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HomeMy WebLinkAbout7566RESOLUTION NO. 7566 A RESOLUTION APPROVING ADDENDUM NO. 1 TO THE MAY 23, 1994 AGREEMENT BETWEEN PUEBLO AND LAN TECHNOLOGIES, INC. RELATING TO A JOB CREATING CAPITAL IMPROVEMENT PROJECT WHEREAS, by Resolutions previously approved by the City Council funds were authorized for the remodeling of a building at Pueblo Memorial Airport Industrial Park in connection with Lan Technologies, Inc. job creating capital improvement project, and WHEREAS, City originally agreed to advance to Lan Technologies, Inc. $940,000 for the estimated cost of improvements and later agreed to advance an additional amount equal to one -half of the cost of improvements over $1,880,000 but not to exceed $400,000. WHEREAS, the actual cost of such remodeling was $727,061 more than the estimated $1,880,000, and WHEREAS, Lan Technologies, Inc. has agreed to pay one -half of the $727,061 increase cost of improvements by increasing its rent payable under the lease for the remodeled building, and WHEREAS, the May 23, 1994 Agreement between the City and Lan Technologies, Inc. should be amended to reflect the foregoing; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF PUEBLO, that: SECTION 1 The Addendum No. 1 to the Agreement dated May 23, 1994 between Lan Technologies, Inc. and the City, a copy of which is attached hereto, having been approved as to form by the City Attorney, is hereby approved. The President of the City Council is authorized to execute and deliver the Addendum No. 1 in the name of the City and the City Clerk is directed to affix the seal of the City thereto and attest same. INTRODUCED: February 27, 1995 By CHARTES JONES Councilperson ATTEST: Cit Clerk APPRO D: By President of the City Council J:\ CITY \AIRPOR'nLAN- TECMP,ES- ADDI.WPD �� ADDENDUM NO. 1 AGREEMENT DATED MAY 23, 1994 This Addendum No. 1 is entered into as of February 1, 1995 between Pueblo, a municipal corporation (the "City ") and Lan Technologies, Inc., a Massachusetts corporation (the "Company "), WITNESSETH: WHEREAS, City and Company entered into an Agreement dated May 23, 1994 relating to a job creating capital improvement project at Property located within Pueblo Memorial Airport Industrial Park (the "Agreement "), and WHEREAS, the approved cost of Improvements to the building on the Property (the "Building ") has exceeded the amount estimated by the parties by $727,061 (the "Additional Cost "), and WHEREAS, City and Company have agreed that the Additional Cost shall be paid, one -half by City, and one -half by Company in the form of cash or increased rent for the Building, and WHEREAS, the Improvements have been completed and Company occupies and conducts its business on the Property. NOW, THEREFORE, in consideration of the foregoing and mutual covenants herein contained, City and Company agree as follows: 1. All words and phrases defined in the Agreement shall have the same meaning in this Addendum No. 1. 2. The introductory sentence to paragraph 2 of the Agreement is hereby amended to read as follows: City will advance funds in an amount not to exceed $1,363,530 in the aggregate to or for the benefit of Company for the following purposes: $60,000 to purchase equipment, and $1,303,530 to PDF for the benefit of Company for the costs of improvements to be made by PDF to the Property, subject to and contingent upon 3. Company's one -half share of the Additional Cost ($363,531) will be paid by Company in the form of an increase in rent payable by Company under the May 31, 1994 Remodeling And Lease Agreement between Company and PDF (the "Lease "). 4. The persons signing this Addendum No. 1 on behalf of a party hereto represent and warrant that such party and persons have the requisite power and authority to enter into, execute, and perform this Addendum No. 1. 5. The Agreement as amended and modified by this Addendum No. 1 shall remain in full force and effect and all provisions and covenants of the Agreement not in conflict with the provisions of this Addendum No. 1 are incorporated herein as if set out in full. 6. If any provision of this Addendum No. 1 conflicts with any provision of the Agreement, the provisions of this Addendum No. 1 shall control to the extent of such conflict. Executed at Pueblo, Colorado as of the day and year first above written. [SEAL] PUEBLO, A MUNICIPAL CORPORATION ATTEST: Zo By City Clerk President of the City Council r S E All ATTEST. LAN TECHNOLOGIES, INC. By President J:\ CITY \AIRPORT\LAN- TECH\CITY- LAN.WPD ��