HomeMy WebLinkAboutContract 22581 STATE OF TEXAS
COUNTY OF TARRANT 4
AMENDMENT TO CITY -SECRETARY 'CrONTRACT NO. 18523
BETWEEN CITY OF FORT WORTH
AND THE
FORT WORTH CONVENTION AND VlS170RS BUREAU
This Agreemearti is made and entered into by and between the City of Fort Worth, a
MrUnicipal corporation (City), -acting by and through its (�uly authorized City Manager, Bob
Terrell, and the Fort Worth Convention and Visitors Bureau(Bureau), acting horein by and
through Douglas Harman, its dully authorized President& C. ,O,
W I T N E S S ET H:
WHEREAS, the Blackstone Hotel has been vacant for over 10 years, generates
no hotel occupancy ' x revenues, and in its current deteriorated condition detrimental
to the goal of attracting visi,ors, conventioneers and tourists to the City's downtown-, a°Id
WHEREAS, the City Council and t1he Landmark Commission have found that the
Blackstone Hotel is a -significant historcaf resource and have designated it as a "Highly
Significant Endang Bred" resource; and
WHEREAS, the amity; County and Hospital District have approved tax exernption
agreements to encourage restoration of the Blackstone; and
WHEF 5, the Fort Worth Independent! School District decided not to participate
in the fax e,- -ption process, creating a reed for extraordinary measures to save and
restore the Blaokstone Hotel; atid
WHEREAS, V,T.C.A. —axCode §351.1C,1(a)(5) authorizes a City`1Vo, use revenue
derived from the hotea occupancy tax for histo,1c restoration and preservation projects or
activities in the immediate vicinity of convention center facilities; and
WHEREAS, the City Council has approved a Facilities and Maintenance
Agreement with Blackstone Hotel Partners, L.P. (Owner,,, the prospective owner of the
Blackstone property, by its adoption of M&C C-15 1' -tn February 25. 1997; and
WHEREAS, under the Facilities and Maintenance Agreement the Owner is
required, among other things, to restore and mainta=in the historic facade and interior of
the hotal and convey a facade easernent to a nonprofit corporation, in return for which the
City will pay to the Owner over a period of ten years an annuall amount equal to the lesser
of 75% of the hotel occupancy tax generated' by the Bla--V�trne and collected by:tbe-Qjb(______
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{e vent for th fir3t annual payment in which the percenta g. is -10Mi`:��, or the amount of
the incrernental ad valorem property tax due the Fort Woith 1'133D; for the correiFponding
year; and
WHEREAS, the first annual payment called for by the Agreement is in January
1999 and is based upon hotel occupancy tax revenues generated by and collected from
the Blackstone in c-�-'endar years 1997 and 1998: and
WHEREAS, the City's agreement with the Bureau provides for payment of certain
hotel occupancy tax revenues to the Bureau in re um for services rendered. and said
,igreerrient runs through September 30, 1998, making it recessary to revise said
agreement in order for the currently proposed Facilities and Maintenance Agreement to
be funded by the City;
NOW, THEREFORE,TINE CITY AND BUREAU AGREE AS FOOL OWS-
I hat City Secretary Contract No, 118523 b:ittween the City anu the Bureau be and is
hereby amended. by amending Section 3.1 thereof to ar.,,4 the following:
"Notwithstandiog anything herein to the contrary, it is u1nderstood and
agreed that any hotel occupancy tax revenue generated by and collected
from the Blackstone Hotel during calendar years 1997 and 1998 shall be
utilized by the City solely to fund the Facilitiei and lk.,laintenance Agreement
concerning preservation, restoration, and maintenance of the Blackstone
Hotel and related facilities."
That the other provisions rf City Secretary Contract No. 18523 shall remain in full
force and effect.
EXECUTED ON THIS,THEa09A DAY OF 1997.
17 T: CITY OF FORT WORTH,TEXAS
1000 Throckmorton Street
For', Worth, T�), 76102
By:
City Secretary Robert Terrell
City Manager
ri
2
APPR,CV" - AS TO FORM AND LEGALITY:
Assistant City Attol"li
Date: --2
FOR WORTH CONVENTION
AND VISITORS BUREAU
415 T-1rockmarion Street
Fort Worth, 'rexas .76102
By:
Doug Harman
President and C.E.O.
(,"Z�fy of Florf W(,)rtk Texas
Mayor and Council CommunlIcation
D
3,1
L_ PE 3 Ir FJ
i SUBOTEX-T AIVIENDN',0 5T —10 CITY SECRr-7ARY CONTRACT NO, 1 3 ,42 W H FORT WORT
CONVENTiO"N AND VISITORS BUREAU
RECOMMENDAFION:
n.
K t�> iecufnmende;� ti hat the City C:iuncil autharize the City Manager to execute an amendme I
to C=ty Secretary Contract No. 18523 with C'ne Fort Worth Convention and Visitors Bureau as
discusse d below,
V,T.C.A. Tax Code §351.101(a)(5) authorizes a City to use revenue derived from the hotel
occupancy tax for historic restoration and preservation projects. On February 25, 1997, by its
I adoption of M&C C-15915, the City Councii has .,pproved a Facilities and Maintenance
I Agreement v-iiith Blackstone Hotel Partnera, L.P. (Owner), under which the Owner is required,
-ig � -e historic facade and interior of the Blackstone
am,�ii other things, to re-tare and maintain t1k
Hotel end convey a facade easement t1r b nonprcfiit corporation. In return, the City will pay to
the Owrier over a period of ter, years an annual arnount equal to the !esser of 75% of the hotel
I occupancy tax generatr-L, by the Blackstone and collected by the City (except for the first annual
payment in ojhich t'Oe percentage is 100%), or the arnount of the incremental ad valorem
I property tax due t)e Fort Wor-Lh 1 "or the corresponding year.
The City'P current agreement with the Convention, and Visitors Sureau provides for payment of
certain hotel occupancy tax revenues to the Bureau in return for services rendered, and runs
through September 30, 1998. Since the first annbal payment to the Owner under the Facilities
and Maintenance Agreement is based t_jpon hotei occupancy tax revenues generated by and
collected from the Blackstone in 1997 and 1998, a is necessary to revise the City's agreemen-,
withr the Bureau in order to fund that payment.
IFISICAL.,'INFO RMATIONXERTIFICATION:
The Diremo-of Fiscal Services certifies that execution of the contract amendment will not require
tihe 2,<.-:.:?nditure of City funds.
Subraitted fpr C tF Mainag,! "5 FUND AcCoUNT C7NTER AN,10UNT C!N SECRFTARV
offike hy: i "t")
Charles P-Swell y5t i APPROVED
0,ipmofing Depart-nen!Head-,
'IT OUN
kade Adkwi
For Adfational Information
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