Res 2004-184 - Laserfiche WebLink

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I I I amount equal to the sum of the value of the Conference Center Site and the cost of designing and constructing the Conference Center. The Conference Center would be an upscale facility and would be designed with an architectural style appropriate to the Central Texas Hill Country setting of the Project Site. The Conference Center would be constructed and furnished in accordance with design and construction details and specifications set forth in the definitive agreements which would be consistent with design and construction standards typical for upscale conference facilities. The final design of the Conference Center, and all design and construction details and specifications for same, would be subject to City approval. Upon completion of the Conference Center, the City would lease the Conference Center to Hammons on an as-is basis for a term equal to the term of the indebtedness issued by the City to finance the City's portion of the costs incurred in connection with the design, construction and fixturing of the Conference Center. The City would maintain and keep in good repair, at its expense (except that Hammons would bear the expense of any damage which is caused by the negligence or willful misconduct of Hammons, its employees, agents or contractors) the foundation, roof, exterior walls (excluding windows and doors) and all structural components (including, without limitation, load bearing interior walls and columns) of the Conference Center; and the heating, ventilating and air conditioning systems serving the Conference Center, except that Hammons would be responsible for replacing air filters, cleaning distribution duct systems and other routine "interior" maintenance necessary to insure that said heating, ventilation and air conditioning systems function optimally. Such Lease would be a "triple net" lease with Hammons, in addition to paying rent, being obligated to (i) maintain, repair and/or replace, as needed, any and all improvements constructed as part of the Conference Center, other than those elements listed in the preceding sentence for which City will be responsible, and the personal property associated therewith and to pay all costs incurred in connection therewith, and (ii) pay all insurance required to be carried on the Conference Center and associated personal property by City and all taxes (including, without limitation, ad valorem taxes) related to the Conference Center and associated personal property. Under the Lease, Hammons would be obligated to operate and maintain the Conference Center in a manner typical of other up-scale conference centers. Annual rental under the Lease would equal the sum of (i) an amount equal to thirty percent (30%) of the annual debt service (including principal and interest) on the indebtedness issued by the City in connection with the design, construction and fixturing of the Conference Center; and (ii) an amount equal to one hundred percent (100%) of the City's annual debt service attributable to the Reimbursable Portion (as defined herein) of the indebtedness incurred to fund the design and construction of the public improvements set on Exhibit "A" attached hereto. For purposes hereof, the "Reimbursable Portion" of the indebtedness issued to fund the design and construction of the infrastructure improvements described on Exhibit "A" means the greater of (i) 100% of the indebtedness (the "Road Debt") issued to fund the design and construction of the improvement identified as the Bert Brown Road extension on Exhibit "A"; or (ii) the lesser of $1,300,000.00 or (b) the sum of (x) 100% of the Road Debt and (y) one-third of the amount of the debt issued to finance the design and construction of the extension of the other infrastructure improvements set forth on Exhibit "A" across the Gilmore Property to the Project Site. 4 69311413