Economic Development and Incentive Agreement (22K)
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ECONOMIC DEVELOPMENT AND
INCENTIVE AGREEMENT
THIS AGREEMENT ("Agreement") is made and entered into by and between the
PAMPA ECONOMIC DEVELOPMENT CORPORATION ("PEDC") and UNITED MEDICORP, INC., and
its wholly owned subsidiaries ("Medicorp").
For and in consideration of the grant and guaranty hereinafter provided
and the mutual covenants and agreements contained herein, and intending to be
legally bound hereby, PEDC and MEDICORP, do contract and agree as follows:
1. Definitions and Reference Terms. In addition to any other terms defined
herein, the following terms shall have the meaning set forth with respect
thereto.
a. Full-time Equivalent Employee: Each 2,080 hours logged per year.
b. Calendar year: Beginning January 1 of the referenced year.
c. Incentive Package: All funds to be paid to or expended for the benefit
of Medicorp and any guaranty made on its behalf by the PEDC.
d. City: The City of Pampa, Texas.
2. Incentive Package: PEDC hereby agrees to make the following grants and
loan guaranty to and in favor of Medicorp for its operations within the City
and employees located at its Pampa facility:
a. $192,000.00 cash grant to be paid upon the closing of the purchase of
the real property and the improvements located thereon where Medicorp's
operations will be conducted within the City, subject, however, to the
provisions of Paragraph 3 below.
b. $23,810.00 to be paid, or has been paid, to Hughes-Roth Capital Markets,
Inc. for its services rendered in the negotiations of the incentive
package and the location of Medicorp's operations in the City.
c. PEDC agrees to pay to Medicorp $27,400.00 per year for five (5) years,
payable on the anniversary date of this Agreement (the "Installment Payments").
Such Installment Payments shall be allocated as follows: (i) to reimburse
Medicorp for the total of the monthly payments made by Medicorp for the months
preceding the anniversary date of this Agreement to its lender (principal and
interest) on the loan for the purchase of the building; and (ii) after
deducting such total under (i) from said $27,400.00, Medicorp will pay, within
thirty (30) days after receipt of said Installment payment, the balance of such
annual Installment Payment to Medicorp's lender to be applied to said original
loan; provided, however, Medicorp will not be required to make any payment to
lender in excess of the balance of the loan.
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