TIRZ #1/Power Center Board Meeting

AGENDA TIRZ #1/Power Center Board Meeting 9:00 AM - Monday, August 29, 2022 City Council Chambers, 201 E. Nash Street, Terrell, TX Board Members Juan Salazar, Chairman Terry Barber, Vice-Chairman Mike Hunt, Board Member Andreia Reese, Board Member Charles Whitaker, Board Member City Manager Mike Sims NOTICE IS HEREBY GIVEN that the TIRZ #1/Power Center Board will conduct a meeting at 9:00 a.m. on Monday, August 29, 2022, at Terrell City Hall located at 201 East Nash Street. The meeting is open to the public with limited seating in the Council Chambers. Recommendations of the CDC regarding social distancing will be practiced during the course of the public meeting to slow the spread of the Coronavirus (COVID-19). Page 1. CALL TO ORDER 2. INVOCATION 3. PLEDGE TO AMERICAN FLAG AND TEXAS FLAG. 4. ADOPTION OF MINUTES 4.1. Discuss and Consider approval of the minutes of the Tax Increment 3 - 4 Reinvestment Zone No. 1 Board Meeting on August 22, 2022. TIRZ #1/Power Center Board Meeting - Aug 22 2022 - Minutes - Pdf 5. NEW BUSINESS 5.1. Discuss and Consider FY23 Budget. 5 - 10 Terrell TIF Values 2022 Pro Forma 100% Collection Power Center 2022 Pro Forma 100% Collections Page 1 of 32  030 TIRZ No. 1 Fund Budget Worksheet FY2022-23 Final 030 TIRZ No. 1 Fund Budget Summary Power Center Fund Budget Worksheet FY2022-23 Power Center Fund Budget Summary FY2022-23 5.2. Discuss and Consider Amendment #1 to the Tax Increment Reinvestment 11 - 32 Zone No. 1 Interlocal Agreement. Ordinance No. 2355 Ordinance No. 2917 6. ADJOURN INTO EXECUTIVE SESSION IN ACCORDANCE WITH SECTION 551 OF THE TEXAS GOVERNMENT CODE TO DISCUSS THE FOLLOWING: 6.1. Section 551.072 Deliberations Regarding Real Property. Section 551.087 Deliberations Regarding Economic Development Negotiations. 7. RECONVENE INTO REGULAR SESSION AND CONSIDER ACTION, IF ANY, ITEMS DISCUSSED IN EXECUTIVE SESSION. 8. ADJOURN. I, the undersigned authority, do hereby certify that the above NOTICE OF MEETING of the TIRZ #1/Power Center Board is a true and correct copy of said NOTICE, which has been posted on the front OUTDOOR BULLETIN BOARD CABINET FOR AGENDAS of the Terrell City Hall, Terrell, Texas, a place convenient and readily accessible to the General Public and on the website at cityofterrell.org, and which has been continuously posted for a period of seventy- two (72) hours prior to the date and time said meeting was convened. Posted Thursday, August 25, 2022 –5:30 p.m. _______________________________________ Dawn Steil, City Secretary This facility is wheelchair accessible and accessible parking spaces are available. Requests for accommodations or interpretive services must be made 48 hours prior to this meeting. Please contact the City Secretary’s office at 972-551-6600 for further information. Braille is not available. TIRZ #1/Power Center Board Reserves the Right to Adjourn into Executive Session to Seek Legal Counsel on a Matter Which the Canon of Legal Ethics Demands to Preserve the Attorney- Client Privilege Pursuant to Section 551.071(2) of the Texas Government Code. Page 2 of 32 ITEM 4.1. Draft MINUTES TIRZ #1/Power Center Board Meeting Meeting 9:00 AM - Monday, August 22, 2022 City Council Chambers, 201 E. Nash Street, Terrell, TX The City of Terrell Council met in TIRZ #1/Power Center Board Meeting on Monday, August 22, 2022 at 9:00 AM in the City Council Chambers, 201 E. Nash Street, Terrell, TX. MEMBERS Vice-Chairman Terry Barber PRESENT: Board Member Mike Hunt Chairman Juan Salazar Board Member Charles Whitaker Board Member Andreia Reese MEMBERS ABSENT: STAFF PRESENT: City Manager Mike Sims City Secretary Dawn Steil 1 CALL TO ORDER Juan Salazar called the meeting to order. 2 INVOCATION Charles Whitaker gave the invocation. 3 PLEDGE TO AMERICAN FLAG AND TEXAS FLAG. Juan Salazar led the pledge. 4 ADOPTION OF MINUTES a) Discuss and Consider Approval of Minutes from the Tax Increment Reinvestment Zone No. 1 Board Meeting on May 6, 2022. Andreia Reese moved Minutes from the Tax Increment Reinvestment Zone No. 1 Board and Power Center Board Meeting on May 6, 2022, with Charles Whitaker seconding the motion. Carried by the following votes: Ayes: Mike Hunt, Juan Salazar, and Charles Whitaker 5 NEW BUSINESS a) Discuss FY23 Budget. City Manager Mike Sims presented this item to Council for discussion. TIRZ #1/Power Center Board Meeting Meeting August 22, 2022 Page Page31ofof32 ITEM 4.1. Draft b) Discuss Amendment #1 to the Tax Increment Reinvestment Zone No. 1 Interlocal Agreement. City Manager Mike Sims presented this item to Council for discussion. c) Discuss British Museum Update. City Manager Mike Sims presented this item to Council for discussion. 6 ADJOURN INTO EXECUTIVE SESSION IN ACCORDANCE WITH SECTION 551 OF THE TEXAS GOVERNMENT CODE TO DISCUSS THE FOLLOWING: Passed. 7 RECONVENE INTO REGULAR SESSION AND CONSIDER ACTION, IF ANY, ITEMS DISCUSSED IN EXECUTIVE SESSION. Passed. 8 ADJOURN. E. Rick Carmona, Mayor Attest: Dawn Steil, City Secretary TIRZ #1/Power Center Board Meeting Meeting August 22, 2022 Page Page42ofof32 ITEM 5.1. Terrell TIF 2022 ‐ 2007 PRO FORMA ‐ ASSUMING 100% COLLECTIONS (Original 08‐04‐22) City of Kaufman Terrell County Base Value - 2007 Taxable Value 128,435,437 128,734,320 2022 Taxable Value 435,815,453 437,812,133 Captured Value for 2022 307,380,016 309,077,813 Tax Rate per $100 0.7642 0.311068 Applicable Percentage of Tax Rate 75% 50% Tax Rate per $100 for TIF 0.57315 0.155534 2022 Total TIF Contribution Limit 1,761,748.56 480,721.09 Amount Due to TIF based on 100% Tax Collections 1,761,748.56 480,721.09 Rollbacks Recd. Total Received Due To Be From 10/01/22 From 10/01/22 Paid From Collections by Tract To 09/30/23 To 09/30/23 Receipts Tract 1 ‐ Spur 557 Ramps (Las Lomas) 2,069.30 561.82 0.00 2,631.12 0.00 Tract 1 ‐ Spur 557 Ramps (TEDC) N/A N/A N/A N/A 0.00 Tract 2 ‐ Streets&Utilities (Cross Roads 2015 LP) 655,477.94 177,962.94 0.00 833,440.89 833,440.89 Tract 2 ‐ FM148(N) (Others) 6,329.86 1,718.56 0.00 8,048.43 0.00 Tract 3 ‐ FM148/IH20/Streets&Utilites (Buc‐ee's) 80,013.60 21,723.78 0.00 101,737.38 101,737.38 Tract 3 ‐ FM148/IH20/Streets&Utilites (TMC) 137,048.46 37,208.80 0.00 174,257.26 174,257.26 Tract 3 ‐ FM148/IH20/Streets&Utilites (Baylor) 0.00 0.00 0.00 0.00 0.00 Tract 4 0.00 0.00 0.00 0.00 0.00 Tract 5 0.00 0.00 0.00 0.00 0.00 Tract 6 0.00 0.00 0.00 0.00 0.00 Tract 7 975.37 264.81 0.00 1,240.18 0.00 Tract 8 9.13 2.48 0.00 11.61 0.00 Tract 9 0.00 0.00 0.00 0.00 0.00 Tract 10 9,743.74 2,645.44 0.00 12,389.18 0.00 Tract 11 103.75 28.17 0.00 131.92 0.00 Tract 12 0.00 0.00 0.00 0.00 0.00 Tract 13 22,452.27 6,095.81 0.00 28,548.09 0.00 Tract 14 15,997.84 4,343.43 0.00 20,341.28 0.00 Tract 15 76,392.62 20,742.23 0.00 97,134.86 0.00 Tract 16 175,755.45 47,801.87 0.00 223,557.32 0.00 Tract 17 43,800.20 12,096.72 0.00 55,896.92 0.00 Tract 18 33,729.70 9,157.65 0.00 42,887.35 0.00 Tract 18A 73,650.04 20,106.20 0.00 93,756.24 0.00 Tract 19 231,541.64 64,540.59 0.00 296,082.24 0.00 Tract 20 18,720.38 5,409.63 0.00 24,130.01 0.00 Tract 21 27,577.14 7,487.22 0.00 35,064.36 0.00 Tract 22 15,873.93 4,309.79 0.00 20,183.72 0.00 Tract 23 ‐ FM148(N) (Others) 124,744.56 33,868.28 0.00 158,612.84 0.00 Tract 24 798.77 216.87 0.00 1,015.63 0.00 Tract 26 ‐ Spur 557 Ramps (Sinacola) 8,942.85 2,427.99 0.00 11,370.84 7,580.56 Tract 26 ‐ Spur 557 Ramps (TEDC) N/A N/A N/A N/A 3,790.28 Page 5 of 32 Total for TIF ‐ 100% Collections 1,761,748.56 480,721.09 0.00 2,242,469.65 1,120,806.37 ITEM 5.1. Terrell Power Center 2022 ‐ 2007 PRO FORMA ‐ ASSUMING 100% COLLECTIONS Original 08-04-22 City of Kaufman Terrell County Base Value - 2007 Taxable Value 12,076,280 12,076,280 2022 Taxable Value 193,669,068 193,669,068 Gross Captured Value 181,592,788 181,592,788 Total to be Collected: Real Property - TIF Leakage 40,582.59 10,878.26 Base non-TIF taxes 348,065.67 283,360.62 Total Real Property Taxes 388,648.27 294,238.88 Business Personal Property 127,879.92 52,053.59 Total to be Collected 516,528.19 346,292.47 Rollback Total Total Due To Actual Collections Taxes Collected Be Paid Out Tract 2 ‐ Streets&Utilities (Cross Roads 2015 LP) 354,416.41 233,115.07 0.00 587,531.48 587,531.48 Tract 2 ‐ FM148(N) ‐ (Others) 2,451.23 1,855.78 0.00 4,307.01 0.00 Tract 3 ‐ FM148/IH20/Streets&Utilites (Buc‐ee's) 48,634.97 30,642.69 0.00 79,277.65 79,277.65 Tract 3 ‐ FM148/IH20/Streets&Utilites (TMC) 62,718.43 44,106.41 0.00 106,824.84 106,824.84 Tract 3 ‐ FM148/IH20/Streets&Utilites (Baylor) 0.00 0.00 0.00 0.00 0.00 Tract 23 ‐ FM148(N) ‐ (Others) 48,307.15 36,572.51 0.00 84,879.67 0.00 Total 516,528.19 346,292.47 0.00 862,820.66 773,633.98 Real Property Taxes 388,648.27 294,238.88 Business Personal Property Taxes 127,879.92 52,053.59 Total 516,528.19 346,292.47 Page 6 of 32 ITEM 5.1. Fund 030 County TIF No. 1 Fiscal Year 2022 Department 00 REVENUE Revenues 2023 Proposed Account Number Account Name 2022 Budget 2022 Projected Budget 00-3301-09 COUNTY TIF TAXES 2017-2016 - 432.20 - 00-3301-10 COUNTY TIF TAXES 2018-2017 - - - 00-3301-11 COUNTY TIF TAXES 2019-2018 - 2,149.41 - 00-3301-12 COUNTY TIF TAXES 2020-2019 - 29,535.94 - 00-3301-13 COUNTY TIF TAXES 2021-2020 - 318,840.00 - 00-3301-14 COUNTY TIF TAXES 2022-2021 - 480,721.09 00-3304-02 CITY TIF TAXES 2010-2009 6.00 6.06 - 00-3304-10 CITY TIF TAXES 2018-2017 344.00 344.73 - 00-3304-11 CITY TIF TAXES 2019-2018 8,311.00 8,310.76 - 00-3304-12 CITY TIF TAXES 2020-2019 87,485.00 87,485.27 - 00-3304-13 CITY TIF TAXES 2021-2020 1,299,998.00 1,299,997.94 - 00-3304-14 CITY TIF TAXES 2022-2021 - - 1,761,748.56 00-3601-00 INTEREST INCOME - 700.00 750.00 Revenue Totals 1,396,144.00 1,747,802.31 2,243,219.65 Fund 030 County TIF No. 1 Fiscal Year 2022 County TIF No. 1 Expenses 2023 Proposed Account Number Account Name 2022 Budget 2022 Projected Budget 15-4404-00 CONSULTANT FEES & SERVICES 90,000.00 - 90,000.00 15-4404-01 SENIOR/LIBRARY ASSESSMENT - - 120,000.00 15-4404-02 TIRZ ADMINISTRATIVE COSTS - - 60,000.00 15-4410-00 TIF REIMB SINACOLA 10,812.00 - 11,370.84 15-4410-02 TIF REIMB BAYLOR - - 87,128.63 15-4410-03 TIF REIMB TMC - 24,593.62 87,128.63 15-4410-04 TIF REIMB BUC EE'S 93,354.00 102,137.88 101,737.38 15-4410-06 TIF REIMB CROSSROADS - 130,116.08 833,440.89 15-4414-00 DOWNTOWN PROJECT OFFICE 75,000.00 - 250,000.00 15-4414-01 TOWN SQUARE MASTER PLAN 150,000.00 50,000.00 150,000.00 15-4414-02 DOWNTOWN SIDEWALK GRANT 80,000.00 60,000.00 80,000.00 15-4414-03 PINA PARTNERSHIP 75,000.00 75,000.00 75,000.00 15-4414-04 BFTS PRECONSTRUCTION EXPENSES - - 90,000.00 15-4440-01 DEMOLITION - - 300,000.00 15-4500-00 DRAINAGE LANDSCAPE PROJECT - - 100,000.00 15-4500-01 LAND ACQUISITION - - 250,000.00 90-4495-00 TRANSFER TO I&S NO. 1 85,938.00 85,938.00 346,184.00 Expense Totals 660,104.00 527,785.58 3,031,990.37 Page 7 of 32 ITEM 5.1. TIRZ NO. 1 - Budget Summary 2023 Proposed 2022 Budget 2022 Projected Budget Revenue by Category Ad Valorem Taxes 1,396,144.00 1,747,102.31 2,242,469.65 Interest - 700.00 750.00 TOTAL REVENUES 1,396,144.00 1,747,802.31 2,243,219.65 Expenditures by Category Consultant Fees & Services 90,000.00 - 270,000.00 Contractual Obligations 104,166.00 256,847.58 1,120,806.37 Capitlal Programs & Outlays 380,000.00 185,000.00 1,295,000.00 Transfers Out 85,938.00 85,938.00 346,184.00 TOTAL Expenditures 660,104.00 527,785.58 3,031,990.37 Net Income (Expense) 736,040.00 1,220,016.73 (788,770.72) Fund Balance, Beginning of Year 1,432,842.08 2,652,858.81 Fund Balance, End of Year 2,652,858.81 1,864,088.09 Page 8 of 32 ITEM 5.1. Fund 007 City Power Center Fiscal Year 2022 Department 00 REVENUE Revenues 2023 Proposed Account Number Account Name 2022 Budget 2022 Projected Budget 00-3301-00 COUNTY PWR CTR TAXES 2017-2016 - - - 00-3301-01 COUNTY PWR CTR TAXES 2018-2016 - 134.72 - 00-3301-02 COUNTY PWR CTR TAXES 2019-2016 - 2,713.61 - 00-3301-03 COUNTY PWR CTR TAXES 2020-2016 - 26,685.29 - 00-3301-04 COUNTY PWR CTR TAXES 2021-2016 - 354,396.61 - 00-3301-05 COUNTY PWR CTR TAXES 2022-2016 - - 346,292.47 00-3303-00 TRANSFER IN PC TAXES FROM FUND 01 - - - 00-3304-00 CITY POWER CENTER 2017-2016 - 724.20 - 00-3304-02 CITY POWER CENTER 2019-2018 - 2,718.11 - 00-3304-03 CITY POWER CENTER 2020-2019 - 48,115.35 - 00-3304-04 CITY POWER CENTER 2021-2020 440,507.72 436,799.99 - 00-3304-05 CITY POWER CENTER 2022-2021 - 516,528.19 00-3312-00 TRANS FROM GENERAL FUND - - - 00-3313-00 TRANSFER FROM PPP FUND 015 - - - 00-3601-00 INTEREST INCOME 690.36 750.00 750.00 Revenue Totals 441,198.08 873,037.88 863,570.66 Fund 007 Power Center Fiscal Year 2022 Department 15 EXPENSES Expenses 2023 Proposed Account Number Account Name 2022 Budget 2022 Projected Budget 15-4404-01 PC ADMINISTRATIVE COSTS - - 20,000.00 15-4410-02 POWER CENTER REIMB BAYLOR - 169,844.82 - 15-4410-03 POWER CENTER REIMB TERRELL MARK 59,840.47 6,340.91 106,824.84 15-4410-04 POWER CENTER REIMB BUC EE'S 47,389.18 7,150.40 79,277.65 15-4410-06 POWER CENTER REIMB CROSSROADS 282,098.86 508,830.62 587,531.48 15-4414-01 ENGINEERING - - 100,000.00 15-4500-00 DRAINAGE LANDSCAPE PROJECT - - 100,000.00 90-4405-00 TRANSFER TO FUND 317 - - - Expense Totals 389,328.51 692,166.75 993,633.97 Page 9 of 32 ITEM 5.1. Power Center Budget Summary 2023 Proposed 2022 Budget 2022 Projected Budget Revenue by Category Ad Valorem Taxes 440,507.72 872,287.88 862,820.66 Transfers-In - - - Interest 690.36 750.00 750.00 TOTAL REVENUES 441,198.08 873,037.88 863,570.66 Expenditures by Category Consultant Fees & Services - - 20,000.00 Contractual Obligations 389,328.51 692,166.75 773,633.97 Engineering & Design - - 100,000.00 Capital Outlay - - 100,000.00 Transfers Out - - - TOTAL Expenditures 389,328.51 692,166.75 993,633.97 Net Income (Expense) 51,869.57 180,871.13 (130,063.31) Fund Balance, Beginning of Year 111,302.02 292,173.15 Fund Balance, End of Year 292,173.15 162,109.84 Page 10 of 32 ITEM 5.2. Page 11 of 32 ITEM 5.2. Page 12 of 32 ITEM 5.2. Page 13 of 32 ITEM 5.2. Page 14 of 32 ITEM 5.2. Page 15 of 32 ITEM 5.2. Page 16 of 32 ITEM 5.2. Page 17 of 32 ITEM 5.2. Page 18 of 32 ITEM 5.2. Page 19 of 32 ITEM 5.2. Page 20 of 32 ITEM 5.2. Page 21 of 32 ITEM 5.2. Page 22 of 32 ITEM 5.2. Page 23 of 32 ITEM 5.2. Page 24 of 32 ITEM 5.2. Page 25 of 32 ITEM 5.2. Page 26 of 32 ITEM 5.2. Page 27 of 32 ITEM 5.2. ORDINANCE NO. 2917 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TERRELL, TEXAS, AMENDING ORDINANCE NO. 2355 BY REDUCING THE BOUNDARIES OF TAX INCREMENT FINANCING REINVESTMENT ZONE NUMBER ONE OF THE CITY OF TERRELL, TEXAS (TIRZ #1); PROVIDING A REPEALING CLAUSE; PROVIDING A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City Council of the City of Terrell, Texas, (the "City Council") by Ordinance No. 2355 created Tax Increment Financing Reinvestment Zone Number One ("TIRZ #1") to promote the development or redevelopment of the area, as authorized by the Tax Increment Financing Act, Chapter 311 of the Texas Tax Code (the "Act"); and WHEREAS, the City of Terrell, Texas, has received a petition in compliance with Section 311.007(b) of the Act requesting that 73.87 acres of property located within the TIRZ #1 Reinvestment Zone and within the City's corporate limits described in Exhibit "A" and depicted in Exhibit "B", respectively, attached hereto and made a part for all purposes (the "Removed Property") be added to Reinvestment Zone Number Three, City of Terrell ("TIRZ #3"); and WHEREAS, the City Council desires to amend and reduce the boundaries of the TIRZ #1 Reinvestment Zone by removing the Removed Parcel so that the Removed Parcel may be added to TIRZ #3 in accordance with the above-referenced petition; and NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF TERRELL, TEXAS, THAT: SECTION 1. The facts and recitations contained in the preamble of this Ordinance and contained in Ordinance No. 2355, are hereby found and declared to be true and correct. SECTION 2. Ordinance No. 2355 be and the same is hereby further amended by amending the boundaries of TIRZ#l Reinvestment Zone by deleting and omitting the Removed Parcel from the boundaries of TIRZ #1 Reinvestment Zone. The boundaries of TIRZ #1 Reinvestment Zone shall hereafter be as set forth in Ordinance No. 2355, as amended herein by excluding the Removed Parcel. SECTION 3. All provisions of the ordinances of the City of Terrell in conflict with the provisions of this Ordinance be, and the same are hereby, repealed; provided, however that Ordinance No. 2355 and all other provisions of said Ordinances not in conflict with the provisions of this Ordinance shall remain in full force and effect, except as amended herein. Page 28 of 32 ITEM 5.2. SECTION 4. The City Council hereby directs the City Manager to negotiate and the Mayor to Execute Amendment #1 to the Interlocal Agreement for TIRZ #1 with Kaufman County. SECTION 5. Should any sentence, paragraph, subdivision, clause, phrase or section of this Ordinance be adjudged or held to be unconstitutional, illegal or invalid, the same shall not affect the validity of this Ordinance as a whole, or any part or provision hereof other than the part so decided to be invalid, illegal or unconstitutional. SECTION 6. This Ordinance shall take effect immediately from and after its passage and the publication of the caption, as the law and charter in such cases provide if the City Council adopts an Ordinance amending the boundaries ofTIRZ #1 to include the Removed Parcel within the boundaries ofTIRZ #3. PASSED AND APPROVED by the City Council of the City of Terrell, Texas on the 16 th day of August, 2022. PASSED AND ADOPTED by the City Council of the City of Terrell, Texas on the 23rd day of August, 2022. E. RICk CARMONA, Mayor Dawn Steil, City Secretary APPROVED AS TO FORM: Mary Gayle Ramsey City Attorney 2 Page 29 of 32 ITEM 5.2. Exhibit A EXHIBIT A Metes and Bounds of the Removed Parcel SAVE AND EXCEPT: TRACT "0" BEING a tract of land situated in the Richard Mead Survey, Abstract No . 326, the W.R. Leath Survey, Abstract No. 305, Kaufman County, Texas, and being a portion of a called 3,152.439 acre tract of land described in a Substitute Trustee's Deed to AP Dupont Limited Partnership, recorded in Volume 3502, Page, 558 , Deed Records, Kaufman County, Texas (D.R.K.C.T .), and more particularly described as follows: BEGINNING at a point in the southwest right-of-way line of Spur 557 (variable width right-of-way) at the most easterly corner of said 3,152.439 acre tract and at the most northerly corner of a called 2.062 acre tract of land designated as "Parcel 2" in a Special Warranty Deed - for Right-of-Way to the City of Terrell , Texas, recorded in Volume 5110, Page 268 , D.R.K.C.T.; THENCE South 44°11 '57" West, with a southeast line of said 3,152.439 acre tract and the northwest line of said 2.062 acre tract, passing at a distance of 22.3 feet, the most westerly corner of said 2.062 acre tract, said point being in the northwest line of a called 255.68 acre tract of land designated as "Tract 1" in a Foreclosure Sale Deed to Terrell 80/20, Ltd., recorded in Volume 3838, Page 221, D.R.K.C.T. and continuing with the northwest line of said 255.68 acre tract and a southeast line of said 3,152.439 acre tract for a total distance of 862.39 feet to a point in the City Limit line of the City of Terrell; THENCE North 64°05'49" West with the City Limit line of the City of Terrell, over and across said 3,152.439 acre tract a distance of 1,149.36 feet to a point for corner; THENCE North 61 °34'07" West to the west line of County Road 305 a distance of 1,145.18 feet to a pOint for corner; THENCE North 58°48'14" West a distance of 78.34 feet to a pOint for corner; THENCE North 58°48'13" West a distance of 1,623.24 feet to a point for corner; THENCE North 02°49'37" West leaving the said City Limit line of the City of Terrell a distance of 74.27 feet to a point for corner; THENCE North 31 °00'48" East a distance of 768.70 feet to a point for corner in the southwest right-of­ way line of said Spur 557; Page 30 of 32 ITEM 5.2. THENCE with the southwest right-of-way line of said Spur 557 the following courses and distances: South 58°39'46" East a distance of 763.70 feet to a point for corner; South 49°30'22" East a distance of 845.90 feet to a point for corner; South 01 °29'17" East a distance of 190.60 feet to a point for corner; South 49°55'59" East a distance of 139.00 feet to a point for corner; North 6r32 '44" East a distance of 246.40 feet to a point for corner; South 70°45'50" East a distance of 576.00 feet to a point for corner; South 6r15'40" East a distance of 427.50 feet to a point for corner; South 63°46'25" East a distance of 1 ,209.20 feet to a point for corner; South 64°16'17" East a distance of 65.51 feet to the POINT OF BEGINNING , and containing 73.87 acres more or less. Page 31 of 32 ITEM 5.2. EXHIBIT B Jl;:'NO~'W'F'W 7,..~r 0.\1'1;. 2'11 ~ rC2 ~ n ll-\\\~. KW Save and Except CHECK: Tract "D" CITY OF TERRELL +1-73.87 Acres 9. EMARKS· SCALE­ ,'­ Page 32 of 32