related to the Project as described
herein.
2. City has on hand funds from the CO in the amount of $1,177,800.00.
3. City has awarded the bid for the Project to Tegrity Contractors, Inc. in the
amount of $1,398,454.00.
4. The City will use the remaining CO funds to pay for additional services from
WRA Architects and to fund the construction contract with Tegrity.
5. There are insufficient funds remaining from the CO to fully fund the contract
with Tegrity.
6. Once City exhausts the remaining CO funds, LCCC agrees to fund the balance
of the contract with Tegrity in the approximate amount of $225,000.00 (the
"Balance"). The parties agree that this amount is only an estimate and that the
final amount of the Balance will depend on several factors, including but not
limited to, expenses incurred by WRA Architects, and any change orders that
may arise during the course of the Project. LCCC agrees to assume the risk
that the Balance may be greater than the estimated amount and agrees that
City will not allocate funds over and above the remaining CO funds recited
herein for the Project.
7. As LCCC is not a party to the contract between City and Tegrity, LCCC will pay
the Balance due and owning under this Agreement to City, and City will
disburse the funds to Tegrity. City will invoice LCCC at such time as funding
from LCCC is required and as set forth herein, and LCCC agrees to pay such
invoice or invoices within fourteen (14) days of its receipt of said invoice or
invoices. LCCC agrees that due to the nature of the completion, closing out,
and acceptance of construction projects, the City may be required to issue
LCCC multiple invoices.
8. CITY and LCCC each bind themselves and their successors, executors,
administrators, and assigns to the other party to this contract and to the
successors, executors, administrators, and assigns of such other party in
respect to all covenants of this Contract. Neither CITY nor LCCC shall assign
or transfer its interest herein without the prior written consent of the other.
9. All notices and communications under this CONTRACT to be mailed to CITY
shall be sent to the address of CITY's agent as follows, unless and until LCCC
is otherwise notified:
City Manager
City of Paris
Post Office Box 9037
Paris, Texas 75461
Notices and communications to be mailed or delivered to LCCC shall be sent
to the address of LCCC as follows, unless and until CITY is otherwise notified:
Executive Director
Lamar County Chamber of Commerce
8 West Plaza
Paris, Texas 7546
Any notices and communications required to be given in writing by one party to
the other shall be considered as having been given to the addressee on the
date the notice or communication is posted, faxed, or personally delivered by
the sending party.
10. The signatories hereto hereby affirm that they have been duly authorized by
their governing bodies to sign this Agreement and to bind their respective
parties to the terms and conditions herein.
11. This Agreement is entered into subject to the Paris City Charter and ordinances
of City, as same may be amended from time to time, and is subject to and is to
be construed, governed, and enforced under all applicable State of Texas and
federal laws. Situs of this Agreement is agreed to be Lamar County, Texas, for
all purposes, including performance and execution.
12. If any of the terms, provisions, covenants, conditions, or any other part of this
Agreement are for any reason held to be invalid, void, or unenforceable, the
remainder of the terms, provisions, covenants, conditions or any other part of
this Agreement shall remain in full force and effect and shall in no way be
affected, impaired, or invalidated.
13. No right or remedy granted herein or reserved to the parties is exclusive of any
other right or remedy herein by law or equity provided or permitted; but each
shall be cumulative of every other right or remedy given hereunder. No
covenant or condition of this Agreement may be waived without written consent
of the parties. Forbearance or indulgence by either party shall not constitute a
waiver of any covenant or condition to be performed pursuant to this
Agreement.
14.This Agreement embodies the complete agreement of the parties hereto,
superseding all oral or written previous and contemporaneous agreements
between the parties relating to matters herein, and except as otherwise
provided herein cannot be modified without written agreement of the parties.
15. It is further agreed that one (1) or more instances of forbearance by City in the
exercise of its rights herein shall in no way constitute a waiver thereof.
16. The parties to this Agreement agree and covenant that this Agreement will be
enforceable in Paris, Texas; and that if legal action is necessary to enforce this
Agreement, exclusive venue will lie in Lamar County, Texas.
IN WITNESS WHEREOF, the parties hereto have set their hands by their representatives
duly authorized on the day and year first written above.
ATTEST:
Janice Ellis
City Clerk
APPROVED AS TO FORM:
STEPHANIE H. HARRIS
City Attorney
CITY OF PARIS
In
GRAYSON PATH
City Manager
Date Signed:
LAMAR COUNTY CHAMBER OF
COMMERCE
IN
Paul Allen
Executive Director
Date Signed:
THE STATE OF TEXAS §
COUNTY OF LAMAR §
BEFORE ME, the undersigned authority, in and for said County, Texas, on this day
personally appeared GRAYSON PATH, City Manager of the CITY OF PARIS, a Texas
Municipal Corporation, known to me to be the person who's name is subscribed to the
foregoing instrument, and acknowledged to me that he has executed the same on the
City's behalf.
GIVEN UNDER MY HAND AND SEAL OF OFFICE, THIS THE
DAY OF 20
Notary Public Lamar County, Texas
My commission expires ___
THE STATE OF TEXAS §
COUNTY OF LAMAR §
This instrument was acknowledged before me on the day of �.._.__.
20 , by PAUL ALLEN in his capacity as Executive Director of the LAMAR COUNTY
CHAMBER OF COMMERCE, known to me to be the person whose name is subscribed
to the foregoing instrument, and acknowledged that he executed the same on behalf of
and as the act of LAMAR COUNTY CHAMBER OF COMMERCE.
GIVEN UNDER MY HAND AND SEAL OF OFFICE, THIS THE
DAY OF __ , 20
Notary Public m County, Texas
My commission expires