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AGREEMENT <br />This agreement (the "Agreement") is entered into between the City of San Marcos, Texas <br />(the "City"), a Texas municipal corporation, and Seton Medical Center Hays ("Seton"). The <br />City and Seton are sometimes also collectively referred to as the "Parties". <br />PART 1. RECITALS <br />Section 1.01. The City has established a program under Chapter 380 of the Texas Local <br />Government Code authorizing financial incentives to certain employees and contracted personnel <br />of Seton Medical Center Hays in Kyle Texas for the purpose of encouraging them to maintain <br />their primary residences in the City (the "Program"). <br />Section 1.02. Seton Medical Center Hays in Kyle Texas is a regional healthcare facility <br />providing services beneficial to residents of San Marcos. <br />Section 1.03. Seton Medical Center Hays in Kyle, Texas is a major regional employer <br />and will draw its employees and contracted personnel from areas outside the City of Kyle, <br />including the City of San Marcos. <br />Section 1.04. Persons employed in the healthcare industry earn higher than average <br />incomes and possess skills and educational training beneficial to the local community. The City <br />seeks to encourage certain qualified employees and contracted personnel working at Seton <br />Medical Center Hays in Kyle, Texas to maintain their primary residences in the City. <br />Section 1.05. Increasing the number of such persons employed in the healthcare <br />industry who reside in the City will promote local economic development and stimulate business <br />and commercial activity in the City by, among other things: <br />a) generating spending at local businesses and attractions and spurring other <br />employment opportunities related to the provision of goods and services to such