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HomeMy WebLinkAboutItem 11 - Fort Worth Transportation AuthorityMEMO TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: BRUNO RUMBELOW, CITY MANAGE MEETING DATE: NOVEMBER 17, 2015 SUBJECT: AMENDMENT TO INTERLOCAL AGREEMENT WITH FWTA RECOMMENDATION: City Council to consider amending the Interlocal Agreement with FWTA FUNDING SOURCE: m BACKGROUND: In order to ensure equity, the original Interlocal Agreement (ILA) that was approved by the City and the Fort Worth Transportation Authority (The T) included a provision that no other City could be served by TEX Rail at a rate less than 3/8 of a cent of sales tax or equivalent without the permission of Grapevine. The City of North Richland Hills has a very strong interest in pursuing the TEX Rail and would provide a benefit to the TEX Rail project by substantially increasing ridership, however, North Richland Hills is unable to meet the 3/8 of one cent contribution. The T, recognizing the importance of the ridership from the North Richland Hills station, has agreed to rebate a portion of Grapevine's sales tax contribution until North Richland Hills meets the full 3/8 of one cent contribution. The attached amendment modifies the original ILA between the T and the City of Grapevine to provide an allowance for North Richland Hills to enter the TEX Rail project in exchange for an annual rebate to the City of Grapevine until the full 3/8 of one cent contribution is met by North Richland Hills. Staff recommends approval. 11/12/2015 (10:55:54 AM) FIRST AMENDMENT TO INTERLOCAL AGREEMENT REGARDING COMMUTER RAIL SERVICE BY AND BETWEEN THE FORT WORTH TRANSPORTATION AUTHORITY AND THE CITY OF GRAPEVINE, TEXAS, This First Amendment to the Interlocal Agreement Regarding Commuter Rail Service ("Amendment") is made and entered into by and between the Fort Worth Transportation Authority ("The T"), a regional political subdivision of the State of Texas, and the City of Grapevine, Texas ("Grapevine"), also a political subdivision of the State of Texas and a home rule municipal corporation. The T and Grapevine may collectively be referred to as "the Parties" or individually as a "Party." WHEREAS, the Parties entered into the Interlocal Agreement Regarding Commuter Rail Service (therein referred to as the "Agreement") on May 30, 2007; and WHEREAS, Section 1.1.7 of the Agreement defines the "Southwest to Northeast Corridor" (also referred to as "the Corridor") as the rail right-of-way, trackage and commuter line from the southwest Tarrant County area through Grapevine and to the Dallas -Fort Worth International Airport ("Airport"). WHEREAS, Section 1.1.8 of the Agreement defines the "Project" as the acquisition, construction, operation and maintenance of the Corridor and all rail Facilities and Stations appurtenant thereto, including real property acquisition; and WHEREAS, the "TEX Rail Project" is a 27 -mile commuter rail project being developed by The T, in agreement with the Federal Transit Administration and the Federal Aviation Administration, both of the U.S. Department of Transportation, to extend passenger rail service Page 1 from downtown Fort Worth, through Haltom City, the City of North Richland Hills, Texas ("NRH"), and Grapevine to the northern entrance of the Airport; and WHEREAS, the TEX Rail Project and the Project in the Agreement have effectively become the same endeavor; and WHEREAS, Section 2.5 of the Agreement includes a most favored nations provision in favor of Grapevine; and WHEREAS, The T has proposed to enter into an arrangement with NRH (the "NRH Agreement') on terms which are not the same or similar to those in the Agreement; and WHEREAS, The T and Grapevine wish to continue their cooperative efforts towards the development and provision of rail service through the TEX Rail Project along the Corridor; and WHEREAS, the Parties understand that the ridership estimated for NRH constitutes a critical component towards achieving the necessary Federal funding for the TEX Rail Project and that the loss of NRH ridership would put the TEX Rail Project at risk of significant delay or termination; and WHEREAS, to further the TEX Rail Project and in return for the compensation specified below, Grapevine will consider approval of the NRH Agreement; and WHEREAS, the Parties agree that the approval of this Amendment is in the mutual interests of both Parties and is in the best interests of the health, safety, and welfare of the public. NOW, THEREFORE, in consideration of the covenants, conditions, and provisions set forth in this Amendment, the receipt and sufficiency of which are hereby affirmed, the Parties agree to this Amendment as follows: 1. All matters stated hereinabove are found to be true and correct and are incorporated herein by reference as if copied in their entirety. Page 2 2. Section 1.2.4(e)(ii). of the Agreement is hereby amended by adding the following to the end of Section 1.2.4(e)(ii): Station Improvements. The Parties acknowledge and agree that the money refunded by The T to Grapevine under Subsection 2.5.2 is in addition to, and not in lieu of, the fifty percent contribution that The T is already obligated to make under this Subsection 1.2.4(e)(ii) for the station enhancements for the Downtown Grapevine Station. 3. Section 2.5 of the Agreement is hereby amended as follows: Section 2.5 is re -designated as Subsection 2.5.1 and new Subsection 2.5.2., Subsection 2.5.3, and Subsection 2.5.4 are added as follows: 2.5.2. Grapevine contributes 3/8th of one cent of Grapevine's annual sales tax revenue to The T, less specified exemptions for Grapevine's shuttle service and certain economic development agreements. An agreement between The T and the City of North Richland Hills, Texas ("NRH") permits NRH to pay less than 3/8th of one cent of NRH's annual sales tax revenue to The T for a set number of years (the "NRH Agreement"). As compensation to Grapevine for accepting the NRH Agreement, The T agrees to refund to Grapevine, in annual payments (the "Annual Refund"), the first payment being made on May 1, 2024, a sum of money calculated using audited data from NRH and Grapevine's immediately previous annual fiscal year audit and applying this formula: Grapevine's Annual Refund equals A minus (A multiplied by B) minus C where A is 3/8th's of one cent of NRH's annual sales tax revenue; B is the product of dividing the amount of Grapevine's shuttle service exemption plus certain of Grapevine's economic development agreements by Grapevine's 3/8th of one cent annual sales tax revenue; and C is NRH's actual annual contribution to The T for that given year, including, without limitation, all contributions to The T resulting from any tax increment financing district established by NRH. Grapevine will continue to receive this Annual Refund from The T until NRH's annual contribution to The T equals a full 3/8th's of one cent of NRH's annual sales tax revenue. A graphic estimate of Grapevine's Annual Refund is attached Exhibit A, provided, however, that the Parties acknowledge that the actual Annual Refund may differ from that estimate.. 2.5.3. Grapevine shall have the right to approve rail service to other cities in the future on varied or different terms as provided in Section 2.5 of this Agreement. In considering such arrangements, priority will be placed on achieving the original intent of the Parties set forth in Section 2.5, as much as reasonably possible, while furthering the interests of the TEX Rail Project. Grapevine reserves the right to demand reasonable revisions to the Agreement in accordance with Section 2.5 as a condition of approving any future arrangements, including the obligation for The T to make monetary adjustments with Grapevine to make it whole. 2.5.4 Grapevine hereby accepts and approves the NRH Agreement in the form attached hereto as Exhibit B. This approval is wholly contingent upon the additional consideration provided for in Subsection 2.5.2. 4. Section 4.3 of the Agreement is amended by adding the following new subsection (g): Page 3 (g) The Parties acknowledge that the funds used for the design and construction of the TEX Rail Project will include federal funds. Each Party agrees to comply with all applicable federal and state requirements in the performance of its rights and obligations under this Agreement, and to reasonably support the other Party's compliance if requested, including, without limitation, in all bidding and other procurement activities and regarding retention of records and access thereto, audit, and inspection rights. A Party requesting or causing an audit or inspection of the other Party's records will reimburse the other Party for all reasonable costs of that inspection or audit. (h) The Parties acknowledge that Grapevine's Annual Refund will be not be subject to the restrictions described in Subsection (g) above or any other restriction arising from or relating to the TEX Rail Project.. 5. Based on the above and foregoing, the Parties agree that these revisions shall be considered a part of the Agreement referred to above and incorporated by reference for all purposes. These revisions shall be subject to any and all other provisions of the Agreement, with the exception of the parts or provisions of the Agreement, which have been revised by this Amendment. In witness whereof, the undersigned Parties have executed this amendment on the day of CITY OF GRAPEVINE BY: 2015. BRUNO RUMBELOW, CITY MANAGER ATTEST: BY: TARA BROOKS, CITY SECRETARY APPROVED AS TO FORM: IM CITY ATTORNEY Page 4 FORT WORTH TRANSPORTATION AUTHORITY In , PRESIDENT/ CEO Page 5 EXHIBIT A - Estimate of Grapevine's GRAPHIC ESTIMATE Annual Refund from The T 4,000,000 3,500,000 3,000,000 2,500,000 2,000,000 1,500,000 1,000,000 500,000 r'O �O �O r'O �O �'O r'O �O �O r'O �O r'O �'O %u' �Tl �'S c�6' c�� �� �9 v'O ` 7 `�� `�v' `�Tt `�cS ■ NRH's Annual Contribution to The T ■ Grapevine's Estimated Refund THE FORT WORTH TRANSPORTATION AUTHORITY and THE CITY OF NORTH RICHLAND HILLS, TEXAS INTERLOCAL AGREEMENT REGARDING COMMUTER RAIL SERVICE INTERLOCAL AGREEMENT REGARDING CUmmu TER RAIL SERVICE by and between THE FORT WORTH TRANSPORTATION AUTHORITY and THE CITY OF NORTH RICHLAND HILLS, TEXAS This Interlocal Agreement Regarding Commuter Rail Service (the "Agreement") is to be effective as of the 46!f-" of 2415 between THE FORT WORTH TRANSPORTATION AUTHORI'T'Y (hereinafter referred to as "The T'), a regional transportation authority created and existing pursuant to Chapter 452 of the Texas Transportation Code, and the CITY OF NORTH RICHLAND HILLS, TEXAS (hereinafter referred to as '"NRH"), (NRH and The T may together be referred to as "the Parties," or individually as a "Party") RECITALS, WHEREAS! A. The T provides public transportation services in the Greater Fort Worth area, and has developed plans for a commuter rail project known as "TEX Rail' (the "TEX Rail Project"); and B. The TEX Rail Project will be constructed, operated, and maintained by The T over an approximately twenty -severs -mile corridor of rail right -of --way, trackage, and commuter line as established by the Federal Transit Administration Record of Decision dated September 29, 2014 and amended on April 17, 2415 (the "Corridor"), running from the T&P Station to the Intermodal Transportation Center (the '*ITC") in downtown Fort Worth and then to the Dallas/Fort Worth International Airport (the "DFW Airport"); and C. A portion of the Corridor extends through the municipal limits of NRH, which is not a member city of The'i; and D. Pursuant to the Interlocal Cooperation Act, Chapter 791, 'Texas Government Code, NRVI and The T may contract with one another to increase their efficiency and effectiveness; and E. Pursuant to Article 1182k, Texas Revised Civil Statutes, all railroad -related activities by public agencies, separately or jointly exercised, are public and governmental functions exercised for a public purpose and as matters of public necessity; and F. The T and NRH have agreed that it would be mutually beneficial to the citizens of NRH and The T service area to have commuter rail service, provided by the TEX Rail Project, connecting downtown Fort Worth to NRH and the DFW Airport to relieve traffic congestion, provide transportation opportunities, and aid in attaining federal air quality standards; and G. NRH and The T have agreed to execute a mutually beneficial interlocal agreement (hereinafter referred to as the "ILA"), granting to NRH and The T certain rights, and binding thein with certain responsibilities, related to commuter rail service along the Corridor; and H. NRH and The T desire to enter into this Agreement to define their respective rights and responsibilities regarding the provision of commuter rail service along the Corridor including, but not limited to, the means through which they will raise funds for the operation and maintenance of the commuter rail service, and, if desired by The T, later entering into additional agreement(s) further detailing and setting forth their respective rights and obligations with regard to the operation and ongoing maintenance of such commuter rail service, provided that any such additional agreement(s), and specifically any change to the rights and obligations under this Agreement effected by such agreement, are wholly subject to the mutual agreement of'the Parties; and 1. All payments required to be made under this Agreement shall be made with current funds available to the Parties. NOW, THEREFORE, in consideration of the covenants and agreements herein, the receipt and sufficiency of which are hereby confirmed, the Parties agree as follows: SEC'T'ION 1 RESPONSIBILITIES OF THE T 1.1 The TEX Rail Project, Generally. Except as otherwise provided in this Agreement and in The T's agreements with other cities along the Corridor and with other TEX Rail Project stakeholders, The T shall be responsible for designing, constructing, operating, and maintaining the TEX Rail Prosect, 1.2 Design and Construction of the TEX Rail Project 1.2.1 The T will design and construct the TEX Rail Project in compliance with all applicable state and federal laws. 1.2.2 The design and construction of the TEX Rail Project shall also comply with the zoning, subdivision design, and construction standards adopted by NRH for paving, drainage, landscaping, streetscape, public utilities, and structures, together with NR.M's Comprehensive Plan, Zoning Ordinance, Historic Preservation Ordinance or other local ordinance, but only to the extent (a) the applicable improvements are by their nature subject thereto and (b) The T is not otherwise exempt therefrom. 13 Construction ofthe NRljl Stations, 1.3.1 For the purposes of this Agreement, "Station" or "Stations" means passenger stations composed of a covered platform and surface parking, together with the real property required for the construction and operation of the Station, and, if applicable, associated driveways, bus and/or shuttle drop-off and pick-up zones, passenger drop-off and pick-up zones, ramps, ticket kiosks, and ancillary improvements on the Corridor. 1.3.2 Subject to NRH's obligations under Section 2, The T will design and construct two (2) Stations within HRH's municipal limits ((he "-NRH Stations") and will use all reasonable efforts to cause the NRH Stations to be substantially complete on or before commencement of service for the TEX Rail -Project. The NRH Stations will be similar to other TEX Rail stations (exclusive of the T&P Station and the ITC) and designed for passenger comfort and safety during boarding and disembarking, including access for disabled persons, the locations and design of the NRH Stations will be subject to NRH approval, not to be unreasonably withheld or delayed. 1.4 Ogetalipp apt Maintenance of the TEX Rail Project. 1.4.1 Subject to NRI -i's obligations under Section 2, after completion of construction of the TEX hail Project and acceptance thereof by The T, The T will operate the TEX Rail Project and provide for the ongoing maintenance of the Corridor, The T will develop standards for train operations, and such operations will minimize impact on traffic at at -grade roadway crossings within NRH's municipal limits to the greatest extent reasonably possible. Such standards may require integration of the train signal control system with the adjacent traffic signal network along the rail alignment. 1.4.2 'The T will establish and fund a security and safety plan for all hours of operation, with an emphasis on Stations and within trains, including an emergency plan for incidents that may occur at Stations, on trains, and along the Corridor. 1.4.3 The T will maintain the NRI-/ Stations and parking facilities, including the platforms, canopies, surface parking lots and drives, landscaping, signage and lighting at the same level as it provides at other TEX Rail stations (exclusive of the T&P Station and the ITC). IAA The T shall have no responsibility to provide bus or trolley -based paratransit services complimentary to any bus or trolley service operated by NRH or any affiliated or associated NRH entity. SECTION 2 RESPONSIBILITIES OF NRH 2.1 The TEX Rail Project. Generally. For and in consideration of The T's obligations set forth in this Agreement, including those contained in Section 1 above, NRH agrees to support the TEX Rail Project as set forth below. 2,2 Support of The T"s Design and Construction of the TEX Rail Project. 2.2.1 Subject to the License Agreement between Dallas Area Rapid Transit, NRH, and others, dated January 1, 2015 for the purpose of constructing, installing, maintaining and operating a hike and bike trail commonly known as the "Cotton Belt 1 -like & Bike Trial" (the "Permitted Improvement"), the Permitted Improvement shall be maintained by NRH in such a manner as to keep the Property (as defined below) in a good and safe condition. NRH understands that the Permitted Improvement will require various types of continuous maintenance (e.g. mowing, edging, tree trimming, removing litter, removing overgrown vegetation, removing obstructing trees and shrubs, keeping drainage ditches clear of debris, etc.) to ensure that the Cotton Belt rigbt-of-way between MP 620.67 Precinct Line Road and MP 625.60 NE Loop 820 (the `Property") is maintained to a gond, safe and manageable condition, In addition, NRI -t agrees to maintain the Property to not less than the condition required of private property as per its city ordinances or codes. Prior to performing any maintenance on the Property, NRH shalt contact The T (via email and phone) and secure "Form C" working privileges, on each separate occurrence, to perform the required maintenance. NRH understands that work may be performed only after written approval (via e-mail or letter) has been given by The T and satisfactory evidence of sufficient insurance coverage is provided by NRH. In the event The T notifies NRH of the failure to maintain the Property or to otherwise comply with this subsection 2.2.1, and NRH shall not have remedied the failure within thirty (30) days from the date of such notice, The T shall have the right, but not the obligation, to remedy such failure at the sole cost and expense of NRH. In the event NRH exercises its right to remedy NRH's failure, NRH agrees to immediately pay to The T all costs incurred by'rhe T upon demand. If NRH's failure to maintain the Property results in a condition that impairs the safe or efficient operation of TEX Rail or otherwise creates an emergency, The T may remedy that condition, at NRH's cost, after The T provides NRH only such notice as is reasonable under the circumstances, if any. 2.12 NRI -I will provide to The T copies of all applicable city ordinances, regulations for development, NRH's Comprehensive Plan, all applicable zoning ordinances, and its Historic Preservation Ordinance, and any other laws, regulations codes or ordinances with which NRH believes some portion of the design or construction of the TEX Rail Project must comply, specifying such portion and the basis for NRH's determination that compliance is required. 2.2.3 To the extent NRIVs review and approval is required for a portion of the design or construction of the TEX Rail Project, NRH will cooperate with The T in achieving the goals and schedules of the TEX Rail Project by expeditiously reviewing all submitted documents and not unreasonably withholding or delaying its approval. Additionally, NRH will provide timely, accurate, and complete information with respect to its regulations, requirements, and development regulations applicable to the TEX Rail Project. Furthermore, NRH will waive all fees typically applied to design and construction projects, including fees for plans review, construction inspection, plat and zoning application, water and wastewater 'impact, and sign permits. 2.2.4 NRH will apply with the Federal Railroad Administration for Quiet Zones withiii the NRH :municipal limits with respect to the TEX Rail Project. 2.2 .5 Without limiting the foregoing, NRH will consult with The T and cooperate as fully as possible to meet TEX Rail Project objectives as they relate to portions ofthe TEX Rail Project within the NRI4 municipal limits. 2.3 The NRH Funds. 2.3.1 In accordance with the terms of this Section 2.3, NRH will dedicate, pledge, and set aside the NRH Funds (as defined below) for The T's application against the operating, maintenance, debt service, and other costs resulting from,or relating to the TEX Rail Project. Solely for the purpose of computing the NRH Funds, the Parties acknowledge that NRH has adopted a one percent (I%) local sales and use tax within NRH as authorized by the Municipal Sales and Use Tax Act, Texas Tax Code. Chapter 321 (the "Sales and Use Tax"). 2.3.2 Except as modified by Section 3.1 below, NRH's remittance of the monetary support pursuant to this Section 2.3 will be funded from any available source. NRH's monetary support will commence as soon as practicable after the execution of this Agreement with the contribution to The T of certain land necessary for the TEX Rail parking at the Iron Horse Station; it will continue with the contribution of finds beginning no later than January 1, 2423 in an amount not less than $2,000,000. The total annual contribution from all sources will escalate at 5% per annum to 3/8 of one cent of the Sales and Use Tax no later than January 1, 2035 and thereafter must remain at that level (all such funds collectively constituting the "NRH Funds'), All computations of the NRH Funds will be based on the amounts reported by the Texas Comptroller of Public Accounts. The NRH Funds will be payable to The T monthly. The monthly contribution will be based on an agreed-upon contribution schedule or 3/8 of one cent ofNRH's prior ►nonth allocation of Sales and Use Tax. The Parties will mutually agree on the level of feeder or circulator bus service supporting the NRH Stations, 2.4 Other Responsibilities of NRI -1. 2.4.1 The Parties agree that a feeder or circulator bus system is necessary to support the TEX Rail ridership to and from the NRH Stations. NRH will be solely responsible to provide such bus or trolley -based feeder or circulator service adequate to support TEX Rail ridership as agreed by the Parties. Once the NRH Funds reach the equivalent of 3/8 of one cent of the Sales and Use Tax, NRH may deduct one half (1/2) of the amount of funds necessary to provide associated and ancillary bus or trolley service operated by NRH or any affiliated or associated NRH entity that complies with this subsection. The deduction for feeder or circulator bus service may not exceed ten percent (101%) of the NRH funds. Until such time as NRH Funds reach the equivalent of 318 of one cent of the Sales and Use Tax, NRH has sole authority for determining the level of feeder bus service so long as NRH is not seeking reimbursement from those NRH Funds. SECTION 3 BUDGET AND FUNDING 3.1 Regional Rail Initiative Tax. The Parties acknowledge that a regional rail initiative may be farmed and that a sales tax may be levied in the future within Tarrant County or the surrounding region, the proceeds of which being dedicated to providing passenger rail service (the "Regional Rail Tax"), if NRH is subject to a Regional Rail Tax that equals or exceeds the equivalent of 318 of one cent of the Sales and Use Tax, which is the maximutn and escalated amount of the NRH Funds, then for so long as that Regional Rail Tax is remitted to The T, NRIVS obligations to transfer the NRH Funds to The T are suspended. If NRH is subject to a Regional Rail Tax less than the equivalent of 3/8 of one cent of the Sales and Use Tax, then NRH shall transfer to The T the difference between the Regional Rail Tax and 3/8 of one cent of Sales and Use Tax in accordance with Section 2.3 above. SECTION 4 TERM, TERMINATION, AND DISPUTE RESOLUTION 4.1 Term. This Agreement shall be in full fbrce and effect for an initial term of forty (40) years, unless otherwise earlier terminated as provided for herein. Thereafter, the term of this Agreement will be automatically renewed for two (2) successive terms of fifteen (15) years each (each, a "Renewal Term"), unless either Party gives written notice of its election to terminate this Agreement no less than one hundred eighty (180) days prior to the expiration of the Initial Term, or current Renewal Tenn, as the case may be. Any reference to "Tenn" as used in this Agreement shall include the Initial Term and the Renewal Terms. 4.2 Termination. Except as otherwise provided for herein, this Agreement may be terminated only upon the joint decision of the Parties and as evidenced by a written instrument executed in like manner as this Agreement. 4.3 Dispute Resolution. The Parties hereby agree to make a good faith effort to resolve any disagreement, failure to agree, or other dispute between The T and NRH arising out of or in connection with this Agreement, including with respect to the interpretation, construction, breach, performance, validity, or termination hereof (a `=Dispute") through informal discussions between the Parties. In the event that a Dispute cannot be resolved through informal discussions, prior to initiating an alternative rernedy either Party must submit a written complaint to the individual set forth in this Agreement for purposes of notice that sets forth with specificity the basis of the complaint and a proposed resolution to- the Dispute. The Party receiving the complaint shall respond in writing to such written complaint within thirty (30) days, by accepting the proposed resolution, rejecting the proposed resolution, or by proposing an alternative resolution to the Dispute. Within twenty (20) days of receipt of the Party's written response, if such response is a rejection or a counterproposal, the other Party must either accept the counterproposal or request that the Dispute be reconsidered and mediated by an independent third party that is mutually agreed upon by the Parties. If the Dispute is mediated, both Parties shall participate in good faith and attempt to resolve the Dispute to their mutual satisfaction. Each Party shall be responsible for its own costs incurred in connection with such mediation, but shall also be responsible for one-half of all of the out-of- pocket costs of and incurred by such independent third party in connection with such mediation. In the event that the Dispute is unable to be resolved through mediation, both Parties shall have full legal remedies allowed by law. Failure by either Party to raise a Dispute through this process shall not constitute waiver or acceptance of an alleged violation of this Agreement. The provisions of this section are strictly limited in scope to serving as a prerequisite to the enforcement of remedies under this Agreement. SECTION 5 MISCELLANEOUS PROVISIONS 5.1 Rel2resentatives. The T's President/CEO, or his or her designee(s), shall be the principal representative of The T in all matters relating to this Agreement. NRI -I's City Manager, or his or her designee(s), shall be the principal representative of NRH in all matters relating to this Agreement. HRH's representative shall have access to the records pertaining to the TEX Rail Project. The T hereby agrees to provide periodic and timely communications to NRH's representative with regard to any material aspect of the TEX Rail Project, 5.2 'Notices. Notices sent pursuant to this Agreement will be deemed to have been delivered five (5) days after having been placed in the United States mail, first class mail, prepaid, and addressed as follows: To The T: To NRH: Paul J Ballard President/Chief Executive Officer Fort Worth Transportation Authority 1600 F. Lancaster Ave. Fort Worth, Texas 76102 Marg Hindman City Manager City of North Richland Hills 7301 NE Loop 820 North Richland Hills, Texas 76180 5.3 Force Majeure, Each Party will be excused from the performance of any of its obligations hereunder, except obligations involving the payment of money to the other Party, during the time when such nonperformance is caused by fire, earthquake, flood, explosion, wreck, casualty, labor strike, unavoidable accident, riot, insurrection, civil disturbance, act of public enemy, embargo, war, extreme and violent weather conditions, inability to obtain labor, materials or supplies, or any other similar cause beyond the nonperforming Party's reasonable control, provided the nonperforming Party gives notice to the other Party within ten (10) days following the nonperforming Party's knowledge of such event, setting forth the facts giving rise to such nonperformance and the number of days of delay expected to be caused thereby. 5.4 No Third -Party Rights, NRH AND THE T AGREE THAT NEITHER IS THE AGENT, SERVANT, OFFICER, AND/OR EMPLOYEE OF THE OTHER AND, THAT NOTHING IN THIS AGREEMENT CREATES, GRANT'S, OR ASSIGNS RIGHTS OR RESPONSIBILITIES TO ACT AS A JOINT VENTURER, PARTNERSHIP, OR AGENT TO THE OTHER, OR CREATES A JOINT ENTERPRISE, NRI•-! AGREES TO BE RESPONSIBLE FOR ANY LIABILITY OR DAMAGES NRI -I MAY SUFFER AS A RESULT OF CLAIMS, DEMANDS, COSTS, OR JUDGMENTS, INCLUDING WITHOUT LIMITATION REASONABLE ATTORNEYS' FEES, AGAINST NRH, ARISING► OUT OF ITS PERFORMANCE OF THIS AGREEMENT, OR ARISING FROM ANY ACCIDENT, INJURY, OR DAMAGE., WHATSOEVER, TO ANY PERSON OR PERSONS, OR TO THE PROPERTY OF ANY PERSON(S), CORPORATION(S), OR OTHER ENTITIES OCCURRING DURING THE PERFORMANCE OF THIS AGREEMENT AND CAUSED BY THE SOLE NEGLIGENCE OF NRH, ITS AGENTS, SERVANT'S, OFFICERS, AND/OR EMPLOYEES. THE T AGREES TO BE RESPONSIBLE FOR ANY LIABILITY OR DAMAGES THAT THE T MAY SUFFER AS A RESULT OF CLAIMS, DEMANDS, COSTS, OR JUDGMENTS, INCLUDING WITHOUT LIMITATION REASONABLE ATTORNEYS' FEES, AGAINST THE T, ARISING OUT OF ITS PERFORMANCE OF THIS AGREEMENT, OR ARISING FROM ANY ACCIDENT, INJURY, OR DAMAGE, WHATSOEVER, TO ANY PERSON OR PERSONS, OR TO THE PROPERTY OF ANY PERSON(S), CORPORATION(S), OR OTHER ENTITIES OCCURRING DURING THE PERFORMANCE OF THIS AGREEMENT AND CAUSED BY THE SOLE NEGLIGENCE OF THE T, ITS AGEN'T'S, SERVANTS, OFFICERS AND/OR EMPLOYEES. THE ABOVE NOTWITHSTANDING, NOTHING IN THIS AGREEMENT SHALL BE CONSTRUED AS A WAIVER OF ANY GOVERNMENTAL IMMUNITY AVAILABLE TO THE PARTIES UNDER. TEXAS LAW, NOR A WAIVER OF ANY DEFENSES OF THE PARTIES UNDER TEXAS LAW. Except as expressly set forth herein, the representations, warranties, terms, and provisions of this Agreement are for the exclusive benefit of the Parties hereto and no other person or entity will have any right or claim against either Party by reason of any of these terms and provisions or be entitled to enforce those terms and provisions against either Party. 5.5 Severability. If any part, term or provision of this Agreement is judicially determined to be illegal or in conflict with any applicable law, the validity of the remaining portions or provisions will not be affected., and the rights and obligations of the Parties will be construed and enforced as if this Agreement did not contain the particular part, term or provision held to be invalid or illegal. 5.6 Entire Agreement. This Agreement, including any Exhibit hereto, is intended as the complete integration of all understandings between the Parties. No prior or contemporaneous addition, deletion, or other amendment will have any force or effect unless embodied in writing. No subsequent novation, renewal, addition, deletion, or other amendment hereto will have any force or effect unless embodied in a written amendment or other agreement executed by the authorized representatives of the Parties, 5.7 Captions and Headings. The captions and headings set forth herein are for convenience of reference only and will not be construed so as to define or limit the terms and provisions hereof. 5.8 Assignmeq All the contents of this Agreement shall inure to the benefit of and shall be binding upon the Party's successors and assigns, except that no Party may assign any of its rights or obligations hereunder without the prior written consent of the other Party, which consent will not be unreasonably withheld or delayed. Texas. 5.9 Applicable Law. This Agreement shall be governed by and interpreted under the laws of the State of 5, l O Venue, Venue as to any Dispute, claim, or litigation with regard to this Agreement shall lis in Tarrant County, Texas. 5.11 Agreement Contingency. This Agreement is contingent, and will become effective only, upon approval by both the Board of Directors of The T and the NRH City Council. 5.12 NRH h!ot a Member City of The T. This Agreement contemplates the provision of commuter rail service only, and no other transportation services. NRH hereby acknowledges that it is not a member of The T or any other project or operations of The T. [Signature Page Follows] EXECUTED this day of i. - N 2015. 7 FORT WORTH TRANSPORTATION CITY OF NORTH RIC14LAND HILLS, AUTHORITY Irl By mypilard Mark Hindman PresideiitChjef Executive Officer City Manager N -I] A 11 11171m, rfTT Approved a-sto farm ON' IP981 Ir ml