Res 2024-126 approving an amendment to the reimbursement agreement with Carma Paso Robles, LLC., for the San Marcos, Texas Tax Increment Reinvestment Zone No. 4

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b. Time and Amount of Reimbursement. Subject to the conditions stated in this Agreement, the City agrees to reimburse the Developer annually from revenues received through capturing the tax increment from Zone No. 4 as provided in the Ordinance. The City will deduct any third party administrative fees for administering Zone No. 4 prior to remitting payment to the Developer. Revenues received through capturing the tax increment from Zone No. 4 will be remitted to the Developer by June 30th of each year commencing June 30, 2013. C. Construction of Improvements. The Improvements will be constructed in a good and workable manner and all material used in such construction will be free from defects and fit for their intended purpose. Upon completion of construction, the Developer will provide the City with final record drawings of the Improvements approved by the Project Engineer. Upon completion of construction, the Developer will provide the City with applicable acceptance letters and a certificate of completion from the Project Engineer, certifying that the construction of the Improvements has been completed in accordance with the plans and specifications. d. Conditions to Reimbursement. The City's obligation to reimburse the Developer for costs incurred for the Improvements from the tax increment captured through Zone No. 4, shall be subject to the following terms and conditions: (i) The Developer is current on all taxes, fees and obligations to the City/Zone No. 4 and the Developer is not in default in any material respect under the Development Agreement or this Agreement; and (ii) The Improvements have been constructed through the award of contracts in substantial conformity with the bid procedures applicable to the City and performed in accordance with the applicable standards and rules of the City and County; and (iii) An audit of costs requested for reimbursement has been prepared by an individual or firm acceptable to the City and the Developer and approved by the City. The form of the audit will be as agreed to between the City and Developer but will be similar in form to that used by water districts in the State to reimburse developers in accordance with the rules of the Texas Commission on Environmental Quality. At the sole discretion of the City and based upon such terms and conditions as determined,the City may issue bonds in one or more series in an aggregate principal amount not to exceed $46,000,000 which bonds will be payable solely from the tax increment funds including the tax increment revenues. Any net proceeds of bonds remaining after payment of costs of issuance and any other reserve funds and/or capitalized interest shall be remitted to the Developer within 60 days of delivery of the bonds subject to approval by the City of the reimbursement audit. 4. Cost of Improvements to be Funded by Developer. The Developer shall promptly pay the costs of the Improvements as the same become due, including, without 3