Thursday, August 7, 2014

Legal realities

The 381 Agreement for the proposed Central Texas Airport is a ‘gift’ that just keeps giving. The myth that the developer’s failure to meet the June 30, 2014 deadline for the completion of the project terminated the Agreement is debunked by Section 9 (c) which clearly states that action by the County is required to withdraw from its obligation to the project. Seems simple enough. Yet no action has been forthcoming. Why the delay?

Well, here’s the legal reality. In addition to the termination clause, Section 10 defines the ‘Mutual Assistance’ on which the County and developer have agreed. The language of this Section sets a common goal which in effect binds the County and developer.

Partnerships like that are not so easily dissolved. Just over a year ago the County tried doing just that with another developer who had not met performance deadlines. You can read about it here (the comments contain important information). It’s no wonder the County is reluctant to go down that road again especially considering the close relationship between the developers of both projects.

The blame for this unfortunate situation rests squarely on the Commissioners Court of 2010 (Commissioners Dildy, Beckett, Pina and Klaus with Judge Ronnie McDonald at the helm) that approved this very flawed 381 Agreement. Political expediency and the fantasy of an economic windfall spun by the developer trumped common sense and due diligence. Shame on those responsible for setting this project in motion!

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