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26-R-103 EDC Agreement Las P Schertz OperationsRESOLUTION 26-R-103 A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF SCHERTZ TEXAS AUTHORIZING AN EXPENDITURE AS REFLECTED IN THE SECOND AMENDMENT TO THE ECONOMIC DEVELOPMENT PERFORMANCE AGREEMENT BETWEEN THE CITY OF SCHERTZ ECONOMIC DEVELOPMENT CORPORATION AND THE LAS P SCHERTZ OPERATIONS, LLC. AMENDING THE TOTAL INCENTIVE FUNDING AMOUNT AND DISPERSMENT TERMS; AND OTHER MATTERS IN CONNECTION THEREWITH WHEREAS, the City of Schertz Economic Development Corporation ("SEDC") is a non- profit industrial development corporation duly established under the Development Corporation Act of 1979, as amended (Section 501.001 et seq. Texas Local Government Code, formerly the Development Corporation Act of 1979) (the "Act"); and WHEREAS, all powers of the corporation are vested in the SEDC Board of Directors (the "Board") appointed by the governing body of the corporation's authorizing unity; and WHEREAS, the Act authorizes a development corporation to fund certain projects as defined by the Act and request development corporations to enter into performance agreements to establish and provide for the direct incentive or make an expenditure on behalf of a business enterprise under a project; and WHEREAS, Section 501.073 of the Texas Local Government Code requires the City Council (authorizing unit) to approve all programs and expenditures of the SEDC, and; WHEREAS, The Corporation previously entered into an Economic Development Performance Agreement (the "Agreement") with Las P Schertz Operations, LLC (the "Company") on August 8, 2024, approved by the City Council of Schertz on August 6, 2024; and WHEREAS, Sections 501, 502, and 505 of the Texas Local Government Code (`Texas LGC") authorizes the SEDC to fund certain projects as defined therein and enter into performance agreements to establish and provide for the direct incentive of make an expenditure on behalf of a business enterprise under a project; and WHEREAS, the parties amended this agreement on September 25,2025 to amend all references to the legal entity notations for Las Palapas Schertz Economic Development Incentive Agreement to Las P Schertz Operations, LLC, a Texas limited liability company; and WHEREAS, under the original Agreement, the Corporation committed a total incentive amount not to exceed $154,100, to be paid in accordance with the schedule set forth in Article III and Article IV of said agreement; and WHEREAS, the Agreement provides that the company develop 5,900 square foot restaurant improvements located in Schertz, Texas, on the property more particularly described as 16842 IH 35 North; WHEREAS, Company constructed and extended water infrastructure approximately 712 feet, and additional infrastructure to include sewer, drainage as well as associated roadway connection and driveway approach upgrades in Schertz, Texas, and WHEREAS, during construction, the Company encountered unforeseen subsurface conditions consisting of extensive bedrock and suffered equipment damage, resulting in significant project cost overruns and delays, and the Company and the Corporation desire to amend the funding amount and restructure the payment terms; and WHEREAS, the amended total incentive amount shall now be a sum not to exceed $284,050.00, to be disbursed subject to the revised performance milestones and payment terms detailed in "Exhibit All (Second Amendment to the Agreement); and NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SCHERTZ TEXAS THAT: Section 1. The Schertz Economic Development Board hereby approves the expenditure reflected in the Economic Development Performance Agreement second amendment attached hereto as ATTACHMENT A. Section 2. The recitals contained in the preamble hereof are hereby found to be true, and such recitals are hereby made a part of this Resolution for all purposes and are adopted as a part of the judgment and findings of the Board. Section 3. All resolutions, or parts thereof, which are in conflict of inconsistent with any provision of this Resolution are hereby repealed to the extent of such conflict, and the provisions of this Resolution shall be and remain controlling as to matters resolved therein. Section 4. This Resolution shall be construed and enforced in accordance with the laws of the State of Texas and the United States of America. Section 5. If any provision of this Resolution or the application thereof to any person or circumstance shall be held to be invalid, the remainder of the Resolution and the application of such provision to other persons and circumstances shall nevertheless be valid, and the board hereby declares that this Resolution would have been enacted without such invalid provision. Section 6. It is officially found, determined, and declared that the meeting at which this Resolution is adopted was open to the public and public notice of the time, place, and subject matter of the public business to be considered at such meeting, including this resolution, was given, all as required by Chapter 551, Texas Government Code, as amended. Section 7. This Resolution shall be in force and effect from and after its final passage and it is so resolved. PASSED AND ADOPTED ,this — Day of , 2026 CITY OF SCHERTZ ATT T: Sheila Edmonson, TRMC City Secretary