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PBA 24B1 419 Pf
Dec. 1955
COOPERATION AGREEMENT
This Agreement entered ia :o this -, 31 day of July 1 19 _7 ,
by and between the Housing AutheritZ of the City of Gsorgetewn, Texas (herein
called the "Local Authority") and the City of Geergetevm, Texas
herein called the "Municipality"), witnesseth:
In censideraV.on of the mutual covenants hereinafter set forth, the parties
hereto do agree as follows:
1. Whenever used in this Agreement:
a) The term "Project" shall mean any low -rent housing hereafter
developed as an entity by the Local Authority with financial
assistance of the Public Housing Administration (herein called the
PHA"); excluding, however, any low -rent housing project covered by
any contract for loans and annual contributions entered into between
t_ie Local Authority and the PHA, or its predecessor agencies, prior
to the date of this Agreement.
b) The term "Taxing Body" shall mean the State or any political
hubdivision or taxing unit thereof in which a project is situated
end which would have authority to assess or levy real or personal
property taxes or to certi.1"y such taxes to a taxing body or public
officer to be levied for ita use and benefit with respect to a
project if it Frere not exempt frcm taxation.
c; The term "Shelter Rent" shall mean the total of all charges to
all tenants of a project for dwelling rents and nondwelling rents
excluding all other inccme of such project), mess the cost to the
Local Authority of all dwelling and nondwelling utilities.
d) The term "Slum" shall mean any area where dwellings predominate
which, by reason of dilapidation, overcrowding, faulty arrangement
or design, lack of ventilation, light or sanitation facilities, or
any combination of these factors, are detrimental to safety, health,
or morals.
2. The Local Authority shall endeavor (a) to secure a contract or con-
tracts with the PHA for loans and annual contributions covering one or more
projects comprising approximately ba units of low -rent housing and (b) to
develop and administer such project orprojects, each of which shall be located
within the corporate limits of the Municipality. The obligations of the parties
hereto shall apply to each such project.
3. (a) Under the constitution and statutes of the State
Of Teams , all projects are exempt from all real and
personal property taxes and special assessments levied or imposed by
an Taxing Body. With respect to any project, so long as either
i) such project is owned by a public body or governmental agency and
is used for low -rent housing purposes, or (ii) any contract between
the Local Authority and the PHA for loans or annual contributions, or
both in connection with such project remains in force and effect, or
iii$ any bonds issued in connection with such project or any monies
due to the PEA in connection with such project remain unpaid, which-
ever period is the longest, the Municipality agrees that it will not
levy or impose any real or personal property taxes or special assess-
ments upon such project , upon the Local Authority with respect
thereto. During such peritd, the Local Authority shall make annual
payments (herein called "Payments in Lieu of Taxes") in lieu of such
taxes and special assessments and in payment for the public services
and facilities furnished from time to time without other cost or
charge for or with respect to such.project.
01
PHA -2481 C.A., Page 2
Dedember 1955
420k
b) Each such annual Payment in L_eu of Taxes shall be made after the
end of the fiscal year established for such Project, and shall be in an
amount equal to either (i) ten percent (10)% of the aggregate Shelter
Rent charged by the Local Authority in respect to such Project during
such fiscal year, or (ii) the amount permitted to be paid by applicable
State law in effect on the date such payment is made, whichever amount
is the lower. For the purpose of computing the Federa] Annual
Contribution and Payment in Lieu of Taxes, all projects which are
covered by the same contract with the PHA for annual contributions and
which have cooperation agreements subject to limitation as expressed in
clause (ii) above, with the identical Taxing Bodies shall be treated
collectively as a single project.
C) The Local Authority shall distribute the Payments in Lieu of Taxes
among the Taxing bodies in the proportion which the real property taxes
which would have been paid to each Taxing Body for such year if the
Project were not exempt from taxation bears to the total real property
taxes which would have been paid to all of the Taxing Bodies for such
year if the Project were not exempt from taxation; Provided, however,
That no payment for any year shall be made to any Ta::ing Body in excess
of the amount of the real property taxes which would have been paid to
such Taxing Body for such year if the Project were not exempt from
taxation.
d) Upon failure of the Local Authority to make any Payment in Lieu of
Taxes, no lien against any Project or assets of the Local Authority shall
attach, nor shall any interest or penalties accrue or attach on account
thereof.
4. The Municipality agrees that, subsequent to the date of initiation (as
defined in the United States Housing Act of 1937, as amended) of each Project and
within five yev.rs after the completion thereof, or such further period as may be
approved by th,: PHA, there has been or will be elimination (as approved by the PHA)
by demolition, condemnation, effective closing, or compulsory repair or improvement,
of unsafe or insanitary dwelling units situated in the locality or metropolitan
area in which such Project is located, substantially equal in number to the number
of newly constructed dwelling units provided by such Project; Provided, That,
where more than one family is living in an unsafe or insanitary dwelling unit, the
elimination of such unit shall count as the elimination of units equal to the
number of families accommodated therein; and Provided, further, That,this Paragraph
4 shall not apply in the case o:; (i) any Project developed on the site of a Slum
cleared subsequent to July 15, 1949, and that the dwelling units eliminated by the
clearance of the site of such Project shall not be counted as elimination for any
other Project or any other low -rent housing project, or (ii) any Project located
In a rural nonfarm area.
5. During tile period commencing with the date of the acquisition of any part
of the site or sites of any Project and continuing so long as either (i) such
Project is owned by a public body or governmental agency and is used for low -rent
housing purposes, or (ii) any contract between the Local Authority and the PHA for
loans or annual contributions, or both, in connection with such Project remains in
force and effect, or (iii) any bonds issued in connection with such Project or any
monies due to the PHA in connection with such Project remain unpaid, whichever
period is t:ie longest, the Municipality without cost or charge to the Local Authority
or the tenants of such Project (other than the Payments in Lieu of Taxes) shall:
a) Furnish or cause to be furnished to the Local Authority and the tenants
of such Project public services and facilities of the some character and to
the same extent as are furnished from time to time without cost or charge to
other dwellings and inhabitants in the Municipality;
b) Vacate such streets, roads, and alleys within the area of such Project
as may be necessary inthe development thereof, and conveywithout charge to
the Local Autho4ty such interest as the Municipality may have in such
vacated areas, and, insofar as it is law,.fully able to do so without cost or
expense to the Local Authority or to the Municipality, cause to be removed
from such vacated areas, insofar as it may be necessary, all public or private
utility lines and equipment;
V OZOt
Page s 421.pr
December 1955
e) Insofar as the Municipality my lawfully do so, (i) grant
such deviations from the building code of the Municipality as are
reasonable and necessary to promote economy and efficiency in the
development and administration of such Project, and at the same
time safeguard health and safety, and (ii) make such changes in
any zoning of the site and surrounding territory of such Project
as are reasonable and necessary for the development and protection
of such Project and the surrounding territory;
d) Accept grants d easements necessary for the development of
such Project; and
e) Cooperate with the Local Authority by such other lawful action
or ways as the Municipality and the Local Authority may find neces-
sary in connection with the development and administration of such
Project.
6. In respect to any Project the Municipality further agrees that within
IL reasonable time after receipt of a written request therefor from the Local
Authority:
a) It will accept the dedication of all interior streets, mads,
alleys, and adjacent sidewalks within the area of such Project,
together with all storm and sanitary sewer mains in such dedicated
areas, after the Local Authority, at its own expense, has completed
the grading, improvement, paving, and installation thereof in
accordance with specifications acceptable to the Municipality;
b) It will accept necessary dedications of land for, and will
grade, improve, pave, and provide sidewalks for, all streets
bounding such Project or necessary to provide adequate access
thereto (in consideration whereof the Local Authority shall pay
to the Municipality such amount as would be assessed against the
Project site for such work if such site were privately owned); and
c) It will provide, or cause to be provided, water mains, and
Storm and sanitary sewer mains, leading to such Project and serving
the bounding streets thereof (in consideration whereof the Local
Authority shall pay to the Municipality such amount as would be
assessed against the Project site for such work if such site were
privately owned).
7. If by reason of the Municipality's failure or refusal to famish or
cause to be furnished any public services or facilities which it has agreed
hereunder to furnish or to cause to be furnished to the Local Authority or to
the tenants of any Project, the Local Authority incurs any expense to obtain
such services or facilities then the Local Authority may deduct the amount of
such expense from any Payments in Lieu of Taxes due or to become due to the
Municipality in respect to any Project or any other lov-rent housing projects
owned or operated by the Local Authority.
8. No Cooperation Agreement heretofore entered into between the
Municipality and the Local Authority shall be construed to apply to any Project
covered by this Agreement.
9. So long as any contract between the Local Authority and the PHA for
loans (including preliminary loans) or annual contributions, or both, in
connection with any Project remains in force and effect, or so long as any
bonds issued in connection with any Project or any monies due to the PHA in
connection with any Project remain unpaid, this Agreement shall not be
abrogated, changed, or modified without the consent of the PHA. The privileges
and obligations of the Municipality hereunder shall remain in full force and
effect with respect to each Project so long as the beneficial title to such
Project is helot by the Local Authority or by any other public body or govern-
mental agency, including the PAA, authorized by law to engage in the development
or administration of low -rent housing projects. If at any time the beneficial
title to, or possession of., any Project is held by such other public body or
governmental agency, including the PHA, the provisions hereof shall inure to
the benefit of and may be enforced by, such other public body or governmental
agency, including the PHA.
9051E
Page 4
December 1955
422 pf
IN WMIESS WHETM.OF the N,tianici.pality and the Local Authority have respectively
signed this Agreement and caused their seals to be affixed and attested as of the
day and year first above written.
SEAL)
Attest:
e !! Z2, 2, . o,,- Z- -
Claud Ea L City &Wretary Title
Attest:
Secre
Tillie Eywington
EOE9
HOUSING AUTHORITY OF TIM CITT OF
GEORGETOW, TEXAS
8y DO -C/ 4 --,- C
Don Scarbrough Chairman