City Council

1 CITY OF CEDAR PARK REGULAR SCHEDULED CITY COUNCIL MEETING AUGUST 26, 2021 AT 6:00 PM BY FREE-OF-CHARGE VIDEOCONFERENCE ONLY Link For Meeting: https://councilmtg.cedarparktexas.gov/ Event Password: CedarPark2021 United States Toll Free: 1-844-992-4726 Access Code: 255 757 11438 Phone Password: 23327727 Corbin Van Arsdale, Mayor Heather Jefts, Mayor Pro Tem Jim Penniman-Morin, Council Place One Eric. Boyce, Council Place Four Mel Kirkland, Council Place Two Kevin Harris, Council Place Five Anne Duffy, Council Place Three Brenda Eivens, City Manager ---------------------------------------------------------------------------------------------------------------------------- All electronic and printed materials to be presented at the Council Meeting must be submitted for cybersecurity and legal obscenity screening in accordance with City Policy. Electronic material must be submitted by 12:00 p.m., day of meeting, and printed material must be submitted prior to the Call To Order. Any electronic or printed material not submitted in accordance with the Policy, that poses a cybersecurity risk, or is legally obscene, will not be allowed. You may email the entire Council on any issue at Council@cedarparktexas.gov. AGENDA A.1 CALL TO ORDER, QUORUM DETERMINED, MEETING DECLARED OPEN. A.2 Consideration To Suspend City Council Rules Of Procedure, Rule 3.22 Participation By Video Conference Pursuant To Rule 3.24 Temporary Suspension Of Rules. I. EXECUTIVE SESSION To Commence At 6:00 p.m. In accordance with Chapter 551, Government Code, the City Council will now convene in a Closed Executive Session pursuant to the following provisions of the Texas Open Meetings Act, Chapter 551, of the Texas Government Code: An unscheduled Closed Executive Session may be called to discuss any item on this posted agenda provided it is within one of the permitted categories under Chapter 551 of the Texas Government Code. City Council Agenda August 26, 2021 Page 1 of 5  2 B.1 Section §551.071 (2) Consultation With Attorney Regarding Matters In Which The Duty Of The Attorney To The Governmental Body Under The Texas Disciplinary Rules Of Professional Conduct Of The State Bar Of Texas Clearly Conflict With This Chapter: a. Legal Issues Concerning The Lime Creek Quarry Lease Agreement. B.2 Section § 551.072 Deliberation Concerning The Purchase, Exchange, Lease Or Value Of Real Property. a. Acquisition Of Property For The New Hope Drive Extension Project. The Council Reconvenes into Open Meeting. II. OPEN MEETING To Commence At 7:00 p.m. C.1 Invocation. (Kirkland) C.2 Pledges Of Allegiance (U.S. and Texas). C.3 Public Communications. (Regarding items not listed on this Agenda. Three Minutes each. No deliberations with the Council. The Council may respond only with factual statements, recitation of existing policy, and requests for an item to be placed on a future Agenda.) C.4 City Manager Report/Consideration Of: The COVID-19 Declaration Of Local State Of Disaster And Impact To The City Of Cedar Park. C.5 City Manager Report: Fiscal Year 2021 Third Quarter Financial And Investment Report - Kevin Klosterboer, Assistant Finance Director. C.6 City Manager Report: 2021 Cedar Park Resident Survey Results. Consent Agenda Pursuant to Council Rule 2.3, the City Council Consent Agenda consists of Agenda Items D, E, and F. D.1 Receipt Of Minutes From The Parks, Arts, And Community Enrichment (PACE) Board Meeting Of May 10, 2021. D.2 Receipt Of Minutes From The Parks, Arts, And Community Enrichment (PACE) Board Meeting Of June 14, 2021. D.3 Receipt Of Minutes From The Parks, Arts, And Community Enrichment (PACE) Board Meeting Of July 21, 2021. E.1 Second Reading Of Ordinances - No Items For Consideration. An unscheduled Closed Executive Session may be called to discuss any item on this posted agenda provided it is within one of the permitted categories under Chapter 551 of the Texas Government Code. City Council Agenda August 26, 2021 Page 2 of 5  3 F.1 A Resolution Authorizing An Interlocal Cooperative Agreement Between Leander Independent School District And The City Of Cedar Park For The Provision Of Law Enforcement Services For Athletic And Special Events And Campus Security. F.2 A Resolution Approving A Financing Agreement Between The Brushy Creek Regional Utility Authority, Inc. And The Texas Water Development Board. F.3 A Resolution Nominating Firefly Aerospace, Inc. As A Texas Enterprise Project. F.4 Approval For The Purchase Of Two Sculptures From the Cedar Park Community Sculpture Garden As Recommended by the Parks, Arts, And Community Enrichment (PACE) Advisory Board In An Amount Not to Exceed $7,855. F.5 Authorization To Excuse The Absence Of Councilmember Harris From The Regular Scheduled Meeting Of August 12, 2021. Public Hearings G.1 First Reading And Public Hearing Of Ordinances: No Items For Consideration. Regular Agenda (Non-Consent) H.1 Consider Action, If Any, On Items Discussed In Executive Session. H.2 Mayor And Council Closing Comments. H.3 Adjournment. The above agenda schedule represents an estimate of the order for the indicated items and is subject to change at any time. All agenda items are subject to final action by the City Council. Separate agenda items may be combined and discussed together at the discretion of the Chair. Any final action, decision, or vote on a matter deliberated in Closed Executive Session shall be made in an open meeting pursuant to the Texas Open Meetings Act, Chapter 551 of the Texas Government Code. Certain information may be presented to and by the City Council, under the headings of “Citizen Communications”, and “Council Comments” however, by law, the Council shall not discuss, deliberate or vote upon such matters except that a statement of specific factual information, a recitation of existing policy, and deliberations concerning the placing of the subject on a subsequent agenda may take place. The City Attorney has approved the Executive Session Items on this agenda. CERTIFICATION I certify that the above notice of the Regular Scheduled City Council Meeting of the City of Cedar Park, Texas was posted on the bulletin board of the City of Cedar Park City Hall, 450 Cypress Creek Road, Building Four, Cedar Park, Texas. This notice was posted on: Date Posted:______________________________ Date Stamped (Month, Day, Year, AM/PM, Time) The Cedar Park City Hall Council Chambers are wheelchair accessible and accessible parking spaces are available. Requests for accommodations or interpretative services must be made 48 hours prior to this meeting. Please contact the City Secretary’s Office at (512) 401-5002 or FAX (512) 401-5003 for further information. An unscheduled Closed Executive Session may be called to discuss any item on this posted agenda provided it is within one of the permitted categories under Chapter 551 of the Texas Government Code. City Council Agenda August 26, 2021 Page 3 of 5  4 _______________________________ LeAnn M. Quinn, TRMC City Secretary Notice Removed: _____________________ Date Stamped (Month, Day, Year, AM/PM, Time) An unscheduled Closed Executive Session may be called to discuss any item on this posted agenda provided it is within one of the permitted categories under Chapter 551 of the Texas Government Code. City Council Agenda August 26, 2021 Page 4 of 5  5 An unscheduled Closed Executive Session may be called to discuss any item on this posted agenda provided it is within one of the permitted categories under Chapter 551 of the Texas Government Code. City Council Agenda August 26, 2021 Page 5 of 5 C.5 6 File Attachments for Item: C.5 City Manager Report: Fiscal Year 2021 Third Quarter Financial And Investment Report - Kevin Klosterboer, Assistant Finance Director. C.5 7 CITY COUNCIL AGENDA August 26, 2021 _______________________________________________________________________ Item/Subject: City Manager Report: FY 2021 Third Quarter Financial And Investment Report – Kevin Klosterboer, Assistant Finance Director _______________________________________________________________________ Commentary The financial report reflects the FY 2021 3rd quarter financial and investment activity. Initiating Dept: Finance _______________________________________________________________________ Fiscal Impact Budget Fund: Amount: Finance Director Review Legal Certification Approved as to form and content: Yes No City Attorney Associated Information: D.1 8 File Attachments for Item: D.1 Receipt Of Minutes From The Parks, Arts, And Community Enrichment (PACE) Board Meeting Of May 10, 2021. D.1 9 D.1 10 D.1 11 D.1 12 D.1 13 D.1 14 D.1 15 D.2 16 File Attachments for Item: D.2 Receipt Of Minutes From The Parks, Arts, And Community Enrichment (PACE) Board Meeting Of June 14, 2021. D.2 17 D.2 18 D.3 19 File Attachments for Item: D.3 Receipt Of Minutes From The Parks, Arts, And Community Enrichment (PACE) Board Meeting Of July 21, 2021. D.3 20 D.3 21 D.3 22 D.3 23 D.3 24 D.3 25 F.1 26 File Attachments for Item: F.1 A Resolution Authorizing An Interlocal Cooperative Agreement Between Leander Independent School District And The City Of Cedar Park For The Provision Of Law Enforcement Services For Athletic And Special Events And Campus Security. F.1 27 CITY COUNCIL AGENDA August 26, 2021 ________________________________________________________________________ Item/Subject: A Resolution Authorizing An Interlocal Cooperative Agreement Between Leander Independent School District And The City Of Cedar Park For The Provision of Law Enforcement Services For Athletic And Special Events And Campus Security. ________________________________________________________________________ Commentary The City entered into an Interlocal Cooperative Agreement with the Leander Independent School District (“LISD”) on February 18, 1999. The Agreement provided for the Cedar Park Police Department to assign officers to work security at LISD special and athletic events and on LISD campuses within the City (“School Resource Officers” or “SRO”), with reimbursement by LISD for the cost of the services. The First Amendment to the Interlocal Cooperative Agreement with the LISD was executed on May 10, 2018. The First Amendment provided a police department review of policies as related to LISD for the Cedar Park Police Department to gain accreditation from the Commission on Accreditation for Law Enforcement Agencies, Inc. (“CALEA”). The purpose of this Interlocal Cooperative Agreement is to combine the terms of the original ILA and the First Amendment, as well as add the specification of the maximum pay rate to be set for billing and reimbursement not to exceed the pay scale rank of Sergeant. No other substantive changes to the SRO program are made through this Agreement. Initiating Dept: Police _______________________________________________________________________ Fiscal Impact Budget Fund: Amount: F.1 28 Finance Director Review Legal Certification Approved as to form and content: Yes No City Attorney Associated Information: F.1 29 RESOLUTION NO. __________ A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CEDAR PARK, TEXAS, AUTHORIZING AND DIRECTING THE CITY MANAGER TO EXECUTE THE INTERLOCAL COOPERATIVE AGREEMENT BETWEEN LEANDER INDEPENDENT SCHOOL DISTRICT AND THE CITY OF CEDAR PARK, TEXAS FOR THE PROVISION OF LAW ENFORCEMENT SERVICES FOR ATHLETIC AND SPECIAL EVENTS AND CAMPUS SECURITY; AND FINDING AND DETERMINING THAT THE MEETING AT WHICH THIS RESOLUTION IS PASSED WAS NOTICED AND IS OPEN TO THE PUBLIC AS REQUIRED BY LAW. WHEREAS, the Texas Interlocal Cooperative Act, Government Code Chapter 791, authorizes local governments to contract with one another for the provision of governmental functions and services, including police protection services, to increase efficiency and effectiveness of local government; and WHEREAS, the Parties are local governments as that term is defined in Section 791.003 of the Texas Government Code; and WHEREAS, on February 18, 1999, the Leander Independent School District (“LISD”) and the City entered into an lnterlocal Cooperation Agreement (the “Original Agreement”) for the provision of governmental services, including police protection services, at LISD athletic and special events and on LISD campuses within the municipal boundaries of the City; and WHEREAS, on May 10, 2018, the LISD and the City entered into an Amendment to lnterlocal Cooperation Agreement (the "First Amendment") for the provision of governmental services, including police protection services, at LISD athletic and special events and on LISD campuses within the municipal boundaries of the City; and WHEREAS, the LISD and the City desire to combine the provisions of the Original Agreement and First Amendment for the purpose of clarity and efficiency; and WHEREAS, the Parties desire to add a specification of a maximum pay rate for services rendered; and WHEREAS, the governing bodies of the LISD and the City are authorized to enter into this Agreement pursuant to the general laws and codes of the State of Texas, including but not limited to the Interlocal Cooperation Act, Chap. 791, Tex. Gov't Code, as amended; and WHEREAS, it is found by the LISD Board and the City Council that this Agreement will further the purposes of the Agreement and result in improved services being provided more economically and efficiently and increased public safety for the constituents of both the LISD and the City. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF CEDAR PARK, TEXAS: SECTION 1. The City Council hereby authorizes and directs the City Manager to execute an Interlocal Cooperative Agreement with Leander Independent School District F.1 30 for the provision of law enforcement services for athletic and special events and campus security, subject to final review by the City Attorney. SECTION 2. This it is hereby officially found and determined that the meeting at which this resolution is passed is open to the public and that public notice of the time, place, and purpose of said meeting was given as required by law. PASSED AND APPROVED this the 26th day of August, 2021. CITY OF CEDAR PARK, TEXAS ATTEST: _____________________________ Corbin Van Arsdale, Mayor ___________________________ LeAnn M. Quinn, TRMC City Secretary APPROVED AS TO FORM AND CONTENT: ___________________________ J.P. LeCompte, City Attorney F.2 31 File Attachments for Item: F.2 A Resolution Approving A Financing Agreement Between The Brushy Creek Regional Utility Authority, Inc. And The Texas Water Development Board. F.2 32 CITY COUNCIL AGENDA August 26, 2021 ________________________________________________________________________ Item/Subject: A Resolution Approving A Financing Agreement Between The Brushy Creek Regional Utility Authority, Inc. And The Texas Water Development Board And Other Matters In Connection Therewith, Relating To The Sale Of $75,310,000 Brushy Creek Regional Utility Authority, Inc. City Of Cedar Park, Texas Contract Revenue Bonds (Brushy Creek Regional Water Treatment And Distribution Project), Series 2021. ________________________________________________________________________ Commentary The Brushy Creek Regional Utility Authority, Inc. (“BCRUA”) is a regional water system formed by the cities of Cedar Park, Leander, and Round Rock (“Cities”) for the purpose of treating and distributing water to the Cities. The BCRUA Phase 2 project will construct a permanent raw water intake in a deeper location within Lake Travis and replace the floating intake that was constructed with Phase 1. The deep-water intake, which will have an ultimate capacity of 144.7 million gallons a day (“MGD”), will provide a reliable supply of raw water during droughts and more capacity than the floating intake, which can only supply up to 32.5 MGD. Project elements include the deep-water intake assembly, maintenance building, gravity flow tunnel, pump station, transmission tunnel, Pedernales Electric Cooperative power improvements, and off‐site improvements at the Cedar Park and BCRUA Water Treatment Plants. On July 22, 2021, the TWDB passed a resolution committing to provide $194,400,000 in financial assistance to the BCRUA for the Phase 2 project through the State Water Implementation Revenue Fund For Texas (SWIRFT). Cedar Park’s portion is $75,310,000 and Leander’s portion is $119,090,000. The City of Round Rock is using prior bond proceeds and cash to fund their portion of the Project, and is not seeking additional funding. Bond funding and advertisement for bids are expected in November 2021, with bid opening in spring 2022. Construction is estimated to take approximately five years. F.2 33 Initiating Dept: Finance _______________________________________________________________________ Fiscal Impact Budget Fund: Amount: Finance Director Review Legal Certification Approved as to form and content: Yes No City Attorney Associated Information: F.2 34 RESOLUTION NO. __________ A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CEDAR PARK, TEXAS, APPROVING A FINANCING AGREEMENT BETWEEN THE BRUSHY CREEK REGIONAL UTILITY AUTHORITY, INC. AND THE TEXAS WATER DEVELOPMENT BOARD AND FINDING AND DETERMINING THAT THE MEETING AT WHICH THIS RESOLUTION IS PASSED WAS NOTICED AND IS OPEN TO THE PUBLIC AS REQUIRED BY LAW. WHEREAS, the City of Cedar Park, Texas (the "City") is a participating and founding member of the Brushy Creek Regional Utility Authority, Inc. (the "BCRUA"), and WHEREAS, on August 25, 2021, subject to approval by the City, the BCRUA approved a Financing Agreement with the Texas Water Development Board related to the issuance of contract revenue bonds by BCRUA for the City, and WHEREAS, the City Council wishes to approve and authorize the BCRUA to execute the Financing Agreement; Now Therefore NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF CEDAR PARK, TEXAS, That the Council hereby approves and authorizes the BCRUA to execute the Financing Agreement, a copy of said Agreement being attached hereto as Exhibit “A” and incorporated herein for all purposes. The City Council hereby finds and declares that written notice of the date, hour, place and subject of the meeting at which this Resolution was adopted was posted and that such meeting was open to the public as required by law at all times during which this Resolution and the subject matter hereof were discussed, considered and formally acted upon, all as required by the Open Meetings Act, Chapter 551, Texas Government Code, as amended. F.2 35 RESOLVED this 26th day of August, 2021. Corbin Van Arsdale, Mayor City of Cedar Park, Texas ATTEST: LeAnn M. Quinn, City Secretary APPROVED AS TO FORM AND CONTENT: ____________________________ J.P. LeCompte, City Attorney F.2 36 Exhibit A Financing Agreement F.2 37 FINANCING AGREEMENT This FINANCING AGREEMENT (Agreement) is entered into between the TEXAS WATER DEVELOPMENT BOARD (TWDB), an agency of the State of Texas, and the Brushy Creek Regional Utility Authority (Borrower). The TWDB and the Borrower may be referred to as the “Party” or “Parties” in this Agreement. RECITALS WHEREAS, the TWDB adopted Resolution No. 21-082 (Attachment A, referred to as the Resolution) on July 22, 2021, making a commitment to the Borrower for financial assistance in the amount of $194,400,000 from the State Water Implementation Revenue Fund for Texas (SWIRFT) administered by the TWDB; and WHEREAS, through this Agreement, the Borrower intends to sell to the TWDB the Borrower’s $75,310,000 Brushy Creek Regional Utility Authority, Inc., City of Cedar Park, Texas Contract Revenue Bonds (Brushy Creek Regional Water Treatment and Distribution Project), Proposed Series 2021 (Borrower’s Bonds) for the TWDB’s financial assistance from the SWIRFT, as further described in Attachment B; and WHEREAS, through a separate agreement, the Borrower intends to sell to the TWDB the Borrower’s $40,000,000 Brushy Creek Regional Utility Authority, Inc., City of Leander, Texas Contract Revenue Bonds (Brushy Creek Regional Water Treatment and Distribution Project), Proposed Series 2021 for the TWDB’s financial assistance from the SWIRFT; and WHEREAS, the SWIRFT is funded in part with proceeds of the expected issuance of TWDB’s revenue bonds (SWIRFT Bonds), issued under authority of Texas Water Code §§ 15.472 and 15.475, and Texas Constitution, Article III, Section 49-d-13; and WHEREAS, the SWIRFT Bonds are additionally secured by money made available under the terms of a bond enhancement agreement executed under authority of Texas Water Code §§ 15.434 and 15.435, and Texas Constitution, Article III, Section 49-d-12; and WHEREAS, the SWIRFT is funded, in part, with money received as repayment of financial assistance provided from the SWIRFT, under Texas Water Code § 15.472, which is Page 1 of 9 F.2 38 used to pay the principal and interest on the SWIRFT Bonds, under Texas Water Code § 15.474, and Texas Constitution, Article III, Section 49-d-13(d) and (f); and WHEREAS, the Resolution provides that funding the commitment is contingent on future sales of SWIRFT Bonds designated by the TWDB; and WHEREAS, the TWDB intends to provide financial assistance from the SWIRFT to the Borrower with proceeds of SWIRFT Bonds designated by the TWDB; and WHEREAS, the TWDB and the Borrower desire to enter into this Agreement to set forth the obligations of the Parties with respect to the TWDB providing financial assistance to the Borrower consistent with the desire of the TWDB to issue SWIRFT Bonds to provide money for the SWIRFT. NOW, THEREFORE, for and in consideration of the promises and the mutual covenants contained in this Agreement, the TWDB and the Borrower agree as follows: AGREEMENT SECTION 1. MUTUAL COMMITMENTS. As further described in the Resolution, the TWDB committed to the Borrower and the Borrower hereby commits to borrow from the TWDB an amount not to exceed $75,310,000 from the SWIRFT to be evidenced by the issuance and delivery of Borrower Bonds to the TWDB consistent with the terms and conditions described in this Agreement, Attachment A, Attachment B, and Attachment C. SECTION 2. TRANSACTION SCHEDULE AND PRICING. By execution of this Agreement, the Borrower acknowledges and represents that it has a current need for financial assistance from the TWDB and shall take all necessary steps to issue and deliver the Borrower Bonds to evidence the commitment described in Section 1. The Borrower further acknowledges and understands that the TWDB is entering into this Agreement for the sole purpose of issuing SWIRFT Bonds to fund the TWDB commitment described in the Resolution and in this Agreement. The Borrower acknowledges that the SWIRFT Bonds, the subject of this Agreement, are being issued for the purpose of funding the Borrower’s requested financial assistance. With respect to the Borrower Bonds and the SWIRFT Bonds, the Parties agree to structure such public securities in a manner that will allow for substantially similar terms, redemption provisions, and related matters to allow the TWDB to timely pay the debt service on the SWIRFT Bonds. The foregoing notwithstanding, the TWDB consents to early redemption, or prepayment of the Borrower Bonds, as provided for in this Agreement and Page 2 of 9 F.2 39 the Resolution. The Borrower Bonds may be prepaid by the Borrower on any date beginning on or after the first scheduled interest payment date that occurs no earlier than ten (10) years from the dated date of the Borrower Bonds. To confirm the terms of the Borrower Bonds and the SWIRFT Bonds, the Borrower shall execute this Agreement. In order to mutually assure the performance of the Parties under this Agreement, the Parties agree that the issuance and delivery of the SWIRFT Bonds and the issuance and delivery of the Borrower Bonds to TWDB shall occur not more than fifty-six (56) days apart as reflected in Attachment C. Notwithstanding the foregoing, the Parties intend and expect that the TWDB issue and deliver its SWIRFT Bonds approximately thirteen (13) days after execution of the TWDB’s Bond Purchase Agreement or such date as may be mutually agreed to in Attachment C. SECTION 3. BINDING COMMITMENT. The TWDB agrees to take all necessary steps to issue the SWIRFT Bonds for the purposes described in this Agreement and in the Resolution upon receipt of this Agreement, which shall be signed and delivered by the Borrower to the Executive Administrator of the TWDB at least fourteen (14) days before the initiation of the pricing of the SWIRFT Bonds, as set forth in Attachment C. The Borrower acknowledges that the schedule provided in Attachment C is a best estimate by the TWDB and is subject to change by the TWDB. The TWDB expressly reserves the right to modify Attachment C at any time and shall provide the Borrower with an updated Attachment C as soon as practicable upon any modification; provided that, if such modification of Attachment C occurs before the initiation of pricing of the SWIRFT Bonds and such modification results in an earlier scheduled pricing date, no such modification of Attachment C may result in the Borrower having fewer than five (5) days between the receipt of the modified schedule and the TWDB posting the Preliminary Official Statement for the SWIRFT Bonds. SECTION 4. TERMINATION & BREACH OF AGREEMENT. A. The Parties agree that the Borrower may terminate this Agreement in writing at any time prior to seven (7) days before the initiation of the pricing of the SWIRFT Bonds, as set forth in Attachment C, with no penalty. B. The Borrower understands and agrees that the Borrower may terminate this Agreement in writing between six (6) days and four (4) days prior to the initiation of the pricing of the SWIRFT Bonds (currently estimated to occur on September 29, 2021) as set forth in Attachment C, provided the Borrower agrees to reimburse the TWDB from lawfully available funds of the Borrower for its proportional share of transaction costs incurred by the TWDB, such as, but not limited to, any fees or costs related to any rating agency, financial advisor, legal counsel, or other similar party Page 3 of 9 F.2 40 or related costs pertaining to the SWIRFT Bonds in an amount not to exceed $140,263 (Transaction Cost Payment). The Borrower shall be obligated to pay such costs to the TWDB no later than March 4, 2022. C. The Borrower understands and agrees that the Borrower may terminate this Agreement in writing within four (4) days prior to the initiation of the pricing of the SWIRFT Bonds as set forth in Attachment C and no later than 9:00 am Central Standard Time on the day before the TWDB Bond Pricing, provided the Borrower agrees to pay from lawfully available funds 1.0 percent of the amount of the commitment authorized in Section 1 of this Agreement to the TWDB (Pre-pricing Termination Payment), and additionally shall reimburse the TWDB from lawfully available funds of the Borrower its Transaction Cost Payment. The Borrower shall be obligated to pay such costs to the TWDB no later than March 4, 2022. The Borrower understands and agrees that termination under this section will result in a total penalty amount of $893,363. D. The Borrower understands and agrees that TWDB would suffer and incur severe and irreparable damages if the TWDB Bond Pricing occurs and the Borrower Bonds are not issued and delivered. If the TWDB Bond Pricing occurs and the Borrower fails to issue the Borrower Bonds by the date specified in Attachment C, as contemplated in this Agreement, it shall be a breach of this Agreement and the Borrower shall pay, from lawfully available funds of the Borrower, a “Post-pricing Termination Payment” to the TWDB. The Post-pricing Termination Payment shall be an amount equal to five percent (5.0%) of the amount of the commitment authorized in Section 1 of this Agreement. The Borrower shall be obligated to pay the Post-pricing Termination Payment to the TWDB no later than March 4, 2022. The Borrower shall also reimburse the TWDB from lawfully available funds of the Borrower, its Transaction Cost Payment, plus the Borrower's proportional share of the underwriters' discount incurred by the TWDB, no later than March 4, 2022. The Borrower understands and agrees that failure by the Borrower to issue the Borrower Bonds by the date specified in Attachment C, will result in a total penalty amount pursuant to this section not to exceed $4,225,834. SECTION 5. AMORTIZATION STRUCTURE. The Borrower shall provide the TWDB a maturity schedule in the form set forth in Attachment B at the time of execution of this Agreement. A final amortization structure will be required at least seven (7) days before the initiation of pricing of the SWIRFT Bonds in accordance with the provisions of this Agreement. The par amount included in Attachment B may be revised, subject to approval by the Executive Administrator of the TWDB, at any time prior to the seventh (7th) day before the initiation of pricing of the SWIRFT Bonds with no penalty. Page 4 of 9 F.2 41 SECTION 6. CONTINGENCIES. A. The Parties agree that the TWDB’s obligation to purchase the Borrower’s securities with the SWIRFT is contingent upon the TWDB receiving all legally required approvals for the issuance of the SWIRFT Bonds from the Legislative Budget Board, the Bond Review Board, and the Texas Attorney General. The TWDB’s obligation to purchase the Borrower’s securities with the SWIRFT is also contingent upon the purchase and delivery of the SWIRFT Bond proceeds by the underwriters pursuant to the Bond Purchase Agreement relating to the SWIRFT Bonds. Accordingly, if any contingency described in the preceding paragraph above is unmet, the TWDB, upon delivery of written notice thereof to the Borrower, may extend or terminate this Agreement together with all of its obligations and duties without incurring any cost, fee, or penalty for either the TWDB or the Borrower. B. The Parties agree that the Borrower's obligation to issue and deliver the Borrower Bonds is contingent upon approval by the Texas Attorney General of the Borrower Bonds. The Borrower agrees to use its best efforts to obtain approval by the Texas Attorney General of the Borrower Bonds to satisfy the closing requirements set forth in Section 2 of this Agreement. To this end, the Borrower agrees as follows: (1) Borrower shall timely file the transcript of proceedings for the Borrower Bonds with the Texas Attorney General in accordance with the schedule contained in Attachment C; (2) Borrower shall comply with the requirements and conditions contained in the Resolution; (3) Borrower shall provide the TWDB with a copy of the preliminary approval letter from the Texas Attorney General promptly upon receipt; (4) Borrower shall provide the TWDB with a copy of its responses to the preliminary approval letter concurrently with the submission of such responses to the Texas Attorney General; and (5) Borrower shall allow TWDB to brief the Texas Attorney General on any issues noted in the preliminary approval letter and initiate or participate in conferences with the Texas Attorney General related to the approval of the Borrower Bonds. Page 5 of 9 F.2 42 Accordingly, if, after the Borrower employs its best efforts to obtain approval by the Texas Attorney General and such approval cannot be obtained by the date specified in Attachment C, as a matter of law, the TWDB, at its sole discretion, may terminate this Agreement and upon termination the Borrower shall pay, from any of its lawfully available funds, the Post-pricing Termination Payment no later than March 4, 2022, as provided in Section 4D. The Borrower shall also reimburse the TWDB from lawfully available funds of the Borrower its Transaction Cost Payment plus the Borrower's proportional share of the underwriters' discount no later than March 4, 2022. The Borrower understands and agrees that if the Borrower does not obtain approval from the Texas Attorney General and issue its Borrower Bonds by the date specified in Attachment C, it will be subject to a total penalty amount pursuant to this section not to exceed $4,225,834. SECTION 7. REDEMPTION OF OUTSTANDING DEBT. Proceeds of the Borrower Bonds shall not be used, in whole or in part, to redeem outstanding bonds, commercial paper, or other obligations issued by the Borrower. The Borrower agrees that it will not take or fail to take any action that will cause the SWIRFT Bonds to be considered to be advance refunding bonds under Section 149(d) of the Internal Revenue Code of 1986, as amended. SECTION 8. NOTICES. All notices, agreements or other communications required hereunder shall be given, and shall be deemed given, when delivered in writing to the address, facsimile or email of the identified Party or Parties set forth below: Texas Water Development Board Brushy Creek Regional Utility Authority Development Fund Manager Attn: Karen Bondy, General Manager P.O. Box 13231 221 East Main St. Austin, Texas 78711-3231 Round Rock, Texas 78664 Telephone: (512) 475-4584 Telephone: (512) 218-5400 Facsimile: (512) 475-2053 Facsimile: (512) 218-7097 E-mail: kbondy@brcua.org SECTION 9. SEVERABILITY. In the event any provision of this Agreement shall be held illegal, invalid, or unenforceable by any court of competent jurisdiction, such holding shall not invalidate, render unenforceable, or otherwise affect any of its other provisions. SECTION 10. AMENDMENTS, SUPPLEMENTS, AND MODIFICATIONS. Other than the changes allowed under Section 3 and Section 5, this Agreement may be amended, supplemented, or modified only in a writing executed by duly authorized representatives of the Parties. Page 6 of 9 F.2 43 SECTION 11. APPLICABLE LAW. This Agreement and any amendments shall be governed by and construed in accordance with the laws of the State of Texas. SECTION 12. STATE AUDIT. By executing this Agreement and delivering the Borrower Bonds, the Borrower accepts the authority of the Texas State Auditor's Office to conduct audits and investigations in connection with all state funds received pursuant to this Agreement. The Borrower shall comply with any directive from the Texas State Auditor and shall cooperate in any such investigation or audit. The Borrower agrees to provide the Texas State Auditor with access to any information the Texas State Auditor considers relevant to the investigation or audit. SECTION 13. FORCE MAJEURE. Either Party to this Agreement may be excused from performance under this contract for any period when performance is prevented as the result of an act of God, strike, war, civil disturbance, or epidemic, provided that the Party experiencing the event of Force Majeure has prudently and promptly acted to take any and all steps that are within the Party’s control to ensure performance and to shorten the duration of the event of Force Majeure. The Party suffering an event of Force Majeure shall provide notice of the event to the other Party as soon as practicable but not later than five business days after the event. Subject to this provision, such nonperformance shall not be deemed a breach or a ground for termination. SECTION 14. EFFECTIVE DATE. This Agreement shall be effective as of the date of the last signature below. SECTION 15. BINDING AGREEMENT. The execution of this Agreement has been authorized by the governing boards of both Parties. The individuals executing this Agreement have the legal authority to bind each respective Party to the terms and conditions of this Agreement. The respective commitments of the TWDB and the Borrower set forth above shall be binding upon the TWDB and the Borrower upon both Parties’ execution of this Agreement. [Remainder of Page Intentionally Left Blank] Page 7 of 9 F.2 44 EXECUTED in multiple counterparts, each of which shall be deemed to be an original. BRUSHY CREEK REGIONAL UTILITY AUTHORITY, INC. By: _________________________________ Name: Karen Bondy Title: General Manager Date: __________________________ STATE OF TEXAS COUNTY OF WILLIAMSON This instrument was acknowledged before me on the ____ day of ____________, 2021 by Karen Bondy in her capacity as General Manager, on behalf of Brushy Creek Regional Utility Authority, Inc.. (SEAL) Notary Public, State of Texas Page 8 of 9 F.2 45 TEXAS WATER DEVELOPMENT BOARD By: _________________________________ Name: Jeff Walker Title: Executive Administrator Date: __________________________ STATE OF TEXAS COUNTY OF TRAVIS This instrument was acknowledged before me on the ____ day of ____________, 2021, by Jeff Walker in his capacity as Executive Administrator of the Texas Water Development Board, an agency of the State of Texas, on behalf of said agency. (SEAL) Notary Public, State of Texas Page 9 of 9 F.2 46 ATTACHMENT A TWDB RESOLUTION NO. 21-082 Attachment A, Page 1 of 9 F.2 47 Attachment A, Page 2 of 9 F.2 48 Attachment A, Page 3 of 9 F.2 49 Attachment A, Page 4 of 9 F.2 50 Attachment A, Page 5 of 9 F.2 51 Attachment A, Page 6 of 9 F.2 52 Attachment A, Page 7 of 9 F.2 53 Attachment A, Page 8 of 9 F.2 54 Attachment A, Page 9 of 9 F.2 55 ATTACHMENT B DESCRIPTION OF BORROWER BONDS Title of Borrower Bonds: $75,310,000 Brushy Creek Regional Utility Authority, Inc., City of Cedar Park, Texas Contract Revenue Bonds, Proposed Series 2021 (Brushy Creek Regional Water Treatment and Distribution Project) Project Name: Brushy Creek Regional Utility Authority Water Treatment and Distribution Project Project Number: 51049 Aggregate Principal Amount of Borrower Bonds: $75,310,000 Anticipated Closing Date: 11/16/2021 Dated Date: 11/16/2021 First Principal Payment Date: 8/1/2022 First Interest Payment Date: 2/1/2022 Maturity Schedule: Maturity Date Principal Payment Maturity Date Principal Payment 8/1/2022 $2,485,000 8/1/2037 $2,400,000 8/1/2023 $2,120,000 8/1/2038 $2,445,000 8/1/2024 $2,120,000 8/1/2039 $2,490,000 8/1/2025 $2,125,000 8/1/2040 $2,545,000 8/1/2026 $2,130,000 8/1/2041 $2,600,000 8/1/2027 $2,140,000 8/1/2042 $2,655,000 8/1/2028 $2,155,000 8/1/2043 $2,715,000 8/1/2029 $2,165,000 8/1/2044 $2,780,000 8/1/2030 $2,185,000 8/1/2045 $2,845,000 8/1/2031 $2,200,000 8/1/2046 $2,910,000 8/1/2032 $2,220,000 8/1/2047 $2,985,000 8/1/2033 $2,250,000 8/1/2048 $3,055,000 8/1/2034 $2,280,000 8/1/2049 $3,135,000 8/1/2035 $2,315,000 8/1/2050 $3,210,000 8/1/2036 $2,355,000 8/1/2051 $3,295,000 Attachment B, Page 1 of 1 F.2 56 ATTACHMENT C FINANCING SCHEDULE* DATE ACTION 07/22/2021 TWDB approval of commitments 09/6/2021 Labor Day Holiday** Financing agreement – last day to execute 09/15/2021 (14 days prior to initiation of pricing) Financing agreement (Sec. 4A) -last day political subdivisions can terminate without penalty 09/22/2021 (7 days prior to initiation of pricing) Financing agreement (Sec. 5) -last day political subdivisions can modify maturity schedule 09/22/2021 (7 days prior to initiation of pricing) Financing agreement (Sec. 4B) -last day political subdivisions can terminate 09/24/2021 with costs of issuance (5 days prior to initiation of pricing) Financing agreement (Sec. 4C) -before 9:00 a.m. political subdivisions can 09/29/2021 terminate with costs of issuance and 1% penalty (1 day prior to pricing). 09/29/2021 TWDB bond pricing initiation (pre-pricing begins) 09/30/2021 TWDB bond pricing 10/7/2021 TWDB approves interest rates available to political subdivisions Various Political subdivisions adopt bond resolutions and/or master agreements Political subdivisions submit transcripts to Texas Attorney General in Various preparation of closing 10/11/2021 Columbus Day Holiday (TWDB open)** 10/13/2021 TWDB bond closing (political subdivisions must close within 56 days) 10/14 to 12/8/2021 Closings on political subdivision obligations 11/11/2021 Veteran's Day Holiday** 11/25/2021 Thanksgiving Holiday** 11/26/2021 Thanksgiving Holiday** 12/8/2021 Last day to close on political subdivision obligations Financing agreement (Sec. 4D) -penalty applied to any political subdivision failing to issue debt Start of post-pricing termination payment period (includes costs of issuance, 12/9/2021 underwriters’ discount and 5% penalty) 03/4/2022 Last due date for payment of penalties *Preliminary, subject to change **State agency holidays are reflected to show when TWDB is closed; they are counted towards deadlines. Attachment C, Page 1 of 1 F.3 57 File Attachments for Item: F.3 A Resolution Nominating Firefly Aerospace, Inc. As A Texas Enterprise Project. F.3 58 CITY COUNCIL AGENDA August 26, 2021 ________________________________________________________________________ Item/Subject: A Resolution Nominating Firefly Aerospace Inc. As A Texas Enterprise Project. ________________________________________________________________________ Commentary The City Council authorized the City’s participation in the Texas Enterprise Zone Program on February 25, 2010, pursuant to Texas Government Code Chapter 2303, Subchapter F. This program allows for municipalities to designate zones or projects for the State’s Enterprise Program which provides tax relief for qualified applicants. The City has previously nominated ETS-Lindgren, Corselab Structures, Voltabox, and Cedar Park Health Systems to participate as enterprise projects to the Office of the Governor's Economic Development and Tourism Office through the Texas Economic Development Bank. The City now wishes to nominate Firefly Aerospace Inc. for designation as an enterprise project. The City has determined Firefly Aerospace Inc. meets the criteria for designation as an enterprise project pursuant to Texas Government Code Chapter 2303, Subchapter F. Initiating Dept: _______________________________________________________________________ Fiscal Impact Budget Fund: Amount: Finance Director Review F.3 59 Legal Certification Approved as to form and content: Yes No City Attorney Associated Information: F.3 60 RESOLUTION NO. __________ A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CEDAR PARK, TEXAS, NOMINATING FIREFLY AEROSPACE INC. AS A TEXAS ENTERPRISE PROJECT; AND FINDING AND DETERMINING THAT THE MEETING AT WHICH THIS RESOLUTION IS PASSED WAS NOTICED AND IS OPEN TO THE PUBLIC AS REQUIRED BY LAW. WHEREAS, the City of Cedar Park has previously passed Ordinance No. CO24- 10-02-25-F2 electing to participate in the Texas Enterprise Zone Program, and the local incentives offered under this resolution are the same on this date as were outlined in Ordinance No. CO24-10-02-25-F2; and WHEREAS, the City of Cedar Park has elected to provide additional local incentives as were outlined in Resolution No. R100.21.05.27.H2 and passed on May 27, 2021; and WHEREAS, the Office of the Governor Economic Development and Tourism (EDC) through the Economic Development Bank (Bank) will consider Firefly Aerospace Inc., as an enterprise project pursuant to a nomination and an application made by the City; and WHEREAS, the City Council desires to pursue the creation of the proper economic and social environment in order to induce the investment of private resources in productive business enterprises located in the City and to provide employment to residents of enterprise zones and to other economically disadvantaged individuals; and WHEREAS, pursuant to Chapter 2303, Subchapter F of the Texas Enterprise Zone Act, Texas Government Code (the "Act"), Firefly Aerospace Inc. has applied to the City for designation as an enterprise project; and WHEREAS, the City Council finds that Firefly Aerospace Inc. meets the criteria for designation as an enterprise project under Chapter 2303, Subchapter F of the Act on the following grounds: 1. Firefly Aerospace Inc. is a "qualified business" under Section 2303.402 of the Act since it will be engaged in the active conduct of a trade or business at a qualified business site within the governing body’s jurisdiction located outside of an enterprise zone and at least thirty-five percent (35.0%) of the business' new employees will be residents of an enterprise zone, economically disadvantaged individuals, or veterans; and 2. There has been and will continue to be a high level of cooperation between public, private, and neighborhood entities within the area; and F.3 61 3. The designation of Firefly Aerospace Inc. as an enterprise project will contribute significantly to the achievement of the plans of the City for development and revitalization of the area. WHEREAS, the City Council finds that Firefly Aerospace Inc. meets the criteria for tax relief and other incentives adopted by the City and nominates Firefly Aerospace Inc. for enterprise project status on the grounds that it will be located at the qualified business site, will create a higher level of employment, economic activity and stability; and WHEREAS, the City Council finds that it is in the best interest of the City to nominate Firefly Aerospace Inc. as an enterprise project pursuant to the Act. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF CEDAR PARK, TEXAS: SECTION 1. That the findings of the City Council and its actions approving this resolution taken at the City Council meeting are hereby approved and adopted. SECTION 2. That Firefly Aerospace Inc. is a "qualified business", as defined in Section 2303.402 of the Act, and meets the criteria for designation as an enterprise project, as set forth in Section 2303, Subchapter F of the Act. SECTION 3. That the City Council hereby nominates Firefly Aerospace Inc. as an enterprise project pursuant to Texas Government Code Chapter 2303, Subchapter F. SECTION 4. That the enterprise project shall take effect on the date of designation of the enterprise project by the City Council and terminate five years after the date of designation. SECTION 5. That it is hereby officially found and determined that the meeting at which this resolution is passed is open to the public and that public notice of the time, place, and purpose of said meeting was given as required by law. PASSED AND APPROVED this 26th day of August 2021. CITY OF CEDAR PARK, TEXAS _____________________________ Corbin Van Arsdale, Mayor ATTEST: ___________________________ LeAnn M. Quinn, TRMC City Secretary F.3 62 APPROVED AS TO FORM AND CONTENT: ____________________________ J.P. LeCompte, City Attorney F.4 63 File Attachments for Item: F.4 Approval For The Purchase Of Two Sculptures From the Cedar Park Community Sculpture Garden As Recommended by the Parks, Arts, And Community Enrichment (PACE) Advisory Board In An Amount Not to Exceed $7,855. F.4 64 CITY COUNCIL AGENDA August 26, 2021 _______________________________________________________________________ Item/Subject: Approval For The Purchase Of Two Sculptures From the Cedar Park Community Sculpture Garden As Recommended by the Parks, Arts, And Community Enrichment (PACE) Advisory Board In An Amount Not to Exceed $7,855. _____________________________________________________________________ Commentary Each year, the City of Cedar Park selects a series of new statues that will be displayed in the Cedar Park Community Sculpture Garden, located adjacent to the Cedar Park Recreation Center. Periodically, the Parks, Arts, and Cultural Enrichment Board will recommend a sculpture for purchase. The City has purchased several sculptures in the past, including pieces that are on display at the Sculpture Garden, the City Council Chambers, and the HEB Center. This year, the PACE Board has recommended the purchase of two sculptures, first, “Freshwater Cowgirl” by Anthony St. James and “Dancin’” by Randy Halsted, a local Cedar Park artist. Photos of these sculptures are attached in Exhibit A. The PACE Board believes these are fitting pieces for the City’s permanent collection as it displays unique craftsmanship and embodies the values of the City of Cedar Park as a family-friendly community. The first piece, “Freshwater Cowgirl”, is located near the water along the sculpture garden and highlights the natural wonder of the surrounding natural area. The second piece, “Dancin’”, is a sculpture that moves with the wind. The hearts featured in this piece also align with the City’s “#Iheartcedarpark campaign, and would be a great way to continue to promote this marketing campaign. The sales price of “Freshwater Cowgirls” is $7,000 and the sales price of “Dancin’” is $855 for a total purchase of $7,855. Funds for this purchase are supported through the Public Art Fund. F.4 65 The item before the Council this evening is to authorize the purchase of the sculpture, “The Family” for inclusion into the City of Cedar Park’s permanent sculpture collection. Initiating Dept: City Manager’s Office _______________________________________________________________________ Fiscal Impact Budget Fund: # 407 Amount: $7,855 Finance Director Review Legal Certification Approved as to form and content: Yes No City Attorney F.4 66 Exhibit A – Pieces Recommended for Purchase “Freshwater Cowgirl” by Anthony St. James F.4 67 “Dancin’” by Randy Halsted