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RE 2008-1002.1A RESOLUTION OF THE CITY OF COPPELL, TEXAS RESOLUTION NO. / O a Z . I A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COPPELL, TEXAS, APPROVING THE TERMS AND CONDITIONS OF THE SETTLEMENT AGREEMENT, WITH ALL OF THE EXHIBITS THERETO, BY AND AMONG THE BILLINGSLEY DEVELOPMENT CORPORATION, ACTING IN ITS CAPACITY AS DULY AUTHORIZED MANAGER AND AGENT FOR CB PARKWAY BUSINESS CENTER VI, LTD. AND TRAMMELL CROW COMPANY NO. 43, LTD., THE COPPELL INDEPENDENT SCHOOL DISTRICT, AND THE CITY OF COPPELL, WHICH IS ATTACHED HERETO AND INCORPORATED HEREIN AS EXHIBIT 1, AND AUTHORIZING THE MAYOR AND/OR CITY MANAGER TO EXECUTE THE SAME; AUTHORIZING THE ACQUISITION OF 615.0583 ACRES, MORE OR LESS, OF REAL PROPERTY AS DESCRIBED THEREIN, APPROVING THE TERMS AND CONDITIONS OF THE CONTRACT OF PURCHASE AND SALE IN LIEU OF EMINENT DOMAIN, AND ANY EXHIBITS THERETO, WHICH IS ATTACHED HERETO AND INCORPORATED HEREIN AS AN EXHIBIT TO EXHIBIT 1, AND AUTHORIZING THE MAYOR AND/OR CITY MANAGER TO EXECUTE SUCH CONTRACT; AUTHORIZING THE MAYOR AND/OR CITY MANAGER TO EXECUTE THE WATER PURCHASE AGREEMENT, WHICH IS ATTACHED HERETO AND INCORPORATED HEREIN AS AN EXHIBIT TO EXHIBIT 1; AUTHORIZING THE CITY ATTORNEY AND/OR SPECIAL LEGAL COUNSEL TO FILE ALL DOCUMENTS- NECESSARY FOR THE DISMISSAL OF ALL LITIGATION AND APPEALS BY AND BETWEEN THE PARTIES; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, Billingsley Development Corporation (hereinafter, "Developer"), acting in its capacity as duly authorized manager and agent for CB Parkway Business Center VI, Ltd. and Trammell Crow Company No. 43, Ltd. (hereinafter, "Developer's Affiliates"), the Coppell Independent School District (hereinafter, "CISD"), and the City of Coppell (hereinafter, "City") (collectively referred to as "the Parties") are parties to litigation and appeals arising out of the City's and CISD's finding and determining that a public use, purpose and necessity exists for the acquisition of a portion of the Developer's Affiliates' property located in Dallas County, Texas (hereinafter, "Property"); and WHEREAS, on or about November 21, 2005, the City filed its Original Statement in Condemnation in County Court at Law No. 3 of Dallas County, Texas styled City of Coppell, Texas v. CB Parkway Business Center VI, Ltd. and Trammell Crow Company No. 43, Ltd., Cause No. CC -05-15940-c (the "City Condemnation"), in which the City sought to condemn approximately 71.59 acres of land out of the Property; and, 1 TM 31731.2.000 WHEREAS, on March 21, 2006 CB Parkway Business Center VI, Ltd. and Trammell Crow Company No. 43, Ltd. fled a Petition, in County Court at Law No. 3 of Dallas County, Texas under Cause No. CC -06-03561—c against the City of Coppell and its City Council Members alleging the City of Coppell's use of eminent domain to acquire Plaintiffs' land constitutes legal fraud and abuse of process and on September 13, 2006, CB Parkway filed its First Amended Petition which was removed to the United States District Court for the Northern District of Texas, Dallas Division, under Civil Action No. 3-08CV0753-N, where the matter (the "Federal Court Action") has been abated and will be dismissed subject to the terms of this Settlement; and, WHEREAS, on June 2, 2006, the City filed a Petition in the 101st District Court of Dallas County under Cause no. 06-05249-E for Declaratory Judgment and Injunction against CB Parkway Business Center VI, Ltd. and Trammell Crow Company No. 43, Ltd. seeking a declaration the City of Dallas' zoning designation for the 2004 Property is invalid and subsequently on September 20, 2006 the matter was transferred to County Court at Law No. 3, Dallas County, under Cause No. CC -07-02203-C where the matter remains pending; and WHEREAS, on or about March 5, 2007 the trial court in the City condemnation proceeding granted Pleas to Jurisdiction filed by CB Parkway Business Center VI, Ltd. and Trammell Crow Company No. 43, Ltd. and the City of Dallas and dismissed the proceeding and by separate Order dated November 15, 2007 awarded CB Parkway attorneys fees and expenses; and, WHEREAS, the City appealed the trial court's March 5, 2007 order dismissing the condemnation proceeding and appealed the trial court's November 15, 2007 Order awarding CB Parkway Business Center VI, Ltd. and Trammell Crow Company No. 43, Ltd. attorneys fees and expenses and is currently pending in -Cause No. 05 -07 -00331 -CV in the Court of Appeals for the Fifth District of Texas; and WHEREAS, the foregoing suits and appeals are referred to collectively herein as the "Pending Litigation"; and, WHEREAS, City has indicated that conditioned on the terms of the Settlement Agreement and all of the exhibits thereto, which is attached hereto and incorporated herein as Exhibit 1, City is willing to purchase certain tracts out of the Developer's Affiliates' Properties, in lieu of condemning the Properties which are the subject of the Pending Litigation; and, WHEREAS, Developer has indicated, on its part and on behalf of its affiliates involved in ownership of the Properties, that in order to avoid the delay, uncertainty, and expense associated with eminent domain proceedings, it would agree to sell such tracts to City, on the terms set forth in the Settlement Agreement, subject to settlement and dismissal of the Pending Litigation; and WHEREAS, the Parties, in order to avoid the expenses and uncertainty of litigation, have reached a compromise of certain portions of the Pending Litigation between Parties; and 2 TM 31731.2.000 WHEREAS, on or about September 2, 2008, the Coppell City Council approved entry by the City into a settlement of the Pending Litigation involving City as described in the Statement of Settlement Terms; and WHEREAS, the City Council has determined and hereby finds that the terms and conditions of the Settlement Agreement by and between the Parties, with all of the exhibits thereto, which is attached hereto and incorporated herein as Exhibit 1, are hereby approved and authorizes the mayor and/or city manager to execute the same; and, WHEREAS, the City Council further finds that the acquisition of property and the terms and conditions of the Contract of Purchase and Sale in Lieu of Eminent Domain, and all exhibits thereto, which is attached hereto and incorporated herein as an exhibit to Exhibit 1, is hereby approved and that the mayor and/or city manager is hereby authorized to execute said Contract, subject to minor changes which are permitted in order to close on the purchase of said property; and WHEREAS, the City Council hereby authorizing the City Attorney and/or Special Legal Counsel to file all documents necessary for the dismissal of all Pending Litigation as defined herein. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF COPPELL, TEXAS, AS FOLLOWS: SECTION 1. That the terms and conditions of the Settlement Agreement by and between the Parties, with all of the exhibits thereto, which is attached hereto and incorporated herein as Exhibit 1, are hereby approved for the purposes recited therein and the mayor and/or city manager are hereby authorized to execute the same for and on behalf of the City of Coppell, Texas. SECTION 2. That the acquisition of 615.0583 acres + of real property under the terms and conditions of the Contract of Purchase and Sale in Lieu of Eminent Domain, and all exhibits thereto, which are contained within Exhibit 1, are hereby approved and that the mayor and/or city manager are hereby authorized to execute said the Purchase Agreement, closing documents and other appropriate documents necessary to acquire such property for and on behalf of the City of Coppell, Texas. SECTION 3. That the mayor and/or city manager are hereby authorized to execute the Northlake Water Supply Planning Agreement, which is attached hereto as an exhibit to Exhibit 1. TM 31731.2.000 SECTION 4. That the City Attorney and/or Special Legal Counsel is hereby authorized to file all documents necessary for the dismissal of the pending litigation as defined herein against Billingsley Development Corporation, CB Parkway Business Center VI, Ltd. and Trammell Crow Company No. 43, Ltd. SECTION 5. That the Mayor is hereby authorized to execute this Resolution for the Purposes recited herein for and on behalf of the City of Coppell, Texas. SECTION 6. That this Resolution shall take effect immediately from and after its passage as the law and charter in such cases provide. DULY PASSED by the City Council of the City of Coppell, Texas, this the t4' day of 2008. n ATTEST: LIBB BAL TY SECRETARY AS O FORM - ROBERT E. HAGER, C T TTORNEY (REH/cdb I0I /tl 4 TM 31731.2.000 EXHIBIT 1 (Insert Settlement Agreement w/Exhibits here) TM 31731.2.000