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Ordinance 2000-09 ORDINANCE NO. ;1,000 - 09 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF WYLIE, COLLIN COUNTY, TEXAS, DESIGNA TING REINVESTMENT ZONE NO.3; PROVIDING ELIGmILITY OF THE ZONE FOR INDUSTRIAL TAX ABA TEMENT; CONTAINING FINDINGS THAT THE AREA QUALIFIES TO BE DESIGNA TED AS A REINVESTMENT ZONE AND THE IMPROVEMENTS SOUGHT ARE FEASIBLE AND PRACTICABLE AND OF BENEFIT TO THE LAND AND THE CITY; PROVIDING FOR A SEVERABILITY CLAUSE; PROVIDING FOR A REPEALING CLAUSE; AND PROVIDING FOR THE EFFECTIVE DATE OF SAID ORDINANCE. WHEREAS, the City Council of the City of Wylie, Texas, has caused notice to be published in a newspaper having general circulation in the City of Wylie and has delivered such notice to the presiding officer of the governing body of each taxing unit that includes in its boundaries real property described herein; and WHEREAS, the City Council of the City of Wylie, Texas, has conducted a public hearing on the designation of the area described herein as a reinvestment zone; and WHEREAS, the proposed Tax Abatement Agreement by and among the City of Wylie, Texas and Moulding Associates, Inc., a Texas Corporation, attached hereto as Exhibit "A," has been presented to the City Council; and the City Council is of the opinion and finds that the terms and conditions thereof should be approved and that the Mayor should be authorized to execute the Agreement on behalf of the City of Wylie, Texas. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF WYLIE, COLLIN COUNTY, TEXAS: SECTION 1. That the City Council of the City of Wylie, Texas, finds that the area described herein will, if designated as a reinvestment zone, be reasonably likely to contribute to the retention or expansion of primary employment, or to attract major investment in the zone that will be of benefit to the property and contribute to the economic development of the City. The City Council further finds that the improvements sought are feasible and practicable and would be of benefit to the land to be included in the zone and to the City after the expiration of the tax abatement agreement. SECTION 2. That pursuant to the provisions of Section 312.201 of the Texas Tax Code, the real property described in the Tax Abatement Agreement attached hereto as Exhibit "A" and made part hereof for all purposes is hereby designated as a reinvestment zone and for identification is assigned the name "Reinvestment Zone NO.3" @ SECTION 3. That the property within Reinvestment Zone NO.3 is eligible for industrial tax abatement effective on January 1,2000, and for a period of five (5) years. SECTION 4. The Agreement attached hereto as Exhibit "A" having been reviewed by the City Council and found to be acceptable and in the best interest of the City and its citizens, is hereby approved, and the Mayor is hereby authorized to execute the Agreement on behalf of the City of Wylie, Texas. SECTION 5. That should any word, sentence, paragraph, subdivision, clause, phrase or section of this ordinance, or the Code of Ordinances, as amended hereby, be adjudged or held to be void or unconstitutional, the same shall not affect the validity of the remaining portions of said ordinance or the Code of Ordinances, as amended hereby, which shall remain in full force and effect. SECTION 6. That all ordinances of the City of Wylie, Texas, in conflict with the provisions of this ordinance shall be, and the same hereby, repealed; however, that all other provisions of said ordinances not in conflict herewith shall remain in full force and effect. SECTION 7. That this ordinance shall take effect immediately from and after its passage in accordance with the provisions of the Charter of the City of Wylie, Texas, and it is accordingly so ordained. DULY PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF WYLIE, COLLIN COUNTY, TEXAS, ON THIS THE 13TH DAY OF JUNE, 2000. ATTEST: ndy, Mayor ';::'i> Ii....>.. ~, ~J' J";;"'(1::.- '. R'%" .;.f" ..,\,-.~":" <~'-~ l ~ ... ~ ~ l~ -~ e;, ,,'$ .,I1/'yt../E l~i"~\~~'i-' 'Ill", ,..,,";';.." . 4lIJt:;UI:wn\\\\:~\'"'' EXHmlT "A" STATE OF TEXAS TAX ABATEMENT AGREEMENT COUNTY OF COLLIN This Tax Abatement Agreement (the "Agreement") is entered into by and among the City of Wylie, Texas (the "City"), a home rule city and municipal corporation of Collin County, Texas, duly acting herein by and through its mayor, and Molding Associates, Inc. ("MAl"), a Texas corporation, duly acting by and through its Chief Executive Officer herein. WIT N E SSE T H: WHEREAS, on June 13, 2000 the City Council of the CITY, passed Ordinance No. (the "ORDINANCE") establishing Reinvestment Zone No. 3 (the "ZONE"), for industrial tax abatement, as authorized by the Property Redevelopment and Tax Abatement Act, Chapter 312 of the Texas Tax Code, as amended (the "ACT"); and WHEREAS, the CITY has adopted by Resolution No. City of Wylie Economic Development Incentives Guidelines and Criteria (the "GUIDELINES AND CRITERIA"), attached hereto as Exhibit "A", governing tax abatement agreements to be entered into by the CITY as contemplated by the ACT, and WHEREAS, the GUIDELINES AND CRITERIA contain appropriate guidelines and criteria governing tax abatement agreements to be entered into by the CITY as contemplated by the ACT; and WHEREAS, the above-referenced-resolution states that the CITY elects to be eligible to participate in tax abatement; and WHEREAS, the CITY wishes maintain and enhance the industrial economic and employment base of the Wylie area for the long-term interest and benefit of the CITY in accordance with the Ordinance and the ACT, and WHEREAS, MAl improvements described herein will create permanent new jobs in the CITY; and WHEREAS, the contemplated use of and improvements to the PREMISES (hereinafter defined), and other terms hereof, are consistent with encouraging development of the ZONE in accordance with the purposes for its creation and in compliance with the GUIDELINES AND CRITERIA, the ORDINANCE and similar guidelines and criteria adopted by the CITY, the ACT and all other applicable laws; and Tax Abatement Agreement - 1 WHEREAS, the contemplated improvements sought are feasible and practicable and will be of benefit to the land to be included in the ZONE and to the CITY after expiration of this AGREEMENT; and WHEREAS, a copy of this AGREEMENT has been furnished, in manner prescribed by the ACT, to the presiding officers of the governing bodies of each of the TAXING UNITS in which the PREMISES is located; and WHEREAS, the CITY desires to enter into an AGREEMENT with MAl, the owners of Property within the ZONE for the abatement of taxes pursuant to Chapter 312 of the ACT, as amended; NOW, THEREFORE, the parties to this AGREEMENT do mutually agree as follows: GENERAL PROVISIONS 1. MAl purchased from the Wylie Economic Development Corporation (the "WEDC") and MAl represents it is the sole owner of the real property described in Exhibit "B" attached hereto and made part hereof for purposes (the "PREMISES"), which PREMISES is located within the city limits of the CITY and within the ZONE. MAl is the owner of tangible personal property that will be located on the PREMISES. TAX ABATEMENT AUTHORIZED 2. This AGREEMENT is authorized by the ACT, and in accordance with the GUIDELINES AND CRITERIA, as approved by resolution of the City Council of the CITY authorizing the execution of this AGREEMENT. 3. Subject to the terms and conditions of this AGREEMENT, the CITY hereby grants MAl an abatement of ad valorem taxation on the PREMISES and further grants to MAl an abatement of ad valorem taxation for the TANGffiLE PERSONAL PROPERTY (hereinafter defined) to be located on the PREMISES for a period of five (5) years in accordance with the schedule described below. The actual percentage of taxes subject to abatement for each year of this AGREEMENT will apply only to the portion of TAXABLE VALUE (hereinafter defined) of the real property that exceeds the unimproved property's taxable value for the BASE YEAR 1999 (hereinafter defined). The tax abatement agreement for TANGffiLE PERSONAL PROPERTY will only apply to the TAXABLE VALUE of personal property added to the PREMISES after the BASE YEAR 1999. Tax Abatement Agreement - 2 Year Percentage of Abatement 2000 2001 2002 2003 2004 40% 40% 40% 40% 40% 4. The period of tax abatement herein authorized shall be five (5) years, beginning the FIRST YEAR OF TAX ABATEMENT (hereinafter defined). 5. During the period of tax abatement herein authorized, MAl shall be subject to all City taxation not abated, including but not limited to, sales tax and ad valorem taxation on land to the extent not abated hereby. DEFINITIONS 6. Wherever used in this AGREEMENT, the following terms shall have the meanings ascribed to them: A. The PREMISES shall mean the real property described in Exhibit "B" attached hereto and incorporated herein for all purposes including any improvements and TANGmLE PERSONAL PROPERTY, which is added to the property subsequent to the BASE YEAR; B. The IMPROVEMENTS shall mean the improvements located on the PREMISES and as further described herein, including but not limited to buildings and structures added to the property; C. The BASE YEAR shall mean the year immediately preceding the execution of the Tax Abatement AGREEMENT, or 1999. D. The FIRST YEAR OF TAX ABATEMENT shall begin January 1,2000. E. TAXABLE VALUE means the appraised value of the PREMISES or the TANGIBLE PERSONAL PROPERTY, as the case may be, as certified by the Collin County Appraisal District as of January 1 of a given year. F. TANGmLE PERSONAL PROPERTY shall mean tangible personal property, equipment and fixtures (other than inventory or supplies) added to the PREMISES subsequent to the BASE YEAR; G. For purposes hereof, an "Event of Bankruptcy or Insolvency" shall mean the dissolution or termination of MAl existence as a going business, Tax Abatement Agreement - 3 insolvency, appointment of receiver for any part of MAl property and such appointment is not terminated within ninety (90) days after such appointment is initially made, any general assignment for the benefit of creditors, or the commencement of any proceeding under any bankruptcy or insolvency laws by or against MAl and such proceeding is not dismissed within ninety (90) days after filing thereof IMPROVEMENTS 7. MAl owns the real property described in Exhibit "B" and agrees to maintain one (1) office building/warehouse building of approximately sixty-thousand (60,000) square feet (and other ancillary facilities such as reasonably required parking and landscaping more fully described in the construction plans filed by MAl with the CITY for the purpose of obtaining a building permit which plans are made part of this AGREEMENT) (the "IMPROVEMENTS"). The costs of the IMPROVEMENTS exclusive of the land shall be at least One Million Two-Hundred Fifty Thousand and 00/100 Dollars ($1,250,000). MAl agrees to maintain the PREMISES and occupy the IMPROVEMENTS for a period of ten (10) years and to locate TANGffiLE PERSONAL PROPERTY on the PREMISES. Tax Abatement on the PREMISES is expressly contingent on MAl constructing the IMPROVEMENTS on the PREMISES and installing TANGffiLE PERSONAL PROPERTY according to the terms of this paragraph. 8. Subject to events of casualty, condemnation, or Force Majeure, MAl agrees to maintain the PREMISES in accordance with all applicable federal, state, and local laws, codes, and regulations for a period of not less than ten (10) years after the date a certificate of occupancy is issued for the IMPROVEMENTS or until the CITY and the TAXING UNITS have received ad valorem taxes from the PREMISES in an amount equal to all the ad valorem taxes abated herein whichever occurs first. GENERAL REQUIREMENTS 9. MAl shall certify in writing to the CITY the construction cost of the IMPROVEMENTS (including, but not limited to, all architectural and engineering fees, loan fees and other normal and customary soft costs). MAl shall annually certify to the CITY that they are in compliance with each term of the AGREEMENT. 10. The PREMISES constructed thereon at all times shall be used in the manner that is consistent with the City's Zoning Ordinance, as amended, and all other applicable federal, state, and local laws, codes and regulations. Tax Abatement Agreement - 4 DEFAULT: RECAPTURE OF TAX REVENUE 11. If MAl fails to (i) construct and complete the IMPROVEMENTS and/or install the TANGmLE PERSONAL PROPERTY in accordance with this AGREEMENT for which an abatement has been granted; (ii) pay in full the real or personal property taxes and State sales taxes owed to the CITY (provided such party retains the right to timely and properly protest and/or contest such taxes or assessments and the tax abatement will be applied to the amount of taxes finally determined to be due as a result of such protest or contest by February 1 following the year in which taxes are assessed); (iii) any "Event of Bankruptcy or Insolvency" occurs; or (iv) MAl breaches any of the terms and conditions of this AGREEMENT, then MAl shall be in default of this AGREEMENT (an "EVENT OF DEFAULT"). In the EVENT OF DEFAULT, the CITY will give MAl written notice of such default and if MAl has not cured the default with in thirty (30) days of said written notice, this AGREEMENT may be terminated by the CITY. 12. Upon the occurrence of an EVENT OF DEFAULT and after MAl fails ot cure the same in accordance herewith, all taxes which otherwise would have been paid to the CITY, shall be due and owing to CITY subject to any and all lawful offsets, settlements, deductions, or credits to which MAl may be entitled. 13. In the event the CITY defaults in performance of this AGREEMENT, MAl shall give CITY written notice of default. If the CITY fails to cure the default within thirty (30) days of said written notice, MAl shall have the right to seek specific performance of this AGREEMENT as its sole and exclusive remedy. ANNUAL APPLICATION FOR TAX EXEMPTION 14. It shall be the responsibility of MAl, pursuant to the TAX CODE, to file an annual exemption application form with the Chief Appraiser for each appraisal district in which the eligible taxable property has situs. A copy of each exemption application shall be submitted to the CITY. ASSIGNMENT 15. The abatement may be transferred and assigned by MAl to a new holder or lessee of the same facility upon approval of the CITY; subject to the financial capacity of the assignee and provided that all conditions and obligations in the abatement agreement are guaranteed by the execution of a new contractual agreement with the CITY. Consideration of the transfer and assignment will not be unreasonably withheld or delayed. NOTICE 16. Ail notices required by this AGREEMENT shall be addressed to the following, or such other party or address as the parties designate in writing, by certified mail, postage prepaid, return receipt requested, or by hand delivery. Any notice required or permitted to Tax Abatement Agreement - 5 be delivered hereunder shall be deemed received three (3) business days after deposited in an official depository under the regular care and custody of the United States Postal Service and sent by United States Mail, postage prepaid, certified mail, return receipt requested, addressed to the party at the address set forth below or on the day actually received in sent by courier or otherwise hand delivered. No notice of change of address shall be effective until ten (10) days following deposit of the same in an official depository under the regular care and custody of the United States Postal Service as aforesaid. 1. CITY Mayor and City Manager City of Wylie 2000 Highway 78 North Wylie, Texas 75098 2. Mr. Richard Abernathy City of Wylie City Attorney 1700 Redbud Blvd., Suite 300 P.O. Box 1210 McKinney, Texas 75069-1210 3. MAl Moulding Associates, Inc. 933 Hensley Lane Wylie, Texas 75098 AUTHORIZATION 17. Each party represents that it has full authority to execute this AGREEMENT. SEVERABILITY 18. In the event any section, subsection, paragraph, sentence, phrase or word herein is held invalid, illegal or unconstitutional, the balance of this AGREEMENT, shall be enforceable and shall be enforced as if the parties intended at all times to delete said invalid section, subsection, paragraph, sentence, phrase or word; and such invalid, illegal, unconstitutional or unenforceable section, subsection, paragraph, sentence, phrase or word may be substituted by a section, subsection, paragraph, sentence, phrase or word as near in substance thereto as may be valid, legal, constitutional and enforceable. APPLICABLE LAW 19. This AGREEMENT shall be construed under the laws of the State of Texas. Venue for any action under this AGREEMENT shall be the State District Court of Collin County, Texas. Tax Abatement Agreement - 6 ENTIRE AGREEMENT 20. This AGREEMENT embodies the complete agreement of the parties hereto, superseding all oral or written previous and contemporary agreements between the parties and relating to the matters in this AGREEMENT, and except as otherwise provided herein cannot be modified without written agreement of the parties to be attached to and made part of this AGREEMENT. 21. The provisions of this AGREEMENT are hereby declared covenants running with the PREMISES and are fully binding on all successors, heirs, and assigns of MAl who acquire any right, title, or interest in or to the PREMISES or any part thereof Any person who acquires any right, title, or interest in or to the PREMISES, or any part hereof, thereby agrees and covenants to abide by and fully perform the provisions of this AGREEMENT with respect to the right, title or interest in such PREMISES. EXHmITS 22. All exhibits to this AGREEMENT are incorporated herein by reference for all purposes wherever reference is made to the same. TIME IS OF THE ESSENCE 23. Time is of the Essence in this AGREEMENT. Tax Abatement Agreement - 7 EXECUTED in duplicate originals this the ATTEST: By: BARBARA SALINAS, CITY SECRETARY EXECUTED in duplicate originals this the Tax Abatement Agreement - 8 day of CITY OF WYLIE, TEXAS By: , 2000. JOHN MONDY, MAYOR day of ,2000. MOULDING ASSOCIATES, INe. a Texas Corporation By: RAFORD CADE, CEO EXHIBIT "A" Economic Development Incentives I. Purpose and Objective The City of Wylie is committed to the promotion of quality development in all parts of the city and to an ongoing improvement in the quality of life for it's residents. In so far as these objectives are generally served by the enhancement and expansion of the local economy. The City of Wylie will, on a case by case basis, give consideration to providing incentives as a stimulation for economic development in Wylie. Nothing herein shall imply or suggest that the City of Wylie is under obligation to provide any incentive to any applicant. All applications shall be considered on a case by case basis. II. Criteria for Economic Development Incentives: The following threshold criteria shall be used to determine whether any Economic Development Incentives shall be granted to new projects: 1.) The proposed project must create at least ten (10) or more jobs by the end of the abatement period. 2.) The proposed project must provide for an invest taxable assets within three (3) years from the commencement of construction. 3.) The project must meet all relevant zoning requirements. 4.) Generally to be eligible, a project must consist of an industrial, commercial, or warehouse use. In addition to the minimum requirements stated above, the following subjective criteria shall be considered prior to granting any economic development incentive. 5.) Is the project consistent with the comprehensive plan with or of the City of 'J'{ylie? 6.) What types and costs of public improvements and services (sewer main extensions, streets, alleys, etc.) will be required of the City? What types and values of public improvements if any will be made by the applicant? The City of Wylie recognizes the importance of expansion of the existing business as a key element in the economic development of the City. Therefore, l' different criteria for incentive eligibility have been developed for business expansion. In or eligible for abatement, an expanding business must meet the following criteria: 1.) The project must create ten (10) or more jobs by the end abatement period. 2.) The project must result in an addition of $500,000 in assessed value within the first year of the abatement. 3.) The project must also meet the criteria as stated previously in this section. III. Types of Incentives It is the intent of the City of Wylie to evaluate the offering of economic development incentives on a case by case basis. This individualized design of a total incentive package is intended to allow a maximum flexibility in addressing the unique concerns of each applicant while enabling the City to better respond to the changing needs of the community. Below is a chart which reflects the percentage amount to be abated: NEWLY CREATED VALUE MAXIMUM TAX ABATEMENT OVER 5 YEAR PERIOD $3 million + 400% $2 million - $2,999,999 300% $1 million - $1,999,999 200% EXPANDED VALUE $2.5 million + 400% $1,500,000 - $2,499,999 $500,000 - $1,499,999 300% 200% Abatements may be granted for terms from two to five (2 - 5) years but may be extended to the limits as specified by state law. Abatements of greater than five (5) years may be considered, only if it can be clearly demonstrated that it is economically beneficial to the City to do so. Abatement periods in excess of five (5) years must be approved by a three-quarter vote of the full City Council. The above chart reflects the maximum tax incentive to be eligible for over a period not to exceed five (5) years. No applicant may take a percentage greater than 100% in any given year. For example, the qualified applicant may choose to take the 200% abatement over a two (2) year period at 100% each year; or may extend it to 50% each year for four (4) years. The same method would apply to the 300% and 400% abatement. Please keep in mind that the percentages stated OR the right are the maximum amounts. IV. Application Procedures Any person applying for Economic Development Incentives will be required to comply with several application procedures. Once the application has been completed, the application will be forwarded to the joint committee on economic development incentives consisting of elected officials from each of the taxing entities. V. Recapture The City of Wylie will have very specific performance standards that will be measured to ensure that the qualified applicant is adhering to the guidelines, as set forth, and the Economic Development Incentive Policy. In the event that the company or individual fails to keep current on ad-valorem or other taxes, or violates the terms and conditions of the abatement agreement in any fashion; the City of Wylie will have the option along with the other taxing entities, to recoup any tax monies that were abated. VI. Assignment The abatement may be transferred and assigned by the holder to a new owner or lessee of the same facility upon approval of the City Council; subject to the financial capacity of the assignee and provided that all conditions and obligations in the abatement agreement are guaranteed by the execution of a new contractual agreement with the City of Wylie. VII. Sunset Provisions The guidelines and criteria are affective upon the date of their adoption and will remain in force for two (2) years. At which time all reinvestment zones and tax abatement contracts created pursuant to its provisions, will be reviewed by the City Council of Wylie to determine whether the goals of the abatement program has been achieved. Based upon that review, the guidelines and criteria may be modified, renewed or eliminated. VIII. Note In order for Wylie to have a successful Economic Development Incentive Policy, the City of Wylie must receive cooperation from the other taxing entities, Le., Wylie ISO, Collin County and Collin County Community College District. Should more than one (1) entity grant tax abatements, it would be my recommendation that a joint committee on tax abatement be established consiSl:ing of two (2) elected officials from each of the taxing units to review and considsr each applicant. EXHIBIT "B" PROPERTY DESCRIPTION Being a tract of land situated in the Duke Strickland Survey, Abstract No. 841, City of Wylie, Collin County, Texas and being all of Lot 2A, Block A, of Premier Industrial Park North, an Addition to the City of Wylie, Collin County, Texas, according to the plat thereof recorded in Volume K, Page 637, Map Records, Collin County, Texas, and being more particularly described as follows: Beginning at a 1/2" iron rod found on the north right-of-way line of Hensley Lane (60' R.O.W.) for the southeast comer of Lot 2, Block A, Replat of Premier Industrial Park, by plat thereof recorded in Volume K, Page 170, Map Records, Collin County, Texas; Thence, North 00 00'00" West, along the east line of said Lot 2, Block A, a distance of 287.00 feet to a 1/2" iron rod found for the northeast comer of said Lot 2; Thence, South 90 00'00" West, along the north line of said Lot 2, a distance of 165.86 feet to a 1/2" iron rod found for the northwest comer of said Lot 2 and on the east line of a tract of land conveyed to the City of Wylie as filed under County Clerk's File Number 95-00123334, Deed Records, Collin County, Texas; Thence, North 03 51 '03" East, along the east line of said City of Wylie tract, a distance of 216.10 feet to a 1/2" iron rod found for comer; Thence, North 46 55'31" East, along a southeast right-of-way line of County Road No. 297, a distance of 43.83 feet to a 1/2" iron rod found for comer; Thence, North 90 00'00" East, along a south right-of-way line of County Road 297, a distance of 454.33 feet to a 1/2" iron rod found for comer; Thence, South 00 00'00" East, a distance of 532.54 feet to a 1/2" iron rod found for comer on the north right-of-way line of Hensley Lane (60' R.O.W.); Thence, North 90 00'00" West, along the north right-of-way line of Hensley Lane (60' R.O.W.), a distance of 335.00 feet to the Point of Beginning and containing 216,648 square feet or 4.974 acres ofland. 4/7/00 Sanden International (U.S.A.), Inc. Abatement Listing by Year 00 01 Total Die Cast $11,110,027 $584,233 $11,694,260 PXF-18 0 23,967,973 23,967,973 M&E 8,229,233 5,000,000 13,229,233 Total $19,339,260 $29,552,206 $48,891,466 EXHIBIT "B" Recap 'I'I-IE WYLIE NEWS f~Yctln8 \1')'llc, SaclL~c, Mlltrll' 11"lt11C sllttnllllllhll: It en 111I N. Ilnllnrd SI. ".0. IJIIll :161} W}'lic. Tclln~ 15098 (912) 442-5515 rnx (912) 442-4:118 STATE OIl' TEXAS COUNTY 0.'" COLLIN lJefote me, lhe undersigned authority. on this day personally appeared Chad Engbrock, of 'fHE WVLIE NEWS, n ne\vspnper regularly published In Collin County, 'texas and having general clrculnUon In Collin COlllI.,., Texns, who being by me duly SlVorn deposed nnd says that the foregoing attached O~dinanQe No. 2000-9 "'ns published In said newspaper ort the following dotes, (()-wlt: AugU-6t 30 , 2000. and , 2000. ~nKk Subscribed and swut.. to berote me this the to nrtlfy 'which witness my hand and se.' or oMce. 7 day of Septemb~ , 2000, N tary Public JIlIUld for the State of Texas My Comntissloll Expires