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27 Regular Meeting May 11, 1992 Page 6 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN MARCOS, TEXAS, APPROVING THE TERMS AND CONDITIONS OF A LETTER AGREEMENT BETWEEN THE CITY AND CENTRAL TEXAS MICROGRAPHICS TO EXTEND THE TERM OF THE MICROFILMING SERVICES CONTRACT EXECUTED ON JUNE 25, 1991; AUTHORIZING THE CITY MANAGER TO EXECUTE THE AGREEMENT ON BEHALF OF THE CITY AND DECLARING AN EFFECTIVE DATE. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN MARCOS, TEXAS, APPROVING THE PROCUREMENT OF REPAIR SERVICES FROM CUMMINS SOUTH PLANT FOR THE SLUDGE INJECTOR TRUCK; APPROVING THE USE OF CONTINGENCY FUNDS FOR PAYMENT; AND DECLARING AN EFFECTIVE DATE. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN MARCOS, TEXAS, APPROVING THE RELEASE OF A PORTION OF A UTILITY EASEMENT LOCATED ON LOT 1 OF THE NEWMAN ADDITION TO THE CITY OF SAN MARCOS, HAYS COUNTY, TEXAS TO THE RESOLUTION TRUST CORPORATION AUTHORIZING THE CITY OF SAN MARCOS TO EXECUTE A RELEASE AND QUITCLAIM; AND DECLARING AN EFFECTIVE DATE. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN MARCOS, TEXAS, APPROVING THE TERMS AND CONDITIONS OF AN AGREEMENT BETWEEN THE CITY AND CARTER AND BURGESS, INC., FOR CONSULTING SERVICES IN CONNECTION WITH IMPROVEMENTS TO THE SAN MARCOS MUNICIPAL AIRPORT; AUTHORIZING THE CITY MANAGER TO EXECUTE THE AGREEMENT ON BEHALF OF THE CITY AND DECLARING AN EFFECTIVE DATE. Mayor Morris introduced for consideration Item 5.C.(2), removed from the consensus agenda, adoption of a Resolution, the caption which was read as follows: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN MARCOS, TEXAS TO NOTIFY PARKVIEW METAL PRODUCTS, INC., OF DEFAULT UNDER A TAX ABATEMENT AGREEMENT; AND DECLARING AN EFFECTIVE DATE. Ms. Kissler moved for adoption of the Resolution and Mr. Guerra seconded the motion. Mayor Morris opened discussion on the Resolution and asked Mr. Nels Leutwiler, Executive Vice President of parkview Metal Products, Inc., if he would like to address the Council. Mr. Leutwiler stated the abatement agreement with City negotiated a couple of years ago was realistic at the time and an achievable one. However, parkview is slightly behind in achieving their emploYment goals for several reasons: (1) economic recession; (2) environmentally ultrasensitive people in wimberley who put a proposed painting operation at their facility on hold (This forced parkview to do some of their work in another City rather than their on-sight plant in San Marcos.); (3) this segment of operation which would employ 20 to 40 people was still on hold pending investigation by some environmental consultants; (4) hiring and training of employees had been costly, and this delayed some of the work out of Chicago to the San Marcos plant; and (5) there was a personal miscalculation in determining just how fast one can get an operation of 100 employees up and running. These had been some of the problems in completing the goals of Parkview. Mr. Leutwiler, distributed a survey of the progress parkview had made in San Marcos. Parkview Metals would like the city to extend the abatement agreement upon the expiration of 60 days to cure the default. Mr. Moore stated Mr. Leutwiler made a good case of the firm standing of Parkview and the reasons for its default. Mr. Moore suggested notifying parkview of their default and working with them on a way to cure the default, perhaps by extending the days. Mayor Morris stated the state laws drive the abatement policies with job creation, and the city Council had entered into each abatement