Res 2007-020 - Laserfiche WebLink

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ECONOMIC INCENTIVE AGREEMENT BETWEEN THE CITY OF SAN MARCOS AND KULA MEDIA GROUP This Economic Incentive Agreement encompassing a Chapter 380 Grant (the "Agreement") is made as of j -1<:( -,Joe '1 by and between the City of San Marcos, Texas, a municipal corporation ("City"), and Kula Media Group ("Kula"). Kula and the City are each a Party and are referred to collectively as the "Parties" . RECIT ALS WHEREAS, the City has adopted Resolution 2006-91R whereby the City adopted an economic development program as contemplated by Chapter 380 of the Texas Local Government Code. WHEREAS, Kula and the City are pursuing a joint project (the "Project") whereby (i) Kula is engaged in commerce involving emerging high technology; (ii) Kula desires to keep its business in the San Marcos downtown area; (iii) Kula desires to utilize a newly renovated historic building; and (iv) Kula will create new jobs benefiting the San Marcos economy. WHEREAS, the City Council has determined that assisting Kula in establishing a permanent presence in the City would be an economic benefit. WHEREAS, City Council has adopted Resolution No. Agreement; and authorizing the City to enter into this WHEREAS, to formalize their agreements regarding the Grant, City and Kula desire to enter into this Agreement. NOW THEREFORE, For and in consideration of the making of the Grant by the City, and the covenants, agreements, representations and warranties set forth in this Agreement, the Parties hereby covenant, agree, represent and warrant as follows: PART 1. OBLIGATIONS OF KULA Section 1.01 Kula agrees to, at a minimum, maintain its current business in the San Marcos downtown area for the duration of this Agreement. Section 1.02 Kula agrees to take new office space in the Steward building when the renovation is completed and the building by December 31, 2007. Section 1.03 Kula agrees to invoice the City, monthly, for the amounts set forth below in Part 2. Section 1.04 In the event that Kula sells its business or ceases business in San Marcos, within five years from the date of this agreement, Kula agrees to repay all amounts received under this Agreement. Section 1.05 In the event that the Steward Building is unavailable for use by Kula, Kula agrees to provide the City Council, for Council's approval, another location that will be utilized by Kula. Kula further agrees that the submission of an alternate sitb, if such submission is necessary, will occur no later than ninety days after this Agreement is signed. A-I